Exhibit
10.1


 


EXECUTION VERSION


 


 


AMENDMENT
No. 3 to REVOLVING CREDIT AND TERM LOAN 


AGREEMENT,
AMENDMENT NO. 1 TO FORBEARANCE AGREEMENT 


AND
ONE TIME WAIVER OF REVOLVING LOAN BORROWING REQUIREMENTS


 


THIS AMENDMENT
No. 3 to REVOLVING CREDIT AND TERM LOAN AGREEMENT, AMENDMENT No. 1 TO FORBEARANCE AGREEMENT AND ONE TIME WAIVER OF REVOLVING LOAN
BORROWING REQUIREMENTS (this “Agreement”) is made and entered into as of July 5, 2016 by and among DAKOTA
PLAINS TRANSLOADING, LLC, a Minnesota limited liability company (“Dakota Transloading”), DAKOTA PLAINS SAND,
LLC, a Minnesota limited liability company (“Dakota Sand”), DAKOTA PLAINS MARKETING, LLC, a Minnesota limited
liability company (“Dakota Marketing” and, together with Dakota Transloading and Dakota Sand, the “Borrowers”),
DAKOTA PLAINS HOLDINGS, INC., a Nevada corporation (“Holdings”), DPTS MARKETING LLC, a Minnesota limited liability
company (“DPTSM”), DAKOTA PETROLEUM TRANSPORT SOLUTIONS, LLC, a Minnesota limited liability company (“DPTS”),
DPTS SAND, LLC, a Minnesota limited liability company (“DPTS Sand” and, together with Holdings, DPTSM and DPTS,
the “Guarantors”), the Lenders (the “Lenders”) from time to time party to the Credit Agreement
(defined below) and SUNTRUST BANK, in its capacity as Administrative Agent for the Lenders (in such capacity, “Administrative
Agent”) and as Issuing Bank. Capitalized terms used herein but not otherwise defined shall have the meanings ascribed
to such terms in the Credit Agreement.


 


RECITALS


 


A.      The
Borrowers, Holdings, the Lenders and the Administrative Agent are parties to that certain Revolving Credit and Term Loan Agreement,
dated as of December 5, 2014 (as amended by that certain Amendment No. 1 to Revolving Credit and Term Loan Agreement dated as of
August 6, 2015, as amended by that certain Amendment No. 2 and Waiver to Revolving Credit and Term Loan Agreement dated as of December
4, 2015, and as further amended, restated, supplemented, replaced, refinanced or otherwise modified from time to time, the “Credit
Agreement”).


 


B.       The
Loan Parties, the Administrative Agent and the Lenders are party to that certain Forbearance Agreement dated as of May 3, 2016
(as amended, restated, supplemented, replaced or otherwise modified from time to time, the “Forbearance Agreement”),
pursuant to which the Administrative Agent and Lenders are presently forbearing from exercising certain rights and remedies available
to them under the Credit Agreement, Loan Documents and applicable law, which rights and remedies arose exclusively as a result
of the occurrence, existence or continuation of the Anticipated Events of Default (as defined in the Forbearance Agreement).


 


C.       The
Loan Parties have requested that the Administrative Agent and the Lenders (i) amend the Credit Agreement as set forth herein, (ii)
make a one-time waiver of the Borrowing requirements with respect to Revolving Loans as set forth herein and (iii) amend the Forbearance
Agreement as set forth herein.


 


D.       Notwithstanding
the occurrence and continuance of one or more Anticipated Events of Default, the Administrative Agent and the Lenders have agreed
to do so, but only pursuant to the terms and conditions set forth herein.


 




     

     

    


 


AGREEMENT


 


NOW, THEREFORE, IN CONSIDERATION
of the premises contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged,
the parties hereto agree as follows:


 


1.      Estoppel,
Acknowledgement and Reaffirmation. Each of the Loan Parties acknowledges and agrees that, as of June 21, 2016: the aggregate
outstanding principal amount of the Tranche A Term Loan was not less than $12,925,000; the aggregate outstanding principal amount
of the Tranche B Term Loan was not less than $22,500,000; the aggregate outstanding principal amount of all Revolving Loan was
not less than $20,000,000; and the LC Exposure was $0; each of which constitutes a valid and subsisting obligation of the Loan
Parties to the Lenders that is not subject to any credits, offsets, defenses, claims, counterclaims or adjustments of any kind.


