Document:

exv10w6

 

Exhibit 10.6

For U.S. Employees

SYSCO CORPORATION

2007 STOCK INCENTIVE PLAN

______ STOCK OPTION AGREEMENT

Under the terms and conditions of the Sysco Corporation 2007 Stock Incentive Plan (the “Plan”), a
copy of which is incorporated into this Agreement by reference, Sysco Corporation (the
“Corporation” or “SYSCO”) grants to _____________________ (the “Optionee”) the option to purchase
_________ shares of the Corporation’s Common Stock, $1.00 par value, at the price of $_________ per
share, subject to adjustment as provided in the Plan (the “Option”).

This Option shall be for a term of _________ years commencing on the date of grant set forth below and
ending on _________ and shall be subject to the Terms and Conditions of Stock Option attached hereto
and incorporated in this Agreement by reference.

When exercised, all or a portion of this Option may be an incentive stock option, governed by
Section 422 of the Internal Revenue Code of 1986, as amended.

By accepting this Option, you accept and agree to be bound by all of the terms and conditions of
the Plan and Terms and Conditions of Stock Option, and you acknowledge receipt of the Plan and the
Plan Prospectus dated _________, which contains important information, including a discussion of
federal tax consequences, and SYSCO’s _________ Annual Report to Shareholders. In the event of any
conflict between the terms of this Option and the Plan, the Plan will control.

Granted on _________.

	 	 	 	 	 
	 	SYSCO CORPORATION

                                                            

                                        

                                        

 	 
	 	 	 
	 	 	 
	 	 	 

 

 

	 	 	 	 	 

For U.S. Employees

TERMS AND CONDITIONS OF STOCK OPTION

	 	1.	 	Please carefully review all of the provisions of the Sysco Corporation 2007 Stock
Incentive Plan (the “Plan”). In addition to the conditions set forth in the Plan, the
exercise of your option is contingent upon satisfying the terms and conditions set forth
in this document.
	 
	 	2.	 	The shares subject to your Option will vest as follows:

                                         shares on
________________________________;

                                         shares on
________________________________;

                                         shares on
________________________________;

                                         shares on
________________________________;

                                         shares on
________________________________;

	 	3.	 	This option will expire at the close of business on ____________.
	 
	 	4.	 	The vested portion of your option may be exercised at any time after it vests,
provided that at the time of the exercise all of the conditions set forth in the Plan and
in this document have been met. No portion of your option may be exercised prior to
____________.
	 
	 	5.	 	Please note that your option is nontransferable, except as designated by you by will
or by the laws of descent and distribution. Your stock option is in all respects limited
and conditioned as provided in the Plan, including, but not limited to, the following:
Your option will normally terminate on the earlier of (i) the date of the expiration of
the option or (ii) the 90th day after severance of your employment relationship with the
Corporation or any Subsidiary, as defined in the Plan, for any reason, for or without
cause. Whether an authorized leave of absence, or an absence for military or government
service, constitutes severance of your employment relationship with the Corporation or a
Subsidiary will be determined by the Committee administering the Plan at the time of the
event. However, if before the expiration of your option, your employment relationship
with the Corporation or a Subsidiary terminates as a result of your retirement in
good standing or disability under the established rules of the Corporation then in
effect, your option will remain in effect, vest and be exercisable in accordance with its
terms as if you remained an employee of the Corporation or a Subsidiary, and in the event
of your death while employed by the Corporation or any Subsidiary, your unvested options
will vest immediately and may be exercised by the executors or administrators of your
estate for up to three years following the
date of your death, but in no event later than the original termination date of the

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For U.S. Employees

	 	 	 	option. Notwithstanding the foregoing, no option may be exercised more than seven years
from the date of grant, and to the extent not exercised by the applicable deadline, the
option will terminate.
	 
	 	6.	 	By accepting this option, you acknowledge and agree that nothing contained herein
shall be deemed an offer of employment to you, or a contract of employment or a promise of
continued employment by or with the Corporation or any Subsidiary.
	 
	 	7.	 	At the time or times when you wish to exercise your option, you shall be required to
follow the procedures established by the Corporation for the exercise of options, a copy
of which has been provided to you with this stock option, and which the Corporation may
revise from time to time, provided that the Corporation will provide you with a copy of
any such revision. Notice of exercise of your option must be accompanied by a payment
equal to the applicable option exercise price plus all withholding taxes due, if any, such
amount to be paid in cash or by tendering, either by actual delivery of shares or by
attestation, shares of common stock that are acceptable to the Committee, such shares to
be valued at Fair Market Value, as defined in the Plan, as of the day the shares are
tendered, or paid in any combination of cash and shares, as determined by the Committee.
To the extent permitted by applicable law and the policies adopted from time to time by
the Committee, you may elect to pay the exercise price through the contemporaneous sale by
a third party broker of shares of common stock acquired upon exercise yielding net sales
proceeds equal to the exercise price and any withholding tax due and the remission of
those sale proceeds to the Corporation.
	 
	 	8.	 	Your option shall be subject to and governed by the laws of the State of Texas. The
Option Agreement, together with this document and the Plan, contains the entire agreement
of you and the Corporation with respect to your option, and no representation, inducement,
promise, or agreement or other similar understanding between you and the Corporation not
embodied herein shall be of any force or effect, and the Corporation will not be liable or
bound in any manner for any warranty, representation, or covenant except as specifically
set forth herein or in the Plan.

3exv4w1

 

Exhibit 4.1

EXECUTION
VERSION

AMENDMENT NO. 5 AND AGREEMENT

     This Amendment No. 5 and Agreement (“Agreement”) dated as of January 31, 2008 (“Effective
Date”) is among Mariner Energy, Inc., a Delaware corporation (the “Parent”), Mariner Energy
Resources, Inc., a Delaware corporation (“Mariner Energy Resources” and together with the Parent,
the “Borrowers”, each a “Borrower”), the Lenders (as defined in the Credit Agreement described
below), the New Lenders (as defined below), Union Bank of California, N.A., as administrative agent
(in such capacity, the “Administrative Agent”) and as issuing lender (in such capacity, the
“Issuing Lender”), Union Bank of California, N.A. as Joint Lead Arranger and Sole Book Runner, BNP
Paribas as Joint Lead Arranger and Syndication Agent, and BMO Capital Markets Financing, Inc.,
Guaranty Bank and JPMorgan Chase Bank, N.A. as Co-Documentation Agents.

RECITALS

     A. The Borrowers, the Lenders, the Issuing Lender and the Administrative Agent are parties to
the Amended and Restated Credit Agreement dated as of March 2, 2006, as amended by Amendment No. 1
and Consent dated as of April 7, 2006, Amendment No. 2 dated as of October 13, 2006, Amendment No.
3 and Consent dated as of April 23, 2007, and Amendment No. 4 dated as of August 24, 2007 (as so
amended and as the same may be further amended, restated, supplemented or otherwise modified from
time to time, the “Credit Agreement”).

     B. Pursuant to the Consent dated as of December 21, 2007 among the Lenders and the Borrowers,
the Lenders consented to the acquisition by the Parent from Hydro Gulf of Mexico, Inc., a Delaware
corporation, of 100% of the membership interests of Mariner Gulf of Mexico LLC (formerly known as
Hydro Gulf of Mexico, L.L.C.), a Delaware limited liability company (“MGOM”) which owns certain oil
and gas properties and related assets on the Gulf of Mexico shelf, for an expected purchase price
of $235,000,000 and the reimbursement of $8,000,000 of the costs of drilling operations on the High
Island 166 #5 well (collectively, the “MGOM Purchase”).

