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Origin Energy signs loan deal

Australian energy outfit Origin Energy said today that it has agreed an underwritten syndicated credit facility to fund capital spending projects.

The three-year facility is structured on a senior unsecured basis and comprises A$900 million (US$818 million) of revolving and term tranches, plus a $200 million revolving tranche.

The banks involved are Australia & New Zealand Banking, Commonwealth Bank of Australia, Deutsche Bank , JP Morgan and National Australia Bank, Reuters reported..

"The facility will be used along with cash flows and existing facilities to fund Origin's previously announced growth capital expenditure requirements, including the Darling Downs Power Station project and ongoing coal-seam gas developments," Origin chief financial officer Frank Calabria said in a statement.

Syndication of the facility to Origin's present banks and to new banks is expected to be completed in March, it said.

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