ABERDEENSHIRE, UNITED KINGDOM--(Marketwire - Sep 7, 2012) -

 NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART DIRECTLY OR INDIRECTLY IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION LSE-AIM, TSX-V: XEL 7th September 2012 Xcite Energy Limited ("Xcite Energy" or the "Company") Sale of Bentley Crude Oil and Flow Test Update - Sale of in excess of 135,000 barrels of Bentley crude oil - Pre-production flow test continuing in line with expectations Xcite Energy is pleased to announce that through the marketing and offtake agreement with BP Oil International Limited ("BPOI"), it has sold in excess of 135,000 barrels of Bentley crude to a major refining participant in the European market. Pricing of the Bentley crude was better than the Company's assumption of anticipated discount to Brent (modelled at 12%) for the conservative full field economics. The pre-production flow test continues to be conducted in line with the Company's expectations and is approaching the end of its planned programme. It is expected to be concluded within the next two weeks, with additional crude oil production in this period included as part of the sold cargo. Commenting on today's announcement Rupert Cole, Xcite Energy CEO, said:"We are extremely pleased with the progress of the flow test and the substantial amounts of data and information that is being gathered. We have also had a great outcome with the sale of this first cargo of Bentley crude, which has been priced at a comparable value to the expected full field production. BPOI has again provided us with excellent support in its role as marketing and offtake partner for the Bentley field." ENQUIRIES: Xcite Energy Limited +44 (0) 1483 549 063 Rupert Cole / Steve Kew 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 Management's Discussion and Analysis for Xcite Energy dated 25 July 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