RIG COVENANTS Sample Clauses
The "Rig Covenants" clause sets out specific obligations and commitments that a party, typically the owner or operator of a drilling rig, must adhere to during the term of an agreement. These covenants may include requirements related to the maintenance, operation, and safety standards of the rig, as well as compliance with applicable laws and industry regulations. For example, the clause might require the rig to be kept in good working order, regularly inspected, and operated only by qualified personnel. The core function of this clause is to ensure that the rig is maintained and operated safely and reliably, thereby minimizing operational risks and protecting the interests of all parties involved in the contract.
RIG COVENANTS. The Obligors give the undertakings set out in this Clause 26 to each Finance Party and such undertakings shall remain in force throughout the Security Period;
RIG COVENANTS. 7.01 The Owner covenants with the Trustee that throughout the Credit Facility Period the Owner will:
(a) maintain its existence as a corporation in good standing duly organized under the laws of the State of Oklahoma;
(b) keep the Rig documented in its name as a United States vessel and to do or allow to be done nothing whereby such documentation may be forfeited or imperilled;
(c) not without the previous consent in writing of the Trustee, change the name of the Rig or make any modification to the Rig which would or might materially alter the structure or type or reduce the performance characteristics of the Rig or materially reduce the value of the Rig;
(d) keep the Rig in a good and efficient state of repair consistent with the ownership and operating practices of first-class rig owners and operators so as to maintain her present class (namely +A1 Self-Elevating Drilling Unit) at the American Bureau of Shipping free of recommendations and qualifications and change of class, save those notified to and approved in writing by the Trustee and so as to comply with all laws, regulations and requirements (statutory or otherwise) from time to time applicable to vessels documented under the laws and flag of the United States and applicable to vessels trading to any jurisdiction to which the Rig may, subject to the provisions of this Mortgage, trade from time to time;
(e) procure that all repairs to or replacement of any damaged, worn or lost parts or equipment be effected in such manner (both as regards workmanship and quality of materials) as to not diminish the value of the Rig and not to remove any material part of, or item of equipment installed on, the Rig unless the part or item so removed is forthwith replaced by a suitable part or item which is in the same condition as or better condition than the part or item removed, is free from any Security Interest (other than Permitted Liens) in favor of any person other than the Trustee and becomes on installation on the Rig the property of the Owner and subject to the security constituted by this Mortgage;
(f) submit the Rig to such periodical or other surveys as may be required for classification purposes and if so required to supply to the Trustee and the Administrative Agent copies of all survey reports issued in respect thereof;
(g) permit the representatives of the Administrative Agent or independent surveyors representing the Trustee to board the Rig at all reasonable times and upon reasonable notice for th...
RIG COVENANTS. The Obligors give the undertakings set out in this Clause 24 to each Finance Party and such undertakings shall remain in force throughout the Security Period;
RIG COVENANTS. The Ocean Rig Obligors give the undertakings set out in this Clause 25 to each Finance Party and such undertakings shall remain in force throughout the Security Period.