TOMPC LLC and TOM-STACK LLC, subsidiaries of Tall Oak Midstream LLC, each closed a $75 million senior secured credit facility, the parent company said June 24. The facilities can expand to $100 million, and they closed on June 23.
Tall Oak’s total debt capacity is now $200 million, and this amount, with $700 million in previous private-equity commitments, brings the total financing capacity for Tall Oak I and Tall Oak II funds to $900 million. These other commitments came from private-equity firm EnCap Flatrock Midstream and Tall Oak’s founders.
The new TOMPC credit facility replaces an earlier one set to mature Oct. 14. It will support planned expansions to the natural gas gathering and processing system in the central-northern Oklahoma Woodford play.
The new TOM-STACK credit facility will help fund construction of the crude oil gathering and transportation system in the Stack play, and the buildout of the gas gathering and processing system in the play.
Both new facilities mature on Sept. 30, 2016, Tall Oak said.
Capital One NA led six banks for each credit facility as administrative agent. Capital One Securities, BBVA Compass and BancFirst were joint lead arrangers. Amegy Bank NA was documentation agent. Bank of Oklahoma and KeyBank also participated, Tall Oak added.
Paul Hastings LLP was Tall Oak’s legal counsel. Sidley Austin LLP advised the underwriters.
Tall Oak Midstream LLC is based in Oklahoma City.
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