Company: SRV
Filing Date: 2025-03-10
Form Type: PRE 14A
Source: 0001398344-25-005333
Chunk: 6

Company: NXG Cushing Midstream Energy Fund
Filing Date: 2025-03-10
Form: PRE 14A
Chunk 6
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 “”).
The Adviser is managed by its general partner, Swank Capital. Senior management of the Adviser currently directs the day-to-day operations
of the Adviser pursuant to authority delegated by Swank Capital as General Partner. Under the terms of the Adviser Operating Agreement,
in connection with Mr. Swank’s retirement from the Adviser, Mr. Swank has agreed to reduce his ownership of the Adviser,
held directly and indirectly through Swank Capital (Mr. Swank’s ownership interest in the Adviser, held directly and indirectly
through Swank Capital, is referred to herein as the “”), over time along with a commensurate
increase in ownership of the Adviser by NXG Cushing, through increased quarterly revenue distributions from the Adviser to Mr. Swank
pursuant to the Adviser Operating Agreement (the “”). When the interest of NXG Cushing in the
Adviser reaches 60%, NXG Cushing will automatically replace Swank Capital as the general partner of the Adviser. Pursuant to the Adviser
Ownership Plan, it is expected that eventually Mr. Swank will divest the entire Swank Ownership Interest and NXG Cushing will hold
100% of the interests in the Adviser.

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Section 15 of the Investment Company
Act of 1940, as amended (the “”), provides that any investment advisory agreement must terminate automatically
upon its “assignment.” As used in the 1940 Act, the term “assignment” includes any direct or indirect transfer
of a controlling block of outstanding voting securities of an adviser. Such a transfer is often referred to as a “Change of Control
Event.”

One or more of the transactions contemplated
by the Adviser Ownership Plan may be deemed a Change of Control Event. Whether or not a particular change in interest of the Adviser as
part of the Adviser Ownership Plan results in a Change of Control Event will depend on the facts and circumstances of such transaction.
Upon the occurrence of any such Change of Control Event, the investment advisory agreement for each Fund would automatically terminate.

To ensure that the existing advisory services
provided by the Adviser to the Funds can continue uninterrupted, shareholders are being asked to approve the New Advisory Agreement between
the Adviser and each Fund. The New Advisory Agreements would be effective upon the closing of the first Change of Control Event that may
occur after shareholder approval. As part of the same Proposal, shareholders also are being asked to approve, under