OCI Partners LP Receives Lender Consent to Amend Its Term Loan
Nov 21, 2016
NEDERLAND, Texas, Nov. 21, 2016 /PRNewswire/ -- OCI Partners LP (the "Partnership") announced today that it expects to receive $200 million under its intercompany loan agreement with OCI USA Inc. an indirect, wholly-owned subsidiary of OCI N.V. ("OCI"). Proceeds will be used to reduce the size of its existing Term Loan and facilitate amendments to its covenants. Amounts outstanding under the intercompany loan agreement will be subordinated to the Term Loan.
The Partnership has received the required quorum of lenders to satisfy consent for certain changes to the Term Loan, including financial covenants. Management expects to close the transaction on November 30, 2016, subject to approval by its Board of Directors.
About OCI Partners LP
OCI Partners LP (NYSE: OCIP) owns and operates an integrated methanol and ammonia production facility that is strategically located on the Texas Gulf Coast near Beaumont. The Partnership is headquartered in Nederland, Texas and currently has a methanol production design capacity of 912,500 metric tons per year and an ammonia production design capacity of 331,055 metric tons per year.
Certain of the statements contained in this press release including the Partnership's plan to comment on the Proposed Regulations and the effect the Proposed Regulations might have on the Partnership's ability to satisfy the Qualifying Income Exception are forward-looking statements. Statements that are predictive in nature, that depend upon or refer to future events or conditions or that include the words "believe," "expect," "anticipate," "intend," "estimate" and other expressions that are predictions of or indicate future events and trends and that do not relate to historical matters identify forward-looking statements. These forward-looking statements involve certain risks and uncertainties, including, among others, that our business plans may change as the methanol and ammonia industry and markets warrant, decreases in the demand for methanol, ammonia and their derivatives and our inability to obtain economically priced natural gas and other feedstocks, our inability to successfully implement our business strategies due to changes in governmental regulations or otherwise, the occurrence of shutdowns (either temporary or permanent) or restarts of existing methanol and ammonia facilities (including our own facility), the timing and length of planned and unplanned downtime, the occurrence of operating hazards from accidents, fire, severe weather, floods or other natural disasters. For more information concerning factors that could cause actual results to differ materially from those conveyed in the forward-looking statements, please refer to the "Risk Factors" section of the Partnership's Annual Report on Form 10-K for the year ended December 31, 2015. The Partnership undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, unless required by law.
Director of Investor Relations & Strategy
Phone: +1 917-434-7734
SOURCE OCI Partners LP