GreenHunter Resources secures $16M senior secured term loan

GreenHunter Resources Inc. (NYSE MKT: GRH and GRH.PRC) has entered into an agreement for a senior secured term note financing of up to $16 million.

Use of proceeds from the senior secured financing includes development of two new barge terminals at GreenHunter's Matamoras and Mills Hunter facilities, four new saltwater disposal (SWD) wells at the Mills Hunter facility, new trucks, and for general corporate purposes.

The promissory notes bear a fixed annual interest percentage rate of 9%. The loan is payable over a 36-month term with interest only for the first six months. There are no forms of equity or warrants associated with this new term loan.

The senior secured term loan facility is structured in two tranches. The first tranche of loans will be in the principal amount of $13,000,000, subject to customary conditions, and, at the request of the borrower and subject to the certain conditions. The second tranche of loans will be in a principal amount of up to $3,000,000 and must occur within six months of the first closing.

Northland Capital Markets acted as financial advisor to GreenHunter in connection with the transaction.

GreenHunter Resources Inc. is a diversified water resource, waste management, environmental services, and hydrocarbon marketing company specializing in the unconventional oil and natural gas shale resource plays.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...