Citibank Leads PostRock Facility Increase
PostRock Energy announced that its revolving credit facility was increased to $115 million based on mid-year reserves. This represents a $20 million increase in the company’s borrowing base.
The credit facility syndicate, which is led by Citibank, includes Cadence Bank, Compass Bank and OneWest Bank as co-agents, and Texas Capital Bank as a participant.
As of October 29, 2013, PostRock had $88.5 million drawn under the credit facility and $1.3 million in letters of credit outstanding, resulting in $25.2 million of available liquidity.
Terry W. Carter, PostRock’s president and CEO, said, “We are extremely pleased with the increase to our borrowing base. It is a further testament to the progress made on our development projects and the growth opportunities we believe lie ahead. We believe the facility, coupled with cash-flows from operations, will provide ample liquidity for our 2014 capital budget which we expect to finalize in mid-December.”
PostRock Energy acquires, explores, develops and produces oil and natural gas, primarily in the Cherokee Basin of Kansas and Oklahoma.