Document:

Purchase Agreement dated as of April 21, 2010

 Exhibit 10.59 

 
  
  

 
  

MITEL NETWORKS CORPORATION 

(incorporated under the Canada Business Corporations Act) 

10,526,316 Common Shares 

PURCHASE AGREEMENT 
  

Dated: April 21, 2010 
  

 
  

 

 MITEL NETWORKS CORPORATION 

(incorporated under the Canada Business Corporations Act) 

10,526,316 Common Shares 

PURCHASE AGREEMENT 

April 21, 2010 
  

			
	Merrill Lynch, Pierce, Fenner & Smith
		 	Incorporated

 J.P. Morgan Securities Inc. 

UBS Securities LLC 
 Piper Jaffray & Co.

 Genuity Capital Markets 
 JMP
Securities LLC 
  

	c/o	Merrill Lynch, Pierce, Fenner & Smith 

Incorporated 
 One Bryant Park

 New York, New York 10036 
 Ladies
and Gentlemen: 
 Mitel Networks Corporation, a corporation incorporated under the laws of Canada (the
“Company”), and the persons listed in Schedule B hereto (the “Selling Shareholders”), confirm their respective agreements with Merrill Lynch, Pierce, Fenner & Smith Incorporated (“Merrill
Lynch”) and each of the other Underwriters named in Schedule A hereto (collectively, the “Underwriters,” which term shall also include any underwriter substituted as hereinafter provided in Section 10 hereof), for whom
Merrill Lynch, J.P. Morgan Securities Inc. and UBS Securities LLC are acting as representatives (in such capacity, the “Representatives”), with respect to (i) the sale by the Company and the purchase by the Underwriters,
acting severally and not jointly, of the respective numbers of common shares of the Company (“Common Shares”) set forth in Schedules A and B hereto and (ii) the grant by the Selling Shareholders to the Underwriters, acting
severally and not jointly, of the option described in Section 2(b) hereof to purchase all or any part of 1,578,947 additional Common Shares to cover overallotments, if any. The aforesaid 10,526,316 Common Shares (the “Initial
Securities”) to be purchased by the Underwriters and all or any part of the 1,578,947 Common Shares subject to the option described in Section 2(b) hereof (the “Option Securities”) are herein called, collectively, the
“Securities.” 
 The Company and the Selling Shareholders understand that the Underwriters propose to make a
public offering of the Securities in the United States, and each of the provinces and territories of Canada (the “Qualifying Jurisdictions”), either directly or through their respective U.S. or Canadian broker-dealer affiliates, as
soon as the Representatives deem advisable after this Agreement has been executed and delivered. 

 The Company, the Selling Shareholders and the Underwriters agree that up to 500,000 Initial
Securities to be purchased by the Underwriters (the “Reserved Securities”) shall be reserved for sale to certain persons designated by the Company (the “Invitees”), as part of the distribution of the Securities by
the Underwriters, subject to the terms of this Agreement, the applicable rules, regulations and interpretations of the Financial Industry Regulatory Authority, Inc. (“FINRA”) and all other applicable laws, rules and regulations. The
Company solely determined, without any direct or indirect participation by the Underwriters, the Invitees who will purchase Reserved Securities (including the amount to be purchased by such persons) sold by the Underwriters. To the extent that such
Reserved Securities are not orally confirmed for purchase by Invitees by 8:00 A.M. (New York City time) on the first business day after the date of this Agreement, such Reserved Securities may be offered to the public as part of the public offering
contemplated hereby. 
 The Company has filed with the United States Securities and Exchange Commission (the
“Commission”) a registration statement on Form F-1 (No. 333-163930), including the related preliminary prospectus or prospectuses, covering the registration of the sale of the Securities under the Securities Act of 1933, as
amended (the “1933 Act”). Promptly after execution and delivery of this Agreement, the Company will prepare and file a prospectus in accordance with the provisions of Rule 430A (“Rule 430A”) of the rules and
regulations of the Commission under the 1933 Act (the “1933 Act Regulations”) and Rule 424(b) (“Rule 424(b)”) of the 1933 Act Regulations. The information included in such prospectus that was omitted from such
registration statement at the time it became effective but that is deemed to be part of such registration statement at the time it became effective pursuant to Rule 430A(b) is herein called the “Rule 430A Information.” Such
registration statement, including the amendments thereto, the exhibits thereto and any schedules thereto, at the time it became effective, and including the Rule 430A Information, is herein called the “Registration Statement.” Any
registration statement filed pursuant to Rule 462(b) of the 1933 Act Regulations is herein called the “Rule 462(b) Registration Statement” and, after such filing, the term “Registration Statement” shall include the Rule
462(b) Registration Statement. Each prospectus used in the United States prior to the effectiveness of the Registration Statement, and each prospectus used in the United States that omitted the Rule 430A Information that was used after such
effectiveness and prior to the execution and delivery of this Agreement, is herein called a “U.S. Preliminary Prospectus.” The final U.S. prospectus, in the form first furnished to the Underwriters for use in connection with the
offering of the Securities, is herein called the “U.S. Prospectus.” For purposes of this Agreement, all references to the Registration Statement, any U.S. Preliminary Prospectus, the U.S. Prospectus or any amendment or supplement to
any of the foregoing shall be deemed to include the copy filed with the Commission pursuant to its Electronic Data Gathering, Analysis and Retrieval system (“EDGAR”).  

The Company has also prepared and filed with the Ontario Securities Commission (the “Principal Regulator”) and with the
securities regulatory authorities in each of the other Qualifying Jurisdictions (together with the Principal Regulator, the “Qualifying Authorities”) one or more preliminary PREP prospectuses relating to the Securities (in the
English and French languages, as applicable, each a “Preliminary PREP Prospectus”) pursuant to the passport system procedures provided for under Mulitlateral Instrument 11-102—Passport System and National Policy 11-202
– Process for Prospectus Reviews in Multiple Jurisdictions (together, the “Passport System”) and National Instrument 44-103 – Post-Receipt Pricing (collectively with the Passport System, the “PREP
Procedures”). The Principal Regulator has issued a preliminary Passport System decision document for each Preliminary PREP Prospectus. 

In addition, the Company (A) has prepared and filed with the Qualifying Authorities a final PREP prospectus relating to the
Securities (in the English and French languages, as applicable, the “Final PREP Prospectus”) which omits the PREP Information (as hereinafter defined) in accordance with the PREP Procedures, and (B) will, promptly after the
execution and delivery of this Agreement, prepare and file with the Qualifying Authorities, in accordance with the PREP Procedures, a supplemented PREP prospectus setting forth the PREP Information (in the English and French languages, as
applicable, the “Supplemented PREP Prospectus”). The Principal Regulator has issued a final decision document for the Final PREP Prospectus in accordance with the Passport System. The information included in the Supplemented PREP
Prospectus that is omitted from the Final PREP Prospectus and which is deemed under the PREP Procedures to be incorporated by reference in the Final PREP Prospectus as of the date of the Supplemented PREP Prospectus is referred to herein as the
“PREP Information”. 
 Each Preliminary PREP Prospectus is herein called a “Canadian Preliminary
Prospectus”. The Final PREP Prospectus for which a final Passport System decision document has been received from the Principal Regulator on behalf of itself and the other Qualifying Authorities, including the PREP Information incorporated
by reference therein, is herein referred to as the “Canadian Prospectus”, except that, if, after the execution of this Agreement, a Supplemented PREP Prospectus containing the PREP Information is filed with the Qualifying
Authorities, the term “Canadian Prospectus” shall refer to such Supplemented PREP Prospectus. As used herein, “Canadian Securities Laws” means, collectively, the applicable securities laws of each of the Qualifying
Jurisdictions and the respective regulations and rules made under those securities laws together with all applicable policy statements, blanket orders and rulings of the Qualifying Authorities. For purposes of this Agreement, all references to any
Canadian Preliminary Prospectus, the Canadian Prospectus or any amendment or supplement to any of the foregoing shall be deemed to include the copy filed with the Qualifying Authorities pursuant to the System for Electronic Document Analysis and
Retrieval (“SEDAR”). 
  

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 The Company has also prepared and filed, in accordance with Section 12 of the
Securities Exchange Act of 1934, as amended, and the rules and regulations thereunder (collectively, the “Exchange Act”), a registration statement on Form 8-A (File No. 001-34699) to register, under Section 12(b) of the
Exchange Act, the Common Shares (the “Form 8-A”). 
 As used herein, “Preliminary
Prospectuses” shall mean, collectively, the U.S. Preliminary Prospectus and the Canadian Preliminary Prospectus, and “Prospectuses” shall mean, collectively, the U.S. Prospectus and the Canadian Prospectus. In addition, as
used in this Agreement: 
 “Applicable Time” means 7:30 A.M., New York City time, on
April 22, 2010 or such other time as agreed by the Company and Merrill Lynch. 
 “General
Disclosure Package” means any Issuer General Use Free Writing Prospectuses issued at or prior to the Applicable Time, the prospectus that is included in the Registration Statement as of the Applicable Time and the information included on
Schedule C hereto, all considered together. 
 “Issuer Free Writing Prospectus” means any
“issuer free writing prospectus,” as defined in Rule 433 of the 1933 Act Regulations (“Rule 433”), including without limitation any “free writing prospectus” (as defined in Rule 405 of the 1933 Act Regulations
(“Rule 405”)) relating to the Securities that is (i) required to be filed with the Commission by the Company, (ii) a “road show that is a written communication” within the meaning of Rule 433(d)(8)(i), whether or
not required to be filed with the Commission, or (iii) exempt from filing with the Commission pursuant to Rule 433(d)(5)(i) because it contains a description of the Securities or of the offering that does not reflect the final terms, in each
case in the form filed or required to be filed with the Commission or, if not required to be filed, in the form retained in the Company’s records pursuant to Rule 433(g). 

“Issuer General Use Free Writing Prospectus” means any Issuer Free Writing Prospectus that is intended
for general distribution to prospective investors as evidenced by its being specified in Schedule D hereto. 

“Issuer Limited Use Free Writing Prospectus” means any Issuer Free Writing Prospectus that is not an
Issuer General Use Free Writing Prospectus. 
 SECTION 1. Representations and Warranties. 

(a) Representations and Warranties by the Company. The Company represents and warrants to each Underwriter as of the date hereof,
as of the Applicable Time, as of the Closing Time (as defined below) and as of any Date of Delivery (as defined below), and agrees with each Underwriter, as follows: 

(i) Registration Statement, U.S. Preliminary Prospectus and U.S. Prospectus. The Company meets the general
eligibility requirements for use of Form F-1 under the 1933 Act. Each of the Registration Statement and any amendment thereto has become effective under the 1933 Act. No stop order suspending the effectiveness of the Registration Statement or any
post-effective amendment thereto has been issued under the 1933 Act, no order preventing or suspending the use of any U.S. Preliminary Prospectus or the U.S. Prospectus has been issued and no proceedings for any of those purposes have been
instituted or are pending or, to the Company’s knowledge, contemplated. The Form 8-A has become effective under the Exchange Act. The Company has complied with each request (if any) from the Commission for additional information. 

Each of the Registration Statement and any post-effective amendment thereto, at the time it became effective, complied in
all material respects with the requirements of the 1933 Act and the 1933 Act Regulations. Each U.S. Preliminary Prospectus (including the prospectus filed as part of the Registration Statement as originally filed or as part of any amendment or
supplement thereto), at the time it was filed, complied, and the U.S. Prospectus, as of its date, will comply, in all material respects with the 1933 Act and the 1933 Act Regulations. Each U.S. Preliminary Prospectus delivered to the Underwriters
for use in connection with this offering and the U.S. Prospectus was or will be identical to the electronically transmitted copies thereof filed with the Commission pursuant to EDGAR, except to the extent permitted by Regulation S-T. 

(ii) Canadian Preliminary Prospectus and Canadian Prospectus. The Company is eligible to use the PREP Procedures.
A Passport System decision document has been obtained from the Principal Regulator on behalf of itself and the other Qualifying Authorities in respect of the Final PREP Prospectus and no order suspending the distribution of the Securities has been
issued by any of the Qualifying Authorities and no proceedings for those purposes have been instituted or are pending or, to the Company’s knowledge, contemplated. 
  

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 Each Canadian Preliminary Prospectus, at the time it was filed with the
Qualifying Authorities, complied, and the Canadian Prospectus, as of its date, will comply, in all material respects with Canadian Securities Laws. Each Canadian Preliminary Prospectus delivered to the Underwriters for use in connection with this
offering and the Canadian Prospectus was or will be identical to the electronically transmitted copies thereof filed with the Qualifying Authorities pursuant to SEDAR. 

(iii) Accurate Disclosure. Neither the Registration Statement nor any amendment thereto, at its effective time, at
the Closing Time or at any Date of Delivery, contained, contains or will contain an untrue statement of a material fact or omitted, omits or will omit to state a material fact required to be stated therein or necessary to make the statements therein
not misleading. As of the Applicable Time, neither (A) the General Disclosure Package, (B) any prospectus wrapper prepared in connection with the Reserved Securities, when considered together with the General Disclosure Package, nor
(C) any individual Issuer Limited Use Free Writing Prospectus, when considered together with the General Disclosure Package, included, includes or will include an untrue statement of a material fact or omitted, omits or will omit to state a
material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading. Neither (A) the U.S. Prospectus, (B) any prospectus wrapper prepared in connection with the
Reserved Securities, when considered together with the U.S. Prospectus, nor (C) any amendment or supplement to any of the foregoing, as of its issue date, at the time of any filing with the Commission pursuant to Rule 424(b), at the Closing
Date or at any Date of Delivery, included, includes or will include an untrue statement of a material fact or omitted, omits or will omit to state a material fact necessary in order to make the statements therein, in the light of the circumstances
under which they were made, not misleading. Neither (A) the Canadian Prospectus, (B) any prospectus wrapper prepared in connection with the Reserved Securities, when considered together with the Canadian Prospectus, nor any amendment or
supplement to any of the foregoing, as of its respective date, at the time of any filing with the Principal Regulator, at the Closing Date or at any Date of Delivery, included, includes or will include an untrue statement of a material fact or
omitted, omits or will omit to state a material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, and (A) the Canadian Prospectus, (B) any prospectus
wrapper prepared in connection with the Reserved Securities, when considered together with the Canadian Prospectus, and (C) any amendment or supplement to any of the foregoing, as of its respective date, at the time of any filing with the
Principal Regulator, at the Closing Date or at any Date of Delivery, (x) was, is and will be true and correct in all material respects, (y) contained, contains and will contain no misrepresentation (as defined under Canadian Securities
Laws), and (z) constituted, constitutes and will constitute full, true and plain disclosure of all material facts relating to the Company and the Securities. 

The representations and warranties in this subsection shall not apply to statements in or omissions from the Registration
Statement (or any amendment thereto), the General Disclosure Package or the Prospectuses (or any amendment or supplement thereto) made in reliance upon and in conformity with written information furnished to the Company by any Underwriter through
Merrill Lynch expressly for use therein. For purposes of this Agreement, the only information so furnished shall be (i) the information in the Preliminary Prospectuses and the Prospectuses in the first paragraph under the heading
“Underwriting—Commissions and Discounts,” (ii) the information in the Preliminary Prospectuses and the Prospectuses in the second, third, fourth and fifth paragraphs under the heading “Underwriting—Price Stabilization,
Short Positions and Penalty Bids”, (iii) the information in the Preliminary Prospectuses and the Prospectuses under the heading “Underwriting—Electronic Offer, Sale and Distribution of Common Shares,” and (iv) the
information in the Preliminary Prospectuses and the Prospectuses in the fourth paragraph under the heading “Underwriting—Listing” (collectively, the “Underwriter Information”). 

(iv) Issuer Free Writing Prospectuses. No Issuer Free Writing Prospectus conflicts or will conflict with the
information contained in the Registration Statement or the U.S. Prospectus, and any preliminary or other prospectus deemed to be a part thereof that has not been superseded or modified. 

(v) Company Not Ineligible Issuer. At the time of filing the Registration Statement and any post-effective
amendment thereto, at the earliest time thereafter that the Company or another offering participant made a bona fide offer (within the meaning of Rule 164(h)(2) of the 1933 Act Regulations) of the Securities and at the date hereof, the
Company was not and is not an “ineligible issuer,” as defined in Rule 405, without taking account of any determination by the Commission pursuant to Rule 405 that it is not necessary that the Company be considered an ineligible issuer.

 (vi) Independent Accountants. Deloitte & Touche LLP, who certified the Company’s
financial statements and supporting schedules included in the Registration Statement and the Prospectuses, are independent public accountants as required by the 1933 Act, the 1933 Act Regulations and the Public Accounting Oversight Board, and are
independent with respect to the Company within the meaning of the Rules of Professional Conduct of Ontario and Canadian Securities Laws. Ernst & Young LLP, who certified the financial statements and supporting schedules of Inter-Tel
(Delaware), Incorporated included in the Registration Statement and the Prospectuses, are independent public accountants as required by the 1933 Act, the 1933 Act Regulations and the Public Accounting Oversight Board, and are independent with
respect to the Company within the meaning of the Rules of Professional Conduct of Ontario and Canadian Securities Laws. 
  

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 (vii) Financial Statements; Non-GAAP Financial Measures. The
financial statements included in the Registration Statement, the General Disclosure Package and the Prospectuses, together with the related schedules and notes, present fairly the financial position of the Company and its consolidated subsidiaries
at the dates indicated and the statement of operations, shareholders’ equity and cash flows of the Company and its consolidated subsidiaries for the periods specified; said financial statements have been prepared in conformity with U.S.
generally accepted accounting principles (“GAAP”) applied on a consistent basis throughout the periods involved. The supporting schedules, if any, present fairly in accordance with GAAP the information required to be stated therein.
The selected financial data and the summary financial information included in the Registration Statement, the General Disclosure Package and the Prospectuses present fairly the information shown therein and have been compiled on a basis consistent
with that of the audited financial statements included therein. Except as included therein, no historical or pro forma financial statements or supporting schedules are required to be included or incorporated by reference in the Registration
Statement, the General Disclosure Package or the Prospectuses under the 1933 Act, the 1933 Act Regulations or Canadian Securities Laws. All disclosures contained in the Registration Statement, the General Disclosure Package or the Prospectuses
regarding “non-GAAP financial measures” (as such term is defined by the rules and regulations of the Commission) comply with Regulation G of the 1934 Act, Item 10 of Regulation S-K of the 1933 Act and Canadian Securities Laws, to the
extent applicable. 
 (viii) No Material Adverse Change in Business. Except as otherwise stated therein,
since the respective dates as of which information is given in the Registration Statement, the General Disclosure Package or the Prospectuses, (A) there has been no material adverse change in the condition, financial or otherwise, or in the
earnings, operations, assets, liabilities, share capital, business affairs or business prospects of the Company and its subsidiaries considered as one enterprise, whether or not arising in the ordinary course of business (a “Material Adverse
Effect”), (B) there have been no transactions entered into by the Company or any of its subsidiaries, other than those in the ordinary course of business, which are material with respect to the Company and its subsidiaries considered
as one enterprise, and (C) there has been no dividend or distribution of any kind declared, paid or made by the Company on any class of its share capital. 

(ix) Good Standing of the Company. The Company has been duly incorporated and is validly existing as a corporation
in good standing under the laws of Canada and has the corporate power and authority to own, lease and operate its properties and to conduct its business as described in the General Disclosure Package and the Prospectuses and to enter into and
perform its obligations under this Agreement; and the Company is duly qualified as a foreign corporation to transact business and is in good standing in each other jurisdiction in which such qualification is required, whether by reason of the
ownership or leasing of property or the conduct of business, except where the failure so to qualify or to be in good standing would not result in a Material Adverse Effect. 

(x) Good Standing of Subsidiaries. Each “significant subsidiary” of the Company (as such term is defined
in Rule 1-02 of Regulation S-X) (each, a “Subsidiary” and, collectively, the “Subsidiaries”) has been duly organized and is validly existing in good standing under the laws of the jurisdiction of its incorporation
or organization, has the corporate or similar power and authority to own, lease and operate its properties and to conduct its business as described in the General Disclosure Package and the Prospectuses and is duly qualified to transact business and
is in good standing in each jurisdiction in which such qualification is required, whether by reason of the ownership or leasing of property or the conduct of business, except where the failure to so qualify or to be in good standing would not
reasonably be expected to result in a Material Adverse Effect. Except as otherwise disclosed in the General Disclosure Package and the Prospectuses, all of the issued and outstanding capital stock of each Subsidiary has been duly authorized and
validly issued, is fully paid and non-assessable and is owned by the Company, directly or through subsidiaries, free and clear of any security interest, mortgage, pledge, lien, encumbrance, claim or equity. None of the outstanding shares of capital
stock of any Subsidiary was issued in violation of the preemptive or similar rights of any securityholder of such Subsidiary. The only subsidiaries of the Company are (A) the subsidiaries listed on Exhibit 21 to the Registration Statement and
(B) certain other subsidiaries which, considered in the aggregate as a single subsidiary, do not constitute a “significant subsidiary” as defined in Rule 1-02 of Regulation S-X. Schedule F hereto sets forth a complete and accurate
list of each “significant subsidiary” of the Company (as defined in Rule 1-02 of Regulation S-X). 
  

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 (xi) Capitalization. The authorized, issued and outstanding share
capital of the Company is as set forth in the General Disclosure Package and the Prospectuses in the column entitled “Actual” under the caption “Capitalization” (except for subsequent issuances, if any, pursuant to this
Agreement, pursuant to reservations, agreements or employee benefit plans referred to in the General Disclosure Package and the Prospectuses or pursuant to the exercise of convertible securities or options referred to in the General Disclosure
Package and the Prospectuses). The outstanding shares in the capital of the Company, including any Securities to be purchased by the Underwriters from the Selling Shareholders, have been duly authorized and validly issued and are fully paid and
non-assessable. None of the outstanding shares in the capital of the Company, including any Securities to be purchased by the Underwriters from the Selling Shareholders, were issued in violation of the preemptive or other similar rights of any
securityholder of the Company. Except as disclosed in the General Disclosure Package and the Prospectuses, the Company does not have any options or warrants to purchase, or any other rights to subscribe for or to purchase, any securities or
obligations convertible into, or any contracts or commitments to issue or sell, any of its share capital or any such options, rights, convertible securities or obligations. The description of the Company’s employee benefit plans, and the
options or other rights granted thereunder, as set forth in the General Disclosure Package and the Prospectuses, accurately and fairly presents the information required to be disclosed with respect to such plans, options and rights. Except as
disclosed in the General Disclosure Package and the Final Prospectuses, to the knowledge of the Company, there are no agreements, arrangements or understandings among or between any shareholders of the Company with respect to the Company or the
voting or disposition of the Company’s share capital. 
 (xii) Authorization of Agreement. This
Agreement has been duly authorized, executed and delivered by the Company. 
 (xiii) Authorization and
Description of Securities. The Securities to be purchased by the Underwriters from the Company have been duly authorized for issuance and sale to the Underwriters pursuant to this Agreement and, when issued and delivered by the Company pursuant
to this Agreement against payment of the consideration set forth herein, will be validly issued and fully paid and non-assessable; and the issuance of the Securities is not subject to the preemptive or other similar rights of any securityholder of
the Company. The Common Shares conform in all material respects to all statements relating thereto contained in the General Disclosure Package and the Prospectuses and such description conforms to the rights set forth in the instruments defining the
same. No holder of Securities will be subject to personal liability by reason of being such a holder. 
 (xiv)
Registration Rights. There are no persons with registration rights or other similar rights to have any securities registered for sale pursuant to the Registration Statement or the Canadian Prospectus or otherwise registered for sale by the
Company under the 1933 Act or Canadian Securities Laws, other than those rights that have been disclosed in the General Disclosure Package and the Prospectuses and have been waived. 

(xv) Absence of Violations, Defaults and Conflicts. Neither the Company nor any of its subsidiaries is (A) in
violation of its charter, by-laws or similar organizational document, (B) in default in the performance or observance of any obligation, agreement, covenant or condition contained in any contract, indenture, mortgage, deed of trust, loan or
credit agreement, note, lease or other agreement or instrument to which the Company or any of its subsidiaries is a party or by which it or any of them may be bound or to which any of the properties or assets of the Company or any subsidiary is
subject (collectively, “Agreements and Instruments”), except for such defaults that would not, singly or in the aggregate, reasonably be expected to result in a Material Adverse Effect, or (C) in violation of any law, statute,
rule, regulation, judgment, order, writ or decree of any arbitrator, court, governmental body, regulatory body, administrative agency or other authority, body or agency having jurisdiction over the Company or any of its subsidiaries or any of their
respective properties, assets or operations (each, a “Governmental Entity”), except for such violations that would not, singly or in the aggregate, result in a Material Adverse Effect. The Company’s execution, delivery and
performance of this Agreement and the consummation of the transactions contemplated herein and in the General Disclosure Package and the Prospectuses (including the issuance and sale of the Securities and the use of the proceeds from the sale of the
Securities as described therein under the caption “Use of Proceeds”) and compliance by the Company with its obligations hereunder have been duly authorized by all necessary corporate action and do not and will not, whether with or
without the giving of notice or passage of time or both, conflict with or constitute a breach of, or default or Repayment Event (as defined below) under, or result in the creation or imposition of any lien, charge or encumbrance upon any properties
or assets of the Company or any subsidiary pursuant to, the Agreements and Instruments (except for such conflicts, breaches, defaults or Repayment Events or liens, charges or encumbrances that would not, singly or in the aggregate, reasonably be
expected to result in a Material Adverse Effect), nor will such action result in any violation of (I) the provisions of the charter, by-laws or similar organizational document of the Company or any of its subsidiaries or (II) any law, statute,
rule, regulation, judgment, order, writ or decree of any Governmental Entity (except in the case of clause (II) for such violations that would not reasonably be expected to result in a Material Adverse Effect). As used herein, a “Repayment
Event” means any event or condition which gives the holder of any note, debenture or other evidence of indebtedness (or any person acting on such holder’s behalf) the right to require the repurchase, redemption or repayment of all or a
portion of such indebtedness by the Company or any of its subsidiaries. 
  

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 (xvi) Absence of Labor Dispute. No labor dispute with the employees
of the Company or any of its subsidiaries exists or, to the knowledge of the Company, is imminent, and the Company is not aware of any existing or imminent labor disturbance by the employees of any of its or any subsidiary’s principal
suppliers, manufacturers, customers or contractors, which, in either case, would reasonably be expected to result in a Material Adverse Effect. 

(xvii) Absence of Proceedings. Except as disclosed in the General Disclosure Package and the Prospectuses, there
is no action, suit, proceeding, inquiry or investigation before or brought by any Governmental Entity now pending or, to the knowledge of the Company, threatened, against or affecting the Company or any of its subsidiaries, which would reasonably be
expected to result in a Material Adverse Effect, or which would materially and adversely affect their respective properties or assets or the consummation of the transactions contemplated in this Agreement or the performance by the Company of its
obligations hereunder; and the aggregate of all pending legal or governmental proceedings to which the Company or any such subsidiary is a party or of which any of their respective properties or assets is the subject which are not described in the
General Disclosure Package and the Prospectuses, including ordinary routine litigation incidental to the business, would not reasonably be expected to result in a Material Adverse Effect. 

(xviii) Other Reports and Information; Accuracy of Exhibits. There are no reports or information that, in
accordance with the requirements of the Principal Regulator or the other Qualifying Authorities or Canadian Securities Laws, must be made publicly available in connection with the offering of the Securities that have not been made publicly available
as required; no material change reports or other documents have been filed on a confidential basis with the Principal Regulator or the other Qualifying Authorities that remain confidential as of the date hereof; there are no documents required to be
filed with the Principal Regulator or the other Qualifying Authorities in connection with the filing of any Canadian Preliminary Prospectus or the Canadian Prospectus that have not been filed as required; there are no contracts, documents or other
materials required to be described in the Registration Statement, the General Disclosure Package or the U.S. Prospectus or to be filed as exhibits to the Registration Statement that are not described or filed as required. 

(xix) Absence of Further Requirements. No filing with, or authorization, approval, consent, license, order,
registration, qualification or decree of, any Governmental Entity is necessary or required for the performance by the Company of its obligations hereunder, in connection with the offering, issuance or sale of the Securities hereunder or the
consummation of the transactions contemplated by this Agreement, except (A) such as have been already obtained or as may be required under the 1933 Act, the 1933 Act Regulations, the rules of the NASDAQ Stock Market LLC, state securities laws
or the rules of FINRA or as may be required under Canadian Securities Laws and (B) such as have been obtained under the laws and regulations of jurisdictions outside the United States in which the Reserved Securities are offered. 

(xx) Possession of Licenses and Permits. The Company and its subsidiaries possess such permits, licenses,
approvals, consents and other authorizations (collectively, “Governmental Licenses”) issued by the appropriate Governmental Entities necessary to conduct the business now operated by them, except where the failure to possess such
Governmental Licenses would not, singly or in the aggregate, reasonably be expected to result in a Material Adverse Effect. The Company and its subsidiaries are in compliance with the terms and conditions of all Governmental Licenses, except where
the failure so to comply would not, singly or in the aggregate, reasonably be expected to result in a Material Adverse Effect. All of the Governmental Licenses are valid and in full force and effect, except when the invalidity of such Governmental
Licenses or the failure of such Governmental Licenses to be in full force and effect would not, singly or in the aggregate, reasonably be expected to result in a Material Adverse Effect. Neither the Company nor any of its subsidiaries has received
any notice of proceedings relating to the revocation or modification of any Governmental Licenses which, singly or in the aggregate, if the subject of an unfavorable decision, ruling or finding, would reasonably be expected to result in a Material
Adverse Effect. 
 (xxi) Title to Property. The Company and its subsidiaries have good and marketable
title to all real property owned by the Company and it subsidiaries and good title to all other properties owned by them that are material to the business of the Company and its subsidiaries, in each case, free and clear of all mortgages, pledges,
liens, security interests, claims, restrictions or encumbrances of any kind except such as (A) are described in the General Disclosure Package and the Prospectuses or (B) do not, singly or in the aggregate, materially affect the value of
such property and do not interfere with the use made and proposed to be made of such property by the Company or any of its subsidiaries; except as would not reasonably be expected to result in a Material Adverse Effect, all of the leases and
subleases under which the Company or any of its subsidiaries holds properties described in the General Disclosure Package and the Prospectuses are in full force and effect, and neither the Company nor any such subsidiary has received any notice of
any claim of any sort that has been asserted by anyone adverse to the rights of the Company or any subsidiary under any of the leases or subleases mentioned above, or affecting or questioning the rights of the Company or such subsidiary to the
continued possession of the leased or subleased premises under any such lease or sublease. 
  

 7 

 (xxii) Possession of Intellectual Property. The Company and its
subsidiaries own, possess, license or can acquire on reasonable terms adequate patents, patent rights, licenses, rights to, inventions, copyrights, know-how (including trade secrets and other unpatented and/or unpatentable proprietary or
confidential information, systems or procedures), trademarks, service marks, trade names, domain names or other intellectual property (collectively, “Intellectual Property”) necessary to carry on the business now operated by them,
except where the failure to possess or acquire such Intellectual Property would not, singly or in the aggregate, reasonably be expected to result in a Material Adverse Effect; neither the Company nor any of its subsidiaries has received any notice
or is otherwise aware of any infringement of or conflict with asserted rights of others with respect to any Intellectual Property or of any facts or circumstances which would render any Intellectual Property invalid or inadequate to protect the
interest of the Company or any of its subsidiaries therein, and which infringement or conflict (if the subject of any unfavorable decision, ruling or finding) or invalidity or inadequacy, singly or in the aggregate, would result in a Material
Adverse Effect. 
 (xxiii) Environmental Laws. Except as described in the General Disclosure Package and
the Prospectuses or would not, singly or in the aggregate, reasonably be expected to result in a Material Adverse Effect, (A) neither the Company nor any of its subsidiaries is in violation of any federal, state, provincial, municipal, local or
foreign statute, law, rule, regulation, ordinance, code, policy or rule of common law or any judicial or administrative interpretation thereof, including any judicial or administrative order, consent, decree or judgment, relating to pollution or
protection of human health, the environment (including, without limitation, ambient air, surface water, groundwater, land surface or subsurface strata) or wildlife, including, without limitation, laws and regulations relating to the release or
threatened release of chemicals, pollutants, contaminants, wastes, toxic substances, hazardous substances, petroleum or petroleum products, asbestos-containing materials or mold (collectively, “Hazardous Materials”) or to the
manufacture, processing, distribution, use, treatment, storage, disposal, transport or handling of Hazardous Materials (collectively, “Environmental Laws”), (B) the Company and its subsidiaries have all permits, authorizations
and approvals required under any applicable Environmental Laws and are each in compliance with their requirements, (C) there are no pending or, to the knowledge of the Company, threatened administrative, regulatory or judicial actions, suits,
demands, demand letters, claims, liens, notices of noncompliance or violation, investigation or proceedings relating to any Environmental Law against the Company or any of its subsidiaries and (D) there are, to the knowledge of the Company, no
events or circumstances that would reasonably be expected to form the basis of an order for clean-up or remediation, or an action, suit or proceeding by any private party or Governmental Entity, against or affecting the Company or any of its
subsidiaries relating to Hazardous Materials or any Environmental Laws. 
 (xxiv) Accounting Controls and
Disclosure Controls. The Company and each of its subsidiaries maintain effective internal control over financial reporting (as defined under Rule 13-a15 and 15d-15 under the rules and regulations of the Commission under the 1934 Act (the
“1934 Act Regulations”)) and a system of internal accounting controls sufficient to provide reasonable assurances that (A) transactions are executed in accordance with management’s general or specific authorization;
(B) transactions are recorded as necessary to permit preparation of financial statements in conformity with GAAP and to maintain accountability for assets; (C) access to assets is permitted only in accordance with management’s general
or specific authorization; and (D) the recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any differences. Except as described in the General
Disclosure Package and the Prospectuses, since the end of the Company’s most recent audited fiscal year, there has been (1) no material weakness in the Company’s internal control over financial reporting (whether or not remediated)
and (2) no change in the Company’s internal control over financial reporting that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting. 

The Company and each of its subsidiaries maintain an effective system of disclosure controls and procedures (as defined
in Rule 13a-15 and Rule 15d-15 under the 1934 Act Regulations) that are designed to ensure that information required to be disclosed by the Company in the reports that it files or submits under the 1934 Act is recorded, processed, summarized and
reported within the time periods specified in the Commission’s rules and forms, and is accumulated and communicated to the Company’s management, including its principal executive officer or officers and principal financial officer or
officers, as appropriate, to allow timely decisions regarding disclosure. 
 (xxv) Compliance with the
Sarbanes-Oxley Act. There is and has been no failure on the part of the Company or any of the Company’s directors or officers, in their capacities as such, to comply in all material respects with any applicable provision of the
Sarbanes-Oxley Act of 2002 and the rules and regulations promulgated in connection therewith (the “Sarbanes-Oxley Act”), including Section 402 related to loans and Sections 302 and 906 related to certifications. 

 

 8 

 (xxvi) Payment of Taxes. All United States, UK and Canadian federal
income tax returns of the Company and its subsidiaries required by law to be filed have been filed and all taxes shown by such returns or otherwise assessed, which are due and payable, have been paid, except assessments against which appeals have
been or will be promptly taken and as to which adequate reserves have been provided. The United States, UK and Canadian federal income tax returns of the Company through, in each case, the most recent fiscal year end for which such tax returns are
due to be filed have been settled and no assessment in connection therewith has been made against the Company. The Company and its subsidiaries have filed all other tax returns that are required to have been filed by them pursuant to applicable
foreign, state, provincial, municipal, local or other law except insofar as the failure to file such returns would not result in a Material Adverse Effect, and has paid all taxes due pursuant to such returns or pursuant to any assessment received by
the Company and its subsidiaries, except for such taxes, if any, as are being contested in good faith and as to which adequate reserves have been established by the Company. The charges, accruals and reserves on the books of the Company in respect
of any income and corporation tax liability for any years not finally determined are adequate to meet any assessments or re-assessments for additional income tax for any years not finally determined, except to the extent of any inadequacy that would
not result in a Material Adverse Effect. The statements set forth in the General Disclosure Package and the Prospectuses under the caption “Material United States Federal Income Tax Considerations” and “Material Canadian Federal
Income Tax Considerations for U.S. Holders,” insofar as they purport to describe the tax consequences to holders of the ownership and disposition of the Securities or legal conclusions with respect thereto, and subject to the limitations,
qualifications and assumptions set forth therein, are a fair and accurate summary of the matter set forth therein. 

(xxvii) Taxes. There are no transfer taxes or other similar fees or charges under Canadian or U.S. federal laws or
the laws of any state, province or any political subdivision thereof, required to be paid in connection with the execution and delivery of this Agreement or the issuance by the Company or sale by the Company of the Securities. No stamp duty,
registration or documentary taxes, duties or similar charges are payable under the federal laws of Canada or the laws of any province in connection with the issuance, sale and delivery to the Underwriters of the Securities or the authorization,
execution, delivery and performance of this Agreement or the resale of Securities by an Underwriter. 
 (xxviii)
Insurance. The Company and its subsidiaries carry or are entitled to the benefits of insurance, with financially sound and reputable insurers, in such amounts and covering such risks as is generally maintained by companies of established
repute engaged in the same or similar business, and all such insurance is in full force and effect. The Company has no reason to believe that it or any of its subsidiaries will not be able (A) to renew its existing insurance coverage as and
when such policies expire or (B) to obtain comparable coverage from similar institutions as may be necessary or appropriate to conduct its business as now conducted and at a cost that would not reasonably be expected to result in a Material
Adverse Effect. 
 (xxix) Investment Company Act. The Company is not required, and upon the issuance and
sale of the Securities as herein contemplated and the application of the net proceeds therefrom as described in the General Disclosure Package and the Prospectuses will not be required, to register as an “investment company” under the
Investment Company Act of 1940, as amended (the “1940 Act”). 
 (xxx) Absence of
Manipulation. Neither the Company nor, to the knowledge of the Company, any affiliate of the Company has taken, nor will the Company or any affiliate take, directly or indirectly, any action which is designed, or would be expected, to cause or
result in, or which has constituted, the stabilization or manipulation of the price of any security of the Company to facilitate the sale or resale of the Securities. 

(xxxi) Foreign Corrupt Practices Act. None of the Company, any of its subsidiaries or, to the knowledge of the
Company, any director, officer, agent, employee, affiliate or other person acting on behalf of the Company or any of its subsidiaries, is aware of or has taken any action, directly or indirectly, that would result in a violation by such persons of
the Foreign Corrupt Practices Act of 1977, as amended, and the rules and regulations thereunder (the “FCPA”) or the Corruption of Foreign Public Officials Act (Canada) (the “CFPOA”), including, without
limitation, making use of the mails or any means or instrumentality of interstate commerce corruptly in furtherance of an offer, payment, promise to pay or authorization of the payment of any money, or other property, gift, promise to give, or
authorization of the giving of anything of value to any “foreign official” (as such term is defined in the FCPA) or any foreign political party or official thereof or any candidate for foreign political office, in contravention of the FCPA
or the CFPOA and the Company and, to the knowledge of the Company, its affiliates have conducted their businesses in compliance with the FCPA and the CFPOA and have instituted and maintain policies and procedures designed to ensure, and which are
reasonably expected to continue to ensure, continued compliance therewith. 
  

 9 

 (xxxii) Money Laundering Laws. The operations of the Company and its
subsidiaries are and have been conducted at all times in compliance with applicable financial recordkeeping and reporting requirements of the Currency and Foreign Transactions Reporting Act of 1970, as amended, the money laundering statutes of all
jurisdictions in which the Company or any of its subsidiaries does business, the rules and regulations thereunder and any related or similar rules, regulations or guidelines, issued, administered or enforced by any Governmental Entity (collectively,
the “Money Laundering Laws”); and no action, suit or proceeding by or before any Governmental Entity involving the Company or any of its subsidiaries with respect to the Money Laundering Laws is pending or, to the best knowledge of
the Company, threatened. 
 (xxxiii) OFAC. None of the Company, any of its subsidiaries or, to the
knowledge of the Company, any director, officer, agent, employee, affiliate or other person acting on behalf of the Company or any of its subsidiaries, is currently subject to any U.S. sanctions administered by the Office of Foreign Assets Control
of the U.S. Treasury Department (“OFAC”); and the Company will not directly or indirectly use the proceeds of the sale of the Securities, or lend, contribute or otherwise make available such proceeds to any of its subsidiaries,
joint venture partners or other person, for the purpose of financing the activities of (I) any activity in any country currently subject to any U.S. sanctions administered by OFAC or (II) any person currently subject to any U.S. sanctions
administered by OFAC. 
 (xxxiv) Sales of Reserved Securities. In connection with any offer and sale of
Reserved Securities outside the United States, each Preliminary Prospectus, each Prospectus, any prospectus wrapper and any amendment or supplement thereto, at the time it was filed, complied and will comply in all material respects with any
applicable laws or regulations of foreign jurisdictions. The Company has not offered, or caused the Representatives to offer, Reserved Securities to any person with the specific intent to unlawfully influence (i) a customer or supplier of the
Company or any of its affiliates to alter the customer’s or supplier’s level or type of business with any such entity or (ii) a trade journalist or publication to write or publish favorable information about the Company or any of its
affiliates, or their respective businesses or products. 
 (xxxv) Lending Relationship. Except as
disclosed in the General Disclosure Package and the Prospectuses, the Company (i) does not have any material lending or other relationship with any bank or lending affiliate of any Underwriter and (ii) does not intend to use any of
the proceeds from the sale of the Securities to repay any outstanding debt owed to any affiliate of any Underwriter. 

(xxxvi) Non-Arm’s Length Transactions. To the knowledge of the Company, except as disclosed in the General
Disclosure Package and the Prospectuses, neither the Company nor any of its subsidiaries is a party to any contract, agreement or understanding with any officer, director, employee or any other person not dealing at arm’s length with the
Company or any such subsidiary which is required to be disclosed by the 1933 Act, the 1933 Act Regulations or Canadian Securities Laws. 

(xxxvii) No Broker. Other than as contemplated by this Agreement, there is no broker, finder or other party that
is entitled to receive from the Company any brokerage or finder’s fee or other fee or commission as a result of any of the transactions contemplated by this Agreement. 

(xxxviii) Statistical and Market-Related Data. Any statistical, industry and market-related data included in the
General Disclosure Package or the Prospectuses is based on or derived from sources that the Company believes to be reliable and accurate and, to the extent required, the Company has obtained the written consent to the use of such data from such
sources. 
 (xxxix) French Language Documents. The French language version of each Canadian Preliminary
Prospectus and the Canadian Prospectus, including the financial statements and other financial data contained therein, is in all material respects a complete and proper translation of the English language versions thereof. 

 

 10 

 (b) Representations and Warranties by the Selling Shareholders. Each Selling
Shareholder, severally and not jointly, represents and warrants to each Underwriter as of the date hereof, as of the Applicable Time, as of the Closing Time and as of each Date of Delivery, and agrees with each Underwriter, as follows: 

(i) Accurate Disclosure. Neither the General Disclosure Package nor the Prospectuses or any amendments or
supplements thereto includes any untrue statement of a material fact or omits to state a material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading; the Canadian
Prospectus or any amendment or supplement thereto is true and correct in all material respects, contains no misrepresentation (as defined under Canadian Securities Laws) and constitutes full, true and plain disclosure of all material facts relating
to the Company and the Securities; provided that, such representations and warranties set forth in this subsection (b)(i) apply only to statements or omissions made in reliance upon and in conformity with information relating to such Selling
Shareholder furnished in writing by or on behalf of such Selling Shareholder expressly for use in the Registration Statement, the General Disclosure Package, the Prospectuses or any other Issuer Free Writing Prospectus or any amendment or supplement
thereto (the “Selling Shareholder Information”); such Selling Shareholder is not prompted to sell the Securities to be sold by such Selling Shareholder hereunder by any information concerning the Company or any subsidiary of the
Company which is not set forth in the General Disclosure Package or the Prospectuses. 
 (ii) Authorization
of this Agreement. This Agreement has been duly authorized, executed and delivered by or on behalf of such Selling Shareholder. 

(iii) Noncontravention. The execution and delivery by such Selling Shareholder of this Agreement and the sale and
delivery of the Securities to be sold by such Selling Shareholder and the consummation by such Selling Shareholder of the transactions contemplated herein and compliance by such Selling Shareholder with its obligations hereunder do not and will not,
whether with or without the giving of notice or passage of time or both, conflict with or constitute a breach of, or default under, or result in the creation or imposition of any lien, charge or encumbrance upon the Securities to be sold by such
Selling Shareholder or any property or assets of such Selling Shareholder pursuant to any contract, indenture, mortgage, deed of trust, loan or credit agreement, note, lease or other agreement or instrument to which such Selling Shareholder is a
party or by which such Selling Shareholder may be bound, or to which any of the property or assets of such Selling Shareholder is subject (except as would not, singly or in the aggregate, reasonably be expected to result in a material adverse effect
on the ability of such Selling Shareholder to execute and deliver this Agreement or to perform its obligations hereunder), nor will such action result in any violation of (I) the provisions of the charter or by-laws or other organizational
instrument of such Selling Shareholder, if applicable, or (II) any applicable law, statute, rule, regulation, judgment, order, writ or decree of any government, government instrumentality or court, domestic or foreign, having jurisdiction over such
Selling Shareholder or any of its properties (except in the case of clause (II) for such violations that would not, singly or in the aggregate, reasonably be expected to result in a material adverse effect on the ability of such Selling Shareholder
to execute and deliver this Agreement or to perform its obligations hereunder). 
 (v) Valid Title. Such
Selling Shareholder has, and at each Date of Delivery will have, valid title to the Securities to be sold by such Selling Shareholder free and clear of all security interests, claims, liens, equities or other encumbrances and the legal right and
power, and all authorization and approval required by law, to enter into this Agreement and to sell, transfer and deliver the Securities to be sold by such Selling Shareholder. 

(vi) Certificates Suitable for Transfer. The Securities to be sold by such Selling Shareholder pursuant to this
Agreement are certificated securities in registered form and are not held in any securities account or by or through any securities intermediary within the meaning of the Uniform Commercial Code as in effect in the State of New York
(“UCC”). 
 (vii) Delivery of Securities. Upon payment of the purchase price for the
Securities to be sold by such Selling Shareholder pursuant to this Agreement and delivery of such Securities to the Underwriters pursuant to this Agreement (assuming that no such Underwriter has notice of any “adverse claim,” within the
meaning of Section 8-105 of the UCC, to such Securities), (A) under Section 8-501 of the UCC, the Underwriters will acquire a valid “security entitlement” in respect of such Securities and (B) no action (whether framed
in conversion, replevin, constructive trust, equitable lien, or other theory) based on any “adverse claim,” within the meaning of Section 8-102 of the UCC, to such Securities may be asserted against the Underwriters with respect to
such security entitlement. 
 (viii) Absence of Manipulation. Such Selling Shareholder has not taken, and
will not take, directly or indirectly, any action which is designed to or which has constituted or would reasonably be expected to cause or result in stabilization or manipulation of the price of any security of the Company to facilitate the sale or
resale of the Securities. 
  

 11 

 (ix) Absence of Further Requirements. No filing with, or consent,
approval, authorization, order, registration, qualification or decree of any arbitrator, court, governmental body, regulatory body, administrative agency or other authority, body or agency, domestic or foreign, is necessary or required for the
performance by such Selling Shareholder of its obligations hereunder, or in connection with the sale and delivery of the Securities hereunder by such Selling Shareholder or the consummation by such Selling Shareholder of the transactions
contemplated by this Agreement, except (A) such as have been already obtained or as may be required under the 1933 Act, the 1933 Act Regulations, the rules of the NASDAQ Stock Market LLC, state securities laws or the rules of FINRA or as may be
required under Canadian Securities Laws and (B) such as have been obtained under the laws and regulations of jurisdictions outside the United States in which the Reserved Securities were offered. 

(x) No Registration or Other Similar Rights. Except for those rights that have previously been waived, such
Selling Shareholder does not have any registration or other similar rights to have any equity or debt securities registered for sale by the Company under the Registration Statement or Canadian Securities Laws or included in the offering contemplated
by this Agreement. 
 (xi) No Free Writing Prospectuses. Such Selling Shareholder has not prepared or had
prepared on its behalf or used or referred to, any “free writing prospectus” (as defined in Rule 405), and has not distributed any written materials in connection with the offer or sale of the Securities. 

(xii) No Association with FINRA. Except as previously disclosed to the Representatives, neither such Selling
Shareholder nor any of its affiliates directly, or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with any member firm of FINRA or is a person associated with a member (within the meaning of
the FINRA By-Laws) of FINRA. 
 (c) Officer’s Certificates. Any certificate signed by any officer of the Company or
any of its subsidiaries delivered to the Representatives or to counsel for the Underwriters shall be deemed a representation and warranty by the Company to each Underwriter as to the matters covered thereby; and any certificate signed by or on
behalf of a Selling Shareholder as such and delivered to the Representatives or to counsel for the Underwriters pursuant to the terms of this Agreement shall be deemed a representation and warranty by such Selling Shareholder to the Underwriters as
to the matters covered thereby. 
 SECTION 2. Sale and Delivery to Underwriters; Closing. 

(a) Initial Securities. On the basis of the representations and warranties herein contained and subject to the terms and
conditions herein set forth, (i) the Company agrees to sell to each Underwriter, severally and not jointly, at the price per share set forth in Schedule A, the number of Initial Securities set forth in Schedule B opposite the name of the
Company, and (ii) each Underwriter, severally and not jointly, agrees to purchase from the Company, at the price per share set forth in Schedule A, the number of Initial Securities set forth in Schedule A opposite the name of such Underwriter,
plus any additional number of Initial Securities which such Underwriter may become obligated to purchase pursuant to the provisions of Section 10 hereof, subject, in each case, to such adjustments among the Underwriters as Merrill Lynch in its
sole discretion shall make to eliminate any sales or purchases of fractional shares. 
 (b) Option Securities. In
addition, on the basis of the representations and warranties herein contained and subject to the terms and conditions herein set forth, the Selling Shareholders, acting severally and not jointly, hereby grant an option to the Underwriters, severally
and not jointly, to purchase up to an additional 1,578,947 Common Shares, as set forth in Schedule B, at the price per share set forth in Schedule A, less an amount per share equal to any dividends or distributions declared by the Company and
payable on the Initial Securities but not payable on the Option Securities. The option hereby granted will expire 30 days after the date hereof and may be exercised in whole or in part from time to time only for the purpose of covering
overallotments made in connection with the offering and distribution of the Initial Securities upon notice by the Representatives to the Selling Shareholders setting forth the number of Option Securities as to which the several Underwriters are then
exercising the option and the time and date of payment and delivery for such Option Securities. Any such time and date of delivery (a “Date of Delivery”) shall be determined by the Representatives, but shall not be later than seven
full business days after the exercise of said option, nor in any event prior to the Closing Time. If the option is exercised as to all or any portion of the Option Securities, each of the Underwriters, acting severally and not jointly, will purchase
that proportion of the total number of Option Securities then being purchased which the number of Initial Securities set forth in Schedule A opposite the name of such Underwriter bears to the total number of Initial Securities, subject, in each
case, to such adjustments as Merrill Lynch in its sole discretion shall make to eliminate any sales or purchases of fractional shares. 
  

 12 

 (c) Payment. Payment of the purchase price for, and delivery of certificates for, the
Initial Securities shall be made at the offices of Osler, Hoskin & Harcourt LLP in Toronto, Ontario, or at such other place as shall be agreed upon by the Representatives and the Company, at 8:30 A.M. (New York City time) on the third
(fourth, if the pricing occurs after 4:30 P.M. (New York City time) on any given day) business day after the date hereof (unless postponed in accordance with the provisions of Section 10), or such other time not later than ten business days
after such date as shall be agreed upon by the Representatives and the Company (such time and date of payment and delivery being herein called “Closing Time”). 

