Pacific Drilling has entered into a $50 million first lien superpriority revolving credit agreement with Angelo Gordon Energy Servicer as administrative agent.
The company expects to use any future borrowings under the revolving credit agreement to finance working capital and capital expenditure needs.
The company’s obligations under the revolving credit agreement are guaranteed by all of the subsidiaries that guaranty the company’s 8.375% first lien notes due 2023 and 11.0/12.0% second lien pik notes due 2024.
The revolving credit agreement is secured by a sole first-priority lien on the company’s and the guarantors’ accounts receivable and a shared first-priority lien (with holders of the first lien notes), on all assets serving as collateral under such first lien notes, with a superpriority right to repayment ahead of other first lien holders in an enforcement action.
“We are pleased to partner with Angelo Gordon for this three-year $50 million facility. As we continue to see the market for high-specification drillships improve, this facility allows us the financial flexibility to take advantage of new opportunities,” said Pacific Drilling CEO Bernie Wolford.
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Pacific Drilling’s fleet of seven drillships represents one of the youngest and most technologically advanced fleets in the world
