Document:

Exhibit 10.8

Exhibit 10.8

AMENDMENT NO. 2 TO THE BASE CONTRACT FOR SALE AND PURCHASE OF NATURAL GAS DATED AS OF NOVEMBER 8,
2010 BETWEEN CHEVRON NATURAL GAS, A DIVISION OF CHEVRON U.S.A. INC. AND ATLAS RESOURCES, LLC,
VIKING RESOURCES, LLC, AND RESOURCE ENERGY, LLC, DATED AS OF FEBRUARY 2, 2011. SPECIFIC TERMS IN
THIS EXHIBIT HAVE BEEN REDACTED, AS MARKED BY THREE ASTERISKS (***), BECAUSE CONFIDENTIAL TREATMENT
FOR THOSE TERMS HAS BEEN REQUESTED. THE REDACTED MATERIAL HAS BEEN SEPARATELY FILED WITH THE
SECURITIES AND EXCHANGE COMMISSION.

[Redacted Copy]

Specific
terms in this exhibit have been redacted, as marked by three asterisks (***), because
confidential 

treatment for those terms has been requested. The redacted material has been
separately filed with the 

Securities and Exchange Commission.

AMENDMENT NO. 2 TO THE BASE CONTRACT FOR SALE AND

PURCHASE OF NATURAL GAS

DATED AS OF NOVEMBER 8, 2010

between

CHEVRON NATURAL GAS, A DIVISION OF CHEVRON U.S.A. INC.

and

ATLAS RESOURCES, LLC, VIKING RESOURCES, LLC, AND RESOURCE ENERGY, LLC,

DATED AS OF FEBRUARY 2, 2011

 

 

 

VIA E-MAIL AND UPS

February 2, 2011

Chevron Natural Gas, a division of Chevron USA Inc.

P.O. Box 4700

Houston, Texas 77210

Attention:      Contract Administration

E-mail:           ELLZ@chevron.com

	 	RE:	 	 Amendment # 2 of NAESB

Ladies and Gentlemen:

This letter will confirm the understanding of Atlas Resources, LLC, Viking Resources, LLC,
Resource Energy, LLC and Chevron Natural Gas, a division of Chevron U.S.A. Inc., under that certain
Base Contract for Sale and Purchase of Natural Gas dated as of November 8, 2010 and amended as of
January 6, 2011 (including the special provisions and forms of transaction confirmations attached
thereto), and that certain Agreement Regarding Transaction Confirmations between the same parties
and dated as of the same date, that:

	 	1.	 	All references in each of those agreements to “Base Load Firm Volume” are
hereby replaced with “Firm Base Load Volume”;

	 	2.	 	The reference to Section 2.26 on page 1 of the Base Contract is modified by
changing the election of the parties from “Section 2.26” to “Spot Price Publication”
and by listing (a) “***” as the Spot Price Publication elected by the parties with
respect to Gas at the Columbia, TETCO, NFGS and Dominion Delivery Points, and (b) “***”
as the Spot Price Publication elected by the parties with respect to Gas at the
Equitrans Delivery Point. If at any time during Years 1, 2 or 3 a new published price
index has been established with respect to any Delivery Point and the parties have
agreed upon a price with respect to Excess Daily Gas at such Delivery Point in
accordance with Paragraph 4 of this letter, the reference to Section 2.26 on page 1 of
the Base Contract shall be amended with respect to such Delivery Point to reference the
agreed upon Excess Daily Gas price for that Delivery Point;

	 	3.	 	Clause (a) of the first sentence of Section 2(A) of the “Schedule I — Special
Provisions” is hereby amended and restated as follows: “not later than February 2,
2011, nominate on behalf of Seller the Firm Base Load Volume (as defined below)
Contract Quantity of Gas to be supplied, purchased and sold hereunder on a Firm basis
per day each Month (denominated in MMBtu/day) during Year 1 (as defined below),
provided that Resources shall have the option to (i) not later than June 1,
2011, nominate on behalf of Seller a revised Firm Base Load Volume Contract Quantity of
Gas to be supplied, purchased and sold hereunder at the TETCO Delivery Point on a Firm
basis per day each Month (denominated in MMBtu/day) during the period beginning on July
1, 2011 and ending on March 31, 2012, and (ii) not later than September 1, 2011,
nominate on behalf of Seller a revised Firm Base Load Volume Contract Quantity of Gas
to be supplied, purchased and sold hereunder at the TETCO Delivery Point on a Firm
basis per day each Month (denominated in MMBtu/day) during the period beginning on
October 1, 2011 and ending on March 31, 2012.”;

