Frontera Energy Strikes $120 Million Financing and Oil Deliveries Agreement With Chevron — Update
By Adriano Marchese
Frontera Energy's Colombian subsidiary has struck a financing deal with Chevron Products Company worth up to $120 million in exchange for future oil deliveries.
The oil and gas company focused on Latin America said Monday that under the prepayment and commercial agreement, it will receive an initial advance of $80 million and commit to deliver a portion of its crude oil production for a period of two years to Chevron.
Frontera has the right to request an additional $40 million advance for up to six months on a fully committed basis, it said.
The company will repay the advance over time at an annual interest rate equal to the base rate plus 4.25%, beginning in six months after a grace period expires.
The agreement replaces an existing prepayment agreement which is set to expire at the end of January 2026.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
December 29, 2025 08:30 ET (13:30 GMT)
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