Document:

Exhibit 10.1

 

Execution Version

 

EQT
CORPORATION

 

$500,000,000 3.125% Senior Notes due 2026

$500,000,000 3.625% Senior Notes due 2031

 

Purchase Agreement

 

May 10, 2021

 

BofA Securities, Inc.

J.P. Morgan Securities LLC

As Representatives of the

several Initial Purchasers listed

in Schedule 1 hereto

 

c/o BofA Securities, Inc.

One Bryant Park

New York, New York 10036

 

c/o J.P. Morgan Securities LLC

383 Madison Avenue

New York, New York 10179

 

Ladies and Gentlemen:

 

EQT Corporation, a Pennsylvania corporation (the
 “Company”), proposes to issue and sell to the several initial purchasers named in Schedule 1 hereto (the “Initial Purchasers”),
for whom you are acting as representatives (the “Representatives”), $500,000,000 principal amount of its 3.125% Senior Notes
due 2026 (the “2026 Notes”) and $500,000,000 principal amount of its 3.625% Senior Notes due 2031 (the “2031 Notes”
and, together with the 2026 Notes, the “Notes”).

 

The 2026 Notes will be issued pursuant to an Indenture
dated as of March 18, 2008, as supplemented by a Second Supplemental Indenture dated as of June 30, 2008 (together, the “Base
Indenture”), as supplemented by a Twelfth Supplemental Indenture to be dated as of the Closing Date (defined below) (the “Twelfth
Supplemental Indenture” and, together with the Base Indenture, the “2026 Notes Indenture”), and the 2031 Notes will
be issued pursuant to the Base Indenture, as supplemented by a Thirteenth Supplemental Indenture to be dated as of the Closing Date (the
 “Thirteenth Supplemental Indenture” and, together with the Base Indenture, the “2031 Notes Indenture” and, together
with the 2026 Notes Indenture, the “Indenture”), in each case between the Company and The Bank of New York Mellon, as trustee
(the “Trustee”). The Notes will be issued in book-entry form in the name of Cede & Co., as nominee of The Depository
Trust Company (the “Depositary”).

 

    

     

    

 

The Notes will be sold to the Initial Purchasers
without being registered under the Securities Act of 1933, as amended (the “Securities Act”), in reliance upon an exemption
therefrom. The Company has prepared a preliminary offering memorandum dated May 10, 2021 (the “Preliminary Offering Memorandum”)
and will prepare an offering memorandum dated the date hereof (the “Offering Memorandum”) setting forth information concerning
the Company and the Notes. Copies of the Preliminary Offering Memorandum have been, and copies of the Offering Memorandum will be, delivered
by the Company to the Initial Purchasers pursuant to the terms of this purchase agreement (this “Agreement”). The Company
hereby confirms that it has authorized the use of the Preliminary Offering Memorandum, the Disclosure Package (as defined below) and
the Offering Memorandum in connection with the offering and resale of the Notes by the Initial Purchasers in the manner contemplated
by this Agreement. References herein to the Preliminary Offering Memorandum, the Disclosure Package and the Offering Memorandum shall
be deemed to refer to and include any document incorporated by reference therein prior to the Time of Sale, and any reference to “amend,”
 “amendment” or “supplement” with respect to the Preliminary Offering Memorandum or the Offering Memorandum shall
be deemed to refer to and include any documents filed after such date and after the Time of Sale and incorporated by reference therein.

 

At or prior to the time when sales of the Notes
were first made (the “Time of Sale”), the Company had prepared the Preliminary Offering Memorandum, as supplemented and amended
by the written communications listed on Annex A hereto (collectively, the “Disclosure Package”).

 

The Company hereby confirms its agreement with
the several Initial Purchasers concerning the purchase and resale of the Notes, as follows:

 

1.            Purchase
and Resale of the Notes.

 

(a)          The
Company agrees to issue and sell the Notes to the several Initial Purchasers as provided in this Agreement, and each Initial Purchaser,
on the basis of the representations, warranties and agreements set forth herein and subject to the conditions set forth herein, agrees,
severally and not jointly, to purchase from the Company the respective principal amount of Notes set forth opposite such Initial Purchaser’s
name in Schedule 1 hereto at a price equal to (i) 98.75% of the principal amount thereof plus accrued interest, if any, from May 17,
2021 to the Closing Date for the 2026 Notes and (ii) 98.75% of the principal amount thereof plus accrued interest, if any, from
May 17, 2021 to the Closing Date for the 2031 Notes. The Company will not be obligated to deliver any of the Notes except upon payment
for all the Notes to be purchased as provided herein.

 

(b)          The
Company understands that the Initial Purchasers intend to offer the Notes for resale on the terms set forth in the Disclosure Package.
Each Initial Purchaser, severally and not jointly, represents, warrants and agrees that:

 

(i)            it
is a qualified institutional buyer within the meaning of Rule 144A under the Securities Act (a “QIB”) and an accredited
investor within the meaning of Rule 501(a) of Regulation D under the Securities Act (“Regulation D”);

 

    2

     

    

 

(ii)           it
has not solicited, and will not solicit, offers for, or offer or sell, the Notes by means of any form of general solicitation or general
advertising within the meaning of Rule 502(c) of Regulation D and it has not solicited offers for, or offered or sold, and
will not solicit offers for, or offer or sell, the Notes in any manner involving a public offering within the meaning of Section 4(a)(2) of
the Securities Act; and

 

(iii)          it
has not sold the Notes, and will not sell the Notes, except to (A) persons whom it reasonably believes to be QIBs in transactions
pursuant to Rule 144A under the Securities Act (“Rule 144A”) and in connection with each such sale, it has taken
or will take reasonable steps to ensure that the purchaser of the Notes is aware that such sale is being made in reliance on Rule 144A
or (B) in accordance with the restrictions set forth in Annex B hereto.

 

(c)            Each
Initial Purchaser acknowledges and agrees that the Company and, for purposes of the “no registration” opinions to be delivered
to the Initial Purchasers pursuant to Sections 6(f) and 6(g), counsel for the Company and counsel for the Initial Purchasers, respectively,
may rely upon the accuracy of the representations and warranties of the Initial Purchasers, and compliance by the Initial Purchasers
with their agreements, contained in paragraph (b) above (including Annex B hereto), and each Initial Purchaser hereby consents to
such reliance.

 

(d)           The
Company acknowledges and agrees that the Initial Purchasers may offer and sell Notes to or through any affiliate of an Initial Purchaser
and that any such affiliate may offer and sell Notes purchased by it to or through any Initial Purchaser.

 

(e)            The
Company acknowledges and agrees that: (i) the purchase and sale of the Notes pursuant to this Agreement, including the determination
of the price of the Notes and any related discounts and commissions, is an arm’s-length commercial transaction between the Company,
on the one hand, and the several Initial Purchasers, on the other hand, and the Company is capable of evaluating and understands and
accepts the terms, risks and conditions of the transactions contemplated by this Agreement; (ii) in connection with each transaction
contemplated hereby and the process leading to such transaction each Initial Purchaser is and has been acting solely as a principal and
is not the financial advisor, agent or fiduciary of the Company or its affiliates, shareholders, creditors or employees or any other
party; (iii) no Initial Purchaser has assumed or will assume an advisory, agency or fiduciary responsibility in favor of the Company
with respect to any of the transactions contemplated hereby or the process leading thereto (irrespective of whether such Initial Purchaser
has advised or is currently advising the Company on other matters) and no Initial Purchaser has any obligation to the Company with respect
to the offering contemplated hereby except the obligations expressly set forth in this Agreement; (iv) the several Initial Purchasers
and their respective affiliates may be engaged in a broad range of transactions that involve interests that differ from those of the
Company and that the several Initial Purchasers have no obligation to disclose any of such interests by virtue of any advisory, agency
or fiduciary relationship; and (v) the Initial Purchasers have not provided any legal, accounting, regulatory or tax advice with
respect to the offering contemplated hereby and the Company has consulted its own legal, accounting, regulatory and tax advisors to the
extent it deemed appropriate.

 

    3

     

    

 

This Agreement supersedes all prior written agreements
and understandings (whether written or oral) between the Company and the several Initial Purchasers with respect to the subject matter
hereof. The Company hereby waives and releases, to the fullest extent permitted by law, any claims that the Company may have against
the several Initial Purchasers with respect to any breach or alleged breach of agency or fiduciary duty.

 

2.             Payment
and Delivery.

 

(a)            Payment
for and delivery of the Notes will be made at the offices of Simpson Thacher & Bartlett LLP, 425 Lexington Avenue, New York,
New York, 10017, at 10:00 a.m., New York City time, on May 17, 2021, or at such other time or place on the same or such other date,
not later than the third business day thereafter, as the Representatives and the Company may agree upon in writing. The time and date
of such payment and delivery is referred to herein as the “Closing Date”.

 

(b)           Payment
for the Notes shall be made by wire transfer in immediately available funds to the account(s) specified by the Company to the Representatives
against delivery to the Depositary, for the account of the several Initial Purchasers, of global notes representing the Notes purchased
by the Initial Purchasers (collectively, the “Global Notes”). The Global Notes will be made available for inspection by the
Representatives not later than 1:00 p.m., New York City time, on the business day prior to the Closing Date.

 

3.             Representations
and Warranties of the Company. The Company represents and warrants to each Initial Purchaser that:

 

(a)            Preliminary
Offering Memorandum.  The Preliminary Offering Memorandum, as of its date, did not contain any
untrue statement of a material fact or 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. Notwithstanding the foregoing, the representations and warranties in
this subsection shall not apply to any statements in or omissions from the Preliminary Offering Memorandum or any amendments or supplements
thereto made in reliance upon and in conformity with information furnished to the Company in writing by an Initial Purchaser through
the Representatives expressly for use in the Preliminary Offering Memorandum, it being understood and agreed that the only such information
furnished by any Initial Purchaser through the Representatives consists of the information described as such in Section 7(b) hereof.

 

(a)            Disclosure
Package. The Disclosure Package, at the Time of Sale, did not, and at the Closing Date, will not, contain any untrue statement of
a material fact or 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. Notwithstanding the foregoing, the representations and warranties in this subsection shall
not apply to any statements in or omissions from the Disclosure Package or any amendments or supplements thereto made in reliance upon
and in conformity with information furnished to the Company in writing by an Initial Purchaser through the Representatives expressly
for use in the Disclosure Package, it being understood and agreed that the only such information furnished by any Initial Purchaser through
the Representatives consists of the information described as such in Section 7(b) hereof.

 

    4

     

    

 

(b)           Incorporated
Documents. The documents incorporated or deemed to be incorporated by reference in the Offering Memorandum or the Disclosure Package
and any amendments thereto (i) at the time they were or hereafter are filed with the U.S. Securities and Exchange Commission (the
 “Commission”), complied or will comply in all material respects with the requirements of the Securities Exchange Act of 1934,
as amended (the “Exchange Act”) and (ii) when read together with the other information in the Disclosure Package, at
the Time of Sale, and when read together with the other information in the Offering Memorandum, at the date of the Offering Memorandum
and at the Closing Date, did not or will not include an untrue statement of a material fact or 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

 

(c)            Additional
Written Communications. Other than the Preliminary Offering Memorandum and the Offering Memorandum, the Company (including its agents
and representatives, other than the Initial Purchasers in their capacity as such) has not prepared, made, used, authorized, approved
or referred to and will not prepare, make, use, authorize, approve or refer to any “written communication” (as defined in
Rule 405 under the Securities Act) that constitutes an offer to sell or solicitation of an offer to buy the Notes (each such communication
by the Company or its agents and representatives (other than a communication referred to in clauses (i), (ii) and (iii) below)
a “Company Additional Written Communication”) other than (i) the Preliminary Offering Memorandum, (ii) the Offering
Memorandum, (iii) the documents listed on Annex A hereto, including a term sheet substantially in the form of Annex B hereto, which
constitute part of the Disclosure Package, and (iv) each electronic road show and any other written communications approved in writing
in advance by the Representatives, in each case used in accordance with Section 4(c). Each such Company Additional Written Communication
does not conflict with the information contained in the Disclosure Package, and when taken together with the Disclosure Package, did
not, and at the Closing Date, will not, contain any untrue statement of a material fact or 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. Notwithstanding the
foregoing, the representations and warranties in this subsection shall not apply to any statements in or omissions from any Company Additional
Written Communication or any amendments or supplements thereto made in reliance upon and in conformity with information furnished to
the Company in writing by an Initial Purchaser through the Representatives expressly for use in a Company Additional Written Communication,
it being understood and agreed that the only such information furnished by any Initial Purchaser through the Representatives consists
of the information described as such in Section 7(b) hereof.

 

(d)            Offering
Memorandum. As of the date of the Offering Memorandum and as of the Closing Date, the Offering Memorandum does not and will not contain
any untrue statement of a material fact or 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. Notwithstanding the foregoing, the representations and warranties in
this subsection shall not apply to any statements in or omissions from the Offering Memorandum or any amendments or supplements thereto
made in reliance upon and in conformity with information furnished to the Company in writing by an Initial Purchaser through the Representatives
expressly for use in the Offering Memorandum, it being understood and agreed that the only such information furnished by any Initial
Purchaser through the Representatives consists of the information described as such in Section 7(b) hereof.

