VAALCO Energy, Inc. Enters Into New $300 Million Revolving Credit Facility
Summary
HOUSTON, March 05, 2025 (GLOBE NEWSWIRE) -- VAALCO Energy, Inc. (NYSE: EGY; LSE: EGY) (Vaalco or the Company) announced that it has entered into a new revolving credit facility (the new facility) with an initial commitment of $190 million and the ability to grow to $300 million, led by The Standard Bank of South Africa Limited, Isle of Man Branch with other participating banks and financial partners. The Company arranged the new facility primarily to provide short-term funding that may be needed from time-to-time to supplement its internally generated cash flow and cash balance as it executes its planned investment programs across its diversified asset base over the next few years. Six-year term with facility amortization to begin on September 30, 2026; Initial commitment of $190 million with the ability to grow to $300 million through a $110 million accordion; Amounts drawn bear interest of 6.5% plus SOFR until the C\xf4te dIvoire Floating Production Storage and Offloading vessel ("FPSO") Dry Dock Refurbishment Project is completed; Interest rate will decrease to 6.0% plus SOFR once the FPSO project is completed; Undrawn available amounts incur a fee of 35% of margin per annum and undrawn unavailable amounts incur a fee of 20% of margin per annum, with semi-annual borrowing base redeterminations; andClosing this new credit facility will supplement our internally generated cash flow and cash balance to assist in funding our robust organic growth projects, said George Maxwell, Vaalcos Chief Executive Officer. We appreciate the support shown by our lending group which we believe affirms the strength of our diverse asset base. Other participants include Rand Merchant Bank, The Mauritius Commercial Bank Limited and Glencore Energy UK Ltd.About VaalcoVaalco, founded in 1985 and incorporated under the laws of Delaware, is a Houston, Texas, USA based, independent energy company with a diverse portfolio of production, development and exploration assets across Gabon, Egypt, C\xf4te dIvoire, Equatorial Guinea, Nigeria and Canada.Forward Looking StatementsThis press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the Securities Act) and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created by those laws and other applicable laws and may also include forward-looking information within the meaning of applicable Canadian securities law (collectively "forward-looking statements").