Pre-production Flow Test Update

ABERDEENSHIRE, UNITED KINGDOM--(Marketwire - Jul 19, 2012) -

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                          TSX-V, LSE-AIM: XEL


19 July 2012



                        Xcite Energy Limited
                  ("Xcite Energy" or the "Company")

                  Pre-production Flow Test Update

The Company is pleased to announce that the pre-production flow test is
progressing well.

Following the build-up and shut in test, the flow test has been
continued as planned, with a gradually increasing flow rate having been
undertaken during optimisation of process equipment, to the current
stabilised rate of approximately 2,900 barrels per day. This is viewed
as being well within the operational performance of the reservoir.

Bentley crude oil collected thus far in the Scott Spirit tanker is in
excess of 10,000 barrels.

ENQUIRIES:

Xcite Energy Limited                       +44 (0) 1483 549 063
Richard Smith (CEO) / Rupert Cole (CFO)
Oriel Securities (Joint Broker and Nomad)  +44 (0) 207 710 7600
Emma Griffin / Michael Shaw
Morgan Stanley (Joint Broker)              +44 (0) 207 425 8000
Andrew Foster
Pelham Bell Pottinger                      +44 (0) 207 861 3232
Mark Antelme / Henry Lerwill
Paradox Public Relations                   +1 514 341 0408
Jean-Francois Meilleur

Forward-Looking Statements

Certain statements contained in this announcement constitute
forward-looking information within the meaning of securities laws.
Forward-looking information may relate to the Company's future outlook
and anticipated events or results and, in some cases, can be identified
by terminology such as "may", "will", "should", "expect",
"plan","anticipate", "believe", "intend", "estimate", "predict",
"target","potential", "continue" or other similar expressions concerning
matters
that are not historical facts. These statements are based on certain
factors and assumptions including expected growth, results of
operations, performance and business prospects and opportunities. While
the Company considers these assumptions to be reasonable based on
information currently available to us, they may prove to be incorrect.
Forward-looking information is also subject to certain factors,
including risks and uncertainties that could cause actual results to
differ materially from what we currently expect. These factors include
risks associated with the oil and gas industry (including operational
risks in exploration and development and uncertainties of estimates oil
and gas potential properties), the risk of commodity price and foreign
exchange rate fluctuations and the ability of Xcite Energy to secure
financing. Additional information identifying risks and uncertainties
are contained in the Company's annual information form dated 26 October
2010 and in the annual Management's Discussion and Analysis for Xcite
Energy dated 22 March 2012 filed with the Canadian securities
regulatory authorities and available at  www.sedar.com . The Company
disclaims any intention or obligation to update or revise any
forward-looking statements whether as a result of new information,
future events or otherwise, except as required under applicable
securities regulations.

Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.







                    This information is provided by RNS
          The company news service from the London Stock Exchange

END