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EXHIBIT 10.1    
    

 
 

TERMINATION AND VOTING AGREEMENT    
    

 
 

EXECUTION COPY    
    
    TERMINATION AND VOTING AGREEMENT    
    

        This Termination and Voting Agreement, dated as of October 1, 2003 (this "Agreement"), is entered into by and among Westport Resources Corporation, a
Nevada corporation ("Westport" or the "Company"), Westport Energy LLC, a Delaware limited liability company ("WELLC"), ERI Investments, Inc., a Delaware corporation ("ERI"), Medicor Foundation,
a Liechtenstein foundation, formed pursuant to the Liechtenstein Persons and Companies Act ("Medicor," and together with WELLC, the "Medicor Group"), the persons and entities named on Exhibit A
attached hereto (each such person or entity, a "Belfer Person," and collectively, the "Belfer Group") and, solely with respect to Article I, Article II and Article IV hereof, the
persons and entities named on Exhibit B attached hereto (each such person or entity, a "Terminating Belfer Person," and collectively, the "Terminating Belfer Persons"). The Medicor Group, ERI
and the Belfer Group may be referred to herein individually as a "Shareholder Party" and collectively as the "Shareholder Parties." Each member of the Medicor Group may be referred to herein as a
"Medicor Person." 

 
 

PRELIMINARY STATEMENTS    
    

        WHEREAS, the Company, the Shareholder Parties and the Terminating Belfer Persons (collectively, the "Shareholders Agreement Parties") are parties to that certain
Third Amended and Restated
Shareholders Agreement, dated as of February 14, 2003, attached as Exhibit C hereto (the "Shareholders Agreement"); 

        WHEREAS,
the Shareholders Agreement Parties desire to terminate the Shareholders Agreement in its entirety; and 

        WHEREAS,
in connection with the termination of the Shareholders Agreement, the Company and the Shareholder Parties desire to enter into (i) certain voting agreements set forth
herein relating to the Company's 2004 Annual Meeting of Shareholders (the "2004 Annual Meeting") and (ii) a registration rights agreement providing for, among other things, registration rights
for the benefit of the Shareholder Parties (the "Registration Rights Agreement"), in each case to be effective upon termination of the Shareholders Agreement. 

        NOW,
THEREFORE, in consideration of the foregoing, and of the representations, warranties, covenants and agreements contained herein, and for other good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows: 

 
 

STATEMENT OF AGREEMENT    
    
    ARTICLE I    
    
    REPRESENTATIONS AND WARRANTIES    
    

        Section 1.1    Representations and Warranties of the Company.    The Company hereby represents and warrants to
each other party hereto as follows: 

        (a)    Power
and Authority. The Company has all requisite corporate power and authority to execute, deliver and perform this Agreement. The execution, delivery and performance
by the Company of this Agreement have been duly authorized by all necessary corporate action on the part of the Company. 

 

        (b)    Execution,
Delivery, Enforceability. This Agreement has been duly executed and delivered by the Company and constitutes a valid and binding obligation of the Company,
enforceable against the Company in accordance with its terms. No consent, approval, order or authorization of, or registration, declaration or filing with, any court, administrative agency or
commission or other governmental authority or instrumentality, domestic or foreign, is required by, or with respect to, the Company in connection with its execution, delivery and performance of this
Agreement. 

        (c)    No
Prohibition. The Company's execution, delivery and performance of this Agreement does not conflict with, or result in a breach of, any law or regulation of any
governmental authority applicable to the Company or any material agreement to which the Company is a party. 

        (d)    No
Assignment. The Company has not assigned any of its rights or obligations under the Shareholders Agreement. 

        Section 1.2    Representations and Warranties of the Medicor Group.    Each Medicor Person hereby severally and
not jointly represents and warrants to each other party hereto as follows: 

        (a)    Power
and Authority. Each Medicor Person has all requisite corporate or other power and authority to execute, deliver and perform this Agreement. The execution, delivery
and performance of this Agreement by each Medicor Person have been duly authorized by all necessary corporate or other action on the part of such Medicor Person. 

        (b)    Execution;
Delivery; Enforceability. This Agreement has been duly executed and delivered by each Medicor Person and constitutes a valid and binding obligation of such
Medicor Person, enforceable against such Medicor Person in accordance with its terms. No consent, approval, order or authorization of, or registration, declaration or filing (other than the filing of
an appropriate amendment to Schedule 13D in connection with the transactions contemplated by this Agreement) with, any court, administrative agency or commission or other governmental authority
or instrumentality, domestic or foreign, is required by, or with respect to, such Medicor Person in connection with its execution, delivery and performance of this Agreement. 

        (c)    No
Prohibition. Each Medicor Person's execution, delivery and performance of this Agreement do not conflict with, or result in a breach of, any law or regulation of any
governmental authority applicable to such Medicor Person or any material agreement to which such Medicor Person is a party. 

        (d)    No
Assignment. No Medicor Person has assigned any of its rights or obligations under the Shareholders Agreement. 

        Section 1.3    Representations and Warranties of ERI.    ERI hereby represents and warrants to each other party
hereto as follows: 

        (a)    Authority.
ERI has all requisite corporate authority to execute, deliver and perform this Agreement. The execution, delivery and performance of this Agreement by ERI
have been duly authorized by all necessary corporate action on the part of ERI. 

        (b)    Execution,
Delivery, Enforceability. This Agreement has been duly executed and delivered by ERI and constitutes a valid and binding obligation of ERI, enforceable
against ERI in accordance with its terms. No consent, approval, order or authorization of, or registration, declaration or filing (other than the filing of an appropriate amendment to
Schedule 13D in connection with the transactions contemplated by this Agreement) with, any court, administrative agency or commission or other governmental authority or instrumentality,
domestic or foreign, is required by, or with respect to, ERI in connection with ERI's execution, delivery and performance of this Agreement. 

2

 

        (c)    No
Prohibition. ERI's execution, delivery and performance of this Agreement do not conflict with, or result in a breach of, any law or regulation of any governmental
authority applicable to ERI or any material agreement to which ERI is a party. 

        (d)    No
Assignment. ERI has not assigned any of its rights or obligations under the Shareholders Agreement. 

        Section 1.4    Representations and Warranties of the Belfer Group and the Terminating Belfer Persons.    Each
Belfer Person and each Terminating Belfer Person hereby severally and not jointly represents and warrants to each other party hereto as follows: 

        (a)    Power
and Authority. Each Belfer Person and each Terminating Belfer Person has all requisite corporate or other power and authority to execute, deliver and perform this
Agreement. The execution, delivery and performance of this Agreement by each Belfer Person and each Terminating Belfer Person have been duly authorized by all necessary corporate or other action on
the part of such Belfer Person and each Terminating Belfer Person. 

        (b)    Execution;
Delivery; Enforceability. This Agreement has been duly executed and delivered by each Belfer Person and each Terminating Belfer Person and constitutes a valid
and binding obligation of such Belfer Person and such Terminating Belfer Person enforceable against such Belfer Person and such Terminating Belfer Person in accordance with its terms. No consent,
approval, order or authorization of, or registration, declaration or filing (other than the filing of an appropriate amendment to Schedule 13D in connection with the transactions contemplated
by this Agreement) with, any court, administrative agency or commission or other governmental authority or instrumentality, domestic or foreign, is required by, or with respect to, such Belfer Person
or such Terminating Belfer Person in connection with its execution, delivery and performance of this Agreement. 

        (c)    No
Prohibition. Each Belfer Person's and each Terminating Belfer Person's execution, delivery and performance of this Agreement do not conflict with, or result in a
breach of, any law or regulation of any governmental authority applicable to such Belfer Person or such Terminating Belfer Person or any material agreement to which such Belfer Person or such
Terminating Belfer Person is a party. 

        (d)    No
Assignment. No Belfer Person nor any Terminating Belfer Person has assigned any of its rights or obligations under the Shareholders Agreement. 

 
 

ARTICLE II    
    
    TERMINATION OF SHAREHOLDERS AGREEMENT    
    

        Section 2.1    Termination of the Shareholders Agreement.    Effective as of the date hereof, the Shareholders
Agreement is hereby terminated in its entirety and shall be of no further force or effect; except for actions to be taken in connection with the registration and offering of shares pursuant to the ERI
letter to the Company dated as of September 11, 2003. 

 
 

ARTICLE III    
    
    VOTING ARRANGEMENTS    
    

        Section 3.1    Voting of Shares.    

        (a)    The
Medicor Group and their Permitted Transferees under the Registration Rights Agreement (collectively, the "Medicor Parties") shall vote all shares of Common Stock
owned or controlled by them, and shall take all other necessary or desirable actions within their control (including, without limitation, attendance at meetings in person or by proxy for purposes of
obtaining a 

3

 

quorum
and execution of written consents in lieu of meetings), to effectuate the provisions of this Article III. 

        (b)    ERI
and its Permitted Transferees under the Registration Rights Agreement (collectively, the "ERI Parties") shall vote all shares of Common Stock owned or controlled by
them, and shall take all other necessary or desirable action within their control (including, without limitation, attendance at meetings in person or by proxy for purposes of obtaining a quorum and
execution of written consents in lieu of meetings), to effectuate the provisions of this Article III. 

        (c)    The
Belfer Group and their Permitted Transferees under the Registration Rights Agreement (collectively, the "Belfer Parties") shall vote all shares of Common Stock owned
or controlled by them, and shall take all other necessary or desirable action within their control (including, without limitation, attendance at meetings in person or by proxy for purposes of
obtaining a quorum and execution of written consents in lieu of meetings), to effectuate the provisions of this Article III. 

        (d)    The
Company shall take all necessary or desirable actions within its control (including, without limitation, calling special board and stockholder meetings) to
effectuate the provisions of this Article III. 

        Section 3.2    Nomination; Removal and Observer Rights.    

        (a)    Each
of Medicor, ERI and the Belfer Group shall have the right to nominate one (1) director for election at the 2004 Annual Meeting to serve as a class 3
member of the Board of Directors of the Company (the "Board") until the Company's annual meeting of shareholders in 2007 and each of the Medicor Parties, the ERI Parties and the Belfer Parties shall
vote their shares of Westport Common Stock in favor of the election of each nominee (or successor nominee nominated in accordance with this Section 3.2(a)) named pursuant hereto. Prior to the
2004 Annual Meeting, each of Medicor, ERI and the Belfer Group shall have the power to replace any nominee such Shareholder Party has nominated pursuant to this Section 3.2(a) with a substitute
nominee upon notice to the Company and the other Shareholder Parties given in accordance with Section 4.1. 

        (b)    Each
of Medicor, ERI and the Belfer Group, respectively, shall have the right: (i) subject to applicable law, including Nevada Revised Statutes 78.335(1)
requiring a vote of not less than two-thirds of the issued and outstanding voting power to remove an incumbent director, to remove, with or without cause, any director nominated in
accordance with this Section 3.2 by Medicor, ERI or the Belfer Group, respectively, and each of the Medicor Parties, the ERI Parties and the Belfer Parties shall vote their shares of Westport
Common Stock in furtherance of this provision; and (ii) to nominate any replacement for a director nominated in accordance with this Section 3.2 by Medicor, ERI or the Belfer Group,
respectively, upon the death, resignation, retirement, disqualification or removal from office of such director. The Board shall duly appoint as a director each person so nominated to fill a vacancy
on the Board. 

