Angus Energy considers potential $25 million global refinancing

By Mary-Katherine Stinson

Lexington, Ky., July 14 – Angus Energy plc entered a non-binding conditional term sheet with Aleph Commodities Ltd. in June for a loan facility of up to $25 million, according to a notice.

The facility, with a coupon of 15%, would have a tenor of 18 months extendable at the company’s option for a further 18 months.

The global refinance facility is expected to contain less onerous covenants than current facilities and would make allowance for the payment of dividends.

It is expected to also have improved financing terms, including the bullet repayment profile.

This facility would be intended to refinance the approximately £7.35 million outstanding under the company’s senior facility as well as the £3 million and £6 million bridge facilities.

The company has yet to reach a definitive agreement with the ultimate provider(s) of the funding for the facility. Due diligence and discussions remain ongoing and there can be no guarantee that the proposed facility will be made available.

Angus is also engaged in parallel discussions with another financial provider to provide pre-payments for the gas and restructuring of the hedges, which could be complementary or an alternative to the global refinancing facility.

London-based Angus Energy is an independent onshore oil and gas development company.

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