Company: SRV
Filing Date: 2025-10-22
Form Type: N-2/A
Source: 0001398344-25-019582
Chunk: 28

Company: NXG Cushing Midstream Energy Fund
Filing Date: 2025-10-22
Form: N-2/A
Chunk 28
---
0 Act) with respect to preferred shares would be at least 200% after giving effect to
the distributions and unless certain other requirements imposed by any rating agencies rating the preferred shares have been met. If the
Board of Trustees determines to proceed with such an offering, the terms of the preferred shares may be the same as, or different from,
the terms described below, subject to applicable law and the Declaration of Trust. The Board of Trustees, without the approval of the
holders of Common Shares, may authorize an offering of preferred shares or may determine not to authorize such an offering and may fix
the terms of the preferred shares to be offered. As of the date of this Prospectus, the Fund has not issued any preferred shares and has
no current expectation to issue preferred shares in the next 12 months.

Distributions

Holders of preferred shares
will be entitled to receive cash distributions, when, as and if authorized by the Board of Trustees and declared by the Fund, out of
funds legally available therefor. The Prospectus Supplement for any offering of preferred shares will describe the distributions payment
provisions for those shares. Distributions so declared and payable shall be paid to the extent permitted under Delaware law and to the
extent available and in preference to and priority over any distribution declared and payable on the Common Shares.

18

Limitations on Distributions

So long as the Fund has Indebtedness
outstanding, holders of preferred shares will not be entitled to receive any distributions unless asset coverage (as defined in the 1940
Act) with respect to outstanding Indebtedness would be at least 300% after giving effect to such distributions.

Liquidation Preference

In the event of any voluntary or involuntary liquidation, dissolution or winding up of the Fund, the holders of preferred shares will be entitled to receive a preferential liquidating distribution, which is expected to equal the original purchase price per preferred share plus accrued and unpaid distributions, whether or not declared, before any distribution of assets is made to holders of Common Shares. After payment of the full amount of the liquidating distribution to which they are entitled, the holders of preferred shares will not be entitled to any further participation in any distribution of assets by the Fund.

Voting Rights

The 1940 Act requires that the holders of any preferred shares, voting separately as a single class, have the right to elect at least two trustees at all times. The remaining trustees will be elected by holders of Common Shares and preferred shares, voting together
as