-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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MIC-Info: RSA-MD5,RSA,
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<SEC-DOCUMENT>0001001614-07-000071.txt : 20071221
<SEC-HEADER>0001001614-07-000071.hdr.sgml : 20071221
<ACCEPTANCE-DATETIME>20071221160558
ACCESSION NUMBER:		0001001614-07-000071
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20071217
ITEM INFORMATION:		Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20071221
DATE AS OF CHANGE:		20071221

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			TENGASCO INC
		CENTRAL INDEX KEY:			0001001614
		STANDARD INDUSTRIAL CLASSIFICATION:	CRUDE PETROLEUM & NATURAL GAS [1311]
		IRS NUMBER:				870267438
		STATE OF INCORPORATION:			TN
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-15555
		FILM NUMBER:		071323262

	BUSINESS ADDRESS:	
		STREET 1:		10215 TECHNOLOGY DRIVE
		STREET 2:		SUITE 301
		CITY:			KNOXVILLE
		STATE:			TN
		ZIP:			37932
		BUSINESS PHONE:		865-675-1554

	MAIL ADDRESS:	
		STREET 1:		10215 TECHNOLOGY DRIVE
		STREET 2:		SUITE 301
		CITY:			KNOXVILLE
		STATE:			TN
		ZIP:			37932
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>sovern8k.htm
<DESCRIPTION>SOVERN BANK CLOSING
<TEXT>
<html>
    <head>
        <title></title>
    </head>

    <body>
        <a name="A001"></a>

        <h1 align="center"><font face="Times New Roman, Times, Serif" size="4">UNITED
        STATES</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Minor Center Bold" FSL="Default" --><a name="A002"></a>

        <h1 align="center"><font face="Times New Roman, Times, Serif" size="2">SECURITIES and
        EXCHANGE COMMISSION</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Major Center Bold" FSL="Default" --><a name="A003"></a>

        <h1 align="center"><font face="Times New Roman, Times, Serif" size="4">WASHINGTON, D.C.
        20549</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Major Center Bold" FSL="Default" --><a name="A004"></a>

        <h1 align="center"><font face="Times New Roman, Times, Serif" size="4">FORM 8-K</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Major Center Bold 1" FSL="Default" --><a name="A005"></a>

        <h1 align="center"><font face="Times New Roman, Times, Serif" size="3">Current Report
        Pursuant to Section 13 or 15(d) of theSecurities<br>
        Exchange Act of 1934</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Major Center Bold 1" FSL="Default" --><a name="A006"></a>

        <h1 align="center"><font face="Times New Roman, Times, Serif" size="3">Date of Report (Date
        of Earliest Event Reported):</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Major Center Bold 1" FSL="Default" --><a name="A007"></a>

        <h1 align="center"><font face="Times New Roman, Times, Serif" size="3">December 17,
        2007</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Center Underline" FSL="Default" --><a name="A008"></a>

        <p align="center"><font face="Times New Roman, Times, Serif" size="2"><u>Tengasco,
        Inc.(Exact<br>
        Name of Registrant as specified in its charter)</u></font></p>
        <!-- MARKER FORMAT-SHEET="Head Minor Center" FSL="Default" --><a name="A009"></a>

        <p align="center"><font face="Times New Roman, Times, Serif" size="2">Commission File
        Number 1-15555</font></p>
        Tennessee 87-0267438 (State or other jurisdiction of (I.R.S. Employer Identification No.)
        incorporation or organization)
        <!-- MARKER FORMAT-SHEET="Head Sub 2 Left" FSL="Default" --><a name="A010"></a>

        <p align="center">
        <font face="Times New Roman, Times, Serif" size="2"><em>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</em>
        10215 Technology Drive N.W., Suite 301, Knoxville, Tennessee 37932</font></p>
        <!-- MARKER FORMAT-SHEET="Head Minor Center" FSL="Default" --><a name="A011"></a>

        <p align="center"><font face="Times New Roman, Times, Serif" size="2">(Address of Principal
        Executive Office</font></p>
        <!-- MARKER FORMAT-SHEET="Para (List) Flush Level 3" FSL="Default" -->

