NOTE 12. LONG–TERM DEBT, NET

The following table presents the consolidated debt obligations at the dates indicated (in thousands):


	December 31, 2019		December 31, 2018
Exit Credit facility		—		115,000

New Credit Facility

In October 2019, the Company entered into a new $10 million revolving credit facility with Regions Bank (the “New Credit Facility”). The New Credit Facility will mature on October 4, 2020 but may be renewed for an additional one-year term by mutual agreement between the Company and the lender. Borrowings under this credit facility are secured by cash collateral which is included as “Restricted cash” on the consolidated balance sheets as of December 31, 2019, and the Company may use borrowings under the New Credit Facility for acquiring and developing oil and natural gas properties, working capital purposes and general corporate purposes. As of December 31, 2019, the Company did not have an outstanding balance. The Company also may use up to $2.0 million of available borrowing capacity for letters of credit. As of December 31, 2019, the Company had a $0.1 million letter of credit outstanding.

The terms of the New Credit Facility do not require any repayments of amounts outstanding until maturity in October 2020, and will bear interest at LIBOR plus 100 bps.

Exit Credit Facility

In connection with the Company’s emergence from bankruptcy, on the Effective Date, the Company entered into a Credit Agreement providing for a $1.0 billion new reserve-based revolving loan. The Exit Credit Facility was set to mature on February 26, 2021. Borrowings under the Exit Credit Facility were secured by a first priority lien on substantially all of the Company’s oil and natural gas properties. The Company could use borrowings under the Exit Credit Facility for acquiring and developing oil and natural gas properties, for working capital purposes and for general corporate purposes. The Company also could use up to $50.0 million of available borrowing capacity for letters of credit. As of December 31, 2018, the Company had a $0.2 million letter of credit outstanding.

The terms of the credit facility did not require any repayments of amounts outstanding until its maturity in February 2021. Borrowings under this credit facility bore interest at a floating rate based on, at the Company’s election, a base rate or the London Inter–Bank Offered Rate plus applicable premiums based on the percent of the borrowing base outstanding (weighted average effective interest rate of 5.10% at December 31, 2018).

Borrowings under the Exit Credit Facility could not exceed a “borrowing base” determined by the lenders under the credit facility based on the Company’s oil and natural gas reserves.

During 2019, all amounts outstanding under the Exit Credit Facility were repaid. On October 4, 2019, the Company terminated the Exit Credit Facility.

Predecessor’s Credit Facility

The Predecessor was party to a $1.0 billion credit facility, which was scheduled to expire in February 2020. Borrowings under that credit facility were secured by a first priority lien on substantially all of the Predecessor’s oil and natural gas properties. The Predecessor also had access to up to $100.0 million of available borrowing capacity for letters of credit. As of May 31, 2018, the Predecessor had a $0.2 million letter of credit outstanding.

The terms of the Predecessor’s credit facility did not require any repayments of amounts outstanding until it expired in February 2020. Borrowings under the credit facility bore interest at a floating rate based on, at the Partnership’s election, a base rate or the London Inter–Bank Offered Rate plus applicable premiums based on the percent of the borrowing base that the Partnership had outstanding (weighted average effective interest rate of 5.47% at May 31, 2018).

Borrowings under the credit facility could not exceed a “borrowing base” determined by the lenders under the credit facility based on the Partnership’s oil and natural gas reserves.

In connection with EVEP’s emergence from bankruptcy on June 4, 2018, the holders of claims under the Predecessor’s credit facility received full recovery, consisting of (i) their pro rata share of the $1 billion new reserve-based revolving loan; (ii) cash in amount equal to the accrued but unpaid interest payable to such lenders under the credit facility as of the Effective Date; and (iii) unfunded commitments and letter of credit participation under the Exit Credit Facility equal to the unfunded commitments and letter of credit participation of such lender as of the Effective Date.

Predecessor’s 8.0% Senior Notes due April 2019

The Predecessor’s Senior Notes were issued under the Indenture, would have matured April 15, 2019, and bore interest at 8.0%. The Senior Notes were general unsecured obligations and were effectively junior in right of payment to any of the Partnership’s secured indebtedness to the extent of the value of the collateral securing such indebtedness.

The Senior Notes were fully and unconditionally guaranteed, jointly and severally, on a senior unsecured basis, by all of the Partnership’s existing subsidiaries other than EV Energy Finance Corp. (“Finance”), which is a co–issuer of the Senior Notes. Neither EVEP nor Finance had independent assets or operations apart from the assets and operations of the Predecessor’s subsidiaries.

As a result of EVEP’s emergence from bankruptcy, the Senior Notes were cancelled and the Predecessor’s liability thereunder discharged as of June 4, 2018, and the holders of the Notes received (directly or indirectly) their pro rata share of New Common Stock representing, in the aggregate, 95% of the New Common Stock on the Effective Date (subject to dilution by the MIP and the common shares issuable upon exercise of the Warrants). See also Note 2.