 

 

 

	 	4.	 	The second sentence of Section 3(B) of the “Schedule 1 — Special Provisions”
is hereby amended and restated in its entirety as follows: “Excess Daily Gas shall be
priced at the Spot Price (as defined in the Base Contract by reference to the Spot
Price Publication in effect as of the date of this letter). If at any time during
Years 1, 2 or 3 a new published price index has been established with respect to any
Delivery Point, the parties will attempt to negotiate a mutually-agreeable price with
respect to any Excess Daily Gas at such Delivery Point based upon fair market value
less a reasonable marketing fee payable to Seller”;

	 	5.	 	Section 1 of the second paragraph of the “Agreement Regarding Transaction
Confirmations” is hereby amended and restated as follows: “not later than February 2,
2011, nominate on behalf of the AHD Entities the Firm Base Load Volume Contract
Quantity of Gas to be supplied, purchased and sold hereunder pursuant to the
Transaction Confirmation during Year 1, provided that Resources shall have the
option to (i) not later than June 1, 2011, nominate on behalf of the AHD Entities a
revised Firm Base Load Volume Contract Quantity of Gas to be supplied, purchased and
sold at the TETCO Delivery Point pursuant to the Transaction Confirmation during the
period beginning on July 1, 2011 and ending on March 31, 2012, and (ii) not later than
September 1, 2011, nominate on behalf of the AHD Entities a revised Firm Base Load
Volume Contract Quantity of Gas to be supplied, purchased and sold at the TETCO
Delivery Point pursuant to the Transaction Confirmation during the period beginning on
October 1, 2011 and ending on March 31, 2012; and

	 	6.	 	The last sentence of the last paragraph of the “Agreement Regarding Transaction
Confirmations” is hereby amended by adding the words “on February 2, 2011” at the end
of the sentence.

 

 

 

Please confirm your agreement with the foregoing by executing a copy of this letter in the
space provided below and returning it via e-mail to Atlas Resources, LLC at
jhammond@atlasenergy.com.

	 	 	 	 	 
	 	Sincerely,

Atlas Resources, LLC, Viking Resources, LLC and

Resource Energy, LLC (severally and not jointly)

 	 
	 	By:  	/s/ Matthew A. Jones
 	 
	 	 	Name:  	Matthew A. Jones 	 
	 	 	Title:  	Chief Financial Officer 	 

INTENDING TO BE LEGALLY BOUND, the foregoing is acknowledged and agreed to by the undersigned as of
the date first set forth above.

Chevron Natural Gas, a Division of Chevron U.S.A., Inc.

	 	 	 	 	 
	By:

	 	/s/ J. Brent Faulk
 

Name: J. Brent Faulk
	 	 
	 

	 	Title:   Vice President Trading CNGExhibit 10.9

Exhibit 10.9

TRANSACTION CONFIRMATION, SUPPLY CONTRACT NO. 0001, UNDER BASE CONTRACT FOR SALE AND PURCHASE OF
NATURAL GAS DATED AS OF NOVEMBER 8, 2010 BETWEEN CHEVRON NATURAL GAS, A DIVISION OF CHEVRON U.S.A.
INC. AND ATLAS RESOURCES, LLC, VIKING RESOURCES, LLC, AND RESOURCE ENERGY, LLC, DATED FEBRUARY 17,
2011. SPECIFIC TERMS IN THIS EXHIBIT HAVE BEEN REDACTED, AS MARKED BY THREE ASTERISKS (***),
BECAUSE CONFIDENTIAL TREATMENT FOR THOSE TERMS HAS BEEN REQUESTED. THE REDACTED MATERIAL HAS BEEN
SEPARATELY FILED WITH THE SECURITIES AND EXCHANGE COMMISSION.

