American Energy - Permian Basin, LLC Announces Offering of $560 Million of Senior Secured First Lien Notes Due 2020

OKLAHOMA CITY, Okla., Oct. 19, 2015 (GLOBE NEWSWIRE) -- American Energy – Permian Basin, LLC (AEPB), an affiliate of American Energy Partners, LP (AELP), announced today that it intends to offer $560 million of senior secured first lien notes due 2020 (Notes) in a private offering to qualified institutional buyers.

The net proceeds from the offering of the Notes will be used by AEPB to repay in full all loans outstanding under its revolving credit facility. In conjunction with this offering, AEPB and its lending group have agreed to amend AEPB's existing revolving credit facility, which will reset the borrowing base to zero. As of October 15, 2015, AEPB had approximately $40 million of cash and cash equivalents on hand and borrowings of $245 million outstanding under its revolving credit facility. A portion of the offering may be used to fund the remaining portion of a pending acquisition. Any additional proceeds are expected to be used to fund drilling and completion activities, related oil and gas infrastructure construction and for ongoing expenses related to daily activities of AEPB's business.

The Notes have not been registered under the Securities Act of 1933, as amended (Securities Act), or the securities laws of any other state or jurisdiction, and may not be offered or sold without registration or an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful.

This press release contains "forward-looking statements." All statements that are not statements of historical fact are forward-looking statements. These forward-looking statements are based on AEPB's current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. AEPB cautions you that these forward-looking statements are subject to risks and uncertainties, and that AEPB's actual results and plans could differ materially from those expressed in any forward-looking statements. Forward-looking statements speak only as of the date hereof, and AEPB disclaims any duty to update any forward-looking statements to reflect events or circumstances after the date hereof.

CONTACT: Media Contact: Mr. Steven Lipin, Brunswick Group, 212-333-3810, slipin@brunswickgroup.comSource:American Energy Partners LP