Genesis Energy, L.P. Announces Entry into New \$900 Million Credit Facility, Replaces Previous Agreement

Key Highlights for Investors

• Major Financial Move: Genesis Energy, L.P. (NYSE: GEL) has entered into an Eighth Amended and Restated Credit Agreement, replacing its prior credit facility.
• Size and Terms: The new senior secured revolving credit facility is set at \$900 million, with the potential to expand up to \$1.3 billion, subject to lender consent and customary conditions.
• Maturity: The facility matures on March 4, 2031, but may mature earlier if certain outstanding notes remain above specified thresholds on defined trigger dates.
• Interest Structure: Borrowings bear interest at either an alternate base rate (with a margin of 1.25% to 2.50%) or a Term SOFR rate (with a margin of 2.25% to 3.50%), both dependent on Genesis’s leverage ratio. Commitment fees on unused amounts range from 0.30% to 0.50%.
• Security & Covenants: The facility is secured by guarantees from substantially all restricted subsidiaries and liens on a substantial portion of company assets. It also imposes important leverage and coverage ratio covenants.
• Termination of Previous Facility: Proceeds from the new agreement fully repaid and replaced the prior Seventh Amended and Restated Credit Agreement, which was dated January 19, 2024.
• Potential for Additional Borrowing: Genesis can increase the facility through additional revolving commitments or an incremental term loan, subject to lender approval and conditions.

Details of the New Credit Agreement

On March 4, 2026, Genesis Energy, L.P. (the “Partnership”) executed an Eighth Amended and Restated Credit Agreement with Wells Fargo Bank, N.A. as administrative agent and issuing bank, Bank of America, N.A. as syndication agent, and a syndicate of lenders. The new agreement replaces the previous Seventh Amended and Restated Credit Agreement from January 2024.

The new revolving credit facility provides Genesis with a substantial \$900 million in borrowing capacity, with the option to expand the aggregate commitments to as much as \$1.3 billion. This expansion can occur either through additional revolving commitments or by adding an incremental term loan, subject to lender consent and the fulfillment of certain customary conditions.

The facility is structured to mature on March 4, 2031. However, there are two key triggers that could accelerate maturity:

• If more than \$150 million of the company’s 8.250% senior notes due 2029 remain outstanding on October 16, 2028, the facility will mature on that date.
• If more than \$150 million of the 8.875% senior notes due 2030 remain outstanding on January 14, 2030, the facility will mature then.

Interest Rates and Fees

Borrowings under the new facility can be drawn at either an alternate base rate or a Term SOFR rate:

• Alternate base rate borrowings will bear interest at the sum of (a) the greatest of the prime rate, federal funds effective rate plus 0.50%, or Adjusted Term SOFR for one month plus 1%, and (b) the applicable margin (ranging from 1.25% to 2.50%, depending on leverage ratio).
• Term SOFR borrowings will bear interest at the sum of (a) the applicable Term SOFR and (b) the applicable margin (ranging from 2.25% to 3.50%, depending on leverage ratio).

Additionally, Genesis will pay a commitment fee on the unused revolving committed amount, ranging from 0.30% to 0.50% annually, also depending on leverage ratio.

Financial Covenants and Security

The agreement imposes customary representations, warranties, affirmative and negative covenants, and events of default similar to the previous facility. Key financial covenants include:

• Maximum leverage ratio
• Maximum senior secured leverage ratio
• Minimum interest coverage ratio

The facility is secured by guarantees from substantially all restricted subsidiaries and liens on a significant portion of Genesis’s assets. If an event of default occurs, the administrative agent may accelerate all amounts due if requested by lenders holding more than 50% of the exposure and unused commitments.

Shareholder Impact and Price Sensitivity

• Liquidity Enhancement: The increased and extended facility strengthens Genesis’s liquidity profile, supports future growth, and provides flexibility for strategic initiatives, which may be viewed positively by the market.
• Potential for Lower Interest Costs: Depending on Genesis’s leverage ratio, the margins on this facility could be more favorable than the previous agreement, which could improve profitability and financial ratios.
• Risk Factors: The maturities are tied to the company’s ability to refinance or retire significant portions of its senior notes. Failure to do so could accelerate the maturity of the facility and impact liquidity.
• Enhanced Financial Discipline: The inclusion of strict covenants and security arrangements may appeal to credit investors and analysts looking for prudent financial management.
• Relationship with Lenders: The agreement notes that certain lenders and their affiliates have previously provided, and may continue to provide, investment banking and financial services to Genesis, signaling ongoing support from the banking community.

Termination of the Previous Credit Facility

As part of this transaction, Genesis terminated its previous Seventh Amended and Restated Credit Agreement, using the proceeds from the new facility to pay off all amounts outstanding under the old agreement. This streamlines the company’s debt structure and may reduce administrative and financing costs.

Management Sign-Off

The filing was signed by Kristen O. Jesulaitis, Chief Financial Officer and Chief Legal Officer of Genesis Energy, L.P.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research or consult with a financial advisor before making investment decisions. The information is based on public filings as of March 2026 and may be subject to further updates or changes.

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