     C. To partially fund the MGOM Purchase, the Borrowers have requested an increase in the
aggregate Tranche A Commitments under, and as defined in, the Credit Agreement and a corresponding
increase in the Borrowing Base under, and as defined in, the Credit Agreement.

     D. To effect the increase to the aggregate Tranche A Commitments and subject to the terms set
forth herein, certain Lenders have agreed to increase their respective Tranche A Commitments and
certain other financial institutions have agreed to enter into the Credit Agreement as Lenders
(such new lenders being referred to herein as “New Lenders”).

     E. The Borrowers have also requested that (i) the Tranche A Maturity Date (as defined in the
Credit Agreement) be extended, (ii) certain other provisions to the Credit Agreement be amended as
set forth herein, and (iii) the Tranche B Facility, under and as defined in the Credit Agreement be
terminated as set forth herein.

 

 

     THEREFORE, the Borrowers, the subsidiaries of the Borrowers signatory hereto (the
“Guarantors”), the Lenders, the New Lenders, the Issuing Lender and the Administrative Agent hereby
agree as follows:

ARTICLE I.

DEFINITIONS

     Section 1.01 Terms Defined Above. As used in this Agreement, each of the terms
defined in the opening paragraph and the Recitals above shall have the meanings assigned to such
terms therein.

     Section 1.02 Terms Defined in the Credit Agreement. Each term defined in the Credit
Agreement and used herein without definition shall have the meaning assigned to such term in the
Credit Agreement, unless expressly provided to the contrary.

     Section 1.03 Other Definitional Provisions. The words “hereby”, “herein”,
“hereinafter”, “hereof”, “hereto” and “hereunder” when used in this Agreement shall refer to this
Agreement as a whole and not to any particular Article, Section, subsection or provision of this
Agreement. Article, Section, subsection and Exhibit references herein are to such Articles,
Sections, subsections and Exhibits of this Agreement unless otherwise specified. All titles or
headings to Articles, Sections, subsections or other divisions of this Agreement or the exhibits
hereto, if any, are only for the convenience of the parties and shall not be construed to have any
effect or meaning with respect to the other content of such Articles, Sections, subsections, other
divisions or exhibits, such other content being controlling as the agreement among the parties
hereto. Whenever the context requires, reference herein made to the single number shall be
understood to include the plural; and likewise, the plural shall be understood to include the
singular. Words denoting sex shall be construed to include the masculine, feminine and neuter,
when such construction is appropriate; and specific enumeration shall not exclude the general but
shall be construed as cumulative. Definitions of terms defined in the singular or plural shall be
equally applicable to the plural or singular, as the case may be, unless otherwise indicated.

ARTICLE II.

NEW LENDERS

     Section 2.01 New Lender Agreements. Each New Lender:

          (a) represents and warrants that it has full power and authority, and has taken all action
necessary, to execute and deliver this Agreement and to become a Lender under the Credit Agreement,

          (b) agrees that, from and after the Effective Date, it shall be bound by the provisions of the
Credit Agreement as a Lender thereunder and, subject to its Tranche A Commitment, shall have the
obligations of a Lender thereunder,

          (c) represents and warrants that it is sophisticated with respect to decisions to enter into
the Credit Agreement as a Lender and either it, or the person exercising discretion in making its
decision to enter into the Credit Agreement, is experienced in making credit decisions as a lender
in the type of transaction evidenced by the Credit Agreement,

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          (d) represents and warrants that it has received a copy of the Credit Agreement and such other
Loan Documents it has requested, and has received or has been accorded the opportunity to receive
copies of the most recent financial statements delivered pursuant to Section 5.06 thereof, as
applicable, and such other documents and information as it deems appropriate to make its own credit
analysis and decision to enter into this Agreement and the Credit Agreement,

          (e) represents and warrants that it has, independently and without reliance upon the
Administrative Agent or any other Lender or New Lender and based on such documents and information
as it has deemed appropriate, made its own credit analysis and decision to enter into this
Agreement and to become a Lender under the Credit Agreement,

          (f) if it is not incorporated under the laws of the United States of America or a state
thereof, has delivered or shall deliver simultaneously with the execution of this Agreement, any
documentation required to be delivered by it as a Lender pursuant to the terms of the Credit
Agreement, duly completed and executed by such New Lender; and

          (g) agrees that (i) it will, independently and without reliance on the Administrative Agent or
any other Lender or New Lender, and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit decisions in taking or not taking action
under the Loan Documents, and (ii) it will perform in accordance with their terms all of the
obligations which by the terms of the Loan Documents are required to be performed by it as a
Lender.

ARTICLE III.

AMENDMENTS TO CREDIT AGREEMENT

     Section 3.01 Amendments to Definitions.

          (a) The reference to “$540,000,000” on the cover page to the Credit Agreement is hereby
replaced with a reference to “$1,000,000,000.”

          (b) Section 1.01 of the Credit Agreement is hereby amended by adding the following new defined
terms in alphabetical order:

“Allowable Hedge Volume” means (a) 90% of Projected Volume for a Hedge
Contract with a term of three years or less, and (b) 75% of Projected Volume for a
Hedge Contract with a term of four or five years. For purposes of this definition,
“Projected Volume” shall be determined as of the first day of a calendar
month in which a Hedge Contract is entered into (the “Determination Date”)
by extrapolating the expected production decline rate attributable to “proved,
developed and producing” reserves of the Parent and its Subsidiaries (“PDP
Reserves”) in its most recent Independent Engineering Report from the actual
average daily production rate attributable to Oil and Gas Properties of the Parent
and its Subsidiaries for the four-week period immediately preceding the
Determination Date (the “Actual Rate”), such that the Projected Volume is
the Actual Rate declining at the decline rates for PDP Reserves and over the periods
reflected in such Independent Engineering Report.

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“Amendment No. 5” means that certain Amendment No. 5 and Agreement dated as
of January 31, 2008 which amends this Agreement.

          (c) Section 1.1 of the Credit Agreement is hereby amended by deleting the defined terms
“Borrowing Base”, “Change in Control”, “Lenders”, “Obligations”, “Swap Counterparty”, “Tranche A
Maturity Date”, and “Tranche B Commitment” in their entirety and replacing them with the following
corresponding terms:

“Borrowing Base” means at any particular time, the Dollar amount determined
in accordance with Section 2.02 on account of Proven Reserves attributable to Oil
and Gas Properties of the Parent and its Subsidiaries subject to an Acceptable
Security Interest and described in the most recent Independent Engineering Report or
Internal Engineering Report, as applicable, delivered to the Administrative Agent
and the Lenders pursuant to Section 2.02. Notwithstanding the foregoing and
provided that no Event of Default under Section 6.15 has occurred and is continuing,
the Proven Reserves attributable to Oil and Gas Properties of MGOM may be considered
in determining the Borrowing Base which is established under Amendment No. 5,
regardless of the fact that such Oil and Gas Properties would not, at such time, be
subject to an Acceptable Security Interest.

