Nostrum Oil & Gas LP issues $400 mln bond due 2019
ALMATY. Feb 17 (Interfax) - Nostrum Oil & Gas LP (formerly known as Zhaikmunai LP) has issued $400 million worth of senior bonds with five-year maturity at a fixed coupon of 6.375% per annum, the company said in a press release.
The issue was placed on February 14, 2014 by Nostrum Oil & Gas Finance BV, a subsidiary of Nostrum Oil & Gas LP.
Jan-Ru Muller, chief financial officer of Nostrum Oil & Gas, is quoted as saying, "We are delighted with the spread of orders with over 75 accounts across more than 10 countries resulting in a total order book that was in excess of $1 billion."
The notes have received preliminary ratings of 'B2' from Moody's and 'B+' from Standard and Poor's, the press release says.
The notes have been admitted on the Global Exchange Market and are listed on the Official List of the Ireland Stock exchange (ISE) in accordance with the rules and regulations of such exchange.
The company plans to utilize the proceeds of the new notes primarily to repurchase the outstanding $92.5 million of its 10.5% per annum senior unsecured notes due 2015. The remaining funds from the proposed issuance will go to finance the purchase of the subsoil use rights to new oil and gas fields in Kazakhstan, and to buoy the company's liquidity position, Moody's said earlier.
Nostrum Oil & Gas LP is the parent company of Kazakhstan-based Zhaikmunai LLP.
Zhaikmunai is an independent oil and gas enterprise currently engaging in the exploration for, production and sale of crude oil and gas condensate in northwestern Kazakhstan. Zhaikmunai's main producing asset is the Chinarevskoye field located in the northern part of the oil-rich pre-Caspian Basin.