/cloudfront-us-east-1.images.arcpublishing.com/prisaradioco/UHE3CBC5SVO5VMCIASO3IZDDEU.jpg "Ecopetrol obtains an international credit of 1,000 million dollars")
Colombian state oil company Ecopetrol has signed a five-year credit agreement for $1,000 million as part of its refinancing strategy with 2023 maturitiesThe company reported on Tuesday.
Of that total, $700 million will come The Bank of Nova Scotiaand the remaining $300 million will come from Sumitomo Mitsui Banking Corporation, the company said in a statement.
the loan has a duration of five years from the date of signing the contract. The conditions include the repayment of the principal in four equal half-yearly installments in the last two years of the contract and a variable interest rate of SOFT + 210 basis points payable half-yearly.
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Ecopetrol, the largest company in Colombiahe specified that the credit was authorized by the Ministry of Finance “to carry out an external public debt management operation”.
This management consists in replacing the current nominal value of $665 million of an external loan contracted on September 20, 2018 with Mizuho Bank LTD, The Bank of Nova Scotia and Banco Sabadell.
The money will also be used to make principal payments on the Cartagena Refinery’s receivables, undertaken by ecopetrol and authorized in December 2017.
“The conditions obtained confirm the trust of the international financial sector in the Company and its proactive management of debt maturities up to 2023”, he added. ecopetrol in the statement.
ecopetrol announced on Dec. 9 that it will invest between 25.3 and 29.8 trillion pesos (between $5,310 and $6,255 million today) in 2023 to accelerate the transition and energy sovereignty.
