Beach Petroleum managing director: Reg Nelson
Beach settles the tab
Australia’s Beach Petroleum has completed the repayment of more than A$650 million (US$527 million) in borrowings and is now debt free.
“Commencing 2009-2010 with no debt invigorates our growth strategy,” Beach’s managing director Reg Nelson said today.
He added “it significantly strengthens our balance sheet, provides unfettered financial clout for further corporate and project acquisitions, and underpins our production and reserves momentum as cash flow and revenue are not being diluted.”
The debt repayment was achieved through a successful capital raising of A$350 million, ongoing debt repayments made from Beach’s strong operating cash flows, further reducing the debt from A$300 million to A$181 million and the final payment using part of the A$260 million cash received from Arrow Energy in May.
The company has A4125 million cash in the bank.