EOG Resources, Inc. (EOG, Financial) has successfully completed an underwritten public offering of $1 billion in aggregate principal amount of its 5.650% Senior Notes, set to mature on December 1, 2054. This strategic financial maneuver was executed under an underwriting agreement dated November 18, 2024, with prominent financial institutions including J.P. Morgan Securities LLC, BofA Securities, Inc., Goldman Sachs & Co. LLC, and Wells Fargo Securities, LLC acting as representatives of the underwriters.
The issuance of these notes was conducted under an indenture agreement initially established on May 18, 2009, with Computershare Trust Company, N.A. serving as the trustee. The notes are senior, unsecured obligations of EOG Resources, ranking equally with all other unsecured and unsubordinated indebtedness of the company. However, they are effectively subordinated to any secured indebtedness to the extent of the value of the assets securing such debt.
EOG Resources retains the option to redeem these notes, either in whole or in part, prior to June 1, 2054, at a make-whole redemption price plus accrued interest. Post this date, the notes can be redeemed at 100% of their principal amount plus accrued interest.
This offering was registered under the Securities Act of 1933, as amended, through an automatic shelf registration statement on Form S-3, which became effective on December 16, 2021. The proceeds from this offering are expected to enhance EOG's liquidity position and provide greater flexibility in managing its debt portfolio.
In connection with the closing of the notes offering, EOG Resources has filed a legal opinion from Akin Gump Strauss Hauer & Feld LLP regarding the legality of the notes issued, which has been incorporated by reference into the registration statement.
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