“Change in Control” shall mean the occurrence of any of the following
events:

     (a) the Parent shall cease to, directly or indirectly, own 100% of the Equity
Interests of its Subsidiaries other than as a result of a transaction permitted
under the terms of this Agreement;

     (b) any “person” (as such term is used in Section 13(d) and 14(d) of the
Exchange Act), or related persons constituting a “group” (as such term is used in
Rule 13d-5 under the Exchange Act) is or becomes or has the absolute, unconditional
right to become the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under
the Exchange Act), directly or indirectly, of 30% or more of the total voting power
of the voting stock of the Parent;

     (c) during any period of 12 consecutive months occurring after the Closing
Date, a majority of the members of the board of directors or other equivalent
governing body of the Parent ceases to be composed of individuals (i) who were
members of that board or equivalent governing body on the first day of such period,
(ii) whose election or nomination to that board or equivalent governing body was
approved by individuals referred to in clause (i) above constituting at the time of
such election or nomination at least a majority of that board or equivalent
governing body or (iii) whose election or nomination to that board or other
equivalent governing body was approved by individuals referred to in clauses (i) and
(ii) above constituting at the time of such election or nomination at least a
majority of that board or equivalent governing body (excluding, in the case of both
clause (ii) and clause (iii), any individual whose initial nomination for, or
assumption of office as, a member of that board or

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equivalent governing body occurs as a result of an actual or threatened
solicitation of proxies or consents for the election or removal of one or more
directors by any person or group other than a solicitation for the election of one
or more directors by or on behalf of the board of directors); or

     (d) Scott Josey ceases to be the Chief Executive Officer or President of the
Parent or to be actively engaged in the executive management of the Parent and is
not replaced with an individual of comparable qualifications within six months after
he ceases to be the Chief Executive Officer or President of the Parent or to be
actively engaged in the executive management of the Parent.

“Lenders” means the parties to this Agreement that (a) are identified as
lenders on the signature pages of this Agreement, (b) are identified as new lenders
entering into this Agreement under and as provided in Amendment No. 5, and (c) the
Eligible Assignees that become party to this Agreement pursuant to Section 10.06.

“Obligations” means (a) all principal, interest, fees, reimbursements,
indemnifications, and other amounts payable by any Obligor or any Subsidiary of an
Obligor to the Administrative Agent, the Issuing Lender, or the Lenders under the
Loan Documents, including without limitation, the Letter of Credit Obligations and
(b) all obligations of any Obligor or any Subsidiary of an Obligor owing to any Swap
Counterparty under any Interest Hedge Agreement or Hydrocarbon Hedge Agreement;
provided that, (i) when any Swap Counterparty assigns or otherwise transfers any
interest held by it under any Hedge Contract to any other Person pursuant to the
terms of such agreement, the obligations thereunder shall only constitute
Obligations if such assignee or transferee is also then a Lender or an Affiliate of
a Lender, and (ii) if a Swap Counterparty ceases to be a Lender hereunder or an
Affiliate of a Lender hereunder, obligations owing to such Swap Counterparty shall
only be included as Obligations to the extent such obligations arise from
transactions entered into at the time such Swap Counterparty was a Lender hereunder
or an Affiliate of a Lender hereunder, without giving effect to any extension,
increases, or modifications thereof which are made after such Swap Counterparty
ceases to be a Lender hereunder or an Affiliate of a Lender hereunder.

“Swap Counterparty” means any counterparty to a Hedge Contract with the
Parent or any of its Subsidiaries which was entered into while such counterparty (or
an Affiliate of such counterparty) has a Tranche A Commitment, has an Advance or
Letter of Credit Obligations owing to it, or has a risk participation in any
outstanding Letter of Credit; provided that, subject to the limitations in the
definition of “Obligations”, such counterparty will continue to be a Swap
Counterparty and secured by the Security Instruments as the counterparty after it or
its Affiliate ceases to be a Lender.

“Tranche A Maturity Date" means January 31, 2012.

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“Tranche B Commitment” means $0 for each Lender.

          (d) Section 5.06(d) of the Credit Agreement is hereby replaced in its entirety with the
following:

(d) Production Reports. Concurrent with the delivery of the financial
statements required under Sections 5.06(a) and (b) above, a report certified by a
Responsible Officer of the Borrower Representative in form and substance reasonably
satisfactory to the Administrative Agent prepared by the Borrower Representative
covering the Proven Reserves of the Parent and its Subsidiaries and detailing on a
monthly basis for each full month occurring during the fiscal quarter covered by
such statements (and in the case of the annual financial statements, the fourth
quarter only) (i) the production, revenue, and price information and associated
operating expenses for each such month, (ii) any changes to any producing reservoir,
production equipment, or producing well during each such month, which changes could
reasonably be expected to cause a Material Adverse Change, (iii) any sales of the
Parent’s or any Subsidiaries’ Oil and Gas Properties during such quarter, and (iv) a
detailed calculation of the Allowable Hedge Volume for any Hedge Contracts entered
into during such fiscal quarter.

          (e) Section 5.10 (Title Opinions) of the Credit Agreement is hereby replaced in its entirety
with the following:

Section 5.10 Title Opinions. The Borrowers shall from time to time upon the
reasonable request of the Administrative Agent after each redetermination of the
Borrowing Base, take such actions and execute and deliver such documents and
instruments as the Administrative Agent shall require to ensure that the
Administrative Agent shall have received satisfactory title opinions (including, if
requested, supplemental or new title opinions addressed to it) or other title
evidence, which title opinions or other title evidence shall be in form and
substance reasonably acceptable to the Administrative Agent in its sole discretion
and shall include, if title opinions are requested by the Administrative Agent,
opinions regarding the before payout and after payout ownership interests held by
the Parent and its Subsidiaries, for all wells located on the Oil and Gas Properties
covered thereby as to the ownership of Oil and Gas Properties of the Parent and its
Subsidiaries, and reflecting that the Administrative Agent has an Acceptable
Security Interest in such Oil and Gas Properties of the Parent and its Subsidiaries.
Such title evidence and title opinions shall collectively cover at least 70% of the
present value of the Proven Reserves of the Parent and its Subsidiaries as
determined by the Administrative Agent and at least 70% of the Proven Reserves of
the Parent and its Subsidiaries categorized as “proved, developed and producing”.
Notwithstanding the generality of the foregoing and to the extent not otherwise
provided in connection with the closing of Amendment No. 5, within 30 days after the
effective date of Amendment No. 5, the Borrowers shall provide to the Administrative
Agent such title evidence in form and substance reasonably acceptable to the
Administrative Agent covering at least 70% of the present value of the Proven
Reserves of the Parent and its Subsidiaries

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as determined by the Administrative Agent and at least 70% of the Proven Reserves of
the Parent and its Subsidiaries categorized as “proved, developed and producing”.

          (f) Section 5.09 (Use of Proceeds) of the Credit Agreement is hereby replaced in its entirety
with the following:

Section 5.09 Use of Proceeds. The Borrowers shall use the proceeds of the
Advances and the Tranche A Letters of Credit only (a) to refinance Debt outstanding
on the Closing Date, including Debt under the FERI Credit Agreement, the Project
Company Note and the Project Company Mortgage, (b) to satisfy obligations with
respect to the Subsidiary Merger Completion, (c) to fund the MGOM Purchase, as
defined in the Amendment No. 5, and (d) for general corporate purposes.

