Loading...
HomeMy WebLinkAbout886786BOOK ~'''~{ ~,3 PR PAGE AGREEMENT FoR I ASSmSMEmi OIi , RECEIVED LINCOLN (']OUNTY CLERK XERCISE OF OPTIONS, ~l kND GAS INTERESTS, AND' NOTICE OF TERMINATION THIS AGREEMENT FOR ~XERCIS! GAS INTERESTS, AND NOTICE OF TERI~ (this "Agreement") is entered into ~i of Decen 2002 at 11:59 p.m. (the "Option Effective Dar, COKPORATION, a Delaware corporation (an Production Corporation, a Washington corpor: Houston, Texas .77077-1607 ("CABOT"), CA CORPORATION, a Delaware corporation ha~ Texas 77077-1607 ("COGMC"), NATURAL limited liability company having offices at 8:2 02109 ("NGI") and TIGHT SANDS INVEST company having offices at 82 Devonshire S~re NGI and TSI are collectively referred to her~il MANAGEMENT AGREEMENTS *. OF OPTIONS, ASSIGNMENT OF OIL AND INATION OF MANAGEMENT AGREEMENTS ~ber 20, 2002, but effective as of December 31, ?') by and between CABOT OIL & GAS :1 successor by merger with Cabot Oil & Gas ttion) having offices at 1200 Enclave Parkway, BOT OIL & GAS MARKETING~ ing offices at 1200 Enclave Parkway, Houston, GAS INVESTMENTS, L.L.C., a Delaware Devonshire Street, R25D, Boston, Massachusetts VlENTS, LLC, a Delaware limited liability et, R25D, Boston, Massachusetts 02109 ("TSI"). as the "LLCs". Recitals A. CABOT and NGI are parties ito two Purchase and Sale Agreements, one dated effective as of September 1, 1995 (EASTERN), and the other dated effective as of November 1, 1995 (WESTERN). CABOT and TSI are parties to a Purchase and Sale Agreement dated effective as of August 1, 1996 (TIGHT SANDS). All three of the Purchase and Sale Agreements with CABOT are collectively referred to as the "Purchase Agreements". Any defined term used in this Agreement but not defined herein shall have the meaning given to such term in the Purchase Agreements. : B. Pursuant to the Purchase Agieements, CABOT assigned the Subject Interests to the respective LLC and reserved a production payment of 100% of the Net Profits for a specific volume of produced Subject Hydrocarbons (the "Production Payments") in three docmnents each entitled Assignment of Oil and Gas Leases with Reservation of Production Payment (collectively, the "Assignments"). The recording information regarding the. Assignments is set forth on Exhibit C attached hereto. Each ASsignment sets forth the wells and oil and gas leases covered by such Assignment (all of the wel!s in each of the Assignments being collectively called the "Wells" and all of the leases in each of the Assignments being collectively called the ~ "Leases"). C. Pursuant to three documents entitled Option to Purchase Oil and Gas Interests executed and delivered in connection with the Purchase Agreements, the LLCs granted to CABOT the exclusive and irrevocable optiOn to repurchase all of the LLCs' oil and gas interests in the various applicable Wells (collectively, as amended, the "Options"). Each of the Options sets forth terms under which CABOT can pUrchase the respective oil and gas interests from the LLCs, including but not limited to the method to determine the price to exercise each Option and the dates during which each Option is effective. D. Pursuant to the PurChase Agreements, the LLCs and CABOT entered into three separate Management Agreements ~Or the operation of the Wells associated with the EASTERN, WESTEPa~ and TIGHT SANDS transactions, which are evidenced of record by instruments entitled Memorandum of Management Agreement (collectively, as amended, the "Management Agreements"). The recording infortnation regarding the Management Agreement~ and the various amendments to the Management Agreements is set fo~h on Exhibit D attached hereto. E. Pursuant to the Pur6hase Agreements, the LLCs and COGMC entered into three separate Gas Purchase AgreementS~°ne dated effective September 1, 1995 (EASTEr), one dated effective November 1, 1995 (WESTE~), and the third dated effective August 1, 1996 (TIGHT SANDS) (collectively, as ~'mended; the "Gas Purchase Agreements"), wherein COGMC agreed to purchase all of the gas produced and marketed from the Wells. F. Pursuant