Document:

EX-4.17

 

Exhibit 4.17

SIXTH SUPPLEMENTAL INDENTURE

     THIS SIXTH SUPPLEMENTAL INDENTURE is entered into as of October 7, 2005, by and between
Developers Diversified Realty Corporation, an Ohio corporation (the “Company”), and US Bank Trust
National Association (the “Trustee”), a national banking association organized and existing under
the laws of the United States, as successor trustee to National City Bank.

     WHEREAS, the Company and the Trustee entered into the Indenture dated as of May 1, 1994 (as
supplemented by a First Supplemental Indenture dated as of May 10, 1995, by a Second Supplemental
Indenture dated July 18, 2003, by a Third Supplemental Indenture dated January 23, 2004, by a
Fourth Supplemental Indenture dated April 22, 2004 and by a Fifth Supplemental Indenture dated
April 28, 2005, the “Indenture”), relating to the Company’s senior debt securities;

     WHEREAS, the Company has made a request to the Trustee that the Trustee join with it, in
accordance with Section 901 of the Indenture, in the execution of this Sixth Supplemental Indenture
to include the Company’s $350,000,000 principal amount of 5.375% Notes Due 2012 in the definition
of Designated Securities such that the covenant in Section 1015 of the Indenture will inure to
their benefit;

     WHEREAS, the Company and the Trustee are authorized to enter into this Sixth Supplemental
Indenture; and

     NOW, THEREFORE, the Company and the Trustee agree as follows:

          Section 1. Relation to Indenture. This Sixth Supplemental Indenture
supplements the Indenture and shall be a part and subject to all the terms thereof. Except
as supplemented hereby, the Indenture and the Securities issued thereunder shall continue
in full force and effect.

          Section 2. Capitalized Terms. Capitalized terms used herein and not
otherwise defined herein are used as defined in the Indenture.

          Section 3. Definitions. The definition of “Designated Securities” is hereby
amended in its entirety as follows:

     “Designated Securities” means the Company’s $300,000,000 principal amount of
4.625% Notes Due 2010, the Company’s $275,000,000 principal amount of 3.875% Notes
Due 2009, the Company’s $250,000,000 principal amount of 5.25% Notes Due 2011, the
Company’s $200,000,000 principal amount of 5.0% Notes Due 2010, the Company’s
$200,000,000 principal amount of 5.5% Notes Due 2015 and the Company’s $350,000,000
principal amount of 5.375% Notes Due 2012.

 

 

          Section 4. Counterparts. This Sixth Supplemental Indenture may be executed
in counterparts, each of which shall be deemed an original, but all of which shall together
constitute one and the same instrument.

          Section 5. Governing Law. THIS SIXTH SUPPLEMENTAL INDENTURE SHALL BE
GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF OHIO (WITHOUT
GIVING EFFECT TO THE CONFLICT OF LAWS PRINCIPLES THEREOF).

          Section 6. Concerning the Trustee. The Trustee shall not be responsible for
any recital herein (other than the fourth recital as it appears as it applies to the
Trustee) as such recitals shall be taken as statements of the Company, or the validity of
the execution by the Company of this Sixth Supplemental Indenture. The Trustee makes no
representations as to the validity or sufficiency of this Sixth Supplemental Indenture.

-2-

 

     IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly executed, and
their respective corporate seals to be hereunto affixed and attested, all as of the day and year
first above written.

