Common use of Minimum Hedging Clause in Contracts

Minimum Hedging. At any time any Permitted Second Lien Debt is outstanding, the Borrower will maintain in full force and effect Swap Agreements in respect of commodities reasonably acceptable to the Administrative Agent, covering aggregate notional volumes of not less than sixty percent (60%) of the reasonably anticipated projected production from Proved Developed Producing Oil and Gas Properties (as set forth on the most recently delivered Reserve Report) for the thirty-six (36) month period from the last day of the month in which such Permitted Second Lien Debt is outstanding.