 

    5

     

    

 

(e)            Financial
Statements. (i) The consolidated financial statements of the Company and its subsidiaries and the related notes thereto included
or incorporated by reference in the Disclosure Package and the Offering Memorandum comply in all material respects with the applicable
requirements of the Securities Act and the Exchange Act, as applicable, and present fairly the financial position of the Company and
its subsidiaries as of the dates indicated and the results of their operations and the changes in their cash flows for the periods specified;
such financial statements have been prepared in conformity with generally accepted accounting principles in the United States applied
on a consistent basis throughout the periods covered thereby except as may be expressly stated in the related notes thereto; the other
financial information pertaining to the Company included or incorporated by reference in the Disclosure Package and the Offering Memorandum
has been derived from the accounting records of the Company and its subsidiaries and presents fairly the information shown thereby; and
Ernst & Young LLP, who have certified certain financial statements of the Company and its subsidiaries, is an independent registered
public accounting firm with respect to the Company and its subsidiaries within the applicable rules and regulations adopted by the
Commission and the Public Company Accounting Oversight Board (United States) (the “PCAOB”) and as required by the Securities
Act and (ii) to the knowledge of the Company, the financial statements of Alta Resources Development, LLC (“Alta”) and
the related notes thereto included or incorporated by reference in the Disclosure Package and the Offering Memorandum present fairly
the financial position of Alta and its subsidiaries as of the dates indicated and the results of their operations and the changes in
their cash flows for the periods specified; to the knowledge of the Company, such financial statements have been prepared in conformity
with generally accepted accounting principles in the United States applied on a consistent basis throughout the periods covered thereby
except as may be expressly stated in the related notes thereto; to the knowledge of the Company, the other financial information pertaining
to Alta included or incorporated by reference in the Disclosure Package and the Offering Memorandum has been derived from the accounting
records of Alta and its subsidiaries and presents fairly the information shown thereby; and, to the knowledge of the Company, Moss Adams
LLP, who have certified certain financial statements of Alta and its subsidiaries, is an independent registered public accounting firm
with respect to Alta and its subsidiaries within the applicable rules and regulations adopted by the Commission and the PCAOB and
as required by the Securities Act.

 

(f)            Pro
Forma Financial Statements. The pro forma financial statements included or incorporated by reference in the Disclosure Package and
the Offering Memorandum include assumptions that provide a reasonable basis for presenting the significant effects directly attributable
to the transactions and events described therein, the related pro forma adjustments give appropriate effect to those assumptions, and
the pro forma adjustments reflect the proper application of those adjustments to the historical financial statement amounts in the pro
forma financial statements included or incorporated by reference in the Disclosure Package and the Offering Memorandum. The pro forma
financial statements included or incorporated by reference in the Disclosure Package and the Offering Memorandum have been prepared in
all material respects in accordance with the Commission's rules and guidance with respect to pro forma financial information.

 

    6

     

    

 

(g)            No
Material Adverse Change. Since the respective dates as of which information is given in the Disclosure Package and the Offering Memorandum,
(i) there has not been any material change in the capital stock or any change in the long-term debt of the Company or any of its
subsidiaries, or any material adverse change, or any development involving a prospective material adverse change, in or affecting the
condition (financial or otherwise), earnings, business or properties of the Company and its subsidiaries, taken as a whole, except as
otherwise disclosed or contemplated in the Disclosure Package and the Offering Memorandum; and (ii) except as set forth or contemplated
in the Disclosure Package and the Offering Memorandum, neither the Company nor any of its subsidiaries has entered into any transaction
or agreement material to the Company and its subsidiaries, taken as a whole, other than in the ordinary course of business.

 

(h)            Organization.
The Company has been duly incorporated and is validly existing as a corporation in good standing under the laws of its jurisdiction
of incorporation, with power and authority (corporate or other) to own its properties and conduct its business as described in the Disclosure
Package and the Offering Memorandum, and has been duly qualified as a foreign corporation for the transaction of business and is in good
standing under the laws of each other jurisdiction in which it owns or leases properties, or conducts any business, so as to require
such qualification, other than where the failure to be so qualified or in good standing would not, individually or in the aggregate,
reasonably be likely to have a material adverse effect on the condition (financial or otherwise), prospects, earnings, business or properties
of the Company and its subsidiaries, taken as a whole (a “Material Adverse Effect”).

 

(i)            Subsidiaries.
Each of the Company’s subsidiaries has been duly organized and is validly existing under the laws of its jurisdiction of organization,
with power and authority (corporate or other) to own its properties and conduct its business as described in the Disclosure Package and
the Offering Memorandum, and has been duly qualified for the transaction of business and is in good standing under the laws of each jurisdiction
in which it owns or leases properties or conducts any business so as to require such qualification, other than where the failure to be
so qualified or in good standing would not, individually or in the aggregate, reasonably be likely to have a Material Adverse Effect;
and all the outstanding shares of capital stock or equivalent equity interests of each subsidiary of the Company have been duly authorized
and validly issued, are fully-paid and non-assessable, and (except in the case of foreign subsidiaries or directors’ qualifying
shares) are owned by the Company, directly or indirectly, free and clear of all liens, encumbrances, security interests and claims.

 

(j)             Due
Authorization. This Agreement has been duly authorized, executed and delivered by the Company.

 

(k)           The
Indenture. The Base Indenture has been duly authorized, executed and delivered by the Company and is a valid and binding agreement
of the Company, enforceable in accordance with its terms except as (i) the enforceability thereof may be limited by bankruptcy,
insolvency or similar laws affecting creditors’ rights generally and (ii) rights of acceleration and the availability of equitable
remedies may be limited by equitable principles of general applicability. Each of the Twelfth Supplemental Indenture and the Thirteenth
Supplemental Indenture has been duly authorized and on the Closing Date will be duly executed and delivered by the Company and, when
duly executed and delivered in accordance with its terms by the Trustee, will be a valid and binding agreement of the Company, enforceable
in accordance with its terms except as (i) the enforceability thereof may be limited by bankruptcy, insolvency or similar laws affecting
creditors’ rights generally and (ii) rights of acceleration and the availability of equitable remedies may be limited by equitable
principles of general applicability.

 

    7

     

    

 

(l)            The
Notes. The Notes have been duly authorized by the Company and, when executed and authenticated in accordance with the Indenture and
delivered to and duly paid for by the purchasers thereof, will be entitled to the benefits of the Indenture and will be valid and binding
obligations of the Company, enforceable against the Company in accordance with their terms except as (i) the enforceability thereof
may be limited by bankruptcy, insolvency or similar laws affecting creditors’ rights generally and (ii) rights of acceleration
and the availability of equitable remedies may be limited by equitable principles of general applicability; the Notes, when executed
and authenticated in accordance with the Indenture and delivered to and duly paid for by the purchasers thereof, will rank pari passu
with all Notes (as defined in the Indenture) issued and to be issued under the Indenture and all other unsecured debt of the Company
which is not expressly subordinated; and the Notes and the Indenture will conform to the description thereof in the Disclosure Package
and the Offering Memorandum.

 

(m)           No
Violation or Default. Neither the Company nor any of its subsidiaries is, or with the giving of notice or lapse of time or both would
be, in violation of or in default under any indenture, mortgage, deed of trust, loan agreement 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 or any of their respective properties is bound, or any
applicable law or statute or any order, rule or regulation of any court or governmental agency or body having jurisdiction over
the Company, its subsidiaries or any of their respective properties, except for violations and defaults which would not, individually
and in the aggregate, reasonably be likely to have a Material Adverse Effect; neither the Company nor any of its subsidiaries is, or
with the giving of notice or lapse of time or both would be, in violation or in default under their respective Articles of Incorporation
or By-Laws (or equivalent organizational documents); the issue and sale of the Notes and the performance by the Company of all the provisions
of its obligations under the Notes, the Indenture and this Agreement and the consummation of the transactions herein and therein contemplated
will not conflict with or result in a breach of any of the terms or provisions of, or constitute a default under, any indenture, mortgage,
deed of trust, loan agreement or other agreement or instrument to which the Company or any of its subsidiaries is a party or by which
the Company or any of its subsidiaries is bound or to which any of the property or assets of the Company or any of its subsidiaries is
subject, except for violations and defaults which would not, individually and in the aggregate, reasonably be likely to have a Material
Adverse Effect, nor will any such action result in any violation of the provisions of their respective Articles of Incorporation or By-Laws
(or equivalent organizational documents) or any applicable law or statute or any order, rule or regulation of any court or governmental
agency or body having jurisdiction over the Company, its subsidiaries or any of their respective properties.

 

    8

     

    

 

(n)            No
Consents. No consent, approval, authorization, order, license, filing, registration or qualification of or with any court or governmental
agency or body that has jurisdiction over the Company, its subsidiaries or any of their respective properties is required for the issue
and sale of the Notes or the consummation by the Company of the transactions contemplated by this Agreement or the Indenture, other than
(i) such consents, approvals, authorizations, orders, licenses, filings, registrations or qualifications that have been obtained
or made by the Company and are in full force under the Securities Act, (ii) as may be required under state securities laws in connection
with the purchase and distribution of the Notes by the Initial Purchasers in connection with the issuance and sale of the Notes or (iii) consents
that, if not obtained, would not, individually or in the aggregate, reasonably be likely to have a Material Adverse Effect or materially
impair the ability of the Company to consummate the transactions contemplated by this Agreement or the Indenture or perform its obligations
under this Agreement or the Indenture.

 

(o)            Legal
Proceedings. Other than as set forth or contemplated in the Disclosure Package and the Offering Memorandum, there are no legal or
governmental investigations, actions, suits or proceedings pending or, to the knowledge of the Company, threatened against or affecting
the Company or any of its subsidiaries or any of their respective properties or to which the Company or any of its subsidiaries is or
may be a party or to which any property of the Company or any of its subsidiaries or to which the Company or any of its subsidiaries
is or may be subject which would individually or in the aggregate reasonably be likely to have a Material Adverse Effect or materially
impair the ability of the Company to consummate the transactions contemplated by this Agreement or the Indenture or perform its obligations
under this Agreement or the Indenture, and, to the Company’s knowledge, no such proceedings are threatened or contemplated by governmental
authorities or threatened by others.

 

(p)            Property.
Except as described in the Disclosure Package and the Offering Memorandum and except to the extent that failure of the following to be
true, individually or in the aggregate, would not reasonably be likely to have a Material Adverse Effect, (i) the Company and its
subsidiaries have good and indefeasible title to all items of real property and good title to all personal property owned by them, in
each case free and clear of all liens, encumbrances and defects; and (ii) any real property and buildings held under lease by the
Company and its subsidiaries are held by them under valid, existing and enforceable leases with such exceptions as are not material and
do not interfere with the use made or proposed to be made of such property and buildings by the Company or its subsidiaries.

 

(q)            Investment
Company Act. The Company is not and, after giving effect to the offering and sale of the Notes, and the application of the proceeds
thereof as contemplated under the caption “Use of Proceeds” in each of the Disclosure Package and the Offering Memorandum,
will not be an “investment company” or entity “controlled” by an “investment company”, as such terms
are defined in the Investment Company Act of 1940, as amended (the “Investment Company Act”).

 

(r)            Taxes.
Except to the extent that any such failures or deficiencies would not, individually or in the aggregate, reasonably be likely to have
a Material Adverse Effect, (i) the Company and its subsidiaries have filed all federal, state, local and foreign tax returns required
to be filed and have paid all taxes due other than taxes that are being contested in good faith and with respect to which adequate reserves
have been established in accordance with generally accepted accounting principles in the United States and (ii) except as disclosed
in the Disclosure Package and the Offering Memorandum, there is no tax deficiency which has been asserted or threatened in writing against
the Company or any of its subsidiaries.

 

    9

     

    

 

(s)            Conduct
of Business. Each of the Company and its subsidiaries possesses all licenses, permits, certificates of need, patents, consents, orders,
approvals and other authorizations from all federal, state, local or foreign governments or regulatory agencies or bodies (collectively,
 “Governmental Licenses”) necessary to own or lease, as the case may be, and to operate their respective properties and to
carry on their respective businesses as conducted as of the date hereof, except where the failure to so possess would not, individually
or in the aggregate, reasonably be likely to have a Material Adverse Effect, and neither the Company nor any such subsidiary has received
any actual notice of any proceeding, relating to the revocation or modification of any such Governmental License, except as described
in the Disclosure Package and the Offering Memorandum; each of the Company and its subsidiaries is in compliance with all laws and regulations
relating to the conduct of their respective business as conducted as of the date hereof, except where the failure to be in compliance
would not, individually or in the aggregate, reasonably be likely to have a Material Adverse Effect; and the Company and its subsidiaries
are in compliance with the applicable provisions of the Sarbanes-Oxley Act of 2002 and the rules and regulations of the Commission
adopted pursuant thereto as such rules and regulations currently apply to the Company and its subsidiaries, except where the failure
to be in compliance would not, individually or in the aggregate, reasonably be likely to have a Material Adverse Effect.

 

(t)            Environmental
Compliance. The Company and its subsidiaries (i) are in compliance with any and all applicable foreign, federal, state and local
laws and regulations relating to the protection of human health and environmental safety, the environment or hazardous or toxic substances
or wastes, pollutants or contaminants (“Environmental Laws”), (ii) have received all permits, licenses or other approvals
required of them under applicable Environmental Laws to conduct their respective businesses, (iii) are in compliance with all terms
and conditions of any such permit, license or approval, except as described in the Disclosure Package and the Offering Memorandum or
where such noncompliance with Environmental Laws, failure to receive required permits, licenses or other approvals or failure to comply
with the terms and conditions of such permits, licenses or approvals would not, individually or in the aggregate, reasonably be likely
to have a Material Adverse Effect, and (iv) are not aware of any administrative or judicial action being contemplated by governmental
authorities with respect to the Company or its subsidiaries relating to Environmental Laws, except as described in the Disclosure Package
and the Offering Memorandum or where such action would not, individually or in the aggregate, reasonably be likely to have a Material
Adverse Effect; neither the Company nor any of its subsidiaries are subject to any consent decree or compliance or administrative order
issued pursuant to, or are the subject of any pending investigation or litigation under, applicable Environmental Laws except for such
actions, decrees, orders or investigations which are described in the Disclosure Package or the Offering Memorandum or do not and are
not, individually or in the aggregate, reasonably likely to have a Material Adverse Effect; and except as described in the Disclosure
Package and the Offering Memorandum, neither the Company nor any of its subsidiaries is a party to a governmental proceeding, or will
become a party to a governmental proceeding that is known by the Company to be contemplated, arising under any Environmental Law which
the Company reasonably believes involves monetary sanctions, exclusive of interests and costs, of $300,000 or more.