	 	 	 	 	 	 
	Attest: 	 	DEVELOPERS DIVERSIFIED REALTY
CORPORATION
	 
	 	 	 	 
	/s/ David E. Weiss 	 	By:  	/s/ William H. Schafer
 	 
	Name: David E. Weiss 	 	 	Name:  	William H. Schafer 	 
	Title: General Counsel
 	 	 	Title:  	Executive Vice President and 	 
	 	Chief Financial Officer	 

	 	 	 	 	 	 
	 	 	US BANK TRUST NATIONAL ASSOCIATION, as Trustee

 	 
	/s/ Stacey A. Pagliaro 	 	By:  	/s/ Ignazio Tamburello
 	 
	 Name: Stacey A. Pagliaro	 	 	Name:  	Ignazio Tamburello 	 
	Title: Assistant Vice President	 	 	Title:  	Assistant Vice President 	 
	 	 

-3-

 

	 	 	 	 	 	 	 
	STATE OF OHIO

	 	 	)

)	 	 	SS:
	COUNTY OF CUYAHOGA

	 	 	)	 	 	 

     On the 7th day of October, 2005, before me personally came William H. Schafer, to me known,
who, being by me duly sworn, did depose and say that he resides at Beachwood, Ohio, that he is the
Executive Vice President and Chief Financial Officer of DEVELOPERS DIVERSIFIED REALTY CORPORATION,
one of the corporations described in and which executed the foregoing instrument and that he signed
his name thereto by authority of the Board of Directors of said corporation.

[Notarial Seal]

	 	 	 	 	 
	 	 	 
	 	                                                  /s/ Tammy Battler
 	 
	 	Notary Public 	 
	 	COMMISSION EXPIRES 	 
	 

-4-

 

	 	 	 	 	 	 	 
	STATE OF NEW YORK

	 	 	)

)	 	 	SS:
	COUNTY OF QUEENS

	 	 	)	 	 	 

     On the 7 day of October, 2005, before me personally came, to me known, who, being by me duly
sworn, did depose and say that he resides at New York, New York, that he is the Ignazio Tamburello
of US BANK TRUST NATIONAL ASSOCIATION, one of the corporations described in and which executed the
foregoing instrument and that he signed his name thereto by authority of the Board of Directors of
said corporation.

[Notarial Seal]

	 	 	 	 	 
	 	 	 
	 	                                                  /s/ Janet P. O’Hara
 	 
	 	Notary Public 	 
	 	COMMISSION EXPIRES 	 
	 

-5-Exhibit 4.1

    Exhibit
      4.1

    

    FIRST
      AMENDMENT AND WAIVER AGREEMENT

    

    This
      First Amendment and Waiver Agreement (this “Agreement”),
      is
      made and entered into as of February 15, 2007, by and among Fellows Energy
      Ltd.,
      a Nevada corporation (along with its subsidiaries signatory hereto, the
“Company”)
      and
      Palisades Master Fund (the “Holder”).
      

    

    WHEREAS,
      the Company and the Holder are parties to that certain Securities Purchase
      Agreement, dated June 17, 2005, by and among the Company and the signatories
      thereto (collectively, the “June
      Purchase Agreements”),
      pursuant to which the Company issued to the Holder a Convertible Debenture,
      due
      September 7, 2007, with an aggregate principal amount of $4,01,200, of which
      $1,046,438.23 currently remains outstanding (the “June
      Debenture”);
      and

    

    WHEREAS,
      the Company and the Holder are parties to that certain Securities Purchase
      Agreement, September 21, 2005, by and among the Company and the signatories
      thereto (collectively, the “September
      Purchase Agreement”
and
      together with the June Purchase Agreement, the “Purchase
      Agreements”),
      pursuant to which the Company issued to the Holder a Convertible Debenture,
      due
      September 7, 2007, with an aggregate principal amount of $2,858,000, of which
      $1,536,238.51 currently remains outstanding (the “September
      Debenture”
and
      together with the June Debenture, the “Debentures”);
      and

    

    WHEREAS,
      on account of dilutive issuances of equity by the Company, the conversion price
      of the Debentures and the exercise prices of the common stock purchase warrants
      (collectively, the “Warrants”)
      issued
      pursuant to the Purchase Agreements have been reduced to equal $0.1357, subject
      to adjustment therein, with proportional increases in the number of shares
      of
      common stock issuable upon exercise of such Warrants, as set forth therein;
      and

    