In addition, in the event that any or all of the Option Securities are purchased by the Underwriters, payment of the purchase price for,
and delivery of certificates for, such Option Securities shall be made at the above-mentioned offices, or at such other place as shall be agreed upon by the Representatives and the Selling Shareholders, on each Date of Delivery as specified in the
notice from the Representatives to the Selling Shareholders. 
 Payment shall be made to the Company and the Selling
Shareholders by wire transfer of immediately available funds to bank accounts designated by the Company and the Selling Shareholders, as the case may be, against delivery to the Representatives for the respective accounts of the Underwriters of
certificates for the Securities to be purchased by them. It is understood that each Underwriter has authorized the Representatives, for its account, to accept delivery of, receipt for, and make payment of the purchase price for, the Initial
Securities and the Option Securities, if any, which it has agreed to purchase. Merrill Lynch, individually and not as representative of the Underwriters, may (but shall not be obligated to) make payment of the purchase price for the Initial
Securities or the Option Securities, if any, to be purchased by any Underwriter whose funds have not been received by the Closing Time or the relevant Date of Delivery, as the case may be, but such payment shall not relieve such Underwriter from its
obligations hereunder. 
 (d) Denominations; Registration. Certificates for the Initial Securities and the Option
Securities, if any, shall be in such denominations and registered in such names as the Representatives may request in writing at least one full business day before the Closing Time or the relevant Date of Delivery, as the case may be. The
certificates for the Initial Securities and the Option Securities, if any, will be made available for examination and packaging by the Representatives in The City of New York not later than 10:00 A.M. (New York City time) on the business day
prior to the Closing Time or the relevant Date of Delivery, as the case may be. 
 SECTION 3. Covenants of the Company and
the Selling Shareholders. The Company and, with respect to paragraph (m) below only, each Selling Shareholder, severally and not jointly, covenants with each Underwriter as follows: 

(a) Compliance with Securities Regulations and Requests from the Commission and the Qualifying Authorities. The Company, subject
to Section 3(b), will comply with the requirements of Rule 430A and the PREP Procedures, and will notify the Representatives immediately, and confirm the notice in writing, (i) when any post-effective amendment to the Registration
Statement shall become effective or any amendment or supplement to the Prospectuses shall have been filed, (ii) of the receipt of any comments from the Commission or the Qualifying Authorities, (iii) of any request by the Commission for
any amendment to the Registration Statement or any amendment or supplement to the U.S. Prospectus or for additional information, (iv) of any request by the Qualifying Authorities for any amendment or supplement to the Canadian Prospectus or for
additional information, (v) of the issuance by the Commission of any stop order suspending the effectiveness of the Registration Statement or any post-effective amendment, (vi) of the issuance by the Commission or any Qualifying Authority,
as applicable, of any order preventing or suspending the use of any Preliminary Prospectus or Prospectus, or of the suspension of the qualification of the Securities for offering or sale in any jurisdiction, or of the initiation or threatening of
any proceedings for any of such purposes or of any examination pursuant to Section 8(e) of the 1933 Act concerning the Registration Statement, and (vii) if the Company becomes the subject of a proceeding under Section 8A of the 1933
Act in connection with the offering of the Securities. The Company will effect all filings required under Rule 424(b), in the manner and within the time period required by Rule 424(b) (without reliance on Rule 424(b)(8)), and will take such steps as
it deems necessary to ascertain promptly whether the form of prospectus transmitted for filing under Rule 424(b) was received for filing by the Commission and, in the event that it was not, it will promptly file such prospectus. The Company will
effect all filings required by the PREP Procedures, including the Supplemented PREP Prospectus, in the manner and within the time period required by the PREP Procedures, and will take such other steps as it deems necessary to ascertain promptly
whether the Canadian Prospectus was received for filing by the Qualifying Authorities and, in the event that it was not, it will promptly file such prospectus. The Company will make every reasonable effort to prevent the issuance of any stop order
or cease trade order, prevention or suspension and, upon the occurrence of any such stop order or cease trade order, prevention or suspension, to obtain the lifting of such stop order or cease trade order or relief from such prevention or suspension
at the earliest possible moment. 
  

 13 

 (b) Continued Compliance with Securities Laws. The Company will comply with the 1933
Act, the 1933 Act Regulations and Canadian Securities Laws so as to permit the completion of the distribution of the Securities as contemplated in this Agreement and in the General Disclosure Package and the Prospectuses. If at any time when a
prospectus relating to the Securities is (or, but for the exception afforded by Rule 172 of the 1933 Act Regulations (“Rule 172”), would be) required by the 1933 Act or Canadian Securities Laws to be delivered in connection with
sales of the Securities, any event shall occur or condition shall exist as a result of which it is necessary, in the opinion of counsel for the Underwriters, the Company or the Selling Shareholders, to (i) amend the Registration Statement in
order that the Registration Statement will not include an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading, (ii) amend or supplement
the General Disclosure Package or the Prospectuses in order that the General Disclosure Package or the Prospectuses, as the case may be, will not include any untrue statement of a material fact or omit to state a material fact necessary in order to
make the statements therein not misleading in the light of the circumstances existing at the time it is delivered to a purchaser, (iii) amend the Canadian Prospectus in order that the Canadian Prospectus will be true and correct in all material
respects, will contain no misrepresentation (as that term is defined under Canadian Securities Laws) and will include full, true and plain disclosure of all material facts relating to the Company and the Securities, or (iv) amend the
Registration Statement or amend or supplement the General Disclosure Package or the Prospectuses, as the case may be, in order to comply with the requirements of the 1933 Act, the 1933 Act Regulations or Canadian Securities Laws, as applicable, the
Company will promptly (A) give the Representatives notice of such event, (B) prepare any amendment or supplement as may be necessary to correct such statement or omission or to make the Registration Statement, the General Disclosure
Package or the Prospectuses comply with such requirements and, a reasonable amount of time prior to any proposed filing or use, furnish the Representatives with copies of any such amendment or supplement and (C) file with the Commission and the
Qualifying Authorities, as applicable, any such amendment or supplement; provided that the Company shall not file or use any such amendment or supplement to which the Representatives or counsel for the Underwriters shall reasonably object. The
Company will furnish to the Underwriters such number of copies of such amendment or supplement as the Underwriters may reasonably request. The Company has given the Representatives notice of any filings made pursuant to the 1934 Act, the 1934 Act
Regulations or Canadian Securities Laws within 48 hours prior to the Applicable Time; the Company will give the Representatives notice of its intention to make any such filing from the Applicable Time to the Closing Time and will furnish the
Representatives with copies of any such documents a reasonable amount of time prior to such proposed filing, as the case may be, and will not file or use any such document to which the Representatives or counsel for the Underwriters shall reasonably
object. 
 (c) Delivery of Certain Documents. The Company has furnished or will deliver to the Representatives and
counsel for the Underwriters, without charge, signed copies of the Registration Statement, the Form 8-A, each Canadian Preliminary Prospectus and the Canadian Prospectus, in each case as originally filed and each amendment thereto (including
exhibits filed therewith), and signed copies of all consents and certificates of experts, and will also deliver to the Representatives, without charge, a conformed copy of the Registration Statement, the Form 8-A, each Canadian Preliminary
Prospectus and the Canadian Prospectus, in each case as originally filed and each amendment thereto (without exhibits) for each of the Underwriters. The copies of the Registration Statement, the Form 8-A, each Canadian Preliminary Prospectus and the
Canadian Prospectus and each amendment thereto furnished to the Underwriters will be identical to the electronically transmitted copies thereof filed with the Commission pursuant to EDGAR, except to the extent permitted by Regulation S-T, or the
Qualifying Authorities pursuant to SEDAR, as the case may be. 
 (d) Delivery of Prospectuses. The Company has delivered
to each Underwriter, without charge, as many commercial copies of each U.S. Preliminary Prospectus and each Canadian Preliminary Prospectus (in the English and French languages, as applicable) as such Underwriter reasonably requested, and the
Company hereby consents to the use of such copies for purposes permitted by the 1933 Act and Canadian Securities Laws. The Company will furnish to each Underwriter, without charge, during the period when a prospectus relating to the Securities is
(or, but for the exception afforded by Rule 172, would be) required to be delivered under the 1933 Act or Canadian Securities Laws, such number of commercial copies of the Prospectuses (as amended or supplemented and in the English and French
languages, as applicable) as such Underwriter may reasonably request. Each U.S. Preliminary Prospectus and the U.S. Prospectus and any amendments or supplements thereto furnished to the Underwriters will be identical to the electronically
transmitted copies thereof filed with the Commission pursuant to EDGAR, except to the extent permitted by Regulation S-T. The English and French versions of each Canadian Preliminary Prospectus and the Canadian Prospectus and any amendments or
supplements thereto furnished to the Underwriters will be identical to the electronically transmitted copies thereof filed with the Qualifying Authorities pursuant to SEDAR. 

(e) Blue Sky Qualifications. The Company will use its best efforts, in cooperation with the Underwriters, to qualify the
Securities for offering and sale under the applicable securities laws of such states and other jurisdictions (domestic or foreign) as the Representatives may designate and to maintain such qualifications in effect so long as required to complete the
distribution of the Securities; provided, however, that the Company shall not be obligated to file any general consent to service of process or to qualify as a foreign corporation or as a dealer in securities in any jurisdiction in which it is not
so qualified or to subject itself to taxation in respect of doing business in any jurisdiction in which it is not otherwise so subject. 
  

 14 

 (f) Rule 158. The Company will timely file such reports pursuant to the 1934 Act as
are necessary in order to make generally available to its securityholders as soon as practicable an earnings statement for the purposes of, and to provide to the Underwriters the benefits contemplated by, the last paragraph of Section 11(a) of
the 1933 Act. 
 (g) Use of Proceeds. The Company will use the net proceeds received by it from the sale of the
Securities in the manner specified in the General Disclosure Package and the Prospectuses under “Use of Proceeds.” 

(h) Listing. The Company will use its best efforts to effect and maintain the listing of the Common Shares (including the
Securities) on the Nasdaq Global Market. 
 (i) Restriction on Sale of Securities. During a period of 180 days from the
date of this Agreement, the Company will not, without the prior written consent of Merrill Lynch and J.P. Morgan Securities Inc., (i) directly or indirectly, offer, pledge, sell, contract to sell, sell any option or contract to purchase,
purchase any option or contract to sell, grant any option, right or warrant to purchase or otherwise transfer or dispose of any Common Shares or any securities convertible into or exercisable or exchangeable for Common Shares or file any
registration statement under the 1933 Act or any prospectus under Canadian Securities Laws with respect to any of the foregoing or (ii) enter into any swap or any other agreement or any transaction that transfers, in whole or in part, directly
or indirectly, the economic consequence of ownership of the Common Shares, whether any such swap or transaction described in clause (i) or (ii) above is to be settled by delivery of Common Shares or such other securities, in cash or
otherwise. The foregoing sentence shall not apply to (A) the Securities to be sold hereunder, (B) any Common Shares issued by the Company upon the exercise of an option or warrant or the conversion of a security outstanding on the date
hereof and referred to in the General Disclosure Package and the Prospectuses, or (C) any Common Shares issued or options to purchase Common Shares granted pursuant to existing employee benefit plans of the Company referred to in the General
Disclosure Package and the Prospectuses. Notwithstanding the foregoing, if (1) during the last 17 days of the 180-day restricted period the Company issues an earnings release or material news or a material event relating to the Company occurs
or (2) prior to the expiration of the 180-day restricted period, the Company announces that it will issue an earnings release or becomes aware that material news or a material event will occur during the 16-day period beginning on the last day
of the 180-day restricted period, the restrictions imposed in this clause (i) shall continue to apply until the expiration of the 18-day period beginning on the issuance of the earnings release or the occurrence of the material news or material
event. 
 (j) Reporting Requirements. The Company, during the period when a Prospectus relating to the Securities is (or,
but for the exception afforded by Rule 172, would be) required to be delivered under the 1933 Act or Canadian Securities Laws, will file all documents required to be filed with (A) the Commission pursuant to the 1934 Act within the time periods
required by the 1934 Act and 1934 Act Regulations and (B) the Qualifying Authorities in accordance with Canadian Securities Laws. Additionally, the Company shall report the use of proceeds from the issuance of the Securities as may be required
under Rule 463 under the 1933 Act. 
 (k) Translation Opinions. The Company shall cause Osler, Hoskin & Harcourt
LLP to deliver to the Underwriters customary opinions, dated the date of the filing of the French language versions of each Canadian Preliminary Prospectus and the Canadian Prospectus, to the effect that the French language version of each such
prospectus is in all material respects a complete and proper translation of the English language versions thereof (other than the financial statements and other financial data contained therein). 

(l) Translation Opinions — Financial Statements. The Company shall cause Deloitte & Touche LLP to deliver to the
Underwriters customary opinions, dated the date of the filing of the French language versions of each Canadian Preliminary Prospectus and the Canadian Prospectus, to the effect that the financial statements and other financial data contained in the
French language version of each such prospectus is in all material respects a complete and proper translation of the English language versions thereof. 
  

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 (m) Issuer Free Writing Prospectuses. Each of the Company and each Selling
Shareholder agrees, severally and not jointly, that, unless it obtains the prior written consent of the Representatives, it will not make any offer relating to the Securities that would constitute an Issuer Free Writing Prospectus or that would
otherwise constitute a “free writing prospectus,” or a portion thereof, required to be filed by the Company with the Commission or retained by the Company under Rule 433; provided that the Representatives will be deemed to have consented
to the Issuer Free Writing Prospectuses listed on Schedule D hereto and any “road show that is a written communication” within the meaning of Rule 433(d)(8)(i) that has been reviewed by the Representatives. Each of the Company and each
Selling Shareholder represents, severally and not jointly, that it has treated or agrees that it will treat each such free writing prospectus consented to, or deemed consented to, by the Representatives as an “issuer free writing
prospectus,” as defined in Rule 433, and that it has complied and will comply with the applicable requirements of Rule 433 with respect thereto, including timely filing with the Commission where required, legending and record keeping. If at any
time following issuance of an Issuer Free Writing Prospectus there occurred or occurs an event or development as a result of which such Issuer Free Writing Prospectus conflicted or would conflict with the information contained in the Registration
Statement or included or would include an untrue statement of a material fact or omitted or would omit to state a material fact necessary in order to make the statements therein, in the light of the circumstances existing at that subsequent time,
not misleading, the Company will promptly notify the Representatives and the Selling Shareholders and will promptly amend or supplement, at its own expense, such Issuer Free Writing Prospectus to eliminate or correct such conflict, untrue statement
or omission. 
 (n) Compliance with FINRA Rules. The Company hereby agrees that it will ensure that the Reserved
Securities will be restricted as required by FINRA or the FINRA rules from sale, transfer, assignment, pledge or hypothecation for a period of three months following the date of this Agreement. The Underwriters will notify the Company as to which
persons will need to be so restricted. At the request of the Underwriters, the Company will direct the transfer agent to place a stop transfer restriction upon such securities for such period of time. Should the Company release, or seek to release,
from such restrictions any of the Reserved Securities, the Company agrees to reimburse the Underwriters for any reasonable expenses (including, without limitation, legal expenses) they incur in connection with such release. 

SECTION 4. Payment of Expenses. 

(a) Expenses. The Company will pay or cause to be paid all expenses incident to the performance of its obligations under this
Agreement, including (i) the preparation, printing and filing of the Registration Statement (including financial statements and exhibits), the Form 8-A, each Preliminary Prospectus and each Prospectus, in each case as originally filed and each
amendment thereto, (ii) the preparation, issuance and delivery of the certificates for the Securities to the Underwriters, including any stock or other transfer taxes and any stamp or other duties payable upon the sale, issuance or delivery of
the Securities to the Underwriters, (iii) the fees and disbursements of the Company’s U.S. and Canadian counsel, accountants and other advisors, (iv) the qualification of the Securities under securities laws in accordance with the
provisions of Section 3(e) hereof, including filing fees and the reasonable fees and disbursements of counsel for the Underwriters in connection therewith and in connection with the preparation of the Blue Sky Survey and any supplement thereto,
(v) the printing and delivery to the Underwriters of copies of each Preliminary Prospectus, each Issuer Free Writing Prospectus and each Prospectus and any amendments or supplements thereto and any costs associated with electronic delivery of
any of the foregoing by the Underwriters to investors, (vi) the fees and expenses of any transfer agent or registrar for the Securities, (vii) the costs and expenses of the Company relating to investor presentations on any “road
show” undertaken in connection with the marketing of the Securities, including without limitation, expenses associated with the production of road show slides and graphics, reasonable and documented fees and expenses of any consultants engaged
with the consent of the Company in connection with the road show presentations, travel and lodging expenses of the representatives and officers of the Company and any such consultants, and the cost of aircraft and other transportation chartered in
connection with the road show, (viii) the filing fees incident to, and the reasonable fees and disbursements of counsel to the Underwriters in connection with, the review by FINRA of the terms of the sale of the Securities, (ix) the fees
and expenses incurred in connection with the listing of the Securities on the Nasdaq Global Market, and (x) all reasonable and documented costs and expenses of the Underwriters, including the reasonable fees and disbursements of counsel for the
Underwriters, in connection with matters related to the Reserved Securities which are designated by the Company for sale to Invitees. Except as otherwise set forth herein, the Underwriters shall be responsible for all other expenses incurred by
them, including the fees and expenses of their counsel. 
 (b) Expenses of the Selling Shareholders. Each Selling
Shareholder, severally and not jointly, agrees to pay or cause to be paid all expenses incident to the performance of its respective obligations under, and the consummation by such Selling Shareholder of the transactions contemplated by, this
Agreement, including (i) any stamp and other duties and stock and other transfer taxes, if any, payable upon the sale of the Securities by such Selling Shareholder to the Underwriters and their transfer between the Underwriters pursuant to an
agreement between such Underwriters, and (ii) the fees and disbursements of its respective counsel and other advisors. 
  

 16 

 (c) Termination of Agreement. If this Agreement is terminated by the Representatives
in accordance with the provisions of Section 5, Section 9(a)(i) or (iii) or Section 11 hereof, the Company shall reimburse the Underwriters for all of their reasonable and documented out-of-pocket expenses, including the
reasonable fees and disbursements of U.S. and Canadian counsel for the Underwriters. 
 (d) Allocation of Expenses. The
provisions of this Section shall not affect any agreement that the Company and the Selling Shareholders may make for the sharing of such costs and expenses. 

SECTION 5. Conditions of Underwriters’ Obligations. The obligations of the several Underwriters hereunder are subject to the
accuracy of the representations and warranties of the Company and the Selling Shareholders contained in Section 1 hereof or in certificates of any officer of the Company or any of its subsidiaries or on behalf of any Selling Shareholder
delivered pursuant to the provisions hereof, to the performance by the Company and each Selling Shareholder of their respective covenants and other obligations hereunder, and to the following further conditions: 

(a) Effectiveness of Registration Statement; Rule 430A Information. The Registration Statement, including any Rule 462(b)
Registration Statement, has become effective and at Closing Time no stop order suspending the effectiveness of the Registration Statement or any post-effective amendment thereto has been issued under the 1933 Act, no order preventing or suspending
the use of any U.S. Preliminary Prospectus or the U.S. Prospectus has been issued and no proceedings for any of those purposes have been instituted or are pending or, to the Company’s knowledge, contemplated; and the Company has complied with
each request (if any) from the Commission for additional information. A prospectus containing the Rule 430A Information shall have been filed with the Commission in the manner and within the time frame required by Rule 424(b) without reliance on
Rule 424(b)(8) or a post-effective amendment providing such information shall have been filed with, and declared effective by, the Commission in accordance with the requirements of Rule 430A. 

(b) Canadian Filings. A receipt has been obtained from the Principal Regulator on behalf of itself and the other Qualifying
Authorities in respect of the Final PREP Prospectus; the Company will have otherwise complied with the PREP Procedures, including filing the Supplemented PREP Prospectus with the Qualifying Authorities; no order suspending the distribution of the
Securities has been issued by any of the Qualifying Authorities and no proceedings for those purposes have been instituted or are pending or, to the Company’s knowledge, contemplated; and the Company has complied with each request (if any) from
the Qualifying Authorities for additional information. 
 (c) Opinion of U.S. Counsel for Company. At the Closing Time,
the Representatives shall have received the favorable opinion, subject to customary assumptions and qualifications, dated the Closing Time, of Shearman & Sterling LLP, U.S. counsel for the Company, in form and substance reasonably
satisfactory to counsel for the Underwriters, together with signed or reproduced copies of such letter for each of the other Underwriters to the effect set forth in Exhibit A hereto. 

(d) Opinion of Canadian Counsel for Company. At the Closing Time, the Representatives shall have received the favorable opinion,
subject to customary assumptions and qualifications, dated the Closing Time, of Osler, Hoskin & Harcourt LLP, Canadian counsel for the Company, in form and substance reasonably satisfactory to counsel for the Underwriters, together with
signed or reproduced copies of such letter for each of the other Underwriters to the effect set forth in Exhibit B hereto. 

(e) Opinion of General Counsel for Company. At the Closing Time, the Representatives shall have received the favorable opinion,
dated the Closing Time, of Gregory Hiscock, General Counsel and Corporate Secretary of the Company, in form and substance reasonably satisfactory to counsel for the Underwriters, together with signed or reproduced copies of such letter for each of
the other Underwriters to the effect that each Subsidiary has been duly organized and is validly existing in good standing under the laws of the jurisdiction of its incorporation or organization, has the corporate or similar power and authority to
own, lease and operate its properties and to conduct its business as described in the General Disclosure Package and the Prospectuses and is duly qualified to transact business and is in good standing in each jurisdiction in which such qualification
is required, whether by reason of the ownership or leasing of property or the conduct of business, except where the failure to so qualify or to be in good standing would not reasonably be expected to result in a Material Adverse Effect, and all of
the issued and outstanding capital stock of each Subsidiary has been duly authorized and validly issued, is fully paid and non assessable and is owned by the Company, directly or through subsidiaries. 

 

 17 

 (f) Opinion of U.S. Counsel for Underwriters. At Closing Time, the Representatives
shall have received the favorable opinion, dated the Closing Time, of Skadden, Arps, Slate, Meagher & Flom LLP, U.S. counsel for the Underwriters, together with signed or reproduced copies of such letter for each of the other Underwriters
with respect to such matters as the Representatives shall reasonably request. In giving such opinion such counsel may state that, insofar as such opinion involves factual matters, they have relied, to the extent they deem proper, upon certificates
of officers and other representatives of the Company and its subsidiaries and certificates of public officials. 
 (g)
Opinion of Canadian Counsel for Underwriters. At Closing Time, the Representatives shall have received the favorable opinion, dated the Closing Time, of Torys LLP, Canadian counsel for the Underwriters, together with signed or reproduced
copies of such letter for each of the other Underwriters with respect to such matters as the Representatives shall reasonably request. In giving such opinion such counsel may state that, insofar as such opinion involves factual matters, they have
relied, to the extent they deem proper, upon certificates of officers and other representatives of the Company and its subsidiaries and certificates of public officials. 

(h) Officers’ Certificate. At the Closing Time, there shall not have been, since the date hereof or since the respective
dates as of which information is given in the General Disclosure Package or the Prospectuses, any material adverse change in the condition, financial or otherwise, or in the earnings, business affairs or business prospects of the Company and its
subsidiaries considered as one enterprise, whether or not arising in the ordinary course of business, and the Representatives shall have received a certificate of the Chief Executive Officer or the President of the Company and of the Chief Financial
Officer or Chief Accounting Officer of the Company, in their respective capacities as such officers only, dated the Closing Time, to the effect that (i) there has been no such material adverse change, (ii) the representations and
warranties of the Company in Section 1 of this Agreement are true and correct with the same force and effect as though expressly made at and as of the Closing Time, (iii) the Company has complied with all agreements and satisfied all
conditions on its part to be performed or satisfied at or prior to the Closing Time, and (iv) no stop order suspending the effectiveness of the Registration Statement under the 1933 Act has been issued, no order preventing or suspending the use
of any Preliminary Prospectus or any Prospectus has been issued and no proceedings for any of those purposes have been instituted or are pending or, to their knowledge, contemplated. 

(i) Certificate of Selling Shareholders. At the Closing Time, the Representatives shall have received a certificate of each
Selling Shareholder, dated the Closing Time, to the effect that (i) the representations and warranties of such Selling Shareholder in this Agreement are true and correct with the same force and effect as though expressly made at and as of the
Closing Time and (ii) such Selling Shareholder has complied with all agreements and all conditions on its part to be performed under this Agreement at or prior to the Closing Time. 

(j) Accountant’s Comfort Letters. At the time of the execution of this Agreement, the Representative(s) shall have received
from Deloitte & Touche LLP a letter, dated such date, in form and substance satisfactory to the Representatives, together with signed or reproduced copies of such letter for each of the other Underwriters, containing statements and
information of the type ordinarily included in accountants’ “comfort letters” to underwriters with respect to the financial statements of the Company and certain financial information contained in the Registration Statement, the
General Disclosure Package and the Prospectuses. At the time of the execution of this Agreement, the Representative(s) shall have received from Ernst & Young LLP a letter, dated such date, in form and substance satisfactory to the
Representatives, together with signed or reproduced copies of such letter for each of the other Underwriters, containing statements and information of the type ordinarily included in accountants’ “comfort letters” to underwriters with
respect to the financial statements of Inter-Tel (Delaware), Incorporated and certain financial information of Inter-Tel (Delaware), Incorporated contained in the Registration Statement, the General Disclosure Package and the Prospectuses.

 (k) Bring-down Comfort Letters. At the Closing Time, the Representatives shall have received from Deloitte &
Touche LLP a letter, dated as of the Closing Time, to the effect that they reaffirm the statements made in the letter furnished by Deloitte & Touche LLP pursuant to subsection (k) of this Section, except that the specified date
referred to shall be a date not more than three business days prior to the Closing Time. At the Closing Time, the Representatives shall have received from Ernst & Young LLP a letter, dated as of the Closing Time, to the effect that they
reaffirm the statements made in the letter furnished by Ernst & Young LLP pursuant to subsection (k) of this Section, except that the specified date referred to shall be a date not more than three business days prior to the Closing
Time. 
 (l) Approval of Listing. At the Closing Time, the Securities shall have been approved for listing on the Nasdaq
Global Market, subject only to official notice of issuance. 
 (m) No Objection. FINRA has confirmed that it has not
raised any objection with respect to the fairness and reasonableness of the underwriting terms and arrangements relating to the offering of the Securities. 
  

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 (n) Lock-up Agreements. At the date of this Agreement, the Representatives shall have
received an agreement substantially in the form of Exhibit D hereto signed by the persons listed on Schedule E hereto (each, a “Lock-Up Agreement”). Notwithstanding anything to the contrary contained in any Lock-Up Agreement,
UBS Securities LLC hereby appoints each of Merrill Lynch and J.P. Morgan Securities Inc. as its true and lawful attorney-in-fact and agent, each acting alone, in its name, place and stead, in any and all capacities in connection with any matter
relating to the Lock-Up Agreements, granting unto said attorneys-in-fact and agents, each acting alone, full power and authority to do and perform each and every act and thing requisite and necessary to be done in connection with any matter relating
to the Lock-Up Agreements, as fully to all intents and purposes as UBS Securities LLC might or could do, hereby ratifying and confirming all that said attorneys-in-fact and agents, each action alone, may lawfully do or cause to be done by virtue
thereof. 
 (o) Maintenance of Rating. Since the execution of this Agreement, there shall not have been any decrease in
or withdrawal of the rating of any securities of the Company or any of its subsidiaries by any “nationally recognized statistical rating organization” (as defined for purposes of Rule 436(g) under the 1933 Act) or any notice given of any
intended or potential decrease in or withdrawal of any such rating or of a possible change in any such rating that does not indicate the direction of the possible change. 

(p) Agent for Service of Process. Prior to the Closing Time, the Company shall have furnished to the Representatives satisfactory
evidence of its due and valid authorization of Corporation Service Company as its agent to receive service of process in the United States pursuant to Section 17 hereof, and satisfactory evidence of Corporation Service Company accepting its
appointment as such agent. 
 (q) Conditions to Purchase of Option Securities. In the event that the Underwriters
exercise their option provided in Section 2(b) hereof to purchase all or any portion of the Option Securities, the representations and warranties of the Company and the Selling Shareholders contained herein and the statements in any
certificates furnished by the Company, any of its subsidiaries and the Selling Shareholders hereunder shall be true and correct as of each Date of Delivery and, at the relevant Date of Delivery, the Representatives shall have received: 

(i) Officers’ Certificate. A certificate, dated such Date of Delivery, of the Chief Executive Officer or the
President of the Company and of the Chief Financial Officer or Chief Accounting Officer of the Company, in their respective capacities as such officers only, confirming that the certificate delivered at the Closing Time pursuant to Section 5(i)
hereof remains true and correct as of such Date of Delivery. 
 (ii) Certificate of Selling Shareholders.
A certificate, dated such Date of Delivery, of each Selling Shareholder confirming that the certificate delivered at Closing Time pursuant to Section 5(j) remains true and correct as of such Date of Delivery. 

(iii) Opinion of U.S. Counsel for Company. If requested by the Representatives, the favorable opinion of
Shearman & Sterling LLP, U.S. counsel for the Company, in form and substance reasonably satisfactory to counsel for the Underwriters, dated such Date of Delivery, relating to the Option Securities to be purchased on such Date of Delivery
and otherwise to the same effect as the opinion required by Section 5(c) hereof. 
 (iv) Opinion of
Canadian Counsel for Company. If requested by the Representatives, the favorable opinion of Osler, Hoskin & Harcourt LLP, Canadian counsel for the Company, in form and substance reasonably satisfactory to counsel for the Underwriters,
dated such Date of Delivery, relating to the Option Securities to be purchased on such Date of Delivery and otherwise to the same effect as the opinion required by Section 5(d) hereof. 

(v) Opinion of General Counsel for the Company. If requested by the Representatives, the favorable opinion of
Gregory Hiscock, General Counsel and Corporate Secretary of the Company, in form and substance reasonably satisfactory to counsel for the Underwriters, dated such Date of Delivery, relating to the Option Securities to be purchased on such Date of
Delivery and otherwise to the same effect as the opinion required by Section 5(e) hereof. 
 (vi)
Opinion of Counsel for the Selling Shareholders. If requested by the Representatives, the favorable opinions of counsel for each of the Selling Shareholders, in form and substance reasonably satisfactory to counsel for the Underwriters, dated
such Date of Delivery, together with signed or reproduced copies of such letter for each of the other Underwriters, to the effect set forth in Exhibit C hereto. 

(vii) Opinion of U.S. Counsel for Underwriters. If requested by the Representatives, the favorable opinion of
Skadden, Arps, Slate, Meagher & Flom LLP, U.S. counsel for the Underwriters, dated such Date of Delivery, relating to the Option Securities to be purchased on such Date of Delivery and otherwise to the same effect as the opinion required by
Section 5(f) hereof. 
  

 19 

 (viii) Opinion of Canadian Counsel for Underwriters. If requested by
the Representatives, the favorable opinion of Torys LLP, Canadian counsel for the Underwriters, dated such Date of Delivery, relating to the Option Securities to be purchased on such Date of Delivery and otherwise to the same effect as the opinion
required by Section 5(g) hereof. 
 (ix) Bring-down Comfort Letters. If requested by the
Representatives, a letter from Deloitte & Touche LLP, in form and substance satisfactory to the Representatives and dated such Date of Delivery, substantially in the same form and substance as the letter furnished to the Representatives
pursuant to Section 5(k) hereof, except that the “specified date” in the letter furnished pursuant to this paragraph shall be a date not more than three business days prior to such Date of Delivery. If requested by the
Representatives, a letter from Ernst & Young LLP, in form and substance satisfactory to the Representatives and dated such Date of Delivery, substantially in the same form and substance as the letter furnished to the Representatives
pursuant to Section 5(k) hereof, except that the “specified date” in the letter furnished pursuant to this paragraph shall be a date not more than three business days prior to such Date of Delivery. 

(r) Additional Documents. At the Closing Time and at each Date of Delivery (if any) counsel for the Underwriters shall have been
furnished with such documents and opinions as they may reasonably require for the purpose of enabling them to pass upon the issuance and sale of the Securities as herein contemplated, or in order to evidence the accuracy of any of the
representations or warranties, or the fulfillment of any of the conditions, herein contained; and all proceedings taken by the Company and the Selling Shareholders in connection with the issuance and sale of the Securities as herein contemplated
shall be satisfactory in form and substance to the Representatives and counsel for the Underwriters, acting reasonably. 
 (s)
Termination of Agreement. If any condition specified in this Section shall not have been fulfilled when and as required to be fulfilled, this Agreement, or, in the case of any condition to the purchase of Option Securities on a Date of
Delivery which is after the Closing Time, the obligations of the several Underwriters to purchase the relevant Option Securities, may be terminated by the Representatives by notice to the Company and the Selling Shareholders at any time at or prior
to Closing Time or such Date of Delivery, as the case may be, and such termination shall be without liability of any party to any other party except as provided in Section 4 and except that Sections 1, 6, 7, 8, 15 and 16 shall survive any such
termination and remain in full force and effect. 
 SECTION 6. Indemnification. 

(a) Indemnification of Underwriters. The Company agrees to indemnify and hold harmless each Underwriter, its affiliates (as such
term is defined in Rule 501(b) under the 1933 Act (each, an “Affiliate”)) and each person, if any, who controls any Underwriter within the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act as follows:

 (i) against any and all loss, liability, claim, damage and expense whatsoever, as incurred, arising out of
any untrue statement or alleged untrue statement of a material fact contained in the Registration Statement (or any amendment thereto), including the Rule 430A Information, or the omission or alleged omission therefrom of a material fact required to
be stated therein or necessary to make the statements therein not misleading or arising out of any untrue statement or alleged untrue statement of a material fact or any misrepresentation or alleged misrepresentation (as that term is defined under
Canadian Securities Laws) included in any Preliminary Prospectus, any Issuer Free Writing Prospectus or the Prospectuses (or any amendment or supplement thereto), or the omission or alleged omission therefrom of a material fact necessary in order to
make the statements therein, in the light of the circumstances under which they were made, not misleading; 

(ii) against any and all loss, liability, claim, damage and expense whatsoever, as incurred, to the extent of the
aggregate amount paid in settlement of any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or of any claim whatsoever based upon any such untrue statement or omission, or any such alleged
untrue statement or omission; provided that (subject to Section 6(e) below) any such settlement is effected with the written consent of the Company; 

(iii) against any and all expense whatsoever, as incurred (including the fees and disbursements of U.S. and Canadian
counsel chosen by Merrill Lynch), reasonably incurred in investigating, preparing or defending against any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever based upon
any such untrue statement or omission, or any such alleged untrue statement or omission, to the extent that any such expense is not paid under (i) or (ii) above; 

provided, however, that this indemnity agreement shall not apply to any loss, liability, claim, damage or expense to the extent arising out of any untrue
statement or omission or alleged untrue statement or omission made in the Registration Statement (or any amendment thereto), including the Rule 430A Information, any Preliminary Prospectus, the General Disclosure Package or the Prospectuses (or any
amendment or supplement thereto) in reliance upon and in conformity with the Underwriter Information. 
  

 20 

 (b) Indemnification of Underwriters by Selling Shareholders. Each Selling
Shareholder, severally and not jointly, agrees to indemnify and hold harmless each Underwriter, its Affiliates and each person, if any, who controls any Underwriter within the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act
to the extent and in the manner set forth in clauses (a)(i), (ii) and (iii) above; provided that each Selling Shareholder shall be liable only to the extent that such untrue statement or alleged untrue statement or omission or alleged
omission has been made in the Registration Statement, any Preliminary Prospectus, any Prospectus (or any amendment or supplement thereto) or any Issuer Free Writing Prospectus in reliance upon and in conformity with the Selling Shareholder
Information furnished in writing by or on behalf of such Selling Shareholder; provided, further, that the liability under this subsection of each Selling Shareholder shall be limited to an amount equal to the aggregate gross proceeds after
underwriting commissions and discounts, but before expenses, to such Selling Shareholder from the sale of Securities sold by such Selling Shareholder hereunder (with respect to such Selling Shareholder, the “Selling Shareholder
Amount”). 
 (c) Indemnification of Company, Directors and Officers and Selling Shareholders. Each Underwriter
severally agrees to indemnify and hold harmless the Company, its directors, each of its officers who signed the Registration Statement, any Preliminary Prospectus or any Prospectus and each person, if any, who controls the Company within the meaning
of Section 15 of the 1933 Act or Section 20 of the 1934 Act, and each Selling Shareholder, its Affiliates and each person, if any, who controls any Selling Shareholder within the meaning of Section 15 of the 1933 Act or
Section 20 of the 1934 Act against any and all loss, liability, claim, damage and expense described in the indemnity contained in subsection (a) of this Section, as incurred, but only with respect to untrue statements or omissions, or
alleged untrue statements or omissions, made in the Registration Statement (or any amendment thereto), including the Rule 430A Information, any Preliminary Prospectus, the General Disclosure Package or the Prospectuses (or any amendment or
supplement thereto) in reliance upon and in conformity with the Underwriter Information. 
 (d) Actions against Parties;
Notification. Each indemnified party shall give notice as promptly as reasonably practicable to each indemnifying party of any action commenced against it in respect of which indemnity may be sought hereunder, but failure to so notify an
indemnifying party shall not relieve such indemnifying party from any liability hereunder to the extent it is not materially prejudiced as a result thereof and in any event shall not relieve it from any liability which it may have otherwise than on
account of this Section 6. In the case of parties indemnified pursuant to Section 6(a) and 6(b) above, counsel to the indemnified parties shall be selected by Merrill Lynch, and, in the case of parties indemnified pursuant to
Section 6(c) above, counsel to the indemnified parties shall be selected by the Company and the Selling Shareholders. An indemnifying party may participate at its own expense in the defense of any such action; provided, however, that counsel to
the indemnifying party shall not (except with the consent of the indemnified party) also be counsel to the indemnified party. In no event shall the indemnifying parties be liable for fees and expenses of more than one counsel (in addition to any
local counsel) separate from their own counsel for all indemnified parties in connection with any one action or separate but similar or related actions in the same jurisdiction arising out of the same general allegations or circumstances. No
indemnifying party shall, without the prior written consent of the indemnified parties, settle or compromise or consent to the entry of any judgment with respect to any litigation, or any investigation or proceeding by any governmental agency or
body, commenced or threatened, or any claim whatsoever in respect of which indemnification or contribution could be sought under this Section 6 or Section 7 hereof (whether or not the indemnified parties are actual or potential parties
thereto), unless such settlement, compromise or consent (i) includes an unconditional release of each indemnified party from all liability arising out of such litigation, investigation, proceeding or claim and (ii) does not include a
statement as to or an admission of fault, culpability or a failure to act by or on behalf of any indemnified party. 
 (e)
Settlement without Consent if Failure to Reimburse. If at any time an indemnified party shall have requested an indemnifying party to reimburse the indemnified party for fees and expenses of counsel and is entitled to such reimbursement
pursuant to the terms of this Section 6, such indemnifying party agrees that it shall be liable for any settlement of the nature contemplated by Section 6(a)(ii) or settlement of any claim in connection with any violation referred to in
Section 6(f) effected without its written consent (subject to the limitations contained herein) if (i) such settlement is entered into more than 45 days after receipt by such indemnifying party of the aforesaid request, (ii) such
indemnifying party shall have received notice of the terms of such settlement at least 30 days prior to such settlement being entered into and (iii) such indemnifying party shall not have reimbursed such indemnified party in accordance with
such request prior to the date of such settlement. 
  

 21 

 (f) Indemnification for Reserved Securities. In connection with the offer and sale of
the Reserved Securities, the Company agrees to indemnify and hold harmless the Underwriters, their Affiliates and each person, if any, who controls any Underwriter within the meaning of either Section 15 of the 1933 Act or Section 20 of
the 1934 Act, from and against any and all loss, liability, claim, damage and expense (including, without limitation, any legal or other expenses reasonably incurred in connection with defending, investigating or settling any such action or claim),
as incurred, (i) arising out of the violation of any applicable laws or regulations of foreign jurisdictions where Reserved Securities have been offered, (ii) arising out of any untrue statement or alleged untrue statement of a material
fact contained in any prospectus wrapper or other material prepared by or with the consent of the Company for distribution to Invitees in connection with the offering of the Reserved Securities or caused by any omission or alleged omission to state
therein a material fact required to be stated therein or necessary to make the statements therein not misleading, (iii) caused by the failure of any Invitee to pay for and accept delivery of Reserved Securities which have been orally confirmed
for purchase by any Invitee by 8:00 A.M. (New York City time) on the first business day after the date of the Agreement or (iv) related to, or arising out of or in connection with, the offering of the Reserved Securities. 

(g) Other Agreements with Respect to Indemnification. The provisions of this Section shall not affect any agreement among the
Company and the Selling Shareholders with respect to indemnification. 
 SECTION 7. Contribution. If the indemnification
provided for in Section 6 hereof is for any reason unavailable to or insufficient to hold harmless an indemnified party in respect of any losses, liabilities, claims, damages or expenses referred to therein, then each indemnifying party shall
contribute to the aggregate amount of such losses, liabilities, claims, damages and expenses incurred by such indemnified party, as incurred, (i) in such proportion as is appropriate to reflect the relative benefits received by the Company and
the Selling Shareholders, on the one hand, and the Underwriters, on the other hand, from the offering of the Securities pursuant to this Agreement or (ii) if the allocation provided by clause (i) is not permitted by applicable law, in such
proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) above but also the relative fault of the Company and the Selling Shareholders, on the one hand, and of the Underwriters, on the other hand, in
connection with the statements or omissions, or in connection with any violation of the nature referred to in Section 6(f) hereof, which resulted in such losses, liabilities, claims, damages or expenses, as well as any other relevant equitable
considerations. 
 The relative benefits received by the Company and the Selling Shareholders, on the one hand, and the
Underwriters, on the other hand, in connection with the offering of the Securities pursuant to this Agreement shall be deemed to be in the same respective proportions as the total net proceeds from the offering of the Securities pursuant to this
Agreement (before deducting expenses) received by the Company and the Selling Shareholders, on the one hand, and the total underwriting discounts and commissions received by the Underwriters, on the other hand, in each case as set forth on the cover
of the U.S. Prospectus, bear to the aggregate initial public offering price of the Securities as set forth on the cover of the U.S. Prospectus. 

The relative fault of the Company and the Selling Shareholders, on the one hand, and the Underwriters, on the other hand, shall be
determined by reference to, among other things, whether any such untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact relates to information supplied by the Company or the Selling
Shareholders or by the Underwriters and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission or any violation of the nature referred to in Section 6(f) hereof.

 The Company, the Selling Shareholders and the Underwriters agree that it would not be just and equitable if contribution
pursuant to this Section 7 were determined by pro rata allocation (even if the Underwriters were treated as one entity for such purpose) or by any other method of allocation which does not take account of the equitable considerations referred
to above in this Section 7. The aggregate amount of losses, liabilities, claims, damages and expenses incurred by an indemnified party and referred to above in this Section 7 shall be deemed to include any legal or other expenses
reasonably incurred by such indemnified party in investigating, preparing or defending against any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever based upon any
such untrue or alleged untrue statement or omission or alleged omission. 
 Notwithstanding the provisions of this
Section 7, (i) no Selling Shareholder shall be required to contribute in the aggregate under this Agreement any amount in excess of the Selling Shareholder Amount received by such Selling Shareholder from the sale of Securities sold by
such Selling Shareholder hereunder, and (ii) no Underwriter shall be required to contribute any amount in excess of the amount by which the total price at which the Securities underwritten by it and distributed to the public were offered to the
public exceeds the amount of any damages which such Underwriter has otherwise been required to pay by reason of any such untrue or alleged untrue statement or omission or alleged omission. 

No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the 1933 Act) shall be entitled to
contribution from any person who was not guilty of such fraudulent misrepresentation. 
  

 22 

 For purposes of this Section 7, each person, if any, who controls an Underwriter within
the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act and each Underwriter’s Affiliates and selling agents shall have the same rights to contribution as such Underwriter, and each director of the Company, each
officer of the Company who signed the Registration Statement, any Canadian Preliminary Prospectus or the Canadian Prospectus, and each person, if any, who controls the Company or any Selling Shareholder within the meaning of Section 15 of the
1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution as the Company or such Selling Shareholder, as the case may be. The Underwriters’ respective obligations to contribute pursuant to this Section 7 are
several in proportion to the number of Initial Securities set forth opposite their respective names in Schedule A hereto and not joint. The Selling Shareholders’ respective obligations to contribute pursuant to this Section 7 are several
in proportion to the number of Securities set forth opposite their respective names in Schedule B hereto and not joint. 
 The
provisions of this Section shall not affect any agreement among the Company and the Selling Shareholders with respect to contribution. 

SECTION 8. Representations, Warranties and Agreements to Survive. All representations, warranties and agreements contained in this
Agreement or in certificates of officers of the Company or any of its subsidiaries or the Selling Shareholders submitted pursuant hereto, shall remain operative and in full force and effect regardless of (i) any investigation made by or on
behalf of any Underwriter or its Affiliates or selling agents, any person controlling any Underwriter, its officers or directors, any person controlling the Company or any person controlling any Selling Shareholder and (ii) delivery of and
payment for the Securities. 
 SECTION 9. Termination of Agreement. 

(a) Termination. The Representatives may terminate this Agreement, by notice to the Company and the Selling Shareholders, at any
time at or prior to the Closing Time (i) if there has been, since the time of execution of this Agreement or since the respective dates as of which information is given in the General Disclosure Package or the Prospectuses, any material adverse
change in the condition, financial or otherwise, or in the earnings, business affairs or business prospects of the Company and its subsidiaries considered as one enterprise, whether or not arising in the ordinary course of business, or (ii) if
there has occurred any material adverse change in the financial markets in the United States or Canada or the international financial markets, any outbreak of hostilities or escalation thereof or other calamity or crisis or any change or development
involving a prospective change in the United States, Canadian or international political, financial or economic conditions, in each case the effect of which is such as to make it, in the judgment of the Representatives, impracticable or inadvisable
to market the Securities or to enforce contracts for the sale of the Securities, or (iii) if trading in any securities of the Company has been suspended or materially limited by the Commission, any Qualifying Authority or other securities
commission or regulatory authority in Canada or the Nasdaq Global Market, or (iv) if trading generally on the New York Stock Exchange or in the Nasdaq Global Market has been suspended or materially limited, or minimum or maximum prices for
trading have been fixed, or maximum ranges for prices have been required, by any of said exchanges or by order of the Commission, any Qualifying Authority or other securities commission or regulatory authority in Canada, FINRA or any other
governmental authority, or (v) a material disruption has occurred in commercial banking or securities settlement or clearance services in the United States or Canada or with respect to Clearstream or Euroclear systems in Europe, or (vi) if
a banking moratorium has been declared by either United States federal, New York state or Canadian authorities. 
 (b)
Liabilities. If this Agreement is terminated pursuant to this Section, such termination shall be without liability of any party to any other party except as provided in Section 4 hereof, and provided further that Sections 1, 6, 7, 8, 15
and 16 shall survive such termination and remain in full force and effect. 
 SECTION 10. Default by One or More of the
Underwriters. If one or more of the Underwriters shall fail at Closing Time or a Date of Delivery to purchase the Securities which it or they are obligated to purchase under this Agreement (the “Defaulted Securities”), the
Representatives shall have the right, within 24 hours thereafter, to make arrangements for one or more of the non-defaulting Underwriters, or any other underwriters, to purchase all, but not less than all, of the Defaulted Securities in such
amounts as may be agreed upon and upon the terms herein set forth; if, however, the Representatives shall not have completed such arrangements within such 24-hour period, then: 

(i) if the number of Defaulted Securities does not exceed 10% of the number of Securities to be purchased on such date,
each of the non-defaulting Underwriters shall be obligated, severally and not jointly, to purchase the full amount thereof in the proportions that their respective underwriting obligations hereunder bear to the underwriting obligations of all
non-defaulting Underwriters, or 
 (ii) if the number of Defaulted Securities exceeds 10% of the number of
Securities to be purchased on such date, this Agreement or, with respect to any Date of Delivery which occurs after the Closing Time, the obligation of the Underwriters to purchase, and the Company to sell, the Option Securities to be purchased and
sold on such Date of Delivery shall terminate without liability on the part of any non-defaulting Underwriter. 
  

 23 

 No action taken pursuant to this Section shall relieve any defaulting Underwriter from
liability in respect of its default. The foregoing sentence shall survive any termination of this Agreement. 
 In the event of
any such default which does not result in a termination of this Agreement or, in the case of a Date of Delivery which is after the Closing Time, which does not result in a termination of the obligation of the Underwriters to purchase and the Company
to sell the relevant Option Securities, as the case may be, either (i) the Representatives or (ii) the Company and any Selling Shareholder shall have the right to postpone Closing Time or the relevant Date of Delivery, as the case may be,
for a period not exceeding seven days in order to effect any required changes in the Registration Statement, the General Disclosure Package or the Prospectuses or in any other documents or arrangements. As used throughout this Agreement, the term
“Underwriter” includes any person substituted for an Underwriter under this Section 10. 
 SECTION 11. Default
by one or more of the Selling Shareholders or the Company. (a) If a Selling Shareholder shall fail at the Closing Time or a Date of Delivery, as the case may be, to sell and deliver the number of Securities which such Selling Shareholder or
Selling Shareholders are obligated to sell hereunder, and the remaining Selling Shareholders do not exercise the right hereby granted to increase, pro rata or otherwise, the number of Securities to be sold by them hereunder to the total number to be
sold by all Selling Shareholders as set forth in Schedule B hereto, then the Underwriters may, at the option of the Representatives, by written notice from the Representatives to the Company and the non-defaulting Selling Shareholders, either
(i) terminate this Agreement without any liability on the part of any non-defaulting party except that the provisions of Sections 1, 4, 6, 7, 8, 15 and 16 shall remain in full force and effect or (ii) elect to purchase the Securities which
the non-defaulting Selling Shareholders and the Company have agreed to sell hereunder. No action taken pursuant to this Section 11 shall relieve any Selling Shareholder so defaulting from liability, if any, in respect of such default.

 In the event of a default by any Selling Shareholder as referred to in this Section 11, each of the Representatives, the
Company and the non-defaulting Selling Shareholders shall have the right to postpone the Closing Time or any Date of Delivery, as the case may be, for a period not exceeding seven days in order to effect any required change in the Registration
Statement, the General Disclosure Package or the Prospectuses or in any other documents or arrangements. 
 (b) If the Company
shall fail at the Closing Time or a Date of Delivery, as the case may be, to sell the number of Securities that it is obligated to sell hereunder, then this Agreement shall terminate without any liability on the part of any nondefaulting party;
provided, however, that the provisions of Sections 1, 4, 6, 7, 8, 15 and 16 shall remain in full force and effect. No action taken pursuant to this Section shall relieve the Company from liability, if any, in respect of such default. 

SECTION 12. Notices. All notices and other communications hereunder shall be in writing and shall be deemed to have been duly
given if mailed or transmitted by any standard form of telecommunication. Notices to the Underwriters shall be directed to (i) Merrill Lynch at One Bryant Park, New York, New York 10036, attention of Syndicate Department, with a copy to ECM
Legal, (ii) J.P. Morgan Securities Inc. at 383 Madison Avenue, New York, NY 10179, Attention: Equities Syndicate Desk (Fax: 212-622-8358), and (iii) UBS Securities LLC at 299 Park Avenue, New York, NY 10171-0026, Attention: Syndicate
Department (Fax: 212-713-3460), with a copy for information purposes to UBS Securities LLC, 677 Washington Blvd., Stamford, CT, 06901, Attention: Legal and Compliance Department (Fax: 203-719-0680); notices to the Company shall be directed to it at
350 Legget Drive, Kanata, Ontario, Canada K2K 2W6, attention Chief Financial Officer (facsimile: (613)-592-7807), with a copy to General Counsel (facsimile: (613) 592-7802); and notices to the Selling Shareholders shall be directed to the
Selling Shareholders at their respective addresses set forth on Schedule B. 
 SECTION 13. No Advisory or Fiduciary
Relationship. Each of the Company and each Selling Shareholder, severally and not jointly, acknowledges and agrees that (a) the purchase and sale of the Securities pursuant to this Agreement, including the determination of the initial
public offering price of the Securities and any related discounts and commissions, is an arm’s-length commercial transaction between the Company and the Selling Shareholders, on the one hand, and the several Underwriters, on the other hand,
(b) in connection with the offering of the Securities and the process leading thereto, each Underwriter is and has been acting solely as a principal and is not the agent or fiduciary of the Company, any of its subsidiaries or any Selling
Shareholder, or its respective stockholders, creditors, employees or any other party, (c) no Underwriter has assumed or will assume an advisory or fiduciary responsibility in favor of the Company or any Selling Shareholder with respect to the
offering of the Securities or the process leading thereto (irrespective of whether such Underwriter has advised or is currently advising the Company, any of its subsidiaries or any Selling Shareholder on other matters) and no Underwriter has any
obligation to the Company or any Selling Shareholder with respect to the offering of the Securities except the obligations expressly set forth in this Agreement, (d) the Underwriters and their respective affiliates may be engaged in a broad
range of transactions that involve interests that differ from those of each of the Company and each Selling Shareholder, and (e) the Underwriters have not provided any legal, accounting, regulatory or tax advice with respect to the offering of
the Securities and the Company and each of the Selling Shareholders has consulted its own respective legal, accounting, regulatory and tax advisors to the extent it deemed appropriate. 

 

 24 

 SECTION 14. Parties. This Agreement shall inure to the benefit of and be binding upon
the Underwriters, the Company and the Selling Shareholders and their respective successors. Nothing expressed or mentioned in this Agreement is intended or shall be construed to give any person, firm or corporation, other than the Underwriters, the
Company and the Selling Shareholders and their respective successors and the controlling persons and officers and directors referred to in Sections 6 and 7 and their heirs and legal representatives, any legal or equitable right, remedy or claim
under or in respect of this Agreement or any provision herein contained. This Agreement and all conditions and provisions hereof are intended to be for the sole and exclusive benefit of the Underwriters, the Company and the Selling Shareholders and
their respective successors, and said controlling persons and officers and directors and their heirs and legal representatives, and for the benefit of no other person, firm or corporation. No purchaser of Securities from any Underwriter shall be
deemed to be a successor by reason merely of such purchase. 
 Any affiliate of any Underwriter which is duly qualified and
authorized to sell the Securities in Canada pursuant to the Canadian Prospectus and offers and sells the Securities in the Qualifying Jurisdictions or any affiliate of any Underwriter that signs the Canadian Prospectus shall be deemed a third party
beneficiary of the representations and warranties of the Company contained in Section 1(a), the representations and warranties of the Selling Shareholders contained in Section 1(b), the covenants of the Company and the Selling Shareholders
contained in Section 3, the indemnification and contribution obligations of the Company and the Selling Shareholders contained in Sections 6 and 7, and the officers’ certificates, legal opinions and other documents required to be delivered
to the Underwriters pursuant hereto, and each such affiliate shall have the right to enforce such provisions of this Agreement to the same extent as if it were an Underwriter. 

