California Res Corp Stock Price, News & Analysis

California Resources (NYSE: CRC) has launched its Carbon TerraVault I (CTV I) Elk Hills Community Benefits Plan (CBP) in Kern County, California. The plan commits 1% of each CTV I project investment to develop programs and partnerships that will benefit local communities. The CBP will focus on investing in America's workforce, engaging with communities and labor, advancing diversity and inclusion, and implementing the Justice 40 initiative.

The plan includes two phases: establishing a Community Advisory Council by the end of 2024, and enhancing partnerships with various organizations to provide workforce training, education programs, and community support. CRC aims to support local academic institutions and promote clean energy education and STEAM curriculum in the region.

California Resources (NYSE: CRC) announced the consideration for its cash tender offer to purchase up to $300 million of its outstanding 7.125% senior notes due 2026. The Early Tender Consideration is $1,009.15 per $1,000 principal amount for notes validly tendered by the Early Tender Time of August 21, 2024. The offer was oversubscribed, with $488,467,000 tendered, resulting in a proration rate of approximately 61.4%. CRC anticipates the Early Settlement Date will be August 23, 2024. The company does not expect to accept any notes tendered after the Early Tender Time. This tender offer is part of CRC's debt management strategy as an independent energy and carbon management company committed to energy transition.

California Resources (NYSE: CRC) announced early tender results for its cash tender offer to purchase up to $300 million of its 7.125% senior notes due 2026. As of August 21, 2024, $488,467,000 principal amount had been validly tendered, exceeding the maximum tender amount. Due to oversubscription, the notes will be subject to proration at a rate of approximately 61.4%. The company anticipates an early settlement date of August 23, 2024.

The Early Tender Consideration includes an early tender premium of $30 per $1,000 principal amount. CRC has appointed Jefferies , Citigroup Global Markets Inc., and TD Securities (USA) as dealer managers for the offer. The tender offer is subject to conditions, including a financing condition.

California Resources (NYSE: CRC) has increased its cash tender offer for its 7.125% Senior Notes due 2026 from $200 million to $300 million. The tender offer expires on September 6, 2024, with an early tender deadline of August 21, 2024. Holders tendering by the early deadline will receive an additional $30 per $1,000 principal amount. The offer price will be determined on August 22, 2024, based on a fixed spread over a U.S. Treasury reference security. CRC may settle early on August 23, 2024, for notes tendered by the early deadline. The offer is subject to conditions, including a financing condition. This move suggests CRC is seeking to reduce its debt burden and potentially refinance at more favorable terms.

California Resources (NYSE: CRC) has announced the pricing of an upsized private offering of $300 million in aggregate principal amount of its 8.250% senior unsecured notes due 2029. The offering, initially set at $200 million, was increased and priced at 101% of par. The notes will mature on June 15, 2029, with semi-annual interest payments at 8.250% per year.

Concurrently, CRC has launched a tender offer to purchase up to $300 million of its 7.125% senior notes due 2026. The company plans to use the net proceeds from this offering, along with cash on hand, to fund the tender offer, reduce outstanding debt, and for general corporate purposes.

California Resources (NYSE: CRC) has announced a cash tender offer to purchase up to $200 million of its outstanding 7.125% senior notes due 2026. The tender offer expires on September 6, 2024, with an early tender deadline of August 21, 2024. Noteholders who tender by the early deadline are eligible for an additional $30 per $1,000 principal amount. The offer is subject to conditions, including a financing condition. CRC has appointed Jefferies , Citigroup Global Markets Inc., and TD Securities (USA) Inc. as joint dealer managers for the tender offer. The company may purchase additional notes after the offer's completion or redeem notes according to their terms.

California Resources (NYSE: CRC) has announced a private offering of $200 million in additional 8.250% senior unsecured notes due 2029. These notes will be offered under the same indenture as the existing $600 million notes issued in June 2024. Concurrently, CRC has launched a tender offer to purchase up to $200 million of its 7.125% senior notes due 2026. The company plans to use the net proceeds from this offering, along with cash on hand, to fund the tender offer, reduce outstanding debt, and for general corporate purposes. The notes will only be offered to qualified institutional buyers and non-U.S. persons, as they are not registered under the Securities Act.

California Resources (NYSE: CRC) reported its Q2 2024 financial results, highlighting key developments:

• Successfully closed merger with Aera Energy on July 1, 2024
• Increased quarterly dividend by 25% to $0.3875/share
• Generated $97 million in net cash from operations and $63 million in free cash flow
• Reported net income of $8 million ($0.11 per share) and adjusted net income of $42 million ($0.60 per share)
• Average net production of 76 MBoe/d, including 47 MBo/d of oil
• Submitted a 102 MMT Class VI permit application for Carbon TerraVault VI CO2 storage
• Targeting $235 million in Aera merger synergies
• Increased liquidity to $1.5 billion as of June 30, 2024

CRC provided guidance for Q3 and H2 2024, reflecting the Aera merger impact.

Carbon TerraVault Holdings, (CTV), a subsidiary of California Resources (NYSE: CRC), provided a second quarter 2024 update on its carbon capture and sequestration (CCS) projects in California. Key highlights include:

• Submission of a ~102 million metric ton (MMT) Class VI permit to the EPA for CTV VI CO2 reservoir in Central California
• Expansion of a storage-only Carbon Dioxide Management Agreement with NLC Energy to 430 thousand metric tons per annum (KMTPA) of CO2 emissions
• Targeting final permit receipts for CTV I – 26R reservoir and draft permits for CTV I – A1 / A2 reservoir in H2 2024
• Aiming for Final Investment Decision for CTV's first capture-to-storage project at CRC's Elk Hills cryogenic gas plant in H2 2024
• Brookfield funded its second installment of $46 million for CTV I – 26R reservoir in April 2024

CTV's total projected CO2 injection rate now stands at 2,745 KMTPA, with 2,335 KMTPA in Central California and 410 KMTPA in Northern California.