Company: DLNG
Filing Date: 2025-04-10
Form Type: 20-F
Source: 0001104659-25-033744
Chunk: 158

Company: Dynagas LNG Partners LP
Filing Date: 2025-04-10
Form: 20-F
Item: Item 3
Chunk 158
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 financial and liquidity covenants, contained in the 2024 Lease Financing.

Table of Contents

$675 Million Credit Facility

On September 18, 2019, we entered into the $675 Million Credit Facility: a 5-year syndicated $675 million senior secured term loan with leading international banks for the purpose of refinancing the Partnership’s existing total indebtedness at that time. On June 27, 2024, we used the proceeds received under the 2024 Lease Financing (discussed below), together with $63.7 million of our own funds, to fully prepay outstanding amounts under the $675 Million Credit Facility, which was scheduled to mature on September 18, 2024. Please see below, “ Item 5. Operating and Financial Review and Prospects - B. Liquidity and Capital Resources - 2024 Lease Financing.”

2024 Lease Financing

On June 19, 2024, we entered into sale and leaseback agreements, or the Sale and Leaseback Agreements, with China Development Bank Financial Leasing Co. Ltd. (“ CDBL”), for four of our vessels, the OB River, the Clean Energy, the Amur River, and the Arctic Aurorafor the amounts of $71.2 million, $53.6 million, $73.1 million and $147.0 million, respectively. We sold and chartered back on a bareboat basis from CDBL, the OB River, the Clean Energyand the Amur Riverfor a period of five years, and the Arctic Aurorafor a period of ten years, and utilized the proceeds from the 2024 Lease Financing, together with $63.7 million of cash on hand, to fully prepay outstanding amounts under our $675 Million Credit Facility. The applicable interest rate is 3-month term SOFR plus a margin. Following the first anniversary of the bareboat charters, we have the option at any time to repurchase each vessel at a predetermined price as set forth in each respective 2024 Lease Financing and at the end of each bareboat period, we have the obligation to repurchase the respective vessel at a price equal to 20% of the financing amount for the OB River, the Clean Energyand the Amur Riverand 15% of the financing amount for the Arctic Aurora. We are required to maintain at all times a value maintenance ratio of at least 120% of the charterhire principal outstanding for each vessel. For additional information regarding the 2024 Lease Financing, please