Determination of Borrowing Base Sample Clauses

Determination of Borrowing Base. (i) The Lenders agree severally and not jointly, subject to the terms and conditions of this Agreement, from time to time, to make loans and advances to the Borrowers hereunder on a revolving basis. The aggregate amount of such loans and advances to the Borrowers (each, a "Revolving Loan"; and collectively, the "Revolving Loans") together with the Letter of Credit Obligations outstanding with respect to the Letters of Credit shall not in the aggregate exceed the lesser of: (A) the Revolving Credit Committed Amount then in effect; or (B) the Borrowing Base. (ii) No Lender shall be obligated at any time to make available to the Borrowers its Applicable Percentage of any requested Revolving Loan if such amount plus its Applicable Percentage of all Revolving Loans and its Applicable Percentage of all Letter of Credit Obligations then outstanding would exceed such Lender's Revolving Credit Commitment at such time. The aggregate balance of Revolving Loans plus the aggregate amount of all Letter of Credit Obligations outstanding shall not at any time exceed the Revolving Credit Committed Amount. No Lender shall be obligated to make available, nor shall the Administrative Agent make available, any Revolving Loans to any of the Borrowers to the extent such Revolving Loan when added to the then outstanding Revolving Loans and all Letter of Credit Obligations would cause the aggregate outstanding Revolving Loans and all Letter of Credit Obligations to exceed the Borrowing Base (except for Overadvances). The Borrowers shall promptly repay to the Administrative Agent for the account of the Lenders from time to time the full amount of the excess, if any of (A) the amount of all Revolving Loans and Letter of Credit Obligations outstanding over (B) the lesser of (1) the Revolving Credit Committed Amount and (2) the Borrowing Base subject to the Administrative Agent's authority, in its sole discretion, to make Overadvances pursuant to the terms of Section 2.1(f). Revolving Loans may be repaid and reborrowed in accordance with the provisions hereof.

Determination of Borrowing Base. The Borrowing Base shall be determined by the Agent, as follows:

Determination of Borrowing Base. The Borrowing Base shall be determined by the Administrative Agent, as follows:

Determination of Borrowing Base. Based in part on the Reserve ------------------------------- Reports and Related Asset Reports delivered pursuant to Section 5.1, ----------- Administrative Agent shall, not later than ten (10) days prior to each Determination Date commencing with the Determination Date falling on November 1, 1999, submit a proposed Borrowing Base to become effective on such Determination Date to Banks for their approval. In the event Required Banks, or all Banks in the event of a proposed increase in the Borrowing Base, fail to promptly approve such proposed Borrowing Base, Administrative Agent shall propose one or more alternative Borrowing Bases to Banks and shall consult with Banks regarding the proposed Borrowing Base until such time as Required Banks, or all Banks in the event of a proposed increase in the Borrowing Base, approve a Borrowing Base proposed by Administrative Agent. Promptly upon the approval by Required Banks, or all Banks in the event of a proposed increase in the Borrowing Base to become effective on a Determination Date, Administrative Agent shall provide written notice of the amount of such Borrowing Base to Borrower. In the event Administrative Agent and Required Banks, or all Banks in the event of a proposed increase in the Borrowing Base, fail to approve a Borrowing Base (and notify Borrower of the amount thereof) on or prior to any applicable Determination Date, the Borrowing Base in effect prior to such Determination Date shall remain in effect thereafter until such time as Administrative Agent and Required Banks, or all Banks in the event of a proposed increase in the Borrowing Base, approve such Borrowing Base (which shall each become effective immediately upon notice to Borrower from Administrative Agent setting forth the amount thereof). Any determination of a proposed Borrowing Base by Administrative Agent and any decision by Banks regarding the approval or disapproval of any Borrowing Base shall be made by Administrative Agent and Banks in their sole discretion in accordance with their respective standards for oil and gas loans, which may vary between Administrative Agent and Banks and from Bank to Bank. Without limiting the right of Administrative Agent to propose the amount of any Borrowing Base or the right of Banks to approve or disapprove such proposed Borrowing Base in their sole discretion, Borrower acknowledges and agrees that subject to Administrative Agent's and Banks' consistent application of their respective standards for si...

Determination of Borrowing Base. Subject to the limitations and adjustments set forth in this Article 3, the “Borrowing Base” shall equal the sum of the Borrowing Base Value allocated to each of the Qualified Properties comprising Eligible Collateral. As used herein, “Borrowing Base Value” means, with respect to each Qualified Property comprising Eligible Collateral, the lesser of (i) the Value Advance, or (ii) the Cost Advance; provided, however, in no event shall the Borrowing Base Value allocated to any one (1) Qualified Property comprising Eligible Collateral exceed twenty percent (20%) of the greater of (a) the Borrowing Base, or (b) the Aggregate Commitment.

