The US Bankruptcy Court gave an order to Pioneer Energy Services Corp. to obtain DIP financing on a final basis on April 7, 2020. As per the order, the debtor has been authorized to obtain a revolving loan facility in the amount of $75 million, from PNC Bank, National Association with PNC Bank, National Association acting as the administrative agent. The DIP loan would carry an interest rate of LIBOR plus 2% p.a., along with an additional 2% p.a. interest in the event of default. As per the terms of the DIP agreement, the loan carries a commitment fee of 0.5% p.a. The DIP facility would mature either on August 1, 2020 or 45 days after the petition date or on the effective date of the plan or on the date of consummation of the sale of substantially all assets, whichever is earlier. Adequate protection would be provided to the DIP lenders in the form of super-priority administrative expense claims which is subject to a carve-out of $0.05 million towards unpaid professional fees / administrative expenses and first priority lien upon and security interest in the debtor’s collateral. The proceeds of DIP financing would be used to repay in full the outstanding principal, accrued interest in connection with the prepetition ABL facility and to pay the fee, costs and expenses in connection with this chapter 11 case.