 

    10

     

    

 

(u)            Environmental
Costs. In the ordinary course of business, the Company reviews the effect of Environmental Laws on the business, operations and properties
of the Company and its subsidiaries, in the course of which it identifies and evaluates associated costs and liabilities (including,
without limitation, any capital or operating expenditures required for clean-up, closure of properties or compliance with Environmental
Laws or any permit, license or approval, any related constraints on operating activities and any potential liabilities to third parties);
and, on the basis of such review, the Company has concluded that such associated costs and liabilities would not, individually or in
the aggregate, be reasonably likely to have a Material Adverse Effect, except as described or contemplated in the Disclosure Package
and the Offering Memorandum.

 

(v)            No
Labor Disputes. There are no existing or, to the knowledge of the Company, threatened labor disputes with the employees of the Company
or any of its subsidiaries which are, individually or in the aggregate, reasonably likely to have a Material Adverse Effect.

 

(w)           Employee
Benefits. Except as described in the Disclosure Package and the Offering Memorandum and except as would not reasonably be likely
to have a Material Adverse Effect, each employee benefit plan, within the meaning of Section 3(3) of the Employee Retirement
Income Security Act of 1974, as amended (“ERISA”), that is maintained, administered or contributed to by the Company or any
of its affiliates for employees or former employees of the Company and its affiliates has been established and maintained in compliance
with its terms and the requirements of any applicable statutes, orders, rules and regulations, including but not limited to ERISA
and the Internal Revenue Code of 1986, as amended (the “Code”). No prohibited transaction, within the meaning of Section 406
of ERISA or Section 4975 of the Code has occurred with respect to any such plan excluding transactions effected pursuant to a statutory
or administrative exemption. For each such plan which is subject to the funding rules of Section 412 of the Code or Section 302
of ERISA, no failure by any such plan to satisfy the minimum funding standards (within the meaning of Section 412 of the Code or
Section 302 of ERISA) has occurred, whether or not waived, and the fair market value of the assets of each such plan (excluding
for these purposes accrued but unpaid contributions) exceeded the present value of all benefits accrued under such plan determined using
reasonable actuarial assumptions, except as described in the Disclosure Package and the Offering Memorandum.

 

(x)            No
Unlawful Payment. None of the Company or any of its subsidiaries or, to the knowledge of the Company, any director, officer, agent,
employee or affiliate of the Company, any of its subsidiaries, respectively, has (i) used any funds for any unlawful contribution,
gift, entertainment or other unlawful expense relating to political activity; (ii) made or taken an act in furtherance of an offer,
promise or authorization of any direct or indirect unlawful payment or benefit to any foreign or domestic government or regulatory official
or employee, including of any government-owned or controlled entity or of a public international organization, or any person acting in
an official capacity for or on behalf of any of the foregoing, or any political party or party official or candidate for political office;
(iii) violated or is in violation of any provision of the Foreign Corrupt Practices Act of 1977, as amended, or any applicable law
or regulation implementing the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions,
or committed an offence under the Bribery Act 2010 of the United Kingdom, or any other applicable anti-bribery or anti-corruption laws;
or (iv) made, offered, agreed, requested or taken an act in furtherance of any unlawful bribe or other unlawful benefit, including,
without limitation, any rebate, payoff, influence payment, kickback or other unlawful or improper payment or benefit. The Company and
its subsidiaries have instituted, and maintain and enforce, policies and procedures designed to promote and ensure compliance with all
applicable anti-bribery and anti-corruption laws.

 

    11

     

    

 

(y)            Money
Laundering. 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, including those of the Currency and Foreign Transactions Reporting Act of 1970, as
amended, the applicable money laundering statutes of all jurisdictions where the Company and its subsidiaries conduct business, the rules and
regulations thereunder and any related or similar rules, regulations or guidelines issued, administered or enforced by any governmental
or regulatory agency (collectively, the “Anti-Money Laundering Laws”), and no action, suit or proceeding by or before any
court or governmental or regulatory agency, authority or body or any arbitrator involving the Company or any of its subsidiaries with
respect to the Anti-Money Laundering Laws is pending or, to the knowledge of the Company, threatened.

 

(z)            No
Conflicts with Sanctions Laws. None of the Company, any of its subsidiaries or, to the knowledge of the Company, any director, officer,
employee or affiliate of the Company, any of its subsidiaries, is currently the subject or the target of any sanctions administered or
enforced by the U.S. Government (including, without limitation, the Office of Foreign Assets Control of the U.S. Department of the Treasury
or the U.S. Department of State and including, without limitation, the designation as a “specially designated national” or
 “blocked person”), the United Nations Security Council, the European Union, Her Majesty’s Treasury, or other relevant
sanctions authority (collectively, “Sanctions”), nor is the Company or any of its subsidiaries located, organized or resident
in a country or territory that is the subject or the target of Sanctions, including, without limitation, Crimea, Cuba, Iran, North
Korea and Syria (each, a “Sanctioned Country”); and the Company, and to the Company’s knowledge, ARD Marcellus and
ARD Operating (each defined below), will not directly or indirectly use the proceeds of the offering of the Notes hereunder, or lend,
contribute or otherwise make available such proceeds to any subsidiary, joint venture partner or other person or entity (i) to fund
or facilitate any activities of or business with any person that, at the time of such funding or facilitation, is the subject or the
target of Sanctions, (ii) to fund or facilitate any activities of or business in any Sanctioned Country or (iii) in any other
manner that will result in a violation by any person (including any person participating in the transaction, whether as initial purchaser,
advisor, investor or otherwise) of Sanctions.  None of the Company or any of its subsidiaries have knowingly engaged in any dealings
or transactions with or for the benefit of any person that at the time of the dealing or transaction is or was the subject or the target
of Sanctions, or with or in any Sanctioned Country, in each case in the preceding five years. None of the Company or any of its subsidiaries
have any plans, as of the date hereof, to knowingly engage in or increase their dealings or transactions with any person that is currently
the subject or the target of Sanctions or with or in Sanctioned Countries.

 

(aa)          Disclosure
Controls. The Company and its subsidiaries have established and maintain “disclosure controls and procedures” (as is
defined in Rule 13a-15(e) under the Exchange Act); and (i) such disclosure controls and procedures are designed to ensure
that the information required to be disclosed by the Company in the reports it files or will file or submit under the Exchange Act, as
applicable, is accumulated and communicated to management of the Company, including its principal executive officer and principal financial
officer, as appropriate, to allow timely decisions regarding required disclosure to be made and (ii) such disclosure controls and
procedures are effective in all material respects to perform the functions for which they were established to the extent required by
Rule 13a-15 of the Exchange Act.

 

    12

     

    

 

(bb)         Accounting
Controls. The Company and its subsidiaries maintain internal accounting controls sufficient to provide reasonable assurance that
(i) transactions are executed in accordance with management’s general or specific authorization, (ii) transactions are
recorded as necessary to permit preparation of financial statements in conformity with accounting principles generally accepted in the
United States and to maintain accountability for its assets, (iii) access to assets is permitted only in accordance with management’s
general or specific authorization, and (iv) the recorded accountability for assets is compared with existing assets at reasonable
intervals and appropriate action is taken with respect to any differences.  The Company and its subsidiaries’ internal accounting
controls are effective and neither the Company nor any of its subsidiaries is aware of any material weakness in their internal accounting
controls.

 

(cc)          XBRL.
The interactive data in eXtensible Business Reporting Language incorporated by reference into the Disclosure Package and the Offering
Memorandum fairly presents the information called for in all material respects and has been prepared in accordance with the Commission’s
rules and guidelines applicable thereto.

 

(dd)         Cybersecurity;
Data Protection. The Company’s and its subsidiaries’ information technology assets and equipment, computers, systems,
networks, hardware, software, websites, applications, and databases (collectively, “IT Systems”) are, in the Company’s
reasonable belief, adequate for, and operate and perform in all material respects as required in connection with, the operation of the
business of the Company and its subsidiaries as currently conducted. To the Company’s knowledge, the IT systems are free and clear
of all bugs, errors, defects, Trojan horses, time bombs, malware and other corruptants that would, individually or in the aggregate,
reasonably be likely to have a Material Adverse Effect. The Company and its subsidiaries have implemented and maintained commercially
reasonable controls, policies, procedures and safeguards to maintain and protect their material confidential information and the integrity,
continuous operation, redundancy and security of all IT Systems and data (including all personally identifiable information and sensitive,
confidential or regulated data (“Personal Data”)) used in connection with their businesses, and to the Company’s knowledge,
there have been no breaches, violations, outages or unauthorized uses of or accesses to the same, except for those that have been remedied
without material cost or liability to the Company and there are no incidents under internal review or investigation relating to the same,
except for those that would reasonably be expected to be able to remedied without material cost or liability to the Company. The Company
and its subsidiaries are presently in material compliance with all applicable laws or statutes and all judgments, orders, rules and
regulations of any court or arbitrator or governmental or regulatory authority, internal policies and contractual obligations relating
to the privacy and security of IT Systems and Personal Data and to the protection of such IT Systems and Personal Data from unauthorized
use, access, misappropriation or modification.

 

    13

     

    

 

(ee)          Rule 144A
Eligibility. On the Closing Date, the Notes will not be of the same class as securities listed on a national securities exchange
registered under Section 6 of the Exchange Act or quoted in an automated inter-dealer quotation system; and each of the Disclosure
Package, as of the Time of Sale, and the Offering Memorandum, as of its date, contains or will contain all the information that, if requested
by a prospective purchaser of the Notes, would be required to be provided to such prospective purchaser pursuant to Rule 144A(d)(4) under
the Securities Act.

 

(ff)           No
Integration. Neither the Company nor any of its affiliates (as defined in Rule 501(b) of Regulation D) has, directly or
through any agent (other than the Initial Purchasers, as to which no representation is made), sold, offered for sale, solicited offers
to buy or otherwise negotiated in respect of, any security (as defined in the Securities Act), that is or will be integrated with the
sale of the Notes in a manner that would require registration of the Notes under the Securities Act.

 

(gg)         No
General Solicitation. None of the Company or any of its respective affiliates or any other person acting on their behalf (other than
the Initial Purchasers, as to which no representation is made) has (i) solicited offers for, or offered or sold, the Notes by means
of any form of general solicitation or general advertising within the meaning of Rule 502(c) of Regulation D or in any manner
involving a public offering within the meaning of Section 4(a)(2) of the Securities Act or (ii) engaged in any directed
selling efforts within the meaning of Regulation S under the Securities Act (“Regulation S”), and all such persons have complied
with the offering restrictions requirement of Regulation S.

 

(hh)         No
Registration Required. Subject to compliance by the Initial Purchasers with the representations and warranties set forth in Section 5
hereof, it is not necessary in connection with the offer, sale and delivery of the Notes to the Initial Purchasers and to each subsequent
purchaser of the Notes in the manner contemplated by this Agreement and the Disclosure Package and the Offering Memorandum to register
the Notes under the Securities Act or to qualify the Indenture under the Trust Indenture Act of 1939 (as amended, the “Trust Indenture
Act,” which term, as used herein, includes the rules and regulations of the Commission promulgated thereunder).

 

(ii)            No
Stabilization. The Company has not taken, directly or indirectly, any action designed to or that could reasonably be expected to
cause or result in any stabilization or manipulation of the price of the Notes in violation of the Exchange Act or other applicable law,
it being understood and agreed that any action of the Initial Purchasers or their affiliates or any person acting on their behalf shall
not constitute an action by the Company.

 

(jj)            Forward-Looking
Statements. No forward-looking statement (within the meaning of Section 27A of the Securities Act and Section 21E of the
Exchange Act) included or incorporated by reference in the Disclosure Package and the Offering Memorandum has been made or reaffirmed
without a reasonable basis or has been disclosed other than in good faith.

 

    14

     

    

 

(kk)          Solvency.
On and immediately after the Closing Date, the Company (after giving effect to the issuance and sale of the Notes and the other transactions
related thereto as described in each of the Disclosure Package and the Offering Memorandum) will be Solvent. As used in this paragraph,
the term “Solvent” means, with respect to a particular date and entity, that on such date (i) the fair value (and present
fair saleable value) of the assets of such entity is not less than the total amount required to pay the probable liability of such entity
on its total existing debts and liabilities (including contingent liabilities) as they become absolute and matured; (ii) such entity
is able to realize upon its assets and pay its debts and other liabilities, contingent obligations and commitments as they mature and
become due in the normal course of business; (iii) assuming consummation of the issuance and sale of the Notes as contemplated by
this Agreement, the Disclosure Package and the Offering Memorandum, such entity does not have, intend to incur or believe that it will
incur debts or liabilities beyond its ability to pay as such debts and liabilities mature; (iv) such entity is not engaged in any
business or transaction, and does not propose to engage in any business or transaction, for which its property would constitute unreasonably
small capital; and (v) such entity is not a defendant in any civil action that would result in a judgment that such entity is or
would become unable to satisfy.