SECTION 15. TRIAL BY JURY. THE COMPANY (ON ITS BEHALF AND, TO THE EXTENT PERMITTED BY APPLICABLE LAW, ON BEHALF OF ITS
SHAREHOLDERS AND AFFILIATES), EACH OF THE SELLING SHAREHOLDERS AND EACH OF THE UNDERWRITERS HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR
RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. 
 SECTION 16. GOVERNING LAW. THIS AGREEMENT AND ANY
CLAIM, CONTROVERSY OR DISPUTE ARISING UNDER OR RELATED TO THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO ITS CHOICE OF LAW PROVISIONS. 

SECTION 17. Consent to Jurisdiction; Waiver of Immunity. Any legal suit, action or proceeding arising out of or based upon this
Agreement or the transactions contemplated hereby (“Related Proceedings”) shall be instituted in the federal courts of the United States of America located in the City and County of New York, Borough of Manhattan, unless
any such Federal court determines that it lacks jurisdiction over a Related Proceeding in which case such Related Proceeding shall be instituted in the courts of the State of New York, in each case located in the City and
County of New York, Borough of Manhattan (collectively, the “Specified Courts”), and each party irrevocably submits to the exclusive jurisdiction (except for proceedings instituted in regard to the enforcement of a judgment of any
such court (a “Related Judgment”), as to which such jurisdiction is non-exclusive) of such courts in any such suit, action or proceeding. Service of any process, summons, notice or document by mail to such party’s address set
forth above shall be effective service of process for any suit, action or other proceeding brought in any such court. The parties irrevocably and unconditionally waive any objection to the laying of venue of any suit, action or other proceeding in
the Specified Courts and irrevocably and unconditionally waive and agree not to plead or claim in any such court that any such suit, action or other proceeding brought in any such court has been brought in an inconvenient forum. Each party not
located in the United States irrevocably appoints Corporation Service Company as its agent to receive service of process or other legal summons for purposes of any such suit, action or proceeding that may be instituted in any state or federal court
in the City and County of New York. With respect to any Related Proceeding, each party irrevocably waives, to the fullest extent permitted by applicable law, all immunity (whether on the basis of sovereignty or otherwise) from jurisdiction, service
of process, attachment (both before and after judgment) and execution to which it might otherwise be entitled in the Specified Courts, and with respect to any Related Judgment, each party waives any such immunity in the Specified Courts or any other
court of competent jurisdiction, and will not raise or claim or cause to be pleaded any such immunity at or in respect of any such Related Proceeding or Related Judgment, including, without limitation, any immunity pursuant to the United States
Foreign Sovereign Immunities Act of 1976, as amended. 
 SECTION 18. TIME. TIME SHALL BE OF THE ESSENCE OF THIS
AGREEMENT. EXCEPT AS OTHERWISE SET FORTH HEREIN, SPECIFIED TIMES OF DAY REFER TO NEW YORK CITY TIME. 
 SECTION 19. Partial
Unenforceability. The invalidity or unenforceability of any Section, paragraph or provision of this Agreement shall not affect the validity or enforceability of any other Section, paragraph or provision hereof. If any Section, paragraph or
provision of this Agreement is for any reason determined to be invalid or unenforceable, there shall be deemed to be made such minor changes (and only such minor changes) as are necessary to make it valid and enforceable. 

 

 25 

 SECTION 20. Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall be deemed to be an original, but all such counterparts shall together constitute one and the same Agreement. 

SECTION 21. Effect of Headings. The Section headings herein are for convenience only and shall not affect the construction hereof.

 SECTION 22. Judgment Currency. In respect of any judgment or order given or made for any amount due hereunder that is
expressed and paid in a currency (the “Judgment Currency”) other than United States dollars, the Company and the Selling Shareholders, severally and not jointly, will indemnify each Underwriter against any loss incurred by such
Underwriter as a result of any variation as between (i) the rate of exchange at which the United States dollar amount is converted into the Judgment Currency for the purpose of such judgment or order and (ii) the rate of exchange at which
an Underwriter is able to purchase United States dollars with the amount of Judgment Currency actually received by such Underwriter; provided, however, that any liability of any Selling Shareholder under this Agreement shall be limited, in the
aggregate, to the Selling Shareholder Amount received by such Selling Shareholder from the sale of Securities sold by such Selling Shareholder hereunder. The foregoing indemnity shall constitute a separate and independent obligation of the Company
and the Selling Shareholders, severally and not jointly, and shall continue in full force and effect notwithstanding any such judgment or order as aforesaid. The term “rate of exchange” shall include any premiums and costs of exchange
payable in connection with the purchase of or conversion into United States dollars. 
  

 26 

 If the foregoing is in accordance with your understanding of our agreement, please sign and
return to the Company and the Selling Shareholders a counterpart hereof, whereupon this instrument, along with all counterparts, will become a binding agreement among the Underwriters, the Company and the Selling Shareholders in accordance with its
terms. 
  

			
	 Very truly yours,
  

MITEL NETWORKS CORPORATION

		
	By	 	/s/    TODD RICHARDSON
		 	Title: VP Finance and Corporate Controller

  

			
	WESLEY CLOVER CORPORATION
		
	By	 	/s/    JOSE MEDEIROS
		 	Title: President

  

			
	 EDGESTONE CAPITAL EQUITY FUND II

NOMINEE, INC.

		
	By	 	/s/    GILBERT PALTER
		 	Title: Chief Investment Officer & Managing Partner

 

			
	POWER CORPORATION OF CANADA
		
	By	 	/s/    PETER KRUYT
		 	Title: Vice-President

  

			
		
	By	 	/s/    PIERRE LAROCHELLE
		 	Title: Vice-President

  

 27 

			
	 CONFIRMED AND ACCEPTED,

            as of the date first above written:

		
	By:	 	MERRILL LYNCH, PIERCE, FENNER & SMITH
                                INCORPORATED

			
		
	By:	 	/s/    GARY KIRKHAM
		 	Authorized Signatory

  

			
		
	By:	 	J.P. MORGAN SECURITIES INC.

			
		
	By:	 	/s/    THOMAS V. RUEGER, JR.
		 	Authorized Signatory

  

			
		
	By:	 	UBS SECURITIES LLC

			
		
	By:	 	/s/    ANTAL RUNNEBOOM
		 	Authorized Signatory

  

			
		
	By:	 	/s/    JOHN METZ
		 	Authorized Signatory

  

			
		
	By:	 	PIPER JAFFRAY & CO.

			
		
	By:	 	/s/    CHRISTIE L. CHRISTINA
		 	Authorized Signatory

  

			
		
	By:	 	GENUITY CAPITAL MARKETS

			
		
	By:	 	/s/    SANJIV SAMANT
		 	Authorized Signatory

  

			
		
	By:	 	JMP SECURITIES LLC

			
		
	By:	 	/s/    STEPHEN ORTIZ
		 	Authorized Signatory

  

 28 

 SCHEDULE A 

1. The initial public offering price per share for the Securities shall be US$14.00. 

2. The purchase price per share for the Securities to be paid by the several Underwriters shall be US$13.02, being an amount equal to the initial public
offering price set forth above less US$0.98 per share, representing the underwriting commission as set forth in paragraph 3 below; provided that the purchase price per share for any Option Securities purchased upon the exercise of the over-allotment
option described in Section 2(b) shall be reduced by an amount per share equal to any dividends or distributions declared by the Company and payable on the Initial Securities but not payable on the Option Securities. 

3. The underwriting commission per share payable for the Securities to be paid by the Company shall be US$0.98. 

 

			
	 Name of Underwriter
	  	Number of
Initial Securities
	 Merrill Lynch, Pierce, Fenner & Smith

                   
     Incorporated
	  	3,394,737
	 J.P. Morgan Securities Inc.
	  	2,868,421
	 UBS Securities LLC
	  	2,105,263
	 Piper Jaffray & Co.
	  	894,737
	 Genuity Capital Markets
	  	789,474
	 JMP Securities LLC
	  	473,684
		  	 
	 Total
	  	10,526,316
		  	 

  

 Sch A-1 

 SCHEDULE B 
  

							
	 	  	Address for purposes
of Section
12
of this Agreement	 	Number of
Initial Securities
to be Sold
	  	Maximum Number
of Option
Securities to
Be
Sold
	 Mitel Networks Corporation
	  	N/A	 	10,526,316	  	0
	 Wesley Clover Corporation
	  	350 Legget Drive
 Kanata, ON K2K 2W7

Attn: Jose Medeiros,
President and Chief
Operating Officer

Fax: (613) 271-9810
	 	0	  	600,526
	 EdgeStone Capital Equity Fund II Nominee, Inc.
	  	130 King Street West, Suite
600, PO Box 187 Toronto, ON M5X
1A6
 Fax: (416) 860-9838
	 	0	  	167,895
	 Power Corporation of Canada
	  	751 Square Victoria
 Montreal, QC H2Y 2J3

Attn: Sacha Haque
legal@powercorporation.com

Phone: (514) 286-7400
	 	0	  	810,526
		  		 	 	  	 
	 Total
	  		 	10,526,316	  	1,578,947
		  		 	 	  	 

  

 Sch B-1 

 SCHEDULE C 

Pricing Terms 
  

	1.	The Company is selling 10,526,316 Common Shares. 

  

	2.	The Selling Shareholders have granted an option to the Underwriters, severally and not jointly, to purchase up to an additional 1,578,947 Common Shares.

  

	3.	The initial public offering price per share for the Securities shall be US$14.00. 

 

 Sch C-1 

 SCHEDULE D 

Free Writing Prospectuses 

None 
  

 Sch D-1 

 SCHEDULE E 

List of Persons and Entities Subject to Lock-up 

 

 Sch E-1 

 SCHEDULE F 

Significant Subsidiaries 

Mitel Networks Holdings Limited 
 Mitel Networks
Limited 
 Mitel (Delaware), Inc. 

Mitel Networks, Inc. 
 Mitel U.S. Holdings, Inc.

 Mitel Leasing, Inc. 
 Mitel
Technologies, Inc. 
 Mitel Netsolutions, Inc. 

Mitel Networks International Limited 
 Mitel
Networks Overseas Limited 
  

 Sch F-1 

 Exhibit A 

FORM OF OPINION OF COMPANY’S U.S. COUNSEL 

TO BE DELIVERED PURSUANT TO SECTION 5(c) 

(i) Each of Mitel U.S. Holdings, Inc., Mitel (Delaware), Inc. and Mitel Networks, Inc. is validly existing and in good standing under the
laws of the State of Delaware with corporate power and authority under such law to conduct its business as described in the Prospectuses. 

(ii) Insofar as New York law governs the execution and delivery of the Purchase Agreement, the Purchase Agreement has been duly executed
and delivered by the Company. 
 (iii) No authorization, approval or other action by, and no notice to or filing with, any
United States federal or New York governmental authority or regulatory body is required for the performance by the Company of its obligations under the Purchase Agreement, except as have been obtained and are in full force and effect under the 1933
Act or as may be required by the securities or Blue Sky laws of any jurisdiction in the United States in connection with the offer and sale of the Securities by the Underwriters. 

(iv) The execution and delivery by the Company of the Purchase Agreement does not, and the performance by the Company of its obligations
thereunder will not (a) result in a breach of, a default under or the acceleration of (or entitle any party to accelerate) the maturity of any obligation of the Company under, or result in or require the creation of any lien upon or security
interest in any property of the Company pursuant to the terms of, any agreement or document listed in Schedule A to such counsel’s opinion or (b) result in a violation of Generally Applicable Law. “Generally Applicable
Law” means the federal law of the United States of America, and the law of the State of New York (including the rules or regulations promulgated thereunder or pursuant thereto), that a New York lawyer exercising customary professional
diligence would reasonably be expected to recognize as being applicable to the Company, the Purchase Agreement or the transactions governed by the Purchase Agreement. Without limiting the generality of the foregoing definition of Generally
Applicable Law, the term “Generally Applicable Law” does not include any law, rule or regulation that is applicable to the Company, the Purchase Agreement or such transactions solely because such law, rule or regulation is part of a
regulatory regime applicable to any party to the Purchase Agreement or any of its affiliates due to the specific assets or business of such party or such affiliate. 

(v) The statements in the Prospectuses under the caption “Material United States Federal Income Tax Considerations,” insofar as
such statements constitute summaries of legal matters referred to therein, fairly summarize in all material respects the legal matters referred to therein. 

(vi) The Company is not, and after the issuance of the Securities and the use of proceeds therefrom as contemplated in the Prospectuses
will not be, required to register as an “investment company” under the 1940 Act. 
 (vii) Assuming the validity of
such action under the laws of Canada, under the laws of the State of New York relating to submission to jurisdiction, the Company (i) has, pursuant to Section 17 of the Purchase Agreement, validly submitted to the jurisdiction of any New
York state or United States federal court located in The City of New York, New York, in any action or proceeding arising out of or with respect to the Purchase Agreement, and (ii) has validly appointed Corporation Services Company as its
authorized agent for the purposes described in Section 17 of the Purchase Agreement; and service of process effected in the manner set forth in Section 17 of the Purchase Agreement will be effective under the laws of the State of New York
in connection with any such action or proceeding. 
 Such counsel shall also state that (i) it has reviewed the Notice of Effectiveness on
the Commission’s EDGAR system, which states that the Registration Statement became effective under the 1933 Act at [            ] [a.m.][p.m.], New York City time, on
[            ], 2010, (ii) it has reviewed the U.S. Prospectus on the Commission’s EDGAR system and, based on the date of the Purchase Agreement, it appears that the U.S.
Prospectus was filed with the Commission within the time period required by Rule 424 under the 1933 Act, and (iii) on [            ], 2010, a member of the staff of the Commission
advised such counsel orally that there was no stop order suspending the effectiveness of the Registration Statement. 
  

 A-1 

 Such counsel shall also state, in a separate letter, words substantially to the following effect:

 (a) each of the Registration Statement and the U.S. Prospectus (other than the financial statements and other financial data
contained therein or omitted therefrom, as to which such counsel shall not be required to express an opinion) appears on its face to be appropriately responsive in all material respects to the requirements of the 1933 Act and the applicable rules
and regulations of the Commission thereunder; and 
 (b) no facts came to such counsel’s attention which caused them to
believe that (i) the Registration Statement (other than the financial statements and other financial data contained therein or omitted therefrom, as to which such counsel has not been requested to comment), at the time it became effective,
contained an untrue statement of a material fact or omitted to state a material fact required to be stated therein or necessary to make the statements therein not misleading; (ii) the General Disclosure Package (other than the financial
statements and other financial data contained therein or omitted therefrom, as to which such counsel has not been requested to comment), as of the Applicable Time, contained an untrue statement of a material fact or omitted to state a material fact
necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading; or (iii) the U.S. Prospectus (other than the financial statements and other financial data contained therein or
omitted therefrom, as to which such counsel has not been requested to comment), as of its date or the date of such letter, contained or contains an untrue statement of a material fact or omitted or omits to state a material fact necessary in order
to make the statements therein, in the light of the circumstances under which they were made, not misleading. 
 In rendering
such opinion, such counsel may rely as to matters of fact (but not as to legal conclusions), to the extent they deem proper, on certificates of responsible officers of the Company and public officials. 

 

 A-2 

 Exhibit B 

FORM OF OPINION OF COMPANY’S CANADIAN COUNSEL 

TO BE DELIVERED PURSUANT TO SECTION 5(d) 

(i) The Company is a corporation existing in good standing under the federal laws of Canada. 

(ii) The Company has the corporate power and authority to own, lease and operate its properties and to conduct its business as described
in the Prospectuses and to enter into and perform its obligations under the Purchase Agreement. 
 (iii) The Company is duly
qualified as an extra-provincial corporation to transact business and is in good standing in each province and territory in which such qualification is required, whether by reason of the ownership or leasing of property or the conduct of business.

 (iv) The authorized share capital of the Company is as set forth in the Prospectuses in the column entitled
“Actual” under the caption “Capitalization”. The Initial Securities, including the Securities to be purchased by the Underwriters from the Selling Shareholders, have been duly authorized and validly issued and are fully paid and
non-assessable. 
 (v) The attributes of the Common Shares conform in all material respects to the description thereof contained
in the Prospectuses. 
 (vi) The Securities have been duly authorized for issuance and sale to the Underwriters pursuant to the
Purchase Agreement and, when issued and delivered by the Company pursuant to the Purchase Agreement against payment of the consideration set forth in the Purchase Agreement, will be validly issued and fully paid and non-assessable. 

(vii) All necessary corporate actions have been taken by the Company to authorize (A) the execution and delivery of each Canadian
Preliminary Prospectus and the Canadian Prospectus and the filing thereof with Qualifying Authorities, (B) the execution and delivery of the Registration Statement and each amendment thereto and the filing thereof with the Commission, and
(C) the execution and delivery of the Purchase Agreement and the performance by the Company of its obligations thereunder. 

(viii) The Purchase Agreement has been duly authorized and, to the extent that execution and delivery are matters governed by the laws of
the Province of Ontario and the federal laws of Canada applicable therein, executed and delivered by the Company. 
 (ix) A
final Passport System decision document has been obtained from the Principal Regulator on behalf of itself and the other Qualifying Authorities in respect of the Final PREP Prospectus and all necessary documents have been filed, all requisite
proceedings have been taken and all necessary authorizations, approvals, permits, consents and orders have been obtained under the securities laws of each of the Qualifying Jurisdictions to qualify the distribution of the Securities to the public in
each of the Qualifying Jurisdictions through registrants registered under applicable securities laws of the Qualifying Jurisdictions who have complied with the applicable provisions of such securities laws. For purposes of this paragraph,
“securities laws” means the applicable securities laws and the respective regulations and rules made under those securities laws together with all applicable policy statements, blanket orders and rulings of the applicable securities
regulatory authorities. 
 (x) The Canadian Prospectus and each amendment or supplement to the Canadian Prospectus (other than
the financial statements and supporting schedules included therein or omitted therefrom, as to which we need express no opinion), as of its respective issue date, complied as to form in all material respects with the securities laws of the Province
of Ontario and the regulations and rules made under those securities laws together with all applicable policy statements, blanket orders and rulings of the applicable securities regulatory authorities of the Province of Ontario. 

(xi) The form of certificate used to evidence the Common Shares has been duly approved and adopted by the Company and complies with any
applicable requirements of the charter and by-laws of the Company and with the provisions of the Canada Business Corporations Act relating thereto. 

(xii) To our knowledge, there is not pending or threatened any action, suit, proceeding, inquiry or investigation, to which the Company
or any subsidiary is a party, or to which the property of the Company or any subsidiary is subject, before or brought by any court or governmental agency or body, domestic or foreign, which would reasonably be expected to result in a Material
Adverse Effect, or which would reasonably be expected to materially and adversely affect the properties or assets thereof or the consummation of the transactions contemplated in the Purchase Agreement or the performance by the Company of its
obligations thereunder. 
  

 B-1 

 (xiii) To our knowledge, no order having the effect of ceasing or suspending the
distribution of the Securities or the trading in the Common Shares has been issued by any securities regulatory authority in the Qualifying Jurisdictions and no proceedings for that purpose have been instituted or are pending or contemplated.

 (xiv) The information in the Prospectuses under the caption “Material Canadian Federal Income Tax Considerations for
U.S. Holders” and in the Registration Statement under “Part II – Information Not Required in the Prospectus – Indemnification of Directors and Officers” has been reviewed by us and is correct in all material respects and our
opinion in the Canadian Prospectus under the caption “Eligibility for Investment” is confirmed. 
 (xv) All
descriptions in the Prospectuses of the documents identified on Exhibit A to such counsel’s opinion are accurate in all material respects. 

(xvi) Except for the requirement to file the Underwriting Agreement on the System for Electronic Document Analysis and Retrieval (SEDAR),
no filing with, or authorization, approval, consent, license, order, registration, qualification or decree of, any court or governmental authority or agency located in the Qualifying Jurisdictions is necessary or required in connection with the due
authorization, execution and delivery of the Purchase Agreement. 
 (xvii) All documents have been filed, all proceedings have
been taken and all legal requirements have been fulfilled by the Company to qualify the Securities for distribution and sale to the public in each of the Qualifying Jurisdictions through investment dealers or brokers registered under the applicable
laws of the Qualifying Jurisdictions who have complied with the relevant provisions of such applicable laws. 
 (xviii) The
execution, delivery and performance of the Purchase Agreement and the consummation of the transactions contemplated in the Purchase Agreement and in the Prospectuses (including the issuance and sale of the Securities) and compliance by the Company
with its obligations under the Purchase Agreement do not and will not, whether with or without the giving of notice or lapse of time or both, conflict with or constitute a breach of, or default or Repayment Event (as defined in Section 1(a)(xv)
of the Purchase Agreement) under or result in the creation or imposition of any lien, charge or encumbrance upon any property or assets of the Company or any subsidiary pursuant to any contract, indenture, mortgage, deed of trust, loan or credit
agreement, note, lease or any other agreement or instrument identified in Exhibit B to such counsel’s opinion, nor will such action result in any violation of the provisions of the charter or by-laws of the Company, or any applicable Ontario
law, statute, rule, regulation, judgment, order, writ or decree, known to us, of any government, government instrumentality or court of the Qualifying Jurisdictions having jurisdiction over the Company or any subsidiary or any of their respective
properties, assets or operations. 
 (xix) To our knowledge, there are no persons with registration rights or other similar
rights to have any securities registered pursuant to the Registration Statement or otherwise registered by the Company under the 1933 Act or qualified for distribution under Canadian Securities Laws, other than those rights that have been disclosed
in the Prospectuses and have been waived. 
 (xx) BNY Mellon has been duly appointed as the transfer agent and registrar for the
Common Shares. 
 (xxi) In any proceeding in a court of competent jurisdiction in the Province of Ontario (an “Ontario
Court”) for the enforcement of the Purchase Agreement, an Ontario Court would apply the laws of the State of New York (“New York Law”), in accordance with the parties’ choice of New York Law in the Purchase Agreement,
to all issues which under the laws of the Province of Ontario and the federal laws applicable in the Province of Ontario (“Ontario Law”) are to be determined in accordance with the chosen law of the contract, provided that:

  

	 	(a)	The parties’ choice of New York Law is bona fide and legal and is not contrary to public policy, as such term is interpreted under Ontario Law
(“Public Policy”). We have no reason to believe that the choice of New York Law in this context is contrary to Public Policy; 

  

 B-2 

	 	(b)	In any such proceeding, an Ontario Court: 

  

	 	(i)	will not take judicial notice of the provisions of New York Law but will only apply such provisions if they are pleaded and proven by expert testimony;

  

	 	(ii)	will apply Ontario Law to matters which would be chararacterized as procedural under Ontario Law; 

 

	 	(iii)	will apply provisions of Ontario Law that have overriding effect; 

  

	 	(iv)	will not apply any New York Law if its application would be contrary to Public Policy; 

 

	 	(v)	will not apply any New York Law if such application would be characterized under Ontario Law as the direct or indirect enforcement of a foreign revenue, expropriatory,
penal or other public law; and 

  

	 	(vi)	will not enforce the performance of any obligation that is illegal under the laws of any jurisdiction in which the obligation is to be performed; and

  

	 	(c)	an Ontario Court has discretion to decline to hear an action if: 

  

	 	(i)	it is contrary to Public Policy; 

  

	 	(ii)	it is not the proper forum to hear such an action; or 

  

	 	(iii)	another action is properly pending before, or a decision has been rendered by, a foreign authority relating to the same cause of action. 

We have no reason to believe that it would be contrary to Public Policy for an Ontario Court to hear an action to enforce the Purchase
Agreement in Ontario. 
 (xxii) In an action on a final and conclusive judgment in personam of any Specified Court that is not
impeachable as void or voidable under New York law, an Ontario Court would give effect to the appointment by the Company of Corporation Service Company as the Company’s agent to receive service of process in the United States of America under
the Purchase Agreement and to the provisions in the Purchase Agreement whereby the Company submits to the non exclusive jurisdiction of any Specified Court. 

(xxiii) An Ontario Court would give a judgment based upon a final and conclusive in personam judgment of a Specified Court for a
sum certain, obtained against the Company with respect to a claim arising out of the Purchase Agreement (a “New York Judgment”) without reconsideration of the merits provided that: 

 

	 	(a)	an action to enforce the New York Judgment must be commenced in an Ontario Court within any applicable limitation period; 

 

	 	(b)	an Ontario Court has discretion to stay or decline to hear an action on the New York Judgment if such judgment is under appeal, or there is another subsisting judgment
in any jurisdiction relating to the same cause of action; 

  

	 	(c)	an Ontario Court will render judgment only in Canadian dollars; and 

  

	 	(d)	an action in an Ontario Court on the New York Judgment may be affected by bankruptcy, insolvency or other similar laws affecting the enforcement of creditors’
rights generally; 

 and provided further, an Ontario Court will not give such judgment if: 

 

	 	(e)	the New York Judgment was obtained by fraud or in a manner contrary to the principles of natural justice; 

 

	 	(f)	the New York Judgment is for a claim which would be characterized as based on foreign revenue, expropriatory, penal or other public law under Ontario Law;

  

 B-3 

	 	(g)	the New York Judgment is contrary to Public Policy or to an order made by the Attorney General of Canada under the Foreign Extraterritorial Measures Act (Canada)
or by the Competition Tribunal under the Competition Act (Canada) in respect of certain judgments referred to in such statutes; or 

  

	 	(h)	the New York Judgment has been satisfied or is void or voidable under New York Law. 

(xxiv) All laws of the Province of Québec relating to the use of the French language (other than those relating to oral
communications as to which we express no opinion) will have been complied with in connection with the offer and sale of the Securities to purchasers in the Province of Québec if such purchasers have received copies of the Offering Documents
in the French language only or in both the English and French languages, together with, in each case, a form of order and confirmation in the French language only or in a bilingual form. 

(xxv) No stamp or other issuance or transfer taxes or duties or goods and services tax or withholding taxes are payable by or on behalf
of the Underwriters to the Government of Canada or the Government of Ontario or any political subdivision thereof or any authority or agency thereof or therein having power to tax in connection with (A) the issue, sale and delivery of the
Securities by the Company to or for the respective accounts of the Underwriters or (B) the sale and delivery outside Canada by the Underwriters of the Securities in the manner contemplated in the Purchase Agreement. 

Nothing has come to our attention that would lead us to believe that the Canadian Prospectus or any amendment or supplement thereto
(excluding the financial statements and related schedules and information derived therefrom or any other financial data included therein or omitted therefrom), as of its issue date, at the time any such amended or supplemented prospectus was issued
or at the Closing Time, contained or contains an untrue statement of a material fact or omitted or omits to state a material fact necessary in order to make the statements therein not misleading in the light of the circumstances in which they were
made. In addition, nothing has come to our attention that would lead us to believe that the documents included in the General Disclosure Package (which, for purposes of this paragraph shall be defined as the Issuer General Use Free Writing
Prospectuses issued at or prior to the Applicable Time, the Final PREP Prospectus and the information included on Schedule C-1 hereto, all considered together), excluding the financial statements and related schedules and information derived
therefrom or any other financial data included therein or omitted therefrom, as of the Applicable Time, contained an untrue statement of a material fact or omitted to state a material fact necessary in order to make the statements therein not
misleading in the light of circumstances under which they were made. For purposes of this paragraph, references to “material fact” are to that term as defined in Section 1 of the Securities Act (Ontario). With respect to
statements contained in the General Disclosure Package, any statement contained in any of the constituent documents shall be deemed to be modified or superseded to the extent that any information contained in subsequent constituent documents
modifies or replaces such statement. 
 In rendering such opinion, such counsel may rely, (A) as to matters involving the application of
the laws of any jurisdiction other than the Province of Ontario, Alberta and Quebec or the federal laws of Canada, upon the opinion of local Canadian counsel of good standing (which opinion shall be dated and furnished to the Underwriters at the
Closing Time, shall be satisfactory in form and substance to counsel for the Underwriters and shall expressly state that the Underwriters may rely on such opinion as if it were addressed to them), provided that Osler, Hoskin & Harcourt LLP
shall state in their opinion that they believe that they and the Underwriters are justified in relying upon such opinion, and (B) as to matters of fact (but not as to legal conclusions), to the extent they deem proper, on certificates of
responsible officers of the Company and public officials. Such opinion shall not state that it is to be governed or qualified by, or that it is otherwise subject to, any treatise, written policy or other document relating to legal opinions,
including, without limitation, the Legal Opinion Accord of the ABA Section of Business Law (1991). 
  

 B-4 

 Exhibit C 

FORM OF OPINION OF COUNSEL FOR THE SELLING SHAREHOLDERS 

TO BE DELIVERED PURSUANT TO SECTION 5(f) 

(i) No filing with, or consent, approval, authorization, license, order, registration, qualification or decree of, any court or
governmental authority or agency located in the United States, the State of New York or the Qualifying Jurisdictions (other than the issuance of the order of the Commission declaring the Registration Statement effective, such as have been obtained
under applicable Canadian Securities Laws and such authorizations, approvals or consents as may be necessary under state securities laws, as to which we need express no opinion) is necessary or required to be obtained by such Selling Shareholder in
connection with the due authorization, execution and delivery by such Selling Shareholder of the Purchase Agreement, the performance by such Selling Shareholder of its obligations under the Purchase Agreement or in connection with the offer, sale or
delivery of the Securities to be sold by such Selling Shareholder. 
 (ii) The Purchase Agreement has been duly authorized,
executed and delivered by such Selling Shareholder. 
 (iii) The execution, delivery and performance of the Purchase Agreement
and the sale and delivery of the Securities to be sold by such Selling Shareholder and the consummation by such Selling Shareholder of the transactions contemplated in the Purchase Agreement and in the Registration Statement and the Prospectuses and
compliance by such Selling Shareholder with its obligations under the Purchase Agreement do not and will not, whether with or without the giving of notice or passage of time or both, conflict with or constitute a breach of, or default under or
result in the creation or imposition of any lien, charge or encumbrance upon the Securities to be sold by Such Selling Shareholder or any property or assets of such Selling Shareholder pursuant to any contract, indenture, mortgage, deed of trust,
loan or credit agreement, note, lease or other instrument or agreement to which such Selling Shareholder is a party or by which it may be bound, or to which any of the property or assets of such Selling Shareholder may be subject nor will such
action result in any violation of the provisions of the charter or by-laws of such Selling Shareholder, if applicable, or any law, administrative regulation, judgment or order of any governmental agency or body or any administrative or court decree
having jurisdiction over such Selling Shareholder or any of its properties. 
 (iv) Such Selling Shareholder is the registered
holder or not less than the number of Common Shares set forth against its name in Schedule B to the Purchase Agreement, and such Selling Shareholder has the legal capacity and corporate power to enter into the Purchase Agreement and to sell,
transfer and deliver the Securities to be sold by such Selling Shareholder in the manner provided in the Purchase Agreement. 

(v) Upon payment of the purchase price for the Securities to be sold by such Selling Shareholder pursuant to the Purchase Agreement and
delivery of such Securities to the Underwriters pursuant to the Purchase Agreement, the Underwriters (assuming that no such Underwriter has notice of any “adverse claim,” within the meaning of Section 8-105 of the New York Uniform
Commercial Code, to such Securities) will acquire their respective interests in such Securities (including, without limitation, all rights that such Selling Shareholder had or had the power to transfer in such Securities) free and clear of any
adverse claim within the meaning of Section 8-102(a)(1) of the New York Uniform Commercial Code. 
  

 C-1 

 (vi) In an action on a final and conclusive judgment in personam of any Specified Court that
is not impeachable as void or voidable under New York law, an Ontario Court would give effect to the appointment by such Selling Shareholder of Corporation Service Company as its agent to receive service of process in the United States of America
under the Purchase Agreement and to the provisions in the Purchase Agreement whereby such Selling Shareholder submits to the non exclusive jurisdiction of any Specified Court. 

(vii) An Ontario Court would give a judgment based upon a final and conclusive in personam judgment of a Specified Court for a sum
certain, obtained against such Selling Shareholder with respect to a claim arising out of the Purchase Agreement (a “New York Judgment”) without reconsideration of the merits provided that: 

 

	 	(a)	an action to enforce the New York Judgment must be commenced in an Ontario Court within any applicable limitation period; 

 

	 	(b)	an Ontario Court has discretion to stay or decline to hear an action on the New York Judgment if such judgment is under appeal, or there is another subsisting judgment
in any jurisdiction relating to the same cause of action; 

  

	 	(c)	an Ontario Court will render judgment only in Canadian dollars; and 

  

	 	(d)	an action in an Ontario Court on the New York Judgment may be affected by bankruptcy, insolvency or other similar laws affecting the enforcement of creditors’
rights generally; 

 and provided further, an Ontario Court will not give such judgment if: 

 

	 	(w)	the New York Judgment was obtained by fraud or in a manner contrary to the principles of natural justice; 

 

	 	(x)	the New York Judgment is for a claim which would be characterized as based on foreign revenue, expropriatory, penal or other public law under Ontario Law;

  

	 	(y)	the New York Judgment is contrary to Public Policy or to an order made by the Attorney General of Canada under the Foreign Extraterritorial Measures Act (Canada)
or by the Competition Tribunal under the Competition Act (Canada) in respect of certain judgments referred to in such statutes; or 

  

	 	(z)	the New York Judgment has been satisfied or is void or voidable under New York Law. 

(viii) Under the laws of the State of New York relating to submission to jurisdiction, such Selling Shareholder has (i) pursuant to
Section 17 of the Purchase Agreement, validly submitted to the jurisdiction of any New York state or United States federal court located in The City of New York, New York, in any action or proceeding arising out of or with respect to the
Purchase Agreement, and (ii) validly appointed Corporation Services Company as its authorized agent for the purposes described in Section 17 of the Purchase Agreement; and service of process effected in the manner set forth in
Section 17 of the Purchase Agreement will be effective under the laws of the State of New York in connection with any such action or proceeding. 
  

 C-2 

 Exhibit D 

FORM OF LOCK-UP AGREEMENT 

___________ , ______ 

MERRILL LYNCH & CO. 
 Merrill Lynch,
Pierce, Fenner & Smith 

                       Incorporated,

 J.P. MORGAN SECURITIES INC. 

as Representatives of the several 

Underwriters to be named in the 

within-mentioned Purchase Agreement 

	c/o	Merrill Lynch & Co. 

    Merrill Lynch, Pierce, Fenner & Smith 

                         
                      Incorporated 

4 World Financial Center 

New York, New York 10080 
  

	 	Re:	Proposed Initial Public Offering by Mitel Networks Corporation 

Dear Sirs: 
 The undersigned, a
securityholder and/or an officer and/or director of Mitel Networks Corporation, a Canadian corporation (the “Company”), understands that Merrill Lynch & Co., Merrill Lynch, Pierce, Fenner & Smith Incorporated and J.P.
Morgan Securities Inc. (together, the “Representatives”) propose to enter into a Purchase Agreement (the “Purchase Agreement”) with the Company and certain selling shareholders of the Company providing for the initial public
offering of common shares, no par value (“Common Shares”), of the Company. In recognition of the benefit that such an offering will confer upon the undersigned as a securityholder and/or an officer and/or director of the Company, and for
other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the undersigned agrees with each underwriter to be named in the Purchase Agreement that, during a period of 180 days from the date of the Purchase
Agreement, the undersigned will not, without the prior written consent of the Representatives, directly or indirectly, (i) offer, pledge, sell, contract to sell, sell any option or contract to purchase, purchase any option or contract to sell,
grant any option, right or warrant for the sale of, or otherwise dispose of or transfer any Common Shares or any securities convertible into or exchangeable or exercisable for Common Shares, whether now owned or hereafter acquired by the undersigned
or with respect to which the undersigned has or hereafter acquires the power of disposition, or file, or cause to be filed, any registration statement under the Securities Act of 1933, as amended, or any prospectus under any applicable Canadian
securities laws, with respect to any of the foregoing (collectively, the “Lock-Up Securities”) or (ii) enter into any swap or any other agreement or any transaction that transfers, in whole or in part, directly or indirectly, the
economic consequence of ownership of the Lock-Up Securities, whether any such swap or transaction is to be settled by delivery of Common Shares or other securities, in cash or otherwise. 

Notwithstanding the foregoing, and subject to the conditions below, the restrictions contained herein shall not apply to:
(a) transfers of Common Shares or any security convertible into Common Shares as a bona fide gift, (b) distributions of Common Shares or any security convertible into Common Shares to limited partners or shareholders of the undersigned,
(c) transactions effected in accordance with any recapitalization of the Company as described in the prospectus, (d) tenders pursuant to a bona fide third party take-over bid made to all holders of Common Shares or similar
acquisition transaction provided that, in the event that the bid or acquisition transaction is not completed, any securities tendered will remain subject to the restrictions contained in this undertaking, (e) transfers to (i) a spouse,
parent, child or grandchild of the undersigned (a “Relation”), (ii) a trust the only beneficiaries of which are any of the undersigned and/or one or more of its affiliates or Relations, (iii) a corporation or other entity of
which any of the undersigned and/or its affiliates or Relations are at all times the direct or indirect legal and beneficial owners of all of the outstanding securities or similar interests, or (iv) a partnership, the partners of which are
exclusively the undersigned and/or its affiliates or Relations; or (f) transfers of Common Shares or securities convertible into Common Shares acquired in open market transactions after the completion of the Public Offering; provided
that in the case of (f) no filing or disclosure under Section 16(a) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or section 107 of the Securities Act (Ontario) or other applicable securities laws shall
be required or shall be voluntarily made in connection with subsequent sales of the Common Shares or securities convertible into Common Shares acquired in such open market transactions; and further provided that in the case of any transfer or
distribution pursuant to clause (a), (b) or (e), the Representatives receive a signed lock-up agreement for the balance of the lock-up period from each donee, trustee, distributee, or transferee, as the case may be. 

 

 D-1 

 Notwithstanding the foregoing, if: 

(1) during the last 17 days of the 180-day lock-up period, the Company issues an earnings release or material news or a material event
relating to the Company occurs; or 
 (2) prior to the expiration of the 180-day lock-up period, the Company announces that it
will release earnings results or becomes aware that material news or a material event will occur during the 16-day period beginning on the last day of the 180-day lock-up period, 

the Representatives may extend, by written notice to the Company, the restrictions imposed by this lock-up agreement until the expiration of the 18-day
period beginning on the issuance of the earnings release or the occurrence of the material news or material event, as applicable. 

The undersigned hereby acknowledges and agrees that written notice of any extension of the 180-day lock-up period
pursuant to the previous paragraph will be delivered by the Representatives to the Company (in accordance with the Purchase Agreement) and that any such notice properly delivered will be deemed to have been given to, and received by, the
undersigned. The undersigned further agrees that, prior to engaging in any transaction or taking any other action that is subject to the terms of this lock-up agreement during the period from the date of this lock-up agreement to and including the
34th day following the expiration of the initial 180-day
lock-up period, it will give notice thereof to the Company and will not consummate such transaction or take any such action unless it has received written confirmation from the Company that the 180-day lock-up period (as may have been extended
pursuant to the previous paragraph) has expired. 
 The undersigned also agrees and consents to the entry of stop transfer
instructions with the Company’s transfer agent and registrar against the transfer of the Lock-Up Securities except in compliance with the foregoing restrictions. 

This agreement shall automatically terminate and be of no force and effect (i) if the registration statement relating to the initial
public offering has been withdrawn for any reason prior to the consummation of the offering, (ii) upon the delivery of written notice by the Company to the Representatives prior to the effective date of the registration statement of the initial
public offering that it is no longer interested in pursuing the initial public offering at the time of such notice or (iii) if no Common Shares have been purchased and paid for pursuant to the Purchase Agreement by September 30, 2010.

  

			
	Very truly yours,
		
	Signature:	 	 
		
	Print Name:	 	 

  

 D-2Fourth Amended and Restated Credit Agreement

  

 
 EXECUTABLE VERSION

 Exhibit 10.1 

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

dated as of 

MAY 28, 2010 

among 

GEOMET, INC., 

as Borrower, 

The Financial Institutions Listed on Schedule 1 hereto, 

as Banks, 

BANK OF AMERICA, N.A., 

as Administrative Agent 

and 

BNP PARIBAS, 

as Syndication Agent 

BANC OF AMERICA SECURITIES LLC and BNP PARIBAS, 

as Co-Lead Arrangers and Bookrunners 
  

 
  

 TABLE OF CONTENTS 

 

					
	 	  	 	  	Page No.
	 ARTICLE I
	  	TERMS DEFINED	  	2
	 Section 1.1
	  	Definitions	  	2
	 Section 1.2
	  	Accounting Terms and Determinations	  	27
	 Section 1.3
	  	Terms Generally	  	27
	 Section 1.4
	  	Letter of Credit Amounts	  	27
			
	 ARTICLE II
	  	THE CREDIT FACILITIES	  	27
	 Section 2.1
	  	Commitment	  	27
	 Section 2.2
	  	Method of Borrowing	  	32
	 Section 2.3
	  	Method of Requesting Letters of Credit	  	33
	 Section 2.4
	  	Swing Line Loans	  	33
	 Section 2.5
	  	Notes	  	37
	 Section 2.6
	  	Interest Rates; Payments	  	37
	 Section 2.7
	  	Mandatory Prepayment Following Certain Events	  	39
	 Section 2.8
	  	Voluntary Prepayments	  	39
	 Section 2.9
	  	Mandatory Termination of Commitments; Termination Date and Maturity	  	39
	 Section 2.10
	  	Voluntary Reduction of Total Commitment	  	39
	 Section 2.11
	  	Application of Payments	  	40
	 Section 2.12
	  	Commitment Fee	  	40
	 Section 2.13
	  	Letter of Credit Fees	  	40
	 Section 2.14
	  	Agency and Other Fees	  	40
			
	 ARTICLE III
	  	GENERAL PROVISIONS	  	40
	 Section 3.1
	  	Delivery and Endorsement of Notes	  	40
	 Section 3.2
	  	General Provisions as to Payments	  	41
	 Section 3.3
	  	Funding Losses	  	42
	 Section 3.4
	  	Foreign Lenders, Participants, and Assignees	  	42
	 Section 3.5
	  	Non Receipt of Funds by Administrative Agent	  	43
			
	 ARTICLE IV
	  	BORROWING BASE	  	43
	 Section 4.1
	  	Reserve Reports; Proposed Borrowing Base	  	43
	 Section 4.2
	  	Scheduled Redeterminations of the Borrowing Base; Procedures and Standards	  	43
	 Section 4.3
	  	Special Determination of Borrowing Base	  	44
	 Section 4.4
	  	Adjustments for Certain Approved Asset Dispositions	  	45
	 Section 4.5
	  	Borrowing Base Deficiency	  	45
	 Section 4.6
	  	Initial Borrowing Base	  	45
			
	 ARTICLE V
	  	COLLATERAL	  	46
	 Section 5.1
	  	Security	  	46
	 Section 5.2
	  	Opinions of Counsel	  	47

  

 i 

					
	 Section 5.3
	  	Guarantees	  	47
			
	 ARTICLE VI
	  	CONDITIONS TO BORROWINGS	  	47
	 Section 6.1
	  	Conditions to Amendment and Restatement of Existing Credit Agreement, Initial Borrowing and Participation in Letter of Credit Exposure	  	47
	 Section 6.2
	  	Conditions to each Borrowing and each Letter of Credit	  	51
	 Section 6.3
	  	Materiality of Conditions	  	52
			
	 ARTICLE VII
	  	REPRESENTATIONS AND WARRANTIES	  	52
	 Section 7.1
	  	Existence and Power	  	52
	 Section 7.2
	  	Corporate, Limited Liability Company, Partnership and Governmental Authorization; Contravention	  	52
	 Section 7.3
	  	Binding Effect	  	53
	 Section 7.4
	  	Financial Information	  	53
	 Section 7.5
	  	Litigation	  	53
	 Section 7.6
	  	ERISA	  	53
	 Section 7.7
	  	Taxes and Filing of Tax Returns	  	54
	 Section 7.8
	  	Title to Properties; Liens	  	54
	 Section 7.9
	  	Mineral Interests	  	55
	 Section 7.10
	  	Business; Compliance	  	55
	 Section 7.11
	  	Licenses, Permits, Etc	  	55
	 Section 7.12
	  	Compliance with Law	  	55
	 Section 7.13
	  	Full Disclosure	  	56
	 Section 7.14
	  	Organizational Structure; Nature of Business	  	56
	 Section 7.15
	  	Environmental Matters	  	56
	 Section 7.16
	  	Burdensome Obligations	  	57
	 Section 7.17
	  	Government Regulations	  	57
	 Section 7.18
	  	Fiscal Year	  	57
	 Section 7.19
	  	No Default	  	57
	 Section 7.20
	  	Gas Balancing Agreements and Advance Payment Contracts	  	57
	 Section 7.21
	  	Convertible Preferred Equity Documents	  	58
			
	 ARTICLE VIII
	  	AFFIRMATIVE COVENANTS	  	58
	 Section 8.1
	  	Information	  	58
	 Section 8.2
	  	Business of Credit Parties	  	60
	 Section 8.3
	  	Maintenance of Existence	  	60
	 Section 8.4
	  	Right of Inspection	  	61
	 Section 8.5
	  	Maintenance of Insurance	  	61
	 Section 8.6
	  	Payment of Taxes and Claims	  	61
	 Section 8.7
	  	Compliance with Laws and Documents	  	61
	 Section 8.8
	  	Operation of Properties and Equipment	  	62
	 Section 8.9
	  	Further Assurances	  	62
	 Section 8.10
	  	Environmental Law Compliance and Indemnity	  	62
	 Section 8.11
	  	ERISA Reporting Requirements	  	63

  

 ii 

					
	 ARTICLE IX
	  	NEGATIVE COVENANTS	  	64
	 Section 9.1
	  	Debt of Borrower	  	64
	 Section 9.2
	  	Restricted Payments	  	65
	 Section 9.3
	  	Negative Pledge	  	65
	 Section 9.4
	  	Consolidations and Mergers	  	65
	 Section 9.5
	  	Asset Dispositions	  	65
	 Section 9.6
	  	Amendments to Organizational Documents; Other Material Agreements	  	66
	 Section 9.7
	  	Use of Proceeds	  	66
	 Section 9.8
	  	Investments	  	67
	 Section 9.9
	  	Transactions with Affiliates	  	67
	 Section 9.10
	  	ERISA	  	67
	 Section 9.11
	  	Hedge Transactions	  	67
	 Section 9.12
	  	Operating Leases and Master Leases	  	67
	 Section 9.13
	  	Speculative Hedge Transactions	  	67
	 Section 9.14
	  	Fiscal Year	  	68
	 Section 9.15
	  	Change in Business	  	68
			
	 ARTICLE X
	  	FINANCIAL COVENANTS	  	68
			
	 ARTICLE XI
	  	DEFAULTS	  	68
	 Section 11.1
	  	Events of Default	  	68
			
	 ARTICLE XII
	  	AGENTS	  	70
	 Section 12.1
	  	Appointment and Authority	  	70
	 Section 12.2
	  	Rights as a Bank	  	71
	 Section 12.3
	  	Exculpatory Provisions	  	71
	 Section 12.4
	  	Reliance by Administrative Agent	  	72
	 Section 12.5
	  	Delegation of Duties	  	72
	 Section 12.6
	  	Resignation of Administrative Agent	  	72
	 Section 12.7
	  	Non-Reliance on Administrative Agent and Other Banks	  	73
	 Section 12.8
	  	No Other Duties, Etc	  	73
	 Section 12.9
	  	Administrative Agent May File Proofs of Claim	  	73
	 Section 12.10
	  	Collateral and Guarantee Matters	  	74
			
	 ARTICLE XIII
	  	PROTECTION OF YIELD; CHANGE IN LAWS	  	75
	 Section 13.1
	  	Basis for Determining Interest Rate Applicable to Eurodollar Tranches Inadequate	  	75
	 Section 13.2
	  	Illegality of Eurodollar Tranches	  	75
	 Section 13.3
	  	Increased Cost of Eurodollar Tranche	  	76
	 Section 13.4
	  	Adjusted Base Rate Tranche Substituted for Affected Eurodollar Tranche	  	77
	 Section 13.5
	  	Capital Adequacy	  	77
	 Section 13.6
	  	Taxes	  	78
	 Section 13.7
	  	Discretion of Banks as to Manner of Funding	  	79

  

 iii 

					
	 ARTICLE XIV
	  	MISCELLANEOUS	  	79
	 Section 14.1
	  	Notices; Electronic Communication	  	79
	 Section 14.2
	  	Waivers and Amendments; Acknowledgments	  	80
	 Section 14.3
	  	Expenses; Documentary Taxes; Indemnification	  	81
	 Section 14.4
	  	Right and Sharing of Set-Offs	  	82
	 Section 14.5
	  	Survival	  	83
	 Section 14.6
	  	Limitation on Interest	  	83
	 Section 14.7
	  	Invalid Provisions	  	84
	 Section 14.8
	  	Successors and Assigns	  	84
	 Section 14.9
	  	Applicable Law and Jurisdiction	  	86
	 Section 14.10
	  	Counterparts; Effectiveness	  	87
	 Section 14.11
	  	No Third Party Beneficiaries	  	87
	 Section 14.12
	  	COMPLETE AGREEMENT	  	87
	 Section 14.13
	  	WAIVER OF JURY TRIAL, PUNITIVE DAMAGES, ETC	  	87
	 Section 14.14
	  	Confidential Information	  	88
	 Section 14.15
	  	USA Patriot Act Notice	  	88

  

 iv 

 LIST OF DEFINED TERMS 

 

			
	 	  	Page No.
	 Act
	  	90
	 Adjusted Base Rate
	  	2
	 Adjusted Base Rate Borrowing
	  	2
	 Adjusted Base Rate Loan
	  	2
	 Adjusted Base Rate Tranche
	  	2
	 Adjusted LIBOR Rate
	  	2
	 Administrative Agent
	  	1, 2
	 Advance Payment
	  	2
	 Advance Payment Contract
	  	2
	 Affiliate
	  	3
	 Agent
	  	3
	 Agents
	  	3
	 Agreement
	  	3
	 Applicable Environmental Law
	  	3
	 Applicable Margin
	  	4
	 Approved Fund
	  	4
	 Approved Petroleum Engineer
	  	4
	 Asset Disposition
	  	4
	 Assignee
	  	86
	 Assignment and Assumption Agreement
	  	87
	 Authorized Officer
	  	4
	 Availability
	  	4
	 Bank
	  	1, 5
	 Bank of America
	  	5
	 Bank of America Master Lease
	  	5
	 Banks
	  	1, 5
	 Base Rate
	  	5
	 Book Runner
	  	5
	 Borrower
	  	5
	 Borrower Pledge Agreement
	  	5
	 Borrowing
	  	5
	 Borrowing Base
	  	5
	 Borrowing Base Deficiency
	  	5
	 Borrowing Base Hedge
	  	5
	 Borrowing Base Hedge Monetization
	  	6
	 Borrowing Base Properties
	  	6
	 Borrowing Date
	  	6
	 Cadent
	  	6
	 Cahaba Mortgage
	  	6
	 Cahaba Wells
	  	6, 56
	 Capital Expenditure
	  	6
	 Capital Lease
	  	6

  

 v 

			
	 Capital Lease Obligations
	  	6
	 Cash Management Obligations
	  	6
	 Cash Management Products
	  	7
	 CERCLA
	  	3
	 Certificate of Effectiveness
	  	7
	 Code
	  	7
	 Commitment
	  	7
	 Commitment Fee Percentage
	  	7
	 Commitment Percentage
	  	7
	 Consolidated Current Assets
	  	7
	 Consolidated Current Liabilities
	  	8
	 Consolidated Domestic Subsidiaries
	  	8
	 Consolidated Domestic Subsidiary
	  	8
	 Consolidated EBITDA
	  	8
	 Consolidated Net Income
	  	8
	 Consolidated Net Interest
	  	8
	 Consolidated Subsidiaries
	  	8
	 Consolidated Subsidiary
	  	8
	 contract rate
	  	40
	 Control
	  	8
	 Conversion Date
	  	39
	 Convertible Preferred Equity
	  	9
	 Convertible Preferred Equity Documents
	  	9
	 Credit Parties
	  	9
	 Credit Party
	  	9
	 Current Financials
	  	9
	 Debt
	  	9
	 Debtor Relief Laws
	  	10
	 Default
	  	10
	 Default Rate
	  	10
	 Defaulting Bank
	  	10
	 Determination
	  	10
	 Determination Date
	  	10
	 Determination Period
	  	10
	 disposal
	  	3
	 disposed
	  	3
	 Distribution
	  	11
	 Domestic Business Day
	  	11
	 Domestic Lending Office
	  	11
	 Domestic Subsidiary
	  	11
	 Effective Date
	  	11
	 Election Notice
	  	46
	 Environmental Complaint
	  	11
	 Environmental Liability
	  	11
	 Equity
	  	12
	 ERISA
	  	12

  

 vi 

			
	 ERISA Affiliate
	  	12
	 ERISA Event
	  	12
	 Eurodollar Borrowing
	  	12
	 Eurodollar Business Day
	  	12
	 Eurodollar Lending Office
	  	12
	 Eurodollar Reserve Percentage
	  	12
	 Eurodollar Tranche
	  	13
	 Event of Default
	  	70
	 Events of Default
	  	70
	 Exchange Act
	  	13
	 Exhibit
	  	13
	 Existing Banks
	  	1
	 Existing Credit Agreement
	  	1
	 Existing Mortgages
	  	13
	 Facility Guaranty
	  	13
	 Federal Funds Rate
	  	13
	 Fiscal Quarter
	  	13
	 Fiscal Year
	  	13
	 Foreign Subsidiary
	  	13
	 GAAP
	  	13
	 Gas Balancing Agreement
	  	14
	 GeoMet Gathering
	  	14
	 GeoMet Operating
	  	14
	 Governmental Authority
	  	14
	 Guarantee
	  	14
	 Hazardous Discharge
	  	14
	 hazardous substance
	  	3
	 Hazardous Substance
	  	14
	 Hedge Transaction
	  	15
	 Hedge Transaction Letters of Credit
	  	15
	 Hydrocarbons
	  	15
	 Immaterial Title Deficiencies
	  	15
	 Impacted Bank
	  	15
	 Indemnified Entity
	  	83
	 Indirect Domestic Subsidiary
	  	27
	 Initial Borrowing Base
	  	15
	 Initial Reserve Report
	  	15
	 Interest Coverage Ratio
	  	16
	 Interest Expense
	  	16
	 Interest Option
	  	39
	 Interest Period
	  	16
	 Investment
	  	16, 17
	 Issuer Documents
	  	17
	 Laws
	  	17
	 Lead Arranger
	  	17
	 Lending Office
	  	17

