Following
September 30, 2023 , the Company agreed on a three-year
$369.0 million term credit facility agreement with its syndicate of lenders (the "
Term Facility "). Concurrently with the new Term Facility agreement, the Company has also amended and extended the existing
$900.0 million Credit Facility. The maturity date of the Credit Facility has been extended for three years to
October 2026 . The Company now expects the blended interest rate between the Term Facility and Credit Facility for the fiscal year 2024 to be
approximately eight percent.
The Credit Facility was classified as a current liability during the third quarter and will be reclassified to long term as well as a portion of the Term Facility in the fourth quarter. The Senior Notes will be redeemed during the fourth quarter of 2023.
Interest rate not that high. Well within convenants.
| The Credit Facility | | | | |
| Total Debt to Consolidated EBITDA 1 | ≤ 5.00 | | | 2.57 |
| Consolidated EBITDA to Consolidated Interest Expense 1,2 | ≥ 2.50 | | | 3.81 |
| Consolidated Senior Debt to Consolidated EBITDA 1,3 | ≤ 2.50 | | | 1.39 |
Cash flow of 65 cents (4X stock price) last quarter and $1.93 (1.35 stock price) for 9 months. Not that past revenue indicates future revenue ........ but "Into 2024, the Company expects positive oil prices to support anticipated relatively steady oilfield services activity in order to maintain or potentially grow production, especially so in consideration of well productivity declines and low drilled but uncompleted ("
DUC ") well inventory in certain producing areas."