template for pricing the right of first refusal shelley and chris , i have set up a template for pricing rofrs . the rofr is priced as a series forward start options . a forward start option gives the holder the right to exercise the option but the strike price is set at the money in future before the option expiration . the feature mimics the " matching the best bid " in the rofr . the underlying for the option is the " best bid " , which should be closely related to the price differential between the two hubs that the pipeline connects . therefore the rofr is case dependent , as vince pointed out . the volatility can be estimated from the " best bid " price history . with these inputs we can estimate the value of rofr . if you have any questions concerning the model please feel free to call me or vince . zimin lu