Exhibit 10.1

 

Execution Version

 

 

NINTH AMENDMENT

 

TO

 

SENIOR REVOLVING CREDIT AGREEMENT

 

DATED AS OF FEBRUARY 25, 2015

 

AMONG

 

HALCÓN RESOURCES CORPORATION,
AS BORROWER,

 

THE GUARANTORS,

 

JPMORGAN CHASE BANK, N.A.,
AS ADMINISTRATIVE AGENT,

 

AND

 

THE LENDERS PARTY HERETO

 

 

J. P. MORGAN SECURITIES LLC,

AS SOLE LEAD ARRANGER

 

J. P. MORGAN SECURITIES LLC AND WELLS FARGO SECURITIES, LLC,

AS JOINT BOOKRUNNERS

 

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NINTH AMENDMENT
TO SENIOR REVOLVING CREDIT AGREEMENT

 

THIS NINTH AMENDMENT TO SENIOR REVOLVING CREDIT AGREEMENT (this “Ninth
Amendment”) dated as of February 25, 2015 is among HALCÓN RESOURCES CORPORATION,
a corporation duly formed and existing under the laws of the State of Delaware
(the “Borrower”), each of the undersigned guarantors (the “Guarantors”, and
together with the Borrower, the “Obligors”), each of the undersigned Lenders
party to the Credit Agreement, and JPMORGAN CHASE BANK, N.A., as administrative
agent for the Lenders (in such capacity, together with its successors in such
capacity, the “Administrative Agent”).

 

R E C I T A L S

 

A.            Reference is made to that certain Senior Revolving Credit
Agreement dated as of February 8, 2012 (as amended, modified or otherwise
supplemented prior to the date hereof, the “Credit Agreement”; as amended by
this Ninth Amendment, and as may be further amended, modified or supplemented
the “Amended Credit Agreement”) among the Borrower, each of the Lenders party
thereto and the Administrative Agent, pursuant to which the Lenders have made
certain credit and other financial accommodations available to and on behalf of
the Borrower and its Subsidiaries.

 

B.            The Borrower has requested and the Administrative Agent and
Lenders constituting the Majority Lenders have agreed to amend certain
provisions of the Credit Agreement.

 

C.            NOW, THEREFORE, to induce the Administrative Agent and each of the
Lenders to enter into this Ninth Amendment and in consideration of the premises
and the mutual covenants herein contained, for good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties hereto
agree as follows:

 

Section 1.              Defined Terms.  Each capitalized term used herein but
not otherwise defined herein has the meaning given such term in the Amended
Credit Agreement.  Unless otherwise indicated, all section references in this
Ninth Amendment refer to sections of the Amended Credit Agreement.

 

Section 2.                      Amendments to Credit Agreement.

 

2.1          Interest Coverage Ratio.  Section 9.01(a) of the Credit Agreement
is amended in its entirety to read as follows:

 

“(a)         Interest Coverage Ratio.  The Borrower will not, as of the last day
of any fiscal quarter, permit its Interest Coverage Ratio to be to be less than
(i) for any fiscal quarter ending on or before March 31, 2016, 2.0 to 1.0 and
(ii) for any fiscal quarter thereafter, 2.5 to 1.0.”

 

Section 3.              Conditions Precedent.  This Ninth Amendment shall become
effective on the date when each of the following conditions is satisfied (or
waived in accordance with Section 12.02 of the Credit Agreement) (such date, the
“Ninth Amendment Effective Date”):

 

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3.1          Ninth Amendment.  The Administrative Agent shall have received a
counterpart of this Ninth Amendment signed by the Borrower, the Guarantors, and
Lenders constituting the Majority Lenders.

 

3.2          Fees.  The Administrative Agent, the Arranger and the Lenders shall
have received all fees and other amounts due and payable on or prior to the
Ninth Amendment Effective Date, including, to the extent invoiced, reimbursement
or payment in full of all out of pocket expenses required to be reimbursed or
paid by the Borrower under the Amended Credit Agreement.

 

3.3          No Default; No Material Adverse Effect.  At the time of and
immediately after giving effect to this Ninth Amendment, (a) no Default or Event
of Default shall have occurred and be continuing and (b) no event or events
shall have occurred which individually or in the aggregate could reasonably be
expected to have a Material Adverse Effect.

 

The Administrative Agent is hereby authorized and directed to declare this Ninth
Amendment to be effective when it has received documents confirming or
certifying, to the satisfaction of the Administrative Agent, compliance with the
conditions set forth in this Section 3 or the waiver of such conditions as
permitted in Section 12.02 of the Credit Agreement.  Such declaration shall be
final, conclusive and binding upon all parties to the Credit Agreement for all
purposes.

