Wells Fargo Agents Oasis Petroleum Facility Increase
Oasis Petroleum announced that it entered into a second amended and restated credit agreement with its bank syndicate, led by Wells Fargo Bank as administrative agent. The lenders under the company’s revolving credit agreement completed their regular semi-annual redetermination of the borrowing base, resulting in an increase to the borrowing base from $750 million to $1.25 billion.
As part of the amendment, the overall credit facility increased from $1 billion to $2.5 billion.
However, the company elected to limit the lenders’ aggregate commitment to $900 million. The lenders’ aggregate commitment can be increased to the full $1,250 million borrowing base by increasing the commitment of one or more lenders.
Additionally, Oasis added four new lenders to the bank group. As of March 31, 2013, Oasis had no outstanding indebtedness under its revolving credit facility, and it had $2.2 million of letters of credit, which reduce the borrowing capacity of the revolving credit facility. The next redetermination of the borrowing base is scheduled for October 1, 2013.
Oasis is an independent exploration and production company focused on the acquisition and development of unconventional oil and natural gas resources.