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BRIEF-Delphi Energy Corp announces financing with strategic partner to further accelerate growth at its Bigstone Montney Asset

Published 2017-05-24, 09:33 a/m
© Reuters.  BRIEF-Delphi Energy Corp announces financing with strategic partner to further accelerate growth at its Bigstone Montney Asset
DEE
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May 24 (Reuters) - Delphi Energy Corp DEE.TO :

* Delphi Energy Corp announces financing with strategic partner to further accelerate growth at its bigstone montney asset

* Delphi Energy Corp - has entered into agreements with investors for a $65 million financing transaction

* Delphi Energy Corp - principal use of proceeds will be to expand company's drilling plans for winter of 2017/2018

* Delphi Energy Corp - proceeds from financing transaction will temporarily reduce bank indebtedness and working capital deficits

* Delphi Energy Corp - run-rate cash flow in q4 of 2018 is anticipated to be in context of $100 million to $110 million

* Delphi Energy Corp - post financing, delphi's $80 million credit facility is expected to be undrawn as at june 30, 2017

* Delphi Energy Corp - total debt to cash flow ratio is anticipated to remain at or below company's target of 1.5 times through 2018

* Delphi Energy - anticipates production in q4 of 2018 to increase by approximately 40 percent, from its current q4 expectation of 11,000 to 11,500 boe/d

* Delphi Energy Corp - company has agreed to sell, on a private placement basis, 27.6 million common shares at an issue price of $1.27 per common share

* Delphi Energy - agreed to issue an additional $30 million principal amount of currently outstanding 10% senior secured collateralized exchange listed notes

* Delphi Energy Corp - re-opening of cel(tm) notes was priced at 100pct of par to yield 10pct and will not be issued with any warrants Source text for Eikon: ID:nGNXNWVJVa Further company coverage: DEE.TO

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