    WHEREAS,
      certain events of default have occurred pursuant to the Debentures and are
      continuing to occur related to the Debentures and as a result of such defaults
      (“Existing
      Defaults”),
      Palisades is entitled, among other things, to enforce its rights and remedies
      against the Company, including without limitation, acceleration and immediately
      demand payment in full of all obligations under the Debentures; and

    

    WHEREAS,
      the parties have reached an agreement with respect to the modification and
      amendment of certain terms of the Debentures relating to the conversion and
      terms of the Debentures and the waiver of the Existing Defaults;
      and

    

    WHEREAS,
      capitalized terms used herein, but not otherwise defined, shall have the
      meanings ascribed to such terms as set forth in the September Purchase
      Agreement; and

    

    NOW
      THEREFORE, in consideration of the terms and conditions contained in this
      Agreement, and other good and valuable consideration, the receipt and
      sufficiency of which is hereby acknowledged, the parties, intending to be
      legally bound hereby, agree as follows:

    

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

    1.  Incorporation
      of Preliminary Statements and Acknowledgement.
      The
      preliminary statements set forth above by this reference hereto are hereby
      incorporated into this Agreement. Without limiting the foregoing, the Company
      hereby acknowledges that the Existing Events have occurred and are continuing
      under the terms of the Purchase Agreement and Debentures and, notwithstanding
      anything to the contrary in this Agreement, the Purchase Agreements, Debentures
      or any of the other Transaction Documents, the Company acknowledges and agrees
      that upon a breach of this Agreement by the Company, such breach shall be an
      Event of Default under the Debentures.

    

    2.  Consent
      to JGB/Crescent Transaction.
      Simultaneously with the execution of this Agreement, the following transactions
      are also taking place: a) the Company and JGB Capital L.P. (“JGB”)
      are
      entering into a settlement agreement; b) JGB is entering into an assignment
      agreement with Crescent International Ltd. (“Crescent”)
      for
      the assignment of the Debenture (the “JGB
      Assignment Agreement”);
      c)
      the Company is entering into an amendment agreement (the “Debenture
      Amendments”
and
      together with this Agreement and the JGB Assignment Agreement, the “Assignment
      Documents”)
      with
      Crescent for the amendment of the convertible debentures issued pursuant to
      the
      Purchase Agreements; and d) the Company and Holder are entering into a
      securities purchase agreement for the purchase of $714,500 in secured
      convertible debentures. The Holder hereby consents to the above-described
      transactions.

    

    3.  Waiver
      of Existing Defaults.
      The
      Holder agrees to forever waive its rights and remedies against the Company,
      including without limitation, acceleration of the Debentures, solely in
      connection with, and as they relate to, the prior occurrence of the Existing
      Defaults. Notwithstanding anything herein to the contrary, this waiver is
      limited only to the Existing Defaults and any future Events of Default,
      including a breach of this Agreement, shall not be deemed waived
      hereunder.

    

