Hedging Obligation Clause Samples

Hedging Obligation. Enter into any agreement in respect of Hedging Obligations, except to hedge risks arising in the Ordinary Course of Business and not for speculative purposes.

Hedging Obligation. The Borrower shall maintain at all times after the date which is 90 days after the date of this Agreement, agreements, devices or arrangements providing for payments related to fluctuations of interest rates, exchange rates, forward rates or commodity prices, including, but not limited to, interest rate swap or exchange agreements, forward currency exchange agreements, interest rate cap or collar protection agreements, forward rate currency or interest rate options in form, substance and with financial institutions acceptable to Agent, with respect to at least 50% of the outstanding balance of the Term Loan and the Revolving Credit Facility.

Hedging Obligation. The Borrower shall maintain in full force and effect the Swap Agreement to which it is a party on the Restatement Effective Date in the notional amount of $25,000,000.00. The Borrower will not enter into any Swap Agreement which would effectively convert fixed rate Indebtedness to floating rate Indebtedness.

Hedging Obligation. (i) No later than ninety (90) days after the Effective Date, the Borrower shall, and shall cause its Subsidiaries to, enter into Hedge Agreements in respect of commodities (excluding basis differential swaps) that, in the aggregate, hedge not less than 33.33% of the average projected production volumes of crude oil from the Borrower’s and its Subsidiaries’ Proved Developed Producing Reserves for the following twelve-month period, as projected in the Initial Reserve Report delivered pursuant to this Agreement. (ii) On or before the last business day of the first fiscal quarter of each Fiscal Year beginning and including March 31, 2026, the Borrower shall, and shall cause its Subsidiaries to, enter into, and at all times maintain, such additional Hedge Agreements in respect of commodities (excluding basis differential swaps) that, in the aggregate, hedge not less than 33.33% of the average projected production volumes of crude oil from the Borrower’s and its Subsidiaries’ Proved Developed Producing Reserves for the succeeding twelve-month period following the date of determination, as projected in the most recent Reserve Report delivered pursuant to this Agreement. (iii) Such Hedge Agreements shall be entered into not for speculative purposes and shall be based on then-current market prices as of the date such Hedge Agreements are executed; provided, that the Administrative Agent and each Lender acknowledges and agrees that that any Hedge Agreements, including Hedging Agreements used to satisfy the minimum hedging obligations set forth in this Section 5.01(l), may be entered into by the Parent or any Affiliate of the Borrower, and the economic effects of such Hedge Agreements may be contractually allocated to, or contractually replicated for the benefit of, the Borrower or its applicable Subsidiary, including through intercompany arrangements reasonably satisfactory to the Administrative Agent.

Hedging Obligation. The Borrower shall, within ninety days after the Effective Date, enter into, and shall at all times thereafter maintain in full force and effect, Swap Agreements having an initial term of at least two years and in form and substance reasonably satisfactory to the Administrative Agent so that the sum of the notional amount subject to such agreements plus the outstanding principal amount of Indebtedness of the Borrower and its Restricted Subsidiaries which bears interest at a fixed rate equals at all times at least 50% of the principal amount of Indebtedness of the Borrower and its Restricted Subsidiaries then outstanding.

Hedging Obligation. The Borrower shall, within ninety days ------------------ after the later of (i) the Initial Borrowing Date or (ii) the date on which Aggregate Outstandings of Credit shall exceed $25,000,000, enter into, and shall at all times thereafter maintain in full force and effect, Interest Hedge Agreements having an initial term of at least two years and in form and substance reasonably satisfactory to the Administrative Agent so that the sum of the notional amount subject to such agreements plus the outstanding principal amount of Indebtedness of the Borrower and its Restricted Subsidiaries which bears interest at a fixed rate equals at all times at least 50% of the principal amount of Indebtedness of the Borrower and its Restricted Subsidiaries then outstanding, and the Borrower shall maintain Interest Hedge Agreements for such percentage coverage for an average term of at least one year at all times thereafter.

Hedging Obligation. The Borrower shall maintain at all times agreements, devices or arrangements providing for payments related to fluctuations of interest rates, exchange rates, forward rates or commodity prices, including, but not limited to, interest rate swap or exchange agreements, forward currency exchange agreements, interest rate cap or collar protection agreements, forward rate currency or interest rate options in form, substance and with financial institutions acceptable to Agent, with respect to 25% of the outstanding balance of the Term Loan and the Revolving Credit Facility.