 


2.       Consent,
Reaffirmation and Ratification. By its signature below, each of the undersigned Loan Parties hereby: (a) acknowledges and consents
to this Agreement and the terms and provisions hereof; (b) reaffirms the covenants and agreements contained in each Loan Document
to which it is a party, including, in each case, as such covenants and agreements may be modified by this Agreement and the transactions
contemplated hereby; (c) reaffirms that each of the Liens created and granted in, or pursuant to, the Loan Documents in favor of
the Administrative Agent, for the benefit of the holders of the Obligations, is valid and subsisting and acknowledges and agrees
that this Agreement shall in no manner impair or otherwise adversely affect such Liens, except as explicitly set forth herein;
and (d) confirms that each Loan Document to which it is a party is and shall continue to be in full force and effect and the same
is hereby ratified and confirmed in all respects, except that upon the effectiveness of this Agreement, all references in such
Loan Documents to the “Credit Agreement”, “thereunder”, “thereof” or words of like import shall
mean the Credit Agreement and the Loan Documents, as the case may be, as in effect and modified by this Agreement.


 


3.      Amendments
to Credit Agreement.


 


(a)      The
following definitions are hereby added to Section 1.1 of the Credit Agreement in the appropriate alphabetical order:


 


“Amendment
No. 3 Closing Date” shall mean July 5, 2016.


 


(b)      The
final sentence of the definition of “Aggregate Revolving Commitment Amount” in Section 1.1 of the Credit Agreement
is hereby amended and restated in its entirety as follows:


 


As of the
Amendment No. 3 Closing Date, the Aggregate Revolving Commitment Amount is $20,500,000.00.


 


(c)      Schedule
I to the Credit Agreement is amended and restated in its entirety as follows:


 


	Lender	Revolving Commitment	Tranche A Term Loan Commitment	Tranche B Term Loan Commitment
	SunTrust Bank	$20,500,000.00	$15,000,000.00	$22,500,000.00
	TOTAL	$20,500,000.00	$15,000,000.00	$22,500,000.00


 




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4.      Amendments
to Forbearance Agreement.


 


(a)       Recital
B of the Forbearance Agreement is hereby amended and restated in its entirety as follows:


 


B.      The
Loan Parties have informed the Administrative Agent and the Lenders that certain Defaults and Events of Default are anticipated
to occur under (i) Section 8.1(a) of the Credit Agreement as a result of the Borrowers’ anticipated failure to comply with
their principal repayment obligations under (x) Section 2.9(b) of the Credit Agreement for the month ending June 30, 2016 and (y)
Section 2.9(c) of the Credit Agreement for the month ending July 31, 2016; (ii) Section 8.1(b) of the Credit Agreement as a result
of the Borrowers’ anticipated failure to comply with their interest payment obligations under Section 2.13 of the Credit
Agreement for the months ending May 31, 2016, June 30, 2016 and July 31, 2016; (iii) Section 8.1(d) of the Credit Agreement as
a result of the Loan Parties’ anticipated failure to comply with the financial covenant set forth in Section 6.1 of the Credit
Agreement for the Fiscal Quarter ending June 30, 2016; (iv) Section 8.1(d) of the Credit Agreement as a result of the Loan Parties’
anticipated failure to comply with the financial covenant set forth in Section 6.2 of the Credit Agreement for the Fiscal Quarters
ending March 31, 2016 and June 30, 2016; and (v) Section 8.1(d) of the Credit Agreement as a result of the Borrowers’ anticipated
failure to comply with the financial covenant set forth in Section 6.3 of the Credit Agreement for the months ending May 31, 2016,
June 30, 2016 and July 31, 2016 (collectively, the “Anticipated Events of Default”).


