RAM Energy Resources Reports Borrowing Base Reaffirmed by Commercial Lenders

RAM Energy Resources, Inc. (Nasdaq: RAME) reported today that the company�s existing borrowing base of $175.0 million on its revolving credit facility was reaffirmed by the company�s commercial lenders as a result of RAM�s regularly scheduled semi-annual borrowing base redetermination.

2009 Borrowing Base Reaffirmed

The company�s $250.0 million revolving credit facility had a borrowing base of $175.0 million at December 31, 2008. As a result of the semi-annual borrowing base redetermination, RAM�s commercial lenders on April 1, 2009 reaffirmed the borrowing base of $175.0 million based on the value of the company�s proved reserves at year-end 2008. Funds advanced under the revolver may be paid down and re-borrowed during the term of the revolver which matures November 2011. At March 31, 2009 the outstanding balance under the revolving facility was $147.0 million, with remaining availability of $28.0 million, less $300,000 for outstanding letters of credit. The balance of the term loan portion of the credit facility is $113.4 million at March 31, 2009 with a maturity of November 2012. The weighted average LIBOR-based interest rate on total outstanding borrowings of both the revolver and term loan are anticipated to be less than 6.0 percent in the first quarter 2009.

�The reaffirmation of our borrowing base and the availability remaining under our revolving credit facility provide an important degree of liquidity and flexibility,� said Larry Lee, President and CEO. �The excess borrowing capacity allows RAM to smooth out quarterly volatility in operating cash flow so that on an annual basis the 2009 non-acquisition capital budget of $40.0 - $45.0 million, remains within estimated cash flows,� added Mr. Lee.

Forward-Looking Statements

This release includes certain statements that may be deemed to be �forward-looking statements� within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address explicit or implicit estimates of borrowing availability, financial lending covenants, future production, capital spending, cash flow, realized prices of oil and gas, interest expense and events or developments that the company expects or believes are forward-looking statements. Although RAM believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include oil and gas prices, developmental, exploitation and exploration successes, actions taken and to be taken by governments as a result of political and economic conditions or other factors, inflation rates, continued availability of capital and financing, and general economic, market or business conditions as well as other risk factors described from time to time in the company�s filings with the SEC. The company assumes no obligation to update publicly such forward-looking statements, whether as a result of new information, future events or otherwise.

RAM is an independent energy company engaged in the acquisition, development, exploitation and exploration of oil and gas properties and the marketing of natural gas and crude oil. Company headquarters are in Tulsa, Oklahoma, and its common shares are traded on the Nasdaq Exchange under the symbol RAME. For additional information, visit the company website at www.ramenergy.com.

Ram Energy Resources, Inc. (MM) (NASDAQ:RAME)
Graphique Historique de l'Action
De Juin 2024 à Juil 2024