  

 vii 

			
	 Letter of Credit Application
	  	29
	 Letter of Credit Exposure
	  	17
	 Letter of Credit Fee
	  	17
	 Letter of Credit Fronting Fee
	  	18
	 Letter of Credit Issuer
	  	18, 29
	 Letter of Credit Period
	  	18
	 Letters of Credit
	  	18
	 Leverage Ratio
	  	18
	 liabilities and costs
	  	83
	 LIBOR Rate
	  	18
	 Lien
	  	19
	 Loan
	  	19
	 Loan Papers
	  	19
	 Margin Regulations
	  	19
	 Margin Stock
	  	19
	 Master Leases
	  	19
	 Material Adverse Change
	  	19
	 Material Adverse Effect
	  	19
	 Material Agreement
	  	19
	 Material Gas Imbalance
	  	20
	 Maximum Lawful Rate
	  	20
	 Mineral Interests
	  	20
	 Mortgages
	  	20
	 Net Cash Proceeds
	  	20
	 Note
	  	21
	 Notes
	  	21
	 Obligations
	  	21
	 Oil and Gas Hedge Transactions
	  	21
	 Operating Lease
	  	21
	 Outstanding Credit
	  	21
	 Participant
	  	86
	 Payor
	  	44
	 PBGC
	  	22
	 Periodic Determination
	  	22
	 Permitted Asset Dispositions
	  	22
	 Permitted Encumbrances
	  	22
	 Permitted Investment
	  	24
	 Person
	  	24
	 petroleum
	  	3
	 Plan
	  	25
	 Process Agent
	  	88
	 Proved Mineral Interests
	  	25
	 Proved Non-producing Mineral Interests
	  	25
	 Proved Producing Mineral Interests
	  	25
	 Proved Undeveloped Mineral Interests
	  	25
	 RCRA
	  	3

  

 viii 

			
	 Recognized Value
	  	25
	 Refunding Borrowing
	  	25
	 Regulation U
	  	25
	 Related Parties
	  	25
	 release
	  	3
	 Required Banks
	  	25
	 Required Payment
	  	44
	 Required Reserve Value
	  	26
	 Reserve Report
	  	26
	 Restricted Payment
	  	26
	 Rollover Notice
	  	39
	 Schedule
	  	26
	 Scheduled Determination Date
	  	26
	 SEC
	  	26
	 Section
	  	26
	 Sherwood
	  	26
	 solid waste
	  	3
	 Special Determination
	  	26
	 Subsidiary
	  	26
	 Subsidiary Pledge Agreement
	  	27
	 Surplus Commitment
	  	79
	 Swing Line Bank
	  	27
	 Swing Line Borrowing
	  	27
	 Swing Line Exposure
	  	27
	 Swing Line Loan
	  	35
	 Swing Line Notice
	  	27
	 Swing Line Sublimit
	  	27
	 Syndication Agent
	  	1, 27
	 Tax
	  	27
	 Taxes
	  	27
	 Termination Date
	  	27
	 threatened release
	  	3
	 Total Commitment
	  	27
	 Total Indebtedness
	  	28
	 Tranche
	  	28
	 Tranches
	  	28
	 Type
	  	28
	 US Bank Master Lease
	  	28
	 Yorktown
	  	28

  

 ix 

 EXHIBITS 

 

							
	 Exhibit A
	 	—	 		 	Form of Note
	 Exhibit B
	 	—	 		 	Form of Request for Borrowing
	 Exhibit C
	 	—	 		 	Form of Request for Letter of Credit
	 Exhibit D
	 	—	 		 	Form of Rollover Notice
	 Exhibit E
	 	—	 		 	Form of Financial Officer’s Certificate
	 Exhibit F
	 	—	 		 	Form of Assignment and Assumption Agreement
	 Exhibit G
	 	—	 		 	Form of Borrower Pledge Agreement
	 Exhibit H
	 	—	 		 	Form of Subsidiary Pledge Agreement
	 Exhibit I
	 	—	 		 	Form of Facility Guaranty
	 Exhibit J
	 	—	 		 	Form of Certificate of Effectiveness
	 Exhibit K
	 	—	 		 	Form of Swing Line Notice

 SCHEDULES

  

							
	 Schedule 1
	 	—	 		 	Financial Institutions
	 Schedule 2
	 	—	 		 	Litigation
	 Schedule 3
	 	—	 		 	Organizational Structure
	 Schedule 4
	 	—	 		 	Liens to be Released
	 Schedule 5
	 	—	 		 	Debt

  

 x 

 FOURTH AMENDED AND RESTATED CREDIT AGREEMENT 

THIS FOURTH AMENDED AND RESTATED CREDIT AGREEMENT, dated as of May 28, 2010, to be effective as of the Effective Date (as
hereinafter defined), is by and among GeoMet, Inc., a Delaware corporation (“Borrower”), Bank of America, N.A., a national banking association, as Administrative Agent (“Administrative Agent”), BNP
Paribas, as Syndication Agent (“Syndication Agent”), and the financial institutions listed on Schedule 1 hereto as Banks including, without limitation, Swing Line Bank (as defined below) (individually a
“Bank” and collectively “Banks”). 
 W I T N E S E T H 

WHEREAS, Borrower, Administrative Agent, Syndication Agent and the financial institutions a party thereto (“Existing
Banks”) are parties to that certain Third Amended and Restated Credit Agreement dated as of June 9, 2006, pursuant to which Existing Banks provided certain loans and extensions of credit to Borrower (as amended, the
“Existing Credit Agreement”); and 
 WHEREAS, subject to the conditions precedent set forth herein
(including the closing of the Convertible Preferred Equity Issuance on or before August 16, 2010), the parties hereto desire to amend and restate the Existing Credit Agreement in its entirety in the form of this Agreement, and Borrower desires
to obtain Borrowings (as herein defined) (a) to refinance the indebtedness under the Existing Credit Agreement, and (b) for other purposes permitted herein; and 

WHEREAS, pursuant to Article XII of this Agreement, Bank of America, N.A. has been appointed Administrative Agent for Banks
hereunder. 
 NOW, THEREFORE, in consideration of the premises, the representations, warranties, covenants and agreements
contained herein, and other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, Borrower, Administrative Agent, Syndication Agent and Banks hereby agree as follows: 

AMENDMENT AND RESTATEMENT 

Subject to the satisfaction of each condition precedent contained in Section 6.1 hereof, the satisfaction of which shall be
evidenced by the execution by Borrower and Administrative Agent of the Certificate of Effectiveness (as hereinafter defined), the Existing Credit Agreement shall be amended and restated as of the Effective Date (as hereinafter defined) in the form
of this Agreement. It is the intention of Borrower, Administrative Agent and Banks that this Agreement supersede and replace the Existing Credit Agreement in its entirety; provided, that (a) such amendment and restatement shall
operate to renew, amend and modify certain of the rights and obligations of the parties under the Existing Credit Agreement as provided herein, but shall not effect a novation thereof, and (b) the Liens securing the Obligations under and as
defined in the Existing Credit Agreement shall not be extinguished, but shall be carried forward and shall secure such Obligations as renewed, amended, restated and modified hereby. Borrower, Administrative Agent, Syndication Agent and Banks hereby
further agree as follows: 
  

 1 

 ARTICLE I 

TERMS DEFINED 

Section 1.1 Definitions. The following terms, as used herein, have the following meanings: 

“Adjusted Base Rate” means, on any day, the greatest of (a) the Base Rate in effect on such day,
(b) the sum of (i) the Federal Funds Rate in effect on such day, plus (ii) one half of one percent (.5%) and (c) the sum of (i) the Adjusted LIBOR Rate with respect to an Interest Period of one month beginning on such day
(or if such day is not a Eurodollar Business Day, beginning on the immediately preceding Eurodollar Business Day) plus (ii) one percent (1%). Each change in the Adjusted Base Rate shall become effective automatically and without notice to
Borrower or any Bank upon the effective date of each change in the Federal Funds Rate, the Base Rate or the Adjusted LIBOR Rate, as the case may be. 

“Adjusted Base Rate Borrowing” means any Borrowing which will constitute an Adjusted Base Rate Tranche.

 “Adjusted Base Rate Loan” means a portion of the principal of the Loan (including a Swing Line Loan)
bearing interest with reference to the Adjusted Base Rate. 
 “Adjusted Base Rate Tranche” means the
portion of the principal of the Loan bearing interest with reference to the Adjusted Base Rate. 
 “Adjusted LIBOR
Rate” applicable to any Interest Period, means a rate per annum equal to the quotient obtained (rounded upwards, if necessary, to the next higher 1/100 of 1%) by dividing (a) the applicable LIBOR Rate by (b) 1.00 minus the
Eurodollar Reserve Percentage. 
 “Administrative Agent” means Bank of America, N.A. in its capacity as
Administrative Agent for Banks hereunder, or any successor thereto. 
 “Advance Payment Contract” means
any contract whereby any Credit Party either (a) receives or becomes entitled to receive (either directly or indirectly) any payment (an “Advance Payment”) to be applied toward payment of the purchase price of
Hydrocarbons produced or to be produced from Mineral Interests owned by any Credit Party and which Advance Payment is paid or to be paid more than forty-five (45) days in advance of actual delivery of such production to or for the account of
the purchaser regardless of such production, or (b) grants an option or right of refusal to the purchaser to take delivery of such production in lieu of payment, and, in either of the foregoing instances, the Advance Payment is, or is to be,
applied as payment in full for such production when sold and delivered or is, or is to be, applied as payment for a portion only of the purchase price thereof or of a percentage or share of such production; provided that inclusion of the standard
“take or pay” provision in any gas sales or purchase contract or any other similar contract shall not, in and of itself, constitute such contract as an Advance Payment Contract for the purposes hereof. 

“Affiliate” means, as to any Person, any Subsidiary of such Person, or any other Person which, directly or
indirectly, Controls, is Controlled by, or is under common Control with, such Person. 
  

 2 

 “Agent” means Administrative Agent, co-Lead Arranger, co-Book
Runner, Syndication Agent or any other agent appointed hereunder from time to time, and “Agents” means Administrative Agent, co-Lead Arrangers, co-Book Runners, Syndication Agent and any other agent appointed hereunder from
time to time, collectively. 
 “Agreement” means this Fourth Amended and Restated Credit Agreement,
including the Schedules and Exhibits hereto, as the same may be amended or supplemented from time to time. 

“Applicable Environmental Law” means any Law, statute, ordinance, rule, regulation, order or determination of any
Governmental Authority (or other body exercising similar functions), affecting any real or personal property owned, operated or leased by any Credit Party or any other operation of any Credit Party in any way pertaining to the environment,
including, without limitation, (a) the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended by the Superfund Amendments and Reauthorization Act of 1986 (as amended from time to time, herein referred to as
“CERCLA”), (b) the Resource Conservation and Recovery Act of 1976, as amended by the Used Oil Recycling Act of 1980, the Solid Waste Recovery Act of 1976, as amended by the Solid Waste Disposal Act of 1980, and the
Hazardous and Solid Waste Amendments of 1984 (as amended from time to time, herein referred to as “RCRA”), (c) the Safe Drinking Water Act, as amended, (d) the Toxic Substances Control Act, as amended, (e) the
Clean Air Act, as amended, (f) the Laws, rules and regulations of any state having jurisdiction over any real or personal property owned, operated or leased by any Credit Party or any other operation of any Credit Party which relates to health,
safety or the environment, as each may be amended from time to time, and (g) any federal, state or municipal Laws, ordinances or regulations which may now or hereafter require removal of asbestos or other hazardous wastes or impose any
liability related to asbestos or other hazardous wastes. As used in any provision hereof relating to environmental matters, the terms “hazardous substance”, “petroleum”,
“release” and “threatened release” have the meanings specified in CERCLA, and the terms “solid waste” and “disposal” (or
“disposed”) have the meanings specified in RCRA; provided, however, in the event either CERCLA or RCRA is amended so as to broaden the meaning of any term defined thereby, such broader meaning shall apply
subsequent to the effective date of such amendment with respect to all provisions of this Agreement; and provided further that, to the extent the Laws of the state in which any real or personal property owned, operated or leased by any
Credit Party is located establish a meaning for “hazardous substance”, “petroleum”, “release”, “solid waste” or “disposal” which is broader than that specified in either CERCLA or RCRA, such broader
meaning shall apply in such provisions in so far as such broader meaning is applicable to the real or personal property owned, operated or leased by any such Credit Party and located in such state. 

“Applicable Margin” means, on any date, with respect to each Adjusted Base Rate Tranche or Eurodollar Tranche, an
amount determined by reference to the ratio of Outstanding Credit to the Borrowing Base on such date in accordance with the table below: 
  

					
	Ratio of Outstanding Credit to
Borrowing Base	  	Applicable
Margin
	  	LIBOR	  	ABR
	3 90%
	  	3.250%	  	2.250%
	3 75%
	  	3.000%	  	2.000%
	3 50%
	  	2.750%	  	1.750%
	3 25%
	  	2.500%	  	1.500%
	< 25%	  	2.250%	  	1.250%

 

 3 

 “Approved Fund” means any Person (other than a natural person) that
is (or will be) engaged in making, purchasing, holding and otherwise investing in commercial revolving loans in the ordinary course of its business, that is adequately capitalized to perform its funding obligations with respect to its commitment
hereunder, and that is administered or managed by (a) a Bank, (b) an Affiliate of a Bank, or (c) an entity or an Affiliate of an entity that administers or manages a Bank. 

“Approved Petroleum Engineer” means (a) DeGolyer and MacNaughton and (b) any other reputable firm of
independent petroleum engineers as shall be selected by Borrower and approved by Required Banks, such approval not to be unreasonably withheld. 

“Asset Disposition” means the sale, assignment, lease, license, transfer, exchange or other disposition by any
Credit Party of any Borrowing Base Property or any Borrowing Base Hedge Monetization. 
 “Assignee” has
the meaning given such term in Section 14.8(c). 
 “Assignment and Assumption Agreement” has
the meaning given such term in Section 14.8(c). 
 “Authorized Officer” means, as to any
Person, its Chairman, Chief Executive Officer, Vice-Chairman, President, Executive Vice President(s), Senior Vice President(s), Vice President, Secretary, Assistant Secretary, Treasurer or Controller duly authorized to act on behalf of such Person.

 “Availability” means, at any time, (a) the Borrowing Base in effect at such time, minus
(b) the Outstanding Credit at such time. 
 “Bank” means any financial institution listed on
Schedule 1 hereto as having a Commitment, and its successors and assigns, and “Banks” shall mean all Banks including, as the context requires, Swing Line Bank. 

“Bank of America” means Bank of America, N.A., a national banking association. 

“Bank of America Master Lease” means that certain Master Equipment Lease Agreement dated as of October 31,
2003 between GeoMet Operating and Bank of America Business Capital Corporation, successor by merger to Fleet Capital Corporation, as from time to time amended and supplemented. 

“Base Rate” means the floating rate of interest established from time to time by Administrative Agent as its
“Base Rate” of interest, which rate is not the lowest rate of interest 
  

 4 

 
which Administrative Agent charges, each change in the Base Rate to become effective without notice to Borrower on the effective date of each such change. 

“Book Runner” means Banc of America Securities LLC and BNP Paribas, or either of them, each in their respective
capacities as co-book runners for the credit facility hereunder or any successor thereto. 
 “Borrower”
means GeoMet, Inc., a Delaware corporation. 
 “Borrower Pledge Agreement” means a Fourth Amended and
Restated Pledge Agreement substantially in the form of Exhibit G attached hereto to be executed by Borrower, pursuant to which Borrower shall (except as provided otherwise in the definition of “Credit Parties”) pledge to
Administrative Agent, for the ratable benefit of Banks, one-hundred percent (100%) of the issued and outstanding Equity owned by Borrower in each existing or hereafter created or acquired Subsidiary of Borrower to secure the Obligations.

 “Borrowing” means any disbursement to Borrower under, or to satisfy the obligations of any Credit
Party under, any of the Loan Papers and shall include, as the context may require, any Swing Line Borrowing. 

“Borrowing Base” means the amount from time to time determined as such pursuant to Section 4.2
through Section 4.6 hereof. 
 “Borrowing Base Deficiency” means, as of any date, the
amount, if any, by which (a) the Outstanding Credit on such date, exceeds (b) the Borrowing Base in effect on such date; provided, that for purposes of computing the existence and amount of any Borrowing Base Deficiency,
Letter of Credit Exposure will not be deemed to be outstanding to the extent funds have been deposited with Administrative Agent to secure such Letter of Credit Exposure pursuant to Section 2.1(b). 

“Borrowing Base Hedge” means, at any time, any Hedge Transaction that has been incorporated into the
determination of the Borrowing Base then in effect, as determined by Administrative Agent. 
 “Borrowing Base Hedge
Monetization” means the termination (other than at its scheduled maturity) or monetization of any Borrowing Base Hedge, provided that the termination or offset of a Borrowing Base Hedge that is, in substantially contemporaneous
transactions, replaced by one or more other Hedge Transactions with approximately the same mark-to-market value and without material cash payments to any Credit Party in connection therewith, will not constitute a Borrowing Hedge Monetization, and
further provided that all of such replacement Hedge Transactions will be deemed Borrowing Base Hedges. 
 “Borrowing
Base Properties” means all Proved Mineral Interests evaluated by Banks for purposes of establishing the Borrowing Base. The Borrowing Base Properties on the Effective Date are described in the Initial Reserve Report. 

 

 5 

 “Borrowing Date” means the Eurodollar Business Day or the Domestic
Business Day, as the case may be, upon which the proceeds of any Borrowing are made available to Borrower or to satisfy the obligations of Borrower or any Subsidiary of Borrower. 

“Cadent” means, collectively, Cadent Energy Partners, LLC, a Delaware limited liability company, and its
Affiliates and any fund managed or administered by Cadent Energy Partners, LLC or any of its Affiliates. 
 “Cahaba
Mortgage” means, collectively, the Mortgage or Mortgages encumbering the Cahaba Wells in Bibb and Shelby Counties, Alabama, as the same may be amended, modified, restated or supplemented from time to time. 

“Cahaba Wells” has the meaning given such term in Section 7.8. 

“Capital Expenditure” means any expenditure for any purchase or other acquisition of any asset which would be
classified as a fixed or capital asset on a consolidated balance sheet of Borrower and its Domestic Subsidiaries prepared in accordance with GAAP. 

“Capital Lease” means, for any Person as of any date, any lease of property, real or personal, which would be
capitalized on a balance sheet of the lessee prepared as of such date in accordance with GAAP. 
 “Capital Lease
Obligations” of any Person means the obligations of such Person to pay rent or other amounts under any Capital Lease, which obligations are required to be classified and accounted for as Capital Leases on a balance sheet of such Person
under GAAP, and the amount of such obligations at any time shall be the capitalized amount thereof at such time determined in accordance with GAAP. 

“Cash Management Obligations” means liabilities of any Credit Party owing to any Agent or to any Bank (or an
Affiliate of a Bank in reliance on such Bank’s agreement to indemnify such Affiliate) relating to or arising out of the provision by such Agent, such Bank or such Affiliate, as applicable, of Cash Management Products. 

“Cash Management Products” means (a) cash and treasury management services (including, without limitation,
controlled disbursement, automated clearinghouse transactions, return items, overdrafts, interstate depository network services, corporate card services and international wire services) and (b) services relating to the establishment and
maintenance of deposit accounts. 
 “Certificate of Effectiveness” means a Certificate of Effectiveness
in the form of Exhibit J attached hereto to be executed by Borrower and Administrative Agent upon the satisfaction of each of the conditions precedent contained in Section 6.1 hereof. 

“Change of Control” means the occurrence of the following, whether voluntary or involuntary, including by
operation of law: (a) any Person or group (as defined in Section 13(d)(3) or 14(d)(2) of the Exchange Act) shall become the direct or indirect beneficial owner (as defined in Section 13(d)(3) of the Exchange Act) of a larger
percentage of the total voting power of all classes of capital stock then outstanding of Borrower entitled (without regard to the 

 

 6 

 
occurrence of any contingency) to vote in elections of directors of Borrower than the percentage of such total voting power directly or indirectly beneficially owned by Yorktown, Sherwood and
Cadent, or (b) any Person or group (as defined in Section 13(d)(3) or 14(d)(2) of the Exchange Act) other than Yorktown, Sherwood and Cadent, or a group of which any of them is a part, shall become the direct or indirect beneficial owner
(as defined in Section 13(d)(3) of the Exchange Act) of greater than thirty-three percent (33%) of the total voting power of all classes of capital stock then outstanding of Borrower entitled (without regard to the occurrence of any
contingency) to vote in elections of directors of Borrower. 
 “Code” means the Internal Revenue Code of
1986, as amended. 
 “Commitment” means, with respect to any Bank, the amount set forth opposite such
Bank’s name on Schedule 1 hereto, as such amount may be terminated or reduced from time to time in accordance with the provisions hereof, and the term “Commitment” shall include the commitment of Swing Line Bank to make Swing
Line Loans, and the requirement of Banks to fund and purchase participations in Swing Line Loans, pursuant to Section 2.4 hereof. 

“Commitment Fee Percentage” means, for any day, one-half of one percent (0.5%). 

“Commitment Percentage” means, with respect to any Bank at any time, the Commitment Percentage for such Bank set
forth on Schedule 1 hereto. 
 “Consolidated Current Assets” means, in the case of Borrower at
any time, the sum of (a) the current assets of Borrower and its Consolidated Domestic Subsidiaries at such time determined in accordance with GAAP, plus (b) the Availability at such time. For purposes of this definition, any unrealized
gains on any Hedge Transaction for any period of determination shall be excluded from the determination of current assets of Borrower and its Consolidated Domestic Subsidiaries. 

“Consolidated Current Liabilities” means, in the case of Borrower at any time, the current liabilities of
Borrower and its Consolidated Domestic Subsidiaries at such time determined in accordance with GAAP, excluding (a) any current liabilities to pay principal on the Notes and (b) current liabilities of up to $1,500,000 in the aggregate to
pay accrued and unpaid Distributions in respect of Convertible Preferred Equity. For purposes of this definition, any unrealized losses or charges on any Hedge Transaction for any period of determination shall also be excluded from the determination
of current liabilities of Borrower and its Consolidated Domestic Subsidiaries. 
 “Consolidated EBITDA”
means, in the case of Borrower for any period, the Consolidated Net Income of Borrower for such period, plus each of the following determined for Borrower and its Consolidated Domestic Subsidiaries on a consolidated basis for such period:
(a) any provision for (or less any benefit from) income or franchise Taxes included in determining Consolidated Net Income; (b) Consolidated Net Interest Expense deducted in determining Consolidated Net Income; (c) depreciation,
depletion and amortization expense deducted in determining Consolidated Net Income; and (d) other non-cash charges deducted in determining Consolidated Net Income to the extent not already included in clauses (b) and (c) of

  

 7 

 
this definition (including exploration expenses in the event Borrower uses successful efforts accounting). 

“Consolidated Net Income” means, in the case of Borrower for any period, the net income (or loss) of Borrower and
its Consolidated Domestic Subsidiaries for such period determined in accordance with GAAP, but excluding: (a) the after-tax income or loss of any other Person (other than its Consolidated Domestic Subsidiaries) in which Borrower or any of its
Subsidiaries has an ownership interest, unless received by Borrower or its Consolidated Domestic Subsidiaries in a cash distribution; (b) any after-tax gains or losses attributable to fixed asset dispositions; (c) to the extent not
included in clauses (a) and (b) above, any after-tax (i) extraordinary gains or extraordinary losses, or (ii) non-cash nonrecurring gains; and (d) non-cash or nonrecurring charges. 

“Consolidated Net Interest Expense” means, in the case of Borrower for any period, the remainder of the following
for Borrower and its Consolidated Domestic Subsidiaries for such period: (a) Interest Expense, minus (b) interest income. 

“Consolidated Domestic Subsidiary” or “Consolidated Domestic Subsidiaries” means, as to
Borrower, at any time, its Consolidated Subsidiaries organized under the Laws of the United States of America or any political subdivision thereof. 

“Consolidated Subsidiary” or “Consolidated Subsidiaries” means, for any Person, at any
time, any Subsidiary or other entity the accounts of which would be consolidated with those of such Person in its consolidated financial statements as of such time. 

“Control” (including with correlative meanings, the terms “Controlled by” and “under common
Control with”), as used with respect to any Person, shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such Person, whether through the ownership of voting
securities or partnership interests, or by contract or otherwise. 
 “Conversion Date” has the meaning
set forth in Section 2.6(c). 
 “Convertible Preferred Equity” means convertible redeemable
preferred Equity issued by Borrower after the date hereof but on or prior to the Effective Date that results in Borrower’s receipt of aggregate gross proceeds (prior to the payment of related costs and expenses) of at least $40,000,000.

 “Convertible Preferred Equity Documents” means all agreements, certificates, documents or instruments
executed by Borrower in connection with the issuance of the Convertible Preferred Equity. 
 “Credit
Parties” means, collectively, Borrower and any Domestic Subsidiary of Borrower, and “Credit Party” means any one of the foregoing. Foreign Subsidiaries shall not be Credit Parties for any purpose under the Loan
Papers, and nothing in any Loan Paper shall require the creation or granting of any Lien upon (a) the Equity owned directly by Borrower or any Domestic Subsidiary in any Foreign Subsidiary or (b) any of the Equity owned by any Foreign
Subsidiary in any other Foreign Subsidiary. 
  

 8 

 “Current Financials” means, at any time, (a) the most recent
annual audited consolidated balance sheet of Borrower and the related consolidated statements of operations and cash flow delivered to Banks hereunder, and (b) the most recent quarterly unaudited consolidated balance sheet of Borrower and the
related unaudited consolidated statements of operations and cash flow delivered to Banks hereunder. Until superseded by the delivery by Borrower to Banks of more recent financial statements pursuant to Section 8.1(a) and
Section 8.1(b) hereof, “Current Financials” shall mean, collectively, (i) Borrower’s audited consolidated balance sheet as of December 31, 2009, and related audited consolidated statements of
operations and cash flows, and (ii) Borrower’s unaudited consolidated balance sheet as of March 31, 2010, and related unaudited consolidated statements of operations and cash flows, copies of which have been provided to Banks.

 “Debt” of any Person means, without duplication, (a) all obligations of such Person for borrowed
money, (b) all obligations of such Person evidenced by bonds, debentures, notes or other similar instruments issued by such Person, (c) all other indebtedness (including obligations under Capital Leases, other than Capital Leases which are
usual and customary oil and gas leases) of such Person on which interest charges are customarily paid or accrued, (d) all Guarantees by such Person, (e) the unfunded or unreimbursed portion of all letters of credit issued for the account
of such Person, (f) any amount owed by such Person representing the deferred purchase price for property or services acquired by such Person other than trade payables incurred in the ordinary course of business which are not more than ninety
(90) days past the invoice date (or are being disputed in good faith), (g) all Debt of any other Person secured by a Lien on any property or asset owned or held by that Person regardless of whether the Debt secured thereby shall have been
assumed by that Person or is non-recourse to the credit of that Person, and (h) all liability of such Person as a general partner of a partnership for obligations of such partnership of the nature described in clauses (a) through
(g) preceding; provided, however, that obligations in an aggregate amount up to $620,000 evidenced by the two notes payable and the salary continuation payable mentioned in footnote 9 to Borrower’s December 31, 2009
financial statements shall not constitute Debt for the purposes hereof. 
 “Debtor Relief Laws” means
the Bankruptcy Code of the United States, and all other liquidation, conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium, rearrangement, receivership, insolvency, reorganization, or similar debtor relief Laws of the
United States or other applicable jurisdictions from time to time in effect and affecting the rights of creditors generally. 

“Default” means any condition or event which constitutes an Event of Default or which with the giving of notice
or lapse of time or both would, unless cured or waived, become an Event of Default. 
 “Defaulting Bank”
means any Bank that (a) has failed to fund any portion of the Loans or participations in Letters of Credit required to be funded by it hereunder within one (1) Domestic Business Day of the date required to be funded by it hereunder,
(b) has otherwise failed to pay over to Administrative Agent or any other Bank any other amount required to be paid by it hereunder within one (1) Domestic Business Day of the date when due, unless the subject of a good faith dispute, or
(c) has been deemed insolvent or become the subject of a bankruptcy or insolvency proceeding. 
  

 9 

 “Default Rate” means, in respect of any principal of the Loan or any
other amount payable by Borrower under any Loan Paper which is not paid when due (whether at stated maturity, by acceleration, or otherwise), a rate per annum during the period commencing on the due date until such amount is paid in full equal to
the sum of (1) two percent (2%), plus (2) the Adjusted Base Rate as in effect from time to time; provided, that if such amount in default is principal of a Borrowing subject to a Eurodollar Tranche and the due date is a day
other than the last day of an Interest Period therefor, the “Default Rate” for such principal shall be, for the period from and including the due date and to but excluding the last day of the Interest Period therefor, (a) two percent
(2%), plus (b) the Applicable Margin, plus (c) the LIBOR Rate for such Borrowing for such Interest Period as provided in Section 2.6 hereof, and thereafter, the rate provided for above in this definition. 

“Determination” means any Periodic Determination or Special Determination. 

“Determination Date” means (a) each Scheduled Determination Date, and (b) with respect to any Special
Determination, the first day of the first month which is not less than twenty (20) Domestic Business Days following the date of a request for a Special Determination. 

“Determination Period” means any period beginning on a Scheduled Determination Date and ending the day before the
next succeeding Scheduled Determination Date. 
 “Distribution” by any Person, means (a) with
respect to any stock issued by such Person or any partnership, joint venture, limited liability company, membership or other Equity interest of such Person, the retirement, redemption, purchase, or other acquisition for value of any such stock,
partnership, joint venture, limited liability company, membership or other Equity interest, (b) the declaration or payment of any dividend or other distribution on or with respect to any stock, partnership, joint venture, limited liability
company, membership or other Equity interest of any Person, and (c) any other payment by such Person with respect to such stock, partnership, joint venture, limited liability company, membership or other Equity interest. 

“Dollar” and the sign “$” means lawful currency of the United States of America. 

“Domestic Business Day” means any day except a Saturday, Sunday or other day on which national banks in Boston,
Massachusetts or Charlotte, North Carolina are authorized by Law to close. 
 “Domestic Lending Office”
means, as to each Bank, its office identified on Schedule 1 hereto as its Domestic Lending Office or such other office as such Bank may hereafter designate as its Domestic Lending Office by notice to Borrower and Administrative Agent.

 “Domestic Subsidiary” means any Subsidiary of Borrower other than a Foreign Subsidiary. 

“Effective Date” means the date upon which (a) all of the conditions precedent set forth in
Section 6.1 have been satisfied, and (b) Borrower and Administrative Agent shall have executed the Certificate of Effectiveness, which date shall be set forth in, or otherwise be the date of execution of, the Certificate of
Effectiveness. 
  

 10 

 “Environmental Complaint” means any complaint, summons, citation,
notice, directive, order, claim, litigation, investigation, proceeding, judgment, letter or other communication from any federal, state or municipal authority or any other party against any Credit Party involving (a) a Hazardous Discharge from,
onto or about any real property owned, leased or operated at any time by any Credit Party, (b) a Hazardous Discharge caused, in whole or in part, by any Credit Party or by any Person acting on behalf of or at the instruction of any Credit
Party, or (c) any violation of any Applicable Environmental Law by any Credit Party. 
 “Environmental
Liability” means any liability, loss, fine, penalty, charge, or damage of any kind that results directly or indirectly, in whole or in part (a) from the violation of any Applicable Environmental Law, (b) from the release or
threatened release of any Hazardous Substance, (c) from removal, remediation, or other actions in response to the release or threatened release of any Hazardous Substance, (d) from actual or threatened damages to natural resources,
(e) from the imposition of injunctive relief or other orders in connection with any of the foregoing, (f) from personal injury, death, or property damage which occurs as a result of any Credit Party’s use, storage, handling, or the
release or threatened release of a Hazardous Substance, or (g) from any environmental investigation performed at, on, or for any real property owned by any Credit Party. 

“Equity” means shares of capital stock or a partnership, profits, capital or member interest, or options,
warrants or any other right to substitute for or otherwise acquire the capital stock or a partnership, profits, capital or member interest of any Person. 

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended. 

“ERISA Affiliate” means any corporation or trade or business under common control with any Credit Party as
determined under section 4001(a)(14) of ERISA. 
 “ERISA Event” means, with respect to any Credit Party
and any ERISA Affiliate, (a) a “reportable event” as defined in section 4043 of ERISA (other than a reportable event not subject to the provision for thirty (30) days notice to the PBGC under regulations issued under section 4043
of ERISA), (b) the withdrawal of any Credit Party or any ERISA Affiliate from a Plan during a plan year in which it was a “substantial employer” as defined in section 4001(a)(2) of ERISA, (c) the filing of a notice of intent to
terminate a Plan under section 4041(c) of ERISA, (d) the institution of proceedings to terminate a Plan by the PBGC, (e) the failure to make required contributions to a Plan which could result in the imposition of a lien under section 412
of the Code or section 302 of ERISA, or (f) any other event or condition which might reasonably be expected to constitute grounds under section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Plan.

 “Eurodollar Borrowing” means any Borrowing which will constitute a Eurodollar Tranche. 

“Eurodollar Business Day” means any Domestic Business Day on which commercial banks are open for international
business (including dealings in dollar deposits) in London and New York, New York. 
  

 11 

 “Eurodollar Lending Office” means, as to each Bank, its office,
branch or affiliate located at its address identified on Schedule 1 hereto as its Eurodollar Lending Office or such other office, branch or affiliate of such Bank as it may hereafter designate as its Eurodollar Lending Office by notice to
Borrower and Administrative Agent. 
 “Eurodollar Reserve Percentage” means for any day that percentage
(expressed as a decimal) which is in effect on such day, as prescribed by the Board of Governors of the Federal Reserve System (or any successor) for determining the maximum reserve requirement for a member bank of the Federal Reserve System in New
York, New York in respect of “Eurocurrency liabilities” (or in respect of any other category of liabilities which includes deposits by reference to which the interest rate on Eurodollar Tranches is determined or any category of extensions
of credit or other assets which includes loans by a non-United States office of any Bank to United States residents). The Adjusted LIBOR Rate shall be adjusted automatically on and as of the effective date of any change in the Eurodollar Reserve
Percentage. 
 “Eurodollar Tranche” means, with respect to any Interest Period, any portion of the
principal amount outstanding under the Loan which bears interest at a rate computed by reference to the Adjusted LIBOR Rate for such Interest Period. 

“Event of Default” has the meaning set forth in Section 11.1 hereof. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended. 

“Exhibit” refers to an exhibit attached to this Agreement and incorporated herein by reference, unless
specifically provided otherwise. 
 “Existing Credit Agreement” has the meaning given such term in the
recitals hereto. 
 “Existing Mortgages” means the mortgages, deeds of trust, amendments to mortgages,
security agreements, assignments, pledges and other documents, instruments and agreements executed and delivered in connection with the Existing Credit Agreement, as amended, supplemented, restated or otherwise modified from time to time.

 “Facility Guaranty” means a Guaranty substantially in the form of Exhibit I attached hereto to
be executed by GeoMet Operating, GeoMet Gathering and each other existing and future Domestic Subsidiary in favor of Banks, pursuant to which each such Person guarantees payment and performance in full of the Obligations. 

“Federal Funds Rate” means, for any day, the rate per annum (rounded upwards, if necessary, to the nearest 1/100
of 1%) equal to the weighted average of the rates on overnight federal funds transactions with members of the Federal Reserve System arranged by federal funds brokers on such day, as published by the Federal Reserve Bank of New York on the Domestic
Business Day next succeeding such day, provided, that (a) if the day for which such rate is to be determined is not a Domestic Business Day, the Federal Funds Rate for such day shall be such rate on such transactions on the next
preceding Domestic Business Day as so published on the next succeeding Domestic Business Day, and (b) if such rate is not so published on such next succeeding Domestic Business Day, the Federal Funds Rate for any day shall be the

  

 12 

 
average rate charged to Administrative Agent on such day on such transactions as determined by Administrative Agent. 

“Fiscal Quarter” means the three (3) month periods ending
March 31, June 30, September 30 or December 31 of each Fiscal Year. 
 “Fiscal
Year” means a twelve (12) month period ending December 31. 
 “Foreign
Subsidiary” means (a) any Subsidiary of Borrower that is not organized under the Laws of the United States of America or any political subdivision thereof and (b) any Subsidiary of a Foreign Subsidiary. 

“GAAP” means those generally accepted accounting principles and practices which are recognized as such by the
American Institute of Certified Public Accountants acting through its Accounting Principles Board or by the Financial Accounting Standards Board or through other appropriate boards or committees thereof and which are consistently applied for all
periods after the date hereof so as to properly reflect the financial condition, and the results of operations and change in the financial position, of a Person and its Consolidated Subsidiaries, except that any accounting principle or practice
required to be changed by said Accounting Principles Board or Financial Accounting Standards Board (or other appropriate board or committee of said Boards) in order to continue as a generally accepted accounting principle or practice may be so
changed. 
 “Gas Balancing Agreement” means any agreement or arrangement whereby any Credit Party, or
any other party having an interest in any Hydrocarbons to be produced from Mineral Interests in which any Credit Party owns an interest, has a right to take more than its proportionate share of production therefrom. 

“GeoMet Gathering” means GeoMet Gathering Company, LLC, an Alabama limited liability company. 

“GeoMet Operating” means GeoMet Operating Company, Inc., an Alabama corporation. 

“Governmental Authority” means any court or governmental department, commission, board, bureau, agency or
instrumentality of any nation or of any province, state, commonwealth, nation, territory, possession, county, parish or municipality, whether now or hereafter constituted or existing. 

“Guarantee” by any Person means any obligation, contingent or otherwise, of such Person directly or indirectly
guaranteeing any Debt of any other Person and, without limiting the generality of the foregoing, any obligation, direct or indirect, contingent or otherwise, of such Person (a) to purchase or pay (or advance or supply funds for the purchase or
payment of) such Debt (whether arising by virtue of partnership arrangements, by agreement to keep-well, to purchase assets, goods, securities or services, to take-or-pay, or to maintain financial statement conditions, by “comfort letter”
or other similar undertaking of support or otherwise) or (b) entered into for the purpose of assuring in any other manner the obligee of such Debt of the payment thereof or to protect such obligee against loss in respect thereof (in whole or in
part), 
  

 13 

 
provided, that the term Guarantee shall not include endorsements for collection or deposit in the ordinary course of business. 

“Hazardous Discharge” means any releasing, spilling, leaking, pumping, pouring, emitting, emptying, discharging,
injecting, escaping, leaching, disposing or dumping of any Hazardous Substance from or onto any real property owned, leased or operated at any time by any Credit Party or any real property owned, leased or operated by any other party. 

“Hazardous Substance” means any pollutant, toxic substance, hazardous waste, compound, element or chemical that
is defined as hazardous, toxic, noxious, dangerous or infectious pursuant to any Applicable Environmental Law or which is otherwise regulated by any Applicable Environmental Law. 

“Hedge Transaction” means any commodity, interest rate, currency or other swap, option, collar, exchange-traded
futures contract or other derivative contract pursuant to which a Person hedges risks related to commodity prices, interest rates, currency exchange rates, securities prices or financial market conditions. Hedge Transactions expressly include Oil
and Gas Hedge Transactions. 
 “Hedge Transaction Letters of Credit” means Letters of Credit issued to
secure Borrower’s obligations to counterparties under Oil and Gas Hedge Transactions. 

“Hydrocarbons” means oil, gas, coal bed methane and occluded gasses, casinghead gas, drip gasolines, natural
gasoline, condensate, distillate, and all other liquid and gaseous hydrocarbons produced or to be produced in conjunction therewith, and all products, by-products and all other substances derived therefrom or the processing thereof, including,
without limitation, all gas resulting from the in-situ combustion of coal or lignite. 
 “Immaterial Title
Deficiencies” means, with respect to Borrowing Base Properties, defects or clouds on title, discrepancies in reported net revenue and working interest ownership percentages and other Liens, defects, discrepancies and similar matters
which do not, individually or in the aggregate, affect Borrowing Base Properties with a Recognized Value greater than four percent (4%) of the Recognized Value of all such Borrowing Base Properties. 

“Impacted Bank” means any Bank (a) that is a Defaulting Bank and (b) (i) that has notified
Administrative Agent, the Letter of Credit Issuer or the Swing Line Bank that it does not intend to comply with its funding obligations or has made a public statement to that effect with respect to its funding obligations hereunder or under other
agreements in which it commits to extend credit or (ii) as to which an entity that Controls such Bank has been deemed insolvent or become subject to a bankruptcy or insolvency proceeding. Administrative Agent shall endeavor to notify Borrower
promptly upon Administrative Agent becoming aware of the existence of an Impacted Bank hereunder; provided, that Administrative Agent’s failure to provide such notice shall not be deemed to be a breach of this Agreement.

 “Indemnified Entity” has the meaning set forth in Section 14.3(b) hereof. 

“Indirect Domestic Subsidiary” has the meaning given such term in the definition of “Subsidiary Pledge
Agreement.” 
  

 14 

 “Initial Borrowing Base” means a Borrowing Base in the amount of
$90,000,000, which shall be in effect during the period commencing on the Effective Date and continuing until the first Special Determination or Periodic Determination after the Effective Date. 

“Initial Reserve Report” means an engineering analysis of the Borrowing Base Properties evaluated by
Administrative Agent for purposes of establishing the Initial Borrowing Base, dated as of December 31, 2009 and prepared or audited by the Approved Petroleum Engineer. 

“Interest Coverage Ratio” means, as of the end of any Fiscal Quarter, the ratio of (a) Consolidated EBITDA
for the period of four (4) consecutive Fiscal Quarters then ending, to (b) cash Interest Expense accrued during such period, all calculated for Borrower and its Domestic Subsidiaries on a consolidated basis in accordance with GAAP.

 “Interest/Cap Ex Coverage Ratio” means, as of the end of any Fiscal Quarter, the ratio of
(a) Consolidated EBITDA for the period of four (4) consecutive Fiscal Quarters then ending minus the Capital Expenditures made during such period, to (b) cash Interest Expense accrued during such period, all calculated for Borrower
and its Domestic Subsidiaries on a consolidated basis in accordance with GAAP. 
 “Interest Expense”
means, with reference to any period, total interest expense (including that attributable to Capital Lease Obligations) of Borrower and its Domestic Subsidiaries for such period with respect to all outstanding Debt of Borrower and its Domestic
Subsidiaries (including all commissions, discounts and other fees and charges owed with respect to letters of credit (including, without limitation, all Letter of Credit Fees and Letter of Credit Fronting Fees) and bankers’ acceptance financing
and net costs under Hedge Transactions in respect of interest rates to the extent such net costs are allocable to such period in accordance with GAAP), calculated on a consolidated basis for Borrower and its Domestic Subsidiaries for such period in
accordance with GAAP. 
 “Interest Option” has the meaning given such term in
Section 2.6(c). 
 “Interest Period” means, with respect to each Eurodollar Tranche, the
period commencing on the Borrowing Date or Conversion Date applicable to such Tranche and ending one (1), three (3), six (6) or, if available, twelve (12) months thereafter, as Borrower may elect in the applicable Request for Borrowing;
provided, that: (a) any Interest Period which would otherwise end on a day which is not a Eurodollar Business Day shall be extended to the next succeeding Eurodollar Business Day unless such Eurodollar Business Day falls in
another calendar month, in which case such Interest Period shall end on the next preceding Eurodollar Business Day; (b) any Interest Period which begins on the last Eurodollar Business Day of a calendar month (or on a day for which there is no
numerically corresponding day in the calendar month at the end of such Interest Period) shall, subject to clause (c) below, end on the last Eurodollar Business Day of a calendar month; (c) if any Interest Period includes a date on which
any payment of principal of the Loan subject to such Eurodollar Tranche is required to be made hereunder, but does not end on such date, then (i) the principal amount of each Eurodollar Tranche required to be repaid on such date shall have an
Interest Period ending on such date, and 
  

 15 

 
(ii) the remainder of each such Eurodollar Tranche shall have an Interest Period determined as set forth above; and (d) no Interest Period shall extend past the Termination Date. 

“Investment” means, with respect to any Person, any loan, advance, extension of credit, capital contribution to,
investment in or purchase of the stock securities of, or interests in, or guarantee of the obligations of any other Person; provided, that “Investment” shall not include current customer and trade accounts which are payable
in accordance with customary trade terms. 
 “ISP” means, with respect to any Letter of Credit, the
“International Standby Practices 1998” published by the Institute of International Banking Law & Practice, Inc. (or such later version thereof as may be in effect at the time of issuance). 

“Issuer Documents” means with respect to any Letter of Credit, the Letter of Credit Application and any other
document, agreement and instrument entered into by the Letter of Credit Issuer and Borrower (or any Subsidiary) or in favor of the Letter of Credit Issuer and relating to such Letter of Credit. 

“Laws” means all applicable statutes, laws, ordinances, regulations, orders, writs, injunctions or decrees of any
state, commonwealth, nation, territory, possession, county, township, parish, municipality or Governmental Authority. 

“Lead Arranger” means Banc of America Securities LLC and BNP Paribas, or either of them, each in their capacity
as co-lead arranger for the credit facility hereunder or any successor thereto. 
 “Lending Office”
means, as to any Bank, its Domestic Lending Office or its Eurodollar Lending Office, as the context may require. 

“Letter of Credit Application” has the meaning given such term in Section 2.1(b). 

“Letter of Credit Exposure” of any Bank means, collectively as at any date of determination, such Bank’s
aggregate participation in (a) the unfunded portion of Letters of Credit outstanding at any time, and (b) the funded but unreimbursed (by Borrower) portion of Letters of Credit outstanding at such time, including all extensions of credit
resulting from a drawing under any Letter of Credit which have not been reimbursed on the date when made or refinanced as a Loan. For purposes of computing the amount available to be drawn under any Letter of Credit, the amount of such Letter of
Credit shall be determined in accordance with Section 1.4. For all purposes of this Agreement, if on any date of determination a Letter of Credit has expired by its terms but any amount may still be drawn thereunder by reason of the
operation of Rule 3.14 of the ISP, such Letter of Credit shall be deemed to be “outstanding” in the amount so remaining available to be drawn. 

“Letter of Credit Fee” means, with respect to any Letter of Credit issued hereunder, a fee in an amount equal to
a percentage of the average daily aggregate amount of Letter of Credit Exposure of all Banks during the Fiscal Quarter (or portion thereof) ending on the date such payment is due (calculated on a per annum basis based on such average daily aggregate
Letter of 
  

 16 

 
Credit Exposure) determined by reference to the ratio of Outstanding Credit to the Borrowing Base in effect on the date such payment is due in accordance with the table below: 

 

			
	
Ratio of Outstanding Credit

to Borrowing Base
	 	
Per Annum Letter of

Credit Fee

	
3 90%
	 	3.250%
	
3 75%
	 	3.000%
	
3 50%
	 	2.750%
	
3 25%
	 	2.500%
	 < 25%

	 	2.250%

“Letter of Credit Fronting Fee” means, with respect to any Letter of Credit issued hereunder, a fee equal to the
greater of (a) $150, or (b) .125% of the stated amount of any such Letter of Credit. 
 “Letter of Credit
Issuer” has the meaning set forth in Section 2.1(b). 
 “Letter of Credit
Period” means the period commencing on the Effective Date and ending nine (9) Domestic Business Days prior to the Termination Date. 

“Letters of Credit” means, collectively, letters of credit issued for the account of Borrower pursuant to
Section 2.1(b). 
 “Leverage Ratio” means, for any particular date, the ratio of
(a) Total Indebtedness on such date to (b) Consolidated EBITDA (for the four (4) Fiscal Quarters ending on such date) (or, if such date is not the last day of a Fiscal Quarter, ended on the last day of the Fiscal Quarter most recently
ended prior to such date). 
 “LIBOR Rate” means: 

(a) for any Interest Period with respect to a Eurodollar Tranche, the rate per annum equal to: (i) the British Bankers Association
LIBOR Rate (“BBA LIBOR”), as published by Reuters (or other commercially available source providing quotations of BBA LIBOR as designated by Administrative Agent from time to time) at approximately 11:00 a.m., London time,
two (2) Eurodollar Business Days prior to the commencement of such Interest Period, for Dollar deposits (for delivery on the first day of such Interest Period) with a term equivalent to such Interest Period; or (ii) if such rate is not
available at such time for any reason, the per annum rate determined by Administrative Agent to be the rate at which deposits in Dollars for delivery on the first day of such Interest Period in immediately available funds in the approximate amount
of the Eurodollar Tranche being made, continued or converted by Bank of America and with a term equivalent to such Interest Period, would be offered by Bank of America’s London Branch to major banks in the London interbank market at their
request at approximately 11:00 a.m. (London Time) two (2) Eurodollar Business Days prior to the commencement of such Interest Period. 
  

 17 

 (b) for any interest rate calculation with respect to an Adjusted Base Rate Tranche, the
rate per annum equal to: (i) BBA LIBOR at approximately 11:00 a.m., London time on the date of determination (provided, that if such day is not a Eurodollar Business Day, the next preceding Eurodollar Business Day) for Dollar
deposits being delivered in the London interbank market for a term of one month commencing that day; or (ii) if such published rate is not available at such time for any reason, the per annum rate determined by Administrative Agent to be the
rate at which deposits in Dollars for delivery on the date of determination in immediately available funds in the approximate amount of the Adjusted Base Rate Loan being made, continued or converted by Bank of America and with a term equal to one
month, would be offered by Bank of America’s London Branch to major banks in the London interbank market at their request on the date and time of determination. 

“Lien” means with respect to any asset, any mortgage, lien, pledge, charge, security interest or similar
encumbrance of any kind in respect of such asset. For purposes of this Agreement, a Credit Party shall be deemed to own subject to a Lien any asset which is acquired or held subject to the interest of a vendor or lessor under any conditional sale
agreement, Capital Lease or other title retention agreement relating to such asset. 
 “Loan” means,
collectively, the revolving credit loans that are made by Banks to Borrower pursuant to Section 2.1(a) and pursuant to the Commitments of each Bank, and the Swing Line Loans made by Swing Line Bank to Borrower pursuant to
Section 2.5. 
 “Loan Papers” means this Agreement, the Notes, each Facility Guaranty now or
hereafter executed, the Mortgages, each Borrower Pledge Agreement now or hereafter executed, each Subsidiary Pledge Agreement now or hereafter executed, the Certificate of Effectiveness, the Letters of Credit and all other certificates, documents or
instruments delivered in connection with this Agreement, as the foregoing may be amended from time to time. 

“Margin Regulations” mean Regulations T, U and X of the Board of Governors of the Federal Reserve System, as in
effect from time to time. 
 “Margin Stock” means “margin stock” as defined in Regulation U.

 “Master Leases” means the Bank of America Master Lease, the US Bank Master Lease and any other
similar master lease that is entered into by a Credit Party with any Person that (a) is a Bank or an Affiliate of a Bank or (b) was a Bank or an Affiliate of Bank at the time such master lease was entered into. 

“Material Adverse Change” means any circumstance or event that has or would reasonably be expected to have a
Material Adverse Effect. 
 “Material Adverse Effect” means a material adverse effect on (a) the
assets, liabilities, financial condition, results of operations, or prospects of Borrower and its Subsidiaries, taken as a whole, (b) the right or ability of any Credit Party to fully, completely and timely perform its obligations under the
Loan Papers, (c) the validity or enforceability of any Loan Papers against any Credit Party (to the extent a party thereto), or (d) the validity, perfection or priority of any Lien on a material portion of the assets intended to be created
under or pursuant to any Loan Paper to secure the Obligations. 
  

 18 

 “Material Agreement” means any material written or enforceable oral
agreement, contract, commitment, or understanding to which a Person is a party, by which such Person is directly or indirectly bound, or to which any assets of such Person may be subject, which is not cancelable by such Person upon notice of thirty
(30) days or less without liability for further payment of $100,000 or more. 
 “Material Gas
Imbalance” means, with respect to all Gas Balancing Agreements to which any Credit Party is a party or by which any Mineral Interest owned by any Credit Party is bound, a net gas imbalance owed by Borrower and the other Credit Parties,
taken as a whole, in excess of $1,000,000. Gas imbalances will be determined based on written agreements, if any, specifying the method of calculation thereof, or, alternatively, if no such agreements are in existence, gas imbalances will be
calculated by multiplying (x) the volume of gas imbalance as of the date of calculation (expressed in thousand cubic feet) by (y) the heating value in btu’s per thousand cubic feet, times the Henry Hub average daily spot price
for the month immediately preceding the date of calculation. 
 “Maximum Lawful Rate” means, for each
Bank, the maximum rate (or, if the context so permits or requires, an amount calculated at such rate) of interest which, at the time in question would not cause the interest charged on the portion of the Loan owed to such Bank at such time to exceed
the maximum amount which such Bank would be allowed to contract for, charge, take, reserve, or receive under applicable Law after taking into account, to the extent required by applicable Law, any and all relevant payments or charges under the Loan
Papers. 
 “Mineral Interests” means rights, estates, titles, and interests in and to oil and gas
leases, coal bed methane leases, and any oil and gas interests, royalty and overriding royalty interests, production payments, net profits interests, oil and gas fee interests, and other rights therein, including, without limitation, any
reversionary or carried interests relating to the foregoing, together with rights, titles, and interests created by or arising under the terms of any unitization, communitization, and pooling agreements or arrangements, and all properties, rights
and interests covered thereby, whether arising by contract, by order, or by operation of Law, which now or hereafter include all or any part of the foregoing. 

