Material Agreement Form 8 K

Item 1.01.Entry into a Material Definitive Agreement.

Credit and Security Agreement with Pathward National Association

On October 23, 2024, Enservco Corporation (the "Company") (NYSE: ENSV) and its wholly-owned subsidiary, Buckshot Trucking LLC ("Buckshot") entered into a Credit and Security Agreement (the "Credit Agreement") with Pathward, National Association ("Pathward") for a $3.5 million Revolving Loan Facility (the "Loan").

The Credit Agreement provides Buckshot may borrow 90% of its eligible accounts receivable as provided in the Credit Agreement. The Loan interest rate is variable and equal to the Wall Street Journal Prime Rate plus 2.5% with a minimum interest rate of 8.0% per annum calculated on the higher of a) actual average monthly loan balance or b) $750,000. The Loan has an initial and annual loan fee of $35,000 and is subject to $70,000 early exit fee if the Credit Agreement is terminated within the first 12 months and $35,000 if terminated in the subsequent 12 month period, after which, there is no termination fee.

The Loan is evidenced by a demand promissory note and is secured by all assets of Buckshot, with certain permitted liens including but not limited to certain existing liens relating to equipment purchases and purchase money security interests for equipment up to an aggregate of $250,000. Under the Credit Agreement, Buckshot may make distributions to the Company provided Buckshot has a debt coverage service ration of at least 1:25:1.00 and a minimum liquidity of $350,000 after giving effect to any such distribution. The Loan is guaranteed by the Company and is subject to a Security Agreement of all of the Company's assets.

The proceeds of the Credit Agreement are being utilized for working capital and certain third-party transaction expenses associated with the Company's recent transactions as referenced in the Company's Current Report on Form 8-K as filed with the SEC on August 12, 2024.

The foregoing description of the terms of the Agreement is not intended to be complete and is qualified in its entirety by reference to the Agreement, a copy of which is attached hereto as Exhibit 10.1 and incorporated herein by reference.