          (g) Section 6.04 (Merger or Consolidation; Asset Sales) of the Credit Agreement is hereby
amended by replacing clause (b) in its entirety with the following:

(b) sell, lease, transfer, assign, farm-out, convey, or otherwise dispose of any of
its Property (including, without limitation, any working interest, overriding
royalty interest, production payments, net profits interest, royalty interest, or
mineral fee interest) other than: (i) the sale of Hydrocarbons in the ordinary
course of business; (ii) the sale, in any one transaction or related series of
transactions, of Oil and Gas Properties which constitute Proven Reserves and which
transaction(s) generates proceeds (whether in cash, equity or other Property) not in
excess of 5% of the Borrowing Base in effect at the time such sale is entered into
or at the time such is effected; (iii) farm-ins, farm-outs, and other sales or
dispositions of Oil and Gas Properties that do not constitute Proven Reserves, in
each case occurring in the ordinary course of business and consistent with past
practices of the Parent established prior to the date of this Agreement, (iv) the
sale or transfer of equipment that is (A) obsolete, worn out, depleted or uneconomic
and disposed of in the ordinary course of business, (B) no longer necessary for the
business of such Person, or (C) replaced within 180 days by equipment of at least
comparable value and use, and (v) the sale or transfer of Property from the Parent
to a Wholly-Owned Subsidiary, from a Wholly-Owned Subsidiary to the Parent, or from
a Wholly-Owned Subsidiary to another Wholly-Owned Subsidiary provided that if prior
to such sale or transfer such Property is subject to a Lien securing the
Obligations, then (A) such Property shall remain subject to such Lien after such
transfer or sale and the new owner of such Property shall execute and deliver all
such agreements, instruments and other instruments requested by the Administrative
Agent which are necessary or desirable in order for the new owner to grant an
Acceptable Security Interest in such Property to secure the Obligations, and (B) the
Borrower Representative shall give to the Administrative Agent a 10 days’ prior
written notice of such sale or transfer of Property, (vi) sale, lease, transfer,
assignment, or other disposition of any Property that does not constitute Oil and
Gas Property and that is not Collateral, and (vii) the sale or assignment of the
Equity Interests

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in any Subsidiary, provided that such Subsidiary has no assets or Property which is
Oil and Gas Property or Collateral.

          (h) Section 6.06 (Investments) of the Credit Agreement is hereby amended by (i) replacing
clauses (f) and (j) in its entirety with the following new clauses (f) and (j), and (ii) adding the
following new clause (k):

(f) creation of any additional Subsidiaries of a Borrower in compliance with Section
6.15 and the making of initial capital contributions thereto or similar investments
therein;

(j) the acquisition of Equity Interests in any Person substantially all the assets
of which are comprised of Oil and Gas Properties and related Property (which may
include operations); provided that (i) immediately after giving effect to such
acquisition, such Person would become a Subsidiary of the Parent, (ii) the Borrowers
are otherwise in compliance with Section 6.15 with respect to such new Subsidiary,
and (iii) no Default or Event of Default has occurred or will occur after giving
effect to such acquisition, and

(k) other investments, loans or advances not otherwise permitted by this Section
6.06 in an aggregate amount not to exceed $100,000,000 outstanding at any time;
provided that, no such investment, loan or advance under this clause (l)
shall be permitted unless, both before and after giving effect to the making of such
investment, loan or advance, the sum of the cash and Liquid Investments of the
Obligors plus the Unused Tranche A Commitment Amount is at least equal to
$100,000,000 (except that the requirement set forth in this proviso shall not apply
to the first $10,000,000 invested, loaned or advanced under this clause (k) and such
requirement shall only apply to the other $90,000,000 potentially available under
this clause (k)).

Notwithstanding the foregoing, any acquisition which, if consummated directly by a
Borrower or any Subsidiary, would be permitted under Section 6.06(g) or 6.06(j)
above may be effected thereunder by a Borrower or any Subsidiary through an exchange
accommodation titleholder (the “Accommodation Titleholder”) in a reverse
like-kind exchange transaction under Section 1031 of the Code and funded (by loan or
otherwise) by a Borrower or Subsidiary, provided that (i) the Accommodation
Titleholder is a Lender or an Affiliate of a Lender, (ii) the underlying Oil and Gas
Properties are leased to a Borrower or its Subsidiary or are the subject of a
management agreement pursuant to which a Borrower or its Subsidiary manages such Oil
and Gas Properties, in either case, during the period commencing on the
date on which the Accommodation Titleholder acquires the subject Oil and Gas
Properties or Equity Interests and ending on the date on which legal title to such
Oil and Gas Properties or Equity Interests is transferred to a Borrower or its
Subsidiary, (iii) on the date on which the Accommodation Titleholder acquires the
subject Oil and Gas Properties or Equity Interests the Administrative Agent shall
have an Acceptable Security Interest in either (A) the underlying Oil and Gas
Properties which constitute

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Proven Reserves if such acquisition is of Oil and Gas Properties or (B) the Equity
Interests of the Person acquired by the Accommodation Titleholder if such
acquisition is of Equity Interests, and (iv) a Borrower or its Subsidiary must
acquire such Oil and Gas Properties or Equity Interests pursuant to a put option in
favor of the Accommodation Titleholder and a call option in favor of a Borrower or
its Subsidiary, in either case, exercisable within the period prescribed by Section
1031 of the Code to complete a qualified exchange thereunder. Notwithstanding the
foregoing provision, other than as expressly permitted otherwise under this
Agreement, (A) such underlying Oil and Gas Properties may not be considered for the
Borrowing Base until legal title to such Properties are held by a Borrower or a
Subsidiary and included in a Borrowing Base redetermined by the Lenders in
accordance with the terms hereof, and (B) nothing contained herein shall be
construed as a consent by the Lenders to the sale of Properties which is effected to
complete such qualified exchange which sale is not otherwise permitted by the terms
of Section 6.04(b). Notwithstanding anything herein to the contrary, the
Accommodation Titleholder shall not be required to execute a Guaranty.

          (i) Section 6.14 (Limitation on Speculative Hedging) of the Credit Agreement is hereby
replaced in its entirety with the following:

Section 6.14 Limitation on Speculative Hedging. No Borrower shall, nor
shall any Borrower permit any of its Subsidiaries to, (a) purchase, assume, or hold
a speculative position in any commodities market or futures market or enter into any
Hydrocarbon Hedge Agreement, Interest Hedge Agreement or similar hedge arrangement
(except the purchase of any put) for speculative purposes or (b) be party to or
otherwise enter into any Hedge Contract (except the purchase of any put) which (i)
is entered into for reasons other than as a part of its normal business operations
as a risk management strategy and/or hedge against changes resulting from market
conditions related to such Borrower’s operations, (ii) which exceeds the Allowable
Hedge Volume, or (iii) which has a term in excess of five years.

          (j) Section 6.15 (Additional Subsidiaries) of the Credit Agreement is hereby replaced in its
entirety with the following:

Section 6.15 Additional Subsidiaries. No Borrower shall, nor shall any
Borrower permit any of its Subsidiaries to, create or acquire any additional
Subsidiaries without (a) giving prior written notice of such creation or acquisition
to the Administrative Agent, (b) such new Subsidiary of such Borrower executing and
delivering to the Administrative Agent a Guaranty and at the Administrative Agent’s
request, a Pledge Agreement, a Security Agreement and a Mortgage, and such other
Security Instruments as the Administrative Agent or the Required Lenders may
reasonably request, (c) such holders of Equity Interest of such new Subsidiary
executing and delivering a Pledge Agreement or a supplement to an existing Pledge
Agreement, and (d) the delivery by the Borrower of any certificates, opinions of
counsel, title opinions or other documents as the

Page 9

 

Administrative Agent may reasonably request; provided that, the Borrowers shall not
be required to deliver Mortgages covering the Proven Reserves acquired as a result
of the MGOM Purchase (as defined in the Amendment No. 5) until February 7, 2008.

          (k) Section 9.05 (Indemnification) of the Credit Agreement is hereby amended by adding the
following new sentences to the end thereof:

To the extent that the indemnity obligations provided in this Section 9.05 are for
the benefit of the Administrative Agent as the named secured party under the Liens
granted under the Security Instruments, each Lender hereby agrees that if such
Lender ceases to be a Lender hereunder but Obligations owing to such Lender or an
Affiliate of such Lender under any Hedge Contract continue to be secured by such
Liens, then such Lender shall continue to be bound by the provisions of this Section
9.05 until such time as such Obligations have been satisfied or terminated in full.
In such event, the term “Pro Rata Share” as used in this Section 9.05 shall also
include the maximum aggregate amount (giving effect to any netting agreements) that
would be required to be paid by the obligor to such Swap Counterparty if such Hedge
Contracts were terminated as such time.

