/NOT FOR DISSEMINATION INTO THE UNITED STATES/
CALGARY, Jan. 19 /CNW/ - (TSX:RIG.UN) - Pantera Drilling Income Trust
("Pantera" or the "Trust") announces that it has extended its credit facility
with its existing lender. The credit facility will remain at the same level,
consisting of a $5 million operating demand revolving loan, a $35 million
committed 364 day extendible revolving credit facility, and a $500,000 demand
standby letter of credit. At December 31, 2008, $21.2 million was outstanding
under the credit facility, as compared with $30.6 million at September 30,
2008. These loans require interest to be paid monthly with no scheduled
principal repayment unless the 364 day extendible revolving credit facility is
not extended. The extension date is December 29, 2009 (the "Maturity date").
If not extended, the loan is capped and repayable over the ensuing four year
period by quarterly payments of 1/20th of the amount outstanding at the
Maturity date with the final payment covering the remaining balance due four
years from the Maturity date. These payments would commence three months after
the Maturity date. Amounts borrowed under the operating demand revolving loan
will bear interest at the Trust's option of the bank's prime rate plus .75% or
banker's acceptance rate plus 2% and amounts borrowed under the extendible
revolving credit facility will bear interest at the Trust's option of the
bank's prime rate plus 1% or banker's acceptance rate plus 2.25%.
The Trust today declared a cash distribution relating to the period
January 1, 2009 to January 31, 2009, in the amount of $0.03 per trust unit
payable on February 13, 2009 to unitholders of record on January 30, 2009.
The Trust has a distribution reinvestment plan (the "Plan"). The Plan
provides eligible unitholders with the opportunity to reinvest their cash
distributions in additional Pantera trust units at 95% of the average market
price, as defined in the Plan. Participation information can be found on our
website at www.panteradrilling.com.
Cash distributions are not guaranteed and will fluctuate with the
performance of its operating entity, Pantera Drilling LP, which is dependent
upon oil and natural gas prices, the level of activity in the oil and gas
industry, seasonal weather patterns, competition, major customers, third party
suppliers, key personnel and workforce availability, among other risk factors.
Pantera provides contract drilling services to oil and gas exploration
and production companies operating in Canada. Additional information relating
to the Trust, including its annual information form, can be accessed on the
Trust's website at www.panteradrilling.com and on SEDAR at www.sedar.com.
The Toronto Stock Exchange has neither approved nor disapproved the
information contained herein.
For further information:
For further information: Lorna Pollock, Pantera Drilling Income Trust,
Suite 600, 407 - 8th Avenue S.,W. Calgary, Alberta, T2P 1E5, Telephone: (403)
515-8400, E-mail: email@example.com, Website: