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  Exhibit 10.34    
    

SPECIFIC TERMS IN THIS EXHIBIT HAVE BEEN REDACTED BECAUSE CONFIDENTIAL TREATMENT FOR THOSE TERMS HAS BEEN REQUESTED. THE REDACTED MATERIAL HAS BEEN SEPERATELY FILED WITH THE
SECURITIES AND EXCHANGE COMMISSION, AND THE TERMS HAVE BEEN MARKED AT THE APPROPRIATE PLACE WITH TWO ASTERISKS (**).

Execution Version

CONTRIBUTION AGREEMENT  

 BY AND AMONG  

 M&R MWE LIBERTY, LLC,  

 MARKWEST ENERGY PARTNERS, L.P.  

 and  

 MARKWEST LIBERTY GAS GATHERING, L.L.C.  

 dated  

 December 29, 2011  

 

 
 

  TABLE OF CONTENTS    
    

 

							
	 
	 	 
	 	Page 	 
	  ARTICLE I DEFINITIONS AND INTERPRETATIONS
	 	 	1	 
	 1.1.
	 	 Definitions
	 	 	1	 
	 1.2.
	 	 Interpretations
	 	 	1	 
	

   ARTICLE II CONTRIBUTION OF THE CONTRIBUTED INTEREST; CLOSING
	
 	
 	
2	
 
	 2.1.
	 	 Contribution of the Contributed Interest
	 	 	2	 
	 2.2.
	 	 Contribution Consideration
	 	 	2	 
	 2.3.
	 	 Time and Place of Closing; Effective Time
	 	 	2	 
	 2.4.
	 	 Deliveries and Actions at Closing
	 	 	2	 
	

   ARTICLE III REPRESENTATIONS AND WARRANTIES OF THE CONTRIBUTOR
	
 	
 	
3	
 
	 3.1.
	 	 Organization; Qualification
	 	 	3	 
	 3.2.
	 	 Authority; Enforceability
	 	 	3	 
	 3.3.
	 	 Non-Contravention
	 	 	4	 
	 3.4.
	 	 Governmental Approvals
	 	 	4	 
	 3.5.
	 	 Representations as to Contributed Interest
	 	 	4	 
	 3.6.
	 	 Matters Relating to Transactions
	 	 	5	 
	 3.7.
	 	 Brokers' Fee
	 	 	5	 
	

   ARTICLE IV REPRESENTATIONS AND WARRANTIES OF THE ACQUIRER PARTIES
	
 	
 	
6	
 
	 4.1.
	 	 Organization; Qualification
	 	 	6	 
	 4.2.
	 	 Authority; Enforceability
	 	 	6	 
	 4.3.
	 	 Non-Contravention
	 	 	6	 
	 4.4.
	 	 Governmental Approvals
	 	 	7	 
	 4.5.
	 	 Capitalization
	 	 	7	 
	 4.6.
	 	 Representations as to Unit Consideration
	 	 	8	 
	 4.7.
	 	 MWE SEC Filings
	 	 	8	 
	 4.8.
	 	 Matters Relating to Transactions
	 	 	8	 
	 4.9.
	 	 Litigation
	 	 	9	 
	 4.10.
	 	 Brokers' Fee
	 	 	9	 
	

   ARTICLE V COVENANTS OF THE PARTIES
	
 	
 	
9	
 
	 5.1.
	 	 Certain Legends
	 	 	9	 
	 5.2.
	 	 Expenses
	 	 	10	 
	 5.3.
	 	 Further Assurances
	 	 	10	 
	 5.4.
	 	 Public Statements
	 	 	10	 
	 5.5.
	 	 Confidentiality
	 	 	11	 
	 5.6.
	 	 Agreements Relating to MWE Partnership Agreement
	 	 	11	 
	 5.7.
	 	 Tax Matters
	 	 	11	 
	 5.8.
	 	 Agreements and Waivers Relating to Contributed Interest
	 	 	13	 
	

   ARTICLE VI SURVIVAL; RELATED MATTERS
	
 	
 	
13	
 
	 6.1.
	 	 Survival
	 	 	13	 
	 6.2.
	 	 Calculation of Losses
	 	 	14	 
	 6.3.
	 	 Waiver of Certain Losses
	 	 	14	 
	 6.4.
	 	 No Reliance
	 	 	15	 
	

   ARTICLE VII GENERAL PROVISIONS
	
 	
 	
15	
 
	 7.1.
	 	 Notices
	 	 	15	 
	 7.2.
	 	 Binding Effect
	 	 	16	 
	 7.3.
	 	 Third Party Rights
	 	 	16	 

 

 i

 
 

							
	 
	 	 
	 	Page 	 
	 7.4.
	 	 Waiver of Compliance
	 	 	16	 
	 7.5.
	 	 Applicable Law
	 	 	16	 
	 7.6.
	 	 Waiver of Jury Trial
	 	 	16	 
	 7.7.
	 	 Severability
	 	 	17	 
	 7.8.
	 	 Amendment or Modification
	 	 	17	 
	 7.9.
	 	 Assignment
	 	 	17	 
	 7.10.
	 	 Waiver of Transfer Restrictions in Company LLC Agreement
	 	 	17	 
	 7.11.
	 	 Counterparts
	 	 	17	 
	 7.12.
	 	 No Recourse Against Non-Parties
	 	 	17	 
	 7.13.
	 	 Representation by Counsel
	 	 	17	 
	 7.14.
	 	 Entire Agreement; Supersedure
	 	 	17	 

 

 
 Exhibits  

        Exhibit A—Definitions

ii

 

 

 
 

  CONTRIBUTION AGREEMENT    
    

        This CONTRIBUTION AGREEMENT (this
"Agreement"), dated December 29, 2011, is made and entered into by and among M&R MWE Liberty, LLC, a Delaware limited liability company
(the "Contributor"), on the one hand, and MarkWest Energy Partners, L.P., a Delaware limited partnership
("MWE") and MarkWest Liberty Gas Gathering, L.L.C., a Delaware limited liability company (the
"Acquirer"), on the other hand. Each of the Acquirer and MWE is sometimes referred to individually in this Agreement as a
"Acquirer Party," and such Parties are sometimes collectively referred to in this Agreement as the "Acquirer
Parties." 

        Each
of the parties to this Agreement is sometimes referred to individually in this Agreement as a "Party" and all of the parties to this
Agreement are sometimes collectively referred to in this Agreement as the "Parties." 

 
 

  R E C I T A L S    
    

        WHEREAS, reference is hereby made to that certain Second Amended and Restated Limited Liability Company Agreement, dated as of
November 1, 2009, as amended by that certain Amendment No. 1, dated as of November 20, 2009, as further amended by that certain Amendment No. 2, dated as of
April 28, 2011 and as further amended by that certain Amendment No. 3, dated as of December 19, 2011 (as so amended, the "Company LLC
Agreement"), of MarkWest Liberty Midstream & Resources, L.L.C., a Delaware limited liability company (the "Company"), by
and among the Company, the Contributor and the Acquirer; 

        WHEREAS,
the Contributor owns 100% of the Class A Interests in the Company (the "Contributed Interest"); and 

        WHEREAS,
subject to the terms and conditions of this Agreement, the Contributor desires to contribute to the Acquirer, and the Acquirer desires to accept the contribution of, the
Contributed Interest in exchange for a transfer of cash in the amount set forth in this Agreement and the issuance of certain limited partnership interests of MWE to the Contributor. 

 
 

  A G R E E M E N T S    
    

        NOW, THEREFORE, in consideration of the representations, warranties, agreements and covenants contained in this Agreement, and other
good and valuable consideration, the receipt and legal sufficiency of which are hereby acknowledged, the Parties undertake and agree as follows: 

 
 

  ARTICLE I
  DEFINITIONS AND INTERPRETATIONS    
    

        1.1.    Definitions.    Capitalized terms used in this Agreement but not defined in the body
of this Agreement shall have the respective meanings ascribed to such terms in Exhibit A. Capitalized terms defined in the body of this Agreement
are listed in Exhibit A by location of the definitions of such terms in the body of this Agreement. 

        1.2.    Interpretations.    In this Agreement, unless a clear contrary intention appears:
(a) the singular includes the plural and vice versa; (b) reference to a Person includes such Person's successors and assigns but, in the case of a Party, only if such successors and
assigns are permitted by this Agreement, and reference to a Person in a particular capacity excludes such Person in any other capacity; (c) reference to any gender includes each other gender;
(d) references to any Exhibit, Schedule, Section, Article, subsection and other subdivision refer to the corresponding Exhibits, Schedules, Sections, Articles, subsections and other
subdivisions of this Agreement unless expressly provided otherwise; (e) references in any Section or Article or definition to any clause means such clause of such Section, Article or
definition; (f) "hereunder," "hereof," "hereto" and words of similar import are 

1

 

references
to this Agreement as a whole and not to any particular provision of this Agreement; (g) the word "or" is not exclusive, and the word "including" (in its various forms) means
"including without limitation"; (h) references to "days" are to calendar days; (i) all references to money refer to the lawful currency of the United States and (j) references to
the "date of this Agreement" or the "date hereof" shall mean December 29, 2011. The Table of Contents and the Article and Section titles and headings in this Agreement are inserted for
convenience of reference only and are not intended to be a part of, or to affect the meaning or interpretation of, this Agreement. 

 
 

  ARTICLE II
  CONTRIBUTION OF THE CONTRIBUTED INTEREST; CLOSING    
    

        2.1.    Contribution of the Contributed Interest.    Upon the terms contained in this
Agreement, at the Closing the Contributor shall contribute, assign, transfer and deliver to MWE, and MWE, through its subsidiary, the Acquirer, shall acquire and accept from the Contributor, the
Contributed Interest. 

        2.2.    Contribution Consideration.    The total consideration (the
"Contribution Consideration") to be delivered by the Acquirer, or by MWE on behalf of the Acquirer, to the Contributor in exchange for the contribution,
assignment, transfer and delivery of the Contributed Interest shall be as follows: 

        (a)   cash
in the aggregate amount of $994,000,000 (the "Cash Consideration"), consisting of the Cash Sale Consideration and
the Cash Distribution Consideration; and 

        (b)   the
Unit Consideration. 

        2.3.    Time and Place of Closing; Effective Time.    The closing of the contribution,
assignment, transfer and delivery of the Contributed Interest to the Acquirer and the other transactions contemplated by this Agreement (the "Closing")
will take place at the offices of Vinson & Elkins L.L.P., 1001 Fannin Street, Suite 2500, Houston, Texas 77002 on December 29, 2011. The Parties acknowledge and agree that
the Closing shall be effective on December 29, 2011 for all purposes other than the purposes specified in
Section 5.7(d), for which purposes the Closing will be deemed effective as of 11:59 p.m., Denver, Colorado time, on December 31, 2011. 

        2.4.    Deliveries and Actions at Closing.    

        (a)    Deliveries and Actions of Acquirer Parties.    The Acquirer Parties will execute and deliver, or cause to be
executed and delivered, to the Contributor, each of the following documents, where the execution or delivery of documents is contemplated, and will take or cause to be taken the following actions,
where the taking of actions is contemplated: 

        (i)    Cash Consideration.    Transfer of the Cash Consideration to the Contributor by wire transfer of immediately
available funds to an account designated by the Contributor; 

        (ii)    Unit Consideration.    The Unit Consideration issued and delivered to the Contributor by one or more
certificates representing the MWE Class B Units comprising the Unit Consideration. 

        (iii)    Amendment No. 1 to MWE Partnership Agreement.    A copy of Amendment No. 1 to the Third Amended
and Restated Agreement of Limited Partnership of MarkWest Energy Partners, L.P., in the form mutually agreed by the Parties (the "MWE Partnership Agreement
Amendment"), duly executed by the MWE GP and MarkWest Hydrocarbon, Inc., a Delaware corporation; 

        (iv)    Registration Rights Agreement.    A counterpart of a registration rights agreement, in the form mutually
agreed by the Parties (the "Registration Rights Agreement"), duly executed by MWE; and 

        (v)    Assignment of Interests.    A counterpart of an assignment in the form mutually agreed by the Parties (the
"Assignment of Interests"), evidencing the assignment, transfer and delivery to 

2

 

MWE,
through its subsidiary, the Acquirer, of the Contributed Interest, duly executed by the Acquirer Parties. 

        (b)    Deliveries and Actions of the Contributor.    At the Closing, the Contributor will execute and deliver, or
cause to be executed and delivered, to the Acquirer Parties, each of the following documents, where the execution or delivery of documents is contemplated, and will take or cause to be taken the
following actions, where the taking of actions is contemplated: 

        (i)    FIRPTA Certificates.    A certificate of the Contributor, or its tax regarded owner if the Contributor is a
disregarded entity, in the form specified in Treasury Regulation Section 1.1445-2(b)(2)(iv) that the Contributor is not a "foreign person" within the meaning of Section 1445
of the Code; 

        (ii)    Registration Rights Agreement.    A counterpart of the Registration Rights Agreement, duly executed by the
Contributor; 

        (iii)    Assignment of Interests.    A counterpart of the Assignment of Interests, duly executed by the Contributor; 

        (iv)    Evidence of Release of Liens.    Written evidence, in form reasonably satisfactory to the Acquirer Parties, of
the release of any Liens on the Interests; and 

        (v)    Resignations.    The written resignations of John T. Raymond, Jeffrey Rawls and Patrick Wade as Managers of the
Company, in each case in form and substance reasonably satisfactory to the Acquirer Parties and effective prior to or concurrently with the Closing. 

 
 

  ARTICLE III
  REPRESENTATIONS AND WARRANTIES OF THE CONTRIBUTOR    
    

        The Contributor hereby represents and warrants to the Acquirer Parties as follows: 

        3.1.    Organization; Qualification.    The Contributor is a legal entity duly formed, validly
existing and in good standing under the laws of the State of Delaware and has all requisite organizational power and authority to own, lease and operate its properties and to carry on its business as
it is now being conducted, and is duly qualified, registered or licensed to do business as a foreign entity and is in good standing in each jurisdiction in which the property owned, leased or operated
by such Person or the nature of the business conducted by such Person makes such qualification necessary, except where the failure to be so duly qualified, registered or licensed and in good standing
would not reasonably be expected to prevent or materially delay the consummation of the transactions contemplated by the Transaction Documents to which the Contributor is a party or to materially
impair the Contributor's ability to perform its obligations under the Transaction Documents to which it is a party. 

        3.2.    Authority; Enforceability.    

        (a)   The
Contributor has the requisite power and authority to execute and deliver the Transaction Documents to which it is a party, and to consummate the transactions
contemplated thereby. The execution and delivery by the Contributor of the Transaction Documents to which the Contributor is a party, and the consummation by the Contributor of the transactions
contemplated thereby, have been duly and validly authorized by the Contributor, and no other limited liability company proceedings on the part of the Contributor are necessary to authorize the
Transaction Documents to which it is a party or to consummate the transactions contemplated by the Transaction Documents to which it is a party. 

        (b)   The
Transaction Documents to which the Contributor is a party have been duly executed and delivered by the Contributor, and, assuming the due authorization, execution
and delivery by the other parties thereto (other than the Contributor), each Transaction Document to which the Contributor is a party constitutes the valid and binding agreement of the Contributor,
enforceable against the 

3

 

Contributor
in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar Laws relating
to or affecting creditors' rights generally and subject, as to enforceability, to legal principles of general applicability governing the availability of equitable remedies, including principles of
commercial reasonableness, good faith and fair dealing (regardless of whether such enforceability is considered in a proceeding in equity or at law) (collectively, "Creditors'
Rights"). 

        3.3.    Non-Contravention.    The execution, delivery and performance of the
Transaction Documents to which the Contributor is a party by the Contributor and the consummation by the Contributor of the transactions contemplated thereby does not and will not: (a) result
in any breach of any provision of the Organizational Documents of the Contributor; (b) except with respect to the Contributor Credit Agreement, which shall be fully repaid and terminated at or
prior to the Closing, constitute a default (or an event that with notice or passage of time or both would give rise to a default) under, or give rise to any right of termination, cancellation,
amendment or acceleration (with or without the giving of notice, or the passage of time or both) under any of the terms, conditions or provisions of any Contract to which the Contributor is a party or
by which any property or asset of the Contributor is bound or affected; or (c) violate any Law to which the Contributor is subject or by which any of the Contributor's properties or assets is
bound, except, in the cases of clauses (b) and (c), for such defaults or rights of termination, cancellation, amendment, or acceleration or violations as would not reasonably be expected to
prevent or materially delay the consummation of the transactions contemplated by the Transaction Documents to which the Contributor is a party or to materially impair the Contributor's ability to
perform its obligations under the Transaction Documents to which it is a party. 

        3.4.    Governmental Approvals.    No declaration, filing or registration with, or notice to,
or authorization, consent or approval of, any Governmental Authority is necessary for the consummation by the Contributor of the transactions contemplated by the Transaction Documents to which it is a
party, other than such declarations, filings, registrations, notices, authorizations, consents or approvals that have been obtained or made or that would in the ordinary course be made or obtained
after the Closing, or which, if not obtained or made, would not reasonably be expected to prevent or materially delay the consummation of the transactions contemplated by the Transaction Documents to
which the Contributor is a party or to materially impair the Contributor's ability to perform its obligations under the Transaction Documents to which it is a party. 

        3.5.    Representations as to Contributed Interest.    

        (a)   The
Contributed Interest constitutes all of the equity interests of the Company owned beneficially or of record by the Contributor or its Affiliates. 

        (b)   The
Contributor is the sole record and beneficial owner of, and has good and valid title to, the Contributed Interest, free and clear of all Liens other than
(i) the Lien evidenced by the Contributor Credit Agreement, which Lien shall be extinguished upon the full repayment and termination of the Contributor Credit Agreement at or prior to the
Closing, (ii) any transfer restrictions imposed by federal and state securities laws and (iii) any transfer restrictions contained in the Organizational Documents of the Company. 

        (c)   At
the Closing, the Contributor will assign, convey, transfer and deliver to MWE, through the Acquirer, good and valid title to the Contributed Interest, free and clear
of all Liens other than (i) any transfer restrictions imposed by federal and state securities laws, (ii) any transfer restrictions contained in the Organizational Documents of the
Company and (iii) any Liens on the Contributed Interest as a result of actions by the Acquirer Parties or their Affiliates. 

        (d)   Neither
the Contributor nor any of its Affiliates is a party to any agreements, arrangements or commitments obligating the Contributor to grant, deliver or sell, or
cause to be granted, delivered or sold, the Contributed Interest, by sale, lease, license or otherwise, other than this Agreement. 

4

 

        (e)   Except
as set forth in the Company LLC Agreement, there are no voting trusts, proxies or other agreements or understandings to which the Contributor is bound with
respect to the voting of the Contributed Interest. 

        3.6.    Matters Relating to Transactions.    

        (a)   The
Contributor has such knowledge and experience in financial and business matters so as to be capable of evaluating the merits and risks of its investment in the Unit
Consideration and is capable of bearing the economic risk of such investment. The Contributor is an "accredited investor" as that term is defined in Rule 501 of Regulation D (without
regard to Rule 501(a)(4)) promulgated under the Securities Act. The Contributor is acquiring the Unit Consideration for investment for its own account and not with a view toward or for sale in
connection with any distribution thereof, or with any present intention of distributing or selling the Unit Consideration. The Contributor is not a party to any Contract with any Person to sell,
transfer or grant participations to such Person or to any third Person, with respect to the Unit Consideration. The Contributor acknowledges and understands that (i) the acquisition of the Unit
Consideration has not been registered under the Securities Act in reliance on an exemption therefrom and (ii) that the Unit Consideration will be characterized as "restricted securities" under
state and federal securities laws. The Contributor agrees that the Unit Consideration may not be sold, transferred, offered for sale, pledged, hypothecated or otherwise disposed of except
(i) pursuant to an effective registration statement under the Securities Act or pursuant to an available exemption from the registration requirements of the Securities Act, and in compliance
with other applicable state and federal securities laws and (ii) in compliance with all transfer restrictions in the MWE Partnership Agreement, including the transfer restrictions applicable to
the Contributor set forth in Sections 4.6(e) and 4.6(f) of the MWE Partnership Agreement. 

        (b)   The
Contributor has had an opportunity to ask questions and receive answers from the Acquirer Parties regarding the terms and conditions of the contribution of the
Contributed Interest and the offering of the Unit Consideration pursuant to this Agreement and the business, properties, prospects, and financial condition of the Company and MWE. The foregoing,
however, does not modify the representations and warranties of the Acquirer Parties in Article IV and such representations and warranties
constitute the sole and exclusive representations and warranties of the Acquirer Parties to the Contributor in connection with the transactions contemplated by this Agreement. 

        (c)   The
Contributor has all right, power and authority necessary to enter into the MWE Partnership Agreement at the Closing upon its receipt of the Unit Consideration. 

        3.7.    Brokers' Fee.    Except for the fee payable to Citigroup Global Markets
Group, Inc., which shall be paid by the Contributor, no broker, investment banker, financial advisor or other Person is entitled to any broker's, finder's, financial advisor's or other similar
fee or commission in connection with the transactions contemplated by this Agreement based upon arrangements made by or on behalf of the Contributor. 

5

 

 

 
 

  ARTICLE IV
  REPRESENTATIONS AND WARRANTIES OF THE ACQUIRER PARTIES    
    

        The Acquirer Parties hereby jointly and severally represent and warrant to the Contributor as follows: 

        4.1.    Organization; Qualification.    

        (a)   Each
Acquirer Party is a legal entity duly formed, validly existing and in good standing under the laws of Delaware and has all requisite organizational power and
authority to own, lease and operate its properties and to carry on its business as it is now being conducted, and is duly qualified, registered or licensed to do business as a foreign entity and is in
good standing in each jurisdiction in which the property owned, leased or operated by it or the nature of its business makes such qualification necessary, except where the failure to be so duly
qualified, registered or licensed and in good standing would not reasonably be expected to have an MWE Material Adverse Effect or to prevent or materially delay the consummation of the transactions
contemplated by the Transaction Documents to which it is a party or to materially impair its ability to perform its obligations under the Transaction Documents to which it is a party. 

        (b)   MWE
is properly treated as a partnership for U.S. federal income tax purposes. MWE would not be treated as an investment company (within the meaning of Code
Section 351) if it were incorporated. 

        (c)   Acquirer
is disregarded as an entity separate from its owner for U.S. federal income tax purposes within the meaning of Treasury Regulation
Section 301.7701-3(b). Acquirer has not elected to be classified as an association, taxable as a corporation, within the meaning of Treasury Regulation Section 301.7701.3(a),
and will not make any such election that would be contrary to the treatment agreed upon by the Parties in Section 5.7(b). 

        4.2.    Authority; Enforceability.    

        (a)   Each
Acquirer Party has the requisite power and authority to execute and deliver the Transaction Documents to which it is a party, and to consummate the transactions
contemplated thereby. The execution and delivery by each Acquirer Party of the Transaction Documents to which it is a party, and the consummation by it of the transactions contemplated thereby, have
been duly and validly authorized by such Acquirer Party, and no other limited liability company or limited partnership proceedings, as applicable, on the part of such Acquirer Party are necessary to
authorize the Transaction Documents to which it is a party or to consummate the transactions contemplated by the Transaction Documents to which it is a party. 

        (b)   The
Transaction Documents to which each Acquirer Party is a party have been duly executed and delivered by such Acquirer Party, and, assuming the due authorization,
execution and delivery by the other parties thereto, each Transaction Document to which such Acquirer Party is a party constitutes the valid and binding agreement of such Acquirer Party, enforceable
against such Acquirer Party in accordance with its terms, except as such enforceability may be limited by Creditors' Rights. 

        4.3.    Non-Contravention.    

        (a)   The
execution, delivery and performance of the Transaction Documents to which each Acquirer Party is a party by such Acquirer Party and the consummation by each Acquirer
Party of the transactions contemplated thereby does not and will not: (a) result in any breach of any provision of the Organizational Documents of each Acquirer Party; (b) constitute a
default (or an event that with notice or passage of time or both would give rise to a default) under, or give rise to any right of termination, cancellation, amendment or acceleration (with or without
the giving of notice, or the passage of time or both) under any of the terms, conditions or provisions of any Contract to which such Acquirer Party is a party or by which any property or asset of such
Acquirer Party is bound or 

6

 

affected;
or (c) violate any Law to which either Acquirer Party is subject or by which any of such Acquirer Party's properties or assets is bound, except, in the cases of clauses (b) and
(c), for such
defaults or rights of termination, cancellation, amendment, or acceleration or violations as would not reasonably be expected to have an MWE Material Adverse Effect or to prevent or materially delay
the consummation of the transactions contemplated by the Transaction Documents to which each Acquirer Party is a party or to materially impair such Acquirer Party's ability to perform its obligations
under the Transaction Documents to which it is a party. 

        (b)   Except
for such consents as have been obtained at or prior to the Closing, no consents are required under the MWE Credit Agreements or MWE Indentures to permit the
consummation of the Transactions. 

        4.4.    Governmental Approvals.    No declaration, filing or registration with, or notice to,
or authorization, consent or approval of, any Governmental Authority is necessary for the consummation by either Acquirer Party of the transactions contemplated by the Transaction Documents to which
it is a party, other than such declarations, filings, registrations, notices, authorizations, consents or approvals which, if not obtained or made, would not reasonably be expected to have an MWE
Material Adverse Effect or to prevent or materially delay the consummation of the transactions contemplated by the Transaction Documents to which either Acquirer Party is a party or to materially
impair either Acquirer Party's ability to perform its obligations under the Transaction Documents to which it is a party. 

        4.5.    Capitalization.    

        (a)   As
of the date of this Agreement, 94,939,558 MWE Common Units are issued and outstanding and 22,640,000 MWE Class A Units are issued and outstanding. Such Common
Units and Class A Units represent the only limited partnership interests of MWE outstanding as of the date of this Agreement. 

        (b)   All
of the limited partner interests in MWE are duly authorized and validly issued in accordance with the Organizational Documents of MWE, and are fully paid (to the
extent required under the Organizational Documents of MWE) and nonassessable (except as nonassessability may be affected by Sections 17-303, 17-607 and
17-804 of the Delaware LP Act) and were not issued in violation of any preemptive rights, rights of first refusal or other similar rights of any Person. 

        (c)   Except
as set forth in the Organizational Documents of MWE, there are no preemptive rights, conversion rights, redemption rights or other similar rights that obligate
MWE to issue or sell any equity interests in MWE or any securities or obligations convertible or exchangeable into or exercisable for, or giving any Person a right to subscribe for or acquire, any
equity interests in MWE, and no securities or obligations evidencing such rights are authorized, issued or outstanding. 

        (d)   Except
as set forth in the Organizational Documents of MWE or in the Transaction Documents, or as described in the MWE SEC Filings (including, for purposes of this
Section 4.5, the exhibits to or filed with such MWE SEC Filings), or as otherwise issued pursuant to MWE's equity incentive plans, there are no options, warrants, stock appreciation rights, or
similar agreements or arrangements that obligate MWE to issue or sell any equity interests of MWE or any securities or obligations convertible or exchangeable into or exercisable for, or giving any
Person a right to subscribe for or acquire, any equity interests in MWE, and no securities or obligations evidencing such rights are authorized, issued or outstanding. 

        (e)   MWE
does not have any outstanding bonds, debentures, notes or other obligations the holders of which have the right to vote (or convertible into or exercisable for
securities having the right to vote) with the holders of equity interests in MWE on any matter. 

        (f)    MarkWest
Energy GP, L.LC., a Delaware limited liability company ("MWE GP") is the sole general partner of
MWE with a 0.0% General Partner Interest (as defined in the MWE Partnership 

7

 

Agreement)
in MWE (the "MWE GP Interest"). The MWE GP Interest has been duly authorized and validly issued in accordance with the MWE
Partnership Agreement and has not been issued in violation of any preemptive rights, rights of first refusal or other similar rights of any Person. 

        4.6.    Representations as to Unit Consideration.    

        (a)   The
issuance of the MWE Class B Units comprising the Unit Consideration and the MWE Common Units issuable upon conversion of such MWE Class B Units has
been duly authorized in accordance with the Organizational Documents of MWE. The MWE Class B Units comprising the Unit Consideration, when issued and delivered to the Contributor in accordance
with the terms of this Agreement, and the MWE Common Units issuable upon conversion of such MWE Class B Units, when issued upon conversion of such MWE Class B Units, in each case will be
validly issued, fully paid (to the extent required under the Organizational Documents of MWE), nonassessable (except to the extent nonassessability may be affected by
Sections 17-303, 17-607 and 17-804 of the Delaware LP Act) and free and clear of all Liens other than (i) any transfer restrictions imposed by
federal and state securities laws, and (ii) any transfer restrictions contained in the Organizational Documents of MWE. 

        (b)   Upon
issuance and delivery of the Unit Consideration, the MWE Class B Units comprising the Unit Consideration shall have those rights, preferences, privileges and
restrictions governing the MWE Class B Units, as applicable, as set forth in the MWE Partnership Agreement. Further, the MWE Common Units issuable upon conversion of such MWE Class B
Units shall have those rights, preferences, privileges and restrictions governing the MWE Common Units, as applicable, as set forth in the MWE Partnership Agreement. 

        (c)   Upon
issuance and delivery of the Unit Consideration, the Contributor will be duly admitted to MWE as an additional limited partner. 

        4.7.    MWE SEC Filings.    MWE has filed with the SEC: (a) its Annual Report on
Form 10-K for the fiscal year ended December 31, 2010; (b) such Quarterly Reports on Form 10-Q since December 31, 2010 as are required to be
filed pursuant to the Exchange Act; (c) such Current Reports on Form 8-K since December 31, 2010 as are required to be filed pursuant to the Exchange Act;
(d) all proxy statements relating to all meetings of MWE's unitholders (whether annual or special) since December 31, 2010; and (e) all other reports required to be filed by MWE
with the SEC after December 31, 2010 pursuant to Section 13(a) of the Exchange Act (each such document, excluding any exhibits thereto, an "MWE SEC
Filing"). Each MWE SEC Filing, at the time such report was filed with or furnished to the SEC complied in all material respects with the Securities Act and the Exchange Act. No
MWE SEC Filing, at the time such report was filed with or furnished to the SEC, contained any untrue statement of a material fact or omitted to state any material fact required to be stated therein in
order to make the statements contained therein, in light of the circumstances under which they were made, not misleading. The financial statements of MWE included in the MWE SEC Filings complied as to
form in all material respects with published rules and regulations of the SEC with respect thereto, were prepared in accordance with GAAP applied on a consistent basis throughout the periods indicated
(except as may be indicated in the notes thereto or, in the case of unaudited financial statements, as permitted under Form 10-Q or Form 8-K under the Exchange
Act) and fairly presented in all material respects the consolidated financial position of MWE and its consolidated subsidiaries as of the respective dates thereof and the consolidated results of MWE's
operations and cash flows for the periods indicated (subject, in the case of unaudited statements, to normal and recurring year end audit adjustments). 

        4.8.    Matters Relating to Transactions.    

        (a)   The
Acquirer Parties have such knowledge and experience in financial and business matters so as to be capable of evaluating the merits and risks of its investment in the
Contributed Interest and are capable of bearing the economic risk of such investment. Each Acquirer Party is an "accredited 

8

 

investor"
as that term is defined in Rule 501 of Regulation D (without regard to Rule 501(a)(4)) promulgated under the Securities Act. MWE, through its subsidiary, the Acquirer,
is acquiring the Contributed Interest for investment for its own account and not with a view toward or for sale in connection with any distribution thereof, or with any present intention of
distributing or selling the Contributed Interest. Neither Acquirer Party has any Contract or arrangement with any Person to sell, transfer or grant participations to such Person or to any third
Person, with respect to the Contributed Interest. Each Acquirer Party acknowledges and understands that (i) the acquisition of the Contributed Interest has not been registered under the
Securities Act in reliance on an exemption therefrom and (ii) that the Contributed Interest will be characterized as "restricted securities" under state and federal securities laws. 

        (b)   Each
Acquirer Party has had an opportunity to ask questions and receive answers from the Contributor regarding the terms and conditions of the contribution of the
Contributed Interest. The foregoing, however, does not modify the representations and warranties of the Contributor Parties in Article III and
such representations and warranties constitute the sole and exclusive representations and warranties of the Contributor to the Acquirer Parties in connection with the transactions contemplated by this
Agreement 

        4.9.    Litigation.    As of the date of this Agreement, except as described in the MWE SEC
Filings, there are no pending or, to the knowledge of the Acquirer Parties, threatened legal or governmental proceedings to which any Acquirer Party is or, to the knowledge of the Acquirer Parties, is
threatened to be a party to that would reasonably be expected to have an MWE Material Adverse Effect or to prevent or materially delay the consummation of the transactions contemplated by the
Transaction Documents to which any Acquirer Party is a party or to materially impair any Acquirer Party's ability to perform its obligations under the Transaction Documents to which it is a party. 

        4.10.    Brokers' Fee.    Except for the fee payable to Morgan
Stanley & Co. LLC, which shall be paid by the Acquirer Parties, no broker, investment banker, financial advisor or other Person is entitled to any broker's, finder's, financial
advisor's or other similar fee or commission in connection with the transactions contemplated by this Agreement based upon arrangements made by or on behalf of the Acquirer Parties. 

 
 

  ARTICLE V
  COVENANTS OF THE PARTIES    
    

        5.1.    Certain Legends.    

        (a)   The
Contributor agrees that, so long as the restrictions described in the following legends are applicable, each certificate representing, and each ownership statement
issued under a book-entry system maintained with respect to, all or any portion of the MWE Class B Units comprising the Unit Consideration and the MWE Common Units issuable upon the
conversion of such MWE Class B Units shall bear the following legends: 

THIS
SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. IT MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF A REGISTRATION STATEMENT IN
EFFECT WITH RESPECT TO THE SECURITIES UNDER SUCH ACT OR AN OPINION OF COUNSEL SATISFACTORY TO MARKWEST ENERGY PARTNERS, L.P. THAT SUCH REGISTRATION IS NOT REQUIRED. 

THIS
SECURITY IS SUBJECT TO RESTRICTIONS ON TRANSFER SET FORTH IN SECTIONS 4.6(E) AND 4.6(F) OF AND ELSEWHERE IN THE THIRD AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP OF MARKWEST
ENERGY PARTNERS, L.P., AS AMENDED BY AMENDMENT NO. 1 THERETO, AND AS FURTHER 

9

 

AMENDED,
SUPPLEMENTED OR RESTATED FROM TIME TO TIME (THE "PARTNERSHIP AGREEMENT") AND THE VOTING RESTRICTIONS SET FORTH IN SECTION 5.7(D) OF THE PARTNERSHIP AGREEMENT AND IN THE DEFINITION OF
THE DEFINED TERM "OUTSTANDING" IN THE PARTNERSHIP AGREEMENT. 

THE
HOLDER OF THIS SECURITY ACKNOWLEDGES FOR THE BENEFIT OF MARKWEST ENERGY PARTNERS, L.P. THAT THIS SECURITY MAY NOT BE SOLD, OFFERED, RESOLD, PLEDGED OR OTHERWISE TRANSFERRED IF SUCH TRANSFER
WOULD (A) VIOLATE THE THEN APPLICABLE FEDERAL OR STATE SECURITIES LAWS OR RULES AND REGULATIONS OF THE SECURITIES AND EXCHANGE COMMISSION, ANY STATE SECURITIES COMMISSION OR ANY OTHER
GOVERNMENTAL AUTHORITY WITH JURISDICTION OVER SUCH TRANSFER, (B) TERMINATE THE EXISTENCE OR QUALIFICATION OF MARKWEST ENERGY PARTNERS L.P. UNDER THE LAWS OF THE STATE OF DELAWARE, OR
(C) CAUSE MARKWEST ENERGY PARTNERS, L.P. TO BE TREATED AS AN ASSOCIATION TAXABLE AS A CORPORATION OR OTHERWISE TO BE
TAXED AS AN ENTITY FOR FEDERAL INCOME TAX PURPOSES (TO THE EXTENT NOT ALREADY SO TREATED OR TAXED). MARKWEST ENERGY GP, L.L.C., THE GENERAL PARTNER OF MARKWEST ENERGY PARTNERS, L.P., MAY
IMPOSE ADDITIONAL RESTRICTIONS ON THE TRANSFER OF THIS SECURITY IF IT RECEIVES AN OPINION OF COUNSEL THAT SUCH RESTRICTIONS ARE NECESSARY TO AVOID A SIGNIFICANT RISK OF MARKWEST ENERGY
PARTNERS, L.P. BECOMING TAXABLE AS A CORPORATION OR OTHERWISE BECOMING TAXABLE AS AN ENTITY FOR FEDERAL INCOME TAX PURPOSES. 

        (b)   The
Contributor agrees that, so long as the restrictions described in the following legends are applicable, in addition to the legends set forth in Section 5.1(a)
each certificate representing, and each ownership statement issued under a book-entry system maintained with respect to, all or any portion of the MWE Class B Units comprising the
Unit Consideration shall bear the following legend: 

THIS
SECURITY IS SUBJECT TO THE RIGHTS SET FORTH IN SECTION 6.2 OF THAT CERTAIN CONTRIBUTION AGREEMENT, DATED DECEMBER 29, 2011, BY AND AMONG M&R MWE LIBERTY, LLC, MARKWEST ENERGY
PARTNERS, L.P. AND MARKWEST LIBERTY GAS GATHERING, L.L.C. 

        5.2.    Expenses.    All costs and expenses incurred by the Contributor in connection with the
Transactions shall be paid by the Contributor and all costs and expenses incurred by the Acquirer Parties in connection with the Transactions shall be paid by the Acquirer Parties;  provided, however,
that if any action at law or equity is necessary to enforce or interpret the terms of the Transaction Documents, the prevailing Party
shall be entitled to reasonable attorneys' fees and expenses in addition to any other relief to which such Party may be entitled. 

        5.3.    Further Assurances.    Subject to the terms and conditions of this Agreement, each of
the Parties shall use all commercially reasonable efforts to take, or cause to be taken, all action, and to do, or cause to be done, all things necessary, proper or advisable under applicable Law to
consummate and effectuate the transactions contemplated by this Agreement. 

        5.4.    Public Statements.    The Parties shall consult with each other prior to issuing any
public announcement, statement or other disclosure with respect to the Transactions and none of the Contributor and their respective Affiliates on one hand nor the Acquirer Parties and their
respective Affiliates on the other shall issue any such public announcement, statement or other disclosure without having first notified the Contributor on one hand or the Acquirer Parties on the
other; provided, however, that MWE and its Affiliates may make any public disclosure without first so consulting with or notifying the Contributor if
MWE or any such Affiliate reasonably believes that it is required to do so by Law or by any stock exchange listing requirement or trading agreement concerning the publicly traded securities of MWE. 

10

 

        5.5.    Confidentiality.    The Contributor acknowledges and agrees that the obligations set
forth in Section 5.4 of the Company LLC Agreement shall continue in full effect following the Closing, but that the Contributor shall not have the right to enforce the provisions thereof
except with respect to disclosure of any Confidential Information of the Contributor or its Affiliates. 

        5.6.    Agreements Relating to MWE Partnership Agreement.    The Contributor acknowledges and
agrees that at the Closing the Contributor shall: (a) become a Limited Partner (as such term is defined in the MWE Partnership Agreement) and comply with and be bound by the MWE Partnership
Agreement, including the restrictions on transfer applicable to the Contributor set forth in Sections 4.6(e) and 4.6(f) thereof and the voting restrictions applicable to the Contributor set
forth in Section 5.7(d) thereof and in the definition of the defined term "Outstanding" in the MWE Partnership Agreement, and shall be deemed to have executed the MWE Partnership Agreement;
(b) be deemed to have granted the powers of attorney provided for in the Partnership Agreement; and (c) be deemed to have made the waivers and given the consents and approvals contained
in the MWE Partnership Agreement. 

        5.7.    Tax Matters.    

        (a)    Tax Responsibilities.    Except as otherwise provided in this Agreement, each Party shall bear all taxes
imposed on it as a result of the transactions contemplated by this Agreement. Each Party shall timely file, to the extent required by or permissible under applicable Law, all tax returns and other
documentation with respect to any such taxes. 

        (b)    Tax Treatment.    The Parties intend to treat the transactions contemplated by  Article II as an "assets-over"
partnership merger within the meaning of Treasury Regulations
Section 1.708-1(c)(3)(i), whereby (i) first, the Contributor is treated as selling a portion of the Contributed Interest to MWE in exchange for the Cash Sale Consideration in
accordance with Treasury Regulations Section 1.708-1(c)(4) (and the Contributor hereby agrees to treat
the transfer of such portion of the Contributed Interest to MWE as a sale for all tax purposes), (ii) second, the Company is treated as contributing to MWE pursuant to Section 721 of the
Code an undivided interest in each of the Company's assets in exchange for the Unit Consideration and the Cash Distribution Consideration, with the Cash Distribution Consideration being treated as a
reimbursement of a portion of the Company's preformation capital expenditures pursuant to Treasury Regulations Section 1.707-4(d), and (iii) third, the Company is treated as
liquidating, distributing (A) the Cash Contribution Consideration and the Unit Consideration to the Contributor and (B) the remainder of the Company's underlying assets to MWE. The
Parties agree to report consistent with this Section 5.7(b) on all relevant tax returns, except as otherwise required by a determination, as defined in Section 1313 of the Code. 

        (c)    Agreement to Cooperate.    Except as provided herein, each Party shall use commercially reasonable efforts to
cooperate fully with the other Parties, as and to the extent reasonably requested by any other Party, in connection with the filing of tax returns and any proceeding with respect to taxes. If upon
audit of the Company's federal income tax return for the period ending December 31, 2011, the Internal Revenue Service proposes to treat the receipt of all or a portion of the Cash Distribution
Consideration as proceeds from the sale of assets by the Company to MWE, any income or gain resulting from the proposed adjustment will be allocated for all tax purposes to the Contributor. Acquirer,
as the tax matters partner of the Company, will contest any proposed adjustment with respect to the treatment of the receipt of the Cash Distribution Consideration at the direction of the Contributor;
provided that the Contributor shall be liable for and shall pay all of the direct out-of-pocket costs incurred by the Acquirer Parties in contesting such claims. The parties
covenant to make such adjustments to the Company's post contribution tax returns (and any related information returns of its members) as are necessary to reflect any adjustments to the treatment of
the transactions as contemplated herein. 

11

 

        (d)    Tax and Accounting Effective Time.    The Parties agree that, for administrative convenience, the transactions
contemplated by this Agreement will be deemed to be effective for all tax and accounting purposes as of 11:59 p.m. on December 31, 2011. The Parties intend that Contributor shall be
treated as the tax owner of the Contributed Interest until such time, and that all items of Company income, gain, loss and deduction with respect to the Contributed Interest for the tax period ending
December 31, 2011 shall be allocated to the Contributor. 

        (e)    MWE Allocations.    The Parties acknowledge that MWE will apply the principles of Treasury Regulation
Section 1.704-3(d) to address the difference between the fair market value and the adjusted tax basis of the portion of the Company assets deemed contributed to MWE. 

        (f)    Allocation of Consideration.    Acquirer Parties shall, within 90 days following the Closing, prepare
and deliver to Contributor for its review and approval a purchase price allocation among the Company's
assets consistent with the principles of Sections 704(b) and 1060 of the Code and the Treasury Regulations promulgated thereunder (the
"Allocation") and the Contributor shall have 10 days following delivery of the Allocation to object to the Allocation. If the Contributor objects
to the Allocation and the Parties cannot come to a mutually agreeable resolution regarding such objection, the Parties shall select a mutually agreeable third-party public accounting firm to resolve
such objection and any other disputes relating to the Allocation. Upon agreement of the Parties or determination of the third-party public accounting firm with respect to the Allocation, the Parties
agree (A) to file all tax returns consistently with the Allocation, and (B) that neither Party or any of their respective Affiliates or direct or indirect owners shall take a position on
any tax return, or before any Governmental Authority in connection with the examination of a tax return or in any judicial proceeding, that is in any manner inconsistent with the terms of the
Allocation, except as required by a determination, as defined in Section 1313 of the Code. If, any taxing authority makes or proposes an allocation different from the Allocation, the Parties
shall cooperate with each other in good faith to contest such taxing authority's allocation (or proposed allocation), provided,  however, that, after
consultation with the Party (or Parties) adversely affected by such allocation (or proposed allocation), the other Party (or
Parties) hereto may file such protective claims or tax returns as may be reasonably required to protect its (or their) interests. 

        (g)    Tax Returns.    Acquirer shall be responsible for filing the Company's tax returns for the year ended
December 31, 2011, including an election for the Company under Section 754 of the Code, if applicable. Acquirer shall provide a copy of each such tax return at least sixty
(60) days before the due date for such tax return along with a computation of the allocations of tax, if any, to Contributor in accordance with the Company LLC Agreement as in effect
immediately before the closing of the transactions contemplated by this Agreement. Prior to the filing of such tax returns, Acquirer shall make any revisions or adjustments reasonably requested by
Contributor. The Parties shall each provide the other with all information reasonably necessary to prepare such tax returns. 

        (h)    Changes and Amendments to Tax Matters.    With respect to the Company's tax year ended December 31, 2011
or any prior tax year, without Contributor's prior written consent (not to be unreasonably withheld), Acquirer Partners and their Affiliates will not, on behalf of or with respect to the Company or
its assets, and will not cause the Company to, (i) make any material tax elections (except elections consistent with past practices), (ii) amend any tax returns or settle or compromise
any federal, state, local or foreign tax liability, or (iii) enter into any agreement or preliminary settlement concerning taxes or file any waiver extending the statutory period for assessment
or reassessment of taxes or any other waiver of restrictions on assessment or collection of any taxes. 

12

 

        5.8.    Agreements and Waivers Relating to Contributed Interest.    

        (a)   The
Contributor acknowledges and agrees, for and on behalf of itself and its respective Affiliates, that: 

          (i)  after
the Closing, the Contributed Interest may increase in value and the Contributor and its Affiliates will not receive or realize any benefit from such increase in
value or any increase in the value of the Company or its successors generally, other than indirectly through an increase in the value of the MWE Class B Units, including that, for the avoidance
of doubt, the Contributor shall not be entitled to share in any distributions made by the Company after the Closing, including any distribution of Available Cash associated with the fourth quarter of
2011; 

         (ii)  there
are inherent uncertainties in valuing illiquid securities like the Contributed Interest such that a third-party valuation of the Contributed Interest could have
resulted in a materially higher or lower valuation than that attributable to the Contribution Consideration received by the Contributor under this Agreement; 

        (iii)  the
Company may engage in transactions with MWE or its Affiliates, joint ventures with third parties, and other future transactions, any or all of which may result in
an increase in the value of the Contributed Interest and the Acquirer Parties and their officers, directors, employees and Affiliates may possess material non-public information relating
to the foregoing or other matters that is not known to the Contributor and may impact the value of the Contributed Interest; and 

        (iv)  in
light of the foregoing, the Contributor understands, based on its experience, the disadvantage to which the Contributor is subject due to the disparity of
information between the Contributor and the Acquirer Parties and, notwithstanding this, the Contributor has deemed it appropriate to engage in the Transaction based on its own independent review and
consultations with such investment, legal, tax, accounting and other advisers as it deemed necessary, without reliance on any representation or warranty of, or advice from, the Acquirer Parties, other
than the representations and warranties of the Acquirer Parties in Article IV, which representations and warranties constitute the sole and
exclusive representations and warranties of the Acquirer Parties in connection with the transactions contemplated by this Agreement. 

        (b)   After
the Closing, the Contributor hereby releases and discharges each Acquirer Party, its Affiliates, directors, officers, partners, members, equityholders and
employees (former or present) and their respective successors, heirs and assigns, from any and all Claims and Losses, known or unknown, that have accrued or may accrue and that arise out of or relate
to the matters described in this Section 5.8. 

        (c)   The
Acquirer Parties acknowledge and agree, for and on behalf of themselves and their respective Affiliates, that the Contributor shall not be responsible or liable for
any capital contributions to the Company that were due and payable or will become due and payable, prior to, on, or after the date of this Agreement pursuant to Article IV of the
Company LLC Agreement or otherwise. 

        (d)   The
Contributor hereby consents, on behalf of itself and on behalf of the Class A Managers designated by the Contributor, to  **, and the Company and the Contributor acknowledge and agree that the
Contributor shall have no rights or obligations in respect of  **. 

 
 

  ARTICLE VI
  SURVIVAL; RELATED MATTERS    
    

        6.1.    Survival.    

        (a)   The
representations and warranties of the Contributor under this Agreement shall survive the execution and delivery of this Agreement and shall continue in full force
and effect until **; provided

13

 

that
the representations and warranties of the Contributor in Sections 3.1, 3.2,  3.5, 3.6 and 3.7 shall survive until  ** (the date on which a particular representation or warranty of the Contributor under
this Agreement expires, the "Contributor
Expiration Date"). 

        (b)   The
representations and warranties of the Acquirer Parties under this Agreement shall survive the execution and delivery of this Agreement and shall continue in full
force and effect ** (the "Acquirer Expiration Date");  provided that the representations and
warranties of the Acquirer Parties in Sections 4.1,  4.2, 4.5, 4.6,  4.8 and 4.10 shall survive **. 

        (c)   Each
Party's covenants and agreements contained in this Agreement shall survive the execution and delivery of this Agreement and shall continue in full force and effect
until fully discharged. 

        (d)   No
Claim for a breach of any Party's respective representations or warranties contained in this Agreement (other than representations or warranties of the Acquirer
Parties that survive indefinitely pursuant to Section 6.1(b)) shall be brought after the applicable Contributor Expiration Date with respect to such a Claim against the Contributor, or the
Acquirer Expiration Date, with respect to such a Claim against the Acquirer Parties. Notwithstanding the foregoing, if such a Claim is brought before the applicable Contributor Expiration Date, with
respect to such a claim against the Contributor, or the Acquirer Expiration Date, with respect to such a Claim against the Acquirer Parties, then (notwithstanding the occurrence of such expiration
date) the representation or warranty giving rise to such Claim will survive until the final resolution of such Claim and the satisfaction of any obligations relating thereto. 

        6.2.    Calculation of Losses.    In calculating the amount of any Losses incurred, arising
out of or relating to any Claim for any breach of any representation or warranty of a Party contained in this Agreement or any breach of any of the covenants or agreements of any Party contained in
this Agreement, the amount of such Losses shall be determined without duplication of any other Loss for which a Claim has been made or could be made that arises out of or relates to the breach of any
other representation, warranty, covenant, or agreement of any Party contained in this Agreement and shall be computed net of (a) payments actually recovered by the Party making such Claim under
any insurance policy with respect to such Losses and (b) any prior or subsequent actual recovery by the Party making such Claim from any Person with respect to such Losses. To the extent that
the Contributor is adjudged liable or agrees in writing to take responsibility for Losses resulting from a breach of any representation, warranty, covenant or agreement of the Contributor contained in
this Agreement, the Contributor shall have the right to satisfy and discharge any Losses by **. If the Contributor is adjudged liable for Losses
resulting from a breach of any representation, warranty, covenant or agreement of the Contributor contained in this Agreement **, but does not pay such
amount, or cause an amount equal to such Losses to be paid, to the Party incurring such Losses within 20 days of the date of such final adjudication, then MWE or its successor shall  **;
provided, however, that, in the event MWE or its
successor **. In no event shall the Contributor's aggregate liability for Losses hereunder exceed **.
For the avoidance of doubt, **. For purposes of this Agreement, ** In all events, the  **

        6.3.    Waiver of Certain Losses.    NOTWITHSTANDING ANY OTHER PROVISION OF THIS AGREEMENT, IN
NO EVENT SHALL ANY PARTY BE LIABLE TO ANY OTHER PARTY OR ANY OF ITS DIRECTORS, MANAGERS, OFFICERS, EMPLOYEES, CONSULTANTS, AGENTS, GENERAL OR LIMITED PARTNERS, MEMBERS, STOCKHOLDERS OR AFFILIATES
(COLLECTIVELY, "COVERED PERSONS") FOR EXEMPLARY, PUNITIVE, REMOTE, CONSEQUENTIAL, SPECIAL OR LOST PROFITS LOSSES OF ANY KIND OR NATURE, REGARDLESS OF
THE FORM OF ACTION THROUGH WHICH SUCH LOSSES ARE SOUGHT, PROVIDED, HOWEVER, THIS SECTION 6.3 SHALL NOT LIMIT THE RIGHT OF A PARTY OR ANY OF ITS
COVERED PERSONS TO RECOVER ANY LOSSES, INCLUDING 

14

 

EXEMPLARY,
PUNITIVE, REMOTE, CONSEQUENTIAL, INCIDENTAL OR SPECIAL DAMAGES, TO THE EXTENT SUCH LOSSES ARE A COMPONENT OF ANY CLAIM BY A
THIRD PARTY AGAINST SUCH PARTY OR ANY OF ITS COVERED PERSONS IN RESPECT OF WHICH SUCH PARTY OR COVERED PERSON IS OTHERWISE FINALLY DETERMINED TO BE ENTITLED TO RECOVER FROM ANOTHER PARTY. 

        6.4.    No Reliance.    THE REPRESENTATIONS AND WARRANTIES OF THE CONTRIBUTOR CONTAINED IN  ARTICLE III CONSTITUTE THE SOLE
AND EXCLUSIVE REPRESENTATIONS AND WARRANTIES OF THE CONTRIBUTOR TO THE ACQUIRER PARTIES IN CONNECTION WITH THE
TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT. THE REPRESENTATIONS OF THE ACQUIRER PARTIES CONTAINED IN ARTICLE IV CONSTITUTE THE SOLE AND EXCLUSIVE
REPRESENTATIONS AND WARRANTIES OF THE ACQUIRER PARTIES TO THE CONTRIBUTOR IN CONNECTION WITH THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT. EXCEPT FOR SUCH REPRESENTATIONS AND WARRANTIES, NEITHER
ANY PARTY OR ANY OTHER PERSON MAKES ANY OTHER EXPRESS OR IMPLIED REPRESENTATION OR WARRANTY WITH RESPECT TO SUCH PARTY OR THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT, AND EACH PARTY DISCLAIMS ANY
OTHER REPRESENTATIONS OR WARRANTIES, WHETHER MADE BY SUCH PARTY OR ANY OF ITS COVERED PERSONS. EXCEPT FOR SUCH REPRESENTATIONS AND WARRANTIES, EACH PARTY DISCLAIMS ALL LIABILITY AND RESPONSIBILITY FOR
ANY REPRESENTATION, WARRANTY, PROJECTION, FORECAST, STATEMENT, OR INFORMATION MADE, COMMUNICATED, OR FURNISHED (ORALLY OR IN WRITING) TO ANY OTHER PARTY OR ITS COVERED PERSONS (INCLUDING OPINIONS,
INFORMATION, PROJECTIONS, OR ADVICE THAT MAY HAVE BEEN OR MAY BE PROVIDED TO ANY PARTY OR ANY OFFICER, DIRECTOR, EMPLOYEE, AGENT OR REPRESENTATIVE OF SUCH PARTY OR ANY OF ITS AFFILIATES). 

 
 

  ARTICLE VII
  GENERAL PROVISIONS    
    

        7.1.    Notices.    Any notice, demand or communication required or permitted under this
Agreement shall be in writing and delivered personally or by reputable overnight delivery service or other courier, and shall be deemed to have been duly given as of the date and time reflected on the
delivery receipt, addressed as follows: 

If
to either Acquirer Party: 

c/o
MarkWest Energy Partners, L.P.

1515 Arapahoe Street

Tower 1, Suite 1600

Denver, Colorado 80202-2126

Attention: General Counsel 

with
a copy (which shall not constitute notice) to: 

Vinson &
Elkins LLP

1001 Fannin Street, Suite 2600

Houston, Texas 77002

Attention: Alan Beck

15

 

If
to the Contributor: 

M&R
MWE Liberty, LLC

811 Main Street, Suite 4200

Houston, Texas 77002

Attention: John T. Raymond 

with
a copy (which shall not constitute notice) to: 

Locke
Lord LLP

600 Travis Street, Suite 3400

Houston, Texas 77002

Attention: H. William Swanstrom 

A
Party may change its address for the purpose of notices hereunder by giving notice to the other Party specifying such changed address in the manner specified in this  Section 7.1. 

        7.2.    Binding Effect.    This Agreement will be binding upon, and will inure to the benefit
of, the Parties and their respective successors, permitted assigns and legal representatives. 

        7.3.    Third Party Rights.    The provisions of this Agreement are intended to bind the
Parties as to each other and are not intended to and do not create rights in any other Person or confer upon any other Person (other than the express beneficiaries of the waiver set forth in  Section 6.5) any benefits, rights or remedies and no Person is or is intended to be a third party beneficiary of any of the provisions of this
Agreement. 

        7.4.    Waiver of Compliance.    Any failure of any of the Parties to comply with any
obligation, covenant, agreement or condition in this Agreement may be waived by the Party or Parties entitled to the benefits thereof only by a written instrument signed by the Party or Parties
granting such waiver, but such waiver or failure to insist upon strict compliance with such obligation, covenant, agreement or condition shall not operate as a waiver of, or estoppel with respect to,
any subsequent or other failure. 

        7.5.    Applicable Law.    THIS AGREEMENT AND THE RIGHTS OF THE PARTIES HEREUNDER SHALL BE
INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE, AND ALL RIGHTS AND REMEDIES SHALL BE GOVERNED BY SUCH LAWS WITHOUT REGARD TO PRINCIPLES OF CONFLICT OF LAWS; THE PARTIES FURTHER AGREE
THAT ANY LEGAL ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT OR ANY DOCUMENT RELATING HERETO MAY BE BROUGHT ONLY IN A FEDERAL OR STATE COURT OF COMPETENT JURISDICTION IN HOUSTON, TEXAS. EACH
PARTY HEREBY IRREVOCABLY WAIVES ANY OBJECTION, INCLUDING, BUT NOT LIMITED TO, ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON-CONVENIENCE, WHICH IT MAY NOW OR
HEREAFTER HAVE TO THE BRINGING OF SUCH ACTION OR PROCEEDING IN ANY SUCH RESPECTIVE JURISDICTION. 

        7.6.    Waiver of Jury Trial.    THE PARTIES EACH HEREBY KNOWINGLY, VOLUNTARILY,
INTENTIONALLY, AND IRREVOCABLY WAIVE, AND AGREE TO CAUSE THEIR AFFILIATES TO WAIVE, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION
(A) ARISING UNDER THIS AGREEMENT OR (B) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES IN RESPECT OF THIS AGREEMENT OR ANY OF THE TRANSACTIONS, IN EACH
CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER IN CONTRACT, TORT, EQUITY OR OTHERWISE. THE PARTIES EACH HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION OR CAUSE OF ACTION
SHALL BE DECIDED BY COURT TRIAL 

16

 

WITHOUT
A JURY AND THAT THE PARTIES MAY FILE AN ORIGINAL COUNTERPART OF A COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE PARTIES TO THE WAIVER OF THEIR RIGHT TO TRIAL
BY JURY. 

        7.7.    Severability.    If any of the provisions of this Agreement are held by any court of
competent jurisdiction to contravene, or to be invalid under, the laws of any political body having jurisdiction over the subject matter hereof, such contravention or invalidity shall not invalidate
the entire Agreement. Instead, this Agreement shall be construed as if it did not contain the particular provision or provisions held to be invalid and an equitable adjustment shall be made and
necessary provision added so as to give effect to the intention of the Parties as expressed in this Agreement at the time of execution of this Agreement. 

        7.8.    Amendment or Modification.    This Agreement may be amended, modified or supplemented
from time to time only by a written agreement executed by all the Parties. 

        7.9.    Assignment.    No Party shall have the right to assign its rights or obligations under
this Agreement without the prior written consent of the other Parties. 

        7.10.    Waiver of Transfer Restrictions in Company LLC Agreement.    The Parties
hereby waive the transfer restrictions and requirements set forth in Article 7 of the Company LLC Agreement such that no prior written consent of MWE is required to consummate the
Transactions and no legal opinion of counsel pursuant to Section 7.5 of the Company LLC Agreement will be required to consummate the Transactions. 

        7.11.    Counterparts.    This Agreement may be executed in any number of counterparts with
the same effect as if all Parties had signed the same document. All counterparts shall be construed together and shall constitute one and the same instrument. Execution and delivery of this Agreement
by exchange of facsimile or other electronically transmitted counterparts bearing the signature of a Party shall be equally as effective as delivery of a manually executed counterpart by such Party. 

        7.12.    No Recourse Against Non-Parties.    For the avoidance of doubt, the
provisions of this Agreement shall not give rise to any right of recourse against any former, current or future director, officer, employee, agent, general or limited partner, manager, member, or
stockholder of any Party. 

        7.13.    Representation by Counsel.    Each of the Parties agrees that it has been represented
by independent counsel of its choice during the negotiation and execution of this Agreement and the instruments referenced in this Agreement, and that it has executed the same upon the advice of such
independent counsel. Each Party and its counsel cooperated in the drafting and preparation of this Agreement and the instruments referenced in this Agreement, and any and all drafts relating thereto
shall be deemed the work product of the Parties and may not be construed against any Party by reason of its preparation. Therefore, the Parties waive the application of any Law providing that
ambiguities in an agreement or other instrument will be construed against the Party drafting such agreement or other instrument. 

        7.14.    Entire Agreement; Supersedure.    This Agreement and the instruments referenced in
this Agreement, together with any other written agreements executed by the Parties in connection with the transactions contemplated by this Agreement, supersede all previous understandings or
agreements among the Parties, whether oral or written, with respect to their subject matter and contain the entire understanding of the Parties with respect to the subject matter hereof and thereof.
No understanding, representation, promise or agreement, whether oral or written, is intended to be or shall be included in or form part of this Agreement unless it is contained in a written amendment
hereto executed by the Parties after the date of this Agreement. 

17

 

        IN
WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed by its respective duly authorized officer as of the date first above written. 

 

					
	 	 	MARKWEST LIBERTY GAS GATHERING, L.L.C.
	

 	
 	
By:	
 	
/s/ Frank M. Semple

 
	 	 	Name:	 	Frank M. Semple
	 	 	Title:	 	President and CEO
	

 	
 	
MARKWEST ENERGY PARTNERS, L.P.,
	

 	
 	
 By:	
 	

MarkWest Energy GP, L.L.C., its general partner
	

 	
 	
By:	
 	
/s/ Frank M. Semple

 
	 	 	Name:	 	Frank M. Semple
	 	 	Title:	 	President and CEO

 

   

   

SIGNATURE PAGE TO

CONTRIBUTION AGREEMENT

 

					
	 	 	M&R MWE LIBERTY, LLC
	

 	
 	
By:	
 	
/s/ John T. Raymond

 
	 	 	Name:	 	John T. Raymond
	 	 	Title:	 	CEO & Managing Partner

 

   

   

 SIGNATURE PAGE TO

CONTRIBUTION AGREEMENT

 

 
 

EXHIBIT A    
    

        "Acquirer" is defined in the preamble to this Agreement. 

        "Acquirer Party" and "Acquirer Parties" is defined in the preamble to this Agreement. 

        "Affiliate" means with respect to any Person, any Person that, directly or indirectly, controls, is controlled by, or is under a common
control with, such Person. The term "control" (including the terms "controlled by" and "under common control with") as used in this definition means the possession, directly or indirectly, of the
power to direct or cause the direction of management and policies of a Person, whether through the ownership of voting securities, by contract, or otherwise. With respect to any natural person, the
term "Affiliate" shall also mean (a) the spouse or children (including those by adoption) and siblings of such Person; and any trust whose primary beneficiary is such Person, such Person's
spouse, such Person's siblings and/or one or more of such Person's lineal descendants, (b) the legal representative or guardian of such Person or of any such immediate family member in the
event such Person or any such immediate family member becomes mentally incompetent and (c) any Person controlled by or under the common control with any one or more of such Person and the
Persons described in clauses (a) or (b) of this definition. 

        "Agreement" is defined in the preamble to this Agreement. 

        "Acquirer Expiration Date" is defined in Section 6.1(b). 

        "Allocation" is defined in Section 5.7(f).

        "Assignment of Interests" is defined in Section 2.4(a)(v). 

        "Available Cash" has the meaning ascribed to such term in the Company LLC Agreement. 

        "Cash Consideration" is defined in Section 2.2(a). 

        "Cash Distribution Consideration" is the amount of the Cash Consideration that the Parties determine may be treated, in connection with
the deemed contribution in accordance with Section 5.7(b)(ii), as a reimbursement of the Company's pre-formation capital expenditures pursuant to Treasury Regulation
Section 1.707-4(d) in a manner that would allow for the satisfaction of Section 6662(d)(2)(B)(i) of the Internal Revenue Code.. 

        "Cash Sale Consideration" is the amount of the Cash Consideration in excess of the Cash Distribution Consideration. 

        "Claim" means any and all claims, causes of action, demands, lawsuits, suits, information requests, proceedings, governmental
investigations or audits and administrative orders. 

        "Class A Interest" has the meaning ascribed to such term in the Company LLC Agreement. 

        "Class B-1 Unit" has the meaning ascribed to such term in the MWE Partnership Agreement. 

        "Class B-2 Unit" has the meaning ascribed to such term in the MWE Partnership Agreement. 

        "Class B-3 Unit" has the meaning ascribed to such term in the MWE Partnership Agreement. 

        "Class B-4 Unit" has the meaning ascribed to such term in the MWE Partnership Agreement. 

        "Class B-5 Unit" has the meaning ascribed to such term in the MWE Partnership Agreement. 

        "Closing" is defined in Section 2.3. 

        "Code" means the Internal Revenue Code of 1986, as amended. 

        "Company" is defined in the recitals to this Agreement. 

        "Company LLC Agreement" is defined in the recitals to this Agreement. 

A-1

 

        "Confidential Information" is defined in Section 1.1 of the Company LLC
Agreement. 

        "Contract" means any contract, agreement, lease, license, note, evidence of indebtedness, mortgage, security agreement, understanding,
instrument or other legally binding arrangement, whether oral or written. 

        "Contribution Consideration" is defined in Section 2.2. 

        "Contributed Interest" is defined in the recitals to this Agreement. 

        "Contributor" is defined in the preamble to this Agreement. 

        "Contributor Credit Agreement" means that certain Credit Agreement, dated as of April 28, 2011, by and among the Contributor,
Citibank N.A., National Banking Association as administrative agent and certain lenders thereto, as amended by that First Amendment to the Credit Agreement dated as of August 11, 2011. 

        "Contributor Expiration Date" is defined in Section 6.1(a). 

        "Converted Common Unit" has the meaning ascribed to such term in the MWE Partnership Agreement. 

        "Covered Persons" is defined in Section 6.3. 

        "Creditors' Rights" is defined in Section 3.2(b). 

        "Delaware LP Act" means the Delaware Revised Uniform Limited Partnership Act, as amended from time to time. 

        "Equivalent Securities" has the meaning ascribed to such term in the MWE Partnership Agreement. 

        "Exchange Act" means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder. 

        "GAAP" means generally accepted accounting principles in the United States of America. 

        "Governmental Authority" means any executive, legislative, judicial, regulatory or administrative agency, body, commission, department,
board, court, tribunal, arbitrating body or authority of the United States or any foreign country, or any state, local or other governmental subdivision thereof. 

        "Law" means any law, statute, code, ordinance, order, rule, rule of common law, regulation, judgment, decree, injunction, franchise,
permit, certificate, license or authorization of any Governmental Authority. 

        "Lien" means, with respect to any property or asset, any lien, pledge, condemnation award, claim, restriction, charge, preferential
purchase right, security interest, mortgage or encumbrance of any nature whatsoever. 

        **

        "Losses" means all debts, liabilities, obligations, losses, damages, interest (including prejudgment interest), penalties, fines,
reasonable legal fees, disbursements and costs of investigations, deficiencies, levies, duties and imposts. 

        "MWE" is defined in the preamble to this Agreement. 

        "MWE Class A Units" means Class A Units representing limited partner interests in MWE, having the terms set forth therefore
in the MWE Partnership Agreement. 

        "MWE Class B Units" means Class B Units representing limited partner interests in MWE, having the terms set forth therefore
in the MWE Partnership Agreement. 

A-2

 

        "MWE Common Units" means Common Units representing limited partner interests in MWE, having the terms set forth therefore in the MWE
Partnership Agreement. 

        "MWE Class B Unit Value" is defined in Section 6.2. 

        "MWE Credit Agreements" means any and all credit agreements to which either of the Acquirer Parties is a party including that certain
Amended and Restated Credit Agreement dated July 1, 2010 by and among MWE, Wells Fargo Bank, National Association as administrative agent and collateral agent, and certain lenders thereto, as
amended by that First Amendment to the Amended and Restated Credit Agreement dated September 7, 2011, and as further amended or restated from time to time. 

        "MWE GP" is defined in Section 4.5(f). 

        "MWE GP Interest" is defined in Section 4.5(f). 

        "MWE Indentures" means any and all indentures to which either of the Acquirer Parties is a party including the indentures, as
supplemented, governing the MWE 8.75% Senior Notes Due 2018, MWE 6.75% Senior Notes Due 2020, MWE 6.5% Senior Notes Due 2021 and MWE 6.25% Senior Notes Due 2022 and any additional series of senior
notes of MWE which are outstanding as of the Closing. 

        "MWE Material Adverse Effect" means any effect, event, development or change which, individually or in the aggregate with all effects,
events, developments or changes, is or is reasonably likely to become materially adverse to the business, assets, liabilities, properties, operations or financial condition of MWE, taken as a whole;  provided,
however, that, an MWE Material Adverse Effect shall not be deemed to have occurred as a result of any of the following changes, events or
developments (either alone or in combination): (a) any change in general economic, political or business conditions (including any effects on the economy arising as a result of acts of
terrorism) that affect MWE, except any such changes that affect MWE in a disproportionate manner compared to similarly situated participants in the industries in which MWE operates; (b) any
change in oil or natural gas commodity prices; (c) any change affecting the natural gas transportation or gathering industries, except any such changes that affect MWE in a disproportionate
manner compared to similarly situated participants in such industries; (d) any change in accounting requirements or principles imposed by GAAP or any change in Law after the date of this
Agreement, except any such changes that affect MWE in a disproportionate manner compared to similarly situated participants in the industries in which MWE operates; or (e) any change resulting
from the execution of this Agreement or the announcement of the transactions contemplated hereby or from MWE's ownership of the Contributed Interest from and after the Closing; or (f) any
change resulting from compliance by the Acquirer Parties with the terms of the Transaction Documents or from any action by the Acquirer Parties expressly permitted by this Agreement. 

        "MWE Partnership Agreement" means the Third Amended and Restated Agreement of Limited Partnership of MarkWest Energy
Partners, L.P., dated effective as of February 21, 2008, as amended by Amendment No. 1 to Third Amended and Restated Agreement of Limited Partnership of MarkWest Energy
Partners, L.P., dated as of even date herewith, as further amended, supplemented and restated from time to time. 

        "MWE Partnership Agreement Amendment" is defined in Section 2.4(a)(iii). 

        "MWE SEC Filing" is defined in Section 4.7. 

        "National Securities Exchange" means an exchange registered with the SEC under Section 6(a) of the Exchange Act, or the NASDAQ
Stock Market or any successor thereto. 

        "Organizational Documents" means, with respect to any Person, the articles of incorporation, certificate of incorporation, certificate of
formation, certificate of limited partnership, bylaws, limited liability company agreement, operating agreement, partnership agreement, stockholders' agreement and 

A-3

 

all
other similar documents, instruments or certificates executed, adopted or filed in connection with the creation, formation or organization of such Person, including any amendments thereto
(including, in the case of the Company, the Company LLC Agreement and, in the case of MWE, the MWE Partnership Agreement). 

        "Party" and "Parties" are defined in the preamble of this Agreement. 

        "Person" means any natural person, corporation, limited partnership, general partnership, limited liability company, joint stock company,
joint venture, association, company, estate, trust, bank trust company, land trust, business trust, or other organization, whether or not a legal entity, custodian, trustee-executor, administrator,
nominee or entity in a representative capacity and any Governmental Authority. 

        "Registration Rights Agreement" is defined in Section 2.4(a)(iv). 

        "SEC" means the United States Securities and Exchange Commission. 

        "Securities Act" means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder. 

        "Trading Day" means, with respect to MWE Common Units or any other security, a day on which the principal National Securities Exchange on
which such securities are then listed or admitted to trading is open for the transaction of business. 

        "Transactions" means the Transactions contemplated by the Transaction Documents. 

        "Transaction Documents" means this Agreement, the MWE Partnership Agreement Amendment, the Assignment of Interests and the Registration
Rights Agreement. 

        "Treasury Regulations" means the regulations (including temporary regulations) promulgated by the United States Department of the Treasury
pursuant to and in respect of provisions of the Code. All references herein to sections of the Treasury Regulations shall include any corresponding provision or provisions of succeeding, similar or
substitute, temporary or final Treasury Regulations. 

        "Unit Consideration" means 19,954,389 MWE Class B Units. 

        **

A-4

QuickLinks

Exhibit 10.34

TABLE OF CONTENTS

CONTRIBUTION AGREEMENT

R E C I T A L S

A G R E E M E N T S

ARTICLE I DEFINITIONS AND INTERPRETATIONS

ARTICLE II CONTRIBUTION OF THE CONTRIBUTED INTEREST; CLOSING

ARTICLE III REPRESENTATIONS AND WARRANTIES OF THE CONTRIBUTOR

ARTICLE IV REPRESENTATIONS AND WARRANTIES OF THE ACQUIRER PARTIES

ARTICLE V COVENANTS OF THE PARTIES

ARTICLE VI SURVIVAL; RELATED MATTERS

ARTICLE VII GENERAL PROVISIONS

EXHIBIT AQuickLinks
 -- Click here to rapidly navigate through this document

 
 

  Exhibit 10.35    
    

SPECIFIC TERMS IN THIS EXHIBIT HAVE BEEN REDACTED BECAUSE CONFIDENTIAL TREATMENT FOR THOSE TERMS HAS BEEN REQUESTED. THE REDACTED MATERIAL HAS BEEN SEPERATELY FILED WITH THE
SECURITIES AND EXCHANGE COMMISSION, AND THE TERMS HAVE BEEN MARKED AT THE APPROPRIATE PLACE WITH TWO ASTERISKS (**).

Execution Version  

LIMITED LIABILITY COMPANY AGREEMENT 

of

MARKWEST
UTICA EMG, L.L.C. 

Dated
December 29, 2011

to be effective as of January 1, 2012 

 

 
 

TABLE OF CONTENTS    

 

							
	 
	 	 
	 	Page 	 
	  ARTICLE 1 DEFINED TERMS
	 	 	1	 
	 Section 1.1
	 	  Definitions
	 	 	1	 
	  ARTICLE 2 FORMATION AND TERM
	 	 	

11	 
	 Section 2.1
	 	  Formation
	 	 	11	 
	 Section 2.2
	 	  Name
	 	 	11	 
	 Section 2.3
	 	  Term
	 	 	12	 
	 Section 2.4
	 	  Registered Agent and Office
	 	 	12	 
	 Section 2.5
	 	  Principal Place of Business
	 	 	12	 
	 Section 2.6
	 	  Qualification in Other Jurisdictions
	 	 	12	 
	  ARTICLE 3 PURPOSE AND POWERS OF THE COMPANY
	 	 	

12	 
	 Section 3.1
	 	  Purpose
	 	 	12	 
	 Section 3.2
	 	  Powers of the Company
	 	 	13	 
	 Section 3.3
	 	  Projects, Restricted Projects, Exempted Projects and Out of Scope Projects                                        
                                        
	 	 	13	 
	  ARTICLE 4 CAPITAL CONTRIBUTIONS, MEMBER INTERESTS, CAPITAL ACCOUNTS AND FUTURE CAPITAL REQUIREMENTS
	 	 	

14	 
	 Section 4.1
	 	  Capital Contributions
	 	 	14	 
	 Section 4.2
	 	  Capital Contribution Defaults
	 	 	17	 
	 Section 4.3
	 	  Member's Interest
	 	 	17	 
	 Section 4.4
	 	  Status of Capital Contributions
	 	 	17	 
	 Section 4.5
	 	  Capital Accounts
	 	 	18	 
	 Section 4.6
	 	  Capital Accounts Generally
	 	 	18	 
	 Section 4.7
	 	  Investment Accounts
	 	 	18	 
	  ARTICLE 5 MEMBERS, MEETINGS AND AMENDMENTS
	 	 	

19	 
	 Section 5.1
	 	  Powers of Members
	 	 	19	 
	 Section 5.2
	 	  No Resignation or Expulsion
	 	 	19	 
	 Section 5.3
	 	  Additional Members
	 	 	19	 
	 Section 5.4
	 	  Confidentiality Obligations of Members
	 	 	20	 
	 Section 5.5
	 	  Initial Budget
	 	 	21	 
	 Section 5.6
	 	  Preemptive Rights
	 	 	21	 
	 Section 5.7
	 	  Registration Rights
	 	 	22	 
	  ARTICLE 6 MANAGEMENT
	 	 	

22	 
	 Section 6.1
	 	  Management Under Direction of the Board
	 	 	22	 
	 Section 6.2
	 	  Number, Tenure and Qualifications
	 	 	22	 
	 Section 6.3
	 	  Votes Per Manager; Quorum; Required Vote for Board Action; Meetings of the Board
	 	 	23	 
	 Section 6.4
	 	  Power to Bind Company
	 	 	24	 
	 Section 6.5
	 	  Liability for Certain Acts
	 	 	24	 
	 Section 6.6
	 	  Manager Has No Exclusive Duty to Company
	 	 	25	 
	 Section 6.7
	 	  Resignation and Withdrawal
	 	 	25	 
	 Section 6.8
	 	  Removal
	 	 	25	 
	 Section 6.9
	 	  Vacancies
	 	 	25	 
	 Section 6.10
	 	  Delegation of Authority; Officers
	 	 	26	 
	 Section 6.11
	 	  Designation of Operator
	 	 	26	 
	 Section 6.12
	 	  Approval of Members
	 	 	27	 
	 Section 6.13
	 	  **
	 	 	30	 

 

 i

 
 

							
	 
	 	 
	 	Page 	 
	 Section 6.14
	 	  Reliance by Third Parties
	 	 	30	 
	 Section 6.15
	 	  Fees and Expenses of the Managers
	 	 	30	 
	 Section 6.16
	 	  Budgets
	 	 	30	 
	  ARTICLE 7 ASSIGNABILITY OF MEMBER INTERESTS
	 	 	

31	 
	 Section 7.1
	 	  Prohibition on Assignment During Project Period
	 	 	31	 
	 Section 7.2
	 	  Transfers After the Project Period
	 	 	32	 
	 Section 7.3
	 	  Recognition of Assignment by Company or Other Members
	 	 	35	 
	 Section 7.4
	 	  Effective Date of Assignment
	 	 	35	 
	 Section 7.5
	 	  Limitations on Transfer
	 	 	36	 
	 Section 7.6
	 	  Transferee Not a Substitute Member
	 	 	36	 
	  ARTICLE 8 DISTRIBUTIONS TO MEMBERS
	 	 	

36	 
	 Section 8.1
	 	  Available Cash
	 	 	36	 
	 Section 8.2
	 	  Withholding
	 	 	36	 
	 Section 8.3
	 	  Limitations on Distribution
	 	 	37	 
	 Section 8.4
	 	  Tax Distributions
	 	 	37	 
	  ARTICLE 9 ALLOCATIONS
	 	 	

37	 
	 Section 9.1
	 	  Profits and Losses
	 	 	37	 
	 Section 9.2
	 	  Special Allocations
	 	 	37	 
	 Section 9.3
	 	  Curative Allocations
	 	 	38	 
	 Section 9.4
	 	  Income Tax Allocations
	 	 	39	 
	 Section 9.5
	 	  Allocation and Other Rules
	 	 	39	 
	  ARTICLE 10 BOOKS AND RECORDS
	 	 	