          (l) Section 9.08 (Collateral Matters) of the Credit Agreement is hereby amended by adding the
following new clause (c) to the end thereof:

(c) By accepting the benefit of the Liens granted pursuant to the Security
Instruments, each Secured Party hereby agrees to the terms of this Section 9.08.

          (m) Section 10.18 (ORAL AGREEMENTS) of the Credit Agreement is hereby renumbered as Section
10.19 and a new Section 10.18 is added as follows:

Section 10.18 Voting — Swap Counterparties. No Swap Counterparty shall have
any voting or consent rights under this Agreement or any other Loan Document as a
result of the existence of obligations owing to it under any Interest Hedge
Agreement or Hydrocarbon Hedge Agreement and each Swap Counterparty. By accepting
the benefit of the Liens granted pursuant to the Security Instruments, each Swap
Counterparty hereby agrees to the terms of this Section 10.18. This Section shall
not restrict any Swap Counterparty’s voting or consent rights in its capacity as a
Lender.

          (n) The Credit Agreement is hereby further amended by deleting Schedule II attached thereto
and replacing it with the Schedule II attached hereto.

ARTICLE IV.

AGREEMENTS

     Section 4.01 Borrowing Base. Notwithstanding anything the contrary contained in the
Credit Agreement, the parties hereto agree that, as of the Effective Date, the Borrowing Base

Page 10

 

shall be equal to $750,000,000 and such Borrowing Base shall remain in effect at such amount
until the Borrowing Base is redetermined in accordance with the Credit Agreement.

     Section 4.02 Breakage Costs. If, as a result of increase in the aggregate Tranche A
Commitments effected hereby, including the introduction of the New Lenders under the Credit
Agreement, any Lender incurs any losses, out-of-pocket costs or expenses as a result of any payment
of Eurodollar Rate Advances prior to the last day of the Interest Period applicable thereto
(whether by the Borrowers or as a result of the reallocation of the outstandings of the Eurodollar
Rate Advances under the Credit Agreement due to the changes in the Lenders’ Pro Rata Share
resulting from the non-pro rata increases in the Tranche A Commitments and the introduction of New
Lenders into the Credit Agreement) and such Lender makes a request for compensation, the Borrowers
shall, within 10 days of any written demand sent by such Lender to the Borrowers through the
Administrative Agent, pay to the Administrative Agent for the account of such Lender any amounts
required to compensate such Lender for such losses, out-of-pocket costs or expenses which it may
reasonably incur as a result of such payment or reallocation, including, without limitation, any
loss (but excluding loss of anticipated profits), cost or expense incurred by reason of the
liquidation or reemployment of deposits or other funds acquired by any Lender to fund or maintain
such Advances.

     Section 4.03 Upfront Fees. The Borrowers shall pay to the Administrative Agent for
the pro rata account of the Lenders and the New Lenders, an upfront fee in the amount of $1,875,000
which is equal to .25% of the Borrowing Base in effect after giving effect to this Agreement. Such
fee shall be non-refundable and deemed to be fully earned when paid. The parties hereto (a)
acknowledge and agree that the upfront fee provided for in this Section 4.03 shall be in lieu of,
and not in addition to, the Borrowing Base increase fee that would be payable under Section 2.08(d)
of the Credit Agreement for the Borrowing Base increase effected hereby, and (b) waives such fee
that would be payable under Section 2.08(d) of the Credit Agreement in connection with the
Borrowing Base increase effected hereby. Such waiver of the Borrowing Base increase fee is
strictly limited to the extent described herein. Nothing contained herein shall be construed to be
a consent to, amendment to, or a permanent waiver of Section 2.08(d) of the Credit Agreement.

     Section 4.04 Termination of Tranche B Facility. The parties hereto hereby acknowledge
and agree that, for all purposes under the Credit Agreement and the other Loan Documents, the
Tranche B Facility has been terminated and is no longer in effect.

     Section 4.05 Confirmation of Tranche A Commitments and Pro Rata Share of New Borrowing
Base. Each Lender and each New Lender hereby acknowledges and confirms that, as of the date
hereof and after giving effect to this Agreement (a) its respective Tranche A Commitment is as set
forth next to its name on Schedule II attached hereto, and (b) its respective Pro Rata Share of the
Borrowing Base is as set forth next to its name on Schedule I attached hereto.

     Section 4.06 Syndication Agent, Joint Lead Arrangers, Sole Book Runner and
Co-Documentation Agents. None of the Persons identified as a party to this Amendment as a
“Syndication Agent,” “Joint Lead Arranger,” “Sole Book Runner”, or “Co-Documentation Agent” shall
have any right, power, obligation, liability, responsibility or duty under this

Page 11

 

Agreement under such titles. Without limiting the foregoing, none of the Persons so
identified as a “Syndication Agent,” “Joint Lead Arranger,” “Sole Book Runner”, or
“Co-Documentation Agent” shall have or be deemed to have any fiduciary relationship with any other
party hereto. Each party hereto acknowledges that it has not relied, and will not rely, on any of
the parties so identified in deciding to enter into this Agreement or in taking or not taking
action hereunder.

ARTICLE V.

REPRESENTATIONS AND WARRANTIES

     Section 5.01 Borrowers Representations and Warranties. Each of the Borrowers
represents and warrants that: (a) its representations and warranties contained in Article IV of the
Credit Agreement and its representations and warranties contained in the Security Instruments, the
Guaranties, and each of the other Loan Documents to which it is a party are true and correct in all
material respects on and as of the Effective Date, after giving effect to the terms of this
Agreement, as though made on and as of such date, except those representations and warranties that
speak of a certain date, which representations and warranties remain true and correct as of such
certain date; (b) no Default has occurred and is continuing; (c) the execution, delivery and
performance of this Agreement and the other documents, instruments, certificates and agreements
(“Other Documents”) required to be delivered by this Agreement and to which each of the Borrowers
is a party are within the corporate power and authority of each of the Borrowers and have been duly
authorized by appropriate corporate action and proceedings; (d) this Agreement and the Other
Documents to which each of the Borrowers is a party constitute legal, valid, and binding
obligations of such Borrower enforceable in accordance with their respective terms, except as
limited by applicable bankruptcy, insolvency, reorganization, moratorium, or similar laws affecting
the rights of creditors generally and general principles of equity; (e) there are no governmental
or other third party consents, licenses and approvals required in connection with the execution,
delivery, performance, validity and enforceability of this Agreement or any of the Other Documents;
and (f) the Liens under the Security Instruments are valid and subsisting and secure each of the
Borrowers’ obligations under the Loan Documents.

     Section 5.02 Guarantors Representations and Warranties. Each Guarantor represents and
warrants that: (a) its representations and warranties contained in Article IV of the Credit
Agreement and its representations and warranties contained in the Security Instruments, the
Guaranties, and each of the other Loan Documents to which it is a party are true and correct in all
material respects on and as of the Effective Date, as though made on and as of such date, except
those representations and warranties that speak of a certain date, which representations and
warranties remain true and correct as of such certain date; (b) after giving effect to the terms of
this Agreement, no Default has occurred and is continuing; (c) the execution, delivery and
performance of this Agreement and the Other Documents to which such Guarantor is a party are within
the corporate power and authority of such Guarantor and have been duly authorized by appropriate
corporate action and proceedings; (d) this Agreement and the Other Documents to which such
Guarantor is a party constitute legal, valid, and binding obligations of such Guarantor enforceable
in accordance with their respective terms, except as limited by applicable bankruptcy, insolvency,
reorganization, moratorium, or similar laws affecting the rights of creditors generally and general
principles of equity; (e) there are no governmental or other third party consents, licenses and
approvals required in connection with the execution, delivery, performance, validity and
enforceability of this Agreement or any of the Other Documents; (f) it

Page 12

 

has no defenses to the enforcement of its Guaranty; and (g) the Liens under the Security
Instruments are valid and subsisting and secure such Guarantor’s obligations under the Loan
Documents.