to the Purchase Agreements, the members of NGI entered into two separate Contribution Agreements, ~ne dated effective September I, 1995 (EASTERN), and the other dated effective November 1, ~995 (WESTE~), and the members of TSI entered into a Contribution Agreement dated effe~tive August 1, 1996 (TIGHT SANDS) (collectively, as amended, the "Contribution A~eei~ents"), to contribute funds to the respective LLC for the payment of amounts to be paid by ~hch LLC under the transaction contemplated in the respective Purchase Agreement. FMR Co~. guarantied the payment by such members of amounts due pursuant to the Contribution Agreements by t~ee separate Guaranty Agreements, one dated effective September 1, 1995 (EASTEr), one dated effective November 1, 1995 (WESTE~), and the third dated effective August I, 1996] (TIGHT SANDS) (collectively, as amended, the "FMR Guaranties"). G. NGI and CABOT entered into that certain Assignment of Guaranty Rights dated effective January I, 1996 (the "State Street Assignment"), wherein NGI assigned to CABOT all of NGI's right, title and interest under (i) the Contribution Agreement, SSB Investments, Inc., Eastern and Western Property Packages dated effective January 1, 1996 with NGI, and (ii) the Guaranty Agreement dated effective January 1, 1996 from State Street Boston Corporation to NGI (collectively, the "State Street Obligations"). H. CABOT desires to exercise the Options, and CABOT and the LLCs desire to terminate the Management Agreements, terminate the Production Payment obligations of the LLCs, terminate tile Contribution Agreements, terminate the FMR Guaranties, terminate the State Street Obligations and the State StreetI Assignment, and, along with COGMC, to terminate the Gas Purchase Agreements, all pursuant to the terms and conditions set forth in this Agreement. In addition, the LLCs desire to 9onvey all of their respective interests in the Wells and Leases to CABOT in accordance with the terms and conditions of this Agreement. In consideration of the covenants and agreements set forth herein, the parties hereto agree as follows: I. Assignment Agreement In consideration of a payment from CABOT to the LLCs of the Aggregate Option Price set forth in that certain Letter Agreement executed by CABOT, NGI and TSI concurrently with this Agreement, and other good and ~valuabl!e consideration, the receipt and sufficiency of which is hereby acknowledged, each of the LLCs hereby GRANTS, BARGAINS, SELLS, TRANSFERS, ASSIGNS and coN3dEYS to CABOT, its successors and assigns, as' of the Option Effective Date, all of the following interests (collectively, the "Interests"): 1. All of the LLCs' rigt~t, title and interest (including but not limited to working interests, royalty interests and overriding royalty interests) in and to the oil and gas leases and mineral interests described in Exhibit A, attached hereto and made a part hereof for all purposes, and the wells described in Exhibit B, attached hereto and made a part hereof for all purposes (the above described ~nterest in such leases and mineral interests being herein called the "Subject Leases" and the above described interest in such wells being herein called the "Subject Wells"), subject to any restrictions, exceptions, reservations, conditions, limitations, burdens, contractS; agreements and other matters applicable to the Subject Leases and the Subject Wellsi 2. All of the LLCs' right, title an!d interest in and to, or derived from, the following insofar and only insofar as same are ,aittributable to the Subject Leases and the Subject Wells: (a) All presently existing and valid oil, gas or mineral unitization, pooling, operating and communitization agreements, declarations and orders affecting the Subject Leases and the Subject Wells, with reSpect to the properties covered and the units created thereby (the "Units"); ' (b) The personal property and fixtures that are appurtenant to the Subject Leases, the Subject Wells and the Units, including all wells, casing, tubing, pumps, separators, tanks, lines and other persOnal