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Exhibit 10.4

SEVENTH AMENDMENT TO COMBINED CREDIT AGREEMENTS

        THIS SEVENTH AMENDMENT TO COMBINED CREDIT AGREEMENTS, dated as of
October 15, 2003 and effective as of October 30, 2003 (the "Amendment"), among
Forest Oil Corporation, a New York corporation (the "U.S. Borrower"), Canadian
Forest Oil Ltd. and each other subsidiary of Canadian Forest which becomes a
"Borrower" (as defined in the Canadian Credit Agreement) under the Canadian
Credit Agreement (the "Canadian Borrowers"), each of the lenders that is a
signatory to, or which becomes a signatory to, the U.S. Credit Agreement
(together with its successors and assigns, the "U.S. Lenders"), each of the
lenders that is a signatory to, or which becomes a signatory to, the Canadian
Credit Agreement (together with its successors and assigns, the "Canadian
Lenders", and together with the U.S. Lenders, the "Combined Lenders"), Bank of
America, N.A., as U.S. Syndication Agent, Citibank, N.A., as U.S. Documentation
Agent, J.P. Morgan Bank Canada, successor to The Chase Manhattan Bank of Canada,
as Canadian Administrative Agent, Bank of Montreal, as Canadian Syndication
Agent, The Toronto-Dominion Bank, as Canadian Documentation Agent, and JPMorgan
Chase Bank, successor to The Chase Manhattan Bank, as Global Administrative
Agent (in such capacity, together with its successors in such capacity, the
"Global Administrative Agent").

W I T N E S S E T H:

        1.     The U.S. Borrower, Global Administrative Agent, the U.S.
Syndication Agent, the U.S. Documentation Agent, and the U.S. Lenders are
parties to that certain Credit Agreement dated as of October 10, 2000, as
previously amended (as previously amended, the "U.S. Credit Agreement"),
pursuant to which the U.S. Lenders agreed to make loans to and extensions of
credit on behalf of the U.S. Borrower.

        2.     The Canadian Borrowers, Global Administrative Agent, the Canadian
Administrative Agent, the Canadian Syndication Agent, the Canadian Documentation
Agent, and the Canadian Lenders are parties to that certain Credit Agreement
dated as of October 10, 2000, as previously amended (as previously amended, the
"Canadian Credit Agreement", and together with the U.S. Credit Agreement, the
"Combined Credit Agreements"), pursuant to which the Canadian Lenders agreed to
make loans to and extensions of credit on behalf of the Canadian Borrowers.

        3.     The parties to the Combined Credit Agreements intend to amend the
Combined Credit Agreements as follows:

        NOW, THEREFORE, in consideration of the premises and the mutual
covenants herein contained, the parties hereto agree as follows:

I.Amendments to U.S. Credit Agreement.

        A.    The definition of "Unutilized Commitment" in Section 1.1 of the
U.S. Credit Agreement hereby is amended in its entirety to read as follows:

"        "Unutilized Commitment" means, at the time of determination, the amount
by which (a) the amount of the Allocated U.S. Borrowing Base as then in effect
at such time, provided that if the Applicable Rating Level is Level I or Level
II and availability under this Agreement and the Canadian Credit Agreement is
not governed by the Global Borrowing Base, then the amount of the aggregate
Commitments at such time, exceeds (b) the amount of the aggregate Credit
Exposures of the Lenders at such time."

        B.    Section 2.1 of the U.S. Credit Agreement is hereby amended in its
entirety to read as follows:

"        Commitments. Subject to the terms and conditions set forth herein, each
Lender agrees to make Loans in U.S. Dollars to Borrower from time to time during
the Availability Period in an aggregate principal amount that will not result in
(a) the Credit Exposure of any Lender exceeding

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the Commitment of such Lender, or (b) the aggregate amount of the Credit
Exposures of all Lenders exceeding (i) in the event the Applicable Rating Level
is Level III or the Borrower has elected to have availability under this
Agreement and the Canadian Credit Agreement governed by the Global Borrowing
Base, the lesser of (A) the aggregate amount of the Allocated U.S. Borrowing
Base then in effect and (B) the aggregate amount of the Commitments of the
Lenders or (ii) otherwise, the aggregate amount of the Commitments of the
Lenders. Within the foregoing limits and subject to the terms and conditions set
forth herein, Borrower may borrow, prepay and reborrow Loans."

        C.    The last sentence of Section 2.4(b) of the U.S. Credit Agreement
is hereby amended in its entirety to read as follows:

"A Letter of Credit shall be issued, amended, renewed or extended only if (and
upon issuance, amendment, renewal or extension of each Letter of Credit Borrower
shall be deemed to represent and warrant that), after giving effect to such
issuance, amendment, renewal or extension (i) the LC Exposure shall not exceed
U.S.$25,000,000 and (ii) the total Credit Exposures shall not exceed the lesser
of (x) the aggregate Commitments of the Lenders or (y) if the Applicable Rating
Level is Level III or availability under this Agreement and the Canadian Credit
Agreement is governed by the Global Borrowing Base, the Allocated U.S. Borrowing
Base then in effect."

        D.    The introductory paragraph of Section 2.7 of the U.S. Credit
Agreement is hereby amended to read as follows:

"This Section shall be applicable at any time when the Applicable Rating Level
of Borrower is Level III or the Borrower has elected to have availability under
this Agreement and the Canadian Credit Agreement governed by the Global
Borrowing Base; provided, however, that this Section shall apply at all times
prior to the delivery of the Reserve Report dated effective as of January 1,
2001, and provided further that, if at any time the Applicable Rating Level of
Borrower declines to Level III, the Technical Lenders and the Borrowing Base
Required Lenders shall promptly but in any event not less than five (5) Business
Days thereafter initiate the procedure set forth herein to redetermine the
Global Borrowing Base. Notwithstanding that its Applicable Rating Level is Level
I or Level II, the Borrower shall have the right to have availability under this
Agreement and the Canadian Credit Agreement governed by a Global Borrowing Base
for the period from October 30, 2003 until November 1, 2004 and for each
12-month period thereafter, by providing written notice of its election to the
Global Administrative Agent on or before the September 15th preceding the
relevant period. Any such election shall be irrevocable for such period, but may
be changed for subsequent periods by the delivery of an additional written
notice to the Global Administrative Agent on or before the September 15th
preceding such period."

        E.    Section 2.7(b) of the U.S. Credit Agreement is hereby amended to
read as follows:

"        (b) Annual Scheduled Determinations of the Global Borrowing Base.
Promptly after January 1 of each calendar year (commencing January 1, 2001), and
in any event prior to March 15 of each calendar year, Borrower shall furnish to
the Technical Lenders and the Combined Lenders a report in form and substance
reasonably satisfactory to the Technical Lenders, prepared by Borrower's
internal petroleum engineers and audited by an Approved Engineer, which report
shall evaluate as of January 1 of such calendar year the Proven Reserves
attributable to the Oil and Gas Properties which Borrower wishes to include in
the Global Borrowing Base and a projection of the rate of production and net
operating income with respect thereto, as of such date, together with additional
data concerning pricing, hedging, operating costs and quantities of production,
and other information and engineering and geological data as any Technical
Lender or any Combined Lender may reasonably request. Within 30 days after
receipt of such report and information, the Technical Lenders shall make an
initial determination of the amount of credit to be made available to Borrower
hereunder as of May 1st of such calendar year, and upon such initial
determination shall

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promptly notify the Global Administrative Agent who on behalf of the Technical
Lenders shall promptly notify the Combined Lenders in writing of the Technical
Lenders' initial determination of the Global Borrowing Base. The Technical
Lenders shall make such determination in accordance with each such Technical
Lender's customary practices and standards for oil and gas loans and in the
exercise of their respective sole discretion. If all of the Technical Lenders
cannot agree on the appropriate amount for the redetermined Global Borrowing
Base then the amount shall be the highest amount on which all of the Technical
Lenders can agree, it being understood that a Technical Lender is deemed to have
agreed to any and all amounts that are lower than the amount actually determined
by such Technical Lender to be the appropriate value of the Global Borrowing
Base. Within 15 days following their receipt of the proposed amount for the
redetermined Global Borrowing Base, the Borrowing Base Required Lenders shall
approve or reject the Technical Lenders' initial determination of the Global
Borrowing Base by written notice to the Global Administrative Agent; provided,
however that failure by any Combined Lender to reject in writing the Technical
Lenders' determination of the Global Borrowing Base within said 15 day period
shall be deemed an acceptance of such determination by such Combined Lender. If
the Borrowing Base Required Lenders fail to approve any such determination of
the Global Borrowing Base made by the Technical Lenders hereunder, then the
Global Administrative Agent shall poll the Combined Lenders and the Global
Borrowing Base shall be set at the highest amount on which the Borrowing Base
Required Lenders can agree, it being understood that a Combined Lender is deemed
to have agreed to any and all amounts that are lower than the amount actually
determined by such Combined Lender to be the appropriate value of the Global
Borrowing Base. Upon approval or deemed approval by the Borrowing Base Required
Lenders of the Global Borrowing Base, the Global Administrative Agent upon
notice thereof shall, by written notice to Borrower, the Agents and the Combined
Lenders, designate the new Global Borrowing Base available to Borrower and the
Canadian Borrowers as of May 1st of such calendar year (each such notice in this
Section 2.7(b) or 2.7(c) below, herein a "Global Borrowing Base Designation
Notice"). Upon receipt of such Global Borrowing Base Designation Notice,
Borrower shall designate the Allocated U.S. Borrowing Base and the Allocated
Canadian Borrowing Base to the Global Administrative Agent in accordance with
Section 2.7(d)."

