Epsilon Announces New and Revised Senior Secured Reserve-Based Revolving Credit Facility
Epsilon Energy (NASDAQ: EPSN) announced closing a new and revised senior secured reserve-based revolving credit facility with Frost Bank as administrative agent and Frost Bank and Texas Capital Bank as lenders.
Key terms: four-year term maturing October 8, 2029; initial borrowing base and commitments of $47.5 million; semi-annual redeterminations; interest at 3‑Month Term SOFR + 3–4% (margin varies by utilization) payable quarterly. The borrowing base will be redetermined and increased on closing of the Peak companies acquisition later in Q4 2025 to include acquired assets.
The facility will initially fund at the Peak closing and proceeds will repay Peak’s existing term loan, estimated at $49.6 million at closing. Management says the facility adds commitment capacity and tenor to support the announced acquisitions while maintaining balance sheet liquidity. A copy of the loan agreement is filed in the Form 8-K.
Epsilon Energy (NASDAQ: EPSN) ha annunciato la chiusura di un nuovo e rivisto finanziamento revolving garantito senior basato sulle riserve, con Frost Bank come agente amministrativo e Frost Bank e Texas Capital Bank come finanziatori.
Termini chiave: termine di quattro anni in scadenza l'8 ottobre 2029; base di indebitamento iniziale e impegni di 47,5 milioni di dollari; rideterminazioni semestrali; interessi al 3‑Mesi SOFR + 3–4% (margine variabile in base all'utilizzo) pagabili trimestralmente. La base di indebitamento sarà rideterminata e aumentata al completamento dell'acquisizione delle Peak Companies, prevista per la parte finale del 4º trimestre 2025, per includere gli asset acquisiti.
La struttura sarà inizialmente finanziata al closing di Peak e i proventi serviranno a rimborsare il previsto debito a termine esistente di Peak, stimato in 49,6 milioni di dollari al closing. La direzione afferma che la struttura aggiunge capacità di impegno e durata per supportare le acquisizioni annunciate, mantenendo al contempo la liquidità del bilancio. Una copia del contratto di prestito è depositata nel Form 8‑K.
Epsilon Energy (NASDAQ: EPSN) anunció el cierre de una nueva y revisada facilidad de crédito revolvente garantizada senior basada en reservas, con Frost Bank como agente administrativo y Frost Bank y Texas Capital Bank como prestamistas.
Términos clave: plazo de cuatro años con vencimiento el 8 de octubre de 2029; base de endeudamiento inicial y compromisos de 47,5 millones de dólares; revaloraciones semestrales; interés en 3‑Mes SOFR + 3–4% (margen varía según la utilización) pagadero trimestralmente. La base de endeudamiento será reevaluada y aumentada al cierre de la adquisición de Peak Companies, prevista para el último trimestre de 2025, para incluir los activos adquiridos.
La facilidad se financiará inicialmente al cierre de Peak y los ingresos servirán para pagar el préstamo existente a plazo de Peak, estimado en 49,6 millones de dólares al cierre. La dirección dice que la facilidad añade capacidad de compromiso y plazo para respaldar las adquisiciones anunciadas, manteniendo la liquidez del balance. Una copia del acuerdo de préstamo se presenta en el Form 8‑K.
Epsilon Energy (NASDAQ: EPSN)은 Frost Bank를 관리 대리인으로, Frost Bank와 Texas Capital Bank를 대출자로 하는 신규 개정 신용 한도(상환 담보 회전대출)를 체결했다고 발표했다.
주요 조건: 4년 기한으로 2029년 10월 8일 만기; 초기 차입 기반 및 약정 4,750만 달러; 반기별 재결정; 3‑개월 SOFR + 3–4%의 이자(마진은 활용도에 따라 다름), 분기별로 지급. 차입 기반은 Peak 기업 인수의 완료로 재결정되어 2025년 4분기 말 추가 자산을 포함하도록 증가될 것이다.
