Document:

exv10w16

 

EXHIBIT 10.16

AFFIRMATION OF OBLIGATIONS

     This Affirmation of Obligations is delivered by the undersigned, pursuant to Section
5.1.4 of the Amended and Restated Credit Agreement, dated as of December 20, 2005 (as amended,
supplemented, amended and restated or otherwise modified from time to time, the “Amended and
Restated Credit Agreement”), among NEG Operating LLC, as Borrower, (the “Borrower”) AREP Oil & Gas
LLC as the Lender and the Administrative Agent, and Citicorp USA, Inc., as Collateral Agent for the
Lenders and the Hedging Counterparties (the “Collateral Agent”). The Amended and Restated Credit
Agreement amends and restates in its entirety that certain Credit Agreement, dated as of December
29, 2003, among the Borrower, Mizuho Corporate Bank, Ltd., as Administrative Agent for the Lenders,
Bank of Texas, N.A. and The Bank of Nova Scotia, as co-agents for the Lenders and Bank of Texas,
N.A., as Collateral Agent for the Lenders (the “Original Credit Agreement”). Unless otherwise
defined herein, terms used herein have the meanings provided in the Amended and Restated Credit
Agreement.

     In connection with the Amended and Restated Credit Agreement, each Security Document, each
Note, each Hedging Agreement among Borrower or any Guarantor and any Hedging Counterparty, and any
and all other agreements, documents, or instruments from time to time executed or delivered in
connection with or pursuant to any of the foregoing shall form part of the “Loan Documents” as such
term is defined in the Amended and Restated Credit Agreement.

     For the benefit of the Secured Parties, each of the Borrower, and NEG Holding LLC, Shana
National LLC, NGX GP of Delaware LLC, NGX LP of Delaware LLC, and NGX Energy Limited Partnership,
(hereinafter collectively referred to as the “Obligors”) hereby acknowledges, confirms and
reconfirms its obligations under the Loan Documents, and represents, warrants and agrees (i) that
the documents which form the Loan Documents (x) are legal, valid and binding obligations of such
Obligor, enforceable against such Obligor in accordance with their terms and (y) with respect to
the Loan Documents purporting to grant to the Collateral Agent a security interest in the assets
covered thereby, that such Loan Documents so grant and, after giving effect to the execution,
delivery and effectiveness of the Amended and Restated Credit Agreement, will continue to so grant
to the Collateral Agent on behalf of the Secured Parties a perfected, security interest in such
assets, subject only to the liens permitted by the Amended and Restated Credit Agreement and (ii)
to continue to comply with the terms and conditions of the Loan Documents.

     Each Obligor agrees that it will execute and deliver to the Collateral Agent all such
instruments and other documentation and shall take such other action as may be reasonably requested
by the Collateral Agent in order to perfect the Secured Parties’ security interest and to give
effect to the collateral assignment by AREP Oil & Gas LLC to Citicorp USA, Inc., as Administrative
Agent under the AREP Oil & Gas LLC Credit Agreement, dated as of December 20, 2005.

     Nothing in this Affirmation of Obligations or the documents referred to herein shall have the
result that any officer, director, employee, agent, shareholder or partner of any of the Obligors
will have any personal liability of any nature whatsoever under applicable legal requirements
(except in the case of any such Person who is a party to a Loan Document to the extent expressly
stated in the applicable Loan Documents).

(Signature Page Follows)

 

 

     IN WITNESS WHEREOF, the undersigned has executed this certificate as of this 20th day of
December, 2005.

	 	 	 	 	 
	 	 	NEG OPERATING LLC
	 
	 	 	 	 
	 

	 	By:
	 	          /s/ PHILIP D. DEVLIN
	 

	 	 	 	 
	 

	 	 	 	     Name: Philip D. Devlin
	 

	 	 	 	     Title: Vice President and Secretary

	 	 	 	 	 	 	 	 	 
	Acceptance of Affirmation of Obligations:	 	 
	 
	 	 	 	 	 	 	 	 
	CITICORP USA, INC., as Collateral Agent for the	 	 
	 	 	Lenders and the Hedging Counterparties.	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	By:	 	           /s/ DAVID E. HUNT	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:
	 	David E. Hunt	 	 
	 

	 	 	 	Title:
	 	Vice President	 	 

- 2 -

 

     IN WITNESS WHEREOF, the undersigned has executed this certificate as of this 20th day of
December, 2005.