        F.     Section 2.7(c) of the U.S. Credit Agreement is hereby amended to
read as follows:

"        (c) Semi-Annual Scheduled Determination of the Global Borrowing Base.
In addition, promptly after July 1 of each calendar year (commencing July 1,
2001 which will result in the first scheduled Global Borrowing Base
redetermination), and in any event prior to September 15th of each calendar
year, Borrower will make available for review by the Technical Lenders a report
in form and substance reasonably satisfactory to the Technical Lenders, prepared
by Borrower's internal petroleum engineers, which report shall evaluate as of
July 1 of such calendar year the Proven Reserves attributable to the Oil and Gas
Properties which Borrower wishes to include in the Global Borrowing Base and a
projection of the rate of production and net operating income with respect
thereto, as of such date, together with additional data concerning pricing,
hedging, operating costs, and quantities of production, and other information
and engineering and geological data as any Technical Lender or any Combined
Lender may reasonably request. The Technical Lenders and the Borrowing Base
Required Lenders shall approve and designate the new Global Borrowing Base as of
November 1st of such calendar year in accordance with the procedures and
standards described in Section 2.7(b)and Borrower shall provide a Global
Borrowing Base Allocation Notice to the Global Administrative Agent in
accordance with Section 2.7(d) ."

        G.    The second line of Section 2.7(d)(ii) of the U.S. Credit Agreement
hereby is amended by inserting the phrase "in U.S. Dollars" following the phrase
"the Equivalent Amount".

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        H.    Section 2.7(g) of the U.S. Credit Agreement is hereby amended to
read as follows:

"        (c) During any period when either the Applicable Rating Level is Level
III or availability under this Agreement and the Canadian Credit Agreement is
governed by the Global Borrowing Base, in the event that Borrower or any of its
Restricted Subsidiaries (i) issues any Senior Notes, then each of the Global
Borrowing Base and the Allocated U.S. Borrowing Base shall be reduced
immediately by an amount equal to 30% of the stated principal amount of such
issued Senior Notes and (ii) incurs any Subordinated Debt, then each of the
Global Borrowing Base and the Allocated U.S. Borrowing Base shall be reduced
immediately by an amount equal to 50% of the stated principal amount of such
Subordinated Debt."

        I.     Each of Sections 2.7(h) and (i) of the U.S. Credit Agreement are
amended by deleting the phrase "During any period when the Applicable Rating
Level is Level III" and inserting in lieu thereof the phrase "During any period
when either the Applicable Rating Level is Level III or availability under this
Agreement and the Canadian Credit Agreement is governed by the Global Borrowing
Base".

        J.     Section 2.10(b)(i) of the U.S. Credit Agreement is amended by
deleting the phrase "during any period when the Applicable Rating Level is Level
III" and inserting in lieu thereof the phrase "during any period when either the
Applicable Rating Level is Level III or availability under this Agreement and
the Canadian Credit Agreement is governed by the Global Borrowing Base".

        K.    Section 5.1(e) of the U.S. Credit Agreement is hereby amended in
its entirety to read as follows:

"        (e) At any time when the Applicable Rating Level of the Borrower is
Level II and availability under this Agreement and the Canadian Credit Agreement
is not governed by the Global Borrowing Base, by March 15th of each year, a
Reserve Report prepared by Borrower and audited by an Approved Engineer (the
"Independent Reserve Report"), and by September 15th of each year, a Reserve
Report prepared by Borrower, utilizing a mathematical average of the customary
discount rates and price decks of the Technical Lenders and in form and
substance acceptable to the Global Administrative Agent (the "Internal Reserve
Report");".

        L.    Section 5.1(f) of the U.S. Agreement is hereby amended in its
entirety to read as follows:

"        (f) At any time when the Applicable Rating Level of the Borrower is
Level II and availability under this Agreement and the Canadian Credit Agreement
is not governed by the Global Borrowing Base, concurrently with the delivery of
any Reserve Report, a completed certificate calculating and certifying the
Present Value of the Properties of the Borrower and its Restricted Subsidiaries
as of the effective date of such Reserve Report, executed on behalf of Borrower
by an Authorized Officer, provided, that such Present Value calculation shall
not be considered effective for the purposes of this Agreement if the Technical
Lenders determine, acting reasonably, that either (i) the calculations used to
determine such Present Value as so certified and calculated by the Borrower were
not based on the mathematical average of the customary discount rates and price
decks of the Technical Lenders or (ii) the calculations used to determine such
Present Value are incorrect or mistaken, it being understood that in the event
that the Technical Lenders believe that the circumstances described in either
clause (i) or clause (ii) above has occurred, the Global Administrative Agent
shall promptly notify the Borrower, and the Borrower and Technical Lenders will
cooperate to determine the appropriate amount for such Present Value;".

        M.   Section 6.3 of the U.S. Credit Agreement is amended by deleting the
phrase "If the Applicable Rating Level of Borrower is Level II" and inserting in
lieu thereof the phrase "If the Applicable Rating Level of the Borrower is Level
II and availability under this Agreement and the Canadian Credit Agreement is
not governed by the Global Borrowing Base".

