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SapuraKencana President and Group CEO Shahril Shamsuddin

Malaysia’s SapuraKencana Petroleum Berhad announced they have signed a $5 billion refinancing deal with 13 local, regional and international banks.

The deal was coordinated by Maybank Investment Bank and CIMB Investment Bank.

The refinancing program is planned to streamline facilities that were inherited following the merger of SapuraCrest Petroleum and Kencana Petroleum in 2012.

The company also needed help financing its two most recent acquisitions, the Seadrill tender-rig business which has since been renamed SapuraKencana Drilling, and the purchase of the entire equity interest in Newfield Malaysia Holding Inc.

Approximately $3.9 billion of the refinancing package is dedicated for assets that are fully contracted out to international and national oil companies.

“Approximately 80 percent of the Group¹s projected EBITDA for the next 3 years is already secured by contracts. We believe the ability to demonstrate this strong and visible earnings for the Group was one of the main contributors for the overwhelming interest shown by the banks to support our company.” said SapuraKencana President and Group CEO Shahril Shamsuddin.