SOCAR Partnership to Bolster Comstock Resources in Global LNG Markets

A strategic partnership with Azerbaijan’s state energy company SOCAR will expand U.S.-based Comstock Resources’ footprint across international natural gas and liquefied natural gas (LNG) markets, S&P Global Ratings said in an assessment.

The rating agency views the preliminary framework with SOCAR as credit-positive for Comstock. According to S&P, securing $1.65 billion will enable the producer to bridge free cash flow deficits, pare down debt leverage, and improve near-term financial flexibility, while securing direct export outlets for its gas output.

S&P cautioned that a definitive agreement remains pending and that Comstock’s standalone operational metrics stay tied to volatile natural gas pricing cycles. The agency affirmed Comstock’s issuer credit rating at 'B' with a stable outlook.