RE:RE:RE:RE:RE:RE:Encouraging Well 300k is pretty much nothing. So is 1 million in this business for that matter when wells are 4 million per.
The trend seems to be combining term debt plus an RBL and maybe a debenture with some warrants as well. The only ongoing renewals being the RBL.
laddered maturities and amortizing term debt - With most of the the bank lines carrying near zero balances.
Surge and Bonterra are the most recent examples.
the companies probably need debentures and term debt to interest the brokerage houses in making deals. Notice all the transactions around companies organized like that.
The banks must love having debt coverage ratios at half of an already low number. Money for nothing and the FEES for Free.