Parsley Energy Inc. launched a $400 million private debt offering on Feb. 6, according to a company news release.

Subsidiaries of the Austin, Texas-based oil and gas producer, Parsley Energy LLC and Parsley Finance Corp., commenced the offering of senior unsecured notes due 2028 to eligible purchasers. The 2028 notes, which are priced at par, will pay interest at an annual rate of 4.125%.

Proceeds from the offering will be used to redeem the company’s 2024 notes at a redemption price of 104.688%, plus accrued and unpaid interest to the redemption date. The redemption will be conditioned on the completion of the notes offering.

Parsley operates in the Permian Basin with positions in the Midland and Delaware sub-basins where it plans to deploy 15 development rigs and four-to-five frac spreads on average in 2020.