Determination of Borrowing Base. (A) Subject to Subsection 2.5(B): (i) the aggregate unpaid principal amount of the Revolving Loans made to a Borrower shall not in the aggregate exceed at any time the least of (A) the Total Revolving Commitments then in effect minus the aggregate amount of all Letter of Credit Obligations with respect to all Borrowers and minus the aggregate unpaid principal amount of all Revolving Loans made to all other Borrowers, (B) the "Current Asset Base" (as defined below) of such Borrower or (C) such Borrower's Sublimit, if any, minus the aggregate amount of Letter of Credit Obligations with respect to Letters of Credit issued for the account of such Borrower; and (ii) the aggregate unpaid principal amount of all Revolving Loans shall not in the aggregate exceed at any time the least of (A) the Total Revolving Commitments then in effect minus the aggregate amount of all Letter of Credit Obligations with respect to all Borrowers, (B) the sum of the "Current Asset Base" (as defined below) of all Borrowers or (C) if there is a Sublimit for each Borrower, the sum of each Borrower's Sublimit minus the aggregate amount of all Letter of Credit Obligations with respect to all Borrowers. (B) As used herein, "Current Asset Base" shall mean the following with respect to the Borrower specified:

Determination of Borrowing Base. Borrower acknowledges that: (a) The Administrative Agent may, in its discretion, from time to time, upon five (5) days notice to the Borrower, (x) reduce the lending formula with respect to Eligible Receivables to the extent that the Administrative Agent determines that: (i) the dilution with respect of the Borrowing Base Parties’ accounts for any period has increased in any material respect or may be reasonably anticipated to increase in any material respect above the historical levels, or (ii) the general creditworthiness of account debtors or other obligors of the Borrowing Base Parties has declined. (b) The Administrative Agent may conduct and/or obtain periodic appraisals of the Borrowing Base Parties’ inventory, at such intervals as the Administrative Agent may require, provided that other than with respect to an appraisal pursuant to Section 2.10(d) or upon the occurrence and during the continuance of an Event of Default, such appraisals shall not be conducted and/or obtained at the expense of Borrower; and the Administrative Agent may, in its discretion, from time to time, upon five (5) days notice to the Borrower, reduce the lending formula(s) with respect to Eligible Inventory to the extent that the Administrative Agent determines that: (i) the number of days of the turnover of the inventory of the Borrowing Base Parties for any period has changed in any material adverse respect, (ii) the liquidation value of the Eligible Inventory, or any category thereof, has decreased, or (iii) the nature and quality of the inventory of the Borrowing Base Parties has deteriorated in any material respect or the mix of such inventory has changed materially. In determining whether to reduce the lending formula(s) pursuant to sub-section (a) and this sub-section (b), the Administrative Agent may consider events, conditions, contingencies or risks which are also considered in determining Eligible Accounts Receivable or Eligible Inventory, as applicable. (c) The Administrative Agent may from time to time conduct or obtain, at Borrower’s expense, periodic audits or “field examinations” of the Borrowing Base Parties’ accounts, books and records, accounting systems and similar personal property, which shall not include or constitute inventory appraisals (which shall be subject to Sections 2.10(b) and (d)), provided that so long as no Event of Default shall have occurred and remain in effect, Borrower shall only be required to pay for one (1) such audit or field examina...

Determination of Borrowing Base. The amount of the Borrowing Base shall be the amount specified on the most recently delivered Borrowing Base Certificate, absent manifest error. Notwithstanding anything to the contrary contained herein, if a Borrowing Base Certificate is not delivered at the time specified in Subsection 5.1.7 (Borrowing Base Certificates), the Borrower shall not be entitled to request RC Loans until such time as the Borrowing Base Certificate is so delivered.

Determination of Borrowing Base. (a) Subject to Section 2.2(b) and Section 2.3(c), Revolving Loans shall not in aggregate principal amount exceed the lesser of: (i) The lesser of (A) the Total Commitments then in effect and (B) the aggregate amount permitted by the Senior Secured Note Indenture to be outstanding under the Credit Agreement minus, in each case, the sum of (x) the Letter of Credit Obligations and (y) the Borrower’s exposure (as determined by the applicable counterparty and notified to the Agent or, if no such notification is received, as determined by the Agent) under any Permitted Hedge Agreements; and (ii) the amount then equal to: (A) Eighty-five percent (85%) of the Eligible Accounts Receivable, plus (B) the lesser of (x) sixty percent (60%) of the net book value of Eligible Inventory, (y) eighty-five percent (85%) of the appraised net orderly liquidation value of the Eligible Inventory, based on the most recent appraisal delivered to, and approved by, the Agent and (z) sixty percent (60%) of the total Borrowing Base (the amount in this clause (z), the “Inventory Sublimit”) and minus (C) the Borrower’s exposure (as determined by the applicable counterparty and notified to the Agent or, if no such notification is received, as determined by the Agent) under any Permitted Hedge Agreements; and minus (D) the Letter of Credit Obligations. The sum of the amounts calculated in accordance with clauses (ii)(A), (B) and (C) above is hereinafter referred to as the “Borrowing Base.” The Agent at any time shall be entitled to (i) establish and increase or decrease reserves against Eligible Accounts Receivable and Eligible Inventory, (ii) reduce the advance rates under Section 2.2(a)(ii)(A) or (B) or restore such advance rates to any level equal to or below the advance rates stated in Section 2.2(a)(ii)(A) or (B), and (iii) impose additional restrictions (or eliminate the same) to the standards of “Eligible Accounts Receivable” and “Eligible Inventory,” in the exercise of its Permitted Discretion. The Agent may but shall not be required to rely on each Borrowing Base Certificate and any other schedules or reports delivered to it in connection herewith in determining the then eligibility of Accounts and Inventory. Reliance thereon by the Agent from time to time shall not be deemed to limit the right of the Agent to revise advance rates or standards of eligibility as provided in this Section 2.2(b).