ARTICLE VI.

CONDITIONS

     This Agreement shall become effective and enforceable against the parties hereto, and the
Credit Agreement shall be amended as provided herein, upon the occurrence of the following
conditions precedent:

     Section 6.01 Documentation. The Administrative Agent shall have received the
following, duly executed by all the parties thereto, in form and substance reasonably satisfactory
to the Administrative Agent:

          (a) this Agreement;

          (b) new Tranche A Notes for Lenders that have requested them and are increasing their
respective Tranche A Commitments pursuant hereto and new Tranche A Notes for the New Lenders that
have requested them;

          (c) supplements to Mortgages or such other Security Instruments in form and substance
acceptable to the Administrative Agent and granting an Acceptable Security Interest in the Oil and
Gas Properties acquired pursuant to the Tamarack Acquisition (as defined below);

          (d) amendments to Mortgages in form and substance acceptable to the Administrative Agent which
the Administrative Agent deems necessary in light of the increase in the aggregate Commitments
effected hereby;

          (e) a Guaranty and supplement to the Security Agreement executed by MGOM in form and substance
acceptable to the Administrative Agent and a supplement to the Pledge Agreement executed by the
Parent evidencing the pledge of the Equity Interests of MGOM in form and substance acceptable to
the Administrative Agent;

          (f) an amendment to the Fee Letter as agreed to between the Borrowers and the Administrative
Agent;

          (g) favorable opinions of the Borrowers’ and the Guarantors’ counsel dated as of the date of
this Agreement in form and substance satisfactory to the Administrative Agent and covering such
matters as the Administrative Agent may reasonably request;

          (h) copies, certified as of the date of this Agreement by a Responsible Officer of each
Borrower of (i) the resolutions of the board of directors of such Borrower authorizing this
Amendment and the increase in the aggregate Tranche A Commitments, (ii) the certificate of
incorporation and the bylaws of such Borrower, and (iii) all other documents evidencing other
necessary corporate action and governmental approvals, if any, with respect to this Agreement, the
Notes, and the other Loan Documents;

Page 13

 

          (i) certificates of a Responsible Officer of each Borrower certifying the names and true
signatures of the officers of such Borrower authorized to sign this Agreement, the Notes, Notices
of Borrowing, Notices of Conversion or Continuation, and the other Loan Documents to which such
Borrower is a party;

          (j) copies, certified as of the date of this Agreement by a Responsible Officer or the
secretary or an assistant secretary of each Guarantor and MGOM of (i) the resolutions of the board
of directors or managers (or other applicable governing body) of such Person approving this
Agreement and the Other Documents to which such Person is a party, (ii) the articles or certificate
(as applicable) of incorporation (or organization) and bylaws or other governing documents of such
Person, and (iii) all other documents evidencing other necessary corporate action and governmental
approvals, if any, with respect to the Guaranty, the Security Instruments, and the other Loan
Documents to which such Person is a party;

          (k) a certificate of the secretary or an assistant secretary of each Guarantor and MGOM
certifying the names and true signatures of officers of such Person authorized to sign this
Agreement and the Loan Documents to which such Guarantor is a party;

          (l) a certificate dated as of the Effective Date from a Responsible Officer of each Borrower
on behalf of such Borrower stating that (i) all representations and warranties of such Borrower set
forth in the Credit Agreement are true and correct in all material respects as of the Effective
Date as if made on the Effective Date other than such representations and warranties that speak of
a certain earlier date, which representations and warranties are true and correct as of such
earlier date; (ii) no Default has occurred and is continuing; and (iii) the conditions in this
Section 6.01 have been met;

          (m) certificates of good standing and existence for the Borrowers and each Guarantor in each
state in which each such Person is organized, which certificate shall be dated a date not sooner
than 30 days prior to Effective Date;

          (n) executed copies, certified by an authorized officer of the Borrower, of (i) the Membership
Interest Purchase Agreement by and between Hydro Gulf of Mexico, Inc. and the Parent executed
December 23, 2007 related to the MGOM Purchase together with all amendments, modifications, or
waivers thereto in effect on the Effective Date (collectively, the “MGOM Agreement”) and (ii) the
Asset Purchase and Sale Agreement, dated as of December 28, 2007, between Tamarack Petroleum
Company, Inc., on its own behalf and as agent and attorney-in-fact for the persons identified
therein, as sellers, and the Parent, as buyer (the “Tamarack Acquisition”), together with all
amendments, modifications, or waivers thereto in effect on the Effective Date; and

          (o) such other documents, governmental certificates, agreements and lien searches as the
Administrative Agent, any Lender or any New Lender may reasonably request.

     Section 6.02 Delivery of Financial Information. The Administrative Agent shall have
received (a) true and correct copies of pro forma unaudited consolidated balance sheet of the
Parent and its Subsidiaries as of September 30, 2007 and giving effect to the MGOM Purchase

Page 14

 

and the Tamarack Acquisition, and (b) such other financial information as the Administrative
Agent may reasonably request.

     Section 6.03 Payment of Fees. The Borrowers shall have paid (a) the upfront fee
referenced in Section 4.03 above, (b) the fees required to be paid on the Effective Date under the
Fee Letter, as defined in the Credit Agreement as amended hereby, and (c) all costs and expenses
that have been invoiced and are payable pursuant to Section 10.04 of the Credit Agreement.

     Section 6.04 Title; Security Instruments. The Administrative Agent shall be satisfied
in its sole discretion with the title to (a) at least 60% of the present value of Proven Reserves
(as set forth on the Independent Engineering Report(s) most recently delivered to the
Administrative Agent prior to the Effective Date and covering the Oil and Gas Properties to be
considered for the Borrowing Base redetermined hereby) which are categorized as “proved, developed
and producing” and (b) at least 60% of the present value of Proven Reserves (as set forth on the
Independent Engineering Report(s) most recently delivered to the Administrative Agent prior to the
Effective Date and covering the Oil and Gas Properties to be considered for the Borrowing Base
redetermined hereby) which are categorized as “proved.”

     Section 6.05 No Default. No Default shall have occurred and be continuing.

     Section 6.06 Representations and Warranties. The representations and warranties
contained in Article IV of the Credit Agreement and in each other Loan Document shall be true and
correct in all material respects other than such representations and warranties that speak of a
certain earlier date, which representations and warranties shall be true and correct as of such
earlier date.

     Section 6.07 Material Adverse Change. Since the date of the financial statements
delivered to the Administrative Agent pursuant to Section 5.06(b) of the Credit Agreement for the
fiscal quarter ended September 30, 2007, no event or circumstance that could reasonably be expected
to cause a Material Adverse Change shall have occurred.

     Section 6.08 No Proceeding or Litigation; No Injunctive Relief. No action, suit,
investigation or other proceeding (including, without limitation, the enactment or promulgation of
a statute or rule) by or before any arbitrator or any Governmental Authority shall be threatened or
pending and no preliminary or permanent injunction or order by a state or federal court shall have
been entered (a) in connection with this Agreement, the MGOM Purchase Agreement, or any transaction
contemplated hereby or thereby or (b) which, in any case, in the judgment of the Administrative
Agent, could reasonably be expected to result in a Material Adverse Change.

