Business
Source Energy Services Obtains Further Liquidity Support From its Noteholders and Lenders
(TheNewswire) Calgary, Alberta - TheNewswire - September 30, ...
About this update from Source Energy Services Ltd.
[{"type":"text","content":"Source Energy Services Obtains Further Liquidity Support From its Noteholders and Lenders\n \n \n (TheNewswire)\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n Calgary, Alberta - TheNewswire - September 30, 2020 -\n \n \n Source Energy Services Ltd. (together with its\naffiliates, \"Source\")\n \n \n (TSXV:SHLE)\n \n \n is pleased to announce that\nit has entered into an additional Support and Interest Deferral\nAgreement with noteholders holding approximately 74% of Source's\nsenior secured notes due December 15, 2021 (the \"Notes\").\nUnder the agreement, the supporting noteholders have agreed to further\ndefer the payment of the June 15, 2020 interest payment on the Notes\nuntil October 31, 2020. To give effect to the deferral, the Support\nand Interest Deferral Agreement amends the Notes indenture by\nextending the grace period in respect of the interest payment to\n \n \n 138\n \n \n days.\n \n \n \n \n In addition to the Support and Interest Deferral\nAgreement, the syndicate of bank lenders under Source's revolving\ncredit facility (the \"Credit Facility\") has agreed to make\ncertain amendments to the Credit Facility and to waive the application\nof the fixed coverage ratio in the credit agreement until October 15,\n2020.\n \n \n \n \n The support from our noteholders and lenders has\nassisted Source's efforts to navigate through the COVID-19-driven\nprecipitous drop in completions activity in the Western Canadian\nSedimentary Basin and will provide Source the short-term liquidity\nrequired as completion activity resumes.\n \n \n \n \n ABOUT SOURCE ENERGY SERVICES\n \n \n \n \n \n \n Source is a logistics company that focuses on the\nsupply and distribution of high quality Northern White frac sand.\nSource provides its customers with a full end-to-end solution\nsupported by its Wisconsin mines and processing facilities, its\nWestern Canadian terminal network and its \"last mile\"\nlogistics capabilities. In addition to its industry leading frac sand\ntransload terminal network and in-basin frac sand storage\ncapabilities, Source also provides storage and logistics services for\nother bulk oil and gas well completion materials that aren't produced\nby Source. Source has also developed Sahara, a proprietary wellsite\nmobile sand storage and handling system.\n \n \n \n \n Source's full-service approach allows ...