RNS just released from Xcite Energy that it is getting another £5 million from the SEDA (Standby equity drawdown agreement) with Yorkville. No sign of that CPR RNS that we have all been waiting for. Incredible to think that the Xcite share price was where it is today before the December 2010 flow test, which was a break or break for the Bentley field. Mmmm...
23 February 2011
THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO THE UNITED STATES
TSX-V, LSE-AIM: XEL
23 February 2011
Xcite Energy Limited
("Xcite Energy" or the "Company")
Drawdown on Equity Line
Xcite Energy announces that it has drawn down on its Standby Equity Distribution Agreement ("SEDA") with YA Global Master SPV Ltd ("Yorkville") in the amount of GBP5 million (CAD$7.975 million). This draw down has been undertaken at a price of GBP3.38 (CAD$5.40) per share and will result in the issue of 1,480,754 ordinary shares of no par value in the capital of the Company (the "New Ordinary Shares") to Yorkville.
Subject to the terms of the SEDA and except in accordance with Canadian securities laws and with prior written approval of the TSX Venture Exchange, the shares issued to Yorkville under this draw down may not be sold or otherwise traded on or through the facilities of the TSX Venture Exchange or otherwise in Canada or to or for the benefit of a Canadian resident until the date that is four months and one day from the date of issue.
Application will be made for the admission to AIM ("Admission") of the New Ordinary Shares upon approval of the share issue by the TSX Venture Exchange. The New Ordinary Shares will rank pari passu with the Company's existing issued Ordinary Shares.
My heart leapt into my mouth this morning when I had an email with the subject line "New XEL RNS alert!" - not the one we were expecting, but no doubt it will be with us soon. I've taken advantage of the drift and placed a spread bet.
ReplyDeleteThe CPR is any day now. I was told it was this week but early March is my prediction. By all accounts nothing to worry about. But the key question is 200mm barrels, 250 mm barrels or higher. I am amazed that XEL fell quite so low, but good opportunity to top up that's for sure. The market makers know how to spook the "sheep", its not hard!!
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