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        N.    Sections 7.5(f) and (g) of the U.S. Credit Agreement are amended
to read as follows:

"        (f) the sale, transfer or other disposition in one or more transactions
of Property (other than Equity Interests in Restricted Subsidiaries) not
constituting (i) if availability under this Agreement and the Canadian Credit
Agreement is governed by the Global Borrowing Base, Borrowing Base Properties,
(ii) if the Applicable Rating Level is Level II and availability under this
Agreement and the Canadian Credit Agreement is not governed by the Global
Borrowing Base, Mortgaged Properties and Oil and Gas Properties given value in
the calculation of Present Value or (iii) if the Applicable Rating Level is
Level I and availability under this Agreement and the Canadian Credit Agreement
is not governed by the Global Borrowing Base, Mortgaged Properties; provided
that the aggregate value of such Property so sold, transferred or disposed of
during any twelve (12) month period does not exceed (A) if the Applicable Rating
Level is Level I or Level II, U.S.$75,000,000 or (B) if the Applicable Rating
Level is Level III, U.S.$50,000,000; and

        (g) the sale, transfer or other disposition in one or more transactions
of Property constituting either Equity Interests in Restricted Subsidiaries or
Properties which are (i) if availability under this Agreement and the Canadian
Credit Agreement is governed by the Global Borrowing Base, Borrowing Base
Properties, (ii) if the Applicable Rating Level is Level II and availability
under this Agreement and the Canadian Credit Agreement is not governed by the
Global Borrowing Base, Mortgaged Properties and Oil and Gas Properties given
value in the calculation of Present Value or (iii) if the Applicable Rating
Level is Level I and availability under this Agreement and the Canadian Credit
Agreement is not governed by the Global Borrowing Base, Mortgaged Properties,
provided that, during any time when availability under this Agreement and the
Canadian Credit Agreement is governed by the Global Borrowing Base, if the
aggregate fair market value of such Property so sold, transferred or disposed of
during the period since the most recent redetermination of the Global Borrowing
Base shall exceed 10% of the amount of the then current Borrowing Base, then the
Borrowing Base shall be reduced by an amount equal to value assigned such
Property in the most recently prepared Reserve Reports (or if such no such value
was assigned, by an amount to be agreed upon by Borrower and the Technical
Lenders), and provided further that, during any time when the Applicable Rating
Level is Level II and availability under this Agreement and the Canadian Credit
Agreement is not governed by the Global Borrowing Base, if the aggregate fair
market value of such Property so sold, transferred or disposed of during the
period since the most recent redetermination of the Present Value shall exceed
10% of the amount of the then current Present Value, then the Present Value
shall be reduced by an amount equal to value assigned such Property in the most
recent calculation of the Present Value (or if such no such value was assigned,
by an amount to be agreed upon by Borrower and the Technical Lenders)."

        O.    Section 10.12 of the U.S. Credit Agreement is amended by inserting
the following at the end thereof:

"Furthermore, this obligation of confidence shall not apply to, and any Lender,
any Issuing Bank or any Agent (and each Person employed or retained by such
Lender, Issuing Bank or Agent who are or are expected to become engaged in
evaluating, approving, structuring or administering the Loans) may disclose to
any Person, without limitation of any kind, the "tax treatment" and "tax
structure" (in each case, within the meaning of Treasury Regulation
Section 1.6011-4) of the transactions contemplated by this Agreement and the
other Loan Documents, and all materials of any kind (including opinions or other
tax analyses) related thereto that are or have been provided to such Lender,
Issuing Bank or Agent relating to such tax treatment or tax structure; provided
that with respect to any document or similar item that in either case contains
confidential information concerning such tax treatment or tax structure of the
transactions contemplated by this Agreement and the other the Loan Documents as
well as other information. The prior sentence

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shall only apply to such portions of the documents or similar item that relate
to such tax treatment or tax structure."

II.Amendments to Canadian Credit Agreement.

        A.    The definition of "Unutilized Commitment" in Section 1.1 of the
Canadian Credit Agreement hereby is amended in its entirety to read as follows:

"        "Unutilized Commitment" means, at the time of determination, the
Equivalent Amount in U.S. Dollars of the amount by which (a) the amount of the
Allocated Canadian Borrowing Base as then in effect at such time, provided that
if the Applicable Rating Level is Level I or Level II and availability under
this Agreement and the U.S. Credit Agreement is not governed by the Global
Borrowing Base, then the amount of the aggregate Commitments at such time,
exceeds (b) the amount of the aggregate Credit Exposures of the Lenders at such
time."