“Mortgages” means all mortgages, deeds of trust, amendments to mortgages, amendments to deeds of trust, security
agreements, pledge agreements and similar documents, instruments and agreements creating, evidencing, perfecting or otherwise establishing the Liens on Mineral Interests that are required by Article V hereof as may have been heretofore or may
hereafter be granted or assigned to Administrative Agent to secure payment of the Obligations or any part thereof. All Mortgages shall be in form and substance satisfactory to Administrative Agent in its sole discretion. The term
“Mortgages” expressly includes the Cahaba Mortgage, the Existing Mortgages and any amendments to, or restatements of, the Existing Mortgages. 

“Net Cash Proceeds” means the remainder of (a) the gross proceeds received by any Credit Party from any
Asset Disposition less (b) underwriter discounts and commissions, investment banking fees, legal, accounting and other professional fees and expenses, and other usual and customary transaction costs, in each case only to the
extent paid or payable by a Credit Party in cash and related to such Asset Disposition, less (c) any federal or state income taxes reasonably anticipated to be owed by any Credit Party as a result of such Asset Disposition.

  

 19 

 “Note” means a promissory note of Borrower, payable to the order of
a Bank, in substantially the form of Exhibit A hereto, evidencing the obligation of Borrower to repay to such Bank its Commitment Percentage of the Loan, together with all modifications, extensions, renewals and rearrangements thereof, and
“Notes” means all of such Notes. 
 “Obligations” means, collectively, all
present and future indebtedness, obligations and liabilities, and all renewals and extensions thereof, or any part thereof (regardless of whether such indebtedness, obligations and liabilities are direct, indirect, fixed, contingent, liquidated,
unliquidated, joint, several or joint and several), of each Credit Party to any Bank (including Swing Line Bank) or to any Affiliate of any Bank (a) arising pursuant to the Loan Papers, and all interest accrued thereon and costs, expenses and
reasonable attorneys’ fees incurred in the enforcement or collection thereof, (b) arising under or in connection with any Hedge Transaction entered into between any Credit Party and any Bank or any Affiliate of any Bank, and (c) all
amounts constituting Cash Management Obligations; provided, that if any Bank or any Affiliate of a Bank ceases to be either a Bank or an Affiliate of a Bank hereunder, “Obligations” shall only include indebtedness,
obligations, and liabilities, and all renewals and extensions thereof, or any part thereof, of each Credit Party to such Bank or such Affiliate of a Bank that arose from transactions entered into prior to the time such Bank ceased to be a Bank
hereunder or prior to the time such Affiliate ceased to be an Affiliate of a Bank hereunder. 
 “Oil and Gas Hedge
Transactions” means a Hedge Transaction pursuant to which any Person hedges all or any portion of the price to be received by it for future production of Hydrocarbons. 

“Operating Lease” means any lease, sublease, license or similar arrangement (other than a Capital Lease and other
than leases with a primary term of one year or less or which can be terminated by the lessee upon notice of one year or less without incurring a penalty) pursuant to which a Person leases, subleases or otherwise is granted the right to occupy, take
possession of, or use property whether real, personal or mixed; provided, that “Operating Lease” shall not include (a) any oil, gas or mineral lease or Mineral Interest or (b) any transaction under a
Master Lease. 
 “Outstanding Credit” means, at any time, the sum of (a) the aggregate Letter of
Credit Exposure on such date, including the aggregate Letter of Credit Exposure related to Letters of Credit to be issued on such date, plus (b) the aggregate outstanding principal balance of the Loans (including, without limitation, Swing Line
Loans) on such date, including the amount of any Borrowing (including any Swing Line Borrowing) to be made on such date. 

“Participant” has the meaning given such term in Section 14.8(b). 

“PBGC” means the Pension Benefit Guaranty Corporation or any entity succeeding to any or all of its functions
under ERISA. 
 “Periodic Determination” means any determination of the Borrowing Base pursuant to
Section 4.2. 
 “Permitted Asset Dispositions” means Asset Dispositions to the extent that
the aggregate present value (discounted at 10% per annum) of all Borrowing Base Properties sold, 
  

 20 

 
leased, transferred, abandoned or disposed of in any Determination Period, plus the net mark-to-market value to the Credit Parties of all Borrowing Base Hedges terminated or monetized in
Borrowing Base Hedge Monetizations during the same Determination Period, shall not exceed five percent (5%) of the Borrowing Base then in effect. 

“Permitted Encumbrances” means with respect to any asset: 

(a) Liens securing the Obligations in favor of Banks or their Affiliates under the Loan Papers; 

(b) minor defects in title which do not secure the payment of money and otherwise have no material adverse effect on the value or
operation of oil and gas properties, and for the purposes of this Agreement, a minor defect in title shall include (i) those instances where record title to an oil and gas lease is in a predecessor in title to Borrower or any of its
Subsidiaries, but where Borrower or any of its Subsidiaries, by reason of a farmout or other instrument is presently entitled to receive an assignment of its interest or other evidence of title and the appropriate Person is proceeding diligently to
obtain such assignment, and (ii) easements, rights-of-way, servitudes, permits, surface leases and other similar rights in respect of surface operations, and easements for pipelines, streets, alleys, highways, telephone lines, power lines,
railways and other easements and rights-of-way, on, over or in respect of any of the properties of Borrower (or its Subsidiaries, as applicable) that are customarily granted in the oil and gas industry; so long as, with respect to any of such minor
defects in title, the same are minor defects which are customary and usual in the oil and gas industry and which are customarily accepted by a reasonably prudent operator dealing with its properties; 

(c) inchoate statutory or operators’ liens securing obligations for labor, services, materials and supplies furnished to Mineral
Interests which are not delinquent (except to the extent permitted by Section 8.6); 
 (d) mechanic’s,
materialmen’s, warehouseman’s, journeyman’s and carrier’s liens and other similar liens arising in the ordinary course of business which are not delinquent (except to the extent permitted by Section 8.6); 

(e) production sales contracts, Gas Balancing Agreements and joint operating agreements; provided, that the amount of all
gas imbalances known to any Authorized Officer of Borrower and the amount of all production which has been paid for but not delivered shall have been disclosed as and when required hereunder; 

(f) Liens for Taxes or assessments not yet due or not yet delinquent, or, if delinquent, that are being contested in good faith in the
normal course of business by appropriate action, as permitted by Section 8.6; 
 (g) all rights to consent by,
required notices to, filings with, or other actions by, Governmental Authorities in connection with the sale or conveyance of oil and gas leases or interests therein if Borrower or the applicable Subsidiary is entitled to such consent, the same are
customarily obtained subsequent to such sale or conveyance and the appropriate Person is proceeding diligently to obtain such consent, notice or filing and has not been advised and has no reason to believe that such consent will not be forthcoming
in a timely manner; 
  

 21 

 (h) the terms and provisions of any of the oil and gas leases and amendments thereto
pursuant to which Borrower (or its Subsidiaries, as applicable) derives its interests; provided, that no such term or provision of any amendment referred to in this clause that is hereafter made by a Credit Party materially and
adversely impairs the use of the property covered by such term or provision for the purposes for which such property is held by any Credit Party or materially and adversely impairs the value of such property subject thereto; 

(i) lease burdens payable to third parties which are granted in the ordinary course of business in the oil and gas industry and which are
deducted in the calculation of discounted present value in the Reserve Reports including, without limitation, any royalty, overriding royalty, carried interest or reversionary working interest; 

(j) all applicable Laws, rules and orders of Governmental Authorities having jurisdiction over the affairs of the Credit Parties;

 (k) Liens encumbering assets (including accessions and additions thereto and proceeds thereof) securing Debt incurred to
finance the purchase of such assets, including, without limitation, the interests of a lessor under a Capital Lease, provided, that (i) the principal amount of the Debt secured by a purchased asset shall not exceed one hundred
percent (100%) of the purchase price of such asset, (ii) such Liens shall not extend to or encumber any other asset of Borrower or any of its Subsidiaries, (iii) such Liens shall attach to such purchased asset substantially
simultaneously with the purchase of such asset, and (iv) the aggregate amount of all Debt secured by such Liens shall not exceed an amount equal to $1,000,000; 

(l) pledges of cash and cash equivalents to secure Oil and Gas Hedge Transactions that are permitted hereunder; 

(m) Liens securing bonding obligations (such as plugging and abandonment bonds) issued in the ordinary course of business; and

 (n) Liens on the Equity of a Subsidiary of Borrower in favor of such Subsidiary to secure any debts owing to the Subsidiary
by the holder of such Equity; 
 provided, that (i) except as otherwise expressly set forth herein or in any other Loan
Paper, or as otherwise permitted by operation of law, no intention to subordinate the first priority Lien granted in favor of Administrative Agent pursuant to any of the Loan Papers is to be hereby implied or expressed by the permitted existence of
such Permitted Encumbrances and (ii) except as set forth in clause (k) of this definition, the term “Permitted Encumbrances” shall not include any Lien securing Debt for borrowed money other than the Obligations. 

“Permitted Investment” means: 

(a) direct obligations of, or obligations the principal of and interest on which are unconditionally guaranteed by, the United States of
America (or by any agency thereof to the extent such obligations are backed by the full faith and credit of the United States of America), in each case maturing within one year from the date of acquisition thereof; 

 

 22 

 (b) commercial paper maturing within two hundred seventy (270) days from the date of
acquisition thereof and having, at such date of acquisition, the highest or second highest credit rating obtainable from Standard & Poor’s Corporation or from Moody’s Investors Service; 

(c) certificates of deposit, banker’s acceptances and time deposits maturing within one year from the date of acquisition thereof
issued or guaranteed by or placed with, and deposit accounts (including money market deposit accounts) issued or offered by, any office of any commercial bank organized under the laws of the United States of America or any State thereof which has a
combined capital and surplus and undivided profits of not less than $250,000,000; 
 (d) collateralized repurchase agreements
with a term of not more than thirty (30) days for securities described in subsection (a) above and entered into with a financial institution satisfying the criteria described in subsection (c) above; 

(e) Investments in funds substantially all of the assets of which are of the types described in subsections (a), (b) or
(c) above; 
 (f) Investments in Borrower or in any Domestic Subsidiary of Borrower (including any Person that becomes a
Domestic Subsidiary of Borrower as a result of such Investment), so long as such Domestic Subsidiary has previously provided (or contemporaneously provides) a Facility Guaranty and that one-hundred percent (100%) of the issued and outstanding
Equity in such Domestic Subsidiary has been pledged (or is contemporaneously pledged) to Administrative Agent pursuant to a Borrower Pledge Agreement or a Subsidiary Pledge Agreement; 

(g) Investments in Hudson’s Hope Gas, Ltd., a Canadian corporation, made prior to the date hereof; and 

(h) other Investments (in addition to those contemplated by subsections (a) through (g), inclusive, of this definition) that do not
in the aggregate, measured on a cumulative cost basis, exceed $1,000,000. 
 “Person” means an
individual, a corporation, a partnership, an association, a trust or any other entity or organization, including a government or political subdivision or an agency or instrumentality thereof. 

“Plan” means at any time an employee pension benefit plan which is now or was previously covered by Title IV of
ERISA or subject to the minimum funding standards under Section 412 of the Code. 
 “Proved Mineral
Interests” means, collectively, Proved Producing Mineral Interests, Proved Non-producing Mineral Interests, and Proved Undeveloped Mineral Interests. 

“Proved Non-producing Mineral Interests” means all Mineral Interests which constitute proved developed
non-producing reserves. 
  

 23 

 “Proved Producing Mineral Interests” means all Mineral Interests
which constitute proved developed producing reserves. 
 “Proved Undeveloped Mineral Interests” means
all Mineral Interests which constitute proved undeveloped reserves. 
 “Recognized Value” means, with
respect to Mineral Interests, the portion of the Borrowing Base which Bank of America attributes to such Mineral Interests for purposes of the most recent redetermination of the Borrowing Base pursuant to Article IV hereof (or for purposes of
determining the Initial Borrowing Base in the event no such redetermination has occurred), based upon the discounted present value of the estimated net cash flow to be realized from the production of Hydrocarbons from such Mineral Interests, as
calculated in the then most recent Reserve Report (or supplement thereto) using a discount factor of ten percent (10%) per annum and the pricing assumptions provided to the Approved Petroleum Engineer by Administrative Agent. 

“Refunding Borrowing” means a Borrowing made solely for the purpose of refinancing a Eurodollar Tranche on the
expiration of the Interest Period applicable thereto or for the purpose of converting all or any part of an Adjusted Base Rate Tranche to a Eurodollar Tranche, in each case in the manner contemplated by Section 2.6(c) and which does not
result in any increase in the outstanding principal balance of the Loan. Refunding Borrowings may be Adjusted Base Rate Borrowings or Eurodollar Borrowings. 

“Regulation U” means Regulation U of the Board of Governors of the Federal Reserve System as in effect from time
to time. 
 “Related Parties” means, with respect to any Person, such Person’s Affiliates and the
partners, directors, officers, employees, agents, trustees and advisors of such Person and of such Person’s Affiliates. 

“Request for Borrowing” has the meaning set forth in Section 2.2. 

“Request for Letter of Credit” has the meaning given such term in Section 2.3. 

“Required Banks” means (a) as long as the Commitments are in effect, Banks having an aggregate Commitment
Percentage which is greater than sixty-six and two-thirds percent (66-2/3%) of the Total Commitment, and (b) following termination of the Commitments, Banks holding greater than sixty-six and two-thirds percent (66-2/3%) of the Outstanding
Credit (with the aggregate amount of each Bank’s risk participation and funded participation in Swing Line Loans being deemed “held” by such Bank for purposes of this definition); provided, that, notwithstanding anything
to the contrary contained in this Agreement, the Commitment of, and the portion of the Total Commitment held or deemed held by, any Defaulting Bank shall be excluded for purposes of making a determination of Required Banks. 

“Required Reserve Value” means Proved Mineral Interests that have a Recognized Value of not less than eighty
percent (80%) of the Recognized Value of all Proved Mineral Interests held by Borrower and its Subsidiaries. 
  

 24 

 “Reserve Report” means an unsuperseded engineering analysis of the
Mineral Interests owned by Borrower in form and substance acceptable to Administrative Agent prepared in accordance with customary and prudent practices in the petroleum engineering industry. Each Reserve Report required to be delivered by
May 1 of each year pursuant to Section 4.1 shall be audited or prepared by the Approved Petroleum Engineer. Each other Reserve Report shall be prepared by Borrower’s in-house staff. Notwithstanding the foregoing, in connection
with any Special Determination requested by Borrower, the Reserve Report shall be in form and scope mutually acceptable to Borrower and Administrative Agent. For purposes of Section 4.1, and until superseded, the Initial Reserve Report
shall be considered a Reserve Report. 
 “Restricted Payment” means, with respect to any Person, any
Distribution by such Person. 
 “Rollover Notice” has the meaning given such term in
Section 2.6(c). 
 “Schedule” means a “schedule” attached to this Agreement and
incorporated herein by reference, unless specifically indicated otherwise. 
 “Scheduled Determination
Date” means each June 30 and December 31, commencing December 31, 2010. 

“SEC” means the Securities and Exchange Commission, or any Governmental Authority succeeding to any of its
principal functions. 
 “Section” refers to a “section” or
“subsection” of this Agreement unless specifically indicated otherwise. 
 “Sherwood”
means Sherwood Energy, LLC, a Delaware limited liability company. 
 “Special Determination” means any
determination of the Borrowing Base pursuant to Section 4.3. 
 “Subsidiary” means, for any
Person, any corporation or other entity of which securities or other ownership interests having ordinary voting power to elect a majority of the board of directors or other Persons performing similar functions (including that of a general partner)
are at the time directly or indirectly owned, collectively, by such Person and any Subsidiaries of such Person. The term Subsidiary shall include Subsidiaries of Subsidiaries (and so on). 

“Subsidiary Pledge Agreement” means a Pledge Agreement substantially in the form of Exhibit H attached
hereto to be executed by each existing and future Subsidiary of Borrower to the extent such Subsidiary owns any outstanding Equity of any Domestic Subsidiary of Borrower (an “Indirect Domestic Subsidiary”), pursuant to which
such Subsidiary shall pledge to Administrative Agent for the ratable benefit of Banks, all of the issued and outstanding Equity owned by such Subsidiary of such Indirect Domestic Subsidiary to secure the Obligations. 

“Swing Line Bank” means Bank of America in its capacity as provider of Swing Line Loans, or any successor swing
line bank hereunder. 
  

 25 

 “Swing Line Borrowing” means a Borrowing of a Swing Line Loan
pursuant to Section 2.4 hereof. 
 “Swing Line Exposure” means, at any time, the aggregate
principal amount of all Swing Line Loans made to Borrower outstanding at such time. 
 “Swing Line Loan”
has the meaning given such term in Section 2.4 hereof. 
 “Swing Line Notice” means a notice
of a Swing Line Borrowing pursuant to Section 2.4(b) which, if in writing, shall be substantially in the form of Exhibit K hereto. 

“Swing Line Sublimit” means an amount equal to the lesser of (a) $5,000,000, and (b) the Total
Commitment. The Swing Line Sublimit is part of, and not in addition to, the Total Commitment. 
 “Syndication
Agent” means BNP Paribas, in its capacity as Syndication Agent for Banks hereunder, or any successor thereto. 

“Taxes” means all taxes, assessments, filing or other fees, levies, imposts, duties, deductions, withholdings,
stamp taxes, interest equalization taxes, capital transaction taxes, foreign exchange taxes or other charges, or other charges of any nature whatsoever, from time to time or at any time imposed by Law or any federal, state or local governmental
agency. “Tax” means any one of the foregoing. 
 “Termination Date” means that
date that is the third anniversary of the Effective Date. 
 “Total Commitment” means the aggregate of
all Banks’ Commitments. 
 “Total Indebtedness” means, at any date, the aggregate principal amount
of all Debt of Borrower and its Domestic Subsidiaries at such date, determined on a consolidated basis in accordance with GAAP. 

“Tranche” means an Adjusted Base Rate Tranche or a Eurodollar Tranche and “Tranches”
means Adjusted Base Rate Tranches or Eurodollar Tranches or any combination thereof. 
 “Type” means
with reference to a Tranche, the characterization of such Tranche as an Adjusted Base Rate Tranche or a Eurodollar Tranche based on the method by which the accrual of interest on such Tranche is calculated. 

“US Bank Master Lease” means that certain Master Lease Agreement dated as of May 15, 2008 between GeoMet
Operating and U.S. Bancorp Equipment Finance, Inc., as from time to time amended or supplemented. 

“Yorktown” means, collectively, Yorktown Partners LLC, a Delaware limited liability company, and its Affiliates
and any fund managed or administered by Yorktown Partners LLC or any of its Affiliates. 
  

 26 

 Section 1.2 Accounting Terms and Determinations. Unless otherwise specified herein,
all accounting terms used herein shall be interpreted, all accounting determinations hereunder shall be made, and all financial statements required to be delivered hereunder shall be prepared, in accordance with GAAP as in effect from time to time,
applied on a basis consistent with the most recent audited consolidated financial statements of Borrower and its Consolidated Subsidiaries delivered to Banks except for changes in which Borrower’s independent certified public accountants concur
and which are disclosed to Administrative Agent on the next date on which financial statements are required to be delivered to Banks pursuant to Section 8.1(a) and Section 8.1(b); provided, that unless Borrower and
Required Banks shall otherwise agree in writing, no such change shall modify or affect the manner in which compliance with the covenants contained in Article X are computed such that all such computations shall be conducted utilizing
financial information presented consistently with prior periods. 
 Section 1.3 Terms Generally. The definitions of terms
herein shall apply equally to the singular and plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. The words “include,” “includes”
and “including” shall be deemed to be followed by the phrase “without limitation”. The word “shall” shall be construed to have the same meaning and effect as the word “will”. Unless the context requires
otherwise (a) any definition of or reference to any agreement, instrument or other document herein shall be construed as referring to such agreement, instrument or other document as from time to time amended, supplemented or otherwise modified
(subject to any restrictions on such amendments, supplements or modifications set forth herein), (b) any reference herein to any Person shall be construed to include such Person’s successors and assigns, (c) the words
“herein,” “hereof” and “hereunder,” and words of similar import, shall be construed to refer to this Agreement in its entirety and not to any particular provision hereof, (d) all references herein to Articles,
Sections, Exhibits and Schedules shall be construed to refer to Articles and Sections of, and Exhibits and Schedules to, this Agreement and (e) the words “asset” and “property” shall be construed to have the same meaning and
effect and to refer to any and all tangible and intangible assets and properties, including cash, securities, accounts and contract rights. 

Section 1.4 Letter of Credit Amounts. Unless otherwise specified herein, the amount of a Letter of Credit at any time shall be
deemed to be the stated amount of such Letter of Credit in effect at such time; provided, however, that with respect to any Letter of Credit that, by its terms or the terms of any Issuer Document related thereto, provides for
one or more automatic increases in the stated amount thereof, the amount of such Letter of Credit shall be deemed to be the maximum stated amount of such Letter of Credit after giving effect to all such increases, whether or not such maximum stated
amount is in effect at such time. 
 ARTICLE II 

THE CREDIT FACILITIES 

Section 2.1 Commitment. 

(a) Each Bank severally agrees, subject to Section 2.1(c), Section 6.2 and the other terms and conditions set
forth in this Agreement, to lend to Borrower from time to time prior to the Termination Date amounts not to exceed in the aggregate at any one time 

 

 27 

 
outstanding, the amount of such Bank’s Commitment reduced by an amount equal to the sum of such Bank’s (x) Letter of Credit Exposure plus (y) Commitment Percentage of the
outstanding principal amount of all Swing Line Loans not concurrently repaid. Each Borrowing shall (i) be in an aggregate principal amount of $250,000 or any larger integral multiple of (A) $250,000 in the case of a Eurodollar Borrowing,
or (B) $50,000 in the case of an Adjusted Base Rate Borrowing, and (ii) be made from each Bank ratably in accordance with its respective Commitment Percentage. Subject to the foregoing limitations and the other provisions of this
Agreement, Borrower may borrow under this Section 2.1(a), repay amounts borrowed under this Section 2.1(a), and request new Borrowings under this Section 2.1(a). 

(b) Administrative Agent, or such Bank designated by Administrative Agent which (without obligation to do so) consents to the same
(“Letter of Credit Issuer”), may issue Letters of Credit, from time to time during the Letter of Credit Period upon request by Borrower, for the account of Borrower, so long as (i) the sum of (A) the total Letter of
Credit Exposure then existing, and (B) the amount of the requested Letter of Credit, does not exceed $5,000,000, and (ii) Borrower would be entitled to a Borrowing under Section 2.1(a) and Section 2.1(c) in the
amount of the requested Letter of Credit. Not less than three (3) Domestic Business Days prior to the requested date of issuance of any such Letter of Credit, Borrower shall execute and deliver to Letter of Credit Issuer, Letter of Credit
Issuer’s customary letter of credit application (“Letter of Credit Application”). Each Letter of Credit shall be in form and substance acceptable to Letter of Credit Issuer and shall have an expiration date (or must be
terminable at the option of Letter of Credit Issuer) no later than one (1) year from the date of issuance. Upon the date of issuance of a Letter of Credit, Letter of Credit Issuer shall be deemed to have sold to each other Bank, and each other
Bank shall be deemed to have unconditionally and irrevocably purchased from Letter of Credit Issuer, a non-recourse participation in the related Letter of Credit and Letter of Credit Exposure equal to such Bank’s Commitment Percentage of such
Letter of Credit and Letter of Credit Exposure. Upon request of any Bank, Administrative Agent shall provide notice to each Bank by telephone, teletransmission, e-mail or telex setting forth each Letter of Credit issued and outstanding pursuant to
the terms hereof and specifying the Letter of Credit Issuer, beneficiary and expiration date of each such Letter of Credit, each Bank’s participation percentage of each such Letter of Credit and the actual dollar amount of each Bank’s
participation held by Letter of Credit Issuer(s) thereof for such Bank’s account and risk. In connection with the issuance of Letters of Credit hereunder, Borrower shall pay to Administrative Agent in respect of such Letters of Credit
(1) the applicable Letter of Credit Fee in accordance with Section 2.13 hereof and (2) at the time of issuance of each Letter of Credit, the applicable Letter of Credit Fronting Fee. Administrative Agent shall distribute the
Letter of Credit Fee to Banks in accordance with their respective Commitment Percentages, and Administrative Agent shall distribute the Letter of Credit Fronting Fee to the Letter of Credit Issuer for its own account. Any amendment, modification,
renewal or extension of any Letter of Credit shall be deemed to be the issuance of a new Letter of Credit for purposes of this Section 2.1(b); provided, however, that in connection with such amendment, modification,
renewal or extension Borrower shall pay to Administrative Agent a fee in accordance with Administrative Agent’s then-current schedule of charges. 

Notwithstanding anything to the contrary herein, if any Letter of Credit Exposure exists at the time a Bank becomes an Impacted Bank
then: (i) all or any part of such Letter of Credit Exposure shall be reallocated among the non-Impacted Banks in accordance with their 

 

 28 

 
respective Commitment Percentages but only to the extent (x) the sum of all non-Impacted Banks’ Outstanding Credit does not exceed the total of all non-Impacted Banks’ Commitments
and (y) the conditions set forth in Section 6.2 are satisfied at such time; (ii) if the Letter of Credit Exposure of the non-Impacted Banks is reallocated pursuant to this paragraph, then the fees payable to the Banks pursuant
to Section 2.12 and Section 2.13 shall be adjusted in accordance with such non-Impacted Banks’ Commitment Percentages; and (iii) if any Impacted Bank’s Letter of Credit Exposure is not reallocated pursuant to
this paragraph, then, without prejudice to any rights or remedies of the Letter of Credit Issuer or any Bank hereunder, all commitment fees that otherwise would have been payable to such Impacted Bank (solely with respect to the portion of such
Impacted Bank’s Commitment that was utilized by such Letter of Credit Exposure) under Section 2.12 and letter of credit fees payable under Section 2.13 with respect to such Impacted Bank’s Letter of Credit Exposure
shall be payable to the Letter of Credit Issuer until such Letter of Credit Exposure is reallocated. In the event that Administrative Agent agrees that an Impacted Bank has adequately remedied all matters that caused such Bank to be a Impacted Bank,
then the Letter of Credit Exposure of the Banks shall be reallocated to reflect the inclusion of such Bank’s Commitment and on such date such Bank shall purchase at par such of the Loans of the other Banks as Administrative Agent shall
determine may be necessary in order for such Bank to hold such Loans in accordance with its Commitment Percentage. 

Notwithstanding anything to the contrary herein, in addition to such other conditions and terms that are expressly provided in this
Agreement, the Letter of Credit Issuer shall not at any time be obligated to issue, amend, renew or extend any Letter of Credit if (i) any Bank is at such time an Impacted Bank hereunder, unless the Letter of Credit Issuer is satisfied that
(1) the existing Letter of Credit Exposure of the Impacted Bank has been fully covered in accordance with the preceding paragraph, (2) (A) the Letter of Credit Exposure associated with any Letter of Credit issue, increase or extension
will be 100% covered by the Commitments of the non-Impacted Banks pursuant to the preceding paragraph, (B) Borrower has provided to the Letter of Credit Issuer cash collateral for such Impacted Bank’s Letter of Credit Exposure, or
(C) the Letter of Credit Issuer has entered into other reasonably satisfactory arrangements with Borrower or such Impacted Bank to eliminate the Letter of Credit Issuer’s risk with respect to such Impacted Bank, and (3) participating
interests in any such Letter of Credit issue, increase or extension shall be allocated among non-Impacted Banks in a manner consistent with the preceding paragraph (and Impacted Banks shall not participate therein); (ii) any order, judgment or
decree of any Governmental Authority or arbitrator shall by its terms purport to enjoin or restrain the Letter of Credit Issuer from issuing the Letter of Credit, or any Law applicable to the Letter of Credit Issuer or any request or directive
(whether or not having the force of law) from any Governmental Authority with jurisdiction over the Letter of Credit Issuer shall prohibit, or request that the Letter of Credit Issuer refrain from, the issuance of letters of credit generally or the
Letter of Credit in particular or shall impose upon the Letter of Credit Issuer with respect to the Letter of Credit any restriction, reserve or capital requirement (for which the Letter of Credit Issuer is not otherwise compensated hereunder) not
in effect on the date of this Agreement, or shall impose upon the Letter of Credit Issuer any unreimbursed loss, cost or expense which was not applicable on the date of this Agreement and which the Letter of Credit Issuer in good faith deems
material to it; or (iii) the issuance of the Letter of Credit would violate one or more policies of the Letter of Credit Issuer applicable to letters of credit generally. 

 

 29 

 Upon the occurrence of an Event of Default, Borrower shall, on the next succeeding Domestic
Business Day, deposit with Administrative Agent such funds as Administrative Agent may request, up to a maximum amount equal to the aggregate existing Letter of Credit Exposure of all Banks. Any funds so deposited shall be held by Administrative
Agent for the ratable benefit of all Banks as security for the outstanding Letter of Credit Exposure and the other Obligations, and Borrower will, in connection therewith, execute and deliver such security agreements in form and substance reasonably
satisfactory to Administrative Agent which it may, in its discretion, require. As drafts or demands for payment are presented under any Letter of Credit, Administrative Agent shall apply such funds to satisfy such drafts or demands. When all Letters
of Credit have expired and the Obligations have been repaid in full (and the Commitments of all Banks have terminated) or such Event of Default has been cured or waived, Administrative Agent shall release to Borrower any remaining funds deposited
under this Section 2.1(b). Whenever Borrower is required to make deposits under this Section 2.1(b) and fails to do so on the day such deposit is due, Administrative Agent or any Bank may, without notice to Borrower, make
such deposit (whether by application of proceeds of any collateral for the Obligations, by transfers from other accounts maintained with any Bank or otherwise) using any funds then available to any Bank of Borrower, any guarantor, or any other
Person liable for all or any part of the Obligations. 
 Notwithstanding anything to the contrary contained herein, Borrower
hereby agrees to reimburse each Letter of Credit Issuer immediately upon demand by such Letter of Credit Issuer, and in immediately available funds, for any payment or disbursement made by such Letter of Credit Issuer under any Letter of Credit
issued by it. Payment shall be made by Borrower with interest on the amount so paid or disbursed by Letter of Credit Issuer from but excluding the date payment is made under any Letter of Credit to and including the date of payment, at the lesser of
(i) the Maximum Lawful Rate, or (ii) the Adjusted Base Rate; provided, that in the event Borrower does not reimburse such Letter of Credit Issuer within one (1) Domestic Business Day after the date payment is made under
any such Letter of Credit, interest on the amount paid or disbursed by Letter of Credit Issuer shall accrue, from but excluding such due date to and including the date of payment, at the lesser of the Maximum Lawful Rate or the Default Rate. The
obligations of Borrower under this paragraph will continue until all Letters of Credit have expired and all reimbursement obligations with respect thereto have been paid in full by Borrower. 

The reimbursement obligations of Borrower under this Section 2.1(b) shall be absolute, unconditional and irrevocable, and
shall be performed strictly in accordance with the terms of the Loan Papers (including any Letter of Credit Application executed pursuant to this Section 2.1(b)) under and in all circumstances whatsoever and Borrower hereby waives any
defense to the payment of such reimbursement obligations based on any circumstance whatsoever, including without limitation, in any case, the following circumstances: (i) any lack of validity or enforceability of any Letter of Credit;
(ii) the existence of any claim, set-off, counterclaim, defense or other rights which Borrower or any other Person may have at any time against any beneficiary of any Letter of Credit, Administrative Agent, any Bank or any other Person, whether
in connection with any Letter of Credit or any unrelated transaction; (iii) any statement, draft or other documentation presented under any Letter of Credit proving to be forged, fraudulent, invalid or insufficient in any respect or any
statement therein being untrue or inaccurate in any respect whatsoever; (iv) payment by Administrative Agent under any Letter of 

 

 30 

 
Credit against presentation of a draft or other document that does not comply with the terms of such Letter of Credit (except to the extent resulting from its gross negligence or willful
misconduct); or (v) any other circumstance whatsoever, whether or not similar to any of the foregoing. 
 As among Borrower
on the one hand, Administrative Agent and each Bank, on the other hand, Borrower assumes all risks of the acts and omissions of, or misuse of Letters of Credit by, the beneficiary of such Letters of Credit. In furtherance and not in limitation of
the foregoing, neither Administrative Agent, Letter of Credit Issuer nor any Bank shall be responsible for any of the following (except to the extent resulting from its gross negligence or willful misconduct): 

 

	 	(i)	the form, validity, sufficiency, accuracy, genuineness or legal effect of any document submitted by any Person in connection with the application for and issuance of
and presentation of drafts with respect to any Letter of Credit, even if it should prove to be in any or all respects invalid, insufficient, inaccurate, fraudulent or forged; 

 

	 	(ii)	the validity or sufficiency of any instrument transferring or assigning or purporting to transfer or assign the Letter of Credit or the rights or benefits thereunder or
proceeds thereof, in whole or in part, which may prove to be invalid or ineffective for any reason; 

  

	 	(iii)	the failure of the beneficiary of the Letter of Credit to comply duly with conditions required in order to draw upon such Letter of Credit; 

 

	 	(iv)	errors, omissions, interruptions or delays in transmission or delivery of any messages, by mail, cable, telegraph, telex or otherwise, whether or not they be in cipher;

  

	 	(v)	errors in interpretation of technical terms; 

  

	 	(vi)	any loss or delay in the transmission or otherwise of any document required in order to make a drawing under any Letter of Credit or of the proceeds thereof;

  

	 	(vii)	the misapplication by the beneficiary of the Letter of Credit of the proceeds of any drawing under such Letter of Credit; or 

 

	 	(viii)	any consequences arising from causes beyond the control of Administrative Agent or any Bank. 

Borrower shall be obligated to reimburse each Letter of Credit Issuer upon demand for all amounts paid under Letters of Credit as set
forth in the immediately preceding paragraph hereof; provided, however, that if Borrower for any reason fails to reimburse such Letter of Credit Issuer in full upon demand, Banks shall reimburse such Letter of Credit Issuer in
accordance with each Bank’s Commitment Percentage for amounts due and unpaid from Borrower as set forth hereinbelow; provided further, however, that no such reimbursement made by Banks shall discharge Borrower’s
obligations to reimburse Letter of Credit Issuer. All 
  

 31 

 
reimbursement amounts payable by any Bank under this Section 2.1(b) shall include interest thereon at the Federal Funds Rate, from the date of the payment of such amounts by any
Letter of Credit Issuer to the date of reimbursement by such Bank. No Bank shall be liable for the performance or nonperformance of the obligations of any other Bank under this paragraph. The reimbursement obligations of Banks under this paragraph
shall continue after the Termination Date and shall survive termination of this Agreement and the other Loan Papers. 
 (c) No
Bank will be obligated to lend to Borrower or incur Letter of Credit Exposure under this Section 2.1, and Borrower shall not be entitled to borrow hereunder or obtain Letters of Credit hereunder (i) during the existence of any
Borrowing Base Deficiency, or (ii) in an amount which would cause a Borrowing Base Deficiency. Nothing in this Section 2.1(c) shall be deemed to limit any Bank’s obligation to (A) reimburse any Letter of Credit Issuer with
respect to such Bank’s participation in Letters of Credit issued by such Letter of Credit Issuer as provided in Section 2.1(b), or (B) fund any Refunding Borrowing provided that Borrower is in compliance with
Section 4.5 of this Agreement. 
 Section 2.2 Method of Borrowing. 

(a) In order to request any Borrowing (other than a Swing Line Borrowing) hereunder, Borrower shall hand deliver, telecopy or e-mail (in
accordance with Section 14.2(b)) to Administrative Agent a duly completed Request for Borrowing (herein so called) (i) prior to 1:00 p.m. (Boston, Massachusetts time) at least one (1) Domestic Business Day before the Borrowing
Date of a proposed Adjusted Base Rate Borrowing, and (ii) prior to 1:00 p.m. (Boston, Massachusetts time) at least three (3) Eurodollar Business Days before the Borrowing Date of a proposed Eurodollar Borrowing. Each such Request for
Borrowing shall be substantially in the form of Exhibit B hereto, and shall specify: 
 (A) whether such
Borrowing is to be an Adjusted Base Rate Borrowing or a Eurodollar Borrowing; 
 (B) the Borrowing Date of such
Borrowing, which shall be a Domestic Business Day in the case of an Adjusted Base Rate Borrowing, or a Eurodollar Business Day in the case of a Eurodollar Borrowing; 

(C) the aggregate amount of such Borrowing; and 

(D) in the case of a Eurodollar Borrowing, the duration of the Interest Period applicable thereto, subject to the
provisions of the definition of Interest Period. 
 (b) Upon receipt of a Request for Borrowing described in
Section 2.2(a) above, Administrative Agent shall promptly notify each Bank of the contents thereof and the amount of the Borrowing to be loaned by such Bank pursuant thereto, and such Request for Borrowing shall not thereafter be
revocable by Borrower. 
 (c) Not later than 1:00 p.m. (Boston, Massachusetts time) on the date of each Borrowing (other than
any Swing Line Borrowing), each Bank shall make available its Commitment Percentage of such Borrowing, in Federal or other funds immediately available in 

 

 32 

 
Boston, Massachusetts to Administrative Agent at its address set forth on Schedule 1 hereto. Unless Administrative Agent determines that any applicable condition specified in
Section 6.2 has not been satisfied, Administrative Agent will make the funds so received from Banks available to Borrower at Administrative Agent’s aforesaid address. 

Section 2.3 Method of Requesting Letters of Credit. 

(a) In order to request any Letter of Credit hereunder, Borrower shall hand deliver, telex, e-mail or telecopy to Administrative Agent a
duly completed Request for Letter of Credit (herein so called) prior to 1:00 p.m. (Boston, Massachusetts time) at least three (3) Domestic Business Days before the date specified for issuance of such Letter of Credit. Each Request for Letters
of Credit shall be substantially in the form of Exhibit C hereto, shall be accompanied by the applicable Letter of Credit Issuer’s duly completed and executed Letter of Credit Application and agreement and shall specify: 

(i) the requested date for issuance of such Letter of Credit; 

(ii) the terms of such requested Letter of Credit, including the name and address of the beneficiary, the stated amount,
the expiration date and the conditions under which drafts under such Letter of Credit are to be available; and 

(iii) the purpose of such Letter of Credit. 

(b) Upon receipt of a Request for Letter of Credit described in Section 2.3(a) above, Administrative Agent shall promptly
notify each Bank and the proposed Letter of Credit Issuer of the contents thereof, including the amount of the requested Letter of Credit, and such Request for Letter of Credit shall not thereafter be revocable by Borrower. 

(c) No later than 1:00 p.m. (Boston, Massachusetts time) on the date each Letter of Credit is requested, unless Administrative Agent or
the applicable Letter of Credit Issuer determines that any applicable condition precedent set forth in Section 6.2 hereof has not been satisfied, the applicable Letter of Credit Issuer will issue and deliver such Letter of Credit
pursuant to the instructions of Borrower. 
 Section 2.4 Swing Line Loans. 

(a) Subject to the terms and conditions set forth herein, Swing Line Bank may, in reliance upon the agreements of the other Banks set
forth in this Section 2.4, make loans (each such loan, a “Swing Line Loan”) to Borrower from time to time on any Domestic Business Day prior to the Termination Date in an aggregate amount not to exceed at any time
outstanding the amount of the Swing Line Sublimit, notwithstanding the fact that such Swing Line Loans, when aggregated with the Commitment Percentage of the Outstanding Credit of the Bank acting as Swing Line Bank, may exceed the amount of such
Bank’s Commitment; provided, however, that after giving effect to any Swing Line Loan, (i) the Outstanding Credit shall not exceed the lesser of (A) the Borrowing Base, and (B) the Total Commitment, and
(ii) the aggregate outstanding principal balance of the Loans of any Bank (other than Swing Line Bank), plus such Bank’s Commitment Percentage of the aggregate Letter of Credit Exposure, plus such Bank’s Commitment Percentage
of the aggregate Swing Line Exposure shall not 
  

 33 

 
exceed such Bank’s Commitment, and provided, further, that Borrower shall not use the proceeds of any Swing Line Loan to refinance any outstanding Swing Line Loan.
Within the foregoing limits, and subject to the other terms and conditions hereof, Borrower may borrow under this Section 2.4, repay amounts borrowed under this Section 2.4 and request new Borrowings under this
Section 2.4. Each Swing Line Loan shall be an Adjusted Base Rate Loan. Immediately upon the making of a Swing Line Loan, each Bank shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from Swing Line Bank a
risk participation in such Swing Line Loan in an amount equal to the product of such Bank’s Commitment Percentage times the amount of such Swing Line Loan. 

(b) Each Swing Line Borrowing shall be made upon Borrower’s irrevocable notice to Swing Line Bank and Administrative Agent, which
may be given by telephone or e-mail (in accordance with Section 14.2(b)). Each such notice must be received by Swing Line Bank and Administrative Agent not later than 1:00 p.m. (Boston, Massachusetts time) on the requested Borrowing
Date, and shall specify (i) the amount to be borrowed, which shall be a minimum of $100,000, and (ii) the requested Borrowing Date, which shall be a Domestic Business Day. Each such telephone notice must be confirmed promptly by delivery
to Swing Line Bank and Administrative Agent of a written Swing Line Notice, appropriately completed and signed by an Authorized Officer of Borrower. Promptly after receipt by Swing Line Bank of any telephonic Swing Line Notice, Swing Line Bank will
confirm with Administrative Agent (by telephone or in writing) that Administrative Agent has also received such Swing Line Notice and, if not, Swing Line Bank will notify Administrative Agent (by telephone or in writing) of the contents thereof.
Unless Swing Line Bank has received notice (by telephone or in writing) from Administrative Agent (including at the request of any Bank) prior to 2:00 p.m. (Boston, Massachusetts time) on the date of the proposed Swing Line Borrowing
(A) directing Swing Line Bank not to make such Swing Line Loan as a result of the limitations set forth in the proviso to the first sentence of Section 2.4(a), or (B) that one or more of the applicable conditions specified in
Article VI is not then satisfied, then, subject to the terms and conditions hereof, Swing Line Bank will, not later than 3:00 p.m. (Boston, Massachusetts time) on the Borrowing Date specified in such Swing Line Notice, make the amount of its
Swing Line Loan available to Borrower at its office by crediting the account of Borrower on the books of Swing Line Bank in immediately available funds. 

(c) Swing Line Bank at any time in its sole and absolute discretion may request on behalf of Borrower (which hereby irrevocably
authorizes Swing Line Bank to so request on its behalf), that each Bank make an Adjusted Base Rate Loan in an amount equal to such Bank’s Commitment Percentage of the amount of Swing Line Loans then outstanding. Such request shall be made in
writing (which written request shall be deemed to be a Request for Borrowing for purposes hereof) and in accordance with the requirements of Section 2.2, without regard to the minimum and multiples specified therein for the principal
amount of Adjusted Base Rate Loans, but subject to the Availability and the conditions set forth in Section 6.2. Swing Line Bank shall furnish Borrower with a copy of the applicable Request for Borrowing promptly after delivering such
request to Administrative Agent. Each Bank shall make an amount equal to its Commitment Percentage of the amount specified in such Request for Borrowing available to Administrative Agent in immediately available funds for the account of Swing Line
Bank at Administrative Agent’s office not later than 1:00 p.m. (Boston, Massachusetts time) on the day specified in such Request for Borrowing, whereupon, subject to Section 2.4(d), each Bank that so

  

 34 

 
makes funds available shall be deemed to have made an Adjusted Base Rate Loan to Borrower in such amount, and the Swing Line Loans then outstanding shall be deemed repaid in the same amount.
Administrative Agent shall remit the funds so received to Swing Line Bank. 
 (d) If for any reason any Swing Line Loan cannot
be refinanced by such a Borrowing in accordance with Section 2.4(c), the request for Adjusted Base Rate Loans submitted by Swing Line Bank as set forth herein shall be deemed to be a request by Swing Line Bank that each of the Banks fund
its risk participation in the relevant Swing Line Loan and each Bank’s payment to Administrative Agent for the account of Swing Line Bank pursuant to Section 2.4(c) shall be deemed payment in respect of such participation.

 (e) If any Bank fails to make available to Administrative Agent for the account of Swing Line Bank any amount required to be
paid by such Bank pursuant to the foregoing provisions of Section 2.4(c) or Section 2.4(d) by the time specified in Section 2.4(c), Swing Line Bank shall be entitled to recover from such Bank (acting through
Administrative Agent), on demand, such amount with interest thereon for the period from the date such payment is required to the date on which such payment is immediately available to Swing Line Bank at a rate per annum equal to the greater of the
Federal Funds Rate and a rate determined by Swing Line Bank in accordance with banking industry rules on interbank compensation. A certificate of Swing Line Bank submitted to any Bank (through Administrative Agent) with respect to any amounts owing
under this Section 2.4(e) shall be conclusive absent manifest error. 
 (f) Each Bank’s obligation to make
Loans or to purchase and fund risk participations in Swing Line Loans pursuant to Section 2.4(c) or Section 2.4(d) shall be absolute and unconditional and shall not be affected by any circumstance, including (i) any
setoff, counterclaim, recoupment, defense or other right which such Bank may have against Swing Line Bank, Borrower or any other Person for any reason whatsoever, (ii) the occurrence or continuance of a Default, or (iii) any other
occurrence, event or condition, whether or not similar to any of the foregoing; provided, however, that each Bank’s obligation to make Loans pursuant to Section 2.4(c) is subject to the conditions set forth in
Section 6.2. No such funding of risk participations shall relieve or otherwise impair the obligation of Borrower to repay Swing Line Loans, together with interest as provided herein. 

(g) At any time after any Bank has purchased and funded a risk participation in a Swing Line Loan, if Swing Line Bank receives any
payment on account of such Swing Line Loan, Swing Line Bank will distribute to such Bank its Commitment Percentage of such payment (appropriately adjusted, in the case of interest payments, to reflect the period of time during which such Bank’s
risk participation was funded) in the same funds as those received by Swing Line Bank. 
 (h) If any payment received by Swing
Line Bank in respect of principal or interest on any Swing Line Loan is required to be returned by Swing Line Bank in connection with any proceeding under any Debtor Relief Law or otherwise (including pursuant to any settlement entered into by Swing
Line Bank in its discretion), each Bank shall pay to Swing Line Bank its Commitment Percentage thereof on demand of Administrative Agent, plus interest thereon from the date of such demand to the date such amount is returned, at a rate per annum
equal to the Federal Funds Rate. Administrative Agent will make such demand upon the request 
  

 35 

 
of Swing Line Bank. The obligations of the Banks under this clause shall survive the payment in full of the Obligations and the termination of this Agreement. 

(i) Swing Line Bank shall be responsible for invoicing Borrower for interest on the Swing Line Loans. Until each Bank funds its Adjusted
Base Rate Loan or risk participation pursuant to Section 2.4(c) or Section 2.4(d) to refinance such Bank’s Commitment Percentage of any Swing Line Loan, interest in respect of such Commitment Percentage shall be solely
for the account of Swing Line Bank. 
 (j) Borrower shall make all payments of principal and interest in respect of the Swing
Line Loans directly to Swing Line Bank. 
 (k) Notwithstanding anything to the contrary contained herein, if any Swing Line
Exposure exists at the time a Bank becomes an Impacted Bank then: (i) all or any part of such Swing Line Exposure shall be reallocated among the non-Impacted Banks in accordance with their respective Commitment Percentages but only to the
extent (x) the sum of all non-Impacted Banks’ Outstanding Credit does not exceed the total of all non-Impacted Banks’ Commitments and (y) the conditions set forth in Section 6.2 are satisfied at such time;
(ii) if the Swing Line Exposure of the non-Impacted Banks is reallocated pursuant to this Section 2.4(k), then the fees payable to the Banks pursuant to Section 2.12 and Section 2.13 shall be adjusted in
accordance with such non-Impacted Banks’ Commitment Percentages; and (iii) if any Impacted Bank’s Swing Line Exposure is not reallocated pursuant to this Section 2.4(k), then, without prejudice to any rights or remedies of
the Swing Line Bank or any Bank hereunder, all commitment fees that otherwise would have been payable to such Impacted Bank (solely with respect to the portion of such Impacted Bank’s Commitment that was utilized by such Swing Line Exposure)
under Section 2.12 shall be payable to the Swing Line Bank until such Swing Line Exposure is reallocated. In the event that Administrative Agent agrees that an Impacted Bank has adequately remedied all matters that caused such Bank to be
a Impacted Bank, then the Swing Line Exposure of the Banks shall be reallocated to reflect the inclusion of such Bank’s Commitment and on such date such Bank shall purchase at par such of the Loans of the other Banks as Administrative Agent
shall determine may be necessary in order for such Bank to hold such Loans in accordance with its Commitment Percentage. 
 (l)
Notwithstanding anything to the contrary contained herein, in addition to such other conditions and terms that are expressly provided in this Agreement, the Swing Line Bank shall not at any time be obligated to make a Swing Line Loan if any Bank is
at such time an Impacted Bank hereunder, unless the Swing Line Bank is satisfied that (i) the existing Swing Line Exposure of the Impacted Bank has been fully covered in accordance with the preceding paragraph, (ii) (1) the Swing Line
Exposure associated with any new Swing Line Loan will be 100% covered by the Commitments of the non-Impacted Banks pursuant to Section 2.4(k), (2) Borrower has provided to the Swing Line Bank cash collateral for such Impacted
Bank’s Swing Line Exposure, or (3) the Swing Line Bank has entered into other reasonably satisfactory arrangements with Borrower or such Impacted Bank to eliminate the Swing Line Bank’s risk with respect to such Impacted Bank, and
(iii) participating interests in any such Swing Line Loan shall be allocated among non-Impacted Banks in a manner consistent with Section 2.4(k) (and Impacted Banks shall not participate therein). 

 

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 Section 2.5 Notes. Each Bank’s Commitment Percentage of the Loan shall be
evidenced by a single Note payable to the order of such Bank in an amount equal to such Bank’s Commitment. 
 Section 2.6
Interest Rates; Payments. 
 (a) The principal amount of the Loan (including any Swing Line Loan) outstanding from day to
day which is the subject of an Adjusted Base Rate Tranche shall bear interest at a rate per annum equal to the sum of (i) Adjusted Base Rate, plus (ii) the Applicable Margin; provided, that in no event shall the rate charged
hereunder or under the Notes exceed the Maximum Lawful Rate. Interest on any portion of the principal of the Loan (including any Swing Line Loan) subject to an Adjusted Base Rate Tranche shall be payable as it accrues on the last day of each Fiscal
Quarter. 
 (b) The principal amount of the Loan outstanding from day to day which is the subject of a Eurodollar Tranche shall
bear interest for the Interest Period applicable thereto at a rate per annum equal to the sum of (i) the Adjusted LIBOR Rate, plus (ii) the Applicable Margin; provided, that in no event shall the rate charged hereunder or
under the Notes exceed the Maximum Lawful Rate. Interest on any portion of the principal of the Loan subject to a Eurodollar Tranche having an Interest Period of one (1) or three (3) months shall be payable on the last day of the Interest
Period applicable thereto. Interest on any portion of the principal of the Loan subject to a Eurodollar Tranche having an Interest Period of six (6) or twelve (12) months shall be payable on the last day of such Interest Period and on the
last day of each three (3) month period during such Interest Period. 
 (c) So long as no Default or Event of Default shall
be continuing, subject to the provisions of this Section 2.6, Borrower shall have the option of having all or any portion of the principal outstanding under the Loan borrowed by it be the subject of an Adjusted Base Rate Tranche or one
(1) or more Eurodollar Tranches, which shall bear interest at rates based upon the Adjusted Base Rate and the Adjusted LIBOR Rate, respectively (each such option is referred to herein as an “Interest Option”);
provided, that each Tranche shall be in a minimum amount of $250,000 and shall be in an amount which is an integral multiple of (i) $250,000 in the case of a Eurodollar Tranche, or (ii) $50,000 in the case of an Adjusted Base
Rate Tranche. Prior to the termination of each Interest Period with respect to each Eurodollar Tranche, Borrower shall give written notice (a “Rollover Notice”) in the form of Exhibit D attached hereto to
Administrative Agent of the Interest Option which shall be applicable to such portion of the principal of the Loan upon the expiration of such Interest Period. Such Rollover Notice shall be given to Administrative Agent at least one
(1) Domestic Business Day, in the case of an Adjusted Base Rate Tranche selection and at least three (3) Eurodollar Business Days, in the case of a Eurodollar Tranche selection, prior to the termination of the Interest Period then
expiring. If Borrower shall specify a Eurodollar Tranche, such Rollover Notice shall also specify the length of the succeeding Interest Period (subject to the provisions of the definitions of such term) selected by Borrower. Each Rollover Notice
shall be irrevocable and effective upon notification thereof to Administrative Agent. If the required Rollover Notice shall not have been timely received by Administrative Agent, Borrower shall be deemed to have elected that the principal of the
Loan subject to the Interest Period then expiring be the subject of an Adjusted Base Rate Tranche upon the expiration of such Interest Period and Borrower will be deemed to have given 

 

 37 

 
Administrative Agent notice of such election. Subject to the limitations set forth in this Section 2.6(c) on the minimum amount of Eurodollar Tranches, Borrower shall have the right
to convert all or part of the Adjusted Base Rate Tranche to a Eurodollar Tranche by giving Administrative Agent a Rollover Notice of such election at least three (3) Eurodollar Business Days prior to the date on which Borrower elects to make
such conversion (a “Conversion Date”). The Conversion Date selected by Borrower shall be a Eurodollar Business Day. Notwithstanding anything in this Section 2.6 to the contrary, no portion of the principal of the
Loan which is the subject of an Adjusted Base Rate Tranche may be converted to a Eurodollar Tranche and no Eurodollar Tranche may be continued as such when any Default or Event of Default has occurred and is continuing, but each such Tranche shall
be automatically converted to an Adjusted Base Rate Tranche on the last day of each applicable Interest Period. In no event shall more than five (5) Interest Options be in effect with respect to the Loan at any time. 

