PETRONAS: PETRONAS Successfully Prices A US$600 Million Bond Offering

PETRONAS has successfully priced a US$ 600 million single tranche 7-year note. The issuance marks the first corporate bond issued by its wholly-owned subsidiary, PETRONAS Energy Canada Ltd (“PECL”).

The notes were priced at 85 bps over the 7-year US Treasury to yield 2.112%. The offering was met with overwhelming demand from the market throughout the bookbuilding process, illustrating the market’s confidence in PETRONAS’ credit strength, on the back of its current ratings of A2 by Moody’s, A- by S&P and BBB+ by Fitch.

Proceeds will be utilised by PECL to fund its continued development and production activities, debt refinancing and for general corporate purposes. PECL focuses on the development and production of oil and natural gas in Canada.

The Notes are expected to settle on March 23, 2021 and will be listed on the Hong Kong Stock Exchange. BofA Securities acted as Sole Global Coordinator, together with Citigroup, HSBC and ScotiaBank as Joint Bookrunners.

This announcement does not constitute or form part of any offer to purchase, a solicitation of an offer to purchase, an offer to sell or an invitation or solicitation of an offer to sell, issue or subscribe for, securities in or into the United States or to U.S. persons or in any other jurisdiction. No securities mentioned herein have been, or will be, registered under the U.S. Securities Act of 1934, as amended (the “Securities Act”), or any state securities laws or other jurisdiction of the United States and no such securities may be offered or sold in or into the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements under the Securities Act and any applicable state or local securities laws of the United States.