Results of Annual and Special Meeting

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

TSX-V, LSE-AIM: XEL

May 20, 2011

Xcite Energy Limited

("Xcite Energy" or the "Company")

Results of Annual and Special Meeting

Xcite Energy is pleased to announce the results of its Annual and Special Meeting held on May 18, 2011.

The holders of ordinary shares of the Company approved the following matters at the Annual and Special Meeting:

(1) the reappointment of the following nominated directors to the board of directors of the Company and for them to continue in office in accordance with the Company's Articles of Association:

Richard E. Smith

Rupert E. Cole

Timothy S. Jones

The term of office as director of Roger S. Ramshaw, Gregory J. Moroney, Scott R. Cochlan and Stephen A. Kew continues in accordance with the Company's Articles of Association.

(2) the reappointment of BDO LLP as auditors for the ensuing year and the authorization for the directors of the Company to fix their remuneration.

(3) a resolution to ratify and confirm the Stock Option Plan of the Company dated September 26th, 2007, as amended on April 14, 2011.

(4) a resolution to ratify and confirm the Shareholder Rights Plan of the Company dated November 30th, 2010.

(5) a resolution to amend the Company's Amended and Restated Memorandum of Association and Articles of Association.

For further details, please see the management proxy circular dated April 14, 2011 available on www.sedar.com.

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.

Morgan Stanley which is authorised and regulated in the United Kingdom by the Financial Services Authority, is acting exclusively for Xcite Energy and for no one else in connection with the subject matter of this announcement and will not be responsible to anyone other than Xcite Energy for providing the protections afforded to its clients or for providing advice in connection with the subject matter of this announcement.

Oriel Securities which is authorised and regulated in the United Kingdom by the Financial Services Authority, is acting exclusively for Xcite Energy and for no one else in connection with the subject matter of this announcement and will not be responsible to anyone other than Xcite Energy for providing the protections afforded to its clients or for providing advice in connection with the subject matter of this announcement.