 

Section 4.              Miscellaneous.

 

4.1          Confirmation.  The provisions of the Amended Credit Agreement shall
remain in full force and effect following the effectiveness of this Ninth
Amendment.

 

4.2          Ratification and Affirmation; Representations and Warranties.  Each
Obligor hereby (a) acknowledges the terms of this Ninth Amendment; (b) ratifies
and affirms its obligations under, and acknowledges, renews and extends its
continued liability under, each Loan Document to which it is a party and agrees
that each Loan Document to which it is a party remains in full force and effect,
except as expressly amended hereby, and (c) represents and warrants to the
Lenders that on and as of the date hereof, and immediately after giving effect
to the terms of this Ninth Amendment: (i) all of the representations and
warranties contained in each Loan Document to which it is a party are true and
correct in all material respects (except those which have a materiality
qualifier, which shall be true and correct as so qualified), except to the
extent any such representations and warranties are expressly limited to an
earlier date, in which case, such representations and warranties shall continue
to be true and correct as of such specified earlier date; (ii) no Default or
Event of Default has occurred and is continuing and (iii) no event or events
have occurred which individually or in the aggregate could reasonably be
expected to have a Material Adverse Effect.

 

4.3          Loan Document.  This Ninth Amendment is a Loan Document.

 

4.4          Counterparts.  This Ninth Amendment may be executed by one or more
of the parties hereto in any number of separate counterparts, and all of such
counterparts taken together shall be deemed to constitute one and the same
instrument.  Delivery of this Ninth Amendment by facsimile or electronic
transmission in portable document format (.pdf) shall be effective as delivery
of a manually executed counterpart hereof.

 

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4.5          NO ORAL AGREEMENT.  THIS NINTH AMENDMENT, THE CREDIT AGREEMENT AND
THE OTHER LOAN DOCUMENTS EXECUTED IN CONNECTION HEREWITH AND THEREWITH REPRESENT
THE FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE
OF PRIOR, CONTEMPORANEOUS, OR UNWRITTEN ORAL AGREEMENTS OF THE PARTIES.  THERE
ARE NO ORAL AGREEMENTS BETWEEN THE PARTIES.

 

4.6          GOVERNING LAW.  THIS NINTH AMENDMENT SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF TEXAS.

 

4.7          Severability.  Any provision of this Ninth Amendment which is
prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof, and any such prohibition or
unenforceability in any jurisdiction shall not invalidate or render
unenforceable such provision in any other jurisdiction.

 

4.8          Successors and Assigns.  This Ninth Amendment shall be binding upon
and inure to the benefit of the parties hereto and their respective successors
and assigns.

 

[This page intentionally left blank.  Signature pages follow.]

 

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IN WITNESS WHEREOF, the parties hereto have caused this Ninth Amendment to be
duly executed as of the date first written above.

 

BORROWER:

HALCÓN RESOURCES CORPORATION

 

 

 

By:

/s/ Mark J. Mize

 

 

Name:

Mark J. Mize

 

 

Title:

Executive Vice President, Chief Financial Officer and Treasurer

 

 

GUARANTORS:

HALCÓN HOLDINGS, INC.

 

HALCÓN RESOURCES OPERATING, INC.

 

HALCÓN ENERGY PROPERTIES, INC.

 

HALCÓN ENERGY HOLDINGS, LLC

 

HALCÓN GULF STATES, LLC

 

HALCÓN OPERATING CO., INC.

 

HRC ENERGY RESOURCES (WV), INC.

 

HRC ENERGY LOUISIANA, LLC

 

HRC PRODUCTION COMPANY

 

HALCÓN FIELD SERVICES, LLC

 

HALCÓN LOUISIANA OPERATING, L.P.

 

HRC ENERGY, LLC

 

HRC OPERATING, LLC

 

HK ENERGY, LLC

 

HK ENERGY OPERATING, LLC

 

HK LOUISIANA OPERATING, LLC

 

HK OIL & GAS, LLC

 

HALCÓN WILLISTON I, LLC

 

HALCÓN WILLISTON II, LLC
HK RESOURCES, LLC
THE 7711 CORPORATION

 

 

 

 

 

By:

/s/ Mark J. Mize

 

 

Name:

Mark J. Mize

 

 

Title:

Executive Vice President, Chief Financial Officer and Treasurer, for and on
behalf of each of the foregoing Guarantors

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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ADMINISTRATIVE AGENT
AND LENDER:

JPMORGAN CHASE BANK, N.A.,
as Administrative Agent and Lender

 

 

 

By:

/s/ Michael A. Kamauf

 

 

Name:

