Common use of Third Party Hedge Transactions Clause in Contracts

Third Party Hedge Transactions. If a Hedge Transaction is entered into with an outside counter-party, (i) notwithstanding Subsection (d) of Section 1 of this Loan Agreement, Lender shall not be required to provide any Letter of Credit with respect to any margin call on the Hedge Transactions, unless Lender, in its sole discretion, agrees to do so; and (ii) Borrower and Guarantors shall collaterally assign and pledge in favor of Lender a first-priority continuing security interest in the applicable trading account and the Hedge Transactions, including the Hedge Transactions listed in Schedule 1 attached, as additional security for the Secured Obligations. In connection therewith, Borrower shall execute and deliver to Lender such security agreements, control agreements, and financing statements as deemed appropriate by Lender to create and perfect the continuing security interest therein.

Third Party Hedge Transactions. If a any Hedge Transaction is entered into with an outside counter-party, (iI) notwithstanding Subsection (di) of Section 1 of this the Loan Agreement, Lender Agent and Banks shall not be required to provide any Letter of Credit with respect to any margin call on the Hedge Transactions, unless LenderAgent, in its sole discretion, agrees to do so; and (iiII) Borrower and Guarantors Borrowers shall collaterally assign and pledge in favor of Lender Agent for the ratable benefit of Banks a first-priority continuing security interest in the applicable trading account and the Hedge Transactionshedging contract, including the Hedge Transactions listed in Schedule 1 Schedules 2 and 3 attached, as additional security for the Secured ObligationsLoans. In connection therewith, Borrower Borrowers shall execute and deliver to Lender Agent for the ratable benefit of Banks such security agreements, control agreements, and financing statements as deemed appropriate by Lender Agent to create and perfect the continuing security interest therein.

Third Party Hedge Transactions. If a Hedge Transaction is entered into with an outside counter-party, (i) notwithstanding Subsection (d) of Section 1 of this Loan Agreement, Lender shall not be required to provide any Letter of Credit with respect to any margin call on the Hedge Transactions, unless Lender, in its sole discretion, agrees to do so; and (ii) Borrower and Guarantors shall collaterally assign and pledge in favor of Lender a first-priority continuing security interest in the applicable trading account and the Hedge Transactions, including the Hedge Transactions listed in Schedule 1 attached, as additional security for the Secured Obligations. In connection therewith, Borrower shall execute and deliver to Lender such security agreements, control agreements, and financing statements as deemed appropriate by Lender to create and perfect the continuing security interest therein.. TENGASCO, INC. March 16, 2017