Update on Amended Loan Facilities and APLNG

Origin Energy Limited (Origin) today announced the successful amendment of its existing $6.6 billion syndicated loan facilities to reduce the interest rate margin, extend the maturity, and increase the limit of the facilities by $750 million to $7.4 billion. The amendment of these facilities was negotiated with a syndicate of domestic and international banks.

The interest cost of the bank loan facilities has been reduced by 0.30 per cent per annum and flexibility has been added with increased US dollar drawdown capability.

The tenors of the bank loan facilities, which were originally four and five years, have been extended by 16 months to December 2018 and December 2019 respectively.

Origin Executive Director, Finance and Strategy, Ms Karen Moses said, "This amendment to extend the Company's debt maturity profile and lower interest costs is timed to benefit from favourable bank loan market conditions and provide further financial flexibility.

"Given the attractive funding costs we saw it as prudent to take the opportunity to add to the existing facilities, further supporting a conservative liquidity buffer through start up of Australia Pacific LNG's first and second train. The successful amendment demonstrates ongoing support for Origin by domestic and international banks."

ANZ, Commonwealth Bank of Australia, Mizuho and the National Australia Bank acted as Coordinating Mandated Lead Arrangers and Bookrunners on the transaction.

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