CALGARY, Aug. 25, 2015 /CNW/ - SECURE Energy Services Inc. ("SECURE") (TSX – SES) is pleased to announce that it has extended the maturity date of its existing $700 million syndicated credit facility ("Credit Facility") by one year to September 26, 2019. There were no changes to the lenders included in the syndicate or their committed amounts, security, covenant terms, borrowing rates or standby fees. Key highlights of the Credit Facility which remain unchanged are as follows:
- Lenders include ten financial institutions and Canadian Chartered banks.
- Comprised of a $675 million extendible revolving term credit facility and a $25 million revolving operating facility.
- Ability to expand the Credit Facility to $800 million through the exercise of an additional $100 million accordion feature, available upon request by SECURE subject to review and approval by the lenders.
- Secured by substantially all of the Corporation's assets.
- Includes customary covenants, including:
- Consolidated senior funded debt to EBITDA ratio does not exceed 3.5 to 1;
- Consolidated total funded debt to EBITDA ratio does not exceed 5 to 1; and
- Consolidated EBITDA to financing charges ratio is not less than 2.5 to 1.
- Amounts borrowed under the Credit Facility will bear interest at the Corporation's option of either the Canadian prime rate plus 0.45% to 2.00% or the banker acceptance rate plus 1.45% to 3.00%, depending, in each case, on the ratio of consolidated senior funded debt to EBITDA.
ABOUT SECURE ENERGY SERVICES INC.
SECURE is a TSX publicly traded energy services company that provides safe and environmentally responsible fluids and solids solutions to the oil and gas industry.
The Corporation operates three divisions:
Processing, Recovery and Disposal Division ("PRD"): The PRD division owns and operates midstream infrastructure that provides processing, storing, shipping and marketing of crude oil, oilfield waste disposal and recycling. Specifically these services are clean oil terminalling and rail transloading, custom treating of crude oil, crude oil marketing, produced and waste water disposal, oilfield waste processing, landfill disposal, and oil purchase/resale service. Secure currently operates a network of facilities throughout western Canada and in North Dakota, providing these services at its full service terminals, landfills, stand-alone water disposal facilities, and rail transloading facilities.
Drilling Services Division ("DS"): The DS division provides equipment and chemicals for building, maintaining, processing and recycling of drilling and completion fluids. The drilling fluids service line comprises the majority of the revenue for the division which includes the design and implementation of drilling fluid systems for producers drilling for oil, bitumen and natural gas. The DS division focuses on providing products and systems that are designed for more complex wells, such as medium to deep wells, horizontal wells and horizontal wells drilled into the oil sands.
OnSite Division ("OS"): The operations of the OS division include environmental services which provide pre-drilling assessment planning, drilling waste management, remediation and reclamation assessment services, laboratory services, and "CleanSite" waste container services; integrated fluid solutions which include water management, recycling, pumping and storage solutions; and projects which include pipeline integrity (inspection, excavation, repair, replacement and rehabilitation); demolition and decommissioning and reclamation and remediation of former wellsites, facilities, commercial and industrial properties.
SOURCE Secure Energy Services Inc.