        (c)    For
so long as any Shareholder Party has the right to nominate a director under this Agreement or a director nominated by such Shareholder Party pursuant to
Section 3.2 hereof continues to serve on the Board, and provided that such Shareholder Party (and/or its Permitted Transferees (as such term is defined in the Registration Rights Agreement))
continues to own shares of Westport Common Stock: 

        (i)    the
Company will give such Shareholder Party written notice of each regularly scheduled meeting of its Board as far in advance as such notice is required to be delivered
to the directors (and at least three business days prior to the date of each special meeting of the Board); 

        (ii)    the
Board will permit up to two representatives of each such Shareholder Party to attend as observers all meetings of the Board (including any meetings of committees
thereof) and, in the case of telephonic meetings conducted in accordance with the Company's bylaws and applicable 

4

 

law,
each such Shareholder Party's representative(s) will be given the opportunity to listen to such telephonic meetings; 

        (iii)    each
Shareholder Party shall be permitted to provide its representative(s) hereunder copies of all written materials and other information (including, without
limitation, copies of meeting minutes and press releases) given to directors in connection with such meetings; 

        (iv)    upon
request of a Shareholder Party in accordance with Section 4.1, the Company shall (1) deliver the materials and other information described in the
preceding paragraph directly to the representative(s) of Shareholder Party named (and at the address(es) specified) in such request and (2) deliver such materials and information to such
representative(s) at the same time such materials and information are given to the directors (provided the timing of such request so allows) and continue to provide such materials and information to
such Shareholder Party's representative(s) unless otherwise requested by such Shareholder Party in accordance with Section 4.1; 

        (v)    upon
request of any director nominated by a Shareholder Party pursuant to Section 3.2 hereof representing a Shareholder Party who has the right to have
representatives attend meetings of the Board as an observer pursuant to this Section 3.2(c), the Company will give written notice to such Shareholder Party (and to such Shareholder Party's
representative(s) identified pursuant to Section 3.2(c)(iv), if any) of any action proposed to be taken by written consent in lieu of a meeting of the Board or of any committee thereof, such
notice to be delivered as soon as reasonably practicable prior to the effective time of such consent and describing in reasonable detail the nature and substance of such action; and 

        (vi)    the
Company will reimburse each Shareholder Party that has observer rights under this Section 3.2(c) for all reasonable expenses incurred by such Shareholder
Party's representative(s) in connection with attending meetings of the Board and committees thereof. 

        (d)    Except
as otherwise required by applicable law, any court of competent jurisdiction or the rules or regulations of the New York Stock Exchange, without the prior written
consent of the Company, none of the Medicor Group, ERI, the Belfer Group, nor any of their respective Affiliates, employees, agents or representatives (including any representative serving as an
observer pursuant to Section 3.2(c) hereof) shall disclose to any third party any information obtained about the Company, its operations or business which it may have acquired pursuant to this
Agreement (or through service as an observer pursuant to Section 3.2(c) hereof); provided, that any information that is otherwise publicly available, without breach of this provision, or has
been obtained from a third party without a breach of such third party's duties, shall not be deemed confidential information. If requested by the Company, each Shareholder Party shall cause any person
serving as a representative of such Shareholder Party pursuant to Section 3.2(c) hereof to execute a confidentiality agreement on terms reasonably acceptable to the Company. 

5

  

 
 

ARTICLE IV    
    
    MISCELLANEOUS PROVISIONS    
    

        Section 4.1    Notices.    Any notice required to be given hereunder shall be sufficient if in writing, and
sent by facsimile transmission and by courier service (with proof of service), hand delivery or certified or registered mail (return receipt requested and first-class postage prepaid), addressed as
follows: 

        If
to the Belfer Group or the Terminating Belfer Persons: 

	Robert A. Belfer

767 Fifth Avenue, 46th Floor

New York, New York 10153

Fax Number: (212) 644-2396

Phone Number: (212) 644-2200

        With a copy to: 

	Laurence D. Belfer

767 Fifth Avenue, 46th Floor

New York, New York 10153

Fax Number: (212) 644-2396

Phone Number: (212) 644-0561

        If to Westport: 

	Donald D. Wolf,

Chairman and Chief Executive Officer

1670 Broadway, Suite 2800

Denver, CO. 80202

Fax Number: (303) 573-5609

Phone Number: (303) 573-5404

        With a copy to: 

	Akin Gump Strauss Hauer & Feld LLP

1700 Pacific Avenue, Suite 4100

Dallas, Texas 75201-4675

Attention: Michael E. Dillard, P.C.

Fax Number: (214) 969-4343

Phone Number: (214) 969-2800

        If to the Medicor Group: 

	Medicor Foundation

Landstrasse 11

Postfach 130

9495 Triesen

Liechtenstein

Attention: Anton M. Lotzer

Fax Number: (423) 233-3934

Phone Number: (423) 239-6050

6

 

        And to: 

	Westport Energy LLC

c/o Westport Investments Limited

Lyford Manor

Lyford Cay

P.O. Box N-7776

Nassau, Bahamas

Fax Number: (242) 362-5788

        With a copy to: 

	Kenneth S. Witt

Greenberg Traurig, LLP

1200 17th Street, Suite 2400

Denver, CO 80202

Telephone: (303) 572-6510

Telecopy: (303) 572-6540

        And to: 

	Michael Russell

Dr. Richard J. Haas Partners

Dukes Court

32 Duke Street, St. James's

London, SW1Y 6DF

Fax Number: 020.7.321.5242

Phone Number: 020.7.321.5200

        If to ERI Investments, Inc.: 

	ERI Investments, Inc.

801 West Street, 2nd Floor

Wilmington, DE 19801-1545

Attention: Treasurer

Telephone: (302) 656-5590

Telecopy: (302) 428-1410

        With a copy to: 

	Johanna G. O'Loughlin

Vice President, General Counsel and Secretary

Equitable Resources, Inc.

One Oxford Centre, Suite 3300

Pittsburgh, PA 15219

Telephone: (412) 553-7760

Telecopy: (412) 553-5970

7

 

        And to: 

	Stephen W. Johnson, Esquire

Reed Smith LLP

435 Sixth Avenue

Pittsburgh, PA 15219-1886

Telephone: (412) 288-3131

Telecopy: (412) 288-3063

        Section 4.2.    Termination.    This Agreement shall terminate and shall cease to be
binding on the parties upon the earliest to occur of (i) with respect to any Shareholder Party, the date on which such Shareholder Party (together with its Permitted Transferees under the
Registration Rights Agreement, as such term is defined therein) no longer owns any shares of Westport Common Stock and (ii) the date on which all of the parties hereto mutually consent to
terminate this Agreement in writing; provided, however, that the provisions of Section 3.2(d) shall not terminate and shall remain in effect indefinitely. 

        Section 4.3    Further Assurances.    From time to time upon request by any party hereto and without further
consideration, each of the parties hereto shall, and shall cause its agents, affiliates, and/or assigns to, execute, deliver and acknowledge all such further instruments and do such further acts as
any other party hereto may reasonably require to evidence or implement this Agreement. 

        Section 4.4    No Waiver; Remedies Cumulative.    Any failure of any party hereto to comply with any
obligation, covenant, agreement or condition herein may be waived by any other party hereto entitled to the benefit thereof only by a written instrument signed by each party granting such waiver, but
such waiver or failure to insist upon strict compliance with such obligation, representation, warranty, covenant, agreement or condition shall not operate as a waiver of or estoppel with respect to
any subsequent or other failure. The rights, remedies, powers and privileges herein provided are cumulative and not exclusive of any rights, remedies, powers and privileges provided by law. 

        Section 4.5    Governing Law.    This Agreement shall be governed by, and construed in accordance with, the
laws of the State of Nevada, regardless of the laws that might otherwise govern under applicable principles of conflicts of laws thereof. The parties hereto agree that any suit, action or proceeding
arising out of, or with respect to, this Agreement or any judgment entered by any court in respect thereof may be brought only in the courts of the State of Nevada or the federal district courts
located within the State of Nevada and the parties hereto hereby accept the exclusive jurisdiction of those courts for the purpose of any suit, action or proceeding. 

        Section 4.6    Counterparts.    This Agreement may be executed in any number of counterparts and by different
parties in separate counterparts, and delivered by means of facsimile transmission or otherwise, each of which when so executed and delivered shall be deemed to be an original and all of which when
taken together shall constitute but one and the same agreement. 

        Section 4.7    Parties in Interest; Assignment.    This Agreement and all of the provisions hereof shall be
binding upon and inure to the benefit of, and be enforceable by, the parties hereto and their respective successors and permitted assigns, but neither this Agreement nor any of the rights, interests
or obligations herein shall be assigned by any party hereto without the prior written consent of each other party hereto, and any attempt to do so without obtaining the required consent of such other
parties shall be void. Nothing herein expressed or implied is intended or shall be construed to confer upon or give to any person other than the parties hereto and their respective successors or
permitted assigns, any rights or remedies under or by reason of this Agreement. 

        Section 4.8    Entire Agreement.    This Agreement contains all of the terms of the understanding of the
parties hereto with respect to the subject matter hereof. This Agreement supersedes all prior agreements and understandings with respect to its subject matter. 

8

 

        Section 4.9    Amendment.    This Agreement may not be amended except by an instrument in writing signed by
each of the parties hereto; provided, however, that the terms of Article III hereof may be amended
by an instrument in writing signed by each of the parties hereto other than the Terminating Belfer Persons. 

        Section 4.10    Severability.    If any provision of this Agreement shall be held to be illegal, invalid or
unenforceable under any applicable law, then such contravention or invalidity shall not invalidate the entire Agreement. Such provision shall be deemed to be modified to the extent necessary to render
it legal, valid and enforceable, and if no such modification shall render it legal, valid and enforceable, then this Agreement shall be construed as if not containing the provisions held to be
invalid, and the rights and obligations of the parties hereto shall be construed and enforced accordingly. 

        Section 4.11    Headings.    The headings used herein are for convenience of reference only, are not a part of
this Agreement and are not to affect the construction of, or to be taken into consideration in interpreting, any provision of this Agreement. 

[SIGNATURE
PAGE FOLLOWS] 

9

 

        IN
WITNESS WHEREOF, the parties hereto have executed this Termination and Voting Agreement and caused the same to be duly delivered on their behalf to be effective as of the date first
written above. 

	

 	

WESTPORT RESOURCES CORPORATION
	

 	

By: /s/  DONALD D. WOLF      
Name: Donald D. Wolf
Title: Chief Executive Officer

	

 	

WESTPORT ENERGY LLC
	

 	

By: WESTPORT INVESTMENTS LIMITED, its Managing Member
	

 	

By: /s/  MICHAEL RUSSELL      
Name: Michael Russell
Title: Duly Authorized Signatory

	

 	

ERI INVESTMENTS, INC.
	

