DIP Facility. (a) Lender agrees, during the Term and for so long as no Default or Event of Default exists and subject to the terms of this Agreement, to make Loan Advances to Borrower in an aggregate amount not to exceed the Maximum Amount. The proceeds of Loan Advances shall be used only for those items on the Budget, which Lender has approved, which includes the expenses of Oil & Gas and certain expenses of Energy, and which shall be limited to (a) general and administrative expenses related to the business of Oil & Gas, (b) fees incurred by the Borrower’s professionals as allocated by the Budget, and (c) certain, limited, expenses relating to corporate overhead and governance. (b) During the Term, the Lender may make one or more advances of the Development Loan in its sole and absolute discretion. Borrower acknowledges and agrees that it shall have no ability to require or demand any advance from Lender.
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Sources: Debtor in Possession Loan and Security Agreement (PRB Energy, Inc.), Debtor in Possession Loan and Security Agreement (PRB Energy, Inc.)