PEDEVCO Corp. Enters Material Definitive Agreement

TL;DR

PEDEVCO just signed a big deal, could mean new debt or obligations.

AI Summary

On September 11, 2024, PEDEVCO Corp. entered into a material definitive agreement related to a direct financial obligation. The company, formerly known as BLAST ENERGY SERVICES, INC. and VERDISYS INC, is involved in crude petroleum and natural gas extraction.

Why It Matters

This filing indicates a significant financial commitment or obligation for PEDEVCO Corp., which could impact its financial standing and future operations in the oil and gas sector.

Risk Assessment

Risk Level: medium — Entering into material definitive agreements, especially those involving financial obligations, can introduce financial risks and operational changes for the company.

Key Players & Entities

• PEDEVCO CORP (company) — Registrant
• September 11, 2024 (date) — Date of Report
• BLAST ENERGY SERVICES, INC. (company) — Former Company Name
• VERDISYS INC (company) — Former Company Name
• Texas (location) — State of Incorporation

FAQ

Key Financial Figures

• $0.001 — nge on which registered Common Stock, $0.001 par value per share PED NYSE Americ
• $20.0 million — ovides for an initial borrowing base of $20.0 million and an aggregate maximum revolving cred
• $250 million — gate maximum revolving credit amount of $250 million. The borrowing base is scheduled to be

Filing Documents

• ped_8k.htm (8-K) — 38KB
• ped_ex101.htm (EX-10.1) — 927KB
• ped_ex991.htm (EX-99.1) — 11KB
• 0001654954-24-011761.txt ( ) — 1294KB
• ped-20240911.xsd (EX-101.SCH) — 6KB
• ped-20240911_lab.xml (EX-101.LAB) — 14KB
• ped-20240911_cal.xml (EX-101.CAL) — 1KB
• ped-20240911_pre.xml (EX-101.PRE) — 9KB
• ped-20240911_def.xml (EX-101.DEF) — 2KB
• ped_8k_htm.xml (XML) — 4KB

01 Entry Into a Material Definitive Agreement

Item 1.01 Entry Into a Material Definitive Agreement. On September 11, 2024, PEDEVCO Corp. (the "Company") entered into a senior secured revolving credit agreement (the "Credit Agreement") among the Company, as borrower, Citibank, N.A. ("Citibank"), as administrative agent, and the lenders from time to time party thereto. The Credit Agreement has a maturity of four years from September 11, 2024. The Credit Agreement provides for an initial borrowing base of $20.0 million and an aggregate maximum revolving credit amount of $250 million. The borrowing base is scheduled to be redetermined semiannually on or about April 1 and October 1 of each calendar year, commencing October 1, 2024, and is subject to additional adjustments from time to time, including for asset sales, elimination or reduction of hedge positions and incurrence of other debt. Additionally, each of the Company and the Required Lenders (as defined in the Credit Agreement) may request one unscheduled redetermination of the borrowing base between each scheduled redetermination. The amount of the borrowing base is determined by the lenders in their sole discretion and consistent with the oil and gas lending criteria of the lenders at the time of the relevant redetermination. The amount the Company is able to borrow under the Credit Agreement is subject to compliance with the financial covenants, satisfaction of various conditions precedent to borrowing and other provisions of the Credit Agreement. As of the date of this filing, the Company does not have any borrowings or letters of credit outstanding under the Credit Agreement, resulting in availability of $20.0 million. The Credit Agreement is guaranteed by the subsidiaries of the Company and is secured by a first priority mortgage and security interest in substantially all assets of the Company and its subsidiaries. Borrowings under the Credit Agreement may be alternate base rate ("ABR") loans or SOFR loans, at the election of the Company. Interest

03 Material Modification to Rights of Security Holders

Item 3.03 Material Modification to Rights of Security Holders. The disclosures included in Item 1.01 above, including regarding the Credit Agreement, are incorporated into this Item 3.03 in their entirety by reference.

01 Other Events

Item 8.01 Other Events. On the Closing Date, the Company issued a press release announcing the entry into the Credit Agreement and providing certain business updates. A copy of the press release is filed as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference in its entirety.

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. (d) Exhibits. Exhibit No. Description 10.1+* Credit Agreement 99.1* Press Release dated September 11, 2024 104 Inline XBRL for the cover page of this Current Report on Form 8-K * Filed herewith. ** Furnished herewith. + Certain schedules and exhibits and similar attachments have been omitted pursuant to Item 601(a)(5) of Regulation S-K. A copy of any omitted schedule or exhibit will be furnished supplementally to the Securities and Exchange Commission upon request; provided, however that the Company may request confidential treatment pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as amended, for any schedule or exhibit so furnished. 3 The inclusion of any website address in this Form 8-K, and any exhibit thereto, is intended to be an inactive textual reference only and not an active hyperlink. The information contained in, or that can be accessed through, such website is not part of or incorporated into this Form 8-K.

Forward-Looking Statements

Forward-Looking Statements The press release furnished as Exhibit 99.1 , to this Current Report on Form 8-K, contains forward-looking statements within the safe harbor provisions under the federal securities laws, including The Private Securities Litigation Reform Act of 1995, and, as such, may involve known and unknown risks, uncertainties and assumptions. These forward-looking statements relate to the Company's current expectations and are subject to the limitations and qualifications set forth in the press release as well as in the Company's other filings with the Securities and Exchange Commission, including, without limitation, that actual events and/or results may differ materially from those projected in such forward-looking statements. These statements also involve known and unknown risks, which may cause the results of the Company and its subsidiaries to be materially different than those expressed or implied in such statements, as described in greater detail in the press release furnished as Exhibit 99.1 . Accordingly, readers should not place undue reliance on any forward-looking statements. Forward-looking statements may include comments as to the Company's beliefs and expectations as to future financial performance, events and trends affecting its business and are necessarily subject to uncertainties, many of which are outside the Company's control. More information on potential factors that could affect the Company's financial results is included from time to time in the " Cautionary Note Regarding Forward-Looking Statements, " " Risk Factors " and " Management's Discussion and Analysis of Financial Condition and Results of Operations " sections of the Company's periodic and current filings with the SEC, including the Form 10-Qs and Form 10-Ks, filed with the SEC and available at www.sec.gov and the Company's website at https://www.PEDEVCO.com/ped/sec_filings , and specifically including the Company's Annual Report on Form 10-K for the year ended Dec

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. PEDEVCO CORP. Date: September 11, 2024 By: /s/ Dr. Simon G. Kukes Dr. Simon G. Kukes Chief Executive Officer 5

View Full Filing

View this 8-K filing on SEC EDGAR