     Section 6.09 Consents, Licenses, Approvals, etc. The Administrative Agent shall have
received true copies (certified to be such by the Parent or other appropriate party) of all
consents, licenses and approvals, if any, required in accordance with applicable Legal
Requirements, or in accordance with any document, agreement, instrument or arrangement to which any
Obligor or any Subsidiary of an Obligor is a party (other than immaterial agreements the breach of
which could not reasonably be expected to result in a Material Adverse Change or matters disclosed
on Schedule 4.18 of the Credit Agreement, as amended hereby), and in each

Page 15

 

case, in connection with the execution, delivery, performance, validity and enforceability of
this Agreement and the other Loan Documents.

     Section 6.10 Hedging Arrangements. The Administrative Agent shall be satisfied with
the terms of the Hydrocarbon Hedge Agreements entered into by the Obligors and in effect on the
Effective Date.

     Section 6.11 MGOM Purchase. The Administrative Agent shall have received evidence
satisfactory to it that all actions necessary to consummate the MGOM Purchase (other than the
payment of the purchase price) for a purchase price of not greater than $250,000,000 shall have
been taken in accordance with all Legal Requirements and in accordance with the terms of the MGOM
Purchase Agreement, without amendment or waiver of any material provision thereof from the forms of
the MGOM Purchase Agreement provided to and reviewed by the Administrative Agent.

     Section 6.12 Minimum Liquidity. The Administrative Agent shall have received evidence
that, after giving effect to this Agreement and the consummation of the MGOM Purchase, the sum of
the Parent’s unrestricted cash and Unused Tranche A Commitment Amount shall be at least
$100,000,000 as of the Effective Date.

ARTICLE VII.

MISCELLANEOUS

     Section 7.01 Effect on Loan Documents; Acknowledgments.

          (a) Each of the Borrowers acknowledges that on the date hereof all Obligations are payable
without defense, offset, counterclaim or recoupment.

          (b) The Administrative Agent, the Issuing Lender, the Lenders and the New Lenders hereby
expressly reserve all of their rights, remedies, and claims under the Loan Documents. Nothing in
this Agreement shall constitute a waiver or relinquishment of (i) any Default or Event of Default
under any of the Loan Documents, (ii) any of the agreements, terms or conditions contained in any
of the Loan Documents other than as expressly set forth above, (iii) any rights or remedies of the
Administrative Agent, the Issuing Lender, any Lender or any New Lender with respect to the Loan
Documents, or (iv) the rights of the Administrative Agent, any Issuing Lender, any Lender or any
New Lender to collect the full amounts owing to them under the Loan Documents.

          (c) Each of the Borrowers, the Guarantors, Administrative Agent, Issuing Lender, Lenders and
the New Lenders does hereby adopt, ratify, and confirm the Credit Agreement, as amended hereby, and
acknowledges and agrees that the Credit Agreement, as amended hereby, and all other Loan Documents
are and remain in full force and effect, and each of the Borrowers and the Guarantors acknowledges
and agrees that its liabilities under the Credit Agreement and the other Loan Documents are not
impaired in any respect by this Agreement or the consents granted hereunder.

Page 16

 

          (d) From and after the Effective Date, all references to the Credit Agreement and the Loan
Documents shall mean such Credit Agreement and such Loan Documents as amended by this Agreement.

          (e) This Agreement is a Loan Document for the purposes of the provisions of the other Loan
Documents. Without limiting the foregoing, any breach of representations, warranties, and
covenants under this Agreement shall be a Default or Event of Default, as applicable, under the
Credit Agreement.

     Section 7.02 Reaffirmation of the Guaranty. Each Guarantor hereby ratifies, confirms,
acknowledges and agrees that its obligations under its Guaranty are in full force and effect and
that such Guarantor continues to unconditionally and irrevocably guarantee the full and punctual
payment, when due, whether at stated maturity or earlier by acceleration or otherwise, all of the
Guaranteed Obligations (as defined in its Guaranty), as such Guaranteed Obligations may have been
amended by this Agreement, and its execution and deliver of this Agreement does not indicate or
establish an approval or consent requirement by such Guarantor under its Guaranty in connection
with the execution and delivery of amendments to the Credit Agreement, the Notes or any of the
other Loan Documents.

     Section 7.03 Counterparts. This Agreement may be signed in any number of
counterparts, each of which shall be an original and all of which, taken together, constitute a
single instrument. This Agreement may be executed by facsimile signature and all such signatures
shall be effective as originals.

     Section 7.04 Successors and Assigns. This Agreement shall be binding upon and inure
to the benefit of the Lenders, the New Lenders, the Borrowers and the Administrative Agent hereto
and their respective successors and assigns permitted pursuant to the Credit Agreement.

     Section 7.05 Invalidity. In the event that any one or more of the provisions
contained in this Agreement shall for any reason be held invalid, illegal or unenforceable in any
respect, such invalidity, illegality or unenforceability shall not affect any other provision of
this Agreement.

     Section 7.06 Governing Law. This Agreement shall be deemed to be a contract made
under and shall be governed by and construed in accordance with the laws of the State of Texas.

     Section 7.07 Entire Agreement. THIS AGREEMENT, THE CREDIT AGREEMENT AS AMENDED BY THIS
AGREEMENT, THE NOTES, AND THE OTHER LOAN DOCUMENTS CONSTITUTE THE ENTIRE UNDERSTANDING AMONG THE
PARTIES HERETO WITH RESPECT TO THE SUBJECT MATTER HEREOF AND SUPERSEDE ANY PRIOR AGREEMENTS,
WRITTEN OR ORAL, WITH RESPECT THERETO.

THERE ARE NO UNWRITTEN ORAL AGREEMENTS AMONG THE PARTIES.

[SIGNATURES BEGIN ON NEXT PAGE]

Page 17

 

     EXECUTED effective as of the date first above written.

	 	 	 	 	 	 	 
	 	 	MARINER ENERGY, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ John H. Karnes	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	John H. Karnes	 	 
	 

	 	 	 	Senior Vice President and Chief Financial	 	 
	 

	 	 	 	Officer	 	 
	 
	 	 	 	 	 	 
	 	 	MARINER ENERGY RESOURCES, INC.	 	 
	 
	 

	 	By:
	 	/s/ John H. Karnes	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	John H. Karnes	 	 
	 

	 	 	 	Senior Vice President and Chief Financial	 	 
	 

	 	 	 	Officer	 	 
	 
	 	 	 	 	 	 
	 	 	MARINER LP LLC, a Delaware	 	 
	 	 	limited liability company	 	 
	 

	 	 	 	By: Mariner Energy, Inc., its sole member	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ John H. Karnes	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	John H. Karnes	 	 
	 

	 	 	 	Senior Vice President and Chief Financial	 	 
	 

	 	 	 	Officer	 	 
	 
	 	 	 	 	 	 
	 	 	MC BELTWAY 8 LLC, a Delaware limited	 	 
	 	 	liability company	 	 
	 

	 	 	 	By: Mariner Energy, Inc. as its manager	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ John H. Karnes	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	John H. Karnes	 	 
	 

	 	 	 	Senior Vice President and Chief Financial	 	 
	 

	 	 	 	Officer	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	UNION BANK OF CALIFORNIA, N.A.,	 	 
	 	 	as Administrative Agent, Issuing Lender, Lender,	 	 
	 	 	Joint Lead Arranger and Sole Book Runner	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Damien G. Meiburger	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Damien G. Meiburger	 	 
	 