    4.  Release
      of all Claims.
      THE
      COMPANY (FOR ITSELF AND ITS AFFILIATES) HEREBY UNCONDITIONALLY RELEASES AND
      FOREVER DISCHARGES THE HOLDER AND ITS RESPECTIVE SUCCESSORS, ASSIGNS, AGENTS,
      DIRECTORS, OFFICERS, EMPLOYEES, AFFILIATES, ACCOUNTANTS, CONSULTANTS,
      CONTRACTORS, ADVISORS AND ATTORNEYS (COLLECTIVELY, THE "BENEFITED
      PARTIES")
      FROM
      ALL CLAIMS (AS DEFINED BELOW) AND AGREES TO INDEMNIFY THE BENEFITED PARTIES,
      AND
      HOLD THEM HARMLESS FROM ANY AND ALL CLAIMS, LOSSES, CAUSES OF ACTION, COSTS
      AND
      EXPENSES OF EVERY KIND OR CHARACTER IN CONNECTION WITH THE CLAIMS. AS USED
      IN
      THIS AMENDMENT, THE TERM "CLAIMS" MEANS ANY AND ALL POSSIBLE CLAIMS, DEMANDS,
      ACTIONS, CAUSES OF ACTIONS, COSTS, EXPENSES AND LIABILITIES WHATSOEVER, KNOWN
      OR
      UNKNOWN, AT LAW OR IN EQUITY, ORIGINATING IN WHOLE OR IN PART, WHICH THE
      COMPANY, OR ANY OF ITS AGENTS, EMPLOYEES OR AFFILIATES MAY NOW OR HEREAFTER
      HAVE
      OR CLAIM AGAINST ANY OF THE BENEFITED PARTIES AND IRRESPECTIVE OF WHETHER ANY
      SUCH CLAIMS ARISE OUT OF CONTRACT, TORT, VIOLATION OF LAW OR OTHERWISE IN
      CONNECTION WITH ANY OF THE TRANSACTION DOCUMENTS, INCLUDING ANY CONTRACTING
      FOR,
      CHARGING, TAKING, RESERVING, COLLECTING OR RECEIVING INTEREST IN EXCESS OF
      THE
      MAXIMUM RATE ON INTEREST CHARGEABLE UNDER APPLICABLE LAW AND ANY LOSS, COST
      OR
      DAMAGE, OF ANY KIND OR CHARACTER, ARISING OUT OF OR IN ANY WAY CONNECTED WITH
      OR
      IN ANY WAY RESULTING FROM THE ACTIONS OR OMISSIONS OF THE BENEFITED PARTIES,
      INCLUDING ANY BREACH OF FIDUCIARY DUTY, BREACH OF ANY DUTY OF GOOD FAITH OR
      FAIR
      DEALING, UNDUE INFLUENCE, DURESS, ECONOMIC COERCION, CONFLICT OF INTEREST,
      NEGLIGENCE, BAD FAITH, MALPRACTICE, VIOLATIONS OF THE RACKETEER INFLUENCED
      AND
      CORRUPT ORGANIZATIONS ACT, INTENTIONAL OR NEGLIGENT INFLICTION OF MENTAL
      DISTRESS, TORTIOUS INTERFERENCE WITH CONTRACTUAL RELATIONS, TORTIOUS
      INTERFERENCE WITH CORPORATE GOVERNANCE OR PROSPECTIVE BUSINESS ADVANTAGE, BREACH
      OF CONTRACT, DECEPTIVE TRADE PRACTICES, LIBEL, SLANDER, CONSPIRACY OR ANY CLAIM
      FOR WRONGFULLY ACCELERATING ANY OBLIGATIONS OR WRONGFULLY ATTEMPTING TO
      FORECLOSE ON ANY COLLATERAL. THE COMPANY (FOR ITSELF AND ITS AFFILIATES) AGREES
      THAT NONE OF THE BENEFITED PARTIES HAS FIDUCIARY OR SIMILAR OBLIGATIONS TO
      THE
      COMPANY OR ANY AGENTS, EMPLOYEES OR AFFILIATES OF THE COMPANY AND THAT THEIR
      RELATIONSHIPS ARE STRICTLY THAT OF CREDITOR AND DEBTOR. THIS RELEASE IS ACCEPTED
      BY HOLDER PURSUANT TO THIS AMENDMENT AND SHALL NOT BE CONSTRUED AS AN ADMISSION
      OF LIABILITY BY HOLDER OR ANY OTHER BENEFITED PARTY.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    5.  Cashless
      Exchange of Warrant.
      In
      consideration for the Holder immediately exercising the Warrants pursuant to
      the
      cashless exercise provisions thereof, the Company agrees to reduce the exercise
      price of the warrants (“Exercise
      Price Adjustment”)
      to
      $0.0866 in connection with such exercise such that the Holder shall receive
      2,970,758 shares of Common Stock (the “Exercised
      Shares”).
      Within 3 Trading Days of the date hereof, the Company shall have delivered
      the
      Exercised Shares to the Depository Trust Account of the Holder pursuant to
      the
      instructions set forth on the Holder’s signature page hereto. The Exercised
      Shares shall be registered for resale pursuant to the Registration Statements,
      File No. 333-127413 and 333-129627 (the “Registration
      Statements”)
      free
      of any legends or restrictions on resale by the Holder. The Holder waives any
      anti-dilution adjustments that would otherwise occur to securities held by
      Holder solely as a result of the Exercise Price Adjustment; provided,
      however,
      that
      such waiver does not extend to any adjustment to a third party holder of the
      Company’s securities that received an adjustment to their securities to less
      than $0.0866, subject to adjustment for reverse and forward stock splits, stock
      dividends, stock combinations and other similar transactions of the Common
      Stock
      that occur after the date of this Agreement, as a result of the Exercise Price
      Adjustment.

