Document:

exv4w1

 

Exhibit 4.1

 

WHITING PETROLEUM CORPORATION

AND

THE GUARANTORS NAMED ON THE SIGNATURE PAGE HEREOF

 

7% SENIOR SUBORDINATED NOTES DUE 2014

 

INDENTURE

Dated as of October 4, 2005

 

J.P. MORGAN TRUST COMPANY, NATIONAL ASSOCIATION

As Trustee

 

 

 

CROSS-REFERENCE TABLE*

	 	 	 	 	 
	Trust Indenture	 	Indenture
	Act Section	 	Section
	310(a)(1)
	 	 	7.10	 
	(a)(2)
	 	 	7.10	 
	(a)(3)
	 	 	N/A	 
	(a)(4)
	 	 	N/A	 
	(a)(5)
	 	 	7.10	 
	(b)
	 	 	7.10	 
	(c)
	 	 	N/A	 
	311(a)
	 	 	7.11	 
	(b)
	 	 	7.11	 
	(c)
	 	 	N/A	 
	312(a)
	 	 	2.05	 
	(b)
	 	 	11.03	 
	(c)
	 	 	11.03	 
	313(a)
	 	 	7.06	 
	(b)(1)
	 	 	7.06	 
	(b)(2)
	 	 	7.06, 7.07	 
	(c)
	 	 	7.06, 11.02	 
	(d)
	 	 	7.06	 
	314(a)
	 	 	4.03, 4.04, 11.02	 
	(b)
	 	 	N/A	 
	(c)(1)
	 	 	11.04	 
	(c)(2)
	 	 	11.04	 
	(c)(3)
	 	 	N/A	 
	(d)
	 	 	N/A	 
	(e)
	 	 	11.05	 
	(f)
	 	 	N/A	 
	315(a)
	 	 	7.01	 
	(b)
	 	 	7.05, 11.02	 
	(c)
	 	 	7.01	 
	(d)
	 	 	7.01	 
	(e)
	 	 	6.11	 
	316(a)(last sentence)
	 	 	2.08	 
	(a)(1)(A)
	 	 	6.05	 
	(a)(1)(B)
	 	 	6.04	 
	(a)(2)
	 	 	N/A	 
	(b)
	 	 	6.07	 
	(c)
	 	 	9.04	 
	317(a)(1)
	 	 	6.08	 
	(a)(2)
	 	 	6.09	 
	(b)
	 	 	2.04	 
	318(a)
	 	 	11.01	 
	(b)
	 	 	N/A	 
	(c)
	 	 	11.01	 

 

	
	N/A means not applicable.
	 
	*This Cross-Reference Table is not part of the Indenture.

i

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page	 
	ARTICLE 1 DEFINITIONS AND INCORPORATION BY REFERENCE
	 	 	 	 
	Section 1.01. Definitions
	 	 	1	 
	Section 1.02. Other Definitions
	 	 	25	 
	Section 1.03. Incorporation by Reference of Trust Indenture Act
	 	 	26	 
	Section 1.04. Rules of Construction
	 	 	26	 
	 
	 	 	 	 
	ARTICLE 2 THE NOTES
	 	 	 	 
	Section 2.01. Form and Dating
	 	 	26	 
	Section 2.02. Execution and Authentication
	 	 	27	 
	Section 2.03. Registrar and Paying Agent
	 	 	27	 
	Section 2.04. Paying Agent to Hold Money in Trust
	 	 	28	 
	Section 2.05. Noteholder Lists
	 	 	28	 
	Section 2.06. Transfer and Exchange
	 	 	28	 
	Section 2.07. Replacement Notes
	 	 	28	 
	Section 2.08. Outstanding Notes
	 	 	29	 
	Section 2.09. Temporary Notes
	 	 	29	 
	Section 2.10. Cancellation
	 	 	29	 
	Section 2.11. Defaulted Interest
	 	 	29	 
	Section 2.12. CUSIP Numbers
	 	 	30	 
	Section 2.13. Issuance of Additional Notes
	 	 	30	 
	 
	 	 	 	 
	ARTICLE 3 REDEMPTION AND PREPAYMENT
	 	 	 	 
	Section 3.01. Notices to Trustee
	 	 	30	 
	Section 3.02. Selection of Notes to Be Redeemed
	 	 	31	 
	Section 3.03. Notice of Redemption
	 	 	31	 
	Section 3.04. Effect of Notice of Redemption
	 	 	32	 
	Section 3.05. Deposit of Redemption Price
	 	 	32	 
	Section 3.06. Notes Redeemed in Part
	 	 	33	 
	Section 3.07. Optional Redemption
	 	 	33	 
	Section 3.08. Mandatory Redemption
	 	 	34	 
	Section 3.09. Offer to Purchase by Application of Excess Proceeds
	 	 	34	 
	 
	 	 	 	 
	ARTICLE 4 COVENANTS
	 	 	 	 
	Section 4.01. Payment of Notes
	 	 	35	 
	Section 4.02. Maintenance of Office or Agency
	 	 	36	 
	Section 4.03. Reports
	 	 	36	 
	Section 4.04. Compliance Certificate
	 	 	37	 
	Section 4.05. Taxes
	 	 	37	 
	Section 4.06. Stay, Extension and Usury Laws
	 	 	38	 
	Section 4.07. Limitation on Restricted Payments
	 	 	38	 
	Section 4.08. Limitation on Dividend and Other Payment Restrictions Affecting
Subsidiaries
	 	 	41	 
	Section 4.09. Limitation on Incurrence of Indebtedness and Issuance of Preferred Stock
	 	 	42	 

ii

 

	 	 	 	 	 
	 	 	Page	 
	Section 4.10. Limitation on Asset Sales
	 	 	44	 
	Section 4.11. Limitation on Transactions with Affiliates
	 	 	46	 
	Section 4.12. Limitation on Liens
	 	 	47	 
	Section 4.13. Additional Subsidiary Guarantees
	 	 	47	 
	Section 4.14. Corporate Existence
	 	 	48	 
	Section 4.15. Offer to Repurchase Upon Change of Control
	 	 	48	 
	Section 4.16. No Inducements
	 	 	50	 
	Section 4.17. Permitted Business Activities
	 	 	50	 
	Section 4.18. Sale and Leaseback Transactions
	 	 	51	 
	Section 4.19. Anti-Layering
	 	 	51	 
	Section 4.20. Designation of Restricted and Unrestricted Subsidiaries
	 	 	51	 
	Section 4.21. Covenant Termination
	 	 	52	 
	 
	 	 	 	 
	ARTICLE 5 SUCCESSORS
	 	 	 	 
	Section 5.01. Merger, Consolidation, or Sale of Assets
	 	 	52	 
	Section 5.02. Successor Corporation Substituted
	 	 	53	 
	 
	 	 	 	 
	ARTICLE 6 DEFAULTS AND REMEDIES
	 	 	 	 
	Section 6.01. Events of Default
	 	 	53	 
	Section 6.02. Acceleration
	 	 	55	 
	Section 6.03. Other Remedies
	 	 	55	 
	Section 6.04. Waiver of Past Defaults
	 	 	56	 
	Section 6.05. Control by Majority
	 	 	56	 
	Section 6.06. Limitation on Suits
	 	 	56	 
	Section 6.07. Rights of Holders of Notes to Receive Payment
	 	 	57	 
	Section 6.08. Collection Suit by Trustee
	 	 	57	 
	Section 6.09. Trustee May File Proofs of Claim
	 	 	57	 
	Section 6.10. Priorities
	 	 	57	 
	Section 6.11. Undertaking for Costs
	 	 	58	 
	 
	 	 	 	 
	ARTICLE 7 TRUSTEE
	 	 	 	 
	Section 7.01. Duties of Trustee
	 	 	58	 
	Section 7.02. Rights of Trustee
	 	 	59	 
	Section 7.03. Individual Rights of Trustee
	 	 	60	 
	Section 7.04. Trustee’s Disclaimer
	 	 	60	 
	Section 7.05. Notice of Defaults
	 	 	60	 
	Section 7.06. Reports by Trustee to Holders of the Notes
	 	 	60	 
	Section 7.07. Compensation and Indemnity
	 	 	61	 
	Section 7.08. Replacement of Trustee
	 	 	62	 
	Section 7.09. Successor Trustee by Merger, etc
	 	 	63	 
	Section 7.10. Eligibility; Disqualification
	 	 	63	 
	Section 7.11. Preferential Collection of Claims Against Company
	 	 	63	 
	 
	 	 	 	 
	ARTICLE 8 LEGAL DEFEASANCE AND COVENANT DEFEASANCE
	 	 	 	 
	Section 8.01. Option to Effect Legal Defeasance or Covenant Defeasance
	 	 	63	 
	Section 8.02. Legal Defeasance and Discharge
	 	 	63	 
	Section 8.03. Covenant Defeasance
	 	 	64	 
	Section 8.04. Conditions to Legal or Covenant Defeasance
	 	 	65	 

iii

 

	 	 	 	 	 
	 	 	Page	 
	Section 8.05. Deposited Money and Government Securities to be Held in Trust; Other
Miscellaneous Provisions
	 	 	66	 
	Section 8.06. Repayment to Company
	 	 	67	 
	Section 8.07. Reinstatement
	 	 	67	 
	Section 8.08. Discharge
	 	 	67	 
	 
	 	 	 	 
	ARTICLE 9 AMENDMENT, SUPPLEMENT AND WAIVER
	 	 	 	 
	Section 9.01. Without Consent of Holders of Notes
	 	 	68	 
	Section 9.02. With Consent of Holders of Notes
	 	 	69	 
	Section 9.03. Compliance with Trust Indenture Act
	 	 	71	 
	Section 9.04. Revocation and Effect of Consents
	 	 	71	 
	Section 9.05. Notation on or Exchange of Notes
	 	 	71	 
	Section 9.06. Trustee to Sign Amendments, etc
	 	 	72	 
	 
	 	 	 	 
	ARTICLE 10 GUARANTEES OF NOTES
	 	 	 	 
	Section 10.01. Subsidiary Guarantees
	 	 	72	 
	Section 10.02. [Reserved]
	 	 	73	 
	Section 10.03. Guarantors May Consolidate, etc., on Certain Terms
	 	 	73	 
	Section 10.04. Releases of Subsidiary Guarantees
	 	 	74	 
	Section 10.05. [Reserved]
	 	 	74	 
	Section 10.06. Limitation on Guarantor Liability
	 	 	74	 
	Section 10.07. “Trustee” to Include Paying Agent
	 	 	74	 
	 
	 	 	 	 
	ARTICLE 11 MISCELLANEOUS
	 	 	 	 
	Section 11.01. Trust Indenture Act Controls
	 	 	75	 
	Section 11.02. Notices
	 	 	75	 
	Section 11.03. Communication by Holders of Notes with Other Holders of Notes
	 	 	76	 
	Section 11.04. Certificate and Opinion as to Conditions Precedent
	 	 	76	 
	Section 11.05. Statements Required in Certificate or Opinion
	 	 	76	 
	Section 11.06. Rules by Trustee and Agents
	 	 	77	 
	Section 11.07. No Personal Liability of Directors, Officers, Employees and Stockholders
	 	 	77	 
	Section 11.08. Governing Law
	 	 	77	 
	Section 11.09. No Adverse Interpretation of Other Agreements
	 	 	77	 
	Section 11.10. Successors
	 	 	77	 
	Section 11.11. Severability
	 	 	77	 
	Section 11.12. Table of Contents, Headings, etc
	 	 	78	 
	Section 11.13. Counterparts
	 	 	78	 
	 
	 	 	 	 
	ARTICLE 12 SUBORDINATION
	 	 	 	 
	Section 12.01. Agreement to Subordinate
	 	 	78	 
	Section 12.02. Liquidation, Dissolution, Bankruptcy
	 	 	78	 
	Section 12.03. Default on Senior Debt
	 	 	79	 
	Section 12.04. Acceleration of Payment of Notes
	 	 	79	 
	Section 12.05. When Distribution Must Be Paid Over; Reinstatement of Senior Debt
	 	 	79	 
	Section 12.06. Subrogation
	 	 	80	 
	Section 12.07. Relative Rights
	 	 	80	 
	Section 12.08. Subordination May Not Be Impaired by Company
	 	 	80	 

iv

 

	 	 	 	 	 
	 	 	Page	 
	Section 12.09. Rights of Trustee and Paying Agent; Rights of Holders of Senior Debt
	 	 	80	 
	Section 12.10. Distribution or Notice to Representative
	 	 	81	 
	Section 12.11. Not to Prevent Events of Default or Limit Right to Accelerate
	 	 	81	 
	Section 12.12. Trust Moneys Not Subordinated
	 	 	82	 
	Section 12.13. Trustee Entitled to Rely
	 	 	82	 
	Section 12.14. Trustee to Effectuate Subordination
	 	 	82	 
	Section 12.15. Trustee Not Fiduciary for Holders of Senior Debt
	 	 	82	 
	Section 12.16. Reliance by Holders of Senior Debt on Subordination Provisions
	 	 	82	 
	 
	 	 	 	 
	ARTICLE 13 SUBORDINATION OF SUBSIDIARY GUARANTEES
	 	 	 	 
	Section 13.01. Agreement to Subordinate
	 	 	83	 
	Section 13.02. Liquidation, Dissolution, Bankruptcy
	 	 	83	 
	Section 13.03. Default on Senior Debt
	 	 	84	 
	Section 13.04. Demand for Payment
	 	 	84	 
	Section 13.05. When Distribution Must Be Paid Over; Reinstatement of Senior Debt
	 	 	85	 
	Section 13.06. Subrogation
	 	 	85	 
	Section 13.07. Relative Rights
	 	 	85	 
	Section 13.08. Subordination May Not Be Impaired by Guarantors
	 	 	85	 
	Section 13.09. Rights of Trustee and Paying Agent; Rights of Holders of Senior Debt
	 	 	86	 
	Section 13.10. Distribution or Notice to Representative
	 	 	86	 
	Section 13.11. Article 13 Not to Prevent Events of Default or Limit Right to Demand Payment
	 	 	86	 
	Section 13.12. Trust Moneys Not Subordinated
	 	 	87	 
	Section 13.13. Trustee Entitled to Rely
	 	 	87	 
	Section 13.14. Trustee to Effectuate Subordination
	 	 	87	 
	Section 13.15. Trustee Not Fiduciary for Holders of Senior Debt of Guarantors
	 	 	87	 
	Section 13.16. Reliance by Holders of Senior Debt of Guarantors on Subordination Provisions
	 	 	88	 

v

 

APPENDIX AND ANNEXES

	 	 	 	 	 
	RULE
144A/REGULATION S APPENDIX 
	 	App. - 1
	 
	EXHIBIT 1 Form of Initial Note
	 	 	 	 
	EXHIBIT A Form of Exchange Note or Private Exchange Note
	 	 	 	 
	 
	ANNEX A     Form of Supplemental Indenture 
	 	 	A - 1	 
	 
	ANNEX B     Form of Registration Rights Agreement 
	 	 	B - 1	 

vi

 

     This Indenture, dated as of October 4, 2005, is among Whiting Petroleum Corporation, a
Delaware corporation (the “Company”), the guarantors listed on the signature page hereof (each, a
“Guarantor” and, collectively, the “Guarantors”) and J.P. Morgan Trust Company, National
Association, a national banking association, as trustee (the “Trustee”).

     The Company, the Guarantors and the Trustee agree as follows for the benefit of each other and
for the equal and ratable benefit of the Holders of the Company’s Initial Notes, Exchange Notes,
Private Exchange Notes and Additional Notes:

ARTICLE 1

DEFINITIONS AND INCORPORATION

BY REFERENCE

Section 1.01. Definitions.

     “ACNTA” means (without duplication), as of the date of determination:

     (1) the sum of:

     (a) discounted future net revenue from proved crude oil and natural gas
reserves of the Company and its Restricted Subsidiaries calculated in accordance
with SEC guidelines before any state or federal income taxes, as estimated in a
reserve report prepared as of the end of the Company’s most recently completed
fiscal year, which reserve report is prepared or reviewed by independent petroleum
engineers as to reserves accounting for at least 80% of all such discounted future
net revenue and by the Company’s petroleum engineers with respect to any other
reserves covered by such report, as increased by, as of the date of determination,
the discounted future net revenue from:

     (i) estimated proved crude oil and natural gas reserves of the Company
and its Restricted Subsidiaries attributable to acquisitions consummated
since the date of such year-end reserve report, and

     (ii) estimated crude oil and natural gas reserves of the Company and
its Restricted Subsidiaries attributable to extensions, discoveries and
other additions and upward determinations of estimates of proved crude oil
and natural gas reserves (including previously estimated development costs
incurred during the period and the accretion of discount since the prior
year end) due to exploration, development or exploitation, production or
other activities which reserves were not reflected in such year-end reserve
report,

in each case calculated in accordance with SEC guidelines (utilizing the prices
utilized in such year-end reserve report), and decreased by, as of the date of
determination, the discounted future net revenue attributable to

     (iii) estimated proved crude oil and natural gas reserves of the
Company and its Restricted Subsidiaries reflected in such year-end reserve

 

 

report produced or disposed of since the date of such year-end reserve
report and

     (iv) reductions in the estimated proved crude oil and natural gas
reserves of the Company and its Restricted Subsidiaries reflected in such
year-end reserve report since the date of such year-end reserve report
attributable to downward determinations of estimates of proved crude oil and
natural gas reserves due to exploration, development or exploitation,
production or other activities conducted or otherwise occurring since the
date of such year-end reserve report,

in each case calculated in accordance with SEC guidelines (utilizing the prices
utilized in such year-end reserve report); provided, however, that, in the case of
each of the determinations made pursuant to clauses (i) through (iv), such increases
and decreases shall be as estimated by the Company’s engineers, except that if as a
result of such acquisitions, dispositions, discoveries, extensions or revisions,
there is a Material Change, then such increases and decreases in the discounted
future net revenue shall be confirmed in writing by an independent petroleum
engineer;

     (b) the capitalized costs that are attributable to crude oil and natural gas
properties of the Company and its Restricted Subsidiaries to which no proved crude
oil and natural gas reserves are attributed, based on the Company’s books and
records as of a date no earlier than the date of the Company’s latest annual or
quarterly financial statements;

     (c) the Net Working Capital on a date no earlier than the date of the Company’s
latest annual or quarterly financial statements; and

     (d) the greater of (I) the net book value on a date no earlier than the date of
the Company’s latest annual or quarterly financial statements and (II) the appraised
value, as estimated by independent appraisers, of other tangible assets of the
Company and its Restricted Subsidiaries as of a date no earlier than the date of the
Company’s latest audited financial statements;

     (2) minus, to the extent not otherwise taken into account in the immediately preceding
clause (1), the sum of:

     (a) minority interests;

     (b) any net gas balancing liabilities of the Company and its Restricted
Subsidiaries reflected in the Company’s latest audited financial statements;

     (c) the discounted future net revenue, calculated in accordance with SEC
guidelines (utilizing the same prices utilized in the Company’s year-end reserve
report), attributable to reserves subject to participation interests, overriding
royalty interests or other interests of third parties, pursuant to

2

 

participation, partnership, vendor financing or other agreements then in
effect, or which otherwise are required to be delivered to third parties;

     (d) the discounted future net revenue, calculated in accordance with SEC
guidelines (utilizing the same prices utilized in the Company’s year-end reserve
report), attributable to reserves that are required to be delivered to third parties
to fully satisfy the obligations of the Company and its Restricted Subsidiaries with
respect to Volumetric Production Payments on the schedules specified with respect
thereto; and

     (e) the discounted future net revenue, calculated in accordance with SEC
guidelines, attributable to reserves subject to Dollar-Denominated Production
Payments that, based on the estimates of production included in determining the
discounted future net revenue specified in the immediately preceding clause (1)(a)
(utilizing the same prices utilized in the Company’s year-end reserve report), would
be necessary to satisfy fully the obligations of the Company and its Restricted
Subsidiaries with respect to Dollar-Denominated Production Payments on the schedules
specified with respect thereto.

If the Company changes its method of accounting for its oil and gas properties from the successful
efforts method to the full cost method or a similar method of accounting, ACNTA will continue to be
calculated as if the Company were still using the successful efforts method of accounting.

“Acquired Debt” means, with respect to any specified Person:

     (1) Indebtedness of any other Person existing at the time such other Person was merged
with or into or became a Subsidiary of such specified Person, whether or not such
Indebtedness is incurred in connection with, or in contemplation of, such other Person
merging with or into, or becoming a Subsidiary of, such specified Person; and

     (2) Indebtedness secured by a Lien encumbering any asset acquired by such specified
Person.

“Additional Assets” means:

     (1) any assets used or useful in the Oil and Gas Business;

     (2) the Capital Stock of a Person that becomes a Restricted Subsidiary as a result of
the acquisition of such Capital Stock by the Company or another Restricted Subsidiary; or

     (3) Capital Stock constituting a minority in any Person that at such time is a
Restricted Subsidiary;

provided, however, that any such Restricted Subsidiary described in clause (2) or (3) is primarily
engaged in the Oil and Gas Business.

3

 

     “Additional Interest” means all Additional Interest then owing pursuant to Section 6 of the
Registration Rights Agreement referred to in clause (1) of the definition of “Registration Rights
Agreement” in the Appendix.

     “Additional Notes” means, subject to the Company’s compliance with Section 4.09, 7% Senior
Notes due 2014 issued from time to time after the Initial Issuance Date under the terms of this
Indenture (other than pursuant to Section 2.06, 2.07, 2.09 or 3.06 of this Indenture and other than
Exchange Notes or Private Exchange Notes issued pursuant to an exchange offer for other Notes
outstanding under this Indenture).

     “Affiliate” of any specified Person means any other Person directly or indirectly controlling
or controlled by or under direct or indirect common control with such specified Person. For
purposes of this definition, “control,” as used with respect to any Person, means the possession,
directly or indirectly, of the power to direct or cause the direction of the management or policies
of such Person, whether through the ownership of voting securities, by agreement or otherwise;
provided that beneficial ownership of 10% or more of the Voting Stock of a Person will be deemed to
be control. For purposes of this definition, the terms “controlling,” “controlled by” and “under
common control with” have correlative meanings.

     “Agent” means any Registrar or Paying Agent.

     “Agent Members” has the meaning provided in the Appendix.

     “Applicable Law,” except as the context may otherwise require, means all applicable laws,
rules, regulations, ordinances, judgments, decrees, injunctions, writs and orders of any court or
governmental or congressional agency or authority and rules, regulations, orders, licenses and
permits of any United States federal, state, municipal, regional, or other governmental body,
instrumentality, agency or authority.

     “Applicable Premium” means, with respect to a Note at any redemption date, the greater of (x)
1.0% of the principal amount of such Note and (y) the excess of (A) the present value at such time
of (1) the principal amount of such Note plus (2) all required interest payments due on such Note
through the Final Maturity Date (without regard to accrued and unpaid interest), computed using a
discount rate equal to the Treasury Rate plus 50 basis points, over (B) the principal amount of
such Note.

     “Applicable Procedures” means, with respect to any transfer or exchange of beneficial
interests in a Global Note, the rules and procedures of the Depository that apply to such transfer
and exchange.

     “Asset Sale” means:

     (1) the sale, lease, conveyance or other disposition of any properties or assets
(including by way of a Production Payment or sale and leaseback transaction); provided that
the disposition of all or substantially all of the properties or assets of the Company and
its Restricted Subsidiaries taken as a whole will be governed by the provisions of Section
4.15 and/or the provisions of Section 5.01 and not by the provisions of Section 4.10; and

4

 

     (2) the issuance of Equity Interests in any of the Company’s Restricted Subsidiaries or
the sale of Equity Interests in any of its Restricted Subsidiaries.

     Notwithstanding the preceding, the following items will not be deemed to be Asset Sales:

     (1) any single transaction or series of related transactions that involves properties
or assets having a fair market value of less than $10.0 million;

     (2) a transfer of assets between or among any of the Company and its Restricted
Subsidiaries,

     (3) an issuance or sale of Equity Interests by a Restricted Subsidiary to the Company
or to another Restricted Subsidiary;

     (4) the sale, lease or other disposition of equipment, inventory, accounts receivable
or other properties or assets in the ordinary course of business, including, without
limitation, any abandonment, farm-in, farm-out, lease or sublease of any oil and gas
properties or the forfeiture or other disposition of such properties pursuant to standard
form operating agreements, in each case in the ordinary course of business in a manner
customary in the Oil and Gas Business;

     (5) the sale or other disposition of cash or Cash Equivalents;

     (6) a Restricted Payment that is permitted by Section 4.07 or a Permitted Investment;

     (7) any trade or exchange by the Company or any Restricted Subsidiary of oil and gas
properties or other properties or assets for oil and gas properties or other properties or
assets owned or held by another Person, provided that the fair market value of the
properties or assets traded or exchanged by the Company or such Restricted Subsidiary
(together with any cash) is reasonably equivalent to the fair market value of the properties
or assets (together with any cash) to be received by the Company or such Restricted
Subsidiary, and provided further that any net cash received must be applied in accordance
with the provisions of Section 4.10;

     (8) the creation or perfection of a Lien (but not the sale or other disposition of the
properties or assets subject to such Lien); and

     (9) surrender or waiver of contract rights or the settlement, release or surrender of
contract, tort or other claims of any kind.

     “Attributable Debt” in respect of a sale and leaseback transaction means, at the time of
determination, the present value of the obligation of the lessee for net rental payments during the
remaining term of the lease included in such sale and leaseback transaction including any period
for which such lease has been extended or may, at the option of the lessor, be extended. Such
present value shall be calculated using a discount rate equal to the rate of interest implicit in
such transaction, determined in accordance with GAAP.

5

 

     “Bankruptcy Law” means Title 11, United States Code, as may be amended from time to time, or
any similar federal or state law for the relief of debtors.

     “Beneficial Owner” has the meaning assigned to such term in Rule 13d-3 and Rule 13d-5 under
the Exchange Act, except that in calculating the beneficial ownership of any particular “person”
(as that term is used in Section 13(d)(3) of the Exchange Act), such “person” will be deemed to
have beneficial ownership of all securities that such “person” has the right to acquire by
conversion or exercise of other securities, whether such right is currently exercisable or is
exercisable only upon the occurrence of a subsequent condition. The terms “Beneficially Owns” and
“Beneficially Owned” have correlative meanings.

     “Board of Directors” means:

     (1) with respect to a corporation, the board of directors of the corporation;

     (2) with respect to a partnership, the Board of Directors of the general partner of the
partnership; and

     (3) with respect to any other Person, the board or committee of such Person serving a
similar function.

     “Board Resolution” means a copy of a resolution certified by the Secretary or an Assistant
Secretary of the applicable Person to have been duly adopted by the Board of Directors of such
Person and to be in full force and effect on the date of such certification, and delivered to the
Trustee.

     “Business Day” means each day that is not a Saturday, Sunday or other day on which banking
institutions in Denver, Colorado or in New York, New York or another place of payment are
authorized or required by law to close.

     “Capital Lease Obligation” means, at the time any determination is to be made, the amount of
the liability in respect of a capital lease that would at that time be required to be capitalized
on a balance sheet in accordance with GAAP.

     “Capital Stock” means:

     (1) in the case of a corporation, corporate stock;

     (2) in the case of an association or business entity, any and all shares, interests,
participations, rights or other equivalents (however designated) of corporate stock;

     (3) in the case of a partnership or limited liability company, partnership or
membership interests (whether general or limited); and

     (4) any other interest or participation that confers on a Person the right to receive a
share of the profits and losses of, or distributions of assets of, the issuing Person.

6

 

     “Cash Equivalents” means:

     (1) United States dollars;

     (2) securities issued or directly and fully guaranteed or insured by the United States
government or any agency or instrumentality of the United States government (provided that
the full faith and credit of the United States is pledged in support of those securities)
having maturities of not more than six months from the date of acquisition;

     (3) certificates of deposit and eurodollar time deposits with maturities of six months
or less from the date of acquisition, bankers’ acceptances with maturities not exceeding six
months and overnight bank deposits, in each case, with any lender party to the Credit
Agreement or with any domestic commercial bank having capital and surplus in excess of
$500.0 million and a Thomson Bank Watch Rating of “B” or better;

     (4) repurchase obligations with a term of not more than seven days for underlying
securities of the types described in clauses (2) and (3) above entered into with any
financial institution meeting the qualifications specified in clause (3) above;

     (5) commercial paper having the highest rating obtainable from Moody’s or S&P and in
each case maturing within six months after the date of acquisition; and

     (6) money market funds at least 95% of the assets of which constitute Cash Equivalents
of the kinds described in clauses (1) through (5) of this definition.

     “Change of Control” means the occurrence of any of the following:

     (1) the direct or indirect sale, lease, transfer, conveyance or other disposition
(other than by way of merger or consolidation), in one or a series of related transactions,
of all or substantially all of the properties or assets (including Capital Stock of the
Restricted Subsidiaries) of the Company and its Restricted Subsidiaries taken as a whole, to
any “person” (as that term is used in Section 13(d)(3) of the Exchange Act);

     (2) the adoption of a plan relating to the liquidation or dissolution of the Company;

     (3) the consummation of any transaction (including, without limitation, any merger or
consolidation) the result of which is that any “person” (as that term is used in Section
13(d)(3) of the Exchange Act) becomes the Beneficial Owner, directly or indirectly, of more
than 50% of the Voting Stock of the Company, measured by voting power rather than number of
shares; or

     (4) the first day on which a majority of the members of the Board of Directors of the
Company are not Continuing Directors.

     “Clearstream” means Clearstream Banking, société anonyme, or any successor securities clearing
agency.

7

 

     “Code” means the Internal Revenue Code of 1986, as amended.

     “Commission” or “SEC” means the Securities and Exchange Commission.

     “Consolidated Cash Flow” means, with respect to any specified Person for any period, the
Consolidated Net Income of such Person for such period plus:

     (1) an amount equal to any extraordinary loss plus any net loss realized by such Person
or any of its Restricted Subsidiaries in connection with an Asset Sale, to the extent such
losses were deducted in computing such Consolidated Net Income; plus

     (2) provision for taxes based on income or profits of such Person and its Restricted
Subsidiaries for such period, to the extent that such provision for taxes was deducted in
computing such Consolidated Net Income; plus

     (3) consolidated interest expense of such Person and its Restricted Subsidiaries for
such period, whether paid or accrued and whether or not capitalized (excluding any interest
attributable to Dollar-Denominated Production Payments but including, without limitation,
amortization of debt issuance costs and original issue discount, non-cash interest payments,
the interest component of any deferred payment obligations, the interest component of all
payments associated with Capital Lease Obligations, imputed interest with respect to
Attributable Debt, commissions, discounts and other fees and charges incurred in respect of
letter of credit or bankers’ acceptance financings), and net of the effect of all payments
made or received pursuant to Hedging Obligations, to the extent that any such expense was
deducted in computing such Consolidated Net Income; plus

     (4) depreciation, depletion and amortization (including amortization of intangibles but
excluding amortization of prepaid cash expenses that were paid in a prior period),
impairment and other non-cash expenses (excluding any such non-cash expense to the extent
that it represents an accrual of or reserve for cash expenses in any future period or
amortization of a prepaid cash expense that was paid in a prior period) of such Person and
its Restricted Subsidiaries for such period to the extent that such depreciation, depletion
and amortization, impairment and other non-cash expenses were deducted in computing such
Consolidated Net Income; plus

     (5) unrealized non-cash losses resulting from foreign currency balance sheet
adjustments required by GAAP to the extent such losses were deducted in computing such
Consolidated Net Income; minus

     (6) non-cash items increasing such Consolidated Net Income for such period, other than
items that were accrued in the ordinary course of business; minus (to the extent included in
determining Consolidated Net Income):

     (7) the sum of (x) the amount of deferred revenues that are amortized during such
period and are attributable to reserves that are subject to Volumetric Production Payments
and (y) amounts recorded in accordance with GAAP as repayments of principal and interest
pursuant to Dollar-Denominated Production Payments,

8

 

in each case, on a consolidated basis and determined in accordance with GAAP.

     “Consolidated Net Income” means, with respect to any specified Person for any period, the
aggregate of the Net Income of such Person and its Restricted Subsidiaries for such period, on a
consolidated basis, determined in accordance with GAAP; provided that:

     (1) the Net Income (but not loss) of any Person that is not a Restricted Subsidiary or
that is accounted for by the equity method of accounting will be included, but only to the
extent of the amount of dividends or distributions paid in cash to the specified Person or a
Restricted Subsidiary of the Person;

     (2) the Net Income of any Restricted Subsidiary will be excluded to the extent that the
declaration or payment of dividends or similar distributions by that Restricted Subsidiary
of that Net Income is not at the date of determination permitted without any prior
governmental approval (that has not been obtained) or, directly or indirectly, by operation
of the terms of its charter or any agreement, instrument, judgment, decree, order, statute,
rule or governmental regulation applicable to that Restricted Subsidiary or its
stockholders, partners or members;

     (3) the cumulative effect of a change in accounting principles will be excluded;

     (4) income resulting from transfers of assets (other than cash) between the Company or
any of its Restricted Subsidiaries, on the one hand, and an Unrestricted Subsidiary, on the
other hand, will be excluded;

     (5) any write-downs of non-current assets will be excluded; provided that any ceiling
limitation write-downs under Commission guidelines shall be treated as capitalized costs, as
if such write-downs had not occurred; and

     (6) any unrealized non-cash gains or losses or charges in respect of hedge or non-hedge
derivatives (including those resulting from the application of FAS 133) will be excluded.

In addition, notwithstanding the preceding, for the purposes of Section 4.07 only, there shall be
excluded from Consolidated Net Income any nonrecurring charges relating to any premium or penalty
paid, write off of deferred finance costs or other charges in connection with redeeming or retiring
any Indebtedness prior to its Stated Maturity.

     “Continuing Directors” means, as of any date of determination, any member of the Board of
Directors of the Company who:

     (1) was a member of such Board of Directors on the date of this Indenture; or

     (2) was nominated for election or elected to such Board of Directors with the approval
of a majority of the Continuing Directors who were members of such Board at the time of such
nomination or election.

9

 

     “Corporate Trust Office of the Trustee” shall be at the address of the Trustee specified in
Section 11.02 hereof or such other address as to which the Trustee may give notice to the Company.

     “Credit Agreement” means that certain Third Amended and Restated Credit Agreement, dated as of
August 31, 2005, among the Company, Whiting, JPMorgan Chase Bank, N.A., as administrative agent,
and the other financial institutions party thereto, providing for revolving credit borrowings,
including any related notes, guarantees, collateral documents, instruments and agreements executed
in connection therewith, and in each case as amended, restated, modified, renewed, refunded,
replaced or refinanced from time to time.

     “Credit Facilities” means one or more debt facilities (including, without limitation, the
Credit Agreement), commercial paper facilities or secured capital markets financings, in each case
with banks or other institutional lenders or institutional investors providing for revolving credit
loans, term loans, receivables financing (including through the sale of receivables to such lenders
or to special purpose entities formed to borrow from (or sell receivables to) such lenders against
such receivables), letters of credit or secured capital markets financings, in each case, as
amended, restated, modified, renewed, refunded, replaced or refinanced (including refinancing with
any capital markets transaction) in whole or in part from time to time.

     “Custodian” means any receiver, trustee, assignee, liquidator, sequestrator or similar
official under any Bankruptcy Law.

     “Default” means any event that is, or with the passage of time or the giving of notice or both
would be, an Event of Default.

     “Depository” has the meaning provided in the Appendix.

     “Designated Senior Debt” means:

     (1) any Indebtedness outstanding from time to time under the Credit Facilities; and

     (2) any other Senior Debt permitted under this Indenture the principal amount of which
is $50.0 million or more and that is from time to time designated by the Company as
“Designated Senior Debt.”

     “Disqualified Stock” means any Capital Stock that, by its terms (or by the terms of any
security into which it is convertible, or for which it is exchangeable, in each case at the option
of the holder of the Capital Stock), or upon the happening of any event, matures or is mandatorily
redeemable, pursuant to a sinking fund obligation or otherwise, or redeemable at the option of the
holder of the Capital Stock, in whole or in part, on or prior to the date that is 91 days after the
date on which the Notes mature. Notwithstanding the preceding sentence, any Capital Stock that
would constitute Disqualified Stock solely because the holders of the Capital Stock have the right
to require the Company to repurchase or redeem such Capital Stock upon the occurrence of a change
of control or an asset sale will not constitute Disqualified Stock if the terms of such Capital
Stock provide that the Company may not repurchase or redeem any such Capital Stock pursuant to such
provisions unless such repurchase or redemption complies with Section 4.07.

10

 

     “Dollar-Denominated Production Payments” means production payment obligations recorded as
liabilities in accordance with GAAP, together with all undertakings and obligations in connection
therewith.

     “Domestic Subsidiary” means any Restricted Subsidiary of the Company other than a Foreign
Subsidiary.

     “Equity Interests” means Capital Stock and all warrants, options or other rights to acquire
Capital Stock (but excluding any debt security that is convertible into, or exchangeable for,
Capital Stock).

     “Equity Offering” means any public or private sale of Capital Stock (other than Disqualified
Stock) made for cash on a primary basis by the Company after the date of this Indenture.

     “Euroclear” means Euroclear Bank S.A./N.V. or any successor securities clearing agency.

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

     “Exchange Notes” has the meaning specified in the Appendix.

     “Existing Indebtedness” means the aggregate principal amount of Indebtedness of the Company
and its Restricted Subsidiaries in existence on the date of this Indenture, until such amounts are
repaid.

     “Final Maturity Date” means February 1, 2014.

     “Fixed Charge Coverage Ratio” means with respect to any specified Person for any four-quarter
reference period, the ratio of the Consolidated Cash Flow of such Person for such period to the
Fixed Charges of such Person for such period. In the event that the specified Person or any of its
Restricted Subsidiaries incurs, assumes, guarantees, repays, repurchases or redeems any
Indebtedness (other than ordinary working capital borrowings) or issues, repurchases or redeems
preferred stock subsequent to the commencement of the applicable four-quarter reference period and
on or prior to the date on which the event for which the calculation of the Fixed Charge Coverage
Ratio is made (the “Calculation Date”), then the Fixed Charge Coverage Ratio will be calculated
giving pro forma effect to such incurrence, assumption, guarantee, repayment, repurchase or
redemption of Indebtedness, or such issuance, repurchase or redemption of preferred stock, and the
use of the proceeds therefrom as if the same had occurred at the beginning of such period.

     In addition, for purposes of calculating the Fixed Charge Coverage Ratio:

     (1) acquisitions that have been made by the specified Person or any of its Restricted
Subsidiaries, including through mergers or consolidations and including any related
financing transactions, subsequent to the commencement of the applicable four-quarter
reference period and on or prior to the Calculation Date will be given pro forma effect as
if they had occurred on the first day of such period, including any Consolidated

11

 

Cash Flow and any pro forma expense and cost reductions that have occurred or are
reasonably expected to occur, in the reasonable judgment of the chief financial or
accounting officer of the Company (regardless of whether those cost savings or operating
improvements could then be reflected in pro forma financial statements in accordance with
Regulation S-X promulgated under the Securities Act or any other regulation or policy of the
Commission related thereto);

     (2) the Consolidated Cash Flow attributable to discontinued operations, as determined
in accordance with GAAP, and operations or businesses disposed of prior to the Calculation
Date, will be excluded; and

     (3) the Fixed Charges attributable to discontinued operations, as determined in
accordance with GAAP, and operations or businesses disposed of prior to the Calculation
Date, will be excluded, but only to the extent that the obligations giving rise to such
Fixed Charges will not be obligations of the specified Person or any of its Restricted
Subsidiaries following the Calculation Date.

     “Fixed Charges” means, with respect to any specified Person for any period, the sum, without
duplication, of:

     (1) the consolidated interest expense of such Person and its Restricted Subsidiaries
for such period, whether paid or accrued (excluding any interest attributable to
Dollar-Denominated Production Payments but including, without limitation, amortization of
debt issuance costs and original issue discount, non-cash interest payments, the interest
component of any deferred payment obligations, the interest component of all payments
associated with Capital Lease Obligations, imputed interest with respect to Attributable
Debt, commissions, discounts and other fees and charges incurred in respect of letter of
credit or bankers’ acceptance financings), and net of the effect of all payments made or
received pursuant to Hedging Obligations; plus

     (2) the consolidated interest expense of such Person and its Restricted Subsidiaries
that was capitalized during such period; plus

     (3) any interest expense on Indebtedness of another Person that is guaranteed by such
Person or one of its Restricted Subsidiaries or secured by a Lien on assets of such Person
or one of its Restricted Subsidiaries, whether or not such guarantee or Lien is called upon;
plus

     (4) the product of (a) all dividends, whether paid or accrued and whether or not in
cash, on any series of preferred stock of such Person or any of its Restricted Subsidiaries,
other than dividends on Equity Interests payable solely in Equity Interests of the Company
(other than Disqualified Stock) or to the Company or a Restricted Subsidiary of the Company,
times (b) a fraction, the numerator of which is one and the denominator of which is one
minus the then current combined federal, state and local statutory tax rate of such Person,
expressed as a decimal,

in each case, on a consolidated basis and in accordance with GAAP.

12

 

     “Foreign Subsidiary” means any Restricted Subsidiary of the Company that was not formed under
the laws of the United States or any state of the United States or the District of Columbia and
that conducts substantially all of its operations outside the United States.

     “GAAP” means generally accepted accounting principles in the United States, which are in
effect on the date of this Indenture.

     “Government Securities” means direct obligations of, or obligations guaranteed by, the United
States of America for the payment of which guarantee or obligations the full faith and credit of
the United States is pledged.

     The term “guarantee” means a guarantee other than by endorsement of negotiable instruments for
collection in the ordinary course of business, direct or indirect, in any manner including, without
limitation, by way of a pledge of assets or through letters of credit or reimbursement agreements
in respect thereof, of all or any part of any Indebtedness. When used as a verb, “guarantee” has a
correlative meaning.

     “Guarantor” means (a) each Restricted Subsidiary of the Company named on the signature page
hereof, (b) any other Restricted Subsidiary of the Company that executes a supplement to this
Indenture in accordance with Section 4.13 or 10.03 hereof and (c) the respective successors and
assigns of such Restricted Subsidiaries, as required under Article 10 hereof, in each case until
such time as any such Restricted Subsidiary shall be released and relieved of its obligations
pursuant to Section 8.02, 8.03 or 10.04 hereof.

     “Hedging Obligations” means, with respect to any specified Person, the obligations of such
Person incurred in the normal course of business and consistent with past practices and not for
speculative purposes under:

     (1) interest rate swap agreements, interest rate cap agreements and interest rate
collar agreements entered into with one of more financial institutions and designed to
protect the Person or any of its Restricted Subsidiaries entering into the agreement against
fluctuations in interest rates with respect to Indebtedness incurred and not for purposes of
speculation;

     (2) foreign exchange contracts and currency protection agreements entered into with one
of more financial institutions and designed to protect the Person or any of its Restricted
Subsidiaries entering into the agreement against fluctuations in currency exchanges rates
with respect to Indebtedness incurred and not for purposes of speculation;

     (3) any commodity futures contract, commodity option or other similar agreement or
arrangement designed to protect against fluctuations in the price of oil, natural gas or
other commodities used, produced, processed or sold by that Person or any of its Restricted
Subsidiaries at the time; and

     (4) other agreements or arrangements designed to protect such Person or any of its
Restricted Subsidiaries against fluctuations in interest rates, commodity prices or currency
exchange rates.