property and oil field equipment on such Subject Leases or Units; : (c) All presently existing and valid gas sales, purchase, production swap, gathering and processing contracts an~ operating agreements, joint venture agreements, partnership agreements, rights-of-way, easements, permits and surface leases and other contracts, agreements and instruments,: only in relevant part to the extent and insofar as the same are appurtenant to the Subject Leases, Subject Wells and interests conveyed in the Units; and 3. Any and all other rights, titles and interests assigned by CABOT to NGI or to TSI pursuant to the Assignments to the extent that same have not heretofore been reconveyed by one of the LLCs to CABOT. TO HAVE AND TO HOLD the Interests, together with all and singular the rights and _ appurtenances thereunto in anywise belonging, unto CABOT, it successors and assigns, forever. The LLCs and CABOT confirm (i) that CA,BOT has given notice to NGI which is sufficient to satisfy the terms of the notice provisions under the Options, and (ii) that the consideration delivered and received is in full satisfaction,, payment and discharge of the Option Price with respect to the Interests and any and all payments required under the Options for the Interests. Each of NGI and TSI represent and Warrant t6 CABOT that it has not granted, created or reserved any overriding royalty, ne~,.brofits ' i ~:nterest, carried interest, production:,payment, reversionary interest or other burdeO~I or encumbrance against any of the interests obtained by NGI or TSI pursuant to the AsSignments (the "Conveyed Interests"). EXCEPT AS EXPRESSLY PROVIDED IN THE IMMEDIATELY PRECEDING SENTENCE, THIS ASSIGNMENT IS MADE WlTHO[IT REPRESENTATION OR WARRANTY OF TITLE TO THE CONVEYED INTERESTS EXCEPT FOR MATTERS ARISING BY, THROUGH OR UNDER NGI OR TSI, AND NOT iIESULT1NG FROM ACTIONS OF CABOT ACTING IN ITS CAPACITY AS MANAGER, OR COGMC ACTING IN ITS CAPACITY AS GAS PURCHASER. II. Payment and Closin~ 1. Optio.n Price. Paragraph 5 of each of the Options sets forth the methodology for the calculation of the Option Price forl the Interests and provides that the Option Price is the estimated current fair market value of the respective LLC's interest in the Interests (post-Production Payment tail, net of ihe Reversion Interest) to be purchased as of the Option Effective Date. The parties agree that the current fair market value of the LLCs' interest in the Interests as of the Opti!°n Effective Date is the Aggregate Option Price set forth in the Letter Agreement executed by CABOT, NGI and TSI concurrently with this Agreement. 2. Closing and Assignment. In accordance with Paragraph 7 of the Options, the closing of the purchase of the Interests pursuant to the exercise of the Options shall occur at the offices of CABOT, no later than 90 days from the date of CABOT's notice regarding exercise of the Options (the "Closing"). The parties hereto agree that the Closing shall occur simultaneously w!th the execution of this Agreement and that execution originals will be delivered by facsimile and by an overnight delivery service. Upon full execution and delivery of a fully executed facsimile copy of this Agreement, CABOT will send a wire transfer in the amount of the Aggregate Option Price to an account designated by the LLCs. Iii. Termination of Credit Payment Amount and Production Payment Obligations CABOT hereby cancels and terrninate~s as of the Option Effective Date, and hereby irrevocably releases the LLCs of any and all fiability with respect to, all Credit Payment Amounts and all Production Payments for al!l periods arising after the Option Effective Date. Notwithstanding the foregoing, CABOT expressly retains, until December 31, 2004, the right to bring claims against the LLCs for Credit Payment Amounts for the period prior to the Option Effective Date, for which the LLCs have not received invoices on or before March 15, 2003. IV. Termination of Contribution Agre..e.m.ents~ FMR Guaranties~ .and State Street Obligations CABOT and the LLCs here~ irrevocably