    

    6.  Conversion
      of Debentures.
      The
      Company shall issue shares of common stock (the “Converted
      Shares”)
      to the
      Holder pursuant to overdue monthly redemptions owed as of December 1, 2006,
      January 1, 2007 and February 1, 2007, to the extent such Converted Shares are
      registered for resale pursuant to the Registration Statements. The Company
      shall
      issue 7,025,789 Converted Shares upon the monthly liquidation of, in the
      aggregate, $608,433.15 in principal amount of the Debentures, as set forth
      on
Exhibit
      A
      hereto.
      Within 3 Trading Days of the date hereof, the Company shall have delivered
      the
      Converted Shares to the Depository Trust Account of the Holder pursuant to
      the
      instructions set forth on the Holder’s signature page hereto. The Converted
      Shares shall be registered for resale pursuant to the Registration Statements
      and free of any legends or restrictions on resale by the Holder. The Holder
      waives any anti-dilution adjustments that would otherwise occur to securities
      held by Holder as a result of the issuance of the Converted Shares; provided,
      however,
      that
      such waiver does not extend to any adjustment to a third party holder of the
      Company’s securities that received an adjustment to their securities to less
      than $0.0866, subject to adjustment for reverse and forward stock splits, stock
      dividends, stock combinations and other similar transactions of the Common
      Stock
      that occur after the date of this Agreement, as a result of the issuance of
      the
      Converted Shares. The Company shall keep the Registration Statements effective
      until the earlier of the date that the Holder no longer holds any Exercised
      Shares or Converted Shares or such shares may be sold pursuant to Rule 144(k).
      Upon the conversion of debentures, the remaining principal amount due of the
      Debentures is as set forth on Exhibit
      A
      hereto.

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    7.  Forbearance
      Fee and Issuance of Common Stock.
      The
      Company shall pay the Holder a Forbearance Fee of $150,000 a month, for six
      months, to be paid in shares of Common Stock of the Company at a price of
      $0.1375 per share, for a total of 5,454,546 shares which shares shall bear
      the
      restrictive legend set for in the Purchase Agreements (the “Forbearance
      Shares”).
      In
      addition, on the date hereof, the Company shall issue to the Holder 1,449,825
      shares of Common Stock to the Holder which shares shall bear the restrictive
      legend set for in the Purchase Agreements (“Commitment
      Shares”).
      The
      rights and obligations of the Company with respect to the Forbearance Shares
      and
      Commitment Shares shall be identical in all respects to the rights and
      obligations of the Company with respect to the Underlying Shares issued and
      issuable pursuant to the Agreements. The September Agreement is hereby amended
      so that the term the term “Underlying Shares” includes the Forbearance Shares
      and Commitment Shares. The Forbearance Shares and Commitment Shares shall be
      delivered to the Holder within 5 Trading Days of the date hereof. The
      Forbearance Shares and Commitment Shares shall be registered pursuant to the
      terms of that certain Registration Rights Agreement, dated February 15, 2007,
      by
      and among the Company, the Holder and the other holders thereto.

