Battalion Oil Corp.

Closed an agreement with a group of lenders for a new first lien delayed draw term loan facility for up to $235 million bearing interest of LIBOR plus 7.00% on drawn amounts. Initial borrowings of $200 million will allow Battalion to repay all outstanding loans and obligations under the company’s previous senior revolving credit facility and add significant cash to the balance sheet after fees and expenses. The company will have approximately $35 million of additional capacity under the term loan which will be available for future development of the company’s Monument Draw asset in the Permian Basin. Macquarie Group was sole lead arranger and is serving as a lender, letter of credit provider and a hedge counterparty for the company. Weil, Gotshal & Manges LLP was legal adviser to Battalion and Sidley Austin LLP was legal adviser to the lending group.