PROVIDENCE AGREES $250 MILLION REVOLVING CREDIT FACILITY WITH
MACQUARIE BANKRevolving Line of
Providence Resources P.l.c. ('Providence') is very pleased to
announce that it has agreed a US $250 million Senior First Lien
Secured Revolving Line ,000,000Senior First Lien Secured Revolving
Line (Tony, sounds painful - can we simply the description?) of of
Credit Facility ('Facility') with Macquarie Bank Limited
('Macquarie'). This new Facility will refinance and re--place the ¤50
,000,000 million Revolving Line of Credit Facility agreed between
Providence and Macquarie in February 2006.
Under the terms of the Facility, US $25 million will be made
available at Closing to supply general working capital, fund the
balance of the Singleton acquisition and to provide funds to drill
and complete wells on existing assets. The remaining US $225 million
will be made available, at Macquarie's discretion and subject to the
terms of the Facility, to fund oil and gas acquisitions, investments
and development opportunities as they arise. The Facility has a term
of 5 years to December 2012, replacing the current financing
facility, which was due to mature in April 2010.
Speaking today on the new Facility, Tony O'Reilly Junior, Chief
Executive of Providence Resources P.l.c., said:, commented:
"This new, upgraded and extended Credit Ffacility is great
fantasticnews for Providence and its shareholders. It demonstrates
Providence's solid realcorporate growth over the past two2 years and
it provides the Company with a more veryflexible and substantive
Credit Facility going forward., which will take us to the next stage
of our development.
"The provision of this new Facility is particularly encouraging at a
time when potential investment opportunities are numerous and the
general credit market is extremely tight with limited financing
lines. This Facility will allow Providence to move quickly on
production and development opportunities, in line with our stated aim
to increase our daily oil production rates. We are delighted to be
further strengthening our relationship with Macquarie Bank Limited."
Contacts:
Providence Resources P.l.c. Tel: +353 1 219 4074
Tony O'Reilly Jnr., Chief Executive
Powerscourt Tel: +44 (0) 207 250 1446
Rory Godson/Marie Cairney
Murray Consultants Tel: +353 1 498 0300
Pauline McAlester/Robert Marshall
Notes to Editors
About Providence
Providence Resources P.l.c. is an independent oil and gas exploration
company listed on the AIM market in London and on Dublin's IEX
market. The Company was founded in 1997, but with roots going back to
1981 when it predecessor company, Atlantic Resources Plc was formed
by a group of investors led by Sir Anthony O'Reilly.
Providence's active oil and gas portfolio includes interests in
Ireland (offshore), the United Kingdom (onshore and offshore), the
United States (offshore) and West Africa (offshore Nigeria).
Providence's portfolio is balanced between production, appraisal and
exploration assets, as well as being diversified geographically.
Comprehensive information on Providence and its oil and gas
portfolio, including all press releases, annual reports and interim
reports are available from Providence's website at
www.providenceresources.com.
About Macquarie
The Macquarie Group is a diversified international provider of
banking, financial, advisory and investment services with over 11,000
people in 25 countries. Macquarie Bank is a leading provider of debt
and equity capital for the oil and gas industry. From offices in
London, Houston and Sydney, Macquarie's Energy Capital Division
provides oil and gas borrowing base revolvers, structured and project
finance, corporate restructurings and recapitalisations, mezzanine
and subordinated debt and equity capital. The Division also provides
tailored commodity price risk management for energy companies.
About the Facility
Amount: ` US $ 250,000,000
Availability at Closing: US $ 25,000,000
Availability (subject to Macquarie approval) US $ 225,000,000
Type: Senior First Lien Secured Revolving Line of Credit Facility
Term: 60 Months (maturity December 2012)
Interest: Standard variable rate (LIBOR) + margin
Repayment: Revolver; 6 monthly Borrowing Base reviews; no penalty for
pre-payment
Security: As agreed between the parties
---END OF MESSAGE---
|