 

(ll)            Acquisition
Agreement. That certain Membership Interest Purchase Agreement (the “Acquisition Agreement”), dated as of May 5,
2021, among the Company, EQT Acquisition HoldCo LLC (“EQT Buyer”), Alta, Alta Marcellus Development, LLC (“ARD Marcellus”)
and ARD Operating, LLC (“ARD Operating” and, together with Alta and ARD Marcellus, the “Alta Entities”) has been
duly authorized, executed and delivered by the Company and EQT Buyer and, to the Company’s knowledge, has been duly authorized,
executed and delivered by each of the Alta Entities, and is a valid and binding agreement of the Company and EQT Buyer, enforceable in
accordance with its terms and, to the knowledge of the Company, is a valid and binding agreement of each of the Alta Entities, enforceable
in accordance with its terms, in each case, as (i) the enforceability thereof may be limited by bankruptcy, insolvency or similar
laws affecting creditors’ rights generally and (ii) rights of acceleration and the availability of equitable remedies may
be limited by equitable principles of general applicability. The Company has not received any notice of termination of the Acquisition
Agreement from Alta. To the knowledge of the Company after reasonable inquiry, the representations and warranties of the Alta Entities
in the Acquisition Agreement are true and correct in all material respects, and the Company has no reason to believe that the Company’s,
and has not received notice from Alta that the Alta Entities’, conditions to the closing of the acquisition transactions contemplated
by the Acquisition Agreement will not be satisfied within the timeframe contemplated therein.

 

4.             Further
Agreements of the Company. The Company covenants and agrees with each Initial Purchaser that:

 

(a)            Delivery
of Copies. The Company will deliver to the Initial Purchasers as many copies of the Preliminary Offering Memorandum, any of the Disclosure
Package, any Issuer Written Communication and the Offering Memorandum (including all amendments and supplements thereto) as the Representatives
may reasonably request.

 

(b)           Offering
Memorandum, Amendments or Supplements. Before finalizing the Offering Memorandum or making or distributing any amendment or supplement
to any of the Disclosure Package or the Offering Memorandum and prior to the completion of the initial offering of the Notes, before
filing with the Commission any document that will be incorporated by reference therein, the Company will furnish to the Representatives
and counsel for the Initial Purchasers a copy of the proposed Offering Memorandum or such amendment or supplement or document to be incorporated
by reference therein for review, and will not distribute any such proposed Offering Memorandum, amendment or supplement or file any such
document with the Commission to which the Representatives reasonably object.

 

    15

     

    

 

(c)            Additional
Written Communications. Before making, using, authorizing, approving or referring to any Issuer Written Communication, the Company
will furnish to the Representatives and counsel for the Initial Purchasers a copy of such written communication for review and will not
make, use, authorize, approve or refer to any such written communication to which the Representatives reasonably object.

 

(d)            Notice
to the Representatives. The Company will advise the Representatives promptly, and confirm such advice in writing, (i) of the
issuance by any governmental or regulatory authority of any order preventing or suspending the use of any of the Disclosure Package,
any Issuer Written Communication or the Offering Memorandum or, to the extent that it has knowledge thereof, the initiation or threatening
of any proceeding for that purpose; (ii) of the occurrence or development of any event at any time prior to the completion of the
initial offering of the Notes as a result of which any of the Disclosure Package, any Issuer Written Communication or the Offering Memorandum
as then amended or supplemented would include any untrue statement of a material fact or omit to state a material fact necessary in order
to make the statements therein, in the light of the circumstances existing when such Disclosure Package, Issuer Written Communication
or the Offering Memorandum is delivered to a purchaser, not misleading; and (iii) of the receipt by the Company of any notice with
respect to any suspension of the qualification of the Notes for offer and sale in any jurisdiction or, to the extent that it has knowledge
thereof, the initiation or threatening of any proceeding for such purpose; and the Company will use its reasonable best efforts to prevent
the issuance of any such order preventing or suspending the use of any of the Disclosure Package, any Issuer Written Communication or
the Offering Memorandum or suspending any such qualification of the Notes and, if any such order is issued, will use its reasonable best
efforts to obtain as soon as reasonably practicable the withdrawal thereof.

 

(e)            Ongoing
Compliance of the Offering Memorandum and Disclosure Package. (1) If at any time prior to the completion of the initial offering
of the Notes (i) any event or development shall occur or condition shall exist as a result of which the Offering Memorandum as then
amended or supplemented would include any untrue statement of a material fact or omit to state any material fact necessary in order to
make the statements therein, in the light of the circumstances existing when the Offering Memorandum is delivered to a purchaser, not
misleading or (ii) it is necessary to amend or supplement the Offering Memorandum to comply with law, the Company will immediately
notify the Initial Purchasers thereof and forthwith prepare and, subject to paragraph (b) above, furnish to the Initial Purchasers
such amendments or supplements to the Offering Memorandum (or any document to be filed with the Commission and incorporated by reference
therein) as may be necessary so that the statements in the Offering Memorandum as so amended or supplemented (or including such document
to be incorporated by reference therein) will not, in the light of the circumstances existing when the Offering Memorandum is delivered
to a purchaser, be misleading or so that the Offering Memorandum will comply with law and (2) if at any time prior to the Closing
Date (i) any event or development shall occur or condition shall exist as a result of which any of the Disclosure Package as then
amended or supplemented would include any untrue statement of a material fact or omit to state any material fact necessary in order to
make the statements therein, in the light of the circumstances under which they were made, not misleading or (ii) it is necessary
to amend or supplement any of the Disclosure Package to comply with law, the Company will immediately notify the Initial Purchasers thereof
and forthwith prepare and, subject to paragraph (b) above, furnish to the Initial Purchasers such amendments or supplements to any
of the Disclosure Package (or any document to be filed with the Commission and incorporated by reference therein) as may be necessary
so that the statements in any of the Disclosure Package as so amended or supplemented will not, in light of the circumstances under which
they were made, be misleading or so that the Disclosure Package will comply with law.

 

    16

     

    

 

(f)            Blue
Sky Compliance. The Company will reasonably cooperate with the Representatives to qualify the Notes for offer and sale under the
securities or Blue Sky laws of such jurisdictions as the Representatives shall reasonably request and will continue such qualifications
in effect so long as required for the offering and resale of the Notes; provided that the Company shall not be required to (i) qualify
as a foreign corporation or other entity or as a dealer in securities in any such jurisdiction where it would not otherwise be required
to so qualify, (ii) file any general consent to service of process in any such jurisdiction or (iii) subject itself to taxation
in any such jurisdiction if it is not otherwise so subject.

 

(g)           Clear
Market. During the period from the date hereof through and including the Closing Date, the Company will not, without the prior written
consent of the Representatives, offer, sell, contract to sell or otherwise dispose of any debt securities issued by the Company and having
a tenor of more than one year; provided that, for the avoidance of doubt, such restriction shall not apply to any redemption or repurchase
by the Company of any of its debt securities.

 

(h)           Use
of Proceeds. The Company will apply the net proceeds from the sale of the Notes as described in the Disclosure Package and the Offering
Memorandum under the heading “Use of Proceeds”.

 

(i)             DTC.
The Company will assist the Initial Purchasers in arranging for the Global Notes to be eligible for clearance and settlement through
the Depositary.

 

(j)             No
Stabilization. The Company has not taken, in connection with the offering of the Notes, and will not take, directly or indirectly,
any action designed to or that could reasonably be expected to cause or result in any stabilization or manipulation of the price of the
Notes.

 

(k)            Supplying
Information. While the Notes remain outstanding and are “restricted securities” within the meaning of Rule 144(a)(3) under
the Securities Act, the Company will, during any period in which the Company is not subject to and in compliance with Section 13
or 15(d) of the Exchange Act, furnish within a commercially reasonable period of time to holders of the Notes and prospective purchasers
of the Notes designated by such holders, in each case upon request, the information required to be delivered pursuant to Rule 144A(d)(4) under
the Securities Act.

 

(l)             No
Resales by the Company. During the period from the Closing Date until one year after the Closing Date, the Company will not, and
will not permit any of its respective affiliates (as defined in Rule 144 under the Securities Act) to, resell any of the Notes that
have been acquired by any of them, except for Notes purchased by the Company or any of its affiliates and resold in a transaction registered
under the Securities Act.

 

    17

     

    

 

(m)           No
Integration. Neither the Company nor any of its affiliates (as defined in Rule 501(b) of Regulation D) will, directly or
through any agent (other than the Initial Purchasers or any person acting on their behalf, as to which no representation is made), sell,
offer for sale, solicit offers to buy or otherwise negotiate in respect of, any security (as defined in the Securities Act), that is
or will be integrated with the sale of the Notes in a manner that would require registration of the Notes under the Securities Act.

 

(n)            No
General Solicitation. None of the Company or any of its affiliates or any other person acting on its or their behalf (other than
the Initial Purchasers or any person acting on their behalf, as to which no covenant is given) will (i) solicit offers for, or offer
or sell, the Notes by means of any form of general solicitation or general advertising within the meaning of Rule 502(c) of
Regulation D or in any manner involving a public offering within the meaning of Section 4(a)(2) of the Securities Act or (ii) engage
in any directed selling efforts within the meaning of Regulation S, and all such persons will comply with the offering restrictions requirement
of Regulation S.

 

5.             Certain
Agreements of the Initial Purchasers. Each Initial Purchaser hereby represents and agrees, severally and not jointly, that it has
not and will not use, authorize use of, refer to, or participate in the planning for use of, any written communication that constitutes
an offer to sell or the solicitation of an offer to buy the Notes other than (i) the Preliminary Offering Memorandum and the Offering
Memorandum, (ii) a written communication that contains no “issuer information” (as defined in Rule 433(h)(2) under
the Securities Act) that was not included (including through incorporation by reference) in the Disclosure Package or the Offering Memorandum,
(iii) any written communication listed on Annex A or prepared pursuant to Section 4(c) above (including any electronic
road show), (iv) any written communication prepared by such Initial Purchaser and approved by the Company in advance in writing
or (v) any written communication relating to or that contains the preliminary or final terms of the Notes or their offering and/or
other information that was included (including through incorporation by reference) in the Disclosure Package or the Offering Memorandum.

 

6.             Conditions
of Initial Purchasers’ Obligations. The obligations of the several Initial Purchasers to purchase Notes on the Closing Date
as provided herein are subject to the performance by the Company of its respective covenants and other obligations hereunder and to the
following additional conditions:

 

(a)            Representations
and Warranties. The representations and warranties of the Company contained herein shall be true and correct on the date hereof and
on and as of the Closing Date; and the statements of the Company and its officers made in any certificates delivered pursuant to this
Agreement shall be true and correct on and as of the Closing Date.

 

(b)            No
Downgrade. Subsequent to the Time of Sale, (i) no downgrading shall have occurred in the rating accorded the Notes or any other
debt securities or preferred stock issued by the Company by any “nationally recognized statistical rating organization” (as
such term is defined in Section 3(a)(62) of the Exchange Act); and (ii) no such organization shall have publicly announced
that it has under surveillance or review, or has changed its outlook with respect to, its rating of any debt securities or preferred
stock issued by the Company (other than an announcement with positive implications of a possible upgrading).

 

    18

     

    

 

(c)            No
Material Adverse Change. Subsequent to the Time of Sale, no event or condition of a type described in Section 3(g) hereof
shall have occurred or shall exist, which event or condition is not described in the Disclosure Package and the Offering Memorandum (excluding
any amendment or supplement thereto or any document filed with the Commission after the date hereof and incorporated by reference therein)
and the effect of which in the judgment of the Representatives makes it impracticable or inadvisable to proceed with the offering, sale
or delivery of the Notes on the terms and in the manner contemplated by this Agreement and the Disclosure Package and the Offering Memorandum.

 

(d)           Officer’s
Certificate. The Representatives shall have received on and as of the Closing Date a certificate of an executive officer of the Company
who has specific knowledge of the Company’s financial matters and is satisfactory to the Representatives (i) confirming that
such officer has carefully reviewed the Disclosure Package and the Offering Memorandum and, to the knowledge of such officer, the representations
set forth in paragraphs (a) and (b) of Section 3 hereof are true and correct, (ii) confirming that the other representations
and warranties of the Company in this Agreement are true and correct and that the Company has complied with all agreements and satisfied
all conditions on its part to be performed or satisfied hereunder at or prior to the Closing Date, and (iii) to the effect set forth
in paragraphs (a) through (c) above.

 

(e)            Comfort
Letters. On the date of this Agreement and on the Closing Date, (i) Ernst & Young LLP shall have furnished to the Representatives,
at the request of the Company, letters, dated the respective dates of delivery thereof and addressed to the Initial Purchasers, in form
and substance reasonably satisfactory to the Representatives, containing statements and information of the type customarily included
in accountants’ “comfort letters” with respect to the financial statements and certain financial information of the
Company contained or incorporated by reference in the Disclosure Package and the Offering Memorandum; provided that the letter
delivered on the Closing Date shall use a “cut-off” date no more than three business days prior to the Closing Date and (ii) Moss
Adams LLP shall have furnished to the Representatives, at the request of the Company, letters, dated the respective dates of delivery
thereof and addressed to the Initial Purchasers, in form and substance reasonably satisfactory to the Representatives, containing statements
and information of the type customarily included in accountants’ “comfort letters” with respect to the financial statements
and certain financial information of Alta contained or incorporated by reference in the Disclosure Package and the Offering Memorandum;
provided that the letter delivered on the Closing Date shall use a “cut-off” date no more than three business days
prior to the Closing Date.

