Kosmos Energy has refinanced its reserve-based lending (RBL) facility, extending its maturity by three years, according to an April 29 press release.
With final maturity set for December 2029, the RBL facility’s size has been increased by about 8% to $1.35 billion from $1.25 billion, with current commitments of approximately $1.2 billion.
Kosmos said $800 million is currently drawn against the facility with the first amortization payment scheduled for April 1, 2027.
“Re-financing the RBL facility is another important step to optimize Kosmos’ capital structure and proactively address our debt maturities,” said Kosmos’ CFO Neal Shah. “With the re-financing of the RBL and the recent convertible bond issuance, we have no maturities until 2026 and lower interest expense going forward.”
The RBL facility is secured against the company’s production assets in Ghana and Equatorial Guinea, Kosmos said.
Kosmos said the borrowing base “significantly” exceeds the facility’s size while the interest margin payable on the RBL increased slightly compared to the previous facility.
As part of the refinancing, the company has downsized its revolving credit facility to $165 million from $250 million. The revolver is anticipated to mature at the end of 2024.
RELATED
Recommended Reading
Ohio Utica’s Ascent Resources Credit Rep Rises on Production, Cash Flow
2024-04-23 - Ascent Resources received a positive outlook from Fitch Ratings as the company has grown into Ohio’s No. 1 gas and No. 2 Utica oil producer, according to state data.
Deepwater Roundup 2024: Offshore Africa
2024-04-02 - Offshore Africa, new projects are progressing, with a number of high-reserve offshore developments being planned in countries not typically known for deepwater activity, such as Phase 2 of the Baleine project on the Ivory Coast.
NOV Announces $1B Repurchase Program, Ups Dividend
2024-04-26 - NOV expects to increase its quarterly cash dividend on its common stock by 50% to $0.075 per share from $0.05 per share.
Technip Energies Wins Marsa LNG Contract
2024-04-22 - Technip Energies contract, which will will cover the EPC of a natural gas liquefaction train for TotalEnergies, is valued between $532 million and $1.1 billion.
Pemex Reports Lower 2Q Production, Net Income
2024-05-03 - Mexico’s Pemex reported both lower oil and gas production and a 91% drop in net income in first-quarter 2024, but the company also reduced its total debt to $101.5 billion, executives said during an earnings webcast with analysts.