        B.    Section 2.1 of the Canadian Credit Agreement is hereby amended in
its entirety to read as follows:

"        Commitments. Subject to the terms and conditions set forth herein, each
Lender agrees to make Loans (including BA Loans made in accordance with
Section 2.22) in Canadian Dollars or U.S. Dollars to Borrower and each Accepting
Lender agrees to accept Bankers' Acceptances presented to it by Borrower
pursuant to Section 2.22 in each case from time to time during the Availability
Period in an aggregate principal amount that will not result in (a) the Credit
Exposure of any Lender exceeding the Commitment of such Lender, or (b) the
aggregate amount of the Credit Exposures of all Lenders exceeding (i) in the
event the Applicable Rating Level is Level III or the Borrower has elected to
have availability under this Agreement and the U.S. Credit Agreement governed by
the Global Borrowing Base, the lesser of (A) the aggregate amount of the
Allocated Canadian Borrowing Base then in effect and (B) the aggregate amount of
the Commitments of the Lenders or (ii) in the event the Applicable Rating Level
is Level I or II, the aggregate amount of the Commitments of the Lenders. Within
the foregoing limits and subject to the terms and conditions set forth herein,
Borrower may repay (but not prepay) Bankers' Acceptances and may borrow, prepay
and reborrow Loans."

        C.    The last sentence of Section 2.4(b) of the Canadian Credit
Agreement is hereby amended in its entirety to read as follows:

"A Letter of Credit shall be issued, amended, renewed or extended only if (and
upon issuance, amendment, renewal or extension of each Letter of Credit Borrower
shall be deemed to represent and warrant that), after giving effect to such
issuance, amendment, renewal or extension (i) the LC Exposure shall not exceed
U.S.$25,000,000 and (ii) the total Credit Exposures shall not exceed the lesser
of (x) the aggregate Commitments of the Lenders or (y) if the Applicable Rating
Level is Level III or availability under this Agreement and the U.S. Credit
Agreement is governed by the Global Borrowing Base, the Allocated Canadian
Borrowing Base then in effect."

        D.    Section 2.10(b)(i) of the Canadian Credit Agreement is amended by
deleting the phrase "during any period when the Applicable Rating Level is Level
III" and inserting in lieu thereof the phrase "during any period when either the
Applicable Rating Level is Level III or availability under this Agreement and
the U.S. Credit Agreement is governed by the Global Borrowing Base".

        E.    The first sentence of the introductory paragraph of Section 2.22
of the Canadian Credit Agreement is hereby amended to read as follows:

"Subject to the terms and conditions of this Agreement, the Commitments may be
utilized, upon the request of Borrower, in addition to the Loans provided for by
Section 2.2 and the issuance of Letters of Credit provided for by Section 2.4,
for the acceptance by the Lenders of Bankers' Acceptances issued by Borrower,
provided that in no event shall (i) the aggregate amount of all

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Bankers' Acceptance Liabilities together with the Equivalent Amount in U.S.
Dollars of the aggregate principal amount of the Loans and the aggregate amount
of all LC Exposure exceed (A) in the event the Applicable Rating Level is Level
III or availability under this Agreement and the U.S. Credit Agreement is
governed by the Global Borrowing Base, the lesser of (1) the aggregate amount of
the Allocated Canadian Borrowing Base then in effect and (2) the aggregate
amount of the Commitments of the Lenders or (B) otherwise, the aggregate amount
of the Commitments of the Lenders, and (ii) any Bankers' Acceptances have
maturities of less than 30 days or more than 180 days from the Acceptance Date
(and shall in no event mature on a date after the Maturity Date)."

        F.     Section 10.12 of the Canadian Credit Agreement is amended by
inserting the following at the end thereof:

"Furthermore, this obligation of confidence shall not apply to, and any Lender,
any Issuing Bank or any Agent (and each Person employed or retained by such
Lender, Issuing Bank or Agent who are or are expected to become engaged in
evaluating, approving, structuring or administering the Loans) may disclose to
any Person, without limitation of any kind, the "tax treatment" and "tax
structure" (in each case, within the meaning of Treasury Regulation
Section 1.6011-4) of the transactions contemplated by this Agreement and the
other Loan Documents, and all materials of any kind (including opinions or other
tax analyses) related thereto that are or have been provided to such Lender,
Issuing Bank or Agent relating to such tax treatment or tax structure; provided
that with respect to any document or similar item that in either case contains
confidential information concerning such tax treatment or tax structure of the
transactions contemplated by this Agreement and the other the Loan Documents as
well as other information. The prior sentence shall only apply to such portions
of the documents or similar item that relate to such tax treatment or tax
structure."

        III.  Election of Global Borrowing Base; Determination of Global
Borrowing Base. By the execution of this Amendment, each of the Technical
Lenders and the Borrowing Base Required Lenders acknowledges the election of the
U.S. Borrower and the Canadian Borrowers to have availability under the Combined
Credit Agreements governed by the Global Borrowing Base from the date hereof
until November 1, 2004. Subject to Sections 2.7(e), (g), (h) and (i) of the U.S.
Credit Agreement, by execution of this Amendment, each of the Technical Lenders,
the Borrowing Base Required Lenders and the U.S. Borrower and the Canadian
Borrowers agrees during the period from the date hereof to the date of the first
redetermination of the Global Borrowing Base, scheduled to become effective on
or about May 1, 2004, pursuant to the provisions of Section 2.7 of the U.S.
Credit Agreement to the following:

        A.    In the event that the Acquisition is not consummated, then (i) the
Global Borrowing Base shall equal U.S.$425,000,000, (ii) the Allocated U.S.
Borrowing Base shall equal U.S.$375,000,000, and (iii) the Allocated Canadian
Borrowing Base shall equal U.S.$50,000,000; and

        B.    In the event that the Acquisition is consummated in the form
originally presented to the Global Administrative Agent, then (i) the Global
Borrowing Base shall equal U.S.$525,000,000, (ii) the Allocated U.S. Borrowing
Base shall equal U.S.$475,000,000, and (iii) the Allocated Canadian Borrowing
Base shall equal U.S.$50,000,000.