 


(b)      The
penultimate sentence of Section 3 of the Forbearance Agreement is hereby amended and restated in its entirety as follows:


 


As used herein,
a “Forbearance Termination Event” shall mean the earliest of the following to occur: (a) any Default or Event
of Default under the Credit Agreement or the other Loan Documents other than the Anticipated Events of Default; (b) a breach by
any Loan Party of any obligation or covenant under this Agreement; and (c) August 31, 2016 (such date, the “Forbearance
Termination Date”).


 


(c)      Section
6 of the Forbearance Agreement is hereby amended and restated in its entirety as follows:


 


6.      Restructuring
Plan. On or before August 1, 2016, the Loan Parties shall provide the Administrative Agent with a written update to the plan
of action provided to the Administrative Agent on or about June 15, 2016, which update shall include, without limitation: (a) specific,
actionable information detailing how the Loan Parties intend to resolve their liquidity needs, modify their capital structures
and refinance or restructure the Obligations (such information, collectively, a “Restructuring Plan”); (b) a
detailed timeline with fixed milestones for completing the Restructuring Plan; and (c) a detailed list of gating items and conditions
precedent necessary to consummate the Restructuring Plan. The Restructuring Plan shall be in form and detail reasonably satisfactory
to the Administrative Agent.


 




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5.      One-Time
Waiver of Revolving Loan Borrowing Requirements. Subject to the terms and conditions set forth herein, the Lenders hereby agree
to make a one-time waiver of the following Borrowing requirements to allow a funding in the amount of $500,000 on the Effective
Date (defined below): (a) the requirements under Section 2.3 of the Credit Agreement that (i) a Notice of Revolving Borrowing be
delivered to the Administrative Agent prior to 11:00 a.m. one (1) Business Day prior to the requested date of a Base Rate Borrowing
substantially in the form of Exhibit 2.3 to the Credit Agreement, and (ii) the aggregate principal amount of each Base Rate Borrowing
total no less than $1,000,000; (b) the requirement under Section 3.2(a) of the Credit Agreement that, at the time of and immediately
after giving effect to a Borrowing, no Default or Event of Default shall exist; (c) the requirement under Section 3.2(b) of the
Credit Agreement that, at the time of and immediate after giving effect to a Borrowing, all representations and warranties of each
Loan Party set forth in the Loan Documents shall be true and correct in all material respects, except to the extent that any such
representation or warranty relates solely to a specified prior date, in which case such representation or warranty shall have been
true and correct on and as of such specified prior date; (d) the requirement under Section 3.2(c) of the Credit Agreement that
no change which has had or could reasonably be expected to have a Material Adverse Effect shall have occurred since December 31,
2013; provided, (v) the waiver contained in the foregoing clause (b) is applicable only to those Defaults and Events of
Default that are also Anticipated Events of Default, (w) the waiver contained in the foregoing clause (c) is applicable only to
the representation set forth in Section 4.15 (Solvency) of the Credit Agreement; (x) the waiver contained in the foregoing clause
(d) is applicable only to those Material Adverse Effects that have been disclosed to the Administrative Agent in writing prior
to the Effective Date (defined below), (y) any advance or extension of credit made pursuant to the waiver in this Section 5 must
be made pursuant to a Notice of Revolving Borrowing delivered to the Administrative Agent on the Effective Date and (z) the one-time
waiver contained in this Section 5 shall not be deemed to modify or affect the obligations of the Loan Parties to comply with each
and every other obligation, covenant, duty or agreement under the Loan Documents and all other instruments, documents and agreements
issued, executed or delivered in connection with the Loan Documents, in each case as amended. This one-time waiver shall not be
construed as a waiver of, or in any way obligate the Administrative Agent or the Lenders to waive, any other requirement for the
extension of credit under the Credit Agreement or the other Loan Documents or to otherwise honor any other Notice of Revolving
Borrowing while a Default or Event of Default remains outstanding.