        <table cellspacing="0" cellpadding="0" width="100%">
            <tr valign="top">
                <td width="9%">
                    <p align="center">&nbsp;</p>
                </td>

                <td align="left" width="91%">
                    <p align="center">
                    <font face="Times New Roman, Times, Serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(865)&nbsp;
                    675-1554</font> (Registrant&rsquo;s Telephone number)</p>
                </td>
            </tr>
        </table>
        <br>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">Check the appropriate box below if
        the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the
        registrant under any of the following provisions (see General Instruction A.2.
        below):</font></p>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">[ ] Written communications pursuant
        to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to
        Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications
        pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement
        communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
        240.13e-4(c))</font></p>
        Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance
        Sheet Arrangement of a Registrant <!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->

        <p>
        <font face="Times New Roman, Times, Serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
        December 17, 2007, Tengasco, Inc. (the &ldquo;Company&rdquo;) executed an assignment of a
        revolving senior credit facility between the Company and Citibank Texas, N.A.to Sovereign
        Bank (&ldquo;Sovereign&rdquo;) of Dallas, Texas as requested by the Company.</font></p>
        <!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->

        <p>
        <font face="Times New Roman, Times, Serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under
        the facility as assigned to Sovereign, loans and letters of credit will be available to the
        Company on a revolving basis in an amount outstanding not to exceed the lesser of
        $20,000,000 or the borrowing base in effect from time to time. The Company&rsquo;s initial
        borrowing base with Sovereign was set at $7.0 million, an increase from the borrowing base
        of $3.3 million in effect with Citibank prior to the assignment.</font></p>
        <!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->

        <p>
        <font face="Times New Roman, Times, Serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
        initial borrowing on December 17, 2007 by the Company under the new facility with Sovereign
        was approximately $4.2 million to bear interest at a floating rate equal to prime as
        published in the Wall Street Journal plus 0.25%, resulting in a current rate of interest of
        approximately 7.5%. Interest only is payable during the term of the loan and the principal
        balance of the loan is due December 31, 2010. The facility as assigned is secured by
        substantially all of the Company&rsquo;s producing and non-producing oil and gas properties
        and pipeline and the Company&rsquo;s methane project assets.</font></p>
        <!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->

        <p>
        <font face="Times New Roman, Times, Serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
        Company used a portion of the $4.2 million borrowed from Sovereign to pay off the $3.3
        million it previously borrowed from Citibank. The remaining $900,000 borrowed from
        Sovereign was used to pay bank fees and attorney fees relating to the assignment in the
        amount of approximately $75,000 and the balance of approximately $825,000 was used to pay a
        portion of the purchase price for equipment to be utilized in the methane extraction
        facility currently under construction in Carter Valley, Tennessee by the Company&rsquo;s
        wholly-owned subsidiary, Manufactured Methane Corporation (&ldquo;MMC&rdquo;). It is
        anticipated that the Carter Valley methane project will cost approximately $4.1 million,
        which includes treatment equipment, pipeline construction, compression and controls. To
        date, MMC has paid approximately $2.6 million or 63% of the total expected methane project
        costs of which approximately $1.8 million has been paid from the Company&rsquo;s operating
        revenues. The Company anticipates that most of the remaining balance of the methane project
        costs will also be paid from the Company&rsquo;s cash flow.</font></p>
        <!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->

        <p>
        <font face="Times New Roman, Times, Serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
        information in this Form 8-K (including Exhibit 99.1) shall not be deemed
        &ldquo;filed&rdquo; for purposes of Section 18 of the Securities Exchange Act of 1934 (the
        &ldquo;Exchange Act&rdquo;) or otherwise subject to the liabilities of that section, nor
        shall it be deemed incorporated by reference in any filing under the Securities Act of 1933
        or the Exchange Act, except as expressly set forth by specific reference in such a
        filing.</font></p>
        <!-- MARKER FORMAT-SHEET="Head Major Left Bold" FSL="Default" --><a name="A012"></a>

