PETROPERÚ negotiates amendments with its creditors

As announced by PETROPERÚ on May 10, after the signing of the contract with PricewaterhouseCoopers (PwC) for the audit of the 2021 Financial Statements (EEFF 2021), actions are being carried out to request the extension of the deadline for the presentation of the 2021 Financial Statements to creditors.

Along these lines, in relation to the steps taken with the Spanish Export Credit Agency (CESCE), from May 17 to 19, coordination meetings were held in the city of Madrid, Spain, in which the situation was explained of PETROPERÚ and the strategies that it has been undertaking in order to recover the trust of its stakeholders, obtaining the predisposition of the bank union and the entities of the Spanish Government for the approval of the proposed amendment. PETROPERÚ is awaiting formal approval from the corresponding entities. This management was carried out through Deutsche Bank, administrative agent of the contract.

As it is recalled, in 2017, PETROPERÚ received the funds from the disbursement of long-term credit guaranteed by CESCE (financial facility for an amount of US$ 1.3 billion) in which a total of thirteen international banks participated.

In parallel, PETROPERÚ initiated a consent solicitation process with the bondholders. To this end, since May 5, it has been working with Citigroup, HSBC and Santander banks, as well as with the PETROPERÚ team and external legal advisors, preparing the required documents. It should be noted that the company made bond issues in the international debt markets for US$ 3,000 million.

The Consent Solicitation process has been convened as of today, May 23, and will expire at 5:00 p.m. m. on May 31, 2022, New York City time. With the approval of the simple majority of the bondholders, the term to present the audited financial statements for 2021 would be extended.

To this end, a team from PETROPERÚ will hold working meetings with the bondholders from May 24 to 27 in New York City, in order to present the situation of the company, inform the date of issuance of the Financial Statements 2021 and support the request for the amendment.

These actions are framed in the contractual terms and conditions signed with the creditors, compliance with which contributes to the sustainability of the company. Likewise, they are part of the action plan of the new Administration to recover the confidence of the market, which will make it possible to continue effectively stabilizing PETROPERÚ's financial situation.