Petrowest Announces New Revolving Operating Credit Facility

CALGARY, Sept. 4, 2013 /CNW/ - Petrowest Corporation (PRW : TMX) announced 
today that it has entered into a new $30 million revolving operating credit 
facility with Bank of Montreal (the "New Facility"). The New Facility matures 
in 36 months. 
The interest rate for the New Facility is, at the election of Petrowest, the 
prime rate or the discount rate for bankers acceptances. The New Facility is 
secured by a general security agreement providing a first ranking security 
interest over all of the working capital/current assets of Petrowest 
Corporation and of each subsidiary and limited partnership in the Petrowest 
group and a second ranking security interest over all other assets. 
The New Facility allows Petrowest to draw up to $30 million, based upon a 
borrowing base determined by the value of accounts receivable. A total of 
$18.5 million was funded at closing, and $11.5 million remains available to 
draw by Petrowest subject to borrowing base availability. 
Lloyd Wiggins, Petrowest's Chief Financial Officer, stated, "we are pleased to 
have entered into a new credit facility with interest rates significantly 
lower than our existing $22.2 million Canadian dollar term loan. The lower 
carrying costs will benefit Petrowest from both a cash flow and bottom line 
perspective going forward. In addition, the New Facility will provide us with 
financing based on our working capital requirements." 
The existing $22.2 million Canadian dollar term loan (which had a maturity 
date of June 13, 2015) is being paid out with the proceeds from the New 
Facility and cash on hand. 
About Petrowest 
Petrowest is an Alberta corporation involved in pre-drilling and 
post-completion energy services as well as industrial and civil infrastructure 
projects, gravel crushing and hauling for non-energy sector customers. 
Petrowest's primary operations are based in the Grande Prairie area of 
northern Alberta and in northeastern British Columbia. 
Richard Quigley, President and Chief Executive Officer, at (780)  830-0881, or 
Ian Hogg, Vice President, Corporate Affairs, at (403)  384-0407, or Lloyd 
Wiggins, Chief Financial Officer, at (416) 572-2160,  orinfo@petro-west.com 
SOURCE: Petrowest Corporation 
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CO: Petrowest Corporation
ST: Alberta
NI: OIL LOAN MNA  
-0- Sep/04/2013 20:16 GMT
 
 
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