Paris, 12 May 2022

No. 12-22

Completion of debt refinancing process and increase of the proposed dividend to €0.14 per share

  • Debt refinanced on favourable terms

    • o Five-year bank loan for $255 million, including $67 million as a revolving credit facility

    • o Six-year shareholder loan with $182 million available

    • o Highly competitive interest rates for the sector (SOFR + 2.00%/2.25% for the bank loan and SOFR + 2.10% for the shareholder loan) thanks to the continued support of PIEP, M&P's majority shareholder

  • Robust debt repayment profile and increased financial flexibility

    • o Debt repayment compatible with a Brent price of $45/bbl over the period

    • o Active liquidity management thanks to the revolving portion of the bank loan

    • o End to cap on dividend distribution by M&P

  • Completion of the refinancing allows for the proposed dividend for fiscal year 2021 to be increased from €0.07 to €0.14 per share

    • o $30 million to be paid out to shareholders

    • o The approval of the dividend will be put to the vote of the General Shareholders' Meeting on 17 May, with a payment in July

The Maurel & Prom group ("M&P", "the Group") has secured a new bank loan as well as an extension and amendment of its shareholder loan in order to refinance the existing term loan facility which was entered into in December 2017 with a syndicate of lenders.

As a reminder, M&P's current gross debt before refinancing amounts to $489 million, including $406 million for the term loan, and $82 million (as well as $100 million undrawn) for the shareholder loan from PT Pertamina Internasional Eksplorasi dan Produksi ("PIEP"), M&P's majority shareholder. Note that M&P's cash position at the end of March 2022 was $187 million, giving net debt of $302 million.

The documentation for the new loans, with a total available amount of $437 million, was finalised on 12 May 2022, and M&P now has 60 days to draw the bank loan to repay the existing term loan. It should be highlighted that these loans do not include any cap on dividend distributions to be made by M&P.

Olivier de Langavant, Chief Executive Officer at M&P, stated: "In an environment where access to credit is becoming increasingly difficult and costly for companies in our sector, we have secured very favourable borrowing terms for the next six years. Our repayment schedule allows us to confidently continue working on our development and enables the full repayment of our debt even at oil prices well below current levels. Finally, the lifting of restrictions on dividends opens the door to a firm policy of returning value creation to shareholders, within the framework of a balanced capital allocation strategy."

Key terms of the refinanced debt facilities:

Bank loan Amortised tranche

Bank loan RCF tranche

Shareholder loan

Available amount

$188mm

$67mm

$182mm

Interest rates

SOFR + 2.00%

SOFR + 2.25% (0.675% on undrawn portion)SOFR + 2.10%

Repayments First instalment1 Last instalment1

18 quarterly instalments

Q2 2023

At maturity -

22 quarterly instalments

Q2 2023

Q3 2027

Q3 2027

Q3 2028

Impact of the refinancing on debt repayment profile from May 20221:

Current facilities ($489mm)

Term loanShareholder loan

$350mm

$303mm

$300mm

28

$250mm

$200mm

$141mm

$150mm

9

275

$100mm

$45mm 131

$50mm

45

$0mm

2022

2023

2024

2025

2026

2027

2028

New facilities ($437mm)

Bank loan (amortised tranche)Bank loan (RCF tranche)Shareholder loan

$350mm

$300mm $250mm $200mm $150mm

$100mm $50mm $0mm 2022

$128mm

$72mm $70mm $70mm $70mm

33

25 47

33 38

33 38

33 38

67

$26mm

28

26

2023

2024

2025

2026

2027

2028

The banks participating in the bank loan are: Bank of Tokyo-Mitsubishi UFJ, Bank Mandiri, Crédit Agricole and Kasikornbank. Furthermore, M&P retains the right to upsize the bank loan, with new or existing lenders, under the same conditions, within eight months and up to a maximum amount of $400 million (i.e. a maximum increase of $145 million).

1 Assuming loans are drawn in full at the end of the authorised 60-day drawing period (July 2022)

Français

Anglais

pieds cubes

pc

cf

cubic feet

millions de pieds cubes par jour

Mpc/j

mmcfd

million cubic feet per day

milliards de pieds cubes

Gpc

bcf

billion cubic feet

baril

B

bbl

barrel

barils d'huile par jour

b/j

bopd

barrels of oil per day

millions de barils

Mb

mmbbls

million barrels

barils équivalent pétrole

bep

boe

barrels of oil equivalent

barils équivalent pétrole par jour

bep/j

boepd

barrels of oil equivalent per day

millions de barils équivalent pétrole

Mbep

mmboe

million barrels of oil equivalent

For more information, visitwww.maureletprom.fr/en/

Contacts

Maurel & Prom

Press, shareholder and investor relations Tel: +33 (0)1 53 83 16 45ir@maureletprom.fr

NewCap

Financial communications and investor relations/Media relations Louis-Victor Delouvrier/Nicolas Merigeau

Tel: +33 (0)1 44 71 98 53/+33 (0)1 44 71 94 98maureletprom@newcap.eu

This document may contain forward-looking statements regarding the financial position, results, business activities and industrial strategy of Maurel & Prom. By nature, forward-looking statements contain risks and uncertainties to the extent that they are based on events or circumstances that may or may not happen in the future. These projections are based on assumptions we believe to be reasonable, but which may prove to be incorrect and which depend on a number of risk factors, such as fluctuations in crude oil prices, changes in exchange rates, uncertainties related to the valuation of our oil reserves, actual rates of oil production and the related costs, operational problems, political stability, legislative or regulatory reforms, or even wars, terrorism and sabotage.

Maurel & Prom is listed for trading on Euronext Paris

CAC All-Tradable - CAC Small - CAC Mid & Small - Eligible PEA-PME and SRD

Isin FR0000051070/Bloomberg MAU.FP/Reuters MAUP.PA

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Établissements Maurel & Prom SA published this content on 12 May 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 May 2022 05:38:06 UTC.