OIL - Ecopetrol S.A. obtains authorization to execute loan with international banks for up to USD 1 billion | Benzinga
BOGOTA, Colombia, Aug. 29, 2023 /PRNewswire/ -- Ecopetrol S.A. ((BVC: ECOPETROL, NYSE:EC) announces that, as part of its comprehensive debt management strategy, it has been granted authorization by the Ministry of Finance and Public Credit ("MHCP"), through Resolution 2152 dated August 24, 2023, to execute a credit agreement for up to USD 1,000 million. This loan will serve to fund the Company's organic investment plan for 2023.
Deutsche Bank AG, Banco Inbursa S.A., Banco Latinoamericano de Comercio Exterior S.A., and ICBC Standard Bank Plc will act as lenders. The loan is set to span a period of 7 years from the agreement's signing date, with principal payments commencing in the third year. The interest rate will be variable and determined by the involved parties.
The execution of the loan agreement and the initial disbursement of USD 800 million are anticipated to occur within the coming days. Additionally, the loan allows for the possibility of additional disbursements for up to USD 200 million within 90 days of the date of execution of the agreement, subject to a contractual process. As per the terms of the agreement sanctioned by the MHCP, the aggregate value of this external public credit will not surpass USD 1 billion.
This agreement serves as a testament to the international financial sector's support and confidence in the strategic direction of the Ecopetrol Group.
In ...