Exhibit 10.1

FIRST AMENDMENT, WAIVER, AND CONSENT TO

AMENDED AND RESTATED CREDIT AGREEMENT

 

THIS FIRST AMENDMENT, WAIVER, AND CONSENT TO AMENDED AND RESTATED CREDIT
AGREEMENT (the “First Amendment”) is dated as of July 15, 2005 and is made by
and among PENN VIRGINIA OPERATING CO., LLC, a Delaware limited liability company
(the “Borrower”), the GUARANTORS (individually a “Guarantor” and collectively,
the “Guarantors”), the FINANCIAL INSTITUTIONS PARTY HERETO (individually a
“Lender” and collectively, the “Lenders”), and PNC BANK, NATIONAL ASSOCIATION,
as agent for the Lenders (the “Agent”).

 

RECITALS:

 

WHEREAS, the Borrower, the Guarantors, the Lenders, and the Agent are parties to
that certain Amended and Restated Credit Agreement, dated as of March 3, 2005
(as amended, the “Credit Agreement”) (unless otherwise defined herein,
capitalized terms used herein shall have the meanings given to them in the
Credit Agreement);

 

WHEREAS, Section 11.18 of the Credit Agreement provides in part that the Loan
Parties must deliver a Guarantor Joinder and related documents for a Subsidiary
that becomes a new Guarantor under the terms of the Credit Agreement within five
(5) Business Days after the date of such Subsidiary’s organization for a
Subsidiary that is a limited liability company;

 

WHEREAS, PVR Gas Pipeline, LLC (the “New Guarantor”) was organized on March 18,
2005 and such Subsidiary did not join as a Guarantor under the terms of the
Credit Agreement within the required five (5) Business Days and the Borrower and
the other Loan Parties have requested that the Lenders waive the five (5)
Business Day requirement, subject to the terms and conditions hereof;

 

WHEREAS, the parties hereto desire to amend the Credit Agreement as hereinafter
provided.

 

NOW, THEREFORE, in consideration of the foregoing and intending to be legally
bound, and incorporating the above-defined terms herein, the parties hereto
agree as follows:

 

1. Recitals. The foregoing recitals are true and correct and incorporated herein
by reference.

 

2. Amendment to Credit Agreement.

 

(a) Definitions.

 

(i) The following new definition is hereby inserted in Section 1.1 in
alphabetical order:

 

“First Amendment Effective Date shall mean July 15, 2005.”

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(b) Loans, Acquisitions and Investments. Section 2.10.1 [Increasing Lenders and
New Lenders.] of the Credit Agreement is hereby amended and restated as follows:

 

“2.10.1 Increasing Lenders and New Lenders.

 

After the First Amendment Effective Date, the Borrower shall have the right to
request that (1) the current Lenders (the “Existing Lenders”) increase their
Revolving Credit Commitments (an Existing Lender which elects to increase its
Revolving Credit Commitment shall be referred to as an “Increasing Lender”) or
(2) one or more new banks (each a “New Lender”) join this Agreement and provide
a Revolving Credit Commitment hereunder, provided that any increase pursuant to
this Section 2.10.1 shall be in a minimum aggregate amount of $50,000,000 and
shall be subject to the following terms and conditions:

 

(i) No Obligation to Increase. No Existing Lender shall be obligated to increase
its Revolving Credit Commitment and any increase in the Revolving Credit
Commitment by any Existing Lender shall be in the sole discretion of such
Existing Lender.

 

(ii) Defaults. There shall exist no Events of Default or Potential Default on
the effective date of any such increase (the “Revolving Credit Commitment
Increase Date”) after giving effect to any such increase.

 

(iii) Aggregate Revolving Credit Commitments. After giving effect to any such
increase, the total Revolving Credit Commitments shall not exceed $450,000,000.

 

(iv) Resolutions; Opinion. The Loan Parties shall deliver to the Agent on or
before a Revolving Credit Commitment Increase Date the following documents in a
form reasonably acceptable to the Agent: (1) certifications of their corporate
secretaries with attached resolutions certifying that the increase in the
Revolving Credit Commitment has been approved by such Loan Parties, and (2) an
opinion of counsel addressed to the Agent and the Lenders addressing the
authorization and execution of the Loan Documents by, and enforceability of the
Loan Documents against, the Loan Parties.