	 	 	 	 	 
	 	 	NEG HOLDING LLC
	 	 	By: AREP Oil & Gas LLC, managing member
	 
	 	 	 	 
	 

	 	By:
	 	          /s/ PHILIP D. DEVLIN
	 

	 	 	 	 
	 

	 	 	 	     Name: Philip D. Devlin
	 

	 	 	 	     Title: Vice President and Secretary

	 	 	 	 	 	 	 	 	 
	Acceptance of Affirmation of Obligations:	 	 
	 
	 	 	 	 	 	 	 	 
	CITICORP USA, INC., as Collateral Agent for the	 	 
	 	 	Lenders and the Hedging Counterparties.	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	By:	 	           /s/ DAVID E. HUNT	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:
	 	David E. Hunt	 	 
	 

	 	 	 	Title:
	 	Vice President	 	 

- 3 -

 

     IN WITNESS WHEREOF, the undersigned has executed this certificate as of this 20th day of
December, 2005.

	 	 	 	 	 
	 	 	SHANA NATIONAL LLC
	 	 	By: NEG Operating LLC, sole member
	 	 	By: NEG Holding LLC, sole member
	 	 	By: AREP Oil & Gas LLC, managing member
	 
	 	 	 	 
	 

	 	By:
	 	           /s/ PHILIP D. DEVLIN
	 

	 	 	 	 
	 

	 	 	 	     Name: Philip D. Devlin
	 

	 	 	 	     Title: Vice President and Secretary

	 	 	 	 	 	 	 	 	 
	Acceptance of Affirmation of Obligations:	 	 
	 
	 	 	 	 	 	 	 	 
	CITICORP USA, INC., as Collateral Agent for the	 	 
	 	 	Lenders and the Hedging Counterparties.	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	By:	 	          /s/ DAVID E. HUNT	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:
	 	David E. Hunt	 	 
	 

	 	 	 	Title:
	 	Vice President	 	 

- 4 -

 

     IN WITNESS WHEREOF, the undersigned has executed this certificate as of this 20th day of
December, 2005.

	 	 	 	 	 
	 	 	NGX ENERGY LIMITED PARTNERSHIP
	 	 	By: NGX GP of Delaware LLC
	 	 	By: NEG Operating LLC, sole member
	 	 	By: NEG Holding LLC, sole member
	 	 	By: AREP Oil & Gas LLC, managing member
	 
	 	 	 	 
	 

	 	By:
	 	           /s/ PHILIP D. DEVLIN
	 

	 	 	 	 
	 

	 	 	 	     Name: Philip D. Devlin
	 

	 	 	 	     Title: Vice President and Secretary

	 	 	 	 	 	 	 	 	 
	Acceptance of Affirmation of Obligations:	 	 
	 
	 	 	 	 	 	 	 	 
	CITICORP USA, INC., as Collateral Agent for the	 	 
	 	 	Lenders and the Hedging Counterparties.	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	By:	 	             /s/ DAVID E. HUNT	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:
	 	David E. Hunt	 	 
	 

	 	 	 	Title:
	 	Vice President	 	 

- 5 -

 

     IN WITNESS WHEREOF, the undersigned has executed this certificate as of this 20th day of
December, 2005.

	 	 	 	 	 
	 	 	NGX GP OF DELAWARE LLC
	 	 	By: NEG Operating LLC, sole member
	 	 	By: NEG Holding LLC, sole member
	 	 	By: AREP Oil & Gas LLC, managing member
	 
	 	 	 	 
	 

	 	By:
	 	          /s/ PHILIP D. DEVLIN
	 

	 	 	 	 
	 

	 	 	 	     Name: Philip D. Devlin
	 

	 	 	 	     Title: Vice President and Secretary

	 	 	 	 	 	 	 	 	 
	Acceptance of Affirmation of Obligations:	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	CITICORP USA, INC., as Collateral Agent for the	 	 
	 	 	Lenders and the Hedging Counterparties.	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	By:	 	             /s/ DAVID E. HUNT	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:
	 	David E. Hunt	 	 
	 

	 	 	 	Title:
	 	 Vice President	 	 

- 6 -

 

     IN WITNESS WHEREOF, the undersigned has executed this certificate as of this 20th day of
December, 2005.

	 	 	 	 	 
	 

	 	 	 NGX LP OF DELAWARE LLC
	 	 	By: NEG Operating LLC, sole member
	 	 	By: NEG Holding LLC, sole member
	 	 	By: AREP Oil & Gas LLC, managing member
	 
	 	 	 	 
	 

	 	By:
	 	          /s/ PHILIP D. DEVLIN
	 

	 	 	 	 
	 

	 	 	 	     Name: Philip D. Devlin
	 

	 	 	 	     Title: Vice President and Secretary

	 	 	 	 	 	 	 	 	 
	Acceptance of Affirmation of Obligations:	 	 
	 
	 	 	 	 	 	 	 	 
	CITICORP USA, INC., as Collateral Agent for the	 	 
	 	 	Lenders and the Hedging Counterparties.	 	 
	 