[Redacted Copy]

Specific
terms in this exhibit have been redacted, as marked by three asterisks (***), because
confidential 

treatment for those terms has been requested. The redacted material has been
separately filed with the 

Securities and Exchange Commission.

TRANSACTION CONFIRMATION, SUPPLY CONTRACT NO. 0001, UNDER BASE CONTRACT

FOR SALE AND PURCHASE OF NATURAL GAS

DATED AS OF NOVEMBER 8, 2010

between

CHEVRON NATURAL GAS, A DIVISION OF CHEVRON U.S.A. INC.

and

ATLAS RESOURCES, LLC, VIKING RESOURCES, LLC, AND RESOURCE ENERGY, LLC,

DATED FEBRUARY 17, 2011

 

 

 

TRANSACTION CONFIRMATION

FOR IMMEDIATE DELIVERY

SUPPLY CONTRACT NO. 0001

	 	 	 
	 
	 	Date: February 17, 2011
	 	 	 
	 
	 	Transaction Confirmation #: 2011-02-17-YRIA

This Transaction Confirmation is subject to the Base Contract between Seller and Buyer dated November 8, 2010. The terms of this Transaction
Confirmation are binding unless disputed in writing within 2 Business Days of receipt unless otherwise specified in the Base Contract.

	 	 	 
	SELLER:

	 	BUYER:
	Atlas Resources, LLC, Viking Resources, LLC and

	 	Chevron Natural Gas, a division of Chevron USA, Inc.
	Resource Energy, LLC (“Atlas”)

	 	Attn: Confirmation Department
	Attn: Bill Kurtz, Gas Marketing

	 	Phone: 832-854-5110
	Phone: (330) 339-3155 x112

	 	Fax: 832-854-3292
	Fax: (330) 339-5825

	 	Base Contract No. 0001
	Base Contract No. 0001

	 	Transporter: Various
	Transporter: Various

	 	Transporter Contract Number: Various
	Transporter Contract Number: Various
	 	 
	 
	 	 
	Contract Price: See Special Provisions
for Pricing Terms
	 	 
	 
	 	 
	Delivery Period: See Special Provisions

	End: See Special Provisions

Performance Obligation and Contract Quantity: (Select as appropriate; Closing occurred on February 17, 2011)

Year:

þ Year 1 (Closing through March 31, 2012)

o Year 2 (12 months to 24 months following the Closing)

o Year 3 (24 months to 36 months following the Closing)

Firm Base Load Volume: þ

See Annex 1 attached.

Excess Daily Gas: o

                     MMBtus/day

Delivery Point(s): See Special Provisions

(If a pooling point is used, list a specific geographic and pipeline location):

Special Conditions:

Special Provisions attached hereto as Schedule I (as amended) are incorporated herein by reference.

* Firm (Variable Quantity) subject to Special Provisions

	 	 	 	 	 	 	 	 	 
	Seller: Atlas
Resources, LLC, Viking Resources, LLC and 
Resource Energy, LLC. (severally and not jointly)	 	Buyer: Chevron Natural Gas, a division of Chevron USA Inc.	 	 
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Jeffrey C. Simmons
 

Name: Jeffrey C. Simmons
	 	By:
	 	/s/ J. Brent Faulk
 

Name: J. Brent Faulk
	 	 
	 

	 	Title: Executive Vice President and
Vice President
	 	 	 	Title: Vice President	 	 
	 
	 	 	 	 	 	 	 	 
	Date: February 17, 2011	 	Date: February 17, 2011	 	 

			
	 	 	 
	Copyright © 2006 North American Energy Standards Board, Inc.NAESB Standard 6.3.1	 	 
	All Rights Reserved
	 	September 5, 2006

 

Page 1of 2

 

Annex 1

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Gross	 	Period Ending
	MMBtu/d	 	2/28/2011	 	3/31/2011	 	4/30/2011	 	5/31/2011	 	6/30/2011	 	7/31/2011	 	8/31/2011
	Equitrans

