Vaquero Midstream LLC Announces Completion Of Credit Facility

Rhea-AI Summary

On November 10, 2020, Vaquero Midstream announced the closing of a $200 million revolving credit facility, extended to December 2023. This facility will support general corporate purposes such as capital expenditures and operating expenses, with BOK Financial as the lead arranger. Vaquero's management highlighted their prudent management during challenging times, achieving an oversubscribed facility. Currently, Vaquero operates two 200 mmscf/d cryogenic processing plants in the Delaware Basin and plans to expand capacity significantly.

Positive

• Successful closing of a $200 million revolving credit facility.
• Extension of credit facility commitment to December 2023.
• Facility oversubscribed, indicating strong support from banks.
• Current operations include two 200 mmscf/d processing plants with future expansion potential.

Negative

• None.

DALLAS, Nov. 10, 2020 /PRNewswire/ -- Vaquero Midstream announced today the closing of a $200 Million revolving credit facility on October 29, 2020. Vaquero extended the commitment of the original facility for two years, to December 2023. The facility is available for general corporate purposes, including funding capital expenditures, working capital and operating expenses. The bank group is now led by BOK Financial.

"BOK Financial is proud to have served as lead arranger for the Vaquero credit facility," said Alex Trlica, Senior Vice President at BOK Financial. "Vaquero's management team has demonstrated prudent management through this commodity price cycle, and BOK Financial stands by its energy clients in all economic climates. We look forward to our continued partnership with Vaquero." 

"We were pleased to bring together some of our existing bank participants along with adding several new participants and adding BOK Financial as our lead bank. Though it has been and continues to be a difficult banking environment, we were very appreciative of the support we received with an oversubscription of the amount requested for our facility," said Bryant H. Patton, CFO of Vaquero.  "We look forward to maintaining and enhancing relationships with all our business partners including Yorktown Energy Partners, producers, and lending institutions."

Vaquero currently has installed two 200 mmscf/d cryogenic processing plants in the Delaware Basin, which are tied into approximately 165 miles of high-pressure pipeline, composed mostly of 30" and 24" pipeline. The high-pressure pipeline accesses some of the richest gas producing areas of the Southern Delaware Basin. The company has the capacity at its current location to install three more 200 mmscf/d cryogenic units, which would bring total processing capacity to 1bcf/d. 

About Vaquero Midstream LLC

Vaquero Midstream offers oil and gas producers a full suite of midstream solutions including gathering, treating, processing, compression, liquids handling, and transmission. The company's leadership team has significant experience in all facets of the midstream industry including successful construction, operations and management of fully integrated midstream natural gas gathering and processing systems across a wide range of domestic shale basins.

About BOK Financial Corporation

BOK Financial Corporation is a $46 billion regional financial services company headquartered in Tulsa, Oklahoma with $82 billion in assets under management and administration. The company's stock is publicly traded on NASDAQ under the Global Select market listings (BOKF). BOK Financial Corporation's holdings include BOKF, NA; BOK Financial Securities, Inc., BOK Financial Private Wealth, Inc. and BOK Financial Insurance, Inc.BOKF, NA operates TransFund, Cavanal Hill Investment Management and BOK Financial Asset Management, Inc.BOKF, NA operates banking divisions across eight states as: Bank of Albuquerque; Bank of Oklahoma; Bank of Texas; and BOK Financial in Arizona, Arkansas, Colorado, Kansas and Missouri; as well as having limited purpose offices in Nebraska, Milwaukee and Connecticut. Through its subsidiaries, BOK Financial Corporation provides commercial and consumer banking, brokerage trading, investment, trust and insurance services, mortgage origination and servicing, and an electronic funds transfer network.

 

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SOURCE Vaquero Midstream

FAQ

What is the significance of Vaquero Midstream's $200 million credit facility?

The $200 million credit facility will support Vaquero’s general corporate purposes, including capital expenditures and operational expenses.

Who is the lead arranger for Vaquero Midstream's credit facility?

BOK Financial is the lead arranger for the $200 million revolving credit facility.

What is the duration of the new credit facility for Vaquero Midstream?

The new credit facility is extended until December 2023.

What processing capacity does Vaquero Midstream currently have?

Vaquero Midstream currently operates two cryogenic processing plants, each with a capacity of 200 mmscf/d.

What are the future plans for Vaquero Midstream's processing capacity?

Vaquero Midstream has the potential to install three additional processing units, increasing total capacity to 1 bcf/d.