40	 
	 Section 10.1
	 	  Inspection Rights Pursuant to Law
	 	 	40	 
	 Section 10.2
	 	  Books and Records
	 	 	40	 
	 Section 10.3
	 	  Financial Statements and Reports
	 	 	40	 
	 Section 10.4
	 	  Accounting Method
	 	 	41	 
	 Section 10.5
	 	  Bank Accounts; Investments
	 	 	41	 
	  ARTICLE 11 TAX MATTERS
	 	 	

41	 
	 Section 11.1
	 	  Taxation of Company
	 	 	41	 
	 Section 11.2
	 	  Tax Returns
	 	 	41	 
	 Section 11.3
	 	  Member Tax Return Information
	 	 	41	 
	 Section 11.4
	 	  Tax Matters Representative
	 	 	42	 
	 Section 11.5
	 	  Right to Make Section 754 Election
	 	 	42	 
	 Section 11.6
	 	  Tax Elections
	 	 	42	 
	 Section 11.7
	 	  Tax Reimbursement
	 	 	42	 
	  ARTICLE 12 LIABILITY, EXCULPATION AND INDEMNIFICATION
	 	 	

43	 
	 Section 12.1
	 	  Liability
	 	 	43	 
	 Section 12.2
	 	  Exculpation
	 	 	43	 
	 Section 12.3
	 	  Indemnification
	 	 	43	 
	 Section 12.4
	 	  Expenses
	 	 	43	 
	 Section 12.5
	 	  Insurance
	 	 	44	 
	 Section 12.6
	 	  Certain Liabilities
	 	 	44	 
	 Section 12.7
	 	  Acts Performed Outside the Scope of the Company
	 	 	44	 
	 Section 12.8
	 	  Liability of Members to Company or Other Members
	 	 	44	 
	 Section 12.9
	 	  Attorneys' Fees
	 	 	44	 
	 Section 12.10
	 	  Subordination of Other Rights to Indemnity
	 	 	44	 
	 Section 12.11
	 	  Survival of Indemnity Provisions
	 	 	44	 

 

 ii

 
 

							
	 
	 	 
	 	Page 	 
	  ARTICLE 13 DISSOLUTION, LIQUIDATION AND TERMINATION
	 	 	45	 
	 Section 13.1
	 	  No Dissolution                                        
                                          
                  
	 	 	45	 
	 Section 13.2
	 	  Events Causing Dissolution
	 	 	45	 
	 Section 13.3
	 	  Notice of Dissolution
	 	 	45	 
	 Section 13.4
	 	  Liquidation
	 	 	45	 
	 Section 13.5
	 	  Termination
	 	 	46	 
	 Section 13.6
	 	  Claims of the Members or Third Parties
	 	 	46	 
	 Section 13.7
	 	  Distributions In-Kind
	 	 	46	 
	  ARTICLE 14 REPRESENTATIONS, WARRANTIES AND COVENANTS
	 	 	

47	 
	 Section 14.1
	 	  Representations, Warranties and Covenants
	 	 	47	 
	  ARTICLE 15 MISCELLANEOUS
	 	 	

48	 
	 Section 15.1
	 	  Notices
	 	 	48	 
	 Section 15.2
	 	  Failure to Pursue Remedies
	 	 	48	 
	 Section 15.3
	 	  Cumulative Remedies
	 	 	48	 
	 Section 15.4
	 	  Binding Effect
	 	 	48	 
	 Section 15.5
	 	  Interpretation
	 	 	49	 
	 Section 15.6
	 	  Severability
	 	 	49	 
	 Section 15.7
	 	  Counterparts
	 	 	49	 
	 Section 15.8
	 	  Integration
	 	 	49	 
	 Section 15.9
	 	  Amendment or Restatement
	 	 	49	 
	 Section 15.10
	 	  Governing Law
	 	 	49	 
	 Section 15.11
	 	  Dealings in Good Faith
	 	 	49	 
	 Section 15.12
	 	  Partition of the Property
	 	 	50	 
	 Section 15.13
	 	  Third Party Beneficiaries
	 	 	50	 
	 Section 15.14
	 	  Tax Disclosure Authorization
	 	 	50	 
	 Section 15.15
	 	  Waivers and Consents
	 	 	50	 
	 EXHIBITS:
	 	 	 	 	 	 
	 Exhibit A
	 	 Area of Mutual Interest
	 	 	 	 
	 Exhibit B
	 	 Members and Capital Contributions
	 	 	 	 
	 Exhibit C
	 	 Base Project
	 	 	 	 
	 Exhibit D
	 	 Initial Budget
	 	 	 	 
	 Exhibit E
	 	 Pre-Approved Affiliated Transactions
	 	 	 	 
	 Exhibit F
	 	  **
	 	 	 	 

 

 iii

 

 
 

LIMITED LIABILITY COMPANY AGREEMENT    
    
    OF    
    
    MARKWEST UTICA EMG, L.L.C.    

        THIS
LIMITED LIABILITY COMPANY AGREEMENT ("Agreement") of MarkWest Utica EMG, L.L.C., a Delaware limited
liability company (the "Company"), is entered into as of December 29, 2011, to be effective as of January 1, 2012, by and among MarkWest
Utica Operating Company, L.L.C., a Delaware limited liability company ("MWE Operating Company"), EMG Utica, LLC, a Delaware limited liability
company ("EMG"), and such other Persons who may become Members of the Company from time to time pursuant hereto. 

        WHEREAS,
in order to initially capitalize the Company, on or before January 1, 2012, the Members shall make the Initial Capital Contributions and from time to time thereafter,
certain of the Members shall make additional Capital Contributions in accordance with Article 4; 

        WHEREAS,
contemporaneously with the execution of this Agreement and in order to provide for the provision of certain services to the Company, the Company, MWE Operating Company and
MarkWest Hydrocarbon, Inc., a Delaware corporation ("MWE Hydrocarbon") shall enter into a Services Agreement (the
"Services Agreement"), pursuant to which MWE Hydrocarbon shall provide certain services, or cause such services to be provided, to the Company; and 

        WHEREAS,
the Company and the Members desire to enter into this Agreement to reflect the agreement of the Company and the Members as set forth herein; 

        NOW
THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as
follows: 

 
 

  ARTICLE 1
  DEFINED TERMS    
    

Section 1.1    Definitions.    

        Unless
the context otherwise requires, the terms defined in this Article I shall, for the purposes of this Agreement, have the meanings herein specified. 

        "AAA" shall have the meaning set forth in Section 6.16(d). 

        "Act" means the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101  et seq., as it may be amended from time to time, and any successor
statute thereto. 

        "Additional Class A Contributions" shall have the meaning set forth in Section 4.1(b)(i). 

        "Additional Member" shall have the meaning set forth in Section 5.3(a). 

        "Additional Projects" shall have the meaning set forth in Section 3.3(a). 

        "Adjusted Capital Account" means the Capital Account maintained for each Member (a) increased by any amounts the Member is
obligated to contribute or restore to the Company pursuant to the penultimate sentences of Treasury Regulations Sections 1.704-2(g)(1) and 1.704-2(i)(5), and
(b) decreased by any amounts described in Treasury Regulations Sections 1.704-1(b)(2)(ii)(d)(4), (5), or (6) with respect to such Member. 

        "Adjusted Capital Account Deficit" means a deficit balance in the Adjusted Capital Account of a Member. 

        "Affiliate" means with respect to a Person, any other Person that, directly or indirectly, Controls, is Controlled by, or is under Common
Control with, the specified Person. 

        "Affiliate Contract" means any contract between the Company or any Subsidiary of the Company, on the one hand, and a Member or an
Affiliate of a Member, on the other hand. 

 

        "Affiliated Member Group" means (a) the MWE Operating Company Group, (b) the EMG Group and (c) any other Member and
transferee of Interests directly or indirectly (in the chain of title) from such Member that is an Affiliate of such transferee Member; provided,  however,
that once a Person is designated as a member of any Affiliated Member Group, such Person shall, as long as it owns any Interests, at all times
be a member of such Affiliated Member Group and not a member of any other Affiliated Member Group, and provided,  further, that for purposes of this
clause (c) of this definition, an Affiliate shall not include a member of the MWE Operating Company Group or
the EMG Group. 

        "Agreement" means this Limited Liability Company Agreement, as amended, modified, supplemented or restated from time to time. 

        "Annual Financial Statements" shall have the meaning set forth in Section 10.3(a). 

        "Approved Budget" shall have the meaning set forth in Section 6.16(b). 

        "Arbitration Panel" shall have the meaning set forth in Section 6.16(d). 

        "Area of Mutual Interest" means the area within ** the State of Ohio listed on  Exhibit A. 

        "Assumed Tax Liability" shall have the meaning set forth in Section 8.4(a). 

        "Available Cash" means, with respect to any period prior to the dissolution of the Company, all cash and cash equivalents of the Company
on hand at the end of such period less the amount of any cash reserves established by the Operator to provide for the proper conduct of the business of the Company, including reserves for: future
capital expenditures; current, future or contingent liabilities; anticipated future credit needs of the Company; and debt service and repayments;  provided, that such reserves shall not equal less than
** as authorized in the Approved Budget nor more
than ** in the Approved Budget, without the approval of the Board and Requisite Member Approval. 

        "Base Project" shall have the meaning set forth in Section 3.3(a). 

        "Board" shall have the meaning set forth in Section 6.1. 

        "Budget Rejection Notice" shall have the meaning set forth in Section 6.16(b). 

        "Business Day" means any day that is not a Saturday, Sunday or other day on which commercial banks are required or authorized by law to be
closed in the State of Texas or the State of Colorado. 

        "Capital Account" means, with respect to any Member, the capital account maintained for such Member in accordance with the provisions of
Section 4.5. 

        "Capital Call" means a call or request for additional capital in writing (which may include electronic mail) by or on behalf of the
Company, specifying the amount of capital requested to be contributed by each Member receiving such notice in accordance with the terms of this Agreement. 

        "Capital Contribution" means, with respect to any Member, the aggregate amount of cash and the initial Gross Asset Value of any property
other than cash contributed to the Company pursuant to Article 4 hereof by such Member. Any reference in this Agreement to a Capital Contribution of a Member shall include a Capital
Contribution contributed by its predecessors in interest. 

        "Certificate" means the Certificate of Formation of the Company filed on behalf of the Company with the office of the Secretary of State
of the State of Delaware pursuant to the Act on December 22, 2011, and any and all amendments thereto and restatements thereof. 

        "Claims" shall have the meaning set forth in Section 6.5. 

        "Class A Interest" means an Interest in the Company which is classified on  Exhibit B as a Class A Interest and which has the rights, powers and
privileges enjoyed by a Member holding a Class A Percentage
Interest (under the Act, the Certificate, this Agreement or otherwise) in its capacity as a 

2

 

Member,
and all obligations, duties and liabilities imposed on such a Member (under the Act, the Certificate, this Agreement or otherwise) in its capacity as a Member. 

        "Class A Manager" shall have the meaning set forth in Section 6.2(a)(i). 

        "Class A Member" means a Member who is designated on Exhibit B as a
Class A Member, in its capacity as a holder of a Class A Percentage Interest. 

        "Class A Percentage Interest" means, with respect to a Class A Member, the quotient (expressed as a percentage) obtained by
dividing such Class A Member's Investment Balance by the aggregate Investment Balances of all Class A Members. 

        "Class B Interest" means an Interest in the Company which is classified on  Exhibit B as a Class B Interest and which has the rights, powers and
privileges enjoyed by a Member holding a Class B Percentage
Interest (under the Act, the Certificate, this Agreement or otherwise) in its capacity as a Member, and all obligations, duties and liabilities imposed on such a Member (under the Act, the
Certificate, this Agreement or otherwise) in its capacity as a Member. 

        "Class B Manager" shall have the meaning set forth in Section 6.2(a)(ii). 

        "Class B Member" means a Member who is designated on Exhibit B as a
Class B Member, in its capacity as a holder of a Class B Percentage Interest. 

        "Class B Percentage Interest" means, with respect to a Class B Member, the quotient (expressed as a percentage) obtained by
dividing such Class B Member's Investment Balance by the aggregate Investment Balances of all Class B Members. 

        "Class B Seller" shall have the meaning set forth in Section 7.2(b). 

        "Code" means the Internal Revenue Code of 1986, as amended from time to time, or any corresponding federal tax statute enacted after the
date of this Agreement. 

        "Company" shall have the meaning set forth in the preamble. 

        "Company Minimum Gain" shall have the meaning assigned to the term "partnership minimum gain" in Treasury Regulations
Sections 1.704-2(b)(2) and 1.704-2(d). 

        "Company Nonrecourse Liability" shall have the meaning assigned to the term "nonrecourse liability" in Treasury Regulations
Section 1.704-2(b)(3) 

        "Company Sale" means (i) any disposition to any Person of all or substantially all of the Property of the
Company, (ii) a Transfer to any Person of all of the outstanding Interests of the Company or (iii) a merger, combination or consolidation of the Company with or into any Person. 

        "Company Sale Notice" shall have the meaning set forth in Section 7.2(b)(iii). 

        "Company Sale Offer" shall have the meaning set forth in Section 7.2(b)(ii). 

        "Confidential Information" shall mean all information provided or made available by or on behalf of the Company or its Representatives to
a Member or its Representatives, including all information, data, reports, interpretations, contract terms and conditions, forecasts and records containing or otherwise reflecting information
concerning the Company or its Affiliates, potential counterparties or customers or their Affiliates, potential projects, business plans or proposals, market or economic data, identities of actual or
potential counterparties or customers, designs, concepts, trade secrets and other business,
operational or technical information (irrespective of the form of communication of such information) and together with analyses, compilations, studies or other documents, whether prepared by or on
behalf of a Member or its Representatives, which contain or otherwise reflect such information (irrespective of the form of communication of such information).  "Confidential
Information" also includes information of third parties including such information as may
currently or in the future be 

3

 

subject
to confidentiality agreements between the Company and third parties. Notwithstanding the foregoing, Confidential Information shall not include the following: (a) information which at
the time of disclosure by or on behalf of the Company is publicly available or which later becomes publicly available through no act or omission of the disclosing Member or its Representatives;
(b) information which a Member can demonstrate was in its possession on a non-confidential basis prior to disclosure by or on behalf of the Company hereunder; (c) information
received by a Member from a third party who is not prohibited from transmitting the information by a contractual, legal or fiduciary obligation; or (d) information which a Member can
demonstrate was independently developed by it or for it and which was not derived or obtained, in whole or in part, from Confidential Information or from the Company or its Representatives hereunder. 

        "Control," including the correlative terms "Controlling,"
"Controlled by" and "Under Common Control with" means possession, directly or indirectly (through one or
more intermediaries), of the power to direct or cause the direction of the management or policies (whether through ownership of securities or any partnership or other ownership interest, by contract
or otherwise) of a Person. For the purposes of this definition, ownership of more than 50% of the voting interests of any entity shall be conclusive evidence that Control exists. 

        "Covered Person" means, in each case, whether or not a Person continues to have the applicable status referred to in the following list: a
Member; a Manager; the Operator; any Affiliate of a Member or a Manager or of the Operator; any officers of the Company, whether or not such officers are employees of the Company; any officers,
directors, members, managers, stockholders, partners, employees, representatives or agents of any Manager or Member or of the Operator, or of any of their respective Affiliates; any employee or agent
of the Company or its Affiliates; and any Tax Matters Member of the Company. 

        "CP Index" means the United States Department of Labor, Bureau of Labor Statistics Consumer Price Index—All Urban Consumers,
U.S. City Average, Not Seasonally Adjusted, or, if such index is discontinued, any successor or substitute index, which, in the Board's reasonable opinion, is most nearly equivalent to such index. 

        "Debt" for any Person means, without duplication: (a) indebtedness of such Person for borrowed money, including obligations under
letters of credit and agreements relating to the issuance of letters of credit or acceptance financing; (b) obligations of such Person evidenced by bonds, debentures, notes, or other similar
instruments; (c) obligations of such Person to pay the deferred purchase price of property or services (including, without limitation, obligations that are non-recourse to the
credit of such Person but are secured by the assets of such Person, but excluding trade accounts payable); (d) obligations of such Person under capital leases; and (e) obligations of
such Person under guarantees in respect of indebtedness or obligations of others of the kinds referred to in clauses (a) through (d) above;  provided, that "Debt" shall not include the incurrence
of trade debt in the ordinary course of business. 

        "Default Rate" means a per annum rate of interest equal to the lower of ** and the maximum
rate of interest then permitted by law. 

        "Defaulting Member" shall have the meaning set forth in Section 4.2. 

        "Depreciation" means, for each Fiscal Year or other period, an amount equal to the depreciation, amortization or other cost recovery
deduction allowable for federal income tax purposes with respect to an asset for such Fiscal Year or other period and in a manner consistent with the methodologies employed by MWE or otherwise
determined by the Board; provided, however, that if the Gross Asset Value of an asset differs from its
adjusted basis for federal income tax purposes at the beginning of such Fiscal Year or other period, Depreciation for such Fiscal Year or other period shall equal to the amount of book basis recovered
for such Fiscal Year or other period under the rules prescribed by Treasury Regulation Section 1.704-3(d)(2) and provided further,
that if the federal income tax 

4

 

depreciation,
amortization or other cost recovery deduction for such Fiscal Year or other period is zero, Depreciation shall be determined with reference to such beginning Gross Asset Value using any
reasonable method selected by the Board. 

        "Designated MWE Employees" has the meaning ascribed to such term in the Services Agreement. 

        "Economic Risk of Loss" shall have the meaning assigned to that term in Treasury Regulation Section 1.752-2(a). 

        "Election Period" shall have the meaning set forth in Section 5.6(b). 

        "Electing Member" shall have the meaning set forth in Section 5.6(b). 

        "Eligible Member" shall have the meaning set forth in Section 5.6(a). 

        "EMG" shall have the meaning set forth in the preamble. 

        "EMG Group" means EMG and each transferee of Interests directly or indirectly (in chain of title) from EMG that is an Affiliate of EMG;  provided, however, that once a Person is designated as a member of the EMG Group such Person shall, as
long as it owns any Interests, at all times be a member of the EMG Group and not a member of any other Affiliated Member Group, and, provided further,
that for purposes of this definition, an Affiliate shall not include a member of any other Affiliated Member Group. 

        "EMG Portfolio Companies" shall have the meaning set forth in Section 3.3(d). 

        "EMG Representatives" shall mean the members, managers and employees of EMG or any Affiliate thereof, together with all other persons
serving as representatives of EMG, including those Persons who are serving as Managers at the request of EMG pursuant to this Agreement. 

        "Enforcement Activities" shall have the meaning set forth in Section 6.3(a). 

        "Exchange Act" means the Securities Exchange Act of 1934, and the rules and regulations promulgated thereunder, as amended and any
successor statutes thereto. 

        "Exempted Project" shall have the meaning set forth in Section 3.3(b). 

        "First Equalization Date" shall mean the first date on which the quotient (expressed as a percentage) obtained by dividing the aggregate
Investment Balances of all members of the MWE Operating Company Group by the aggregate Investment Balances of all members of the MWE Operating Company Group plus all members of the EMG Group is equal
to or greater than 60%. 

        "First Notice" shall have the meaning set forth in Section 5.6(b). 

        "Fiscal Year" means (i) the period commencing January 1, 2012 and ending on December 31, 2012 and (ii) any
subsequent 12 month period commencing on January 1 and ending on December 31. 

        "G&A Services" has the meaning ascribed to such term in the Services Agreement. 

        "GAAP" means generally accepted accounting principles in the United States. 

