Global commodities trader Mercuria has closed a borrowing base facility for its North American operations, securing US$3bn from a syndicate of international banks.

Mercuria Energy North America will use the one-year facility for general corporate and working capital purposes.

The deal was oversubscribed by more than US$500mn from its initial launch amount following a “successful syndication and strong demand”, the trader says.

ING, MUFG, Natixis, Rabobank, Société Générale and SMBC are joint lead arrangers, while Société Générale also acts as administrative agent.

Guillaume Vermersch, group CFO of Mercuria, says the deal will help the trader secure short-term liquidity in a “highly volatile market while enhancing the flexibility of our balance sheet to invest in our growth”.

The facility will boost Mercuria’s strategic growth initiatives “focusing on energy transition trading solutions”, he adds.

Bin Wang, Mercuria’s North America CFO, says: “The facility provides us with increased liquidity to further scale our North America business footprint on the back of our sound financial discipline, compliance, credit and risk management.”

Like other energy traders, Mercuria raked in sizeable profits last year after Russia’s invasion of Ukraine upended global trade and drove up energy prices, registering a record net profit of US$2.98bn in 2022.

In June, Mercuria announced it had secured over US$5bn in new and renewed financing facilities, including a facility backed by Italy’s export credit agency, Sace, to supply the country with natural gas and LNG.

The commodity trader has pledged to commit at least 50% of its investments to renewables and transitional energy sectors by 2025.

In March, Mercuria launched a nature-based investment platform.

The vehicle has a capital commitment of US$500mn and is making investments that can generate “high-quality carbon credits” and reduce or sequester emissions, while protecting biodiversity, the firm says.