ProPetro extended its existing asset-based loan facility to a five-year term with a reduction of commitments from $300 million to $150 million. The amended ABL will extend the maturity from 2023 to 2027 and, through updated advance formulas and other provisions, provide enhanced availability with improved pricing. No advances under the amended ABL are currently outstanding.
“We are very pleased with the continued support from our financial partners with Barclays, along with other participants in the ABL, namely, JPMorgan Chase, Goldman Sachs and, a new entrant to our facility, Bank of America,” David Schorlemer, CFO of ProPetro, said. “Extending the maturity to 2027 is comforting knowing that these bulge-bracket financial institutions are helping to support our efforts in providing reliable energy services to our industry. Reducing the commitments is also consistent with our passion for capital efficiency with the resources we employ. The reduced ongoing commitment fees and interest expense along with the improved availability are a win-win for ProPetro. We believe this facility, along with our working capital and cash flow from operations, will provide strong liquidity to support ProPetro into the future.”
