PRESS
RELEASE 05-03-06 Company
Announces New Deal
Houston
(BusinessWire) – May 3,
2006 – NGP Capital
Resources Company (NASDAQ: NGPC)
today announced that it has closed
an $85 million Senior Secured
Credit Facility (the “Facility”)
and a $10 million Senior Subordinated
Secured Convertible Term Loan
(the “Convertible Term Loan”)
with Resaca Exploitation, LP (“Resaca”),
a private Houston, Texas based
oil and gas producer affiliated
with Torch Energy Advisors Incorporated.
NGPC acted as arranger and agent
for the Facility and the Convertible
Term Loan and has committed to
fund 40% of each, with the remaining
commitments provided by other
investors. Initial availability
under the Facility is approximately
$76 million, with approximately
$62 million funded; an additional
$10 million was made available
and funded under the Convertible
Term Loan. NGPC’s portion
of the initial funding was $24.6
million under the Facility and
$4.0 million under the Convertible
Term Loan.
The Facility and the Convertible
Term Loan are secured by first
and second liens, respectively,
on substantially all of Resaca’s
properties. Additionally, as partial
consideration for providing the
Facility and Convertible Term
Loan, NGPC received an overriding
royalty interest in Resaca’s
properties.
Proceeds of the Facility and the
Convertible Term Loan will be
used by Resaca to acquire and
develop oil and gas assets located
in west Texas and New Mexico.
Following this investment, NGPC
currently has committed and made
available for funding an approximate
total of $172 million to nine
portfolio companies, with approximately
$147 million currently outstanding.
About NGP Capital Resources
Company
NGP Capital Resources Company
is a closed-end investment company
that has elected to be treated
as a business development company
under the Investment Company Act
of 1940. The Company's investment
portfolio is focused principally
on energy related private companies
and public companies not traded
on a national exchange. From time
to time, the Company may also
invest in other public companies
that are traded on a national
exchange. The Company invests
primarily in senior secured and
mezzanine loans in furtherance
of its business plan and may also
make equity investments in portfolio
companies in connection with such
investments. NGP Capital Resources
Company is managed by NGP Investment
Advisor, LP, an affiliate of NGP
Energy Capital Management. NGP
Energy Capital Management, based
in Irving, Texas, is a leading
investment firm with over $3.6
billion of cumulative capital
under management since inception,
serving all sectors of the energy
industry.
This press release may contain
forward-looking statements. These
forward-looking statements are
subject to various risks and uncertainties,
which could cause actual results
and conditions to differ materially
from those projected, including
the uncertainties associated with
the timing of transaction closings,
changes in interest rates, availability
of transactions, the future operating
results of our portfolio companies,
changes in regional, national,
or international economic conditions
and their impact on the industries
in which we invest, or changes
in the conditions of the industries
in which we invest, and other
factors enumerated in our filings
with the Securities and Exchange
Commission.
We may use words such as "anticipates,"
"believes," "expects,"
"intends," "will,"
"should," "may"
and similar expressions to identify
forward-looking statements. Undue
reliance should not be placed
on such forward-looking statements
as such statements speak only
as of the date on which they are
made. We do not undertake to update
our forward-looking statements
unless required by law.
Persons considering an investment
in NGP Capital Resources Company
should consider the investment
objectives, risks, and charges
and expenses of the company carefully
before investing. Such information
and other information about the
company is available in our annual
report on Form 10-K, in our quarterly
reports on Form 10-Q and in prospectuses
we issue from time to time in
connection with our offering of
securities. Such materials are
filed with the SEC and copies
are available on the SEC’s
website, www.sec.gov. Prospective
investors should read such materials
carefully before investing.
INVESTMENT
CONTACT: Please send
investment proposals to: NGP Capital
Resources Company, Rich Bernardy
(rbernardy@ngpcrc.com) or Kelly
Plato (kplato@ngpcrc.com), 713-752-0062.
INVESTOR
RELATIONS : Steve Gardner, 713-752-0062
(investor_relations@ngpcrc.com)
[Back
to Main Page]
Previous
New Releases ++++++++++++++++++++++++++++++
