Attached files
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| 8-K - Energy XXI Ltd | v204718_8k.htm |
Energy
XXI Gulf Coast, Inc.
Announces
Pricing of $750 Million Offering of Senior Notes
HOUSTON –
Dec. 3, 2010 – Energy XXI Gulf Coast, Inc. (the “Company”), the operating
subsidiary of Energy XXI (Bermuda) Limited (“Energy XXI”) (NASDAQ: EXXI)
(AIM: EXXI), today announced the pricing of its private placement of $750
million of 9.25% senior unsecured notes due 2017 (the “2017 Notes”). The
Company had initially targeted an offering of $700 million of the 2017 Notes,
but upsized the offering based on investor demand. The 2017 Notes were
sold at 100% of par to yield 9.25% to maturity. The offering is expected to
close Dec. 17, 2010, subject to customary closing conditions.
The
Company intends to use the net proceeds from the offering, together with
borrowings under its revolving credit facility and cash on hand provided by
Energy XXI’s recent equity offerings, (i) to finance the previously disclosed
purchase of certain shallow-water Gulf of Mexico shelf oil and natural gas
interests from ExxonMobil, (ii) to repurchase or redeem its 16% Second Lien
Junior Secured Notes due 2014 and (iii) to redeem $47.6 million of its 10%
Senior Notes due 2013.
The 2017
Notes have not been registered under the Securities Act of 1933, as amended (the
“Securities Act”), or any state securities laws; and unless so registered, may
not be offered or sold in the United States except pursuant to an exemption
from, or in a transaction not subject to, the registration requirements of the
Securities Act and applicable state securities laws.
This
press release is being issued pursuant to Rule 135C under the Securities Act,
and is neither an offer to sell nor a solicitation of an offer to buy the 2017
Notes or any other securities and shall not constitute an offer to sell or a
solicitation of an offer to buy, or a sale of, the 2017 Notes or any other
securities in any jurisdiction in which such offer, solicitation or sale is
unlawful.
Forward-Looking
Statements
All
statements included in this release relating to future plans, projects, events
or conditions and all other statements other than statements of historical fact
included in this release are forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. These statements are based
upon current expectations and are subject to a number of risks, uncertainties
and assumptions, including changes in long-term oil and gas prices or other
market conditions affecting the oil and gas industry, reservoir performance, the
outcome of commercial negotiations and changes in technical or operating
conditions, among others, that could cause actual results, including project
plans and related expenditures and resource recoveries, to differ materially
from those described in the forward-looking statements. Neither Energy XXI nor
the Company assumes any obligation and expressly disclaims any duty to update
the information contained herein except as required by law.
About
Energy XXI
Energy XXI is an independent oil and
natural gas exploration and production company whose growth strategy emphasizes
acquisitions, enhanced by its value-added organic drilling program. Energy
XXI’s properties are located in the U.S. Gulf of Mexico waters and the
Gulf Coast onshore. Seymour Pierce is Energy XXI’s listing broker in the
United Kingdom. The Company is an indirect wholly-owned subsidiary of
Energy XXI.
Enquiries
of the Company
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Energy XXI
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Pelham Bell Pottinger
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Stewart
Lawrence
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James
Henderson
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Vice
President, Investor Relations and
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jhenderson@pelhambellpottinger.co.uk
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Communications
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Mark
Antelme
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713-351-3006
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mantelme@pelhambellpottinger.co.uk
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slawrence@energyxxi.com
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+44
(0) 20 7861 3232
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Seymour Pierce – UK AIM
Adviser
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Jonathan
Wright/
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Jeremy
Porter – Corporate Finance
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Richard
Redmayne – Corporate Broking
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Tel:
+44 (0) 20 7107 8000
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