(d) Notwithstanding anything to the contrary set forth in Section 2.6(a) or Section 2.6(b) above, all overdue
principal of and, to the extent permitted by Law, overdue interest on the Loan and all other Obligations which are not paid in full when due (whether at stated maturity, by acceleration or otherwise), for the period from and including the due date
thereof to but excluding the date the same is paid in full, shall bear interest, at a rate per annum equal to the lesser of (i) the Default Rate, and (ii) the Maximum Lawful Rate. Interest payable as provided in this
Section 2.6(d) shall be payable from time to time on demand. 
 (e) Administrative Agent shall determine each
interest rate applicable to the Loan in accordance with the terms hereof. Administrative Agent shall promptly notify Borrower and Banks by telex, e-mail or telecopy of each rate of interest so determined. Each determination by Administrative Agent
of an interest rate or fee hereunder shall be conclusive and binding for all purposes, absent manifest error. 
 (f)
Notwithstanding the foregoing, if at any time the rate of interest calculated with reference to the Adjusted Base Rate or the LIBOR Rate hereunder (the “contract rate”) is limited to the Maximum Lawful Rate, any subsequent
reductions in the contract rate shall not reduce the rate of interest on the Loan below the Maximum Lawful Rate until the total amount of interest accrued equals the amount of interest which would have accrued if the contract rate had at all times
been in effect. In the event that at maturity (stated or by acceleration), or at final payment of any Note, the total amount of interest paid or accrued on such Note is less than the amount of interest which would have accrued if the contract rate
had at all times been in effect with respect thereto, then at such time, to the extent permitted by Law, Borrower shall pay to the holder of such Note an amount equal to the difference between (i) the lesser of the amount of interest which
would have accrued if the contract rate had at all times been in effect and the amount of interest which would have accrued if the Maximum Lawful Rate had at all times been in effect, and (ii) the amount of interest actually paid on such Note.

 (g) Interest payable on the principal of any portion of the Loan subject to a Eurodollar Tranche shall be computed based on
the number of actual days elapsed assuming that each calendar year consisted of 360 days. Interest payable on the principal of any portion of the Loan subject to an Adjusted Base Rate Tranche shall be computed based on the number of actual days
elapsed and based on a year of 365 or 366 days, as the case may be. Interest shall accrue on each Loan for the day on which the Loan is made, and shall not accrue on a Loan, or any portion 

 

 38 

 
thereof, for the day on which the Loan or such portion is paid, provided, that any Loan that is repaid on the same day on which it is made shall, subject to Section 3.2(a),
bear interest for one day. 
 Section 2.7 Mandatory Prepayment Following Certain Events. Immediately upon the
consummation by any Credit Party of any Asset Disposition (other than a Permitted Asset Disposition), all Net Cash Proceeds from any such Asset Disposition shall be applied as a mandatory prepayment on the Loan except to the extent Required Banks
otherwise agree in writing. 
 Section 2.8 Voluntary Prepayments. Borrower may, subject to Section 3.2 and
Section 3.3, but without any other premium or penalty, upon (a) one (1) Domestic Business Day advance notice to Administrative Agent with respect to Adjusted Base Rate Borrowings (other than Swing Line Borrowings), and
(b) three (3) Domestic Business Days advance notice to Administrative Agent with respect to Eurodollar Borrowings, prepay the principal of the Loan in whole or in part. Any partial prepayment shall be in a minimum amount of $50,000 and
shall be in an integral multiple of $50,000 (or such lesser amount as may be required to fully prepay any applicable Tranche). Borrower may, subject to Section 3.2, but without any other premium or penalty, prepay the principal of the
Swing Line Loans in whole or in part. Any partial prepayment shall be in a minimum amount of $50,000 and shall be in an integral multiple of $50,000 (or such lesser amount as may be required to fully prepay any applicable Swing Line Loan).

 Section 2.9 Mandatory Termination of Commitments; Termination Date and Maturity. The Total Commitment (and the
Commitment of each Bank) shall terminate on the Termination Date. The outstanding principal balance of the Loan (including any Swing Line Loan), all accrued but unpaid interest thereon and all other Obligations shall be due and payable in full on
the Termination Date. 
 Section 2.10 Voluntary Reduction of Total Commitment. Borrower may, by notice to Administrative
Agent five (5) Domestic Business Days prior to the effective date of any such reduction, permanently reduce or terminate the Total Commitment (and thereby permanently reduce the Commitment of each Bank ratably in accordance with such
Bank’s Commitment Percentage); provided, that any reduction shall be in amounts not less than $500,000 or any larger multiple of $500,000. On the effective date of any such reduction in the Total Commitment, Borrower shall, to the extent
required as a result of such reduction, make a principal payment on the Loan (together with accrued interest thereon) in an amount sufficient to cause the Outstanding Credit to be equal to or less than the Total Commitment as thereby reduced (and
Administrative Agent shall distribute to each Bank in like funds that portion of any such payment as is required to cause the principal balance of the Loan held by such Bank to be not greater than its Commitment as thereby reduced). Notwithstanding
the foregoing, (a) Borrower shall not be permitted to voluntarily reduce the Total Commitment to an amount less than the aggregate Letter of Credit Exposure of all Banks, and (b) if, after giving effect to any reduction of the Total
Commitment, the Swing Line Sublimit exceeds the amount of the Total Commitment, such Swing Line Sublimit shall be automatically reduced by the amount of such excess. 

 

 39 

 Section 2.11 Application of Payments. Other than partial repayments or partial
prepayments of Adjusted Base Rate Borrowings, each repayment or prepayment pursuant to Section 2.7, Section 2.8, Section 2.9, Section 2.10 and Section 4.5 shall be made together with
accrued interest to the date of payment. All repayments and prepayments made pursuant to this Agreement shall be applied to payment of the Loan in accordance with Section 3.2 and the other provisions of this Agreement. 

Section 2.12 Commitment Fee. On the Termination Date, and no later than fifteen (15) days following the last day of each
Fiscal Quarter prior to the Termination Date, and in the event the Commitments are terminated in their entirety prior to the Termination Date, on the date of such termination, commencing with the first Fiscal Quarter ending after the Effective Date,
Borrower shall pay to Administrative Agent, for the ratable benefit of each Bank based on each Bank’s Commitment Percentage, a commitment fee equal to the Commitment Fee Percentage (computed on the basis of actual days elapsed and as if each
calendar year consisted of 360 days) of the average daily Availability for the Fiscal Quarter (or portion thereof) then most recently ended. Any similar fees accrued on the Effective Date under the Existing Credit Agreement shall be paid at the same
time as the first fees payable under this Section. 
 Section 2.13 Letter of Credit Fees. On the Termination Date, and no
later than fifteen (15) days following the last day of each Fiscal Quarter prior to the Termination Date, commencing with the first Fiscal Quarter ending after the Effective Date, and, in the event the Commitments are terminated in their
entirety prior to the Termination Date, on the date of such termination, Borrower shall pay to Administrative Agent or Bank of America (as applicable) (to be distributed by Administrative Agent or retained by Bank of America, as applicable) in
accordance with Section 2.1(b), the Letter of Credit Fee which accrued during such Fiscal Quarter (or portion thereof), computed on the basis of actual days elapsed and as if each calendar year consisted of 360 days. Any similar fees
accrued on the Effective Date under the Existing Credit Agreement shall be paid at the same time as the first fees payable under this Section. 

Section 2.14 Agency and Other Fees. Borrower shall pay to Administrative Agent and its Affiliates such fees and other amounts as
Borrower shall be required to pay to Administrative Agent and its Affiliates from time to time pursuant to any separate agreement between Borrower and Administrative Agent or any of its Affiliates setting forth the compensation to be paid to
Administrative Agent and its Affiliates in consideration for acting as Administrative Agent hereunder and for providing other services in connection with the credit facilities provided pursuant hereto. Such fees and other amounts shall be retained
by Administrative Agent and its Affiliates, and no Bank (other than Administrative Agent) shall have any interest therein. Administrative Agent may disburse any fees paid to Administrative Agent and its Affiliates pursuant to this
Section 2.14 in any manner Administrative Agent desires in its sole discretion. 
 ARTICLE III 

GENERAL PROVISIONS 

Section 3.1 Delivery and Endorsement of Notes. Promptly after the Effective Date, Administrative Agent shall deliver to each Bank
the Note payable to such Bank, and each Bank holding a promissory note of Borrower issued pursuant to the Existing Credit Agreement shall promptly thereafter return such promissory note to Administrative Agent marked canceled or

  

 40 

 
otherwise similarly defaced. Each Bank may endorse (and prior to any transfer of its Note shall endorse) on the schedule attached to its Note appropriate notations to evidence the date and amount
of each advance of funds made by it in respect of any Borrowing, the Interest Period applicable thereto, and the date and amount of each payment of principal received by such Bank with respect to the Loan; provided, that the failure by
any Bank to so endorse its Note shall not affect the liability of Borrower for the repayment of all amounts outstanding under such Notes together with interest thereon. Each Bank is hereby irrevocably authorized by Borrower to endorse its Note and
to attach to and make a part of any Note a continuation of any such schedule as required. 
 Section 3.2 General Provisions
as to Payments. 
 (a) Borrower shall make each payment of principal of, and interest on, the Loans (including Swing Line
Loans) and all fees payable by Borrower hereunder not later than 1:00 p.m. (Boston, Massachusetts time) on the date when due, in Federal or other funds immediately available in Boston, Massachusetts, to Administrative Agent at its address set forth
on Schedule 1 hereto. Administrative Agent will promptly (and if such payment is received by Administrative Agent by 11:00 a.m. (Boston, Massachusetts time), and otherwise if reasonably possible, on the same Domestic Business Day) distribute
to each Bank its Commitment Percentage of each such payment received by Administrative Agent for the account of Banks. Whenever any payment of principal of, or interest on, that portion of the Loan (including any Swing Line Loan) subject to an
Adjusted Base Rate Tranche or of fees shall be due on a day which is not a Domestic Business Day, the date for payment thereof shall be extended to the next succeeding Domestic Business Day (subject to the definition of Interest Period). Whenever
any payment of principal of, or interest on, that portion of the Loan subject to a Eurodollar Tranche shall be due on a day which is not a Eurodollar Business Day, the date for payment thereof shall be extended to the next succeeding Eurodollar
Business Day (subject to the definition of Interest Period). If the date for any payment of principal is extended by operation of Law or otherwise, interest thereon shall be payable for such extended time. Borrower hereby authorizes Administrative
Agent to charge from time to time against Borrower’s account or accounts with Administrative Agent any amount then due by Borrower. 

(b) Whenever no Event of Default has occurred and is continuing, all principal payments received by Banks with respect to the Loan shall
be applied first to the payment of principal with respect to the Swing Line Loans outstanding, then to Eurodollar Tranches outstanding under the Loan with Interest Periods ending on the date of such payment that are not the subject of a Rollover
Notice, then to the Adjusted Base Rate Tranches outstanding under the Loan, and then to Eurodollar Tranches outstanding under the Loan next maturing until such principal payment is fully applied, with such adjustments in such order of payment as
Administrative Agent shall specify in order that each Bank receives its ratable share of each such payment. 
 (c) Whenever an
Event of Default has occurred and is continuing, all amounts collected or received by Administrative Agent or any Bank from any Credit Party or in respect of any of the assets of any Credit Party shall be applied first to the payment of all
proper out-of-pocket costs incurred by Administrative Agent in connection with the collection thereof (including reasonable expenses and disbursements of counsel to Administrative Agent), second 

  

 41 

 
to the payment of all proper out-of-pocket costs incurred by Banks in connection with the collection thereof (including reasonable expenses and disbursements of counsel to Banks), third to
the reimbursement of any advances made by Banks to effect performance of any unperformed covenants of any Credit Party under any of the Loan Papers, fourth to the payment of any unpaid fees required pursuant to Section 2.14,
fifth to the payment of any unpaid fees required pursuant to Section 2.1(b), Section 2.12 and Section 2.13, sixth to establish the deposits required by Section 2.1(b) if any, and
seventh to each Bank (and/or its Affiliates) for application to its Commitment Percentage of the principal balance of the Loan then outstanding (including accrued but unpaid interest thereon) in accordance with their respective Commitment
Percentages and to satisfy all obligations and liabilities then due with respect to Hedge Transactions and Cash Management Obligations, such payments to be made pro rata to each Bank (and/or its Affiliates) owed such Obligations in proportion to all
such payments owed to all Banks (and/or its Affiliates) in respect of such Obligations. All payments received by a Bank during the continuance of an Event of Default for application to the principal of the Loan pursuant to this
Section 3.2(c) shall be applied by such Bank in the manner provided in Section 3.2(b). 
 Section 3.3
Funding Losses. If Borrower makes any payment of principal subject to a Eurodollar Tranche (whether pursuant to Section 2.7 Section 2.8, Section 2.9, Section 2.10, Section 4.5,
Article XI or Article XIII and whether as a voluntary or mandatory prepayment or otherwise) on any day other than the last day of an Interest Period applicable thereto, or if Borrower fails to borrow any Eurodollar Borrowing, after
notice has been given to any Bank in accordance with Section 2.2, Borrower shall reimburse each Bank on demand for any resulting loss or expense incurred by it, including (without limitation) any loss incurred in obtaining, liquidating
or employing deposits from third parties, or any loss arising from the reemployment of funds at rates lower than the cost to such Bank of such funds, which in the case of the payment or prepayment prior to the end of the Interest Period for any
Eurodollar Tranche, shall be the amount, if any, by which (a) the interest which such Bank would have received absent such payment or prepayment for the applicable Interest Period exceeds (b) the interest (excluding the Applicable Margin)
which such Bank would receive if its Commitment Percentage of the amount of such Eurodollar Borrowing were deposited, loaned, or placed by such Bank in the interbank eurodollar market on the date of such payment or prepayment for the remainder of
the applicable Interest Period. Such Bank shall promptly deliver to Borrower and Administrative Agent a certificate as to the amount of such loss or expense, which certificate shall be conclusive in the absence of manifest error. 

Section 3.4 Foreign Lenders, Participants, and Assignees. Each Bank, Participant (by accepting a participation interest under this
Agreement), and Assignee (by executing an Assignment and Assumption Agreement) that is not organized under the Laws of the United States of America or one of its states (a) represents to Administrative Agent and Borrower that (i) no Taxes
are required to be withheld by Administrative Agent or Borrower with respect to any payments to be made to it in respect of the Obligations, and (ii) it has furnished to Administrative Agent and Borrower two (2) duly completed copies of
either U.S. Internal Revenue Service Form W-8ECI or W-8BEN, or other form acceptable to Administrative Agent that entitles it to exemption from U.S. federal withholding Tax on all interest payments under the Loan Papers, and (b) covenants to
(i) provide Administrative Agent and Borrower a new Form W-8ECI or W-8BEN, or other form acceptable to Administrative Agent upon the expiration or 

 

 42 

 
obsolescence of any previously delivered form according to applicable Laws and regulations, duly executed and completed by it, and (ii) comply from time to time with all applicable Laws and
regulations with regard to the withholding Tax exemption. If any of the foregoing is not true with respect to, or the applicable forms are not provided by, any such Bank, Participant or Assignee, then Borrower and Administrative Agent (but without
duplication) may deduct and withhold from interest payments under the Loan Papers any United States federal-income Tax at the maximum rate under the Code. 

Section 3.5 Non Receipt of Funds by Administrative Agent. Unless Administrative Agent shall have been notified by a Bank or
Borrower (“Payor”) prior to the date on which such Bank is to make payment to Administrative Agent hereunder or Borrower is to make a payment to Administrative Agent for the account of one or more Banks, as the case may be
(such payment being herein called the “Required Payment”), which notice shall be effective upon receipt, that Payor does not intend to make the Required Payment to Administrative Agent, Administrative Agent may assume that
the Required Payment has been made and may, in reliance upon such assumption (but shall not be required to), make the amount thereof available to the intended recipient on such date and, if Payor has not in fact made the Required Payment to
Administrative Agent, (a) the recipient of such payment shall, on demand, pay to Administrative Agent the amount made available to it together with interest thereon in respect of the period commencing on the date such amount was so made
available by Administrative Agent until the date Administrative Agent recovers such amount at a rate per annum equal to (i) in the event such recipient is a Bank, the Federal Funds Rate then in effect for such period, and (ii) in the event
such recipient is Borrower, the Adjusted Base Rate then in effect for such period, and (b) Administrative Agent shall be entitled to offset against any and all sums to be paid to such recipient, the amount calculated in accordance with the
foregoing clause (a). 
 ARTICLE IV 

BORROWING BASE 

Section 4.1 Reserve Reports; Proposed Borrowing Base. As soon as available and in any event by May 1 and November 1 of
each year commencing November 1, 2010, Borrower shall deliver to each Bank a Reserve Report prepared as of the immediately preceding January 1 and July 1, respectively. Simultaneously with the delivery to Administrative Agent and each
Bank of each Reserve Report, Borrower shall notify Administrative Agent of the Borrowing Base which Borrower requests become effective for the period commencing on the next Determination Date. 

Section 4.2 Scheduled Redeterminations of the Borrowing Base; Procedures and Standards. Based in part on the Reserve Reports made
available to Banks pursuant to Section 4.1, Banks shall redetermine the Borrowing Base on or prior to the next Determination Date (or such date promptly thereafter as reasonably possible (a) based on the engineering and other
information available to Banks, and (b) in accordance with, and consistent with, the subsequent provisions of this Section 4.2). Any Borrowing Base which becomes effective as a result of any Determination of the Borrowing Base shall
be subject to the following restrictions: (i) such Borrowing Base shall not exceed the Borrowing Base requested by Borrower pursuant to Section 4.1, (ii) such Borrowing Base shall not exceed the Total Commitment then in effect,
(iii) to the extent such Borrowing Base represents an increase from the Borrowing Base in effect prior to 
  

 43 

 
such Determination, such Borrowing Base shall be approved by all Banks, and (iv) any Borrowing Base which represents a decrease in the Borrowing Base in effect prior to such Determination,
or a reaffirmation of such prior Borrowing Base, shall only require approval of Required Banks. Each Determination shall be made by Banks in accordance with their normal and customary procedures for evaluating oil and gas reserves and other related
assets as such exist at that particular time and will otherwise be in their sole discretion. Administrative Agent shall propose such redetermined Borrowing Base to Banks within thirty (30) days following receipt by Administrative Agent and
Banks of a Reserve Report. After having received notice of such proposal by Administrative Agent, Required Banks (or all Banks in the event of a proposed increase) shall have fifteen (15) days to agree or disagree with such proposal. If at the
end of such fifteen (15) day period, Required Banks (or all Banks in the event of a proposed increase) have not communicated their approval or disapproval, such silence shall be deemed an approval and Administrative Agent’s proposal shall
be the new Borrowing Base. If, however, Administrative Agent’s proposal is not so approved (or deemed approved), Required Banks (or all Banks in the event of a proposed increase) shall, within a reasonable period of time, agree on a new
Borrowing Base. In taking the above actions, Administrative Agent and Banks shall act in accordance with their normal and customary procedures for evaluating oil and gas reserves and other related assets as such exist at that particular time and
will otherwise act in their sole discretion. It is further acknowledged and agreed that each Bank may consider such other credit factors as it deems appropriate which are consistent with its normal and customary procedures for evaluating oil and gas
reserves and shall have no obligation in connection with any Determination to approve any increase from the Borrowing Base in effect prior to such Determination. Promptly following any Determination of the Borrowing Base, Administrative Agent shall
notify Borrower of the amount of the Borrowing Base as redetermined, which Borrowing Base shall be effective as of the date of such notice, and shall remain in effect for all purposes of this Agreement until the next Periodic or Special
Determination. Upon written request of Borrower at any time, but not more frequently than twice during any calendar year, Administrative Agent shall deliver to Borrower a calculation of the Recognized Value of all Proved Mineral Interests evaluated
by Bank of America for purposes of the most recent redetermination of the Borrowing Base. 
 Section 4.3 Special
Determination of Borrowing Base. In addition to the redeterminations of the Borrowing Base pursuant to Section 4.2 and Section 4.4, Required Banks and Borrower may each request Special Determinations of the Borrowing Base
from time to time; provided, that (a) Borrower may not request more than one (1) Special Determination per Fiscal Year, and (b) Required Banks may not request more than one (1) Special Determination per Fiscal Year.
In the event Required Banks request such a Special Determination, Administrative Agent shall promptly deliver notice of such request to Borrower and Borrower shall, within thirty (30) days following the date of such request, deliver to Banks a
Reserve Report prepared as of the last day of the calendar month preceding the date of such request. In the event Borrower requests a Special Determination, Borrower shall deliver written notice of such request to Banks which shall include
(i) a Reserve Report prepared as of the date not more than thirty (30) days prior to the date of such request, and (ii) the amount of the Borrowing Base requested by Borrower and to become effective on the Determination Date
applicable to such Special Determination. Upon receipt of such Reserve Report, Administrative Agent shall, subject to approval of Required Banks, or all Banks in the event of a proposed increase in the Borrowing Base, redetermine the Borrowing Base
in accordance with the procedure set forth in 
  

 44 

 
Section 4.2 which Borrowing Base shall become effective on the date on which Administrative Agent and Required Banks, or all Banks in the event of a proposed increase in the Borrowing
Base, approve such Borrowing Base and provide notice thereof to Borrower. 
 Section 4.4 Adjustments for Certain Approved
Asset Dispositions. In addition to the redeterminations of the Borrowing Base pursuant to Section 4.2 and Section 4.3, the Borrowing Base shall reduce simultaneously with the completion by any Credit Party of any Asset
Dispositions (other than Permitted Asset Dispositions) by the lesser of (a) the Borrowing Base value of the Borrowing Base Properties or Borrowing Base Hedges which are the subject of such Asset Disposition as assigned thereto by Administrative
Agent (which, in the case of any exchange of Borrowing Base Properties, shall be the net reduction in Borrowing Base value (as determined by Administrative Agent) realized or resulting from such exchange and which, in the case of any Borrowing Base
Hedge Monetizations where Borrowing Base Hedges are wholly or partially replaced by new Hedge Transactions in substantially contemporaneous transactions, shall be the net reduction in Borrowing Base value (as determined by Administrative Agent)
after giving effect to such replacement) and (b) the Net Cash Proceeds received by any Credit Party from such Asset Disposition. 

Section 4.5 Borrowing Base Deficiency. If a Borrowing Base Deficiency exists at any time (other than as a result of any adjustment
to the Borrowing Base pursuant to Section 4.4), Borrower shall, within thirty (30) days following notice thereof from Administrative Agent, provide written notice (the “Election Notice”) to Administrative
Agent stating the action which Borrower proposes to take to remedy such Borrowing Base Deficiency, and Borrower shall thereafter, at its option, do one or a combination of the following: (a) within ten (10) days following the delivery of
such Election Notice, make a prepayment of principal on the Loan in an amount sufficient to eliminate such Borrowing Base Deficiency, and if such Borrowing Base Deficiency cannot be eliminated by prepaying the Loan in full (as a result of
outstanding Letter of Credit Exposure), Borrower shall also at such time deposit with Administrative Agent sufficient funds to be held by Administrative Agent as security for outstanding Letter of Credit Exposure in the manner contemplated by
Section 2.1(b) as necessary to eliminate such Borrowing Base Deficiency, (b) within thirty (30) days following the delivery of such Election Notice, submit additional oil and gas properties owned by Borrower and its
Subsidiaries for consideration in connection with the determination of the Borrowing Base which Administrative Agent and Required Banks deem sufficient in their sole discretion to eliminate such Borrowing Base Deficiency, or (c) eliminate such
deficiency by making six (6) consecutive mandatory prepayments of principal on the Loan, each of which shall be in the amount of one-sixth (1/6th) of the amount of such Borrowing Base Deficiency commencing on the date of delivery of such
Election Notice and continuing on the corresponding day of each subsequent month thereafter, and in connection therewith, Borrower shall (i) dedicate a sufficient amount (as determined by Administrative Agent in its sole discretion) of the
monthly cash flow from Borrower’s oil and gas properties to satisfy such payments, and (ii) execute and deliver such collateral assignments and/or security agreements in form and substance satisfactory to Administrative Agent which it may,
in its discretion, require with respect thereto. 
 Section 4.6 Initial Borrowing Base. Notwithstanding anything
contained herein to the contrary, the Borrowing Base in effect during the period from the Effective Date until the date of 
  

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the first Special or Periodic Determination after the Effective Date shall be the Initial Borrowing Base. 

ARTICLE V 

COLLATERAL 

Section 5.1 Security. 

(a) The Obligations shall be secured by first and prior Liens (subject only to Permitted Encumbrances) covering and encumbering
(i) Mineral Interests owned by Borrower and its Domestic Subsidiaries which shall in all events include not less than the Required Reserve Value of all Proved Mineral Interests owned by Borrower and its Domestic Subsidiaries on and after the
Effective Date, and (ii) one-hundred percent (100%) of the issued and outstanding Equity of each existing and future Domestic Subsidiary of Borrower. On or prior to the Effective Date, Borrower shall deliver to Administrative Agent, for
the ratable benefit of each Bank (A) the Mortgages in form and substance acceptable to Administrative Agent and duly executed by the Credit Parties (as applicable) together with such other assignments, conveyances, amendments, agreements and
other writings, including, without limitation, UCC-1 financing statements (each duly authorized and executed, as applicable) as Administrative Agent shall deem necessary or appropriate to grant, evidence and perfect first and prior Liens in all
Borrowing Base Properties and other interests of Borrower and its Domestic Subsidiaries required by this Section 5.1(a), (B) a Borrower Pledge Agreement duly executed by Borrower, (C) such UCC-1 financing statements as
Administrative Agent shall request to fully evidence and perfect the Liens created by such Borrower Pledge Agreement, and (D) the certificates, if any, evidencing the issued and outstanding Equity of each existing Subsidiary of Borrower that is
required hereby to be pledged, duly endorsed or accompanied by appropriate blank stock powers (as applicable). 
 (b) On or
prior to the Effective Date and at such other times as Administrative Agent or Required Banks shall request, Borrower shall, and shall cause its Domestic Subsidiaries to, deliver to Administrative Agent, for the ratable benefit of each Bank,
Mortgages in form and substance acceptable to Administrative Agent and duly executed by Borrower and such Subsidiaries (as applicable) together with such other assignments, conveyances, amendments, agreements and other writings, including, without
limitation, UCC-1 financing statements (each duly authorized and executed, as applicable) as Administrative Agent shall deem necessary or appropriate to grant, evidence and perfect the Liens required by Section 5.1(a)(i) preceding with
respect to Mineral Interests then held by Borrower and such Subsidiaries (as applicable) which are not the subject of existing first and prior, perfected Liens securing the Obligations as required by Section 5.1(a)(i) preceding.

 (c) On the date of the creation or acquisition by Borrower of any Domestic Subsidiary with assets of $25,000 or more, or on
the date of creation or acquisition by any Domestic Subsidiary of Borrower of any Indirect Domestic Subsidiary with assets of $25,000 or more, Borrower or such Subsidiary of Borrower (as applicable) shall execute and deliver to Administrative Agent
a Borrower Pledge Agreement or Subsidiary Pledge Agreement (as applicable) together with (i) all certificates (or other evidence acceptable to Administrative Agent) evidencing the issued and outstanding Equity of any such Subsidiary of every
class which 
  

 46 

 
shall be duly endorsed or accompanied by stock powers executed in blank (as applicable), and (ii) such UCC-1 financing statements as Administrative Agent shall deem necessary or appropriate
to grant, evidence and perfect the Liens required by Section 5.1(a)(ii) in the issued and outstanding Equity of each such Domestic Subsidiary. 

(d) Borrower hereby authorizes Administrative Agent, and its agents, successors and assigns, to file any and all necessary financing
statements under the Uniform Commercial Code, assignments or continuation statements as necessary from time to time (in Administrative Agent’s discretion) to perfect (or continue perfection of) the Liens granted (or purported to be granted)
pursuant to the Loan Papers. 
 Section 5.2 Opinions of Counsel. At any time Borrower or any of its Subsidiaries are
required to execute and deliver Mortgages to Administrative Agent pursuant to Section 5.1, Borrower shall also deliver to Administrative Agent, upon request, such opinions of counsel (including, if so requested, title opinions, and in
each case addressed to Administrative Agent) and other evidence of title as Administrative Agent shall deem necessary or appropriate to verify (a) Borrower’s (or any such Subsidiary’s (as applicable)) title to the Required Reserve
Value of the Proved Mineral Interests which are subject to such Mortgages, (b) the validity and perfection of the Liens created by such Mortgages, and (c) such other matters relative to such Mortgages as Administrative Agent may reasonably
request. 
 Section 5.3 Guarantees. Payment and performance of the Obligations shall be fully guaranteed by GeoMet
Operating, GeoMet Gathering and each other existing or hereafter acquired Domestic Subsidiary pursuant to a Facility Guaranty. On the date of creation or acquisition by Borrower of any Domestic Subsidiary, or on the date of creation or acquisition
by any Domestic Subsidiary of Borrower of any Indirect Domestic Subsidiary, Borrower shall cause such Domestic Subsidiary to execute and deliver to Administrative Agent a Facility Guaranty. 

ARTICLE VI 

CONDITIONS TO BORROWINGS 

Section 6.1 Conditions to Amendment and Restatement of Existing Credit Agreement, Initial Borrowing and Participation in Letter of
Credit Exposure. The amendment and restatement of the Existing Credit Agreement on the terms and conditions set forth herein, and the obligation of each Bank to loan its Commitment Percentage of the initial Borrowing hereunder, and the
obligation of Administrative Agent to issue (or cause another Bank to issue), the initial Letter of Credit issued hereunder is subject to the satisfaction of each of the following conditions: 

(a) Deliveries. Administrative Agent shall have received each of the following documents, instruments and agreements, each of
which shall be in form and substance and executed in such counterparts as shall be acceptable to Administrative Agent and Required Banks and each of which shall, unless otherwise indicated, be dated on or prior to the Effective Date: 

(i) a Note payable to the order of each Bank in the amount of such Bank’s Commitment, duly executed and delivered by
Borrower; 
  

 47 

 (ii) a Borrower Pledge Agreement duly executed and delivered by Borrower
together with (A) certificates evidencing one hundred percent (100%) of the issued and outstanding Equity of GeoMet Operating, GeoMet Gathering and each other existing Domestic Subsidiary, which certificates shall be duly endorsed or
accompanied by stock powers executed in blank (as applicable), and (B) such financing statements as Administrative Agent shall request to evidence and perfect the Liens granted pursuant to such Borrower Pledge Agreement; 

(iii) a Facility Guaranty duly executed and delivered by GeoMet Operating, GeoMet Gathering and each other existing
Domestic Subsidiary of Borrower; 
 (iv) Mortgages, each duly executed and delivered by the Credit Parties (as
applicable) and Administrative Agent, together with such other assignments, conveyances, amendments, agreements and other writings, including, without limitation, UCC-1 financing statements, in form and substance satisfactory to Administrative
Agent; 
 (v) opinions of (A) Thompson & Knight L.L.P., counsel to Borrower, GeoMet Operating,
GeoMet Gathering and each other existing Domestic Subsidiary, and (B) special Alabama, Virginia and West Virginia counsel to Borrower, GeoMet Operating, GeoMet Gathering and each other existing Domestic Subsidiary, in each case favorably
opining as to such matters as Administrative Agent or Banks may request; 
 (vi) a certificate, dated as of the
Effective Date, executed by an Authorized Officer of Borrower stating that, to his knowledge, (A) the representations and warranties contained in this Agreement and the other Loan Papers are true and correct in all respects, (B) no Default
or Event of Default has occurred which is continuing, and (C) all conditions set forth in this Section 6.1 and Section 6.2 have been satisfied and remain satisfied as of the Effective Date; 

(vii) a copy of the articles or certificate of incorporation or comparable charter documents, and all amendments thereto,
of each Credit Party that is a party to any Loan Paper, accompanied by a certificate that such copy is true, correct and complete, issued by the appropriate Governmental Authority of the jurisdiction of incorporation or organization of each such
Credit Party, and accompanied by a certificate of the Secretary, Assistant Secretary or comparable Authorized Officer of each such Credit Party that such copy is true, correct and complete as of the date hereof; 

(viii) a copy of the bylaws or comparable charter documents, and all amendments thereto, of each Credit Party that is a
party to any Loan Paper, accompanied by a certificate of the Secretary, Assistant Secretary or comparable Authorized Officer of each such Credit Party that such copy is true, correct and complete as of the date hereof; 

(ix) certain certificates and other documents issued by the appropriate Governmental Authorities of such jurisdictions as
Administrative Agent has requested with a date that is no more than thirty (30) days prior to the Effective Date relating to the existence of each Credit Party that is a party to any Loan Paper and to the effect that each

  

 48 

 
Credit Party is in good standing with respect to the payment of franchise and similar Taxes and is duly qualified to transact business in such jurisdictions; 

(x) a certificate of incumbency of the officers of each Credit Party (to the extent a party to any Loan Paper) who will be
authorized to execute or attest to any Loan Paper, dated the date hereof, executed by the Secretary, Assistant Secretary or comparable Authorized Officer of each such Credit Party (as applicable); 

(xi) copies of resolutions or comparable authorizations approving the Loan Papers and authorizing the transactions
contemplated by this Agreement and the other Loan Papers, duly adopted by the Board of Directors, partners or comparable authority of each Credit Party a party to any Loan Paper, accompanied by certificates of the Secretary, Assistant Secretary or
comparable officer of each such Credit Party (as applicable) that such copies are true and correct copies of resolutions duly adopted in accordance with the charter documents of each such Credit Party, and that such resolutions constitute all the
resolutions adopted with respect to such transactions, have not been amended, modified, or revoked in any respect, and are in full force and effect as of the date hereof. 

(xii) such UCC search reports as Administrative Agent shall require, prepared as of a date acceptable to Administrative
Agent, conducted in such jurisdictions and reflecting such names as Administrative Agent shall request; and 

(xiii) certificates from Borrower’s insurance broker setting forth the insurance maintained by Borrower and the other
Credit Parties, stating that such insurance is in full force and effect, that all premiums have been paid and satisfying the requirements of Section 8.5. 

(b) Fees and Expenses. All reasonable fees and expenses of Administrative Agent and its Affiliates in connection with the credit
facility provided herein shall have been paid. 
 (c) No Material Adverse Change. No Material Adverse Change shall have
occurred in the assets, liabilities, financial condition or prospects of Borrower and its Subsidiaries, taken as a whole. 
 (d)
No Legal Prohibition. The transactions contemplated by this Agreement and the other Loan Papers shall be permitted by applicable Law and regulation. 

(e) No Litigation. No litigation, arbitration or similar proceeding shall be pending which (i) calls into question the
validity or enforceability of this Agreement and/or the other Loan Papers or (ii) could reasonably be expected to have a Material Adverse Effect. 

(f) Fees. Borrower shall have paid to (i) Administrative Agent, for the ratable benefit of each Bank, any fees to be paid on
the date hereof and on the Effective Date pursuant to Section 2.14, and (ii) Administrative Agent, for its own account, any fees payable to Administrative Agent or any Affiliate of Administrative Agent pursuant to
Section 2.14. Additionally, Borrower shall pay, or provide for the payment of, all mortgage privilege taxes 

 

 49 

 
required to be paid upon the recording of the Mortgages in the various counties in the State of Alabama. 

(g) Financial Statements; Projections. Administrative Agent and Banks shall have completed a due diligence investigation of
Borrower and its Subsidiaries in scope, and with results, satisfactory to Administrative Agent and Banks and shall have been given such access to the management, records, books of account, contracts and properties of Borrower and its subsidiaries
and shall have received such financial, business and other information regarding each of the foregoing persons and businesses as they shall have requested, including, without limitation: 

(i) Borrower’s audited financial statements for the Fiscal Year ended December 31, 2009; and 

(ii) Borrower’s financial projections covering Fiscal Years 2010, 2011 and 2012. 

(h) Initial Reserve Report. Administrative Agent shall have received, and satisfactorily completed its review of, the Initial
Reserve Report. 
 (i) Convertible Preferred Equity Issuance. 

(i) The Convertible Equity Documents shall have been executed on terms substantially similar to those set forth in the
Summary of Indicative Terms as of May 3, 2010 attached to that certain commitment letter from Sherwood Energy, LLC accepted and agreed to by Borrower on May 4, 2010, and otherwise in form and substance acceptable to Administrative Agent
and Banks, and no provision of any such Convertible Preferred Equity Document shall have thereafter been waived, amended, supplemented or otherwise modified in any material respect without approval of Administrative Agent. 

(ii) The issuance of the Convertible Preferred Equity shall have occurred and been consummated in accordance with all
applicable Laws and on the terms set forth in such Convertible Preferred Equity Documents, and Administrative Agent shall have received a copy of each material Convertible Preferred Equity Document (other than share certificates and officer’s
certificates), together with a certificate of an Authorized Officer of Borrower certifying that such copies are accurate and complete and represent the complete understanding and agreement of the parties with respect to the subject matter thereof.

 (iii) Borrower shall have received aggregate gross proceeds (prior to payment of related costs and expenses)
of at least $40,000,000 from the issuance of the Convertible Preferred Equity and shall have applied all net proceeds received from the issuance of the Convertible Preferred Equity as a prepayment of the obligations owing under the Existing Credit
Agreement. 
 (j) Other Matters. All matters related to this Agreement, the other Loan Papers or any Credit Party shall
be acceptable to Administrative Agent, and Borrower shall have 
  

 50 

 
delivered to Administrative Agent such evidence as it shall request to substantiate any matters related to this Agreement, the other Loan Papers, or any Credit Party as Administrative Agent shall
reasonably request. 
 Upon satisfaction of each of the conditions set forth in this Section 6.1, Borrower and
Administrative Agent shall execute the Certificate of Effectiveness. Upon the execution and delivery of the Certificate of Effectiveness, the Existing Credit Agreement shall automatically and completely be amended and restated on the terms set forth
herein and the loans and tranches outstanding under the Existing Credit Agreement shall become the Loan and Tranches hereunder, in the same amount and with the same Interest Periods and LIBOR Rates, all without necessity of any other action on the
part of any Bank, Administrative Agent or Borrower, and Administrative Agent shall release its Liens upon and return to Borrower the share certificates of the Foreign Subsidiaries that are set forth on Schedule 4. Until execution and delivery
of the Certificate of Effectiveness, the Existing Credit Agreement shall remain in full force and effect in accordance with its terms. Each Bank hereby authorizes Administrative Agent to execute the Certificate of Effectiveness on its behalf and
acknowledges and agrees that the execution of the Certificate of Effectiveness by Administrative Agent shall be binding on each such Bank. The conditions precedent in this Section 6.1 must be satisfied or waived pursuant to
Section 14.2 on or prior to August 16, 2010, and if they are not this Agreement shall not become effective and the Existing Credit Agreement shall continue in full force and effect without interruption or amendment by this
Agreement. 
 Without limiting the generality of the provisions of Article XII, for purposes of determining compliance
with the conditions specified in this Section 6.1, each Bank that has signed this Agreement shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter required thereunder to be
consented to or approved by or acceptable or satisfactory to a Bank unless Administrative Agent shall have received notice from such Bank prior to the proposed Effective Date specifying its objection thereto. 

Section 6.2 Conditions to each Borrowing and each Letter of Credit. The obligation of each Bank to loan its Commitment Percentage
of each Borrowing and the obligation of any Letter of Credit Issuer to issue Letters of Credit on the date any Letter of Credit is to be issued is subject to the further satisfaction of the following conditions: 

(a) timely receipt by (i) Administrative Agent of a Request for Borrowing or Request for Letter(s) of Credit (as applicable), and
(ii) Swing Line Bank (with a copy to Administrative Agent) of a Swing Line Notice (as applicable); 
 (b) immediately
before and after giving effect to such Borrowing or issuance of such Letter(s) of Credit, no Default or Event of Default shall have occurred and be continuing and neither such Borrowing nor the issuance of such Letter(s) of Credit (as applicable)
shall cause a Default or Event of Default; 
 (c) the representations and warranties of each Credit Party contained in this
Agreement and the other Loan Papers shall be true and correct on and as of the date of such Borrowing or the issuance of such Letter(s) of Credit (as applicable); 

 

 51 

 (d) the funding of such Borrowing or the issuance of such Letter(s) of Credit (as
applicable) and all other Borrowings to be made and/or Letter(s) of Credit to be issued (as applicable) on the same day under this Agreement, shall not cause a Borrowing Base Deficiency; and 

(e) following the issuance of any Letter(s) of Credit, the aggregate Letter of Credit Exposure of all Banks shall not exceed $5,000,000.

 Each Borrowing and the issuance of each Letter of Credit hereunder shall constitute a representation and warranty by Borrower
that on the date of such Borrowing or issuance of such Letter of Credit (as applicable) the statements contained in subclauses (b), (c). (d) and (e) above are true. 

Section 6.3 Materiality of Conditions. Each condition precedent herein is material to the transactions contemplated herein, and
time is of the essence in respect of each thereof. 
 ARTICLE VII 

REPRESENTATIONS AND WARRANTIES 

Borrower represents and warrants that each of the following statements is true and correct on the date hereof and will be true and
correct on the Effective Date and on the occasion of each Borrowing and the issuance of each Letter of Credit: 
 Section 7.1
Existence and Power. Each of the Credit Parties (a) is a corporation, limited liability company or partnership duly incorporated or organized (as applicable), and is validly existing and in good standing under the Laws of its
jurisdiction of incorporation or organization (as applicable), (b) has all corporate, limited liability company or partnership power (as applicable) and all material governmental licenses, authorizations, consents and approvals required to
carry on its businesses as now conducted and as proposed to be conducted, and (c) is duly qualified to transact business as a foreign corporation, foreign limited liability company or foreign partnership (as applicable) in each jurisdiction
where a failure to be so qualified could have a Material Adverse Effect. 
 Section 7.2 Corporate, Limited Liability Company,
Partnership and Governmental Authorization; Contravention. The execution, delivery and performance of this Agreement, the Notes, the Mortgages, and the other Loan Papers by each Credit Party (as applicable) (a) are within such Credit
Party’s corporate, partnership, or limited liability company powers (as applicable), (b) have been duly authorized by all necessary corporate, partnership, or limited liability company action (as applicable), (c) require no action by
or in respect of, or filing with, any Governmental Authority or official, and (d) do not contravene, or constitute a default under, any provision of applicable Law or regulations (including, without limitation, the Margin Regulations) or of the
articles of association, partnership agreement, certificate of limited partnership, articles of incorporation, certificate of incorporation, bylaws, regulations or other organizational documents (as applicable) of any such Credit Party or of any
agreement, indenture, judgment, injunction, order, decree or other instrument binding upon any such Credit Party or result in the creation or imposition of any Lien on any asset of any such Credit Party except Liens securing the Obligations.

  

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 Section 7.3 Binding Effect. This Agreement constitutes a valid and binding agreement
of Borrower; the Notes, the Mortgages, and the other Loan Papers when executed and delivered in accordance with this Agreement, will then constitute valid and binding obligations of each Credit Party (to the extent a party thereto); and each Loan
Paper is enforceable against each Credit Party (to the extent a party thereto) in accordance with its terms except as limited by (a) bankruptcy, insolvency or similar Laws affecting creditors rights generally, and (b) equitable principles
of general applicability. 
 Section 7.4 Financial Information. 

(a) The Current Financials fairly present, in conformity with GAAP (but excluding footnotes), the consolidated financial position of
Borrower and its consolidated results of operations and cash flows as of the date and for the period covered thereby, subject to year end adjustments. 

(b) There has been no Material Adverse Change in the business, financial position, results of operations or prospects of Borrower and its
Subsidiaries, taken as a whole, since the date of the most recent balance sheet included in the Current Financials. 
 Section
7.5 Litigation. Except for matters disclosed on Schedule 2 attached hereto, there is no action, suit or proceeding pending against, or to the knowledge of any Credit Party, threatened against or affecting any Credit Party before any
court, arbitrator, Governmental Authority or official in which there is a reasonable possibility of an adverse decision which would have a Material Adverse Effect or which would in any manner draw into question the validity of the Loan Papers.

 Section 7.6 ERISA. No Credit Party nor any ERISA Affiliate maintains or has within the past six (6) years
maintained or been obligated to contribute to any Plan covered by Title IV of ERISA or subject to the funding requirements of Section 412 of the Code or Section 302 of ERISA. Each Plan maintained by any Credit Party or any ERISA Affiliate
is in compliance in all material respects with all applicable Laws. Except in such instances where an omission or failure would not have a Material Adverse Effect, (a) all returns, reports and notices required to be filed with any regulatory
agency with respect to any Plan have been filed timely, and (b) no Credit Party nor any ERISA Affiliate has failed to make any contribution or pay any amount due or owing as required by the terms of any Plan. There are no pending or, to the
best of Borrower’s knowledge, threatened claims, lawsuits, investigations or actions (other than routine claims for benefits in the ordinary course) asserted or instituted against, and no Credit Party nor any ERISA Affiliate has knowledge of
any threatened litigation or claims against, the assets of any Plan or its related trust or against any fiduciary of a Plan with respect to the operation of such Plan that are likely to result in liability of any Credit Party having a Material
Adverse Effect. Except in such instances where an omission or failure would not have a Material Adverse Effect, each Plan that is intended to be “qualified” within the meaning of Section 401(a) of the Code is, and has been during the
period from its adoption to date, so qualified, both as to form and operation and all necessary governmental approvals, including a favorable determination as to the qualification under the Code of such Plan and each amendment thereto, have been or
will be timely obtained. No Credit Party nor any ERISA Affiliate has engaged in any prohibited transactions, within the meaning of Section 406 of ERISA or Section 4975 of the 

 

 53 

 
Code, in connection with any Plan which would result in liability of any Credit Party having a Material Adverse Effect. No Credit Party nor any ERISA Affiliate maintains or contributes to any
Plan that provides a post-employment health benefit, other than a benefit required under Section 601 of ERISA, or maintains or contributes to a Plan that provides health benefits that is not fully funded except where the failure to fully fund
such Plan would not have a Material Adverse Effect. No Credit Party maintains, or within the past six (6) years has established or has ever participated in a multiple employer welfare benefit arrangement within the meaning of
Section 3(40)(A) of ERISA. 
 Section 7.7 Taxes and Filing of Tax Returns. Each Credit Party has filed all material
tax returns required to have been filed and has paid all Taxes shown to be due and payable on such returns, including interest and penalties, and all other Taxes which are payable by such party, to the extent the same have become due and payable
other than Taxes with respect to which a failure to pay would not have a Material Adverse Effect. All Tax liabilities of each Credit Party and their predecessors are adequately provided for. Except as disclosed in writing to Banks, no tax liability
of any Credit Party, or any of their predecessors has been asserted by the Internal Revenue Service or any other taxing authority for Taxes in excess of those already paid. 

Section 7.8 Title to Properties; Liens. Each Credit Party has good and valid title to all material assets purported to be owned by
it, free and clear of all Liens, except for Permitted Encumbrances. Without limiting the foregoing, (a) Borrower has good, valid and defensible title to all Borrowing Base Properties (except for Borrowing Base Properties disposed of in
compliance with, and to the extent permitted by Section 9.5 to the extent this representation and warranty is made or deemed made after the Closing Date), free and clear of all Liens, except for Permitted Encumbrances and Immaterial
Title Deficiencies, and (b) each Credit Party has good and valid title to all material assets reflected in the Current Financials and any subsequent financial statements delivered to Banks pursuant to Section 8.1(a) and
Section 8.1(b) hereof. Notwithstanding the foregoing or anything to the contrary in the Cahaba Mortgage, Borrower hereby discloses to Administrative Agent and Banks that, and hereby qualifies its representations and warranties in the
Loan Papers to the effect that, the description set forth on Exhibit A to the Cahaba Mortgage of the net working interests of Borrower with respect to the wells described on such Exhibit A (the “Cahaba Wells”) is incomplete
in the following respect: 
 As of the effective date of the Cahaba Mortgage, Borrower owned an 87.5% net working interest in
the Cahaba Wells. However, the lease governing the Cahaba Wells contains an escalating royalty interest on a well-by-basis that will reduce Borrower’s net working interests as follows: (a) two (2) years after first sales commence on a
particular Cahaba Well, the 12.5% royalty interest therein escalates to 15.5%, thereby reducing Borrower’s net working interest therein to 84.5%, and (b) an additional two (2) years thereafter, the 15.5% royalty interest therein
escalates again to 18.5%, thereby reducing Borrower’s net working interest therein to 81.5%, where it remains constant for life of the well. 
  

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 Section 7.9 Mineral Interests. With the exception of Immaterial Title Deficiencies,
all Borrowing Base Properties are valid, subsisting, and in full force and effect, and all rentals, royalties, and other amounts due and payable in respect thereof have been duly paid. Except for consent or non-consent provisions of any joint
operating agreement covering any Credit Party’s Proved Mineral Interests and Immaterial Title Deficiencies, each Credit Party’s share of (a) the costs for each Borrowing Base Property is not greater than the decimal fraction set forth
in the Reserve Report, before and after payout, as the case may be, and described therein by the respective designations “working interests”, “WI”, “gross working interest”, “GWI”, or similar terms, and
(b) production from, allocated to, or attributed to each such Borrowing Base Property is not less than the decimal fraction set forth in the Reserve Report, before and after payout, as the case may be, and described therein by the designations
“net revenue interest”, “NRI”, or similar terms. Each well drilled in respect of each Proved Producing Mineral Interest described in the Reserve Report has been drilled, bottomed, completed, and operated in material compliance
with all applicable Laws and no such well which is currently producing Hydrocarbons is subject to any penalty in production by reason of such well having produced in excess of its allowable production. 

Section 7.10 Business; Compliance. Each Credit Party has performed and abided by all obligations required to be performed under
each license, permit, order, authorization, grant, contract, agreement, or regulation to which such Credit Party is a party or by which such Credit Party or any of the assets of such Credit Party are bound to the extent a failure to perform and
abide by such obligations could reasonably be expected to have a Material Adverse Effect; provided, that to the extent Mineral Interests owned by any such Credit Party are operated by operators other than such Credit Party or an
Affiliate of such Credit Party, Borrower does not have any knowledge that any such obligation remains unperformed and the appropriate Person has diligently enforced all contractual obligations of such operators to insure performance. 

Section 7.11 Licenses, Permits, Etc. Each Credit Party possesses such valid franchises, certificates of convenience and necessity,
operating rights, licenses, permits, consents, authorizations, exemptions and orders of tribunals, as are necessary to carry on its businesses as now being conducted except to the extent a failure to obtain any such item would not have a Material
Adverse Effect; provided, that to the extent Mineral Interests owned by any Credit Party are operated by operators other than such Credit Party or an Affiliate of such Credit Party, Borrower does not have any knowledge that possession
of such items has not been obtained, and the appropriate Person has diligently enforced all contractual obligations of such operators to obtain such items. 

Section 7.12 Compliance with Law. The business and operations of each Credit Party have been and are being conducted in accordance
with all applicable Laws, rules and regulations of all tribunals and Governmental Authorities, other than Laws, rules and regulations the violation of which is not (either individually or collectively) reasonably expected to have a Material Adverse
Effect; provided, that to the extent Mineral Interests owned by any Credit Party are operated by operators other than any Credit Party or an Affiliate of any Credit Party, Borrower does not have any knowledge of non compliance and the
appropriate Person has diligently enforced all contractual obligations of such operators to insure compliance. No portion of any improved real property, including, without limitation, buildings, dwellings or structures, owned or leased by any Credit
Party is located in a special flood hazard area as 
  

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designated by any Governmental Authority, unless such Credit Party has maintained flood insurance with respect to such improved real property as required by Section 8.5. 

Section 7.13 Full Disclosure. All information heretofore furnished by Borrower or any of its Subsidiaries (or any other party on
any Credit Party’s behalf) to any Agent or any Bank for purposes of or in connection with this Agreement or any transaction contemplated hereby is, and all such information hereafter furnished by any Credit Party or on behalf of any Credit
Party to any Agent or any Bank will be, true, complete and accurate in every material respect or based on reasonable estimates on the date as of which such information is stated or certified. Borrower has disclosed to Banks in writing any and all
facts (other than facts of general public knowledge) which might reasonably be expected to have a Material Adverse Effect. 