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	Columbia

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	TETCO

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	NFGS

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	Dominion

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Gross	 	Period Ending
	MMBtu/d	 	9/30/2011	 	10/31/2011	 	11/30/2011	 	12/31/2011	 	1/31/2012	 	2/29/2012	 	3/31/2012
	Equitrans

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	Columbia

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	TETCO

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	NFGS

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	Dominion

	 	***
	 	***
	 	***
	 	***
	 	***
	 	***
	 	***

			
	 	 	 
	Copyright © 2006 North American Energy Standards Board, Inc.NAESB Standard 6.3.1	 	 
	All Rights Reserved
	 	September 5, 2006

 

Page 2 of 2

 

SCHEDULE I

SPECIAL PROVISIONS

Attached to and Forming Part of

That certain Transaction Confirmation — SUPPLY CONTRACT NO. 0001

By and between Atlas Resources, LLC, Viking Resources, LLC and Resource Energy, LLC (“Atlas” or

“Seller”)

and

Chevron Natural Gas, a division of Chevron U.S.A. Inc. (“Chevron” or “Buyer”)

Dated as of February 17, 2011

These Special Provisions hereby modify, supplement and amend the Transaction Confirmation —
SUPPLY CONTRACT NO. 0001, dated and ratified as of the date hereof (the “Transaction
Confirmation”), and, solely to the extent described in these Special Provisions with respect to the
transaction(s) contemplated by the Transaction Confirmation, the Base Contract between the parties
referenced in the Transaction Confirmation. All capitalized terms not otherwise defined herein
shall have the meaning set forth in the Base Contract between the parties referenced in the
Transaction Confirmation.

1. Amendments to Section 2 of the Base Contract: Section 2 is amended by adding the following new
definitions in alphabetical order:

“NYMEX Contract Price” means a per MMBtu price equal to the NYMEX Settle Price, plus ***.

“NYMEX Settle Price” means a per MMBtu price equal to the NYMEX last day settle price of one
MMBtu of Gas for the next delivery Month.

2. Amendments of Section 4 of the Base Contract.

A. Amendment to Section 4.2 of the Base Contract: Section 4.2 is amended by adding the
following to the end of that Section: “Notwithstanding the foregoing, Atlas Resources, LLC
(“Resources”) shall (a) not more than 60 days following the execution and delivery of the
Restructuring Agreements (as defined below) nominate on behalf of Seller the Base Load Firm Volume
(as defined below) Contract Quantity of Gas to be supplied, purchased and sold hereunder on a Firm
basis per day each Month (denominated in MMBtu/day) during Year 1 (as defined below), and (b) not
less than 60 days prior to the end of (i) Year 1, nominate on behalf of Seller the Base Load Firm
Volume Contract Quantity of Gas to be supplied, purchased and sold hereunder on a Firm basis per
day each Month (denominated in MMBtu/day) during Year 2 and (ii) Year 2 (as defined below),
nominate on behalf of Seller the Base Load Firm Volume of Gas to be supplied, purchased and sold
hereunder on a Firm basis per day each Month (denominated in MMBtu/day) during Year 3 (as defined
below). In the event that Resources (or Seller in lieu of Resources) fails to timely nominate Base
Load Firm Volumes as set forth above in clauses (i) or (ii) for the coming Year 2 or 3 time period
during the Delivery Period, then Resources shall be deemed to have nominated the maximum Base Load
Firm Volume for the coming Year 2 or 3 period set forth below for the entire 12-month period. To
the extent that Seller expects to supply more Gas on any day than the applicable Base Load Firm
Volume (“Excess Daily Gas”), Resources will use commercially reasonable efforts to supply
to Buyer no later than 7:30 a.m. Central on each Business Day estimates of the aggregated volumes
of Excess Daily Gas to be delivered to that Delivery Point on the following Day, and seasonal
production volume forecasts for delivery of Excess Daily Gas into that Delivery Point on a rolling
2-month basis during the Delivery Period.”

