Kimbell Royalty Partners, an owner of oil and natural gas mineral and royalty interests in more than 127,000 gross wells across 28 states, increased the borrowing base and total commitments under the company’s revolving credit facility. In connection with the Fall 2023 redetermination under the senior secured reserve-based revolving credit facility, the borrowing base and aggregate elected commitments increased from $400 million to $550 million, an increase of 37.5%.
At September 30, 2023, Kimbell had outstanding borrowings of $310.4 million under its revolving credit facility and $89.6 million of undrawn capacity. If the increases in the borrowing base and commitments had been effective on Sept. 30, 2023, the company’s undrawn capacity under the revolving credit facility would have been $239.6 million.
“We are pleased with the increased borrowing base and commitments under our revolving credit facility, which enhances Kimbell’s flexibility and liquidity,” Davis Ravnaas, president and chief financial officer of the company’s general partner, said. “We received unanimous support from our existing lenders, and Kimbell expanded its bank syndicate from 10 to 14 lenders. I’d like to thank our banking partners for their continued support, and for playing a key role in facilitating our significant growth over the last year.”
According to an 8-K filed by the company, Citibank acted as administrative agent and led a syndicate of lenders to increase this facility.