S&P gives Whiting Petroleum notes BB-

S&P said it assigned a BB- issue-level rating to Whiting Petroleum Corp.'s new $750 million senior unsecured notes maturing in 2026.

The 4 recovery rating reflects an expectation of average (30%-50%; rounded estimate: 35%) recovery in the event of a default.

Proceeds from the issue, along with the availability under its credit agreement, will be used to redeem all of its 5% senior unsecured notes due 2019.

The BB- issue-level rating on Whiting's remaining senior unsecured notes and the 4 recovery rating remain, as well as the BB- corporate credit rating and stable outlook.

The BB+ issue-level rating and 1 recovery rating on the company's senior secured debt are also unchanged. The 1 recovery rating indicates very high (90%-100%, rounded estimate: 95%) recovery to creditors in the event of default.

S&P said the rating on Whiting reflects an assessment of the company's mid-sized reserve base and Rocky Mountain region focus, relatively high sensitivity to changes in the oil price and adequate liquidity.

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