Songa Offshore Secures Newbuild Credit

Drilling contractor Songa Offshore says it has secured a USD 1.1 billion credit facility for Cat D 3 & 4 newbuidings.

Songa explains it has received a firm commitment from banks and an Export Credit Agency for the financing of the Cat D 3 and 4 newbuilds with a pre-delivery financing of USD 90 million per rig and a post-delivery financing of USD 550 million per rig.

The terms of the financing are at competitive terms and the Company plans to complete final documentation of the transactions in third quarter 2014. The commercial tranche of the senior secured credit facility is underwritten.

In related news Songa updates information on the sale of two of its offshore rigs: closing of the sale of the rigs Songa Mercur and Songa Venus from Songa Offshore SE to companies within the Opus Offshore Group, previously contemplated to take place within second quarter 2014, is now scheduled to take place within the end of July 2014.
 
About the Company
Songa Offshore is an international midwater drilling contractor with a strong presence in the harsh environment North Atlantic basin. Its teams operate a fleet of 5 rigs, with an additional 4 rigs due to be delivered in 2014 and 2015.