 


6.      Notice
of Revolving Borrowing. Notwithstanding anything to the contrary in the Credit Agreement and the other Loan Documents, this
Section 6 shall constitute a Notice of Revolving Borrowing for purposes of Section 3.2(d) of the Credit Agreement solely for the
purpose of the Borrowers requesting a Revolving Borrowing, and the Lenders providing a corresponding funding, in the amount of
$500,000 on the Effective Date (the “Effective Date Borrowing Request”), and, in connection with therewith,
the Borrowers hereby specify the following information:


 


(a)      Aggregate
principal amount of such Revolving Borrowing: $500,000


 


(b)      Date
of such Revolving Borrowing: July 5, 2016


 


(c)      Interest
rate basis: Base Rate Borrowing


 


(d)      Interest
Period: not applicable


 




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(e)      Location
and number of the account of the Borrowers to which proceeds of such Revolving Borrowing are to be disbursed:


 


  Bank
Name:            


  City/State:            


  ZIP
Code:            


  Account
Name:            


  Account
Number:      


  ACH/Routing
#:       (if disbursement is made by ACH)


  Wire/ABA
#:             (if disbursement is made by wire transfer)


      


By its signature below,
each of the undersigned Borrowers represent and warrant to the Administrative Agent and the Lenders that the conditions specified
in subsections (a), (b) and (c) of Section 3.2 of the Credit Agreement are either satisfied or waived in connection with the Effective
Date Borrowing Request after giving effect to this Agreement.


 


7.      Costs
and Expenses. The Borrowers shall pay all reasonable and documented out-of-pocket fees, costs and expenses incurred by the
Administrative Agent and the Lenders (including, without limitation, the reasonable and documented fees and out-of-pocket costs
and expenses of counsel) incurred in connection with the Credit Agreement, this Agreement and the other Loan Documents through
the Effective Date (defined below).


 


8.      Conditions
Precedent. This Agreement shall be effective as of the date hereof (the “Effective Date”) when, and only
when, each of the following conditions shall have been satisfied or waived, in the sole discretion of the Administrative Agent:


 


(a)      The
Administrative Agent shall have received counterparts of this Agreement duly executed by each of the Loan Parties, the Lenders
and the Administrative Agent.


 


(b)      The
Administrative Agent shall have received such certificates of resolutions or other action, incumbency certificates and/or other
certificates of Responsible Officers of each Loan Party as the Administrative Agent may require evidencing the identity, authority
and capacity of each Responsible Officer thereof authorized to act as a Responsible Officer in connection with this Agreement and
the other Loan Documents to which such Loan Party is a party.


 


(c)      Counsel to the Administrative Agent shall have received reimbursement from the Loan Parties for all reasonable fees, costs
and expenses charged the Administrative Agent and the Lenders in connection with the Credit Agreement, this Agreement and
the other Loan Documents through the Effective Date.


  


9.      Incorporation
of Agreement. Except as specifically modified herein, the terms of the Loan Documents shall remain in full force and effect.
The execution, delivery and effectiveness of this Agreement shall not operate as a waiver of any right, power or remedy of the
Administrative Agent under the Loan Documents, or constitute a waiver or amendment of any provision of the Loan Documents, except
as expressly set forth herein. The breach in any material respect of any provision or representation under this Agreement shall
constitute an immediate Event of Default under the Credit Agreement, and this Agreement shall constitute a Loan Document.


 


10.      Representations
of the Loan Parties. Each of the Loan Parties represents and warrants to the Administrative Agent and the Lenders as follows:


 


(a)      Except
as acknowledged herein, no Default or Event of Default exists under the Loan Documents on and as of the date hereof.


 




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(b)      It
has taken all necessary action to authorize the execution, delivery and performance of this Agreement and any other documents delivered
by it in connection herewith.


 


(c)      This
Agreement and each other document delivered by it in connection herewith has been duly executed and delivered by such Person and
constitutes such Person’s legal, valid and binding obligation, enforceable in accordance with its terms, except as such enforceability
may be subject to (i) bankruptcy, insolvency, reorganization, fraudulent conveyance or transfer, moratorium or similar laws affecting
creditors’ rights generally and (ii) general principles of equity (regardless of whether such enforceability is considered
in a proceeding at law or in equity).


