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DEBT

6 Months Ended

Jun. 30, 2024

NOTE 3 — DEBT

The components comprising the Company’s debt are presented in the following table (in thousands):


	June 30,		December 31,
	2024		2023
Term Loan:
Principal	$	114,159	$	114,159
Unamortized debt issuance costs		(2,499)		(3,052)
Total		111,660		111,107

11.75% Senior Second Lien Notes due 2026:
Principal		275,000		275,000
Unamortized debt issuance costs		(4,019)		(5,090)
Total		270,981		269,910

TVPX Loan:
Principal		10,475		11,025
Unamortized discount		(1,027)		(1,294)
Unamortized debt issuance costs		(185)		(144)
Total		9,263		9,587

Total debt, net		391,904		390,604
Less current portion, net		(14,925)		(29,368)
Long-term debt, net	$	376,979	$	361,236

On March 17, 2024, the term loan provided for by the credit agreement entered into by Aquasition LLC and Aquasition II LLC (the “Term Loan”) was amended to provide for (i) the deferral of $30.1 million of principal repayments during 2024; (ii) the resumption of principal repayments in the first quarter of 2025 with the option, but not obligation, to catch up on deferred amortization through excess cash flow sweep; (iii) the payment of cash interest each quarter on the remaining principal balance; (iv) the payment of an amendment fee of $0.2 million to be paid in four quarterly installments of $50,000 each, starting in the first quarter of 2024; and (v) the modification of the optional prepayment schedule as follows: redemption at 103% of par from May 2024 to May 2026, redemption at 102% of par from May 2026 up to May 2027, and 101% of par from May 2027 up to maturity in May 2028. The premium will be applicable to the aggregate principal amount outstanding at the time of any optional redemption.

During the six months ended June 30, 2024, the Company entered into a series of amendments to extend the maturity date of the Sixth Amended and Restated Credit Agreement (the “Credit Agreement”). Most recently, the Company entered into the Nineteenth Amendment on June 28, 2024 to (i) extend the maturity date to December 31, 2024, (ii) prohibit the use of loan proceeds to pay other Indebtedness (as defined in the Credit Agreement) and (iii) lower the excess cash balance sweep threshold. As of June 30, 2024, the borrowing base under the Credit Agreement was $50.0 million and there were no borrowings outstanding. In addition, no borrowings had been incurred under the Credit Agreement during the six months ended June 30, 2024. As of both June 30, 2024 and December 31, 2023, the Company had $4.4 million outstanding in letters of credit which have been cash collateralized.

As of June 30, 2024, the Company was in compliance with all applicable covenants.