terminate and release the Contribution Agreements and the FMR Guaranties for al~ Periods after the Option Effective Date, and CABOT irrevocably releases and discharges FMR Corp. of any and all liability with respect to matters or obligations attributable t6~i.:the periOd after the Option Effective Date with respect to the Wells, Leases and any of thc tra&sactions or agreements referenced in this Agreement. As of the Option Effective Date, CABOT!i~ereby irrevocably releases and discharges SSB Investments, Inc. and State Street Boston Corpor~hon of any and all liability for the matters or obligations attributable to the period after the O~tion Effective Date under or in connection with the State Street Obligations, and CABOT and?NGI hereby irrevocably terminate and release the State Street Assignment and any and all r(;~hts and !powers of CABOT under the State Street Assignment for all periods after the Option Effective Date, including but not limited to the limited power of attorney granted t~ CABOT thereunder. V. Termination of Managemelit Agreements, Notice to Third Parties As of the Option Effective Date and ~ubject to the terms of this Section V, CABOT and the LLCs hereby terminate the Management Agreements; provided, however, that all obligations of CABOT under the Purchase Agreements and the Management Agreements to maintain insurance which identifies NGI or TSI as an hdditional insured shall continue through the Option Effective Date, and provided further, that theI obligations of CABOT to indemnify, defend and hold harmless either NGI or TSI under Article 5 of the Management Agreements shall survive the termination of the Management Agreemehts. CABOT hereby acknowledges that its authority as Attorney-in-Fact of either NGI m' TSI with respect to the Interests under the respective Management Agreements has been extinguished as of the Option Effective Date. THIRD PARTIES ARE HEREBY GIVEN NOTICE THAT THE MANAGEMENT AGREEMENTS, AS AMENDED, AND THE RIGHTS OF CABOT THEREUNDER, HAVE BEEN TERMINATED EFFECTIVE AS OFf THE OPTION EFFECTIVE DATE. VI. Termination of Gas Purchase Agreements As of the Option Effective Date, COGMC and the LLCs hereby terminate the Gas Purchase Agreements. VII. Representations and Covenants. 1. The rights of the parties unde; the Purchase Agreements shall survive the Closing, and each party thereunder shall be entitled to enforce all of the remedies and indemnifications to which it is entitled under its respective Purchase Agreement(s), including but not limited to those associated with any failure of any of the Subject Hydrocarbons to satisfy any qualification requirements. CABOT represents and warrants that the Interests are not subject to any preferential right, consent to assignment, or similar limitation on transfer, except io the extent previously disclosed by CABOT to the LLCs pursuant to the Purchase Agreements. 2. Notwithstanding the terminati°n of the Management Agreements, the LLCs shall have the right to audit the books and~ records of CABOT and/or COGMC during regular hours in a reasonable maturer from the effective date of the respective Purchase Agreement until December 31, 2004, with respect to the production and sales of Subject Hydrocarbons from the Subject Wells and Subject Leases on or prior to the Option Effective Date. 194 3. On or before March ~:5, 2003, CABOT, COGMC and the LLCs shall reconcile and pay and/or set off, as aP~4ropriate, the outstanding amOunts due between them on any and all (i) Credit Payment ~hounts which have accrued and are due and owing as of the Option Effective Date, and {!'i) overpayments of Credit Payment Amounts with respect to the Subject Hydrocarbons pi~6duced prior to the Option Effective Date. The reconciliation of such amounts shall be documented by a written statement signed by the parties, and the resulting net,payment after set off shall occur by wire transfer of immediately available fundsio the party to whom such net payment is due. The LLCs shall have no obligation to make any payments to CABOT for any amounts due and owing under this Paragraph 2, unless and until CABOT provides the information contemplated in the followitlg Paragraph 4. The obligations contemplated in this Paragraph 3 are deemed to be obligations' attributable to the period prior to the Option Effective Date. 4. On or before March 15, 2003, CABOT and/or COGMC shall provide all necessary and appropriate production and federal income tax credit information associated with production from the Subject Wells to KPMG LLP so that KPMG LLP may timely prepare tax returns for the LLCs for calendar year 2002. 