For purposes of this Section III, "Acquisition" means the purchase by the U.S.
Borrower of certain Oil and Gas Properties pursuant to that certain Purchase and
Sale Agreement, dated as of September 20, 2003, by and between Union Oil Company
of California, Pure Resources, L.P., Pure Partners, L.P., and PRS Offshore,
L.P., as sellers, and U.S. Borrower, as buyer.

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        IV.    Effectiveness. This Amendment shall become effective as of
October 30, 2003 when the Global Administrative Agent shall have received:

        A.    Counterparts hereof duly executed by the U.S. Borrower, the
Canadian Borrowers, the Global Administrative Agent and at least the Borrowing
Base Required Lenders (or, in the case of any party as to which an executed
counterpart shall not have been received, telegraphic, telex, or other written
confirmation from such party of execution of a counterpart hereof by such
party); and

        B.    (i) An amendment fee for the account of each Combined Lender
executing this Amendment and returning its signature page to the Global
Administrative Agent on or before 4:00 p.m., Houston time, October 22, 2003 of
10 basis points multiplied by the Combined Commitments of such Combined Lender
and (ii) such other fees otherwise agreed in writing by the U.S. Borrower.

        V.     Reaffirmation of Representations and Warranties. To induce the
Combined Lenders and the Global Administrative Agent to enter into this
Amendment, the U.S. Borrower and the Canadian Borrowers hereby reaffirm, as of
the date hereof, the following:

        (i)    The representations and warranties of each Loan Party (as such
term is defined in the U.S. Credit Agreement and the Canadian Credit Agreement,
collectively, the "Combined Loan Parties") set forth in the Combined Loan
Documents to which it is a party are true and correct on and as of the date
hereof (or, if stated to have been made expressly as of an earlier date, were
true and correct in all material respects as of such date).

        (ii)   Each of the U.S. Borrower and its Restricted Subsidiaries is duly
organized, validly existing and in good standing under the laws of the
jurisdiction of its organization, has all requisite power and authority to carry
on its business as now conducted and, except where the failure to do so,
individually or in the aggregate, could not reasonably be expected to result in
a Material Adverse Effect, is qualified to do business in, and is in good
standing in, every jurisdiction where such qualification is required.

        (iii)  The execution, delivery and performance by U.S. Borrower of this
Amendment and each other Combined Loan Document executed or to be executed by
it, and the execution, delivery and performance by each other Combined Loan
Party of this Amendment and each other Combined Loan Document executed or to be
executed by it, are within U.S. Borrower's and each such Combined Loan Party's
corporate, limited liability company and/or partnership powers, and have been
duly authorized by all necessary corporate, limited liability company and/or
partnership action, and if required, stockholder, member and/or partner action.
This Amendment and each other Combined Loan Document executed or to be executed
by it has been duly executed and delivered by U.S. Borrower and constitutes, and
this Amendment and each other Combined Loan Document executed or to be executed
by any Combined Loan Party, when executed and delivered by such Combined Loan
Party, will constitute, a legal, valid and binding obligation of U.S. Borrower
or such Combined Loan Party (as the case may be), enforceable in accordance with
their respective terms, subject to applicable bankruptcy, insolvency,
reorganization, moratorium or other laws affecting creditors' rights generally
and subject to general principles of equity, regardless of whether considered in
a proceeding in equity or at law.

        (iv)  The execution, delivery and performance by the U.S. Borrower of
this Amendment and each other Combined Loan Document executed or to be executed
by it, and the execution, delivery and performance by each other Combined Loan
Party of this Amendment and each Loan Document executed or to be executed by
such Combined Loan Party, (a) do not require any Governmental Approval or third
party approvals, except such as have been obtained or made and are in full force
and effect and except filings necessary to perfect Liens created under the
Combined Loan Documents, (b) will not violate any applicable Governmental
Rule or the Organic Documents of U.S. Borrower or any such Combined Loan Party
or any order of any Governmental

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Authority, (c) will not violate or result in a default under any indenture,
agreement or other instrument binding upon U.S. Borrower or any such Combined
Loan Party or its assets, or give rise to a right thereunder to require any
payment to be made by U.S. Borrower or any such Combined Loan Party, and
(d) will not result in the creation or imposition of any Lien on any asset of
U.S. Borrower or any such Combined Loan Party except Liens created under the
Combined Loan Documents.