13

 

     “Holder” or “Noteholder” means a Person in whose name a Note is registered.

     “Indebtedness” means, with respect to any specified Person, any indebtedness of such Person,
whether or not contingent:

     (1) in respect of borrowed money;

     (2) evidenced by bonds, notes, debentures or similar instruments or letters of credit
(or reimbursement agreements in respect thereof);

     (3) in respect of bankers’ acceptances;

     (4) representing Capital Lease Obligations;

     (5) representing the balance deferred and unpaid of the purchase price of any property,
except any such balance that constitutes an accrued expense or trade payable; or

     (6) representing any Hedging Obligations,

if and to the extent any of the preceding items (other than letters of credit and Hedging
Obligations) would appear as a liability upon a balance sheet of the specified Person prepared in
accordance with GAAP. In addition, the term “Indebtedness” includes all Indebtedness of others
secured by a Lien on any asset of the specified Person (whether or not such Indebtedness is assumed
by the specified Person) and, to the extent not otherwise included, the guarantee by the specified
Person of any Indebtedness of any other Person (including, with respect to any Production Payment,
any warranties or guarantees of production or payment by such Person with respect to such
Production Payment, but excluding other contractual obligations of such Person with respect to such
Production Payment). Subject to the preceding sentence, neither Dollar-Denominated Production
Payments nor Volumetric Production Payments shall be deemed to be Indebtedness.

     The amount of any Indebtedness outstanding as of any date will be:

     (1) the accreted value of the Indebtedness, in the case of any Indebtedness issued with
original issue discount;

     (2) in the case of any Hedging Obligation, the termination value of the agreement or
arrangement giving rise to such Hedging Obligation that would be payable by such Person at
such date; and

     (3) the principal amount of the Indebtedness, together with any interest on the
Indebtedness that is more than 30 days past due, in the case of any other Indebtedness.

     “Indenture” means this Indenture, as amended or supplemented from time to time.

     “Initial Issuance Date” means October 4, 2005.

     “Initial Notes” has the meaning provided in the Appendix.

14

 

     “Initial Purchasers” has the meaning provided in the Appendix.

     “Investment Grade Rating” means a rating equal to or higher than Baa3 (or the equivalent) by
Moody’s and BBB- (or the equivalent) by S&P.

     “Investments” means, with respect to any Person, all direct or indirect investments by such
Person in other Persons (including Affiliates) in the forms of loans (including guarantees or other
obligations), advances or capital contributions (excluding commission, travel and similar advances
to officers and employees made in the ordinary course of business), purchases or other acquisitions
for consideration of Indebtedness, Equity Interests or other securities, together with all items
that are or would be classified as investments on a balance sheet prepared in accordance with GAAP.
If the Company or any Restricted Subsidiary of the Company sells or otherwise disposes of any
Equity Interests of any direct or indirect Restricted Subsidiary of the Company such that, after
giving effect to any such sale or disposition, such Person is no longer a Restricted Subsidiary of
the Company, the Company will be deemed to have made an Investment on the date of any such sale or
disposition in an amount equal to the fair market value of the Equity Interests of such Restricted
Subsidiary not sold or disposed of in an amount determined as provided in the final paragraph of
Section 4.07. The acquisition by the Company or any Subsidiary of the Company of a Person that
holds an Investment in a third Person will be deemed to be an Investment made by the Company or
such Subsidiary in such third Person in an amount equal to the fair market value of the Investment
held by the acquired Person in such third Person on the date of any such acquisition in an amount
determined as provided in the final paragraph of Section 4.07.

     “Legal Holiday” means any calendar day other than a Business Day. If a payment date is a
Legal Holiday, payment may be made on the next succeeding day that is not a Legal Holiday, and no
interest shall accrue for the intervening period.

     “Lien” means, with respect to any asset, any mortgage, lien, pledge, charge, security interest
or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise
perfected under Applicable Law, including any conditional sale or other title retention agreement,
any lease in the nature thereof, any option or other agreement to sell or give a security interest
in and any filing of or agreement to give any financing statement under the Uniform Commercial Code
(or equivalent statutes) of any jurisdiction other than a precautionary financing statement not
intended as a security agreement.

     “Material Change” means an increase or decrease (excluding changes that result solely from
changes in prices and changes resulting from the incurrence of previously estimated future
development costs) of more than 25% during a fiscal quarter in the discounted future net revenues
from proved crude oil and natural gas reserves of the Company and its Restricted Subsidiaries,
calculated in accordance with clause (1)(a) of the definition of ACNTA; provided, however, that the
following will be excluded from the calculation of Material Change:

     (1) any acquisitions during the fiscal quarter of oil and gas reserves that have been
estimated by independent petroleum engineers and with respect to which a report or reports
of such engineers exist; and

15

 

     (2) any disposition of properties existing at the beginning of such fiscal quarter that
have been disposed of in compliance with Section 4.10.

     “Material Domestic Subsidiary” means any one Domestic Subsidiary, or any group of two or more
Domestic Subsidiaries, that is not a Guarantor at the time of determination and that at such time
has either assets or quarterly revenues in excess of 3.0% of the consolidated assets or quarterly
revenues of the Company and its Restricted Subsidiaries, in each case based upon the most recent
quarterly financial statements available to the Company.

     “Moody’s” means Moody’s Investors Service, Inc. or any successor to the rating agency business
thereof.

     “Net Income” means, with respect to any specified Person, the net income (loss) of such
Person, determined in accordance with GAAP and before any reduction in respect of preferred stock
dividends, excluding, however:

     (1) any gain (but not loss), together with any related provision for taxes on such gain
(but not loss), realized in connection with: (a) any Asset Sale; or (b) the disposition of
any securities by such Person or any of its Subsidiaries or the extinguishment of any
Indebtedness of such Person or any of its Subsidiaries; and

     (2) any extraordinary gain (but not loss), together with any related provision for
taxes on such extraordinary gain (but not loss).

     “Net Proceeds” means the aggregate cash proceeds received by the Company or any of its
Restricted Subsidiaries in respect of any Asset Sale (including, without limitation, any cash
received upon the sale or other disposition of any non-cash consideration received in any Asset
Sale), net of:

     (1) the direct costs relating to such Asset Sale, including, without limitation, legal,
accounting and investment banking fees, and sales commissions, and any relocation expenses
incurred as a result of the Asset Sale,

     (2) taxes paid or payable as a result of the Asset Sale, in each case, after taking
into account any available tax credits or deductions and any tax sharing arrangements,

     (3) amounts required to be applied to the repayment of Indebtedness, other than under
the Credit Facilities, secured by a Lien on the properties or assets that were the subject
of such Asset Sale, and

     (4) any reserve for adjustment in respect of the sale price of such properties or
assets established in accordance with GAAP.

16

 

     “Net Working Capital” means:

     (1) all current assets of the Company and its Restricted Subsidiaries, minus

     (2) all current liabilities of the Company and its Restricted Subsidiaries, except
current liabilities included in Indebtedness;

in each case, on a consolidated basis and determined in accordance with GAAP.

     “Non-Recourse Debt” means Indebtedness:

     (1) as to which neither the Company nor any of its Restricted Subsidiaries (a) provides
credit support of any kind (including any undertaking, agreement or instrument that would
constitute Indebtedness), (b) is directly or indirectly liable as a guarantor or otherwise,
or (c) is the lender;

     (2) no default with respect to which (including any rights that the holders of the
Indebtedness may have to take enforcement action against an Unrestricted Subsidiary) would
permit upon notice, lapse of time or both any holder of any other Indebtedness (other than
the Notes) of the Company or any of its Restricted Subsidiaries to declare a default on such
other Indebtedness or cause the payment of the Indebtedness to be accelerated or payable
prior to its Stated Maturity; and

     (3) as to which the lenders have been notified in writing that they will not have any
recourse to the stock or assets of the Company or any of its Restricted Subsidiaries.

     “Notes” means the Initial Notes, the Exchange Notes, the Private Exchange Notes and the
Additional Notes, treated as a single class.

     “Notes Custodian” has the meaning specified in the Appendix.

     “Obligations” means any principal, premium, if any, interest (including interest accruing on
or after the filing of any petition in bankruptcy or for reorganization, whether or not a claim for
post-filing interest is allowed in such proceeding), penalties, fees, charges, expenses,
indemnifications, reimbursement obligations, damages, guarantees, and other liabilities or amounts
payable under the documentation governing any Indebtedness or in respect thereto.

     “Offering Memorandum” means the offering memorandum of the Company dated September 28, 2005
relating to the offering of the Initial Notes.

     “Officer” means, with respect to any Person, the Chairman of the Board, the Chief Executive
Officer, the President, the Chief Operating Officer, the Chief Financial Officer, the Treasurer,
any Assistant Treasurer, the Controller, the Secretary, any Assistant Secretary or any Vice
President of such Person.

     “Officers’ Certificate” means a certificate signed on behalf of the Company by two Officers of
the Company, one of whom must be the principal executive officer, the principal

17

 

financial officer, the treasurer or the principal accounting officer of the Company, that
meets the requirements of Section 11.05 hereof.

     “Oil and Gas Business” means:

     (1) the acquisition, exploration, development, operation and disposition of interests
in oil, natural gas and other hydrocarbon properties;

     (2) the gathering, marketing, treating, processing (but not refining), storage, selling
and transporting of any production from those interests; and

     (3) any activity necessary, appropriate or incidental to the activities described
above.

     “Opinion of Counsel” means an opinion from legal counsel who is reasonably acceptable to the
Trustee, that meets the requirements of Section 11.05 hereof. The counsel may be an employee of or
counsel to the Company, any Subsidiary of the Company or the Trustee.

     “Pari Passu Indebtedness” means, with respect to any Excess Proceeds from Asset Sales,
Indebtedness of the Company or any Guarantor that ranks equally in right of payment with the Notes
or the Subsidiary Guarantees, as the case may be, and the terms of which require the Company or
such Restricted Subsidiary to apply such Excess Proceeds to offer to repurchase such Indebtedness.

     “Permitted Business Investments” means Investments made in the ordinary course of, and of a
nature that is or shall have become customary in, the Oil and Gas Business, including through
agreements, transactions, interests or arrangements that permit one to share risk or costs, comply
with regulatory requirements regarding local ownership or satisfy other objectives customarily
achieved through the conduct of the Oil and Gas Business jointly with third parties, including
without limitation:

     (1) direct or indirect ownership of crude oil, natural gas, other related hydrocarbon
and mineral properties or any interest therein or gathering, transportation, processing,
storage or related systems; and

     (2) the entry into operating agreements, joint ventures, processing agreements, working
interests, royalty interests, mineral leases, farm-in agreements, farm-out agreements,
development agreements, production sharing agreements, area of mutual interest agreements,
contracts for the sale, transportation or exchange of crude oil and natural gas and related
hydrocarbons and minerals, unitization agreements, pooling arrangements, joint bidding
agreements, service contracts, partnership agreements (whether general or limited), or other
similar or customary agreements, transactions, properties, interests or arrangements and
Investments and expenditures in connection therewith or pursuant thereto, in each case made
or entered into in the ordinary course of the Oil and Gas Business, excluding, however,
Investments in corporations and publicly-traded limited partnerships.

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     “Permitted Investments” means:

     (1) any Investment in the Company or in a Restricted Subsidiary of the Company;

     (2) any Investment in Cash Equivalents;

     (3) any Investment by the Company or any Restricted Subsidiary of the Company in a
Person, if as a result of such Investment:

     (a) such Person becomes a Restricted Subsidiary of the Company; or

     (b) such Person is merged, consolidated or amalgamated with or into, or
transfers or conveys substantially all of its properties or assets to, or is
liquidated into, the Company or a Restricted Subsidiary of the Company;

     (4) any Investment made as a result of the receipt of non-cash consideration from an
Asset Sale that was made pursuant to and in compliance with Section 4.10;

     (5) any Investment in any Person solely in exchange for the issuance of Equity
Interests (other than Disqualified Stock) of the Company;

     (6) any Investments received in compromise of obligations of trade creditors or
customers that were incurred in the ordinary course of business, including pursuant to any
plan of reorganization or similar arrangement upon the bankruptcy or insolvency of any trade
creditor or customer;

     (7) Hedging Obligations permitted to be incurred under the “Incurrence of Indebtedness
and Issuance of Preferred Stock” covenant;

     (8) Permitted Business Investments; and

     (9) other Investments in any Person having an aggregate fair market value (measured on
the date each such Investment was made and without giving effect to subsequent changes in
value), when taken together with all other Investments made pursuant to this clause (9) that
are at the time outstanding, not to exceed the greater of $40.0 million and 2.5% of ACNTA.

     “Permitted Junior Securities” means:

     (1) Equity Interests in the Company or any Guarantor; or

     (2) debt securities that are subordinated to all Senior Debt and any debt securities
issued in exchange for Senior Debt to substantially the same extent as, or to a greater
extent than, the Notes and the Subsidiary Guarantees are subordinated to Senior Debt
pursuant to this Indenture.

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     “Permitted Liens” means:

     (1) Liens securing any Indebtedness under any of the Credit Facilities or any other
Senior Debt;

     (2) Liens in favor of the Company or the Guarantors;

     (3) Liens on property of a Person existing at the time such Person is merged with or
into or consolidated with the Company or any Restricted Subsidiary of the Company, provided
that such Liens were in existence prior to the contemplation of such merger or consolidation
and do not extend to any assets other than those of the Person merged into or consolidated
with the Company or the Restricted Subsidiary;

     (4) Liens on property existing at the time of acquisition of the property by the
Company or any Restricted Subsidiary of the Company, provided that such Liens were in
existence prior to the contemplation of such acquisition;

     (5) Liens to secure Indebtedness (including Capital Lease Obligations) permitted by
clause (4) of the second paragraph of Section 4.09 covering only the assets acquired with
such Indebtedness and proceeds and products thereof;

     (6) Liens existing on the date of this Indenture; and

     (7) Liens incurred in the ordinary course of business of the Company or any Restricted
Subsidiary of the Company with respect to obligations that do not exceed $25.0 million at
any one time outstanding.

     “Permitted Refinancing Indebtedness” means any Indebtedness of the Company or any of its
Restricted Subsidiaries issued in exchange for, or the net proceeds of which are used to extend,
refinance, renew, replace, defease or refund other Indebtedness of the Company or any of its
Restricted Subsidiaries (other than intercompany Indebtedness); provided that:

     (1) the principal amount (or accreted value, if applicable) of such Permitted
Refinancing Indebtedness does not exceed the principal amount (or accreted value, if
applicable) of the Indebtedness being extended, refinanced, renewed, replaced, defeased or
refunded (plus all accrued interest on the Indebtedness and the amount of all expenses and
premiums incurred in connection therewith);

     (2) such Permitted Refinancing Indebtedness has a final maturity date later than the
final maturity date of, and has a Weighted Average Life to Maturity equal to or greater than
the Weighted Average Life to Maturity of, the Indebtedness being extended, refinanced,
renewed, replaced, defeased or refunded;

     (3) if the Indebtedness being extended, refinanced, renewed, replaced, defeased or
refunded is subordinated in right of payment to the Notes or the Subsidiary Guarantees, such
Permitted Refinancing Indebtedness is subordinated in right of payment to the Notes or the
Subsidiary Guarantees on terms at least as favorable to the

20

 

Noteholders as those contained in the documentation governing the Indebtedness being
extended, refinanced, renewed, replaced, defeased or refunded; and

     (4) such Indebtedness is not incurred by a Restricted Subsidiary of the Company if the
Company is the obligor on the Indebtedness being extended, refinanced, renewed, replaced,
defeased or refunded; provided, however, that a Restricted Subsidiary that is also a
Guarantor may guarantee Permitted Refinancing Indebtedness incurred by the Company, whether
or not such Restricted Subsidiary was an obligor or guarantor of the Indebtedness being
extended, refinanced, renewed, replaced, defeased or refunded.

Notwithstanding the preceding, any Indebtedness incurred under Credit Facilities pursuant to
Section 4.09 shall be subject only to the refinancing provision in the definition of Credit
Facilities and not pursuant to the requirements set forth in the definition of Permitted
Refinancing Indebtedness.

     “Person” means any individual, corporation, partnership, joint venture, association,
joint-stock company, trust, unincorporated organization, limited liability company or government or
other entity.

     “Private Exchange” has the meaning provided in the Appendix.

     “Private Exchange Notes” has the meaning provided in the Appendix.

     “Production Payments” means, collectively, Dollar-Denominated Production Payments and
Volumetric Production Payments.

     “Purchase Agreement” has the meaning provided in the Appendix.

     “QIB” means a “qualified institutional buyer” as defined in Rule 144A under the Securities
Act.

     “Registered Exchange Offer” has the meaning provided in the Appendix.

     “Registration Rights Agreement” has the meaning provided in the Appendix.

     “Regulation S” has the meaning provided in the Appendix.

     “Representative” means the trustee, agent or other representative expressly authorized to act
in such capacity with respect to any issue of Senior Debt.

     “Responsible Officer,” when used with respect to the Trustee, means any officer within the
Corporate Trust Department of the Trustee (or any successor department of the Trustee) or any other
officer of the Trustee customarily performing functions similar to those performed by any of the
above designated officers and also means, with respect to a particular corporate trust matter, any
other officer to whom such matter is referred because of his knowledge of and familiarity with the
particular subject.

     “Restricted Global Note” has the meaning provided in the Appendix.

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     “Restricted Investment” means an Investment other than a Permitted Investment.

     “Restricted Subsidiary” of a Person means any Subsidiary of the referent Person that is not an
Unrestricted Subsidiary.

     “Rule 144A” has the meaning provided in the Appendix.

     “S&P” means Standard & Poor’s Ratings Services, a division of The McGraw-Hill Companies, Inc.,
or any successor to the rating agency business thereof.

     “Sale and Leaseback Transaction” means an arrangement relating to property owned by the
Company or a Restricted Subsidiary on the Initial Issuance Date or thereafter acquired by the
Company or a Restricted Subsidiary whereby the Company or a Restricted Subsidiary transfers such
property to a Person and the Company or a Restricted Subsidiary leases it from such Person.

     “SEC” or “Commission” means the Securities and Exchange Commission.

     “Securities Act” means the Securities Act of 1933, as amended.

     “Senior Debt” means

     (1) all Indebtedness of the Company or any of its Restricted Subsidiaries outstanding
under Credit Facilities and all Hedging Obligations with respect thereto;

     (2) any other Indebtedness of the Company or any of its Restricted Subsidiaries
permitted to be incurred under the terms of this Indenture, unless the instrument under
which such Indebtedness is incurred expressly provides that it is on a parity with or
subordinated in right of payment to the Notes or any Subsidiary Guarantee; and

     (3) all Obligations with respect to the items listed in the preceding clauses (1) and
(2).

     Notwithstanding anything to the contrary in the preceding sentence, Senior Debt will not
include:

	 	(a)	 	any intercompany Indebtedness of the Company or any of its Subsidiaries to the
Company or any of its Affiliates;
	 
	 	(b)	 	the Company’s 71/4% Senior Subordinated Notes due 2012 or the Company’s 71/4%
Senior Subordinated Notes due 2013 outstanding on the Initial Issuance Date or any
guarantees thereof; or
	 
	 	(c)	 	any Indebtedness that is incurred in violation of this Indenture.

For the avoidance of doubt, “Senior Debt” will not include any trade payables or taxes owed or
owing by the Company or any Restricted Subsidiary.

22

 

     “Senior Subordinated Debt” of the Company means the Notes, the Company’s 71/4% Senior
Subordinated Notes due 2012, the Company’s 71/4% Senior Subordinated Notes due 2013 and any other
subordinated Indebtedness of the Company that specifically provides that such Indebtedness is to
rank equally in right of payment with the Notes and is not subordinated by its terms to any other
Indebtedness of the Company that is not Senior Debt. “Senior Subordinated Debt” of any Guarantor
has a correlative meaning and includes its guaranty of the Company’s 71/4% Senior Subordinated Notes
due 2012 and the Company’s 71/4% Senior Subordinated Notes due 2013.

     “Shelf Registration Statement” has the meaning provided in the Appendix.

     “Significant Subsidiary” means any Subsidiary that would be a “significant subsidiary” as
defined in Article 1, Rule 1-02 of Regulation S-X, promulgated pursuant to the Securities Act, as
such Regulation is in effect on the date of this Indenture.

     “Stated Maturity” means, with respect to any installment of interest or principal on any
series of Indebtedness, the date on which the payment of interest or principal was scheduled to be
paid in the original documentation governing such Indebtedness, and will not include any contingent
obligations to repay, redeem or repurchase any such interest or principal prior to the date
originally scheduled for the payment thereof.

     “Subsidiary” means, with respect to any specified Person:

     (1) any corporation, association or other business entity (other than a partnership) of
which more than 50% of the total voting power of Voting Stock is at the time owned or
controlled, directly or through another Subsidiary, by that Person or one or more of the
other Subsidiaries of that Person (or a combination thereof); and

     (2) any partnership (a) the sole general partner or the managing general partner of
which is such Person or a Subsidiary of such Person or (b) the only general partners of
which are that Person or one or more Subsidiaries of that Person (or any combination
thereof), but only if such Person and its Subsidiaries are entitled to receive more than 20%
of the assets of such partnership upon its dissolution.

     “Subsidiary Guarantees” means the joint and several guarantees issued by all of the Guarantors
pursuant to Article 10 hereof.

     “TIA” means the Trust Indenture Act of 1939 (15 U.S.C. §§ 77aaa-77bbbb) and the rules and
regulations thereunder, as in effect on the date on which this Indenture is qualified under the TIA
(except as provided in Section 9.01(i) and 9.03 hereof).

     “Transfer Restricted Securities” has the meaning provided in the Appendix.

     “Treasury Rate” means the yield to maturity at the time of computation of United States
Treasury securities with a constant maturity (as compiled and published in the most recent Federal
Reserve Statistical Release H.15 (519) that has become publicly available at least two business
days prior to the redemption date (or, if such Statistical Release is no longer published, any
publicly available source or similar market data)) most nearly equal to the period from the

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redemption date to the Final Maturity Date; provided, however, that if the period from the
redemption date to the Final Maturity Date is not equal to the constant maturity of a United States
Treasury security for which a weekly average yield is given, the Treasury Rate shall be obtained by
linear interpolation (calculated to the nearest one-twelfth of a year) from the weekly average
yields of United States Treasury securities for which such yields are given, except that if the
period from the redemption date to the Final Maturity Date is less than one year, the weekly
average yield on actually traded United States Treasury securities adjusted to a constant maturity
of one year shall be used.

     “Trustee” means the party named as such above until a successor replaces it in accordance with
the applicable provisions of this Indenture and thereafter means the successor serving hereunder.

     “Uniform Commercial Code” means the New York Uniform Commercial Code as in effect from time to
time.

     “Unrestricted Subsidiary” means any Subsidiary of the Company (other than Whiting) that is
designated by the Board of Directors as an Unrestricted Subsidiary pursuant to a Board Resolution,
but only to the extent that such Subsidiary:

     (1) has no Indebtedness other than Non-Recourse Debt;

     (2) is not party to any agreement, contract, arrangement or understanding with the
Company or any Restricted Subsidiary of the Company unless the terms of any such agreement,
contract, arrangement or understanding are no less favorable to the Company or such
Restricted Subsidiary than those that might be obtained at the time from Persons who are not
Affiliates of the Company;

     (3) is a Person with respect to which neither the Company nor any of its Restricted
Subsidiaries has any direct or indirect obligation (a) to subscribe for additional Equity
Interests or (b) to maintain or preserve such Person’s financial condition or to cause such
Person to achieve any specified levels of operating results; and

     (4) has not guaranteed or otherwise directly or indirectly provided credit support for
any Indebtedness of the Company or any of its Restricted Subsidiaries.

     Any designation of a Subsidiary of the Company as an Unrestricted Subsidiary will be evidenced
to the Trustee by filing with the Trustee the Board Resolution giving effect to such designation
and an Officers’ Certificate certifying that such designation complied with the preceding
conditions and was permitted by Section 4.07. If, at any time, any Unrestricted Subsidiary would
fail to meet the preceding requirements as an Unrestricted Subsidiary, it will thereafter cease to
be an Unrestricted Subsidiary for purposes of this Indenture and any Indebtedness of such
Subsidiary will be deemed to be incurred by a Restricted Subsidiary of the Company as of such date
and, if such Indebtedness is not permitted to be incurred as of such date under Section 4.09, the
Company will be in default of such covenant.

24

 

     “Volumetric Production Payments” means production payment obligations recorded as deferred
revenue in accordance with GAAP, together with all related undertakings and obligations.

     “Voting Stock” of any Person as of any date means the Capital Stock of such Person that is at
the time entitled (without regard to the occurrence of any contingency) to vote in the election of
the Board of Directors of such Person.

     “Weighted Average Life to Maturity” means, when applied to any Indebtedness at any date, the
number of years obtained by dividing:

     (1) the sum of the products obtained by multiplying (a) the amount of each then
remaining installment, sinking fund, serial maturity or other required payments of
principal, including payment at final maturity, in respect of the Indebtedness, by (b) the
number of years (calculated to the nearest one-twelfth) that will elapse between such date
and the making of such payment; by

     (2) the then outstanding principal amount of such Indebtedness.

     “Whiting” means Whiting Oil and Gas Corporation, a Delaware corporation, and its successors.

Section 1.02. Other Definitions.

	 	 	 	 	 
	Term	 	Defined in Section
	“Affiliate Transaction”

	 	 	4.11	 
	“Appendix”

	 	 	2.01	 
	“Asset Sale Offer”

	 	 	3.09	 
	“Change of Control Offer”

	 	 	4.15	 
	“Change of Control Payment”

	 	 	4.15	 
	“Change of Control Purchase Date”

	 	 	4.15	 
	“Change of Control Settlement Date”

	 	 	4.15	 
	“Covenant Defeasance”

	 	 	8.03	 
	“Discharge”

	 	 	8.08	 
	“Event of Default”

	 	 	6.01	 
	“Excess Proceeds”

	 	 	4.10	 
	“incur”

	 	 	4.09	 
	“Legal Defeasance”

	 	 	8.02	 
	“Offer Amount”

	 	 	3.09	 
	“Offer Period”

	 	 	3.09	 
	“Paying Agent”

	 	 	2.03	 
	“Payment Blockage Notice”

	 	 	12.03	 
	“Payment Default”

	 	 	6.01	 
	“Permitted Debt”

	 	 	4.09	 
	“Registrar”

	 	 	2.03	 
	“Restricted Payments”

	 	 	4.07	 

25

 

	 	 	 	 	 
	Term	 	Defined in Section
	“Settlement Date”

	 	 	3.09	 
	“Subsidiary Guarantee Payment Blockage Notice”

	 	 	13.03	 
	“Termination Date”

	 	 	3.09	 

Section 1.03. Incorporation by Reference of Trust Indenture Act.

     Whenever this Indenture refers to a provision of the TIA, the provision is incorporated by
reference in and made a part of this Indenture. Any terms incorporated in this Indenture that are
defined by the TIA, defined by TIA reference to another statute or defined by SEC rule under the
TIA have the meanings so assigned to them.

Section 1.04. Rules of Construction.

     Unless the context otherwise requires:

     (1) a term has the meaning assigned to it;

     (2) an accounting term not otherwise defined has the meaning assigned to it in
accordance with GAAP;

     (3) “or” is not exclusive;

     (4) words in the singular include the plural, and in the plural include the singular;

     (5) provisions apply to successive events and transactions;

     (6) references to sections of or rules under the Securities Act or the Exchange Act
shall be deemed to include substitute, replacement or successor sections or rules adopted by
the SEC from time to time; and

     (7) “herein,” “hereof” and other words of similar import refer to this Indenture as a
whole (as amended or supplemented from time to time) and not to any particular Article,
Section or other subdivision

ARTICLE 2

THE NOTES

Section 2.01. Form and Dating.

     Provisions relating to the Initial Notes, the Private Exchange Notes and the Exchange Notes
are set forth in the Rule 144A/Regulation S Appendix attached hereto (the “Appendix”) which is
hereby incorporated in and expressly made part of this Indenture. The Initial Notes and the
Trustee’s certificate of authentication therefor shall be substantially in the form of Exhibit 1 to
the Appendix which is hereby incorporated in and expressly made a part of this Indenture. The
Exchange Notes, the Private Exchange Notes and the Trustee’s certificate of authentication therefor
shall be substantially in the form of Exhibit A to the Appendix, which is hereby
incorporated in and expressly made a part of this Indenture. The Notes may have notations,

26

 

legends or
endorsements required by law, stock exchange rule, agreements to which the Company is subject, if any, or usage (provided that any such notation, legend or endorsement is in a form
acceptable to the Company). Each Note shall be dated the date of its authentication. The terms of
the Notes set forth in the Appendix are part of the terms of this Indenture.

Section 2.02. Execution and Authentication.

     An Officer shall sign the Notes for the Company by manual or facsimile signature.

     If the Officer whose signature is on a Note no longer holds that office at the time the
Trustee authenticates the Note, the Note shall be valid nevertheless.

     A Note shall not be valid until an authorized signatory of the Trustee manually signs the
certificate of authentication on the Note. The signature shall be conclusive evidence that the
Note has been authenticated under this Indenture.

     On the Initial Issuance Date, the Trustee shall authenticate and deliver $250 million of 7%
Senior Notes due 2014 and, at any time and from time to time thereafter, the Trustee shall
authenticate and deliver Notes for original issue in an aggregate principal amount specified in
such order, in each case upon a written order of the Company signed by two Officers. Such order
shall specify the amount of the Notes to be authenticated and the date on which the original issue
of Notes is to be authenticated and, in the case of an issuance of Additional Notes pursuant to
Section 2.13 after the Initial Issuance Date, shall certify that such issuance is in compliance
with Section 4.09.

     The Trustee may appoint an authenticating agent reasonably acceptable to the Company to
authenticate the Notes. Unless limited by the terms of such appointment, an authenticating agent
may authenticate Notes whenever the Trustee may do so. Each reference in this Indenture to
authentication by the Trustee includes authentication by such agent. An authenticating agent has
the same rights as any Registrar, Paying Agent or agent for service of notices and demands.

Section 2.03. Registrar and Paying Agent.

     The Company shall maintain an office or agency where Notes may be presented for registration
of transfer or for exchange (the “Registrar”) and an office or agency where Notes may be presented
for payment (the “Paying Agent”). The Registrar shall keep a register of the Notes and of their
transfer and exchange. The Company may have one or more co-registrars and one or more additional
paying agents. The term “Registrar” includes any co-registrar, and the term “Paying Agent”
includes any additional paying agent.

     The Company shall enter into an appropriate agency agreement with any Registrar or Paying
Agent not a party to this Indenture, which shall incorporate the terms of the TIA. The agreement
shall implement the provisions of this Indenture that relate to such agent. The Company shall
notify the Trustee of the name and address of any such agent. If the Company fails to maintain a
Registrar or Paying Agent, the Trustee shall act as such and shall be entitled to appropriate
compensation therefor pursuant to Section 7.07. The Company or any Domestic Subsidiary may act as
Paying Agent or Registrar.

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     The Company initially appoints the Trustee as Registrar and Paying Agent in connection with
the Notes.

Section 2.04. Paying Agent to Hold Money in Trust.

     Prior to 11:00 a.m. New York City time, on each due date of the principal and interest on any
Note, the Company shall deposit with the Paying Agent a sum sufficient to pay such principal and
interest when so becoming due. The Company shall require each Paying Agent (other than the
Trustee) to agree in writing that the Paying Agent shall hold in trust for the benefit of
Noteholders or the Trustee all money held by the Paying Agent for the payment of principal of or
interest on the Notes and shall notify the Trustee of any default by the Company in making any such
payment. If the Company or a Domestic Subsidiary acts as Paying Agent, it shall segregate the
money held by it as Paying Agent and hold it as a separate trust fund. The Company at any time may
require a Paying Agent to pay all money held by it to the Trustee and to account for any funds
disbursed by the Paying Agent. Upon complying with this Section, the Paying Agent shall have no
further liability for the money delivered to the Trustee.

Section 2.05. Noteholder Lists.

     The Trustee shall preserve in as current a form as is reasonably practicable the most recent
list available to it of the names and addresses of Noteholders. If the Trustee is not the
Registrar, the Company shall furnish to the Trustee, in writing at least five Business Days before
each interest payment date and at such other times as the Trustee may request in writing, a list in
such form and as of such date as the Trustee may reasonably require of the names and addresses of
Noteholders.

Section 2.06. Transfer and Exchange.

     The Notes shall be issued in registered form and shall be transferable only upon the surrender
of a Note for registration of transfer. When a Note is presented to the Registrar or a
co-registrar with a request to register a transfer, the Registrar shall register the transfer as
requested if the requirements of this Indenture and Section 8-401(a) of the Uniform Commercial Code
are met. When Notes are presented to the Registrar with a request to exchange them for an equal
principal amount of Notes of other denominations, the Registrar shall make the exchange as
requested if the same requirements are met. The Company may require payment of a sum sufficient to
cover any taxes, assessments or other governmental charges in connection with any transfer or
exchange pursuant to this Section (other than any such transfer taxes, assessments or similar
governmental charge payable upon exchange or transfer pursuant to Section 3.06, 4.10, 4.15 or
9.05).

Section 2.07. Replacement Notes.

     If a mutilated Note is surrendered to the Registrar or if the Holder of a Note claims that the
Note has been lost, destroyed or wrongfully taken, the Company shall issue and the Trustee shall
authenticate a replacement Note if the requirements of Section 8-405 of the Uniform Commercial Code
are met and the Holder satisfies any other reasonable requirements of the Trustee. If required by
the Trustee or the Company, such Holder shall furnish an indemnity bond sufficient in the judgment
of the Company and the Trustee to protect the Company, the Trustee,

28

 

the Paying Agent and the Registrar from any loss which any of them may suffer if a Note is
replaced. The Company and the Trustee may charge the Holder for their expenses in replacing a
Note.

     Every replacement Note is an additional obligation of the Company.

Section 2.08. Outstanding Notes.

     Notes outstanding at any time are all Notes authenticated by the Trustee except for those
canceled by it, those delivered to it for cancellation and those described in this Section as not
outstanding. Except as otherwise provided in TIA §316(a), a Note does not cease to be outstanding
because the Company or an Affiliate of the Company holds the Note.

     If a Note is replaced pursuant to Section 2.07, it ceases to be outstanding unless the Trustee
and the Company receive proof satisfactory to them that the replaced Note is held by a bona fide
purchaser.

     If the Paying Agent segregates and holds in trust, in accordance with this Indenture, by 11:00
a.m. New York time, on a redemption date or other maturity date money sufficient to pay all
principal, premium, if any, interest and Additional Interest, if any, payable on that date with
respect to the Notes (or portions thereof) to be redeemed or maturing, as the case may be, then on
and after that date such Notes (or portions thereof) cease to be outstanding and interest and
Additional Interest, if any, on them cease to accrue.

Section 2.09. Temporary Notes.

     Until definitive Notes are ready for delivery, the Company may prepare and the Trustee shall
authenticate temporary Notes. Temporary Notes shall be substantially in the form of definitive
Notes but may have variations that the Company considers appropriate for temporary Notes. Without
unreasonable delay, the Company shall prepare and the Trustee shall authenticate definitive Notes
and deliver them in exchange for temporary Notes.

Section 2.10. Cancellation.

     The Company at any time may deliver Notes to the Trustee for cancellation. The Registrar and
the Paying Agent shall forward to the Trustee any Notes surrendered to them for registration of
transfer, exchange or payment. The Trustee and no one else shall cancel and destroy (subject to
the record retention requirements of the Exchange Act) all Notes surrendered for registration of
transfer, exchange, payment or cancellation and deliver a certificate of such destruction to the
Company unless the Company directs the Trustee to deliver canceled Notes to the Company. The
Company may not issue new Notes to replace Notes it has redeemed, paid or delivered to the Trustee
for cancellation.

Section 2.11. Defaulted Interest.

     If the Company defaults in a payment of interest on the Notes, the Company shall pay defaulted
interest (plus interest on such defaulted interest to the extent lawful) in any lawful manner. The
Company may pay the defaulted interest to the persons who are Noteholders on a

29

 

subsequent special record date. The Company shall fix or cause to be fixed any such special
record date and payment date to the reasonable satisfaction of the Trustee and shall promptly mail
to each Noteholder a notice that states the special record date, the payment date and the amount of
defaulted interest to be paid.

Section 2.12. CUSIP Numbers.

     The Company in issuing the Notes may use “CUSIP” numbers and corresponding “ISINs” (if then
generally in use) and, if so, the Trustee shall use “CUSIP” numbers and corresponding “ISINs” in
notices of redemption as a convenience to Holders; provided, however, that any such notice may
state that no representation is made as to the correctness of such numbers either as printed on the
Notes or as contained in any notice of a redemption and that reliance may be placed only on the
other identification numbers printed on the Notes, and any such redemption shall not be affected by
any defect in or omission of such numbers.

Section 2.13. Issuance of Additional Notes.

     The Company shall be entitled, subject to its compliance with Section 4.09, to issue
Additional Notes under this Indenture which shall have identical terms as the Initial Notes issued
on the Initial Issuance Date, other than with respect to the date of issuance and issue price. The
Initial Notes issued on the Initial Issuance Date, any Additional Notes and all Exchange Notes or
Private Exchange Notes issued in exchange therefor shall be treated as a single class for all
purposes under this Indenture.

     With respect to any Additional Notes, the Company shall set forth in a resolution of the Board
of Directors and an Officers’ Certificate, a copy of each which shall be delivered to the Trustee,
the following information:

     (1) the aggregate principal amount of such Additional Notes to be authenticated and
delivered pursuant to this Indenture;

     (2) the issue price, the issue date and the CUSIP number and any corresponding ISIN of
such Additional Notes; provided, however, that no Additional Notes may be issued at a price
that would cause such Additional Notes to have “original issue discount” within the meaning
of Section 1273 of the Code; and

     (3) whether such Additional Notes shall be Transfer Restricted Securities and issued in
the form of Initial Notes as set forth in Exhibit 1 to the Appendix to this Indenture or
shall be issued in the form of Exchange Notes as set forth in Exhibit A to the Appendix.

ARTICLE 3

REDEMPTION AND PREPAYMENT

Section 3.01. Notices to Trustee.

     If the Company elects to redeem Notes pursuant to the optional redemption provisions of
Section 3.07 hereof, it shall furnish to the Trustee, at least five Business Days (unless a shorter

30

 

period shall be agreeable to the Trustee) before the date of giving notice of the redemption
pursuant to Section 3.03, an Officers’ Certificate setting forth (i) the clause of Section 3.07
pursuant to which the redemption shall occur, (ii) the redemption date, (iii) the principal amount
of Notes to be redeemed, (iv) the redemption price, and (v) whether it requests the Trustee to give
notice of such redemption. Any such notice may be cancelled at any time prior to the mailing of
notice of such redemption to any Holder and shall thereby be void and of no effect.

Section 3.02. Selection of Notes to Be Redeemed.

     If less than all of the Notes are to be redeemed at any time, the Trustee shall select the
Notes to be redeemed among the Holders of the Notes as follows: (1) if the Notes are listed on any
national securities exchange, in compliance with the requirements of the principal national
securities exchange on which the Notes are listed; or (2) if the Notes are not listed on any
national securities exchange, on a pro rata basis. In the event of partial redemption other than
on a pro rata basis, the particular Notes to be redeemed shall be selected, not less than five (5)
Business Days (unless a shorter period shall be agreeable to the Trustee) prior to the giving of
notice of the redemption pursuant to Section 3.03, by the Trustee from the outstanding Notes not
previously called for redemption.

     The Trustee shall promptly notify the Company in writing of the Notes selected for redemption
and, in the case of any Note selected for partial redemption, the principal amount thereof to be
redeemed. Notes and portions of Notes selected shall be in amounts of $1,000 or whole multiples of
$1,000; except that if all of the Notes of a Holder are to be redeemed, the entire outstanding
amount of Notes held by such Holder, even if not a multiple of $1,000, shall be redeemed.
Provisions of this Indenture that apply to Notes called for redemption also apply to portions of
Notes called for redemption.

     The provisions of the two preceding paragraphs of this Section 3.02 shall not apply with
respect to any redemption affecting only a Global Note, whether such Global Note is to be redeemed
in whole or in part. In case of any such redemption in part, the unredeemed portion of the
principal amount of the Global Note shall be in an authorized denomination.

Section 3.03. Notice of Redemption.

     Subject to the provisions of Section 3.09 hereof, at least 30 days but not more than 60 days
before a redemption date, except that redemption notices may be mailed more than 60 days prior to a
redemption date if the notice is issued in connection with a Legal Defeasance, Covenant Defeasance
or Discharge, the Company shall mail or cause to be mailed, by first class mail, a notice of
redemption to each Holder whose Notes are to be redeemed at its registered address.

     The notice shall identify the Notes to be redeemed and shall state:

     (a) the redemption date;

     (b) the redemption price;

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     (c) if any Note is being redeemed in part, the portion of the principal amount of such
Note to be redeemed and that, after the redemption date upon surrender of such Note, a new
Note or Notes in a principal amount equal to the unredeemed portion shall be issued in the
name of the Holder upon cancellation of the original Note;

     (d) the name and address of the Paying Agent;

     (e) that Notes called for redemption must be surrendered to the Paying Agent to collect
the redemption price;

     (f) that, unless the Company defaults in making such redemption payment, interest and
Additional Interest, if any, on Notes called for redemption cease to accrue on and after the
redemption date and the only remaining right of the Holders of such Notes is to receive
payment of the redemption price upon surrender to the Paying Agent of the Notes redeemed;

     (g) the Section of this Indenture pursuant to which the Notes called for redemption are
being redeemed; and

     (h) that no representation is made as to the correctness or accuracy of the CUSIP or
ISIN number, if any, listed in such notice or printed on the Notes.

     If any of the Notes to be redeemed is in the form of a Global Note, then the Company shall
modify such notice to the extent necessary to accord with the procedures of the Depository
applicable to redemption.

     At the Company’s request, the Trustee shall give the notice of redemption in the Company’s
name and at its expense; provided, however, that the Company shall have delivered to the Trustee,
as provided in Section 3.01, an Officers’ Certificate requesting that the Trustee give such notice
and setting forth the information to be stated in such notice as provided in the second preceding
paragraph.

Section 3.04. Effect of Notice of Redemption.

     Once notice of redemption is mailed in accordance with Section 3.03 hereof, Notes called for
redemption become irrevocably due and payable on the redemption date at the redemption price. A
notice of redemption may not be conditional.

Section 3.05. Deposit of Redemption Price.

     Prior to 11:00 a.m. New York time on the redemption date, the Company shall deposit with the
Paying Agent (or, if the Company is acting as its own Paying Agent, segregate and hold in trust as
provided in Section 2.04 hereof) money sufficient in same day funds to pay the redemption price of
and accrued interest and Additional Interest, if any, on all Notes to be redeemed on that date.
The Paying Agent shall promptly return to the Company any money deposited with the Paying Agent by
the Company in excess of the amounts necessary to pay the redemption price of and accrued interest
and Additional Interest, if any, on all Notes to be redeemed.

