Business
Western Energy Services Corp. Announces Credit Facility Extension, Closing of a $12.5 Million 6 Year HSBC Committed Term Facility and its 2021 Capital Budget
Western Energy Services Corp. Announces Credit Facility Extension, Closing of a $12.5 Mil...
About this update from Western Energy Services Corp.
[{"type":"text","content":"\n \n \n \n Western Energy Services Corp. Announces Credit Facility Extension, Closing of a $12.5 Million 6 Year HSBC Committed Term Facility and its 2021 Capital Budget\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n CALGARY, AB\n \n ,\n \n Dec. 31, 2020\n \n /CNW/ - Western Energy Services Corp. (\n \n \"Western\n \n \" or the\n \n \"Company\n \n \") (TSX: WRG) is pleased to announce amendments to its senior syndicated credit facilities and a new credit facility with HSBC Bank Canada (\n \n \"HSBC\"\n \n ) offered with the participation of the Business Development Bank of\n \n Canada\n \n (\"\n \n BDC\n \n \"), as well as its capital expenditure budget for 2021.\n \n \n \n Extension and Amendments to Senior Credit Facilities\n \n \n Western's senior lenders have approved an extension of the maturity of Western's syndicated revolving first lien credit facility (the \"\n \n Revolving Facility\n \n \") and its committed operating facility (the \"\n \n Operating Facility\n \n \" and together the \"\n \n Credit Facilities\n \n \") from\n \n December 17, 2021\n \n to\n \n July 1\n \n , 2022.  The total commitments under the Revolving and Operating Facilities are unchanged totalling\n \n $50 million\n \n and\n \n $10 million\n \n , respectively.\n \n \n Western and its lenders have agreed to make some other changes to the Credit Facilities, including the following adjustments to its financial covenants:\n \n \n \n The Company has obtained covenant relief for the third and fourth quarters of 2021 whereby:\n \n \n \n the consolidated senior debt to consolidated EBITDA covenant is waived;\n \n \n a minimum liquidity of\n \n $5 million\n \n is required;\n \n \n the maximum consolidated debt to consolidated capitalization covenant has been increased to 0.65x from 0.60x; and\n \n \n a maximum consolidated senior debt to consolidated capitalization ratio of 0.10x has been added.\n \n \n \n Annual capital expenditures for 2021 cannot exceed\n \n $10 million\n \n .\n \n \n \n Western was in compliance with all of its covenant...