Philippines' Energy Development Corporation clinches $215m loan facility

A huge chunk will be spent on drilling projects.

The Philippines’ Energy Development Corporation (EDC) has revealed that it will secure three-year bilateral loan facilities with various local banks for a total amount of up to PHP11.5b (US$215m).

In a disclosure to the Philippine stock exchange, EDC stated that the proceeds of the facilities will be used to refinance its USD80m club loan, fund a portion of its capital expediture program, and other general corporate purposes.

A report by local paper BusinessWorld quoted EDC’s head for corporate finance as saying that a big part of the company’s growth projects are related to drilling, with three wells in the project pipeline this year alone.

In the first quarter of 2018, EDC reported a double-digit slide in revenue. Its net income plunged by almost half. Still, the company expects its revenue and profits to stay flat in 2018.