UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): July 2, 2019

NGL ENERGY PARTNERS LP
(Exact name of registrant as specified in its charter)

Delaware
 
001-35172
 
27-3427920
(State or other jurisdiction of
incorporation or organization)
 
(Commission File Number)
 
(I.R.S. Employer
Identification No.)

6120 South Yale Avenue
Suite 805
Tulsa, Oklahoma 74136
(Address of principal executive offices) (Zip Code)

(918) 481-1119
(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240-14a-12)

¨
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240-14d-2(b))

¨
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240-13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of Each Class
 
Trading Symbols
 
Name of Each Exchange on Which Registered
Common units representing Limited Partner Interests
 
NGL
 
New York Stock Exchange
Fixed-to-floating rate cumulative redeemable perpetual preferred units
 
NGL-PB
 
New York Stock Exchange
Fixed-to-floating rate cumulative redeemable perpetual preferred units
 
NGL-PC
 
New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company o
 
 


If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.    o






Item 1.01.  
  Entry into a Material Definitive Agreement.

Amendment to Credit Agreement

On June 26, 2019, NGL Energy Partners LP (the “Partnership”), NGL Energy Operating LLC, in its capacity as borrowers’ agent, and the other subsidiary borrowers party thereto entered into Amendment No. 8 (the “Credit Agreement Amendment”) to the Partnership’s Amended and Restated Credit Agreement (the “Credit Agreement”) with Deutsche Bank Trust Company Americas, as administrative agent, and the other financial institutions party thereto whereby the lenders consented to, among other changes, changes in the definition of Intercreditor Agreement in the Credit Agreement and a provision regarding liens in the Credit Agreement.

The Credit Agreement Amendment is filed as Exhibit 10.1 to this Current Report on Form 8-K and incorporated herein by reference. The above description of the material terms of the Credit Agreement Amendment does not purport to be complete and is qualified in its entirety by reference to Exhibit 10.1. Capitalized terms used but not otherwise defined herein have the meanings ascribed to them in the Credit Agreement Amendment.


Item 9.01.   
  Financial Statements and Exhibits.

(d) Exhibits.






SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 
NGL ENERGY PARTNERS LP
 
By:
NGL Energy Holdings LLC,
 
 
its general partner
Date: July 2, 2019
 
By:
/s/ Robert W. Karlovich III
 
 
 
Robert W. Karlovich III
 
 
 
Chief Financial Officer






Exhibit 10.1

AMENDMENT NO. 8 TO CREDIT AGREEMENT

AMENDMENT NO. 8 TO CREDIT AGREEMENT , dated as of June 26, 2019 (this “ Amendment ”), to the Amended and Restated Credit Agreement dated as of February 14, 2017 (as amended by Amendment No. 1 to Credit Agreement dated as of March 31, 2017, Amendment No. 2 to Credit Agreement dated June 2, 2017, Amendment No. 3 to Credit Agreement dated February 5, 2018, Amendment No. 4 to Credit Agreement dated March 6, 2018, Amendment No. 5 to Credit Agreement dated May 24, 2018, Amendment No. 6 to Credit Agreement dated as of July 5, 2018, Amendment No. 7 to Credit Agreement dated as of February 6, 2019, and as otherwise amended, supplemented and modified from time to time, the “ Credit Agreement ”) among NGL Energy Partners LP, a Delaware limited partnership (“ Parent ”), NGL Energy Operating LLC, a Delaware limited liability company (“ Borrowers’ Agent ”), each subsidiary of the Parent identified as a “Borrower” under the Credit Agreement (together with the Borrowers’ Agent, each, a “ Borrower ” and collectively, the “ Borrowers ”), each subsidiary of Parent identified as a “Guarantor” under the Credit Agreement (together with the Parent, each, a “ Guarantor ” and collectively, the “ Guarantors ”) Deutsche Bank AG, New York Branch, as technical agent (in such capacity, together with its successors in such capacity, the “ Technical Agent ”) and Deutsche Bank Trust Company Americas (“ DBTCA ”), as administrative agent for the Secured Parties (in such capacity, together with its successors in such capacity, the “ Administrative Agent ”) and as collateral agent for the Secured Parties (as defined below) (in such capacity, together with its successors in such capacity, the “ Collateral Agent ”) and each financial institution identified as a “Lender” or an “Issuing Bank” under the Credit Agreement (each, a “ Lender ” and together with the Technical Agent, the Administrative Agent and the Collateral Agent, the “ Secured Parties ”).
RECITALS
WHEREAS, the Borrowers have requested certain amendments to the Credit Agreement; and
WHEREAS, the Lenders have agreed to amend the Credit Agreement solely upon the terms and conditions set forth herein;
NOW, THEREFORE, in consideration of the premises and the agreements hereinafter set forth, the parties hereto hereby agree as follows:
1. Defined Terms . Unless otherwise noted herein, terms defined in the Credit Agreement and used herein shall have the respective meanings given to them in the Credit Agreement.

