Goodrich Petroleum to preserve zero balance on revolver through 2009

By Jennifer Lanning Drey

Portland, Ore., April 20 - Goodrich Petroleum Corp. expects to maintain the current zero outstanding balance on its revolving credit facility through the end of 2009, Walter "Gil" Goodrich, chief executive officer of the company, said during a Monday presentation at the IPAA Oil & Gas Investment Symposium in New York.

The borrowing base on the facility is currently being reevaluated through a process expected to be completed within the next week and to produce a similar amount to the previous $175 million.

Goodrich also has a second-lien term loan maturing in December 2010, which it is "well-prepared to take care of," Goodrich said.

The company ended 2008 with cash and cash equivalents of $147.5 million.

Goodrich's strategy focuses on organically growing its production and reserves. The company believes its $300 million budget for 2009 should allow it to grow volumes to about 30% to 40% annually over 2008 levels, Goodrich said.

Approximately 65% of Goodrich's 2009 budget is earmarked for horizontal drilling in the Haynesville Shale in Texas and Louisiana.

Goodrich is a Houston-based independent oil and gas exploration and production company.

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