Xcite Energy (LON:XEL, CVE:XEL) says it remains ‘flexible and innovative’ as it continues to pursue funding solutions for the development of the Bentley heavy oil field in the North Sea.
Three years on from the high profile pre-production well testing programme at Bentley the company is trying to secure funds to develop the field.
What already appears to have been a slow sell has been further compounded by collapsing crude oil prices and risk averse capital markets for commodity plays.
Xcite, in today’s interim results, noted that the industry environment remained challenging and highlighted that the low oil price has seen some projects in sector being deferred and an increasing number of North Sea assets had been put up for sale.
Nevertheless, Xcite said it believes it is making progress.
The company told investors that technical due diligence continues with a number of potential field development partners.
It also says it is in active dialogue with the UK regulator, the Oil & Gas Authority, in regards to the technical approach for Bentley, to ensure the plans are compliant with government policy.
In terms of financials, Xcite, a pre-revenue company, reported a US$0.4mln net loss for the six months to the end of June 30. It ended the period with US$34.4mln of cash.