Hallador Energy Secures $120 Million in New Credit Facilities

Terre Haute, Indiana – March 10, 2026 – Hallador Energy Company (Nasdaq: HNRG) announced the closing of a $120 million Senior Secured Credit Agreement on March 5, 2026. The agreement is designed to refinance existing debt, bolster working capital, and support future growth initiatives.

Details of the Credit Agreement

The $120 million agreement consists of two components: a $75 million revolving credit facility and a $45 million delayed draw term loan facility. The facilities mature on March 5, 2029. The revolving credit facility includes a $25 million sub-facility for letters of credit and a $10 million swingline sub-facility. An accordion feature allows Hallador to request up to an additional $25 million in commitments, subject to agreement terms.

Strategic Use of Funds

Hallador Energy intends to use the borrowed funds primarily to refinance its existing credit facility and to enhance its working capital position. The company also anticipates utilizing the funds to support strategic growth initiatives and for general corporate purposes. This move is expected to extend the company’s debt maturity profile and improve overall liquidity.

Lender Participation

Texas Capital Bank arranged the transaction and will serve as the administrative agent, swingline lender, and letter of credit issuer. Old National Bank acted as a joint lead arranger and letter of credit issuer, while First Financial Bank, N.A. Participated as a lender in the financing. Hallador has terminated its prior credit agreement with PNC Bank, National Association, effective March 5, 2026.

Executive Commentary

“We are pleased with the continued improvement in our debt structure, which reflects the underlying strength of our balance sheet and the markets’ confidence in our long-term strategy,” said Brent Bilsland, President and Chief Executive Officer of Hallador Energy. “We want to express our appreciation for the cooperation and support of our lending group. We are particularly excited to welcome Texas Capital Bank as a new partner in our syndicate and look forward to working together as we continue to execute our long-term strategy. We also thank the teams at Old National Bank and First Financial Bank for their continued commitment, and support.”

About Hallador Energy Company

Hallador Energy Company (Nasdaq: HNRG) is a vertically-integrated Independent Power Producer (IPP) based in Terre Haute, Indiana. The company operates through two core businesses: Hallador Power Company, LLC, which generates energy and provides capacity at its one Gigawatt (GW) Merom Generating Station, and Sunrise Coal, LLC, which produces and supplies fuel to the Merom Generating Station and other companies. More information can be found at http://www.halladorenergy.com/.

Forward-Looking Statements: This press release contains forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. These statements are based on current expectations and are subject to risks and uncertainties that could cause actual results to differ materially. Observe Hallador’s SEC filings for details.