 

(f)            Opinions
of Counsel for the Company. On the Closing Date, each of Kirkland & Ellis LLP and Morgan, Lewis & Bockius LLP,
as counsel for the Company and at the request of the Company, and the General Counsel of the Company shall have furnished to the Representatives,
their written opinions dated the Closing Date and addressed to the Initial Purchasers, substantially in the forms attached as Exhibits
B, C, D and E hereto.

 

    19

     

    

 

(g)            Opinion
of Counsel for the Initial Purchasers. The Representatives shall have received on and as of the Closing Date an opinion of Simpson
Thacher & Bartlett LLP, counsel for the Initial Purchasers, with respect to such matters as the Representatives may reasonably
request, and such counsel shall have received such documents and information as they may reasonably request to enable them to pass upon
such matters.

 

(h)            No
Legal Impediment to Issuance. No action shall have been taken and no statute, rule, regulation or order shall have been enacted,
adopted or issued by any federal, state or foreign governmental or regulatory authority that would, as of the Closing Date, prevent the
issuance or sale of the Notes, and no injunction or order of any federal, state or foreign court shall have been issued that would, as
of the Closing Date, prevent the issuance or sale of the Notes.

 

(i)             Good
Standing. The Representatives shall have received on and as of the Closing Date satisfactory evidence of the good standing of the
Company, EQT Capital Corporation, EQT Investments Holdings, LLC, EQT Production Company and EQT Gathering LLC in their respective jurisdictions
of organization and their good standing in such other jurisdictions as the Representatives may reasonably request, in each case in writing
or any standard form of telecommunication, from the appropriate governmental authorities of such jurisdictions.

 

(j)             The
Depositary. The Notes shall be eligible for clearance and settlement through the Depositary, Clearstream Banking and the Euroclear
System.

 

(k)            Reserve
Letters. On the date of this Agreement and on the Closing Date, Netherland, Sewell and Associates, Inc. shall have furnished
to the Representatives (i) a reserve report confirmation letter, dated the respective dates of delivery thereof and addressed to
the Initial Purchasers, in form and substance reasonably satisfactory to the Representatives, containing statements and information of
the type customarily included in such letters to initial purchasers with respect to the reserve and other operational information of
the Company contained or incorporated by reference in the Disclosure Package and the Offering Memorandum and (ii) a reserve report
confirmation letter, dated the respective dates of delivery thereof and addressed to the Initial Purchasers, in form and substance reasonably
satisfactory to the Representatives, containing statements and information of the type customarily included in such letters to initial
purchasers with respect to the reserve and other operational information of Alta contained or incorporated by reference in the Disclosure
Package and the Offering Memorandum.

 

(l)             Chief
Accounting Officer Certificates. On the date of this Agreement and on the Closing Date, the Company shall have furnished to the Representatives
a certificate, dated the respective dates of delivery thereof and addressed to the Representatives, of its Chief Accounting Officer with
respect to certain financial data contained in the Disclosure Package and the Offering Memorandum, providing “management comfort”
with respect to such information, in form and substance reasonably satisfactory to the Representatives.

 

(m)           Indenture
and Notes. The Indenture shall have been duly executed and delivered by a duly authorized officer of the Company and the Trustee,
and the Notes shall have been duly executed and delivered by a duly authorized officer of the Company and duly authenticated by the Trustee.

 

    20

     

    

 

(n)            Additional
Documents. On or prior to the Closing Date, the Company shall have furnished to the Representatives such further certificates and
documents as the Representatives may reasonably request.

 

All opinions, letters, certificates and evidence
mentioned above or elsewhere in this Agreement shall be deemed to be in compliance with the provisions hereof only if they are in form
and substance reasonably satisfactory to counsel for the Initial Purchasers.

 

7.             Indemnification
and Contribution.

 

(a)            Indemnification
of the Initial Purchasers. The Company agrees to indemnify and hold harmless each Initial Purchaser, its affiliates, directors and
officers and each person, if any, who controls any Initial Purchaser within the meaning of Section 15 of the Securities Act or Section 20
of the Exchange Act, from and against any and all losses, claims, damages and liabilities (including, without limitation, legal fees
and other expenses reasonably incurred in connection with any suit, action or proceeding or any claim asserted, as such fees and expenses
are incurred), joint or several, that arise out of or are based upon any untrue statement or alleged untrue statement of a material fact
contained in any Company Additional Written Communication, the Disclosure Package, the Preliminary Offering Memorandum or the Offering
Memorandum (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, except insofar as such
losses, claims, damages or liabilities arise out of, or are based upon, any untrue statement or omission or alleged untrue statement
or omission made in reliance upon and in conformity with any information relating to any Initial Purchaser furnished to the Company in
writing by any Initial Purchaser through the Representatives expressly for use in any Company Additional Written Communication, the Disclosure
Package, the Preliminary Offering Memorandum or the Offering Memorandum (or any amendment or supplement thereto), it being understood
and agreed that the only information furnished by any Initial Purchaser through the Representatives consists of the information described
as such in Section 7(b) hereof.

 

(b)            Indemnification
of the Company. Each Initial Purchaser agrees, severally and not jointly, to indemnify and hold harmless the Company and each person,
if any, who controls the Company within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act to
the same extent as the indemnity set forth in paragraph (a) above, but only with respect to any losses, claims, damages or liabilities
that arise out of, or are based upon, any untrue statement or omission or alleged untrue statement or omission made in reliance upon
and in conformity with any information relating to such Initial Purchaser furnished to the Company in writing by any Initial Purchaser
through the Representatives expressly for use in any Company Additional Written Communication, the Disclosure Package, the Preliminary
Offering Memorandum or the Offering Memorandum (or any amendment or supplement thereto), it being understood and agreed that the only
such information consists of the following information in the Preliminary Offering Memorandum and the Offering Memorandum: the fourth
paragraph, the second and third sentences of the seventh paragraph and the eighth paragraph under the heading "Plan of Distribution".

 

    21

     

    

 

(c)            Notice
and Procedures. If any suit, action, proceeding (including any governmental or regulatory investigation), claim or demand shall be
brought or asserted against any person in respect of which indemnification may be sought pursuant to either paragraph (a) or (b) above,
such person (the “Indemnified Person”) shall promptly notify the person against whom such indemnification may be sought (the
 “Indemnifying Person”) in writing; provided that the failure to notify the Indemnifying Person shall not relieve it
from any liability that it may have under this Section 7 except to the extent that it has been materially prejudiced (through the
forfeiture of substantive rights or defenses) by such failure; and provided, further, that the failure to notify the Indemnifying
Person shall not relieve it from any liability that it may have to an Indemnified Person otherwise than under this Section 7. If
any such proceeding shall be brought or asserted against an Indemnified Person and it shall have notified the Indemnifying Person thereof,
the Indemnifying Person shall retain counsel reasonably satisfactory to the Indemnified Person to represent the Indemnified Person and
any others entitled to indemnification pursuant to this Section 7 that the Indemnifying Person may designate in such proceeding
and shall pay the fees and expenses of such counsel related to such proceeding, as incurred. In any such proceeding, any Indemnified
Person shall have the right to retain its own counsel, but the fees and expenses of such counsel shall be at the expense of such Indemnified
Person unless (i) the Indemnifying Person and the Indemnified Person shall have mutually agreed to the contrary; (ii) the Indemnifying
Person has failed within a reasonable time to retain counsel reasonably satisfactory to the Indemnified Person; (iii) the Indemnified
Person shall have reasonably concluded that there may be legal defenses available to it that are different from or in addition to those
available to the Indemnifying Person; or (iv) the named parties in any such proceeding (including any impleaded parties) include
both the Indemnifying Person and the Indemnified Person and representation of both parties by the same counsel would be inappropriate
due to actual or potential differing interests between them. It is understood and agreed that the Indemnifying Person shall not, in connection
with any proceeding or related proceeding in the same jurisdiction, be liable for the fees and expenses of more than one separate firm
(in addition to any local counsel) for all Indemnified Persons, and that all such fees and expenses shall be reimbursed as they are incurred.
Any such separate firm for any Initial Purchaser, its affiliates, directors and officers and any control persons of such Initial Purchaser
shall be designated in writing by the Representatives and any such separate firm for the Company and any control persons of the Company
shall be designated in writing by the Company. The Indemnifying Person shall not be liable for any settlement of any proceeding effected
without its written consent (which consent shall not be unreasonably withheld), but if settled with such consent or if there be a final
judgment for the plaintiff, the Indemnifying Person agrees to indemnify each Indemnified Person from and against any loss or liability
by reason of such settlement or judgment. Notwithstanding the foregoing sentence, if at any time an Indemnified Person shall have requested
that an Indemnifying Person reimburse the Indemnified Person for fees and expenses of counsel as contemplated by this paragraph, the
Indemnifying Person shall be liable for any settlement of any proceeding effected without its written consent if (i) such settlement
is entered into more than 30 days after receipt by the Indemnifying Person of such request and (ii) the Indemnifying Person shall
not have reimbursed the Indemnified Person in accordance with such request prior to the date of such settlement. No Indemnifying Person
shall, without the written consent of the Indemnified Person (which consent shall not be unreasonably withheld), effect any settlement
of any pending or threatened proceeding in respect of which any Indemnified Person is or could have been a party and indemnification
could have been sought hereunder by such Indemnified Person, unless such settlement (x) includes an unconditional release of such
Indemnified Person, in form and substance reasonably satisfactory to such Indemnified Person, from all liability on claims that are the
subject matter of such proceeding and (y) does not include any statement as to or any admission of fault, culpability or a failure
to act by or on behalf of any Indemnified Person.

 

    22

     

    

 

(d)            Contribution.
If the indemnification provided for in paragraphs (a) and (b) above is unavailable to an Indemnified Person or insufficient
in respect of any losses, claims, damages or liabilities referred to therein, then each Indemnifying Person under such paragraph, in
lieu of indemnifying such Indemnified Person thereunder, shall contribute to the amount paid or payable by such Indemnified Person as
a result of such losses, claims, damages or liabilities (i) in such proportion as is appropriate to reflect the relative benefits
received by the Company on the one hand and the Initial Purchasers on the other from the offering of the Notes 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) but also the relative fault of the Company on the one hand and the Initial Purchasers on the
other in connection with the statements or omissions that resulted in such losses, claims, damages or liabilities, as well as any other
relevant equitable considerations. The relative benefits received by the Company on the one hand and the Initial Purchasers on the other
shall be deemed to be in the same respective proportions as the net proceeds (before deducting expenses) received by the Company from
the sale of the Notes and the total discounts and commissions received by the Initial Purchasers in connection therewith, as provided
in this Agreement, bear to the aggregate offering price of the Notes. The relative fault of the Company on the one hand and the Initial
Purchasers on the other shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a
material fact or the omission or alleged omission to state a material fact relates to information supplied by the Company or by the Initial
Purchasers and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement
or omission.

 

(e)            Limitation
on Liability. The Company and the Initial Purchasers 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 Initial Purchasers were treated as one entity for such purpose)
or by any other method of allocation that does not take account of the equitable considerations referred to in paragraph (d) above.
The amount paid or payable by an Indemnified Person as a result of the losses, claims, damages and liabilities referred to in paragraph
(d) above shall be deemed to include, subject to the limitations set forth above, any legal or other expenses incurred by such Indemnified
Person in connection with any such action or claim. Notwithstanding the provisions of this Section 7, in no event shall an Initial
Purchaser be required to contribute any amount in excess of the amount by which the total discounts and commissions received by such
Initial Purchaser with respect to the offering of the Notes exceeds the amount of any damages that such Initial Purchaser has otherwise
been required to pay by reason of 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 Securities Act) shall be entitled to contribution from any person
who was not guilty of such fraudulent misrepresentation. The Initial Purchasers’ obligations to contribute pursuant to this Section 7
are several in proportion to their respective purchase obligations hereunder and not joint.

 

    23

     

    

 

(f)            Non-Exclusive
Remedies. The remedies provided for in this Section 7 are not exclusive and shall not limit any rights or remedies that may
otherwise be available to any Indemnified Person at law or in equity.

 

8.             Termination.
This Agreement may be terminated in the absolute discretion of the Representatives, by notice to the Company, if after the Time of Sale
and prior to the Closing Date (i) trading generally shall have been suspended or materially limited on the New York Stock Exchange
or the over-the-counter market; (ii) trading of any securities issued or guaranteed by the Company shall have been suspended on
any exchange or in any over-the-counter market; (iii) there shall have occurred a material disruption of securities settlement or
clearance services; (iv) a general moratorium on commercial banking activities shall have been declared by federal or New York State
authorities; or (v) there shall have occurred any outbreak or escalation of hostilities or any change in financial markets or any
calamity or crisis, either within or outside the United States, that, in the judgment of the Representatives, is material and adverse
and makes it impracticable or inadvisable to proceed with the offering, sale or delivery of the Notes on the terms and in the manner
contemplated by this Agreement, the Disclosure Package and the Offering Memorandum.

 

9.             Defaulting
Initial Purchaser.

 

(a)            If,
on the Closing Date, any Initial Purchaser defaults on its obligation to purchase the Notes that it has agreed to purchase hereunder,
the non-defaulting Initial Purchasers may in their discretion arrange for the purchase of such Notes by other persons satisfactory to
the Company on the terms contained in this Agreement. If, within 36 hours after any such default by any Initial Purchaser, the non-defaulting
Initial Purchasers do not arrange for the purchase of such Notes, then the Company shall be entitled to a further period of 36 hours
within which to procure other persons satisfactory to the non-defaulting Initial Purchasers to purchase such Notes on such terms. If
other persons become obligated or agree to purchase the Notes of a defaulting Initial Purchaser, either the non-defaulting Initial Purchasers
or the Company may postpone the Closing Date for up to five full business days in order to effect any changes that in the opinion of
counsel for the Company or counsel for the Initial Purchasers may be necessary in the Disclosure Package, the Offering Memorandum or
in any other document or arrangement, and the Company agrees to promptly prepare any amendment or supplement to the Disclosure Package
or the Offering Memorandum that effects any such changes. As used in this Agreement, the term “Initial Purchaser” includes,
for all purposes of this Agreement unless the context otherwise requires, any person not listed in Schedule 1 hereto that, pursuant to
this Section 9, purchases Notes that a defaulting Initial Purchaser agreed but failed to purchase.

