Energy Partners acquires Gulf oil properties
Ideal fit with acquired reserves of 8.1 Mmboe, 84% oil and 76% proved developed.
Acquisition funded by $210 million 8.25% Senior Notes due 2018.
New $250 million credit facility with $150 million of undrawn revolving capacity
Energy Partners, Ltd. (NYSE:EPL) (“EPL” or the “Company”) announced today the closing of three transactions, including the acquisition of oil-weighted Gulf of Mexico shelf properties, closing of $210 million of 8.25% senior Notes due 2018 used to fund the acquisition and entry into a new $250 million credit facility with $150 million of undrawn revolving capacity.
Gary Hanna, EPL’s CEO commented, “The acquired properties are an ideal fit with our existing legacy assets, adding three oil-weighted complexes that are operationally easy to integrate. These centrally located, shallow water fields complement our core assets with high quality, low cost recompletion opportunities with the added benefit of upside drilling potential. Post transaction, our debt metrics remain well below our peer group, our cost of capital is low and we have enhanced our liquidity through our expanded but unused new credit facility.”
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