XCITE Energy has reported a third quarter loss of £2.7 million, as the oil company announced it had completed the development partner line-up for the Bentley heavy oil field.

The company put the loss in the three months to September 30 down to unrealised foreign exchange losses arising from the strengthening US dollar.

North Sea-focused Xcite had made a £0.9 million profit at the same stage last year. Losses in the nine months ended September 30 were booked at £2.2 million, compared with a £9.2 million profit last year.

Xcite, which remains enthusiastic about Bentley's prospects in spite of falling oil prices, signed a memorandum of understanding with China Oilfield Services Limited this month to provide and operate a new-build, harsh environment, jack-up drilling rig in the field. It said the deal with China Oilfield Services completed the final role in the Bentley development group, which now consists of AMEC, Aibel, Arup, Baker Hughes, COSL and Teekay.

While the company said the development partner for the Bentley field east of Shetland was now in place, it is still in the process of raising finance to commercialise the venture.

It announced yesterday that it had raised US $140 million by issuing senior secured bonds and new equity share capital, while repaying US $80 million of unsecured loan notes.

Shares in Xcite closed up 1.5p, or 3.4 per cent, at 46p.