 	

By: /s/  KENNETH J. KUBACKI      
Name: Kenneth J. Kubacki
Title: Vice President

	

 	

MEDICOR FOUNDATION
	

 	

By: /s/  ANTON LOTZER      
Name: Anton Lotzer
Title: Member of the Foundation Board

	

 	

By: /s/  ALBIN A. JOHANN      
Name: Albin A. Johann
Title: Member of the Foundation
Board/Secretary

	

 	

/s/  ROBERT A. BELFER      
 Robert A. Belfer, individually
	

 	

THE ROBERT A. AND RENEE E. BELFER

FAMILY FOUNDATION
	

 	

By: /s/  ROBERT A. BELFER      
 Name: Robert A. Belfer

Title: Trustee and Donor
	 	 

S-1

 

	

 	

BELFER CORP.
	

 	

By: /s/  ROBERT A. BELFER      
 Name: Robert A. Belfer

Title: President
	

 	

RENEE HOLDINGS PARTNERSHIP, L.P.
	

 	

By: /s/  ROBERT A. BELFER      
 Name: Robert A. Belfer

Title: General Partner
	

 	

LDB CORP.
	

 	

By: /s/  LAURENCE D. BELFER      
 Name: Laurence D. Belfer

Title: President
	

 	

ROBERT A. BELFER 1990 FAMILY TRUST
	

 	

By: /s/  LAURENCE D. BELFER      
 Name: Laurence D. Belfer

Title: Trustee
	

 	

VANTZ LIMITED PARTNERSHIP

By: VANTZ LLC,

its General Partner
	

 	

By: /s/  LAURENCE D. BELFER      
 Name: Laurence D. Belfer

Title: Managing Member
	

 	

LDB TWO CORP.
	

 	

By: /s/  LAURENCE D. BELFER      
Name: Laurence D. Belfer
Title: President

	

 	

BELFER TWO CORP.
	

 	

By: /s/  ROBERT A. BELFER      
Name: Robert A. Belfer
Title: Managing Member

	

 	

LIZ PARTNERS, L.P.
	 	 

S-2

 

	

 	

By: LIZ ASSOCIATES LLC,

its General Partner
	

 	

By: /s/  ROBERT A. BELFER      
Name: Robert A. Belfer
Title: Managing Member

	

 	

Solely for the purposes of Article I, Article II and Article IV hereof:
	

 	

/s/  JACK SALTZ      
 Jack Saltz, individually
	

 	

SALTZ INVESTMENT GROUP, LLC
	

 	

By: /s/  JACK SALTZ      
 Name: Jack Saltz

Title: Manager and Member
	

 	

JACK & ANITA SALTZ FOUNDATION
	

 	

By: /s/  JACK SALTZ      
 Name: Jack Saltz

Title: President
	

 	

BELWEST PETROLEUM, INC.
	

 	

By: /s/  ROBERT A. BELFER      
 Name: Robert A. Belfer

Title: President
	

 	

A&B INVESTORS, INC.
	

 	

By: /s/  ROBERT A. BELFER      
 Name: Robert A. Belfer

Title:
	

 	

THE LAURENCE D. BELFER FAMILY FOUNDATION
	

 	

By: /s/  LAURENCE D. BELFER      
 Name: Laurence D. Belfer

Title: Trustee and Donor

S-3

 
 

EXHIBIT A    
    
    CERTAIN STOCKHOLDERS    
    

The
Robert A. and Renee E. Belfer Family Foundation 

Robert
A. Belfer 

Belfer
Corp. 

Renee
Holdings Partnership, L.P. 

LDB
Corp. 

Robert
A. Belfer 1990 Family Trust 

Vantz
Limited Partnership 

LDB
Two Corp. 

Belfer
Two Corp. 

Liz
Partners, L.P. 

 
 

EXHIBIT B    
    
    TERMINATING BELFER PERSONS    
    

Jack
Saltz 

Saltz
Investment Group, LLC 

Jack &
Anita Saltz Foundation 

Belwest
Petroleum, Inc. 

A&B
Investors, Inc. 

The
Laurence D. Belfer Family Foundation 

 
 

EXHIBIT C    
    
    THE SHAREHOLDERS AGREEMENT    
    

[ATTACHED]

(Incorporated
by reference from Exhibit 10.2 of Schedule 13D filed with the Securities and Exchange Commission on April 7, 2003) 

QuickLinks

EXHIBIT 10.1

TERMINATION AND VOTING AGREEMENT

EXECUTION COPY TERMINATION AND VOTING AGREEMENT

PRELIMINARY STATEMENTS

STATEMENT OF AGREEMENT ARTICLE I REPRESENTATIONS AND WARRANTIES

ARTICLE II TERMINATION OF SHAREHOLDERS AGREEMENT

ARTICLE III VOTING ARRANGEMENTS

ARTICLE IV MISCELLANEOUS PROVISIONS

EXHIBIT A CERTAIN STOCKHOLDERS

EXHIBIT B TERMINATING BELFER PERSONS

EXHIBIT C THE SHAREHOLDERS AGREEMENTQuickLinks
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EXECUTION COPY  

 
 

Exhibit 10.2    
    

REGISTRATION RIGHTS AGREEMENT  

BY AND AMONG  

WESTPORT RESOURCES CORPORATION  

ERI INVESTMENTS, INC.  

WESTPORT ENERGY LLC  

MEDICOR FOUNDATION  

AND  

CERTAIN STOCKHOLDERS NAMED HEREIN  

DATED AS OF OCTOBER 1, 2003  

  

 
 

TABLE OF CONTENTS    
    

	 
	 	PAGE

	ARTICLE I DEFINITIONS	 	1
	 	Section 1.1. Definitions	 	1
	

ARTICLE II REPRESENTATIONS AND WARRANTIES	
 	

3
	 	Section 2.1. Representations and Warranties of the Company	 	3
	 	Section 2.2. Representations and Warranties of Medicor	 	3
	 	Section 2.3. Representations and Warranties of ERI	 	4
	 	Section 2.4. Representations and Warranties of the Belfer Group	 	4
	

ARTICLE III REGISTRATION RIGHTS	
 	

5
	 	Section 3.1. Demand Registrations	 	5
	 	Section 3.2. Piggyback Registrations	 	7
	 	Section 3.3. Holdback Agreements	 	8
	 	Section 3.4. Registration Procedures	 	9
	 	Section 3.5. Registration Expenses	 	11
	 	Section 3.6. Indemnification	 	11
	 	Section 3.7. Participation in Underwritten Registrations	 	13
	 	Section 3.8. Current Public Information	 	14
	 	Section 3.9. Cooperation	 	14
	

ARTICLE IV GENERAL PROVISIONS	
 	

14
	 	Section 4.1. Notices	 	14
	 	Section 4.2. Assignment; Binding Effect; Benefit	 	16
	 	Section 4.3. Entire Agreement	 	16
	 	Section 4.4. Amendment	 	16
	 	Section 4.5. Governing Law; Jurisdiction	 	17
	 	Section 4.6. Counterparts	 	17
	 	Section 4.7. Headings	 	17
	 	Section 4.8. Interpretation	 	17
	 	Section 4.9. Incorporation of Exhibits and Schedules	 	17
	 	Section 4.10. Severability	 	17
	 	Section 4.11. Enforcement of Agreement	 	17
	 	Section 4.12. Confidentiality	 	17
	 	Section 4.13. Effectiveness; Termination	 	17
	 	Section 4.14. Belfer Group Representative	 	18
	 	Section 4.15. Medicor Group Representative	 	18

i

  

 
 

REGISTRATION RIGHTS AGREEMENT    
    

        This
REGISTRATION RIGHTS AGREEMENT, dated as of October 1, 2003 (this "Agreement"), is entered into by and among Westport Resources
Corporation, a Nevada corporation ("Westport" or the "Company"), Westport Energy LLC, a Delaware limited
liability company ("WELLC"), ERI Investments, Inc., a Delaware corporation ("ERI"), Medicor
Foundation, a Liechtenstein foundation, formed pursuant to the Liechtenstein Persons and Companies Act ("Medicor," and together with WELLC, the
"Medicor Group") and the persons and entities named on Exhibit A (each such person or entity, a "Belfer
Person," and collectively, the "Belfer Group"). 

        WHEREAS,
the Company, ERI, WELLC, Medicor, the Belfer Group and certain other stockholders are parties to that certain Third Amended and Restated Shareholders Agreement, dated as of
February 14, 2003 (the "Shareholders Agreement"); and 

        WHEREAS,
the parties to the Shareholders Agreement desire to terminate the Shareholders Agreement in its entirety and, simultaneously with its termination, the Company, ERI, WELLC,
Medicor and the Belfer Group desire to enter into this Agreement providing for, among other things, certain registration rights applicable to the ERI Parties, the Medicor Parties and the Belfer
Parties. 

        NOW,
THEREFORE, in consideration of the foregoing, and of the representations, warranties, covenants and agreements contained herein, and for other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows: 

 
 

ARTICLE I
  DEFINITIONS    
    

        Section 1.1    Definitions.    

        "Affiliate" shall have the meaning set forth in Rule 12b-2 of the regulations promulgated under the Exchange Act. 

        "Agreement" shall have the meaning set forth in the preamble to this Agreement. 

        "Belfer Group" shall have the meaning set forth in the preamble to this Agreement. 

        "Belfer Group Representative" shall have the meaning set forth in Section 4.14. 

        "Belfer Parties" shall mean the Belfer Group and their Permitted Transferees. 

        "Belfer Person" shall mean any Person included in the Belfer Group. 

        "Board of Directors" shall mean the board of directors of the Company. 

        "Commission" shall mean the Securities and Exchange Commission or any other Federal agency at the time administering the Securities Act. 

        "Common Stock" shall mean the common stock of the Company, par value $.01 per share, now or hereafter authorized to be issued. 

        "Company" shall have the meaning set forth in the preamble to this Agreement. 

        "Demand Registrations" shall have the meaning set forth in Section 3.l(a). 

        "Director" shall mean a member of the Board of Directors. 

        "Effective Date" shall have the meaning set forth in Section 4.13 of this Agreement. 

        "ERI" shall have the meaning set forth in the preamble to this Agreement. 

        "ERI Parties" shall mean ERI and its Permitted Transferees. 

        "Exchange Act" shall mean the Securities Exchange Act of 1934, as amended, and the rules and regulations of the Commission thereunder, all
as the same shall be in effect at the time. 

        "Medicor" shall have the meaning set forth in the preamble to this Agreement. 

1

 

        "Medicor Group" shall have the meaning set forth in the preamble to this Agreement. 

        "Medicor Group Representative" shall have the meaning set forth in Section 4.15. 

        "Medicor Parties" shall mean the Medicor Group and their Permitted Transferees. 

        "Medicor Person" shall mean any Person included in the Medicor Group. 

