Southcross Energy Partners has secured an amendment to its revolving credit agreement, providng for a full two-year suspension of leverage covenants in the credit agreement through 2018 and reducing the total revolver commitment from $200 million to $145 million, with further reductions to $115 million by December 31, 2018.

The amendment also provides for a new $15 million funding commitment from Southcross’ parent company, which, in turn, is supported by contingent funding commitments from certain of the parent’s shareholders in the form of equity or unsecured debt to be made no later than December 31, 2017.

According to a related 8-K filing, Wells Fargo served as administrative agent for the lender group. Wells Fargo, UBS Securities and Barclays Bank served as arrangers.

Associated with the amendment, a $17 million investment in Southcross by the parent of its general partner has been made and will be used to pay down revolver borrowings and for general partnership purposes. Approximately 11.5 million Southcross common units were issued in exchange for the investment.

“We are very pleased to have accomplished this amendment with the support of our revolving credit lenders,” said Bret M. Allan, senior vice president and chief financial officer. “We believe the leverage covenant relief, along with these new financial investments, provides Southcross with a two-year pathway to reestablish its financial health through successful execution of its business plan as our producing basins recover.”

Southcross Energy Partners is a master limited partnership that provides natural gas gathering, processing, treating, compression and transportation services and NGL fractionation and transportation services.