Battalion Oil Corporation has entered into a Third Amended and Restated Senior Secured Credit Agreement, effective June 30, 2026. This agreement amends and restates the previous credit facility, with existing lenders rolling over the full $162.5 million of outstanding term loans. The refinancing reduces borrowing costs by a minimum of 125 basis points, replacing a variable rate with a fixed 6.50% margin over SOFR. The debt maturity has been extended by one year to December 31, 2029. Principal amortization payments are deferred for one year, commencing in the fiscal quarter ending June 30, 2027. The company has secured access to up to $175 million in additional discretionary delayed draw term loan capacity on an uncommitted basis. The agreement includes customary representations, warranties, affirmative and negative covenants, and financial covenants related to Total Net Leverage Ratio, Current Ratio, Asset Coverage Ratio, and minimum Liquidity.