trending Market Intelligence /marketintelligence/en/news-insights/trending/f0lR4FVMBgnJ3Mb05HabJw2 content esgSubNav
In This List

Marathon Oil closes senior notes redemption, 2 other transactions

Podcast

Next in Tech | Episode 49: Carbon reduction in cloud

Blog

Using ESG Analysis to Support a Sustainable Future

Research

US utility commissioners: Who they are and how they impact regulation

Blog

Q&A: Datacenters: Energy Hogs or Sustainability Helpers?


Marathon Oil closes senior notes redemption, 2 other transactions

Marathon Oil Corp. closed three separate transactions, including its early redemption of $600 million of its 2.7% senior unsecured notes due 2020, according to an Oct. 3 news release.

The oil company also closed Oct. 1 its remarketing of sub-series A bonds, which are part of the $1 billion St. John the Baptist, La., series 2017 revenue refunding bonds issued Dec. 18, 2017. The sub-series A bonds would accrue interest at a 2.00% rate for the A-1 bonds, 2.10% for the A-2 bonds and 2.20% for the A-3 bonds. All bonds have a par value of $200 million and a maturity date of June 1, 2037. Marathon Oil would continue to own the remaining $400 million of the 2017 bonds.

Marathon Oil on Sept. 24 also amended its credit agreement to reduce its size from $3.39 billion to $3.0 billion and to extend the maturity date to May 28, 2023.

Marathon Oil's next debt maturity would be its $1 billion 2.8% senior unsecured notes due 2022. With the completion of the three transactions, Marathon Oil has generated annualized cash cost savings of approximately $6 million.