 

(b)            If,
after giving effect to any arrangements for the purchase of the Notes of a defaulting Initial Purchaser or Initial Purchasers by the
non-defaulting Initial Purchasers and the Company as provided in paragraph (a) above, the aggregate principal amount of such Notes
that remains unpurchased does not exceed one-eleventh of the aggregate principal amount of all the Notes, then the Company shall have
the right to require each non-defaulting Initial Purchaser to purchase the principal amount of Notes that such Initial Purchaser agreed
to purchase hereunder plus such Initial Purchaser’s pro rata share (based on the principal amount of Notes that such Initial
Purchaser agreed to purchase hereunder) of the Notes of such defaulting Initial Purchaser or Initial Purchasers for which such arrangements
have not been made.

 

    24

     

    

 

(c)            If,
after giving effect to any arrangements for the purchase of the Notes of a defaulting Initial Purchaser or Initial Purchasers by the
non-defaulting Initial Purchasers and the Company as provided in paragraph (a) above, the aggregate principal amount of such Notes
that remains unpurchased exceeds one-eleventh of the aggregate principal amount of all the Notes, or if the Company shall not exercise
the right described in paragraph (b) above, then this Agreement shall terminate without liability on the part of the non-defaulting
Initial Purchasers. Any termination of this Agreement pursuant to this Section 9 shall be without liability on the part of the Company,
except that the Company will continue to be liable for the payment of expenses as set forth in Section 10 hereof and except that
the provisions of Section 7 hereof shall not terminate and shall remain in effect.

 

(d)            Nothing
contained herein shall relieve a defaulting Initial Purchaser of any liability it may have to the Company or any non-defaulting Initial
Purchaser for damages caused by its default.

 

10.            Payment
of Expenses.

 

(a)            Whether
or not the transactions contemplated by this Agreement are consummated or this Agreement is terminated, the Company agrees to pay or
cause to be paid all costs and expenses incident to the performance of its obligations hereunder, including, without limitation, (i) the
costs incident to the authorization, issuance, sale, preparation and delivery of the Notes and any taxes payable in that connection;
(ii) the costs incident to the preparation, printing and filing of the Preliminary Offering Memorandum, the Disclosure Package,
any Company Written Communication and the Offering Memorandum, and all amendments and supplements thereto, and the distribution thereof;
(iii) the costs of reproducing and distributing (including any form of electronic distribution) each of the documents relating to
this offering of Notes; (iv) the fees and expenses of the Company’s counsel and independent accountants; (v) the fees
and expenses incurred in connection with the registration or qualification and determination of eligibility for investment of the Notes
under the laws of such jurisdictions as the Representatives may designate and the preparation, printing and distribution of a Blue Sky
Survey (including the related fees and expenses of counsel for the Initial Purchasers); (vi) any fees charged by rating agencies
for rating the Notes; (vii) the fees and expenses of the Trustee and any paying agent (including related fees and expenses of any
counsel to such parties); (viii) all expenses and application fees incurred in connection with the approval of the Notes for book-entry
transfer by DTC; and (ix) all expenses incurred by the Company in connection with any “road show” presentation to potential
investors.

 

(b)            If
(i) this Agreement is terminated pursuant to Section 8 prior to the Closing Date, (ii) the Company for any reason fails
to tender the Notes for delivery to the Initial Purchasers on the Closing Date or (iii) the Initial Purchasers decline to purchase
the Notes for any reason permitted under this Agreement on the Closing Date, the Company agrees to reimburse the Initial Purchasers for
all out-of-pocket costs and expenses (including the reasonable fees and expenses of their counsel) reasonably incurred by the Initial
Purchasers in connection with this Agreement and the offering contemplated hereby. Otherwise, the Initial Purchasers shall pay their
own expenses, including the fees and expenses of their counsel.

 

    25

     

    

 

11.            Persons
Entitled to Benefit of Agreement. This Agreement shall inure to the benefit of and be binding upon the parties hereto and their respective
successors and any controlling persons referred to herein, and the affiliates, officers and directors of each Initial Purchaser referred
to in Section 7 hereof. Nothing in this Agreement is intended or shall be construed to give any other person any legal or equitable
right, remedy or claim under or in respect of this Agreement or any provision contained herein. No purchaser of Notes from any Initial
Purchaser shall be deemed to be a successor merely by reason of such purchase.

 

12.            Survival.
The respective indemnities, rights of contribution, representations, warranties and agreements of the Company and the Initial Purchasers
contained in this Agreement or made by or on behalf of the Company or the Initial Purchasers pursuant to this Agreement or any certificate
delivered pursuant hereto shall survive the delivery of and payment for the Notes and shall remain in full force and effect, regardless
of any termination of this Agreement or any investigation made by or on behalf of the Company or the Initial Purchasers.

 

13.            Certain
Defined Terms. For purposes of this Agreement, (a) except where otherwise expressly provided, the term “affiliate”
has the meaning set forth in Rule 405 under the Securities Act; (b) the term “business day” means any day other
than a day on which banks are permitted or required to be closed in New York City; and (c) the term “subsidiary” has
the meaning set forth in Rule 405 under the Securities Act; for the avoidance of doubt, “subsidiary” does not include
Equitrans Midstream Corporation or its subsidiaries.

 

14.            Compliance
with USA PATRIOT Act. In accordance with the requirements of the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26,
2001)), the Initial Purchasers are required to obtain, verify and record information that identifies their respective clients, including
the Company, which information may include the name and address of their respective clients, as well as other information that will allow
the Initial Purchasers to properly identify their respective clients.

 

15.            Miscellaneous.

 

(a)            Authority
of the Representatives. Any action by the Initial Purchasers hereunder may be taken by the Representatives on behalf of the Initial
Purchasers, and any such action taken by the Representatives shall be binding upon the Initial Purchasers.

 

(b)            Notices.
All notices and other communications hereunder shall be in writing and shall be deemed to have been duly given if mailed or transmitted
and confirmed by any standard form of telecommunication. Notices to the Initial Purchasers shall be given to the Representatives, c/o
BofA Securities, Inc., 1540 Broadway, 26th Floor, New York, New York 10036, Attention: High Yield Legal Department (Fax:
212-901-7897); and c/o J.P. Morgan Securities LLC, 383 Madison Avenue, New York, New York 10179, Facsimile: 212-270-1063, Attention:
High Yield Syndicate. Notices to the Company shall be given to EQT Corporation, EQT Plaza, 625 Liberty Avenue, Suite 1700, Pittsburgh,
Pennsylvania 15222; Attention: William E. Jordan, Executive Vice President and General Counsel.

 

    26

     

    

 

(c)            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. Any legal suit, action or proceeding arising out of or based upon this Agreement
or the transactions contemplated hereby (“Related Proceedings”) may be instituted in the federal courts of the United States
of America located in the City and County of New York or the courts of the State of New York in each case located in the City and County
of New York (collectively, the “Specified Courts”), and each party irrevocably submits to the exclusive jurisdiction (except
for suits, actions, or proceedings instituted in regard to the enforcement of a judgment of any Specified Court in a Related Proceeding
(a “Related Judgment”), as to which such jurisdiction is non-exclusive) of the Specified Courts in any Related 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 Related Proceeding brought in any Specified Court. The parties irrevocably and unconditionally waive any objection
to the laying of venue of any Related Proceeding in the Specified Courts and irrevocably and unconditionally waive and agree not to plead
or claim in any Specified Court that any Related Proceeding brought in any Specified Court has been brought in an inconvenient forum.

 

(d)            Waiver
of Jury Trial. The Company 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.

 

(e)            Entire
Agreement and Counterparts. This Agreement constitutes the entire agreement of the parties to this Agreement and supersedes all prior
written or oral and all contemporaneous oral agreements, understandings and negotiations with respect to the subject matter hereof. 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. The words “execution,” “signed,” “signature,” “delivery,”
and words of like import in or relating to this Agreement or any document to be signed in connection with this Agreement shall be deemed
to include electronic signatures, deliveries or the keeping of records in electronic form, each of which shall be of the same legal effect,
validity or enforceability as a manually executed signature, physical delivery thereof or the use of a paper-based recordkeeping system,
as the case may be, and the parties hereto consent to conduct the transactions contemplated hereunder by electronic means. Counterparts
may be delivered via facsimile, electronic mail (including any electronic signature covered by the Electronic Signatures in Global and
National Commerce Act of 2000, Uniform Electronic Transactions Act, the Electronic Signatures and Records Act or other applicable law
(e.g., www.docusign.com)) or other transmission method and any counterpart so delivered shall be deemed to have been duly and validly
delivered and be legally valid, effective and enforceable for all purposes.

 

(f)             Amendments
or Waivers. No amendment or waiver of any provision of this Agreement, nor any consent or approval to any departure therefrom, shall
in any event be effective unless the same shall be in writing and signed by the parties hereto.

 

(g)            Headings.
The headings herein are included for convenience of reference only and are not intended to be part of, or to affect the meaning or interpretation
of, this Agreement.

 

(h)            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.

 

    27

     

    

 

16.            Recognition
of U.S. Special Resolution Regimes.

 

(a)            In
the event that any Initial Purchaser that is a Covered Entity becomes subject to a proceeding under a U.S. Special Resolution Regime,
the transfer from such Initial Purchaser of this Agreement, and any interest and obligation in or under this Agreement, will be effective
to the same extent as the transfer would be effective under the U.S. Special Resolution Regime if this Agreement, and any such interest
and obligation, were governed by the laws of the United States or a state of the United States.

 

(b)            In
the event that any Initial Purchaser that is a Covered Entity or a BHC Act Affiliate of such Initial Purchaser becomes subject to a proceeding
under a U.S. Special Resolution Regime, Default Rights under this Agreement that may be exercised against such Initial Purchaser are
permitted to be exercised to no greater extent than such Default Rights could be exercised under the U.S. Special Resolution Regime if
this Agreement were governed by the laws of the United States or a state of the United States.

 

As used in this Section 16:

 

“BHC Act Affiliate” has the meaning assigned
to the term “affiliate” in, and shall be

 

interpreted in accordance with, 12 U.S.C. §
1841(k).

 

“Covered Entity” means any of the following:

 

		(i)	a “covered entity” as that term is defined in, and interpreted
                                            in accordance with, 12 C.F.R. § 252.82(b).

 

		(ii)	a “covered bank” as that term is defined in, and interpreted
                                            in accordance with, 12 C.F.R. § 47.3(b); or

 

		(iii)	a “covered FSI” as that term is defined in, and interpreted
                                            in accordance with, 12 C.F.R. § 382.2(b).

 

“Default Right” has the meaning assigned
to that term in, and shall be interpreted in accordance with, 12 C.F.R. §§ 252.81, 47.2 or 382.1, as applicable.

 

“U.S. Special Resolution Regime”
means each of (i) the Federal Deposit Insurance Act and the regulations promulgated thereunder and (ii) Title II of the
Dodd-Frank Wall Street Reform and Consumer Protection Act and the regulations promulgated thereunder.

 

[Signature Page Follows]

 

    28

     

    

 

If the foregoing is in accordance with your understanding,
please indicate your acceptance of this Agreement by signing in the space provided below.

 

	 	Very truly yours,
	 	 
	 	EQT CORPORATION

 

	 	By	/s/  David M. Khani
	 	Name:	David M. Khani
	 	Title:	Chief Financial Officer

 

[Signature Page to Purchase Agreement]

 

    

     

    

 

Accepted as of the date first above written:

 

BOFA SECURITIES, INC.

J.P. MORGAN SECURITIES LLC

 

For themselves and on behalf of the

several Initial Purchasers listed

in Schedule 1 hereto.

 

	BOFA SECURITIES, INC.	 

 

	By:	/s/ Justin Howe	 
	 	Name: Justin Howe	 
	 	Title: Director	 

 

	J.P. MORGAN SECURITIES LLC	 

 

	By:	/s/ Hunter Bollman	 
	 	Name: Hunter Bollman	 
	 	Title: Vice President	 

 

[Signature Page to Purchase Agreement]Exhibit 4.2

 

COMPENSATION POLICY FOR EXECUTIVES AND DIRECTORS

 

 

 

Executives and Directors

 

Compensation Policy of Medigus Ltd.

 

(the “Company”)

 

1.
Objectives of the Company’s Compensation Policy

 

The purpose of the Company’s
compensation policy is to establish sustainable guidelines for the Company’s applicable organs in determining the Company’s
compensation to its Office Holders (as such term is defined below) in light of the following objectives of such compensation:

 

	A.	To establish a correlation between the interests of the Company’s Office Holders and those of the Company and its shareholders.

 

	B.	To recruit and maintain qualified Office Holders, who may contribute to the Company’s financial and commercial success, given the unique challenges it faces and its business environment.

 

	C.	To provide incentives for the Company’s Office Holders, in order to ensure high-level operations without encouraging the taking of unreasonable risks.

 

	D.	To establish an appropriate balance between fixed compensation, compensation which incentivizes short-term results and compensation which reflects the Company’s long-term operation.