 

(v) Notes. The Borrower shall execute and deliver (1) to each Increasing Lender
a replacement Note (except if such Increasing Lender requests that it not
receive a Note) reflecting the new amount of such Increasing Lender’s Revolving
Credit Commitment after giving effect to the increase (and the prior Note issued
to such Increasing Lender shall be deemed to be terminated) and (2) to each New
Lender a Note (except if such New Lender requests that it not receive a Note)
reflecting the amount of such New Lenders’ Revolving Credit Commitment.

 

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(vi) Approval. The Agent shall have approved of any such increase and the
Increasing Lender or New Lender, as the case may be, that is providing such
increase.

 

(vii) Increasing Lenders. If any portion of such increase in Revolving Credit
Commitments is being provided by one or more Increasing Lenders, then such
Increasing Lenders shall confirm their agreement to increase their Revolving
Credit Commitment pursuant to a revolving credit commitment increase agreement,
acceptable to the Agent, signed by the Increasing Lenders and the Loan Parties
and delivered to the Agent at least five (5) Business Days before the Revolving
Credit Commitment Increase Date.

 

(viii) New Lenders—Joinder. If the Borrower desires that one or more New Lenders
provide all or a portion of such increase in Revolving Credit Commitments, then
each New Lender, the Loan Parties and the Agent shall execute a joinder and
assumption agreement, acceptable to the Agent, pursuant to which the New Lender
shall join and become a party to this Agreement and the other Loan Documents
effective on the Revolving Credit Commitment Increase Date with a Revolving
Credit Commitment in the amount set forth in Schedule I to such joinder and
assumption agreement.”

 

(c) Subsidiaries, Partnerships and Joint Ventures. Section 8.2.9 [Subsidiaries,
Partnerships and Joint Ventures] of the Credit Agreement is hereby amended and
restated as follows:

 

“8.2.9 Subsidiaries, Partnerships and Joint Ventures.

 

Each of the Loan Parties (other than the Parent) shall not, and shall not permit
any of its Subsidiaries to, own or create directly or indirectly any
Subsidiaries other than (i) any Subsidiary which has joined this Agreement as
Guarantor on the Closing Date; (ii) any Subsidiary formed after the Closing Date
which joins this Agreement as a Guarantor pursuant to Section 11.18 [Joinder of
Guarantors]; and (iii) any Immaterial Subsidiary. Each of the Loan Parties
(other than the Parent) shall not become or agree to (1) become a general or
limited partner in any general or limited partnership, except that the Loan
Parties may be general or limited partners in other Loan Parties, (2) become a
member or manager of, or hold a limited liability company interest in, a limited
liability company, except that the Loan Parties may be members or managers of,
or hold limited liability company interests in, other Loan Parties, or (3)
become a joint venturer or hold a joint venture interest in any joint venture.”

 

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(d) Schedules. In order to reflect the increases in the Revolving Credit
Commitments as set forth in Section 3 below, to reflect the changes to the names
of various Guarantors, and to reflect the addition of the New Guarantor,
Schedule 1.1(B) [Commitments of Lenders and Addresses for Notices to Lenders],
Schedule 1.1(P) [Permitted Liens], Schedule 6.1.3 [Subsidiaries], and Schedule
8.2.1 [Permitted Indebtedness] to the Credit Agreement shall be amended and
restated to read as set forth on the Schedules attached to this Amendment
bearing such name and numerical reference.

 

3. Increase of Revolving Credit Commitments.

 

(a) Subject to satisfaction of the conditions set forth in Section 5 below, on
the First Amendment Effective Date, the Borrower, the Agent and the Lenders
hereby increase the Revolving Credit Commitments from $150,000,000 to
$300,000,000 so that after giving effect to such increase, each Lender has the
Revolving Credit Commitment as set forth opposite such Lender’s name on the
amended and restated Schedule 1.1(B) attached to this First Amendment.