    

    8.  Amendment
      to Debentures.
      The
      Debentures are amended as follows:

    

     

    (a)  All
      definitions and references in the Debentures to “Forced Conversion”, “Forced
      Conversion Notice”, “Forced Conversion Notice Date”, “Monthly Conversion
      Period”, “Monthly Conversion Price”, Monthly Redemption”, “Monthly Redemption
      Amount”, “Monthly Redemption Date”, “Monthly Redemption Notice”, “Monthly
      Redemption Notice Date”, “Monthly Redemption Notice Period”, “Monthly Redemption
      Share Amount”, “Optional Redemption”, Optional Redemption Amount”, Optional
      Redemption Notice”, “Optional Redemption Notice Date”, “Pre-Redemption
      Conversion Shares” and “Threshold Period” are hereby deleted and of no further
      force or effect in the Debentures.

     

    (b)  Section
      6(a) of the Debentures is hereby deleted in its entirely and replaced as
      follows: “Section
      6.RESERVED.”

     

    (c)  Section
      4(b) of the Debentures is hereby amended and restated as follows:

     

    “Conversion
      Price.
      The
      conversion price in effect on any Conversion Date shall be equal to $0.1375
      (subject
      to adjustment herein)(the “Conversion
      Price”).”

    

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    9.  Security
      Interest.
      As
      security for the payment in full of principal, interest and performance under
      this Agreement and the Debentures and of all other liabilities and obligations
      of the Company to the Holder, the Company and its subsidiaries, grant the Holder
      a general security interest in all assets of the Company and its subsidiaries
      and all proceeds arising therefrom and any and all products of such assets
      and
      in certain real estate holdings as described below. In furtherance thereof,
      the
      Company shall:

     

    a.  
      On the
      date hereof enter into a Security Agreement simultaneously herewith evidencing
      the above-referenced security interest in all of the assets of the Company
      and
      its subsidiaries; and

     

    b.  Within
      30
      days of the date hereof, have granted the Holder a first lien on real property
      (except for the real property in Carbon county, which Holder shall take a second
      lien), in the form of a mortgage or deed of trust, in real property owned by
      the
      Company and its subsidiaries and located in Baca and Broomfield counties,
      Colorado, and Rich, Carbon and Emery counties, Utah. The Company shall use
      best
      efforts to secure such liens in favor of the Holder, including but not limited
      to, paying reasonable attorneys’ fees in connection therewith and securing title
      insurance reports.

     

    10.  Representations
      and Warranties of the Company.
      The
      Company hereby makes to the Holder the following representations and
      warranties:

     

    i.  Authorization;
      Enforcement.
      The
      Company has the requisite corporate power and authority to enter into and to
      consummate the transactions contemplated by this Agreement and otherwise to
      carry out its obligations hereunder and thereunder. The execution and delivery
      of this Agreement by the Company and the consummation by it of the transactions
      contemplated hereby have been duly authorized by all necessary action on the
      part of the Company and no further action is required by the Company, its board
      of directors or its stockholders in connection therewith other than in
      connection with the Required Approvals. This Agreement has been duly executed
      by
      the Company and, when delivered in accordance with the terms hereof will
      constitute the valid and binding obligation of the Company enforceable against
      the Company in accordance with its terms except (i) as limited by general
      equitable principles and applicable bankruptcy, insolvency, reorganization,
      moratorium and other laws of general application affecting enforcement of
      creditors’ rights generally, (ii) as limited by laws relating to the
      availability of specific performance, injunctive relief or other equitable
      remedies and (iii) insofar as indemnification and contribution provisions may
      be
      limited by applicable law.

