Tullow Oil plc (Tullow) has refinanced its US$500 million corporate revolving credit facility and has successfully increased the size of the facility to US$750 million and extended the tenor to April 2017.
The arrangement is a fully committed, secured and revolving credit facility and replaces the previous facility which was due to expire in November 2014. Mandated Lead Arrangers are Bank of America Merrill Lynch, BNP Paribas, Credit Agricole Corporate & Investment Bank, HSBC Bank, ING Bank, Natixis, Société Générale, Standard Chartered Bank, The Royal Bank of Scotland and Standard Bank.
Ian Springett, Chief Financial Officer, Tullow Oil plc, commented today: “This $750 million corporate facility forms an important piece of our debt capital structure which also includes $3.5 billion of reserve based lending facilities and $1.3 billion of senior notes, the second tranche of which was priced last week. We have taken advantage of currently strong debt markets to increase our bank commitments, further diversify our sources of funding and extend the maturity of our debt. With Tullow also benefitting from strong cash flow from production, the Company is well-financed with strong liquidity and considerable financial flexibility.”