PLATTEVILLE, CO--(Marketwired - June 05, 2014) - Synergy Resources Corporation (NYSE MKT: SYRG) announced that the borrowing base on its $300 million credit facility led by Community Banks of Colorado has increased to $110 million. The credit facility has been extended from a maturity date of November 2016 to a new maturity date of June 2019. The facility bears interest at a floating rate based upon LIBOR or Prime Rate plus a margin, with a floor interest rate of 2.5%.
Monty Jennings, CFO, of Synergy Resources, commented, "The increase in our borrowing base reflects the growth in the PV10 value of our proved reserves to over $326 million as of February 28th, 2014. We appreciate Community Banks of Colorado and the other members of the syndicate, including Amegy Bank National Association, Key Bank National Association, SunTrust Bank and Colorado Business Bank, for their continued responsiveness to our capital requirements as we grow. The expansion of the borrowing base provides $73 million of additional liquidity to Synergy as we develop our Wattenberg assets with horizontal drilling and as we expand our footprint in the Greater Wattenberg Area through leasing and acquisition activities."
About Synergy Resources Corporation
Synergy Resources Corporation is a domestic oil and natural gas exploration and production company. Synergy's core area of operations is in the Denver-Julesburg Basin, which encompasses Colorado, Wyoming, Kansas, and Nebraska. The Wattenberg field in the D-J Basin ranks as one of the most productive fields in the U.S. The company's corporate offices are located in Platteville, Colorado. More company news and information about Synergy Resources is available at www.syrginfo.com.
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