W&T Offshore converts $50 million revolver into reserve-based lending facility
WTI•W&T Offshore amended its Texas Capital Bank-led credit facility on Oct. 1, converting it into a reserve-based lending facility with a $50 million initial borrowing base and commitments, expandable to $100 million with lender consent.
1. Facility changes
The amendment removes the 75% excess cash flow sweep, quarterly clean-down requirement and $100 million PDP PV-10 asset coverage covenant. It increases the restricted payments basket to $15 million from $10 million; pricing, maturity, collateral and key covenants remain unchanged, including a 2.50x maximum net leverage and 1.00x minimum current ratio.
