As usual it pays to go to the source of truth ... the SEC Filing...

As usual it pays to go to the source of truth ... the SEC

Filing made last night

(A) Good news - so no further review until maturity on Oct 31, 2017
Concerning the Borrowing Base. As of the Effective Date, the Borrowing Base is hereby reaffirmed at $20,000,000 and the Monthly Reduction Amount is hereby reaffirmed at $0. The parties hereto acknowledge and agree that foregoing reaffirmation of the Borrowing Base and the Monthly Reduction Amount shall constitute the April 30, 2017 scheduled redetermination of the Borrowing Base and the Monthly Reduction Amount pursuant to Section 4.02 of the Credit Agreement. The Borrowing Base and the Monthly Reduction Amount, each as reaffirmed hereby, will remain in effect until next adjusted pursuant to the provisions of Article IV of the Credit Agreement.

(B) Just News -
An Event of Default has occurred under Section 9.01(b) of the Original Credit Agreement as a result of the failure by Borrower to comply with Section 8.07 of the Original Credit Agreement, whereby Borrower was required to limit general and administrative expenses to an amount not more than the amount set forth therein, for the 12-month period ending December 31, 2016 (the “Specified Default”). Borrower has requested that Administrative Agent and the Required Lender waive the Specified Default. Subject to the terms and conditions of this Amendment, including Section 2 hereof, Administrative Agent and the Required Lenders hereby waive the Specified Default.

So were it not for patience of MOB, you would have lost your company simply because you can't manage G&A expense. When are you gunna learn!

(C) Update to news of sale - $1.2M minimum
Asset Sale.

(a)    Borrower has informed Administrative Agent and the Lenders that Borrower intends to enter into a purchase and sale agreement with OneEnergy Partners, LLC (the “Buyer”), pursuant to which Borrower will sell to the Buyer, and the Buyer will purchase from Borrower, Borrower’s interests in the State GC 1 and State GC 2 wells located in Lea County, New Mexico and other associated assets as more fully described therein (such transaction, the “Subject Sale”). Each of the parties hereto acknowledges and agrees that notwithstanding anything to the contrary in the Credit Agreement, Borrower shall be permitted to consummate the Subject Sale, subject to the conditions that (i) no Default or Event of Default shall exist at the time of the Subject Sale, either before or immediately after giving effect thereto, except as otherwise disclosed by Borrower to Administrative Agent, (ii) Administrative Agent shall have received true and complete executed copies of the purchase and sale agreement and any other documents or instruments executed and delivered in connection with the Subject Sale, each of which shall be in form and substance and on terms satisfactory to Administrative Agent in its sole discretion, (iii) the net cash proceeds received by Borrower from the Subject Sale shall not be less than $1,200,000, and (iv) the net cash proceeds from the Subject Sale shall, simultaneously with the closing thereof, be unconditionally and irrevocably paid to Administrative Agent, for the benefit of the Lenders, and shall be applied to prepay the outstanding Revolving Loans.