Note 4 - Long-term Debt

12 Months Ended

Dec. 31, 2022

Notes to Financial Statements

Long-Term Debt [Text Block]

4. Long-Term Debt

The following is a description of the Company’s debt as of  December 31, 2021 and 2022:

	Years ended December 31,
	2021			2022
	(In thousands)
First Lien Credit Facility	$	71,400		$	-
Second Lien Credit Facility		134,907			-
Exit fee - Second Lien Credit Facility		10,000			-
Real estate lien note		2,515			-
		218,822			-
Less current maturities		(212,688	)		-
		6,134			-
Deferred financing fees and debt issuance cost - net		(3,929	)		-
Total long-term debt, net of deferred financing fees and debt issuance costs	$	2,205		$	-

Restructuring

Pursuant to the Exchange Agreement, dated as of January 3, 2022, between Abraxas and AGEF (the “Exchange Agreement”) and certain other agreements entered into by Abraxas on January 3, 2022, we effectuated a restructuring of our then-existing indebtedness through a multi-part interdependent deleveraging transaction consisting of: (i) an Asset Purchase and Sale Agreement  pursuant to which Abraxas sold to Lime Rock Resources V-A, L.P. certain oil, gas, and mineral properties in the Williston Basin region of North Dakota and other related assets belonging to the Company and its subsidiaries for $87.2 million in cash less customary closing adjustments, (ii) the pay down of the indebtedness and other obligations of Abraxas and its subsidiaries under the First Lien Credit Facility and (iii), a debt for equity exchange of the indebtedness and other obligations of Abraxas and its subsidiaries under the $100.0 million Second Lien Credit Facility (the “Exchange” and, together with the transactions referred to in clauses (i) and (ii), the “Restructuring”). AGEF was issued 685,505 shares of Series A Preferred Stock of the Company (the "Preferred Shares") in the Exchange, which entitled AGEF to approximately 85% of the voting power of the Company’s then outstanding capital stock.

The Restructuring also involved a change in a majority of the Board’s directors. Pursuant to the Exchange Agreement, immediately prior to the closing of the Restructuring, two former Board members resigned. Immediately after the consummation of the Restructuring, the existing Board members resolved to increase the size of the Board by one member from four to five directors and to appoint three employees of AGEF as members of the Board, one of whom became Chairman of the Board.

Real Estate Lien Note

We had a real estate lien note secured by a first lien deed of trust on the property and improvements. The note was paid in full in August 2022.