2. Amendment to Section 1.1 (Certain Defined Terms) of the Credit Agreement . The term “Intercreditor Agreement” as such term is defined in Section 1.1 of the Credit Agreement is hereby amended by deleting such defined term in its entirety and inserting in lieu thereof the following:

“means (i) the Collateral Agency and Intercreditor Agreement dated as of the date hereof among the Collateral Agent, the holders of the Senior Notes party thereto, and the Credit Parties, and (ii) any other intercreditor agreement entered into in connection with Permitted Term Indebtedness that the Administrative Agent has been authorized to enter by each Secured Party pursuant to Section 10.25 of this Agreement.”
3. Amendment to Section 7.2(b) (Liens) of the Credit Agreement . Section 7.2(b) of the Credit Agreement is hereby amended by deleting such provision in its entirety and inserting in lieu thereof the following:

“(b)  Liens against the Collateral in favor of the Collateral Agent as security for the Obligations and the Permitted Term Indebtedness;”
4. Representations and Warranties; No Default . To induce the Lenders to enter into this Amendment, each Credit Party that is a party hereto (by delivery of its respective counterpart to this Amendment) hereby (i) represents and warrants to the Administrative Agent and the Lenders that after giving effect to this Amendment, its representations and warranties contained in the Credit Agreement and other Loan Documents are true and correct in all material respects on and as of the date hereof with the same effect as though made on and as of the date hereof, except to the extent such representations and warranties expressly relate to an earlier date (in which case such representations and warranties were true and correct in all material respects as of such earlier date); (ii) represents and warrants to the Administrative Agent and the Lenders that it (x) has the requisite power and authority to make, deliver and perform this Amendment; (y) has taken all necessary corporate, limited liability company, limited partnership or other action to authorize its execution, delivery and performance of this Amendment, and (z) has duly executed and delivered





this Amendment and (iii) certifies that no Default or Event of Default has occurred and is continuing under the Credit Agreement (after giving effect to this Amendment) or will result from the making of this Amendment.

5. Effectiveness of Amendments . This Amendment shall become effective upon the first date on which each of the following conditions has been satisfied:

(a) Amendment Documents . The Administrative Agent shall have received this Amendment, duly executed and delivered by each of the Credit Parties, and by Lenders constituting the Required Lenders.

(b) Proceedings and Documents . All corporate and other proceedings pertaining directly to this Amendment and all documents, instruments directly incident to this Amendment shall be satisfactory to the required Lenders and their respective counsel and the Technical Agent shall have received all such counterpart originals or certified or other copies of such documents as the Technical Agent may reasonably request.

6. Limited Effect . Except as expressly provided hereby, all of the terms and provisions of the Credit Agreement and the other Loan Documents are and shall remain in full force and effect. The amendments contained herein shall not be construed as a waiver or amendment of any other provision of the Credit Agreement or the other Loan Documents or for any purpose, except as expressly set forth herein, or a consent to any further or future action on the part of any Credit Party that would require the waiver or consent of the Lenders. This Amendment shall constitute a “Loan Document” for all purposes of the Credit Agreement and the other Loan Documents.

7. GOVERNING LAW . THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES UNDER THIS AMENDMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE SUBSTANTIVE LAW OF THE STATE OF NEW YORK.

8. Counterparts . This Amendment may be executed in any number of counterparts, all of which taken together shall constitute one and the same agreement, and any of the parties hereto may execute this Amendment by signing any such counterpart. Delivery of an executed counterpart hereof by facsimile or email transmission shall be effective as delivery of a manually executed counterpart hereof.

9. Headings . Section or other headings contained in this Amendment are for reference purposes only and shall not in any way affect the meaning or interpretation of this Amendment.

10. Guarantor Acknowledgement . Each Guarantor party hereto hereby (i) consents to the modifications to the Credit Agreement contemplated by this Amendment and (ii) acknowledges and agrees that its guaranty pursuant to Section 10.18 of the Credit Agreement is, and shall remain, in full force and effect after giving effect to the Amendment.

[ Signature Pages Follow ]


2



IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed and delivered by their proper and duly authorized officers as of the day and year first above written.

BORROWERS’ AGENT AND BORROWER :


NGL ENERGY OPERATING LLC,
a Delaware limited liability company



By:
/s/ Robert W. Karlovich III
Name:
Robert W. Karlovich III
Title:
Chief Financial Officer and Executive Vice President



PARENT :


NGL ENERGY PARTNERS LP,
a Delaware limited partnership, in its capacity as Parent and as Guarantor



By:
/s/ Robert W. Karlovich III
Name:
Robert W. Karlovich III
Title:
Chief Financial Officer and Executive Vice President

