Common use of Initial Margin Amount Clause in Contracts

Initial Margin Amount. (a) The Company shall post with ▇▇▇▇ ▇n the Commencement Date and maintain during the Term cash in the amount of $7,033,475 or, from and after the Additional Posting Date, such greater amounts as are required under Section 4.3(b) below (each such amount, an “Initial Margin Amount”); provided, as further agreed by the Parties, all or a portion of such amount may be posted by ▇▇▇▇ ▇olding back a portion of the amount payable to the Company under the Company Inventory Sales Agreement. (b) The Company further agrees that: (i) on the First Additional Posting Date, the Company shall post with ▇▇▇▇ ▇▇▇▇ ▇n an additional amount of $1,250,000.00, so that the Company shall have posted and shall thereafter maintain from and after the First Additional Posting Date to but not including the Second Additional Posting Date an Initial Margin Amount of $8,283,475 in total; (ii) on the Second Additional Posting Date, the Company shall post with ▇▇▇▇ ▇n cash an additional amount of $500,000.00, so that the Company shall have posted and shall thereafter maintain from and after the Second Additional Posting Date to but not including the Third Additional Posting Date an Initial Margin Amount of $8,783,475 in total; and (iii) on the Third Additional Posting Date, the Company shall post with ▇▇▇▇ ▇n cash an additional amount of $750,000.00, so that the Company shall have posted and shall thereafter maintain for the remainder of the Term an Initial Margin Amount of $9,533,475.00 in total. (c) The Initial Margin Amount shall (i) constitute credit support for all of the Company’s obligations under the Transaction Documents, (ii) be subject to the applicable provisions of this Agreement, including Section 13.4(a), and (iii) except as otherwise applied in accordance with the terms of the Transaction Documents, be returned to the Company only if the Transaction Documents have been terminated and all the Company’s obligations under the Transactions Documents have been satisfied in full.

Initial Margin Amount. (a) The Company shall post with ▇▇▇▇ ▇n on the Commencement Date and maintain during the Term cash in the amount of $7,033,475 or, from and after the Additional Posting Date, such greater amounts as are required under Section 4.3(b) below (each such amount, an “Initial Margin Amount”); provided, as further agreed by the Parties, all or a portion of such amount may be posted by ▇▇▇▇ ▇olding holding back a portion of the amount payable to the Company under the Company Inventory Sales Agreement. (b) The Company further agrees that: (i) on the First Additional Posting Date, the Company shall post with ▇▇▇▇ ▇▇▇▇ ▇n in an additional amount of $1,250,000.00, so that the Company shall have posted and shall thereafter maintain from and after the First Additional Posting Date to but not including the Second Additional Posting Date an Initial Margin Amount of $8,283,475 in total; (ii) on the Second Additional Posting Date, the Company shall post with ▇▇▇▇ ▇n in cash an additional amount of $500,000.00, so that the Company shall have posted and shall thereafter maintain from and after the Second Additional Posting Date to but not including the Third Additional Posting Date an Initial Margin Amount of $8,783,475 in total; and (iii) on the Third Additional Posting Date, the Company shall post with ▇▇▇▇ ▇n in cash an additional amount of $750,000.00, so that the Company shall have posted and shall thereafter maintain for the remainder of the Term an Initial Margin Amount of $9,533,475.00 in total. (c) The Initial Margin Amount shall (i) constitute credit support for all of the Company’s obligations under the Transaction Documents, (ii) be subject to the applicable provisions of this Agreement, including Section 13.4(a), and (iii) except as otherwise applied in accordance with the terms of the Transaction Documents, be returned to the Company only if the Transaction Documents have been terminated and all the Company’s obligations under the Transactions Documents have been satisfied in full.

Initial Margin Amount. (a) The Company shall post with ▇▇▇▇ ▇n on the Commencement Date and maintain during the Term cash in the amount of $7,033,475 or, from and after the Additional Posting Date, such greater amounts as are required under Section 4.3(b) below (each such amount, an “Initial Margin Amount”); provided, as further agreed by the Parties, all or a portion of such amount may be posted by ▇▇▇▇ ▇olding holding back a portion of the amount payable to the Company under the Company Inventory Sales Agreement. (b) The Company further agrees that: (i) on the First Additional Posting Date, the Company shall post with ▇▇▇▇ ▇▇▇▇ ▇n in an additional amount of $1,250,000.001,250,000, so that the Company shall have posted and shall thereafter maintain from and after the First Additional Posting Date to but not including the Second Additional Posting Date an Initial Margin Amount of $8,283,475 in total; (ii) on the Second Additional Posting Date, the Company shall post with ▇▇▇▇ ▇n in cash an additional amount of $500,000.00500,000, so that the Company shall have posted and shall thereafter maintain from and after the Second Additional Posting Date to but not including the Third Additional Posting Date an Initial Margin Amount of $8,783,475 in total; and (iii) on the Third Additional Posting Date, the Company shall post with ▇▇▇▇ ▇n in cash an additional amount of $750,000.00750,000, so that the Company shall have posted and shall thereafter maintain for the remainder of the Term an Initial Margin Amount of $9,533,475.00 9,533,475 in total. (c) The Initial Margin Amount shall (i) constitute credit support for all of the Company’s obligations under the Transaction Documents, (ii) be subject to the applicable provisions of this Agreement, including Section 13.4(a), and (iii) except as otherwise applied in accordance with the terms of the Transaction Documents, be returned to the Company only if the Transaction Documents have been terminated and all the Company’s obligations under the Transactions Documents have been satisfied in full. (g) By amending Section 5.1 of the S&O Agreement by (i) deleting “ninety-four thousand (94,000)” from the seventh and eighth lines thereof and inserting “one-hundred fifty thousand (150,000)” in place thereof and (ii) deleting “Crude Storage Tanks” from the tenth and eleventh lines thereof and inserting “Included Crude Tanks” in place thereof. (h) By amending Section 5.3(g) of the S&O Agreement by deleting “Crude Storage Tanks” from (i) the eighth line of Section 5.3(g)(i) and (ii) the fourth, fifth, tenth and eleventh lines of Section 5.3(g)(ii), and inserting “Included Crude Tanks” in place thereof. (i) By amending Section 5.5(a) of the S&O Agreement by adding a new sentence at the end thereof, reading in its entirety as follows: “Pursuant to the Required Storage and Transportation Arrangements, ▇▇▇▇ shall have the exclusive right (to the extent that such exclusive right can be granted) to inject (except for such injections by the Company otherwise contemplated hereby), store, transport and withdraw Crude Oil in and on the Included Crude Pipelines and the Included Crude Tanks (other than Crude Storage Tanks) to the same extent as the Company’s rights to do so prior to the implementation of the Required Storage and Transportation Arrangements.” (j) By amending Section 5.5(b) of the S&O Agreement by deleting “Crude Storage Tanks” from the second, sixth, seventh and ninth lines thereof and inserting “Included Crude Tanks” in place thereof. (k) By amending Section 5.6(a) of the S&O Agreement by deleting “Storage Facilities” from the third line thereof and inserting “Included Locations” in place thereof. (l) By amending Section 5.10(a) of the S&O Agreement by deleting “Included Product Pipelines” from the fourth and fifth lines thereof and inserting “Included Pipelines” in place thereof. (m) By inserting immediately after Section 5.12 of the S&O Agreement, a new Section 5.13 reading in its entirety as follows: