CALGARY, Alberta – InPlay Oil Corp. (TSX: IPO) (OTCQX: IPOOF) (“InPlay” or the “Company”) announces that its syndicate of lenders has completed the redetermination of its Credit Facilities. InPlay’s Credit Facilities have been confirmed at $65 million. The Credit Facilities mature on May 31, 2021 and have upward adjustments to the interest rate pricing grid.
InPlay was prompt and proactive in reacting to the quick, unprecedented drop in crude oil pricing in March. Initiatives included a 20 percent reduction in field and office salaries, multiple cost cutting measures and the immediate suspension of the 2020 capital program. InPlay continues to limit capital spending in 2020 based on current crude oil prices and the Company anticipates that the renewed Credit Facilities will provide sufficient liquidity for InPlay to maintain its current level of operations for the balance of 2020. Pricing has improved since the lows of late March into mid-May and the Company will monitor pricing and make future 2020 capital spending decisions in consideration of future pricing and available financial liquidity. As of June 30, 2020, the Company was drawn approximately $59 million on its Credit Facilities.
In partnership with our syndicate of lenders, InPlay has also initiated the application process to access the potential liquidity backstop programs being proposed for the oil and gas sector through the Business Development Bank of Canada (“BDC”) and the Export Development Bank of Canada (“EDC”).
InPlay is based in Calgary, Alberta and the common shares of InPlay are traded on the Toronto Stock Exchange under the trading symbol “IPO”. For further information about the Company, please visit our website at www.inplayoil.com.