 

Page 1 of 4

 

3. Pricing: With respect to any volumes of Gas purchased or sold pursuant to the Transaction
Confirmation, such volumes of Gas will be priced in accordance with the following:

A. Supply of Firm Base Load Volume for each Delivery Point: The NYMEX Contract Price.

B. Supply of Excess Daily Gas. Excess Daily Gas supplied by Seller to Buyer hereunder shall
be purchased by the Buyer on a Firm basis during the Delivery Period. The parties will attempt to
negotiate a mutually-agreeable price with respect to any Excess Daily Gas based upon fair market
value less a reasonable marketing fee payable to Seller

4. Delivery Point and Firm Base Load Volume. The Firm Base Load Volume for each Delivery Point
(see list of meters that tie into each interstate line, which list is attached hereto as
Attachment 1; for the Transaction Confirmation, “Delivery Point” shall mean any or all of
the meters listed for each interstate line) shall be as set forth below and shall be specified on a
Month-to-Month basis as set forth in Section 2(a) above:

All Base Load Volume Contract Quantities set forth below are denominated in MMBtu/day.

	 	 	 	 	 	 	 
	Delivery Point	 	Year 1 Base Load Volume	 	Year 2 Base Load Volume	 	Year 3 Base Load Volume
	Equitrans

	 	***
	 	***
	 	***
	Columbia

	 	***
	 	***
	 	***
	TETCO

	 	***
	 	***
	 	***
	NFGS

	 	***
	 	***
	 	***
	Dominion

	 	***
	 	***
	 	***

5. Delivery Period. The Delivery Period will commence on the day of the “Closing” as defined in
and occurring under (i) that certain Transaction Agreement by and among Atlas Energy, Inc., Atlas
Energy Resources, LLC, Atlas Pipeline Holdings, L.P. and Atlas Pipeline Holdings GP, LLC. dated as
of November 8, 2010 (the “Transaction Agreement”) and (ii) Agreement and Plan of Merger by
and among Chevron Corporation, Arkhan Corporation and Atlas Energy, Inc. dated as of November 8,
2010 (the “Merger” and together with the Transaction Agreement, collectively, the
“Restructuring Agreements”); provided that if the Closing for the Restructuring Agreements
occur on different calendar dates, then so long as both Closings occur, the Delivery Period will
commence on the later calendar date of Closing. The Delivery Period will end on March 31, 2014.
As noted above, for the purposes of establishing the Firm Base Load Volume, the Delivery Period
shall be divided into three (3) periods: Year 1 beginning at the Closing and ending on March 31,
2012,  Year 2 beginning April 1, 2012 and ending on March 31, 2013, and Year 3 beginning on
April 1, 2013 and ending on March 31, 2014.

6. Duty to Mitigate. Notwithstanding anything in Section 3 of the Contract to the contrary, in the
event that Seller fails to deliver sufficient volumes of Gas on any Day to meet its Firm Base Load
Volume Contract Quantity obligation, then Buyer will use commercially reasonable efforts to
mitigate the costs to cover any portion of the difference between the Firm Base Load Volume
Contract Quantity and the volume actually delivered by Seller.

7. Several Liability. The liability and obligations of each Seller party under this Transaction
Confirmation and as parties to the Base Contract shall be several, and not joint.

 

Page 2 of 4

 

IN WITNESS WHEREOF, and intending to be legally bound, the parties hereto have caused these
Special Provisions to be executed by their respective duly authorized representatives as of the
date first set forth above.

	 	 	 	 	 	 	 	 	 
	Atlas Resources, LLC, Viking
Resources, LLC and Resource
Energy, LLC. (severally and not jointly)	 	Chevron Natural Gas,
a division of Chevron
U.S.A. Inc.	 	 
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Matthew A. Jones
 

Name: Matthew A. Jones
	 	By:
	 	/s/ J. Brent Faulk
 

Name: J. Brent Faulk
	 	 
	 

	 	Title: Chief Financial Officer
	 	 	 	Title:   Vice President	 	 

 

Page 3 of 4

 

Attachment 1

Delivery Points

*** 

 

Page 4 of 4

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