Stratic Secures US$150 million Bank Loan Facilities

Stratic Energy Corporation (TSX Venture: ‘SE’, AIM ‘SE.’) announces that it has secured new bank loan facilities totaling US$150 million, principally to finance its field development programs.

The new facilities to be provided to certain subsidiaries of Stratic comprise a $110 million senior, secured Borrowing Base facility and a $5 million working capital facility, underwritten by The Royal Bank of Scotland plc and SociГ©tГ© GГ©nГ©rale Corporate Investment Banking, as Joint Mandated Lead Arrangers, and an Undeveloped Asset-Backed Facility of $35 million led by RBS, of which $22.5 million is initially underwritten.

The Borrowing Base and UDAB facilities have terms of five and three years, respectively. RBS is the Structuring Bank for the facilities, the closing of which is subject to normal loan market terms.

The Borrowing Base facility will be used principally to finance Stratic’s share of capital expenditure on its portfolio of development assets, including the West Don oil field in the UK sector of the North Sea, the P8a Horizon West oil field in the Dutch Sector of the North Sea and the Longanesi gas field in Italy. The UDAB Facility is for funding expenditure on specified pre-development assets. Additional assets can be added to both facilities over time, as projects are advanced.