	 	Title:
	 	Senior Vice President	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	BNP PARIBAS, as a Lender, Joint Lead Arranger

and Syndication Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Douglas R. Liftman
 

	 	 
	 

	 	Name:
	 	Douglas R. Liftman	 	 
	 

	 	Title:
	 	Managing Director	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Polly Schott	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Polly Schott	 	 
	 

	 	Title:
	 	Vice President	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	BMO CAPITAL MARKETS FINANCING, INC.,
 as a Lender and
as a Co-Documentation Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:

Name:
	 	/s/ James V. Ducote
 

James V. Ducote
	 	 
	 

	 	Title:
	 	Director	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	GUARANTY BANK, as a Lender and as a Co-
Documentation
Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ W. David McCarver IV
 

	 	 
	 

	 	Name:
	 	W. David McCarver IV	 	 
	 

	 	Title:
	 	Vice President	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	JPMORGAN CHASE BANK, N.A. , as a Lender
 and as a
Co-Documentation Agent	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Jo Linda Papadakis
 

	 	 
	 

	 	Name:

Title:
	 	Jo Linda Papadakis

Vice President	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	CAYLON NEW YORK BRANCH, as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Tom Byargeon
 

	 	 
	 

	 	Name:
	 	Tom Byargeon	 	 
	 

	 	Title:
	 	Managing Director	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Sharada Manne	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:

Title:
	 	Sharada Manne 

Vice President	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	CITICORP USA, INC., as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ David Hunt
 

	 	 
	 

	 	Name:
	 	David Hunt	 	 
	 

	 	Title:
	 	Vice President	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	THE BANK OF NOVA SCOTIA, as a New Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Andrew Ostrov
 

	 	 
	 

	 	Name:
	 	Andrew Ostrov	 	 
	 

	 	Title:
	 	Director	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	WELLS FARGO BANK, NATIONAL ASSOCIATION, as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Terence D’Souza
 

	 	 
	 

	 	Name:
	 	Terence D’Souza	 	 
	 

	 	Title:
	 	Vice President	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	COMERICA BANK, as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Josh Strong
 

	 	 
	 

	 	Name:
	 	Josh Strong	 	 
	 

	 	Title:
	 	Assistant Vice President	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	NATIXIS, as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Donovan C. Broussard	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Donovan C. Broussard	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	Managing Director
	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Liana Tchernysheva	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Liana Tchernysheva	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	Director	 	 
	 

	 	 	 	 	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	BANK OF SCOTLAND plc, as a New Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Karen Weich	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Karen Weich
	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	Vice President	 	 
	 

	 	 	 	 	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	CAPITAL ONE, N.A., as a New Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Paul D. Hein
	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Paul D. Hein	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	Vice President	 	 
	 

	 	 	 	 	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	DZ BANK AG DEUTSCHE ZENTRAL-

GENOSSENSCHAFTSBANK FRANKFURT AM

MAIN, NEW YORK BRANCH, as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Scott B. Lamoreaux
	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Scott B. Lamoreaux	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	First Vice President	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Paul J. Bowles	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Paul J. Bowles	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	Assistant Treasurer	 	 
	 

	 	 	 	 	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	WACHOVIA BANK, NATIONAL

ASSOCIATION, as a New Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Henry R. Biedrzycki	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	Henry R. Biedrzycki
	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	 Director	 	 
	 

	 	 	 	 	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	AMEGY BANK NATIONAL ASSOCIATION, 
as a Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Kenneth R. Batson, III
	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	 Kenneth R. Batson, III	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	Vice President	 	 
	 

	 	 	 	 	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

	 	 	 	 	 	 	 
	 	 	THE FROST NATIONAL BANK, 
as a New Lender	 	 
	 
	 	 	 	 	 	 
	 

	 	By:
	 	/s/ Thomas H. Dungan
	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:
	 	 Thomas H. Dungan	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:
	 	 Sr. Vice President	 	 
	 

	 	 	 	 	 	 

Signature Page to Amendment No. 5 and Agreement

(Mariner Energy, Inc. and Mariner Energy Resources, Inc.)

 

 

SCHEDULE I

Pro Rata Share of Borrowing Base

	 	 	 	 	 
	 	 	Pro Rata Share of
	Lenders/New Lenders:	 	Borrowing Base:
	Union Bank of California, N.A.
	 	$	62,500,000	 
	BNP Paribas
	 	$	62,500,000	 
	BMO Capital Markets Financing, Inc.
	 	$	60,000,000	 
	Guaranty Bank
	 	$	60,000,000	 
	JP Morgan Chase Bank, N.A.
	 	$	60,000,000	 
	Calyon New York Branch
	 	$	45,000,000	 
	Citicorp USA, Inc.
	 	$	45,000,000	 
	The Bank of Nova Scotia
	 	$	45,000,000	 
	Wells Fargo Bank, National Association
	 	$	45,000,000	 
	Comerica Bank
	 	$	40,000,000	 
	Natixis
	 	$	40,000,000	 
	Bank of Scotland plc
	 	$	32,500,000	 
	Capital One, N.A.
	 	$	32,500,000	 
	DZ BANK AG
Deutsche Zentral Genossenschaftsbank Frankfurt am Main, New
York Branch
	 	$	32,500,000	 
	Wachovia Bank, National Association
	 	$	32,500,000	 
	Amegy Bank National Association
	 	$	27,500,000	 
	The Frost National Bank
	 	$	27,500,000	 
	Total:
	 	$	750,000,000.00	 

Schedule I

Page 1 of 1

 

SCHEDULE II

BORROWERS, ADMINISTRATIVE AGENT, AND LENDER INFORMATION

Borrowers: Mariner Energy, Inc. and Mariner Energy Resources, Inc.

c/o Mariner Energy, Inc.

One BriarLake Plaza, Suite 2000

2000 West Sam Houston Parkway South

Houston, Texas 77042

Facsimile Number: 713-954-5555

Attention: John Karnes

Administrative Agent/Issuing Lender: Union Bank of California, N.A.

445 South Figueroa Street, 15th Floor

Los Angeles, California 90071

Facsimile Number: 213-236-6823

Attention: Don Smith

With a copy to:

4200 Lincoln Plaza

500 N. Akard

Dallas, Texas 75201

Facsimile Number: 214-922-4209

Attention: Damien Meiburger

	 	 	 	 
	Lender	 	Tranche A Commitment
	Union Bank of California, N.A.
	 	$	83,333,333.34
	BNP Paribas
	 	$	83,333,333.34
	BMO Capital Markets Financing, Inc.
	 	$	80,000,000.00
	Guaranty Bank
	 	$	80,000,000.00
	JP Morgan Chase Bank, N.A.
	 	$	80,000,000.00
	Calyon New York Branch
	 	$	60,000,000.00
	Citicorp USA, Inc.
	 	$	60,000,000.00
	The Bank of Nova Scotia
	 	$	60,000,000.00
	Wells Fargo Bank, National Association
	 	$	60,000,000.00
	Comerica Bank
	 	$	53,333,333.33
	Natixis
	 	$	53,333,333.33
	Bank of Scotland plc
	 	$	43,333,333.33
	Capital One, N.A.
	 	$	43,333,333.33
	DZ BANK AG Deutsche Zentral Genossenschaftsbank
Frankfurt am Main, New York Branch
	 	$	43,333,333.33
	Wachovia Bank, National Association
	 	$	43,333,333.33
	Amegy Bank National Association
	 	$	36,666,666.67
	The Frost National Bank
	 	$	36,666,666.67
	Total:
	 	$	1,000,000,000.00

Schedule II

Page 1 of 2

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