Section 7.14 Organizational Structure; Nature of Business. Each Credit Party is engaged primarily in the business of acquiring,
exploring, developing and operating Mineral Interests and the production, marketing, processing and transporting of Hydrocarbons and accompanying elements therefrom. Schedule 3 attached hereto accurately reflects, as of the Effective Date,
(a) the jurisdiction of incorporation or organization of each Credit Party, (b) each jurisdiction in which each such Credit Party is qualified to transact business as a foreign corporation, foreign partnership or foreign limited liability
company, (c) the authorized, issued and outstanding stock, partnership or limited liability interests of each Credit Party (other than Borrower), including the names of (and number of shares or other Equity interests held by) the record and
beneficial owners of such interests, and (d) all outstanding warrants, options, subscription rights, convertible securities or other rights to purchase capital stock, partnership or limited liability company interests of each Credit Party
(other than Borrower). Except as set forth in this Section 7.14 and in Schedule 3 hereto, as of the Effective Date no Person (other than Borrower) holds record or beneficial ownership of any capital stock or other Equity interest
in any Subsidiary of Borrower or any other right or option to acquire any capital stock or other Equity interest in any Subsidiary of Borrower and, without limiting the foregoing, there are not outstanding any warrants, options, subscription rights
or other rights to purchase stock or other Equity interests in any Subsidiary of Borrower. Except as set forth in Schedule 3 hereto, as supplemented in writing from time to time, Borrower does not have any Subsidiaries, and no Credit Party is
a partner or joint venturer in any partnership or joint venture or a member of any unincorporated association. 
 Section 7.15
Environmental Matters. No real or personal property owned or leased by any Credit Party (including, without limitation, Mineral Interests) and no operations conducted thereon, and no operations of any prior owner, lessee or operator of any
such properties, is or has been in violation of any Applicable Environmental Law other than violations which neither individually nor in the aggregate will have a Material Adverse Effect, nor is any such property or operation the subject of any
existing, pending or, to Borrower’s knowledge, threatened Environmental Complaint which will, individually or in the aggregate, have a Material Adverse Effect. All notices, permits, licenses, and similar authorizations, if any, required to be
obtained or filed in connection with the ownership or operation of any and all real and personal property owned, leased or operated by any Credit Party, including, without limitation, notices, licenses, permits and authorizations required in
connection with any past or present treatment, storage, disposal, or release of Hazardous Substances into the environment, have been duly obtained or filed except to the extent the failure to obtain or file such notices, licenses, permits and

  

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authorizations would not have a Material Adverse Effect. All Hazardous Substances, if any, generated at any and all real and personal property owned, leased or operated by any Credit Party have
been transported, treated, and disposed of only by carriers maintaining valid permits under RCRA and all other Applicable Environmental Laws, to the extent failure to do so would have a Material Adverse Effect. There have been no Hazardous
Discharges which were not in compliance with Applicable Environmental Laws other than Hazardous Discharges which would not, individually or in the aggregate, have a Material Adverse Effect. No Credit Party has any contingent liability in connection
with any Hazardous Discharges which could have a Material Adverse Effect. 
 Section 7.16 Burdensome Obligations. No
Credit Party, nor any of the properties of any Credit Party, is subject to any Law or regulation or subject to any restriction under the articles or certificate of incorporation, certificate of limited partnership, partnership agreement, bylaws,
regulations or other organizational documents of any Credit Party or under any agreement or instrument to which any Credit Party is a party or by which any of its properties may be subject or bound, which is so unusual or burdensome as to be likely
in the foreseeable future to have a Material Adverse Effect. Without limiting the foregoing, no Credit Party is a party to or bound by an agreement (other than in the case of Borrower, the Convertible Preferred Equity Documents) or subject to any
order of any Governmental Authority which prohibits or restricts in any way the right of such party to make Distributions other than restrictions binding on the Credit Party set forth in this Agreement. 

Section 7.17 Government Regulations. No Credit Party is subject to regulation under the Federal Power Act, the Interstate Commerce
Act, the Investment Company Act of 1940 (as any of the preceding acts have been amended) or any other Law or regulation which regulates the incurring by it of Debt, including, but not limited to, Laws relating to common carriers or the sale of
electricity, gas, steam, water or other public utility services. Borrower is not engaged and will not engage, principally or as one of its important activities, in the business of purchasing or carrying margin stock (within the meaning of Regulation
U issued by the Board of Governors of the Federal Reserve System of the United States), or extending credit for the purpose of purchasing or carrying margin stock. Following the application of the proceeds of each Borrowing or drawing under each
Letter of Credit, not more than 25% of the value of the assets (either of Borrower only or of Borrower and its Subsidiaries on a consolidated basis) subject to the provisions of Section 9.3 or Section 9.5 or subject to any
restriction contained in any agreement or instrument between Borrower and any Bank or any Affiliate of any Bank relating to Debt and within the scope of Section 11.1(g) will be margin stock. 

Section 7.18 Fiscal Year. Borrower’s Fiscal Year is January 1 through December 31. 

Section 7.19 No Default. No Default or Event of Default has occurred and is continuing, after giving effect to the transactions
contemplated by this Agreement or the other Loan Papers. 
 Section 7.20 Gas Balancing Agreements and Advance Payment
Contracts. On the date of this Agreement, (a) there is no Material Gas Imbalance, and (b) the aggregate amount of all Advance Payments received by any Credit Party under Advance Payment Contracts which have not been satisfied by
delivery of production does not exceed $1,000,000. 
  

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 Section 7.21 Convertible Preferred Equity Documents. Borrower has provided to
Administrative Agent a true and correct copy of the material Convertible Preferred Equity Documents. As of the Effective Date, no party to any of the Convertible Preferred Equity Documents is in default of its obligations or in breach of any
representations or warranties made by it thereunder, and each of the Convertible Preferred Equity Documents is a valid, binding and enforceable obligation of each party thereto in accordance with its terms except as limited by (a) bankruptcy,
insolvency or similar Laws affecting creditors rights generally, and (b) equitable principles of general applicability. 

ARTICLE VIII 

AFFIRMATIVE COVENANTS 

Borrower agrees that, so long as any Bank has any commitment to lend or participate in Letter of Credit Exposure hereunder or any amount
payable under any Note remains unpaid or any Letter of Credit remains outstanding: 
 Section 8.1 Information. Borrower
will deliver, or cause to be delivered, to Administrative Agent, for delivery to each Bank (which may be by posting to Intralinks): 

(a) as soon as available and in any event within ninety (90) days (or such shorter time as required to be filed with the SEC) after
the end of each Fiscal Year of Borrower, the consolidated balance sheet of Borrower as of the end of such Fiscal Year and the related consolidated statements of income and cash flow for such Fiscal Year, all reported by Borrower in accordance with
GAAP and audited by a firm of independent public accountants of nationally recognized standing acceptable to Administrative Agent. To the extent Borrower’s Form of 10 K filed with the SEC for each Fiscal Year contains all information required
by this Section 8.1(a), Borrower may satisfy its obligations under this Section 8.1(a) for each Fiscal Year by delivering to Administrative Agent a copy of such Form 10-K for such Fiscal Year within five (5) Domestic
Business Days of filing same with the SEC; 
 (b) as soon as available and in any event within forty-five (45) days (or
such shorter time as required to be filed with the SEC) after the end of each of the first three (3) Fiscal Quarters of each Fiscal Year of Borrower, the consolidated balance sheet of Borrower as of the end of such Fiscal Quarter and the
related consolidated statements of income and cash flow for such Fiscal Quarter and for the portion of Borrower’s Fiscal Year ended at the end of such Fiscal Quarter. To the extent Borrower’s Form 10 Q filed with the SEC for each Fiscal
Quarter contains all information required by this Section 8.1(b), Borrower may satisfy its obligations under this Section 8.1(b) for each Fiscal Quarter by delivering to Administrative Agent a copy of such Form 10-Q for such
Fiscal Quarter within five (5) Domestic Business Days of filing same with the SEC. All financial statements delivered pursuant to this Section 8.1(b) shall be certified as to fairness of presentation, GAAP and consistency by the
chief financial officer of Borrower (but excluding footnotes and subject to normal year end adjustments); 
 (c) simultaneously
with the delivery of each set of financial statements referred to in Section 8.1(a) and Section 8.1(b), a certificate of the chief financial officer of Borrower in the form of Exhibit E attached hereto,
(i) setting forth in reasonable detail the calculations required to establish whether Borrower was in compliance with the requirements of 

 

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Article X on the date of such financial statements, (ii) stating whether there exists on the date of such certificate any Default and, if any Default then exists, setting forth the
details thereof and the action which Borrower is taking or proposes to take with respect thereto, (iii) setting forth (A) whether as of such date (or the most recent dates as of which gas imbalances have been determined) there is a
Material Gas Imbalance and, if so, setting forth the reasonably estimated amount of net gas imbalances under Gas Balancing Agreements to which any Credit Party is a party or by which any Mineral Interests owned by any Credit Party are bound, and
(B) the aggregate amount of all Advance Payments received under Advance Payment Contracts to which Borrower or any Subsidiary is a party or by which any Mineral Interests owned by any Credit Party are bound which have not been satisfied by
delivery of production, if any, and (iv) a summary of the Hedge Transactions to which any Credit Party is a party on such date; 

(d) immediately upon any Authorized Officer of any Credit Party becoming aware of the occurrence of any Default, including, without
limitation, a Default under Article X, a certificate of an Authorized Officer of Borrower setting forth the details thereof and the action which Borrower is taking or proposes to take with respect thereto; 

(e) prompt notice of (i) any Material Adverse Change in the financial condition of Borrower and its Subsidiaries, taken as a whole,
or (ii) the occurrence of any acceleration of the maturity of any Debt owing by any Credit Party or any default under any indenture, mortgage, agreement, contract or other instrument to which it is a party or by which it or any of its
properties is bound, if such default or acceleration might have a Material Adverse Effect; 
 (f) promptly upon receipt of same,
any notice or other information received by any Credit Party indicating any potential, actual or alleged (i) non-compliance with or violation of the requirements of any Applicable Environmental Law which is reasonably likely to result in
liability to any Credit Party for fines, clean up or any other remediation obligations or any other liability in excess of $1,000,000 in the aggregate; (ii) release or threatened release of any Hazardous Discharge which release would impose on
any Credit Party a duty to report to a Governmental Authority or to pay cleanup costs or to take remedial action under any Applicable Environmental Law which is reasonably likely to result in liability to any Credit Party for fines, clean up and
other remediation obligations or any other liability in excess of $1,000,000 in the aggregate; or (iii) the existence of any Lien arising under any Applicable Environmental Law securing any obligation to pay fines, clean up or other remediation
costs or any other liability in excess of $1,000,000 in the aggregate. Without limiting the foregoing, Borrower shall provide to Banks promptly upon receipt of same copies of all environmental consultants or engineers reports received by any Credit
Party which would render the representations and warranties contained in Section 7.15 untrue or inaccurate in any material respect; 

(g) in the event any notification is provided by any Credit Party to any Bank or Administrative Agent pursuant to
Section 8.1(f) hereof or Administrative Agent or any Bank otherwise learns of any event or condition under which any such notice would be required, then, upon request of Required Banks (but no more frequently than once per calendar
year), Borrower shall, within ninety (90) days of such request, cause to be furnished to each Bank a report by an environmental consulting firm acceptable to Administrative Agent and Required Banks, stating that a review of such event,
condition or circumstance has been undertaken (the scope of which 
  

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shall be acceptable to Administrative Agent and Required Banks) and detailing the findings, conclusions, and recommendations of such consultant. Borrower shall bear all expenses and costs
associated with such review and updates thereof; 
 (h) no later than May 1 and November 1 of each year, commencing
November 1, 2010, reports of production volumes, revenue, expenses and average monthly product prices for all oil and gas properties owned by Borrower and its Subsidiaries with a Recognized Value of $1,000,000 or more for the periods of six
(6) months ending the preceding January 1 and July 1 respectively, which shall be reported on a field by field basis and otherwise in form and substance acceptable to Administrative Agent; 

(i) as soon as available and in any event not later than February 28th of each Fiscal Year of Borrower, a draft of the annual budget
of Borrower and its Subsidiaries (taken as a whole) for such Fiscal Year, reviewed by the Board of Directors of Borrower, setting forth in reasonable detail the projected revenues and expenses of Borrower and such Subsidiaries (taken as a whole) for
such Fiscal Year; 
 (j) without limiting Borrower’s obligations under Section 8.1(a) and
Section 8.1(b), promptly upon the filing thereof, copies of all final registration statements, post effective amendments thereto and annual, quarterly or special reports which any Credit Party shall have filed with the SEC; 

(k) prompt notice of any change (i) in any Credit Party’s corporate, partnership or limited liability company name,
(ii) in the location of any Credit Party’s chief executive office or principal place of business, or (iii) in any Credit Party’s identity or corporate, partnership or limited liability company structure or in the jurisdiction in
which such Person is incorporated or formed; 
 (l) as soon as reasonably practicable after the occurrence of any major
development (adverse or otherwise) with respect to the litigation, claims and actions described on Schedule 3 hereto, notice thereof and, to the extent requested by Administrative Agent, copies of all material documentation (if any) relating
thereto; and 
 (m) from time to time such additional information regarding the financial position or business of each Credit
Party as Administrative Agent, at the request of any Bank, may reasonably request. 
 Section 8.2 Business of Credit
Parties. The primary business of each Credit Party will continue to be the acquisition, exploration, development and operation of Mineral Interests, and the production, marketing, processing and transporting of Hydrocarbons and accompanying
elements therefrom. 
 Section 8.3 Maintenance of Existence. Borrower shall, and shall cause each of the other Credit
Parties to, at all times (a) maintain its corporate, partnership or limited liability company existence (as applicable) in its state of organization, and (b) maintain its good standing and qualification to transact business in all
jurisdictions where the failure to maintain good standing or qualification to transact business could have a Material Adverse Effect. 
  

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 Section 8.4 Right of Inspection. Borrower will permit, and will cause each other
Credit Party to permit, any officer, employee or agent of Administrative Agent or any Bank to visit and inspect any of the assets of any Credit Party, examine each Credit Party’s books of record and accounts, take copies and extracts therefrom,
and discuss the affairs, finances and accounts of each Credit Party with any of such Credit Party’s officers, accountants and auditors, all upon reasonable advance notice and at such reasonable times and as often as Administrative Agent or any
Bank may desire, all at the expense of Borrower; provided, that prior to the occurrence of an Event of Default, neither Administrative Agent nor any Bank will require any Credit Party to incur any unreasonable expense as a result of the
exercise by Administrative Agent or any Bank of its rights pursuant to this Section 8.4. 
 Section 8.5
Maintenance of Insurance. Borrower will, and will cause each other Credit Party to, at all times maintain or cause to be maintained insurance covering such risks as are customarily carried by businesses similarly situated including, without
limitation, the following: (a) workmen’s compensation insurance; (b) employer’s liability insurance; (c) comprehensive general public liability and property damage insurance in respect of all activities in which any Credit
Party might incur personal liability for the death or injury of an employee or third person, or damage to or destruction of another’s property; and (d) comprehensive automobile liability insurance. Borrower will, and will cause each other
Credit Party to, at all times maintain or cause to be maintained, unless otherwise agreed or approved by Administrative Agent, a flood insurance policy in an amount reasonably required by Administrative Agent, but in no event less than the amount
sufficient to meet the requirements of applicable Laws, the Flood Disaster Protection Act of 1973 and the Flood Insurance Reform Act of 1994. All policies of insurance maintained by the Credit Parties pursuant to this Section 8.5 shall
name Administrative Agent as an additional insured. 
 Section 8.6 Payment of Taxes and Claims. Borrower will, and will
cause each other Credit Party to, pay (a) all Taxes imposed upon it or any of its assets or with respect to any of its franchises, business, income or profits before any material penalty or interest accrues thereon, and (b) all material
claims (including, without limitation, claims for labor, services, materials and supplies) for sums which have become due and payable and which by Law have or might become a Lien (other than a Permitted Encumbrance) on any of its assets;
provided, however, that no payment of Taxes or claims shall be required if (i) the amount, applicability or validity thereof is currently being contested in good faith by appropriate action promptly initiated and diligently
conducted in accordance with good business practices and no material part of the property or assets of any Credit Party is subject to levy or execution, and (ii) the Credit Parties, as and to the extent required in accordance with GAAP, shall
have set aside on its books, reserves (segregated to the extent required by GAAP) deemed by it to be adequate with respect thereto. 

Section 8.7 Compliance with Laws and Documents. Borrower will, and will cause each other Credit Party to, comply with all Laws,
its articles or certificate of incorporation, certificate of limited partnership, partnership agreement, bylaws, regulations and similar organizational documents and all Material Agreements to which any Credit Party is a party, if a violation, alone
or when combined with all other such violations, would have a Material Adverse Effect. 
  

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 Section 8.8 Operation of Properties and Equipment. 

(a) Borrower will, and will cause each other Credit Party to, maintain, develop and operate its Mineral Interests in a good and
workmanlike manner, and observe and comply with all of the terms and provisions, express or implied, of all oil and gas leases relating to such properties so long as such oil and gas leases are capable of producing Hydrocarbons and accompanying
elements in paying quantities, to the extent that the failure to so observe and comply would have a Material Adverse Effect. 

(b) Borrower will, and will cause each other Credit Party to, comply in all respects with all contracts and agreements applicable to or
relating to its Mineral Interests or the production and sale of Hydrocarbons and accompanying elements therefrom, except to the extent a failure to so comply would not have a Material Adverse Effect. 

(c) Borrower will, and will cause each other Credit Party to, maintain, preserve and keep all operating equipment used with respect to its
Mineral Interests in proper repair, working order and condition, and make all necessary or appropriate repairs, renewals, replacements, additions and improvements thereto so that the efficiency of such operating equipment shall at all times be
properly preserved and maintained; provided, that no item of operating equipment need be so repaired, renewed, replaced, added to or improved, if a Credit Party shall in good faith determine that such action is not necessary or
desirable for the continued efficient and profitable operation of the business of such Credit Party. 
 (d) With respect to
Mineral Interests of any Credit Party which are operated by operators other than such Credit Party, no Credit Party shall be obligated itself to perform any undertakings contemplated by the covenants and agreements contained in this
Section 8.8 which are performable only by such operators and are beyond the control of such Credit Party, but shall be obligated to seek to enforce such operators’ contractual obligations to maintain, develop and operate the Mineral
Interests subject to such operating agreements. 
 Section 8.9 Further Assurances. Borrower will, and will cause each
other Credit Party to, execute and deliver or cause to be executed and delivered such other and further instruments or documents and take such further action as in the reasonable judgment of Administrative Agent may be required to carry out the
provisions and purposes of the Loan Papers including, without limitation, to create, preserve, protect and perfect the Liens of Administrative Agent for the ratable benefit of the Banks as required by Article V. 

Section 8.10 Environmental Law Compliance and Indemnity. Borrower will, and will cause each other Credit Party to, comply in all
material respects with all Applicable Environmental Laws, including, without limitation, (a) all licensing, permitting, notification and similar requirements of Applicable Environmental Laws, and (b) all provisions of Applicable
Environmental Law regarding storage, discharge, release, transportation, treatment and disposal of Hazardous Substances. Borrower will, and will cause each other Credit Party to, promptly pay and discharge when due all debts, claims, liabilities and
obligations with respect to any clean-up or remediation measures necessary to comply with Applicable Environmental Laws. Borrower hereby indemnifies and agrees to defend and hold Banks and their successors and assigns harmless from and against any
and all claims, demands, causes of action, loss, damage, 
  

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liabilities, costs and expenses (including reasonable attorneys’ fees and court costs) of any and every kind or character, known or unknown, fixed or contingent, asserted against or incurred
by any Bank at any time and from time to time including, without limitation, those asserted or arising subsequent to the payment or other satisfaction of the Loan, by reason of or arising out of the ownership, construction, occupancy, operation, use
and maintenance of any of the collateral for the Loan, including matters arising out of the negligence of Banks; provided, however, that this indemnity shall not apply with respect to matters caused by or arising out of
(i) the gross negligence or willful misconduct of Banks (IT BEING THE EXPRESS INTENTION HEREBY THAT BANKS SHALL BE INDEMNIFIED FROM THE CONSEQUENCES OF THEIR NEGLIGENCE); and (ii) the construction, occupancy, operation, use and maintenance
of the collateral for the Loan by any owner, lessee or party in possession of the collateral for the Loan subsequent to the ownership of the collateral for the Loan by Borrower. The foregoing indemnity and agreement applies to the violation of any
Applicable Environmental Law prior to the payment or other satisfaction of the Loan and any act, omission, event or circumstance existing or occurring on or about the collateral for the Loan (including, without limitation, the presence on the
collateral for the Loan or release from the collateral for the Loan of asbestos or other Hazardous Substances disposed of or otherwise present in or released prior to the payment or other satisfaction of the Loan). It shall not be a defense to the
covenant of Borrower to indemnify that the act, omission, event or circumstance did not constitute a violation of any Applicable Environmental Law at the time of its existence or occurrence. The provisions of this Section 8.10 shall
survive the repayment of the Loan and shall continue thereafter in full force and effect. In the event of the transfer of the Loan or any portion thereof, Banks or any prior holder of the Loan and any participants shall continue to be benefited by
this indemnity and agreement with respect to the period of such holding of the Loan. 
 Section 8.11 ERISA Reporting
Requirements. Borrower shall furnish or cause to be furnished to Administrative Agent: 
 (a) promptly and in any event
(i) within thirty (30) days after any Credit Party or any ERISA Affiliate knows or has reason to know that any ERISA Event described in clause (a) of the definition of ERISA Event or any event described in Section 4063(a) of
ERISA with respect to any Plan of any Credit Party or any ERISA Affiliate has occurred, and (ii) within ten (10) days after any Credit Party or any ERISA Affiliate knows or has reason to know that any other ERISA Event with respect to any
Plan of any Credit Party or any ERISA Affiliate has occurred or a request for minimum funding waiver under Section 412 of the Code with respect to any Plan of any Credit Party or any ERISA Affiliate has been made, a written notice describing
such event and describing what action is being taken or is proposed to be taken with respect thereto, together with a copy of any notice of event that is given to the PBGC; 

(b) promptly and in any event within two (2) Domestic Business Days after receipt thereof by any Credit Party or any ERISA Affiliate
from the PBGC, copies of each notice received by any Credit Party or any ERISA Affiliate of the PBGC’s intention to terminate any Plan or to have a trustee appointed to administer any Plan; 

(c) promptly and in any event within thirty (30) days after the receipt by any Credit Party of a request therefor by a Bank, copies
of any annual and other report (including 
  

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Schedule B thereto) with respect to a Plan filed by any Credit Party or any ERISA Affiliate with the United States Department of Labor, the Internal Revenue Service or the PBGC; 

(d) promptly, and in any event within ten (10) Domestic Business Days after receipt thereof, a copy of any correspondence any Credit
Party or any ERISA Affiliate receives from the Plan Sponsor (as defined by Section 4001(a)(10) of ERISA) of any Plan asserting withdrawal liability pursuant to Section 4219 or 4202 of ERISA upon any Credit Party or any ERISA Affiliate, and
a statement from the chief financial officer of such Credit Party or such ERISA Affiliate setting forth details as to the events giving rise to such withdrawal liability and the action which such Credit Party or such ERISA Affiliate is taking or
proposes to take with respect thereto; 
 (e) notification within thirty (30) days of the effective date thereof of any
material increases in the benefits of any existing Plan which is not a multi-employer plan (as defined in Section 4001(a)(3) of ERISA), or the establishment of any new Plans, or the commencement of contributions to any Plan to which any Credit
Party or any ERISA Affiliate was not previously contributing; 
 (f) notification within three (3) Domestic Business Days
after any Credit Party or any ERISA Affiliate knows or has reason to know that any such Credit Party or any such ERISA Affiliate has or intends to file a notice of intent to terminate any Plan under a distress termination within the meaning of
Section 4041(c) of ERISA and a copy of such notice; and 
 (g) promptly after receipt of written notice of commencement
thereof, notice of all (i) claims made by participants or beneficiaries with respect to any Plan and (ii) actions, suits and proceedings before any court or governmental department, commission, board, bureau, agency or instrumentality,
domestic or foreign, affecting any Credit Party or any ERISA Affiliate with respect to any Plan, except those which, in the aggregate, if adversely determined would not have a Material Adverse Effect. 

ARTICLE IX 

NEGATIVE COVENANTS 

Borrower agrees that, so long as any Bank has any commitment to lend or participate in Letter of Credit Exposure hereunder or any amount
payable under any Note remains unpaid or any Letter of Credit remains outstanding: 
 Section 9.1 Debt of Borrower.
Borrower will not, nor will Borrower permit any other Credit Party to, incur, become or remain liable for any Debt other than (a) the Obligations, (b) Debt of Borrower or any other Credit Party to Borrower or any Subsidiary of Borrower
that has provided a Facility Guaranty and the Equity of which has been pledged to Administrative Agent pursuant to a Borrower Pledge Agreement or a Subsidiary Pledge Agreement, (c) Debt existing on the Effective Date and described on
Schedule 5 (including extensions and renewals of such Debt, but excluding replacements or increases of such Debt), and (d) other Debt in an aggregate amount outstanding at any time not to exceed $2,500,000. 

 

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 Section 9.2 Restricted Payments. Borrower will not, nor will Borrower permit any
other Credit Party to, declare, pay or make, or incur any liability to declare, pay or make, any Restricted Payment other than: (a) Permitted Investments; and (b) Distributions in respect of Borrower’s Convertible Preferred Equity,
provided, that both immediately prior to and after giving effect to any such Distribution made in cash (other than cash Distributions paid in lieu of fractional shares of such preferred stock in an aggregate amount not to exceed
$250,000 in any consecutive twelve (12) month period): (i) no Default or Event of Default exists; (ii) Availability is not less than fifteen percent (15%) of the then-existing Borrowing Base; and (iii) the Leverage Ratio
shall not exceed 3.5 to 1 for the most recently completed period of four (4) Fiscal Quarters for which an officers certificate has been provided (or is due) pursuant to Section 8.1(c). 

Section 9.3 Negative Pledge. Borrower will not, nor will Borrower permit any other Credit Party to, create, assume or suffer to
exist any Lien on any asset owned by it (other than Permitted Encumbrances). Borrower will not, nor will Borrower permit any other Credit Party to, enter into or become subject to any agreement (other than this Agreement) that prohibits or otherwise
restricts the right of any Credit Party to create, assume or suffer to exist any Lien in favor of Administrative Agent for the benefit of the Banks on any Credit Party’s assets. 

Section 9.4 Consolidations and Mergers. Borrower will not and will not permit any other Credit Party to, consolidate or merge with
or into any other Person; provided, that so long as no Default or Event of Default exists or will result, (a) Borrower may merge or consolidate with any other Person (including any of Borrower’s Subsidiaries) in a transaction
in which the surviving entity is Borrower and (b) any Subsidiary of Borrower may merge or consolidate with any Person other than Borrower in a transaction in which the surviving entity is a Subsidiary of Borrower, provided, that
(i) such surviving Subsidiary has previously provided (or contemporaneously provides) a Facility Guaranty and the Equity owned by the Credit Parties in such surviving Subsidiary has been pledged (or is contemporaneously pledged) to
Administrative Agent pursuant to a Borrower Pledge Agreement or a Subsidiary Pledge Agreement and (ii) if such transaction includes an Investment, such Investment is also permitted under Section 9.8 hereof. 

Section 9.5 Asset Dispositions. 

(a) Borrower will not, nor will Borrower permit any other Credit Party to, sell, lease, transfer, abandon or otherwise dispose of any
Borrowing Base Properties or effect any Borrowing Base Hedge Monetizations, except pursuant to Permitted Asset Dispositions; provided, that no Permitted Asset Disposition shall be permitted pursuant to this Section 9.5
unless each of the following conditions is satisfied: (i) no Event of Default has occurred which is continuing; (ii) no Borrowing Base Deficiency shall exist immediately after giving effect to the application of the proceeds of such
Permitted Asset Disposition and (iii) the consideration received in respect of such Permitted Asset Disposition shall be equal to or greater than the fair market value of such assets (as determined by the Credit Parties in good faith).

 (b) Borrower will not, nor will Borrower permit any other Credit Party to, sell, lease, transfer, abandon or otherwise dispose
of any assets (other than Borrowing Base Properties and Equity interests in any direct or indirect Subsidiary of Borrower), except for (i) the sale in the ordinary course of business of Hydrocarbons produced from Borrower’s Mineral

  

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Interests, (ii) the sale, lease, transfer, abandonment or other disposition of machinery, equipment and other personal property and fixtures which are (A) made in connection with a
release, surrender or abandonment of a well, or (B) (1) obsolete or unneeded for their intended purpose and disposed of in the ordinary course of business, or (2) replaced by articles of comparable suitability owned by any Credit
Party, free and clear of all Liens except Permitted Encumbrances, (iii) the sale, lease, transfer, abandonment or other disposition of Mineral Interests or other real properties that are not Borrowing Base Properties, so long as such Mineral
Interests or other real properties are not necessary or useful in the operation of any Borrowing Base Property, (iv) the sale, lease, transfer, licensing or other disposition of seismic and other data, and (v) the sale, lease, transfer,
licensing or other disposition of any assets (other than Borrowing Base Properties and Equity interests in any direct or indirect Subsidiary of Borrower) that are not permitted by any other clause of this Section 9.5(b), provided,
that the fair market value of all assets sold, leased, transferred, licensed or otherwise disposed of in reliance on this clause (v) shall not exceed $250,000 in the aggregate during any consecutive twelve (12) month period. 

(c) Other than pursuant to the exercise of options and rights listed on Schedule 3, in no event will Borrower issue, sell, transfer
or dispose of, or permit any other Credit Party to issue, sell, transfer or dispose of, any capital stock or other Equity interest in any Subsidiary (direct or indirect) of Borrower, nor will Borrower issue or sell, or permit any other Credit Party
to issue or sell, any capital stock or other Equity interest in any Subsidiary of Borrower or any option, warrant or other right to acquire such capital stock or Equity interest or security convertible into such capital stock or Equity interest, to
any Person other than Borrower or any Subsidiary of Borrower that has, to the extent required under this Agreement, provided a Facility Guaranty and the Equity of which has been pledged to Administrative Agent pursuant to a Borrower Pledge Agreement
or a Subsidiary Pledge Agreement or, in the case of Foreign Subsidiaries only, issuances or sales of Equity by one Foreign Subsidiary to another. 

Section 9.6 Amendments to Organizational Documents; Other Material Agreements. Borrower will not, nor will Borrower permit any
other Credit Party to, enter into or permit any modification or amendment of, or waive any material right or obligation of any Person under, its certificate or articles of incorporation, bylaws, partnership agreement, regulations or other
organizational documents other than amendments, modifications and waivers which will not, individually or in the aggregate, have a Material Adverse Effect. 

Section 9.7 Use of Proceeds. The proceeds of Borrowings under the Commitment will not be used for any purpose other than working
capital, to refinance existing indebtedness under the Existing Credit Agreement, to finance the acquisition, exploration, development and production of Mineral Interests and for general corporate purposes. None of the proceeds of the Loan nor any
Letter of Credit issued hereunder will be used, directly or indirectly, (a) for the purpose, whether immediate, incidental or ultimate, of purchasing or carrying any Margin Stock, or (b) in violation of applicable Law or regulation
(including, without limitation, the Margin Regulations). Letters of Credit will be issued hereunder only for the purpose of securing bids, tenders, contracts and other obligations entered into in the ordinary course of Borrower’s business, for
the purpose of securing bonds (including, without limitation, appeal bonds), and to secure Borrower’s obligations under Oil and Gas Hedge Transactions; provided, that the 

 

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aggregate Letter of Credit Exposure of all Banks under all Hedge Transaction Letters of Credit shall not exceed $5,000,000 at any time. 

Section 9.8 Investments. Borrower will not, nor will Borrower permit any other Credit Party to, directly or indirectly, make any
Investment other than Permitted Investments. 
 Section 9.9 Transactions with Affiliates. Borrower will not, nor will
Borrower permit any other Credit Party to, engage in any material transaction with any of their Affiliates that is not a Credit Party unless such transaction is generally as favorable to such Credit Party as could be obtained in an arm’s length
transaction with an unaffiliated Person in accordance with prevailing industry customs and practices. Notwithstanding the foregoing, the restrictions set forth in this Section 9.9 shall not apply to the payment of reasonable and
customary fees to directors of Borrower who are not employees of Borrower or any Subsidiary of Borrower. 
 Section 9.10
ERISA. Except in such instances where an omission or failure would not have a Material Adverse Effect, Borrower will not, nor will Borrower permit any other Credit Party to (a) take any action or fail to take any action which would
result in a violation of ERISA, the Code or other Laws applicable to the Plans maintained or contributed to by it or any ERISA Affiliate, or (b) modify the term of, or the funding obligations or contribution requirements under any existing
Plan, establish a new Plan, or become obligated or incur any liability under a Plan that is not maintained or contributed to by any Credit Party or any ERISA Affiliate as of the Effective Date. 

Section 9.11 Hedge Transactions. Borrower will not, nor will Borrower permit any other Credit Party to, enter into any Oil and Gas
Hedge Transactions which would (after netting all offsetting transactions) cause the volume of Hydrocarbons with respect to which a settlement payment is calculated to exceed eight-five percent (85%) of Borrower’s and its
Subsidiaries’ anticipated production from Proved Producing Mineral Interests during the period from the immediately preceding settlement date (or the commencement of such Hedge Transactions if there is no prior settlement date) to such
settlement date. Borrower will not, and will not permit any other Credit Party to, effect any Borrowing Base Hedge Monetization other than by means of a Permitted Asset Disposition. 

Section 9.12 Operating Leases and Master Leases. Borrower will not, nor will Borrower permit any other Credit Party to, incur,
become, or remain liable under any Operating Lease which would cause the aggregate amount of all amounts payable by the Credit Parties in any Fiscal Year under Operating Leases to be greater than $1,000,000. Borrower will not permit, nor will
Borrower allow any other Credit Party to permit, the aggregate unamortized acquisition costs of equipment and assets leased by the Credit Parties under Master Leases to exceed $10,000,000 at any time. 

Section 9.13 Speculative Hedge Transactions. Borrower will not, nor will Borrower permit any other Credit Party to, enter into any
commodity, interest rate, currency or other swap, option, collar or other derivative transaction pursuant to which any Credit Party speculates on the movement of commodity prices, securities prices, interest rates, financial markets, currency
markets or other items; provided, that nothing contained in this Section 9.13 shall prohibit any Credit Party from (a) entering into (or offsetting) interest rate swaps or other interest rate hedge

  

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transactions pursuant to which such Credit Party hedges interest rate risk with respect to the interest reasonably anticipated to be incurred pursuant to this Agreement (b) entering into (or
offsetting) Oil and Gas Hedge Transactions permitted by Section 9.11 hereof, or (c) making Permitted Investments. 

Section 9.14 Fiscal Year. Borrower shall not change its Fiscal Year. 

Section 9.15 Change in Business. Borrower will not, nor will Borrower permit any other Credit Party to, engage in any business
other than the businesses collectively engaged in by such parties on the date hereof and normal or reasonably related extensions thereof. 

ARTICLE X 

FINANCIAL COVENANTS 

Borrower agrees that, so long as any Bank has any commitment to lend or participate in Letter of Credit Exposure hereunder or any amount
payable under any Note remains unpaid or any Letter of Credit remains outstanding: 
 (a) As of the end of any Fiscal Quarter,
commencing with the Fiscal Quarter ending September 30, 2010, Borrower will not permit its ratio of Consolidated Current Assets to its Consolidated Current Liabilities to be less than 1 to 1. 

(b) As of the end of any Fiscal Quarter in which Borrower’s Leverage Ratio is greater than 3.5 to 1, commencing with the Fiscal
Quarter ending September 30, 2010, Borrower will not permit its Interest/Cap Ex Coverage Ratio to be less than 1.25 to 1. 

(c) As of the end of any Fiscal Quarter in which Borrower’s Leverage Ratio is less than or equal to 3.5 to 1, commencing with the
Fiscal Quarter ending September 30, 2010, Borrower will not permit its Interest Coverage Ratio to be less than 2.75 to 1. 

(d) As of the Effective Date and as of the end of each Fiscal Quarter thereafter until and including the Fiscal Quarter ending
June 30, 2011, Borrower will not permit its Leverage Ratio to exceed 4.5 to 1. As of the end of the Fiscal Quarter ending September 30, 2011, and as of the end of each Fiscal Quarter thereafter, Borrower will not permit its Leverage Ratio
to exceed 4 to 1. 
 ARTICLE XI 

DEFAULTS 

Section 11.1 Events of Default. If one or more of the following events (collectively “Events of Default”
and individually an “Event of Default”) shall have occurred and be continuing: 
 (a) Borrower shall fail
to pay any principal of any Note or any reimbursement obligation with respect to any Letters of Credit within one (1) Domestic Business Day after the same becomes due; 

 

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 (b) Borrower shall fail to pay any accrued interest due and owing on any Note or any fees or
any other amount payable hereunder when due and such failure shall continue for a period of five (5) Domestic Business Days following the due date; 

(c) any Credit Party shall fail to observe or perform any covenant or agreement applicable thereto contained in Section 4.5,
Section 8.1(d), Article IX or Article X; 
 (d) any Credit Party shall fail to observe or perform any
covenant or agreement contained in this Agreement or the other Loan Papers (other than those covered by Section 11.1(a), Section 11.1(b) and Section 11.1(c)) and such failure continues for a period of thirty
(30) days after written notice thereof has been given to any such Credit Party by Administrative Agent at the request of Required Banks; 

(e) any Credit Party shall fail to cause the financial statements described in Section 8.1(a) to be accompanied by the opinion
without qualification (except for qualifications required by changes in accounting methods with which such Credit Party’s auditors concur) of the accountants preparing such opinion, that such financial statements were prepared in accordance
with generally accepted accounting principles and fairly present the consolidated financial position and results of operations of such Credit Party; 

(f) any representation, warranty, certification or statement made or deemed to have been made by any Credit Party in this Agreement or by
any Credit Party or any other Person on behalf of any Credit Party in any other Loan Paper or any other certificate, financial statement or other document delivered pursuant to this Agreement shall prove to have been incorrect in any material
respect when made; 
 (g) any Credit Party shall fail to make any payment when due on any Debt in a principal amount equal to or
greater than $1,000,000, or any event or condition (i) shall occur which results in the acceleration of the maturity of any Debt of any such Credit Party in a principal amount equal to or greater than $1,000,000, or (ii) shall occur which
entitles (or, with the giving of notice or lapse of time or both, would unless cured or waived, entitle) the holder of such Debt to accelerate the maturity thereof; 

(h) any Credit Party shall commence a voluntary case or other proceeding seeking liquidation, reorganization or other relief with respect
to itself or its debts under any bankruptcy, insolvency or other similar Law now or hereafter in effect or seeking the appointment of a trustee, receiver, liquidator, custodian or other similar official of it or any substantial part of its property,
or shall consent to any such relief or to the appointment of or taking possession by any such official in an involuntary case or other proceeding commenced against it, or shall make a general assignment for the benefit of creditors, or shall fail
generally to pay its debts as they become due, or shall take any corporate, partnership or limited liability company action to authorize any of the foregoing; 

(i) an involuntary case or other proceeding shall be commenced against any Credit Party seeking liquidation, reorganization or other
relief with respect to it or its debts under any bankruptcy, insolvency or other similar Law now or hereafter in effect or seeking the appointment of a trustee, receiver, liquidator, custodian or other similar official of it or any

  

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substantial part of its property, and such involuntary case or other proceeding shall remain undismissed and unstayed for a period of sixty (60) days; or an order for relief shall be entered
against any Credit Party under the federal bankruptcy Laws as now or hereafter in effect; 
 (j) one (1) or more judgments
or orders for the payment of money aggregating in excess of $1,000,000 shall be rendered against any Credit Party and such judgment or order (i) shall continue unsatisfied and unstayed for a period of sixty (60) days, or (ii) is not
fully paid and satisfied or stayed prior to the date on which any of its assets may be lawfully sold to satisfy such judgment or order; 

(k) this Agreement or any other Loan Paper shall cease to be in full force and effect or shall be declared null and void or the validity
or enforceability thereof shall be contested or challenged by any Credit Party, or any Credit Party shall deny that it has any further liability or obligation under any of the Loan Papers, or any Lien created by the Loan Papers shall for any reason
(other than the express release thereof by a written instrument executed by Administrative Agent in accordance with the Loan Papers) cease to be a valid, first priority, perfected Lien (subject only to Permitted Encumbrances) upon any of the
property purported to be covered thereby and as a result thereof the Required Reserve Value of the Mineral Interests held by Borrower ceases to be subject to such Liens under the Loan Papers; or 

(l) a Change of Control shall occur; 

then, and in every such event, Administrative Agent shall without presentment, notice or demand (unless expressly provided for herein) of any kind
(including, without limitation, notice of intention to accelerate and acceleration), all of which are hereby waived, (A) if requested by Required Banks, terminate the Commitment and it shall thereupon terminate, and (B) if requested by
Required Banks, take such other actions as may be permitted by the Loan Papers including, without limitation, declaring the Notes, or any of them, (together with accrued interest thereon) to be, and the Notes, or any of them, shall thereupon become,
immediately due and payable; provided, that in the case of any of the Events of Default specified in Section 11.1(h) or Section 11.1(i), without any notice to Borrower or any other Credit Party or any other act by
Administrative Agent or Banks, the Commitment shall thereupon terminate and the Notes (together with accrued interest thereon) shall become immediately due and payable, without presentment, notice or demand of any kind, including, without
limitation, notice of intention to accelerate and acceleration. 
 ARTICLE XII 

AGENTS 
 Section
12.1 Appointment and Authority. Each of the Banks and the Letter of Credit Issuer hereby irrevocably appoints Bank of America to act on its behalf as Administrative Agent hereunder and under the other Loan Papers and authorizes Administrative
Agent to take such actions on its behalf and to exercise such powers as are delegated to Administrative Agent by the terms hereof or thereof, together with such actions and powers as are reasonably incidental thereto. The provisions of this Article
are solely for the benefit of Administrative Agent, the Banks and the Letter of Credit Issuer, and neither Borrower nor any other Credit Party shall have rights as a third party beneficiary of any of such provisions. 

 

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 Section 12.2 Rights as a Bank. The Person serving as Administrative Agent hereunder
shall have the same rights and powers in its capacity as a Bank as any other Bank and may exercise the same as though it were not Administrative Agent and the term “Bank” or “Banks” shall, unless otherwise expressly indicated or
unless the context otherwise requires, include the Person serving as Administrative Agent hereunder in its individual capacity. Such Person and its Affiliates may accept deposits from, lend money to, act as the financial advisor or in any other
advisory capacity for and generally engage in any kind of business with Borrower or any Subsidiary or other Affiliate thereof as if such Person were not Administrative Agent hereunder and without any duty to account therefor to the Banks.

 Section 12.3 Exculpatory Provisions. Administrative Agent shall not have any duties or obligations except those
expressly set forth herein and in the other Loan Papers. Without limiting the generality of the foregoing, Administrative Agent: 

(a) shall not be subject to any fiduciary or other implied duties, regardless of whether a Default has occurred and is continuing;

 (b) shall not have any duty to take any discretionary action or exercise any discretionary powers, except discretionary
rights and powers expressly contemplated hereby or by the other Loan Papers that Administrative Agent is required to exercise as directed in writing by the Required Banks (or such other number or percentage of the Banks as shall be expressly
provided for herein or in the other Loan Papers), provided, that Administrative Agent shall not be required to take any action that, in its opinion or the opinion of its counsel, may expose Administrative Agent to liability or that is
contrary to any Loan Paper or applicable law; and 
 (c) shall not, except as expressly set forth herein and in the other Loan
Papers, have any duty to disclose, and shall not be liable for the failure to disclose, any information relating to Borrower or any of its Affiliates that is communicated to or obtained by the Person serving as Administrative Agent or any of its
Affiliates in any capacity. 
 Administrative Agent shall not be liable for any action taken or not taken by it (i) with
the consent or at the request of the Required Banks (or such other number or percentage of the Banks as shall be necessary, or as Administrative Agent shall believe in good faith shall be necessary, under the circumstances as provided in Sections
14.2 and 11.1) or (ii) in the absence of its own gross negligence or willful misconduct. Administrative Agent shall be deemed not to have knowledge of any Default unless and until notice describing such Default is given to
Administrative Agent by Borrower, a Bank or the Letter of Credit Issuer. 
 Administrative Agent shall not be responsible for or
have any duty to ascertain or inquire into (i) any statement, warranty or representation made in or in connection with this Agreement or any other Loan Paper, (ii) the contents of any certificate, report or other document delivered
hereunder or thereunder or in connection herewith or therewith, (iii) the performance or observance of any of the covenants, agreements or other terms or conditions set forth herein or therein or the occurrence of any Default, (iv) the
validity, enforceability, effectiveness or genuineness of this Agreement, any other Loan Paper or any other agreement, instrument or document or (v) the satisfaction of any condition set forth in Article VI or elsewhere herein, other
than to confirm receipt of items expressly required to be delivered to Administrative Agent. 
  

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 Section 12.4 Reliance by Administrative Agent. Administrative Agent shall be entitled
to rely upon, and shall not incur any liability for relying upon, any notice, request, certificate, consent, statement, instrument, document or other writing (including any electronic message, Internet or intranet website posting or other
distribution) believed by it to be genuine and to have been signed, sent or otherwise authenticated by the proper Person. Administrative Agent also may rely upon any statement made to it orally or by telephone and believed by it to have been made by
the proper Person, and shall not incur any liability for relying thereon. In determining compliance with any condition hereunder to the making of a Loan, or the issuance of a Letter of Credit, that by its terms must be fulfilled to the satisfaction
of a Bank or the Letter of Credit Issuer, Administrative Agent may presume that such condition is satisfactory to such Bank or the Letter of Credit Issuer unless Administrative Agent shall have received notice to the contrary from such Bank or the
Letter of Credit Issuer prior to the making of such Loan or the issuance of such Letter of Credit. Administrative Agent may consult with legal counsel (who may be counsel for Borrower), independent accountants and other experts selected by it, and
shall not be liable for any action taken or not taken by it in accordance with the advice of any such counsel, accountants or experts. 

Section 12.5 Delegation of Duties. Administrative Agent may perform any and all of its duties and exercise its rights and powers
hereunder or under any other Loan Paper by or through any one or more sub agents appointed by Administrative Agent. Administrative Agent and any such sub agent may perform any and all of its duties and exercise its rights and powers by or through
their respective Related Parties. The exculpatory provisions of this Article XII shall apply to any such sub agent and to the Related Parties of Administrative Agent and any such sub agent, and shall apply to their respective activities in
connection with the syndication of the credit facilities provided for herein as well as activities as Administrative Agent. 

Section 12.6 Resignation of Administrative Agent. (a) Administrative Agent may at any time give notice of its resignation to
the Banks, the Letter of Credit Issuer and Borrower. Upon receipt of any such notice of resignation, the Required Banks shall have the right, in consultation with Borrower, to appoint a successor, which shall be a bank with an office in the United
States, or an Affiliate of any such bank with an office in the United States. If no such successor shall have been so appointed by the Required Banks and shall have accepted such appointment within thirty (30) days after the retiring
Administrative Agent gives notice of its resignation, then the retiring Administrative Agent may on behalf of the Banks and the Letter of Credit Issuer, appoint a successor Administrative Agent meeting the qualifications set forth above;
provided, that if Administrative Agent shall notify Borrower and the Banks that no qualifying Person has accepted such appointment, then such resignation shall nonetheless become effective in accordance with such notice and
(i) the retiring Administrative Agent shall be discharged from its duties and obligations hereunder and under the other Loan Papers (except that in the case of any collateral security held by Administrative Agent on behalf of the Banks or the
Letter of Credit Issuer under any of the Loan Papers, the retiring Administrative Agent shall continue to hold such collateral security until such time as a successor Administrative Agent is appointed) and (ii) all payments, communications and
determinations provided to be made by, to or through Administrative Agent shall instead be made by or to each Bank and the Letter of Credit Issuer directly, until such time as the Required Banks appoint a successor Administrative Agent as provided
for above in this Section 12.6. Upon the acceptance of a successor’s appointment as Administrative Agent hereunder, such successor shall succeed to and become 

 

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vested with all of the rights, powers, privileges and duties of the retiring (or retired) Administrative Agent, and the retiring Administrative Agent shall be discharged from all of its duties
and obligations hereunder or under the other Loan Papers (if not already discharged therefrom as provided above in this Section 12.6). The fees payable by Borrower to a successor Administrative Agent shall be the same as those payable to
its predecessor unless otherwise agreed between Borrower and such successor. After the retiring Administrative Agent’s resignation hereunder and under the other Loan Papers, the provisions of this Article XII and Section 14.3
shall continue in effect for the benefit of such retiring Administrative Agent, its sub agents and their respective Related Parties in respect of any actions taken or omitted to be taken by any of them while the retiring Administrative Agent was
acting as Administrative Agent. 
 (b) Any resignation by Bank of America as Administrative Agent pursuant to this
Section 12.6 shall also constitute its resignation as Letter of Credit Issuer and Swing Line Bank. Upon the acceptance of a successor’s appointment as Administrative Agent hereunder, (i) such successor shall succeed to and
become vested with all of the rights, powers, privileges and duties of the retiring Letter of Credit Issuer and Swing Line Bank, (ii) the retiring Letter of Credit Issuer and Swing Line Bank shall be discharged from all of their respective
duties and obligations hereunder or under the other Loan Papers, and (iii) the successor Letter of Credit Issuer shall issue letters of credit in substitution for the Letters of Credit, if any, outstanding at the time of such succession or make
other arrangements satisfactory to the retiring Letter of Credit Issuer to effectively assume the obligations of the retiring Letter of Credit Issuer with respect to such Letters of Credit. 

Section 12.7 Non-Reliance on Administrative Agent and Other Banks. Each Bank and the Letter of Credit Issuer acknowledges that it
has, independently and without reliance upon Administrative Agent or any other Bank or any of their Related Parties and based on such documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into
this Agreement. Each Bank and the Letter of Credit Issuer also acknowledges that it will, independently and without reliance upon Administrative Agent or any other Bank or any of their Related Parties and based on such documents and information as
it shall from time to time deem appropriate, continue to make its own decisions in taking or not taking action under or based upon this Agreement, any other Loan Paper or any related agreement or any document furnished hereunder or thereunder.

 Section 12.8 No Other Duties, Etc. Anything herein to the contrary notwithstanding, none of the Book Runners, Lead
Arrangers or Syndication Agents listed on the cover page hereof shall have any powers, duties or responsibilities under this Agreement or any of the other Loan Papers, except in its capacity, as applicable, as Administrative Agent, a Bank or the
Letter of Credit Issuer hereunder. 
 Section 12.9 Administrative Agent May File Proofs of Claim. In case of the pendency
of any proceeding under any Debtor Relief Law or any other judicial proceeding relative to any Credit Party, Administrative Agent (irrespective of whether the principal of any Loan or Letter of Credit Exposure shall then be due and payable as herein
expressed or by declaration or otherwise and irrespective of whether Administrative Agent shall have made any demand on Borrower) shall be entitled and empowered, by intervention in such proceeding or otherwise 

 

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 (a) to file and prove a claim for the whole amount of the principal and interest owing and
unpaid in respect of the Loans, aggregate Letter of Credit Exposure of all Banks and all other Obligations that are owing and unpaid and to file such other documents as may be necessary or advisable in order to have the claims of the Banks, the
Letter of Credit Issuer and Administrative Agent (including any claim for the reasonable compensation, expenses, disbursements and advances of the Banks, the Letter of Credit Issuer and Administrative Agent and their respective agents and counsel
and all other amounts due the Banks, the Letter of Credit Issuer and Administrative Agent under Sections 2.1(b), 2.12, 2.13, 2.14 and 14.3) allowed in such judicial proceeding; and 

(b) to collect and receive any monies or other property payable or deliverable on any such claims and to distribute the same; 

and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official in any such judicial proceeding is hereby authorized
by each Bank and the Letter of Credit Issuer to make such payments to Administrative Agent and, in the event that Administrative Agent shall consent to the making of such payments directly to the Banks and the Letter of Credit Issuer, to pay to
Administrative Agent any amount due for the reasonable compensation, expenses, disbursements and advances of Administrative Agent and its agents and counsel, and any other amounts due Administrative Agent under Sections 2.1(b), 2.12, 2.13, 2.14 and
14.3. 
 Nothing contained herein shall be deemed to authorize Administrative Agent to authorize or consent to or accept or
adopt on behalf of any Bank or the Letter of Credit Issuer any plan of reorganization, arrangement, adjustment or composition affecting the Obligations or the rights of any Bank or the Letter of Credit Issuer to authorize Administrative Agent to
vote in respect of the claim of any Bank or the Letter of Credit Issuer in any such proceeding. 
 Section 12.10 Collateral
and Guarantee Matters. Banks and the Letter of Credit Issuer irrevocably authorize Administrative Agent, at its option and in its discretion, 

(a) to release any Lien on any property granted to or held by Administrative Agent under any Loan Paper (i) upon termination of the
Total Commitment and payment in full of all Obligations (other than contingent indemnification obligations) and the expiration or termination of all Letters of Credit (other than Letters of Credit as to which other arrangements satisfactory to
Administrative Agent and the Letter of Credit Issuer shall have been made), (ii) that is sold or to be sold as part of or in connection with any sale permitted hereunder or under any other Loan Paper, or (iii) subject to Section 14.2,
if approved, authorized or ratified in writing by the Required Banks; 
 (b) to subordinate any Lien on any property granted to
or held by Administrative Agent under any Loan Paper to the holder of any Lien on such property that is permitted by clause (k) of the definition of the term “Permitted Encumbrances”; and 

(c) to release GeoMet Operating, GeoMet Gathering or any existing or future Domestic Subsidiary from its respective obligations under any
Facility Guarantee if such Person ceases to be a Subsidiary as a result of a transaction permitted hereunder. 
  

