Fitch rates Deutsche Erdoel BB

Fitch Ratings said it assigned DEA Deutsche Erdoel AG a long-term foreign currency issuer default rating of BB with a stable outlook.

Fitch said the rating is supported by a diversified asset base in AAA-rated countries (mainly Germany and Norway), low cost of production and a clearly stated financial policy with net debt to EBITDAX capped at around 2 times to 2.5 times.

Deutsche Erdoel’s credit profile is constrained by mature assets in Europe, where production decline is yet to be arrested, and size of production.

The agency said it deconsolidates oil and gas output from the West Nile Delta (WND) reservoir in Egypt from Deutsche Erdoel’s financial profile because the company plans to project finance its stake.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.