        (v)   No Default under the Combined Loan Documents has occurred and is
continuing and the U.S. Borrower is in compliance with the financial covenants
set forth in Article VI of the U.S. Credit Agreement.

        (vi)  No event or events have occurred which individually or in the
aggregate could reasonably be expected to have a Material Adverse Effect.

        VI.   Defined Terms. Except as amended hereby, terms used herein when
defined in the U.S. Credit Agreement shall have the same meanings herein unless
the context otherwise requires.

        VII. Reaffirmation of Combined Credit Agreements. This Amendment shall
be deemed to be an amendment to the Combined Credit Agreements, and the Combined
Credit Agreements, as amended hereby, are hereby ratified, approved and
confirmed in each and every respect. All references to the Combined Credit
Agreements herein and in any other document, instrument, agreement or writing
shall hereafter be deemed to refer to the Combined Credit Agreements as amended
hereby.

        VIII.   Governing Law. THIS AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK.

        IX.   Severability of Provisions. Any provision of this Amendment held
to be invalid, illegal or unenforceable in any jurisdiction shall, as to such
jurisdiction, be ineffective to the extent of such invalidity, illegality or
unenforceability without affecting the validity, legality and enforceability of
the remaining provisions hereof; and the invalidity of a particular provision in
a particular jurisdiction shall not invalidate such provision in any other
jurisdiction.

        X.    Counterparts. This Amendment may be executed in counterparts (and
by different parties hereto on different counterparts), each of which shall
constitute an original, but all of which when taken together shall constitute a
single contract. Delivery of an executed counterpart of a signature page of this
Amendment by telecopy shall be effective as delivery of a manually executed
counterpart of this Amendment.

        XI.   Headings. Article and section headings used herein are for
convenience of reference only, are not part of this Amendment and shall not
affect the construction of, or be taken into consideration in interpreting, this
Amendment.

        XII. Successors and Assigns. This Amendment shall be binding upon and
inure to the benefit of the parties hereto and their respective successors and
assigns.

        XIII.   No Oral Agreements. THIS AMENDMENT, THE COMBINED CREDIT
AGREEMENTS, AS AMENDED HEREBY, AND THE OTHER COMBINED LOAN DOCUMENTS REPRESENT
THE FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE
OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES.

        THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

[SIGNATURES BEGIN ON FOLLOWING PAGE]

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        IN WITNESS WHEREOF, the U.S. Borrower, the Canadian Borrowers, the
Combined undersigned Lenders, the Global Administrative Agent, and the other
"agents" under the Combined Credit Agreements have executed this Amendment as of
the date first above written.

 
 
U.S. BORROWER
 
 
FOREST OIL CORPORATION
 
 
By:
 
/s/  CAROLINE M. MCCLURG      

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    Name:   Caroline M. McClurg     Title:   Treasurer
 
 
CANADIAN BORROWERS
 
 
CANADIAN FOREST OIL LTD.
 
 
By:
 
/s/  JAMES R. GOOD      

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    Name:   James R. Good     Title:   President
 
 
PRODUCERS MARKETING LTD.
 
 
By:
 
/s/  JAMES R. GOOD      

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    Name:   James R. Good     Title:   President
 
 
AGENTS AND COMBINED LENDERS
 
 
JPMORGAN CHASE BANK, successor to The Chase Manhattan Bank, as Global
Administrative Agent and as a U.S. Lender
 
 
By:
 
/s/  RUSSELL A. JOHNSON      

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    Name:   Russell A. Johnson     Title:   Vice President
 
 
BANK OF AMERICA, N.A., as U.S. Syndication Agent and as a U.S. Lender
 
 
By:
 
/s/  RICHARD L. STEIN      

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    Name:   Richard L. Stein     Title:   Principal          

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CITIBANK, N.A., as U.S. Documentation Agent and as a U.S. Lender
 
 
By:
 
/s/  AMY K. PINCU      

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    Name:   Amy K. Pincu     Title:   Attorney-in-Fact
 
 
BANK OF MONTREAL, as a U.S. Lender
 
 
By:
 
/s/  JAMES V. DUCOTE      

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    Name:   James V. Ducote     Title:   Director
 
 
TORONTO DOMINION (TEXAS), INC., as a U.S. Lender
 
 
By:
 
/s/  DEBBIE A. GREENE      

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    Name:   Debbie A. Greene     Title:   Vice President
 
 
ABN AMRO BANK N.V., as a U.S. Lender
 
 
By:
 
/s/  JOHN REED      

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    Name:   John Reed     Title:   Vice President
 
 
By:
 
/s/  QUANDRA L. KELLEY      

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    Name:   Quandra L. Kelley     Title:   Assistant Vice President
 
 
BANK OF SCOTLAND, as a U.S. Lender
 
 
By:
 
/s/  SUSAN E. HAY      

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    Name:   Susan E. Hay     Title:   Director, Business Services
 