5. Except as expressly provided to the contrary in this Agreement, CABOT assumes all obligations, liabilities and responsibilities associated with the Interests attributable to the period on or after the Option Effective Date, including the contractual and regulatory obligations in connection with the Interests, and CABOT hereby agrees to defend, indemnify and hold harmless the LLCs (and their respective successors, assigns, members, officers, managers, employees, representatives, agents and consultants) from and against all claims, demands, actions, obligations, liabilities and expenses (including reasonable attorney, consultant and expert witness fees) of any form or character arising from the obligations and liabilities assumed by CABOT pursuant to this Paragraph 5. 6. Except for the claims specifically and expressly retained in this Agreement, each of CABOT and COGMC hereby releases, discharges and waives any claim and any right to bring any claims it now has or that it may have in the future against either NGI or TSI with respect to the transactions contemplated in the Purchase Agreements, and each of NGI and TSI hereby releases, discharges and waives any claim and any right to bring any claims it now has or that it may have in the future against either CABOT or COGMC with respect to the transactions contemplated in the Purchase Agreements. 7. Each individual executing below represents and warrants (i) that this Agreement has been duly authorized, executed and delivered by the party represented by such individual, (ii) that this Agreement is a legal, valid and binding obligation of such party, and (iii) that such party is in compliance with all applicable laws, rules and regulations governing the conduct of its respective businesses and this transaction. VIII. Miscellaneous. 1. The parties hereto ague to e ~ecute and deliver to each other all such other and addmonal instruments, notices and ~ .ocuments and to do all such other and further acts as may be necessary to more fully effe ::~ the intent of the parties contemplated herein. 2. This Agreement and ihe Letter Agreement executed concurrently with this Agreement set forth the full ~ihd complete agreement of the parties hereto with respect to the subject matter hereof, and this Agreement may not be amended except by written document executed by CABOT, CO~ 3MC, NGI and TSI. 3. This Agreement is biOiding u! COGMC, NGI and TSI, and {heir re,, 4. This Agreement maYbe exec being an original, and all cotihterpar~ ,on and shall inure to the benefit of CABOT, ~ective successors and assigns. ted in multiple counterparts, with each counterpart together constituting the Agreement. 5. For the convenience Of recording, counterparts of this Agreement which are being recorded may. include only ttlbse certi~in portions of Exhibit A and Exhibit B which include descriptions of prop&ties loc3ted in the recording jurisdiction in which the particular counterpart is being recorded , / 6. Except to the extent the term~ hereof are governed mandatorily by the real property laws of the state in which the Interests are located, the validity, effect and construction of this Agreement shall be governed by the laws of the State of Texas, exclusive of the conflict of laws prin :iples thereof. This Agreement was prepared a.utually by the parties. If there are any questions concerning this Agreement~ please contact: / D;b°rah A. Gitomer Fulbri ght & Jaworski L.L.P. 301 McKinney H{ ston, Texas 77010 [the remainder, this page is intentionally