Argent Energy Trust - 2016-01-01

Banking syndicate reduced the borrowing base under its credit facility. The company is currently US$65 million drawn on the facility, with an additional $1.3 million letter of credit outstanding. Company recently failed to make the semiannual interest payments on its subordinated unsecured convertible debentures due to a shortfall on its borrowing base. Payments include about C$2.6 million on 6% 2018 debentures and about C$2 million on 6.5% 2018 debentures. Company has 30 days beginning Dec. 31 in which it can make the payments or default.