HOUSTON, May 18, 2018 /PRNewswire/ -- EP Energy LLC
("EP Energy"), a wholly-owned subsidiary of EP Energy Corporation
(NYSE: EPE), and its wholly-owned subsidiary, Everest Acquisition
Finance Inc., as co-issuer (together with EP Energy, the
"Issuers"), today announced the pricing of the previously announced
unregistered offering of $1,000.0
million aggregate principal amount of 7.750% Senior Secured
Notes due 2026 (the "Notes") at an issue price of 100%. The liens
on the collateral securing the Notes will be junior to the liens on
the collateral securing EP Energy's senior secured RBL facility and
senior to the liens on the collateral securing each tranche of EP
Energy's existing senior secured notes. The offering is expected to
close on May 23, 2018, subject to
certain closing conditions.
The Issuers intend to use the proceeds from the offering of the
Notes, (i) to repay amounts outstanding under EP Energy's senior
reserve based revolving credit facility, (ii) for other general
corporate purposes and (iii) to pay related fees and expenses.
Additional Information
The Notes are being offered in a private offering that is exempt
from the registration requirements of the Securities Act of 1933,
as amended (the "Securities Act"), only to qualified institutional
buyers in reliance on Rule 144A under the Securities Act, and
outside the United States, only to
non‐U.S. investors pursuant to Regulation S. The Notes have not
been registered under the Securities Act or any state securities
laws and may not be offered or sold in the United States absent an effective
registration statement or an applicable exemption from registration
requirements or a transaction not subject to the registration
requirements of the Securities Act or any state securities
laws.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any security and shall not
constitute an offer, solicitation or sale in any jurisdiction in
which such offering, solicitation or sale would be unlawful.
About EP Energy LLC
The EP Energy team is driven to deliver superior returns for our
investors by developing the oil and natural gas that feeds
America's growing energy needs. The company focuses on enhancing
the value of its high quality asset portfolio, increasing capital
efficiency, maintaining financial flexibility, and pursuing
accretive acquisitions and divestitures. EP Energy is working to
set the standard for efficient development of hydrocarbons in the
U.S. Learn more at epenergy.com.
Forward-Looking Statements
This release includes certain forward-looking statements and
projections of EP Energy. We have made every reasonable
effort to ensure that the information and assumptions on which
these statements and projections are based are current, reasonable,
and complete. However, a variety of factors could cause
actual results to differ materially from the projections,
anticipated results or other expectations expressed, including,
without limitation, the company's ability to complete the offering
of the Notes, the volatility of and sustained low oil, natural gas
and NGL prices; the supply and demand for oil, natural gas and
NGLs; the company's ability to meet production volume targets;
changes in commodity prices and basis differentials for oil and
natural gas; the uncertainty of estimating proved reserves and
unproved resources; the future level of service and capital costs;
the availability and cost of financing to fund future exploration
and production operations; the success of drilling programs with
regard to proved undeveloped reserves and unproved resources; the
company's ability to comply with the covenants in various financing
documents; the company's ability to obtain necessary governmental
approvals for proposed E&P projects and to successfully
construct and operate such projects; actions by the credit rating
agencies; credit and performance risk of our lenders, trading
counterparties, customers, vendors, suppliers and third party
operators; general economic and weather conditions in geographic
regions or markets served by the company, or where operations of
the company are located, including the risk of a global recession
and negative impact on oil and natural gas demand; the
uncertainties associated with governmental regulation, including
any potential changes in federal and state tax laws and
regulations; competition; and other factors described in the
company's Securities and Exchange Commission filings. While
the company makes these statements and projections in good faith,
neither the company nor its management can guarantee that
anticipated future results will be achieved. Reference must
be made to those filings for additional important factors that may
affect actual results. EP Energy assumes no obligation to
publicly update or revise any forward-looking statements made
herein or any other forward-looking statements made by EP Energy,
whether as a result of new information, future events, or
otherwise.
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SOURCE EP Energy LLC