Dana Gas Gets $90mn in Credit
Private UAE gas firm Dana Gas has has secured a $90mn credit facility from bank Mashreq, the company said on October 15, in order settle its sukuk, an Islamic bond.
The one-year facility is priced at an initial 3%/year over Libor and can be extended for a further four years. The funds will go towards paying down the outstanding $309mn of Dana's sukuk which matures at the end of the month. Dana intends to pay back the funds once it completes the sale of its Egyptian assets.
Dana announced plans in April to divest its Egyptian business, which comprises onshore assets in the Nile Delta and Block 6 in the Eastern Mediterranean Sea. Reuters reported last month that the company was in talks with Texas-based IPR Energy, citing sources.
Dana also operates in Iraqi Kurdistan. It is the largest private gas firm in the Middle East, having produced 66,200 barrels of oil equivalent/day last year. Dana is looking to split its upstream and midstream businesses into different companies.