Select Energy Services enhances its financial strength and sustainability leadership

Under the terms of the amended facility, Select will receive pricing benefits for achieving ambitious targets associated with escalating volumes of produced water recycled through its fixed facilities

Select Energy Services, a leading provider of sustainable full life cycle water and chemical solutions to the U.S. unconventional oil and gas industry, announced that it has successfully transitioned its existing Asset-Backed Loan facility into a Sustainability-Linked Loan facility, while extending the facility through March of 2027.

Under the terms of the amended facility, Select will receive pricing benefits for achieving ambitious targets associated with escalating volumes of produced water recycled through its fixed facilities and operating substantially more safely than industry peers, or pay higher fees for failing to hit those targets.

John Schmitz, Select's Chairman, President and CEO, stated, "We take our leadership in providing sustainable full life cycle water and chemical solutions seriously, and embrace new accountability to expand this leading position. Safety has long been a core value at Select, as exemplified by our continued outperformance of industry figures. We always seek continuous improvement across all of our operations through training, investments in technology, and novel incentive programs. This facility is one more way we are investing in safety and holding our organization accountable.

Nick Swyka, Select's Senior Vice President and Chief Financial Officer, added, "This credit facility extends our robust liquidity profile well into the future, providing us with the continued confidence to make the accretive investments in water recycling our customers are seeking. The sustainability targets we have committed to reflect not only our dedication to furthering employee safety and environmental stewardship, but also to increasing our investments in water recycling, a core strategic growth area for our business. We appreciate our financial lenders' support in broadening the scope of our existing credit facility to embrace these concepts in a first-of-its-kind credit facility for the oilfield services industry."

The Lead Arranger for the facility was Wells Fargo Bank, N. A., with Bank of America, N. A. acting as Joint Lead Arranger and Joint Bookrunner. Wells Fargo Capital Finance, LLC acted as Sustainability Structuring Agent. Amegy Bank, Royal Bank of Canada, Cadence Bank and BOK Financial each serve as additional Lenders in the facility.