Obsidian Energy Announces Offering and Pricing of $175 Million, 5-Year Senior Unsecured Notes due in 2030 and Redemption of Existing $80.8 Million Senior Unsecured Notes due in 2027

Core Viewpoint - Obsidian Energy is conducting a private placement offering of $175 million in senior unsecured notes with an interest rate of 8.125%, maturing in 2030, to refinance existing debt and strengthen its balance sheet amid commodity price volatility [1][2][3] Group 1: Offering Details - The offering consists of $175 million aggregate principal amount of 8.125% senior unsecured notes due December 3, 2030 [1] - The notes will be issued at par and will rank equally with all other present and future senior unsecured indebtedness of the company [1] - Closing of the offering is expected around December 3, 2025, subject to customary closing conditions [1] Group 2: Use of Proceeds - Net proceeds from the offering will be used to redeem existing $80.8 million senior unsecured notes due July 27, 2027, pay down debt under the syndicated credit facility, and cover related transaction expenses [2] - Post-offering, the company's syndicated credit facility of $235 million will have approximately $5 million drawn [2] Group 3: Management Commentary - The President and CEO of Obsidian Energy highlighted the opportunity to refinance at a lower interest rate, which strengthens the balance sheet and provides flexibility for production growth and shareholder returns [3]