Tullow Oil plc has announced that it has completed the refinancing of US$2.5 billion of Reserves Based Lending (“RBL”) credit facilities.
The US$2.5 billion of credit facilities are split between a commercial bank facility of US$2.4 billion and an IFC facility of US$100 million. The fully committed facilities are revolving with a three-year grace period and final maturity of November 2024.
The transaction, which was formally launched in early October following the resolution of the Ghana – Cote d’Ivoire border dispute, was materially over-subscribed and extends the maturity of the Group’s existing RBL credit facilities.
Tullow has also decided to reduce the commitments of its Revolving Corporate Credit Facility to US$600 million from US$800 million, ahead of the scheduled amortisation in January 2018.
Following the refinancing of the RBL credit facilities and the reduction of the Revolving Corporate Credit Facility, Tullow has total headroom including free cash of US$0.9 billion with no material near-term debt maturities.
Source: Africafeeds.com / Fred Dzakpata