이 시설은 초기 Peak 종결 시 자금을 조달하고, 수익은 Peak의 기존 만기 대출 상환에 사용될 것이며, 종결 시점에 4960만 달러로 추정된다. 경영진은 이 시설이 약정 용량과 기간을 늘려 발표된 인수를 지원하면서 대차대조표의 유동성을 유지할 것이라고 말한다. 대출 계약서의 사본은 Form 8-K에 제출되어 있다.
Epsilon Energy (NASDAQ: EPSN) a annoncé la clôture d’une nouvelle facilité de crédit renouvelable garantie senior basée sur les réserves, avec Frost Bank comme agent administratif et Frost Bank et Texas Capital Bank comme prêteurs.
Termes clés : durée de quatre ans arrivant à échéance le 8 octobre 2029 ; base d’emprunt initiale et engagements de 47,5 millions de dollars ; réévaluations semestrielles ; intérêt à 3‑Mois SOFR + 3–4% (la marge varie selon l’utilisation) payable trimestriellement. La base d’emprunt sera réévaluée et augmentée lors de la clôture de l’acquisition des Peak Companies, prévue au cours du quatrième trimestre 2025, pour inclure les actifs acquis.
La facilité sera initialement financée à la clôture de Peak et les produits rembourseront l’actuel prêt à terme de Peak, estimé à 49,6 millions de dollars à la clôture. La direction indique que la facilité augmente la capacité d’engagement et la durée pour soutenir les acquisitions annoncées tout en maintenant la liquidité du bilan. Une copie du contrat de prêt est déposée dans le Form 8‑K.
Epsilon Energy (NASDAQ: EPSN) gabelte den Abschluss einer neuen und überarbeiteten revolvierenden Senior-Kreditfazilität, gestützt auf Reserven, mit Frost Bank als Verwaltungsagent und Frost Bank sowie Texas Capital Bank als Kreditgeber.
Schlüsseltermine: Vierjahreslaufzeit mit Fälligkeit am 8. Oktober 2029; anfängliche Kreditbasis und Verpflichtungen von 47,5 Millionen USD; halbjährliche Neubewertungen; Zinsen bei 3‑Monat Term SOFR + 3–4% (Marge variiert nach Nutzung) vierteljährlich zahlbar. Die Kreditbasis wird bei Abschluss der Peak-Unternehmensakquisition im späteren Q4 2025 neu festgelegt und aufgesteigert, um erworbene Vermögenswerte einzubeziehen.
Die Fazilität wird zunächst bei Peak-Abschluss finanziert und die Erlöse werden Peak’s bestehende Term Loan tilgen, zum Abschluss voraussichtlich 49,6 Millionen USD. Das Management sagt, dass die Fazilität die Verpflichtungskapazität und die Laufzeit erhöht, um die angekündigten Akquisitionen zu unterstützen, während die Liquidität der Bilanz gewahrt bleibt. Eine Kopie der Kreditvereinbarung ist im Form 8-K eingereicht.
Epsilon Energy (NASDAQ: EPSN) أعلنت إغلاق خط ائتماني دوّار مضمون الأولوية بموجب احتياطي/أصول مع بنك فروست كوكيل إداري وبنوك Frost Bank وTexas Capital Bank كمُقرضين.
الشروط الأساسية: مدة أربع سنوات وتاريخ الاستحقاق 8 أكتوبر 2029؛ قاعدة اقتراض ابتدائية والتزامات قدرها 47.5 مليون دولار؛ إعادة تقدير نصف سنوي؛ فائدة عند 3‑M SOFR + 3–4% (الهامش يختلف حسب مستوى الاستخدام) تدفع ربع سنوياً. ستعاد تحديد قاعدة الاقتراض وزيادتها عند إغلاق استحواذ Peak الشركات في نهاية الربع الرابع من 2025 لتشمل الأصول المكتسبة.
سيتم تمويل المرفق في البداية عند إغلاق Peak وسيتم استخدام العوائد لسداد القرض الموجود المدى ل Peak، المقدر بنحو 49.6 مليون دولار عند الإغلاق. يقول الإدارة إن المرفق يضيف قدرة التزام ومدى لتحمل الاستحواذات المعلنة مع الحفاظ على سيولة الميزانية. نسخ من عقد القرض مُسندة في Form 8‑K.
