Xcite Energy closes second stage of private placing

Oil and gas producer Xcite Energy has closed the second stage of its private placing with Global Resource Funding Partners, with which it has placed 12.5m units rather than the orginally planned 10m.

The overall number of units placed is now 32.5m, prividing the company with gross proceeds of around £8.3m. The placing will occur in three stages.

Each unit comprises one ordinary share in the capital of the company and one-half of one ordinary share purchase warrant. Each warrant is exercisable for one additional share at 120% of the unit price per share for three years from the date of issue.

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The firm also said the the pre-production flow test is progressing well, with a gradually increasing flow rate having been undertaken during optimisation of process equipment, to the current stabilised rate of around 2,900 barrels per day. Bentley crude oil collected so far in the Scott Spirit tanker is in excess of 10,000 barrels.

The share price fell 0.32% to 77.50p by 11:05.

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