Michael A. Kamauf

 

 

Title:

Authorized Officer

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

WELLS FARGO BANK, N.A.,
as Lender

 

 

 

By:

/s/ Todd C. Fogle

 

 

Name:

Todd C. Fogle

 

 

Title:

Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

BMO HARRIS FINANCING, INC.,
as Lender

 

 

 

By:

/s/ James V. Ducote

 

 

Name:

James V. Ducote

 

 

Title:

Managing Director

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

BARCLAYS BANK PLC,
as Lender

 

 

 

By:

/s/ Luke Syme

 

 

Name:

Luke Syme

 

 

Title:

Assistant Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

SUNTRUST BANK,
as Lender

 

 

 

By:

/s/ Shannon Juhan

 

 

Name:

Shannon Juhan

 

 

Title:

Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

CAPITAL ONE, NATIONAL ASSOCIATION,
as Lender

 

 

 

By:

/s/ Victor Ponce De Leon

 

 

Name:

Victor Ponce De Leon

 

 

Title:

Senior Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

GOLDMAN SACHS BANK USA,
as Lender

 

 

 

By:

/s/ Michelle Latzoni

 

 

Name:

Michelle Latzoni

 

 

Title:

Authorized Signatory

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

ROYAL BANK OF CANADA,
as Lender

 

 

 

By:

/s/ Jay Sartain

 

 

Name:

Jay Sartain

 

 

Title:

Authorized Signatory

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

BANK OF AMERICA, N.A.,
as Lender

 

 

 

By:

/s/ Jordan Forester

 

 

Name:

Jordan Forester

 

 

Title:

Assistant Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

THE ROYAL BANK OF SCOTLAND PLC,
as Lender

 

 

 

By:

/s/ James L. Moyes

 

 

Name:

James L. Moyes

 

 

Title:

Managing Director

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH,
as Lender

 

 

 

By:

/s/ Michael Spaight

 

 

Name:

Michael Spaight

 

 

Title:

Authorized Signatory

 

 

 

 

By:

/s/ Karim Rahimtoola

 

 

Name:

Karim Rahimtoola

 

 

Title:

Authorized Signatory

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

CREDIT AGRICOLE CORPORATE AND INVESTMENT BANK,
as Lender

 

 

 

By:

/s/ Mark A. Roche

 

 

Name:

Mark A. Roche

 

 

Title:

Managing Director

 

 

 

 

By:

/s/ Michael Willis

 

 

Name:

Michael Willis

 

 

Title:

Managing Director

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

NATIXIS,

 

as Lender

 

 

 

By:

/s/ Justin Bellamy

 

 

Name:

Justin Bellamy

 

 

Title:

Director

 

 

 

By:

/s/ Stuart Murray

 

 

Name:

Stuart Murray

 

 

Title:

Managing Director

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

ING CAPITAL LLC,

 

as Lender

 

 

 

By:

/s/ Charles Hall

 

 

Name:

Charles Hall

 

 

Title:

Managing Director

 

 

 

By:

/s/ Josh Strong

 

 

Name:

Josh Strong

 

 

Title:

Director

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

COMERICA BANK,

 

as Lender

 

 

 

By:

/s/ William Robinson

 

 

Name:

William Robinson

 

 

Title:

Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

DEUTSCHE BANK AG NEW YORK BRANCH,

 

as Lender

 

 

 

By:

/s/ Michael Winters

 

 

Name:

Michael Winters

 

 

Title:

Vice President

 

 

 

 

By:

/s/ Peter Cucchiara

 

 

Name:

Peter Cucchiara

 

 

Title:

Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

SUMITOMO MITSUI BANKING CORPORATION,

 

as Lender

 

 

 

By:

/s/ Shuji Yabe

 

 

Name:

Shuji Yabe

 

 

Title:

Managing Director

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

THE BANK OF NOVA SCOTIA,

 

as Lender

 

 

 

By:

/s/ Alan Dawson

 

 

Name:

Alan Dawson

 

 

Title:

Director

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

KEYBANK NATIONAL ASSOCIATION

 

as Lender

 

 

 

By:

/s/ George E. McKean

 

 

Name:

George E. McKean

 

 

Title:

Senior Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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LENDER:

BNP PARIBAS

 

as Lender

 

 

 

By:

/s/ Sriram Chandrasekaran

 

 

Name:

Sriram Chandrasekaran

 

 

Title:

Director

 

 

 

 

 

By:

/s/ Julien Pecoud-Bouvet

 

 

Name:

Julien Pecoud-Bouvet

 

 

Title:

Vice President

 

SIGNATURE PAGE — NINTH AMENDMENT

HALCÓN RESOURCES CORPORATION

 

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