Insufficient Security. If Purchaser defaults in carrying out Final Decommissioning as and when required, and one of the Sellers undertakes the Final Decommissioning, the calling of any Decommissioning Security or Backstop Letter of Credit shall not release or discharge the Final Decommissioning obligations of the Purchaser, and if the Decommissioning Security, together with any Backstop Letter of Credit, is insufficient to cover the full costs of the Final Decommissioning, Purchaser shall indemnify the Sellers for any amounts which any Seller incurs in carrying out the Final Decommissioning in excess of the amounts received as a result of calling the Decommissioning Security and any Backstop Letter of Credit.
Appears in 2 contracts
Sources: Asset Purchase Agreement, Asset Purchase Agreement (Stone Energy Corp)