Wragge & Co’s energy and infrastructure finance experts have advised HSBC Bank plc on a $300 million loan facility for the merged entity of two listed exploration and production (E&P) companies – Melrose Resources and Petroceltic International.
Partner Kieron Dwyer said: “This was a fantastic transaction to be involved in and demonstrates our ability to advise leading lenders in the upstream oil and gas space on some of the bigger E&P transactions, especially in emerging markets. The deal cements our relationship with the upstream oil and gas team at HSBC, one of the most active and successful oil and gas teams in the market.”
Kieron Dwyer led a cross-firm team, including director Joe Levin and solicitor Sarah-Jane Hogg. The Energy and Infrastructure Finance team received supporting tax advice from associate Patrick Allan and solicitor Paul Harrington, and corporate advice from partners Jeremy Millington and David Vaughan.
The team worked closely with HSBC Managing Director, William Stevens, oil and gas Director Ben Halperin and debt finance Director Ben Handler, as well as with Heidi Keville, in-house counsel.
William Stevens, said: “This was a strategically important deal for both of the companies involved, and for HSBC. We were delighted with the performance of Wragge & Co on the deal. Their well-respected team helped drive home a very time pressured closing.”
Petroceltic is an upstream oil and gas exploration and production company with headquarters in Dublin, Ireland, and with interests in Algeria, Italy and the Kurdistan Region of Iraq. Melrose Resources plc, prior to the merger, was a UK-listed oil and gas exploration, development and production company with core assets in North Africa and Eastern Europe.
The transaction involved working with local counsels in 11 jurisdictions and number of parties including the existing lenders to the Melrose group. Herbert Smith advised Petroceltic and CMS Cameron McKenna advised Melrose on the loan documentation. DLA advised Melrose on the merger documentation.
Wragge & Co is on HSBC’s panel of preferred law firms in the UK. This is the second large oil and gas deal on which the firm has worked with HSBC. Wragge & Co advised the bank on a $50 million borrowing base financing for Toronto Stock Exchange-listed Sea Dragon Energy to fund further development of Sea Dragon’s two petroleum concessions in Egypt.
Experienced in upstream oil and gas sector transactions, Wragge & Co’s energy and infrastructure finance specialists advise on acquisitions and disposals, and portfolio, project, development and borrowing base financings. Its clients include international, local and multilateral lenders.
They are part of a cross-firm, sector-focused Energy team, which also includes experts in regulatory, construction, corporate, real estate, environmental and planning matters. Legal 500 2011 praised the team’s “excellent specialist knowledge” and “good strength in depth”.