 

(b) On the First Amendment Effective Date, the Borrower shall repay all
Revolving Credit Loans outstanding along with any and all accrued interest and
fees on the First Amendment Effective Date, subject to the Borrower’s indemnity
obligations under Section 5.6.2 [Indemnity] of the Credit Agreement provided
that the Borrower may borrow new Revolving Credit Loans with a Borrowing Date on
the First Amendment Effective Date. Each of the Lenders shall participate in any
new Loans made on or after the First Amendment Effective Date in accordance with
their respective Ratable Shares after giving effect to the increase in Revolving
Credit Commitments contemplated by this First Amendment.

 

(c) On the First Amendment Effective Date and after giving effect to the
increase in the Revolving Credit Commitments pursuant hereto, each Lender (a)
will be deemed to have purchased a participation in each then outstanding Letter
of Credit equal to its Ratable Share of each such Letter of Credit and the
participation of each other Lender in each such Letter of Credit shall be
adjusted accordingly; and (b) will acquire, (and will pay to the Agent, for the
account of each Lender, in immediately available funds, an amount equal to) its
Ratable Share of all outstanding Participation Advances.

 

4. Consent and Waiver.

 

Subject to the satisfaction of the conditions set forth in Section 5 of this
First Amendment:

 

(a) the Agent and the Required Lenders hereby consent to the joinder of the New
Guarantor as a Guarantor under the terms of the Credit Agreement, as required
pursuant to clause (ii) of Section 8.2.9 [Subsidiaries, Partnerships and Joint
Ventures] of the Credit Agreement; and

 

(b) the Agent and the Lenders hereby waive the Loan Parties’ compliance with the
requirement set forth in Section 11.18 [Joinder of Guarantors] of the Credit
Agreement that a Guarantor Joinder and related documents for the New Guarantor
shall have been delivered within five (5) Business Days after the date of its
organization. The Lenders do not amend, modify or waive Section 11.18 for any
other purpose, or any future periods, except as expressly provided for herein.

 

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5. Conditions to Effectiveness. This First Amendment shall become effective upon
satisfaction of each of the following conditions being satisfied to the
satisfaction of the Agent (the “First Amendment Effective Date”):

 

(a) Execution and Delivery of First Amendment. The Borrower, the Guarantors, the
Lenders whose Revolving Credit Commitment is increasing, and the Agent shall
have executed those Loan Documents to which it is a party, and all other
documentation necessary for effectiveness of this Amendment shall have been
executed and delivered all to the satisfaction of the Borrower, the Lenders and
the Agent.

 

(b) Notes. The Borrower shall have executed and delivered to each of the Lenders
whose Revolving Credit Commitment is increasing new Revolving Credit Notes,
reflecting the amount of each such Lender’s Revolving Credit Commitments as so
increased.

 

(c) Organization, Authorization and Incumbency. There shall be delivered to the
Agent for the benefit of each Lender a certificate, dated as of the First
Amendment Effective Date and signed by the Secretary or an Assistant Secretary
of the each Loan Party, certifying as appropriate as to:

 

(i) all action taken by such party in connection with this First Amendment and
the other Loan Documents together with resolutions of each Loan Party evidencing
same;

 

(ii) the names of the officer or officers authorized to sign this First
Amendment and the other documents executed and delivered in connection herewith
and the true signatures of such officer or officers and specifying the
Authorized Officers permitted to act on behalf of the Loan Parties for purposes
of the Loan Documents and the true signatures of such officers, on which the
Agent and each Lender may conclusively rely; and

 

(iii) copies of its organizational documents, including its certificate of
incorporation, bylaws, certificate of limited partnership, partnership
agreement, certificate of formation and limited liability company agreement, in
each case as in effect on the First Amendment Effective Date, certified by the
appropriate state official where such documents are filed in a state office
together with certificates from the appropriate state officials as to the
continued existence and good standing of the Borrower in each state where
organized or qualified to do business, provided, however, that the Loan Parties
may, in lieu of delivering copies of the foregoing organizational documents and
good standing certificates, certify that the organizational documents and good
standing certificates previously delivered by the Loan Parties to the Agent
remain in full force and effect and have not been modified, amended, or
rescinded.