        "Permitted Transferees" shall mean in the case of the Medicor Parties: (A) a Medicor Person, any spouse, issue, parent or relatives
of the Medicor Parties, or (i) trusts for the benefit of any of such Persons, (ii) entities controlling or controlled by any of such Persons and (iii) in the event of the death of
any such individual person, heirs or testamentary legatees of such person, in each case to whom a Medicor Party has transferred its Shares and who has agreed in writing to be bound by the terms of
this Agreement, and (B) any Subsidiary or Affiliate of the Medicor Group to which a Medicor Party has transferred its Shares and which has agreed in writing to be bound by the terms of this
Agreement; in the case of the ERI Parties: (A) ERI, any spouse, issue, parent or relatives of the ERI Parties, or (i) trusts for the benefit of any of such Persons, (ii) entities
controlling or controlled by any of such Persons and (iii) in the event of the death of any such individual person, heirs or testamentary legatees of such person, in each case to whom an ERI
Party has transferred its Shares and who has agreed in writing to be bound by the terms of this Agreement, and (B) any Subsidiary or Affiliate of ERI to which an ERI Party has transferred its
Shares and which has agreed in writing to be bound by the terms of this Agreement; and in the case of the Belfer Parties: a Belfer Person, any spouse, issue, parent or relatives of the Belfer Parties,
or (i) trusts for the benefit of any of such Persons, (ii) entities controlling or controlled by any of such Persons and (iii) in the event of the death of any such individual
person, heirs or testamentary legatees of such person, in each case to whom a Belfer Party has transferred its Shares and who has agreed in writing to be bound by the terms of this Agreement; 

        "Person" shall mean any natural person, corporation, partnership, limited liability company, firm, association, trust, government,
governmental agency or other entity, whether acting in an individual, fiduciary or other capacity. 

        "Piggyback Registration" shall have the meaning set forth in Section 3.2(a). 

        "Registrable Securities" shall mean (i) any shares of Common Stock owned by, or otherwise hereafter acquired by, the Medicor
Parties, the ERI Parties or the Belfer Parties, and (ii) any securities issued as a dividend on or other distribution with respect to or in exchange, replacement or in subdivision of, any such
Common Stock. As to any particular Registrable Securities, such securities shall cease to be Registrable Securities when (A) a registration statement with respect to the sale of such securities
shall have been declared effective under the Securities Act and such securities shall have been disposed of in accordance with such registration statement, or (B) such securities shall have
been sold (other than in a privately negotiated sale) pursuant to Rule 144 (or any successor provision) under the Securities Act. 

        "Registration Expenses" shall have the meaning set forth in Section 3.5(a). 

        "Securities Act" shall mean the Securities Act of 1933, as amended, and the rules and regulations of the Commission thereunder, as the
same shall be in effect at the time. 

        "Shareholder Party" or "Shareholder Parties" shall mean ERI, the Medicor Group and/or the
Belfer Group, as applicable. 

        "Shareholders Agreement" shall have the meaning set forth in the preamble to this Agreement. 

        "Shares" shall mean shares of Common Stock. 

        "Shelf Offering" shall have the meaning given in Section 3.1(c)(6). 

        "Shelf Registration Statement" shall have the meaning given in Section 3.1(c)(6). 

        "Short-Form
Registrations" shall have the meaning set forth in Section 3.l(a). 

2

 

        "Subsidiary" of any Person shall mean any corporation or other legal entity of which such Person (either alone or through or together with
any other Subsidiary) owns, directly or indirectly, 50% or more of the stock or other equity interests, the holders of which are generally entitled to vote for the election of the board of directors
or other governing body of such corporation or other legal entity. 

        "Transfer" shall mean to sell, transfer, assign, pledge or otherwise dispose. 

        "underwriter" shall mean nationally recognized investment banking firm with experience serving as lead managing underwriter for public
offerings of the stock of companies engaged in the exploration, development and production of oil and natural gas. 

        "WELLC" shall have the meaning set forth in the preamble to this Agreement. 

        "Westport" shall have the meaning set forth in the preamble to this Agreement. 

 
 

ARTICLE II
  REPRESENTATIONS AND WARRANTIES    
    

        Section 2.1.    Representations and Warranties of the Company.    The Company hereby represents and warrants to
the other parties hereto as follows: The Company has all requisite corporate power and authority to enter into this Agreement and to consummate the transactions contemplated hereby. The execution and
delivery by the Company of this Agreement, and the consummation by the Company of the transactions contemplated hereby, have been duly authorized by all necessary corporate action on the part of the
Company. This Agreement has been duly executed and delivered by the Company and constitutes a valid and binding obligation of the Company enforceable against the Company in accordance with its terms.
No consent, approval, order or authorization of, or registration, declaration or filing with, any court, administrative agency or commission or other governmental authority or instrumentality,
domestic or foreign, is required by, or with respect to, the Company in connection with the execution and delivery of this Agreement by the Company or the consummation by the Company of the
transactions contemplated hereby. The execution and delivery of this Agreement by the Company and the consummation of the transactions contemplated hereby by the Company does not conflict with, or
result in a breach of, any law or regulation of any governmental authority applicable to the Company or any material agreement to which the Company is a party. 

        Section 2.2.    Representations and Warranties of Medicor.    Each Medicor Person hereby severally and not
jointly represents and warrants to the other parties hereto as follows: 

	(a)
	Authority.
Each Medicor Person has all requisite corporate or other power and authority to enter into this Agreement and to consummate the transactions contemplated hereby. The
execution and delivery by such Medicor Person of this Agreement, and the consummation by such Medicor Person of the transactions contemplated hereby, have been duly authorized by all necessary
corporate or other action on the part of such Medicor Person. This Agreement has been duly executed and delivered by such Medicor Person and constitutes a valid and binding obligation of such Medicor
Person enforceable against such Medicor Person in accordance with its terms. No consent, approval, order or authorization of, or registration, declaration or filing (other than the filing of an
appropriate amendment to Schedule 13D in connection with the transactions contemplated by this Agreement) with, any court, administrative agency or commission or other governmental authority or
instrumentality, domestic or foreign, is required by, or with respect to, such Medicor Person in connection with the execution and delivery of this Agreement by such Medicor Person or the consummation
by such Medicor Person of the transactions contemplated hereby. The execution and delivery of this Agreement by such Medicor Person and the consummation by such Medicor Person of the transactions
contemplated hereby by it do not conflict with, or result in a breach of, any law or regulation of any governmental authority applicable to such Medicor Person or any material agreement to which such
Medicor Person is a party. 

3

 

	(b)
	Shares.
Schedule 2.2 sets forth the ownership of the Shares held by each Medicor Person as of the date hereof. 

        Section 2.3.    Representations and Warranties of ERI.    ERI hereby represents and warrants to the other
parties hereto as follows: 

	(a)
	Authority.
Each of the ERI Parties has all requisite corporate or other power and authority to enter into this Agreement and to consummate the transactions contemplated hereby. The
execution and delivery by the ERI Parties of this Agreement and the consummation by the ERI Parties of the transactions contemplated hereby have been duly authorized by all necessary corporate or
other action on the part of each of the ERI Parties. This Agreement has been duly executed and delivered by each of the ERI Parties and constitutes a valid and binding obligation of each of the ERI
Parties enforceable against each of the ERI Parties in accordance with its terms. No consent, approval, order or authorization of, or registration, declaration or filing (other than the filing of an
appropriate amendment to Schedule 13D in connection with the transactions contemplated by this Agreement) with, any court, administrative agency or commission or other governmental authority or
instrumentality, domestic or foreign, is required by, or with respect to, any of the ERI Parties in connection with the execution and delivery of this Agreement by the ERI Parties or the consummation
by each of the ERI Parties of the transactions contemplated hereby. The execution and delivery by the ERI Parties of this Agreement and the consummation by the ERI Parties of the transactions
contemplated hereby do not conflict with, or result in a breach of, any law or regulation of any governmental authority applicable to any of the ERI Parties or any material agreement to which any of
the ERI Parties is a party. 

        (b)    Shares.    Schedule 2.3
sets forth the ownership of the Shares held by the ERI Parties as of the date hereof. 

        Section 2.4.    Representations and Warranties of the Belfer Group.    Each Belfer Person hereby severally and
not jointly represents and warrants to the other parties hereto as follows: 

        (a)    Authority.
Such Belfer Person has all requisite corporate or other power and authority to enter into this Agreement and to consummate the transactions contemplated
hereby. The execution and delivery by such Belfer Person of this Agreement, and the consummation by such Belfer Person of the transactions contemplated hereby, have been duly authorized by all
necessary corporate or other action on the part of such Belfer Person. This Agreement has been duly executed and delivered by such Belfer Person and constitutes a valid and binding obligation of such
Belfer Person enforceable against such Belfer Person in accordance with its terms. No consent, approval, order or authorization of, or registration, declaration or filing (other than the filing of an
appropriate amendment to Schedule 13D in connection with the transactions contemplated by this Agreement) with, any court, administrative agency or commission or other governmental authority or
instrumentality, domestic or foreign, is required by, or with respect to, such Belfer Person in connection with the execution and delivery of this Agreement by such Belfer Person or the consummation
by such Belfer Person of the transactions contemplated hereby. The execution and delivery of this Agreement by such Belfer Person and the consummation by such Belfer Person of the transactions
contemplated hereby by it do not conflict with, or result in a breach of, any law or regulation of any governmental authority applicable to such Belfer Person or any material agreement to which such
Belfer Person is a party. 

        (b)    Shares.    Schedule 2.4
sets forth the ownership of the Shares held by each Belfer Person as of the date hereof. 

4

 

 
 

ARTICLE III
  REGISTRATION RIGHTS    
    

        Section 3.1.    Demand Registrations.    

	(a)
	Requests
for Registration. Each of the Medicor Group, on behalf of the Medicor Parties, ERI, on behalf of the ERI Parties, and the Belfer Group, on behalf of the Belfer Parties, shall
have the right to request registration under the Securities Act of all or part of their Registrable Securities on Form S-1 or any similar long-form registration or, if
available, on Form S-2 or S-3 or any similar short-form registration ("Short-Form Registrations") in accordance with this Article III. All
registrations requested pursuant to this Section 3.l(a) are referred to herein as "Demand Registrations."

	(b)
	Short-Form
Registrations. Demand Registrations will be Short-Form Registrations whenever the Company is permitted to use any applicable short form. The Company
will use its best efforts to make Short-Form Registrations available for the sale of Registrable Securities. Demand Registration requests may be for shelf registrations if the Company is
then eligible to effect shelf registrations.

	(c)
	Restrictions
on Demand Registrations. The registration rights granted under this Section 3.1 are expressly subject to the following terms and conditions:

	1.
	The
Company will not be obligated to effect any Demand Registration within six (6) months after the effective date of a previous Demand Registration (including any registration
or offering of shares pursuant to the ERI letter to the Company dated September 11, 2003 (the "ERI Letter") to the extent such registration or offering would constitute a "Demand Registration"
under and as defined in the Shareholders Agreement, provided that solely for purposes of making such determination the registration requested in the ERI Letter shall be deemed to have satisfied the
requirements for an effective "Demand Registration" set forth in Section 5.1(c)(3) of the Shareholders Agreement).