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     If the Company complies with the provisions of the preceding paragraph, on and after the
redemption date, interest and Additional Interest, if any, shall cease to accrue on the Notes or
the portions of Notes called for redemption whether or not such Notes are presented for payment,
and the only remaining right of the Holders of such Notes shall be to receive payment of the
redemption price upon surrender to the Paying Agent of the Notes redeemed. If any Note called for
redemption shall not be so paid upon surrender for redemption because of the failure of the Company
to comply with the preceding paragraph, interest shall be paid on the unpaid principal, from the
redemption date until such principal is paid, and to the extent lawful, on any interest and
Additional Interest, if any, not paid on such unpaid principal, in each case at the rate provided
in the Notes and in Section 4.01 hereof.

Section 3.06. Notes Redeemed in Part.

     Upon surrender of a Note that is redeemed in part, the Company shall issue in the name of the
Holder and the Trustee shall authenticate for the Holder at the expense of the Company a new Note
equal in principal amount to the unredeemed portion of the Note surrendered.

Section 3.07. Optional Redemption.

     (a) Except as set forth in clauses (b) and (c) of this Section 3.07, the Company shall not
have the option to redeem the Notes prior to the Final Maturity Date.

     (b) At any time prior to October 1, 2008, the Company may on one or more occasions redeem up
to 35% of the aggregate principal amount of Notes (including any Additional Notes) issued under
this Indenture at a redemption price of 107.00% of the principal amount thereof, plus accrued and
unpaid interest and Additional Interest, if any, to the redemption date, with the net cash proceeds
of one or more Equity Offerings, provided that:

     (1) at least 65% of the aggregate principal amount of Notes (including any Additional
Notes) issued under this Indenture remains outstanding immediately after the occurrence of
each such redemption; and

     (2) each such redemption occurs within 120 days of the date of the closing of each such
Equity Offering.

     (c) At any time prior to the Final Maturity Date, the Notes may be redeemed in whole or in
part at the option of the Company upon not less than 30 nor more than 60 days’ prior notice at a
redemption price equal to 100% of the principal amount thereof plus the Applicable Premium as of,
and accrued and unpaid interest and Additional Interest, if any, to, the date of redemption.

     (d) Any redemption pursuant to this Section 3.07 shall be made pursuant to the provisions of
Section 3.01 through Section 3.06 hereof.

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Section 3.08. Mandatory Redemption.

     Except as set forth under Sections 4.10 and 4.15 hereof, the Company shall not be required to
make mandatory redemption or sinking fund payments with respect to the Notes or to repurchase the
Notes at the option of the Holders.

Section 3.09. Offer to Purchase by Application of Excess Proceeds.

     In the event that, pursuant to Section 4.10 hereof, the Company shall be required to commence
an offer to all Holders to purchase Notes (an “Asset Sale Offer”), it shall follow the procedures
specified below.

     The Asset Sale Offer shall remain open for a period of 20 Business Days following its
commencement and no longer, except to the extent that a longer period is required by Applicable Law
(the “Offer Period”). No later than five Business Days after the termination of the Offer Period
(the “Settlement Date”), the Company shall purchase and pay for the principal amount of Notes
required to be purchased pursuant to Section 4.10 hereof (the “Offer Amount”) or, if less than the
Offer Amount has been tendered, all Notes validly tendered in response to the Asset Sale Offer.
Payment for any Notes so purchased shall be made in the manner prescribed in the Notes.

     Upon the commencement of an Asset Sale Offer, the Company shall send, by first class mail, a
notice to each of the Holders, with a copy to the Trustee. The notice shall contain all
instructions and materials necessary to enable such Holders to tender Notes pursuant to the Asset
Sale Offer. The Asset Sale Offer shall be made to all Holders. The notice, which shall govern the
terms of the Asset Sale Offer, shall state:

     (a) that the Asset Sale Offer is being made pursuant to this Section 3.09 and Section
4.10 hereof and the length of time the Asset Sale Offer shall remain open, including the
time and date the Asset Sale Offer will terminate (the “Termination Date”);

     (b) the Offer Amount and the purchase price;

     (c) that any Note not tendered or accepted for payment shall continue to accrue
interest and Additional Interest, if any;

     (d) that, unless the Company defaults in making such payment, any Note accepted for
payment pursuant to the Asset Sale Offer shall cease to accrue interest and Additional
Interest, if any, after the Settlement Date;

     (e) that Holders electing to have a Note purchased pursuant to an Asset Sale Offer may
only elect to have all of such Note purchased and may not elect to have only a portion of
such Note purchased;

     (f) that Holders electing to have a Note purchased pursuant to any Asset Sale Offer
shall be required to surrender the Note, with the form entitled “Option of Holder to Elect
Purchase” on the reverse of the Note completed, to the Company or a Paying Agent at the
address specified in the notice, before the Termination Date;

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     (g) that Holders shall be entitled to withdraw their election if the Company or the
Paying Agent, as the case may be, receives, prior to the Termination Date, a telegram,
telex, facsimile transmission or letter setting forth the name of the Holder, the principal
amount of the Note the Holder delivered for purchase and a statement that such Holder is
withdrawing his election to have such Note purchased;

     (h) that, if the aggregate principal amount of Notes surrendered by Holders, and Pari
Passu Indebtedness surrendered by holders or lenders, collectively, exceeds the amount the
Company is required to repurchase, the Trustee shall select the Notes and Pari Passu
Indebtedness to be purchased on a pro rata basis on the basis of the aggregate principal
amount of tendered Notes and Pari Passu Indebtedness (with such adjustments as may be deemed
appropriate by the Trustee so that only Notes in denominations of $1,000, or integral
multiples thereof, shall be purchased); and

     (i) that Holders whose Notes were purchased only in part shall be issued new Notes
equal in principal amount to the unpurchased portion of the Notes surrendered (or
transferred by book-entry transfer).

     If any of the Notes subject to an Asset Sale Offer is in the form of a Global Note, then the
Company shall modify such notice to the extent necessary to accord with the procedures of the
Depository applicable to repurchases.

     Promptly after the Termination Date, the Company shall, to the extent lawful, accept for
payment Notes or portions thereof tendered pursuant to the Asset Sale Offer in the aggregate
principal amount required by Section 4.10 hereof, and prior to the Settlement Date it shall deliver
to the Trustee an Officers’ Certificate stating that such Notes or portions thereof were accepted
for payment by the Company in accordance with the terms of this Section 3.09 and Section 4.10. On
the Settlement Date, the Company or the Paying Agent, as the case may be, shall mail or deliver to
each tendering Holder an amount equal to the purchase price of the Notes tendered by such Holder
and accepted by the Company for purchase, and the Company shall issue a new Note, and the Trustee
shall authenticate and mail or deliver such new Note to such Holder, in a principal amount equal to
any unpurchased portion of the Note surrendered. Any Note not so accepted shall be promptly mailed
or delivered by the Company to the Holder thereof. The Company shall publicly announce the results
of the Asset Sale Offer on or before the Settlement Date.

ARTICLE 4

COVENANTS

Section 4.01. Payment of Notes.

     The Company shall pay or cause to be paid the principal of, premium, if any, interest and
Additional Interest, if any, on the Notes on the dates and in the manner provided in the Notes.
Principal, premium, if any, interest and Additional Interest, if any, shall be considered paid on
the date due if the Paying Agent, if other than the Company or a Guarantor, holds as of 11:00 a.m.
New York time on the due date money deposited by the Company or a Guarantor in

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immediately available funds and designated for and sufficient to pay all principal, premium,
if any, interest and Additional Interest, if any, then due.

     The Company shall pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue principal at the rate equal to the interest rate on the Notes to the
extent lawful; it shall pay interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue installments of interest and Additional Interest, if any (without regard
to any applicable grace period), at the same rate to the extent lawful.

Section 4.02. Maintenance of Office or Agency.

     The Company shall maintain an office or agency (which may be an office of the Trustee or an
affiliate of the Trustee) where Notes may be presented or surrendered for payment, where Notes may
be surrendered for registration of transfer or for exchange and where notices and demands to or
upon the Company in respect of the Notes and this Indenture may be served. The Company shall give
prompt written notice to the Trustee of the location, and any change in the location, of such
office or agency. If at any time the Company shall fail to maintain any such required office or
agency or shall fail to furnish the Trustee with the address thereof, such presentations,
surrenders, notices and demands may be made or served at the Corporate Trust Office of the Trustee.

     The Company may also from time to time designate one or more other offices or agencies where
the Notes may be presented or surrendered for any or all such purposes and may from time to time
rescind such designations. Further, if at any time there shall be no such office or agency in the
City of New York where the Notes may be presented or surrendered for payment, the Company shall
forthwith designate and maintain such an office or agency in the City of New York, in order that
the Notes shall at all times be payable in the City of New York. The Company shall give prompt
written notice to the Trustee of any such designation or rescission and of any change in the
location of any such other office or agency.

     The Company hereby designates the Corporate Trust Office of the Trustee as one such office or
agency of the Company in accordance with Section 2.03.

Section 4.03. Reports.

     (a) Notwithstanding that the Company may not be subject to the reporting requirements of
Section 13 or 15(d) of the Exchange Act, so long as any Notes are outstanding, the Company will
file with the SEC (unless the SEC will not accept such a filing) for public availability within the
time periods specified in the SEC’s rules and regulations under the Exchange Act and, within five
Business Days of filing, or attempting to file, the same with the SEC, furnish to the Trustee and,
upon its request, to any of the Holders of the Notes:

     (1) all quarterly and annual financial and other information with respect to the
Company and its Subsidiaries that would be required to be contained in a filing with the
SEC on Forms 10-Q and 10-K if the Company were required to file such forms, including a
“Management’s Discussion and Analysis of Financial Condition and Results of Operations” and,
with respect to the annual information only, a report thereon by the Company’s certified
independent accountants; and

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     (2) all current reports that would be required to be filed with the SEC on Form 8-K if
the Company were required to file such reports.

The Company shall at all times comply with TIA § 314(a).

     (b) The Company and the Guarantors shall furnish to the Holders of the Notes, prospective
purchasers of the Notes and securities analysts, upon their request, the information, if any,
required to be delivered pursuant to Rule 144A(d)(4) under the Securities Act.

     (c) If the Company has designated any of its Subsidiaries as Unrestricted Subsidiaries, then
the quarterly and annual financial information required by paragraph (a) of this Section 4.03 shall
include a reasonably detailed presentation, either on the face of the financial statements or in
the footnotes to the financial statements and in Management’s Discussion and Analysis of Financial
Condition and Results of Operations, of the financial condition and results of operations of the
Company and its Restricted Subsidiaries separate from the financial condition and results of
operations of the Unrestricted Subsidiaries.

Section 4.04. Compliance Certificate.

     (a) The Company shall deliver to the Trustee, within 90 days after the end of each fiscal
year, an Officers’ Certificate stating that a review of the activities of the Company and its
Restricted Subsidiaries during the preceding fiscal year has been made under the supervision of the
signing Officers with a view to determining whether the Company has kept, observed, performed and
fulfilled its obligations under this Indenture, and further stating, as to each such Officer
signing such certificate, that to the best of his or her knowledge the Company has kept, observed,
performed and fulfilled each and every covenant contained in this Indenture and is not in default
in the performance or observance of any of the terms, provisions and conditions of this Indenture
(or, if a Default or Event of Default shall have occurred, describing all such Defaults or Events
of Default of which he or she may have knowledge and what action the Company is taking or proposes
to take with respect thereto) and that to the best of his or her knowledge no event has occurred
and remains in existence by reason of which payments of interest on the Notes are prohibited or if
such event has occurred, a description of the event and what action the Company is taking or
proposes to take with respect thereto.

     (b) [Reserved].

     (c) The Company shall, so long as any of the Notes are outstanding, deliver to the Trustee,
forthwith upon any Officer becoming aware of any Default or Event of Default, an Officers’
Certificate specifying such Default or Event of Default and what action the Company is taking or
proposes to take with respect thereto.

Section 4.05. Taxes.

     The Company shall pay, and shall cause each of its Subsidiaries to pay, prior to delinquency,
all material taxes, assessments, and governmental levies except such as are contested in good faith
and by appropriate proceedings or where the failure to effect such payment is not adverse in any
material respect to the Holders of the Notes.

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Section 4.06. Stay, Extension and Usury Laws.

     Each of the Company and each of the Guarantors covenants (to the extent that it may lawfully
do so) that it shall not at any time insist upon, plead, or in any manner whatsoever claim or take
the benefit or advantage of, any stay, extension or usury law wherever enacted, now or at any time
hereafter in force, that may affect the covenants or the performance of this Indenture; and the
Company (to the extent that it may lawfully do so) hereby expressly waives all benefit or advantage
of any such law, and covenants that it shall not, by resort to any such law, hinder, delay or
impede the execution of any power herein granted to the Trustee, but shall suffer and permit the
execution of every such power as though no such law has been enacted.

Section 4.07. Limitation on Restricted Payments.

     The Company will not, and will not permit any of its Restricted Subsidiaries to, directly or
indirectly:

     (1) declare or pay any dividend or make any other payment or distribution on account of
the Company’s or any of its Restricted Subsidiaries’ Equity Interests (including, without
limitation, any payment in connection with any merger or consolidation involving the Company
or any of its Restricted Subsidiaries) or to the direct or indirect holders of the Company’s
or any of its Restricted Subsidiaries’ Equity Interests in their capacity as such (other
than dividends or distributions payable in Equity Interests (other than Disqualified Stock)
of the Company or payable to the Company or a Restricted Subsidiary of the Company);

     (2) purchase, redeem or otherwise acquire or retire for value (including, without
limitation, in connection with any merger or consolidation involving the Company) any Equity
Interests of the Company or any direct or indirect parent of the Company;

     (3) make any payment on or with respect to, or purchase, redeem, defease or otherwise
acquire or retire for value any Indebtedness that is subordinated to the Notes or the
Subsidiary Guarantees, except a payment of interest or principal at the Stated Maturity
thereof; or

     (4) make any Restricted Investment (all such payments and other actions set forth in
these clauses (1) through (4) above being collectively referred to as “Restricted
Payments”),

     unless, at the time of and after giving effect to such Restricted Payment:

     (1) no Default or Event of Default has occurred and is continuing or would occur as a
consequence of such Restricted Payment;

     (2) the Company would, at the time of such Restricted Payment and after giving pro
forma effect thereto as if such Restricted Payment had been made at the beginning of the
applicable four-quarter period, have been permitted to incur at least

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$1.00 of additional
Indebtedness pursuant to the Fixed Charge Coverage Ratio test set forth in the first
paragraph of Section 4.09; and

     (3) such Restricted Payment, together with the aggregate amount of all other Restricted
Payments made by the Company and its Restricted Subsidiaries after the date of this
Indenture (excluding Restricted Payments permitted by clauses (2), (3), (4), (6) and (7) of
the next succeeding paragraph), is less than the sum, without duplication, of:

     (a) 50% of the Consolidated Net Income of the Company for the period (taken as
one accounting period) from April 1, 2004 to the end of the Company’s most recently
ended fiscal quarter for which internal financial statements are available at the
time of such Restricted Payment (or, if such Consolidated Net Income for such period
is a deficit, less 100% of such deficit), plus

     (b) 100% of the aggregate net cash proceeds received by the Company (including
the fair market value of any Additional Assets to the extent acquired in
consideration of Equity Interests of the Company (other than Disqualified Stock))
since May 11, 2004 as a contribution to its common equity capital or from the issue
or sale of Equity Interests of the Company (other than Disqualified Stock) or from
the issue or sale of convertible or exchangeable Disqualified Stock or convertible
or exchangeable debt securities of the Company that have been converted into or
exchanged for such Equity Interests (other than Equity Interests (or Disqualified
Stock or debt securities) sold to a Subsidiary of the Company), plus

     (c) to the extent that any Restricted Investment that was made after May 11,
2004 is sold for cash or otherwise liquidated or repaid for cash, the lesser of (i)
the cash return of capital with respect to such Restricted Investment (less the cost
of disposition, if any) and (ii) the initial amount of such Restricted Investment,
plus

     (d) to the extent that any Unrestricted Subsidiary of the Company is
redesignated as a Restricted Subsidiary after May 11, 2004, the lesser of (i) the
fair market value of the Company’s Investment in such Subsidiary as of the date
of such redesignation or (ii) such fair market value as of the date on which such
Subsidiary was originally designated as an Unrestricted Subsidiary.

     So long as no Default or Event of Default has occurred and is continuing or would be caused
thereby, the preceding provisions will not prohibit:

     (1) the payment of any dividend within 60 days after the date of declaration of the
dividend, if at the date of declaration the dividend payment would have complied with the
provisions of this Indenture;

     (2) the redemption, repurchase, retirement, defeasance or other acquisition of any
subordinated Indebtedness of the Company or any Guarantor or of any Equity Interests of the
Company in exchange for, or out of the net cash proceeds of the

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substantially concurrent
sale (other than to a Subsidiary of the Company) of, Equity Interests of the Company (other
than Disqualified Stock); provided that the amount of any such net cash proceeds that are
utilized for any such redemption, repurchase, retirement, defeasance or other acquisition
will be excluded from clause (3)(b) of the preceding paragraph;

     (3) the defeasance, redemption, repurchase, retirement or other acquisition of
subordinated Indebtedness of the Company or any Guarantor with the net cash proceeds from an
incurrence of, or in exchange for, Permitted Refinancing Indebtedness;

     (4) the payment of any dividend by a Restricted Subsidiary of the Company to the
holders of its Equity Interests on a pro rata basis;

     (5) the repurchase, redemption or other acquisition or retirement for value of any
Equity Interests of the Company or any Restricted Subsidiary of the Company held by any
current or former director or employee of the Company or any of its Restricted Subsidiaries
pursuant to any director or employee equity subscription agreement or plan, stock option
agreement or similar agreement or plan; provided that the aggregate price paid for all such
repurchased, redeemed, acquired or retired Equity Interests may not exceed $1.0 million in
any twelve-month period;

     (6) the acquisition of Equity Interests by the Company in connection with the exercise
of stock options or stock appreciation rights by way of cashless exercise;

     (7) the payment of cash in lieu of fractional shares of Capital Stock in connection
with any transaction otherwise permitted under this Section 4.07; or

     (8) other Restricted Payments in an aggregate amount since May 11, 2004 not to exceed
$25.0 million.

     The amount of all Restricted Payments (other than cash) will be the fair market value on the
date of the Restricted Payment of the asset(s) or securities proposed to be transferred or issued
by the Company or such Restricted Subsidiary, as the case may be, pursuant to the Restricted
Payment. The fair market value of any assets or securities that are required to be valued by this
covenant will be determined by the Board of Directors, whose determination shall
be evidenced by a Board Resolution. The Board of Directors’ determination must be based upon
an opinion or appraisal issued by an accounting, appraisal or investment banking firm of national
standing if the fair market value exceeds $25.0 million. Not later than the date of making any
Restricted Payment (excluding any Restricted Payment described in the preceding clause (2), (3),
(4), (6) or (7)) the Company will deliver to the Trustee an Officers’ Certificate stating that such
Restricted Payment is permitted and setting forth the basis upon which the calculations required by
this Section 4.07 were computed, together with a copy of any fairness opinion or appraisal required
by this Indenture. For purposes of determining compliance with this Section 4.07, in the event
that a Restricted Payment meets the criteria of more than one of the categories of Restricted
Payments described in the preceding clauses (1) – (8), the Company will be permitted to classify
(or later classify or reclassify in whole or in part in its sole discretion) such Restricted
Payment in any manner that complies with this Section 4.07.

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Section 4.08. Limitation on Dividend and Other Payment Restrictions Affecting Subsidiaries.

     The Company will not, and will not permit any of its Restricted Subsidiaries to, directly or
indirectly, create or permit to exist or become effective any consensual encumbrance or restriction
on the ability of any Restricted Subsidiary to:

     (1) pay dividends or make any other distributions on its Capital Stock to the Company
or any of its Restricted Subsidiaries, or pay any Indebtedness or other obligations owed to
the Company or any of its Restricted Subsidiaries;

     (2) make loans or advances to the Company or any of its Restricted Subsidiaries; or

     (3) transfer any of its properties or assets to the Company or any of its Restricted
Subsidiaries.

     However, the preceding restrictions of this Section 4.08 will not apply to encumbrances or
restrictions existing under or by reason of:

     (1) agreements governing Existing Indebtedness and Credit Facilities as in effect on
the date of this Indenture and any amendments, modifications, restatements, renewals,
increases, supplements, refundings, replacements or refinancings of those agreements,
provided that the amendments, modifications, restatements, renewals, increases, supplements,
refundings, replacement or refinancings are not materially more restrictive, taken as a
whole, with respect to such dividend and other payment restrictions than those contained in
those agreements on the date of this Indenture;

     (2) this Indenture, the Notes and the Subsidiary Guarantees;

     (3) Applicable Law;

     (4) any instrument governing Indebtedness or Capital Stock of a Person acquired by the
Company or any of its Restricted Subsidiaries as in effect at the time of
such acquisition, which encumbrance or restriction is not applicable to any Person, or the
properties or assets of any Person, other than the Person, or the property or assets of the
Person, so acquired, provided that, in the case of Indebtedness, such Indebtedness was
permitted by the terms of this Indenture to be incurred;

     (5) customary non-assignment provisions in leases entered into in the ordinary course
of business and consistent with past practices;

     (6) purchase money obligations for property acquired in the ordinary course of business
that impose restrictions on that property of the nature described in clause (3) of the
preceding paragraph;

     (7) any agreement for the sale or other disposition of a Restricted Subsidiary of the
Company that restricts distributions by that Restricted Subsidiary pending its sale or other
disposition;

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     (8) Permitted Refinancing Indebtedness, provided that the restrictions contained
in the agreements governing such Permitted Refinancing Indebtedness are not materially more
restrictive, taken as a whole, than those contained in the agreements governing the
Indebtedness being refinanced;

     (9) Liens securing Indebtedness otherwise permitted to be incurred under the provisions
of Section 4.12 that limit the right of the debtor to dispose of the assets subject to such
Liens;

     (10) provisions with respect to the disposition or distribution of assets or property
in joint venture agreements, asset sale agreements, stock sale agreements, agreements
respecting Permitted Business Investments and other similar agreements entered into in the
ordinary course of business; and

     (11) restrictions on cash or other deposits or net worth imposed by customers under
contracts entered into in the ordinary course of business.

Section 4.09. Limitation on Incurrence of Indebtedness and Issuance of Preferred Stock.

     The Company will not, and will not permit any of its Restricted Subsidiaries to, directly or
indirectly, create, incur, issue, assume, guarantee or otherwise become directly or indirectly
liable, contingently or otherwise, with respect to (collectively, “incur”) any Indebtedness
(including Acquired Debt), neither the Company nor any Guarantor will issue any Disqualified Stock,
and the Company will not permit any of its other Restricted Subsidiaries to issue any shares of
preferred stock; provided, however, that the Company and any Guarantor may incur Indebtedness
(including Acquired Debt) or issue Disqualified Stock, if the Fixed Charge Coverage Ratio for the
Company’s most recently ended four full fiscal quarters for which internal financial statements are
available immediately preceding the date on which such additional Indebtedness is incurred or such
Disqualified Stock is issued would have been at least 2.0 to 1.0, determined on a pro forma basis
(including a pro forma application of the net proceeds therefrom), as if the additional
Indebtedness had been incurred or Disqualified Stock had been issued, as the case may be, at the
beginning of such four-quarter period.

     The first paragraph of this Section 4.09 will not prohibit the incurrence of any of the
following items of Indebtedness (collectively, “Permitted Debt”):

     (1) the incurrence by the Company or any of its Restricted Subsidiaries of additional
Indebtedness (including letters of credit) under one or more Credit Facilities in an
aggregate principal amount at any one time outstanding under this clause (1) (with letters
of credit being deemed to have a principal amount equal to the maximum potential liability
of the Company and its Subsidiaries thereunder) not to exceed an amount equal to the greater
of (a) $800.0 million and (b) 20% of ACNTA as of the date of such incurrence;

     (2) the incurrence by the Company or any of its Restricted Subsidiaries of the Existing
Indebtedness;

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     (3) the incurrence by the Company and the Guarantors of Indebtedness represented by the
Notes issued and sold on the Initial Issuance Date and the related Subsidiary Guarantees
issued on the date of this Indenture and the Exchange Notes and the related Subsidiary
Guarantees issued pursuant to any Registration Rights Agreement;

     (4) the incurrence by the Company or any of its Restricted Subsidiaries of Indebtedness
represented by Capital Lease Obligations, mortgage financings or purchase money obligations,
in each case, incurred for the purpose of financing all or any part of the purchase price or
cost of construction or improvement of property, plant or equipment used in the business of
the Company or such Restricted Subsidiary, in an aggregate principal amount, including all
Permitted Refinancing Indebtedness incurred to refund, refinance or replace any Indebtedness
incurred pursuant to this clause (4), not to exceed $25.0 million at any time outstanding;

     (5) the incurrence by the Company or any of its Restricted Subsidiaries of Permitted
Refinancing Indebtedness in exchange for, or the net proceeds of which are used to refund,
refinance or replace Indebtedness (other than intercompany Indebtedness) that was permitted
by this Indenture to be incurred under the first paragraph of this Section 4.09 or clause
(2) or (3) of this paragraph or this clause (5);

     (6) the incurrence by the Company or any of its Restricted Subsidiaries of intercompany
Indebtedness between or among the Company and any of its Restricted Subsidiaries; provided,
however, that:

     (a) if the Company is the obligor on such Indebtedness and a Guarantor is not
the obligee, such Indebtedness must be expressly subordinated to the prior payment
in full in cash of all Obligations with respect to the Notes, or if a Guarantor is
the obligor on such Indebtedness and neither the Company nor another Guarantor is
the obligee, such Indebtedness must be expressly subordinated to the prior payment
in full in cash of all Obligations with respect to the Subsidiary Guarantee of such
Guarantor; and

     (b) (i) any subsequent issuance or transfer of Equity Interests that results in
any such Indebtedness being held by a Person other than the Company or a Restricted
Subsidiary of the Company and (ii) any sale or other transfer of any such
Indebtedness to a Person that is neither the Company nor a Restricted Subsidiary of
the Company will be deemed, in each case, to constitute an incurrence of such
Indebtedness by the Company or such Restricted Subsidiary, as the case may be, that
was not permitted by this clause (6);

     (7) the incurrence by the Company or any of its Restricted Subsidiaries of Hedging
Obligations;

     (8) the guarantee by the Company or any of the Guarantors of Indebtedness of the
Company or any Guarantor that was permitted to be incurred by another provision of this
Section 4.09;

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     (9) the incurrence by the Company or any of its Restricted Subsidiaries of obligations
relating to net gas balancing positions arising in the ordinary course of business and
consistent with past practice;

     (10) the incurrence by the Company’s Unrestricted Subsidiaries of Non-Recourse Debt,
provided, however, that if any such Indebtedness ceases to be Non-Recourse Debt of an
Unrestricted Subsidiary, such event will be deemed to constitute an incurrence of
Indebtedness by a Restricted Subsidiary of the Company that was not permitted by this clause
(10);

     (11) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness in respect of bid, performance, surety and similar bonds issued for the account
of the Company and any of its Restricted Subsidiaries in the ordinary course of business,
including guarantees and obligations of the Company and any of its Restricted Subsidiaries
with respect to letters of credit supporting such obligations (in each case other than an
obligation for money borrowed);

     (12) the incurrence by the Company or any of its Restricted Subsidiaries of
Indebtedness arising from agreements of the Company or any of its Restricted Subsidiaries
providing for indemnification, adjustment of purchase price or similar obligations, in each
case, incurred or assumed in connection with the disposition of any business, assets or
Capital Stock of a Subsidiary, provided that the maximum aggregate liability in respect of
all such Indebtedness shall at no time exceed the gross proceeds actually received by the
Company and its Restricted Subsidiaries in connection with such disposition; and

     (13) the incurrence by the Company or any of its Restricted Subsidiaries of additional
Indebtedness in an aggregate principal amount (or accreted value, as applicable) at any time
outstanding, not to exceed $50.0 million.

     For purposes of determining compliance with this Section 4.09, in the event that an item of
Indebtedness (including Acquired Debt) meets the criteria of more than one of the categories of
Permitted Debt described in clauses (1) through (13) above, or is entitled to be incurred pursuant
to the first paragraph of this Section 4.09, the Company will be permitted to classify (or later
classify or reclassify in whole or in part in its sole discretion) such item of Indebtedness in any
manner that complies with this covenant.

     The accrual of interest, the accretion or amortization of original issue discount, the payment
of interest on any Indebtedness in the form of additional Indebtedness with the same terms, and the
payment of dividends on Disqualified Stock in the form of additional shares of the same class of
Disqualified Stock will not be deemed to be an incurrence of Indebtedness or an issuance of
Disqualified Stock for purposes of this Section 4.09; provided, in each such case, that the amount
thereof is included in Fixed Charges of the Company as accrued.

Section 4.10. Limitation on Asset Sales.

     The Company will not, and will not permit any of its Restricted Subsidiaries to, consummate an
Asset Sale unless:

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     (1) the Company (or the Restricted Subsidiary, as the case may be) receives
consideration at the time of the Asset Sale at least equal to the fair market value of the
assets or Equity Interests issued or sold or otherwise disposed of;

     (2) the fair market value is determined by the Company’s Board of Directors and
evidenced by a resolution of the Board of Directors set forth in an Officers’ Certificate
delivered to the Trustee; and

     (3) at least 75% of the consideration received in the Asset Sale by the Company or such
Restricted Subsidiary is in the form of cash. For purposes of this provision, each of the
following will be deemed to be cash:

     (a) any liabilities, as shown on the Company’s or such Restricted Subsidiary’s
most recent balance sheet, of the Company or any Subsidiary (other than contingent
liabilities and liabilities that are by their terms subordinated to the Notes or any
Subsidiary Guarantee) that are assumed by the transferee of any such assets pursuant
to a customary novation agreement that releases the Company or such Subsidiary from
further liability; and

     (b) any securities, notes or other obligations received by the Company or any
such Restricted Subsidiary from such transferee that are contemporaneously, subject
to ordinary settlement periods, converted by the Company or such Subsidiary into
cash, to the extent of the cash received in that conversion.

     Within 360 days after the receipt of any Net Proceeds from an Asset Sale, the Company or any
such Restricted Subsidiary may apply those Net Proceeds at its option to any combination of the
following:

     (I) to repay Senior Debt or the Notes or other Indebtedness ranking on parity with the Notes
in right of payment;

     (II) to acquire all or substantially all of the properties or assets of one or more other
Persons primarily engaged in the Oil and Gas Business, and, for this purpose, a division or line of
business of a Person shall be treated as a separate Person;

     (III) to acquire a majority of the Voting Stock of one or more other Persons primarily engaged
in the Oil and Gas Business;

     (IV) to make one or more capital expenditures; or

     (V) to acquire other long-term assets that are used or useful in the Oil and Gas Business.

     Pending the final application of any Net Proceeds, the Company or any such Restricted
Subsidiary may temporarily reduce revolving credit borrowings or otherwise invest the Net Proceeds
in any manner that is not prohibited by this Indenture. Any Net Proceeds from Asset

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Sales that are not applied or invested as provided in the preceding paragraph will constitute
“Excess Proceeds.”

     On the 361st day after the Asset Sale (or, at the Company’s option, any earlier date), if the
aggregate amount of Excess Proceeds then exceeds $50.0 million, the Company will make an Asset Sale
Offer to all Holders of Notes, and to all holders of Pari Passu Indebtedness then outstanding, to
purchase the maximum principal amount of Notes and such Pari Passu Indebtedness that may be
purchased out of the Excess Proceeds. The offer price in any Asset Sale Offer will be equal to
100% of principal amount plus accrued and unpaid interest, if any, to the Settlement Date, subject
to the right of Holders of record on the relevant record date to receive interest due on an
interest payment date that is on or prior to the Settlement Date, and will be payable in cash. If
any Excess Proceeds remain after consummation of an Asset Sale Offer, the Company may use those
Excess Proceeds for any purpose not otherwise prohibited by this Indenture. If the aggregate
principal amount of Notes and Pari Passu Indebtedness tendered into such Asset Sale Offer exceeds
the amount of Excess Proceeds, the Trustee will select the Notes and such Pari Passu Indebtedness
to be purchased on a pro rata basis. Upon completion of each Asset Sale Offer, the amount of
Excess Proceeds will be reset at zero.

     The Company will comply with the requirements of Rule 14e-1 under the Exchange Act and any
other securities laws and regulations thereunder to the extent those laws and regulations are
applicable in connection with each repurchase of Notes pursuant to an Asset Sale Offer. To the
extent that the provisions of any securities laws or regulations conflict with the provisions of
this Section 4.10, the Company will comply with the applicable securities laws and regulations and
will not be deemed to have breached its obligations under such provisions by virtue of such
conflict.

Section 4.11. Limitation on Transactions with Affiliates.

     The Company will not, and will not permit any of its Restricted Subsidiaries to, make any
payment to, or sell, lease, transfer or otherwise dispose of any of its properties or assets to, or
purchase any property or assets from, or enter into or make or amend any transaction, contract,
agreement, understanding, loan, advance or guarantee with, or for the benefit of, any Affiliate
(each, an “Affiliate Transaction”), unless:

     (1) the Affiliate Transaction is on terms that are no less favorable to the Company or
the relevant Restricted Subsidiary than those that would have been obtained in a comparable
transaction by the Company or such Restricted Subsidiary with an unrelated Person; and

     (2) the Company delivers to the Trustee:

     (a) with respect to any Affiliate Transaction or series of related Affiliate
Transactions involving aggregate consideration in excess of $30.0 million, a
resolution of the Board of Directors set forth in an Officers’ Certificate
certifying that such Affiliate Transaction complies with this Section 4.11 and that
such Affiliate Transaction has been approved by a majority of the disinterested
members of the Board of Directors; and

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     (b) with respect to any Affiliate Transaction or series of related Affiliate
Transactions involving aggregate consideration in excess of $50.0 million, a written
opinion as to the fairness to the Holders of such Affiliate Transaction from a
financial point of view issued by an accounting, appraisal or investment banking
firm of national standing.

     The following items will not be deemed to be Affiliate Transactions and, therefore, will not
be subject to the provisions of the prior paragraph of this Section 4.11:

     (1) any employment or severance agreement or other employee compensation agreement,
arrangement or plan, or any amendment thereto, entered into by the Company or any of its
Restricted Subsidiaries in the ordinary course of business;

     (2) transactions between or among any of the Company and its Restricted Subsidiaries;

     (3) transactions with a Person that is an Affiliate of the Company solely because the
Company owns an Equity Interest in such Person;

     (4) payment of reasonable directors’ fees and other benefits to persons who are not
otherwise Affiliates of the Company;

     (5) provision of officers’ and directors’ indemnification and insurance in the ordinary
course of business to the extent permitted by law;

     (6) sales of Equity Interests (other than Disqualified Stock) to Affiliates of the
Company; and

     (7) Restricted Payments that are permitted by Section 4.07.

Section 4.12. Limitation on Liens.

     The Company will not and will not permit any of its Restricted Subsidiaries to, create, incur,
assume or otherwise cause or suffer to exist or become effective any Lien of any kind (other than
Permitted Liens) securing Indebtedness or Attributable Debt upon any of their property or assets,
now owned or hereafter acquired, unless the Notes or any Subsidiary Guarantee of such Restricted
Subsidiary, as applicable, is secured on an equal and ratable basis (or on a senior basis to, in
the case of obligations subordinated in right of payment to the Notes or such Subsidiary Guarantee,
as the case may be) with the obligations so secured until such time as such obligations are no
longer secured by a Lien.

Section 4.13. Additional Subsidiary Guarantees.

     If the Company or any of its Restricted Subsidiaries acquires or creates another Material
Domestic Subsidiary after the date of this Indenture, or if any Restricted Subsidiary that is not
already a Guarantor guarantees any other Indebtedness of the Company after such date, then in
either case that Subsidiary will become a Guarantor by executing a supplemental indenture
substantially in the form of Annex A hereto and delivering it to the Trustee within 20 Business

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Days of the date on which it was acquired or created or guaranteed Indebtedness of the Company, as
the case may be, together with any Officers’ Certificate or Opinion of Counsel required by Section
9.06; provided, however, that the foregoing shall not apply to Subsidiaries of the Company that
have properly been designated as Unrestricted Subsidiaries in accordance with this Indenture for so
long as they continue to constitute Unrestricted Subsidiaries.

Section 4.14. Corporate Existence.

     Except as otherwise permitted pursuant to the terms hereof (including consolidation and merger
permitted by Section 5.01), the Company shall do or cause to be done all things necessary to
preserve and keep in full force and effect its corporate existence, and the corporate, partnership
or other existence of each of its Restricted Subsidiaries, in accordance with the respective
organizational documents (as the same may be amended from time to time) of the Company or any such
Restricted Subsidiary; provided, however, that the Company shall not be required to preserve the
existence of any of its Restricted Subsidiaries if the Company shall determine that the
preservation thereof is no longer desirable in the conduct of the business of the Company and its
Restricted Subsidiaries taken as a whole and that the loss thereof is not adverse in any material
respect to the Holders of the Notes.

Section 4.15. Offer to Repurchase Upon Change of Control.

     (1) Within 30 days following the occurrence of a Change of Control, the Company shall
make an offer (a “Change of Control Offer”) to repurchase all or any part (equal to $1,000
or an integral multiple thereof) of each Holder’s Notes at a purchase price (the “Change of
Control Payment”) in cash equal to 101% of the aggregate principal amount of Notes
repurchased, plus accrued and unpaid interest and Additional Interest, if any, thereon to
the date of settlement (the “Change of Control Settlement Date”), subject to the right of
Holders of record on the relevant record date to receive interest due on an Interest Payment
Date that is on or prior to the Change of Control Settlement Date. Within 30 days following
a Change of Control, the Company shall mail a notice of the Change of Control Offer to each
Holder and the Trustee describing the transaction that constitutes the Change of Control and
stating:

     (a) that the Change of Control Offer is being made pursuant to this Section
4.15 and that all Notes validly tendered and not withdrawn will be accepted for
payment;

     (b) the purchase price and the purchase date, which shall be no earlier than 30
days but no later than 60 days from the date such notice is mailed (the “Change of
Control Purchase Date”);

     (c) that the Change of Control Offer will expire as of the time specified in
such notice on the Change of Control Purchase Date and that the Company shall pay
the Change of Control Purchase Price for all Notes purchased as of the Change of
Control Purchase Date promptly thereafter on the Change of Control Settlement Date;

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     (d) that any Note not tendered will continue to accrue interest and Additional
Interest, if any;

     (e) that, unless the Company defaults in the payment of the Change of Control
Payment, all Notes accepted for payment pursuant to the Change of Control Offer
shall cease to accrue interest and Additional Interest, if any, after the Change of
Control Settlement Date;

     (f) that Holders electing to have any Notes purchased pursuant to a Change of
Control Offer will be required to surrender the Notes, properly endorsed for
transfer, together with the form entitled “Option of Holder to Elect Purchase” on
the reverse of the Notes completed and such customary documents as the Company may
reasonably request, to the Paying Agent at the address specified in the notice prior
to the termination of the Change of Control Offer on the Change of Control Purchase
Date;

     (g) that Holders will be entitled to withdraw their election if the Paying
Agent receives, prior to the termination of the Change of Control Offer, a telegram,
telex, facsimile transmission or letter setting forth the name of the Holder, the
principal amount of Notes delivered for purchase, and a statement that such Holder
is withdrawing its election to have the Notes purchased; and

     (h) that Holders whose Notes are being purchased only in part will be issued
new Notes equal in principal amount to the unpurchased portion of the Notes
surrendered, which unpurchased portion must be equal to $1,000 in principal amount
or an integral multiple thereof.

If any of the Notes subject to a Change of Control Offer is in the form of a Global Note,
then the Company shall modify such notice to the extent necessary to accord with the
procedures of the Depository applicable to repurchases. Further, the Company shall comply
with the requirements of Rule 14e-1 under the Exchange Act and any other securities laws and
regulations thereunder to the extent such laws and regulations are applicable in connection
with the repurchase of Notes as a result of a Change of Control. To the extent that the
provisions of any securities laws or regulations conflict with the
provisions of this Section 4.15, the Company will comply with the applicable securities laws
and regulations and will not be deemed to have breached its obligations under such
provisions by virtue of such conflict.

     (2) On the Change of Control Purchase Date, the Company shall, to the extent lawful,
accept for payment all Notes or portions thereof (in integral multiples of $1,000) properly
tendered pursuant to the Change of Control Offer. Promptly thereafter on the Change of
Control Settlement Date the Company shall:

     (a) deposit with the Paying Agent by 11:00 a.m., New York City time, an amount
equal to the Change of Control Payment in respect of all Notes or portions thereof
so tendered; and

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     (b) deliver or cause to be delivered to the Trustee the Notes so accepted
together with an Officers’ Certificate stating the aggregate principal amount of
Notes or portions of Notes being purchased by the Company.

On the Change of Control Settlement Date, the Paying Agent shall mail to each Holder of
Notes properly tendered the Change of Control Payment for such Notes (or, if all the Notes
are then in global form, make such payment through the facilities of the Depository) and the
Trustee shall authenticate and mail (or cause to be transferred by book entry) to each
Holder a new Note equal in principal amount to any unpurchased portion of the Notes
surrendered, if any; provided, however, that each such new Note will be in a principal
amount of $1,000 or an integral multiple of $1,000. The Company shall publicly announce the
results of the Change of Control Offer on or as soon as practicable after the Change of
Control Purchase Date.

     (3) The Change of Control provisions described above shall be applicable whether or nor
any other provisions of this Indenture are applicable.

     (4) Prior to complying with any of the provisions of this Section 4.15, but in any
event no later than the Change of Control Purchase Date, the Company shall either repay all
outstanding Senior Debt or obtain the requisite consents, if any, under all agreements
governing outstanding Senior Debt to permit the repurchase of Notes required by this Section
4.15.

     (5) The Company shall not be required to make a Change of Control Offer following a
Change of Control if a third party makes the Change of Control Offer in the manner, at the
time and otherwise in compliance with the requirements set forth in this Indenture
applicable to a Change of Control Offer made by the Company and purchases all Notes properly
tendered and not withdrawn under such Change of Control Offer.

Section 4.16. No Inducements.

     The Company shall not, and the Company shall not permit any of its Subsidiaries, either
directly or indirectly, to pay (or cause to be paid) any consideration, whether by way of interest,
fee or otherwise, to any Beneficial Owner or Holder of the Notes for or as an inducement to
any consent to any waiver, amendment or supplement of any terms or provisions of this Indenture or
the Notes, unless such consideration is offered to be paid (or agreed to be paid) to all Beneficial
Owners and Holders of the Notes which so consent in the time frame set forth in the solicitation
documents relating to such consent.

Section 4.17. Permitted Business Activities.

     The Company will not, and will not permit any Restricted Subsidiary to, engage in any business
other than the Oil and Gas Business, except to such extent as would not be material to the Company
and its Restricted Subsidiaries taken as a whole.

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Section 4.18. Sale and Leaseback Transactions.

