Common use of Cost of Debt Clause in Contracts

Cost of Debt. The Cost of Debt will be the weighted average cost of long- term debt incurred by EPI arising from debt securities issuances for Alberta Clipper Canada. EPI will, acting reasonably, seek to issue the Alberta Clipper Canada long- term debt at points of time either shortly before or shortly after the In-Service Date of Alberta Clipper Canada in order to take advantage of suitable market conditions. EPI will issue debt in notional sizes and maturities that seek to minimize refinancing risks while managing total interest cost. EPI debt securities issuances will be specifically attributed to Alberta Clipper Canada, in whole or in part, to match the aggregate debt component of the Alberta Clipper Canada rate base. EPI will identify such debt as attributable to Alberta Clipper Canada, and will notify ▇▇▇▇ within fifteen business days after the receipt of proceeds of such debt. To the extent any Alberta Clipper Canada long-term debt matures during the Term, the interest cost of the then-issued refinancing debt will be incorporated into the Cost of Debt. EPI will actively manage the issuance of the appropriate amount of debt associated with Alberta Clipper Canada in a commercially reasonable manner throughout the Term. The Cost of Debt shall not be determined on a project financing basis.