	2.
	The
Company may postpone for up to ninety (90) days the filing or the effectiveness of a registration statement for a Demand Registration (and any registration or underwritten
offering of securities pursuant to Section 3.1(c)(6), whether or not such registration or underwritten offering constitutes a Demand Registration) if the Company notifies the Shareholder Party
initiating the Demand Registration (or such other registration or underwritten offering pursuant to Section 3.1(c)(6)) within fifteen (15) days after receipt of request for such
registration (i) that the Company is at such time conducting or about to conduct an underwritten public offering of its securities for its own account and the Board of Directors has determined
in its good faith judgment that such offering would be materially adversely affected by such registration or underwritten offering requested by such Shareholder Party or (ii) that the Board of
Directors has determined, in its good faith judgment, that such Demand Registration (or registration or underwritten offering pursuant to Section 3.1(c)(6)) would reasonably beexpected to have
an adverse effect on any proposal or plan by the Company or any of its Subsidiaries to engage in any acquisition of assets (other than in the ordinary course of business) or any merger, consolidation,
tender offer or similar transaction; provided, that, in such event, the holders of Registrable Securities initially requesting such Demand Registration (or, to the extent it would count as a Demand
Registration, such registration or underwritten offering pursuant to Section 3.1(c)(6)) will be entitled to withdraw such request and, if such request is withdrawn, such Demand Registration (or
registration or underwritten offering pursuant to Section 3.1(c)(6)) will not count as a Demand Registration hereunder and the Company will pay all Registration Expenses in connection with such
request.

	3.
	Any
request for a Demand Registration shall not be otherwise deemed to be effective unless such request includes the lesser of (i) at least ten percent (10%) of the Company's 

5

 

outstanding
Common Stock or (ii) all of the Common Stock owned by the Shareholder Party or Shareholder Parties making the request. Each request for a Demand Registration shall specify the
approximate number of Registrable Securities requested to be registered and the anticipated per share price range for such offering. 

	4.
	The
Medicor Parties and the ERI Parties shall each be entitled to initiate only three (3) Demand Registrations and the Belfer Parties shall be entitled to initiate only two
(2) Demand Registrations to register Registrable Securities under the terms of this Section 3.1; provided, if one of such Shareholder Parties joins in the Demand Registration initiated
by the other in accordance with Section 3.1(c)(5), the initiating Shareholder Party shall not be deemed to have initiated the Demand Registration for purposes (and solely for the purposes) of
the limitation contained in this sentence. Notwithstanding the foregoing, if the ERI Letter or the transactions entered into as a consequence thereof constitute a "Demand Registration" under and as
defined in the Shareholders Agreement (provided that solely for purposes of making such determination the registration requested in the ERI Letter shall be deemed to have satisfied the requirements
for an effective "Demand Registration" set forth in Section 5.1(c)(3) of the Shareholders Agreement), then the ERI Parties shall have the right to initiate only two (2) Demand
Registrations under the terms of this Section 3.1.

	5.
	If
at any time or from time to time any of the Shareholder Parties shall request registration of any Registrable Securities in accordance with this Section 3.1, the Company
shall give the other Shareholder Parties prompt written notice of the proposed registration. The other Shareholder Parties shall have the right to join in such registration by giving notice to the
Company within five (5) business days after such Shareholder Party receives notice of the proposed registration from the Company and the Company shall include in such registration the number of
Registrable Securities requested by such other Shareholder Parties on the same terms and conditions as the Registrable Securities of the Shareholder Party initiating the request. If the managing
underwriter or underwriters of a proposed offering for which securities of more than one of the Shareholder Parties are included pursuant to this Section 3.1(c)(5) advise the Company in writing
that in its or their good faith judgment the total amount of securities to be included in such offering exceeds the number which can be sold in such offering within a price range reasonably acceptable
to the Shareholder Parties, then in such event the securities to be included in such offering shall be allocated pro rata among such Shareholder Parties and their Permitted Transferees participating
in the offering based upon the number of Shares owned by each such Shareholder Party and its Permitted Transferees.

	6.
	Any
registration of Registrable Securities requested to be made on a registration statement filed on Form S-3 pursuant to Rule 415 of the Securities Act (each
a "Shelf Registration Statement") shall constitute a Demand Registration and be restricted for use pursuant to a firmly underwritten offering of Common Stock. Each offering of Registrable Securities
pursuant to a Shelf Registration Statement (a "Shelf Offering") shall constitute a Demand Registration (other than for purposes of Section 3.1(c)(1)) and must satisfy all requirements for a
Demand Registration set forth in this Article III; provided, however, that a Shelf Offering for (i) sales of Common Stock constituting block sales of less than five percent (5%) of the
Common Stock outstanding to institutional investors in solicited transactions, or (ii) sales into the market in unsolicited brokers transactions will not be required to be a firm commitment
underwritten offering and will not constitute a Demand Registration if the total amount of shares registered for sale in this manner involves less than ten percent (10%) of the shares of Common Stock
then outstanding. Notwithstanding the foregoing, in the event that each of the following occurs: 

6

   
        (x)   a Shareholder Party makes a Demand Registration to register shares pursuant to a Shelf Registration Statement; and 

        (y)   the
Shareholder Party requesting the Shelf Registration Statement makes a Demand Registration in connection with a Shelf Offering (other than pursuant to clauses
(i) or (ii) of this Section 3.1(c)(6); and 

        (z)   no
other Shareholder Party exercises its rights under Section 3.2(c)(5) hereof to participate in the registration described in clause (x) or the Shelf
Offering described in clause (y), then the Shelf Offering described in clause (y) shall not count as a Demand Registration for purposes of (and solely for purposes of) calculating the
number of Demand Registrations available to a Shareholder Party pursuant to Section 5.2(c)(3). The foregoing sentence shall apply only with respect to the first Demand Registration for a Shelf
Offering made by a Shareholder Party following a Demand Registration made by such party requesting that shares be registered pursuant to a Shelf Registration Statement, and shall not apply to any
subsequent Demand Registrations by such Shareholder Party made in connection with Shelf Offerings. 

        (d)   Other
Registration Rights. The Company will not grant to any Person the right to request the Company to register any equity securities of the Company with terms more
favorable to such Person than those granted in this Agreement without the prior written consent of the Medicor Group, ERI and the Belfer Group. 

        (e)   Priority
on Over-Allotments. In the event the underwriters of any offering made pursuant to a Demand Registration exercise one or more
over-allotment options with respect such offering, the shares to be included in such over-allotment option(s) will be allocated pro rata among the holders of securities
participating such offering on the basis of the number of securities of each such party registered in the underlying registration to which the over-allotment option relates. 

Section 3.2.    Piggyback Registrations.

        (a)   Right
to Piggyback. Whenever the Company proposes to register any of its equity securities under the Securities Act (other than a registration on
Form S-4 or Form S-8 or any successor or similar forms and other than a Demand Registration pursuant to Section 3.1) and the registration form to be used
may be used for the registration of Registrable Securities (a "Piggyback Registration"), whether or not for sale for its own account, the Company will give prompt written notice to the Medicor Group,
on behalf of the Medicor Parties, ERI, on behalf of the ERI Parties, and the Belfer Group, on behalf of the Belfer Parties, of its intention to effect such a registration and will include in such
registration all Registrable Securities with respect to which the Company has received written requests for inclusion therein within twenty (20) days after the receipt of the Company's notice.
The Company will use its reasonable best efforts to include, and to cause the managing underwriters, if applicable, to include in the proposed offering such Registrable Securities on the same terms
and conditions as the securities of the Company included in such registration. 

        (b)   Priority
on Primary Registrations. If a Piggyback Registration is an underwritten primary registration on behalf of the Company, and the managing underwriters advise the
Company in writing that in their opinion the number of securities requested to be included in such registration exceeds the number which can be sold in such offering within a price range reasonably
acceptable to the Company, the Company will include in such registration (i) first, the securities the Company proposes to sell, to the extent of availability and, (ii) second, all other
securities (including the Registrable Securities) requested to be included in such registration, pro rata among the respective holders thereof on the basis of the number of securities owned by each
such holder. In the event the underwriters of such primary registration exercise one or more over-allotment options with respect thereto, the shares to be included in such
over-allotment option(s) will be allocated pro rata among the Company and the 

7

 

holders
of securities described in item (ii) of this Section 3.2(b) on the basis of the number of securities of each such party registered in underlying registration to which the
over-allotment option relates. 

        (c)   Priority
on Secondary Registrations. If a Piggyback Registration is an underwritten secondary registration on behalf of holders of the Company's securities, and the
managing underwriters advise the Company in writing that in their opinion the number of securities requested to be included in such registration exceeds the number which can be sold in such offering
within a price range reasonably acceptable to such holders, the securities which can be included in such registration shall be allocated as follows: (i) first, the securities requested to be
included in such registration by the holders of the Company's securities on whose behalf the registration is being made, (ii) then, to the extent of availability, securities to be registered
for the account of the Company and (iii) thereafter, to the extent of availability, to other security holders exercising piggyback registration rights, pro rata based upon the number of Shares
owned by each such holder. In the event the underwriters of such secondary registration exercise one or more over-allotment options with respect thereto, the shares to be included in such
over-allotment option(s) will be allocated pro rata among the holders of the Company's securities on whose behalf such secondary registration was made, the Company, and the holders of
securities described in item (iii) of this Section 3.2(c) on the basis of the number of securities of each such party registered in the underlying registration to which the
over-allotment option relates. 

        (d)   Limited
Purpose Shelf Registration Statement. In order to facilitate the exercise by the Medicor Group, ERI and the Belfer Group of their Piggyback Registration rights,
upon request of either the Medicor Group, ERI or the Belfer Group (any such request shall not constitute a Demand Registration for purposes of Section 3.1), the Company shall prepare and file
with the Commission one or more registration statements on Form S-3 under Rule 415 of the Securities Act providing for the resale of Registrable Securities in an amount of
shares to be mutually agreed by Company and the Medicor Group, ERI and the Belfer Group from time to time, provided, that such registration statement on Form S-3 shall be restricted
for use by the holders of the securities subject to such registration statement only for participation pursuant to Section 3.2 in a firmly underwritten public offering of Common Stock proposed
by the Company for the account of the Company or the account of any other security holder. 

Section 3.3.    Holdback Agreements.

        (a)   If
requested in writing by the Company or the managing underwriters, if any, of any registration effected pursuant to Sections 3.1 or 3.2, the Medicor Group agrees not
to and will cause the other Medicor Parties not to, ERI agrees not to and will cause the other ERI Parties not to, and the Belfer Group agrees not to and will cause the other Belfer Parties not to,
effect any public sale or distribution (including sales pursuant to Rule 144) of equity securities of the Company, or any securities convertible into or exchangeable or exercisable for such
securities, during the time period reasonably requested by the managing underwriters, not to exceed seven (7) days prior to and the 90-day period beginning on the effective date of
any underwritten Demand Registration, any underwritten Piggyback Registration or other underwritten registration by the Company of its securities (except as part of such underwritten registration). 

