Battalion Oil : Entry Into Material Definitive Agreement (Form 8-K)

Published: 2021-09-30 16:42:10 ET BATL

Entry Into Material Definitive Agreement.

On September 24, 2021, Battalion Oil Corporation, a Delaware corporation (the "Company"), and the subsidiary guarantors party thereto (collectively, the "Loan Parties") entered into a Fifth Amendment to the Senior Secured Revolving Credit Agreement (the "Amendment") with Bank of Montreal, as administrative agent (the "Administrative Agent"), and the other lenders party thereto (the "Lenders"). The Amendment further amends the Senior Secured Revolving Credit Agreement, dated as of October 8, 2019 (as may be amended, restated, supplemented or otherwise modified from time to time, the "Credit Agreement"), among the Loan Parties, the Administrative Agent, the Lenders, and certain other financial institutions party thereto from time to time. Capitalized terms used but not defined herein shall have the meaning ascribed to such terms in the Credit Agreement.

The Amendment, among other things, modifies the limits on Swap Agreements so as not to exceed, (i) from the period of the Fifth Amendment Effective Date through December 31, 2021, the percentage of the reasonably anticipated Hydrocarbon production from Proved Developed Producing Reserves of the Loan Parties (the "PDP Production") during such period hedged pursuant to Secured Swap Agreements in place as of the Fifth Amendment Effective Date; (ii) for the fiscal year ending December 31, 2022, the greater of (a) the PDP Production during such fiscal year hedged pursuant to Secured Swap Agreements in place as of the Fifth Amendment Effective Date and (b) 85% of the PDP Production during such fiscal year; and (iii) for the fiscal years ending December 31, 2023, December 31, 2024 and December 31, 2025, 85%, 70% and 60% of the PDP Production, respectively, during each fiscal year.

Additionally, pursuant to the Amendment, certain language related to Swap Agreements for percentage rates and Swap Agreements associated with potential acquisitions was removed from the Credit Agreement.

The foregoing description of the Amendment does not purport to be complete and is qualified in its entirety by the terms and conditions of the Amendment. A copy of the Amendment is filed as Exhibit 10.1.5 to this Current Report on Form 8-K and is incorporated herein by reference.

Financial Statements and Exhibits.

(d)

Exhibits. The following exhibit is furnished as part of this Current Report on Form 8-K:

Exhibit No.

Description

10.1.5

Fifth Amendment to the Senior Secured Revolving Credit Agreement, dated as of September 24, 2021, by and among Battalion Oil Corporation, as borrower, the subsidiary guarantors party thereto, Bank of Montreal, as administrative agent, and the lenders party thereto.

104

Cover Page Interactive Data File (embedded within the Inline XBRL document)

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EXHIBIT INDEX

Exhibit Number

Exhibit Description

10.1.5

Fifth Amendment to the Senior Secured Revolving Credit Agreement, dated as of September 24, 2021, by and among Battalion Oil Corporation, as borrower, the subsidiary guarantors party thereto, Bank of Montreal, as administrative agent, and the lenders party thereto.

104

Cover Page Interactive Data File (embedded within the Inline XBRL document)

3

Disclaimer

Battalion Oil Corporation published this content on 30 September 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 September 2021 20:41:05 UTC.