Maurel & Prom: Finalization of the debt refinancing process and increase of the proposed dividend to €0.14 per share

PARIS–(BUSINESS WIRE)–Regulatory news:

The Maurel & Prom (Paris:MAU) group (“M&P”, “the Group”) has obtained a new bank loan as well as an extension and amendment of its shareholder loan in order to refinance the existing term loan which was concluded in December 2017 with a syndicate of lenders.

As a reminder, M&P’s current gross debt before refinancing amounts to $489m, including $406m for the term loan, and $82m (as well as $100m undrawn) for the PT shareholder loan. Pertamina Internasional Eksplorasi dan Produksi (“PIEP”). , majority shareholder of M&P. Note that M&P’s cash position at the end of March 2022 was $187 million, or net debt of $302 million.

Documentation for the new loans, totaling $437 million available, was finalized on May 12, 2022, and M&P now has 60 days to draw down the bank loan to repay the existing term loan. It should be noted that these loans do not include any cap on the dividend distributions to be made by M&P.

Olivier de Langavant, CEO of M&P, said: “In an environment where access to credit is becoming increasingly difficult and costly for companies in our sector, we have secured very favorable borrowing conditions for the next six years. Our repayment schedule allows us to calmly continue to work on our development and allows the full repayment of our debt even at oil prices well below current levels. Finally, the lifting of restrictions on dividends opens the door to a proactive policy of returning to the creation of value for shareholders, within the framework of a strategy of balanced capital allocation.

Key terms of the refinanced debt facilities:

bank loan

Amortized slice

bank loan

RCF tranche

Shareholder loan

Amount available

$188 million

$67 million

$182 million

Interest rate

SOFR + 2.00%

SOFR + 2.25%

(0.675% on the undrawn portion)

SOFR + 2.10%

Refunds

18 quarterly installments

At maturity

22 quarterly installments

First payment1

Q2 2023

Q2 2023

Last installment1

Q3 2027

Q3 2027

Q3 2028

Impact of refinancing on debt repayment profile from May 20221:

Object omitted.

The banks participating in the bank loan are: Bank of Tokyo-Mitsubishi UFJ, Bank Mandiri, Crédit Agricole and Kasikornbank. In addition, M&P reserves the right to increase the bank loan, with new or existing lenders, under the same conditions, within eight months and up to a maximum amount of 400 million dollars (i.e. an increase maximum of $145 million).

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English

cubic feet

pc

see

cubic feet

million cubic feet per day

Mpc/d

mmcfd

million cubic feet per day

billion cubic feet

CPG

bcf

billion cubic feet

barrel

B

bbl

barrel

barrels of oil per day

b/d

bopd

barrels of oil per day

million barrels

Mo

mmbbls

million barrels

barrels of oil equivalent

bep

boeh

barrels of oil equivalent

barrels of oil equivalent per day

boe/d

boepd

barrels of oil equivalent per day

million barrels of oil equivalent

Mboe

mmboe

million barrels of oil equivalent

For more information, visit www.maureletprom.fr/fr/.

This document may contain forward-looking statements concerning the financial situation, results, activity and industrial strategy of Maurel & Prom. By their nature, forward-looking statements involve risks and uncertainties to the extent that they are based on events or circumstances that may or may not occur in the future. These projections are based on assumptions which we believe to be reasonable, but which may prove to be incorrect and which depend on a number of risk factors, such as fluctuations in crude oil prices, changes in exchange rates, uncertainties related to the valuation of our oil reserves, actual oil production rates and associated costs, operational issues, political stability, legislative or regulatory reforms, or wars, terrorism and sabotage.

Maurel & Prom is listed on Euronext Paris

CAC All-Tradable – CAC Small – CAC Mid & Small – PEA-PME and SRD eligible

Isin FR0000051070/Bloomberg MAU.FP/Reuters MAUP.PA

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1 Assuming loans are fully drawn at the end of the authorized 60-day drawdown period (July 2022)

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