 

2.
Compensation Policy; Background

 

Objectives

 

Through this document, the
Company will determine and publish its policy with regards to the compensation of its Office Holders, including all components of compensation,
while establishing principles, considerations, parameters and rules for the determination of Office Holders’ terms of tenure by
the Company’s organs during the application period of this compensation policy. The policy is presented to the Company’s general
meeting of the shareholders (the “General Meeting”) and subject to their approval, thereby providing an opportunity
for shareholders to influence the method used to determine the compensation of Office Holders, and to express their opinion on the matter.
The publication of the compensation policy increases and improves the effectiveness of the Company’s disclosure to its investors
and to the capital market. In addition to the foregoing, the compensation policy is intended to comply with the obligation set forth in
the Israeli Companies Law, 5759-1999 (hereinafter: the “Companies Law”).

 

     

     

    

 

Application of the Compensation Policy

 

In accordance with the provisions
of the Companies Law, the compensation policy will apply with respect to the terms and conditions of the tenure and employment of the
Office Holders in the Company. The definition of Office Holders in the Companies Law includes “a general manager,
chief business manager, deputy general manager, vice general manager, any person filling any of these positions in a company even if he
holds a different title, as well as a director, or a manager directly subordinate to the general manager.” For the purpose of
this policy, each Office Holder other than a director shall be referred to as an “Executive”.

 

The compensation policy is
not intended to establish personal terms and conditions for specific Office Holders, but rather to set forth objective principles and
parameters which will apply to all Company’s Office Holders. This policy sets forth maximum amounts only, and nothing in this policy
shall obligate the Company to grant any particular type or amount of compensation to any Office Holder, unless expressly stated otherwise,
nor shall it derogate from approval procedures mandated by law.

 

In accordance with the provisions
of the Companies Law, the compensation policy is subject to approval every three years. Therefore, the current compensation policy shall
be valid for a period of three years from the date of its approval by the General Meeting or as otherwise required by the Companies Law.
The Company may, pursuant to the Companies Law, amend or renew the compensation policy within that period of implementation, subject to
an approval at the General Meeting or as otherwise required by the Companies Law.

 

It should be noted that, by
law, contractual agreements with Office Holders regarding the terms and conditions of their tenure and employment which were approved
prior to the approval of this compensation policy shall continue to apply, and do not require additional approval in accordance with the
provisions of this policy.

 

Establishment and Approval of the Compensation
Policy

 

In accordance with the Companies
Law, the responsibility for approving the compensation policy applies with the board of directors, after the foregoing has considered
the recommendation issued by the Company’s compensation committee. The compensation policy is subject to the approval of the General
Meeting (including by a majority of those participants who are not controlling shareholders or interested parties, as provided in the
Companies Law). In accordance with the provisions of the Companies Law, in the event that the General Meeting does not approve the policy,
the board of directors will be entitled to approve the policy based on grounds provided by the board of directors and the compensation
committee, according to which the foregoing action is taken in the Company’s best interest.

 

Maintenance of the Compensation Policy

 

The holder of the most senior
position in the Company in the field of human resources (as of the adoption of this policy - the Chief Financial Officer) under the supervision
of the Company’s compensation committee, is responsible for monitoring any changes in the Company, in its business environment,
in the capital market, in the labor markets, and in other relevant factors, which may impact the Company’s considerations regarding
the determination of compensation for Office Holders. When applicable, the compensation committee shall convene to discuss the foregoing,
and where necessary, present its recommendations for necessary updates to the policy to the Company’s board of directors.

 

3.
Characteristics of the Company and of Its Office Holders

 

Business Environment and Its Effect on
Office Holders’ Compensation

 

As a public company engaged
in the research, development and marketing of medical devices, the Company has two objectives: providing its clients efficient and safe
systems, and maximizing its revenues for the benefit of its shareholders. Further information regarding the Company’s business activity
may be found in the Company’s filings with the Securities and Exchange Commission (“SEC”).

 

For fulfilling the Company’s
objectives, the Company has established, and may be required to establish further operation centers outside of Israel and has appointed,
and may be required to appoint Office Holders to serve in such centers. In light of the disparities between acceptable compensation levels
and competitive market in Israel and other countries, the quantitative parameters for the determination of executive compensation are
separately addressed regarding Israel and other countries.

 

    2

     

    

 

In light of this, the Company’s
commercial success depends, to a large extent, both on its ability to recruit skilled Office Holders and employees with unique background
and experience in the field of medical devices, and on its ability to provide its Office Holders and employees with incentives designated
for the investment of outstanding personal efforts on their behalf and for achievement of goals established by the Company’s board
of directors. The need to achieve defined regulation and commercialization milestones emphasizes the necessity in conditioning parts of
certain Office Holders’ compensation upon personal achievements.

 

Description of Office Holders’
Positions

 

A description of the positions
and responsibilities of the Company’s Office Holders to whom this policy may apply may be found in the Company’s annual reports
filed with the SEC.

 

4.
Compensation Components and the Balance between them

 

General

 

An adequate balance between
the components of compensation exists when a linkage is maintained between compensation and the creation of value for the Company’s
shareholders, while maintaining the Company’s ability to recruit and maintain talented Office Holders and incentivizing them to
pursue the Company’s objectives. In particular, an appropriate balance between the fixed component and the variable components avoids
excessively emphasizing one component, since excessively emphasizing the fixed component may result lack of initiative, whereas excessively
emphasizing the variable component may encourage the taking of uncontrolled, unreasonable risks by Office Holders in a manner which is
not for the Company’s benefit or which does not conform with the Company’s objectives.

 

Compensation Components

 

Fixed Compensation

 

Fix compensation is based
on a base salary and benefits. The base salary is a fixed amount paid to an Executive on a monthly basis, regardless of the Executive’s
performance. This component constitutes the basis for payment of the additional benefits (as further elaborated below). Payment of the
base salary enables the implementation of flexible and effective incentive plans, while minimizing risk-taking caused by over-compensation
on variable components’ basis. Both the base salary and the additional benefits must also take into account the prevailing conditions
in the Company’s market (“benchmarking”); however, the Company does not believe this consideration to be dominant, inter
alia in the interest of avoiding a “salary race” between companies in its market. It should be noted that additional
benefits are unique and depend upon the prevailing customs in different countries, and that when the Company engages employment agreements
with Executives for positions outside of Israel, such Executives may be entitled to receive additional benefits according to the prevailing
customs in the countries in which they serve, in order to ensure the competitiveness of the employment terms and conditions offered by
the Company relative to its competitors in the relevant country.

 

Variable Compensation

 

Cash variable compensation
is one of the components used for achieving the objectives of this compensation policy herein, and particularly for creating a correlation
between the interests of the Company’s Executives and those of the Company and its shareholders. In order to promote the objectives
of this policy herein, the conditions for the payment of bonuses shall reflect the Company’s short-term and long-term objectives,
insofar as possible, and shall constitute a proportionate part of the total compensation in a manner that constitutes a dominant component
in the entire compensation package, and primarily with respect to the fixed salary component, while not constitute an excessively large
portion of such compensation package, in order not to create incentives for taking uncontrolled or unreasonable personal and organizational
risks. In order to create incentives for Executives to achieve their goals, the variable compensation shall be determined in a manner
that links the payment of compensation to short-term and long-term performance objectives. Although it is common practice to pay bonuses
upon achievement of financial goals, the Company’s objectives for the payment of bonuses may be dependent upon other measurable
achievements, such as achieving regulatory milestones, receiving various authorizations, executing agreements, etc. as well as non-measurable
“qualitative” achievements. Dependency of bonuses upon achievement of non-financial achievement is relevant to a large extent
given the Company’s transitional stage between being a research and development company and a commercial one.

 

    3

     

    

 

Equity-Based Compensation

 

Equity-based compensation
is used to link between the Company’s value for its shareholders (which is reflected by the increase of the Company’s price
per share) and the compensation of its Office Holders. This component is implemented by one of, or a mix of, equity compensation such
as options, restricted stock units (RSUs), restricted shares and other equity-based compensation. Equity-based compensation constitutes
an incentive over time, as well as an incentive to be employed by the Company over long periods of time, by setting vesting dates for
the granted equity awards, by their expiration pursuant to the termination of the relevant office holder’s tenure, or by conditioning
the grant or vesting of equity awards (or portions thereof) on the achievement of objectives. Furthermore, accelerated vesting mechanisms
may create incentives for Office Holders to remain employed by the Company and to achieve its objectives even if an extraordinary event,
such as the merger or sale of the Company, change of control, or termination of employment in certain circumstances, is expected. Equity-based
compensation is an important component in this compensation policy herein, since it is common practice in comparative companies and is
important to the Company’s ability to recruit and retain Office Holders, it is an efficient substitute for cash compensation, and
is especially appropriate since some of the operations which are crucial for the Company’s success are long-term ones, and some
of the Company’s Office Holders’ efforts may only bear fruit over long periods of time.

 

Termination-Based Compensation

 

Compensation paid upon the
termination of tenure is used both as an incentive to recruit talented Executives by reducing their exposure upon terminations of their
service due to various circumstances, as well as an incentive for Executives to serve in the Company for long periods of time, should
the compensation be dependent upon seniority.

 

5.
Considerations and Parameters for the Determination of Compensation

 

General Considerations for the Determination
of Executive’s Compensation

 

When determining the compensation
of an Executive, the Company’s board of directors, compensation committee and management shall comply with the guidelines stipulated
by this policy herein, including regarding the cap on the compensation components and the quantitative parameters which have been determined
in this section below, and will also consider the following factors (in addition to any other relevant factor):

 

(i) The Executive’s
personal data, including his education, skills, expertise, and professional experience and achievements, whether in the Company or
in other companies, as well as his uniqueness in the market; for this purpose, it should be noted that the medical devices market requires
employment of Executives who hold unique experience and expertise, including experience working with regulatory entities such as the FDA,
experience in conducting clinical experiments, experience in marketing medical devices to customers such as hospitals, and managing engagements
for the purpose of medical reimbursement outside of Israel;

 

(ii) The Executive’s
position, characteristics, responsibilities, efforts required for success in the position, the extent to which such Executive is essential
for the Company’s success, the possibility to recruit a replacer for his position, the potential damage to the Company in the event
the Executive is dismissed or resigns, his seniority and previous compensation arrangements with the Company;

 

(iii) The Executive’s
residential address and address of service – if the Executive resides in a country in which the prevailing compensation
in the relevant market for his position is higher than its equivalent in Israel or in which the living conditions are more difficult or
easy than the ones in Israel, the compensation, including any benefits, shall be adjusted to take into account all such differences;

 

(iv) Prevailing
salary levels for similar positions in the market – in order to ensure the Company is competitive and recruits appropriate
and high-quality personnel, it must offer a salary at a level which corresponds with the prevailing salary in its market. The foregoing
is particularly relevant to the medical devices market, which requires unique experience and skills, available by a limited number of
office holders. The Company’s market includes medical device companies, and particularly such companies which received material
regulatory approvals and are focusing their efforts in commercializing their respective products worldwide; public companies whose market
value, the nature of their operations or their revenue, is similar to those of the Company; and companies which primarily operate in the
United States and in Europe, and which employ Executives serving and operating in these areas; and

 

    4

     

    

 

(v) The ratio between
Executive’s compensation cost and the Salary Cost of other Company’s employees (including the Company’s Contract Employees)1,
and particularly the ratio between the compensation cost of the foregoing Executives and the average and the median Salary Costs of employees
and the effect such ratios have on the working relations in the Company; the Company acknowledges it has to pay different levels of compensation
to its various employees and Executives, inter alia for the purpose of recruiting talented and experienced Executives
and employees who constitute key personnel for the achievement of the Company’s objectives. It should be noted that where Executives
reside and serve in such countries in which higher compensation than the one available in Israel is paid in accordance with customary
market terms, the Company shall consider such higher compensation levels in its evaluation of the above ratios.

 

Establishment of Fix Compensation

 

The base salary shall be negotiated
by the Company and the relevant Executive prior to his or her appointment for office, and upon the Company’s periodic evaluation
of his or her base salary during his or her tenure. The base salary shall be based upon the parameters specified above, provided that
the base salary shall not deviate from the pre-determined cap for such Executive, as further elaborated below.

 

In addition to the base salary,
the Company may include the following benefits, provided that such benefits, including the following will be in accordance with applicable
law and common practice in the market from time to time: (i) vacations days (or redemptions thereof); (ii) allocations to pension and/or
insurance funds, including loss of working capacity insurance; (iii) education funds (Keren Hishtalmut); (iv) directors’ and officers’
insurance; (v) reimbursement for employment of service related expenses; (vi) company vehicle (type of vehicle will be determined according
to the Executive’s position), including reimbursement of all related expenses, and tax payments incurred in connection with the
vehicle as shall be in effect from time to time (or, alternatively, reimbursement of expenses in private vehicle, which shall not exceed
the cost of company vehicle and all related costs; (vii) internet, laptop computer, cellular telephone for personal use, home phone expenses
and daily newspaper; (viii) accommodation during employment or service related travels; (ix) mandatory allocations such as recuperation
pay (Dmei Havra’a); and (x) office holders’ indemnification and exemption of liability in accordance with the Companies
Law, the Company’s Articles of Association and the Company’s policy from time to time.

 

Executives who serve outside
of Israel (including such Executives who serve in the Company’s U.S. subsidiary or in such other subsidiaries which may exist from
time to time) may be entitled to benefits in accordance with applicable custom and practice in their country of service and for Executives
of similar rank; Accordingly, Executives serving in the United States will be entitled to medical and dental insurance coverage for the
Executive and his immediate family, which shall be paid by the Company, as well as employer’s allocations for 401(k) funds, as well
as similar or parallel benefits as customary in other global locations.