     

    ii.  No
      Conflicts.
      The
      execution, delivery and performance of this Agreement by the Company and the
      consummation by the Company of the transactions contemplated hereby do not
      and
      will not: (i) conflict with or violate any provision of the Company’s or any
      Subsidiary’s certificate or articles of incorporation, bylaws or other
      organizational or charter documents, or (ii) conflict with, or constitute a
      default (or an event that with notice or lapse of time or both would become
      a
      default) under, result in the creation of any Lien (except as contemplated
      by
      the Security Documents) upon any of the properties or assets of the Company
      or
      any Subsidiary, or give to others any rights of termination, amendment,
      acceleration or cancellation (with or without notice, lapse of time or both)
      of,
      any material agreement, credit facility, debt or other material instrument
      (evidencing a Company or Subsidiary debt or otherwise) or other material
      understanding to which the Company or any Subsidiary is a party or by which
      any
      property or asset of the Company or any Subsidiary is bound or affected, or
      (iii) subject to the Required Approvals, conflict with or result in a violation
      of any law, rule, regulation, order, judgment, injunction, decree or other
      restriction of any court or governmental authority to which the Company or
      a
      Subsidiary is subject (including federal and state securities laws and
      regulations), or by which any property or asset of the Company or a Subsidiary
      is bound or affected; except in the case of each of clauses (ii) and (iii),
      such
      as could not have or reasonably be expected to result in a Material Adverse
      Effect.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    iii.  Issuance
      of the Commitment Shares.
      The
      Commitment Shares are duly authorized and, upon the execution of this Agreement
      by a Holder, will be duly and validly issued, fully paid and nonassessable,
      free
      and clear of all Liens imposed by the Company other than restrictions on
      transfer provided for in the Transaction Documents.

     

    11.  Representations
      and Warranties of the Holder.
      The
      Holder represents and warrants as of the date hereof to the Company as
      follows:

     

    i.  Authority.
      The
      execution, delivery and performance by such Holder of the transactions
      contemplated by this Agreement have been duly authorized by all necessary
      corporate or similar action on the part of such Holder. This Agreement has
      been
      duly executed by such Holder, and when delivered by such Holder in accordance
      with the terms hereof, will constitute the valid and legally binding obligation
      of such Holder, enforceable against it in accordance with its terms, except
      (i)
      as limited by general equitable principles and applicable bankruptcy,
      insolvency, reorganization, moratorium and other laws of general application
      affecting enforcement of creditors’ rights generally, (ii) as limited by laws
      relating to the availability of specific performance, injunctive relief or
      other
      equitable remedies and (iii) insofar as indemnification and contribution
      provisions may be limited by applicable law.

     

    ii.  Own
      Account.
      Such
      Holder understands that the Commitment Shares are “restricted securities” and
      have not been registered under the Securities Act or any applicable state
      securities law and is acquiring the Commitment Share as principal for its own
      account and not with a view to or for distributing or reselling the Commitment
      Shares or any part thereof in violation of the Securities Act or any applicable
      state securities law, has no present intention of distributing any of such
      Securities in violation of the Securities Act or any applicable state securities
      law and has no arrangement or understanding with any other persons regarding
      the
      distribution of the Commitment Shares (this representation and warranty not
      limiting such Holder’s right to sell the Commitment Shares pursuant to the
      Registration Statement or otherwise in compliance with applicable federal and
      state securities laws) in violation of the Securities Act or any applicable
      state securities law. Such Holder is acquiring the Commitment Shares hereunder
      in the ordinary course of its business. Such Holder does not have any agreement
      or understanding, directly or indirectly, with any Person to distribute any
      of
      the Commitment Shares.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    iii.  Holder
      Status.
      Such
      Holder is an “accredited investor” as defined in Rule 501(a)(1), (a)(2), (a)(3),
      (a)(7) or (a)(8) under the Securities Act. Such Holder is not required to be
      registered as a broker-dealer under Section 15 of the Exchange Act.

