ENDV.L Regulatory News (ENDV)

Endeavour International Corporation Announces Closing of $440 Million SeniorSecured First Lien Term Loan and Forbearance Agreement with Noteholders HOUSTON, Oct. 1, 2014 -- Endeavour International Corporation(NYSE: END) (LSE: ENDV) today announced the closing of a $440 million seniorsecured term loan (the "Credit Agreement") with an annual interest rate ofLIBOR plus 10% (with a LIBOR floor of 1%), that matures on January 2, 2017. Theproceeds of the financing were used to repay the balance outstanding under theCompany's existing credit agreement, dated as of January 24, 2014, to repay infull certain monetary production payments issued by the Company's wholly-ownedsubsidiary, Endeavour Energy UK Limited ("EEUK"), to repay all reimbursementobligations outstanding with respect to the Company's existing LC ProcurementAgreement, dated as of January 24, 2014, to provide cash collateral under theterms of a new LC Issuance Agreement entered into by certain subsidiaries ofthe Company (pursuant to which Credit Suisse AG has agreed to issue letters ofcredit for EEUK's account to secure decommissioning obligations in connectionwith certain of its United Kingdom Continental Shelf Petroleum ProductionLicenses), for payment of related expenses and to provide additional liquidityto the Company. The Company also announced that the Company and certain of its subsidiarieshave entered into forbearance agreements (the "Forbearance Agreements") withholders of a majority of its 12% First Priority Notes due 2018, 12% SecondPriority Notes due 2018 and 6.5% Convertible Senior Notes due 2016(collectively, the "Notes"). As previously announced by the Company, theCompany did not make the September 2, 2014 interest payments due on the Notes,triggering a 30-day grace period that ends on October 1, 2014. Because theinterest payments are not being made during the grace period, an event ofdefault will occur under each series of Notes. Under the terms of theForbearance Agreements, the noteholders have agreed to forbear from exercisingremedies against the Company arising from the interest payment defaults and,with respect to the First Priority Notes and Second Priority Notes, arisingwith respect to the Credit Agreement. The forbearance period is scheduled toexpire at 11:59pm on October 7, 2014. The Company remains engaged in discussions with representatives of certainholders of its various classes of indebtedness, including the holders of Notes,regarding a debt restructuring plan that would be affected by the Companypursuant to a chapter 11 filing. No assurances can be given, however, thatsuch discussions will result in an agreement for a debt restructuring plan.Under the terms of the Credit Agreement, neither a chapter 11 filing, nor thefailure by the Company to pay the interest due on the Notes, will result in anevent of default thereunder. About Endeavour International Corporation Endeavour International Corporation is an international oil and gas explorationand production company focused on the acquisition, exploration and developmentor energy reserves in the North Sea and United States. For more information,visit www.endeavourcorp.com. Forward-looking Statements This press release contains certain "forward-looking statements," as such termis defined in Section 21E of the Securities Exchange Act of 1934, as amended,relating to future events and the financial performance of Endeavour. Suchstatements are only predictions and involve risks and uncertainties, resultingin the possibility that the actual events or performance will differ materiallyfrom such predictions as a result of certain risk factors. As such, readersare cautioned not to place undue reliance on forward-looking statements, whichspeak only as to management's plans, assumptions and expectations as of thedate hereof. Please refer to Endeavour's Annual Report on Form 10-K for yearended December 31, 2013 filed with the SEC on March 17, 2014, Form 10-K/A filedon March 21, 2014 and other filings for a discussion of material risk factors.Endeavour disclaims any duty to update or alter any forward-looking statements,except as required by applicable law.

CONTACT: Endeavour - Investor Relations, Darcey Matthews, +1-713-307-8711