        (b)   If
requested in writing by the managing underwriters of any registration effected pursuant to Section 3.1 or 3.2, the Company agrees (i) not to effect any
public sale or distribution of its equity securities, or any securities convertible into or exchangeable or exercisable for such securities, during the time period reasonably requested by the managing
underwriters, not to exceed seven days prior to and during the 90-day period beginning on the effective date of any underwritten Demand Registration or any underwritten Piggyback
Registration (except as part of such underwritten registration or pursuant to registrations on Form S-4 or Form S-8 or any successor forms), and (ii) to
cause each holder of its Common Stock, or any securities convertible into or exchangeable or exercisable for 

8

 

Common
Stock, purchased from the Company at any time after the date of this Agreement (other than in a registered public offering), to so agree. 

        (c)   If
the Company has previously filed a registration statement with respect to Registrable Securities pursuant to Sections 3.1 or 3.2 hereof or pursuant to Sections 5.1 or
5.2 of the Shareholders Agreement, and if such previous registration has not been withdrawn or abandoned, the Company will not file or cause to be effected any other registration of any of its equity
securities or securities convertible or exchangeable into or exercisable for its equity securities under the Securities Act (except on Form S-4 or Form S-8 or any
successor forms), whether on its own behalf or at the request of any holder or holders of such securities, until a period of at least ninety (90) days has elapsed from the effective date of
such previous registration. 

        Section 3.4.    Registration Procedures.    Whenever the Medicor Group, on behalf of the Medicor Parties, ERI,
on behalf of the ERI Parties, or the Belfer Group on behalf of the Belfer Parties has requested that any Registrable Securities be registered pursuant to this Agreement, the Company will use its best
efforts to effect the registration and the sale of such Registrable Securities in accordance with the intended method of disposition thereof, and pursuant thereto the Company will as expeditiously as
possible: 

        (a)   prepare
and file with the Commission a registration statement with respect to such Registrable Securities and thereafter use its reasonable best efforts to cause such
registration statement to become effective (provided that, before filing a registration statement or prospectus or any amendments or supplements thereto, the Company will furnish to the counsel
selected by the holders of the Registrable Securities covered by such registration statement copies of all such documents proposed to be filed, which documents will be subject to reasonable review of
such counsel); 

        (b)   prepare
and file with the Commission such amendments and supplements to such registration statement and the prospectus used in connection therewith as may be necessary
to keep such registration statement effective for a period of either (i) not less than six months (subject to extension pursuant to Section 3.7(b)) or, if such registration statement
relates to an underwritten offering, such longer period as in the opinion of counsel for the underwriters a prospectus is required by law to be delivered in connection with sales of Registrable
Securities by an underwriter or dealer or (ii) such shorter period as will terminate when all of the securities covered by such registration statement have been disposed of in accordance with
the intended methods of disposition by the seller or sellers thereof set forth in such registration statement (but in any event not before the expiration of any longer period required under the
Securities Act), and to comply with the provisions of the Securities Act with respect to the disposition of all securities covered by such registration statement until such time as all of such
securities have been disposed of in accordance with the intended methods of disposition by the seller or sellers thereof set forth in such registration statement; 

        (c)   furnish
to each seller of Registrable Securities such number of copies of such registration statement, each amendment and supplement thereto, the prospectus included in
such registration statement (including each preliminary prospectus) and such other documents as such seller may reasonably request in order to facilitate the disposition of the Registrable Securities
owned by such seller; 

        (d)   use
its best efforts to register or qualify such Registrable Securities under such other securities or blue sky laws of such jurisdictions as any seller reasonably
requests and do any and all other acts and things which may be reasonably necessary or advisable to enable such seller to consummate the disposition in such jurisdictions of the Registrable Securities
owned by such seller (provided that the Company will not be required to (i) qualify generally to do business in any jurisdiction where it would not otherwise be required to qualify but for this
subparagraph, (ii) subject itself to taxation in any such jurisdiction or (iii) consent to general service of process in any such jurisdiction); 

9

  

        (e)   notify
each seller of such Registrable Securities, at any time when a prospectus relating thereto is required to be delivered under the Securities Act, upon discovery
that, or upon the discovery of the happening of any event as a result of which, the prospectus included in such registration statement contains an untrue statement of a material fact or omits any fact
necessary to make the statements therein not misleading in the light of the circumstances under which they were made, and, at the request of any such seller, the Company will prepare and furnish to
such seller a reasonable number of copies of a supplement or amendment to such prospectus so that, as thereafter delivered to the purchasers of such Registrable Securities, such prospectus will not
contain an untrue statement of a material fact or omit to state any fact necessary to make the statements therein not misleading in the light of the circumstances under which they were made; 

        (f)    cause
all such Registrable Securities to be listed on each securities exchange on which similar securities issued by the Company are then listed and, if not so listed,
to be listed on the Nasdaq National Market or the New York Stock Exchange; 

        (g)   provide
a transfer agent and registrar for all such Registrable Securities not later than the effective date of such registration statement; 

        (h)   enter
into such customary agreements (including underwriting agreements in customary form for similar offerings) and take all such other actions as the holders of a
majority of the Registrable Securities being sold or the underwriters, if any, reasonably request in order to expedite or facilitate the disposition of such Registrable Securities (including, without
limitation, effecting a stock split or a combination of shares); 

        (i)    make
available for inspection by any seller of Registrable Securities, any underwriter participating in any disposition pursuant to such registration statement, and any
attorney, accountant or other agent retained by any such seller or underwriter, all financial and other records, pertinent corporate documents and properties of the Company, and cause the Company's
officers, Directors, employees and independent accountants to supply all information reasonably requested by any such seller, underwriter, attorney, accountant or agent in connection with such
registration statement; 

        (j)    otherwise
use its reasonable best efforts to comply with all applicable rules and regulations of the Commission, and make available to its security holders, as soon as
reasonably practicable, an earnings statement covering the period of at least twelve months beginning with the first day of the Company's first full calendar quarter after the effective date of the
registration statement, which earnings statement shall satisfy the provisions of Section 11(a) of the Securities Act and Rule 158 thereunder; 

        (k)   in
the event of the issuance of any stop order, injunction or other order or requirement suspending the effectiveness of a registration statement, or of any order
suspending or preventing the use of any related prospectus or suspending the qualification of any securities included in such registration statement for sale in any jurisdiction, the Company will use
its reasonable best efforts promptly to obtain the withdrawal of such order and to notify the holders of all of the Registrable Securities covered by the registration statement of such order; 

        (l)    obtain
a cold comfort letter, dated the effective date of such registration statement (and, if such registration includes an underwritten public offering, dated the date
of the closing under the underwriting agreement), signed by the Company's independent public accountants in customary form and covering such matters of the type customarily covered by cold comfort
letters as the holders of a majority of the Registrable Securities being sold reasonably request (provided that such Registrable Securities constitute at least 10% of the securities covered by such
registration statement); 

10

 

        (m)  provide
a legal opinion of the Company's outside counsel, dated the effective date of such registration statement (and, if such registration includes an underwritten
public offering, dated the date of the closing under the underwriting agreement), with respect to the registration statement, each amendment and supplement thereto, the prospectus included herein
(including the preliminary prospectus) and such other documents relating thereto in customary form and covering such matters of the type customarily covered by legal opinions of such nature; 

        (n)   promptly
furnish to the managing underwriter, if any, and each seller of Registrable Securities copies of any written request by the Commission or any state securities
authority for amendments or supplements to a registration statement or prospectus or for additional information; and 

        (o)   make
reasonably available its employees and personnel and otherwise provide reasonable assistance to any underwriters in the marketing of Registrable Securities in any
underwritten offering. 

        The
Company may require each seller of Registrable Securities as to which any registration is being effected to furnish the Company such information regarding such seller and the
distribution of such securities as the Company may from time to time reasonably request in writing. 

Section 3.5.    Registration Expenses.

        (a)   The
Company shall pay all Registration Expenses relating to any registration of Registrable Securities hereunder. "Registration Expenses" shall mean any and all fees and
expenses incident to the Company's performance of or compliance with this Article III, including, without limitation: (i) Commission, stock exchange or National Association of Securities
Dealers, Inc. registration and filing fees and all listing fees and fees with respect to the inclusion of securities on the Nasdaq National Market, (ii) fees and expenses of compliance
with state securities or "blue sky" laws and in connection with the preparation of a "blue sky" survey, including, without limitation, reasonable fees and expenses of blue sky counsel,
(iii) printing expenses, (iv) messenger and delivery expenses, (v) fees and disbursements of counsel for the Company, (vi) with respect to each registration, reasonable
fees and disbursements of one counsel for the selling holders of Shares (selected by the holders making the Demand Registration request, in the case of a registration pursuant to Section 3.1,
and selected by the holders of a majority of the Registrable Securities included in such registration, in the case of a registration pursuant to Section 3.2) as well as of one local counsel,
(vii) fees and disbursements of all independent public accountants (including the expenses of any audit and/or "cold comfort" letter) and fees and expenses of other persons, including special
experts, retained by the Company, and (viii) any other fees and disbursements of underwriters, if any, customarily paid by issuers or sellers of securities. 

        (b)   Notwithstanding
the foregoing, (i) the provisions of this Section 3.5 shall be deemed amended to the extent necessary to cause these expense provisions to
comply with "blue sky" laws of each state in which the offering is made and (ii) in connection with any registration hereunder, each holder of Registrable Securities being registered shall pay
all underwriting discounts and commissions and transfer taxes, if any, attributable to the Registrable Securities included in the offering by such holder. 

Section 3.6.    Indemnification.

        (a)   The
Company agrees to indemnify and hold harmless, to the extent permitted by law, each holder of Registrable Securities, its officers and Directors and each Person who
controls such holder (within the meaning of the Securities Act) against any losses, claims, damages, liabilities, joint or several, to which such holder or any such Director or officer or controlling
person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions or proceedings, whether commenced or threatened, in respect thereof)
arise 

11

 

out
of or are based upon (i) any untrue or alleged untrue statement of a material fact contained (A) in any registration statement, prospectus or preliminary prospectus or any amendment
thereof or supplement thereto or (B) in any application or other document or communication (in this Section 3.6 collectively called an "application") executed by or on behalf of the
Company or based upon written information furnished by or on behalf of the Company filed in any jurisdiction in order to qualify any securities covered by such registration statement under the "blue
sky" or securities laws thereof, or (ii) any omission or alleged omission of a material fact required to be stated therein or necessary to make the statements therein not misleading, and the
Company will reimburse such holder and each such Director, officer and controlling person for any legal or any other expenses incurred by them in connection with investigating or defending any such
loss, claim, liability, action or proceeding; provided that the Company shall not be liable in any such case to the extent that any such loss, claim, damage, liability (or action or proceeding in
respect thereof) or expense arises out of or is based upon an untrue statement or alleged untrue statement, or omission or alleged omission, made in such registration statement, any such prospectus or
preliminary prospectus or any amendment or supplement thereto, or in any application, in reliance upon and in conformity with written information prepared and furnished to the Company by such holder
expressly for use therein or by such holder's failure to deliver a copy of the registration statement or prospectus or any amendments or supplements thereto after the Company has furnished such holder
with a sufficient number of copies of the same. In connection with an underwritten offering, the Company will indemnify such underwriters, their officers and Directors and each Person who controls
such underwriters (within the meaning of the Securities Act) to the same extent as provided above with respect to the indemnification of the holders of Registrable Securities. 

