On the Effective Date, the Parent and Sundance Energy, Inc. entered into a new first-out senior secured revolving credit facility with Toronto Dominion (Texas) LLC, as administrative agent, and the other lenders from time to time party thereto and a second-out senior secured term loan credit facility by amending and restating the company’s existing credit agreement. The Revolving Credit Facility provides for revolving loans in an aggregate amount of up to $250 million, subject to borrowing base capacity. Letters of credit will be available up to the lesser of $20 million and the aggregate unused amount of commitments under the Revolving Credit Facility then in effect. On the Effective Date, Sundance Energy, Inc. will borrow $30 million in term loans under the Term Loan Facility. The Credit Facilities will mature on April 23, 2024. Beginning on the last Business Day of the fourth full fiscal quarter following the Effective Date, the term loans under the Term Loan Facility will amortize on a quarterly basis in an amount equal to $2.5 million. Their obligations under the Credit Facilities will be guaranteed by the Parent and the Parent’s direct and indirect subsidiaries and will be secured by a lien on substantially all of Sundance Energy, Inc.’s, and each of the Guarantor’s assets. Borrowings and letters of credit under the Revolving Credit Facility will be limited by borrowing base calculations set forth therein. The initial borrowing base is $107.5 million, subject to redetermination. The borrowing base will be redetermined semiannually on or around March 1, 2022 and October 3, 2022, and on or around the first Business Day of April and October in 2023 and each year thereafter, as applicable, with one interim “wildcard” redetermination available between scheduled redeterminations. The first scheduled redetermination will be on or around March 1, 2022. Borrowings under the Revolving Credit Facility will bear interest at a floating rate at their option, which can be either an adjusted Eurodollar rate plus an applicable margin of 3.00% to 4.00% per annum or a base rate plus an applicable margin of 2.00% to 3.00% per annum, in each case, with the applicable margin dependent on the utilization percentage of the borrowing base. Borrowings under the Term Loan Facility will bear interest at a floating rate at their option, which can be either an adjusted Eurodollar rate plus 8.00% per annum or a base rate plus an applicable margin of 7.00% per annum. Their Credit Facilities will contain customary covenants, including, but not limited to, restrictions on their ability and that of their subsidiaries to merge and consolidate with other companies, incur indebtedness, grant liens or security interests on assets, make acquisitions, loans, advances or investments, pay dividends, sell or otherwise transfer assets, or enter into transactions with affiliates. The Credit Facilities will provide that, upon the occurrence of certain events of default, their obligations thereunder may be accelerated and the lending commitments terminated. Such events of default include payment defaults to the lenders thereunder, material inaccuracies of representations and warranties, covenant defaults, cross-defaults to other material indebtedness, voluntary and involuntary bankruptcy proceedings, material money judgments, certain change of control events and other customary events of default.