U.S. ENERGY CORP. (NASDAQ:USEG) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01 Entry into a Material Definitive Agreement.

On June 28, 2017 (the “Effective Date”), U.S. Energy Corp. (the “Company”) entered into a fifth amendment (the “Fifth Amendment”) to its Amended and Restated Credit Agreement, dated July 30 2010, as amended (the “Credit Agreement”), among Energy One LLC (“Energy One”), the Company, and APEG Energy II, L.P. (“APEG”).

The Fifth Amendment provides for, among other things: (i) an extension of the maturity date of borrowings under the Credit Agreement to July, 30, 2019; (ii) beginning on the Effective Date, interest shall accrue on the outstanding principal balance of the loans under the Credit Agreement at a rate of 8.75% per annum; (iii) a limited release and waiver with respect to the Company’s non-compliance with any and all financial covenants of the Credit Agreement for all historical quarterly financial reporting periods through March 31, 2017; and (iv) the amendment of financial coverage ratio covenants such that the Company’s PDP Coverage Ratio and Current Ratio (as those terms are defined in the Fifth Amendment) shall not be less than 1.2 to 1.0 and 1.0 to 1.0 respectively.

The foregoing description of the Fifth Amendment is a summary only and is qualified in its entirety by reference to the Fifth Amendment, which is filed herewith as Exhibit 10.1 and incorporated herein by reference.

Item 9.01 Financial Statements and Exhibits.

Exhibit 10.1 – Fifth Amendment to Credit Agreement among Energy One LLC, U.S. Energy Corp., and APEG Energy II, L.P. dated June 28, 2017

US ENERGY CORP Exhibit
EX-10.1 2 s106722_ex10-1.htm EXHIBIT 10.1   Exhibit 10.1   Execution Version   Fifth Amendment   to   Credit Agreement   among   Energy One LLC,…
To view the full exhibit click here

About U.S. ENERGY CORP. (NASDAQ:USEG)

U.S. Energy Corp. (U.S. Energy) is an independent energy company focused on the acquisition and development of oil and gas producing properties in the continental United States. The Company’s business activities are focused on South Texas and the Williston Basin in North Dakota. The Company operates through Oil and Gas segment. The Company participates in oil and gas projects primarily as a non-operating working interest owner through exploration and development agreements with various oil and gas exploration and production companies. The Company is also pursuing acquisitions of exploration, development and production-stage oil and gas properties or companies. The Company holds a geographically and geologically diverse portfolio of oil-weighted prospects in varying-stages of exploration and development. The Company engages in the prospect stages either for its own account or with prospective partners to enlarge its oil and gas lease ownership base.