        <h1 align="left"><font face="Times New Roman, Times, Serif" size="3">Item 9.01 Financial
        Statements and Exhibits</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Left" FSL="Default" --><a name="A013"></a>

        <p align="left"><font face="Times New Roman, Times, Serif" size="2">(c) Exhibits</font></p>
        <!-- MARKER FORMAT-SHEET="Head Left" FSL="Default" --><a name="A014"></a>

        <p align="left"><font face="Times New Roman, Times, Serif" size="2">99.1 Press Release
        dated December 21, 2007</font></p>
        <!-- MARKER FORMAT-SHEET="Head Major Center Bold" FSL="Default" --><a name="A015"></a>

        <h1 align="center">
        <font face="Times New Roman, Times, Serif" size="4">SIGNATURES</font></h1>
        <!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->

        <p>
        <font face="Times New Roman, Times, Serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant
        to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly
        caused and authorized this report to be signed on its behalf by the undersigned.</font></p>
        <!-- MARKER FORMAT-SHEET="Head Left" FSL="Default" --><a name="A016"></a>

        <p align="left"><font face="Times New Roman, Times, Serif" size="2">Dated: December 21,
        2007</font></p>
        <!-- MARKER FORMAT-SHEET="Head Sub 3 Left" FSL="Default" --><a name="A017"></a>

        <p align="left">
        <font face="Times New Roman, Times, Serif" size="2"><em>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</em>
        Tengasco, Inc.</font></p>
        <!-- MARKER FORMAT-SHEET="Head Sub 3 Left" FSL="Default" --><a name="A018"></a>

        <p align="left">
        <font face="Times New Roman, Times, Serif" size="2">By:
        <u>s/Jeffery R. Bailey</u><br>Jeffrey R. Bailey,<br>ChiefExecutive Officer&nbsp;</font></p>

        <p align="left">
        <font face="Times New Roman, Times, Serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        <br>
        &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;</font></p>
    </body>
</html>

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.77Q1
<SEQUENCE>2
<FILENAME>pressrelease.htm
<DESCRIPTION>EXHIBIT PRESS RELEASE
<TEXT>
<html>
    <head>
        <title></title>
    </head>

    <body>
        <a name="A001"></a>

        <h1 align="left"><font face="Times New Roman, Times, Serif" size="3">For immediate
        release</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Major Left Bold" FSL="Default" --><a name="A002"></a>

        <h1 align="left"><font face="Times New Roman, Times, Serif" size="3">December 21,
        2007</font></h1>
        <!-- MARKER FORMAT-SHEET="Head Major Left Bold" FSL="Default" --><a name="A003"></a>

