Pacific Rubiales Energy announces closing of US $450 million 8.75% senior
unsecured notes offering
/NOT FOR DISTRIBUTION TO
The Notes were placed through a syndicate of underwriters, led by Banc of America Securities LLC, as Global Coordinators, and, together with Citigroup Global Markets Inc, as Joint Book-running Managers, and included GMP Securities L.P., RBC Capital Markets Corporation and BNP Paribas Securities Corp., as Co-Managers. The Notes were placed with Qualified Institutional Buyers in the
Ronald Pantin, the company's Chief Executive Officer commented, "We are extremely pleased with the success of this offering. The order book for the offering, the first international public offering of debt securities by the company, was approximately 3.4 times oversubscribed with broad participation from 110 investors and important demand from investors in the
The Notes are direct, unsecured senior obligations of Pacific Rubiales and rank equal in right of payment with all of its existing and future senior unsecured debt. The company will redeem a portion of the principal of the Notes in each of 2014, 2015 and 2016 (
The company has applied to the
The securities have not been and will not be registered under the
Pacific Rubiales, a Canadian-based company and producer of natural gas and heavy crude oil, owns 100 percent of Meta Petroleum Corp., a Colombian oil operator which operates the Quifa block in the Llanos Basin in association with Ecopetrol S.A., the Colombian national oil company. The company is focused on identifying opportunities primarily within the eastern Llanos Basin of
Information in this press release expressed in barrels of oil equivalent (boes) is derived by converting natural gas to oil in the ratio of six thousand cubic feet (mcf) of natural gas to one barrel (bbl) of oil. Boe may be misleading, particularly if used in isolation. A boe conversion ratio of 6 mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.
Cautionary Note Concerning Forward-Looking Statements
This press release contains forward-looking statements. All statements, other than statements of historical fact, that address activities, events or developments that the company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding estimates and/or assumptions in respect of production, revenue, cash flow and costs, reserve and resource estimates, potential resources and reserves and the company's exploration and development plans and objectives) are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the company based on information currently available to the company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the company. Factors that could cause actual results or events to differ materially from current expectations include, among other things: uncertainty of estimates of capital and operating costs, production estimates and estimated economic return; the possibility that actual circumstances will differ from the estimates and assumptions; failure to establish estimated resources or reserves; fluctuations in petroleum prices and currency exchange rates; inflation; changes in equity markets; political developments in
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For further information: Mr. Ronald Pantin, Chief Executive Officer and Director, Mr. Jose Francisco Arata, President and Director, (416) 362 7735; Ms. Belinda Labatte, (647) 428 7035
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