     

    12.  Effect
      on Transaction Documents. Except
      as
      expressly set forth above, all of the terms and conditions of the Transaction
      Documents shall continue in full force and effect after the execution of this
      Agreement and shall not be in any way changed, modified or superseded by the
      terms set forth herein, including but not limited to, any other obligations
      the
      Company may have to the Holder under the Transaction Documents.

     

    13.  Amendments
      and Waivers.
      The
      provisions of this Agreement, including the provisions of this sentence, may
      not
      be amended, modified or supplemented, and waivers or consents to departures
      from
      the provisions hereof may not be given, unless the same shall be in writing
      and
      signed by the Company and the Holder. 

     

    14.  Notices.
      Any and
      all notices or other communications or deliveries required or permitted to
      be
      provided hereunder shall be delivered as set forth in the applicable Transaction
      Document. 

     

    15.  Successors
      and Assigns.
      This
      Agreement shall inure to the benefit of and be binding upon the successors
      and
      permitted assigns of each of the parties and shall inure to the benefit of
      the
      Holder. The Company may not assign (except by merger) its rights or obligations
      hereunder without the prior written consent of the Holder. The Holder may assign
      their respective rights hereunder in the manner and to the Persons as permitted
      under the applicable Transaction Document.

     

    16.  Execution
      and Counterparts.
      This
      Agreement may be executed in two or more counterparts, all of which when taken
      together shall be considered one and the same agreement and shall become
      effective when counterparts have been signed by each party and delivered to
      the
      other party, it being understood that both parties need not sign the same
      counterpart. In the event that any signature is delivered by facsimile
      transmission or by e-mail delivery of a “.pdf” format data file, such signature
      shall create a valid and binding obligation of the party executing (or on whose
      behalf such signature is executed) with the same force and effect as if such
      facsimile or “.pdf” signature page were an original thereof.

     

    17.  Governing
      Law.
      All
      questions concerning the construction, validity, enforcement and interpretation
      of this Agreement shall be determined in accordance with the provisions of
      the
      September Purchase Agreement.

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    18.  Severability.
      If any
      term, provision, covenant or restriction of this Agreement is held by a court
      of
      competent jurisdiction to be invalid, illegal, void or unenforceable, the
      remainder of the terms, provisions, covenants and restrictions set forth herein
      shall remain in full force and effect and shall in no way be affected, impaired
      or invalidated, and the parties hereto shall use their commercially reasonable
      efforts to find and employ an alternative means to achieve the same or
      substantially the same result as that contemplated by such term, provision,
      covenant or restriction. It is hereby stipulated and declared to be the
      intention of the parties that they would have executed the remaining terms,
      provisions, covenants and restrictions without including any of such that may
      be
      hereafter declared invalid, illegal, void or unenforceable.

     

    19.  Headings.
      The
      headings in this Agreement are for convenience only, do not constitute a part
      of
      the Agreement and shall not be deemed to limit or affect any of the provisions
      hereof.

     

    

    [SIGNATURE
      PAGE FOLLOWS]

     

    

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    IN
      WITNESS WHEREOF, and intending to be legally bound hereby, the parties have
      executed this Agreement as of the date first set forth above.

     

    
      	 	 	 
	 	
              FELLOWS
                ENERGY LTD.

            
	 
 	 
 	 
 
	 	By:  	/s/ GEORGE
              S.
              YOUNG
	 	
              
Name:
              George S. Young
	 	
              Title:
                Chief Executive Officer

            

    

     

     

    

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    [SIGNATURE
      PAGE OF HOLDER TO FLWE AMENDMENT AND WAIVER]

     

    Name
      of
      Holder: PALISADES MASTER FUND, L.P.

     

    
      	 	 	 	 
	/s/ Arlene
              DeCastro	 	 	/s/ Peter
              Cooper
	
              
Arlene
              DeCastro	 	 	
              
Peter
              Cooper
	Authorized
              Signatory	 	 	Authorized
              Signatory

    

     

     

     

    DTC
      Instructions:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00117-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00117-of-00352.parquet"}]]