- Gran Tierra Energy (GTE) has announced a new credit facility of up to US$150 million
- The facility, with Trafigura, has a final maturity date of August 15, 2024
- The facility includes an initial commitment of US$100 million with a potential option of up to an additional US$50 million
- Repayment of the new credit facility will be made by way of deductions of the price payable by Trafigura for crude oil delivered by Gran Tierra
- Gran Tierra Energy is an independent international energy company
- Gran Tierra Energy Inc. (GTE) opened trading at C$1.25
Gran Tierra Energy (GTE) has announced a new credit facility of up to US$150 million.
The facility, with Trafigura, has a final maturity date of August 15, 2024, which may be extended to February 18, 2025 if certain conditions are met.
Highlights:
- An initial commitment of US$100 million with a potential option of up to an additional US$50 million
- The loan is secured by the economic rights over certain contracts together with Gran Tierra’s Colombian commercial establishment
- Interest payable on the facility is based on a SOFR risk-free rate plus a margin of 6.00 per cent per annum.
Trafigura will purchase crude oil from Gran Tierra’s producing fields located in Colombia. Repayment of the new credit facility will be made by way of deductions of the price payable by Trafigura for the crude oil delivered under such contracts.
Ryan Ellson, Chief Financial Officer of Gran Tierra, commented on the news.
“We are very pleased to have successfully closed a new credit facility with Trafigura. In conjunction with our strong operating cash flows and $109 million of cash on hand at June 30, 2022, the new facility will provide the Company with additional liquidity and financial flexibility.”
Gran Tierra Energy Inc. together with its subsidiaries is an independent international energy company currently focused on oil and natural gas exploration and production in Colombia and Ecuador.
Gran Tierra Energy Inc. (GTE) opened trading at C$1.25.