SunTrust Robinson Humphrey served as lead on $800 million in debt facilities for WaterBridge Resources subsidiary WaterBridge Operating.
The facilities included a $600 million term loan A, $400 million of which will be drawn at close and a $200 million delayed draw tranche, both of which added additional financing to Waterbridge’s existing $200 million revolving credit facility
Overall, fifteen financial institutions participated in the facility syndicate.
WaterBridge will use the initial term loan A proceeds to repay outstanding indebtedness under its revolver and to fund the acquisition of water infrastructure assets in Pecos, Reeves and Wardand Winkler counties, TX, from Halcón Resources. The acquisition included over 60 miles of water gathering pipelines, ten disposal wells with total permitted capacity of 120,000 bpd, freshwater wells and water recycling facilities
“As our Delaware basin customers further evolve their well completion techniques, resulting in higher IPs and EURs, we continue to expand our asset base to meet their growing capacity needs,” says Stephen M. Johnson, founder, president and CEO of WaterBridge. “The WaterBridge team remains focused on improving and increasing our unique infrastructure footprint to better serve Delaware producers current and future requirements.”
Bracewell represented WaterBridge on the debt facilities. Porter & Hedges represented WaterBridge on the Halcón transaction.
WaterBridge Resources is a portfolio company of private equity firm Five Point Energy that develops, owns and operates permanent, integrated water infrastructure networks to address the long-term produced water management requirements of E&P companies.
