LONDON (Alliance News) - Xcite Energy Ltd on Thursday said the UK Department of Energy & Climate Change has extended its P.1078 licence containing the Bentley field in the UK northern North Sea until June 30, 2017.
Xcite said the licence extension will assist its subsidiary Xcite Energy Resources PLC's process to secure the financing required for the approval of its Bentley field development plan and to repay its outstanding senior secured bonds, which are due for repayment by June 30, 2016.
Xcite added that after completing a cost review of the development plan, it now expects development costs to be reduced to around USD30 per barrel.
"We are continuing to make progress and we remain focused on delivering a funded first phase field development plan, including repayment of the outstanding bonds. We still have a lot of work to do, but our objectives of reducing execution risk, working collaboratively and developing a fit-for-purpose, economic and efficient development concept has been critical to generate the support we need for our financing process," Chief Executive Rupert Cole said in a statement.
Shares in Xcite were trading up 1.6% at 12.57 pence on Thursday morning.
By Karolina Kaminska; karolinakaminska@alliancenews.com @KarolinaAllNews
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