Permian Basin E&P Ring Energy’s borrowing base has been reaffirmed at $600 million under its $1 billion senior revolving credit facility.
An undisclosed number of banks led by Truist Financial Corp. made the reaffirmation, meaning Ring has access to $600 million in loans from the banks based on its $1 billion in assets.
Ring CEO Paul D. McKinney said the reaffirmation is another step in growth of The Woodlands, Texas-based company.
“We appreciate our banking group’s continued support as we execute on our initiatives designed to further strengthen the balance sheet, prudently grow the business, and enhance operational and development efficiencies,” McKinney said.
There are no changes in the terms, and the next regularly scheduled bank redetermination is scheduled for the fall of 2023.
Ring Energy mostly uses horizontal drilling wells and has assets in the Permian Basin’s Northwest Shelf and Central Basin Platform. Ring acquired Stronghold Energy II in 2022. Ring has $348.8 million in revenues, $216.2 million in cash from operations and $425.4 million in total debt, according to Seeking Alpha.
Recommended Reading
E&P Highlights: May 20, 2024
2024-05-20 - Here’s a roundup of the latest E&P headlines, including development of the Belinda Field in the North Sea to new contract awards and service company acquisitions.
Permian Recycling Facility Passes 50 MMbbl of Water Recycling
2024-05-20 - Occidental Petroleum and Select Water Solutions have collaborated on water treatment and recycling at the site since 2021.
Seatrium Awarded Contract for FPSO Bound for Guyana’s Stabroek
2024-05-17 - The topsides fabrication and integration contract will be for the FPSO Jaguar, bound for the Whiptail Field in the Stabroek block offshore Guyana for Exxon Mobil.
Third Suriname Find for Petronas, Exxon Could Support 100,000 bbl/d FPSO
2024-05-17 - A recent find offshore Suriname in Block 52 by Petronas and Exxon Mobil could support a 100,000 bbl/d FPSO development, according to Wood Mackenzie.
US Drillers Add Oil, Gas Rigs for First Time in Four Weeks: Baker Hughes
2024-05-17 - The oil and gas rig count rose by one to 604 in the week to May 17.