NEDERLAND, Texas, March 15, 2016 /PRNewswire/ -- OCI Partners LP, a Delaware limited partnership (the "Partnership"), announced today that it has filed with the U.S. Securities and Exchange Commission (the "SEC") a Form 12b-25 Notification of Late Filing with regard to its Annual Report on Form 10-K for the year ended December 31, 2015 to allow additional time to complete its financial statements and related disclosures. Additional information can be found in the Partnership's Form 12b-25 on file with the SEC. The Partnership expects to file its Annual Report on Form 10-K within the 15-day extension period afforded by Rule 12b-25 under the Securities Exchange Act of 1934, as amended.
The Partnership has been actively working with its lenders to amend certain provisions of its existing Term Loan B Credit Facility (the "Credit Facility Amendment") related to the Partnership's expectation that it will not satisfy all of the financial covenants under its credit facilities for quarterly measurement dates following March 31, 2016. These efforts have been ongoing and extensive and have required the Partnership to devote key personnel and administrative resources, including the personnel and resources of its accounting and financial reporting functions, to matters relating to the Credit Facility Amendment.
The Partnership has been using and will continue to use its best efforts to successfully negotiate and consummate a Credit Facility Amendment by the time it files its Annual Report on Form 10-K. However, if the Partnership is unsuccessful in this effort, the Partnership will be unable to demonstrate that its existing sources of cash would be adequate to meet its potential liquidity requirements for at least the one-year period immediately following the issuance of its financial statements for the period ended December 31, 2015 (the "2015 Financial Statements"), creating uncertainty about the Partnership's ability to continue as a going concern. In that event, the 2015 Financial Statements would require a footnote and liquidity discussion addressing the issue, and the audit opinion of the Partnership's independent registered public accounting firm would include an explanatory emphasis of matter paragraph with respect to the Partnership's ability to continue as a going concern. The Partnership believes that if it is able to successfully negotiate and consummate a Credit Facility Amendment by the time it files its Annual Report on Form 10-K, the Partnership will likely be able to demonstrate that there is no substantial doubt about its ability to continue as a going concern.
The Partnership expects to file its Annual Report on Form 10-K for the year ended December 31, 2015, as well as schedule a conference call to discuss the Partnership's financial results for the three months ended December 31, 2015 and provide an update on the Partnership's business, next week.
About OCI Partners LP
OCI Partners LP owns and operates an integrated methanol and ammonia production facility that is strategically located on the Texas Gulf Coast near Beaumont. The Partnership is headquartered in Nederland, Texas. The Partnership currently has a maximum methanol production design capacity of 912,500 metric tons per year and a maximum ammonia production design capacity of 331,055 metric tons per year.
Certain of the statements contained in this press release are forward-looking statements. Statements that are predictive in nature, that depend upon or refer to future events or conditions or that include the words "believe," "expect," "anticipate," "intend," "estimate" and other expressions that are predictions of or indicate future events and trends and that do not relate to historical matters identify forward-looking statements. These forward-looking statements involve certain risks and uncertainties, including, among others, the following: our business plans may change as the methanol and ammonia industry and markets warrant; the demand and sales prices for methanol, ammonia and their derivatives may decrease due to market, governmental and other factors; we may be unable to obtain economically priced natural gas and other feedstocks; we may be unable to successfully implement our business strategies; the occurrence of shutdowns (either temporary or permanent) or restarts of existing methanol and ammonia facilities (including our own facility); the timing and length of planned and unplanned downtime; the occurrence of operating hazards from accidents, fire, severe weather, floods or other natural disasters; and certain risks and uncertainties related to the business combination transactions between OCI N.V. and CF Industries Holdings, Inc. For more information concerning factors that could cause actual results to differ materially from those conveyed in the forward-looking statements, please refer to the "Risk Factors" section of the Partnership's Annual Report on Form 10-K for the year ended December 31, 2014 and Quarterly Reports on Form 10-Q for the quarters ended March 31, 2015, June 30, 2015 and September 30, 2015. The Partnership undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, unless required by law.
Director of Investor Relations & Strategy
Phone: +1 917-434-7734
SOURCE OCI Partners LP