Substitution of Collateral. The Borrowers shall have the right, subject to the consent of the Administrative Agent, such consent not to be unreasonably withheld, to substitute Oil and Gas Properties of EPPG for Oil and Gas Properties subject to a Mortgage, or, pending delivery of the Mortgage on such Properties, to substitute Cash Collateral for such Properties, provided that: (i) The Borrower’s Representative provides notice of substitution to the Administrative Agent fifteen (15) days prior to the proposed substitution date; (ii) Neither an Event of Default nor a Borrowing Base Deficiency exists on the proposed substitution date; (iii) The Oil and Gas Properties proposed to be substituted for the Oil and Gas Properties subject to a Mortgage are of a type and nature similar to the Oil and Gas Properties subject to a Mortgage; (iv) The substitution of the Oil and Gas Properties will not result in a decrease in the Borrowing Base as determined by the Administrative Agent in its sole discretion; (v) The substitution of the Oil and Gas Properties will not result in the Collateral Coverage Ratio being less than 1.5 to 1; and (vi) EPPG provides the supplemental or additional Security Documents referred to in Section 4.10(b) hereof. If the Oil and Gas Properties being substituted have a value in excess of 10% of the PV-10 Value of the Borrowing Base Properties at such time, the Borrowing Base shall be redetermined prior to the date of such substitution in accordance with the procedures set forth in subsection 4.9 which would have applied had a Borrower Redetermination Notice or a Lender Redetermination Notice been delivered.
Appears in 3 contracts
Samples: Credit Agreement (El Paso Corp/De), Credit Agreement (El Paso Production Holding Co), Credit Agreement (El Paso CGP Co)
Substitution of Collateral. The Borrowers shall have the right, subject to the consent of the Administrative AgentTechnical Banks, such consent not to be unreasonably withheld, to substitute Oil and Gas Properties of EPPG a Borrower for Oil and Gas Properties subject to a Mortgage, or, pending delivery of the Mortgage on such Properties, to substitute Cash Collateral for such Properties, provided that:
(i) The Borrower’s Representative provides notice of substitution to the Administrative Agent fifteen (15) days prior to the proposed substitution date;
(ii) Neither an Event of Default nor a Borrowing Base Deficiency exists on the proposed substitution date;
(iii) The Oil and Gas Properties proposed to be substituted for the Oil and Gas Properties subject to a Mortgage are of a type and nature similar to the Oil and Gas Properties subject to a Mortgage;
(iv) The substitution of the Oil and Gas Properties will not result in a decrease in the Borrowing Base as determined by the Administrative Agent Technical Banks in its their sole discretion;
(v) The substitution of the Oil and Gas Properties will not result in the Collateral Coverage Ratio being less than 1.5 to 1; and
(vi) EPPG The Borrower provides the supplemental or additional Security Documents referred to in Section 4.10(b) hereof. If the Oil and Gas Properties being substituted have a value in excess of 10% of the PV-10 Value of the Borrowing Base Properties at such time, the Borrowing Base shall be redetermined prior to the date of such substitution in accordance with the procedures set forth in subsection 4.9 which would have applied had a Borrower Redetermination Notice or a Lender Redetermination Notice been delivered.
Appears in 2 contracts
Samples: Credit Agreement (El Paso Production Holding Co), Credit Agreement (El Paso Production Holding Co)
Substitution of Collateral. The Borrowers shall have the right, subject to the consent of the Administrative AgentTechnical Banks, such consent not to be unreasonably withheld, to substitute Oil and Gas Properties of EPPG a Borrower for Oil and Gas Properties subject to a Mortgage, or, pending delivery of the Mortgage on such Properties, to substitute Cash Collateral for such Properties, provided that:
(i) The Borrower’s Borrowers’ Representative provides notice of substitution to the Administrative Agent fifteen (15) days prior to the proposed substitution date;
(ii) Neither an Event of Default nor a Borrowing Base Deficiency exists on the proposed substitution date;
(iii) The Oil and Gas Properties proposed to be substituted for the Oil and Gas Properties subject to a Mortgage are either (A) of a type and nature similar to the Oil and Gas Properties subject to a MortgageMortgage or (B) are consented to by the Technical Banks, such consent not to be unreasonably withheld;
(iv) The substitution of the Oil and Gas Properties will not result in a decrease in the Borrowing Base as determined by the Administrative Agent Technical Banks in its their sole discretion;; and
(v) The substitution of the Oil and Gas Properties will not result in the Collateral Coverage Ratio being less than 1.5 to 1; and
(vi) EPPG provides Borrowers provide the supplemental or additional Security Documents referred to in Section 4.10(b) hereof. If the Oil and Gas Properties being substituted have a value in excess of 1015% of the PV-10 Value of the Borrowing Base Properties at such time, the Borrowing Base shall be redetermined prior to the date of such substitution in accordance with the procedures set forth in subsection Section 4.9 which would have applied had a Borrower Redetermination Notice or a Lender Redetermination Notice been delivered.
Appears in 2 contracts
Samples: Credit Agreement (EP Energy Corp), Credit Agreement (El Paso Corp/De)