ROK Resources divests to eliminate 90% of senior term debt

Chicago, March 23 – ROK Resources, Inc. is using proceeds in the amount of C$47.25 million from the divestment of its Weyburn unit to eliminate 90% of its outstanding senior term debt, according to a press release.

The divestment is part of the company’s strategy to sell significant non-core, non-operated assets and to focus on core properties.

The debt paydown will result in interest savings of approximately C$5.8 million.

By June, the company’s senior term is expected to be paid off entirely.

Reported in January, the company received a C$75 million senior secured loan facility for acquisitions.

The loan broke down into a C$52.5 million term loan and a C$22.5 million revolver.

ROK Resources, based in Regina, Sask., primarily engages in exploring for petroleum and natural gas in Saskatchewan.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.