SEY.L Regulatory News (SEY)

18 Dec 2007 10:46

Sterling Energy PLC18 December 2007 18 December 2007 STERLING ENERGY PLC ("Sterling" or the "Company") New Banking Facilities Completed Sterling (symbol: SEY), an AIM listed independent oil & gas exploration andproduction company with interests in the Gulf of Mexico, Africa and the MiddleEast, is pleased to announce that it has signed new banking facilities with aninitial borrowing base of $160.3 million and with the flexibility to increasethis to up to $265 million. The new facilities have a term of 6 years at acurrent rate of interest of 6.9% pa. Syndication by the lead bank, Natixis, isin progress. The new facilities complete the refinancing of Sterling's existingbank facilities. All conditions relating to the refinancing have been met and drawdown of $153.8million has been made. As is usual, there is a borrowing base review every sixmonths with the first one effective mid-January 2008. Graeme Thomson, Sterling's Finance Director said: "This is a major achievement, particularly in light of current credit marketconditions, as it refinances all of Sterling's debt which principally arise fromthe early 2007 Whittier deal. It now gives Sterling a known platform on whichto build its borrowing base and will greatly extend its banking relationships". Enquiries Sterling Energy (+44 20 7405 4133) Web site: www.sterlingenergyplc.comHarry WilsonGraeme Thomson Citigate Dewe Rogerson (+44 20 7638 9571)Media enquiries: Martin JacksonAnalyst enquiries: Kate Delahunty Evolution Securities (+44 20 7071 4300)Rob Collins This information is provided by RNS The company news service from the London Stock Exchange