SOURCE: Mariner Energy, Inc.

Mariner Energy, Inc.

April 08, 2010 18:30 ET

Mariner Energy's Borrowing Base Increased to $950 Million

HOUSTON, TX--(Marketwire - April 8, 2010) -  Mariner Energy, Inc. (NYSE: ME) today announced that the borrowing base for its $1.0 billion secured revolving credit facility has been increased to $950.0 million, up from $800.0 million. The credit facility is provided by a syndicate of 18 banks led by Union Bank, N.A., and BNP Paribas. After giving effect to today's increased borrowing base and $4.7 million in outstanding letters of credit, Mariner has approximately $613.0 million available under the credit facility. The borrowing base is scheduled to be redetermined semi-annually. In connection with the latest redetermination, the facility also was amended to, among other things, increase the maximum permitted ratio of total debt to EBITDA (as defined in the credit agreement) to 3.5 to 1.0, up from 2.5 to 1.0. 

"We appreciate our bankers' support of Mariner Energy. The increased borrowing base and amended credit agreement provide us added financial flexibility to pursue our growth initiatives and execute our current plans," said Jesus G. Melendrez, Senior Vice President, Chief Commercial Officer and Acting Chief Financial Officer. 

About Mariner Energy, Inc.
Mariner Energy is an independent oil and gas exploration, development, and production company headquartered in Houston, Texas, with principal operations in the Permian Basin, Gulf Coast and the Gulf of Mexico. For more information about Mariner, visit the company's website at www.mariner-energy.com.

Important Information Concerning Forward-looking Statements
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical facts, that address activities that Mariner assumes, plans, expects, believes, projects, estimates or anticipates (and other similar expressions) will, should or may occur in the future are forward-looking statements. Our forward-looking statements generally are accompanied by words such as "may", "will", "estimate", "project", "predict", "believe", "expect", "anticipate", "potential", "plan", "goal", or other words that convey the uncertainty of future events or outcomes. Forward-looking statements provided in this press release are based on Mariner's current belief based on currently available information as to the outcome and timing of future events and assumptions that Mariner believes are reasonable. Mariner does not undertake to update its guidance, estimates or other forward-looking statements as conditions change or as additional information becomes available. Estimated reserves are related to hydrocarbon prices. Hydrocarbon prices used in estimating reserves may vary significantly from actual future prices. Therefore, volumes of reserves actually recovered may differ significantly from such estimates. Mariner cautions that its forward-looking statements are subject to all of the risks and uncertainties normally incident to the exploration for and development, production and sale of oil and natural gas. These risks include, but are not limited to, price volatility or inflation, environmental risks, drilling and other operating risks, regulatory changes, the uncertainty inherent in estimating future oil and gas production or reserves, and other risks described in Mariner's latest Annual Report on Form 10-K and other documents filed by Mariner with the Securities and Exchange Commission (SEC). Any of these factors could cause Mariner's actual results and plans of Mariner to differ materially from those in the forward-looking statements. Investors are urged to read Mariner's latest Annual Report on Form 10-K and other documents filed by Mariner with the SEC. 

This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities of Mariner.