UK: XER, Teekay Ink LoI for Provision of Shuttle Tanker

Xcite Energy announces that its 100% subsidiary, Xcite Energy Resources Limited (“XER”), has signed a letter of intent (“LoI”) with Teekay Shipping Norway AS (“Teekay”) for the provision of a shuttle tanker for the forthcoming Phase 1A of the Bentley field development programme.

The LoI anticipates that XER and Teekay will enter into a definitive agreement for one of Teekay’s dynamically positioned shuttle tankers within three months, following which the shuttle tanker is expected to be used as the in-field storage and offtake facility for Bentley crude oil from the Phase 1A production.

Commenting on today’s announcement, Exploration and Development Director, Steve Kew said:

“We are pleased to have secured a storage and offtake vessel, which will play a key part in Phase 1A and first oil from the Bentley Field. As another important step in the overall planning for the field development, it also serves to highlight the concurrent activity that is underway whilst we await the necessary approvals from DECC.”