Eureka Midstream Secures $400 Million Senior Credit Facility

HOUSTON, TX, September 6, 2017 / PR Newswire/ — Eureka Midstream, LLC, (the “Company”) announced today that it has closed on a $400 million Senior Secured Revolving Credit Facility (the “Credit Facility”).

Credit Facility Highlights

  • Amends and restates Eureka’s existing credit facility and provides the Company with increased financial flexibility by increasing the aggregate Credit Facility commitments from $225 million to $400 million.
  • Extends the maturity to 4-years from the Credit Facility closing date.
  • Provides the Company a $100 million Accordion whereby under certain terms and conditions the Company can increase the aggregate Credit Facility commitments to $500 million.
  • Use of proceeds from the Credit Facility will be used for funding capital expenditures, financing permitted acquisitions, funding working capital, and general corporate purposes.
  • The Credit Facility contains other terms and conditions customary of financings of this type.

 

ABN AMRO Capital USA LLC serves as the “Administrative Agent” and “Sole Lead Arranger” under the Credit Facility, with BBVA Compass, CIT Bank, N.A., and U.S. Bank, National Association, serving as “Co-Documentation Agents,” Citibank, N.A., Iberiabank, and Regions Bank serving as “Senior Managing Agents.” Additional participating banks include BNP Paribas, Cadence Bank, N.A., Citizens Bank, N.A., East West Bank, Branch Banking and Trust Company, The Huntington National Bank, and ZB, N.A. DBA Amegy Bank.

Gabe Scott, Chief Financial Officer of the Company, commented, “Eureka’s amended and restated Credit Facility strengthens our Company’s financial flexibility and commitment toward prudent growth. In particular, the improved Credit Facility further enables us to deliver long-term value for our shareholders, implement the strategies required to effectively drive throughput volumes through the Eureka system and maintain our position as one of the industry’s safest and most efficient midstream operators in the Marcellus and Utica shales.  I’d like to thank our bank group for their trust and support in the Eureka model.”

Simpson Thatcher & Bartlett LLP served as legal advisors to Eureka Midstream. Thompson & Knight LLP served as legal advisors to ABN AMRO Capital USA LLC.

About Eureka Midstream Corporation

Eureka Midstream, LLC, based in Houston, Texas is a strategic midstream company focused in the Appalachian Basin. The Company is currently active in two of the most prolific unconventional shale resource plays in North America, the Marcellus Shale and Utica Shale located in Northwest West Virginia and Southeast Ohio. With approximately 200 miles of gathering systems, the advanced pipeline network is capable of transporting lean or rich natural gas.