Borrowing Base Increases 22%; Liquidity Exceeds $200 Million
THE WOODLANDS, Texas–(BUSINESS WIRE)–Earthstone Energy, Inc. (NYSE: ESTE) (“Earthstone” or the “Company”), today announced that the borrowing base under its senior secured revolving credit facility (“Credit Facility”) has been increased from $185 million to $225 million in connection with its regularly scheduled redetermination. The Company has also entered into an amendment to its Credit Facility, which provides for a 50-basis point decrease in the interest rate on outstanding loans, increased flexibility related to hedging limitations and improved the Company’s ability to make short-term borrowings via a swingline as a part of the borrowing base.
Mark Lumpkin, Jr., Executive Vice President and Chief Financial Officer of Earthstone Energy, Inc., commented, “We continue to make strong progress in our operational plans. This increase in the borrowing base and more flexible terms under our Credit Facility are reflective of our favorable drilling and completion results in which we are meeting or exceeding our type curves and of improved commodity prices. Based on the increase in the borrowing base our liquidity has increased to over $200 million. We appreciate the support of our lending group in helping us to achieve our goals.”
About Earthstone Energy, Inc.
Earthstone Energy, Inc. is a growth-oriented, independent energy company engaged in the development and operation of oil and natural gas properties. Its primary assets are located in the Midland Basin of west Texas and the Eagle Ford Trend of south Texas. Earthstone is listed on the New York Stock Exchange under the symbol “ESTE.” For more information, visit the Company’s website at www.earthstoneenergy.com.