        <h1 align="left"><font face="Times New Roman, Times, Serif" size="3">Tengasco, Inc.
        Announces Assignment of Revolving Credit Facility to Sovereign Bank</font></h1>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">Knoxville, Tenn. Tengasco, Inc.
        (AMEX:TGC) announced today the assignment of the Company&rsquo;s revolving senior credit
        facility with Citibank Texas, N.A.to Sovereign Bank of Dallas, Texas on December 17, 2007
        as requested by the Company.</font></p>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">Under the facility as assigned,
        loans and letters of credit will be available to the Company on a revolving basis in an
        amount outstanding not to exceed the lesser of $20 million or the Company&rsquo;s borrowing
        base in effect from time to time. The Company&rsquo;s initial borrowing base with Sovereign
        was set at $7.0 million, an increase from its borrowing base of $3.3 million with Citibank
        prior to the assignment.</font></p>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">The Company&rsquo;s initial
        borrowing on December 17, 2007 under its new facility with Sovereign was approximately $4.2
        million which will bear interest at a floating rate equal to prime as published in the Wall
        Street Journal plus 0.25%, resulting in a current interest rate of approximately 7.5%.
        Interest only is payable during the term of the loan and the principal balance of the loan
        is due December 31, 2010. The Sovereign facility is secured by substantially all of the
        Company&rsquo;s producing and non-producing oil and gas properties and pipeline and the
        Company&rsquo;s methane project assets.</font></p>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">The Company used a portion of the
        $4.2 million borrowed from Sovereign to pay off the funds it previously borrowed from
        Citibank. The remaining $900,000 borrowed from Sovereign will be used to pay bank fees and
        attorney fees relating to the assignment in the amount of approximately $75,000 and the
        balance of approximately $825,000 will be used to pay a portion of the purchase price for
        equipment to be utilized in the methane extraction facility currently under construction in
        Carter Valley, Tennessee by the Company&rsquo;s wholly-owned subsidiary, Manufactured
        Methane Corporation (&ldquo;MMC&rdquo;). It is anticipated that the Carter Valley project
        will cost approximately $4.1 million which includes treatment equipment, pipeline
        construction, compression, and controls. To date, MMC has paid approximately $2.6 million
        or 63% of the total expected project cost of which amount approximately $1.8 million has
        been paid from the Company&rsquo;s operating revenues. The Company anticipates that most of
        the balance of the methane project costs will to be paid from the Company&rsquo;s cash
        flow.</font></p>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">After this initial borrowing from
        Sovereign the Company still has $2.8 million remaining from its $7 million borrowing base
        that may be used for additional drilling or other corporate purposes in the future. The
        balance of $13 million remaining from the $20 million maximum limit of the Sovereign facility is
        not available at this time to the Company for borrowing, either for drilling wells or for
        any other purpose, unless and until the borrowing base is increased by Sovereign under the
        terms of the facility.&nbsp; This is standard practice in borrowing base loans, and is the
        same practice that was in effect under the facility with Citibank prior to the assignment.
        Prior to the assignment from Citibank to Sovereign on December 17, 2007, the Company had
        reached the limit of its borrowing base with Citibank and no part of its credit facility
        with Citibank was available for borrowing either for drilling or any other corporate
        purposes. &nbsp; &nbsp;</font></p>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">CEO Jeffrey R. Bailey said,
        &ldquo;We are extremely pleased to announce the assignment of our senior credit facility to
        Sovereign Bank in Dallas, Texas. While we have enjoyed a good business relationship with
        Citibank we look forward to the new relationship with Sovereign. As a result of the
        assignment, our borrowing base is being more than doubled from $3.3 million at Citibank to
        $7 million with Sovereign. In addition, our new interest rate is to be based on prime rate
        plus one quarter percent, allowing us to reduce our interest expense. Although the maximum
        possible size of our facility is decreasing with the assignment, from $50 million at
        Citibank to $20 million at Sovereign, we now have access to a larger current borrowing base
        as well as a promising new relationship with Sovereign Bank that we confidently view to be
        a capable and responsive energy business partner as we continue to grow our Company through
        the drill bit in Kansas as well as our efforts in the methane extraction business in
        Tennessee to increase gas assets.&rdquo;</font></p>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">Forward-looking statements made in
        this release are made pursuant to the safe harbor provisions of the Private Securities
        Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements
        involve risk and uncertainties which may cause actual results to differ from anticipated
        results, including risks associated with the timing and development of the Company&rsquo;s
        reserves and projects as well as risks of downturns in economic conditions generally, and
        other risks detailed from time to time in the Company&rsquo;s filings with the Securities
        and Exchange Commission.</font></p>
        <!-- MARKER FORMAT-SHEET="Head Left" FSL="Default" --><a name="A004"></a>

        <p align="left"><font face="Times New Roman, Times, Serif" size="2">Contact:</font></p>
        <!-- MARKER FORMAT-SHEET="Para Flush" FSL="Default" -->

        <p><font face="Times New Roman, Times, Serif" size="2">Tengasco, Inc. Jeffrey R. Bailey CEO
        865-675-1554</font></p>
        <!-- MARKER FORMAT-SHEET="Head Left" FSL="Default" --><a name="A005"></a>

        <p align="left"><font face="Times New Roman, Times, Serif" size="2">Sovereign Bank</font>
        <font face="Times New Roman, Times, Serif" size="2">Christina Kitchens Energy Lending
        972-713-1110</font></p>
    </body>
</html>

</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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