SEC Contract Filing

Filing Date: 2018-08-03

Document Content:
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>yuma_ex101.htm
<DESCRIPTION>WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT DATED JULY 31, 2018
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Exhibit 10.1</font></div>
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WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">THIS
WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT (this
&#x201C;<font style="font-weight: bold; font-style: italic">Amendment</font>&#x201D;)
dated as of July 31, 2018 among <font style="font-weight: bold">YUMA ENERGY, INC.</font>, a Delaware
corporation (&#x201C;<font style="font-weight: bold; font-style: italic">Yuma Energy</font>&#x201D;),
<font style="font-weight: bold">YUMA EXPLORATION AND PRODUCTION
COMPANY, INC.</font>, a Delaware corporation, <font style="font-weight: bold">PYRAMID OIL LLC</font>, a California limited
liability company, and <font style="font-weight: bold">DAVIS
PETROLEUM CORP.</font>, a Delaware corporation (&#x201C;<font style="font-weight: bold; font-style: italic">Davis</font>&#x201D;, and
together with Yuma Energy, Yuma Exploration and Production Company,
Inc., and Pyramid Oil&#xA0;LLC, the &#x201C;<font style="font-weight: bold; font-style: italic">Borrowers</font>&#x201D;,
and each a &#x201C;<font style="font-weight: bold; font-style: italic">Borrower</font>&#x201D;),
the Guarantors existing on the date hereof, the undersigned Lenders
party to the Credit Agreement (the &#x201C;<font style="font-weight: bold; font-style: italic">Lenders</font>&#x201D;) and
<font style="font-weight: bold">SOCI&#xC9;T&#xC9;
G&#xC9;N&#xC9;RALE</font>, in its capacity as Administrative Agent
(the&#xA0;&#x201C;<font style="font-weight: bold; font-style: italic">Administrative
Agent</font>&#x201D;).</font></div>
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RECITALS</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">A.&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;The
Borrowers, the Lenders and the Administrative Agent are parties to
that certain Credit Agreement dated as of October 26, 2016, as
amended by that certain First Amendment to Credit Agreement and
Borrowing Base Redetermination dated as of May&#xA0;19,&#xA0;2017,
and as further amended by that certain Limited Waiver and Second
Amendment to Credit Agreement and Borrowing Base Redetermination
effective as of March&#xA0;31,&#xA0;2018 (as so amended, and as
otherwise amended, restated, amended and restated, supplemented or
otherwise modified prior to the date hereof, the
&#x201C;<font style="font-weight: bold; font-style: italic">Credit
Agreement</font>&#x201D;).</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">B.&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;Yuma
Energy, in its capacity as the Borrowing Agent<a name="El2v1O"><!--anchor--></a>, has notified the Administrative Agent
and the Lenders under the Credit Agreement that as of the last day
of the fiscal quarter ended June&#xA0;30,&#xA0;2018, Yuma Energy
and its Subsidiaries failed to maintain cash and Cash Equivalent
Investments held in accounts that are not subject to any
restriction on use or designated for a particular purpose or any
Lien other than the security interest in favor of the
Administrative Agent under the Security Documents (net of the
amount of any Borrowing Base Deficiency, if any), together with
borrowing availability under the Credit Agreement, of at least
$4,000,000.</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">C.&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;The
Borrowers have requested certain amendments and waivers to the
Credit Agreement and, subject to the conditions precedent set forth
herein, the parties hereto have agreed to so amend and waive
certain provisions of the Credit Agreement as set forth
herein.</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">NOW,
THEREF