Delphi Energy entered into a new $80 million credit facility with Alberta Treasury Branches as syndicate lead. The Bank of Nova Scotia is part of the lender group.
The new arrangement will provide Delphi with an $80 million senior secured revolving credit facility that will be available on a fully revolving basis until May 31, 2017. ATB and Scotia have collectively committed to the new credit facility subject to the finalization of documentation.
Definitive credit agreements are expected to be signed before mid-January 2017, at which time the company’s existing credit facility will be repaid in full and terminated. As a result of the previously announced strategic transaction, the company’s current $85 million borrowing base will be reduced by $5 million.
Calgary-based Delphi Energy is a producer of liquids-rich natural gas.