Indonesian upstream oil and gas company PT Saka Energi Indonesia in an email sent today, Sept. 3, and seen by Reorg, said that PT Perusahaan Gas Negara Tbk (PGAS) had in August approved extension of the $77.6 million current portion of the shareholder loan from PGAS for one year to Jan. 6, 2023, with the non-current $283.1 million portion of the same loan extended to Dec. 1, 2025.
Continue reading for our Asia Core Credit team's reporting on and analysis of the PT Saka Energi shareholder loan, and request a trial to access reporting and analysis on hundreds more stressed, distressed and performing credits in the region.
The $77.6 million current portion of the shareholder loan will pay interest of 3.7% applicable from Jan. 7, 2022, compared to the current interest rate of 6.41%, the email states.
The $283.1 million non-current portion of the shareholder loan pay interest of 5.09% - as compared to the current interest rate of LIBOR+ 2% - with the first principal repayment amounting to $141.6 million due on Dec. 1, 2024 and the remainder due at maturity, which is beyond the maturity of Saka’s $625 million 4.45% senior notes due May 2024, according to the email.
The email also states that Saka recorded first half 2021 lifting volumes of 5.89 million barrels of oil equivalent (MMBOE) - comprising 4,381 barrels of oil per day (BOPD) and 69 million standard cubic feet per day (MMSCFD). That compares to 3.73 MMBOE - comprising 3,629 BOPD and 63 MMSCFD - in the same period last year.
As reported, ultimate parent company PT Pertamina (Persero) stated on its investor call in June that it is supportive of extending the maturity of the shareholder loan to Saka, as well as to work with Saka to improve operational efficiency.
Saka’s capital structure is as follows:
Saka Energi Indonesia
|
03/31/2021 |
|
EBITDA Multiple |
(undefined in Millions) |
Amount |
Price |
Mkt. Val. |
Maturity |
Rate |
Yield |
Book |
Market |
|
Saka $625mil 4.45% May'24 1 |
625.0 |
94.5 |
590.6 |
May-05-2024 |
4.450% |
6.060% |
|
Total Bonds |
625.0 |
|
590.6 |
|
9.2x |
8.7x |
Shareholder's loan 2 |
360.7 |
|
360.7 |
Jan-2022 |
USD LIBOR + 2.000% |
|
|
Total Loans |
360.7 |
|
360.7 |
|
14.6x |
14.1x |
Total Debt |
985.7 |
|
951.3 |
|
14.6x |
14.1x |
Less: Cash and Equivalents |
(161.8) |
|
(161.8) |
|
Net Debt |
823.9 |
|
789.5 |
|
12.2x |
11.7x |
Operating Metrics |
LTM Reorg EBITDA |
67.6 |
|
|
Liquidity |
RCF Commitments |
30.0 |
|
Plus: Cash and Equivalents |
161.8 |
|
Total Liquidity |
191.8 |
|
Credit Metrics |
Gross Leverage |
14.6x |
|
Net Leverage |
12.2x |
|
Notes:
1. Negative pledge, no limitation on indebtedness
2. Repaid $77.6 mil in Jan'21; In discussions to extend maturity in Q2'21 |