        "Gross Asset Value" means, with respect to any asset, such asset's adjusted basis for federal income tax purposes, except as follows: 

        (a)   the
initial Gross Asset Value of any asset contributed by a Member to the Company shall be the gross fair market value of such asset, as agreed to by the contributing
Member and the Board; 

        (b)   the
Gross Asset Value of all Company assets shall be adjusted to equal their respective gross fair market values, as determined by the Board, in connection with:
(i) the acquisition of an additional interest in the Company by any new or existing Member in exchange for more than a de minimis Capital
Contribution or in exchange for the performance of services to or for the benefit of the 

5

 

Company;
(ii) the distribution by the Company to a Member of more than a de minimis amount of Company assets as consideration for an interest in
the Company; and (iii) the liquidation of the Company within the meaning of Treasury Regulations Section 1.704-1(b)(2)(ii)(g) (other than pursuant to
Section 708(b)(1)(B) of the Code) or any other event to the extent determined by the Board to be necessary to properly reflect the Gross Asset Values in accordance with the standards set forth
in Treasury Regulations Section 1.704-1(b)(2)(iv)(q); provided, however, that
adjustments pursuant to clause (i) and clause (ii) of this sentence shall be made only if the Board reasonably determines that such adjustments are necessary or appropriate to reflect
the relative economic interests of the Members in the Company; 

        (c)   the
Gross Asset Value of any Company asset distributed to any Member shall be the gross fair market value of such asset on the date of distribution, as determined by the
Board and the distributee Member; and 

        (d)   the
Gross Asset Values of Company assets shall be adjusted to reflect any adjustments to the adjusted basis of such assets pursuant to Code Section 734(b) or Code
Section 743(b), but only to the extent that such adjustments are taken into account in determining Capital Accounts pursuant to Treasury Regulations
Section 1.704-1(b)(2)(iv)(m). 

If
the Gross Asset Value of an asset has been determined or adjusted pursuant to paragraph (a) or paragraph (b) above, such Gross Asset Value shall thereafter be adjusted by the
Depreciation taken into account with respect to such asset for purposes of computing Profits and Losses. 

        **

        "Indemnitee" shall have the meaning set forth in Section 12.7. 

        "Indemnitor" shall have the meaning set forth in Section 12.7. 

        "Indentures" means (a) that certain Indenture, dated as of November 2, 2010 (as amended and supplemented by the first
supplemental indenture, the third supplemental indenture, and the fourth supplemental indenture, thereto), by and among MWE, MarkWest Energy Finance Corporation, a Delaware corporation, the Subsidiary
Guarantors (as defined therein), and Wells Fargo Bank, National Association, a national banking association, as trustee, (b) that certain Indenture, dated as of November 2, 2010 (as
amended and supplemented by the second supplemental indenture, the third supplemental indenture, and the fourth supplemental indenture, thereto), by and among MWE, MarkWest Energy Finance Corporation,
a Delaware corporation, the Subsidiary Guarantors (as defined therein), and Wells Fargo Bank, National Association, a national banking association, as trustee, and (c) that certain Indenture,
dated as of November 2, 2010 (as amended and supplemented by the fifth supplemental indenture, thereto), by and among MWE, MarkWest Energy Finance Corporation, a Delaware corporation, the
Subsidiary Guarantors (as defined therein), and Wells Fargo Bank, National Association, a national banking association, as trustee, and in each case as further amended and supplemented. 

        "Initial Budget" shall have the meaning set forth in Section 5.5. 

        "Initial Capital Contribution" shall have the meaning set forth in Section 4.1(a). 

        "Interest" means the interest of a Member in the Company, including both Class A Percentage Interests and Class B Percentage
Interests, including rights to distributions (liquidating or otherwise), allocations, notices and information, rights to approve of or consent to certain matters (if applicable) and all other rights,
benefits and privileges enjoyed by that Member (under the Act, the Certificate, this Agreement, or otherwise) in its capacity as a Member; and all obligations, duties and liabilities imposed on that
Member (under the Act, the Certificate, this Agreement, or otherwise) in its capacity as a Member. 

        "Investment Account" shall have the meaning set forth in Section 4.7 

        "Investment Balance" shall have the meaning set forth in Section 4.7 

6

 

 

        "IPO Issuer" means (a) the Company or (b) an Affiliate of the Company which will be a successor to the Company and the
issuer in a Qualified Public Offering. 

        "Lien" means, with respect to any asset, any mortgage, lien, pledge, charge, security interest or encumbrance of any kind in respect of
such asset. 

        "Liquidating Trustee" shall have the meaning set forth in Section 13.4(a). 

        "Liquidation Amounts" shall have the meaning set forth in Section 13.4(b). 

        "Manager" shall have the meaning set forth in Section 6.1. 

        "Member" means any Person (but not any Affiliate or entity in which such Person has an equity interest) executing this Agreement and any
Person admitted as an Additional Member or a Substitute Member pursuant to the provisions of this Agreement, in such Person's capacity as a Member of the Company, and  "Members" means two or more of such Persons, in their capacities as Members of the Company. Such terms
do not include any Person or Persons who have ceased to be Members in the Company. 

        "Member Nonrecourse Debt" has the meaning assigned to the term "partner nonrecourse debt" in Treasury Regulation
Section 1.704-2(b)(4). 

        "Member Nonrecourse Debt Minimum Gain" shall have the meaning assigned to the term "partner nonrecourse debt minimum gain" in Treasury
Regulation Section 1.704-2(i)(2). 

        "Member Nonrecourse Deductions" shall have the meaning assigned to the term "partner nonrecourse deductions" in Treasury Regulation
Section 1.704-2(i)(1). 

        "Minimum Class A Investment" shall have the meaning set forth in Section 4.1(b)(ii). 

        "Minimum Gain" shall have the meaning assigned to that term in Treasury Regulation Section 1.704-2(d). 

        "Minimum Price" shall have the meaning set forth in Section 7.2(b)(ii). 

        "Monthly Reports" shall have the meaning set forth in Section 10.3(c). 

        "MWE" means MarkWest Energy Partners, L.P., a Delaware limited partnership. 

        "MWE Hydrocarbon" shall have the meaning set forth in the recitals. 

        "MWE Liberty" means MarkWest Liberty Midstream & Resources, L.L.C., a Delaware limited liability company. 

        "MWE Operating Company" shall have the meaning set forth in the preamble. 

        "MWE Operating Company Group" means MWE Operating Company and each transferee of Interests directly or indirectly (in the chain of title)
from MWE Operating Company that is an Affiliate of MWE Operating Company; provided, however, that once a
Person is designated as a member of the MWE Operating Company Group such Person shall, as long as it owns any Interests, at all times be a member of the MWE Operating Company Group and not a member of
any other Affiliated Member Group; provided further, that for purposes of this definition, an Affiliate shall not include a member of any other
Affiliated Member Group. 

        "New Interests" shall have the meaning set forth in Section 5.6(a). 

        "Nonrecourse Deductions" shall have the meaning assigned to that term in Treasury Regulation Section 1.704-2(b). 

        "Operator" means the Person designated as the "Operator" of the Company in accordance with Section 6.11. 

7

 

        "Out of Scope Project" means (a) any project, activity, or business venture outside the Area of Mutual Interest, (b) any
project, activity, or business venture not within the scope of the Primary Business of the Company (whether inside or outside the Area of Mutual Interest), (c) any project, activity, or
business venture involving assets that are wholly or partially inside the Area of Mutual Interest if the primary purpose of such project, activity or business venture does not relate to natural gas or
natural gas liquids gathered from within the Area of Mutual Interest, or (d) MWE Liberty's interests in the Base Project and any expansions thereof that are paid for by MWE Liberty. 

        "Over-Allotment Amount" shall have the meaning set forth in Section 5.6(b). 

        **

        "Percentage Interest" means: 

        (a)   at
any time prior to the earlier to occur of the First Equalization Date and the Trigger Date: 

          (i)  with
respect to a Class A Member, the product (expressed as a percentage) of (1) 40% and (2) such Member's Class A Percentage Interest; and 

         (ii)  with
respect to a Class B Member, the product (expressed as a percentage) of (1) 60% and (2) such Member's Class B Percentage Interest. 

        (b)   at
any time on or after the earlier to occur of the First Equalization Date and the Trigger Date, with respect to any Member (including any Class A Member or
Class B Member), the quotient (expressed as a percentage) obtained by dividing the Investment Balance of such Member by the Investment Balances of all Members. 

        "Permitted Liens" means (a) statutory liens for current taxes or assessments not yet due and delinquent or the validity of which is
being contested in good faith by appropriate proceedings and for which adequate reserves have been established; (b) mechanics', carriers', workers', repairers' and other similar liens arising
or incurred in the ordinary course of business; and (c) all applicable zoning ordinances and land use restrictions. 

        "Permitted Transfers" shall have the meaning set forth in Section 7.1. 

        "Personnel Services" has the meaning ascribed to such term in the Services Agreement. 

        "Person" means any natural person, corporation, limited partnership, general partnership, limited liability company, joint stock company,
joint venture, association, company, estate, trust, bank trust company, land trust, business trust, or other organization, whether or not a legal entity, custodian, trustee-executor, administrator,
nominee or entity in a representative capacity and any government or agency or political subdivision thereof. 

        "Primary Business" shall have the meaning set forth in Section 3.1(a). 

        "Profits" or "Losses" means, for each Fiscal Year, an amount equal to the Company's
taxable income or loss for such Fiscal Year, determined in accordance with Section 703(a) of the Code (but including in taxable income or loss, for this purpose, all items of income, gain, loss
or deduction required to be stated separately pursuant to Section 703(a)(1) of the Code), with the following adjustments: 

        (a)   any
income of the Company exempt from federal income tax and not otherwise taken into account in computing Profits or Losses pursuant to this definition shall be added
to such taxable income or loss; 

        (b)   any
expenditures of the Company described in Section 705(a)(2)(B) of the Code (or treated as expenditures described in Section 705(a)(2)(B) of the Code
pursuant to Treasury Regulations 

8

 

Section 1.704-1(b)(2)(iv)(i))
and not otherwise taken into account in computing Profits or Losses pursuant to this definition shall be subtracted from such taxable income or loss; 

        (c)   in
the event the Gross Asset Value of any Company asset is adjusted in accordance with paragraph (b) or paragraph (c) of the definition of "Gross Asset
Value", the amount of such adjustment shall be taken into account as gain (if the adjustment increases the Gross Asset Value of the Company asset) or loss (if the adjustment decreases the Gross Asset
Value of the Company asset) from the disposition of such asset for purposes of computing Profits or Losses; 

        (d)   gain
or loss resulting from any disposition of any Company asset with respect to which gain or loss is recognized for federal income tax purposes shall be computed by
reference to the Gross Asset Value of the asset disposed of, notwithstanding that the adjusted tax basis of such asset differs from its Gross Asset Value; 

        (e)   in
lieu of the depreciation, amortization and other cost recovery deductions taken into account in computing such taxable income or loss, there shall be taken into
account Depreciation for such Fiscal Year or other period, computed in accordance with the definition of "Depreciation"; 

        (f)    to
the extent an adjustment to the adjusted tax basis of any asset pursuant to Code Section 734(b) is required, pursuant to Treasury Regulation
Section 1.704-1(b)(2)(iv)(m)(4), to be taken into account in determining Capital Account balances as a result of a distribution other than in liquidation of a Member's interest in
the Company, the amount of such adjustment shall be treated as an item of gain (if the adjustment increases the basis of the asset) or an item of loss (if the adjustment decreases such basis) from the
disposition of such asset and shall be taken into account for purposes of computing Profits or Losses; and 

        (g)   notwithstanding
any other provisions of this definition, any items which are specially allocated pursuant to Section 9.2 or 9.3 shall not be taken into account in
computing Profits or Losses. 

        "Project Period" shall have the meaning set forth in Section 7.1. 

        "Projects" shall have the meaning set forth in Section 3.3(a). 

        "Property" means all of the assets and property now owned or hereafter acquired by the Company. 

        "Proposed Budget" shall have the meaning set forth in Section 6.16(a). 

        "Proposed Purchaser" shall have the meaning set forth in Section 5.6(a). 

        "Prudent Industry Practices" means, at a particular time, any of the practices, methods and acts which, in the exercise of reasonable
judgment based upon the circumstances existing, and the information available, at such time, is reasonably expected to result in the proper operation and maintenance of the Company assets and shall
include, without limitation, the practices, methods and acts engaged in or approved by a significant portion of, or otherwise commonly used in, the industry at such time with respect to the assets of
the same or similar types as the Company assets. Prudent Industry Practices are not intended to be limited to optimum practices, methods or acts, to the exclusion of all others, but rather is a
spectrum of possible practices, methods and acts which could have been expected to accomplish the desired result at a commercially reasonable cost and consistent with reliability, safety, timeliness
and all applicable laws as well as with the Approved Budget. Prudent Industry Practices are intended to entail the same standards as a Person would, in the commercially reasonable prudent management
of its own properties, use from time to time. 

        "Qualified Public Offering" means any underwritten initial public offering by the IPO Issuer of equity securities pursuant to an effective
registration statement under the Securities Act and for which aggregate cash proceeds to be received by the IPO Issuer from such offering (without deducting underwriting discounts, expenses and
commissions) are at least $50,000,000.00. 

9

 

        "Qualifying Third Party Offer" shall have the meaning set forth in Section 7.2(a)(ii). 

        "Quarterly Financial Statements" shall have the meaning set forth in Section 10.3(b). 

        "Regulatory Allocations" shall have the meaning set forth in Section 9.3. 

        "Remaining Members" shall have the meaning set forth in Section 7.2(a). 

        "Representatives" means (a) with respect to the Company, any of: (i) the Company's Affiliates; and (ii) directors,
officers, managers, employees, members, partners, agents and authorized representatives (including attorneys, accountants, consultants, bankers, lenders and financial advisors) of the Company and the
Company's Affiliates and (b) with respect to a Member, any of: (i) such Member's Affiliates; (ii) directors, officers, managers, employees, members, stockholders, partners, agents
and authorized representatives (including attorneys, accountants, consultants, bankers, lenders and financial advisors) of the Member and the Member's Affiliates; and (iii) Persons who are (or
who are prospective) beneficial owners of equity interests in such Member. 

        "Requisite Member Approval" means the approval of each Affiliated Member Group holding Interests with an aggregate Percentage Interest
equal to or exceeding **. 

        "Restricted Project" has the meaning set forth in Section 3.3(b). 

        **

        "ROFO Interest" shall have the meaning set forth in Section 7.2(a). 

        "ROFO Offer" shall have the meaning set forth in Section 7.2(a). 

        "Rules" shall have the meaning set forth in Section 6.16(d). 

        "Sale Proposal" shall have the meaning set forth in Section 7.2(b)(i). 

        "Second Equalization Date" shall mean the first date on which the quotient (expressed as a percentage) obtained by dividing the aggregate
Investment Balances of all members of the MWE Operating Company Group by the aggregate Investment Balances of all members of the MWE Operating Company Group plus all members of the EMG Group is equal
to or greater than 70%. 

        "Securities Act" means the Securities Act of 1933, and the rules and regulations promulgated thereunder, as amended and any successor
statutes thereto. 

        "Services Agreement" shall have the meaning set forth in the recitals. 

        "Solicitation Notice" shall have the meaning set forth in Section 7.2(b)(ii). 

        "Solicitation Period" shall have the meaning set forth in Section 7.2(a)(ii). 

        "Solicitation Response" shall have the meaning set forth in Section 7.2(b)(ii). 

        "Subsidiary" means, with respect to any Person, (a) any corporation, of which a majority of the total voting power of shares of
stock entitled (without regard to the occurrence of any contingency) to vote generally in the election of directors thereof is at the time owned or controlled, directly or indirectly, by that Person
or one or more of the other Subsidiaries of that Person or a combination thereof or (b) any limited liability company, partnership, association or other business entity, of which a majority of
the partnership or other similar ownership interests thereof is at the time owned or controlled, directly or indirectly, by that Person or one or more Subsidiaries of that Person or a combination
thereof. For purposes of this definition, a Person or Persons will be deemed to have a majority ownership interest in a limited liability company, partnership, association or other business entity if
such Person or Persons will be allocated a majority of limited liability company, partnership, association or other business entity gains or losses, or is or controls the managing member or general
partner of such limited liability company, partnership, association or other business entity. 

10

 

        "Substitute Member" means a Person who is admitted to the Company as a Member pursuant to Article 7, and then designated as a  "Member" on an amended Exhibit B to this
Agreement. 

        "Tag-Along Members" shall have the meaning set forth in Section 7.2(b). 

        "Tag-Along Notice" shall have the meaning set forth in Section 7.2(b)(i). 

        "Tag-Along Notice Period" shall have the meaning set forth in Section 7.2(b)(i). 

        "Tag-Along Rights" shall have the meaning set forth in Section 7.2(b). 

        "Tax Distributions" means distributions made to Members pursuant to Section 8.4. 

        "Tax Distribution Date" shall have the meaning set forth in Section 8.4(a). 

        "Tax Matters Member" shall have the meaning set forth in Section 11.4(a). 

        "Third Party Offer" shall have the meaning set forth in Section 7.2(a)(ii). 

        "Transaction Documents" shall have the meaning set forth in Section 5.1(b). 

        "Transfer" means any direct or indirect transfer, assignment, sale, conveyance, license, lease, or partition of any Interest, and includes
any "involuntary transfer" such as a sale of any part of the Interest therein in connection with any bankruptcy or similar insolvency proceedings, or any other disposition of any Interest. A Transfer
shall not include any pledge, hypothecation or encumbrance of any Interest. 

        "Transferring Member" shall have the meaning set forth in Section 7.2(a). 

        "Treasury Regulations" means the income tax regulations, including temporary regulations, promulgated under the Code, as such regulations
may be amended from time to time (including corresponding provisions of succeeding regulations). 

        "Trigger Date" shall mean December 31, 2016. 

        "Unrelated Information" shall have the meaning set forth in Section 10.2. 

 
 

  ARTICLE 2
  FORMATION AND TERM    
    

Section 2.1    Formation.    

        (a)   The
Company was organized as a Delaware limited liability company under and pursuant to the Act by the filing of the Certificate by an authorized person and is being
continued pursuant to the terms of this Agreement. 

        (b)   The
name and mailing address of each Member and the total amount which shall be contributed to the capital of the Company through the January 1, 2012 effective
date is listed on Exhibit B. The Board shall cause Exhibit B to be updated, from time to
time, as may be necessary to accurately reflect the information therein. Any amendment or revision to Exhibit B made in accordance with this
Agreement shall not be deemed an amendment to this Agreement. Any reference in this Agreement to Exhibit B shall be deemed to be a reference to  Exhibit B, as amended, revised and in effect from time to time. 

Section 2.2    Name.    

        The
business and affairs of the Company shall be conducted under the name "MarkWest Utica EMG, L.L.C." and such name shall be used at all times in connection with the Company's business
and affairs, except to the extent the Board agrees to the use by the Company of assumed names or other trade names or fictitious names. The Company's Managers or officers or the Operator shall execute
such assumed or fictitious name certificates as may be desirable or required by law to be filed in connection with the business and affairs of the Company and shall cause such certificates to be filed
in all appropriate public records. 

11

 

 

Section 2.3    Term.    

        The
term of the Company commenced upon the effectiveness of the Certificate and shall continue perpetually, unless the Company is dissolved in accordance with the provisions of this
Agreement. 

Section 2.4    Registered Agent and Office.    

        The
registered office of the Company required by the Act to be maintained in Delaware shall be the office of the initial registered agent named in the Certificate or such other office
(which need not be a place of business of the Company) as the Board may designate in the manner provided by law. The registered agent of the Company in Delaware shall be the initial registered agent
named in the Certificate or such other Person or Persons as the Board may designate in the manner provided by law. 

Section 2.5    Principal Place of Business.    

        The
principal place of business of the Company shall be 1515 Arapahoe Street, Tower 1, Suite 1600, Denver, CO 80202. At any time, the Board may change the location of the
Company's principal place of business. The Company may have such other places of business as the Board or the Operator may designate. 

Section 2.6    Qualification in Other Jurisdictions.    

        The
Managers, the officers of the Company or the Operator shall cause the Company to be qualified, formed or registered under assumed or fictitious name statutes or similar laws in any
jurisdiction in which the Company transacts business. The Managers, the officers of the Company or the Operator shall execute, deliver and file any certificates (and any amendments and/or restatements
thereof) necessary or appropriate for the Company to qualify and continue to do business in a jurisdiction in which the Company may wish to conduct business. At the request of the Board or the
Operator, each Member shall execute, acknowledge, swear to and deliver all certificates and other instruments conforming with this Agreement that are necessary or appropriate to qualify, continue and
terminate the Company as a foreign limited liability company in all such jurisdictions in which the Company may conduct business; provided, that no
Member shall be required to file any general consent to service of process or to qualify as a foreign corporation, limited liability company, partnership or other entity in any jurisdiction in which
it is not already so qualified. 

