Plains All American to repay facilities, CP program with proceeds

By Sarah Lizee

Olympia, Wash., Oct. 2 – Plains All American Pipeline LP plans to repay amounts outstanding under its credit facilities and commercial paper program using proceeds from a new offering of cumulative redeemable preferred units, according to a prospectus filed with the Securities and Exchange Commission.

As of Sept. 28, the company had roughly $650 million outstanding under the senior secured hedged inventory facility with a weighted average interest rate of 2.3%. Substantially all of the commitments under the facility mature in August 2020.

As of Sept. 28, the company had roughly $833 million outstanding under the commercial paper program with a weighted average interest rate of about 2.4%. Borrowings under the program have maturity dates of three months or less.

Proceeds will also be used for general partnership purposes, which may include repayment of debt, acquisitions, capital expenditures and additions to working capital.

Plains All American is a Houston-based midstream oil and gas company.

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