November 1, 2010 (FinancialWire) (http://www.financialwire.net/) — Harvest Natural Resources, Inc. (NYSE: HNR) said it has closed a $60.0 million term loan facility with MSD Energy Investments Private II, LLC, an affiliate of MSD Capital, L.P.

Harvest will see net proceeds of around $59.5 million, after deducting fees related to the transaction.

The company said it plans to use the net proceeds of the term loan facility to fund capital expenditures and for working capital needs and general corporate purposes.  

Under the terms of the term loan facility, Harvest will pay interest on a monthly basis and the term loan facility will mature on October 28, 2012.  The initial rate of interest under the term loan facility will be 10%, which increases to 15% on July 28, 2011, the bridge date.

Harvest said it will have the option to extend the bridge date for three months by paying a fee to the lender in the amount of 5% of the initial principal amount of the term loan facility.

MSD Energy Investments is currently a shareholder and a convertible note holder of Harvest.

Texas-based Harvest Natural Resources is an independent energy company with principal operations in Venezuela, producing and exploration assets in the United States, exploration assets in Indonesia, West Africa, China and Oman and business development offices in Singapore and the United Kingdom.  

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