 
 

  ARTICLE 3
  PURPOSE AND POWERS OF THE COMPANY    
    

Section 3.1    Purpose.    

        (a)   The
purpose of the Company is to engage in the natural gas midstream business, including but not limited to natural gas gathering and processing, and the natural gas
liquids processing, fractionation, transportation, storage and marketing businesses in the Area of Mutual Interest and to fulfill the obligations of the Company pursuant to any contract entered into
by the Company or under which the Company has assumed obligations of any Person (the "Primary Business"), and to engage in any other business or
activity that now or in the future may be necessary, incidental, proper, advisable or convenient to accomplish the foregoing purpose and that is not forbidden by the law of the jurisdiction in which
the Company engages in such business or activity. 

        (b)   In
no event shall this Agreement be held or construed to imply the existence of a partnership (including a limited partnership) or joint venture among the Members and no
Member shall be held or construed to be a partner or joint venturer of any other Member, for any purposes other than federal and state tax purposes. No Member shall have any power or authority under
this Agreement to act as the agent or representative of the Company or any other Member with regard to any matter beyond the scope of this Company. 

12

 

Section 3.2    Powers of the Company.    

        The
Company shall have all powers and privileges granted by the Act, any other law, or by this Agreement, including incidental powers thereto, to the extent that such powers and
privileges are necessary, customary, convenient or incidental to the attainment of the Company's purpose. 

Section 3.3    Projects, Restricted Projects, Exempted Projects and Out of Scope Projects.    

        (a)   As
part of the Primary Business, the Company shall use commercially reasonable efforts to pursue the acquisition, development, construction and operation of natural gas
gathering and processing, and the natural gas liquids processing, fractionation, transportation, storage and marketing assets described on  Exhibit C (such activities, the "Base Project"). From time to time, the Company may also pursue
the acquisition, development, construction and operation of additional midstream assets in the Area of Mutual Interest in accordance with this Agreement (such activities, the
"Additional Projects" and, collectively with the Base Project, the "Projects"). 

        (b)   No
Class B Member (either directly or indirectly through one or more Affiliates) shall, own, operate, manage, control, engage in, participate in, invest in,
finance, render services for, assist others in, or otherwise carry out any Primary Business (a "Restricted Project") other than through the Company,
without Requisite Member Approval, except as follows (any Restricted Project engaged in pursuant to one of the following exceptions is an "Exempted
Project"): 

          (i)  MWE
Operating Company or its Affiliates may engage in a Restricted Project outside the Company without Requisite Member Approval if the pursuit of such Restricted
Project by the Company does not receive approval of the Board pursuant to Section 6.1 and Requisite Member Approval pursuant to Section 6.12 (solely due to the lack of approval by the
Class A Managers and/or Class A Members, as applicable), and the Company therefore is unable to pursue the Restricted Project; and 

         (ii)  A
Class B Member or its Affiliates may ** as part of **
Restricted Projects; provided, that ** such Class B Member  ** the Company ** the Class B Member. In connection with  ** the Company and the other Members **. Members holding Interests with an
aggregate Percentage Interest  ** shall have the ** this Section 3.3(b)(ii) (which, for clarity purposes, shall not  **). Such Members may, by written notice to the Company ** Class B Member
** the Class B Member ** Class B Member  **. For the avoidance of doubt, ** the Restricted Project shall have  ** prior to **. In the event that **
the
Restricted Project, the ** the Class B Member ** the Class B Member or  ** the Class B Member.
** Class B Member  ** of the Company. 

        Each
Member recognizes and affirms that in the event of breach by such Member of any of the provisions of this Section 3.3(b), money damages may be inadequate and the
non-breaching Members may have no adequate remedy at law. Accordingly, each Member agrees that the non-breaching Members shall have the right, in addition to any other rights
and remedies existing in their favor, to enforce their rights and each of the Members' obligations under this Section 3.3(b) not only by an action or actions for damages, but also by an action
or actions for specific performance, injunctive and/or other equitable relief in order to enforce or prevent any violations (whether anticipatory, continuing or future) of the provisions of this
Section 3.3(b). 

        (c)   Notwithstanding
anything to the contrary in this Agreement, in the event that Class B Member(s) (either directly or indirectly through one or more Affiliates)
elects to pursue for its own account any Exempted Project pursuant to Section 3.3(b), or any Member(s) elects to pursue an Out of Scope Project, then, to the extent reasonably requested by such
Member(s), the Company and the other Members hereby agree to reasonably amend this Agreement or to enter into other reasonable and customary commercial and other agreements such that such Member(s) or
their respective Affiliates shall be entitled to receive the benefits attributable to such Exempted Project or Out of Scope Project or to otherwise pursue the Exempted Project or Out of Scope Project. 

13

 

        (d)   The
Company and the Members recognize that: (i) EMG and its Affiliates own and will own substantial equity interests in other companies (existing and future) that
participate in the energy industry ("EMG Portfolio Companies") and have in the past and will in the future enter into advisory service agreements with
such EMG Portfolio Companies; (ii) the EMG Representatives who serve as Managers also serve as principals of other EMG Portfolio Companies; and (iii) at any time, other EMG Portfolio
Companies may be in direct or indirect competition with the Company and/or its Subsidiaries. The Company and the Members acknowledge and agree that EMG, its Affiliates and EMG Representatives:
(A) shall not be prohibited or otherwise restricted by their relationship with the Company and its Subsidiaries from engaging in the business of investing in EMG Portfolio Companies, entering
into agreements to provide services to such EMG Portfolio Companies or acting as directors or advisors to, or other principals of, such EMG Portfolio Companies, regardless of whether such activities
are in direct or indirect competition with the Company or the Primary Business, (B) shall not have any obligation to offer the Company or its Subsidiaries any business opportunity resulting
from EMG and its Affiliates' ownership in the EMG Portfolio Companies, and (C) the Company and the Members hereby renounce any interest or expectancy in any such business opportunity pursued by
EMG, its Affiliates, the EMG Representatives or another EMG Portfolio Company and waive any claim that any such business opportunity constitutes a corporate, partnership or other business opportunity
of the Company or any of its Subsidiaries; provided, however, that nothing contained in this
Section 3.3(d) is intended to limit the confidentiality obligations in Section 5.4 and EMG, its Affiliates, the EMG Portfolio Companies and the EMG Representatives are expressly
prohibited from using any Confidential Information (i) to pursue any such business opportunity, (ii) in providing services to the EMG Portfolio Companies or (iii) in acting as
directors or advisors to, or other principals of, such companies. 

        (e)   No
Member or its Affiliates shall have any obligation to communicate or offer any Out of Scope Projects to the Company or the other Members. The Members acknowledge and
agree that each Member, and their respective Affiliates, may presently or in the future engage in and/or possess an interest in other business ventures of every nature and description, independently
or with others, outside of the Area of Mutual Interest, whether or not such business ventures are within the scope of the Primary Business, or within the Area of Mutual Interest, so long as such
ventures constitute Out of Scope Projects or Exempted Projects, and neither the Company nor any other Members shall have any right by virtue of this Agreement in and to any Out of Scope Projects or
Exempted Projects, or to the income or profits derived therefrom. 

 
 

  ARTICLE 4
  CAPITAL CONTRIBUTIONS, MEMBER INTERESTS,
  CAPITAL ACCOUNTS AND FUTURE CAPITAL REQUIREMENTS    
    

Section 4.1    Capital Contributions.    

        (a)    Initial Capital Contributions.    On or prior to January 1, 2012, MWE Operating Company and EMG shall
have made the respective Capital Contributions (each, an "Initial Capital Contribution") to the Company in the amounts set forth
on Exhibit B in exchange for the initial Percentage Interest and the type of Interest set forth on Exhibit B. 

        (b)    Additional Capital Contributions Prior to the First Equalization Date.    

          (i)  The
Class A Members hereby collectively agree to make from time to time additional cash Capital Contributions to the Company, on an as needed basis and as
consistent with the applicable Approved Budget, until such time as the Class A Members have an aggregate Investment Balance of $350,000,000.00 (such Capital Contributions, the
"Additional Class A Contributions"). Such Capital Contributions shall be made upon receipt by each Class A Member of a Capital Call
properly made by the Board to such Class A Members for such amount. The 

14

 

Class A
Members shall contribute to the Company the amount of capital so requested in accordance with their respective Class A Percentage Interests, within fifteen Business Days after
receipt of such Capital Call. 

         (ii)  Following
the funding of the Additional Class A Contributions, the Class A Members hereby collectively agree to make from time to time additional cash
Capital Contributions to the Company, on an as needed basis and as consistent with the applicable Approved Budget (to the extent such cash Capital Contributions are not funded by the Class B
Members pursuant to Section 4.1(b)(iii)), until such time as the Class A Members have an aggregate Investment Balance of at least $500,000,000.00 (such Investment Balance, the
"Minimum Class A Investment"). Such Capital Contributions shall be made upon receipt by each Class A Member of a Capital Call properly
made by the Board to such Class A Members for such amount. The Class A Members shall contribute to the Company the amount of capital so requested in accordance with their respective
Class A Percentage Interests, within fifteen Business Days after receipt of such Capital Call. Upon the first to occur of (1) the contribution of the Class A Member's Initial
Capital Contribution, each of the Additional Class A Contributions, and the cash Capital Contributions required pursuant to this Section 4.1(b)(ii), or (2) the occurrence of the
Trigger Date (provided that the Class A Members have not defaulted on any obligation to contribute additional capital to the Company prior to the Trigger Date pursuant to a valid request made
pursuant to Section 4.1(b)(i) or 4.1(b)(ii) which such obligation was due prior to and remains uncured as of the Trigger Date), the Class A Members shall thereafter have no obligation to
contribute any additional capital to the Company. 

        (iii)  Following
the funding of the Additional Class A Contributions by the Class A Members pursuant to Section 4.1(b)(i), the Class B Members may
elect to fund 60% of all additional cash Capital Contributions required by the Company and consistent with the applicable Approved Budget until such time as the Class A Members' Investment
Balance equals the Minimum Class A Investment. Such election (1) will be a one-time election to fund 60% of all Capital Calls after the Additional Class A
Contributions have been funded and until the Class A Members have made Capital Contributions equal to the Minimum Class A Investment and (2) will be made by the Class B
Members in connection with the first Capital Call properly made by the Board pursuant to Section 4.1(b)(ii) that includes notice to the Class B Members that the Additional Class A
Investments have been fully funded by the Class A Members. If the Class B Members make such election, then such Capital Contributions shall be made upon receipt by each Class B
Member of a Capital Call properly made by the Board and the Class B Members shall contribute to the Company the amount of capital so requested as set forth in this Section 4.1(b)(iii)
and in accordance with their respective Class B Percentage Interests, within fifteen Business Days after receipt of such Capital Call. 

        (iv)  Following
the funding of the Minimum Class A Investment by the Class A Members pursuant to Sections 4.1(b)(i) and 4.1(b)(ii), the Class B
Members hereby agree to make from time to time additional cash Capital Contributions to the Company, on an as needed basis and is consistent with the applicable Approved Budget, until the occurrence
of the First Equalization Date. Prior to the occurrence of the First Equalization Date, at each time when the Company requires additional capital, the Board shall issue a Capital Call to the
Class B Members, and the Class B Members shall contribute to the Company the amount of capital so requested, in accordance with their respective Class B Percentage Interests,
within fifteen Business Days after receipt of such Capital Call. Following the First Equalization Date, the Class B Members shall thereafter have no obligation to contribute any additional
capital to the Company. 

15

 

        (c)    Capital Contributions After the First Equalization Date But Prior to the Second Equalization Date.    

          (i)  After
the First Equalization Date but prior to the Second Equalization Date, the Class B Member(s) will have the right, but not the obligation, to make all
additional cash Capital Contributions required by the Company and consistent with the applicable Approved Budget. 

         (ii)  If
the Company requires additional capital after the First Equalization Date but prior to the Second Equalization Date, and the Class B Member(s) elects not to
contribute all additional capital so required, then, the Class A Members may elect to contribute additional capital that is not contributed by the Class B Member(s), up to an aggregate
amount of capital equal to the total amount of capital
requested, less the amount of additional capital contributed by the Class B Member(s) in connection with such request. Upon any such election by the Class A Members, the amount to be
contributed by the Class A Members shall be contributed to the Company by the Class A Members pro rata in accordance with their respective Class A Percentage Interests. 

        (iii)  With
respect to additional capital required under this Section 4.1(c), the Class A Member(s) and Class B Member(s) will use commercially
reasonable efforts to cooperate in making and communicating funding elections to permit the continued orderly conduct of the Company's business. The Member(s) electing to fund additional capital
pursuant to this Section 4.1(c) shall contribute to the Company the amount of capital so elected within fifteen Business Days after receipt of a Capital Call properly made by the Board. 

        For
the avoidance of doubt, the Percentage Interests of the Members shall be subject to adjustment (upward and downward) pursuant to this Section 4.1(c), based upon the Members'
respective Investment Balances giving effect to such additional Capital Contributions. If elections to contribute capital by the Members are less than the total amount of capital required by the
Company consistent with the applicable Approved Budget pursuant to this Section 4.1(c), then the Company may seek to obtain the requested capital from third parties, which may include issuing
additional Interests in the Company pursuant to Sections 5.3 and subject to Section 5.6, if applicable. 

        (d)    Capital Contributions After the Second Equalization Date.    

          (i)  If
the Company requires additional capital consistent with the applicable Approved Budget after the Second Equalization Date, then, the Class A Member(s) and the
Class B Member(s) will have the right, but not the obligation, to make additional cash Capital Contributions in accordance with their respective Percentage Interests. If the Class A
Member(s) do not elect to make their proportionate share of such additional cash Capital Contributions, or elect to contribute less than the amount set forth in the first sentence of this
Section 4.1(d)(i), the Class B Member(s) may elect to contribute such additional capital not contributed by the Class A Member(s). 

         (ii)  With
respect to additional capital required under this Section 4.1(d), the Class A Member(s) and Class B Member(s) will use commercially reasonable
efforts to cooperate in making and communicating funding elections to permit the continued orderly conduct of the Company's business. The Member(s) electing to fund additional capital pursuant to this
Section 4.1(d) shall contribute to the Company the amount of capital so elected within fifteen Business Days after receipt of a Capital Call properly made by the Board. 

        For
the avoidance of doubt, the Percentage Interests of the Members shall be subject to adjustment (upward and downward) pursuant to this Section 4.1(d), based upon the Members'
respective Investment Balances giving effect to such additional Capital Contributions. If elections to contribute capital by the Members are less than the total amount of capital required by the
Company consistent with the applicable Approved Budget pursuant to this Section 4.1(d), then the Company may 

16

 

seek
to obtain the requested capital from third parties, which may include issuing additional Interests in the Company pursuant to Sections 5.3 and subject to Section 5.6, if applicable. 

Section 4.2    Capital Contribution Defaults.    

        If
a Member fails to contribute any capital to the Company that is required to be so contributed pursuant to Section 4.1, such Member shall be considered in default (a
"Defaulting Member"), but shall remain fully obligated to contribute such capital to the Company. The Company shall be entitled to pursue all remedies
available at law or in equity against the Defaulting Member, including any one or more of the following: 

        (a)   the
Company may take all actions, including court proceedings, as the other Members may deem appropriate, to obtain payment by the Defaulting Member of the required
amount of the Capital Contribution remaining unpaid, together with interest thereon at the Default Rate from the date that the required Capital Contribution was required to be contributed to the
Company until the date it is so contributed, at the cost and expense of the Defaulting Member; and 

        (b)   the
non-defaulting Members may advance the portion of the Defaulting Member's Capital Contribution that is in default, in accordance with the
non-defaulting Members' respective Percentage Interests, and, at the option of the non-defaulting Members, the non-defaulting Members making such advance may be
deemed to have made a loan to the Defaulting Member in the amount of the Capital Contribution so advanced, which loan shall bear interest at the Default Rate from the date that such advance is made
until the loan is repaid in full, and until such loan is repaid in full, the non-defaulting Members making such loan to the Defaulting Member shall be entitled to receive all distributions
of Available Cash that would otherwise be payable to the Defaulting Member hereunder, in accordance with the non-defaulting Members' respective Percentage Interests. 

Section 4.3    Member's Interest.    

        A
Member's Interest shall for all purposes be personal property. Title to the Company's assets, whether real, personal or mixed and whether tangible or intangible, shall be deemed to be
owned by the Company as an entity, and no Member, Manager, Operator or officer of the Company shall have any ownership interest in such Company assets. 

Section 4.4    Status of Capital Contributions; Capital Calls.    

        (a)   Except
as otherwise provided in this Agreement, no Member, or the successor or assign of a Member, may demand a return of its Capital Contributions, in whole or in part.
An unrepaid Capital Contribution is not a liability of the Company or of any Member. 

        (b)   No
Member or Affiliate of any Member shall receive any interest, return, compensation or drawing with respect to its Capital Contributions or its Capital Account, except
as otherwise specifically provided in this Agreement. 

        (c)   Except
as otherwise provided in this Agreement, no Member shall be required to lend any funds or make any additional Capital Contributions to the Company. No Member
shall have any personal liability for the repayment of any other Member's Capital Contribution or be required to contribute or lend any cash or property to the Company to enable the Company to repay
any Member's Capital Contributions. 

        (d)   The
Company and the Board will use commercially reasonable efforts to not initiate Capital Calls more frequently than once per calendar month;  provided that the Members acknowledge that more frequent
Capital Calls may be required in the case of events outside of the ordinary course of business,
including in response to emergencies or similar situations. 

17

 

Section 4.5    Capital Accounts.    

        (a)   A
separate Capital Account shall be established and maintained for each Member in accordance with the requirements of Treasury Regulations
Section 1.704-1(b)(2)(iv). The original Capital Account established for any Member who acquires an Interest by virtue of an assignment in accordance with the terms of this Agreement
shall be in the same amount as and shall replace the Capital Account of the assignor of such Interest. To the extent such Member acquires less than all of the Interest of the assignor of the Interest
so acquired by such Member, the original Capital Account of such Member and its Capital Contributions shall be in proportion to the Interest it acquires, and the Capital Account of the assignor who
retains an Interest shall be reduced in proportion to the Interest it retains. 

        (b)   The
Capital Account of each Member shall be maintained in accordance with the following provisions: 

          (i)  to
such Member's Capital Account there shall be credited such Member's Capital Contributions, such Member's distributive share of Profits, special allocations of income
and gain, and the net amount of any Company liabilities that are assumed by such Member or that are secured by any Company assets distributed to such Member; 

         (ii)  to
such Member's Capital Account there shall be debited the amount of cash and the Gross Asset Value of any Company assets distributed to such Member pursuant to any
provision of this Agreement, such Member's distributive share of Losses, special allocations of loss and deduction, and the net amount of any liabilities of such Member that are assumed by the Company
or that are secured by any property contributed by such Member to the Company; 

        (iii)  in
determining the amount of any liability for purposes of this Section 4.5(b), there shall be taken into account Section 752(c) of the Code and any
other applicable provisions of the Code and the Treasury Regulations; and 

        (iv)  the
Capital Accounts shall be increased or decreased upon a revaluation of Company property pursuant to clause (b) of the definition of Gross Asset Value in the
manner prescribed in Treasury Regulation Section 1.704-1(b)(2)(iv)(f). 

Section 4.6    Capital Accounts Generally.    

        (a)   Except
as otherwise provided in this Agreement, whenever it is necessary to determine the Capital Account of any Member for any purpose hereunder, the Capital Account of
such Member shall be determined after giving effect to all adjustments provided for in Section 4.5 for the current Fiscal Year in respect of transactions effected prior to the date such
determination is to be made. 

        (b)   No
Member shall be entitled to withdraw any part of its Capital Account, or to receive any distribution from the Company except as specifically provided in this
Agreement. 

Section 4.7    Investment Accounts.    

        The
Company shall maintain an investment account (an "Investment Account") for each Member, the balance of which (the
"Investment Balance") shall represent the sum of a Member's Initial Capital Contribution and any additional Capital Contributions made by a Member
pursuant to Sections 4.1(b), 4.1(c) and 4.1(d). An assignee of all or any portion of an Interest shall succeed to a portion of the assignor Member's Investment Account in proportion to the
Interest acquired. 

