| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers G > Headlines for Gran Tierra Colombia Inc. > News item |
Gran Tierra downsizes, extends availability of facility to December
By William Gullotti
Buffalo, N.Y., Sept. 19 – Gran Tierra Energy Inc. extended the availability period of its credit facility with Trafigura PTE Ltd. to Dec. 31 on Tuesday, according to an 8-K filed with the Securities and Exchange Commission.
The amended facility has the parent company acting as guarantor, with Gran Tierra Energy Colombia GmbH (formerly Gran Tierra Energy Colombia, LLC) and Gran Tierra Operations Colombia GmbH (formerly Gran Tierra Colombia Inc.) as borrowers.
In addition to extending the availability period, the amended facility’s borrowing capacity was halved to $50 million. The option for an additional $50 million was maintained.
The amended facility continues to be secured by the same collateral, bear the same interest rate and commitment fee and be subject to the same repayment through crude oil payment offsets as in effect prior to the amendment.
As previously reported with the initial facility, interest is SOFR plus 600 basis points.
The maturity date remains Aug. 15, 2024 but can be extended to Feb. 18, 2025 if certain conditions are met.
Security for the loan comes from economic rights over certain contracts together with Gran Tierra’s Colombian commercial establishment.
As of Sept. 19, the facility remained undrawn.
As previously reported with the company’s related commencement of exchange offers and consent bids for $271,909,000 outstanding 6¼% senior notes due 2025 (Cusip: 38502HAA3, G4066TAA0) and $300 million outstanding 7¾% senior notes due 2027 (Cusip: 38502JAA9, U37016AA7), company said it expects to draw $50 million under the amended facility to finance a portion of the cash consideration for the exchange of the 2025 notes tendered on or prior to the early participation deadline.
Gran Tierra Energy is an oil and natural gas exploration and production company based in Calgary, Alta.
© 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.