Samson Oil & Gas has updated its credit agreement with Mutual of Omaha Bank to increase the borrowing base of this facility to $15.5 million. The terms of the facility agreement otherwise remain unchanged, being a 3 year term with an interest rate of 90 day LIBOR plus 3.75% which is approximately 3.98% currently.
This $25 million facility was initiated in January of this year with an $8 million borrowing base of which $6 million has been drawn. Debt available for immediate drawdown is now $9.5 million. Whilst these funds are available for immediate drawdown, Samson does not expect any funds to be drawn from the facility until the third quarter of 2014. These funds will be used to maintain the infill development drilling in North Stockyard and Rainbow.