	 	 	By:	 	             /s/ DAVID E. HUNT	 	 
	 	 	 	 	 	 	 
	 

	 	 	 	Name:
	 	David E. Hunt	 	 
	 

	 	 	 	Title:
	 	Vice President	 	 

- 7 -exv10w17

 

EXHIBIT 10.17

THIS SUPPLEMENTAL INDENTURE (the “Supplemental Indenture”), dated as of March 16, 2006, between
NATIONAL ENERGY GROUP, INC., a Delaware corporation (the “Company”), and WELLS FARGO BANK, N.A.,
(as successor by merger with Wells Fargo Bank Minnesota, N.A.) a national banking association (the
“Successor Trustee”).

WITNESSETH:

WHEREAS, the Company and Bank One, N.A. (“Bank One”) entered into that certain Indenture, dated as
of August 21, 1997 (the “Original Indenture”) (capitalized terms used herein and not otherwise
defined herein are used herein as defined in the Indenture);

WHEREAS, the Successor Trustee subsequently replaced Bank One as trustee under the Indenture;

WHEREAS, NEG Oil & Gas LLC (the “Holder”) is the beneficial holder of all of the outstanding
Securities; and

WHEREAS, the amendment to the Indenture as hereinafter set forth is such as is permitted under
Section 9.02 of the Indenture.

NOW, THEREFORE:

	 	1.	 	The Company and the Successor Trustee mutually covenant and agree that the definition
of the term “Maturity Date” contained in Section 1.01 of the Indenture is hereby amended in
its entirety to read as follows: “Maturity Date” means April 1, 2007.
	 
	 	2.	 	The Trustee assumes no responsibility for the correctness of the receitals contained
herein.
	 
	 	3.	 	Except as modified by the Supplemental Indenture, the Original Indenture shall continue
in full force and effect and unmodified. This Supplemental Indenture may be executed in
one or more counterparts and shall be governed by the internal laws of the State of New
York.

IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly executed
all as of the date first above written.

 

 

	 	 	 	 	 
	 	NATIONAL ENERGY GROUP, INC., as Issuer

 	 
	 	By:  	/s/   BOB G. ALEXANDER
 	 
	 	 	Name:  	Bob G. Alexander 	 
	 	 	Title:  	President and Chief Executive Officer 	 
	 
	 	WELLS FARGO BANK, N.A. (as successor by merger with Wells Fargo Bank Minnesota, N.A.), as Successor Trustee

 	 
	 	By:  	/s/    LYNN M. STEINER
 	 
	 	 	Name:  	Lynn M. Steiner 	 
	 	 	Title:  	Vice President 	 
	 

 

 

UNANIMOUS WRITTEN CONSENT

OF THE BOARD OF DIRECTORS OF

NATIONAL ENERGY GROUP, INC.

March 16, 2006

* * * * * *

The undersigned, being all of the directors of National Energy Group, Inc., a Delaware corporation
(the “Company”), hereby adopt the following resolutions in lieu of a meeting of the board of
directors of the Company (the “Board”):

WHEREAS, the Board has determined that it is in the best interest of the Corporation to enter into
a supplement (the “Supplemental Indenture”) to the Indenture dated August 21, 1997 (the
“Indenture”), between the Company and Wells Fargo Bank, Minnesota, N.A. (as successor to Bank One,
N.A.) (the “Trustee”), in order to extend the maturity date of the senior notes issued under the
Indenture to April 1, 2007.

NOW THEREFORE BE IT:

     RESOLVED, that the Supplemental Indenture, in substantially the form attached
hereto as Exhibit A, is hereby approved in all respects, and the proper
officers of the Corporation are hereby authorized to execute the Supplemental
Indenture and deliver the same to the Trustee; and be it further

     RESOLVED, that the proper officers of the Company be, and each hereby singly
is, authorized, directed and empowered to take all such further action and to
execute all such instruments and documents in the name of and on behalf of the
Company and, under its corporate seal or otherwise, to pay all such costs and
expenses as shall be necessary or appropriate in order to carry out the intent and
accomplish the purposes of the foregoing resolutions.

 

 

IN WITNESS WHEREOF, the undersigned have executed this Unanimous Written Consent as of the 16th day
of March, 2006.

/s/
BOB G. ALEXANDER 

BOB G. ALEXANDER

/s/
MARTIN L. HIRSCH 

MARTIN L. HIRSCH

/s/
ROBERT H. KITE 

ROBERT H. KITE

/s/
ROBERT J. MITCHELL 

ROBERT J. MITCHELL

/s/
JACK G. WASSERMAN 

JACK G. WASSERMAN

[Unanimous Written Consent of Board of Directors of National Energy Group, Inc. Approving

Supplemental Indenture Extending Maturity of 10 3/4% Senior Notes to April 1, 2007]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00099-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00099-of-00352.parquet"}]]