 

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(d) Opinion of Counsel. The Borrower shall cause to be delivered to the Agent an
opinion of counsel of the Borrower with respect to this First Amendment in such
form as shall be acceptable to the Agent.

 

(e) Material Adverse Change. Each of the Loan Parties represents and warrants to
the Agent and the Lenders that, by its execution and delivery hereof to the
Agent, after giving effect to this First Amendment, no Material Adverse Change
shall have occurred with respect to the Borrower or any of the Loan Parties
since the Closing Date of the Credit Agreement.

 

(f) Litigation. Each of the Loan Parties represents and warrants to the Agent
and the Lenders that, by its execution and delivery hereof to the Agent, after
giving effect to this First Amendment, there are no actions, suits,
investigations, litigation or governmental proceedings pending or, to the Loans
Parties’ knowledge, threatened against any of the Loan Parties that could
reasonably be expected to result in a Material Adverse Change.

 

(g) Representations and Warranties; No Event of Default. The representations and
warranties set forth in the Credit Agreement and this First Amendment shall be
true and correct on and as of the First Amendment Effective Date with the same
effect as though such representations and warranties had been made on and as of
such date (except representations and warranties which relate solely to an
earlier date or time, which representations and warranties shall be true and
correct on and as of the specific dates or times referred to therein), and no
Potential Default or Event of Default shall exist and be continuing under the
Credit Agreement or under any other Material Contract, as of the First Amendment
Effective Date.

 

(h) Amendment Fee. The Borrower shall have paid to the Agent, for the benefit of
each Lender increasing its Revolving Credit Commitment pursuant to this First
Amendment, an amendment fee in the amount of 5 basis points (0.05%) on the
increase of such Lender’s Revolving Credit Commitment.

 

6. Joinder of New Guarantor. The New Guarantor shall have executed a Guarantor
Joinder in the form as set forth on Exhibit A hereto, and the Agent shall have
received an executed copy thereof along with all related documents, as required
pursuant to the Credit Agreement.

 

7. Amendment Effective Upon the Amendment of the Note Purchase Agreement. The
following provision shall become effective at such time that (i) the definition
of “Consolidated EBITDA” under the Note Purchase Agreement has been amended in a
similar manner as determined by the Agent or (ii) the Borrower has prepaid each
Note in the “Make-Whole Amount” (as defined in the Note Purchase Agreement) and
that all the obligations under the Note Purchase Agreement have been paid in
full and fully satisfied (until such time, the definition of Consolidated EBITDA
under the Credit Agreement shall remain unchanged in its current form).
Furthermore, upon the effectiveness of the following amendment, Exhibit 8.3.4
[Quarterly Compliance Certificate] to the Credit Agreement, shall be revised in
accordance with the amended definition of “Consolidated EBITDA” as set forth
below.

 

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(a) Definitions.

 

(i) The following existing definition in Section 1.1 is hereby amended and
restated to read as follows:

 

“Consolidated EBITDA shall mean, for any period of determination, Consolidated
Net Income for such period, (x) excluding therefrom (A) any non-cash
extraordinary items of gain or loss (including without limitation those items
created by mandated changes in accounting treatment) and (B) any gain or loss of
any other Person accounted for on the equity method, except to the extent of
cash distributions received during the relevant period plus (y) the aggregate
amounts deducted in determining Consolidated Net Income for such period in
respect of (i) Consolidated Interest Expense, (ii) income taxes, (iii) depletion
and depreciation expense, and (iv) amortization expense; provided, however, that
for the purposes of this definition, (1) with respect to a business acquired by
the Loan Parties pursuant to a Permitted Acquisition (including the Cantera
Acquisition), Consolidated EBITDA shall be calculated on a pro forma basis,
using historical numbers, in accordance with GAAP as if the Permitted
Acquisition (including the Cantera Acquisition) had been consummated at the
beginning of such period, (2) with respect to a business or assets disposed of
by the Loan Parties pursuant to Section 8.2.7 hereof, Consolidated EBITDA shall
be calculated as if such disposition had been consummated at the beginning of
such period and (3) to the extent that the computation of Consolidated EBITDA
includes a gain or loss with respect to a Pre-Acquisition Hedging Transaction,
Consolidated EBITDA shall be (a) increased by any non-cash items of loss arising
from Pre-Acquisition Hedging Transactions net of any actual cash payments
related to the items(s) giving rise to the loss and (b) decreased by any
non-cash items of gain arising from Pre-Acquisition Hedging Transactions net of
any actual cash payments related to the items(s) giving rise to the gain.

