By Adriano Marchese


Vermilion Energy Inc. intends to issue $400 million worth of senior unsecured notes to reduce the size of its current credit facility.

The Calgary-based oil and gas producer said Tuesday that the senior unsecured notes will be due in eight years and will be issued in a private offering to qualified institutional buyers.

Vermilion said it will use the proceeds to reduce the size of its credit facility to 1.6 billion Canadian dollars, or US$1.67 billion, from C$2.1 billion.

Additionally, the company said its production in the first quarter of 86,200 barrels of oil equivalent a day exceeded the upper end of its initial guidance range of between 83,000 and 85,000 barrels a day for the year.

After it acquired Leucrotta Exploration Inc. late last month, its output guidance has since been revised upward to a range of between 86,000 and 88,000 barrels a day.


Write to Adriano Marchese at adriano.marchese@wsj.com


(END) Dow Jones Newswires

04-19-22 0828ET