 


(d)      No
consent, approval, authorization or order of, registration or qualification with, any court or Governmental Authority or third
party is required in connection with the execution, delivery or performance by such Person of this Agreement.


 


(e)      The
execution and delivery of this Agreement or any other document delivered by it in connection herewith does not (i) violate, contravene
or conflict with any provision of its organizational documents or (ii) materially violate, contravene or conflict with any laws
applicable to it or any of its Subsidiaries.


 


(f)      After
giving effect to this Agreement, the representations and warranties of the Loan Parties contained in the Loan Documents, as supplemented
by the disclosures on Schedule 11(f), are true, accurate and complete in all materials respects on and as of the date hereof
to the same extent as though made on and as of such date except to the extent such representations and warranties specifically
relate to an earlier date.


 


11.      Release;
No Action, Claims, Etc. In consideration of the Administrative Agent’s, the Lenders’ and the Issuing Bank’s
willingness to enter into this Agreement, each of the Loan Parties hereby releases and forever discharges the Administrative Agent,
the Lenders, the Issuing Bank and each of the Administrative Agent’s, Lenders’ and Issuing Bank’s respective
predecessors, successors, assigns, officers, managers, directors, employees, agents, attorneys, representatives, and affiliates
(hereinafter all of the above collectively referred to as the “Lender Group”), from any and all claims, counterclaims,
demands, damages, debts, suits, liabilities, actions and causes of action of any nature whatsoever, in each case to the extent
arising in connection with the Loan Documents through the date of this Agreement, whether arising at law or in equity, whether
known or unknown, whether liability be direct or indirect, liquidated or unliquidated, whether absolute or contingent, foreseen
or unforeseen, and whether or not heretofore asserted, which each of the Loan Parties may have or claim to have against any of
the Lender Group. As of the date hereof, each of the Loan Parties hereby acknowledges and confirms that it has no knowledge of
any actions, causes of action, claims, demands, damages and liabilities of whatever kind or nature, in law or in equity, against
any member of the Lender Group arising from any action by such Person, or failure of such Person to act under the Loan Documents
on or prior to the date hereof.


 


12.      Further
Assurances. Each of the parties hereto agrees to execute and deliver, or to cause to be executed and delivered, all such instruments
as may reasonably be requested to effectuate the intent and purposes, and to carry out the terms, of this Agreement.


 


13.      No
Third Party Beneficiaries. This Agreement and the rights and benefits hereof shall inure to the benefit of each of the parties
hereto and their respective successors and assigns. No other Person shall have or be entitled to assert rights or benefits under
this Agreement.


 




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14.      Governing
Law; Jurisdiction; Consent to Service of Process; Waiver of Jury Trial. The governing law, jurisdiction, consent to service
of process and waiver of jury trial provisions set forth in Sections 10.5 and 10.6 of the Credit Agreement are hereby incorporated
by reference, mutatis mutandis.


 


15.      Entirety.
This Agreement and the other Loan Documents embody the entire agreement between the parties and supersede all prior agreements
and understandings, if any, relating to the subject matter hereof. This Agreement and the other Loan Documents represent the final
agreement between the parties and may not be contradicted by evidence of prior, contemporaneous or subsequent oral agreements of
the parties.


 


16.      Miscellaneous


 


(a)      This
Agreement shall be binding on and shall inure to the benefit of the Loan Parties, the Administrative Agent, the Lenders and their
respective successors and permitted assigns. It is the intent of the undersigned Lenders that any third party acquiring any such
Lender’s rights and obligations under the Credit Agreement shall, with respect to such Lender’s portion of the Loan,
be subject to, and bound by, the terms and conditions of this Agreement. The terms and provisions of this Agreement are for the
purpose of defining the relative rights and obligations of the Loan Parties, the Administrative Agent, the Issuing Bank and the
Lenders with respect to the transactions contemplated hereby and there shall be no third party beneficiaries of any of the terms
and provisions of this Agreement.