 

As used in this defined term, “Pre-Acquisition Hedging Transactions” shall mean
Commodity Hedges entered into by one or more of the Loan Parties in anticipation
of a pending acquisition for the purposes of hedging a portion of the
commodities being acquired similar to and including the Commodity Hedges entered
into by the Loan Parties prior to the Cantera Acquisition.”

 

8. Miscellaneous.

 

(a) Representations and Warranties. By its execution and delivery hereof to the
Agent, each of the Loan Parties represents and warrants to the Agent and the
Lenders that (i) such Loan Party has duly authorized, executed and delivered
this First Amendment, and (ii) no “Default” or “Event of Default” (as such terms
are defined in the Note Purchase Agreement) shall have occurred and be
continuing under the Note Purchase Agreement after giving effect to the
amendments set forth in the First Amendment.

 

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(b) Full Force and Effect. All provisions of the Credit Agreement remain in full
force and effect on and after the First Amendment Effective Date and the date
hereof except as expressly amended hereby. The parties do not amend any
provisions of the Credit Agreement except as expressly amended hereby.

 

(c) Counterparts. This First Amendment may be signed in counterparts (by
facsimile transmission or otherwise) but all of which together shall constitute
one and the same instrument

 

(d) Incorporation into Credit Agreement. This First Amendment shall be
incorporated into the Credit Agreement by this reference. All representations,
warranties, Events of Default and covenants set forth herein shall be a part of
the Credit Agreement as if originally contained therein.

 

(e) Governing Law. This First Amendment and the rights and obligations of the
parties hereunder shall be governed by, and construed in accordance with, the
laws of the Commonwealth of Pennsylvania without regard to its conflict of laws
principles.

 

(f) Payment of Fees and Expenses. The Borrower unconditionally agrees to pay and
reimburse the Agent and save the Agent harmless against liability for the
payment of all out-of-pocket costs, expenses and disbursements, including
without limitation, to the Agent for itself the reasonable costs and expenses of
the Agent including, without limitation, the reasonable fees and expenses of
counsel incurred by the Agent in connection with the development, preparation,
execution, administration, interpretation or performance of this Amendment and
all other documents or instruments to be delivered in connection herewith.

 

(g) No Novation. Except as amended hereby, all of the terms and conditions of
the Credit Agreement and the other Loan Documents shall remain in full force and
effect. Borrower, the Guarantors, each Lender, and the Agent acknowledge and
agree that this First Amendment is not intended to constitute, nor does it
constitute, a novation, interruption, suspension of continuity, satisfaction,
discharge or termination of the obligations, loans, liabilities, or indebtedness
under the Credit Agreement or the other Loan Documents.

 

(h) Joinder of Guarantors. Each of the Guarantors hereby joins in this First
Amendment to evidence its consent hereto, and each Guarantor hereby reaffirms
its obligations set forth in the Credit Agreement as hereby amended, and in each
other Loan Document given by it in connection therewith.

 

[SIGNATURE PAGES FOLLOW]

 

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[SIGNATURE PAGE TO PENN VIRGINIA OPERATING CO., LLC

FIRST AMENDMENT, WAIVER, AND CONSENT TO CREDIT AGREEMENT]

 

IN WITNESS WHEREOF, the parties hereto, by their officers thereunto duly
authorized, have executed this First Amendment as of the day and year first
above written.

 

PENN VIRGINIA OPERATING CO., LLC
PENN VIRGINIA RESOURCE PARTNERS, L.P.

