RGC Resources Inc. Enters Credit Agreement

TL;DR

RGC Resources just signed a new credit agreement, locking in some debt.

AI Summary

On September 5, 2025, RGC Resources, Inc. entered into a material definitive agreement, specifically a credit agreement. This agreement creates a direct financial obligation for the registrant. The filing was made on September 9, 2025.

Why It Matters

This filing indicates RGC Resources Inc. has secured new financing or debt, which could impact its financial flexibility and future investments.

Risk Assessment

Risk Level: medium — Entering into a credit agreement signifies taking on financial obligations, which carries inherent risks related to repayment and interest rates.

Key Players & Entities

• RGC Resources, Inc. (company) — Registrant
• September 5, 2025 (date) — Date of Earliest Event Reported
• September 9, 2025 (date) — Filing Date
• 540-777-4427 (phone_number) — Registrant's telephone number

FAQ

Key Financial Figures

• $5 — ge on Which Registered Common Stock , $5 Par Value RGCO NASDAQ Global Market
• $53,600,000 — redit Agreement ("Agreement") borrowing $53,600,000 with Atlantic Union Bank ("Atlantic Uni
• $35,600,000 — interest rate swap agreements totaling $35,600,000 with Atlantic Union and CoBank correspo
• $1,850,000 — at can be drawn to principal amounts of $1,850,000 and $3,650,000, respectively, (the "Not
• $3,650,000 — to principal amounts of $1,850,000 and $3,650,000, respectively, (the "Notes") with Atlan

Filing Documents

• rgco20250903c_8k.htm (8-K) — 32KB
• ex_859366.htm (EX-10.1) — 489KB
• ex_859367.htm (EX-10.2) — 57KB
• ex_859368.htm (EX-10.3) — 79KB
• ex_859369.htm (EX-10.4) — 49KB
• ex_859370.htm (EX-10.5) — 306KB
• ex_859371.htm (EX-10.6) — 53KB
• ex_859368img001.jpg (GRAPHIC) — 4KB
• ex_859369img001.jpg (GRAPHIC) — 2KB
• 0001437749-25-028650.txt ( ) — 1408KB
• rgco-20250905.xsd (EX-101.SCH) — 3KB
• rgco-20250905_def.xml (EX-101.DEF) — 11KB
• rgco-20250905_lab.xml (EX-101.LAB) — 15KB
• rgco-20250905_pre.xml (EX-101.PRE) — 11KB
• rgco20250903c_8k_htm.xml (XML) — 3KB

01

ITEM 1.01. ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT. On September 5, 2025, RGC Midstream, LLC ("Midstream"), a wholly owned subsidiary of RGC Resources, Inc. ("Resources"), entered into a Credit Agreement ("Agreement") borrowing $53,600,000 with Atlantic Union Bank ("Atlantic Union") and CoBank, ACB ("CoBank"). The Agreement bears an interest rate of one month Term SOFR plus 155 basis points with interest payable monthly. Midstream will repay principal based on a schedule aligned with the terms of the Mountain Valley Pipeline ("MVP") shipper agreements, which will expire in June 2044. Quarterly principal payments will be due each October, January, April and July. In connection with this Agreement, Resources executed a Guaranty in favor of Atlantic Union and CoBank guaranteeing timely payment and performance of obligations by Midstream. The loan matures on September 5, 2032. The proceeds from this note were used to refinance all of Midstream's existing debt. Also, on September 5, 2025, Midstream executed two interest rate swap agreements totaling $35,600,000 with Atlantic Union and CoBank corresponding to the term and draw provisions of the Agreement, which effectively converts that portion of the variable rate note to a fixed rate instrument with an effective annual interest rate of 5.061%. The two existing interest rate swaps with Atlantic Union will remain in place, have been redesignated, and when combined with the new interest rate swap agreement, hedges a notional value of $53,600,000. Additionally, on September 5, 2025, Midstream entered into a Loan Agreement for the MVP Southgate extension and MVP expansion that can be drawn to principal amounts of $1,850,000 and $3,650,000, respectively, (the "Notes") with Atlantic Union. The Notes bear an interest rate of Term SOFR plus 175 basis points, subject to reduction to Term SOFR plus 155 basis points upon operation of MVP Southgate and operation of the MVP expansion, respectively, and commencement of cash dis

03

ITEM 2.03. CREATION OF A DIRECT FINANCIAL OBLIGATION OR AN OBLIGATION UNDER AN OFF-BALANCE SHEET ARRANGEMENT The information required by this Item 2.03 is set forth in Item 1.01 above in respect of the Agreement and Notes, which is incorporated herein by reference.

FINANCIAL STATEMENTS AND EXHIBITS

FINANCIAL STATEMENTS AND EXHIBITS (d) Exhibits 10.1 Credit Agreement by and between RGC Midstream, LLC, Atlantic Union Bank and CoBank, ACB, dated as of September 5, 2025 10.2 Guaranty by RGC Resources, Inc. with Atlantic Union Bank, dated as of September 5, 2025 10.3 Interest Rate Swap Confirmation by and between RGC Midstream, LLC and Atlantic Union Bank, executed on September 5, 2025 10.4 Interest Rate Swap Confirmation by and between RGC Midstream, LLC and CoBank, executed on September 5, 2025 10.5 Loan Agreement by and between RGC Midstream, LLC and Atlantic Union Bank, dated as of September 5, 2025 10.6 Guaranty by RGC Resources, Inc. with Atlantic Union Bank, dated as of September 5, 2025 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

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. RGC RESOURCES, INC. Date: September 9, 2025 By: /s/ Timothy J. Mulvaney Timothy J. Mulvaney Vice President, Treasurer and Chief Financial Officer (Principal Financial Officer)

View Full Filing

View this 8-K filing on SEC EDGAR