Summary
Occidental Petroleum Corporation (OXY) has entered into a Third Amended and Restated Credit Agreement for its revolving credit facility, effective February 2, 2024. This amendment primarily extends the maturity date of the facility from June 30, 2025, to June 30, 2028, providing enhanced financial flexibility and a longer-term liquidity runway for the company. The agreement continues to offer interest rate options based on Adjusted Term SOFR or Alternate Base Rates, with margins tied to Occidental's senior unsecured debt ratings from Moody's, S&P, and Fitch.
Key Highlights
- 1Extended Revolving Credit Facility maturity to June 30, 2028, from June 30, 2025.
- 2Maintains senior unsecured debt status for loans under the facility.
- 3Interest rates include options for Adjusted Term SOFR or Alternate Base Rate, plus applicable margins.
- 4Applicable margins and facility fees are variable, ranging from 0.0 to 190.0 basis points based on Occidental's credit ratings.
- 5Introduced sustainability targets that can adjust interest rate margins and facility fees, subject to independent verification.
- 6Retains customary covenants, including a negative pledge and a Total Debt to Total Capitalization ratio not exceeding 0.65 to 1.00.
- 7Confirms existing lenders or their affiliates may provide ongoing financial services to Occidental.