Common use of Take or Pay Contracts Clause in Contracts

Take or Pay Contracts. Except as disclosed to the Administrative Agent and each Lender in Item 8.2.13 of the Disclosure Schedule, and except for reservation charges payable for reservations of capacity in gathering systems and pipelines incurred in the ordinary course of business on an arm’s length basis for volumes expected to be produced from the Borrowers’ Properties to be transported through such systems and pipelines, the Borrower will not, and will not permit any of its Subsidiaries to, enter into or be a party to any arrangement for the purchase of materials, supplies, other property (including without limitation Hydrocarbons), or services if such arrangement requires that payment be made by the Borrower or such Subsidiary regardless of whether such materials, supplies, other property, or services are delivered or furnished to it. 77 Credit Agrmt

Appears in 1 contract

Samples: Credit Agreement (Sonoran Energy Inc)

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Take or Pay Contracts. Except as disclosed to the Administrative Agent and each Lender in Item 8.2.13 of the Disclosure Schedule, and except for reservation charges payable for reservations of capacity in gathering systems and pipelines incurred in the ordinary course of business on an arm’s 's length basis for volumes reasonably expected to be produced from the Borrowers' Properties to be transported through such systems and pipelines, the Borrower will not, and will not permit any of its Subsidiaries to, enter into or be a party to any arrangement for the purchase of materials, supplies, other property (including without limitation Hydrocarbons), or services if such arrangement requires that payment be made by the Borrower or such Subsidiary regardless of whether such materials, supplies, other property, or services are delivered or furnished to it. 77 Credit Agrmt.

Appears in 1 contract

Samples: Credit Agreement (Future Petroleum Corp/Ut/)

Take or Pay Contracts. Except as disclosed pursuant to Schedule 6.16 to the Administrative Agent and each Lender in Item 8.2.13 of the Disclosure ScheduleCredit Agreement, and except for reservation charges payable for reservations of capacity in gathering systems and pipelines incurred in the ordinary course of business on an arm’s 's length basis for volumes reasonably expected to be produced from the Borrowers’ Issuers' or their Subsidiaries' Properties to be transported through such systems and pipelines, the Borrower Issuers will not, and will not permit any of its their Subsidiaries to, enter into or be a party to any arrangement for the purchase of materials, supplies, other property Property (including without limitation Hydrocarbons), or services if such arrangement requires that payment be made by the Borrower applicable Issuers or such Subsidiary regardless of whether such materials, supplies, other propertyProperty, or services are delivered or furnished to it. 77 Credit Agrmt.

Appears in 1 contract

Samples: Note Agreement (Coho Energy Inc)

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Take or Pay Contracts. Except as disclosed pursuant to the Administrative Agent and each Lender in Item 8.2.13 of the Disclosure ScheduleSchedule 6.16, and except for reservation charges payable for reservations of capacity in gathering systems and pipelines incurred in the ordinary course of business on an arm’s 's length basis for volumes reasonably expected to be produced from the Borrowers’ Borrower's or its Subsidiaries' Properties to be transported through such systems and pipelines, the Borrower will not, and will not permit any of its Subsidiaries to, enter into or be a party to any arrangement for the purchase of materials, supplies, other property Property (including without limitation Hydrocarbons), or services if such arrangement requires that payment be made by the Borrower or such Subsidiary regardless of whether such materials, supplies, other propertyProperty, or services are delivered or furnished to it. 77 Credit Agrmt.

Appears in 1 contract

Samples: Credit Agreement (Coho Energy Inc)

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