Common use of Gas Contracts Clause in Contracts

Gas Contracts. Except as described on Schedule 4.17 attached hereto, the Borrower (a) is not obligated in any material respect by virtue of any prepayment made under any contract containing a "take-or-pay" or "prepayment" provision or under any similar agreement to deliver hydrocarbons produced from or allocated to any of the Mortgaged Property at some future date without receiving full payment therefor within 90 days of delivery, and (b) has not produced gas, in any material amount, subject to, and neither the Borrower nor any of the Mortgaged Properties is subject to, balancing rights of third parties or subject to balancing duties under governmental requirements or joint operating agreements, except as to such matters for which the Borrower has established monetary reserves adequate in amount to satisfy such obligations and have segregated such reserves from other accounts.

Gas Contracts. Except as described on Schedule 4.17 attached hereto4.17, the Borrower (a) is not obligated in any material respect by virtue of any prepayment made under any contract containing a "“take-or-pay" ” or "“prepayment" ” provision or under any similar agreement to deliver hydrocarbons produced from or allocated to any of the Mortgaged Property at some future date without receiving full payment therefor within 90 days of delivery, and (b) has not produced gas, in any material amount, subject to, and neither the Borrower nor any of the Mortgaged Properties is subject to, balancing rights of third parties or subject to balancing duties under governmental requirements or joint operating agreementsRequirements of Law, except as to such matters for which the Borrower has established monetary reserves adequate in amount to satisfy such obligations and have has segregated such reserves from other accounts.

Gas Contracts. Except as described on Schedule 4.17 attached hereto, none of the Borrower Borrowers (a) is not obligated in any material respect by virtue of any prepayment made under any contract containing a "take-or-pay" or "prepayment" provision or under any similar agreement to deliver hydrocarbons Hydrocarbons produced from or allocated to any of the Mortgaged Property at some future date without receiving full payment therefor within 90 days of delivery, and (b) has not produced gas, in any material amount, subject to, and neither none of the Borrower Borrowers nor any of the their Mortgaged Properties is subject to, balancing rights of third parties or subject to balancing duties under governmental requirements or joint operating agreements, except as to such matters for which such Borrower has disclosed to the Borrower Agent and has established monetary reserves adequate in amount to satisfy such obligations and have segregated such reserves from other accounts.