EV Participating Interest Share Clause Samples

EV Participating Interest Share. The “EV Participating Interest Share” in respect of any Subject Interests shall mean an undivided interest in the applicable Subject Interests equal to (i) the EV Percentage elected by EnerVest on behalf of the applicable Eligible Person(s) in accordance with Section 2(a)(i) for such Subject Interests multiplied by (ii) a fraction, the numerator of which is the value of the cash portion of the Acquisition Costs paid or payable by the applicable PubCo Person for such Subject Interests (after giving effect to Section 2(b)) and the denominator of which is the aggregate value of the cash and aggregate Fair Market Value of non-cash Acquisition Costs paid or payable by the applicable PubCo Person for such Subject Interests (after giving effect to Section 2(b)). For example, if in a Qualifying Transaction a PubCo Person acquires Oil and Gas Interests located entirely within the Market Area (A) the Acquisition Costs therefor have an aggregate cash value and non-cash Fair Market Value of $100,000,000, (B) the cash portion of such Acquisition Costs is equal to $75,000,000 and (C) EnerVest on behalf of the applicable Eligible Person(s) has elected a 10% EV Percentage in accordance with Section 2(a)(i), then the EV Participating Interest Share will be an undivided 7.5% in the applicable Subject Interests (or, (x) 10% multiplied by (y) $75,000,000 divided by $100,000,000).