CNX Resources Corporation (NYSE: CNX) today announced that it intends, subject to market and other conditions, to offer and sell to eligible purchasers $200.0 million aggregate principal amount of 7.250% senior notes due 2027. The New Notes are being offered as additional notes under an indenture, dated March 14, 2019, pursuant to which CNX previously issued $500.0 million aggregate principal amount of 7.250% senior notes due 2027 (the "Initial Notes"). The New Notes will be guaranteed by all of CNX's wholly-owned domestic restricted subsidiaries that guarantee its revolving credit facility and have identical terms as the Initial Notes, other than the issue date, and the New Notes and the Initial Notes will be treated as a single class of securities under the Indenture. CNX intends to use the net proceeds of the sale of the Notes, together with additional borrowings under its revolving credit facility, to redeem, conditioned upon closing of the offering of the New Notes, all of its outstanding 5.875% senior notes due 2022 (the "2022 Notes"), eliminating any senior note maturities prior to 2026.
The New Notes have not been, and will not be, registered under the Securities Act of 1933, as amended (the "Securities Act"), or any state securities laws and may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and the rules promulgated thereunder and applicable state securities laws. The New Notes will be offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act and non-U.S. persons in transactions outside the United States in reliance on Regulation S under the Securities Act.
This press release does not and shall not constitute an offer to sell or the solicitation of an offer to buy any notes, nor shall there be any offer, solicitation or sale of notes in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. The offering may be made only by means of an offering memorandum. This press release does not and shall not constitute a notice of redemption under the optional redemption provisions of the indenture governing the 2022 Notes.
About CNX Resources Corporation
CNX Resources Corporation (NYSE: CNX) is one of the largest independent natural gas exploration, development and production companies, with operations centered in the major shale formations of the Appalachian basin. The company deploys an organic growth strategy focused on responsibly developing its resource base. As of December 31, 2019, CNX had 8.4 trillion cubic feet equivalent of proved natural gas reserves. The company is a member of the Standard & Poor's Midcap 400 Index.