blank] 7 196 IN WITNESS WHEREOF, i~e parties hereto have executed this Agreement as of the date first written above. , Attest: By: Name: l~i~a A. Machesney Title: Corporate Secretary Attest: CABOT OIL & GAS CORPORATION Title: Vice President CABOT OIL & GAS MARKETING "CORPORATION Name: Lisa A. Machesney Title: Corporate Secretary " Title: Vice President NATURAL GAS INVESTMENTS, L.L.C. By its Manager, Fontenelle, Inc. By: Name: Gary L. Greenstein Title: Attorney-in-Fact TIGHT SANDS INVESTMENTS, LLC By its Manager, Fontenelle, Inc. By:,/~ j,/~/~~ Name: Gary L. Greenstein Title: Attorney-in-Fact Acknowledgments STATE OF TEXAS ) ) .SS COUNTY OF HARRIS ) !: ! The foregoing instrument' wa~:" acknowledged before me this lt~ ~"~day of December, 2002, by Jeffrey W. Hutton, as Vice President of Cabot Oil & Gas Corporation, a Delaware corporation, on behalf of such corporation. Witness my hand and official seal. My commission expires: Notary Public STATE OF TEXAS ) ) .SS HARRIS COUNTY ) The foregoing instrument was acknowledged before me this/q'd'~day of December, 2002, by Henry C. Smyth, as Vice President of Cabot Oil & Gas Marketing Corporation, a Delaware corporation, on behalf of such corporation. Witness my hand and official seal. My commission expires: Notary Public ]~j_~:. : i MY COMMISSIONNovo~ 29, 2008EXPIRES Illl COMMONWEALTH OF MASSACHUSETTS ) ~ ) ,SS COUNTY OF SUFFOLK .... ) The foregoing instrument wfi.~ acknowledged before me this 20th day of December, 2002, by Gary L. Greenstein, as Attorney-in-Fact of Fontenelle, Inc., a Delaware corporation, in its capacity as Manager of Natural Gas Investments, L.L.C., a Delaware limited liability company, on behalf of such company. Witness my hand and offici;/i seal. My commission expires: [seal] r Anita Maclntyre, Notary Public Commonwealth of Massachusetts My Commission Expires 3/6/2009 COMMONWEALTH OF MASSACHUSETTS ) ) .SS COUNTY OF SUFFOLK ) The foregoing instrument was acknowledged before me this 20th day of December, 2002, by Gary L. Greenstein, as Attorney-in-Fact of Fontenelle, Inc., a Delaware corporation, in its capacity as Manager of Tight Sands Investments, LLC, a Delaware limited liability company, on behalf of such company. Witness my hand and official seal. My commission expires: Nota~ l~t~blic - - C~- ' ^nita Maoln~re, Notary Oommonwoalth o[ Massachusetts My Oommission Expiros 81012000 1o O O 0~ 0 O 0 Um 0 0 0 ° 0 m m% m 0 0 O ~ 0 0 0 0 0 O r' Z 0 0 CO 4,. ,~' 0 0 % ,-, ~o 0 Z rn U~ 'r U) I'-I ~z n DZ o I' ;0 m Z C 0 199 Z Z ~ Z Z Z Z Z 0 0 0 0 0 0 0 0 Z Z Z Z Z Z Z ~ Z ==m oooooooo ~~°oo ~ o _ o ~ o ~ ~ ~ m ~ ~ ~ 0 0 0 ~ nl nl Effective Date 9-1-95 11-1-95 8-1-96 EXHIBIT C ASSIGNMENT RECORDING INFORMATION Trans~etion ook / Page - County, State EAST~iRN 2~2 / 1151 - Crawford, PA 198 / 167 - Mercer, PA 3~} / 978 - Venango, PA 2~ / 208 - Boone, WV 10 / 243 - Wyoming, WV 129 / 290 - Barbour, WV 1¢6 / 314 - Doddridge, WV 1~ / 434 - Fayette, WV 1269 / 900 - Harrison, WV 2:28 / 107 - Jackson, WV 1~2 / 271 - Kanawha, WV 529 / 702 Lewis, WV 1 ~ / 229 - Logan, WV 4~4 / 716 - McDowell, WV 81 J 199 - Mingo, WV 234 / 206 - Pleasants, WV 22 / 107 - Putnam, WV 8~ / 581 - Raleigh, WV 2~ / 111 - Taylor, WV WESTERN TIGHT SANDS 3~ / 599 - Upshur, WV 2 ? / 202 - Wayne, WV 9~8 / 639-Wood, WV 3 8 6 231 - Clinton, PA 1992 / 572 - Indiana, PA 413 / 116 - Hemphill, TX 4~2 / 320 - Buchanan, VA 1~1 / 129 - Barbour, WV 2~ / 338 - Boone, WV 1'78 / 255 - Doddridge, WV 1279 / 894 - Harrison, WV 1,~6 / 704 - Kanawha, WV 557 / 220 - Lewis, WV 1'7 / 215 - Marion, WV 4~9 / 622 - McDowell, WV 98 / 285 - Raleigh, WV 201 / 307 - Wirt, WV 1 ~) / 496 - Wyoming, WV 78 PR / 591 - Lincoln, WY 70 / 1721 - Sweetwater, WY 57 / 663 - Uinta, WY 201 87 / 144 - Lincoln, WY 03 / 598 - Sublette, WY 78 / 1728 - Sweetwater, WY 69 / 195 - Uinta, WY 202 EXHIBIT D MANAGEMENT AGREEMENT RECORDING INFORMATION State Pennsylvania Pennsylvania Pennsylvania West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virginia West Virgin, la West Virgima West Virginia West Virginia West Virginia State I. EASTERN