 


(b)      Section
headings in this Agreement are included herein for convenience of reference only and shall not constitute a part of this Agreement
for any other purpose.


 


(c)      Wherever
possible, each provision of this Agreement shall be interpreted in such a manner as to be effective and valid under applicable
law, but if any provision of this Agreement shall be prohibited by or invalid under applicable law, such provision shall be ineffective
to the extent of such prohibition or invalidity, without invalidating the remainder of such provision or the remaining provisions
of this Agreement.


 


(d)      Except
as otherwise expressly provided in this Agreement, if any provision contained in this Agreement is in conflict with, or inconsistent
with, any provision in the Loan Documents, the provision contained in this Agreement shall govern and control.


 


(e)      This
Agreement may be executed in any number of separate counterparts, each of which shall collectively and separately constitute one
agreement. Delivery of an executed counterpart of this Agreement by telecopy or other electronic means shall be effective as an
original.


 


(f)      This
Agreement does not represent a commitment by the Lenders and/or the Administrative Agent to make any new loans, restructure the
Obligations or grant or extend any financial accommodations to the Loan Parties, except for the agreements expressly set forth
herein.


 





17.      No
Waiver. Nothing herein shall constitute a waiver of the Anticipated Events of Default, as such term is defined in the
Forbearance Agreement.


 [Signature pages follow.]


 


 


 




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IN WITNESS WHEREOF, each
of the parties hereto has caused this Agreement to be duly executed and delivered as of the date first above written.


 


	BORROWERS:	DAKOTA PLAINS TRANSLOADING, LLC
	 	 	 
	 	By:	/s/ Gabriel G. Claypool
	 	Name: Gabriel G. Claypool
	 	Title: President
	 	 	 
	 	DAKOTA PLAINS SAND, LLC
	 	 	 
	 	By:	/s/ Gabriel G. Claypool
	 	Name: Gabriel G. Claypool
	 	Title: President
	 	 	 
	 	DAKOTA PLAINS Marketing, LLC
	 	 	 
	 	By:	/s/ Gabriel G. Claypool
	 	Name: Gabriel G. Claypool
	 	Title: President
	 	 	 
	HOLDINGS:	Dakota Plains Holdings, Inc.
	 	 	 
	 	By:	/s/ Gabriel G. Claypool
	 	Name: Gabriel G. Claypool
	 	Title: President and Chief Operating Officer
	 	 	 
	SUBSIDIARY LOAN PARTIES:	DPTS MARKETING LLC
	 	 	 
	 	By:	/s/ Gabriel G. Claypool
	 	Name: Gabriel G. Claypool
	 	Title: Manager
	 	 	 
	 	DAKOTA PETROLEUM TRANSPORT SOLUTIONS, LLC
	 	 	 
	 	By:	/s/ Gabriel G. Claypool
	 	Name: Gabriel G. Claypool
	 	Title: Manager
	 	 	 
	 	DPTS SAND, LLC,
	 	 	 
	 	By:	/s/ Gabriel G. Claypool
	 	Name: Gabriel G. Claypool
	 	Title: Manager
	




 


SIGNATURE
PAGE


DAKOTA
PLAINS – AMENDMENT No. 3 TO REVOLVING CREDIT AND TERM LOAN AGREEMENT


 




    	 



     

    


	ADMINISTRATIVE

AGENT:	suntrust bank,
	 	as Administrative Agent
	 	 	 
	 	By:	/s/ Janet R. Naifeh
	 	Name: Janet R. Naifeh
	 	Title: Senior Vice President
	 	 	 
	LENDERS:	suntrust bank,
	 	as a Lender and Issuing Bank 
	 	 
	 	 	 
	 	By:	/s/ Janet R. Naifeh
	 	Name: Janet R. Naifeh
	 	Title: Senior Vice President


 


 


SIGNATURE
PAGE


DAKOTA
PLAINS – AMENDMENT No. 3 TO REVOLVING CREDIT AND TERM LOAN AGREEMENT