     The Company will not, and will not permit any of its Restricted Subsidiaries to, enter into
any Sale and Leaseback Transaction; provided that the Company or any Guarantor may enter into a
Sale and Leaseback Transaction if:

     (1) the Company or that Guarantor, as applicable, could have (a) incurred Indebtedness
in an amount equal to the Attributable Debt relating to such sale and leaseback transaction
under the Fixed Charge Coverage Ratio test in the first paragraph of Section 4.09 and (b)
incurred a Lien to secure such Indebtedness pursuant to Section 4.12;

     (2) the gross cash proceeds of that Sale and Leaseback Transaction are at least equal
to the fair market value, as determined in good faith by the Board of Directors and set
forth in an Officers’ Certificate delivered to the Trustee, of the property that is the
subject of that Sale and Leaseback Transaction; and

     (3) the transfer of assets in that Sale and Leaseback Transaction is permitted by, and
the Company applies the proceeds of such transaction in compliance with, Section 4.10.

Section 4.19. Anti-Layering.

     The Company will not incur, create, issue, assume, guarantee or otherwise become liable for
any Indebtedness that is subordinate or junior in right of payment to any Senior Debt of the
Company and senior in any respect in right of payment to the Notes. No Guarantor will incur,
create, issue, assume, guarantee or otherwise become liable for any Indebtedness that is
subordinate or junior in right of payment to the Senior Debt of such Guarantor and senior in any
respect in right of payment to such Guarantor’s Subsidiary Guarantee.

Section 4.20. Designation of Restricted and Unrestricted Subsidiaries.

     The Board of Directors of the Company may designate any Restricted Subsidiary of the Company
to be an Unrestricted Subsidiary if that designation would not cause a Default. If a Restricted
Subsidiary of the Company is designated as an Unrestricted Subsidiary, the aggregate fair market
value of all outstanding Investments owned by the Company and its Restricted
Subsidiaries in the Subsidiary properly designated will be deemed to be an Investment made as
of the time of the designation and will reduce the amount available for Restricted Payments under
the first paragraph of Section 4.07 or represent Permitted Investments, as determined by the
Company. That designation shall only be permitted if the Investment would be permitted at that
time and if the Subsidiary so designated otherwise meets the definition of an Unrestricted
Subsidiary.

     The Board of Directors of the Company may at any time designate any Unrestricted Subsidiary to
be a Restricted Subsidiary of the Company; provided that such designation will be deemed to be an
incurrence of Indebtedness by a Restricted Subsidiary of the Company of any outstanding
Indebtedness of such Unrestricted Subsidiary and such designation will only be permitted if (1)
such Indebtedness is permitted under Section 4.09, calculated on a pro forma

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basis as if such
designation had occurred at the beginning of the four-quarter reference period, and (2) no Default
or Event of Default would be in existence following such designation.

Section 4.21. Covenant Termination.

     If at any time (a) the rating assigned to the Notes by both S&P and Moody’s is an Investment
Grade Rating and (b) no Default has occurred and is continuing under this Indenture, then upon
delivery by the Company to the Trustee of an Officers’ Certificate to the foregoing effect, the
Company and its Restricted Subsidiaries will no longer be subject to the following provisions of
this Indenture: Sections 4.07, 4.08, 4.09, 4.10, 4.11 or 4.17, 4.18(1)(a), 4.18(3), or 5.01(d).
The Company and its Restricted Subsidiaries will remain subject to all other provisions of the
Indenture.

ARTICLE 5

SUCCESSORS

Section 5.01. Merger, Consolidation, or Sale of Assets.

     The Company shall not, directly or indirectly, (1) consolidate or merge with or into another
Person (whether or not the Company is the surviving corporation), or (2) sell, assign, transfer,
lease, convey or otherwise dispose of all or substantially all of the properties or assets of the
Company and its Restricted Subsidiaries taken as a whole, in one or more related transactions to,
another Person, unless:

     (a) either (1) the Company is the surviving corporation or (2) the Person formed by or
surviving any such consolidation or merger (if other than the Company) or to which such
sale, assignment, transfer, lease, conveyance or other disposition shall have been made is a
corporation organized or existing under the laws of the United States, any state of the
United States or the District of Columbia;

     (b) the Person formed by or surviving any such consolidation or merger (if other than
the Company) or the Person to which such sale, assignment, transfer, lease, conveyance or
other disposition shall have been made assumes all the obligations of the Company under the
Notes, this Indenture and the applicable Registration Rights
Agreement pursuant to a supplemental indenture or other agreement in a form reasonably
satisfactory to the Trustee;

     (c) immediately after such transaction no Default or Event of Default exists;

     (d) the Company or the Person formed by or surviving any such consolidation or merger
(if other than the Company), or to which such sale, assignment, transfer, lease, conveyance
or other disposition shall have been made will, at the time of such transaction and after
giving pro forma effect thereto and any related financing transaction as if the same had
occurred at the beginning of the applicable four-quarter period, be permitted to incur at
least $1.00 of additional Indebtedness pursuant to the Fixed Charge Coverage Ratio test set
forth in the first paragraph of Section 4.09 hereof; and

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     (e) the Company shall have delivered to the Trustee an Officers’ Certificate and an
Opinion of Counsel, each stating that such consolidation, merger or disposition and such
supplemental indenture (if any) comply with this Indenture.

Section 5.02. Successor Corporation Substituted.

     Upon any consolidation or merger, or any sale, assignment, transfer, lease, conveyance or
other disposition of all or substantially all of the properties or assets of the Company and its
Restricted Subsidiaries taken as a whole in accordance with Section 5.01 hereof, the successor
corporation formed by such consolidation or into or with which the Company is merged or to which
such sale, assignment, transfer, lease, conveyance or other disposition is made shall succeed to,
and may exercise every right and power of, the Company under this Indenture with the same effect as
if such successor corporation had been named as the Company herein and shall be substituted for the
Company (so that from and after the date of such consolidation, merger, sale, assignment, transfer,
lease, conveyance or other disposition, the provisions of this Indenture referring to the “Company”
shall refer instead to the successor corporation and not to the Company); and thereafter, if the
Company is dissolved following a transfer of all or substantially all of the properties or assets
of the Company and its Restricted Subsidiaries take as a whole in accordance with this Indenture,
the Company shall be discharged and released from all obligations and covenants under this
Indenture and the Notes. The Trustee shall enter into a supplemental indenture to evidence the
succession and substitution of such successor Person and such discharge and release of the Company.

ARTICLE 6

DEFAULTS AND REMEDIES

Section 6.01. Events of Default.

     An “Event of Default” occurs if one of the following shall have occurred and be continuing
(whatever the reason for such Event of Default and whether it shall be occasioned by the provisions
of Article 12 or 13 or be involuntary or be effected by operation of law):

     (a) the Company defaults in the payment when due of interest or Additional Interest, if
any, with respect to, the Notes, and such default continues for a period of 30 days;

     (b) the Company defaults in the payment of the principal of or premium, if any, on the
Notes when due at its Stated Maturity, upon optional redemption, upon required repurchase,
upon declaration or otherwise;

     (c) the Company fails to comply with the provisions of Section 4.07, 4.09, 4.10, 4.15
or 5.01 hereof;

     (d) the Company fails to comply with any other covenant or other agreement in this
Indenture or the Notes for 60 days after notice to the Company by the Trustee or the Holders
of at least 25% in principal amount of the Notes then outstanding of such failure;

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     (e) a default occurs under any mortgage, indenture or instrument under which there may
be issued or by which there may be secured or evidenced any Indebtedness for money borrowed
by the Company or any of its Restricted Subsidiaries (or the payment of which is guaranteed
by the Company or any of its Restricted Subsidiaries), whether such Indebtedness or
guarantee now exists or is created after the Initial Issuance Date, if such default:

     (1) is caused by a failure to pay principal of, or interest or premium, if any,
on such Indebtedness prior to the expiration of any grace period provided in such
Indebtedness (a “Payment Default”); or

     (2) results in the acceleration of such Indebtedness prior to its Stated
Maturity

and, in each case, the principal amount of any such Indebtedness, together with the
principal amount of any other such Indebtedness under which there has been a Payment
Default or the maturity of which has been so accelerated, aggregates $50.0 million
or more;

     (f) the Company or any of its Subsidiaries fails to pay final judgments aggregating in
excess of $50.0 million, which judgments are not paid, discharged or stayed (including a
stay pending appeal) for a period of 60 days after the date of such final judgment (or, if
later, the date when payment is due pursuant to such judgment);

     (g) except as permitted by this Indenture, any Subsidiary Guarantee is held in any
judicial proceeding to be unenforceable or invalid or ceases for any reason to be in full
force and effect or any Guarantor, or any Person acting on behalf of any Guarantor, denies
or disaffirms its obligations under its Subsidiary Guarantee; and

     (h) the Company, any Significant Subsidiary of the Company or any group of Subsidiaries
of the Company that, taken together, would constitute a Significant Subsidiary pursuant to
or within the meaning of Bankruptcy Law:

     (i) commences a voluntary case,

     (ii) consents in writing to the entry of an order for relief against it in an
involuntary case,

     (iii) consents in writing to the appointment of a
Custodian of it or for all or substantially all of its property,

     (iv) makes a general assignment for the benefit of its creditors, or

     (v) admits in writing it generally is not paying its debts as they become due;
or

     (i) a court of competent jurisdiction enters an order or decree under any Bankruptcy
Law that:

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	(i)  	 	 is for relief against the Company, any
Significant Subsidiary of the Company or any group of Subsidiaries of
the Company that, taken together, would constitute a Significant
Subsidiary in an involuntary case;
	 
	(ii) 	 	 appoints a Custodian of the Company, any
Significant Subsidiary of the Company or any group of Subsidiaries of
the Company that, taken together, would constitute a Significant
Subsidiary or for all or substantially all of the property of the
Company, any Significant Subsidiary of the Company or any group of
Subsidiaries of the Company, that, taken together, would constitute a
Significant Subsidiary; or
	 
	(iii)	 	orders the liquidation of the Company, any
Significant Subsidiary of the Company or any group of Subsidiaries of
the Company that, taken together, would constitute a Significant
Subsidiary;

and the order or decree remains unstayed and in effect for 60 consecutive days.

Section 6.02. Acceleration.

     If any Event of Default occurs and is continuing, the Trustee, by notice to the Company, or
the Holders of at least 22% in principal amount of the then outstanding Notes, by notice to the
Company and the Trustee, may declare all the Notes to be due and payable immediately. Upon any
such declaration, the Notes shall become due and payable immediately, together with all accrued and
unpaid interest, Additional Interest, if any, and premium, if any, thereon. Notwithstanding the
preceding, if an Event of Default specified in clause (h) or (i) of Section 6.01 hereof occurs with
respect to the Company, any Significant Subsidiary of the Company or any group of Subsidiaries of
the Company that, taken together, would constitute a Significant Subsidiary, all outstanding Notes
shall become due and payable without further
action or notice, together with all accrued and unpaid interest, Additional Interest, if any,
and premium, if any, thereon. The Holders of a majority in principal amount of the then
outstanding Notes by notice to the Trustee may on behalf of all of the Holders rescind an
acceleration and its consequences if the rescission would not conflict with any judgment or decree
and if all existing Events of Default (except with respect to nonpayment of principal, interest,
premium or Additional Interest, if any, that have become due solely because of the acceleration)
have been cured or waived.

Section 6.03. Other Remedies.

     If an Event of Default occurs and is continuing, the Trustee may pursue any available remedy
to collect the payment of principal of and premium, interest and Additional Interest, if any, on
the Notes or to enforce the performance of any provision of the Notes or this Indenture.

     The Trustee may maintain a proceeding even if it does not possess any of the Notes or does not
produce any of them in the proceeding. A delay or omission by the Trustee or any Holder of a Note
in exercising any right or remedy accruing upon an Event of Default shall not

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impair the right or
remedy or constitute a waiver of or acquiescence in the Event of Default. All remedies are
cumulative to the extent permitted by law.

Section 6.04. Waiver of Past Defaults.

     Holders of a majority in principal amount of the then outstanding Notes by notice to the
Trustee may on behalf of the Holders of all of the Notes waive any past Default or Event of Default
and its consequences hereunder, except a continuing Default or Event of Default in the payment of
the principal of or premium, interest or Additional Interest, if any, on the Notes (including in
connection with an offer to purchase) or in respect of a covenant that cannot be amended without
the consent of each Holder. Upon any such waiver, such Default shall cease to exist, and any Event
of Default arising therefrom shall be deemed to have been cured for every purpose of this
Indenture; but no such waiver shall extend to any subsequent or other Default or impair any right
consequent thereon.

Section 6.05. Control by Majority.

     Holders of a majority in principal amount of the then outstanding Notes may direct the time,
method and place of conducting any proceeding for exercising any remedy available to the Trustee or
exercising any trust or power conferred on it. However, the Trustee may refuse to follow any
direction that conflicts with law or this Indenture or that the Trustee determines may be unduly
prejudicial to the rights of other Holders of Notes or that may involve the Trustee in personal
liability.

Section 6.06. Limitation on Suits.

     A Holder of a Note may pursue a remedy with respect to this Indenture or the Notes only if:

     (a) the Holder of a Note gives to the Trustee written notice of a continuing Event of
Default;

     (b) the Holders of at least 25% in principal amount of the then outstanding Notes make
a written request to the Trustee to pursue the remedy;

     (c) such Holder of a Note or Holders of Notes offer and, if requested, provide to the
Trustee indemnity or security satisfactory to the Trustee against any loss, liability or
expense;

     (d) the Trustee does not comply with the request within 60 days after receipt of the
request and the offer and, if requested, the provision of indemnity; and

     (e) during such 60-day period the Holders of a majority in principal amount of the then
outstanding Notes do not give the Trustee a direction inconsistent with the request.

A Holder of a Note may not use this Indenture to prejudice the rights of another Holder of a Note
or to obtain a preference or priority over another Holder of a Note.

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Section 6.07. Rights of Holders of Notes to Receive Payment.

     Notwithstanding any other provision of this Indenture, the right of any Holder of a Note to
receive payment of principal of and premium, interest and Additional Interest, if any, on the Note,
on or after the respective due dates expressed in the Note (including in connection with an offer
to purchase), or to bring suit for the enforcement of any such payment on or after such respective
dates, shall not be impaired or affected without the consent of such Holder.

Section 6.08. Collection Suit by Trustee.

     If an Event of Default specified in Section 6.01(a) or (b) occurs and is continuing, the
Trustee is authorized to recover judgment in its own name and as trustee of an express trust
against the Company for the whole amount of principal of, premium, interest and Additional
Interest, if any, remaining unpaid on the Notes and interest on overdue principal and, to the
extent lawful, interest and Additional Interest, if any, and such further amount as shall be
sufficient to cover the costs and expenses of collection, including the reasonable compensation,
expenses, disbursements and advances of the Trustee, its agents and counsel.

Section 6.09. Trustee May File Proofs of Claim.

     The Trustee is authorized to file such proofs of claim and other papers or documents as may be
necessary or advisable in order to have the claims of the Trustee (including any claim for the
reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and
counsel) and the Holders of the Notes allowed in any judicial proceedings relative to the Company
(or any other obligor upon the Notes), its creditors or its property and shall be entitled and
empowered to collect, receive and distribute any money or other property payable or deliverable on
any such claims and any custodian in any such judicial proceeding is hereby authorized by each
Holder to make such payments to the Trustee, and in the event that the Trustee shall consent to the
making of such payments directly to the Holders, to pay to the Trustee any amount due to it for the
reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and
counsel, and any other amounts due the Trustee under Section 7.07 hereof. To the extent that the
payment of any such compensation, expenses, disbursements and advances of the Trustee, its agents
and counsel, and any other amounts due the Trustee under Section 7.07 hereof out of the estate in
any such proceeding, shall be denied for any reason, payment of the same shall be secured by a Lien
on, and shall be paid out of, any and all distributions, dividends, money, securities and other
properties that the Holders may be entitled to receive in such proceeding whether in liquidation or
under any plan of reorganization or arrangement or otherwise. Nothing herein contained shall be
deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any
Holder any plan of reorganization, arrangement, adjustment or composition affecting the Notes or
the rights of any Holder, or to authorize the Trustee to vote in respect of the claim of any Holder
in any such proceeding.

Section 6.10. Priorities.

     If the Trustee collects any money pursuant to this Article, it shall pay out the money in the
following order:

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     First: to the Trustee, its agents and attorneys for amounts due under Section 7.07
hereof, including payment of all compensation, expense and liabilities incurred, and all
advances made, by the Trustee and the Trustee’s costs and expenses of collection;

     Second: subject to the provisions of Articles 12 and 13 hereof, to Holders of Notes
for amounts due and unpaid on the Notes for principal, premium, interest and Additional
Interest, if any, ratably, without preference or priority of any kind, according to the
amounts due and payable on the Notes for principal, premium, interest and Additional
Interest, if any, respectively; and

     Third: to the Company or to such party as a court of competent jurisdiction shall
direct.

     The Trustee may fix a record date and payment date for any payment to Holders of Notes
pursuant to this Section 6.10.

Section 6.11. Undertaking for Costs.

     In any suit for the enforcement of any right or remedy under this Indenture or in any suit
against the Trustee for any action taken or omitted by it as a Trustee, a court in its discretion
may require the filing by any party litigant in the suit of an undertaking to pay the costs of the
suit, and the court in its discretion may assess reasonable costs, including reasonable attorneys’
fees, against any party litigant in the suit, having due regard to the merits and good faith of the
claims or defenses made by the party litigant. This Section does not apply to a suit by the
Trustee, a suit by a Holder of a Note pursuant to Section 6.07 hereof, or a suit by Holders of more
than 10% in principal amount of the then outstanding Notes.

ARTICLE 7

TRUSTEE

Section 7.01. Duties of Trustee.

     (a) If an Event of Default has occurred and is continuing, the Trustee shall exercise such of
the rights and powers vested in it by this Indenture, and use the same degree of care and skill in
its exercise, as a prudent man would exercise or use under the circumstances in the conduct of his
own affairs.

     (b) Except during the continuance of an Event of Default:

     (i) the duties of the Trustee shall be determined solely by the express provisions of
this Indenture and the Trustee need perform only those duties that are specifically set
forth in this Indenture and no others, and no implied covenants or obligations shall be read
into this Indenture against the Trustee; and

     (ii) in the absence of bad faith on its part, the Trustee may conclusively rely, as to
the truth of the statements and the correctness of the opinions expressed therein, upon
certificates or opinions furnished to the Trustee and conforming to the requirements

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of this
Indenture. However, the Trustee shall examine the certificates and opinions to determine
whether or not they conform to the requirements of this Indenture.

     (c) The Trustee may not be relieved from liabilities for its own negligent action, its own
negligent failure to act, or its own willful misconduct, except that:

     (i) this paragraph does not limit the effect of paragraph (b) of this Section 7.01;

     (ii) the Trustee shall not be liable for any error of judgment made in good faith by a
Responsible Officer, unless it is proved that the Trustee was negligent in ascertaining the
pertinent facts; and

     (iii) the Trustee shall not be liable with respect to any action it takes or omits to
take in good faith in accordance with a direction received by it pursuant to Section 6.05
hereof.

     (d) Whether or not therein expressly so provided, every provision of this Indenture that in
any way relates to the Trustee is subject to paragraphs (a), (b) and (c) of this Section 7.01.

     (e) The Trustee shall not be liable for interest on any money received by it except as the
Trustee may agree in writing with the Company. Money held in trust by the Trustee need not be
segregated from other funds except to the extent required by law.

Section 7.02. Rights of Trustee.

     (a) The Trustee may conclusively rely upon any document believed by it to be genuine and to
have been signed or presented by the proper Person. The Trustee need not investigate any fact or
matter stated in the document.

     (b) Before the Trustee acts or refrains from acting, it may require an Officers’ Certificate
or an Opinion of Counsel or both. The Trustee shall not be liable for any action it takes or omits
to take in good faith in reliance on such Officers’ Certificate or Opinion of Counsel. The Trustee
may consult with counsel and the written advice of such counsel or any Opinion of Counsel shall be
full and complete authorization and protection from liability in respect of any action taken,
suffered or omitted by it hereunder in good faith and in reliance thereon.

     (c) The Trustee may act through its attorneys and agents and shall not be responsible for the
misconduct or negligence of any agent appointed with due care.

     (d) The Trustee shall not be liable for any action it takes or omits to take in good faith
that it believes to be authorized or within the rights or powers conferred upon it by this
Indenture.

     (e) Unless otherwise specifically provided in this Indenture, any demand, request, direction
or notice from the Company shall be sufficient if signed by an Officer of the Company.

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     (f) The Trustee shall be under no obligation to exercise any of the rights or powers vested in
it by this Indenture at the request or direction of any of the Holders unless such Holder shall
have offered to the Trustee reasonable security or indemnity against the costs, expenses and
liabilities that might be incurred by it in compliance with such request or direction.

     (g) The Trustee shall have no duty to inquire as to the performance of the Company’s covenants
in Article 4 hereof. In addition, the Trustee shall not be deemed to have knowledge of any Default
or Event of Default except: (1) any Event of Default occurring pursuant to Section 6.01(a) or
6.01(b) hereof; or (2) any Default or Event of Default of which a Responsible Officer shall have
received written notification or obtained actual knowledge.

     (h) The permissive right of the Trustee to act hereunder shall not be construed as a duty.

Section 7.03. Individual Rights of Trustee.

     The Trustee in its individual or any other capacity may become the owner or pledgee of Notes
and may otherwise deal with the Company, any Guarantor or any Affiliate of the Company with the
same rights it would have if it were not Trustee. However, in the event that the Trustee acquires
any conflicting interest (as defined in the TIA) after a Default has occurred and is continuing, it
must eliminate such conflict within 90 days, apply to the SEC for permission to continue as trustee
or resign. Any Agent may do the same with like rights and duties. The Trustee is also subject to
Sections 7.10 and 7.11 hereof.

Section 7.04. Trustee’s Disclaimer.

     The Trustee shall not be responsible for and makes no representation as to the validity or
adequacy of this Indenture or the Notes, it shall not be accountable for the Company’s use of the
proceeds from the Notes or any money paid to the Company or upon the Company’s direction under any
provision of this Indenture, it shall not be responsible for the use or application of any money
received by any Paying Agent other than the Trustee, and it shall not be responsible for any
statement or recital herein or any statement in the Notes or any other document in connection with
the sale of the Notes or pursuant to this Indenture other than its certificate of authentication.

Section 7.05. Notice of Defaults.

     If a Default or Event of Default occurs and is continuing and if it is known to the Trustee,
the Trustee shall mail to Holders of Notes a notice of the Default or Event of Default within 90
days after it occurs. Except in the case of a Default or Event of Default in payment of principal
of or premium, if any, interest or Additional Interest on any Note, the Trustee may withhold the
notice if and so long as a committee of its Responsible Officers in good faith determines that
withholding the notice is in the interests of the Holders of the Notes.

Section 7.06. Reports by Trustee to Holders of the Notes.

     Within 60 days after each May 15 beginning with the May 15 following the date of this
Indenture, and for so long as Notes remain outstanding, the Trustee shall mail to the Holders of
the Notes a brief report dated as of such reporting date that complies with TIA § 313(a) (but if no

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event described in TIA § 313(a) has occurred within the twelve months preceding the reporting date,
no report need be transmitted). The Trustee also shall comply with TIA § 313(b)(2) and §
313(b)(1). The Trustee shall also transmit by mail all reports as required by TIA § 313(c).

     A copy of each report at the time of its mailing to the Holders of Notes shall be mailed to
the Company and filed with the SEC and each stock exchange on which the Notes are listed in
accordance with TIA § 313(d). The Company shall promptly notify the Trustee when the Notes are
listed on any stock exchange.

Section 7.07. Compensation and Indemnity.

     The Company shall pay to the Trustee from time to time such reasonable compensation as the
Company and the Trustee may agree in writing for the Trustee’s acceptance of this Indenture and
services hereunder. The Trustee’s compensation shall not be limited by any law on compensation of
a trustee of an express trust. The Company shall reimburse the Trustee promptly upon request for
all reasonable disbursements, advances and expenses incurred or made by it in addition to the
compensation for its services. Such expenses shall include the reasonable compensation,
disbursements and expenses of the Trustee’s agents and counsel.

     The Company and the Guarantors shall indemnify the Trustee against any and all losses,
liabilities or expenses incurred by it arising out of or in connection with the acceptance or
administration of its duties under this Indenture, including the costs and expenses of enforcing
this Indenture against the Company (including this Section 7.07) and defending itself against any
claim (whether asserted by the Company, any Guarantor or any Holder or any other person) or
liability in connection with the exercise or performance of any of its powers or duties hereunder,
except to the extent any such loss, liability or expense may be attributable to its negligence, bad
faith or willful misconduct. The Trustee shall notify the Company promptly of any claim for which
it may seek indemnity. Failure by the Trustee to so notify the Company shall not relieve the
Company or the Guarantors of their obligations hereunder. The Company shall defend the claim and
the Trustee shall cooperate in the defense. The Trustee may have separate counsel and the Company
shall pay the reasonable fees and expenses of such counsel; provided that the Company will not be
required to pay such fees and expenses if it assumes the Trustee’s defense with counsel acceptable
to and approved by the Trustee (such approval not to be unreasonably withheld) and there is no
conflict of interest between the Company and the Trustee in connection with such defense. The
Company need not pay for any settlement made without its consent, which consent shall not be
unreasonably withheld. The Company need not reimburse the Trustee for any expense or indemnity
against any liability or loss of the Trustee to the extent such expense, liability or loss is
attributable to the negligence, bad faith or willful misconduct of the Trustee.

     The obligations of the Company and the Guarantors under this Section 7.07 shall survive the
satisfaction and discharge of this Indenture.

     To secure the Company’s payment obligations in this Section 7.07, the Trustee shall have a
Lien prior to the Notes on all money or property held or collected by the Trustee, except that held
in trust to pay principal and interest on particular Notes. Such Lien shall survive the
satisfaction and discharge of this Indenture.

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     When the Trustee incurs expenses or renders services after an Event of Default specified in
Section 6.01(h) or (i) hereof occurs, the expenses and the compensation for the services (including
the fees and expenses of its agents and counsel) are intended to constitute expenses of
administration under any Bankruptcy Law.

     The Trustee shall comply with the provisions of TIA § 313(b)(2) to the extent applicable.

Section 7.08. Replacement of Trustee.

     A resignation or removal of the Trustee and appointment of a successor Trustee shall become
effective only upon the successor Trustee’s acceptance of appointment as provided in this Section.

     The Trustee may resign in writing upon 60 days notice at any time and be discharged from the
trust hereby created by so notifying the Company. The Holders of Notes of a majority in principal
amount of the then outstanding Notes may remove the Trustee by so notifying the Trustee and the
Company in writing and may appoint a successor trustee with the consent of the Company. The
Company may remove the Trustee if:

     (a) the Trustee fails to comply with Section 7.10 hereof;

     (b) the Trustee is adjudged a bankrupt or an insolvent or an order for relief is
entered with respect to the Trustee under any Bankruptcy Law;

     (c) a receiver, Custodian or public officer takes charge of the Trustee or its
property; or

     (d) the Trustee becomes incapable of acting.

     If the Trustee resigns or is removed or if a vacancy exists in the office of Trustee for any
reason, the Company shall promptly appoint a successor Trustee. Within one year after the
successor Trustee takes office, the Holders of a majority in principal amount of the then
outstanding Notes may appoint a successor Trustee to replace the successor Trustee appointed by the
Company.

     If a successor Trustee does not take office within 60 days after the retiring Trustee resigns
or is removed, the retiring Trustee, the Company, or the Holders of Notes of at least 10% in
principal amount of the then outstanding Notes may petition any court of competent jurisdiction for
the appointment of a successor Trustee.

     If the Trustee, after written request by any Holder of a Note who has been a Holder of a Note
for at least six months, fails to comply with Section 7.10 hereof, such Holder of a Note may
petition any court of competent jurisdiction for the removal of the Trustee and the appointment of
a successor Trustee.

     A successor Trustee shall deliver a written acceptance of its appointment to the retiring
Trustee and to the Company. Thereupon, the resignation or removal of the retiring Trustee shall
become effective, and the successor Trustee shall have all the rights, powers and duties of the

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Trustee under this Indenture. The successor Trustee shall mail a notice of its succession to
Holders of the Notes. The retiring Trustee shall promptly transfer all property held by it as
Trustee to the successor Trustee, provided all sums owing to the Trustee hereunder have been paid
and subject to the Lien provided for in Section 7.07 hereof. Notwithstanding replacement of the
Trustee pursuant to this Section 7.08, the Company’s obligations under Section 7.07 hereof shall
continue for the benefit of the retiring Trustee.

Section 7.09. Successor Trustee by Merger, etc.

     If the Trustee consolidates, merges or converts into, or transfers all or substantially all of
its corporate trust business to, another corporation, the successor corporation without any further
act shall be the successor Trustee. As soon as practicable, the successor Trustee shall mail a
notice of its succession to the Company and the Holders of the Notes.

Section 7.10. Eligibility; Disqualification.

     There shall at all times be a Trustee hereunder that is a corporation organized and doing
business under the laws of the United States of America or of any state thereof that is authorized
under such laws to exercise corporate trustee power, that is subject to supervision or examination
by federal or state authorities and that has a combined capital and surplus of at least $100
million as set forth in its most recent published annual report of condition.

     This Indenture shall always have a Trustee who satisfies the requirements of TIA § 310(a)(1),
(2) and (5). The Trustee is subject to TIA § 310(b).

Section 7.11. Preferential Collection of Claims Against Company.

     The Trustee is subject to TIA § 311(a), excluding any creditor relationship listed in TIA §
311(b). A Trustee who has resigned or been removed shall be subject to TIA § 311(a) to the extent
indicated therein.

ARTICLE 8

LEGAL DEFEASANCE AND COVENANT DEFEASANCE

Section 8.01. Option to Effect Legal Defeasance or Covenant Defeasance.

     The Company may, at the option of its Board of Directors evidenced by a resolution set forth
in an Officers’ Certificate, at any time, exercise its rights under either Section 8.02 or 8.03
hereof with respect to all outstanding Notes upon compliance with the conditions set forth below in
this Article 8.

Section 8.02. Legal Defeasance and Discharge.

     Upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section
8.02, the Company shall, subject to the satisfaction of the conditions set forth in Section 8.04
hereof, be deemed to have discharged its obligations with respect to all outstanding Notes, and
each Guarantor shall be deemed to have discharged its obligations with respect to its Subsidiary
Guarantee, on the date the conditions set forth in Section 8.04 below are satisfied

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(hereinafter,
“Legal Defeasance”). For this purpose, Legal Defeasance means that the Company shall be deemed to
have paid and discharged the entire Indebtedness represented by the outstanding Notes, and each
Guarantor shall be deemed to have paid and discharged its Subsidiary Guarantee (which in each case
shall thereafter be deemed to be “outstanding” only for the purposes of Section 8.05 hereof and the
other Sections of this Indenture referred to in (a) and (b) below) and to have satisfied all its
other obligations under such Notes or Subsidiary Guarantee and this Indenture (and the Trustee, on
demand of and at the expense of the Company, shall execute proper instruments acknowledging the
same), except for the following provisions which shall survive until otherwise terminated or
discharged hereunder: (a) the rights of Holders of outstanding Notes to receive solely from the
trust fund described in Section 8.04 hereof, and as more fully set forth in such Section, payments
in respect of the principal of and premium, if any, interest and Additional Interest, if any, on
such Notes when such payments are due, (b) the Company’s obligations with respect to such Notes
under Sections 2.03, 2.04, 2.07, 2.09 and 4.02 hereof, (c) the rights, powers, trusts, duties and
immunities of the Trustee hereunder and the Company’s obligations in connection therewith and (d)
the Legal Defeasance provisions of this Article 8. Subject to compliance with this Article 8, the
Company may exercise its option under this Section 8.02 notwithstanding the prior exercise of its
option under Section 8.03 hereof.

     If the Company exercises its Legal Defeasance option, each Guarantor will be released and
relieved of any obligations under its Subsidiary Guarantee and any security for the Notes (other
than the trust) will be released.

Section 8.03. Covenant Defeasance.

     Upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section
8.03, the Company shall, subject to the satisfaction of the conditions set forth in Section 8.04
hereof, be released from its obligations under the covenants contained in Article 4 (other than
those in Sections 4.01, 4.02, 4.06 and 4.14) and in clause (d) of Section 5.01 hereof on and after
the date the conditions set forth below are satisfied (hereinafter, “Covenant Defeasance”), and the
Notes shall thereafter be deemed not “outstanding” for the purposes of any direction, waiver,
consent or declaration or act of Holders (and the consequences of any thereof) in connection with
such covenants, but shall continue to be deemed “outstanding” for all other purposes hereunder (it
being understood that such Notes shall not be deemed outstanding for accounting purposes). For
this purpose, Covenant Defeasance means that, with respect to the outstanding Notes, the Company
and any Guarantor may omit to comply with and shall have no liability in respect of any term,
condition or limitation set forth in any such covenant, whether directly or indirectly, by reason
of any reference elsewhere herein to any such covenant or by reason of any reference in any such
covenant to any other provision herein or in any other document and such omission to comply shall
not constitute a Default or an Event of Default under Section 6.01 hereof, but, except as specified
above, the remainder of this Indenture and such Notes shall be unaffected thereby. In addition,
upon the Company’s exercise under Section 8.01 hereof of the option applicable to this Section 8.03
hereof, subject to the satisfaction of the conditions set forth in Section 8.04 hereof, Sections
6.01(e) through 6.01(g) hereof shall not constitute Events of Default.

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     If the Company exercises its Covenant Defeasance option, each Guarantor will be released and
relieved of any obligations under its Subsidiary Guarantee and any security for the Notes (other
than the trust) will be released.

Section 8.04. Conditions to Legal or Covenant Defeasance.

     In order to exercise either Legal Defeasance or Covenant Defeasance:

     (a) the Company must irrevocably deposit with the Trustee, in trust, for the benefit of
the Holders, cash in U.S. dollars, non-callable Government Securities, or a combination
thereof, in such amounts as will be sufficient, in the opinion of a nationally recognized
firm of independent public accountants, to pay the principal of and premium, interest and
Additional Interest, if any, on the outstanding Notes on the date of fixed maturity or on
the applicable redemption date, as the case may be, and the Company must specify whether the
Notes are being defeased to the date of fixed maturity or to a particular redemption date;

     (b) in the case of an election under Section 8.02 hereof, the Company shall have
delivered to the Trustee an Opinion of Counsel reasonably acceptable to the Trustee
confirming that:

     (1) the Company has received from, or there has been published by, the Internal
Revenue Service a ruling; or

     (2) since the Initial Issuance Date, there has been a change in the applicable
federal income tax law,

in either case to the effect that, and based thereon such Opinion of Counsel shall confirm
that, the Holders of the outstanding Notes will not recognize income, gain or loss for
federal income tax purposes as a result of such Legal Defeasance and will be subject to
federal income tax on the same amounts, in the same manner and at the same times as would
have been the case if such Legal Defeasance had not occurred;

     (c) in the case of an election under Section 8.03 hereof, the Company shall have
delivered to the Trustee an Opinion of Counsel reasonably acceptable to the Trustee
confirming that the Holders of the outstanding Notes will not recognize income, gain or loss
for federal income tax purposes as a result of such Covenant Defeasance and will be subject
to federal income tax on the same amounts, in the same manner and at the same times as would
have been the case if such Covenant Defeasance had not occurred;

     (d) no Default or Event of Default shall have occurred and be continuing on the date of
such deposit (other than a Default or Event of Default resulting from the incurrence of
Indebtedness or the grant of Liens securing such Indebtedness, all or a portion of the
proceeds of which will be used to defease the Notes pursuant to this Article 8 concurrently
with such incurrence or within 30 days thereof) or insofar as Events of Default described in
clause (h) or (i) of Section 6.01 are concerned, at any time in the period ending on the
91st day after the day of deposit;

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     (e) such Legal Defeasance or Covenant Defeasance shall not result in a breach or
violation of, or constitute a default under, any material agreement or instrument (other
than this Indenture) to which the Company or any of its Subsidiaries is a party or by which
the Company or any of its Subsidiaries is bound;

     (f) the Company shall have delivered to the Trustee an Opinion of Counsel (which may be
based on such solvency certificates or solvency opinions as counsel deems necessary or
appropriate) to the effect that after the 91st day following the deposit (or, if any Holder
or Beneficial Owner of Notes is an insider of the Company, such later date as counsel may
specify in such opinion), the trust funds will not be subject to the effect of any
applicable bankruptcy, insolvency, reorganization or similar laws affecting creditors’
rights generally;

     (g) the Company shall have delivered to the Trustee an Officers’ Certificate stating
that the deposit was not made by the Company with the intent of preferring the Holders over
any other creditors of the Company or with the intent of defeating, hindering, delaying or
defrauding creditors of the Company or others; and

     (h) the Company shall have delivered to the Trustee an Officers’ Certificate and an
Opinion of Counsel, each stating that all conditions precedent provided for or relating to
the Legal Defeasance or the Covenant Defeasance have been complied with.

Section 8.05. Deposited Money and Government Securities to be Held in Trust; Other
Miscellaneous Provisions.

     Subject to Section 8.06 hereof, all money and non-callable Government Securities (including
the proceeds thereof) deposited with the Trustee pursuant to Section 8.04 or 8.08 hereof in respect
of the outstanding Notes shall be held in trust and applied by the Trustee, in accordance with the
provisions of such Notes and this Indenture, to the payment, either directly or through any Paying
Agent (including the Company acting as Paying Agent) as the Trustee may determine, to the Holders
of such Notes of all sums due and to become due thereon in respect of principal, premium, if any,
interest and Additional Interest, if any, but such money need not be segregated from other funds
except to the extent required by law.

     The Company shall pay and indemnify the Trustee against any tax, fee or other charge imposed
on or assessed against the cash or non-callable Government Securities deposited pursuant to Section
8.04 or 8.08 hereof or the principal and interest received in respect thereof other than any such
tax, fee or other charge which by law is for the account of the Holders of the outstanding Notes.

     Anything in this Article 8 to the contrary notwithstanding, the Trustee shall deliver or pay
to the Company from time to time upon the request of the Company any money or non-callable
Government Securities held by it as provided in Section 8.04 or 8.08 hereof which, in the opinion
of a nationally recognized firm of independent public accountants expressed in a written
certification thereof delivered to the Trustee (which may be the opinion delivered under Section
8.04(a) hereof), are in excess of the amount thereof that would then be required to be

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deposited to
effect an equivalent Legal Defeasance, Covenant Defeasance or Discharge, as the case may be.

Section 8.06. Repayment to Company.

     Subject to applicable escheat and abandoned property laws, any money deposited with the
Trustee or any Paying Agent, or then held by the Company, in trust for the payment of the principal
of or premium, interest or Additional Interest, if any, on any Note and remaining unclaimed for two
years after such principal, premium, interest or Additional Interest, if any, has become due and
payable shall be paid to the Company on its request or (if then held by the Company) shall be
discharged from such trust; and the Holder of such Note shall thereafter, as a secured creditor,
look only to the Company for payment thereof, and all liability of the Trustee or such Paying Agent
with respect to such trust money, and all liability of the Company as trustee thereof, shall
thereupon cease; provided, however, that the Trustee or such Paying Agent, before being required to
make any such repayment, may at the expense of the Company cause to be published once, in the New
York Times and The Wall Street Journal (national edition), notice
that such money remains unclaimed and that, after a date specified therein, which shall not be
less than 30 days from the date of such notification or publication, any unclaimed balance of such
money then remaining will be repaid to the Company.

Section 8.07. Reinstatement.

     If the Trustee or Paying Agent is unable to apply any United States dollars or non-callable
Government Securities in accordance with Section 8.05 hereof, by reason of any order or judgment of
any court or governmental authority enjoining, restraining or otherwise prohibiting such
application, then the Company’s obligations under this Indenture and the Notes shall be revived and
reinstated as though no deposit had occurred pursuant to Section 8.02 or 8.03 hereof until such
time as the Trustee or Paying Agent is permitted to apply all such money in accordance with Section
8.05 hereof; provided, however, that, if the Company makes any payment of principal of or premium,
interest, Additional Interest, if any, on any Note following the reinstatement of its obligations,
the Company shall be subrogated to the rights of the Holders of such Notes to receive such payment
from the money held by the Trustee or Paying Agent.

Section 8.08. Discharge.

     This Indenture shall be satisfied and discharged and shall cease to be of further effect as to
all Notes issued hereunder (except for (a) the rights of Holders of outstanding Notes to receive
solely from the trust fund described in clause (b) of this Section 8.08, and as more fully set
forth in such clause (b), payments in respect of the principal of and premium, if any, interest and
Additional Interest, if any, on such Notes when such payments are due, (b) the Company’s
obligations with respect to such Notes under Sections 2.03, 2.04, 2.07, 2.09 and 4.02 hereof and
(c) the rights, powers, trusts, duties and immunities of the Trustee hereunder and the Company’s
obligations in connection therewith), when:

     (1) either:

     (a) all Notes that have been authenticated, except lost, stolen or destroyed Notes that
have been replaced or paid and Notes for whose payment money has been

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deposited in trust and
thereafter repaid to the Company, have been delivered to the Trustee for cancellation; or

     (b) all Notes that have not been delivered to the Trustee for cancellation have become
due and payable or will become due and payable within one year by reason of the mailing of a
notice of redemption or otherwise, and the Company or any Guarantor has irrevocably
deposited or caused to be deposited with the Trustee as trust funds in trust solely for the
benefit of the Holders, cash in U.S. dollars, non-callable Government Securities, or a
combination of cash in U.S. dollars and non-callable Government Securities, in amounts as
will be sufficient without consideration of any reinvestment of interest, to pay and
discharge the entire indebtedness on the Notes not delivered to the Trustee for cancellation
for principal, premium, if any, and accrued interest and Additional Interest, if any, to the
date of fixed maturity or redemption;

     (2) no Default or Event of Default has occurred and is continuing on the date of the deposit
or will occur as a result of the deposit and the deposit will not result in a breach or violation
of, or constitute a default under, any material agreement or instrument (other than this Indenture)
to which the Company or any of its Subsidiaries is a party or by which the Company or any of its
Subsidiaries is bound;

     (3) the Company or any Guarantor has paid or caused to be paid all sums payable by it under
this Indenture;

     (4) the Company has delivered irrevocable instructions to the Trustee to apply the deposited
money toward the payment of the Notes at fixed maturity or the redemption date, as the case may be;
and

     (5) the Company has delivered an Officers’ Certificate and an Opinion of Counsel to the
Trustee stating that all conditions precedent to satisfaction and discharge of this Indenture
(“Discharge”) have been satisfied.

ARTICLE 9

AMENDMENT, SUPPLEMENT AND WAIVER

Section 9.01. Without Consent of Holders of Notes.

