September 24, 2008
CIT Serves As Sole Lead Arranger in $65 Million Financing for Petro Resources Corporation
CIT Group Inc. (NYSE: CIT), a leading global commercial finance company, today announced that it served as the sole lead arranger in a $65 million financing deal for Petro Resources Corporation, a Houston-based independent oil and natural gas company.
Financing for the deal was arranged by CIT Energy, a unit of CIT. The deal consists of a $50 million senior secured revolving credit facility and a $15 million second lien term loan. Petro Resources will use the proceeds to retire mezzanine debt incurred in its acquisition of Williston Basin assets, finance the company's capital program, and for general corporate purposes.
"This deal underscores our ability to understand the unique financing needs of exploration and production companies," said Peter Gaw, President of CIT Energy. "We are pleased to have had the opportunity to work with Petro Resources and provide financing solutions that meet their long-term needs."
Wayne Hall, CEO of Petro Resources Corporation said, "CIT Energy was able to provide a variety of financing options that supported our growth strategy. This transaction provides us a lower cost of borrowing, more flexibility in the funding of our capital program, and a base for future property acquisitions."
Individuals interested in listening to recent podcasts featuring Peter Gaw in which he discusses "Boom Times For The Oil and Gas Markets" and "Renewable & Alternative Energy" can visit www.5minutecapital.com. Individuals interested in receiving future updates on CIT via e-mail can register at http://newsalerts.cit.com.
About Petro Resources Corporation
Petro Resources Corporation is an independent exploration and production company engaged in acquisitions of exploratory leases, acquisitions of producing properties, secondary enhanced oil recovery projects, exploratory drilling, and production of oil and natural gas in the United States.
About CIT Energy
CIT Energy is leading provider of value added financing and advisory products and services to high growth, entrepreneurial companies throughout the energy sector. It covers the full value chain including: Exploration & Production, Oilfield Services, Midstream, Power, Energy Technologies and Metal & Mining. By combining extensive industry experience, structuring expertise and underwriting capacity, CIT Energy provides comprehensive solutions to our clients most critical strategic and funding needs.
CIT (NYSE: CIT) is a global commercial finance company that provides financial products and advisory services to more than one million customers in over 50 countries across 30 industries. A leader in middle market financing, CIT has more than $70 billion in managed assets and provides financial solutions for more than half of the Fortune 1000. A member of the S&P 500 and Fortune 500, it maintains leading positions in asset-based, cash flow and Small Business Administration lending, equipment leasing, vendor financing and factoring. The CIT brand platform, Capital Redefined, articulates its value proposition of providing its customers with the relationship, intellectual and financial capital to yield infinite possibilities. Founded in 1908, CIT is celebrating its Centennial throughout 2008. www.cit.com