Pacific Energy Restructures ~35M In Sr. Debt & $8.5M Subordinate Debt

PEDEVCO Corp. d/b/a Pacific Energy Development (NYSE MKT:

) is pleased to announce today that it has successfully restructured its approximately $35 million senior debt facility and its approximately $8.35 million subordinated debt facility. The restructuring includes the following changes: discontinue principal repayments for six months under all the Company's senior debt on approximately $5 million of the Company's senior debt, change the frequency of interest payments from monthly to semi-annually, with the next interest payment due February 2016 on approximately $24 million of the Company's senior debt, reduce the monthly cash pay portion of interest to 5% from 15% per annum and defer until maturity (March 2017) interest payments accruing at 12% per annum during the six month period ending January 31, 2016 on approximately $6 million of the Company's senior debt, eliminate the cash pay portion and defer until maturity (March 2017) all interest payments accruing at 17% per annum during the six month period ending January 31, 2016 on the approximately $8.35 million subordinated debt, defer until maturity (December 2017) all interest payments accruing at 12% per annum during the six month period ending January 31, 2016 The Company's lenders have agreed to restructure these debt facilities in order to provide the Company with additional liquidity in order to execute the pending combination with Dome Energy, which contemplates the repayment of the Company's senior debt in full at closing. This restructuring will provide the Company with an estimated $500,000 per month in additional cash flow during the six month waiver period, although the Company anticipates that the combination with Dome Energy will close, and its senior debt repaid in full, before the conclusion of the six month period. More details regarding the debt restructuring, including a description of warrant consideration issued to the lenders and other covenants, can be found in the Company's Current Report on Form 8-K filed by the Company with the Securities and Exchange Commission today. Commenting on this significant debt restructuring, Frank C. Ingriselli, Chairman and CEO of the Company, stated, "We are very pleased that we have been able to beneficially restructure our debt facilities with our lenders in order to free up cash during this period of depressed crude oil prices as we work to finalize our pending merger with Dome Energy. We are currently working closely and expeditiously with Dome Energy to assist them in the completion of the audit of their financial statements for the previous two years, which we anticipate will be completed and delivered to us this week, and then incorporated into the shareholder approval documentation we are working to complete for submission to the SEC this month." Mr. Ingriselli continued, stating, "These have been difficult times with the slide in the price of oil coupled with the volatility in the equity markets; however, we believe that with this restructuring, we will significantly strengthen our Company, have the capital necessary to develop our assets, and roll out a new and improved company poised to take advantage of these depressed markets and the opportunities they present."