     Notwithstanding Section 9.02 of this Indenture, the Company, the Guarantors and the Trustee
may amend or supplement this Indenture or the Notes without the consent of any Holder of a Note:

     (a) to cure any ambiguity, defect or inconsistency;

     (b) to provide for uncertificated Notes in addition to or in place of certificated
Notes;

     (c) to provide for the assumption of the Company’s obligations to the Holders of Notes
pursuant to Article 5 hereof;

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     (d) to make any change that would provide any additional rights or benefits to the
Holders of the Notes or that does not adversely affect the legal rights hereunder of any
Holder, provided that any change to conform this Indenture to the Offering Memorandum shall
not be deemed to adversely affect the legal rights hereunder of any Holder;

     (e) to secure the Notes or the Subsidiary Guarantees pursuant to the requirements of
Section 4.12 or otherwise;

     (f) to provide for the issuance of Additional Notes in accordance with the limitations
set forth in this Indenture;

     (g) to add any additional Guarantor with respect to the Notes or to evidence the
release of any Guarantor from its Subsidiary Guarantee in accordance with Article 10 hereof;

     (h) to comply with requirements of the SEC in order to effect or maintain the
qualification of this Indenture under the TIA; or

     (i) to evidence or provide for the acceptance of appointment under this Indenture of a
successor Trustee.

     Upon the request of the Company accompanied by a resolution of its Board of Directors
authorizing the execution of any such amended or supplemental indenture, and upon receipt by the
Trustee of the documents described in Section 7.02 hereof, the Trustee shall join with the Company
and the Guarantors in the execution of any amended or supplemental indenture authorized or
permitted by the terms of this Indenture and to make any further appropriate agreements and
stipulations that may be therein contained, but the Trustee shall not be obligated to enter into
such amended or supplemental Indenture that affects its own rights, duties or immunities under this
Indenture or otherwise.

Section 9.02. With Consent of Holders of Notes.

     Except as provided above in Section 9.01 and below in this Section 9.02, the Company, the
Guarantors and the Trustee may amend or supplement this Indenture and the Notes may be amended or
supplemented with the consent of the Holders of at least a majority in principal amount of the
Notes then outstanding (including consents obtained in connection with a purchase of, or tender
offer or exchange offer for, Notes), and, subject to Sections 6.04 and 6.07 hereof, any existing
Default or Event of Default or compliance with any provision of this Indenture or the Notes may be
waived with the consent of the Holders of a majority in principal amount of the then outstanding
Notes (including consents obtained in connection with a purchase of, tender offer or exchange offer
for Notes).

     Upon the request of the Company accompanied by a resolution of its Board of Directors
authorizing the execution of any such amended or supplemental indenture, and upon the filing with
the Trustee of evidence satisfactory to the Trustee of the consent of the Holders of Notes as
aforesaid, and upon receipt by the Trustee of the documents described in Section 9.06 hereof, the
Trustee shall join with the Company and the Guarantors in the execution of such amended or

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supplemental indenture unless such amended or supplemental indenture affects the Trustee’s own
rights, duties or immunities under this Indenture or otherwise, in which case the Trustee may in
its discretion, but shall not be obligated to, enter into such amended or supplemental indenture.

     It shall not be necessary for the consent of the Holders of Notes under this Section 9.02 to
approve the particular form of any proposed amendment, supplement or waiver, but it shall be
sufficient if such consent approves the substance thereof.

     After an amendment, supplement or waiver under this Section becomes effective, the Company
shall mail to the Holders of Notes affected thereby a notice briefly describing the amendment,
supplement or waiver. Any failure of the Company to mail such notice, or any defect therein, shall
not, however, in any way impair or affect the validity of any such amended or supplemental
Indenture or waiver. Subject to Sections 6.04 and 6.07 hereof and to the last paragraph of this
Section 9.02, the Holders of a majority in principal amount of the Notes then outstanding may waive
compliance in a particular instance by the Company with any provision of this Indenture or the
Notes. However, without the consent of each Holder affected, an amendment, supplement or waiver
may not (with respect to any Notes held by a non-consenting Holder):

     (a) reduce the principal amount of Notes whose Holders must consent to an amendment,
supplement or waiver;

     (b) reduce the principal of or change the fixed maturity of any Note or alter any of the
provisions with respect to the redemption or repurchase of the Notes (except as provided in
Sections 3.09, 4.10 and 4.15 hereof);

     (c) reduce the rate of or change the time for payment of interest on any Note;

     (d) waive a Default or Event of Default in the payment of principal of or premium, interest or
Additional Interest, if any, on the Notes (except a rescission of acceleration of the Notes by the
Holders of at least a majority in principal amount of the Notes and a waiver of the payment default
that resulted from such acceleration);

     (e) make any Note payable in money other than that stated in the Notes;

     (f) make any change in the provisions of this Indenture relating to waivers of past Defaults
or Events of Default or the rights of Holders of Notes to receive payments of principal of or
premium, interest or Additional Interest, if any, on the Notes (except as permitted in clause (g)
below);

     (g) waive a redemption or repurchase payment with respect to any Note (other than a payment
required by Sections 3.09, 4.10 and 4.15 hereof);

     (h) release any Guarantor from any of its obligations under its Subsidiary Guarantee or this
Indenture, except in accordance with the terms of this Indenture; or

     (i) make any change in the preceding amendment, supplement and waiver provisions.

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     In addition, any amendment or supplement to, or waiver of, the provisions of this Indenture
relating to subordination of the Notes or the Subsidiary Guarantees to Senior Debt that adversely
affects the rights of the Holders of the Notes shall require the consent of the Holders of at least
75% in principal amount of Notes then outstanding.

Section 9.03. Compliance with Trust Indenture Act.

     Every amendment or supplement to this Indenture or the Notes shall be set forth in an amended
or supplemental Indenture that complies with the TIA as then in effect.

     A consent to any amendment, supplement or waiver under this Indenture by any Holder given in
connection with a purchase, tender or exchange of such Holder’s Notes shall not be rendered invalid
by such purchase, tender or exchange.

Section 9.04. Revocation and Effect of Consents.

     Until an amendment, supplement or waiver becomes effective, a consent to it by a Holder of a
Note is a continuing consent by the Holder of a Note and every subsequent Holder of a Note or
portion of a Note that evidences the same debt as the consenting Holder’s Note, even if notation of
the consent is not made on any Note. However, any such Holder of a Note or subsequent Holder of a
Note may revoke the consent as to its Note if the Trustee receives written notice of revocation
before the date the waiver, supplement or amendment becomes effective. An amendment, supplement or
waiver becomes effective in accordance with its terms and thereafter binds every Holder.

     The Company may, but shall not be obligated to, fix a record date for the purpose of
determining the Holders entitled to consent to any amendment, supplement or waiver. If a record
date is fixed, then notwithstanding the last sentence of the immediately preceding paragraph, those
Persons who were Holders at such record date (or their duly designated proxies), and only those
Persons, shall be entitled to consent to such amendment or waiver or revoke any consent previously
given, whether or not such Persons continue to be Holders after such record date. No consent shall
be valid or effective for more than 90 days after such record date except to the extent that the
requisite number of consents to the amendment, supplement or waiver have been obtained within such
90-day period or as set forth in the next paragraph of this Section 9.04.

     After an amendment, supplement or waiver becomes effective, it shall bind every Holder, unless
it makes a change described in any of clauses (a) through (i) of Section 9.02, in which case, the
amendment, supplement or waiver shall bind only each Holder of a Note who has consented to it and
every subsequent Holder of a Note or portion of a Note that evidences the same indebtedness as the
consenting Holder’s Note.

Section 9.05. Notation on or Exchange of Notes.

     The Trustee may place an appropriate notation about an amendment, supplement or waiver on any
Note thereafter authenticated. The Company in exchange for all Notes may issue and the Trustee
shall authenticate new Notes that reflect the amendment, supplement or waiver.

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     Failure to make the appropriate notation or issue a new Note shall not affect the validity and
effect of such amendment, supplement or waiver.

Section 9.06. Trustee to Sign Amendments, etc.

     The Trustee shall sign any amended or supplemental indenture authorized pursuant to this
Article 9 if the amendment or supplement does not adversely affect the rights, duties, liabilities
or immunities of the Trustee. The Company may not sign an amendment or supplemental indenture
until the Board of Directors approves it. In executing any amended or supplemental indenture, the
Trustee shall be entitled to receive and (subject to Section 7.01) shall be fully protected in
relying upon, an Officers’ Certificate and an Opinion of Counsel stating that the execution of such
amended or supplemental indenture is authorized or permitted by this Indenture.

ARTICLE 10

GUARANTEES OF NOTES

Section 10.01. Subsidiary Guarantees.

     Subject to this Article 10, each of the Guarantors hereby, jointly and severally,
unconditionally guarantees, on a senior subordinated basis in accordance with Article 13, to each
Holder of a Note authenticated and delivered by the Trustee and to the Trustee and its successors
and assigns, irrespective of the validity and enforceability of this Indenture, the Notes held
thereby and the Obligations of the Company hereunder and thereunder, that: (a) the principal of and
premium, interest and Additional Interest, if any, on the Notes will be promptly paid in full when
due, subject to any applicable grace period, whether at Stated Maturity, by acceleration, upon
repurchase or redemption or otherwise, and interest on the overdue principal of and premium, (to
the extent permitted by law) interest and Additional Interest, if any, on the Notes, and all other
payment Obligations of the Company to the Holders or the Trustee hereunder or thereunder will be
promptly paid in full and performed, all in accordance with the terms hereof and thereof; and (b)
in case of any extension of time of payment or renewal of any Notes or any of such other
Obligations, the same will be promptly paid in full when due or performed in accordance with the
terms of the extension or renewal, subject to any applicable grace period, whether at Stated
Maturity, by acceleration, upon repurchase or redemption or otherwise. Failing payment when so due
of any amount so guaranteed for whatever reason, the Guarantors will be jointly and severally
obligated to pay the same immediately, subject to the provisions of Article 13. An Event of
Default under this Indenture or the Notes shall constitute an event of default under the Subsidiary
Guarantees, and shall entitle the Holders to accelerate the obligations of the Guarantors hereunder
in the same manner and to the same extent as the Obligations of the Company.

     The Guarantors hereby agree that their obligations hereunder shall be unconditional,
irrespective of the validity, regularity or enforceability of the Notes or this Indenture, the
absence of any action to enforce the same, any waiver or consent by any Holder with respect to any
provisions hereof or thereof, the recovery of any judgment against the Company, any action to
enforce the same or any other circumstance (other than complete performance) which might
otherwise constitute a legal or equitable discharge or defense of a Guarantor. Each Guarantor

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further, to the extent permitted by law, hereby waives diligence, presentment, demand of payment,
filing of claims with a court in the event of insolvency or bankruptcy of the Company, any right to
require a proceeding first against the Company, protest, notice and all demands whatsoever and
covenants that its Subsidiary Guarantee will not be discharged except by complete performance of
the Obligations contained in the Notes and this Indenture.

     If any Holder or the Trustee is required by any court or otherwise to return to the Company,
the Guarantors, or any Custodian, Trustee or other similar official acting in relation to either
the Company or the Guarantors, any amount paid by the Company or any Guarantor to the Trustee or
such Holder, the Subsidiary Guarantees, to the extent theretofore discharged, shall be reinstated
in full force and effect. Each Guarantor agrees that it shall not be entitled to, and hereby
waives, any right of subrogation in relation to the Holders in respect of any Obligations
guaranteed hereby.

     Each Guarantor further agrees that, as between the Guarantors, on the one hand, and the
Holders and the Trustee, on the other hand, (a) the maturity of the Obligations guaranteed hereby
may be accelerated as provided in Article 6 hereof for the purposes of its Subsidiary Guarantee,
notwithstanding any stay, injunction or other prohibition preventing such acceleration in respect
of the Obligations guaranteed thereby, and (b) in the event of any declaration of acceleration of
such Obligations as provided in Article 6 hereof, such Obligations (whether or not due and payable)
shall forthwith become due and payable by the Guarantor for the purpose of its Subsidiary
Guarantee. The Guarantors shall have the right to seek contribution from any non-paying Guarantor
so long as the exercise of such right does not impair the rights of the Holders under the
Subsidiary Guarantees.

Section 10.02. [Reserved].

Section 10.03. Guarantors May Consolidate, etc., on Certain Terms.

     (a) No Guarantor shall sell or otherwise dispose of all or substantially all of its properties
or assets to, or consolidate with or merge with or into (whether or not such Guarantor is the
surviving Person), another Person (other than the Company or another Guarantor), unless, (i) either
(1) the Person acquiring the properties or assets in any such sale or other disposition or the
Person formed by or surviving any such consolidation or merger (if other than such Guarantor)
unconditionally assumes all the obligations of such Guarantor, pursuant to a supplemental
indenture, substantially in the form of Annex A hereto, under the Notes, this Indenture and its
Subsidiary Guarantee on terms set forth therein, or (2) the Net Proceeds of such sale or other
disposition are applied in accordance with the provisions of Section 4.10, and (ii) immediately
after giving effect to such transaction, no Default or Event of Default exists.

     (b) In the case of any such consolidation or merger and upon the assumption by the successor
Person, by supplemental indenture, executed and delivered to the Trustee and substantially in the
form of Annex A hereto, of the Subsidiary Guarantee and the due and
punctual performance of all of the covenants of this Indenture to be performed by the
Guarantor, such successor Person shall succeed to and be substituted for the Guarantor with the
same effect as if it had been named herein as a Guarantor.

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Section 10.04. Releases of Subsidiary Guarantees.

     The Subsidiary Guarantee of a Guarantor shall be released: (1) in connection with any sale or
other disposition of all or substantially all of the properties or assets of such Guarantor
(including by way of merger or consolidation) to a Person that is not (either before or after
giving effect to such transaction) a Subsidiary of the Company, if the sale or other disposition
complies with Section 4.10; or (2) in connection with any sale or other disposition of all of the
Capital Stock of such Guarantor to a Person that is not (either before or after giving effect to
such transaction) a Subsidiary of the Company, if the sale or other disposition complies with
Section 4.10; or (3) if the Company designates any Restricted Subsidiary that is a Guarantor as an
Unrestricted Subsidiary in accordance with the applicable provisions of this Indenture; or (4) upon
Legal Defeasance or Covenant Defeasance or Discharge in accordance with Article 8.

     Upon delivery by the Company to the Trustee of an Officers’ Certificate to the effect that any
of the foregoing clauses (1) – (4) has occurred, the Trustee shall execute any documents reasonably
requested by the Company in order to evidence the release of any Guarantor from its obligations
under its Subsidiary Guarantee. Any Guarantor not released from its obligations under its
Subsidiary Guarantee shall remain liable for the full amount of principal of and premium, interest
and Additional Interest, if any, on the Notes and for the other obligations of such Guarantor under
this Indenture as provided in this Article 10.

Section 10.05. [Reserved].

Section 10.06. Limitation on Guarantor Liability.

     The obligations of each Guarantor under its Subsidiary Guarantee will be limited to the
maximum amount as will, after giving effect to all other contingent and fixed liabilities of such
Guarantor and after giving effect to any collections from or payments made by or on behalf of any
other Guarantor in respect of the obligations of such other Guarantor under its Subsidiary
Guarantee or pursuant to its contribution obligations under this Indenture, result in the
obligations of such Guarantor under its Subsidiary Guarantee not constituting a fraudulent
conveyance or fraudulent transfer under federal or state law and not otherwise being void or
voidable under any similar laws affecting the rights of creditors generally.

Section 10.07. “Trustee” to Include Paying Agent.

     In case at any time any Paying Agent other than the Trustee shall have been appointed by the
Company and be then acting hereunder, the term “Trustee” as used in this Article 10 shall in each
case (unless the context shall otherwise require) be construed as extending to and including such
Paying Agent within its meaning as fully and for all intents and purposes as if such Paying Agent
were named in this Article 10 in place of the Trustee.

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ARTICLE 11

MISCELLANEOUS

Section 11.01. Trust Indenture Act Controls.

     If any provision of this Indenture limits, qualifies or conflicts with the duties imposed by
TIA §318(c), such TIA-imposed duties shall control.

Section 11.02. Notices.

     Any notice or communication by the Company, any Guarantor or the Trustee to the others is duly
given if in writing (in the English language) and delivered in person or mailed by first class mail
(registered or certified, return receipt requested), telecopier or overnight air courier
guaranteeing next day delivery, to the others’ address:

     If to the Company or the Guarantors:

Whiting Petroleum Corporation

1700 Broadway, Suite 2300

Denver, Colorado 80290-2300

Attention: Chief Financial Officer

Telecopier No.: (303) 861-4023

     with a copy to:

Foley & Lardner LLP

777 East Wisconsin Avenue

Milwaukee, Wisconsin 53202

Attention: Benjamin F. Garmer, III

Telecopier No.: (414) 297-4900

     If to the Trustee:

J.P. Morgan Trust Company, National Association

1125 17th Street, 4th Floor

Denver, Colorado 80202

Attention: Institutional Trust Services

Telecopier No.: (303) 244-3135

     The Company, any of the Guarantors or the Trustee, by notice to the others may designate
additional or different addresses for subsequent notices or communications.

     All notices and communications (other than those sent to Holders) shall be deemed to have been
duly given: at the time delivered by hand, if personally delivered; five Business Days after being
deposited in the mail, postage prepaid, if mailed; when receipt is acknowledged, if telecopied; and
the next Business Day after timely delivery to the courier, if sent by overnight air courier
guaranteeing next day delivery in each case to the address shown above.

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     Any notice or communication to a Holder shall be mailed by first class mail, certified or
registered, return receipt requested, or by overnight air courier guaranteeing next day delivery to
its address shown on the register kept by the Registrar. Any notice or communication shall also be
so mailed to any Person described in TIA § 313(c), to the extent required by the TIA. Failure to
mail a notice or communication to a Holder or any defect in it shall not affect its sufficiency
with respect to other Holders.

     If a notice or communication is mailed in the manner provided above within the time
prescribed, it is duly given, whether or not the addressee receives it.

     If the Company mails a notice or communication to Holders, it shall mail a copy to the Trustee
and each Agent at the same time.

Section 11.03. Communication by Holders of Notes with Other Holders of Notes.

     Holders may communicate pursuant to TIA § 312(b) with other Holders with respect to their
rights under this Indenture or the Notes. The Company, the Trustee, the Registrar and anyone else
shall have the protection of TIA § 312(c).

Section 11.04. Certificate and Opinion as to Conditions Precedent.

     Upon any request or application by the Company to the Trustee to take any action under this
Indenture, the Company shall furnish to the Trustee:

     (a) an Officers’ Certificate in form and substance reasonably satisfactory to the
Trustee (which shall include the statements set forth in Section 11.05 hereof) stating that,
in the opinion of the signers, all conditions precedent and covenants, if any, provided for
in this Indenture relating to the proposed action have been satisfied; and

     (b) an Opinion of Counsel in form and substance reasonably satisfactory to the Trustee
(which shall include the statements set forth in Section 11.05 hereof) stating that, in the
opinion of such counsel, all such conditions precedent and covenants have been satisfied.

Section 11.05. Statements Required in Certificate or Opinion.

     Each certificate or opinion with respect to compliance with a condition or covenant provided
for in this Indenture (other than a certificate provided pursuant to TIA § 314(a)(4)) shall comply
with the provisions of TIA § 314(e) and shall include:

     (a) a statement that the person making such certificate or opinion has read such
covenant or condition;

     (b) a brief statement as to the nature and scope of the examination or investigation
upon which the statements or opinions contained in such certificate or opinion are based;

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     (c) a statement that, in the opinion of such person, he or she has made such
examination or investigation as is necessary to enable him to express an informed opinion as
to whether or not such covenant or condition has been satisfied; and

     (d) a statement as to whether or not, in the opinion of such person, such condition or
covenant has been satisfied.

Section 11.06. Rules by Trustee and Agents.

     The Trustee may make reasonable rules for action by or at a meeting of Holders. The Registrar
or Paying Agent may make reasonable rules and set reasonable requirements for its functions.

Section 11.07. No Personal Liability of Directors, Officers, Employees and Stockholders.

     No past, present or future director, officer, employee, incorporator or stockholder or other
owner of Capital Stock of the Company or any Guarantor, as such, shall have any liability for any
obligations of the Company or any Guarantor under the Notes, the Subsidiary Guarantees or this
Indenture or for any claim based on, in respect of, or by reason of, such obligations or their
creation. Each Holder of Notes by accepting a Note waives and releases all such liability. The
waiver and release are part of the consideration for issuance of the Notes.

Section 11.08. Governing Law.

     THIS INDENTURE AND THE NOTES SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS
OF THE STATE OF NEW YORK.

Section 11.09. No Adverse Interpretation of Other Agreements.

     This Indenture may not be used to interpret any other indenture, loan or debt agreement of the
Company or its Subsidiaries or of any other Person. Any such indenture, loan or debt agreement may
not be used to interpret this Indenture.

Section 11.10. Successors.

     All agreements of the Company and the Guarantors in this Indenture and the Notes shall bind
their successors. All agreements of the Trustee in this Indenture shall bind its successors.

Section 11.11. Severability.

     In case any provision in this Indenture or in the Notes shall be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining provisions shall not in
any way be affected or impaired thereby.

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Section 11.12. Table of Contents, Headings, etc.

     The Table of Contents, Cross-Reference Table and headings of the Articles and Sections of this
Indenture have been inserted for convenience of reference only, are not to be considered a part of
this Indenture and shall in no way modify or restrict any of the terms or provisions hereof.

Section 11.13. Counterparts.

     This Indenture may be signed in counterparts and by the different parties hereto in separate
counterparts, each of which shall constitute an original and all of which together shall constitute
one and the same instrument.

ARTICLE 12

SUBORDINATION

Section 12.01. Agreement to Subordinate.

     The Company agrees, and each Noteholder by accepting a Note agrees, that the payment of the
principal of, premium, if any, and interest and Additional Interest, if any, on the Notes and any
other Obligation of the Company in respect of the Notes (including any obligation to purchase
Notes) is subordinated in right of payment, to the extent and in the manner provided in this
Article 12, to the prior payment in full in cash of all Obligations in respect of Senior Debt of
the Company, including the Obligations of the Company under the Credit Agreement, whether
outstanding on the date of this Indenture or thereafter incurred, and that the subordination is for
the benefit of and shall be enforceable directly by the holders of such Senior Debt. The Notes
shall rank equally in right of payment with all other Senior Subordinated Debt of the Company, and
only Indebtedness of the Company that is Senior Debt of the Company shall rank senior in right of
payment to the Notes in accordance with the provisions set forth herein. All provisions of this
Article 12 shall be subject to Section 12.12. All references to “Senior Debt” in this Article 12
are to Senior Debt of the Company.

Section 12.02. Liquidation, Dissolution, Bankruptcy.

     Upon any payment or other distribution of the assets of the Company to creditors upon a
liquidation or dissolution of the Company, or in a bankruptcy, reorganization, insolvency,
receivership or similar proceeding relating to the Company or its property, or in an assignment for
the benefit of creditors or in any marshaling of the Company’s assets and liabilities:

     (1) holders of Senior Debt of the Company shall be entitled to receive payment in full in cash
of all Obligations due in respect of such Senior Debt (including interest after the commencement of
any bankruptcy proceeding at the rate specified in the applicable Senior Debt, whether or not an
allowable claim in such proceeding) before Noteholders shall be entitled to receive any payment
with respect to the Notes; and

     (2) until all Obligations with respect to such Senior Debt are paid in full in cash, any
payment or other distribution to which Noteholders would be entitled but for this Article 12 shall
be made to holders of such Senior Debt as their interests may appear, except that Noteholders

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may
receive and retain Permitted Junior Securities and payments made from a trust already established
pursuant to Article 8.

Section 12.03. Default on Senior Debt.

     The Company shall not pay the principal of, premium, if any, interest or Additional Interest,
if any, on the Notes or make any deposit pursuant to Article 8 and shall not purchase, redeem or
otherwise retire any Notes or make any other payment with respect to the Notes (collectively, “pay
the Notes”), except that Noteholders may receive and retain Permitted Junior Securities and
payments made from a trust already established pursuant to Article 8, if either:

     (1) a default (a “payment default”) in the payment of the principal of, premium, if any, or
interest on, or any other Obligation in respect of, any Designated Senior Debt occurs and is
continuing beyond any applicable grace period; or

     (2) any other default (a “nonpayment default”) occurs and is continuing with respect to any
Designated Senior Debt that permits holders of such Designated Senior Debt to accelerate its
maturity (or that would permit such holders to accelerate with the giving of notice or the passage
of time or both) and the Trustee receives a notice of such default (a “Payment Blockage Notice”)
from the Company or the holders of such Designated Senior Debt.

     Except as provided in Section 12.02, payments on the Notes may and shall be resumed:

     (1) in the case of a payment default, upon the date on which such default is cured or waived;
and

     (2) in the case of a nonpayment default, upon the earlier of the date on which such nonpayment
default is cured or waived or 179 days after the date on which the applicable Payment Blockage
Notice is received, unless the maturity of any Designated Senior Debt has been accelerated.

     No new Payment Blockage Notice may be delivered unless and until 360 days have elapsed since
the delivery of the immediately prior Payment Blockage Notice. No nonpayment default that existed
or was continuing with respect to any Designated Senior Debt on the date of delivery of any Payment
Blockage Notice to the Trustee with respect to such Designated Senior Debt shall be, or be made,
the basis for a subsequent Payment Blockage Notice unless such default has been cured or waived for
a period of not less than 90 days.

Section 12.04. Acceleration of Payment of Notes.

     If payment of the Notes is accelerated because of an Event of Default, the Company shall
promptly notify the holders of Designated Senior Debt (or their Representatives) of the
acceleration.

Section 12.05. When Distribution Must Be Paid Over; Reinstatement of Senior Debt.

     If a payment or other distribution is made to the Trustee or any of the Noteholders that
because of this Article 12 should not have been made to them, the Trustee or any of the

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Noteholders
who receive the distribution shall hold it in trust for holders of Senior Debt of the Company and
pay it over and deliver it to them (or their Representatives) as their interests may appear.

     To the extent any payment of or distribution in respect of Senior Debt (whether by or on
behalf of the Company as proceeds of security or enforcement of any right of setoff or otherwise)
is declared to be fraudulent or preferential, set aside or required to be paid to any receiver,
trustee in bankruptcy, liquidating trustee, agent or other similar Person under any bankruptcy,
insolvency, receivership, fraudulent conveyance or similar law, then if such payment or
distribution is recovered by, or paid over to, such receiver, trustee in bankruptcy, liquidating
trustee, agent or other similar Person, the Senior Debt or part thereof originally intended to
be satisfied shall be deemed to be reinstated and outstanding as if such payment had not occurred.

Section 12.06. Subrogation.

     After all Senior Debt of the Company is paid in full (and all commitments with respect to such
Senior Debt have terminated) and until the Notes are paid in full, Noteholders shall be subrogated
to the rights of holders of such Senior Debt to receive distributions applicable to such Senior
Debt. A distribution made under this Article 12 to holders of such Senior Debt which otherwise
would have been made to Noteholders is not, as between the Company and Noteholders, a payment by
the Company on such Senior Debt.

Section 12.07. Relative Rights.

     This Article 12 defines the relative rights of Noteholders and holders of Senior Debt of the
Company. Nothing in this Indenture shall:

     (1) impair, as between the Company and Noteholders, the obligation of the Company, which is
absolute and unconditional, to pay principal of, premium, if any, and interest and Additional
Interest, if any, on the Notes in accordance with their terms; or

     (2) prevent the Trustee or any Noteholder from exercising its available remedies upon an Event
of Default, subject to the rights of holders of Senior Debt to receive payments and distributions
otherwise payable to Noteholders and to block payments on the Notes as provided in this Article 12.

Section 12.08. Subordination May Not Be Impaired by Company.

     No right of any present or future holders of any Senior Debt to enforce subordination as
provided in this Article 12 will at any time in any way be prejudiced or impaired by noncompliance
by the Company with the terms of this Indenture, regardless of any knowledge thereof that any such
holder of Senior Debt may have or otherwise be charged with.

Section 12.09. Rights of Trustee and Paying Agent; Rights of Holders of Senior Debt.

     Notwithstanding Section 12.03, the Trustee or Paying Agent shall continue to make payments on
the Notes and shall not be charged with knowledge of the existence of facts that under this Article
12 would prohibit the making of any such payments unless, not less than one

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Business Day prior to
the date of such payment, a Trust Officer of the Trustee receives notice that such payments are
prohibited by this Article 12. The Company, the Registrar, the Paying Agent, a Representative or a
holder of Senior Debt shall be entitled to give the notice; provided, however, that, if an issue of
Senior Debt has a Representative, only the Representative shall be entitled to give the notice.

     The Trustee in its individual or any other capacity shall be entitled to hold Senior Debt with
the same rights it would have if it were not Trustee. The Registrar and the Paying Agent shall be
entitled to do the same with like rights. The Trustee shall be entitled to all the rights set forth
in this Article 12 with respect to any Senior Debt which may at any time be held by it, to
the same extent as any other holder of such Senior Debt; and nothing in Article 7 shall
deprive the Trustee of any of its rights as such holder. Nothing in this Article 12 shall apply to
claims of, or payments to, the Trustee under or pursuant to Section 7.07.

     The holders of Senior Debt may, at any time and from time to time subject to the terms of such
Senior Debt, without the consent of or notice to the Trustee or the Noteholders, without incurring
responsibility to the Noteholders and without impairing or releasing the subordination provided in
this Indenture or the obligations hereunder of the Noteholders to the holders of Senior Debt, do
any one or more of the following:

     (1) change the manner, place or terms of payment or extend the time of payment of, or renew or
alter, Senior Debt or any instrument evidencing the same or any agreement under which Senior Debt
is outstanding or secured;

     (2) sell, exchange, release or otherwise deal with any property pledged, mortgaged or
otherwise securing Senior Debt;

     (3) release any Person liable in any manner for the collection of Senior Debt; and

     (4) exercise or refrain from exercising any rights against the Company and any other Person.

Section 12.10. Distribution or Notice to Representative.

     Whenever any Person is to make a distribution or give a notice to holders of Senior Debt of
the Company, such Person shall be entitled to make such distribution or give such notice to their
Representative (if any).

Section 12.11. Not to Prevent Events of Default or Limit Right to Accelerate.

     The failure to make a payment pursuant to the Notes by reason of any provision in this Article
12 shall not be construed as preventing the occurrence of a Default. Nothing in this Article 12
shall have any effect on the right of the Noteholders or the Trustee to accelerate the maturity of
the Notes.

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Section 12.12.  Trust Moneys Not Subordinated.

     Notwithstanding anything contained herein to the contrary, payments from money or the proceeds
of Government Securities held in trust under Article 8 by the Trustee for the payment of principal
of, premium, if any, and interest and Additional Interest, if any, on the Notes shall not be
subordinated to the prior payment of any Senior Debt or subject to the restrictions set forth in
this Article 12, and none of the Noteholders shall be obligated to pay over any such amount to the
Company or any holder of Senior Debt or any other creditor of the Company.

Section 12.13.  Trustee Entitled to Rely.

     Upon any payment or distribution pursuant to this Article 12, the Trustee and the Noteholders
shall be entitled to rely (1) upon any order or decree of a court of competent
jurisdiction in which any proceedings of the nature referred to in Section 12.02 are pending,
(2) upon a certificate of the liquidating trustee or agent or other Person making such payment or
distribution to the Trustee or to the Noteholders or (3) upon the Representatives of Senior Debt
for the purpose of ascertaining the Persons entitled to participate in such payment or
distribution, the holders of such Senior Debt and other Debt of the Company, the amount thereof or
payable thereon, the amount or amounts paid or distributed thereon and all other facts pertinent
thereto or to this Article 12. In the event that the Trustee determines, in good faith, that
evidence is required with respect to the right of any Person as a holder of Senior Debt to
participate in any payment or distribution pursuant to this Article 12, the Trustee shall be
entitled to request such Person to furnish evidence to the reasonable satisfaction of the Trustee
as to the amount of such Senior Debt held by such Person, the extent to which such Person is
entitled to participate in such payment or distribution and other facts pertinent to the rights of
such Person under this Article 12, and, if such evidence is not furnished, the Trustee shall be
entitled to defer any payment to such Person pending judicial determination as to the right of such
Person to receive such payment. The provisions of Sections 7.01 and 7.02 shall be applicable to all
actions or omissions of actions by the Trustee pursuant to this Article 12.

Section 12.14. Trustee to Effectuate Subordination.

     Each Noteholder by accepting a Note authorizes and directs the Trustee on its behalf to take
such action as may be necessary or appropriate to effectuate the subordination provided in this
Article 12 and appoints the Trustee as attorney-in-fact for any and all such purposes.

Section 12.15.  Trustee Not Fiduciary for Holders of Senior Debt.

     The Trustee shall not be deemed to owe any fiduciary duty to the holders of Senior Debt and,
subject to Section 7.01, shall not be liable to any such holders if it shall mistakenly pay over or
distribute to Noteholders or the Company or any other Person, money or assets to which any holders
of Senior Debt shall be entitled by virtue of this Article 12 or otherwise.

Section 12.16. Reliance by Holders of Senior Debt on Subordination Provisions.

     Each Noteholder by accepting a Note acknowledges and agrees that the foregoing subordination
provisions are, and are intended to be, an inducement and a consideration to each holder of any
Senior Debt, whether such Senior Debt was created or acquired before or after the

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issuance of the
Notes, to acquire and continue to hold, or to continue to hold, such Senior Debt, and such holder
of such Senior Debt shall be deemed conclusively to have relied on such subordination provisions in
acquiring and continuing to hold, or in continuing to hold, such Senior Debt.

ARTICLE 13

SUBORDINATION OF SUBSIDIARY GUARANTEES

Section 13.01. Agreement to Subordinate.

     Each Guarantor agrees, and each Noteholder by accepting a Note agrees, that the payment of
such Guarantor’s Subsidiary Guarantee (including any amounts in respect of the principal of,
premium, if any, or interest or Additional Interest, if any, on the Notes and any other
Obligation in respect of the Notes, including any obligation of the Company to purchase Notes)
is subordinated in right of payment, to the extent and in the manner provided in this Article 13,
to the prior payment in full in cash of all Obligations in respect of Senior Debt of such
Guarantor, including such Guarantor’s Obligations under the Credit Agreement, whether outstanding
on the date of this Indenture or thereafter incurred, and that the subordination is for the benefit
of and shall be enforceable directly by the holders of such Senior Debt. The Subsidiary Guarantee
of a Guarantor shall rank equally in right of payment with all other Senior Subordinated Debt of
such Guarantor, and only Indebtedness of such Guarantor that is Senior Debt of such Guarantor shall
rank senior in right of payment to the Subsidiary Guarantee of such Guarantor in accordance with
the provisions set forth herein. All provisions of this Article 13 shall be subject to Section
13.12. All references to “Senior Debt” in this Article 13 are to Senior Debt of the Guarantors.

Section 13.02. Liquidation, Dissolution, Bankruptcy.

     Upon any payment or other distribution of the assets of any Guarantor to creditors upon a
liquidation or dissolution of such Guarantor, or in a bankruptcy, reorganization, insolvency,
receivership or similar proceeding relating to such Guarantor or its property, or in an assignment
for the benefit of creditors or in any marshaling of such Guarantor’s assets and liabilities:

     (1) holders of Senior Debt of such Guarantor shall be entitled to receive payment in full in
cash of all Obligations due in respect of such Senior Debt (including interest after the
commencement of any bankruptcy proceeding at the rate specified in the applicable Senior Debt,
whether or not an allowable claim in such proceeding) before Noteholders shall be entitled to
receive any payment pursuant to the Subsidiary Guarantee of such Guarantor; and

     (2) until all Obligations with respect to the Senior Debt of such Guarantor are paid in full
in cash, any payment or other distribution to which Noteholders would be entitled but for this
Article 13 shall be made to holders of such Senior Debt as their interests may appear, except that
Noteholders may receive and retain Permitted Junior Securities and payments made from a trust
already established pursuant to Article 8.

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Section 13.03. Default on Senior Debt.

     No Guarantor shall make any payment under its Subsidiary Guarantee, whether in respect of the
principal of, premium, if any, or interest or Additional Interest, if any, on the Notes or make any
deposit pursuant to Article 8 and shall not purchase, redeem or otherwise retire any Notes or make
any other payment with respect to the Notes (collectively, “pay its Subsidiary Guarantee”), except
that Noteholders may receive and retain Permitted Junior Securities and payments made from a trust
already established pursuant to Article 8, if either:

     (1) a default (a “payment default”) in the payment of the principal of, premium, if any, or
interest on, or any other Obligation in respect of, any Designated Senior Debt of such Guarantor
occurs and is continuing beyond any applicable grace period; or

     (2) any other default (a “nonpayment default”) occurs and is continuing with respect to any
Designated Senior Debt of such Guarantor that permits holders of such Designated Senior Debt to
accelerate its maturity (or that would permit such holders to accelerate with the giving of
notice or the passage of time or both) and the Trustee receives a notice of such default (a
“Subsidiary Guarantee Payment Blockage Notice”) from such Guarantor or the holders of such
Designated Senior Debt.

     Except as provided in Section 13.02, payments on the Subsidiary Guarantees may and shall be
resumed:

     (1) in the case of a payment default, upon the date on which such default is cured or waived;
and

     (2) in the case of a nonpayment default, upon the earlier of the date on which such nonpayment
default is cured or waived or 179 days after the date on which the applicable Subsidiary Guarantee
Payment Blockage Notice is received, unless the maturity of any Designated Senior Debt has been
accelerated.

     No new Subsidiary Guarantee Payment Blockage Notice may be delivered unless and until 360 days
have elapsed since the delivery of the immediately prior Subsidiary Guarantee Payment Blockage
Notice. No nonpayment default that existed or was continuing with respect to any Designated Senior
Debt on the date of delivery of any Subsidiary Guarantee Payment Blockage Notice to the Trustee
with respect to such Designated Senior Debt shall be, or be made, the basis for a subsequent
Subsidiary Guarantee Payment Blockage Notice unless such default has been cured or waived for a
period of not less than 90 days.

Section 13.04. Demand for Payment.

     If a demand for payment is made by the Trustee on a Guarantor pursuant to Article 10, such
Guarantor shall promptly notify the holders of Designated Senior Debt of such Guarantor (or their
Representatives) of such demand.

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Section 13.05. When Distribution Must Be Paid Over; Reinstatement of Senior Debt.

     If a distribution is made to the Trustee or any of the Noteholders that because of this
Article 13 should not have been made to them, the Trustee or any of the Noteholders who receive the
distribution shall hold it in trust for holders of Senior Debt of the applicable Guarantor and pay
it over and deliver it to them (or their Representatives) as their interests may appear.

     To the extent any payment of or distribution in respect of Senior Debt (whether by or on
behalf of any Guarantor as proceeds of security or enforcement of any right of setoff or otherwise)
is declared to be fraudulent or preferential, set aside or required to be paid to any receiver,
trustee in bankruptcy, liquidating trustee, agent or other similar Person under any bankruptcy,
insolvency, receivership, fraudulent conveyance or similar law, then if such payment or
distribution is recovered by, or paid over to, such receiver, trustee in bankruptcy, liquidating
trustee, agent or other similar Person, the Senior Debt or part thereof originally intended to be
satisfied shall be deemed to be reinstated and outstanding as if such payment had not occurred.

Section 13.06. Subrogation.

     After all Senior Debt of a Guarantor is paid in full (and all commitments with respect to such
Senior Debt have terminated) and until the Notes are paid in full, Noteholders shall be subrogated
to the rights of holders of such Senior Debt to receive distributions applicable to Senior Debt of
such Guarantor. A distribution made under this Article 13 to holders of such Senior Debt which
otherwise would have been made to Noteholders is not, as between the relevant Guarantor and
Noteholders, a payment by such Guarantor on such Senior Debt.

Section 13.07. Relative Rights.

     This Article 13 defines the relative rights of Noteholders and holders of Senior Debt of a
Guarantor. Nothing in this Indenture shall:

     (1) impair, as between a Guarantor and Noteholders, the obligation of such Guarantor, which is
absolute and unconditional, to pay its Subsidiary Guarantee to the extent set forth in Article 10;
or

     (2) prevent the Trustee or any Noteholder from exercising its available remedies upon a
default by such Guarantor under its Subsidiary Guarantee, subject to the rights of holders of
Senior Debt of such Guarantor to receive payments and distributions otherwise payable to
Noteholders and to block payments on the Notes as provided in this Article 13.

Section 13.08. Subordination May Not Be Impaired by Guarantors.

     No right of any present or future holders of any Senior Debt of any Guarantor to enforce
subordination as provided in this Indenture will at any time in any way be prejudiced or impaired
by noncompliance by such Guarantor with the terms of this Indenture, regardless of any knowledge
thereof that any such Holder of Senior Debt may have or otherwise be charged with.

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Section 13.09. Rights of Trustee and Paying Agent; Rights of Holders of Senior Debt.

     Notwithstanding Section 13.03, the Trustee or Paying Agent shall continue to make payments on
any Subsidiary Guarantee and shall not be charged with knowledge of the existence of facts that
under this Article 13 would prohibit the making of any such payments unless, not less than one
Business Day prior to the date of such payment, a Trust Officer of the Trustee receives written
notice that such payments are prohibited by this Article 13. The Company, the relevant Guarantor,
the Registrar, the Paying Agent, a Representative or a holder of Senior Debt of such Guarantor
shall be entitled to give the notice; provided, however, that, if an issue of Senior Debt of any
Guarantor has a Representative, only the Representative shall be entitled to give the notice.

     The Trustee in its individual or any other capacity shall be entitled to hold Senior Debt of
any Guarantor with the same rights it would have if it were not the Trustee. The Registrar and the
Paying Agent may do the same with like rights. The Trustee shall be entitled to all the rights set
forth in this Article 13 with respect to any Senior Debt of any Guarantor which may at any time be
held by it, to the same extent as any other holder of such Senior Debt; and nothing in
Article 7 shall deprive the Trustee of any of its rights as such holder. Nothing in this
Article 13 shall apply to claims of, or payments to, the Trustee under or pursuant to Section 7.07.

     The holders of Senior Debt may, at any time and from time to time subject to the terms of such
Senior Debt, without the consent of or notice to the Trustee or the Noteholders, without incurring
responsibility to the Noteholders and without impairing or releasing the subordination provided in
this Indenture or the obligations hereunder of the Noteholders to the holders of Senior Debt, do
any one or more of the following:

     (1) change the manner, place or terms of payment or extend the time of payment of, or renew or
alter, Senior Debt or any instrument evidencing the same or any agreement under which Senior Debt
is outstanding or secured;

     (2) sell, exchange, release or otherwise deal with any property pledged, mortgaged or
otherwise securing Senior Debt;

     (3) release any Person liable in any manner for the collection of Senior Debt; and

     (4) exercise or refrain from exercising any rights against any Guarantor and any other Person.

Section 13.10. Distribution or Notice to Representative.

     Whenever any Person is to make a distribution or give a notice to holders of Senior Debt of
any Guarantor, such Person shall be entitled to make such distribution or give such notice to their
Representative (if any).

Section 13.11. Article 13 Not to Prevent Events of Default or Limit Right to Demand
Payment.

     The failure to make a payment pursuant to a Subsidiary Guarantee by reason of any provision in
this Article 13 shall not be construed as preventing the occurrence of a Default.

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Nothing in this
Article 13 shall have any effect on the right of the Noteholders or the Trustee to make a demand
for payment on any Guarantor pursuant to its Subsidiary Guarantee.

Section 13.12. Trust Moneys Not Subordinated.