        (b)   In
connection with any registration statement in which a holder of Registrable Securities is participating, each such holder will furnish to the Company in writing such
information and documents as the Company reasonably requests for use in connection with any such registration statement or prospectus and, to the extent permitted by law, will indemnify and hold
harmless the Company, its Directors and officers and each other Person who controls the Company (within the meaning of the Securities Act) against any losses, claims, damages, liabilities, joint or
several, to which the Company or any such Director or officer or controlling person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or
actions or proceedings, whether commenced or threatened, in respect thereof) arise out of or are based upon (i) any untrue or alleged untrue statement of a material fact contained in the
registration statement, prospectus or preliminary prospectus or any amendment thereof or supplement thereto or in any application or (ii) any omission or alleged omission of a material fact
required to be stated therein or necessary to make the statements therein not misleading, but only to the extent that such untrue statement or omission is made in such registration statement, any such
prospectus or preliminary prospectus or any amendment or supplement thereto, or in any application, in reliance upon and in conformity with written information prepared and furnished to the Company by
such holder expressly for use therein, and such holder will reimburse the Company and each such Director, officer and controlling person for any legal or any other expenses incurred by them in
connection with investigating or defending any such loss, claim, liability,
action or proceeding; provided that the obligation to indemnify will be individual to each holder and will be limited to the net amount of proceeds received by such holder from the sale of Registrable
Securities pursuant to such registration statement. 

        (c)   Any
Person entitled to indemnification hereunder will (i) give prompt written notice to the indemnifying party of any claim with respect to which it seeks
indemnification and (ii) unless in such indemnified party's reasonable judgment a conflict of interest between such indemnified and indemnifying parties may exist with respect to such claim,
permit such indemnifying party to assume the defense of such claim with counsel reasonably satisfactory to the indemnified party. If 

12

 

such
defense is assumed, the indemnifying party will not be subject to any liability for any settlement made by the indemnified party without its consent (but such consent will not be unreasonably
withheld). An indemnifying party who is not entitled to, or elects not to, assume the defense of a claim will not be obligated to pay the fees and expenses of more than one counsel for all parties
indemnified by such indemnifying party with respect to such claim, unless in the reasonable judgment of any indemnified party a conflict of interest may exist between such indemnified party and any
other of such indemnified parties with respect to such claim. 

        (d)   The
indemnification provided for under this Agreement will remain in full force and effect regardless of any investigation made by or on behalf of the indemnified party
or any officer, Director or controlling Person of such indemnified party and will survive the transfer of securities by any holder thereof. The Company also agrees to make such provisions, as are
reasonably requested by any indemnified party, for contribution to such party in the event the Company's indemnification is unavailable for any reason. 

Section 3.7.    Participation in Underwritten Registrations.

        (a)   If
requested by the underwriters for any underwritten offering pursuant to a Demand Registration requested under Section 3.1, the Company shall enter into a
customary underwriting agreement with the underwriters. Such underwriting agreement shall be satisfactory in form and substance to the Person who requested such registration and shall contain such
representations and warranties by, and such other agreements on the part of, the Company and such other terms as are generally prevailing in agreements of that type, including, without limitation,
indemnities and contribution agreements. Such underwriting agreement shall also contain such representations, warranties, indemnities and contributions by the participating holders as are customary in
agreements of that type. In the case of a registration pursuant to Section 3.2 hereof, if the Company shall have determined to enter into any underwriting agreements in connection therewith,
all of the holders' Registrable Securities to be included in such registration shall be subject to such underwriting agreement. Such underwriting agreement shall also contain such representations,
warranties, indemnities and contributions by the participating holders as are customary in agreements of that type. 

13

  

        (b)   Each
Person that is participating in any registration hereunder agrees that, upon receipt of any notice from the Company of the happening of any event of the kind
described in Section 3.4(e) above, such Person will forthwith discontinue the disposition of its Registrable Securities pursuant to the registration statement until such Person's receipt of the
copies of a supplemented or amended prospectus as contemplated by such Section 3.4(e). In the event the Company shall give any such notice, the applicable time period mentioned in
Section 3.4(b) during which a registration statement is to remain effective shall be extended by the number of days during the period from and including the date of the giving of such notice
pursuant to this paragraph to and including the date when each seller of a Registrable Security covered by such registration statement shall have received the copies of the supplemented or amended
prospectus contemplated by Section 3.4(e). 

        Section 3.8.    Current Public Information.    At all times after the Company has filed a registration
statement with the Commission pursuant to the requirements of either the Securities Act or the Exchange Act, the Company will file all reports required to be filed by it under the Act and the Exchange
Act and the rules and regulations adopted by the Commission thereunder, and will take such further action as any holder or holders of Registrable Securities may reasonably request, all to the extent
required to enable such holders to sell Registrable Securities pursuant to Rule 144. 

        Section 3.9    Cooperation.    If the Company determines to authorize and/or issue any capital stock or other
debt or equity securities in a public offering, each of the Shareholder Parties and their Permitted Transferees agrees to cooperate with the Company and to take all action necessary to assist the
Company in consummating such transaction. 

 
 

ARTICLE IV
  
  GENERAL PROVISIONS    
    

        Section 4.1    Notices.
Any notice required to be given hereunder shall be sufficient if in writing, and sent by facsimile transmission and by courier service (with
proof of service), hand delivery or certified or registered mail (return receipt requested and first-class postage prepaid), addressed as follows: 

If
to the Belfer Group: 

Robert
A. Belfer

767 Fifth Avenue, 46th Floor

New York, New York 10153

Fax Number: (212) 644-2396

Phone Number: (212) 644-2200 

With
a copy to: 

Laurence
D. Belfer

767 Fifth Avenue, 46th Floor

New York, New York 10153

Fax Number: (212) 644-2396

Phone Number: (212) 644-0561 

If
to Westport: 

Donald
D. Wolf,

Chairman and Chief Executive Officer

1670 Broadway, Suite 2800

Denver, CO. 80202

14

 

Fax
Number: (303) 573-5609

Phone Number: (303) 573-5404 

With
a copy to: 

Akin
Gump Strauss Hauer & Feld LLP

1700 Pacific Avenue, Suite 4100

Dallas, Texas 75201-4675

Attention: Michael E. Dillard, P.C.

Fax Number: (214) 969-4343

Phone Number: (214) 969-2800 

If
to the Medicor Group: 

Medicor
Foundation

Landstrasse 11

Postfach 130

FL-9495 Triesen

Liechtenstein

Attention: Anton M. Lotzer

Fax (423) 233 3934

Tel (423) 239 6050 

And
to: 

Westport
Energy LLC

c/o Westport Investments Limited

Lyford Manor

Lyford Cay

P.O. Box N-7776

Nassau, Bahamas

Fax Number: (242) 362-5788 

With
a copy to: 

Kenneth
S. Witt

Greenberg Traurig, LLP

1200 17th Street, Suite 2400

Denver, CO 80202

Telephone: (303) 572-6510

Telecopy: (303) 572-6540 

And
to: 

Michael
Russell

Dr. Richard J. Haas Partners

Dukes Court

32 Duke Street, St. James's

London, SW1Y 6DF

Fax Number: 020.7.321.5242

Phone Number: 020.7.321.5200 

If
to ERI Investments, Inc.: 

ERI
Investments, Inc.

801 West Street, 2nd Floor

Wilmington, DE 19801-1545

15

 

Attention:
Treasurer

Telephone: (302) 656-5590

Telecopy: (302) 428-1410 

With
a copy to: 

Johanna
G. O'Loughlin

Vice President, General Counsel and Secretary

Equitable Resources, Inc.

One Oxford Centre, Suite 3300

Pittsburgh, PA 15219

Telephone: (412) 553-7760

Telecopy: (412) 553-5970 

And
to: 

Stephen
W. Johnson, Esquire

Reed Smith LLP

435 Sixth Avenue

Pittsburgh, PA 15219-1886

Telephone: (412) 288-3131

Telecopy: (412) 288-3063 

or
to such other address as any Shareholder Party shall specify by written notice so given, and such notice shall be deemed to have been delivered as of the date so telecommunicated, personally
delivered or mailed. 

        Section 4.2    Assignment; Binding Effect; Benefit.    Any Shareholder Party that Transfers to a Permitted
Transferee shall promptly give written notice of such Transfer to the other Shareholder Parties and the Company pursuant to Section 4.1 and shall deliver to such Shareholder Parties and the
Company a copy of the written agreement pursuant to which the Permitted Transferee has agreed to be bound by the terms of this Agreement. Other than Transfers to Permitted Transferees, neither this
Agreement nor any of the rights, interests or obligations hereunder shall be assigned by any of the Shareholder Parties or their Permitted Transferees without the prior written consent of the other
Shareholder Parties; provided, that the Medicor Parties, the ERI Parties and the Belfer Parties may assign all or a portion of their rights under Article III in connection with any Transfer of
Registrable Securities made in accordance with this Agreement if immediately after the Transfer, the transferee beneficially owns at least ten percent (10%) of the Common Stock of the Company then
outstanding, in which event each transferee will have rights and obligations under Article III as if it was a party to this Agreement to the extent of such assignment. Subject to the preceding
sentence, this Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. Notwithstanding anything contained in this Agreement to
the contrary, nothing in this Agreement, express or implied, is intended to confer on any person other than the parties hereto or their respective heirs, successors, executors, administrators and
assigns any rights, remedies, obligations or liabilities under or by reason of this Agreement. 

        Section 4.3    Entire Agreement.    This Agreement, the exhibits and schedules hereto and any certificate
delivered by the parties hereto in connection herewith constitute the entire agreement among the parties hereto with respect to the subject matter hereof and supersede all prior agreements and
understandings (oral and written) among the parties with respect hereto. 

        Section 4.4    Amendment.    No amendment, modification or waiver of this Agreement shall be effective against
any party hereto unless it shall be in writing and signed by such party. Notwithstanding the foregoing, Exhibit A shall be amended or modified from time to time to reflect Transfers to 

16

 

Permitted
Transferees by giving written notice of such Transfers to the Shareholder Parties and the Company pursuant to Section 4.1. 

        Section 4.5    Governing Law; Jurisdiction.    This Agreement shall be governed by and construed in accordance
with the laws of the State of Nevada without regard to its rules of conflict of laws. The Shareholder Parties and the Company agree that any suit, action or proceeding arising out of, or with respect
to, this Agreement or any judgment entered by any court in respect thereof may be brought only in the courts of the State of Nevada or the federal district courts located within the State of Nevada
and the Shareholder Parties and the Company hereby accept the exclusive jurisdiction of those courts for the purpose of any suit, action or proceeding. 

