SALT LAKE CITY--(EON: Enhanced Online News)--Boart Longyear Limited (ASX: BLY) today announces that it has revised its previously announced agreement to amend the terms of its existing revolving credit facility. The revised amendments to the revolving credit facility, when effective, will, among other things, reduce the size of the revolving credit facility from $450.0 million to $140.0 million, of which up to $120.0 million will be available for borrowing in the form of revolving loans with the remainder available for the issuance of letters of credit. The amendments would adjust the minimum interest coverage covenant to a ratio of 1.55 to 1.0 and would continue to include the elimination of the maximum leverage ratio covenant and the addition of covenants requiring maintenance of at least $30.0 million in liquidity (defined to be unrestricted cash plus availability under the revolving credit facility) and a minimum asset coverage ratio.
The effectiveness of the amendments is subject to the Company’s completion of its recently updated and priced $300.0 million debt offering and the application of the net proceeds of that offering to substantially pay down loans outstanding under the revolving credit facility, as well as customary closing conditions.
About Boart Longyear
With over 120 years of expertise, Boart Longyear is the world’s leading provider of drilling services, drilling equipment, and performance tooling for mining and drilling companies globally. It also has a substantial presence in aftermarket parts and service, energy, mine de-watering, oil sands exploration, and production drilling.
The Global Drilling Services division operates in over 40 countries for a diverse mining customer base spanning a wide range of commodities, including copper, gold, nickel, zinc, uranium, and other metals and minerals. The Global Products division designs, manufactures and sells drilling equipment, performance tooling, and aftermarket parts and services to customers in over 100 countries.
Boart Longyear is headquartered in Salt Lake City, Utah, USA, and listed on the Australian Securities Exchange in Sydney, Australia. More information about Boart Longyear can be found at www.boartlongyear.com. To get Boart Longyear news direct, visit http://www.boartlongyear.com/rssfeed.