Forest Oil to repay U.S. credit facility with asset sale proceeds

By Sara Rosenberg

New York, Nov. 30 - Forest Oil Corp. plans to repay the entire balance under its U.S. credit facility using proceeds from the sale of its Permian Basin assets to SandRidge Energy Inc. for $800 million, according to a news release.

In addition, the company plans to repay a significant portion of the remaining balance under its Canadian credit facility with proceeds from the sale of non-core Canadian assets.

As of Nov. 30, the company had $294 million borrowed under its combined credit facilities.

The company estimates that its combined borrowing base will exceed $1.2 billion pro forma for these transactions.

Forest Oil is a Denver-based acquirer, explorer, developer and producer of natural gas and liquids.

© 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.