SOUTHERN PACIFIC RESOURCE CORP. Southern Pacific Resource Corp. announced that the company has completed an amendment to its existing credit facility in which the availability on the credit facility will be $85 million, with the $100 million borrowing base remaining in place. This arrangement is effective until May 31, 2014 which aligns with the expected timing of the strategic alternatives process.
It also allows for the company to continue with its previously announced capital expenditure program at STP-McKay to install Inflow Control Device configurations into two of the SAGD well pairs. Additionally, the previous restrictive EBITDA to Interest Expense Ratio and senior first lien bank debt to 12 months trailing EBITDA covenants have been removed and replaced with more relaxed minimum EBITDA covenants.