Epsilon Energy (NASDAQ: EPSN)宣布以 Frost Bank 作为行政代理、Frost Bank 与 Texas Capital Bank 作为贷款方，关闭了一项新的、修订后的高级抵押品循环信用额度。
关键条款：为期四年，于 2029 年 10 月 8 日到期；初始借款基础和承诺为 美 4700 万 5 千万美元；每半年重新确定；利息为 3‑Month SOFR + 3–4%（利差根据使用率而不同），按季度支付。借款基础将在 2025 年第四季度后期 Peak 公司并购完成时重新确定并增至以纳入所收购资产。
该额度初始将于 Peak 成交时资金到账，资金将用于偿还 Peak 现有的定期贷款，预计结算时金额为 4960 万美元。管理层表示，该额度增加了承诺容量和期限，以支持已宣布的并购并同时保持资产负债表的流动性。借款协议的副本已在 Form 8-K 中备案。
- Initial commitments of $47.5 million
- Facility tenor extended to Oct 8, 2029
- Borrowing base redetermined to include Peak assets at closing
- Proceeds used to repay Peak term loan (estimated $49.6 million)
- Interest rate exposure at 3‑Month Term SOFR + 3–4%
- Initial commitments (~$47.5M) roughly match estimated Peak term loan (~$49.6M)
HOUSTON, Oct. 13, 2025 (GLOBE NEWSWIRE) -- Epsilon Energy Ltd. (“Epsilon” or the “Company”) (NASDAQ: EPSN) today reported the closing of a new and revised senior secured reserve-based revolving credit facility (the “Credit Facility”) with Frost Bank as the administrative agent and Frost Bank and Texas Capital Bank as lenders. The new Credit Facility replaces the Company’s previous credit facility.
Term highlights of the Credit Facility:
- Epsilon Energy USA Inc. and Epsilon Energy Ltd. as co-borrowers
- Four year term (matures October 8, 2029)
- Initial borrowing base and commitments of
$47.5 million (supported by the Company’s existing US upstream assets), which will be redetermined and increased on the closing of the acquisition of the Peak companies later in Q4 2025 (to include the acquired assets). - Semi-annual redeterminations
- Interest is charged on drawdowns at the 3-Month Term SOFR rate plus a margin of 3
-4% (depending on facility utilization), payable quarterly
The new Credit Facility will initially fund at the same time as the closing of the Peak companies acquisition. Proceeds will go to repaying Peak’s existing term loan, with an estimated balance at closing of
“The new and revised credit facility adds commitment capacity and tenor and enables the Company to comfortably close the acquisitions announced in August while maintaining a strong balance sheet and liquidity going forward” commented Andrew Williamson, Epsilon’s Chief Financial Officer.
A copy of the new loan agreement is available in the Form 8K filed following this release.
About Epsilon
Epsilon Energy Ltd. is a North American onshore natural gas and oil production and gathering company with assets in Pennsylvania, Texas, Alberta CA, New Mexico, and Oklahoma
Forward-Looking Statements
Certain statements contained in this news release constitute forward looking statements. The use of any of the words “anticipate”, “continue”, “estimate”, “expect”, ‘may”, “will”, “project”, “should”, ‘believe”, and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated. Forward-looking statements are based on reasonable assumptions, but no assurance can be given that these expectations will prove to be correct and the forward-looking statements included in this news release should not be unduly relied upon.
Contact Information:
281-670-0002
Jason Stabell
Chief Executive Officer
Jason.Stabell@EpsilonEnergyLTD.com
Andrew Williamson
Chief Financial Officer
Andrew.Williamson@EpsilonEnergyLTD.com
FAQ
What are the key terms of Epsilon Energy’s new credit facility (EPSN) dated October 13, 2025?
How will the new EPSN credit facility fund the Peak companies acquisition?
Which banks are lenders on Epsilon’s new credit facility (EPSN)?
Will Epsilon’s borrowing base change after the Peak acquisition for EPSN?
How often will Epsilon’s credit facility borrowing base be redetermined for EPSN?