Signature Page to Amendment No. 8 to Credit Agreement




GUARANTORS :
ANTICLINE DISPOSAL, LLC
CENTENNIAL ENERGY, LLC
CENTENNIAL GAS LIQUIDS ULC
CHOYA OPERATING, LLC
GRAND MESA PIPELINE, LLC
NGL CRUDE CUSHING, LLC
NGL CRUDE LOGISTICS, LLC
NGL CRUDE TERMINALS, LLC
NGL CRUDE TRANSPORTATION, LLC
NGL ENERGY EQUIPMENT, LLC
NGL ENERGY FINANCE CORP.
NGL ENERGY HOLDINGS II, LLC
NGL ENERGY LOGISTICS, LLC
NGL ENERGY OPERATING LLC
NGL ENERGY PARTNERS LP
NGL LIQUIDS, LLC
NGL MARINE, LLC
NGL MILAN INVESTMENTS, LLC
NGL SOUTH RANCH, INC.
NGL SUPPLY TERMINAL COMPANY, LLC
NGL SUPPLY WHOLESALE, LLC
NGL WATER PIPELINES, LLC
NGL WATER SOLUTIONS, LLC
NGL WATER SOLUTIONS DJ, LLC
NGL WATER SOLUTIONS EAGLE FORD, LLC
NGL WATER SOLUTIONS - ORLA SWD, LLC
NGL WATER SOLUTIONS PERMIAN, LLC
TRANSMONTAIGNE LLC
TRANSMONTAIGNE PRODUCT SERVICES LLC
TRANSMONTAIGNE SERVICES LLC


By:
/s/ Robert W. Karlovich III
Name:
Robert W. Karlovich III
Title:
Chief Financial Officer and Executive Vice President

Signature Page to Amendment No. 8 to Credit Agreement




SECURED PARTIES :

DEUTSCHE BANK TRUST COMPANY AMERICAS, as Administrative Agent and as Collateral Agent



By:
/s/ Shai Bandner
Name:
Shai Bandner
Title:
Director


By:
/s/ Laureline De Cichana
Name:
Laureline De Cichana
Title:
Director



DEUTSCHE BANK AG, NEW YORK BRANCH,
as a Lender, as Swingline Lender, as an Issuing Bank and as Technical Agent



By:
/s/ Shai Bandner
Name:
Shai Bandner
Title:
Director


By:
/s/ My Nguyen
Name:
My Nguyen
Title:
Analyst




Signature Page to Amendment No. 8 to Credit Agreement




ROYAL BANK OF CANADA,
as a Lender



By:
/s/ Jason S. York
Name:
Jason S. York
Title:
Authorized Signatory



BNP PARIBAS,
as a Lender and Issuing Bank



By:
Name:
Title:


By:
Name:
Title:    



PNC BANK, NATIONAL ASSOCIATION
as a Lender



By:
/s/ Stephen Monto
Name:
Stephen Monto
Title:
SVP



BARCLAYS BANK PLC,
as a Lender



By:
/s/ Jake Lam
Name:
Jake Lam
Title:
Assistant Vice President

Signature Page to Amendment No. 8 to Credit Agreement



ABN AMRO CAPITAL USA LLC,
as a Lender



By:
/s/ Darrell Holley
Name:
Darrell Holley
Title:
Managing Director


By:
/s/ Anna C. Ferreira
Name:
Anna C. Ferreira
Title:
Vice President



TORONTO DOMINION BANK, NEW YORK BRANCH,
as a Lender



By:
/s/ Brian MacFarlane
Name:
Brian MacFarlane
Title:
Authorized Signatory



WELLS FARGO BANK, NATIONAL ASSOCIATION,
as a Lender



By:
/s/ Emily Board
Name:
Emily Board
Title:
Vice President



MIZUHO BANK, LTD.,
as a Lender



By:
/s/ Donna DeMagistris
Name:
Donna DeMagistris
Title:
Authorized Signatory

Signature Page to Amendment No. 8 to Credit Agreement



UBS AG, STAMFORD BRANCH,
as a Lender



By:
Name:
Title:


By:
Name:
Title:



CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH,
as a Lender



By:
/s/ Nupur Kumar
Name:
Nupur Kumar
Title:
Authorized Signatory


By:
/s/ Christopher Zybrick
Name:
Christopher Zybrick
Title:
Authorized Signatory



GOLDMAN SACHS BANK USA,
as a Lender



By:
/s/ Jamie Minieri
Name:
Jamie Minieri
Title:
Authorized Signatory



MACQUARIE BANK LIMITED,
as a Lender



By:
/s/ Robert McRobbie
Name:
Robert McRobbie
Title:
Division Director
    


By:
/s/ Robert Trevena
Name:
Robert Trevena
Title:
Division Director


Signature Page to Amendment No. 8 to Credit Agreement



RAYMOND JAMES BANK, N.A.,
as a Lender



By:
/s/ Jason Williams
Name:
Jason Williams
Title:
Vice President



CITIZENS BANK, N.A.,
as a Lender



By:
/s/ Scott Donaldson
Name:
Scott Donaldson
Title:
Senior Vice President


Signature Page to Amendment No. 8 to Credit Agreement