Common use of Use of Loans and Letters of Credit Clause in Contracts

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for working capital, for exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas Properties, (b) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancing. The Loan Parties are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used to (a) refinance the Existing Credit Agreement and (b) provide working capital for working capitallease acquisitions, for exploration and production operations, for development (including the drilling and completion of producing ▇▇▇▇▇), for acquisitions of Oil and Gas Properties permitted hereunder and for other general company corporate purposes of the Loan Parties, including the acquisition of Oil Borrower and Gas Properties, (b) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingits Subsidiaries. The Loan Parties are not No Group Member is engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to refinance the Existing Credit Agreement and to provide working capital, capital for exploration and production operations, operations and to provide funding for other general company corporate purposes of the Loan PartiesBorrower and its Subsidiaries, including the acquisition of Oil exploration and Gas Properties, (b) to pay fees, costs production properties and expenses expenditures associated with the Transactions conversion of properties to proved developed producing properties and (c) on related activities thereto and, subject to the Effective Date to fund terms thereof, the Effective Date Refinancingredemption specified in Section 9.04(a)(iv). The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used to (a) for provide working capital, capital for exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas Properties, (b) to pay fees, costs and expenses associated provide funding in connection with the Transactions and Acquisition, (c) on to refinance Debt under the Effective Date to fund Existing Credit Agreement, and (d) for general corporate purposes of the Effective Date RefinancingBorrower and the Subsidiaries. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (ai) to provide funds for working capital, (ii) to finance capital expenditures, (iii) for exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition and development by the Borrower and its Subsidiaries of Oil and Gas PropertiesProperties permitted hereunder, (biv) to pay feesrefinance existing debt, costs and expenses associated with the Transactions and (cv) on for general corporate purposes of the Effective Date to fund the Effective Date RefinancingBorrower and its Subsidiaries. The No Loan Parties are not Party is engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to provide working capital for working capitallease acquisitions, for exploration and production operations, operations and for other general company purposes of the Loan Parties, development (including the acquisition drilling and completion of producing ▇▇▇▇▇), (b) for acquisitions and Investments permitted hereunder (including acquisitions of Oil and Gas Properties, (bProperties and joint ventures) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingfor funding general corporate purposes. The Loan Parties Parent and the Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to fund capital expenditures related to Borrower’s drilling program, (b) to provide working capital for working capitallease acquisitions, for exploration and production operations, and for other general company purposes of the Loan Parties, development (including the acquisition drilling and completion of Oil and Gas Propertiesproducing ▇▇▇▇▇), (b) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingfor general business purposes, including fees and expenses. The Loan Parties Borrower and its Restricted Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for working capital, for exploration and production operations, and for other general company purposes to refinance the Indebtedness of the Loan Parties, including Borrower under the acquisition of Oil and Gas PropertiesExisting Credit Agreement, (b) to pay feesfor the Acquisition, costs and expenses associated with the Transactions and (c) on for the Effective Date to fund acquisition and development by the Effective Date RefinancingBorrower and its Subsidiaries of other exploration and production properties, and for general corporate purposes of the Borrower and its Subsidiaries. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for all or any portion of the cash consideration for the Acquisition, for working capital, for lease acquisitions, for exploration and production operations, for development (including the drilling and completion of producing ▇▇▇▇▇) and for other general company purposes of the Loan Partiesbusiness purposes, including the acquisition of Oil and Gas Properties, (b) to pay fees, costs transaction fees and expenses associated in connection with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingAcquisition. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to refinance the amounts outstanding under the Existing Credit Facilities, to provide for the working capitalcapital needs of the Borrower and its Subsidiaries, to fund capital expenditures, for the acquisitions, development and exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas PropertiesProperties permitted hereunder, (b) for general company purposes and to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingTransaction Costs. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to provide working capital for working capitallease acquisitions, for exploration and production operations, operations and for other general company purposes of the Loan Parties, development drilling (including the acquisition drilling and completion of Oil and Gas Propertiesproducing ▇▇▇▇▇), (b) to pay fees, commissions, expenses and transaction costs related to the foregoing and expenses associated with the Transactions and (c) other transactions to occur on the Effective Date to fund Date, and for general corporate purposes of the Effective Date RefinancingBorrower and its Subsidiaries. The Loan Parties are not No Credit Party is engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to provide working capital for working capitalexploration, for exploration development and production operations, to provide funding in connection with Acquisitions, for general corporate purposes, for Restricted Payments permitted by Section 9.04, and for other general company purposes repayment of debt and distributions pursuant to the Loan Parties, including the acquisition of Oil Contribution Agreement as allowed by Section 9.02(h) and Gas Properties, (b) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingSection 9.05(a). The Loan Parties are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to provide working capital, capital for exploration and production operations, to refinance Debt under the Existing Credit Agreement and for other general company purposes corporate purposes. No proceeds of the Loan PartiesLoans or Letters of Credit may be used to retire any Debt (other than accounts payable) and the Existing Credit Agreement, including provided that the acquisition of Oil and Gas Properties, (b) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingExisting Credit Agreement is paid in full. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to provide working capital, for exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas Properties, (b) to pay feesamend and restate existing indebtedness (including the Existing Credit Agreement), costs and expenses associated with the Transactions and (c) on for the Effective Date to fund acquisition, exploration and development of oil and gas properties, (d) for the Effective Date Refinancingissuance of Letters of Credit, and (e) for general corporate purposes, including Restricted Payments. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to provide for working capitalcapital and other general corporate purposes, for including to fund lease acquisitions, exploration and production operations, and for other general company purposes of the Loan Parties, development (including the acquisition drilling and completion of producing ▇▇▇▇▇) and acquisitions of Oil and Gas Properties, Properties permitted hereunder and (b) to pay fees, costs for fees and expenses associated with related to the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingTransactions. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to provide working capital, for exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas Properties, (b) to pay feesamend and restate existing indebtedness (including the Existing Credit Agreement), costs and expenses associated with the Transactions and (c) on for the Effective Date to fund acquisition, exploration and development of oil and gas properties, including the Effective Date RefinancingAcquisition, (d) for the issuance of Letters of Credit, and (e) for general corporate purposes, including Restricted Payments. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to provide working capital for working capitalexploration, for exploration development and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas Properties, (b) to pay feesfinance the acquisition of Oil & Gas Properties, costs and expenses associated with the Transactions and (c) on to renew, rearrange, modify and extend the Effective Date to fund Debt under the Effective Date RefinancingExisting Credit Agreement, and (d) for general corporate purposes. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to pay all amounts currently due under the Existing Credit Agreement, to provide working capital for working capitallease acquisitions, for exploration and production operations, and for other general company purposes of the Loan Parties, development (including the acquisition drilling and completion of producing w▇▇▇▇), for acquisitions of Oil and Gas PropertiesProperties permitted hereunder and for general corporate, (b) to pay feeslimited liability company or partnership, costs as applicable, purposes of the Borrower and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingother Loan Parties. The No Loan Parties are not Party is engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to fund capital expenditures related to Borrower’s drilling program, (b) to provide working capital for working capitallease acquisitions, for exploration and production operations, and for other general company purposes of the Loan Parties, development (including the acquisition drilling and completion of Oil and Gas Propertiesproducing ▇▇▇▇▇), (b) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingfor general business purposes, including fees and expenses. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to provide working capital, capital for exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition acquisitions of Oil and Gas PropertiesProperties permitted hereunder, (b) to pay fees, costs and expenses associated consummate the Merger in accordance with the Transactions terms of the Merger Agreement and (c) on for general corporate, partnership or equivalent purpose, including to refinance Debt of the Effective Date to fund Borrower under the Effective Date RefinancingExisting Credit Agreement. The Loan Parties Borrower and its Restricted Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used to (a) for working capital, for exploration and production operations, and for other general company purposes of refinance the Loan Parties, including the acquisition of Oil and Gas PropertiesExisting Credit Agreement, (b) repay the loan from Wexford Capital LLC which was used to pay fees, costs and expenses associated with the Transactions purchase certain rigs and (c) on provide working capital for lease acquisitions, exploration, production operations, development (including the Effective Date to fund the Effective Date Refinancingdrilling and completion of producing ▇▇▇▇▇), and for general corporate purposes. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used to (a) for working capital, for exploration and production operations, and for other general company purposes of the Loan Partiesfinance acquisitions, including the acquisition of Oil Acquisition and Gas Properties, fees and expenses related thereto (b) to pay fees, costs finance the exploration and expenses associated with development of oil and gas assets of the Transactions Borrower and its Subsidiaries and (c) on provide for working capital for and for general corporate purposes of the Effective Date to fund the Effective Date RefinancingBorrower and its Subsidiaries. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to provide working capital, capital for exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil oil and Gas Properties, gas properties and general corporate purposes and (b) for Restricted Payments permitted under Section 9.04. A portion of the Borrowing Base (not to pay fees, costs and expenses associated with exceed the Transactions and (cLC Commitment) on may be used for the Effective Date issuance of Letters of Credit that shall expire prior to fund the Effective Date RefinancingTermination Date. The Loan Parties are Borrower is not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to repay existing Debt, (b) to provide working capital, capital for exploration and production operationsproduction, midstream trading and marketing operations and (c) for other general company corporate purposes of the Loan PartiesBorrower and its Subsidiaries, including the acquisition of Oil exploration and Gas Properties, (b) to pay fees, costs production and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingmidstream properties. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (ai) for to provide working capital, capital for exploration and production production, midstream trading and marketing operations, and (ii) for other general company corporate purposes of the Loan PartiesBorrower and its Subsidiaries, including the acquisition of Oil exploration and Gas Propertiesproduction and midstream properties, (biii) to pay feesrefinance the Prior Agreement, costs and expenses associated with the Transactions and (civ) on to finance the Effective Date to fund the Effective Date RefinancingAcquisitions. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used to provide working capital (a) for working capital, for exploration to refinance the Existing Credit Agreement and production operations, pay fees and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas Propertiesexpenses incurred therewith, (b) to pay feesfor Capital Expenditures and Permitted Acquisitions, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingfor general corporate purposes, including distributions permitted under Section 9.04(d). The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to refinance in full all obligations outstanding under the Existing Credit Agreement, (b) for working capital, capital for exploration and production operations, operations and for other general company corporate purposes of the Loan PartiesBorrower and the Subsidiaries, including the acquisition of Oil and Gas Properties, Properties and (bc) to pay fees, costs fees and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingTransactions. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Federal Reserve Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Federal Reserve Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to pay all amounts currently due under the Existing Credit Agreement, to provide working capital for working capitallease acquisitions, for exploration and production operations, and for other general company purposes of the Loan Parties, development (including the acquisition drilling and completion of producing ▇▇▇▇▇), for acquisitions of Oil and Gas PropertiesProperties permitted hereunder and for general corporate, (b) to pay feeslimited liability company or partnership, costs as applicable, purposes of the Borrower and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingother Loan Parties. The No Loan Parties are not Party is engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Tranche A Loans and the Letters of Credit shall be used (a) for to provide working capital, capital for exploration and production operations, and to refinance existing Debt of the Borrower, to provide funding for other general company corporate purposes of the Loan PartiesBorrower and its Subsidiaries, including the acquisition of exploration and production properties. The proceeds of the Tranche B Loans shall be used for exploration and development activities related to existing Oil and Gas Properties, (b) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingProperties that are not classified as proved developed producing. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether 57 immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans ---------------------------------- and the Letters of Credit shall be used (a) to provide working capital for working capitalexploration, for exploration development and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas Properties, (b) to pay feesfinance the acquisition of Oil & Gas Properties, costs and expenses associated with the Transactions and (c) on to renew, rearrange, modify and extend the Effective Date to fund Debt under the Effective Date RefinancingExisting Credit Agreement, and (d) for general corporate purposes. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) to provide working capital for working capitallease acquisitions, for exploration and production operations, operations and for other general company purposes of the Loan Parties, development (including the acquisition drilling and completion of producing ▇▇▇▇▇), (b) for acquisitions and Investments permitted hereunder (including acquisitions of Oil and Gas Properties, (bProperties and joint ventures) to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingfor funding general corporate purposes. The Loan Parties Borrower and the Restricted Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for working capitalto finance the Exxon Acquisition, for exploration and production operations, to refinance the loans outstanding on the Existing Credit Agreement and for other general company corporate purposes of the Loan PartiesBorrower, including the acquisition of Oil exploration and Gas Properties, (b) production and midstream properties and to pay fees, costs benefit the other Loan Parties and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingUnrestricted Subsidiaries as allowed by Section 9.05. The Loan Parties and the Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Additional Loans and the Letters of Credit shall be used solely (a) for working capital, for exploration and production operations, and for other general company purposes to provide cash collateral to support the Borrower’s currently outstanding letters of the Loan Parties, including the acquisition of Oil and Gas Propertiescredit, (b) to pay for general corporate purposes of the Borrower and its Subsidiaries (including payment of trade payables) and (c) for fees, costs and expenses associated in connection with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingTransactions. The Loan Parties Borrower and its Subsidiaries are not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to provide working capital, capital for exploration and production operations, acquisition of oil and gas properties and general corporate purposes, including for other general company purposes Restricted Payments permitted under Section 9.04. A portion of the Loan Parties, including Borrowing Base (not to exceed the acquisition LC Commitment) may be used for the issuance 77 of Oil and Gas Properties, (b) Letters of Credit that shall expire prior to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date RefinancingTermination Date. The Loan Parties are Borrower is not engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used (a) for to refinance Existing Indebtedness, to pay fees and expenses incurred in connection with the consummation of the Closing Transactions, to provide working capital, capital for exploration and production operationsproduction, and for other general company corporate purposes of the Loan PartiesBorrowers, including but not limited to the drilling, operating and acquisition of Oil exploration and Gas Propertiesproduction properties or any other payments, (b) in each case, to pay fees, costs and expenses associated with the Transactions and (c) on the Effective Date to fund the Effective Date Refinancingextent permitted under this Agreement. The Loan Parties are not No Credit Party is engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.. CHAPARRAL ENERGY, L.L.C. EIGHTH RESTATED CREDIT AGREEMENT

Use of Loans and Letters of Credit. The proceeds of the Loans and the Letters of Credit shall be used to (a) for working capital, for exploration and production operations, and for other general company purposes of the Loan Parties, including the acquisition of Oil and Gas Properties, (b) to pay fees, costs fees and expenses associated with the Transactions and (cb) on provide working capital for lease acquisitions, for exploration and production operations, for development (including the Effective Date to fund drilling and completion of producing w▇▇▇▇), for acquisitions of Oil and Gas Properties permitted hereunder and for other general corporate purposes of the Effective Date RefinancingBorrower and its Subsidiaries. The Loan Parties are not No Group Member is engaged principally, or as one of its or their important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying margin stock (within the meaning of Regulation T, U or X of the Board). No part of the proceeds of any Loan or Letter of Credit will be used for any purpose which violates the provisions of Regulations T, U or X of the Board.