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W&T Offshore, Inc. (WTI) announced today that it has successfully completed the pricing and marketing of a $300 million five-year second-lien term loan. The term loan is expected to be made subject to a 1.0% discount to principal bearing interest at an annual rate of 9.0%. It is expected that an entity controlled by Tracy W. Krohn, W&T Offshore’s Chairman and Chief Executive Officer, will participate in the term loan for a $5.0 million principal commitment on the same terms as other lenders. Net borrowings under the term loan will be used to repay a portion of outstanding borrowings under the Company’s existing revolving credit facility. Upon the issuance of the term loan, the Company’s borrowing base under its revolving credit facility will be reduced from $600.0 million to $500.0 million.

The lender commitments and making of the term loan are subject to the negotiation, approval and execution of definitive loan documentation, which includes an intercreditor agreement to be approved by lenders under the Company’s revolving credit facility. While the term loan is expected to close early next week, there is no assurance that the term loan will be finalized and made.

About W&T Offshore

W&T Offshore, Inc. is an independent oil and natural gas producer with operations offshore in the Gulf of Mexico and onshore in the Permian Basin of West Texas.  We have grown through acquisitions, exploration and development and currently hold working interests in approximately 63 offshore fields in federal and state waters (61 producing and two fields capable of producing).  W&T currently has under lease approximately 1.2 million gross acres, including approximately 0.6 million gross acres on the Gulf of Mexico Shelf, approximately 0.5 million gross acres in the deepwater and approximately 50,000 gross acres onshore, primarily in Texas.  A substantial majority of our daily production is derived from wells we operate offshore.  For more information on W&T Offshore, please visit our website at