        Section 4.6    Counterparts.    This Agreement may be executed by the parties hereto in separate counterparts,
each of which when so executed and delivered shall be an original, but all such counterparts shall together constitute one and the same instrument. Each counterpart may consist of a number of copies
of this Agreement, each of which may be signed by less than all of the parties hereto, but together all such copies are signed by all of the parties hereto. 

        Section 4.7    Headings.    Headings of the Articles and Sections of this Agreement are for convenience only
and shall be given no substantive or interpretive effect whatsoever. 

        Section 4.8    Interpretation.    In this Agreement, unless the context otherwise requires: (i) words
describing the singular number shall include the plural and vice versa; (ii) "including" shall mean including, without limitation; (iii) words denoting any gender shall include all
genders; and (iv) words denoting natural persons shall include corporations and partnerships and vice versa. 

        Section 4.9    Incorporation of Exhibits and Schedules.    All exhibits and schedules hereto are hereby
incorporated herein and made a part hereof for all purposes as if fully set forth herein. 

        Section 4.10    Severability.    Any term or provision of this Agreement which is invalid or unenforceable in
any jurisdiction shall, as to that jurisdiction, be ineffective to the extent of such invalidity or unenforceability without rendering invalid or unenforceable the remaining terms and provisions of
this Agreement or otherwise affecting the validity or enforceability of any of the terms or provisions of this Agreement in any other jurisdiction. If any provision of this Agreement is so broad as to
be unenforceable, the provision shall be interpreted to be only so broad as is enforceable. 

        Section 4.11    Enforcement of Agreement.    The parties hereto agree that irreparable damage would occur in
the event that any of the provisions of this Agreement were not performed in accordance with its specific terms or was otherwise breached. It is accordingly agreed that the Company, the Shareholder
Parties and their Permitted Transferees shall be entitled to an injunction or injunctions to prevent breaches of this Agreement and to enforce specifically the terms and provisions hereof in any
court, this being in addition to any other remedy to which they may be entitled at law or in equity. 

        Section 4.12    Confidentiality.    None of the Medicor Parties, their Affiliates, employees, agents or
representatives, the ERI Parties, their Affiliates, employees, agents or representatives nor the Belfer Parties, their Affiliates, employees, agents or representatives shall disclose to any third
party any information obtained about the Company or its operations or business which it may have acquired pursuant to this Agreement or the Shareholders Agreement without the prior written consent of
the Company; provided, that any information that is otherwise publicly available, without breach of this provision, or has been obtained from a third party without a breach of such third party's
duties, shall not be deemed confidential information. 

        Section 4.13    Effectiveness; Termination.    This Agreement shall be effective as of the date of termination
of the Shareholders Agreement pursuant to the terms of that certain Termination Agreement dated as of October 1, 2003, by and among the Company and Shareholder Parties (the "Effective Date")
and shall continue in effect with respect to a Shareholder Party and its Permitted 

17

 

Transferees
as long as it holds Registrable Securities, provided, however, that this Agreement may be terminated at any time when all of the parties who are then bound hereby mutually consent to
terminate this Agreement in writing. Notwithstanding anything to the contrary contained in this Section 4.13, the provisions of Section 4.12 shall not terminate. 

        Section 4.14    Belfer Group Representative.    Robert A. Belfer shall be the initial Belfer Group
representative (the "Belfer Group Representative"). The Belfer Group Representative may be changed by delivery of a written notification delivered to the parties hereto and executed by all of the
members of the Belfer Group. Each member of the Belfer Group hereby appoints the person or entity who is, from time to time, duly appointed under this Section 4.14 as the Belfer Group
Representative to give any consent or approval, exercise any right or take any action contemplated under this Agreement on behalf of the Belfer Group. The members of the Belfer Group shall be so bound
by the Belfer Group Representative and the parties to this Agreement shall be entitled to rely on the actions taken by the Belfer Group Representative contemplated by this Agreement. 

        Section 4.15    Medicor Group Representative.    Michael Russell shall be the initial Medicor Group
representative (the "Medicor Group Representative"). The Medicor Group Representative may be changed by delivery of a written notification delivered to the parties hereto and executed by all of the
members of the Medicor Group. Each member of the Medicor Group hereby appoints the person or entity who is, from time to time, duly appointed under this Section 4.15 as the Medicor Group
Representative to give any consent or approval, exercise any right or take any action contemplated under this Agreement on behalf of the Medicor Group. The members of the Medicor Group shall be so
bound by the Medicor Group Representative and the parties to this Agreement shall be entitled to rely on the actions taken by the Medicor Group Representative contemplated by this Agreement. The
inclusion of WELLC and Medicor in a group, referenced in this Agreement as the Medicor Group, and the appointment by WELLC and Medicor of a Medicor Group Representative, as set forth in this
Section 4.15, are merely for administrative convenience. Each of Medicor and WELLC is a distinct legal entity, and neither Medicor nor WELLC controls the other or is under the common control of
a third party. 

        IN
WITNESS WHEREOF, the parties have executed this Registration Rights Agreement and caused the same to be duly delivered on their behalf as of the day and year first written above, to
be effective as of the Effective Date. 

	

 	

WESTPORT RESOURCES CORPORATION
	

 	

By:	

/s/ Donald D. Wolf
	 	

	 	Name:	Donald D. Wolf
	 	

	 	Title:	Chief Executive Officer
	 	

	

 	

WESTPORT ENERGY LLC
	

 	

By: WESTPORT INVESTMENTS LIMITED, its Managing Member
	

 	

By:	

/s/ Michael Russell
	 	

	 	Name:	Michael Russell
	 	

	 	Title:	Duly Authorized Signatory
	 	

18

 

	

 	

ERI INVESTMENTS, INC.
	

 	

By:	

/s/ Kenneth J. Kubacki
	 	

	 	Name:	Kenneth J. Kubacki
	 	

	 	Title:	Vice President
	 	

	

 	

MEDICOR FOUNDATION
	

 	

By:	

/s/ Anton Lotzer
	 	

	 	Name:	Anton Lotzer
	 	

	 	Title:	Member of the Foundation Board
	 	

	

 	

By:	

/s/ Albin A. Johann
	 	

	 	Name:	Albin A. Johann
	 	

	 	Title:	Member of the Foundation Board/Secretary
	 	

	

 	

 	

/s/ Robert A. Belfer
	 	

	 	 	Robert A. Belfer, individually
	

 	

THE ROBERT A. AND RENEE E. BELFER

FAMILY FOUNDATION
	

 	

By:	

/s/ Robert A. Belfer
	 	

	 	Name:	Robert A. Belfer
	 	Title:	Trustee and Donor
	

 	

BELFER CORP.
	

 	

By:	

/s/ Robert A. Belfer
	 	

	 	Name:	Robert A. Belfer
	 	Title:	President
	

 	

RENEE HOLDINGS PARTNERSHIP, L.P.
	

 	

By:	

/s/ Robert A. Belfer
	 	

	 	Name:	Robert A. Belfer
	 	Title:	General Partner
	 	 	 

19

 

	

 	

LDB CORP.
	

 	

By:	

/s/ Laurence D. Belfer
	 	

	 	Name:	Laurence D. Belfer
	 	Title:	President
	

 	

ROBERT A. BELFER 1990 FAMILY TRUST
	

 	

By:	

/s/ Laurence D. Belfer
	 	

	 	Name:	Laurence D. Belfer
	 	Title:	Trustee
	

 	

VANTZ LIMITED PARTNERSHIP

By: VANTZ LLC,

Its General Partner
	

 	

By:	

/s/ Laurence D. Belfer
	 	

	 	Name:	Laurence D. Belfer
	 	Title:	Managing Member
	

 	

LDB TWO CORP.
	

 	

By:	

/s/ Laurence D. Belfer
	 	

	 	Name:	Laurence D. Belfer
	 	Title:	President
	

 	

BELFER TWO CORP.
	

 	

By:	

/s/ Robert A. Belfer
	 	

	 	Name:	Robert A. Belfer
	 	Title:	Managing Member
	

 	

LIZ PARTNERS, L.P.
	

 	

By: Liz Associates LLC,

Its General Partner
	

 	

By:	

/s/ Robert A. Belfer
	 	

	 	Name:	Robert A. Belfer
	 	Title:	Managing Member

20

 
 

EXHIBIT A
  
  CERTAIN STOCKHOLDERS    
    

	 

	The Robert A. and Renee E. Belfer Family Foundation
	

Robert A. Belfer
	

Belfer Corp.
	

Renee Holdings Partnership, L.P.
	

LDB Corp.
	

Robert A. Belfer 1990 Family Trust
	

Vantz Limited Partnership
	

LDB Two Corp.
	

Belfer Two Corp.
	

Liz Partners, L.P.

 
 

SCHEDULE 2.2
  
  OWNERSHIP—EACH MEDICOR PERSON    
    

	Stockholder
 
	 	Ownership of Common Stock

as of the date hereof
 

	Medicor Foundation	 	11,000,000
	Westport Energy LLC	 	3,238,001
	 	Total	 	14,238,001
	Percentage of total outstanding Common Stock as of the date hereof	 	21.17%

 
 

SCHEDULE 2.3
  
  OWNERSHIP—ERI PARTIES    
    

	Stockholder
 
	 	Ownership of Common Stock

as of the date hereof
 

	ERI Investments, Inc.	 	13,006,152
	 	Total	 	13,006,152
	Percentage of total outstanding Common Stock as of the date hereof	 	19.34%

 
 

SCHEDULE 2.4
  
  OWNERSHIP—EACH BELFER PERSON    
    

	Stockholder
 
	 	Ownership of Common Stock

as of the date hereof
 

	The Robert A. and Renee E. Belfer Family Foundation(1)	 	174,793
	Robert A. Belfer	 	—
	Belfer Corp.(1)	 	1,003,270
	Renee Holdings Partnership, L.P.(1)	 	492,283
	LDB Corp.(2)	 	112,552
	Robert A. Belfer 1990 Family Trust(2)	 	230,040
	Vantz Limited Partnership(2)	 	261,610
	 	 	 

	LDB Two Corp.(2)	 	823,031
	Belfer Two Corp.(1)	 	1,157,309
	Liz Partnership, L.P.(1)	 	495,899
	 	Total	 	4,750,787
	Percentage of total outstanding Common Stock as of the date hereof	 	7.06%

	(1)
	c/o
Robert A. Belfer, 767 Fifth Avenue, 46th Floor, New York, New York 10153

	(2)
	c/o
Laurence D. Belfer, 767 Fifth Avenue, 46th Floor, New York, New York 10153 

QuickLinks

Exhibit 10.2

TABLE OF CONTENTS

REGISTRATION RIGHTS AGREEMENT

ARTICLE I DEFINITIONS

ARTICLE II REPRESENTATIONS AND WARRANTIES

ARTICLE III REGISTRATION RIGHTS

ARTICLE IV GENERAL PROVISIONS

EXHIBIT A CERTAIN STOCKHOLDERS

SCHEDULE 2.2 OWNERSHIP—EACH MEDICOR PERSON

SCHEDULE 2.3 OWNERSHIP—ERI PARTIES

SCHEDULE 2.4 OWNERSHIP—EACH BELFER PERSON

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