     Notwithstanding anything contained herein to the contrary, payments from money or the proceeds
of Government Securities held in trust under Article 8 by the Trustee for the payment of principal
of, premium, if any, and interest and Additional Interest, if any, on the Notes shall not be
subordinated to the prior payment of any Senior Debt of any Guarantor or subject to the
restrictions set forth in this Article 13, and none of the Noteholders shall be obligated to pay
over any such amount to any Guarantor or any holder of Senior Debt of any Guarantor or any other
creditor of any Guarantor.

Section 13.13. Trustee Entitled to Rely.

     Upon any payment or distribution pursuant to this Article 13, the Trustee and the Noteholders
shall be entitled to rely (1) upon any order or decree of a court of competent
jurisdiction in which any proceedings of the nature referred to in Section 13.02 are pending,
(2) upon a certificate of the liquidating trustee or agent or other Person making such payment or
distribution to the Trustee or to the Noteholders or (3) upon the Representatives for the holders
of Senior Debt of any Guarantor for the purpose of ascertaining the Persons entitled to participate
in such payment or distribution, the holders of such Senior Debt and other Debt of such Guarantor,
the amount thereof or payable thereon, the amount or amounts paid or distributed thereon and all
other facts pertinent thereto or to this Article 13. In the event that the Trustee determines, in
good faith, that evidence is required with respect to the right of any Person as a holder of Senior
Debt of any Guarantor to participate in any payment or distribution pursuant to this Article 13,
the Trustee shall be entitled to request such Person to furnish evidence to the reasonable
satisfaction of the Trustee as to the amount of Senior Debt of such Guarantor held by such Person,
the extent to which such Person is entitled to participate in such payment or distribution and
other facts pertinent to the rights of such Person under this Article 13, and, if such evidence is
not furnished, the Trustee shall be entitled to defer any payment to such Person pending judicial
determination as to the right of such Person to receive such payment. The provisions of Sections
7.01 and 7.02 shall be applicable to all actions or omissions of actions by the Trustee pursuant to
this Article 13.

Section 13.14. Trustee to Effectuate Subordination.

     Each Noteholder by accepting a Note authorizes and directs the Trustee on its behalf to take
such action as may be necessary or appropriate to effectuate the subordination provided in this
Article 13 and appoints the Trustee as attorney-in-fact for any and all such purposes.

Section 13.15. Trustee Not Fiduciary for Holders of Senior Debt of Guarantors.

     The Trustee shall not be deemed to owe any fiduciary duty to the holders of Senior Debt of any
Guarantor and, subject to Section 7.01, shall not be liable to any such holders if it shall
mistakenly pay over or distribute to Noteholders or the Company or any other Person, money or
assets to which any holders of such Senior Debt shall be entitled by virtue of this Article 13 or
otherwise.

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Section 13.16. Reliance by Holders of Senior Debt of Guarantors on Subordination
Provisions.

     Each Noteholder by accepting a Note acknowledges and agrees that the foregoing subordination
provisions are, and are intended to be, an inducement and a consideration to each holder of any
Senior Debt of any Guarantor, whether such Senior Debt was created or acquired before or after the
issuance of the Notes, to acquire and continue to hold, or to continue to hold, such Senior Debt
and such holder of Senior Debt shall be deemed conclusively to have relied on such subordination
provisions in acquiring and continuing to hold, or in continuing to hold, such Senior Debt.

[Signatures on following page]

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SIGNATURES

	 	 	 	 	 
	 	 	Whiting Petroleum Corporation
	 
	 	 	 	 
	 

	 	By:	 	/s/ James J. Volker
	 

	 	 	 	 
	 

	 	Name:	 	James J. Volker
	 

	 	 	 	 
	 

	 	Title:	 	President and Chief Executive Officer
	 

	 	 	 	 
	 
	 	 	 	 
	 	 	Equity Oil Company
	 	 	Whiting Oil and Gas Corporation
	 	 	Whiting Programs, Inc.
	 
	 	 	 	 
	 

	 	By:	 	James J. Volker
	 

	 	 	 	 
	 

	 	 	 	Authorized Officer, acting on behalf
	 

	 	 	 	of each of the above named Guarantors
	 
	 	 	 	 
	 	 	J.P. Morgan Trust Company,
	 	 	National Association,
	 	 	as Trustee
	 
	 	 	 	 
	 

	 	By:	 	/s/ Debra M. Rayman
	 

	 	 	 	 
	 

	 	Name:	 	Debra M. Rayman
	 

	 	 	 	 
	 

	 	Title:	 	Vice President
	 

	 	 	 	 

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RULE 144A/REGULATION S APPENDIX

PROVISIONS RELATING TO INITIAL NOTES,

PRIVATE EXCHANGE NOTES

AND EXCHANGE NOTES

1. Definitions

     1.1 Definitions.

     For the purposes of this Appendix the following terms shall have the meanings indicated below:

     “Depository” means The Depository Trust Company, its nominees and their respective successors.

     “Exchange Notes” means (1) the 7% Senior Subordinated Notes due 2014 issued pursuant to the
Indenture in connection with a Registered Exchange Offer pursuant to a Registration Rights
Agreement and (2) Additional Notes, if any, issued pursuant to a registration statement filed with
the SEC under the Notes Act.

     “Initial Notes” means (1) $250 million aggregate principal amount of 7% Senior Subordinated
Notes due 2014 issued on the Initial Issuance Date and (2) Additional Notes, if any, issued in a
transaction exempt from the registration requirements of the Securities Act.

     “Initial Purchasers” means (1) with respect to the Initial Notes issued on the Initial
Issuance Date, Merrill Lynch, Pierce, Fenner & Smith Incorporated, J. P. Morgan Securities, Inc.,
Lehman Brothers Inc. and the other initial purchasers named in the Purchase Agreement and (2) with
respect to each issuance of Additional Notes, the Persons purchasing such Additional Notes under
the related Purchase Agreement.

     “Notes” means the Initial Notes, the Additional Notes, the Exchange Notes and the Private
Exchange Notes, treated as a single class.

     “Notes Custodian” means the custodian with respect to a Global Note (as appointed by the
Depository), or any successor Person thereto and shall initially be the Trustee.

     “Private Exchange” means the offer by the Company, pursuant to a Registration Rights
Agreement, to the Initial Purchasers to issue and deliver to each Initial Purchaser, in exchange
for the Initial Notes held by the Initial Purchaser as part of its initial distribution, a like
aggregate principal amount of Private Exchange Notes.

     “Private Exchange Notes” means any 7% Senior Subordinated Notes due 2014 issued in connection
with a Private Exchange.

     “Purchase Agreement” means (1) with respect to the Initial Notes issued on the Initial
Issuance Date, the Purchase Agreement dated September 28, 2005 among the Company, the Guarantors
and the Initial Purchasers, and (2) with respect to each issuance of Additional Notes,

App. – 1

 

 

the purchase agreement or underwriting agreement among the Company and the Persons purchasing
such Additional Notes.

     “QIB” means a “qualified institutional buyer” as defined in Rule 144A.

     “Registered Exchange Offer” means the offer by the Company, pursuant to a Registration Rights
Agreement, to certain Holders of Initial Notes, to issue and deliver to such Holders, in exchange
for the Initial Notes, a like aggregate principal amount of Exchange Notes registered under the
Securities Act.

     “Registration Rights Agreement” means (1) with respect to the Initial Notes issued on the
Initial Issuance Date, the Registration Rights Agreement dated October 4, 2005 among the Company,
the Guarantors and the Initial Purchasers, a form of which is attached to this Indenture as Annex
B, and (2) with respect to each issuance of Additional Notes issued in a transaction exempt from
the registration requirements of the Securities Act, the registration rights agreement, if any,
among the Company and the Persons purchasing such Additional Notes under the related Purchase
Agreement.

     “Securities Act” means the Securities Act of 1933, as amended.

     “Shelf Registration Statement” means the registration statement issued by the Company in
connection with the offer and sale of Initial Notes or Private Exchange Notes pursuant to a
Registration Rights Agreement.

     “Transfer Restricted Securities” means Notes that bear or are required to bear the legend set
forth in Section 2.3(b) hereof.

     1.2 Other Definitions.

	 	 	 
	Term	 	Defined in Section:
	“Agent Members”
	 	2.1(b)
	“Distribution Compliance Period”
	 	2.1(b)
	“Global Note”
	 	2.1(a)
	“Regulation S”
	 	2.1(a)
	“Regulation S Notes”
	 	2.1(a)
	“Restricted Global Note”
	 	2.1(a)
	“Rule 144A”
	 	2.1(a)
	“Rule 144A Notes”
	 	2.1(a)

2. The Notes.

     2.1 (a) Form and Dating. Initial Notes offered and sold to QIBs in reliance on Rule
144A (“Rule 144A Notes”) under the Securities Act (“Rule 144A”) or in reliance on Regulation S
(“Regulation S Notes”) under the Securities Act (“Regulation S”), in each case as provided in a
Purchase Agreement, and Private Exchange Notes, as provided in a Registration Rights Agreement,
shall be issued initially in the form of one or more permanent global Notes in

App. – 2

 

 

definitive, fully registered form without interest coupons with the global Notes legend and
restricted Notes legend set forth in Exhibit 1 hereto (each, a “Restricted Global Note”), which
shall be deposited on behalf of the purchasers of the Initial Notes represented thereby with the
Trustee, as custodian for the Depository (or with such other custodian as the Depository may
direct), and registered in the name of the Depository or a nominee of the Depository, duly executed
by the Company and authenticated by the Trustee as hereinafter provided. Beneficial interests in a
Restricted Global Note representing Initial Notes sold in reliance on either Rule 144A or
Regulation S may be held through Euroclear or Clearstream, as indirect participants in the
Depository. The aggregate principal amount of the Global Notes may from time to time be increased
or decreased by adjustments made on the records of the Trustee and the Depository or its nominee as
hereinafter provided. Exchange Notes shall be issued in global form (with the global Notes legend
set forth in Exhibit 1 hereto) or in certificated form as provided in Section 2.4 of this Appendix.
Exchange Notes issued in global form and Restricted Global Notes are sometimes referred to in this
Appendix as “Global Notes”.

     (b) Book-Entry Provisions. This Section 2.1(b) shall apply only to a Global Note
deposited with or on behalf of the Depository.

     The Company shall execute and the Trustee shall, in accordance with this Section 2.1(b),
authenticate and deliver initially one or more Global Notes that (a) shall be registered in the
name of the Depository for such Global Note or Global Notes or the nominee of such Depository and
(b) shall be delivered by the Trustee to such Depository or pursuant to such Depository’s
instructions or held by the Trustee as custodian for the Depository. If such Global Notes are
Restricted Global Notes, then separate Global Notes shall be issued to represent Rule 144 Notes and
Regulation S Notes so long as required by law or the Depository.

     Members of, or participants in, the Depository (“Agent Members”) shall have no rights under
this Indenture with respect to any Global Note held on their behalf by the Depository or by the
Trustee as the custodian of the Depository or under such Global Note, and the Company, the Trustee
and any agent of the Company or the Trustee shall be entitled to treat the Depository as the
absolute owner of such Global Note for all purposes whatsoever. Notwithstanding the foregoing,
nothing herein shall prevent the Company, the Trustee or any agent of the Company or the Trustee
from giving effect to any written certification, proxy or other authorization furnished by the
Depository or impair, as between the Depository and its Agent Members, the operation of customary
practices of such Depository governing the exercise of the rights of a holder of a beneficial
interest in any Global Note.

     Until the 40th day after the later of the commencement of the offering of any Initial Notes
and the original issue date of such Initial Notes (such period, the “Distribution Compliance
Period”), a beneficial interest in a Restricted Global Note representing Regulation S Notes may be
transferred to a Person who takes delivery in the form of an interest in a Restricted Global Note
representing Rule 144A Notes only upon if the transferor first delivers to the Trustee a written
certificate (in the form provided in Exhibit 1 hereto) to the effect that such transfer is being
made to a Person who the transferor reasonably believes is purchasing for its own account or
accounts as to which it exercises sole investment discretion and that such person is a QIB, in each
case in a transaction meeting the requirements of Rule 144A and in accordance with any applicable
securities laws of any state of the United States or any other jurisdiction. After the

App. – 3

 

 

expiration of the Distribution Period, such certification requirements shall not apply to such
transfers of beneficial interests in a Restricted Global Note representing Regulation S Notes.

     Beneficial interests in a Restricted Global Note representing Rule 144A Notes may be
transferred to a Person who takes delivery in the form of an interest in a Restricted Global Note
representing Regulation S Notes, whether before or after the expiration of the Distribution
Compliance Period, only if the transferor first delivers to the Trustee a written certificate (in
the form provided in Exhibit 1 hereto) to the effect that such transfer is being made in accordance
with Rule 903 or 904 of Regulation S or Rule 144 (if available).

     (c) Certificated Notes. Except as provided in Section 2.3 or 2.4, owners of
beneficial interests in Restricted Global Notes shall not be entitled to receive physical delivery
of certificated Notes.

     2.2 Authentication. The Trustee shall authenticate and deliver: (1) on the Initial
Issuance Date, an aggregate principal amount of $250 million 7% Senior Subordinated Notes due
2014, (2) any Additional Notes for an original issue in an aggregate principal amount specified in
the written order of the Company pursuant to Section 2.02 of the Indenture and (3) Exchange Notes
or Private Exchange Notes for issue only in a Registered Exchange Offer or a Private Exchange,
respectively, pursuant to a Registration Rights Agreement, for a like principal amount of Initial
Notes, in each case upon a written order of the Company signed by two Officers or by an Officer and
either an Assistant Treasurer or an Assistant Secretary of the Company. Such order shall specify
the amount of the Notes to be authenticated and the date on which the original issue of Notes is to
be authenticated and, in the case of any issuance of Additional Notes pursuant to Section 2.13 of
the Indenture, shall certify that such issuance is in compliance with Section 4.03 of the
Indenture.

     2.3 Transfer and Exchange.

     (a) Transfer and Exchange of Global Notes. (i) The transfer and exchange of Global
Notes or beneficial interests therein shall be effected through the Depository, in accordance with
this Indenture (including applicable restrictions on transfer set forth herein, if any) and the
procedures of the Depository therefor. A transferor of a beneficial interest in a Global Note
shall deliver to the Registrar a written order given in accordance with the Depository’s procedures
containing information regarding the participant account of the Depository to be credited with a
beneficial interest in the Global Note. The Registrar shall, in accordance with such instructions
instruct the Depository to credit to the account of the Person specified in such instructions a
beneficial interest in the Global Note and to debit the account of the Person making the transfer
the beneficial interest in the Global Note being transferred.

     (ii) Notwithstanding any other provisions of this Appendix, a Global Note may not be
transferred as a whole except by the Depository to a nominee of the Depository or by a
nominee of the Depository to the Depository or another nominee of the Depository or by the
Depository or any such nominee to a successor Depository or a nominee of such successor
Depository.

     (iii) In the event that a Restricted Global Note is exchanged for Notes in certificated
registered form pursuant to Section 2.4 of this Appendix, prior to the consummation of a
Registered Exchange Offer or the effectiveness of a Shelf Registration Statement with
respect to such Notes, such Notes may be exchanged only in

App. – 4

 

 

accordance with such procedures as are substantially consistent with the provisions of
this Section 2.3 (including the certification requirements set forth on the reverse of the
Initial Notes intended to ensure that such transfers comply with Rule 144A or Regulation S,
as the case may be) and such other procedures as may from time to time be adopted by the
Company.

(b) Legend.

     (i) Except as permitted by the following paragraphs (ii), (iii) and (iv), each Note
certificate evidencing the Restricted Global Notes (and all Notes issued in exchange
therefor or in substitution thereof) shall bear a legend in substantially the following
form:

THIS NOTE (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM
REGISTRATION UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), AND THIS NOTE MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED
IN THE ABSENCE OF SUCH REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM. EACH
PURCHASER OF THIS NOTE IS HEREBY NOTIFIED THAT THE SELLER MAY BE RELYING ON THE
EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE
144A THEREUNDER.

THE HOLDER OF THIS NOTE AGREES FOR THE BENEFIT OF THE COMPANY THAT (A) THIS NOTE MAY
BE OFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED, ONLY (I) TO THE COMPANY, (II)
IN THE UNITED STATES TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED
INSTITUTIONAL BUYER (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) IN A
TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A, (III) OUTSIDE THE UNITED STATES
IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE 903 OR 904 UNDER THE SECURITIES
ACT, (IV) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT
PROVIDED BY RULE 144 THEREUNDER (IF AVAILABLE) OR (V) PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH OF CASES (I) THROUGH (V) IN
ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES,
AND (B) THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS REQUIRED TO, NOTIFY ANY
SUBSEQUENT PURCHASER OF THIS NOTE FROM IT OF THE RESALE RESTRICTIONS REFERRED TO IN
(A) ABOVE.

     (ii) Upon any sale or transfer of a Transfer Restricted Security (including any
Transfer Restricted Security represented by a Restricted Global Note) pursuant to Rule 144
under the Securities Act, the Registrar shall permit the transferee thereof to exchange such
Transfer Restricted Security for a certificated Note that does not bear the legend set forth
above and rescind any restriction on the transfer of such Transfer Restricted Security, if
the transferor thereof certifies in writing to the Registrar that such sale or

App. – 5

 

 

transfer was made in reliance on Rule 144 (such certification to be in the form set
forth on the reverse of the Note).

     (iii) After a transfer of any Initial Notes or Private Exchange Notes pursuant to and
during the period of the effectiveness of a Shelf Registration Statement with respect to
such Initial Notes or Private Exchange Notes, as the case may be, all requirements
pertaining to legends on such Initial Note or such Private Exchange Note will cease to
apply, the requirements requiring any such Initial Note or such Private Exchange Note issued
to certain Holders be issued in global form will cease to apply, and a certificated Initial
Note or Private Exchange Note or an Initial Note or Private Exchange Note in global form, in
each case without restrictive transfer legends, will be available to the transferee of the
Holder of such Initial Notes or Private Exchange Notes upon exchange of such transferring
Holder’s certificated Initial Note or Private Exchange Note or directions to transfer such
Holder’s interest in the Global Note, as applicable.

     (iv) Upon the consummation of a Registered Exchange Offer with respect to the Initial
Notes, all requirements pertaining to such Initial Notes that Initial Notes issued to
certain Holders be issued in global form will still apply with respect to Holders of such
Initial Notes that do not exchange their Initial Notes, and Exchange Notes in certificated
or global form will be available to Holders that exchange such Initial Notes in such
Registered Exchange Offer.

     (v) Upon the consummation of a Private Exchange with respect to the Initial Notes, all
requirements pertaining to such Initial Notes that Initial Notes issued to certain Holders
be issued in global form will still apply with respect to Holders of such Initial Notes that
do not exchange their Initial Notes, and Private Exchange Notes in global form with the
global Notes legend and the Restricted Notes legend set forth in Exhibit 1 hereto will be
available to Holders that exchange such Initial Notes in such Private Exchange.

     (c) Cancellation or Adjustment of Global Note. At such time as all beneficial
interests in a Global Note have either been exchanged for certificated Notes, redeemed, purchased
or canceled, such Global Note shall be returned to the Depository for cancellation or retained and
canceled by the Trustee. At any time prior to such cancellation, if any beneficial interest in a
Global Note is exchanged for certificated Notes, redeemed, purchased or canceled, the principal
amount of Notes represented by such Global Note shall be reduced and an adjustment shall be made on
the books and records of the Trustee (if it is then the Notes Custodian for such Global Note) with
respect to such Global Note, by the Trustee or the Notes Custodian, to reflect such reduction.

     (d) Obligations with Respect to Transfers and Exchanges of Notes.

     (i) To permit registrations of transfers and exchanges, the Company shall execute and
the Trustee shall authenticate certificated Notes and Global Notes at the Registrar’s
request.

     (ii) No service charge shall be made for any registration of transfer or exchange, but
the Company may require payment of a sum sufficient to cover any transfer tax, assessments
or similar governmental charge payable in connection therewith (other than any such transfer
taxes, assessments or similar governmental charge payable

App. – 6

 

 

upon exchange or transfer pursuant to Sections 3.06, 4.10, 4.15 and 9.05 and of the
Indenture).

     (iii) The Registrar shall not be required to register the transfer of or exchange of
any Note or portion of a Note selected for redemption, except for the unredeemed portion of
any Note being redeemed in part. Also, it need not exchange or register the transfer of any
Notes for a period of 15 days before a selection of Notes to be redeemed.

     (iv) Prior to the due presentation for registration of transfer of any Note, the
Company, the Trustee, the Paying Agent or the Registrar may deem and treat the person in
whose name a Note is registered as the absolute owner of such Note for the purpose of
receiving payment of principal of, premium, if any, interest and Additional Interest, if
any, on such Note and for all other purposes whatsoever, whether or not such Note is
overdue, and none of the Company, the Trustee, the Paying Agent or the Registrar shall be
affected by notice to the contrary.

     (v) All Notes issued upon any transfer or exchange pursuant to the terms of this
Indenture shall evidence the same debt and shall be entitled to the same benefits under this
Indenture as the Notes surrendered upon such transfer or exchange.

(e) No Obligation of the Trustee.

     (i) The Trustee shall have no responsibility or obligation to any beneficial owner of a
Global Note, a member of, or a participant in the Depository or other Person with respect to
the accuracy of the records of the Depository or its nominee or of any participant or member
thereof, with respect to any ownership interest in the Notes or with respect to the delivery
to any participant, member, beneficial owner or other Person (other than the Depository) of
any notice (including any notice of redemption) or the payment of any amount, under or with
respect to such Notes. All notices and communications to be given to the Holders and all
payments to be made to Holders under the Notes shall be given or made only to or upon the
order of the registered Holders (which shall be the Depository or its nominee in the case of
a Global Note). The rights of beneficial owners in any Global Note shall be exercised only
through the Depository subject to the applicable rules and procedures of the Depository.
The Trustee may rely and shall be fully protected in relying upon information furnished by
the Depository with respect to its members, participants and any beneficial owners.

     (ii) The Trustee shall have no obligation or duty to monitor, determine or inquire as
to compliance with any restrictions on transfer imposed under this Indenture or under
Applicable Law with respect to any transfer of any interest in any Note (including any
transfers between or among Depository participants, members or beneficial owners in any
Global Note) other than to require delivery of such certificates and other documentation or
evidence as are expressly required by, and to do so if and when expressly required by, the
terms of this Indenture, and to examine the same to determine substantial compliance as to
form with the express requirements hereof.

     2.4 Certificated Notes.

     (a) A Global Note deposited with the Depository or with the Trustee as custodian for the
Depository pursuant to Section 2.1 shall be transferred to the beneficial owners thereof in the

App. – 7

 

 

form of certificated Notes in an aggregate principal amount equal to the principal amount of
such Global Note, in exchange for such Global Note, only if such transfer complies with Section 2.3
and (i) the Depository notifies the Company that it is unwilling or unable to continue as
Depository for such Global Note or if at any time such Depository ceases to be a “clearing agency”
registered under the Exchange Act and in either event a successor depositary is not appointed by
the Company within 90 days of such notice, or (ii) an Event of Default has occurred and is
continuing and DTC notifies the Trustee of its decision to exchange the Global Notes.

     (b) Any Global Note that is transferable to the beneficial owners thereof pursuant to this
Section shall be surrendered by the Depository or the Notes Custodian to the Trustee located at its
Corporate Trust Office to be so transferred, in whole or from time to time in part, without charge,
and the Trustee shall authenticate and deliver, upon such transfer of each portion of such Global
Note, an equal aggregate principal amount of certificated Notes of authorized denominations. Any
portion of a Global Note transferred pursuant to this Section shall be executed, authenticated and
delivered only in denominations of $1,000 principal amount and any integral multiple thereof and
registered in such names as the Depository shall direct. Any certificated Note or Private Exchange
Note delivered in exchange for an interest in the Global Note shall, except as otherwise provided
by Section 2.3(b), bear the restricted Notes legend set forth in Exhibit 1 hereto.

     (c) Subject to the provisions of Section 2.4(b), the Holder of a Global Note shall be entitled
to grant proxies and otherwise authorize any Person, including Agent Members and Persons that may
hold interests through Agent Members, to take any action which a Holder is entitled to take under
this Indenture or the Notes.

     (d) In the event of the occurrence of any of the events specified in Section 2.4(a), the
Company shall promptly make available to the Trustee a reasonable supply of certificated Notes in
definitive, fully registered form without interest coupons.

App. – 8

 

 

EXHIBIT 1 TO RULE 144A/REGULATION S APPENDIX

[FORM OF FACE OF INITIAL NOTE]

[Global Notes Legend]

     UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, TO THE COMPANY OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME
OF CEDE & CO. OR SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY
PAYMENT IS MADE TO CEDE & CO., OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC) ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY
PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

     TRANSFERS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO
NOMINEES OF DTC OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF
THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH
IN THE INDENTURE REFERRED TO ON THE REVERSE HEREOF.

[Restricted Notes Legend]

     THIS NOTE (OR ITS PREDECESSOR) WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION
UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND THIS NOTE
MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN
APPLICABLE EXEMPTION THEREFROM. EACH PURCHASER OF THIS NOTE IS HEREBY NOTIFIED THAT THE SELLER MAY
BE RELYING ON THE EXEMPTION FROM THE PROVISIONS OF SECTION 5 OF THE SECURITIES ACT PROVIDED BY RULE
144A THEREUNDER.

     THE HOLDER OF THIS NOTE AGREES FOR THE BENEFIT OF THE COMPANY THAT (A) THIS NOTE MAY BE
OFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED, ONLY (I) TO THE COMPANY, (II) IN THE UNITED
STATES TO A PERSON WHOM THE SELLER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER (AS
DEFINED IN RULE 144A UNDER THE SECURITIES ACT) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE
144A, (III) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE 903 OR 904
UNDER THE SECURITIES ACT, (IV) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT
PROVIDED BY RULE 144 THEREUNDER (IF AVAILABLE) OR (V) PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE SECURITIES ACT, IN EACH OF CASES (I) THROUGH (V) IN ACCORDANCE WITH ANY
APPLICABLE SECURITIES LAWS OF

Ex. 1 to App. – 1

 

 

ANY STATE OF THE UNITED STATES, AND (B) THE HOLDER WILL, AND EACH SUBSEQUENT HOLDER IS
REQUIRED TO, NOTIFY ANY SUBSEQUENT PURCHASER OF THIS NOTE FROM IT OF THE RESALE RESTRICTIONS
REFERRED TO IN (A) ABOVE.

Ex. 1 to App. – 2

 

 

WHITING PETROLEUM CORPORATION

	 	 	 
	No.

	 	$
	 

	 	CUSIP No.
	 

	 	ISIN No.

7% Senior Subordinated Note due 2014

     Whiting Petroleum Corporation, a Delaware corporation, promises to pay to ___, or
registered assigns, the principal sum of ___Dollars on February 1, 2014 [or such greater or
lesser amount as may be indicated on Schedule A hereto].1

     Interest Payment Dates: April 1 and October 1.

     Record Dates: March 15 and September 15.

     Additional provisions of this Note are set forth on the other side of this Note.

	 	 	 	 	 
	 	 	WHITING PETROLEUM CORPORATION
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:

TRUSTEE’S CERTIFICATE OF

AUTHENTICATION

J.P. MORGAN TRUST COMPANY,

NATIONAL ASSOCIATION,

     as Trustee, certifies that

     this is one of the Notes

     referred to in the Indenture.

	 	 	 	 	 
	By
	 	 	 	 
	 	 	 	 	 
	 

	 	     Authorized Signatory	 	 

Dated:

 

			
	1	 	If this Note is a Global Note, add this provision.

Ex. 1 to App. – 3

 

 

[FORM OF REVERSE SIDE OF INITIAL NOTE]

7% Senior Subordinated Note due 2014

     Capitalized terms used herein but not defined shall have the meanings assigned to them in the
Indenture referred to below unless otherwise indicated.

     1. Interest. Whiting Petroleum Corporation, a Delaware corporation (the “Company”),
promises to pay interest on the principal amount of this Note at 7% per annum from October 4, 2005
until maturity and shall pay the Additional Interest payable pursuant to Section 6 of the
Registration Rights Agreement referred to below. The Company will pay interest and Additional
Interest, if any, semi-annually in arrears on April 1 and October 1 of each year, commencing April
1, 2006, or if any such day is not a Business Day, on the next succeeding Business Day (each an
“Interest Payment Date”). Interest on the Notes will accrue from the most recent date to which
interest has been paid or, if no interest has been paid, from the date of original issuance;
provided that if there is no existing Default or Event of Default in the payment of interest, and
if this Note is authenticated between a record date referred to on the face hereof and the next
succeeding Interest Payment Date, interest shall accrue from such next succeeding Interest Payment
Date, except in the case of the original issuance of Notes, in which case interest shall accrue
from the date of authentication. The Company shall pay interest (including post-petition interest
in any proceeding under any Bankruptcy Law) on overdue principal and premium, if any, from time to
time on demand at a rate that is the rate then in effect; it shall pay interest (including
post-petition interest in any proceeding under any Bankruptcy Law) on overdue installments of
interest and Additional Interest (without regard to any applicable grace periods) from time to time
on demand at the same rate to the extent lawful. Interest will be computed on the basis of a
360-day year of twelve 30-day months.

     2. Method of Payment. The Company will pay interest on the Notes (except defaulted
interest) and Additional Interest to the Persons who are registered Holders of Notes at the close
of business on the March 15 or September 15 next preceding the Interest Payment Date, even if such
Notes are cancelled after such record date and on or before such Interest Payment Date, except as
provided in Section 2.11 of the Indenture with respect to defaulted interest. Holders must
surrender Notes to the Paying Agent to collect payments of principal and premium, if any, together
with accrued and unpaid interest and Additional Interest, if any, due at maturity. The Notes will
be payable as to principal, premium, if any, interest and Additional Interest, if any, at the
office or agency of the Company maintained for such purpose within the City and State of New York,
or, at the option of the Company, payment of interest and Additional Interest may be made by check
mailed to the Holders at their addresses set forth in the register of Holders, and provided that
payment by wire transfer of immediately available funds will be required with respect to any
amounts due on all Global Notes and all other Notes the Holders of which shall have provided wire
transfer instructions to the Company or the Paying Agent. Such payment shall be in such coin or
currency of the United States of America as at the time of payment is legal tender for payment of
public and private debts.

     3. Paying Agent and Registrar. Initially, J.P. Morgan Trust Company, National
Association, the Trustee under the Indenture, will act as Paying Agent and Registrar. The Company
may change any Paying Agent or Registrar without notice to any Holder. The Company or any of its
Subsidiaries may act in any such capacity.

Ex. 1 to App. – 4

 

 

     4. Indenture. The Company issued the Notes under an Indenture dated as of October 4,
2005 (“Indenture”) among the Company, the Guarantors and the Trustee. The terms of the Notes
include those stated in the Indenture and those made part of the Indenture by reference to the
Trust Indenture Act of 1939, as amended (15 U.S. Code §§ 77aaa-77bbbb). The Notes are subject to
all such terms, and Holders are referred to the Indenture and such Act for a statement of such
terms. The Notes are unsecured senior subordinated obligations of the Company limited to
$250,000,000 aggregate principal amount in the case of Notes issued on the Initial Issuance Date
(as defined in the Indenture).

     5. Optional Redemption.

     The Notes shall be subject to redemption at the option of the Company as provided in Section
3.07 of the Indenture.

     6. Mandatory Redemption.

     Except as set forth in paragraph 7 below, the Company shall not be required to make mandatory
redemption or sinking fund payments with respect to the Notes or to repurchase the Notes at the
option of the Holders.

     7. Repurchase at Option of Holder.

     (a) Within 30 days following the occurrence of a Change of Control, the Company shall make an
offer (a “Change of Control Offer”) to repurchase all or any part (equal to $1,000 or an integral
multiple thereof) of each Holder’s Notes at a purchase price equal to 101% of the aggregate
principal amount of Notes repurchased, plus accrued and unpaid interest and Additional Interest, if
any, to the date of settlement (the “Change of Control Settlement Date”), subject to the right of
Holders of record on the relevant record date to receive interest due on an Interest Payment Date
that is on or prior to the Change of Control Settlement Date. Within 30 days following a Change of
Control, the Company shall mail a notice of the Change of Control Offer to each Holder and the
Trustee describing the transaction that constitutes the Change of Control and setting forth the
procedures governing the Change of Control Offer as required by Section 4.15 of the Indenture.

     (b) On the 361st day after an Asset Sale, if the aggregate amount of Excess Proceeds then
exceeds $50.0 million, the Company shall commence an offer to all Holders of Notes (an “Asset Sale
Offer”) pursuant to Section 3.09 of the Indenture, and to all holders of any Pari Passu
Indebtedness then outstanding, to purchase the maximum principal amount of Notes and such Pari
Passu Indebtedness that may be purchased out of the Excess Proceeds, at an offer price in cash in
an amount equal to 100% of the principal amount of the Notes plus accrued and unpaid interest and
Additional Interest, if any, thereon to the date of settlement, subject to the right of Holders of
record on the relevant record date to receive interest due on an Interest Payment Date that is on
or prior to the Change of Control Settlement Date, in accordance with the procedures set forth in
the Indenture. If any Excess Proceeds remain after consummation of an Asset Sale Offer, the
Company may use such remaining Excess Proceeds for any purpose not otherwise prohibited by the
Indenture. If the aggregate principal amount of Notes surrendered by Holders thereof and Pari
Passu Indebtedness surrendered by holders or lenders, collectively, exceeds the

Ex. 1 to App. – 5

 

 

amount of Excess Proceeds, the Trustee shall select the Notes and Pari Passu Indebtedness to
be purchased on a pro rata basis (with such adjustments as may be deemed appropriate by the Trustee
so that only Notes in denominations of $1,000, or integral multiples thereof, shall be purchased)
on the basis of the aggregate principal amount of tendered Notes and Pari Passu Indebtedness.
Holders of Notes that are the subject of an offer to purchase will receive an Asset Sale Offer from
the Company prior to any related purchase date and may elect to have such Notes purchased by
completing the form entitled “Option of Holder to Elect Purchase” on the reverse of the Notes.

     8. Notice of Redemption. Notice of redemption will be mailed at least 30 days but not
more than 60 days (except as otherwise provided in the Indenture if the notice is issued in
connection with a Legal Defeasance, Covenant Defeasance or Discharge) before the redemption date to
each Holder whose Notes are to be redeemed at its registered address. Notes in denominations
larger than $1,000 may be redeemed in part but only in whole multiples of $1,000, unless all of the
Notes held by a Holder are to be redeemed. On and after the redemption date interest and
Additional Interest, if any, cease to accrue on Notes or portions thereof called for redemption.

     9. Denominations, Transfer, Exchange. The Notes are in registered form without
coupons in denominations of $1,000 and integral multiples of $1,000. The transfer of Notes may be
registered and Notes may be exchanged as provided in the Indenture. The Registrar and the Trustee
may require a Holder, among other things, to furnish appropriate endorsements and transfer
documents, and the Company may require a Holder to pay any taxes due on transfer or exchange. The
Company need not exchange or register the transfer of any Note or portion of a Note selected for
redemption, except for the unredeemed portion of any Note being redeemed in part. Also, it need
not exchange or register the transfer of any Notes for a period of 15 days before a selection of
Notes to be redeemed.

     10. Persons Deemed Owners. The registered Holder of a Note may be treated as its
owner for all purposes.

     11. Amendment, Supplement and Waiver. Subject to certain exceptions, the Indenture or
the Notes may be amended or supplemented with the consent of the Holders of at least a majority in
principal amount of the then outstanding Notes, and any existing default or compliance with any
provision of the Indenture or the Notes may be waived with the consent of the Holders of a majority
in principal amount of the then outstanding Notes. Without the consent of any Holder of a Note,
the Indenture or the Notes may be amended or supplemented to cure any ambiguity, defect or
inconsistency, to provide for uncertificated Notes in addition to or in place of certificated
Notes, to provide for the assumption of the Company’s obligations to Holders of the Notes pursuant
to Article 5 of the Indenture, to make any change that would provide any additional rights or
benefits to the Holders of the Notes or that does not adversely affect the legal rights under the
Indenture of any such Holder, provided that any change to conform the Indenture to the Offering
Memorandum shall not be deemed to adversely affect the legal rights under the Indenture of any
Holder, to secure the Notes or the Subsidiary Guarantees pursuant to Section 4.12 of the Indenture
or otherwise, to provide for the issuance of Additional Notes in accordance with the limitations
set forth in the Indenture, to add any additional Guarantor with respect to the Notes or to
evidence the release of any Guarantor from its

Ex. 1 to App. – 6

 

 

Subsidiary Guarantee, in each case as provided in the Indenture, to comply with the
requirements of the SEC in order to effect or maintain the qualification of the Indenture under the
Trust Indenture Act or to evidence or provide for the acceptance of appointment under the Indenture
of a successor Trustee.

     12. Defaults and Remedies. Events of Default include: (i) default for 30 days in the
payment when due of interest or Additional Interest, if any, on the Notes; (ii) default in payment
when due of the principal of or premium, if any, on the Notes when due at Stated Maturity, upon
optional redemption, upon required repurchase, upon declaration or otherwise; (iii) failure by the
Company to comply with Section 4.07, 4.09, 4.10, 4.15 or 5.01 of the Indenture; (iv) failure by the
Company for 60 days after notice to comply with any of its other agreements in the Indenture or the
Notes; (v) default under any mortgage, indenture or instrument under which there may be issued or
by which there may be secured or evidenced any Indebtedness for money borrowed by the Company or
any of its Restricted Subsidiaries (or the payment of which is guaranteed by the Company or any of
its Restricted Subsidiaries), whether such Indebtedness or guarantee now exists or is created after
the Initial Issuance Date, if such default (a) is caused by a failure to pay principal of, or
premium or interest, if any, on such Indebtedness prior to the expiration of any grace period
provided in such Indebtedness (a “Payment Default”) or (b) results in the acceleration of such
Indebtedness prior to its Stated Maturity and, in each case, the principal amount of any such
Indebtedness, together with the principal amount of any other such Indebtedness under which there
has been a Payment Default or the maturity of which has been so accelerated, aggregates in excess
of $50.0 million; (vi) failure by the Company or any of its Subsidiaries to pay final judgments
aggregating in excess of $50.0 million, which judgments are not paid, discharged or stayed
(including a stay pending appeal) for a period of 60 days after the date of such final judgment
(or, if later, the date when payment is due pursuant to such judgment); (vii) except as permitted
by the Indenture, any Subsidiary Guarantee is held in any judicial proceeding to be unenforceable
or invalid or ceases for any reason to be in full force and effect or any Guarantor, or any Person
acting on behalf of any Guarantor, denies or disaffirms its obligations under its Subsidiary
Guarantee; and (viii) certain events of bankruptcy, insolvency or reorganization with respect to
the Company, any Significant Subsidiary or any group of Subsidiaries that, taken together, would
constitute a Significant Subsidiary as specified in Section 6.01(h) or 6.01(i) of the Indenture.
If any Event of Default occurs and is continuing, the Trustee, by notice to the Company, or the
Holders of at least 25% in principal amount of the then outstanding Notes, by notice to the Company
and the Trustee, may declare all the Notes to be due and payable immediately. Notwithstanding the
preceding, in the case of an Event of Default arising from certain events of bankruptcy, insolvency
or reorganization with respect to the Company, any Significant Subsidiary or any group of
Subsidiaries that, taken together, would constitute a Significant Subsidiary described in Section
6.01(h) or 6.01(i) of the Indenture, all outstanding Notes will become due and payable without
further action or notice. Holders may not enforce the Indenture or the Notes except as provided in
the Indenture. Subject to certain limitations, Holders of a majority in principal amount of the
then outstanding Notes may direct the Trustee in its exercise of any trust or power conferred on
it. The Trustee may withhold from Holders of the Notes notice of any continuing Default or Event
of Default (except a Default or Event of Default relating to the payment of principal, interest,
premium or Additional Interest) if it determines that withholding notice is in their interest. The
Holders of a majority in principal amount of the Notes then outstanding by notice to the Trustee
may on behalf of the Holders of all of the Notes waive any past Default or Event of Default and its
consequences under the

Ex. 1 to App. – 7

 

 

Indenture except a continuing Default or Event of Default in the payment of the principal of
or premium, interest or Additional Interest, if any, on the Notes or in respect of a covenant that
cannot be amended without the consent of each Holder. The Company is required to deliver to the
Trustee annually a statement regarding compliance with the Indenture, and, so long as any Notes are
outstanding, the Company is required upon becoming aware of any Default or Event of Default, to
deliver to the Trustee a statement specifying such Default or Event of Default.

     13. Defeasance and Discharge. The Notes are subject to defeasance and discharge upon
the terms and conditions specified in the Indenture.

     14. Subordination. The indebtedness evidenced by this Note is, to the extent provided
in the Indenture, subordinate and subject in right of payment to the prior payment in full of all
Senior Debt of the Company, and this Note is issued subject to the provisions of the Indenture with
respect thereto. Each Holder of this Note, by accepting the same, (a) agrees to and shall be bound
by such provisions, (b) authorizes and directs the Trustee on his behalf to take such action as may
be necessary or appropriate to effectuate the subordination so provided and (c) appoints the
Trustee his attorney-in-fact for any and all such purposes.

     15. No Recourse Against Others. No past, present or future director, officer,
employee, incorporator, member, partner or stockholder or other owner of Capital Stock of the
Company or any Guarantor, as such, shall have any liability for any obligations of the Company or
any Guarantor under the Notes, the Subsidiary Guarantees or the Indenture or for any claim based
on, in respect of, or by reason of, such obligations or their creation. Each Holder by accepting a
Note waives and releases all such liability. The waiver and release are part of the consideration
for the issuance of the Notes.

     16. Authentication. This Note shall not be valid until authenticated by the manual
signature of an authorized signatory of the Trustee or an authenticating agent.

     17. Abbreviations. Customary abbreviations may be used in the name of a Holder or an
assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties), JT TEN (=
joint tenants with right of survivorship and not as tenants in common), CUST (= Custodian), and
U/G/M/A (= Uniform Gifts to Minors Act).

     18. Additional Rights of Holders of Transfer Restricted Securities. In addition to
the rights provided to Holders of Notes under the Indenture, Holders of Transfer Restricted
Securities shall have all the rights set forth in the Registration Rights Agreement dated as of May
11, 2004, among the Company, the Guarantors and the Initial Purchasers named on the signature page
thereof (the “Registration Rights Agreement”).

     19. CUSIP Numbers. Pursuant to a recommendation promulgated by the Committee on
Uniform Security Identification Procedures, the Company has caused CUSIP numbers and corresponding
ISIN numbers to be printed on the Notes and the Trustee may use CUSIP numbers in notices of
redemption as a convenience to Holders. No representation is made as to the accuracy of such
numbers either as printed on the Notes or as contained in any notice of redemption and reliance may
be placed only on the other identification numbers placed thereon.

Ex. 1 to App. – 8

 

 

     20. Governing Law. THE INDENTURE AND THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

     21. Successor Corporation. In the event a successor assumes all the obligations of
the Company under the Notes and the Indenture, pursuant to the terms thereof, the Company will be
released from all such obligations.

