Pacific Rubiales Energy has received credit approval for an additional commitment of US $50 million from Bancolombia Panama S.A. under a previously announced senior secured revolving credit facility of up to US $250 million. This brings total commitments under the facility to US $230 million. Subject to the completion of required documentation, the company expects close on this additional commitment on or about May 28, 2009. The company has specified that it will only utilize that portion of the facility which it needs to meet its 2009 capital expenditure budget.
The facility is a senior secured revolving credit facility maturing on June 30, 2013, and bears interest at LIBOR plus 5.50%. The company will pay commitment fees of 1.50% on the unutilized portion of any outstanding commitments under the facility. Subject to customary acceleration events set out in the credit agreement executed among the parties, or unless terminated earlier by the company without penalty, repayment of outstanding principal on the facility will be made in equal quarterly installments following the second anniversary of the closing date.
The company is being advised on the financing by Endeavour Financial International Corporation.
Most Popular Articles