Valuation Formula Clause Samples
Valuation Formula. No later than 45 days following the end of each fiscal quarter of the Company, the Company shall provide to each holder of equity securities of the Company a statement (the "Valuation Statement") setting forth the Valuation Formula then in effect and the fair market value of the Company as of the end of the immediately preceding fiscal quarter determined on the basis of such Valuation Formula. The Valuation Statement shall reflect in reasonable detail the basis for such calculation of fair market value. The calculation of fair market value set forth in the Valuation Statement provided to Stockholders following the end of the Company's fiscal year shall be subject to review by the Company's independent accountants in connection with the year-end audit of the Company's financial statements. In the event that the Company's independent accountants determine that an error has been made in the calculation of fair market value reflected in such Valuation Statement, the Company shall promptly provide to the holders of equity securities of the Company a revised
Valuation Formula. PROCEDURE: Each Party will select a Third Party independent reserve engineering firm to estimate the present value of the Gas Reserves related to any Protected Well which is required to be plugged and abandoned pursuant to Section 3.3(a). If each Party’s Third Party independent engineering firms’ valuation for proved developed, or proved undeveloped, if applicable, reserve calculations are within 20% of each other, the average of the two will be used for the Valuation Amount. If each Party’s independent engineering firms’ proved developed calculations values are not within 20% of each other, the Parties will mutually agree upon a third independent reserve engineering firm to calculate the proved developed, or proved undeveloped, as applicable, and the average of the (i) third firm and (ii) the Party’s firm that has the reserve estimate closest to such third firm’s estimate, shall be used for the Valuation Amount.