     The Company will furnish to any Holder upon written request and without charge a copy of the
Indenture or the Registration Rights Agreement. Requests may be made to:

Whiting Petroleum Corporation

1700 Broadway, Suite 2300

Denver, Colorado 80290-2300

Attention: Chief Financial Officer

Ex. 1 to App. – 9

 

 

ASSIGNMENT FORM

     To assign this Note, fill in the form below:

     I or we assign and transfer this Note to

 

Print or type assignee’s name, address and zip code)

 

(Insert assignee’s soc. sec. or tax I.D. No.)

and irrevocably appoint ___agent to transfer this Note on the books of the Company.
The agent may substitute another to act for him.

	 	 	 	 	 	 	 	 	 
	Date:

	 	 	 	 	 	Your Signature:	 	 
	 

	 	 
	 	 	 	 	 	 
	 	 	 	 	 	 	Sign exactly as your name appears on the other side of this Note.

In connection with any transfer of any of the Notes evidenced by this certificate occurring
prior to the expiration of the period referred to in Rule 144(k) under the Securities Act after the
later of the date of original issuance of such Notes and the last date, if any, on which such Notes
were owned by the Company or any Affiliate of the Company, the undersigned confirms that such Notes
are being transferred in accordance with its terms:

CHECK ONE BOX BELOW

	 	(1)	 	to the Company; or
	 
	 	(2)	 	pursuant to an effective registration statement under the Securities Act of
1933; or
	 
	 	(3)	 	inside the United States to a person who the undersigned reasonably believes is
a “qualified institutional buyer” (as defined in Rule 144A under the Securities Act of
1933) that is purchasing for its own account or for the account of a qualified
institutional buyer to whom notice is given that such transfer is being made in
reliance on Rule 144A, in each case pursuant to and in compliance with Rule 144A under
the Securities Act of 1933; or
	 
	 	(4)	 	outside the United States in an offshore transaction within the meaning of
Regulation S under the Securities Act in compliance with Rule 903 or 904 under the
Securities Act of 1933; or
	 
	 	(5)	 	pursuant to the exemption from registration provided by Rule 144 under the
Securities Act of 1933.

Unless one of the boxes is checked, the Trustee will refuse to register any of the Notes evidenced
by this certificate in the name of any person other than the registered holder thereof; provided,
however, that if box (4) or (5) is checked, the Trustee shall be entitled to require, prior to
registering any such transfer of the Notes, such legal opinions, certifications and other
information as the Company has reasonably requested to confirm that such transfer is being

Ex. 1 to App. – 10

 

 

made pursuant to an exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act of 1933, such as the exemption provided by Rule 144 under such
Act.

	 	 	 	 	 
	 

	 	 	 	 
	 

	 	 	 	Signature
	 
	 	 	 	 
	Signature Guarantee:
	 	 	 	 
	 
	 	 	 	 
	 

	 	 	 	 
	Signature must be guaranteed

	 	 	 	Signature

Signatures must be guaranteed by an “eligible guarantor institution” meeting the requirements of
the Registrar, which requirements include membership or participation in the Security Transfer
Agent Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined
by the Registrar in addition to, or in substitution for, STAMP, all in accordance with the
Securities Exchange Act of 1934, as amended.

 

Ex. 1 to App. – 11

 

 

TO BE COMPLETED BY PURCHASER IF (3) ABOVE IS CHECKED.

The undersigned represents and warrants that it is purchasing this Note for its own account or an
account with respect to which it exercises sole investment discretion and that it and any such
account is a “qualified institutional buyer” within the meaning of Rule 144A under the Securities
Act of 1933, and is aware that the sale to it is being made in reliance on Rule 144A and
acknowledges that it has received such information regarding the Company as the undersigned has
requested pursuant to Rule 144A or has determined not to request such information and that it is
aware that the transferor is relying upon the undersigned’s foregoing representations in order to
claim the exemption from registration provided by Rule 144A.

	 	 	 	 	 	 	 
	Dated:
	 	 	 	 	 	 
	 

	 	 
	 	 	 	 
	 

	 	 	 	 	 	Notice: To be executed by an executive officer

Ex. 1 to App. – 12

 

 

OPTION OF HOLDER TO ELECT PURCHASE

     If you want to elect to have this Note purchased by the Company pursuant to Section 4.10 or
4.15 of the Indenture, check the box below:

          Section 4.10                               Section 4.15

     If you want to elect to have only part of this Note purchased by the Company pursuant to
Section 4.10 or Section 4.15 of the Indenture, state the amount (in minimum denomination of $1,000
or integral multiples thereof) you elect to have purchased: $___

	 	 	 	 	 	 	 	 	 
	Date:

	 	 	 	 	 	Your Signature:	 	 
	 

	 	 
	 	 	 	 	 	 
	 	 	 	 	 	 	(Sign exactly as your name appears on the Note)
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Soc. Sec. or Tax Identification No.:                                         
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Signature Guarantee:

Ex. 1 to App. – 13

 

 

[TO BE ATTACHED TO GLOBAL NOTE]

SCHEDULE OF INCREASES OR DECREASES IN GLOBAL NOTE

     The following increases or decreases in this Global Note have been made:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Principal	 	 	 	 
	 	 	Amount of	 	 	Amount of	 	 	Amount of this	 	 	Signature of	 
	 	 	decrease in	 	 	increase in	 	 	Global Note	 	 	authorized	 
	 	 	Principal	 	 	Principal	 	 	following such	 	 	officer	 
	 	 	Amount of this	 	 	Amount of this	 	 	decrease or	 	 	of Trustee or	 
	Date	 	Global Note	 	 	Global Note	 	 	increase	 	 	Notes Custodian	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Ex. 1 to App. – 14

 

 

EXHIBIT A TO RULE 144A/REGULATION S APPENDIX

[FORM OF FACE OF EXCHANGE NOTE

OR PRIVATE EXCHANGE NOTE] ___*/**/

*/ If the Note is to be issued in global form add the Global Notes Legend from Exhibit 1 to Rule
144A/Regulation S Appendix and the attachment from such Exhibit 1 captioned “[TO BE ATTACHED TO
GLOBAL NOTES] — SCHEDULE OF INCREASES OR DECREASES IN GLOBAL NOTE”.

**/ If the Note is a Private Exchange Note issued in a Private Exchange to an Initial Purchaser
holding an unsold portion of its initial allotment, add the Restricted Notes Legend from Exhibit 1
to Rule 144A/Regulation S Appendix and replace the Assignment Form included in this Exhibit A with
the Assignment Form included in such Exhibit 1.

All references to “Additional Interest” in the note shall be deleted unless if at the date of
issuance of the Exchange Note or Private Exchange Note (as the case may be) any Registration
Default (as defined in the Registration Rights Agreement) has occurred with respect to the related
Initial Notes during the interest period in which such date of issuance occurs.

Ex. A to App. - 1

 

[FORM OF FACE OF EXCHANGE NOTE OR

PRIVATE EXCHANGE NOTE]

WHITING PETROLEUM CORPORATION

	 	 	 
	No.

	 	$ 
	 

	 	CUSIP No.
	 

	 	    ISIN No.

7% Senior Subordinated Note due 2014

     Whiting Petroleum Corporation, a Delaware corporation, promises to pay to                     , or
registered assigns, the principal sum of                      Dollars on February 1, 2014 [or such greater or
lesser amount as may be indicated on Schedule A hereto].2

     Interest Payment Dates: April 1 and October 1.

     Record Dates: March 15 and September 15.

     Additional provisions of this Note are set forth on the other side of this Note.

	 	 	 	 	 
	 	 	WHITING PETROLEUM CORPORATION
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Name:
	 

	 	 	 	Title:
	TRUSTEE’S CERTIFICATE OF AUTHENTICATION
	 	 	 	 
	 
	 	 	 	 
	J.P. MORGAN TRUST COMPANY,
	 	 	 	 
	NATIONAL ASSOCIATION,
	 	 	 	 
	 
	 	 	 	 
	     as Trustee, certifies that
	 	 	 	 
	     this is one of the Notes
	 	 	 	 
	     referred to in the Indenture.
	 	 	 	 

	 	 	 	 	 
	By
	 	 	 	 
	 

	 	 

     Authorized Signatory
	 	 
	 
	 	 	 	 
	Dated:	 	 

 

			
	2	 	If this Note is a Global Note, add this provision.

Ex. A to App. - 2

 

[FORM OF REVERSE SIDE OF EXCHANGE NOTE OR

PRIVATE EXCHANGE NOTE]

7% Senior Subordinated Note due 2014

     Capitalized terms used herein but not defined shall have the meanings assigned to them in the
Indenture referred to below unless otherwise indicated.

     1. Interest. Whiting Petroleum Corporation, a Delaware corporation (the “Company”),
promises to pay interest on the principal amount of this Note at 7% per annum from October 4, 2005
until maturity and shall pay the Additional Interest payable pursuant to Section 6 of the
Registration Rights Agreement referred to below. The Company will pay interest and Additional
Interest, if any, semi-annually in arrears on April 1 and October 1 of each year, commencing April
1, 2006, or if any such day is not a Business Day, on the next succeeding Business Day (each an
“Interest Payment Date”). Interest on the Notes will accrue from the most recent date to which
interest has been paid or, if no interest has been paid, from the date of original issuance;
provided that if there is no existing Default or Event of Default in the payment of interest, and
if this Note is authenticated between a record date referred to on the face hereof and the next
succeeding Interest Payment Date, interest shall accrue from such next succeeding Interest Payment
Date, except in the case of the original issuance of Notes, in which case interest shall accrue
from the date of authentication. The Company shall pay interest (including post-petition interest
in any proceeding under any Bankruptcy Law) on overdue principal and premium, if any, from time to
time on demand at a rate that is the rate then in effect; it shall pay interest (including
post-petition interest in any proceeding under any Bankruptcy Law) on overdue installments of
interest and Additional Interest (without regard to any applicable grace periods) from time to time
on demand at the same rate to the extent lawful. Interest will be computed on the basis of a
360-day year of twelve 30-day months.

     2. Method of Payment. The Company will pay interest on the Notes (except defaulted
interest) and Additional Interest to the Persons who are registered Holders of Notes at the close
of business on the March 15 and September 15 next preceding the Interest Payment Date, even if such
Notes are cancelled after such record date and on or before such Interest Payment Date, except as
provided in Section 2.11 of the Indenture with respect to defaulted interest. Holders must
surrender Notes to the Paying Agent to collect payments of principal and premium, if any, together
with accrued and unpaid interest and Additional Interest, if any, due at maturity. The Notes will
be payable as to principal, premium, if any, interest and Additional Interest, if any, at the
office or agency of the Company maintained for such purpose within the City and State of New York,
or, at the option of the Company, payment of interest and Additional Interest may be made by check
mailed to the Holders at their addresses set forth in the register of Holders, and provided that
payment by wire transfer of immediately available funds will be required with respect to any
amounts due on all Global Notes and all other Notes the Holders of which shall have provided wire
transfer instructions to the Company or the Paying Agent. Such payment shall be in such coin or
currency of the United States of America as at the time of payment is legal tender for payment of
public and private debts.

     3. Paying Agent and Registrar. Initially, J.P. Morgan Trust Company, National
Association, the Trustee under the Indenture, will act as Paying Agent and Registrar. The

Ex. A to App. - 3

 

Company may change any Paying Agent or Registrar without notice to any Holder. The Company or
any of its Subsidiaries may act in any such capacity.

     4. Indenture. The Company issued the Notes under an Indenture dated as of October 4,
2005 (“Indenture”) among the Company, the Guarantors and the Trustee. The terms of the Notes
include those stated in the Indenture and those made part of the Indenture by reference to the
Trust Indenture Act of 1939, as amended (15 U.S. Code §§ 77aaa-77bbbb). The Notes are subject to
all such terms, and Holders are referred to the Indenture and such Act for a statement of such
terms. The Notes are unsecured senior subordinated obligations of the Company limited to
$250,000,000 aggregate principal amount in the case of Notes issued on the Initial Issuance Date
(as defined in the Indenture).

     5. Optional Redemption.

     The Notes shall be redeemable at the option of the Company as provided in Section 3.07 of the
Indenture.

     6. Mandatory Redemption.

     Except as set forth in paragraph 7 below, the Company shall not be required to make mandatory
redemption or sinking fund payments with respect to the Notes or to repurchase the Notes at the
option of the Holders.

     7. Repurchase at Option of Holder.

     (a) Within 30 days following the occurrence of a Change of Control, the Company shall make an
offer (a “Change of Control Offer”) to repurchase all or any part (equal to $1,000 or an integral
multiple thereof) of each Holder’s Notes at a purchase price equal to 101% of the aggregate
principal amount of Notes repurchased, plus accrued and unpaid interest and Additional Interest, if
any, to the date of settlement (the “Change of Control Settlement Date”), subject to the right of
Holders of record on the relevant record date to receive interest due on an Interest Payment Date
that is on or prior to the Change of Control Settlement Date. Within 30 days following a Change of
Control, the Company shall mail a notice of the Change of Control Offer to each Holder and the
Trustee describing the transaction that constitutes the Change of Control and setting forth the
procedures governing the Change of Control Offer as required by Section 4.15 of the Indenture.

     (b) On the 361st day after an Asset Sale, if the aggregate amount of Excess Proceeds then
exceeds $50.0 million, the Company shall commence an offer to all Holders of Notes (an “Asset Sale
Offer”) pursuant to Section 3.09 of the Indenture, and to all holders of any Pari Passu
Indebtedness then outstanding, to purchase the maximum principal amount of Notes and such Pari
Passu Indebtedness that may be purchased out of the Excess Proceeds, at an offer price in cash in
an amount equal to 100% of the principal amount of the Notes plus accrued and unpaid interest and
Additional Interest, if any, thereon to the date of settlement, subject to the right of Holders of
record on the relevant record date to receive interest due on an Interest Payment Date that is on
or prior to the Change of Control Settlement Date, in accordance with the procedures set forth in
the Indenture. If any Excess Proceeds remain after consummation of an Asset Sale Offer, the
Company may use such remaining Excess Proceeds for any purpose not otherwise

Ex. A to App. - 4

 

prohibited by the Indenture. If the aggregate principal amount of Notes surrendered by
Holders thereof and Pari Passu Indebtedness surrendered by holders or lenders, collectively,
exceeds the amount of Excess Proceeds, the Trustee shall select the Notes and Pari Passu
Indebtedness to be purchased on a pro rata basis (with such adjustments as may be deemed
appropriate by the Trustee so that only Notes in denominations of $1,000, or integral multiples
thereof, shall be purchased) on the basis of the aggregate principal amount of tendered Notes and
Pari Passu Indebtedness. Holders of Notes that are the subject of an offer to purchase will
receive an Asset Sale Offer from the Company prior to any related purchase date and may elect to
have such Notes purchased by completing the form entitled “Option of Holder to Elect Purchase” on
the reverse of the Notes.

     8. Notice of Redemption. Notice of redemption will be mailed at least 30 days but not
more than 60 days (except as otherwise provided in the Indenture if the notice is issued in
connection with a Legal Defeasance, Covenant Defeasance or Discharge) before the redemption date to
each Holder whose Notes are to be redeemed at its registered address. Notes in denominations
larger than $1,000 may be redeemed in part but only in whole multiples of $1,000, unless all of the
Notes held by a Holder are to be redeemed. On and after the redemption date interest and
Additional Interest, if any, cease to accrue on Notes or portions thereof called for redemption.

     9. Denominations, Transfer, Exchange. The Notes are in registered form without
coupons in denominations of $1,000 and integral multiples of $1,000. The transfer of Notes may be
registered and Notes may be exchanged as provided in the Indenture. The Registrar and the Trustee
may require a Holder, among other things, to furnish appropriate endorsements and transfer
documents, and the Company may require a Holder to pay any taxes due on transfer or exchange. The
Company need not exchange or register the transfer of any Note or portion of a Note selected for
redemption, except for the unredeemed portion of any Note being redeemed in part. Also, it need
not exchange or register the transfer of any Notes for a period of 15 days before a selection of
Notes to be redeemed.

     10. Persons Deemed Owners. The registered Holder of a Note may be treated as its
owner for all purposes.

     11. Amendment, Supplement and Waiver. Subject to certain exceptions, the Indenture or
the Notes may be amended or supplemented with the consent of the Holders of at least a majority in
principal amount of the then outstanding Notes, and any existing default or compliance with any
provision of the Indenture or the Notes may be waived with the consent of the Holders of a majority
in principal amount of the then outstanding Notes. Without the consent of any Holder of a Note,
the Indenture or the Notes may be amended or supplemented to cure any ambiguity, defect or
inconsistency, to provide for uncertificated Notes in addition to or in place of certificated
Notes, to provide for the assumption of the Company’s obligations to Holders of the Notes pursuant
to Article 5 of the Indenture, to make any change that would provide any additional rights or
benefits to the Holders of the Notes or that does not adversely affect the legal rights under the
Indenture of any such Holder, provided that any change to conform the Indenture to the Offering
Memorandum shall not be deemed to adversely affect the legal rights under the Indenture of any
Holder, to secure the Notes or the Subsidiary Guarantees pursuant to Section 4.12 of the Indenture
or otherwise, to provide for the issuance of Additional

Ex. A to App. - 5

 

Notes in accordance with the limitations set forth in the Indenture, to add any additional
Guarantor with respect to the Notes or to evidence the release of any Guarantor from its Subsidiary
Guarantee, in each case as provided in the Indenture, to comply with the requirements of the SEC in
order to effect or maintain the qualification of the Indenture under the Trust Indenture Act or to
evidence or provide for the acceptance of appointment under the Indenture of a successor Trustee.

     12. Defaults and Remedies. Events of Default include: (i) default for 30 days in the
payment when due of interest or Additional Interest, if any, on the Notes; (ii) default in payment
when due of the principal of or premium, if any, on the Notes when due at Stated Maturity, upon
optional redemption, upon required repurchase, upon declaration or otherwise; (iii) failure by the
Company to comply with Section 4.07, 4.09, 4.10, 4.15 or 5.01 of the Indenture; (iv) failure by the
Company for 60 days after notice to comply with any of its other agreements in the Indenture or the
Notes; (v) default under any mortgage, indenture or instrument under which there may be issued or
by which there may be secured or evidenced any Indebtedness for money borrowed by the Company or
any of its Restricted Subsidiaries (or the payment of which is guaranteed by the Company or any of
its Restricted Subsidiaries), whether such Indebtedness or guarantee now exists or is created after
the Initial Issuance Date, if such default (a) is caused by a failure to pay principal of, or
premium or interest, if any, on such Indebtedness prior to the expiration of any grace period
provided in such Indebtedness (a “Payment Default”) or (b) results in the acceleration of such
Indebtedness prior to its Stated Maturity and, in each case, the principal amount of any such
Indebtedness, together with the principal amount of any other such Indebtedness under which there
has been a Payment Default or the maturity of which has been so accelerated, aggregates in excess
of $50.0 million; (vi) failure by the Company or any of its Subsidiaries to pay final judgments
aggregating in excess of $50.0 million, which judgments are not paid, discharged or stayed
(including a stay pending appeal) for a period of 60 days after the date of such final judgment
(or, if later, the date when payment is due pursuant to such judgment); (vii) except as permitted
by the Indenture, any Subsidiary Guarantee is held in any judicial proceeding to be unenforceable
or invalid or ceases for any reason to be in full force and effect or any Guarantor, or any Person
acting on behalf of any Guarantor, denies or disaffirms its obligations under its Subsidiary
Guarantee; and (viii) certain events of bankruptcy, insolvency or reorganization with respect to
the Company, any Significant Subsidiary or any group of Subsidiaries that, taken together, would
constitute a Significant Subsidiary as specified in Section 6.01(h) or 6.01(i) of the Indenture.
If any Event of Default occurs and is continuing, the Trustee, by notice to the Company, or the
Holders of at least 25% in principal amount of the then outstanding Notes, by notice to the Company
and the Trustee, may declare all the Notes to be due and payable immediately. Notwithstanding the
preceding, in the case of an Event of Default arising from certain events of bankruptcy, insolvency
or reorganization with respect to the Company, any Significant Subsidiary or any group of
Subsidiaries that, taken together, would constitute a Significant Subsidiary described in Section
6.01(h) or 6.01(i) of the Indenture, all outstanding Notes will become due and payable without
further action or notice. Holders may not enforce the Indenture or the Notes except as provided in
the Indenture. Subject to certain limitations, Holders of a majority in principal amount of the
then outstanding Notes may direct the Trustee in its exercise of any trust or power conferred on
it. The Trustee may withhold from Holders of the Notes notice of any continuing Default or Event
of Default (except a Default or Event of Default relating to the payment of principal, interest,
premium or Additional Interest) if it determines that withholding notice is in their interest. The
Holders of a majority in principal

Ex. A to App. - 6

 

amount of the Notes then outstanding by notice to the Trustee may on behalf of the Holders of
all of the Notes waive any past Default or Event of Default and its consequences under the
Indenture except a continuing Default or Event of Default in the payment of the principal of or
premium, interest or Additional Interest, if any, on the Notes or in respect of a covenant that
cannot be waived without the consent of each Holder. The Company is required to deliver to the
Trustee annually a statement regarding compliance with the Indenture, and, so long as any Notes are
outstanding, the Company is required upon becoming aware of any Default or Event of Default, to
deliver to the Trustee a statement specifying such Default or Event of Default.

     13. Defeasance and Discharge. The Notes are subject to defeasance and discharge upon
the terms and conditions specified in the Indenture.

     14. Subordination. The indebtedness evidenced by this Note is, to the extent provided
in the Indenture, subordinate and subject in right of payment to the prior payment in full of all
Senior Debt of the Company, and this Note is issued subject to the provisions of the Indenture with
respect thereto. Each Holder of this Note, by accepting the same, (a) agrees to and shall be bound
by such provisions, (b) authorizes and directs the Trustee on his behalf to take such action as may
be necessary or appropriate to effectuate the subordination so provided and (c) appoints the
Trustee his attorney-in-fact for any and all such purposes.

     15. No Recourse Against Others. No past, present or future director, officer,
employee, incorporator, member, partner or stockholder or other owner of Capital Stock of the
Company or any Guarantor, as such, shall have any liability for any obligations of the Company or
any Guarantor under the Notes, the Subsidiary Guarantees or the Indenture or for any claim based
on, in respect of, or by reason of, such obligations or their creation. Each Holder by accepting a
Note waives and releases all such liability. The waiver and release are part of the consideration
for the issuance of the Notes.

     16. Authentication. This Note shall not be valid until authenticated by the manual
signature of an authorized signatory of the Trustee or an authenticating agent.

     17. Abbreviations. Customary abbreviations may be used in the name of a Holder or an
assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties), JT TEN (=
joint tenants with right of survivorship and not as tenants in common), CUST (= Custodian), and
U/G/M/A (= Uniform Gifts to Minors Act).

     18. [Additional Rights of Holders of Transfer Restricted Securities. In addition to
the rights provided to Holders of Notes under the Indenture, Holders of Transfer Restricted
Securities shall have all the rights set forth in the Registration Rights Agreement dated as of May
11, 2004, among the Company, the Guarantors and the Initial Purchasers named on the signature page
thereof (the “Registration Rights Agreement”).]3

     19. CUSIP Numbers. Pursuant to a recommendation promulgated by the Committee on
Uniform Security Identification Procedures, the Company has caused CUSIP numbers to be printed on
the Notes and the Trustee may use CUSIP numbers and corresponding ISIN numbers

 

			
	3	 	Delete if this Note is not being issued in exchange for an Initial Note.

Ex. A to App. - 7

 

in notices of redemption as a convenience to Holders. No representation is made as to the
accuracy of such numbers either as printed on the Notes or as contained in any notice of redemption
and reliance may be placed only on the other identification numbers placed thereon.

     20. Governing Law. THE INDENTURE AND THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

     21. Successor Corporation. In the event a successor assumes all the obligations of
the Company under the Notes and the Indenture, pursuant to the terms thereof, the Company will be
released from all such obligations.

     The Company will furnish to any Holder upon written request and without charge a copy of the
Indenture [and/or the Registration Rights Agreement]4. Requests may be made to:

	 	 	 
	 

	 	Whiting Petroleum Corporation
	 

	 	1700 Broadway, Suite 2300
	 

	 	Denver, Colorado 80290-2300
	 

	 	Attention: Chief Financial Officer

 

			
	4	 	Delete if this Note is not being issued in
exchange for an Initial Note.

Ex. A to App. - 8

 

ASSIGNMENT FORM

     To assign this Note, fill in the form below:

     I or we assign and transfer this Note to

 
Print or type assignee’s name, address and zip code)

 

(Insert assignee’s soc. sec. or tax I.D. No.)

and irrevocably appoint                                          agent to transfer this Note on the books of the Company.
The agent may substitute another to act for him.

	 	 	 
	Date:                                         

	 	Your Signature:                                                                                 
	 

	 	Sign exactly as your name appears on the other side of this Note.

Ex. A to App. - 9

 

OPTION OF HOLDER TO ELECT PURCHASE

     If you want to elect to have this Note purchased by the Company pursuant to Section 4.10 or
4.15 of the Indenture, check the box below:

     If you want to elect to have only part of this Note purchased by the Company pursuant to
Section 4.10 or Section 4.15 of the Indenture, state the amount (in minimum denomination of $1,000
or integral multiples thereof) you elected to have purchased: $                    

	 	 	 	 	 	 	 	 	 
	Date:

	 	 	 	 
	 	Your	 	 
	 

	 	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	Signature:	 	 
	 

	 	 	 	 	 	 	 	(Sign exactly as your name appears on the other side of this Note)

Soc. Sec. or Tax Identification No.:                                         

	 	 	 	 	 
	Signature Guarantee:
	 	 	 	 
	 

	 	 

   (Signature must be guaranteed)
	 	 

     Signatures must be guaranteed by an “eligible guarantor institution” meeting the requirements
of the Registrar, which requirements include membership or participation in the Security Transfer
Agent Medallion Program (“STAMP”) or such other “signature guarantee program” as may be determined
by the Registrar in addition to, or in substitution for, STAMP, all in accordance with the
Securities Exchange Act of 1934, as amended.

Ex. A to App. - 10

 

ANNEX A

WHITING PETROLEUM CORPORATION

And

the Guarantors named herein

 

_________

7% SENIOR SUBORDINATED NOTES DUE 2014

 

 

FORM OF SUPPLEMENTAL INDENTURE

AND AMENDMENT — SUBSIDIARY GUARANTEE

DATED AS OF ____________ __, ____

 

J.P. MORGAN TRUST COMPANY, NATIONAL ASSOCIATION,

Trustee

 

A-1

 

     This SUPPLEMENTAL INDENTURE, dated as of                      ___, ___is among Whiting Petroleum
Corporation, a Delaware corporation (the “Company”), each of the parties identified under the
caption “Guarantors” on the signature page hereto (the “Guarantors”) and J.P. Morgan Trust Company,
National Association, a national banking association, as Trustee.

RECITALS

     WHEREAS, the Company, the initial Guarantors and the Trustee entered into an Indenture, dated
as of October 4, 2005 (the “Indenture”), pursuant to which the Company has issued $                     in
principal amount of 7% Senior Subordinated Notes due 2014 (the “Notes”); and

     WHEREAS, Section 9.01(g) of the Indenture provides that the Company, the Guarantors and the
Trustee may amend or supplement the Indenture in order to comply with Section 4.13 or 10.03
thereof, without the consent of the Holders of the Notes; and

     WHEREAS, all acts and things prescribed by the Indenture, by law and by the Certificate of
Incorporation and the Bylaws (or comparable constituent documents) of the Company, of the
Guarantors and of the Trustee necessary to make this Supplemental Indenture a valid instrument
legally binding on the Company, the Guarantors and the Trustee, in accordance with its terms, have
been duly done and performed;

     NOW, THEREFORE, to comply with the provisions of the Indenture and in consideration of the
above premises, the Company, the Guarantors and the Trustee covenant and agree for the equal and
proportionate benefit of the respective Holders of the Notes as follows:

ARTICLE 1

     Section 1.01. This Supplemental Indenture is supplemental to the Indenture and does and shall
be deemed to form a part of, and shall be construed in connection with and as part of, the
Indenture for any and all purposes.

     Section 1.02. This Supplemental Indenture shall become effective immediately upon its
execution and delivery by each of the Company, the Guarantors and the Trustee.

ARTICLE 2

     From this date, in accordance with Section 4.13 or 10.03 and by executing this Supplemental
Indenture, the Guarantors whose signatures appear below are subject to the provisions of the
Indenture to the extent provided for in Article 10 thereunder.

ARTICLE 3

     Section 3.01. Except as specifically modified herein, the Indenture and the Notes are in all
respects ratified and confirmed (mutatis mutandis) and shall remain in full force and effect in
accordance with their terms with all capitalized terms used herein without definition having the
same respective meanings ascribed to them as in the Indenture.

A-2

 

     Section 3.02. Except as otherwise expressly provided herein, no duties, responsibilities or
liabilities are assumed, or shall be construed to be assumed, by the Trustee by reason of this
Supplemental Indenture. This Supplemental Indenture is executed and accepted by the Trustee
subject to all the terms and conditions set forth in the Indenture with the same force and effect
as if those terms and conditions were repeated at length herein and made applicable to the Trustee
with respect hereto.

     Section 3.03. THIS SUPPLEMENTAL INDENTURE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE
WITH, THE LAWS OF THE STATE OF NEW YORK.

     Section 3.04. The parties may sign any number of copies of this Supplemental Indenture. Each
signed copy shall be an original, but all of such executed copies together shall represent the same
agreement.

[NEXT PAGE IS SIGNATURE PAGE]

A-3

 

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

	 	 	 	 	 	 	 
	 	 	WHITING PETROLEUM CORPORATION	 	 
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	GUARANTORS	 	 
	 	 	[                                        ]	 	 
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 
	 
	 	 	 	 	 	 
	 	 	J.P. MORGAN TRUST COMPANY,	 	 
	 	 	NATIONAL ASSOCIATION,	 	 
	 	 	as Trustee	 	 
	 
	 	 	 	 	 	 
	 

	 	By	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

A-4exv4w2

 

Exhibit 4.2

 

WHITING PETROLEUM CORPORATION

(a Delaware corporation)

Senior Subordinated Notes due 2014

REGISTRATION RIGHTS AGREEMENT

Dated: October 4, 2005

 

1

 

WHITING PETROLEUM CORPORATION

(a Delaware corporation)

$250,000,000

Senior Subordinated Notes due 2014

REGISTRATION RIGHTS AGREEMENT

October 4, 2005

	 	 	 	 	 
	MERRILL LYNCH & CO.
	MERRILL LYNCH, PIERCE, FENNER & SMITH
	 

	 	 	 	INCORPORATED
	J.P. MORGAN SECURITIES INC.
	LEHMAN BROTHERS INC.
	 

	 	 	 	as Representatives of the several Initial Purchasers named in Schedule A hereto
	c/o	 	Merrill Lynch & Co.
	 	 	Merrill Lynch, Pierce, Fenner & Smith
	 

	 	 	 	               Incorporated
	4 World Financial Center
	New York, New York 10080

c/o     J.P. Morgan Securities Inc.

270 Park Avenue

New York, New York 10017

Dear Sirs:

     Whiting Petroleum Corporation, a Delaware corporation (the “Issuer”), proposes to issue and
sell to you (the “Initial Purchasers”), upon the terms set forth in a purchase agreement dated
September 28, 2005 (the “Purchase Agreement”), $250,000,000 aggregate principal amount of
its 7% Senior Subordinated Notes due 2014 (the “Initial Securities”). The Initial Securities will
be issued pursuant to an Indenture, to be dated as of the date hereof (the “Indenture”), among the
Issuer, Whiting Oil and Gas Corporation, a Delaware corporation (“Whiting Oil and Gas”), Whiting
Programs, Inc., a Delaware corporation (“Whiting Programs”) and Equity Oil Company (“Equity Oil”
and, collectively with Whiting Oil and Gas and Whiting Programs, the “Guarantors”), and J.P. Morgan
Trust Company, National Association, as trustee (the “Trustee”). The Issuer and the Guarantors are
collectively referred to herein as the “Company”. To satisfy a condition to the obligations of the
Initial Purchasers under the Purchase Agreement, the Company agrees with the Initial Purchasers,
for the benefit of the Initial Purchasers and the subsequent holders of the Securities (as defined
below) (collectively the “Holders”), as follows:

     1. Registered Exchange Offer. Unless not permitted by applicable law (after the Company has
complied with the ultimate paragraph of this Section 1), the Company shall prepare and, not later
than 90 days (such 90th day being a “Filing Deadline”) after the date on which the Initial
Purchasers purchase the Initial Securities pursuant to the Purchase Agreement (the “Closing Date”),
file with the Securities and Exchange Commission (the “Commission”) a

2

 

registration statement (the “Exchange Offer Registration Statement”) on an appropriate form
under the Securities Act of 1933, as amended (the “Securities Act”), with respect to a proposed
offer (the “Registered Exchange Offer”) to the Holders of Transfer Restricted Securities (as
defined in Section 6 hereof), who are not prohibited by any law or policy of the Commission from
participating in the Registered Exchange Offer, to issue and deliver to such Holders, in exchange
for the Initial Securities, a like aggregate principal amount of debt securities of the Issuer
issued under the Indenture, identical in all material respects to the Initial Securities and
registered under the Securities Act (the “Exchange Securities”). The Company shall (i) use its
reasonable best efforts to cause such Exchange Offer Registration Statement to become effective
under the Securities Act within 180 days after the Closing Date (such 180th day being an
"Effectiveness Deadline”) and (ii) keep the Exchange Offer Registration Statement effective for not
less than 30 days (or longer, if required by applicable law) after the date notice of the
Registered Exchange Offer is mailed to the Holders (such period being called the “Exchange Offer
Registration Period”).

     If the Company commences the Registered Exchange Offer, the Company (i) will be entitled to
consummate the Registered Exchange Offer 30 days after such commencement (provided that the Company
has accepted all the Initial Securities theretofore validly tendered in accordance with the terms
of the Registered Exchange Offer) and (ii) will be required to consummate the Registered Exchange
Offer on or prior to the 40th day after the date on which the Exchange Offer Registration Statement
is declared effective (the “Consummation Deadline”).

     As soon as practicable after the declaration of the effectiveness of the Exchange Offer
Registration Statement, the Company shall commence the Registered Exchange Offer, it being the
objective of such Registered Exchange Offer to enable each Holder of Transfer Restricted Securities
electing to exchange the Initial Securities for Exchange Securities (assuming that such Holder is
not an affiliate of the Company within the meaning of the Securities Act, acquires the Exchange
Securities in the ordinary course of such Holder’s business and has no arrangements with any person
to participate in the distribution of the Exchange Securities and is not prohibited by any law or
policy of the Commission from participating in the Registered Exchange Offer) to trade such
Exchange Securities from and after their receipt without any limitations or restrictions under the
Securities Act and without material restrictions under the securities laws of the several states of
the United States.

     The Company acknowledges that, pursuant to current interpretations by the Commission’s staff
of Section 5 of the Securities Act, in the absence of an applicable exemption therefrom, (i) each
Holder that is a broker-dealer electing to exchange Initial Securities, acquired for its own
account as a result of market making activities or other trading activities, for Exchange
Securities (an “Exchanging Dealer”), is required to deliver a prospectus containing substantially
the information set forth in (a) Annex A hereto, (b) Annex B hereto, and (c) Annex C hereto in
connection with a sale of any such Exchange Securities received by such Exchanging Dealer pursuant
to the Registered Exchange Offer and (ii) an Initial Purchaser that elects to sell Securities (as
defined below) acquired in exchange for Initial Securities constituting any portion of an unsold
allotment, is required to deliver a prospectus containing the information required by Item 507 or
508 of Regulation S-K under the Securities Act, as applicable, in connection with such sale.

3

 

     The Company shall use its reasonable best efforts to keep the Exchange Offer Registration
Statement effective and to amend and supplement the prospectus contained therein, in order to
permit such prospectus to be lawfully delivered by all persons subject to the prospectus delivery
requirements of the Securities Act for such period of time as such persons must comply with such
requirements in order to resell the Exchange Securities; provided, however, that (i) in the case
where such prospectus and any amendment or supplement thereto must be delivered by an Exchanging
Dealer or an Initial Purchaser, such period shall be the lesser of 180 days or the date on which
all Exchanging Dealers and the Initial Purchasers have sold all Exchange Securities held by them
(unless such period is extended pursuant to Section 3(j) below) and (ii) the Company shall make
such prospectus and any amendment or supplement thereto available to any broker-dealer for use in
connection with any resale of any Exchange Securities for a period of not less than 180-days after
the consummation of the Registered Exchange Offer.

     If, upon consummation of the Registered Exchange Offer, any Initial Purchaser holds Initial
Securities acquired by it as part of its initial distribution, the Company, simultaneously with the
delivery of the Exchange Securities pursuant to the Registered Exchange Offer, shall issue and
deliver to such Initial Purchaser upon the written request of such Initial Purchaser, in exchange
(the “Private Exchange”) for the Initial Securities held by such Initial Purchaser, a like
principal amount of debt securities of the Issuer issued under the Indenture and identical in all
material respects to the Initial Securities (the “Private Exchange Securities”). The Initial
Securities, the Exchange Securities and the Private Exchange Securities are herein collectively
called the “Securities”.

     In connection with the Registered Exchange Offer, the Company shall:

     (a) mail to each Holder a copy of the prospectus forming part of the Exchange Offer
Registration Statement, together with an appropriate letter of transmittal;

     (b) keep the Registered Exchange Offer open for not less than 30 days (or longer, if
required by applicable law) after the date notice thereof is mailed to the Holders;

     (c) utilize the services of a depositary for the Registered Exchange Offer, which may
be the Trustee or an affiliate of the Trustee;

     (d) permit Holders to withdraw tendered Securities at any time prior to the close of
business, New York City time, on the last business day on which the Registered Exchange
Offer shall remain open; and

     (e) otherwise comply with all applicable laws.

     As soon as practicable after the close of the Registered Exchange Offer or the Private
Exchange, as the case may be, the Company shall:

     (x) accept for exchange all the Securities validly tendered and not withdrawn pursuant
to the Registered Exchange Offer and the Private Exchange; and

4

 

     (y) cause the Trustee to deliver promptly to each Holder of the Initial Securities,
Exchange Securities or Private Exchange Securities, as the case may be, equal in principal
amount to the Initial Securities of such Holder so accepted for exchange.

     The Indenture will provide that the Exchange Securities will not be subject to the transfer
restrictions set forth in the Indenture and that all the Securities will vote and consent together
on all matters as one class and that none of the Securities will have the right to vote or consent
as a class separate from one another on any matter.

     Interest on each Exchange Security and Private Exchange Security issued pursuant to the
Registered Exchange Offer and in the Private Exchange will accrue from the last interest payment
date on which interest was paid on the Initial Securities surrendered in exchange therefor or, if
no interest has been paid on the Initial Securities, from the date of original issue of the Initial
Securities.

     Each Holder participating in the Registered Exchange Offer shall be required to represent to
the Company that at the time of the consummation of the Registered Exchange Offer (i) any Exchange
Securities received by such Holder will be acquired in the ordinary course of business, (ii) such
Holder will have no arrangements or understanding with any person to participate in the
distribution of the Initial Securities or the Exchange Securities within the meaning of the
Securities Act, (iii) such Holder is not an “affiliate,” as defined in Rule 405 of the Securities
Act, of the Company or if it is an affiliate, such Holder will comply with the registration and
prospectus delivery requirements of the Securities Act to the extent applicable, (iv) if such
Holder is not a broker-dealer, that it is not engaged in, and does not intend to engage in, the
distribution of the Exchange Securities and (v) if such Holder is a broker-dealer, that it will
receive Exchange Securities for its own account in exchange for Initial Securities that were
acquired as a result of market-making activities or other trading activities and that it will be
required to acknowledge that it will deliver a prospectus in connection with any resale of such
Exchange Securities.

     Notwithstanding any other provisions hereof, the Company will ensure that (i) any Exchange
Offer Registration Statement and any amendment thereto and any prospectus forming part thereof and
any supplement thereto complies in all material respects with the Securities Act and the rules and
regulations thereunder, (ii) any Exchange Offer Registration Statement and any amendment thereto
does not, when it becomes effective, contain an untrue statement of a material fact or omit to
state a material fact required to be stated therein or necessary to make the statements therein not
misleading and (iii) any prospectus forming part of any Exchange Offer Registration Statement, and
any supplement to such prospectus, does not include an untrue statement of a material fact or omit
to state a material fact required to be stated therein or necessary in order to make the statements
therein, in the light of the circumstances under which they were made, not misleading.

     If following the date hereof there has been announced a change in Commission policy with
respect to exchange offers that in the reasonable opinion of counsel to the Company raises a
substantial question as to whether the Registered Exchange Offer is permitted by applicable federal
law, the Company will seek a no-action letter or other favorable decision from the Commission
allowing the Company to consummate the Registered Exchange Offer. The

5

 

Company will pursue the issuance of such a decision to the Commission staff level. In
connection with the foregoing, the Company will take all such other actions as may be reasonably
requested by the Commission or otherwise required in connection with the issuance of such decision,
including without limitation (i) participating in telephonic conferences with the Commission and
(ii) delivering to the Commission staff an analysis prepared by counsel to the Company setting
forth the legal bases, if any, upon which such counsel has concluded that the Registered Exchange
Offer should be permitted.

     2. Shelf Registration. If, (i) because of any change in law or in applicable interpretations
thereof by the staff of the Commission, the Company is not permitted to effect a Registered
Exchange Offer, as contemplated by Section 1 hereof, (ii) the Registered Exchange Offer is not
consummated by the 220th day after the Closing Date (provided that if the Registered Exchange Offer
shall be consummated after such 220-day period, then the Company’s and the Guarantors’ obligation
under this clause (ii) arising from the failure of the Registered Exchange Offer to be consummated
within such 220-day period shall cease), (iii) any Initial Purchaser so requests within 90 days
following consummation of the Registered Exchange Offer with respect to the Initial Securities (or
the Private Exchange Securities) not eligible to be exchanged for Exchange Securities in the
Registered Exchange Offer and held by it following consummation of the Registered Exchange Offer or
(iv) any Holder (other than an Exchanging Dealer) is not eligible to participate in the Registered
Exchange Offer or, in the case of any Holder (other than an Exchanging Dealer) that participates in
the Registered Exchange Offer, such Holder does not receive freely tradeable Exchange Securities on
the date of the exchange and any such Holder so requests within 90 days following the consummation
of the Registered Exchange Offer, the Company shall take the following actions (the date on which
any of the conditions described in the foregoing clauses (i) through (iv) occurs, including in the
case of clause (iii) or (iv) the receipt of the required notice, being a “Trigger Date”):

     (a) The Company shall promptly (but in no event more than 75 days after the Trigger
Date (such 75th day being a “Shelf Filing Deadline”)) file with the Commission and
thereafter use its reasonable best efforts to cause to be declared effective (x) in the case
of clause (i) above, no later than 180 days after the Closing Date and (y) otherwise no
later than 75 days after the Shelf Filing Deadline (such 180th day or 75th day being an
“Effectiveness Deadline”) a registration statement (the “Shelf Registration Statement” and,
together with the Exchange Offer Registration Statement, a “Registration Statement”) on an
appropriate form under the Securities Act relating to the offer and sale of the Transfer
Restricted Securities by the Holders thereof from time to time in accordance with the
methods of distribution set forth in the Shelf Registration Statement and Rule 415 under the
Securities Act (hereinafter, the “Shelf Registration”); provided, however, that no Holder
(other than an Initial Purchaser) shall be entitled to have the Securities held by it
covered by such Shelf Registration Statement unless such Holder agrees in writing to be
bound by all the provisions of this Agreement applicable to such Holder.