   

By:

  Penn Virginia Resource GP, LLC, its sole general partner

CONNECT ENERGY SERVICES, LLC

FIELDCREST RESOURCES LLC

K RAIL LLC

LOADOUT LLC

PVR CHEROKEE GAS PROCESSING, LLC

PVR GAS PIPELINE, LLC

PVR GAS PROCESSING, LLC

PVR GAS RESOURCES, LLC

PVR HAMLIN I, LLC

PVR HAMLIN II, LLC

PVR HAMLIN, LP

   

By:

 

PVR Hamlin I, LLC, its sole general partner

PVR HYDROCARBONS, LLC

PVR LAVERNE GAS PROCESSING, LLC

PVR MIDSTREAM LLC

PVR NATURAL GAS GATHERING, LLC

PVR OKLAHOMA NATURAL GAS GATHERING, LLC

SUNCREST RESOURCES LLC

WISE LLC

 

By:

 

/s/ A. James Dearlove

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  (SEAL) Name:   A. James Dearlove     Title:   Chief Executive Officer    

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[SIGNATURE PAGE TO PENN VIRGINIA OPERATING CO., LLC

FIRST AMENDMENT, WAIVER, AND CONSENT TO CREDIT AGREEMENT]

 

LENDERS

BNP PARIBAS, individually and as Managing Agent

By:

 

/s/ Russell Otts

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Name:

 

Russell Otts

Title:

 

Vice President

By:

 

/s/ Betsy Jocher

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Name:

 

Betsy Jocher

Title:

 

Vice President

BRANCH BANKING & TRUST COMPANY

By:

 

/s/ Hugh Ferguson

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Name:

 

Hugh Ferguson

Title:

 

Vice President

COMERICA BANK

By:

 

/s/ Huma Vadgama

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Name:

 

Huma Vadgama

Title:

 

Vice President

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[SIGNATURE PAGE TO PENN VIRGINIA OPERATING CO., LLC

FIRST AMENDMENT, WAIVER, AND CONSENT TO CREDIT AGREEMENT]

 

BANK OF AMERICA, N.A. successor by merger
to FLEET NATIONAL BANK, individually and as
Documentation Agent By:  

/s/ Michael J. Brochetti

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Name:   Michael J. Brochetti Title:   Director FORTIS CAPITAL CORP. By:  

/s/ Darrell Holley

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Name:   Darrell Holley Title:   Managing Director By:  

/s/ Casey Lowary

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Name:   Casey Lowary Title:   Senior Vice President JPMORGAN CHASE BANK, N.A.
By:  

/s/ Kenneth J. Fatur

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Name:   Kenneth J. Fatur Title:   Vice President PNC BANK, NATIONAL ASSOCIATION,
individually and as Agent By:  

/s/ Holly Kay

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Name:   Holly Kay Title:   Bank Officer

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[SIGNATURE PAGE TO PENN VIRGINIA OPERATING CO., LLC

FIRST AMENDMENT, WAIVER, AND CONSENT TO CREDIT AGREEMENT]

 

ROYAL BANK OF CANADA By:  

/s/ Jason York

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Name:   Jason York Title:   Attorney-In-Fact SOCIÉTÉ GÉNÉRALE, individually and
as Managing Agent By:  

/s/ Stephen W. Warfel

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Name:   Stephen W. Warfel Title:   Vice President AMEGY BANK NATIONAL
ASSOCIATION (formerly Southwest Bank of Texas, N.A.) By:  

/s/ W. Bryan Chapman

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Name:   W. Bryan Chapman Title:   Senior Vice President, Energy Lending

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[SIGNATURE PAGE TO PENN VIRGINIA OPERATING CO., LLC

FIRST AMENDMENT, WAIVER, AND CONSENT TO CREDIT AGREEMENT]

 

SUNTRUST BANK, individually and as

Documentation Agent

By:  

/s/ Joseph M. McCreery

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Name:   Joseph M. McCreery Title:   Vice President

WACHOVIA BANK, NATIONAL

ASSOCIATION, individually and as

Documentation Agent

By:

 

/s/ Jonathan R. Richardson

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Name:

  Jonathan R. Richardson

Title:

  Vice President