HOUSTON, TEXAS (Editors at Energy Analytics Institute, 29.Jan.2025) — W&T Offshore, Inc. closed its previously announced offering of $350mn on 28 Jan. 2025 for an aggregate principal amount of 10.750% Senior Second Lien Notes due 2029 at par.
The transaction was a private offering exempt from registration under the Securities Act of 1933, as amended, and receipt of proceeds from a previously-announced insurance settlement.
In conjunction with the notes issuance, W&T entered into a credit agreement which provides it with a revolving credit facility of $50mn, the company said 29 Jan. 2025 in an official statement.
- Closed $350mn of Notes;
- Lowered the interest rate from the previous 11.750% Senior Second Lien Notes due 2026 by 100 basis points;
- Repaid $114.2mn outstanding under the term loan provided by Munich Re Risk Financing, Inc., as lender;
- Entered into a new credit agreement for a $50mn revolving credit facility through Jul. 2028 that is undrawn and replaces the previous credit facility provided by Calculus Lending, LLC; and
- Received in cash $58.2mn of the previously announced $58.5mn insurance settlement related to the Mobile Bay 78-1 well, with the remainder expected shortly, which further bolsters W&T’s balance sheet.
____________________
By Editors at Energy Analytics Institute. © 2025 Energy Analytics Institute (EAI). All Rights Reserved.