Origin amends loan facilities

Origin Energy said it has completed the amendment of its existing $6.6 billion syndicated loan facilities to reduce the interest rate margin, extend the maturity, and increase the limit of the facilities by $750 million to $7.4 billion.

The amendment of these facilities was negotiated with a syndicate of domestic and international banks, Origin said in a statement.

The interest cost of the bank loan facilities has been reduced by 0.30 per cent per annum and flexibility has been added with increased US dollar drawdown capability.

The tenors of the bank loan facilities, which were originally four and five years, have been extended by 16 months to December 2018 and December 2019 respectively.

Origin Executive Director, Finance and Strategy, Karen Moses said, “Given the attractive funding costs we saw it as prudent to take the opportunity to add to the existing facilities, further supporting a conservative liquidity buffer through start up of Australia Pacific LNG’s first and second train.”

ANZ, Commonwealth Bank of Australia, Mizuho and the National Australia Bank acted as Coordinating Mandated Lead Arrangers and Bookrunners on the transaction.

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Press Release; Image: Origin Energy