Comstock Resources gets commitment for $400 million revolver

By Sara Rosenberg

New York, Feb. 12 - Comstock Resources Inc. has received a commitment for a new $400 million revolving credit facility due in 2008. Harris Nesbitt Corp. is the lead bank on the revolver.

The revolver will carry an interest rate ranging from Libor plus 125 basis points to Libor plus 175 basis points, depending on utilization, according to a company news release.

Proceeds, combined with proceeds from a proposed $150 million new senior notes offering, will be used to refinance existing long-term debt including the $86 million outstanding at Dec. 31 under the existing revolver and the $220 million in outstanding 11.25% senior notes that mature in May 2007.

Borrowings under the new credit facility will be limited to a borrowing base initially set at $310 million assuming the retirement of all existing senior notes and the issuance of the new senior notes.

Comstock is a Frisco, Texas, independent energy company.

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