Navajo Nation Oil and Gas Company closes $80 Million First Lien Credit Facility

The Navajo Nation Oil and Gas Company (NNOGC) have announced the closing of an $80M first lien oil & gas term loan

News release

Navajo Nation Oil and Gas Company / Guggenheim Corporate Funding, LLC

The Navajo Nation Oil and Gas Company (NNOGC) have announced the closing on June 14, 2018 of a first lien oil & gas term loan credit facility with clients of Guggenheim Investments, a subsidiary of global asset management and investment advisory firm Guggenheim Partners.

The Company will use the proceeds to retire its Wells Fargo-led first lien credit facility and for general corporate purposes, including the future funding of anticipated Greater Aneth Field related capital expenditures.

Louis Denetsosie, President and Chief Executive Officer of NNOGC said, “The closing of this Facility is a significant step toward stabilizing NNOGC’s finances after the 2014 price decline and positions us to fully participate in the significant future development of the Greater Aneth Field.”

Mr. Denetsosie added, “We greatly appreciate the Navajo Nation’s support and the Wells Fargo-led bank group’s patience as we worked through alternatives to address the outstanding credit facility and our future capital needs.”

Guggenheim Corporate Funding, LLC will serve as administrative agent and collateral agent for the Facility. KeyBanc Capital Markets, LLC served as the Company’s financial advisor and sole placement agent.

About Navajo Nation Oil & Gas Company

Navajo Nation Oil & Gas Company is a federally incorporated oil and gas company wholly owned by the Navajo Nation. NNOGC has more than 80 employees with headquarters in St. Michaels, Ariz., and operations in New Mexico, Colorado and Utah. NNOGC owns and operates oil and natural gas interests, primarily in the San Juan Basin in New Mexico and the Greater Aneth, Tohonadla and Desert Creek fields in southeast Utah. The company also operates the Running Horse Pipeline in southeast Utah and northwest New Mexico and gas stations on the Navajo Nation under the Navajo Petroleum and Chevron brands. NNOGC was established as a federally chartered Section 17 Corporation under authority granted by the Navajo Nation Council and began operations in 1998.

About Guggenheim Investments

Guggenheim Investments is the global asset management and investment advisory division of Guggenheim Partners, with more than $246 billion[1] in total assets across fixed income, equity, and alternative strategies. It focuses on the return and risk needs of insurance companies, corporate and public pension funds, sovereign wealth funds, endowments and foundations, consultants, wealth managers, and high-net-worth investors. Its 300+ investment professionals perform rigorous research to understand market trends and identify undervalued opportunities in areas that are often complex and underfollowed. This approach to investment management has enabled Guggenheim Investments to deliver innovative strategies providing diversification opportunities and attractive long-term results.

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