topstockalerts
Nov 11, 9:47 PM
Moody’s upgraded its outlook on Comstock Resources to positive from stable, reaffirming its B2 corporate family rating and B3 senior unsecured notes rating following the company's
$1.65 billion asset sale to Azerbaijan's state-owned energy company SOCAR. Comstock plans to use most of the proceeds to repay debt, potentially cutting its financial leverage nearly in half once the transaction closes before year-end.
The asset sale includes non-operated interests in its Haynesville operations, western Haynesville properties and Pinnacle Gas Services. Moody’s said further credit improvements will depend on management maintaining positive cash flow and avoiding additional debt accumulation.
Comstock has accumulated approximately
$2.8 billion in free cash flow deficits since 2023, increasing total debt by
$1.2 billion to
$3.4 billion as of September 30.
$CRK
