Cathedral Energy Services announced it successfully negotiated certain amendments to its credit facility with The Bank of Nova Scotia and National Bank of Canada.

The amended credit facility has less restrictive financial covenants than the prior facility and provides for credit availability of $60 million, representing a $25 million decrease from the prior credit facility. Cathedral elected to reduce the size of the credit facility based on current and projected liquidity needs and to reduce standby fees. The amended credit facility includes an accordion feature which provides for an increase of the credit facility by $35 million at the option of Cathedral and subject to approval of the syndicate of lenders. The credit facility matures in August, 2017, consistent with the duration of the prior facility.

The revised credit facility size, accordion feature and financial covenants amendments are expected to provide an optimal level of liquidity and financial flexibility during the current low-price commodity environment and support an acceleration of Cathedral’s business when industry levels increase.

As of March 31, 2015, the total drawn facility was $36.4 million, which included a $35 million term loan and $1.4 million in letters of credit with a Funded Debt to EBITDA ratio of 0.981 and a Debt Service Ratio of 6.711. As of the date hereof, Cathedral is in compliance with the terms and conditions of its credit facility.