Emerge Energy Services LP Announces Second Amendment to Credit Agreement and Notice of Late Filing
Southlake, Texas - November 20, 2015 - Emerge Energy Services LP (NYSE: EMES) (the "Partnership") today announced that it has entered into the second amendment (the "Amendment") to the revolving credit and security agreement, dated as of July 27, 2014 (as amended, the "Credit Agreement"), among the Partnership, the subsidiary borrowers, PNC Bank, National Association, as administrative agent, and the other lenders party thereto.
The Amendment temporarily suspends certain financial ratio covenants under the Credit Agreement, restricts the Partnership from entering into certain transactions and requires that its operating results meet certain performance thresholds during the suspension period. The executed Amendment and a description thereof are included in the Partnership's Quarterly Report on Form 10-Q for the three months ended September 30, 2015 (the "Quarterly Report"), which has been filed today with the Securities and Exchange Commission (the "SEC").
The Partnership also announced today that on November 17, 2015, it received a notice from the New York Stock Exchange (the "NYSE") advising that the procedures in Section 802.01E of the Listed Company Manual are applicable to the Partnership as a result of its failure to file with the SEC the Quarterly Report by November 9, 2015, the date on which it was required to have been filed under Section 13 of the Securities Exchange Act of 1934. The NYSE informed the Partnership that, under the NYSE's rules, the Partnership had six months from November 9, 2015 to file the Quarterly Report with the SEC in order to cure the noncompliance with the NYSE's requirement to timely file all annual and quarterly reports.
As previously disclosed by the Partnership in its Form 12b-25 filed with the SEC, the Partnership was unable to timely file the Quarterly Report because of the significant amount of management time required in negotiating the Amendment, the terms of which were expected to materially affect the financial statements and disclosures presented in the Quarterly Report. Having since entered into the Amendment and filed the Quarterly Report, the Partnership believes it is now in compliance with the NYSE's listing standards.
About Emerge Energy Services LP
Emerge Energy Services LP (NYSE: EMES) is a growth-oriented limited partnership engaged in the businesses of mining, producing, and distributing silica sand, a key input for the hydraulic fracturing of oil and natural gas wells. Emerge Energy also processes transmix, distributes refined motor fuels, operates bulk motor fuel storage terminals, and provides complementary fuel services. Emerge Energy operates its sand segment through its subsidiary Superior Silica Sands LLC and its fuel segment through its subsidiaries Direct Fuels LLC and Allied Energy Company LLC.
This release contains certain statements that are "forward-looking statements." These statements can be identified by the use of forward-looking terminology including "may," "believe," "will," "expect," "anticipate," or "estimate." These forward-looking statements involve risks and uncertainties, and there can be no assurance that actual results will not differ materially from those expected by management of Emerge Energy Services LP. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements in Emerge Energy's Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the SEC. The risk factors and other factors noted in the Annual Report and Quarterly Reports could cause actual results to differ materially from those contained in any forward-looking statement. Except as required by law, Emerge Energy Services LP does not undertake any obligation to update or revise such forward-looking statements to reflect events or circumstances that occur after the date hereof.
This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Emerge Energy Services LP via Globenewswire
Source: Thomson Reuters ONE
(November 20, 2015 - 4:00 PM EST)
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