Deutsche Bank Trust Agents Meritage Midstream $125MM Revolver
Meritage Midstream Services II announced that it has entered into a $125 million revolving credit facility with a $50 million accordion feature that allows Meritage to increase the credit commitment to $175 million.
The credit facility has a three-year term and will be used to support Meritage Midstream’s growth strategy and expanding footprint of midstream assets in Wyoming’s Powder River Basin.
Four banks participated in the financing arrangement, which closed on January 31, 2014. Deutsche Bank Trust Company Americas acted as administrative agent. Deutsche Bank AG, Citibank, Royal Bank of Canada and The Royal Bank of Scotland acted as joint lead arrangers and lenders.
“We are pleased with the size of the commitment our group of banks made to Meritage and welcome them all to our new credit facility. The level of participation of each bank allowed us to move quickly with this financing and provides us with additional capital to execute our growth strategy. It also gives us a strong platform for future syndications,” said Meritage Midstream chairman and CEO Steven B. Huckaby. “This transaction will support the significant growth our subsidiaries are experiencing in the Powder River Basin. We are continuing to build out a large footprint of assets to provide oil and gas producers with comprehensive services that include natural gas gathering and processing; NGL transportation; crude oil gathering; terminal service for crude oil and frac sand; and crude oil marketing.”
Golden, CO-based Meritage Midstream provides oil and gas producers with a full complement of midstream services.