MIDLAND, Texas–(BUSINESS WIRE)–
Clayton Williams Energy, Inc. (CWEI) today announced that it has completed the scheduled semiannual borrowing base redetermination of its revolving credit facility and has extended the temporary covenant amendments originally set for expiration in 2016.
Effective November 9, 2015, the borrowing base and aggregate lender commitment under the Company’s revolving credit facility is $450 million, down 10% from the $500 million borrowing base which was established in February 2015. As adjusted for the reduction in borrowing base and lender commitments, funds available to the Company under the revolving credit facility at September 30, 2015 totaled $298.1 million after allowing for outstanding advances and letters of credit.
In addition, certain financial covenants set to expire in 2016 were extended through the fourth quarter of 2017. In February 2015, the revolving credit facility was amended to temporarily limit consolidated senior debt to 2.5 times consolidated EBITDAX and consolidated interest expense to 1.5 times consolidated EBITDAX. Originally, these temporary amendments applied to each quarterly period from January 1, 2015 through June 30, 2016. Effective November 9, 2015, these temporary financial covenants were extended through the fourth quarter of 2017.
Clayton Williams Energy, Inc. is an independent energy company located in Midland, Texas.