 
BANK ONE, NA (Main Office Chicago), as a U.S. Lender
 
 
By:
 
/s/  J. SCOTT FOWLER      

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    Name:   J. Scott Fowler     Title:   Director, Capital Markets          

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MERITA BANK PLC, as a U.S. Lender
 
 
By:
 

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    Name:         Title:    
 
 
By:
 

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    Name:         Title:    
 
 
FORTIS CAPITAL CORP., as a U.S. Lender
 
 
By:
 
/s/  DARRELL W. NOLLEY      

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    Name:   Darrell W. Nolley     Title:   Managing Director
 
 
By:
 
/s/  DAVID MONTGOMERY      

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    Name:   David Montgomery     Title:   Senior Vice President
 
 
U.S. BANK NATIONAL ASSOCIATION, as a U.S. Lender
 
 
By:
 
/s/  MATTHEW J. PURCHASE      

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    Name:   Matthew J. Purchase     Title:   Vice President
 
 
BNP PARIBAS, formerly Paribas, as a U.S. Lender
 
 
By:
 
/s/  DAVID DODD      

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    Name:   David Dodd     Title:   Director
 
 
By:
 
/s/  BETSY JOCHER      

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    Name:   Betsy Jocher     Title:   Vice President          

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CREDIT AGRICOLE INDOSUEZ, as a U.S. Lender
 
 
By:
 

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    Name:         Title:    
 
 
By:
 

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    Name:         Title:    
 
 
CREDIT SUISSE FIRST BOSTON, as a U.S. Lender
 
 
By:
 
/s/  S. WILLIAM FOX      

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    Name:   S. William Fox     Title:   Director
 
 
By:
 
/s/  DAVID J. DODD      

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    Name:   David J. Dodd     Title:   Associate
 
 
GENERAL ELECTRIC CAPITAL CORPORATION as a U.S. Lender
 
 
By:
 

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    Name:         Title:    
 
 
MIZUHO CORPORATE BANK, formerly The Fuji Bank, Limited, as a U.S. Lender
 
 
MIZUHO CORPORATE BANK, formerly The Industrial Bank of Japan, Limited, New York
Branch, as a U.S. Lender
 
 
By:
 

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    Name:         Title:    
 
 
THE BANK OF NEW YORK, as a U.S. Lender
 
 
By:
 
/s/  PETER W. KELLER      

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    Name:   Peter W. Keller     Title:   Vice President          

S-4

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HIBERNIA NATIONAL BANK, as a U.S. Lender
 
 
By:
 
/s/  DARIA MAHONEY      

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    Name:   Daria Mahoney     Title:   Vice President
 
 
UFJ BANK, formerly known as The Sanwa Bank, Limited, as a U.S. Lender
 
 
By:
 
/s/  L.J. PERENYI      

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    Name:   L.J. Perenyi     Title:   Vice President
 
 
SOCIETE GENERALE, SOUTHWEST AGENCY, as a U.S. Lender
 
 
By:
 
/s/  SPENCER SMITH      

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    Name:   Spencer Smith     Title:   Vice President
 
 
ING CAPITAL LLC, as a U.S. Lender
 
 
By:
 

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    Name:         Title:    
 
 
COMERICA BANK, successor by merger with Comerica Bank-Texas, as a U.S. Lender
 
 
By:
 
/s/  THOMAS G. RAJAN      

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    Name:   Thomas G. Rajan     Title:   Vice President—Texas Division
 
 
J.P. MORGAN BANK CANADA, successor to The Chase Manhattan Bank of Canada, as
Canadian Administrative Agent
 
 
By:
 
/s/  DREW MCDONALD      

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    Name:   Drew McDonald     Title:   Vice President          

S-5

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JPMORGAN CHASE BANK, TORONTO BRANCH, as a Canadian Lender
 
 
By:
 
/s/  DREW MCDONALD      

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    Name:   Drew McDonald     Title:   Vice President
 
 
BANK OF MONTREAL, as Canadian Syndication Agent and as a Canadian Lender
 
 
By:
 
/s/  JAMES V. DUCOTE      

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    Name:   James V. Ducote     Title:   Director
 
 
THE TORONTO-DOMINION BANK, as Canadian Documentation Agent and as a Canadian
Lender
 
 
By:
 
/s/  DEBBI BRITO      

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    Name:   Debbi Brito     Title:   Asst. Mgr. Corporate Credit
Administration & Compliance
 
 
BANK OF AMERICA, N.A., Canada Branch, as a Canadian Lender
 
 
By:
 
/s/  MEDINA SALES DE ANDRADE      

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    Name:   Medina Sales de Andrade     Title:   Assistant Vice President
 
 
WASHINGTON MUTUAL BANK, FA, as a U.S. Lender
 
 
By:
 
/s/  DAVID W. PHILLIPS      

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    Name:   David W. Phillips     Title:   Vice President

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SEVENTH AMENDMENT TO COMBINED CREDIT AGREEMENTS