     (b) The Company shall use its reasonable best efforts to keep the Shelf Registration
Statement continuously effective in order to permit the prospectus included therein to be
lawfully delivered by the Holders of the relevant Securities, for a period of two years (or
for such longer period if extended pursuant to Section 3(j) below) from the

6

 

Closing Date or such shorter period that will terminate when all the Securities covered
by the Shelf Registration Statement (i) have been sold pursuant thereto or (ii) are no
longer subject to restrictions on resale pursuant to Rule 144 under the Securities Act, or
any successor rule thereto.

     (c) Notwithstanding any other provisions of this Agreement to the contrary, the
Company shall cause the Shelf Registration Statement and the related prospectus and any
amendment or supplement thereto, as of the effective date of the Shelf Registration
Statement, amendment or supplement, (i) to comply in all material respects with the
applicable requirements of the Securities Act and the rules and regulations of the
Commission and (ii) not to contain any untrue statement of a material fact or omit to state
a material fact required to be stated therein or necessary in order to make the statements
therein, in light of the circumstances under which they were made, not misleading.

     3. Registration Procedures. In connection with any Shelf Registration contemplated by
Section 2 hereof and, to the extent applicable, any Registered Exchange Offer contemplated by
Section 1 hereof, the following provisions shall apply:

     (a) The Company shall (i) furnish to each Initial Purchaser, prior to the filing
thereof with the Commission, a copy of the Registration Statement and each amendment thereof
and each supplement, if any, to the prospectus included therein and, in the event that an
Initial Purchaser (with respect to any portion of an unsold allotment from the original
offering) is participating in the Registered Exchange Offer or the Shelf Registration
Statement, the Company shall use its reasonable best efforts to reflect in each such
document, when so filed with the Commission, such comments as such Initial Purchaser
reasonably may propose; (ii) include the information set forth in Annex A hereto on the
cover, in Annex B hereto in the “Exchange Offer Procedures” section and the “Purpose of the
Exchange Offer” section and in Annex C hereto in the “Plan of Distribution” section of the
prospectus forming a part of the Exchange Offer Registration Statement and include the
information set forth in Annex D hereto in the letter of transmittal delivered pursuant to
the Registered Exchange Offer; (iii) if requested by an Initial Purchaser, include the
information required by Item 507 or 508 of Regulation S-K under the Securities Act, as
applicable, in the prospectus forming a part of the Exchange Offer Registration Statement;
(iv) include within the prospectus contained in the Exchange Offer Registration Statement a
section entitled “Plan of Distribution,” which shall contain a summary statement of the
positions taken or policies made by the staff of the Commission with respect to the
potential “underwriter” status of any broker-dealer that is the beneficial owner (as defined
in Rule 13d-3 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) of
Exchange Securities received by such broker-dealer in the Registered Exchange Offer (a
“Participating Broker-Dealer”), whether such positions or policies have been publicly
disseminated by the staff of the Commission or such positions or policies, in the reasonable
judgment of the Company based upon advice of counsel (which may be in-house counsel),
represent the prevailing views of the staff of the Commission; and (v) in the case of a
Shelf Registration Statement, include the names of the Holders who propose to sell
Securities pursuant to the Shelf Registration Statement as selling securityholders.

7

 

     (b) The Company shall give written notice to the Initial Purchasers, the Holders of
the Securities and any Participating Broker-Dealer from whom the Company has received prior
written notice that it will be a Participating Broker-Dealer in the Registered Exchange
Offer (which notice pursuant to clauses (ii)-(v) hereof shall be accompanied by an
instruction to suspend the use of the prospectus until the requisite changes have been
made):

     (i) when the Registration Statement or any amendment thereto has been filed
with the Commission and when the Registration Statement or any post-effective
amendment thereto has become effective;

     (ii) of any request by the Commission for amendments or supplements to the
Registration Statement or the prospectus included therein or for additional
information;

     (iii) of the issuance by the Commission of any stop order suspending the
effectiveness of the Registration Statement or the initiation of any proceedings for
that purpose;

     (iv) of the receipt by the Company or its legal counsel of any notification
with respect to the suspension of the qualification of the Securities for sale in
any jurisdiction or the initiation or threatening of any proceeding for such
purpose; and

     (v) of the happening of any event that requires the Company to make changes in
the Registration Statement or the prospectus in order that the Registration
Statement or the prospectus does not contain an untrue statement of a material fact
nor omit to state a material fact required to be stated therein or necessary to make
the statements therein (in the case of the prospectus, in light of the circumstances
under which they were made) not misleading.

provided, however, that, in the case of a Registered Exchange Offer, the Company shall not
be required to give notice of (i) and (ii) above to the Holders of the Securities.

     (c) The Company shall make every reasonable effort to obtain the withdrawal at the
earliest possible time, of any order suspending the effectiveness of the Registration
Statement.

     (d) If and to the extent requested in writing by any such Holder, the Company shall
furnish to each Holder of Securities included within the coverage of the Shelf Registration,
without charge, at least one copy of the Shelf Registration Statement and any post-effective
amendment thereto, including financial statements and schedules, and, if the Holder so
requests in writing, all exhibits thereto (including those, if any, incorporated by
reference).

     (e) The Company shall deliver to each Exchanging Dealer and each Initial Purchaser,
and to any other Holder who so requests, without charge, at least one copy of the Exchange
Offer Registration Statement and any post-effective amendment thereto,

8

 

including financial statements and schedules, and, if any Initial Purchaser or any such
Holder requests, all exhibits thereto (including those incorporated by reference).

     (f) The Company shall, during the Shelf Registration Period, deliver to each Holder of
Securities included within the coverage of the Shelf Registration, without charge, as many
copies of the prospectus (including each preliminary prospectus) included in the Shelf
Registration Statement and any amendment or supplement thereto as such person may reasonably
request. The Company consents, subject to the provisions of this Agreement, to the use of
the prospectus or any amendment or supplement thereto by each of the selling Holders of the
Securities in connection with the offering and sale of the Securities covered by the
prospectus, or any amendment or supplement thereto, included in the Shelf Registration
Statement.

     (g) The Company shall deliver to each Initial Purchaser, any Exchanging Dealer, any
Participating Broker-Dealer and such other persons required to deliver a prospectus
following the Registered Exchange Offer, without charge, as many copies of the final
prospectus included in the Exchange Offer Registration Statement and any amendment or
supplement thereto as such persons may reasonably request. The Company consents, subject to
the provisions of this Agreement, to the use of the prospectus or any amendment or
supplement thereto by any Initial Purchaser, if necessary, any Participating Broker-Dealer
and such other persons required to deliver a prospectus following the Registered Exchange
Offer in connection with the offering and sale of the Exchange Securities covered by the
prospectus, or any amendment or supplement thereto, included in such Exchange Offer
Registration Statement.

     (h) Prior to any public offering of the Securities pursuant to any Registration
Statement the Company shall register or qualify or cooperate with the Holders of the
Securities included therein and their respective counsel in connection with the registration
or qualification of the Securities for offer and sale under the securities or “blue sky”
laws of such states of the United States as any Holder of the Securities reasonably requests
in writing and do any and all other acts or things necessary or advisable to enable the
offer and sale in such jurisdictions of the Securities covered by such Registration
Statement; provided, however, that the Company shall not be required to (i) qualify
generally to do business in any jurisdiction where it is not then so qualified, (ii) take
any action which would subject it to general service of process or to taxation in any
jurisdiction where it is not then so subject or (iii) cause the Securities to be listed on
any non-U.S. securities exchange.

     (i) If the Securities have been issued in certificated form, then the Company shall
cooperate with the Holders of the Securities to facilitate the timely preparation and
delivery of certificates representing the Securities to be sold pursuant to any Registration
Statement free of any restrictive legends.

     (j) Upon the occurrence of any event contemplated by paragraphs (ii) through (v) of
Section 3(b) above during the period for which the Company is required to maintain an
effective Registration Statement, the Company shall promptly prepare and file a
post-effective amendment to the Registration Statement or a supplement to the related

9

 

prospectus and any other required document so that, as thereafter delivered to Holders
of the Securities or purchasers of Securities, the prospectus will not contain an untrue
statement of a material fact or omit to state any material fact required to be stated
therein or necessary to make the statements therein, in light of the circumstances under
which they were made, not misleading. If the Company notifies the Initial Purchasers, the
Holders of the Securities and any known Participating Broker-Dealer in accordance with
paragraphs (ii) through (v) of Section 3(b) above to suspend the use of the prospectus until
the requisite changes to the prospectus have been made, then the Initial Purchasers, the
Holders of the Securities and any such Participating Broker-Dealers shall suspend use of
such prospectus, and the period of effectiveness of the Shelf Registration Statement
provided for in Section 2(b) above and the Exchange Offer Registration Statement provided
for in Section 1 above shall each be extended by the number of days from and including the
date of the giving of such notice to and including the date when the Initial Purchasers, the
Holders of the Securities and any known Participating Broker-Dealer shall have received such
amended or supplemented prospectus pursuant to this Section 3(j).

     (k) Not later than the effective date of the applicable Registration Statement, the
Company will obtain a CUSIP number for the Initial Securities, the Exchange Securities or
the Private Exchange Securities, as the case may be, and provide the applicable trustee with
certificates for the Initial Securities, the Exchange Securities or the Private Exchange
Securities, as the case may be, in a form eligible for deposit with The Depository Trust
Company.

     (l) The Issuer will comply with all rules and regulations of the Commission to the
extent and so long as they are applicable to the Registered Exchange Offer or the Shelf
Registration and will make generally available to its security holders (or otherwise provide
in accordance with Section 11(a) of the Securities Act) an earnings statement satisfying the
provisions of Section 11(a) of the Securities Act, no later than 45 days after the end of a
12-month period (or 90 days, if such period is a fiscal year) beginning with the first month
of the Issuer’s first fiscal quarter commencing after the effective date of the Registration
Statement, which statement shall cover such 12-month period.

     (m) The Company shall cause the Indenture to be qualified under the Trust Indenture
Act of 1939, as amended, in a timely manner and containing such changes, if any, as shall be
necessary for such qualification. In the event that such qualification would require the
appointment of a new trustee under the Indenture, the Company shall appoint a new trustee
thereunder pursuant to the applicable provisions of the Indenture.

     (n) The Company may require each Holder of Securities to be sold pursuant to the Shelf
Registration Statement to furnish to the Company such information regarding the Holder and
the distribution of the Securities as the Company may from time to time reasonably require
for inclusion in the Shelf Registration Statement, including requiring the Holder to
properly complete and execute such selling Security Holder notice and questionnaires, and
any amendments or supplements thereto, as the Company may reasonably deem necessary or
appropriate, and the Company may exclude from such

10

 

registration the Securities of any Holder that fails to furnish such information within
a reasonable time after receiving such request.

     (o) The Company shall enter into such customary agreements (including, if requested,
an underwriting agreement in customary form) and take all such other action, if any, as any
Holder of the Securities shall reasonably request in order to facilitate the disposition of
the Securities pursuant to any Shelf Registration.

     (p) In the case of any Shelf Registration, the Company shall (i) make reasonably
available for inspection during normal business hours by the Holders of the Securities, any
underwriter participating in any disposition pursuant to the Shelf Registration Statement
and any attorney, accountant or other agent retained by the Holders of the Securities or any
such underwriter all relevant financial and other records, pertinent corporate documents and
properties of the Company and (ii) cause the Company’s officers, directors, employees,
outside reservoir engineers, accountants and auditors to supply all relevant information
reasonably requested by the Holders of the Securities or any such underwriter, attorney,
accountant or agent in connection with the Shelf Registration Statement, in each case, as
shall be reasonably necessary to enable such persons, to conduct a reasonable investigation
within the meaning of Section 11 of the Securities Act; provided, however, that the
foregoing inspection and information gathering shall be coordinated on behalf of the Initial
Purchasers by Merrill Lynch & Co. and on behalf of the other parties, by one counsel
designated by and on behalf of such other parties as described in Section 4 hereof.

     (q) In the case of any Shelf Registration, the Company, if requested by any Holder of
Securities covered thereby, shall use its reasonable best efforts to cause (i) its counsel
to deliver an opinion or opinions in form and substance reasonably satisfactory to the
underwriters and updates thereof relating to the Securities in customary form addressed to
such Holders and the managing underwriters, if any, thereof and dated, in the case of the
initial opinion, the effective date of such Shelf Registration Statement, covering the
matters customarily covered in opinions requested in similar underwritten offerings and such
other matters as may be reasonably requested by such underwriters (it being agreed that the
matters to be covered by such opinion may be subject to customary qualifications and
exceptions); (ii) its officers to execute and deliver all customary documents and
certificates and updates thereof requested by any underwriters of the applicable Securities
and (iii) its independent public accountants and the independent public accountants with
respect to any other entity for which financial information is provided in the Shelf
Registration Statement to provide to the selling Holders of the applicable Securities and
any underwriter therefor a comfort letter in customary form and covering matters of the type
customarily covered in comfort letters in connection with primary underwritten offerings,
subject to receipt of appropriate documentation as contemplated, and only if permitted, by
Statement of Auditing Standards No. 72.

     (r) In the case of the Registered Exchange Offer, if requested by any Initial
Purchaser or any known Participating Broker-Dealer, the Company shall cause (i) its counsel
to deliver to such Initial Purchaser or such Participating Broker-Dealer a signed opinion in
form and substance reasonably satisfactory to such Initial Purchaser or such

11

 

Participating Broker-Dealer, covering the matters customarily covered in opinions
requested in connection with Exchange Offer Registration Statements and such other matters
as may be reasonably requested (it being agreed that the matters to be covered by such
opinion may be subject to customary qualifications and exceptions) and (ii) its independent
public accountants and the independent public accountants with respect to any other entity
for which financial information is provided in the Registration Statement to deliver to such
Initial Purchaser or such Participating Broker-Dealer a comfort letter, in customary form,
meeting the requirements as to the substance thereof as set forth in Section 5(d) of the
Purchase Agreement, with appropriate date changes.

     (s) If a Registered Exchange Offer or a Private Exchange is to be consummated, upon
delivery of the Initial Securities by Holders to the Company (or to such other Person as
directed by the Company) in exchange for the Exchange Securities or the Private Exchange
Securities, as the case may be, the Company shall mark, or caused to be marked, on the
Initial Securities so exchanged that such Initial Securities are being canceled in exchange
for the Exchange Securities or the Private Exchange Securities, as the case may be; in no
event shall the Initial Securities be marked as paid or otherwise satisfied.

     (t) If so requested by Holders of a majority in aggregate principal amount of
Securities covered by such Registration Statement, or by the managing underwriters, if any,
the Company will use its reasonable best efforts to (a) if the Initial Securities have been
rated prior to the initial sale of such Initial Securities, confirm such ratings will apply
to the Securities covered by a Registration Statement, or (b) if the Initial Securities were
not previously rated, cause the Securities covered by a Registration Statement to be rated
with the appropriate rating agencies.

     (u) In the event that any broker-dealer registered under the Exchange Act shall
underwrite any Securities or participate as a member of an underwriting syndicate or selling
group or “assist in the distribution” (within the meaning of the Conduct Rules (the “Rules”)
of the National Association of Securities Dealers, Inc. (“NASD”)) thereof, whether as a
Holder of such Securities or as an underwriter, a placement or sales agent or a broker or
dealer in respect thereof, or otherwise, the Company will assist such broker-dealer in
complying with the requirements of such Rules, including, without limitation, by (i) if such
Rules, including Rule 2720, shall so require, engaging a “qualified independent underwriter”
(as defined in Rule 2720) to participate in the preparation of the Registration Statement
relating to such Securities, to exercise usual standards of due diligence in respect thereto
and, if any portion of the offering contemplated by such Registration Statement is an
underwritten offering or is made through a placement or sales agent, to recommend the yield
of such Securities, (ii) indemnifying any such qualified independent underwriter to the
extent of the indemnification of underwriters provided in Section 5 hereof and (iii)
providing such information to such broker-dealer as may be required in order for such
broker-dealer to comply with the requirements of the Rules.

12

 

     (v) The Company shall use its reasonable best efforts to take all other steps
necessary to effect the registration of the Securities covered by a Registration Statement
contemplated hereby.

      4. Registration Expenses.

     (a) All expenses incident to the Company’s performance of and compliance with this
Agreement will be borne by the Company, regardless of whether a Registration Statement is
ever filed or becomes effective, including without limitation;

     (i) all registration and filing fees and expenses;

     (ii) all fees and expenses of compliance with federal securities and state
“blue sky” or securities laws;

     (iii) all expenses of printing (including printing of Prospectuses), messenger
and delivery services and telephone;

     (iv) all fees and disbursements of counsel for the Company; and

     (v) all fees and disbursements of independent certified public accountants or
outside reservoir engineers of the Company (including the expenses of any special
audit and comfort letters required by or incident to such performance).

The Company will bear its internal expenses (including, without limitation, all salaries and
expenses of its officers and employees performing legal or accounting duties), the expenses of any
annual audit and the fees and expenses of any person, including special experts, retained by the
Company.

     (b) In connection with any Shelf Registration Statement required by this Agreement,
the Company will reimburse the Initial Purchasers and the Holders of Transfer Restricted
Securities who are selling or reselling Securities pursuant to the “Plan of Distribution”
contained in the Shelf Registration Statement, as applicable, for the reasonable fees and
disbursements of not more than one counsel, who shall be Vinson & Elkins L.L.P. unless
another firm shall be chosen by the Holders of a majority in principal amount of the
Transfer Restricted Securities for whose benefit such Shelf Registration Statement is being
prepared.

      5. Indemnification.

     (a) The Company agrees to indemnify and hold harmless each Holder of the Securities,
any Participating Broker-Dealer and each person, if any, who controls such Holder or such
Participating Broker-Dealer within the meaning of the Securities Act or the Exchange Act
(each Holder, any Participating Broker-Dealer and such controlling persons are referred to
collectively as the “Indemnified Parties”) from and against any losses, claims, damages or
liabilities, joint or several, or any actions in respect thereof (including, but not limited
to, any losses, claims, damages, liabilities or actions relating to purchases and sales of
the Securities) to which each Indemnified Party may become

13

 

subject under the Securities Act, the Exchange Act or otherwise, insofar as such
losses, claims, damages, liabilities or actions arise out of or are based upon any untrue
statement or alleged untrue statement of a material fact contained in a Registration
Statement or prospectus or in any amendment or supplement thereto or in any preliminary
prospectus relating to a Shelf Registration, or arise out of, or are based upon, the
omission or alleged omission to state therein a material fact required to be stated therein
or necessary to make the statements therein not misleading, and shall reimburse, as
incurred, the Indemnified Parties for any legal or other expenses reasonably incurred by
them in connection with investigating or defending any such loss, claim, damage, liability
or action in respect thereof; provided, however, that (i) the Company shall not be liable in
any such case to the extent that such loss, claim, damage or liability arises out of or is
based upon any untrue statement or alleged untrue statement or omission or alleged omission
made in a Registration Statement or prospectus or in any amendment or supplement thereto or
in any preliminary prospectus relating to a Shelf Registration in reliance upon and in
conformity with written information pertaining to such Holder and furnished to the Company
by or on behalf of such Holder specifically for inclusion therein and (ii) with respect to
any untrue statement or omission or alleged untrue statement or omission made in any
preliminary prospectus relating to a Shelf Registration Statement, the indemnity agreement
contained in this subsection (a) shall not inure to the benefit of any Holder or
Participating Broker-Dealer from whom the person asserting any such losses, claims, damages
or liabilities purchased the Securities concerned, to the extent that a prospectus relating
to such Securities was required to be delivered by such Holder or Participating
Broker-Dealer under the Securities Act in connection with such purchase and any such loss,
claim, damage or liability of such Holder or Participating Broker-Dealer results from the
fact that there was not sent or given to such person, at or prior to the written
confirmation of the sale of such Securities to such person, a copy of the final prospectus
if the Company had previously furnished copies thereof to such Holder or Participating
Broker-Dealer; provided further, however, that this indemnity agreement will be in addition
to any liability which the Company may otherwise have to such Indemnified Party. The
Company shall also indemnify underwriters, their officers and directors and each person who
controls such underwriters within the meaning of the Securities Act or the Exchange Act to
the same extent as provided above with respect to the indemnification of the Holders of the
Securities if requested by such Holders.

     (b) Each Holder of the Securities, severally and not jointly, will indemnify and hold
harmless the Company and each person, if any, who controls the Company within the meaning of
the Securities Act or the Exchange Act from and against any losses, claims, damages or
liabilities or any actions in respect thereof, to which the Company or any such controlling
person may become subject under the Securities Act, the Exchange Act or otherwise, insofar
as such losses, claims, damages, liabilities or actions arise out of or are based upon any
untrue statement or alleged untrue statement of a material fact contained in a Registration
Statement or prospectus or in any amendment or supplement thereto or in any preliminary
prospectus relating to a Shelf Registration, or arise out of or are based upon the omission
or alleged omission to state therein a material fact necessary to make the statements
therein not misleading, but in each case only to the extent that the untrue statement or
omission or alleged untrue statement or omission was made in reliance upon and in conformity
with written information pertaining to such Holder and

14

 

furnished to the Company by or on behalf of such Holder specifically for inclusion
therein; and, subject to the limitation set forth immediately preceding this clause, shall
reimburse, as incurred, the Company for any legal or other expenses reasonably incurred by
the Company or any such controlling person in connection with investigating or defending any
loss, claim, damage, liability or action in respect thereof. This indemnity agreement will
be in addition to any liability which such Holder may otherwise have to the Company or any
of its controlling persons.

     (c) Promptly after receipt by an indemnified party under this Section 5 of notice of
the commencement of any action or proceeding (including a governmental investigation), such
indemnified party will, if a claim in respect thereof is to be made against the indemnifying
party under this Section 5, notify the indemnifying party of the commencement thereof; but
the omission so to notify the indemnifying party will not, in any event, relieve the
indemnifying party from any obligations to any indemnified party other than the
indemnification obligation provided in paragraph (a) or (b) above. In case any such action
is brought against any indemnified party, and it notifies the indemnifying party of the
commencement thereof, the indemnifying party will be entitled to participate therein and, to
the extent that it may wish, jointly with any other indemnifying party similarly notified,
to assume the defense thereof, with counsel reasonably satisfactory to such indemnified
party (who shall not, except with the consent of the indemnified party, be counsel to the
indemnifying party), and after notice from the indemnifying party to such indemnified party
of its election so to assume the defense thereof the indemnifying party will not be liable
to such indemnified party under this Section 5 for any legal or other expenses, other than
reasonable costs of investigation, subsequently incurred by such indemnified party in
connection with the defense thereof. No indemnifying party shall, without the prior written
consent of the indemnified party, effect any settlement of any pending or threatened action
in respect of which any indemnified party is or could have been a party and indemnity could
have been sought hereunder by such indemnified party unless such settlement (i) includes an
unconditional release of such indemnified party from all liability on any claims that are
the subject matter of such action, and (ii) does not include a statement as to or an
admission of fault, culpability or a failure to act by or on behalf of any indemnified
party.

     (d) If the indemnification provided for in this Section 5 is unavailable or
insufficient to hold harmless an indemnified party under subsections (a) or (b) above, then
each indemnifying party shall contribute to the amount paid or payable by such indemnified
party as a result of the losses, claims, damages or liabilities (or actions in respect
thereof) referred to in subsection (a) or (b) above in such proportion as is appropriate to
reflect the relative fault of the indemnifying party or parties on the one hand and the
indemnified party on the other in connection with the statements or omissions that resulted
in such losses, claims, damages or liabilities (or actions in respect thereof) as well as
any other relevant equitable considerations. The relative fault of the parties shall be
determined by reference to, among other things, whether the untrue or alleged untrue
statement of a material fact or the omission or alleged omission to state a material fact
relates to information supplied by the Company on the one hand or such Holder or such other
indemnified party, as the case may be, on the other, and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent

15

 

such statement or omission. The amount paid by an indemnified party as a result of the
losses, claims, damages or liabilities referred to in the first sentence of this subsection
(d) shall be deemed to include any legal or other expenses reasonably incurred by such
indemnified party in connection with investigating or defending any action or claim which is
the subject of this subsection (d). Notwithstanding any other provision of this Section
5(d), the Holders of the Securities shall not be required to contribute any amount in excess
of the amount by which the net proceeds received by such Holders from the sale of the
Securities pursuant to a Registration Statement exceeds the amount of damages which such
Holders have otherwise been required to pay by reason of such untrue or alleged untrue
statement or omission or alleged omission. No person guilty of fraudulent misrepresentation
(within the meaning of Section 11(f) of the Securities Act) shall be entitled to
contribution from any person who was not guilty of such fraudulent misrepresentation. For
purposes of this paragraph (d), each person, if any, who controls such indemnified party
within the meaning of the Securities Act or the Exchange Act shall have the same rights to
contribution as such indemnified party and each person, if any, who controls the Company
within the meaning of the Securities Act or the Exchange Act shall have the same rights to
contribution as the Company.

     (e) The agreements contained in this Section 5 shall survive the sale of the
Securities pursuant to a Registration Statement and shall remain in full force and effect,
regardless of any termination or cancellation of this Agreement or any investigation made by
or on behalf of any indemnified party.

       6. Additional Interest Under Certain Circumstances.

     (a) By way of liquidated damages, additional interest (the “Additional Interest”) with
respect to the Securities shall be assessed as follows if any of the following events occur
(each such event in clauses (i) through (iv) below being herein called a “Registration
Default”):

     (i) any Registration Statement required by this Agreement is not filed with
the Commission on or prior to the Filing Deadline or Shelf Filing Deadline, as
applicable;

     (ii) any Registration Statement required by this Agreement is not declared
effective by the Commission on or prior to the applicable Effectiveness Deadline;

     (iii) the Registered Exchange Offer has not been consummated on or prior to
the Consummation Deadline; or

     (iv) any Shelf Registration Statement required by this Agreement has been
declared effective by the Commission but (A) such Shelf Registration Statement
thereafter ceases to be effective or (B) such Shelf Registration Statement or the
related prospectus ceases to be usable in connection with resales of Transfer
Restricted Securities during the periods specified herein because either (1) any
event occurs as a result of which the related prospectus forming part

16

 

of such Shelf Registration Statement would include any untrue statement of a
material fact or omit to state any material fact necessary to make the statements
therein in the light of the circumstances under which they were made not misleading,
or (2) it shall be necessary to amend such Shelf Registration Statement or
supplement the related prospectus, to comply with the Securities Act or the Exchange
Act or the respective rules thereunder.

Each of the foregoing will constitute a Registration Default whatever the reason for any such event
and whether it is voluntary or involuntary or is beyond the control of the Company or pursuant to
operation of law or as a result of any action or inaction by the Commission.

     Additional Interest shall accrue on the Securities over and above the interest set forth in
the title of the Securities from and including the date on which any such Registration Default
shall occur to but excluding the date on which all such Registration Defaults have been cured, at a
rate of 0.25% per annum (the “Additional Interest Rate”) for the first 90-day period immediately
following the occurrence of such Registration Default. The Additional Interest Rate shall increase
by an additional 0.25% per annum with respect to each subsequent 90-day period until all
Registration Defaults have been cured, up to a maximum Additional Interest Rate of 1.5% per annum.

     (b) A Registration Default referred to in Section 6(a)(iv) hereof shall be deemed not to have
occurred and be continuing in relation to a Shelf Registration Statement or the related prospectus
if (i) such Registration Default has occurred solely as a result of (x) the filing of a
post-effective amendment to such Shelf Registration Statement to incorporate annual audited
financial information with respect to the Company where such post-effective amendment is not yet
effective and needs to be declared effective to permit Holders to use the related prospectus or (y)
other material events, with respect to the Company that would need to be described in such Shelf
Registration Statement or the related prospectus and (ii) in the case of clause (y), the Company is
proceeding promptly and in good faith to amend or supplement such Shelf Registration Statement and
related prospectus to describe such events; provided, however, that in any case if such
Registration Default occurs for a continuous period in excess of 30 days, Additional Interest shall
be payable in accordance with the above paragraph from the day such Registration Default occurs
until such Registration Default is cured.

     (c) Any amounts of Additional Interest due pursuant to Section 6(a) will be payable in cash
on the regular interest payment dates with respect to the Securities. The amount of Additional
Interest will be determined by multiplying the applicable Additional Interest Rate by the principal
amount of the Securities and further multiplied by a fraction, the numerator of which is the number
of days such Additional Interest Rate was applicable during such period (determined on the basis of
a 360-day year comprised of twelve 30-day months), and the denominator of which is 360.

     (d) “Transfer Restricted Securities” means each Security until (i) the date on which such
Security has been exchanged by a person other than a broker-dealer for a freely transferable
Exchange Security in the Registered Exchange Offer, (ii) following the exchange by a broker-dealer
in the Registered Exchange Offer of an Initial Security for an Exchange Security, the date on which
such Exchange Security is sold to a purchaser who receives from such broker-dealer on

17

 

or prior to the date of such sale a copy of the prospectus contained in the Exchange Offer
Registration Statement, (iii) the date on which such Security has been effectively registered under
the Securities Act and disposed of in accordance with the Shelf Registration Statement or (iv) the
date on which such Security is distributed to the public pursuant to Rule 144 under the Securities
Act or is saleable pursuant to Rule 144(k) under the Securities Act.

     7. Rules 144 and 144A. The Company shall use its reasonable best efforts to file the reports
required to be filed by it under the Securities Act and the Exchange Act in a timely manner and, if
at any time the Company is not required to file such reports, it will, upon the request of any
Holder of Securities, make publicly available other information so long as necessary to permit
sales of their securities pursuant to Rules 144 and 144A. The Company covenants that it will take
such further action as any Holder of Securities may reasonably request, all to the extent required
from time to time to enable such Holder to sell Securities without registration under the
Securities Act within the limitation of the exemptions provided by Rules 144 and 144A (including
the requirements of Rule 144A(d)(4)). The Company will provide a copy of this Agreement to
prospective purchasers of Initial Securities identified to the Company by the Initial Purchasers
upon request. Upon the request of any Holder of Initial Securities, the Company shall deliver to
such Holder a written statement as to whether it has complied with such requirements.
Notwithstanding the foregoing, nothing in this Section 7 shall be deemed to require the Company to
register any of its securities pursuant to the Exchange Act.

     8. Underwritten Registrations. If any of the Transfer Restricted Securities covered by any
Shelf Registration are to be sold in an underwritten offering, the investment banker or investment
bankers and manager or managers that will administer the offering (“Managing Underwriters”) will be
selected, with the reasonable approval of the Company, by the Holders of a majority in aggregate
principal amount of such Transfer Restricted Securities to be included in such offering.

     No person may participate in any underwritten registration hereunder unless such person (i)
agrees to sell such person’s Transfer Restricted Securities on the basis reasonably provided in any
underwriting arrangements approved by the persons entitled hereunder to approve such arrangements
and (ii) completes and executes all questionnaires, powers of attorney, indemnities, underwriting
agreements and other documents reasonably required under the terms of such underwriting
arrangements.

     9. Miscellaneous.

     (a) Remedies. Each of the parties hereto acknowledges and agrees that the payment of
Additional Interest as provided in Section 6 hereof shall be the exclusive remedy for any failure
by the Company to comply with its obligations under Sections 1 and 2 hereof.

     (b) No Inconsistent Agreements. The Company will not on or after the date of this Agreement
enter into any agreement with respect to its securities that is inconsistent with the rights
granted to the Holders in this Agreement or otherwise conflicts with the provisions hereof. The
rights granted to the Holders hereunder do not in any way conflict with and are not inconsistent
with the rights granted to the holders of the Company’s securities under any agreement in effect on
the date hereof.

18

 

     (c) Amendments and Waivers. The provisions of this Agreement may not be amended, modified or
supplemented, and waivers or consents to departures from the provisions hereof may not be given,
except by the Company and the written consent of the Holders of a majority in principal amount of
the Securities affected by such amendment, modification, supplement, waiver or consent. Without
the consent of the Holder of each Security, however, no modification may change the provisions
relating to the payment of Additional Interest.

     (d) Notices. All notices and other communications provided for or permitted hereunder shall
be made in writing by hand delivery, first-class mail, facsimile transmission, or air courier which
guarantees overnight delivery:

	 	 	 	 	 
	 

	 	 	 	(1) if to the Initial Purchasers, to them in care of:
	 
	 

	 	 	 	(2) if to a Holder of the Securities, at the most current address given by such Holder
to the Company;

	 

	 	 	 	 
	 

	 	 	 	Merrill Lynch & Co.
	 

	 	 	 	Merrill Lynch, Pierce, Fenner & Smith Incorporated
	 

	 	 	 	1 Houston Center, 1221 McKinney Street, Suite 2700
	 

	 	 	 	Houston, Texas 77010
	 

	 	 	 	Fax No.: (713) 759-2539
	 

	 	 	 	Attention: Chris Mize
	 
	 	 	 	 
	 	 	with a copy to:
	 
	 	 	 	 
	 

	 	 	 	Vinson & Elkins L.L.P.
	 

	 	 	 	1001 Fannin Street
	 

	 	 	 	2300 First City Tower
	 

	 	 	 	Houston, Texas 77002-6760
	 

	 	 	 	Fax No.: (713) 615-5861
	 

	 	 	 	Attention: David P. Oelman; or

19

 

	 	 	 	 	 
	 

	 	 	 	(3) if to the Company at its address as follows:
	 
	 	 	 	 
	 

	 	 	 	Whiting Petroleum Corporation
	 

	 	 	 	Mile High Center
	 

	 	 	 	1700 Broadway, Suite 2300
	 

	 	 	 	Denver, CO 80290-2300
	 

	 	 	 	Fax No.: (303) 861-4023
	 

	 	 	 	Attention: James J. Volker, Chairman, President and Chief Executive Officer
	 
	 	 	 	 
	 	 	with a copy to:
	 
	 	 	 	 
	 

	 	 	 	Foley & Lardner LLP
	 

	 	 	 	777 East Wisconsin Avenue
	 

	 	 	 	Milwaukee, WI 53202
	 

	 	 	 	Fax No.: (414) 297-4900
	 

	 	 	 	Attention: Benjamin F. Garmer, III

     All such notices and communications shall be deemed to have been duly given: at the time
delivered by hand, if personally delivered; three business days after being deposited in the mail,
postage prepaid, if mailed; when receipt is acknowledged by recipient’s facsimile machine operator,
if sent by facsimile transmission; and on the day delivered, if sent by overnight air courier
guaranteeing next day delivery.

     (e) Third Party Beneficiaries. The Holders shall be third party beneficiaries to the
agreements made hereunder between the Company, on the one hand, and the Initial Purchasers, on the
other hand, and shall have the right to enforce such agreements directly to the extent they may
deem such enforcement necessary or advisable to protect their rights or the rights of Holders
hereunder.

     (f) Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon
each of the parties hereto.

     (g) Counterparts. This Agreement may be executed in any number of counterparts and by the
parties hereto in separate counterparts, each of which when so executed shall be deemed to be an
original and all of which taken together shall constitute one and the same agreement.

     (h) Headings. The headings in this Agreement are for convenience of reference only and shall
not limit or otherwise affect the meaning hereof.

     (i) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH,
THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAWS.

     (j) Severability. If any one or more of the provisions contained herein, or the application
thereof in any circumstance, is held invalid, illegal or unenforceable, the validity, legality and
enforceability of any such provision in every other respect and of the remaining provisions
contained herein shall not be affected or impaired thereby.

20

 

     (k) Securities Held by the Company. Whenever the consent or approval of Holders of a
specified percentage of principal amount of Securities is required hereunder, Securities held by
the Company or its affiliates (other than subsequent Holders of Securities if such subsequent
Holders are deemed to be affiliates solely by reason of their holdings of such Securities) shall
not be counted in determining whether such consent or approval was given by the Holders of such
required percentage.

     (l) Submission to Jurisdiction. By the execution and delivery of this Agreement, the Company
submits to the nonexclusive jurisdiction of the competent Federal and state courts in the Borough
of Manhattan in the City of New York in any suit or proceeding arising out of or relating to this
Agreement or the transactions contemplated hereby.

21

 

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

	 	 	 	 	 	 	 
	 	 	Very truly yours,	 	 
	 
	 	 	 	 	 	 
	 	 	WHITING PETROLEUM CORPORATION	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ James J. Volker	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: James J. Volker	 	 
	 

	 	 	 	Title: President and Chief
Executive Officer	 	 
	 
	 	 	 	 	 	 
	 	 	WHITING OIL AND GAS CORPORATION	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ James J. Volker	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: James J. Volker	 	 
	 

	 	 	 	Title: President and Chief
Executive Officer	 	 
	 
	 	 	 	 	 	 
	 	 	WHITING PROGRAMS, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ James J. Volker	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: James J. Volker	 	 
	 

	 	 	 	Title: President and Chief
Executive Officer	 	 
	 
	 	 	 	 	 	 
	 	 	EQUITY OIL COMPANY	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ James J. Volker	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name: James J. Volker	 	 
	 

	 	 	 	Title: President and Chief
Executive Officer	 	 

Registration Rights Agreement Signature Page

 

 

The foregoing Registration

Rights Agreement is hereby confirmed

and accepted as of the date first

above written.

MERRILL LYNCH & CO.

MERRILL LYNCH, PIERCE, FENNER & SMITH

               INCORPORATED

J.P. MORGAN SECURITIES INC.

LEHMAN BROTHERS INC.

WACHOVIA CAPITAL MARKETS, LLC

BANC OF AMERICA SECURITIES LLC

KEYBANC CAPITAL MARKETS,

                    A DIVISION OF MCDONALD INVESTMENTS, INC.

RAYMOND JAMES & ASSOCIATES, INC.

PETRIE PARKMAN & CO., INC.

RBC CAPITAL MARKETS CORPORATION

SIMMONS & COMPANY INTERNATIONAL

	 	 	 
	By: MERRILL LYNCH, PIERCE, FENNER & SMITH

                              INCORPORATED

	 	 

	 	 	 	 	 
	By:
	 	/s/ Joseph C. Gatto, Jr.	 	 
	 

	 	 	 	 
	 

	 	     Authorized Signatory	 	 
	 
	 	 	 	 
	By:

	 	J.P. MORGAN SECURITIES INC.	 	 
	 
	 	 	 	 
	By:
	 	/s/ Adam Bernard	 	 
	 

	 	 	 	 
	 

	 	     Authorized Signatory	 	 
	 
	 	 	 	 
	By:

	 	LEHMAN BROTHERS INC.	 	 
	 
	 	 	 	 
	By:
	 	/s/ Oscar Brown	 	 
	 

	 	 	 	 
	 

	 	     Authorized Signatory	 	 

     For themselves and as Representatives of each of the other Initial Purchasers named
above.

Registration Rights Agreement Signature Page

 

 

ANNEX A

Each broker-dealer that receives Exchange Securities for its own account pursuant to the Exchange
Offer must acknowledge that it will deliver a prospectus in connection with any resale of such
Exchange Securities. The Letter of Transmittal states that by so acknowledging and by delivering a
prospectus, a broker-dealer will not be deemed to admit that it is an “underwriter” within the
meaning of the Securities Act. This Prospectus, as it may be amended or supplemented from time to
time, may be used by a broker-dealer in connection with resales of Exchange Securities received in
exchange for Initial Securities where such Initial Securities were acquired by such broker-dealer
as a result of market-making activities or other trading activities. The Company has agreed that,
for a period of 180 days after the Expiration Date (as defined herein), it will make this
Prospectus available to any broker-dealer for use in connection with any such resale. See “Plan of
Distribution.”

 

 

ANNEX B

     Each broker-dealer that receives Exchange Securities for its own account in exchange for
Initial Securities, where such Initial Securities were acquired by such broker-dealer as a result
of market- making activities or other trading activities, must acknowledge that it will deliver a
prospectus in connection with any resale of such Exchange Securities. See “Plan of Distribution.”

 

 

ANNEX C

PLAN OF DISTRIBUTION

     Each broker-dealer that receives Exchange Securities for its own account pursuant to the
Exchange Offer must acknowledge that it will deliver a prospectus in connection with any resale of
such Exchange Securities. This Prospectus, as it may be amended or supplemented from time to time,
may be used by a broker-dealer in connection with resales of Exchange Securities received in
exchange for Initial Securities where such Initial Securities were acquired as a result of
market-making activities or other trading activities. The Company has agreed that, for a period of
180 days after the Expiration Date, it will make this prospectus, as amended or supplemented,
available to any broker-dealer for use in connection with any such
resale. In addition, until       ,
200       , all dealers effecting transactions in the Exchange Securities may be required
to deliver a prospectus.1

     The Company will not receive any proceeds from any sale of Exchange Securities by
broker-dealers. Exchange Securities received by broker-dealers for their own account pursuant to
the Exchange Offer may be sold from time to time in one or more transactions in the
over-the-counter market, in negotiated transactions, through the writing of options on the Exchange
Securities or a combination of such methods of resale, at market prices prevailing at the time of
resale, at prices related to such prevailing market prices or negotiated prices. Any such resale
may be made directly to purchasers or to or through brokers or dealers who may receive compensation
in the form of commissions or concessions from any such broker-dealer or the purchasers of any such
Exchange Securities. Any broker-dealer that resells Exchange Securities that were received by it
for its own account pursuant to the Exchange Offer and any broker or dealer that participates in a
distribution of such Exchange Securities may be deemed to be an “underwriter” within the meaning of
the Securities Act and any profit on any such resale of Exchange Securities and any commission or
concessions received by any such persons may be deemed to be underwriting compensation under the
Securities Act. The Letter of Transmittal states that, by acknowledging that it will deliver and
by delivering a prospectus, a broker-dealer will not be deemed to admit that it is an “underwriter”
within the meaning of the Securities Act.

     For a period of 180 days after the Expiration Date the Company will promptly send additional
copies of this Prospectus and any amendment or supplement to this Prospectus to any broker-dealer
that requests such documents in the Letter of Transmittal. The Company has agreed to pay all
expenses incident to the Exchange Offer (including the expenses of one counsel for the Holders of
the Securities) other than commissions or concessions of any brokers or dealers and will indemnify
the Holders of the Securities (including any broker-dealers) against certain liabilities, including
liabilities under the Securities Act.

 

			
	1	 	In addition, if applicable the legend required
by Item 502(b) of Regulation S-K will appear on the outside back cover page of
the Exchange Offer prospectus.

 

 

ANNEX D

If the undersigned is not a broker-dealer, the undersigned represents that it is not engaged in,
and does not intend to engage in, a distribution of Exchange Securities. If the undersigned is a
broker-dealer that will receive Exchange Securities for its own account in exchange for Initial
Securities that were acquired as a result of market-making activities or other trading activities,
it acknowledges that it will deliver a prospectus in connection with any resale of such Exchange
Securities; however, by so acknowledging and by delivering a prospectus, the undersigned will not
be deemed to admit that it is an “underwriter” within the meaning of the Securities Act.

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