PAC Memorandum of Management Agre~ Count3~ Craw ford Mercer Venango Barbour Boone Doddridge Fayette Harrison Jackson Kanawha Lewis Logan McDowell Mingo Pleasants Putnam Raleigh Taylor Upshur Wayne Wood Wyoming Second Amendment to Memon dated effective County D KAGE PROPERTIES :ment dated effective September 1, 1995 Date Recorded Recording Information 10/10/95 Bk 282 Pg 1139 10/3/95 Bk 198 Pg 199 9/29/95 Bk 39 Pg 1017 10/2/95 Bk 129 Pg 318 9/29/95 Bk 28 Pg 200 11/21/95 Bk 176 Pg 351 10/13/95 Bk 526 Pg 433 9/29/95 Bk 1269 Pg 952 9/30/95 Bk 228 Pg 134 10/10/95 Bk 2373 Pg 662 10/2/95 Bk 529 Pg 733 9/29/95 Bk 37 Pg 55 10/2/95 Bk 434 Pg 742 10/2/95 Bk 88 Pg 222 10/2/95 Bk 234 Pg 228 10/2/95 Bk 42 Pg 382 10/17/95 Roll 82 Pg 604 10/3/95 Bk 49 Pg 253 10/4/95 Bk 78 Pg 40 10/5/95 Bk 28 Pg 651 9/29/95 Vol 948 Pg 661 10/2/95 Bk 384 Pg 502 Indum of Management Agreement September~!, 1997 ~te Recorded Recording Information Pennsylvania Crawford 10/14/97 Bk 360 Pennsylvania Mercer 11/4/97 Bk 247 Pennsylvania Venango 10/31/97 Bk 88 West Virgiaia Boone 10/7/97 Bk 28 West Virginia Wyoming 10/7/97 Bk 392 Pg 1012 Pg 1141 Pg 393 Pg 575 Pg 693 Third Amendment to Memorandum of Management Agreement dated effective May 1, 1999 State West Virginia West Virginia West Virginia West Virginia Date County Recorded Recording Information Fayette 6/28/99 Bk 560 Pg 463 Kanawha 6/28/99 Bk 167 Pg 554 Pleasant 6/28/99 Bk 244 Pg 339 Wood 6/28/99 Bk 999 Pg 726 State West,Virginia West Virginia West Virginia West Virginia WestVirginia West Virginia Fourth Amendment to Memorandum of Management Agreement Dated effective July 1, 1999 County Recording Information Barbour Bk 135 Pg 160 Doddridge Bk 185 Pg 628 Harrison Bk 1313 Pg 987 Lewis Bk 557 Page 671 Taylor Bk 51 Pg 23 Upshur Bk 39 Pg 530 State Wyoming Wyoming Wyoming State Wyoming Wyoming State Wyoming II. WESTERN PACKAGE PROPERTIES Memorandum of Management Agreement dated effective November 1, 1995 Date County Recorded Lincoln 1/8/96 Sweetwater 1/9/96 Uinta 12/27/95 Recording Information BK 378 PR / PG 624 BK 870/PG 1754 BK 657 /'PG 696 Second Amendment to Memorandum of Management Agreement dated effective June 1, 1999 Date County Recorded Lincoln 9/10/99 Sweetwater 9/10/99 Recording Information BK435 / PG 576 BK 917/PG 991 Third Amendment to Memorandum of Management Agreement dated effective November 1, 2000 County Sweetwater Recording Infom-mtion BK936 / PG 1411 2O5 III. TIGHT SANDS PACKAGE PROPERTIES Memorandum of Management Agreement dated effective August 1, 1996 State Date County Recorde4 Recording Information Pennsylvania Pennsylvania Pennsylvania Texas Virginia West Virgtma West Virgmm West Virg~ma West Virgmm West Virgmm West Virg~ma West Virg~ma West Virgmm West Virgmm West Virginia West Virgtma Wyoming Wyoming Wyoming Wyoming Clearfield 8/19/96 Bk 1781 Pg 565 Clinton 8/19/96 Bk 827 Pg 254 Indiana 9/3/96 Bk 1092 Pg 563 Hemphill 8/19/96 Bk 413 Pg 136 Buchanan 8/I 9/96 Bk 452 Pg 343 Barbour 8/19/96 Bk 131 Pg 149 Boone 8/29/96 Bk 213 Pg 322 Doddridge 8/19/96 Bk 178 Pg 275 Harrison 8/19/96 Bk 1279 Pg 883 Kanawha 9/16/96 Bk 242 Pg 556 Lewis 8/19/96 Bk 537 Pg 240 Marion 8/19/96 Bk 934 Pg 1068 McDowell 8/19/96 Bk 439 Pg 643 Raleigh 8/20/96 Bk 98 Pg 305 Wirt 8/19/96 Bk 201 Pg 327 Wyoming 8/19/96 Bk 387 Pg 959 Sweetwater 9/16/96 Bk 878 Pg 1717 Uinta 8/19/96 Bk 669 Pg 215 Sublette 8/20/96 Bk 103 Pg 618 O&G Lincoln 8/19/96 Bk 387 Pg 164 PR State Second Amendment to Memorandum of Management Agreement dated effective May 1, 1999 Date County Recorded Recording Information Pennsylvania Pennsylvania Pennsylvania West Virginia West Virginia West Virginia Clearfield 6/28/99 Instrument (# 199910712) Clinton 6/28/99 Bk 1035 Pg 203 Indiana 6/28/99 Bk 1156 Pg 113 Barbour 6/28/99 Bk 135 Pg 91 Raleigh 6/29/99 Bk 5000 Pg 1181 Wirt 6/28/99 Bk 207 Pg 827 State West Virginia West Virginia West Virginia West Virginia Third Amendment to Memorandum of Management Agreement Dated effective July 1, 1999 County Recording Information Doddridge Bk 185 Pg 568 Harrison Bk 1313 Pg 1119 Lewis Bk 557 Pg 644 Marion Bk 957 Pg 99