05:04 PM EST, 12/12/2024 (MT Newswires) -- Scorpio Tankers ( SBBA ) said a group of financial institutions committed to offering a revolving credit facility of up to $500 million.

The seven-year loan is expected to bear interest at the secured overnight financing rate plus a margin of 1.85% per annum with a commitment fee of 0.74% per annum applicable for any undrawn amounts, Scorpio said Thursday in a statement.

The credit facility is expected to be secured by Scorpio's unencumbered 26 product tankers and includes ah uncommitted accordion feature of up to $100 million, the company said.

Scorpio expects the loan commitments to be finalized in Q1. The lenders weren't disclosed.