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 Upon request by Administrative Agent at any time, the Required Banks will confirm in writing
Administrative Agent’s authority to release or subordinate its interest in particular types or items of property, or to release GeoMet Operating, GeoMet Gathering or any existing or future Domestic Subsidiary from its respective obligations
under any Facility Guarantee pursuant to this Section 12.10. 
 ARTICLE XIII 

PROTECTION OF YIELD; CHANGE IN LAWS 

Section 13.1 Basis for Determining Interest Rate Applicable to Eurodollar Tranches Inadequate. If on or prior to the first day of
any Interest Period with respect to a Borrowing: 
 (a) Banks having fifty percent (50%) or more of the aggregate amount of
the Total Commitment advise Administrative Agent that deposits in dollars (in the applicable amounts) are not being offered to such Banks in the relevant market for such Interest Period, or 

(b) Banks having fifty percent (50%) or more of the aggregate amount of the Total Commitment advise Administrative Agent that the
Adjusted LIBOR Rate as determined by Administrative Agent will not adequately and fairly reflect the cost to such Banks of funding their respective shares of the requested Borrowing which will be subject to a Eurodollar Tranche for such Interest
Period; 
 Administrative Agent shall give notice thereof to Borrower and Banks, whereupon the obligations of Banks to allow interest to be
computed by reference to the Adjusted LIBOR Rate shall be suspended until Administrative Agent notifies Borrower that the circumstances giving rise to such suspension no longer exist. Unless Borrower notifies Administrative Agent at least two
(2) Domestic Business Days before the date of any Borrowing for which a Request for Borrowing has previously been given that it elects not to borrow on such date, such Borrowing shall instead be made as an Adjusted Base Rate Borrowing.

 Section 13.2 Illegality of Eurodollar Tranches. 

(a) If, after the date of this Agreement, the adoption of any applicable Law, rule or regulation, or any change therein, or any change in
the interpretation or administration thereof by any Governmental Authority, central bank or comparable agency charged with the interpretation or administration thereof, or compliance by any Bank (or its Eurodollar Lending Office) with any request or
directive (whether or not having the force of Law) of any such authority, central bank or comparable agency shall make it unlawful or impossible for any Bank (or its Eurodollar Lending Office) to make, maintain or fund any portion of the Loan
subject to a Eurodollar Tranche and such Bank shall so notify Administrative Agent, Administrative Agent shall forthwith give notice thereof to the other Banks and Borrower. Until such Bank notifies Borrower and Administrative Agent that the
circumstances giving rise to such suspension no longer exist, the obligation of such Bank to maintain or fund any portion of the Loan subject to a Eurodollar Tranche shall be suspended. Before giving any notice to Administrative Agent pursuant to
this Section 13.2, such Bank shall designate a different Eurodollar Lending Office if such designation will avoid the need for giving such notice and will not, in the judgment of such Bank, be otherwise disadvantageous to such Bank. If
such Bank shall determine that it may not 
  

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lawfully continue to maintain and fund any portion of the Loan outstanding subject to a Eurodollar Tranche to maturity and shall so specify in such notice, Borrower shall immediately convert the
principal amount of the Loan which is subject to a Eurodollar Tranche of such Bank to an Adjusted Base Rate Tranche of an equal principal amount from such Bank (on which interest and principal shall be payable contemporaneously with the unaffected
Eurodollar Tranches of the other Banks). 
 (b) No Bank shall be required to make the Loan (or any portion thereof) hereunder if
the making of the Loan (or any portion thereof) would be in violation of any Law applicable to such Bank. 
 Section 13.3
Increased Cost of Eurodollar Tranche. If after the date hereof, the adoption of any applicable Law, rule or regulation, or any change therein, or any change in the interpretation or administration thereof by any Governmental Authority,
central bank or comparable agency charged with the interpretation or administration thereof, or compliance by any Bank (or its Lending Office) with any request or directive (whether or not having the force of Law) of any such authority, central bank
or comparable agency: 
 (a) shall subject any Bank (or its Lending Office) to any tax, duty or other charge with respect to
maintaining or funding any portion of the Loan subject to a Eurodollar Tranche, its Note or its obligation to allow interest to be computed by reference to the Adjusted LIBOR Rate or shall change the basis of taxation of payments to any Bank (or its
Lending Office) of the principal of or interest on any portion of the Loan which is subject to any Eurodollar Tranche or any other amounts due under this Agreement in respect of any portion of the Loan which is subject to any Eurodollar Tranche or
its obligation to allow interest to be computed by reference to the Adjusted LIBOR Rate (except for changes in the rate of Tax on the overall net income of such Bank or its Lending Office imposed by the jurisdiction in which such Bank’s
principal executive office or Lending Office is located); or 
 (b) shall impose, modify or deem applicable any reserve, special
deposit or similar requirement (including, without limitation, any such requirement imposed by the Board of Governors of the Federal Reserve System, but excluding with respect to any Eurodollar Tranche any such requirement included in an applicable
Eurodollar Reserve Percentage) against assets of, deposits with or for the account of or credit extended by, any Bank’s Lending Office or shall impose on any Bank (or its Lending Office) or the applicable interbank Eurodollar market or any
other condition affecting Eurodollar Tranches, its Note or its obligation to allow interest to be computed by reference to the Adjusted LIBOR Rate; 

and the result of any of the foregoing is to increase the cost to such Bank (or its Lending Office) of funding or maintaining any portion of the Loan
subject to a Eurodollar Tranche, or to reduce the amount of any sum received or receivable by such Bank (or its Lending Office) under this Agreement or under its Note with respect thereto, by an amount deemed by such Bank to be material, then,
within fifteen (15) days after demand by such Bank (with a copy to Administrative Agent), Borrower shall pay to such Bank such additional amount or amounts as will compensate such Bank for such increased cost or reduction. Each Bank will
promptly notify Borrower and Administrative Agent of any event of which it has knowledge, occurring after the date hereof, which will entitle such Bank to compensation pursuant to this Section 13.3 and will

  

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designate a different Lending Office if such designation will avoid the need for, or reduce the amount of, such compensation and will not, in the judgment of such Bank, be otherwise
disadvantageous to such Bank. A certificate of any Bank claiming compensation under this Section 13.3 and setting forth the additional amount or amounts to be paid to it hereunder shall be conclusive in the absence of manifest error. In
determining such amount, such Bank may use any reasonable averaging and attribution methods. 
 Section 13.4 Adjusted Base
Rate Tranche Substituted for Affected Eurodollar Tranche. If (a) the obligation of any Bank to fund or maintain any portion of the Loan subject to a Eurodollar Tranche has been suspended pursuant to Section 13.2, or (b) any
Bank has demanded compensation under Section 13.3 and Borrower shall, by at least five (5) Eurodollar Business Days prior notice to such Bank through Administrative Agent, have elected that the provisions of this
Section 13.4 shall apply to such Bank, then, unless and until such Bank notifies Borrower that the circumstances giving rise to such suspension or demand for compensation no longer apply: 

(i) any Tranche that would otherwise be characterized by such Bank as a Eurodollar Tranche shall instead be deemed an
Adjusted Base Rate Tranche (on which interest and principal shall be payable contemporaneously with the unaffected Eurodollar Tranches of the other Banks); and 

(ii) after all of its Eurodollar Tranches have been repaid, all payments of principal which would otherwise be applied to
repay its Eurodollar Tranches shall be applied to repay its Adjusted Base Rate Tranches instead. 
 Section 13.5 Capital
Adequacy. If after the date hereof, the adoption of any applicable Law, rule or regulation, or any change therein, or any change in the interpretation or administration thereof, by any Governmental Authority, central bank or comparable agency
charged with the interpretation or administration thereof, or compliance by any Bank (or its Lending Office) with any request or directive (whether or not having the force of Law), shall: 

(a) impose, modify or deem applicable any reserve, special deposit, compensatory loan, deposit insurance, capital adequacy, minimum
capital, capital ratio or similar requirement against all or any assets held by, deposits or accounts with, credit extended by or to, or commitments to extend credit or any other acquisition of funds by any Bank (or its Lending Office), or impose on
any Bank (or its Lending Office) any other condition, with respect to the maintenance by such Bank of all or any part of its Commitment; or 

(b) subject any Bank (or its Lending Office) to, or cause the termination or reduction of a previously granted exemption with respect to,
any Tax with respect to the maintenance by such Bank of all or any part of its Commitment (other than Taxes assessed against such Bank’s overall net income); 

and the result of any of the foregoing is to increase the cost to such Bank (or its Lending Office) of maintaining its Commitment or to reduce the amount
of any sums received or receivable by it (or its Lending Office) under this Agreement or any other Loan Paper, or to reduce the rate of return on such Bank’s equity in connection with this Agreement, as the case may be, by an

  

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amount which such Bank deems material then, in any such case, within fifteen (15) days of demand by such Bank (or its Lending Office) (with a copy to Administrative Agent), Borrower shall
pay to such Bank (or its Lending Office) such additional amount or amounts as will compensate such Bank for any additional cost, reduced benefit, reduced amount received or reduced rate of return. Each Bank will promptly notify Borrower and
Administrative Agent of any event of which it has knowledge, occurring after the date hereof, which will entitle such Bank to compensation pursuant to this Section 13.5. A certificate of any Bank claiming compensation under this
Section 13.5 and setting forth the additional amount or amounts to be paid to it hereunder shall be conclusive in the absence of manifest error. In determining such amount, such Bank may use any reasonable averaging and attribution
methods. 
 Without limiting the foregoing, in the event any event or condition described in this Section 13.5 shall
occur or arise which relates to the maintenance by any Bank of that part of its Commitment which is in excess of its Commitment Percentage of the Borrowing Base then in effect (such excess portion of such Commitment of any Bank is hereinafter
referred to as its “Surplus Commitment”), such Bank shall notify Administrative Agent and Borrower of the occurrence of such event or the existence of such condition and of the amount of a fee (to be computed on a per annum
basis with respect to such Bank’s Surplus Commitment) which such Bank determines in good faith will compensate such Bank for such additional cost, reduced benefit, reduced amount received or reduced rate of return. Within five (5) Domestic
Business Days following receipt of such notice, Borrower shall notify such Bank whether it accepts or rejects such fee (if Borrower fails to timely respond to such notice it will be deemed to have accepted such fee). If Borrower rejects such fee,
the applicable Commitment of each Bank will be automatically and permanently reduced to the Borrowing Base applicable to such Commitment and then in effect. If Borrower accepts such fee, such fee shall accrue from and after the date of such
Bank’s notice and shall be payable in arrears (based on the daily average balance of such Bank’s Surplus Commitment) on the last day of each Fiscal Quarter and on the Termination Date. Such fee shall be in lieu of any amounts to which such
Bank would otherwise be entitled in respect of its Surplus Commitment pursuant to the other provisions of this Section 13.5 for the period on and after the date of such notice unless such Bank determines that such fee is not adequate to
fully compensate such Bank for any additional cost, reduced benefit, reduced amount received or reduced rate of return such Bank may thereafter incur in respect of such Bank’s Surplus Commitment. In that event such Bank shall be entitled to
such additional compensation to which such Bank is otherwise entitled pursuant to this Section 13.5. 
 Section 13.6
Taxes. Subject to Section 3.4, all amounts payable by Borrower under the Loan Papers (whether principal, interest, fees, expenses, or otherwise) to or for the account of each Bank shall be paid in full, free of any deductions or
withholdings for or on account of any Taxes. Except as provided in Section 3.4, if Borrower is prohibited by Law from paying any such amount free of any such deductions and withholdings then (at the same time and in the same manner that
such original amount is otherwise due under the Loan Papers) Borrower shall pay to or for the account of such Bank such additional amount as may be necessary in order that the actual amount received by such Bank after deduction and/or withholding
(and after payment of any additional Taxes due as a consequence of the payment of such additional amount, and so on) will equal the amount such Bank would have received if such deduction or withholding were not made. 

 

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 Section 13.7 Discretion of Banks as to Manner of Funding. Notwithstanding any
provisions of this Agreement to the contrary, each Bank shall be entitled to fund and maintain its funding of all or any part of its Commitment in any manner it sees fit, it being understood, however, that for the purposes of this Agreement all
determinations hereunder shall be made as if such Bank had actually funded and maintained the Loan (or any portion thereof) subject to a Eurodollar Tranche during the Interest Period for the Loan (or any portion thereof) through the purchase of
deposits having a maturity corresponding to the last day of such Interest Period and bearing an interest rate equal to the Adjusted LIBOR Rate for such Interest Period. 

ARTICLE XIV 

MISCELLANEOUS 

Section 14.1 Notices; Electronic Communication. 

(a) Except as provided in Section 14.1(b) below, all notices, requests and other communications to any party hereunder shall
be in writing (including bank wire, telecopy, e-mail or similar writing) and shall be given (i) if to Administrative Agent or any Bank, to such party at its address, e-mail address, telex or telecopy number set forth on Schedule 1
hereof, or (ii) if to Borrower, at the address, e-mail address, telex or telecopy number for Borrower set forth on the signature page hereto or such other address, e-mail address, telex or telecopy number as such party may hereafter specify for
the purpose by notice to Administrative Agent and Borrower, as the case may be. Each such notice, request or other communication shall be effective (A) if given by telecopy, when such telecopy is transmitted to the telecopy number specified in
this Section 14.1 and the appropriate answerback is received or receipt is otherwise confirmed, (B) if given by mail, five (5) days after deposit in the mails with first class postage prepaid, addressed as aforesaid,
(C) if given by e-mail, as provided in subsection (b) below, or (D) if given by any other means, when delivered at the address specified in this Section 14.1; provided, that notices to Administrative Agent
under Article II or Article III shall not be effective until received. 
 (b) Notices and other communications to
Banks and Letter of Credit Issuer hereunder may be delivered or furnished by electronic communication (including e-mail and Internet or intranet websites) pursuant to procedures approved by Administrative Agent, provided, that the
foregoing shall not apply to notices to any Bank or Letter of Credit Issuer pursuant to Article II if such Bank or Letter of Credit Issuer, as applicable, has notified Administrative Agent that it is incapable of receiving notices under such
Article by electronic communication. Administrative Agent or Borrower may, in its discretion, agree to accept notices and other communications to it hereunder by electronic communications pursuant to procedures approved by it, provided,
that approval of such procedures may be limited to particular notices or communications. 
 Unless Administrative Agent
otherwise prescribes, (i) notices and other communications sent to an e-mail address shall be deemed received upon the sender’s receipt of an acknowledgement from the intended recipient (such as by the “return receipt requested”
function, as available, return e-mail or other written acknowledgement), provided, that if such notice or other communication is not sent during the normal business hours of the recipient, such notice or communication shall be deemed
to have been sent at the opening of business on the 
  

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next Domestic Business Day for the recipient, and (ii) notices or communications posted to an Internet or intranet website shall be deemed received upon the deemed receipt by the intended
recipient at its e-mail address as described in the foregoing clause (i) of notification that such notice or communication is available and identifying the website address therefor. 

Section 14.2 Waivers and Amendments; Acknowledgments. 

(a) No failure or delay (whether by course of conduct or otherwise) by any Bank or Administrative Agent in exercising any right, power or
remedy which they may have under any of the Loan Papers shall operate as a waiver thereof or of any other right, power or remedy, nor shall any single or partial exercise by any Bank or Administrative Agent of any such right, power or remedy
preclude any other or further exercise thereof or of any other right, power or remedy. No waiver of any provision of any Loan Paper and no consent to any departure therefrom shall ever be effective unless it is in writing and signed by Required
Banks and/or Administrative Agent in accordance with Section 14.2(c) hereof, and then such waiver or consent shall be effective only in the specific instances and for the purposes for which given and to the extent specified in such
writing. No notice to or demand on Borrower shall in any case of itself entitle Borrower to any other or further notice or demand in similar or other circumstances. This Agreement and the other Loan Papers set forth the entire understanding and
agreement of the parties hereto and thereto with respect to the transactions contemplated herein and therein and supersede all prior discussions and understandings with respect to the subject matter hereof and thereof, and no modification or
amendment of or supplement to this Agreement or the other Loan Papers shall be valid or effective unless the same is in compliance with Section 14.2(c). 

(b) Borrower represents, warrants, acknowledges and admits that (i) it has been advised by counsel in the negotiation, execution and
delivery of the Loan Papers to which it is a party, (ii) it has made an independent decision to enter into this Agreement and the other Loan Papers to which it is a party, without reliance on any representation, warranty, covenant or
undertaking by Banks or Agents whether written, oral or implicit, other than as expressly set out in this Agreement or in another Loan Paper delivered on or after the date hereof, (iii) there are no representations, warranties, covenants,
undertakings or agreements by any Bank or any Agent as to the Loan Papers except as expressly set out in this Agreement or in another Loan Paper delivered on or after the date hereof, (iv) neither any Bank nor any Agent owes any fiduciary duty
to Borrower or any other Credit Party with respect to any Loan Paper or the transactions contemplated thereby, (v) the relationship pursuant to the Loan Papers between Borrower, on one hand, and Banks and Agents, on the other hand, is and shall
be solely that of debtor and creditor, respectively, (vi) no partnership or joint venture exists with respect to the Loan Papers between Borrower and any Bank or any Agent, (vii) should an Event of Default or Default occur or exist each
Bank and each Agent will determine in its sole and absolute discretion and for its own reasons what remedies and actions it will or will not exercise or take at that time, (viii) without limiting any of the foregoing, Borrower is not relying
upon any representation or covenant by any Bank or any Agent or any representative thereof, and no such representation or covenant has been made, that any Bank or any Agent will, at the time of an Event of Default, or at any other time, waive,
negotiate, discuss, or take or refrain from taking any action permitted under the Loan Papers with respect to any such Event of Default or Default or any other provision of the Loan Papers, and (ix) each Bank has relied upon the truthfulness of
the 
  

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acknowledgments in this Section 14.2(b) in deciding to execute and deliver this Agreement and to make the Loan. 

(c) Any provision of this Agreement, the Notes or the other Loan Papers may be amended or waived if, but only if such amendment or waiver
is in writing and is signed by Borrower and Required Banks or by Borrower and Administrative Agent with the consent of Required Banks (and, if the rights or duties of Administrative Agent, the Letter of Credit Issuer, or Swing Line Bank are affected
thereby, by Administrative Agent, the Letter of Credit Issuer and Swing Line Bank, as applicable); provided, that no such amendment or waiver shall, unless signed by each Bank affected thereby, (i) increase the Commitment of any
Bank or subject any Bank to any additional obligation, (ii) forgive any of the principal of or reduce the rate of interest on the Loan or any fees hereunder, (iii) postpone the Termination Date or any date fixed for any payment of
principal of or interest on the Loan or any fees hereunder, (iv) change the definition of “Required Banks”, or the number of Banks which shall be required for the Banks or any of them to take any action under this
Section 14.2 or any other provision of this Agreement, (v) permit any Credit Party to assign any of its rights hereunder, (vi) amend or waive any of the provisions of Article IV or the definitions contained in
Section 1.1 applicable thereto, (vii) provide for release or substitution of all or substantially all of the collateral for the Obligations or any portion of the Obligation other than releases made in connection with sales of
collateral which are expressly permitted by Section 9.5 hereof; (viii) release any Domestic Subsidiary as a guarantor under the Loan Papers (except as set forth in Section 12.10(c) or the Facility Guaranty); or
(ix) change Section 2.11 or Section 3.2 in a manner that would alter the pro rata sharing of payments required thereby; provided, further, that no such amendment or waiver shall, unless signed by all
Banks, amend or waive any of the provisions of Section 6.1 or Section 6.2 or the definitions contained in Section 1.1 applicable thereto. Borrower, Administrative Agent and each Bank further acknowledge that any
decision by Administrative Agent or any Bank to enter into any amendment, waiver or consent pursuant hereto shall be made by such Bank or Administrative Agent in its sole discretion, and in making any such decision Administrative Agent and each such
Bank shall be permitted to give due consideration to any credit or other relationship Administrative Agent or any such Bank may have with Borrower, any other Credit Party or any Affiliate of any Credit Party. 

Section 14.3 Expenses; Documentary Taxes; Indemnification. 

(a) Borrower shall pay (i) all reasonable out-of-pocket expenses of Administrative Agent, including reasonable fees and disbursements
of special counsel for Administrative Agent, in connection with the preparation of this Agreement and the other Loan Papers and, if appropriate, the recordation of the Loan Papers (subject to the limitations in Borrower’s commitment letter with
Administrative Agent), any waiver or consent hereunder or any amendment hereof or any Default or alleged Default hereunder, and (ii) if an Event of Default occurs, all reasonable out-of-pocket expenses incurred by Administrative Agent and each
Bank, including reasonable fees and disbursements of counsel in connection with such Event of Default and collection and other enforcement proceedings resulting therefrom, fees of auditors and consultants incurred in connection therewith and
investigation expenses incurred by Administrative Agent and each Bank in connection therewith. Borrower shall indemnify each Bank against any Taxes imposed by reason of the execution and delivery of this Agreement or the Notes (other than Taxes in
respect of the net income of such Bank). 
  

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 (b) Borrower agrees to indemnify each Indemnified Entity (as defined below), upon demand,
from and against any and all liabilities, obligations, claims, losses, damages, penalties, fines, actions, judgments, suits, settlements, costs, expenses or disbursements (including reasonable fees of attorneys, accountants, experts and advisors) of
any kind or nature whatsoever (in this section collectively called “liabilities and costs”) which to any extent (in whole or in part) may be imposed on, incurred by, or asserted against such Indemnified Entity resulting from
the Loan Papers or the Loans (including any violation or noncompliance with any Applicable Environmental Laws by any Credit Party or any liabilities or duties of any Credit Party or of any Indemnified Entity with respect to Hazardous Substances
found in or released into the environment). 
 THE FOREGOING INDEMNIFICATION SHALL APPLY WHETHER OR NOT SUCH LIABILITIES AND COSTS ARE IN ANY
WAY OR TO OR TO ANY EXTENT OWED, IN WHOLE OR IN PART, UNDER ANY CLAIM OR THEORY OF STRICT LIABILITY OR ARE IN ANY EXTENT CAUSED, IN WHOLE OR IN PART, BY ANY NEGLIGENT ACT OR OMISSION OF ANY KIND BY ANY INDEMNIFIED ENTITY, 

provided, only, that no Indemnified Entity shall be entitled under this Section 14.3(b) to receive indemnification for
that portion, if any, of any liabilities and costs which is proximately caused by its own individual gross negligence or willful misconduct, or by its own individual actions with respect to the collateral for the Loan in its possession, IT BEING THE
INTENTION OF THE PARTIES HERETO THAT NO INDEMNIFIED ENTITY SHALL BE LIABLE FOR THE CONSEQUENCES OF ITS ORDINARY NEGLIGENCE. As used in this Section 14.3(b) the term “Indemnified Entity” refers to each Bank, each
Agent, and each director, officer, agent, trustee, manager, attorney, employee, representative and Affiliate of any such Person. 

Section 14.4 Right and Sharing of Set-Offs. 

(a) Upon the occurrence and during the continuance of any Event of Default, each Bank is hereby authorized at any time and from time to
time, to the fullest extent permitted by Law, to set off and apply any and all deposits (general or special, time or demand, provisional or final) at any time held and other indebtedness at any time owing by such Bank to or for the credit or the
account of any Credit Party against any and all of the obligations now or hereafter existing under this Agreement and any Note held by such Bank, irrespective of whether or not such Bank shall have made any demand under this Agreement or such Note
and although such obligations may be unmatured. Each Bank agrees promptly to notify such Credit Party after any such setoff and application made by such Bank, provided, that the failure to give such notice shall not affect the validity
of such setoff and application. The rights of each Bank under this Section 14.4(a) are in addition to other rights and remedies (including, without limitation, other rights of setoff) which such Bank may have. 

(b) Each Bank agrees that if it shall, by exercising any right of setoff or counterclaim or otherwise, receive payment after the
occurrence and during the continuance of an Event of Default of a proportion of the aggregate amount of principal and interest due with respect to the Loan which is greater than the proportion received by any other Bank in respect of the Loan, the
Bank receiving such proportionately greater payment shall purchase such participations in the interests in the Loan held by the other Banks, and such other adjustments 

 

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shall be made, as may be required so that all such payments of principal and interest with respect to the Loan held by Banks shall be shared by Banks ratably in accordance with their respective
Commitment Percentages; provided, that nothing in this Section 14.4 shall impair the right of any Bank to exercise any right of setoff or counterclaim it may have and to apply the amount subject to such exercise to the
payment of indebtedness of any Credit Party other than its indebtedness under the Loan. Borrower agrees, to the fullest extent it may effectively do so under applicable Law, that Participants may exercise rights of setoff or counterclaim and other
rights with respect to such participation as fully as if such holder of a participation were a direct creditor of Borrower in the amount of such participation. 

Section 14.5 Survival. All of the various representations, warranties, covenants, indemnities and agreements in the Loan Papers
shall survive the execution and delivery of this Agreement and the other Loan Papers and the performance hereof and thereof, including the making or granting of the Loan and the delivery of the Notes and the other Loan Papers, and shall further
survive until all of the Obligations are paid in full to Banks and Administrative Agent and all of Banks’ obligations to Borrower are terminated (provided, that to the extent expressly provided in any indemnification clause contained
herein or in any other Loan Paper, such indemnification obligation shall survive payment in full of the Obligations and termination of the obligations of Banks to Borrower hereunder). All statements and agreements contained in any certificate or
other instrument delivered by Borrower to any Bank or Administrative Agent under any Loan Paper shall be deemed representations and warranties by Borrower or agreements and covenants of Borrower under this Agreement. The representations, warranties
and covenants made by any Credit Party (as applicable) in the Loan Papers, and the rights, powers and privileges granted to Banks and Administrative Agent in the Loan Papers, are cumulative, and, except for expressly specified waivers and consents,
no Loan Paper shall be construed in the context of another to diminish, nullify, or otherwise reduce the benefit to Banks and Administrative Agent of any such representation, warranty, covenant, right, power or privilege. In particular and without
limitation, no exception set out in this Agreement to any representation, warranty or covenant herein contained shall apply to any similar representation, warranty or covenant contained in any other Loan Paper, and each such similar representation,
warranty or covenant shall be subject only to those exceptions which are expressly made applicable to it by the terms of the various Loan Papers. 

Section 14.6 Limitation on Interest. Each Bank, each Agent, Borrower, each other Credit Party and any other parties to the Loan
Papers intend to contract in strict compliance with applicable usury Law from time to time in effect. In furtherance thereof such Persons stipulate and agree that none of the terms and provisions contained in the Loan Papers shall ever be construed
to create a contract to pay, for the use, forbearance or detention of money, interest in excess of the Maximum Lawful Rate. None of Borrower, any other Credit Party, nor any present or future guarantors, endorsers, or other Persons hereafter
becoming liable for payment of any Obligation shall ever be liable for unearned interest thereon or shall ever be required to pay interest thereon in excess of the Maximum Lawful Rate and the provisions of this Section 14.6 shall control
over all other provisions of the Loan Papers which may be in conflict or apparent conflict herewith. Each Bank and Administrative Agent expressly disavow any intention to charge or collect excessive unearned interest or finance charges in the event
the maturity of any Obligation is accelerated. If (a) the maturity of any Obligation is accelerated for any reason, (b) any Obligation is prepaid and as a result any amounts held to constitute interest are determined to

  

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be in excess of the Maximum Lawful Rate, or (c) any Bank or any other holder of any or all of the Obligations shall otherwise collect moneys which are determined to constitute interest which
would otherwise increase the interest on any or all of the Obligations to an amount in excess of the Maximum Lawful Rate, then all such sums determined to constitute interest in excess of the Maximum Lawful Rate shall, without penalty, be promptly
applied to reduce the then outstanding principal of the related Obligations or, at any Bank’s or such holder’s option, promptly returned to Borrower or the other payor thereof upon such determination. In determining whether or not the
interest paid or payable, under any specific circumstance, exceeds the Maximum Lawful Rate, Administrative Agent, Banks, Borrower and the other Credit Parties (and any other payors or payees thereof) shall to the greatest extent permitted under
applicable Law, (i) characterize any non-principal payment as an expense, fee or premium rather than as interest, (ii) exclude voluntary prepayments and the effects thereof, and (iii) amortize, prorate, allocate, and spread the total
amount of interest throughout the entire contemplated term of the instrument evidencing the Obligations in accordance with the amounts outstanding from time to time thereunder and the Maximum Lawful Rate in order to lawfully charge the Maximum
Lawful Rate. 
 Section 14.7 Invalid Provisions. If any provision of the Loan Papers is held to be illegal, invalid, or
unenforceable under present or future Laws effective during the term thereof, such provision shall be fully severable, the Loan Papers shall be construed and enforced as if such illegal, invalid, or unenforceable provision had never comprised a part
thereof, and the remaining provisions thereof shall remain in full force and effect and shall not be affected by the illegal, invalid, or unenforceable provision or by its severance therefrom. Furthermore, in lieu of such illegal, invalid, or
unenforceable provision there shall be added automatically as a part of the Loan Papers a provision as similar in terms to such illegal, invalid, or unenforceable provision as may be possible and be legal, valid and enforceable. 

Section 14.8 Successors and Assigns. 

(a) Each Loan Paper binds and inures to the parties to it, any intended beneficiary of it, and each of their respective successors and
permitted assigns. Neither Borrower nor any other Credit Party may assign or transfer any rights or obligations under any Loan Paper without first obtaining all Banks’ consent, and any purported assignment or transfer without all Banks’
consent is void. No Bank may transfer, pledge, assign, sell any participation in, or otherwise encumber its portion of the Obligations except as permitted by clauses (b) or (c) below. 

(b) Any Bank may (subject to the provisions of this section, in accordance with applicable Law, in the ordinary course of its business,
and at any time) sell to one or more commercial banks or institutional investors, or to Affiliates of the selling Bank (each a “Participant”) participating interests in its portion of the Obligations. The selling Bank remains
a “Bank” under the Loan Papers, the Participant does not become a “Bank” under the Loan Papers, and the selling Bank’s obligations under the Loan Papers remain unchanged. The selling Bank remains solely responsible for the
performance of its obligations and remains the holder of its share of the outstanding Loan for all purposes under the Loan Papers. Borrower and Administrative Agent shall continue to deal solely and directly with the selling Bank in connection with
that Bank’s rights and obligations under the Loan Papers, and each Bank must 
  

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retain the sole right and responsibility to enforce due obligations of Borrower and/or any other Credit Party. Participants have no rights under the Loan Papers except certain approval rights as
provided below. Subject to the following, each Bank may obtain (on behalf of its Participants) the benefits of Article XIII with respect to all participations in its part of the Obligations outstanding from time to time so long as Borrower is
not obligated to pay any amount in excess of the amount that would be due to that Bank under Article XIII calculated as though no participations have been made. No Bank may sell any participating interest under which the Participant has any
rights to approve any amendment, modification, or waiver of any Loan Paper except to the extent such amendment, modification or waiver would (i) extend the Termination Date, (ii) reduce the interest rate or fees applicable to the
Commitments or any portion of the Loan in which such Participant is participating, or postpone the payment of any thereof, or (iii) release all or substantially all of the collateral or guarantees securing any portion of the Total Commitment or
the Loan in which such Participant is participating. In addition, each agreement creating any participation must include an agreement by the Participant to be bound by the provisions of Section 14.14. 

(c) Each Bank may make assignments to the Federal Reserve Bank. Each Bank may also assign to one or more Banks, Affiliates of a Bank,
Approved Funds or other financial institutions (each an “Assignee”) all or any part of its rights and obligations under the Loan Papers so long as (i) the assignor Bank and Assignee execute and deliver to Letter of
Credit Issuer, Administrative Agent, Swing Line Bank and Borrower for their consent and acceptance (that may not be unreasonably withheld) an assignment and assumption agreement in substantially the form of Exhibit F (an
“Assignment and Assumption Agreement”) and pay to Administrative Agent a processing fee of $3,500 (which fee may be waived by Administrative Agent in its sole discretion), (ii) the Assignee acquires an identical
percentage interest in the Commitment of the assignor Bank and an identical percentage of the interests in the outstanding Loan held by such assignor Bank, (iii) the Commitment to be assigned is a minimum of $5,000,000, and (iv) the
conditions (including, without limitation, minimum amounts of the Total Commitment that may be assigned or that must be retained) for that assignment set forth in the applicable Assignment and Assumption Agreement are satisfied; provided,
however, that (x) the consents of Administrative Agent and Borrower shall not be required for an assignment to a Bank, an Affiliate of a Bank or an Approved Fund, (y) the consent of Borrower shall not be required if an Event
of Default has occurred and is continuing, and (z) Borrower and its Affiliates and Subsidiaries shall not be eligible to be an Assignee. The “Effective Date” in each Assignment and Assumption Agreement must (unless a shorter period is
agreeable to Borrower and Administrative Agent) be at least five (5) Domestic Business Days after it is executed and delivered by the assignor Bank and Assignee to Administrative Agent and Borrower for acceptance. Once that Assignment and
Assumption Agreement is accepted by Letter of Credit Issuer, Administrative Agent and Borrower, then, from and after the Effective Date stated in it (A) Assignee automatically becomes a party to this Agreement and, to the extent provided in
that Assignment and Assumption Agreement, has the rights and obligations of a Bank under the Loan Papers, (B) the assignor Bank, to the extent provided in that Assignment and Assumption Agreement, is released from its obligations to fund
Borrowings under this Agreement and its reimbursement obligations under this Agreement and, in the case of an Assignment and Assumption Agreement covering all of the remaining portion of the assignor Bank’s rights and obligations under the Loan
Papers, that Bank ceases to be a party to the Loan Papers, (C) Borrower shall execute and deliver to the assignor Bank and Assignee the appropriate Notes in 

 

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accordance with this Agreement following the transfer, (D) upon delivery of the Notes under clause (C) preceding, the assignor Bank shall return to Borrower all Notes previously
delivered to that Bank under this Agreement, and (E) Schedule 1 is automatically deemed to be amended to reflect the name, address, e-mail address, telecopy number, and Commitment of Assignee and the remaining Commitment (if any) of the
assignor Bank, and Administrative Agent shall prepare and circulate to Borrower and Banks an amended Schedule 1 reflecting those changes. 

Section 14.9 Applicable Law and Jurisdiction. THIS AGREEMENT, EACH NOTE AND THE OTHER LOAN PAPERS (INCLUDING, BUT NOT LIMITED TO,
THE VALIDITY AND ENFORCEABILITY HEREOF AND THEREOF) SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, OTHER THAN CONFLICT OF LAWS RULES THEREOF, EXCEPT TO THE EXTENT THAT (a) A LOAN PAPER EXPRESSLY ELECTS
THE LAWS OF ANOTHER JURISDICTION OR (b) THE LAWS OF ANY STATE IN WHICH ANY PROPERTY INTENDED AS SECURITY FOR THE OBLIGATIONS IS LOCATED NECESSARILY GOVERN THE PERFECTION AND PRIORITY OF THE LIENS IN FAVOR OF ADMINISTRATIVE AGENT AND BANKS WITH
RESPECT TO SUCH PROPERTY, AND THE EXERCISE OF ANY REMEDIES (INCLUDING FORECLOSURE) WITH RESPECT TO SUCH PROPERTY. Any legal action or proceeding against Borrower with respect to this Agreement or any Loan Paper may be brought in the courts of the
State of New York, the U.S. Federal Courts in such state, sitting in the County of New York, or in the courts of any other jurisdiction where such action or proceeding may be properly brought, and Borrower hereby irrevocably accepts the jurisdiction
of such New York courts for the purpose of any action or proceeding. Borrower hereby designates and irrevocably appoints and empowers CT Corporation System (the “Process Agent”), currently located at 111 Eighth Avenue, New
York, New York 10011 as its authorized agent to accept, receive and acknowledge for and on behalf of Borrower and its property service of any and all process which may be served but only in any action, suit or proceeding of the nature referred to
above in the State of New York and further agree that failure of such firm to give Borrower any notice of any such service shall not impair or affect the validity of such service or of any judgment rendered in any action on proceeding based thereon.
Borrower hereby irrevocably authorizes and directs the Process Agent to accept such service on its behalf. Borrower further irrevocably consents to the service of process out of said courts by the mailing thereof by Administrative Agent by U.S.
registered or certified mail postage prepaid to Borrower at its address designated on the signature pages hereto. Borrower agrees that a final judgment in any action or proceeding shall be conclusive and may be enforced in any other jurisdiction by
suit on the judgment or in any other manner provided by Law. Nothing in this Section 14.9 shall affect the rights of any Bank or Administrative Agent to serve legal process in any other manner permitted by Law or affect the right of any
Bank or Administrative Agent to bring any action or proceeding against Borrower or its properties in the courts of any other jurisdiction. To the extent that Borrower has or hereafter may acquire any immunity from jurisdiction of any court or from
any legal process (whether through service of notice, attachment prior to judgment, attachment in aid of execution, execution or otherwise) with respect to either itself or its property, Borrower hereby irrevocably waives such immunity in respect of
its obligations under this Agreement and the other Loan Papers. Borrower hereby irrevocably waives any objection which it may now or hereafter have to the laying of venue of any suit, action or proceeding arising out of or relating to this Agreement
or any Loan Paper brought in the Supreme Court of the State of New York, County of New York or the U.S. 
  

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District Court for the Southern District of New York, and hereby further irrevocably waives any claims that any such suit, action or proceeding brought in any such court has been brought in an
inconvenient forum. 
 Section 14.10 Counterparts; Effectiveness. This Agreement may be signed in any number of
counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument. Subject to the terms and conditions herein set forth (including, without limitation, the execution and
delivery of the Certificate of Effectiveness), this Agreement shall become effective when Administrative Agent shall have received counterparts hereof signed by all of the parties hereto or, in the case of any Bank as to which an executed
counterpart shall not have been received, Administrative Agent shall have received telegraphic or other written confirmation from such Bank of execution of a counterpart hereof by such Bank. 

Section 14.11 No Third Party Beneficiaries. It is expressly intended that there shall be no third party beneficiaries of the
covenants, agreements, representations or warranties herein contained other than Participants and Assignees permitted pursuant to Section 14.8 and Affiliates of any Bank which hold any part of the Obligations. 

Section 14.12 COMPLETE AGREEMENT. THIS AGREEMENT AND THE OTHER LOAN PAPERS COLLECTIVELY REPRESENT THE FINAL AGREEMENT BY AND AMONG
BANKS, ADMINISTRATIVE AGENT AND BORROWER AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF BANKS, ADMINISTRATIVE AGENT AND BORROWER. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN OR AMONG BANKS,
ADMINISTRATIVE AGENT AND BORROWER. 
 Section 14.13 WAIVER OF JURY TRIAL, PUNITIVE DAMAGES, ETC. BORROWER, ADMINISTRATIVE
AGENT, AND EACH BANK HEREBY (a) KNOWINGLY, VOLUNTARILY, INTENTIONALLY, AND IRREVOCABLY WAIVE, TO THE MAXIMUM EXTENT NOT PROHIBITED BY LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON, OR DIRECTLY OR
INDIRECTLY AT ANY TIME ARISING OUT OF, UNDER OR IN CONNECTION WITH THE LOAN PAPERS OR ANY TRANSACTION CONTEMPLATED THEREBY OR ASSOCIATED THEREWITH, BEFORE OR AFTER MATURITY; (b) IRREVOCABLY WAIVE, TO THE MAXIMUM EXTENT NOT PROHIBITED BY LAW,
ANY RIGHT IT MAY HAVE TO CLAIM OR RECOVER IN ANY SUCH LITIGATION ANY “SPECIAL DAMAGES,” AS DEFINED BELOW; (c) CERTIFY THAT NO PARTY HERETO NOR ANY REPRESENTATIVE OR AGENT OR COUNSEL FOR ANY PARTY HERETO HAS REPRESENTED, EXPRESSLY OR
OTHERWISE, OR IMPLIED THAT SUCH PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVERS, AND (d) ACKNOWLEDGE THAT IT HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT, THE OTHER LOAN PAPERS AND THE TRANSACTIONS
CONTEMPLATED HEREBY AND THEREBY BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS CONTAINED IN THIS SECTION. AS USED IN THIS SECTION, “SPECIAL DAMAGES” INCLUDES ALL SPECIAL, CONSEQUENTIAL, EXEMPLARY, OR PUNITIVE DAMAGES
(REGARDLESS OF HOW 
  

 87 

 
NAMED), BUT DOES NOT INCLUDE ANY PAYMENT OR FUNDS WHICH ANY PARTY HERETO HAS EXPRESSLY PROMISED TO PAY OR DELIVER TO ANY OTHER PARTY HERETO. 

Section 14.14 Confidential Information. Administrative Agent and each Bank agree that all documentation and other information made
available by any Credit Party to any Agent or any Bank under the terms of this Agreement shall (except to the extent such documentation or other information is publicly available or hereafter becomes publicly available other than by action of
Administrative Agent or such Bank, or was theretofore known or hereinafter becomes known to Administrative Agent or such Bank independent of any disclosure thereto by any Credit Party) be held in the strictest confidence by Administrative Agent or
such Bank and used solely in the administration and enforcement of the Loan from time to time outstanding from such Bank to Borrower and in the prosecution or defense of legal proceedings arising in connection herewith; provided, that
(a) Administrative Agent or such Bank may disclose documentation and information to Administrative Agent and/or any Bank which is a party to this Agreement or any Affiliates thereof, and (b) Administrative Agent or such Bank may
disclose such documentation or other information to any other bank or other Person to which such Bank sells or proposes to make an assignment or sell a participation in the Loan hereunder if such other bank or Person, prior to such disclosure,
agrees in writing to be bound by the terms of the confidentiality statement customarily employed by Administrative Agent in connection with such potential transfers. Notwithstanding the foregoing, nothing contained herein shall be construed to
prevent Administrative Agent or a Bank from (i) making disclosure of any information (A) if required to do so by applicable Law or regulation or accepted banking practices, (B) to any governmental agency or regulatory body having or
claiming to have authority to regulate or oversee any aspect of such Bank’s business or that of such Bank’s corporate parent or Affiliates in connection with the exercise of such authority or claimed authority, (C) pursuant to any
subpoena or if otherwise compelled in connection with any litigation or administrative proceeding, (D) to correct any false or misleading information which may become public concerning such Person’s relationship to any Credit Party, or
(E) to the extent Administrative Agent or such Bank or its counsel deems necessary or appropriate to effect or preserve its security for the Obligations or any portion thereof or to enforce any remedy provided in this Agreement, or any other
Loan Paper, or otherwise available by law; or (ii) making, on a confidential basis, such disclosures as such Bank reasonably deems necessary or appropriate to its legal counsel or accountants (including outside auditors). If Administrative
Agent or such Bank is compelled to disclose such confidential information in a proceeding requesting such disclosure, Administrative Agent or such Bank shall seek to obtain assurance that such confidential treatment will be accorded such
information; provided, however, that neither Administrative Agent nor any Bank shall have any liability for the failure to obtain such treatment. Notwithstanding anything herein to the contrary, Administrative Agent and each Bank may
disclose to any and all Persons any information with respect to the U.S. federal income tax treatment and U.S. federal income tax structure of the transactions contemplated by this Agreement, and all materials of any kind (including opinions or
other tax analyses) that are provided to Administrative Agent or such Bank relating to such tax treatment and tax structure. 

Section 14.15 USA Patriot Act Notice. Each Bank that is subject to the Act (as hereinafter defined) and Administrative Agent (for
itself and not on behalf of any Bank) hereby notifies Borrower that pursuant to the requirements of the USA Patriot Act (Title III of Pub. L. 

 

 88 

 
107 56 (signed into law October 26, 2001)) (the “Act”), it is required to obtain, verify and record information that identifies Borrower, which information includes
the name and address of Borrower and other information that will allow such Bank or Administrative Agent, as applicable, to identify Borrower in accordance with the Act. 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

 

 89 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by
their respective Authorized Officers effective as of the day and year first above written. 
 BORROWER: 

GEOMET, INC., a Delaware corporation 
  

			
		
	By:	 	    /s/ William C. Rankin
		 	    William C. Rankin,
		 	    Executive Vice President

Address for Notice: 
 GeoMet, Inc.

 909 Fannin Street 
 Suite 3208

 Houston, Texas 77010 
 Attention:
William C. Rankin 
 Telecopy No.: (713) 659-3856 

e-mail: brankin@geometcbm.com 
  

[Signature Page] 

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 GEOMET, INC. 

 ADMINISTRATIVE AGENT: 

BANK OF AMERICA, N.A., 
 as
Administrative Agent 
  

			
		
	By:	 	    /s/ Renita M. Cummings
		 	    Renita M. Cummings,
		 	    Assistant Vice President

BANKS: 
 BANK OF AMERICA, N.A.

  

			
		
	By:	 	    /s/ Jeffrey H. Rathkamp
		 	    Jeffrey H. Rathkamp,
		 	    Managing Director

  

[Signature Page] 

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 GEOMET, INC. 

 SYNDICATION AGENT: 

BNP PARIBAS, 
 as Syndication Agent

  

			
		
	By:	 	/s/ Juan Carlos Sandoval

			
	Name:	 	Juan Carlos Sandoval
	Title:	 	Vice President

 BANKS: 

BNP PARIBAS 
  

			
		
	By:	 	/s/ Richard Hawthorne

			
	Name:	 	Richard Hawthorne
	Title:	 	Director

  

			
		
	By:	 	/s/ Juan Carlos Sandoval

			
	Name:	 	Juan Carlos Sandoval
	Title:	 	Vice President

  

[Signature Page] 

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 GEOMET, INC. 

 BANKS: 

BANK OF SCOTLAND 
  

			
		
	By:	 	/s/ Julia R. Franklin

			
	Name:	 	Julia R. Franklin
	Title:	 	Assistant Vice President

  

[Signature Page] 

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 GEOMET, INC. 

 BANKS: 

U.S. BANK NATIONAL ASSOCIATION 
  

			
		
	By:	 	/s/ Justin M. Alexander

			
	Name:	 	Justin M. Alexander
	Title:	 	Vice President

  

[Signature Page] 

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 GEOMET, INC. 

 BANKS: 

STERLING BANK 
  

			
		
	By:	 	/s/ David W. Phillips

			
	Name:	 	David W. Phillips
	Title:	 	Senior Vice President

  

[Signature Page] 

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 GEOMET, INC. 

 EXHIBIT A 

FORM OF NOTE 
  

 A-1 

 EXHIBIT B 

FORM OF REQUEST FOR BORROWING 
  

 B-1 

 EXHIBIT C 

FORM OF REQUEST FOR LETTER OF CREDIT 

 

 C-1 

 EXHIBIT D 

FORM OF ROLLOVER NOTICE 
  

 D-1 

 EXHIBIT E 

FORM OF FINANCIAL OFFICER’S CERTIFICATE 
  

 E-1 

 EXHIBIT F 

FORM OF ASSIGNMENT AND ASSUMPTION AGREEMENT 
  

 F-1 

 EXHIBIT G 

FORM OF BORROWER PLEDGE AGREEMENT 
  

 G-1 

 EXHIBIT H 

FORM OF SUBSIDIARY PLEDGE AGREEMENT 
  

 H-1 

 EXHIBIT I 

FORM OF FACILITY GUARANTY 
  

 I-1 

 EXHIBIT J 

FORM OF CERTIFICATE OF EFFECTIVENESS 

 

 J-1 

 EXHIBIT K 

FORM OF SWING LINE NOTICE 
  

 K-1 

 SCHEDULE 1 

FINANCIAL INSTITUTIONS 
  

					
	Banks	 	Commitment Amount  	 	Commitment Percentage  

	Bank of America, N.A.	 	$44,000,000	 	24.444444444%
	BNP Paribas	 	$43,000,000	 	23.888888889%
	Bank of Scotland	 	$43,000,000	 	23.888888889%
	U.S. Bank National Association  	 	$30,000,000	 	16.666666667%
	Sterling Bank	 	$20,000,000	 	11.111111111%
	Totals:	 	$180,000,000	 	100%

 

							
	
Banks
	  	Domestic Lending Office  	  	Eurodollar Lending Office  	  	Address for
Notice  
	 Bank of America, N.A.
	  	 Bank of America, N.A.

One Independence Center  

NC1-001-04-39
 101 N Tryon St

Charlotte NC 28255
 Attn: Randy Pino

Fax No. (704) 409-0319
	  	Bank of America, N.A.
 One
Independence Center
 NC1-001-04-39

101 N Tryon St
 Charlotte NC 28255

Attn: Randy Pino
 Fax No. (704)
409-0319
	  	Bank of America, N.A.

One Independence Center  

NC1-001-04-39
 101 N Tryon St

Charlotte NC 28255
 Attn: Randy Pino

Fax No. (704) 409-0319

	 BNP Paribas
	  	 BNP Paribas

1200 Smith Street
 Suite 3100

Houston, Texas 77002
 Attn: Gabriel
Candamo
 Fax No. (212) 841-2683
	  	BNP Paribas
 1200 Smith Street

 Suite 3100
 Houston, Texas 77002

 Attn: Gabriel Candamo
 Fax No.
(212) 841-2683
	  	BNP Paribas

1200 Smith Street
 Suite 3100

Houston, Texas 77002
 Attn: Gabriel Candamo

 Fax No. (212) 841-2683

	 Bank of Scotland
	  	 Bank of Scotland

565 Fifth Avenue
 5th Floor

New York, New York 10017  
 Attn:
Shirley Vargas
 Fax No.: (212) 479-2807
	  	Bank of Scotland
 565 Fifth Avenue

 5th Floor

New York, New York 10017  

Attn: Shirley Vargas
 Fax No.: (212) 479-2807

	  	Bank of Scotland

1021 Main Street
 Suite 1370

Houston, Texas 77002
 Attn: Richard
Butler
 Fax No.: (713) 651-9714

	 U. S. Bank National
Association  
	  	 U. S. Bank

    National Association
 918
17th Street
 DNCOBB3E
 Denver, CO 80202

 Attn: Justin M. Alexander  

Fax No.: (303) 585-4362
	  	U. S. Bank

    National Association

918 17th Street
 DNCOBB3E

Denver, CO 80202
 Attn: Justin M. Alexander

 Fax No.: (303) 585-4362
	  	U. S. Bank

    National Association

918 17th Street
 DNCOBB3E

Denver, CO 80202
 Attn: Justin M. Alexander

 Fax No.: (303) 585-4362

	 Sterling Bank
	  	 Sterling Bank

2550 N. Loop West
 Suite 800

Houston, TX 77092
 Attn: Cheri Allen

Fax No.: (713) 507-7908
	  	Sterling Bank
 2550 N. Loop West

 Suite 800
 Houston, TX
77092
 Attn: Cheri Allen
 Fax No.:
(713) 507-7908
	  	Sterling Bank

2550 N. Loop West
 Suite 800

Houston, TX 77092
 Attn: David W.
Phillips
 Fax No.: (713) 507-7948

  

 Schedule 1-1 

 Administrative Agent-Address: 

Bank of America, N.A. 
 100 Federal Street

 Mail Code: MA5-100-09-08 
 Boston,
Massachusetts 02110 
 Attn: Jeffrey H. Rathkamp 

Fax No. (617) 434-3652 
 e-mail:
jeffrey.h.rathkamp@baml.com 
  

 Schedule 1-2 

 SCHEDULE 2 

LITIGATION 

None 
  

 Schedule 2-1 

 SCHEDULE 3 

ORGANIZATIONAL STRUCTURE 

GeoMet, Inc. 
  

	(a)	A Delaware corporation. 

  

	(b)	Qualified to do business in Alabama, Texas, Virginia, and West Virginia 

GeoMet Operating Company, Inc. 
  

	(a)	An Alabama corporation. 

  

	(b)	Qualified to do business as a foreign corporation in West Virginia, Virginia, Colorado, and New Mexico. 

 

	(c)	1,000 shares of common stock are authorized, of which 586.4 are issued and outstanding. All of such shares are owned of record by Borrower. 

 

	(d)	No options or warrants are outstanding. 

Hudson’s Hope Gas, Ltd. 
  

	(a)	A corporation incorporated under the laws of Canada 

  

	(b)	Provincially registered to do business in British Columbia and Alberta 

  

	(c)	An unlimited number of shares of common stock are authorized, of which 22,349,473.28 are issued and outstanding. All of such shares are owned of record by Borrower.

  

	(d)	No options or warrants are outstanding. 

GeoMet Gathering Company, LLC 
  

	(a)	A limited liability company organized under the laws of Alabama 

  

	(b)	Qualified to do business in Virginia and West Virginia 

  

	(c)	GeoMet, Inc is the initial member and organizer and there are no additional members. 

 

	(d)	No options or warrants are outstanding. 

  

 Schedule 3-1 

 GeoMet Gathering Virginia, Inc. 

 

	(a)	A corporation organized under the laws of Virginia 

  

	(b)	GeoMet, Inc. owns 1000 shares. 

  

	(c)	Never capitalized in excess of initial $1000; no other assets; has never engaged in business; dissolution is in progress. 

 

 Schedule 3-2 

 SCHEDULE 4 

LIENS TO BE RELEASED 

1. Lien granted by Borrower pursuant to that certain Third Amended and Restated Borrower Pledge Agreement dated June 9, 2006 by
Borrower in favor of Administrative Agent in and to sixty-five percent (65%) of the issued and outstanding Equity of Hudson’s Hope Gas, Ltd., a Canadian corporation. 

 

 Schedule 4-1 

 SCHEDULE 5 

DEBT 
 Debt
existing under the Existing Credit Agreement; provided, that such Debt shall be refinanced and replaced in full as of the Effective Date with Debt owing under this Agreement. 

 

 Schedule 5-1

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