Hilcorp Energy I L.P.'s Proposed $1.0 Billion Senior Secured Term Loan B Due 2030 Rated 'BBB-' (Recovery Rating: '1') - S&P Global Ratings’ Credit Research

Hilcorp Energy I L.P.'s Proposed $1.0 Billion Senior Secured Term Loan B Due 2030 Rated 'BBB-' (Recovery Rating: '1')

Hilcorp Energy I L.P.'s Proposed $1.0 Billion Senior Secured Term Loan B Due 2030 Rated 'BBB-' (Recovery Rating: '1') - S&P Global Ratings’ Credit Research
Hilcorp Energy I L.P.'s Proposed $1.0 Billion Senior Secured Term Loan B Due 2030 Rated 'BBB-' (Recovery Rating: '1')
Published Jan 27, 2025
4 pages (1755 words) — Published Jan 27, 2025
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Abstract:

NEW YORK (S&P Global Ratings) Jan. 27, 2025--S&P Global Ratings today assigned its 'BBB-' issue-level rating and '1' recovery rating to privately-held, Texas-based oil and gas exploration and production company Hilcorp Energy I L.P.'s (HEI) proposed $1.0 billion senior secured term loan B due 2030. The '1' recovery rating indicates our expectation for very high (90%-100%; rounded estimate: 95%) recovery for creditors in the event of a payment default. All of our other ratings on the company, including our 'BB+' issuer credit rating and 'BB+' issue-level rating and '3' recovery rating on its unsecured debt, are unchanged. The term loan will be unconditionally guaranteed on a senior secured basis by the same direct and indirect subsidiaries that guarantee HEI's reserve-based

  
Brief Excerpt:

...January 27, 2025 NEW YORK (S&P Global Ratings) Jan. 27, 2025--S&P Global Ratings today assigned its '###-' issue-level rating and '1' recovery rating to privately-held, Texas-based oil and gas exploration and production company Hilcorp Energy I L.P.'s (HEI) proposed $1.0 billion senior secured term loan B due 2030. The '1' recovery rating indicates our expectation for very high (90%-100%; rounded estimate: 95%) recovery for creditors in the event of a payment default. All of our other ratings on the company, including our '##+' issuer credit rating and '##+' issue-level rating and '3' recovery rating on its unsecured debt, are unchanged. The term loan will be unconditionally guaranteed on a senior secured basis by the same direct and indirect subsidiaries that guarantee HEI's reserve-based lending (RBL) credit agreement. The company intends to use the net proceeds from the term loan to repay the amounts outstanding under its RBL credit agreement ($570 million as of Nov. 14, 2024) and for...

  
Report Type:

Ratings Action

Issuer
Hilcorp Energy I L.P.
GICS
Oil & Gas Exploration & Production (10102020)
Sector
Global Issuers
Country
United States
Region
United States
Format:
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MLA:
S&P Global Ratings’ Credit Research. "Hilcorp Energy I L.P.'s Proposed $1.0 Billion Senior Secured Term Loan B Due 2030 Rated 'BBB-' (Recovery Rating: '1')" Jan 27, 2025. Alacra Store. May 09, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Hilcorp-Energy-I-L-P-s-Proposed-1-0-Billion-Senior-Secured-Term-Loan-B-Due-2030-Rated-BBB-Recovery-Rating-1-3314093>
  
APA:
S&P Global Ratings’ Credit Research. (). Hilcorp Energy I L.P.'s Proposed $1.0 Billion Senior Secured Term Loan B Due 2030 Rated 'BBB-' (Recovery Rating: '1') Jan 27, 2025. New York, NY: Alacra Store. Retrieved May 09, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Hilcorp-Energy-I-L-P-s-Proposed-1-0-Billion-Senior-Secured-Term-Loan-B-Due-2030-Rated-BBB-Recovery-Rating-1-3314093>
  
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