 

Establishment of Performance-Related Cash
Variable Compensation

 

The Company shall establish
parameters and conditions for the payment of an annual cash bonus, including maximum bonus amounts and the maximum percentage of the annual
fixed compensation such bonuses may include, on an annual, or multi annual, basis and threshold conditions for payment.

 

Eligibility for the annual
cash bonus shall be based upon measurable criteria, which may include financial results (such as revenue, profit or fund raising targets)
and milestones such as regulatory approvals, agreement executions (such as licenses or distribution or collaboration agreements), performance
of medical procedures and other business millstones (such as number of procedures or MD training). Additionally, the Company may determine
that, with respect to the chief executive officer (the “CEO”) or an officer who is a director, that a non-material
portion of his or her annual cash bonus will be based on the evaluation of the board of directors in an amount that will not exceed, with
respect to any calendar year, 25% of the annual fixed compensation, and, with respect to any officer subordinated to the CEO, which does
not serve as a director, a portion or all of his or her annual cash bonus will be based on the evaluation of the CEO.

 

 

1
“Contract Employees” shall mean employees of a Manpower Contractor of whom the Company is, in practice, the employer,
and employees of a Service Contractor who are hired by the Company for the provision of services; for this purpose, the meaning of “Manpower
Contractor” and “Service Contractor” are as defined in the Engagement of Employees by Manpower Contractors
Law, 5756-1996. For the purposes of this Section herein, “Salary Cost” shall mean any payment paid for employment including
employer contributions, retirement payments, vehicle and related expenses, and any other benefit or payment.

 

 

    5

     

    

 

In the event of a new hired
Executive or of an Executive who’s engagement ends during the year, his entitlement to an annual cash bonus may be determined on
a pro rata basis. The Company may also determine threshold conditions which, unless met, will not result in payment of any bonuses.

 

At the time of approval of
the financial statements of each year, the Company shall evaluate the rate of objectives met during the preceding year and during the
period until the approval date of the annual financial statements. In the event that an Executive met all of his pre-determined objectives,
such Executive shall be entitled to receive 100% of his performance-related compensation component, and in the case of a partial achievement
of such objectives, or of some of the objectives, the Company shall pay a proportional part of such maximum component, provided that the
applicable threshold conditions for payment were also met.

 

In addition to the annual
cash bonus specified above, the compensation committee and the board of directors may, from time to time and to the extent they deem it
is required, approve payment of a signing bonus or a special bonus for an office holder either under special circumstances, for special
contributions, achievements or assignments or in the event of a change in control of the Company. The Company considers payment of such
signing and special bonuses as an important tool for providing incentives for its Executives, especially in light of the inability to
foresee all the specific grounds for payment of bonuses pursuant to the principles set forth in this compensation policy herein.

 

The payment of variable compensation
shall be subject to the provision of a written undertaking by the Executive receiving such variable compensation to repay any amount of
such variable compensation paid to him based on data which has later been found to be incorrect, and which has been restated in the Company’s
financial statements within a period of three years following the grant of such performance related compensation. The compensation committee
and the board of directors shall be authorized not seek recovery to the extent that (i) to do so would be unreasonable or impracticable
or (ii) there is low likelihood of success under governing law versus the cost and effort involved; the aforementioned undertaking shall
be in accordance with any general claw-back policy as may be adopted by the Company.

 

Establishment of Equity-Based Compensation

 

Equity-based compensation
is an effective tool, designated for the creation of incentives for Office Holders, which correspond with the long-term objectives of
the Company and its shareholders. Stock options are currently appropriate key equity based compensation vehicle. In the future, the Company
may offer various types of equity based compensation vehicles (e.g. restricted shares, restricted share units, phantom shares, performance
shares, performance share units, etc.) as well as a mix between such vehicles. When determining the types of equity- based vehicles and
the mix between them, if any, the Company will consider among other things, the types of equity awards then available to the Company and
the balance between aligning officer’s and shareholder’s interests and the Company’s risk management policy at the time.

 

To the extent legally available
and applicable, the Company will grant options to its Israeli residents Officer Holders in accordance with Section 102 of the Israeli
Income Tax Ordinance [New Version], 5721-1961 and/or means of other equity-based compensation, which may promote the Company’s objectives,
as determined by the board of directors. Office holder receiving such equity-based compensation shall bear any applicable tax. Reference
to “options” in this compensation policy shall also include other means of equity-based compensation which may be provided
in the future.

 

Grant of options shall be
in accordance with and subject to the terms of the Company’s current or future applicable equity-based compensation plans, and when
granting options to office holders, the Company shall set the following conditions:

 

(i) Maximum Grant
Date Value of Options Granted to Each Office Holder – such value will be subject to the cap on equity grants, as further
elaborated below.

 

(ii) Maximum Dilution
Rate of the Company’s Share Capital – the maximum dilution rate may not exceed 10% of the Company’s share capital
on a fully diluted basis.

 

    6

     

    

 

(iii) Vesting /
Minimum Holding Period – options granted will vest over periods ranging from once a month to once a year, and will become
fully vested over several years (e.g., two (2) to four (4) years) but no less than two (2) years from the date of grant. The company may
set accelerated vesting terms and conditional vesting terms for the options granted.

 

(iv) Conditional
Vesting / Objective Dependent Exercise – the Company will consider adoption of conditional vesting and/or objective dependent
exercise of options, in consideration of the Office Holder’s position. Notwithstanding the aforementioned, the Company is not obligated
under this compensation policy to condition the grant or exercise of options granted upon the achievement of personal or Company objectives.
Such objectives may be identical to, or different from, the objectives set by the Company for the payment of annual or special cash bonuses
and may be adjusted, when applicable, following major acquisitions, divesture, organizational changes or material changes in the Company’s
business environment. To the extent that options’ vesting is conditioned upon the achievement of objectives, the Company may determine
that such options will become fully vested upon the achievement of the relevant objective, rather than by the lapse of vesting periods.

 

(v) Exercise Price
for stock options – will be set as an incentive to maximize the Company’s value, and will be equal to, or higher
than, the price per share in the stock exchange determined by the board of directors on the date of grant, or will be equal to the average
price per share during a pre-determined period prior to the grant approval date as determined by the board of directors.

 

The board of directors shall
have the discretion to reduce, cancel or suspend payment of any variable compensation components, in cases where such reduction, cancellation
or suspension of payment is deemed necessary. In addition, the board of directors may set a maximal exercise value of variable components
which are not exercised in cash.

 

Establishment of Relocation Compensation

 

Relocation compensation may
be granted to an Executive under relocation circumstances. Such compensation may include reimbursement for out of pocket one time payments
and other ongoing expenses, such as travel, housing allowance, car or transportation allowance, home leave visit, healthcare, participation
in children tuition fees etc., all as reasonable and customary for the relocated country.

 

6.
Compensation Components Caps

 

General

 

The fixed and variable compensation
components will be subject to the following:

 

(i) The fixed compensation
maximum rates stated in this policy refer to provision of services on a 100% basis and consist of base salary and any benefits available
under this compensation policy.

 

(ii) The annual bonus
cap stated in this policy refers to the target annual bonus to be granted upon achievement of 100% of the objectives for payment of such
annual bonus.

 

(iii) In the case of
equity-based compensation, the cap stated in this policy refers to the value of the options granted (or of other means of such compensation)
as of the date of grant based on acceptable valuation practices at the time of grant utilizing
the straight line approach per year of vesting (taking into account the cost of previous vesting grant for that year).

 

Non-Executive Directors

 

The Company’s non-executive
directors may be compensated by means of (i) an annual payment of up to NIS 111,345, and by means of payment for participation in board
of directors (or committees) meetings up to an amount of NIS 4,285 per meeting, or (ii) an annual payment of up to NIS 175,620 (or an
annual payment of up to NIS 300,000 in the case of the chairman of the board of directors), which will include payment for participation
in board of director (or committees) meetings. Such directors may also be entitled to receive equity-based compensation in accordance
with any applicable law, but will not be entitled to receive performance-based compensation, such as bonuses. The Company may repay director’s
expenses in accordance with any applicable law. The chairman of the board of directors may also be granted an annual bonus of up to NIS
200,000.

 

    7

     

    

 

The caps on each of the non-executive
directors’ compensation components per year are as follows:

 

	Variable Equity-based Compensation	 	Annual Bonus	 	Signing and Special Bonus
	up to 100% of the annual payment described in clause (ii) above	 	Not Applicable	 	Not Applicable

 

 

Chief Executive Officer

 

The CEO’s fixed compensation
shall range between the following amounts: (i) a CEO whose position is primarily in Israel: up to NIS 170,000, per month, and (ii) a CEO
whose position is primarily in the United States or Europe2:
up to NIS 250,000, per month.

 

The caps on the CEO’s
variable compensation components per year are as follows:

 

	Variable Equity-based Compensation	 	Annual Bonus	 	Signing and Special Bonus
	p to 100% of the annual fixed compensation	 	Up to 50% of the annual fixed compensation	 	Up to 50% of the annual fixed compensation

 

Special and signing bonuses
will not be included in the calculation of the maximum annual bonus.  

 

Other Executives

 

Other Executive’s fixed
compensation shall range between the following amounts: (i) an Executive whose position is primarily in Israel: up to NIS 120,000, per
month, and (ii) an Executive whose position is primarily in the United States or Europe: up to NIS 170,000, per month.

 

The caps on other Executive’s
variable compensation components per year are as follows:

 

	Variable Equity-based Compensation	 	Annual Bonus	 	Signing and Special Bonus
	Up to 100% of the annual fixed compensation	 	Up to 50% of the annual fixed compensation	 	Up to 50% of the annual fixed compensation

 

Special and signing bonuses
will not be included in the calculation of the maximum annual bonus.

 

Termination of Services

 

Executives shall be entitled
to an advance notice period in accordance with existing agreements, and, in the absence of provisions in the agreements, as determined
by the law. In any event, the advance notice period shall not exceed six (6) months. During said notice period, Executives will be required
to continue to fulfill their duties, unless the Company decides to release them from this obligation.

 

In addition to any payments
required under any applicable law upon termination of service, vesting of outstanding options and payment of an additional severance bonus
may be included in office holder’s employment agreement, or may be paid upon Executive’s severance, subject to receipt of
all required approvals. The Company will consider payment of a severance bonus in consideration of the objectives of this compensation
policy herein, as well as: (i) the service period of the Executive in question; (ii) the Executive’s terms and conditions of service;
(iii) the Company’s operations during Executive’s service; (iv) the Executive’s contribution to the achievement of the
Company’s objectives and to its profitability; and (v) the circumstances of the severance.

 

The maximum severance bonus
that may be paid by the Company is as follows: (i) non-executive directors will not be eligible for severance bonus, (ii) the CEO may
be entitled to a severance bonus of up to 50% of the annual fixed compensation, and (iii) other Executives may be entitled to a severance
bonus of up to 25% of the annual fixed compensation. An Executive’s severance bonus will be based on his last monthly salary as
of the termination date of his service and his or her termination of service must not be in circumstances which, in the Company’s
opinion, justify severance pay to be revoked.

 

 

2
For the purposes of this compensation policy herein, the NIS-USD and NIS-EUR exchange rates shall be as follows: USD 1 = NIS 3.7; EUR
1= NIS 4.2.

 

    8

     

    

 

7.
Directors’ and Officers’ Liability Insurance, Indemnification and Exemption

 

The Company may provide its
directors and officers, including those serving in any of its subsidiaries from time or time, with a liability insurance policy (the “Insurance
Policy”) provided that the engagement is in the ordinary course of business, in market terms and is not expected to materially
influence the Company’s profits, properties and undertakings. The coverage limit of the Insurance Policy shall be of up to US$30
million per occurrence and for the insurance period (additional coverage for legal expenses not included).

 

The Company may extend the
Insurance Policy in place to include cover for liability pursuant to a future public offering of securities. The Insurance Policy, as
well as the additional premium shall be approved by the compensation committee (and if required by law, by the board of directors) which
shall determine that the sums are reasonable considering the exposures pursuant to such public offering of securities, the scope of cover
and the market conditions and that the Insurance Policy reflects the current market conditions, and it does not materially affect the
Company’s profitability, assets or liabilities.

 

Upon circumstances to be approved
by the compensation committee (and, if required by law, by the board of directors), the Company shall be entitled to enter into a “run
off” Insurance Policy of up to seven (7) years, with the same insurer or any other insurance (the “Run Off Coverage”).
The limit of liability of the insurer shall not exceed US$30 million per claim and in the aggregate for the term of the policy. The
Run Off Coverage, as well as the limit of liability and the premium for each extension or renewal, shall be approved by the compensation
committee which shall determine whether the sums are reasonable considering the Company’s exposures, the scope of coverage
and market conditions and if the Run Off Coverage reflects then prevailing market conditions, and, provided, further, that the Run Off
Coverage shall not materially affect the Company’s profitability, assets or liabilities. 

 

In addition, the Company may
exempt all directors and officers, as may be appointed from time to time in the future, from liability for a breach of their duty of care
to the Company and provide them with indemnification to the fullest extent permitted by law and the Company’s articles of association.

 

8.
Miscellaneous

 

The Company’s compensation
committee and board of directors shall be authorized to approve a deviation of up to 10% from any limits, caps or standards detailed in
this policy, and such deviation shall be deemed to be in alignment with this policy.

 

An Immaterial Change in the
Terms of Employment of an Executive, which is not a director or the CEO may be approved by the CEO, provided that the amended terms of
employment are in accordance with this policy. An “Immaterial Change in the Terms of Employment” means a change in the terms
of employment of an officer with an annual total cost to the Company not exceeding an amount equal to 20% of the annual fixed compensation
of such Executive.

 

***********

 

 

9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00327-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00327-of-00352.parquet"}]]