Calumet, Inc. Amends DOE Loan Guarantee, Reduces Max Loan to $815.8M

What Happened

• Calumet, Inc. (through its non‑guarantor subsidiary Montana Renewables, LLC or “MRL”) announced an amendment to a Loan Guarantee Agreement with the U.S. Department of Energy (DOE). The First Amendment was executed August 28, 2026 and described in an 8-K filed September 1, 2026.
• The original LGA (signed January 10, 2025) guaranteed up to $1.44 billion of financing for construction and expansion of MRL’s renewable fuels facility in Great Falls, Montana. The First Amendment restructures the project and reduces the guaranteed loan and related capitalized interest amounts.

Key Details

• New maximum guaranteed principal: $815.8 million (down from $1.44 billion previously contemplated).
• New maximum capitalized interest: $232.8 million.
• Project scope changed from a large new‑build “Phase 2” expansion to primarily repurposing existing equipment and a series of smaller, defined scopes of work (more capital‑efficient approach).
• Loan terms revised to limit certain advance conditions and milestones to each specific scope of work; liquidity/funding/construction/operating covenants were adjusted, including reducing the Base Cash Equity Reserve Account requirement from $80.0 million to $20.0 million. The amendment also revises events of default and cure provisions.
• The First Amendment is filed as Exhibit 10.1 to the 8‑K; the company also issued a press release dated September 1, 2026 (Exhibit 99.1).

Why It Matters

• These changes materially alter the size and structure of DOE‑backed financing available to the Montana Renewables project and reduce the reserve cash the project must hold under the loan agreement. For investors, that means the project is being scaled and financed in a more capital‑efficient way, with a smaller maximum guaranteed loan amount and lower immediate cash reserve requirements.
• The revised milestone, advance and covenant structure could affect the timing and size of future draws under the loan and the company’s liquidity needs during construction/repurposing phases. The filing provides the amendment text (with customary redactions) for investors to review for further detail.