18

 

 
 

  ARTICLE 5
  MEMBERS, MEETINGS AND AMENDMENTS    
    

Section 5.1    Powers of Members.    

        (a)   Except
for the right to consent to or approve certain matters as expressly provided in this Agreement, the Members in their capacity as Members shall not have any other
power or authority to manage the business or affairs of the Company or to bind the Company or enter into agreements on behalf of the Company. 

        (b)   To
the fullest extent permitted by law and notwithstanding any provision of this Agreement or any other document executed in connection with this Agreement (a
"Transaction Document") to the contrary, no Member in its capacity as a Member shall have any duty, fiduciary or otherwise, to the Company or any other
Member in connection with the business and affairs of the Company or any consent or approval given or withheld pursuant to this Agreement or any other Transaction Document. 

        (c)   Any
matter requiring the consent or approval of the Members pursuant to this Agreement may be taken without a meeting, without prior notice and without a vote, by a
consent in writing, setting forth such consent or approval, and signed by Members holding Interests not less than the requisite Interests necessary to consent to or approve such action;  provided, that
at least one Class A Member shall be required to sign such consent or approval in order for such consent to be effective in the
event that the Class A Members did not receive prior written notice of the action to be so taken (which prior written notice may be given by electronic mail). Prompt notice of such consent or
approval shall be given by the Company to those Members who have not joined in such consent or approval. 

Section 5.2    No Resignation or Expulsion.    

        A
Member may not take any action to resign, withdraw or retire as a Member voluntarily, and a Member may not be expelled or otherwise removed involuntarily as a Member, prior to the
dissolution and winding up of the Company, other than as a result of a Permitted Transfer of all of such Member's Interests in accordance with Article 7 and each of the transferees of such
Interests being admitted as a Substitute Member. 

Section 5.3    Additional Members.    

        (a)   After
the Board makes a Capital Call pursuant to Sections 4.1(c) or 4.1(d) that was not fully funded by the Members and subject to the preemptive rights set forth
in Section 5.6 to the extent applicable, the Company is authorized to issue additional Interests and to admit any Person as an additional member of the Company (each, an
"Additional Member" and collectively, the "Additional Members"). Upon receipt of requisite approval of
the Board and the Members, the Company is authorized to issue additional Interests and to admit any Person as an additional member of the Company (each, an "Additional
Member" and collectively, the "Additional Members"). Each such Person receiving additional Interests shall be admitted as an
Additional Member at the time such Person (i) executes a counterpart signature page agreeing to be bound hereby and such other documents or instruments as may be required in the Board's
reasonable judgment to effect the admission, and (ii) is designated as a Member (with a corresponding Percentage Interest) on an amended or supplemental  Exhibit B. The Company may issue
additional Interests or additional classes of membership interests to existing Members or to new or Additional
Members in exchange for such Capital Contributions, including cash, property or services or any combination thereof. 

        (b)   Additional
Members shall not be entitled to any retroactive allocation of the Company's income, gains, losses, deductions, credits or other items;  provided, that subject to the restrictions of Section 706(d)
of the Code, Additional Members shall be entitled to their respective share of the
Company's income, gains, losses, deductions, credits and other items arising under contracts entered into before the effective date of the admission of any Additional Members to the extent that such 

19

 

income,
gains, losses, deductions, credits and other items arise after such effective date. To the extent consistent with Section 706(d) of the Code and Treasury Regulations promulgated
thereunder, the Company's books may be closed at the time Additional Members are admitted (as though the Company's tax year had ended) or the Company may credit to the Additional Members pro rata
allocations of the Company's income, gains, losses, deductions, credits and items for that portion of the Company's Fiscal Year after the effective date of the admission of the Additional Members. 

Section 5.4    Confidentiality Obligations of Members.    

        (a)   Each
Member agrees that all Confidential Information shall be kept confidential by the Member, shall only be used for the purpose of reviewing and evaluating the
performance of the Company and the Member's Interest therein, and shall not be disclosed in any manner, except to such of the Member's Representatives who have a need to know and who agree to be, or
are otherwise, bound by the Member's obligations hereunder and except as otherwise expressly permitted in this Section 5.4. Each Member shall be responsible for any breach of this
Section 5.4 by itself or any of its Representatives, and each Member covenants and agrees that it shall promptly notify the Company of any actual, potential or threatened breach of this
Section 5.4 and shall, at its own expense, enforce, and assist the Company in its enforcement of, the provisions of this Section 5.4, including, to the extent reasonably necessary,
seeking specific enforcement through court proceedings. Subject to Section 5.4(b), if a Member or any of its Representatives is requested or required by applicable law, rule or regulation,
regulatory authority, subpoena, civil investigation, court order, demand or similar legal process to disclose any Confidential Information, the Member shall, to the maximum extent permitted by
applicable law, provide the Company with prompt written notice thereof and will use reasonable efforts to resist disclosure, until an appropriate protective order or motion to quash may be sought or a
waiver of compliance with this Section may be granted. If, in the absence of a protective order or the receipt of a waiver hereunder, such Member or any of its Representatives is, in the opinion of
its legal counsel, legally required to disclose Confidential Information, then such Member or its Representatives may disclose only that portion of the Confidential Information legally required to be
disclosed, without liability hereunder, provided that such Member or its Representatives uses reasonable efforts to obtain reliable assurance that confidential treatment will be accorded the
Confidential Information. Each Member acknowledges and agrees that the Company and the other Members may be irreparably harmed by disclosure of the Confidential Information, that money damages would
not be a sufficient remedy for any breach of this Section 5.4 by such Member or its Representatives and that, in addition to any other remedies available at law or in equity, specific
performance and injunctive or other equitable remedies shall be available to the Company and the Members as a remedy for any such breach or threatened breach, without the requirement of posting bond
or other security. The Company and the other Members shall be entitled to recover their costs and expenses, including attorneys' fees, incurred in connection with any successful action brought by them
to enforce the terms of this Agreement. With respect to Confidential Information that is subject to confidentiality agreements under any third party confidentiality agreements, in addition to
complying with the confidentiality obligations set forth herein, each Member covenants and agrees to, and shall cause its Representatives to, treat such Confidential Information confidentially in
accordance with, and to comply with the terms of, the confidentiality provisions contained in those third party confidentiality agreements that have been disclosed and delivered to such Member,
including, any provisions thereof that impose more stringent or additional obligations than those set forth herein (provided such has been disclosed and delivered to such Member). The obligations of a
Member pursuant to this Section 5.4 shall continue following the time such Person ceases to be a Member, but thereafter such Person shall not have the right to enforce the provisions hereof.
Notwithstanding anything set forth herein, all covenants made herein by a Member are for the sole benefit of the Company and the other Members and there shall be no third party beneficiaries of any of
such covenants. 

20

 

        (b)   Notwithstanding
anything to the contrary in this Agreement, each Member may disclose any information about the Company, including any Confidential Information, without
any liability to the Company or to any other Member or to their respective Affiliates and without any notice to any Member, to the extent that such disclosing Member believes that such disclosure is
necessary or appropriate to satisfy its public disclosure obligations under the Securities Act, the Exchange Act, the rules of any stock exchange, or any similar public disclosure obligations. 

Section 5.5    Initial Budget.    

        By
execution of this Agreement, the Members hereby approve and consent to the initial budget attached hereto as Exhibit D (the
"Initial Budget") and acknowledge and agree that such Initial Budget shall be deemed to be an Approved Budget for all purposes of this Agreement. The
Members acknowledge that **. 

Section 5.6    Preemptive Rights.    

        (a)   Subject
to the Class A Member(s) or Class B Member(s) obligation or right to contribute additional capital as set forth in Section 4.1, prior to the
Company issuing any Interests or options or rights to acquire Interests (other than (i) any equity issuance associated with an acquisition previously approved by EMG, (ii) Interests
issued in connection with any split, distribution or recapitalization of the Company, (iii) Interests issued in any initial public offering registration statement filed under the Securities
Act, or (iv) in connection with any capital raising or financing efforts by the Company the purpose of which is to fund any activities of the Company which were the subject of a Capital Call
made pursuant to Sections 4.1(c) or 4.1(d) that was not fully funded by the Members; provided,  however, that any Interests to be issued in such
capital raising or financing efforts, and the pricing of such Interests, are equivalent to the terms of
such Capital Call), whether through exchange, conversion or otherwise (the "New Interests"), to a proposed third party purchaser (the
"Proposed Purchaser"), each Member who is not in default of this Agreement and which certifies to the Company's reasonable satisfaction that it is an
"accredited investor" within the meaning of Rule 501 under the Securities Act (an "Eligible Member") shall have the right to purchase a portion
of the New Interests in accordance with this Section 5.6. 

        (b)   The
Company shall give each Eligible Member prior written notice (the "First Notice") of any proposed issuance of New
Interests, which shall set forth in reasonable detail the proposed terms and conditions thereof (as determined by the Board in good faith) and shall offer to each Eligible Member the opportunity to
purchase its Percentage Interest (as of the date of such notice) of the New Interests, on the same terms and conditions and at the same time as the New Interests are proposed to be issued by the
Company. If any Eligible Member desires to exercise its preemptive rights under this Section 5.6, it must deliver an irrevocable written notice within 30 days after the Eligible Member's
receipt of the First Notice (the "Election Period") setting forth the dollar amount of the New Interests the Eligible Member (the
"Electing Member") is electing to purchase, up to its Percentage Interest plus any additional amount of New Interests it desires to purchase in excess
of its Percentage Interest (the "Over-Allotment Amount") if other Eligible Members do not exercise their preemptive rights hereunder. The
right of each Electing Member to purchase New Interests in excess of its Percentage Interest shall be based on the relative Percentage Interests of the Electing Members desiring to purchase
Over-Allotment Amounts. 

        (c)   If
the Eligible Members do not subscribe for all of the New Interests, the Company shall have the right, but not the obligation, to issue and sell the unsubscribed
portion of the New Interests to the Proposed Purchaser at any time during the 90 days following the end of the Election Period, at the same price and pursuant to the terms and conditions set
forth in the First Notice. The Board may, in its reasonable discretion, impose such other reasonable and customary terms and procedures such as setting a closing date and requiring customary closing
deliveries in connection with any preemptive rights offering. In the event any Electing Member refuses to purchase the New Interests for which it 

21

 

subscribed
pursuant to this Section 5.6, then in addition to any other rights the Company may have at law or in equity, such Electing Member and any transferee thereof shall not be considered
an Eligible Member for any future rights granted under this Section 5.6 unless the Board expressly designates otherwise (which the Board may, in its sole discretion, do on an
offer-by-offer basis or not at all) and shall be deemed a Defaulting Member under Section 4.2. 

Section 5.7    Registration Rights.    

        If
the Board with Requisite Member Approval determines to effect a Qualified Public Offering, each of the Members shall be granted customary registration rights, including piggyback
registration rights, with respect to such Qualified Public Offering. 

 
 

  ARTICLE 6
  MANAGEMENT    
    

Section 6.1    Management Under Direction of the Board.    

        Except
as otherwise expressly provided in this Agreement or required under the Act, the business and affairs of the Company shall be managed by a board of managers (the
"Board" and each member of the Board, a "Manager"), and the Board shall have full and complete
authority, power, and discretion to manage and control the business, affairs, and properties of the Company, to make all decisions regarding those matters and to perform any and all other acts or
activities customary or incidental to the management of the Company's business. Without limiting the generality of the foregoing the approval of the Board shall be required for all matters not
delegated by the Board to the Operator, the officers of the Company or to other authorized persons in accordance with Section 6.10, including approval of the following matters, which the Board
shall not have the power to delegate to any Person, in each case except as otherwise approved in any Approved Budget: 

        (a)   Proposed
Budgets for the Company, other than the Initial Budget; 

        (b)   distributions
of Available Cash (including Tax Distributions); 

        (c)   efforts
by the Company to raise additional capital, including the issuance of additional Interests or any options to acquire Interests and the issuance of additional
equity interests or options to acquire equity interests in the Company's subsidiaries; 

        (d)   subject
to Section 6.12(j), incurrence or guarantee of Debt by the Company in excess of $**; 

        (e)   subject
to Section 6.12(j), acquisitions or dispositions of assets by the Company in excess of (i) $**
prior to the First Equalization Date and (ii) $** after the First Equalization Date; 

        (f)    commencing
or resolving litigation; 

        (g)   election
or removal of officers of the Company; 

        (h)   material
contracts to which the Company (or a subsidiary of the Company) is a party or by which it is bound; and 

        (i)    the
registration of any equity or debt securities of the Company or its subsidiaries under applicable United States federal or foreign securities laws or any public
offering of equity or debt securities of the Company or its subsidiaries (including any Qualified Public Offering). 

Section 6.2    Number, Tenure and Qualifications.    

        (a)   Prior
to the First Equalization Date, the Board shall be comprised of five Managers, designated as follows: 

          (i)  two
Managers (each, a "Class A Manager") designated by Class A Members with an aggregate Class A
Percentage Interest of at least 50%; and 

22

 

         (ii)  three
Managers (each, a "Class B Manager") designated by Class B Members with an aggregate Class B
Percentage Interest of at least 50%. 

        The
initial Managers of the Company shall be: John T. Raymond and Jeffrey C. Rawls, who are the Class A Managers, and John Mollenkopf, Randy Nickerson and Frank Semple, who are
the Class B Managers. 

        (b)   On
and after the First Equalization Date, each Affiliated Member Group shall be entitled to designate the number of Managers determined by their Percentage Interests as
follows: 

          (i)  Each
Affiliated Member Group with a Percentage Interest less than or equal to ** shall not be allowed to designate any
Managers; 

         (ii)  Each
Affiliated Member Group with a Percentage Interest greater than ** but less than or equal to  **, shall be allowed to designate one Manager; 

        (iii)  Each
Affiliated Member Group with a Percentage Interest greater than ** but less than or equal to  **, shall be allowed to designate two Managers; 

        (iv)  Each
Affiliated Member Group with a Percentage Interest greater than ** but less than or equal to  **, shall be allowed to designate three Managers; 

         (v)  Each
Affiliated Member Group with a Percentage Interest greater than ** but less than or equal to  **, shall be allowed to designate four Managers; and

        (vi)  Each
Affiliated Member Group with a Percentage Interest greater than **, shall be allowed to designate five Managers. 

        Any
Manager designated in accordance with this section shall be immediately removed from the Board at any time that the Affiliated Member Group that designated such Manager ceases to own
aggregate Percentage Interests that would permit such Affiliated Member Group to designate such Manager in accordance with the first sentence of this section. Notwithstanding the foregoing, so long as
the Class A Members have **, such Class A Members shall be entitled to appoint no less than one Manager to the Board and the size of the
Board shall be, if necessary, increased by one to enable the Class A Members to make such appointment. The Board shall be comprised of the total number of Managers that all Affiliated Member
Groups are entitled to so designate pursuant to the first sentence of this Section 6.2(b), plus any additional Manager whom the Class A Members are entitled to designate pursuant to the
immediately preceding sentence. At any time that any Affiliated Member Group acquires aggregate Percentage Interests sufficient to permit such Affiliated Member Group to designate one or more
additional Managers in accordance with the first sentence of this Section, then a new Manager position shall be created and such Affiliated Member Group shall be entitled to fill such the vacancy in
such position in accordance with Section 6.9. 

        (c)   A
Manager need not be a resident of the State of Delaware. A Manager shall hold office until the Manager's successor shall be duly elected and shall qualify or until the
earlier of such Manager's withdrawal, death, removal or resignation. 

Section 6.3    Votes Per Manager; Quorum; Required Vote for Board Action; Meetings of the Board.    

        (a)   Each
Manager shall have one vote. Except as provided below, Managers comprising at least a majority of the total number of Managers entitled to be designated in
accordance with Section 6.2 shall constitute a quorum for the transaction of business at a meeting of the Board. Except as otherwise expressly provided in this Agreement, any action or event
shall be deemed approved by the Board of Managers comprising at least a majority of the total number of Managers then entitled to be designated at the time of such approval in accordance with
Section 6.2 vote in favor of or approve such action or event at a meeting at which a quorum is present. Any actions by the Company in response to a breach of or default (or alleged breach or
default) under an Affiliate Contract or other transaction 

23

 

with
an Affiliate of a Member (such as a waiver of the breach or default, notice of breach or event of default or notice of termination for breach or default in accordance with the terms of the
Affiliate Contract) or enforcement or exercise of any of the Company's rights or remedies in respect to such breach or default (or alleged breach or default) (collectively,
"Enforcement Activities") shall be conducted by or under the direction of the Board, provided, that any
Manager designated by a Member that is a party to, or has an Affiliate (other than the Company) that is a party to, such Affiliate Contract or transaction  ** at any meeting of the Board and ** the Board. 

        (b)   Except
as otherwise required by applicable law, the Board may hold meetings in such place or places, within or outside of the State of Delaware, as the Board may
determine from time to time. Business shall be conducted at such meetings in such order as the Board shall determine from time to time. 

        (c)   Regular
meetings of the Board shall be held at least quarterly and at such times and places as shall be designated from time to time by the Board. Notice of such regular
meetings shall not be required if held at the times and places as previously determined by the Board and provided to each Manager. Special meetings of the Board may be called by any Manager upon at
least 24 hours prior notice, which may be given via electronic mail, and which notice must include dial-in or other information so as to permit each Manager to participate in such
meeting by telephone conference or other electronic means. Such notice must state the purpose of such meeting. 

        (d)   Any
action required or permitted to be taken at any meeting of the Board may be taken without a meeting if a consent in writing, setting forth the action so taken, shall
be signed by a majority of the Managers then entitled to be designated in accordance with Section 6.2; provided, that at least one Manager
designated by the EMG Group (if there is such a Manager) and at least one Manager designated by the MWE Operating Company Group (if there is such a Manager) shall be required to sign such consent or
approval, solely for purposes of providing an acknowledgement of receipt of notice of the action to be taken rather than approval or rejection thereof, in order for such consent or approval to be
effective in the event that at least one Manager designated by the EMG Group (if there is such a Manager) or at least one Manager designated by the MWE Operating Company Group (if there is such a
Manager), as applicable, did not receive prior written notice of the action to be so taken (which prior written notice may be given by email). 

        (e)   Members
of the Board may participate in any meeting by means of conference telephone or similar communications equipment by means of which all persons participating in
the meeting can hear each other and participation in such a meeting such constitute presence in person at such meeting, except as provided in clause (f). 

        (f)    Attendance
of a Manager at any meeting of the Board (including by telephone) shall constitute a waiver of notice of such meeting, except where such Manager attends the
meeting for the express purpose of objecting to the transaction of any business on the ground that the meeting is not lawfully called or convened and notifies the other Managers at such meeting of
such purpose. 

Section 6.4    Power to Bind Company.    

        Unless
authorized to do so by this Agreement or by the Board, no Member of the Company shall have any power or authority to bind the Company in any way, to pledge the Company's credit or
to render it liable pecuniarily for any purpose. However, a Person may act by a duly authorized attorney-in-fact executed in writing by the Board. 

Section 6.5    Liability for Certain Acts.    

        No
Manager or officer of the Company (solely in such individual's capacity as a Manager or officer of the Company), nor any of their Affiliates or their respective successors or assigns,
shall be liable to the Company or to any Member for any claims, losses, expenses, costs, obligations, liabilities, 

24

 

actions,
suits, proceedings, judgments, or settlements (including attorneys' fees) (whether civil, criminal, administrative or investigative) (collectively,
"Claims") arising or resulting from or relating to the performance of any of such Manager's or officer's obligations or duties under this Agreement in
its capacity as Manager or officer, or otherwise attributable to any breach of duty owed by such Manager or officer (by virtue of being a Manager or officer) to the Company or the Members, except to
the extent such Claims or breach of duty is based upon such person's fraud, bad faith or willful misconduct as established by a non-appealable court order, judgment, decree or decision by
a court of competent jurisdiction. Without limiting the generality of the foregoing, the doing of any act or the failure to do any act by any Manager or officer, which shall not constitute fraud, bad
faith or willful misconduct (as established by a non-appealable court order, judgment, decree or decision by a court of competent jurisdiction), the effect of which may cause or result in
loss or damage to the Company, shall not subject any Manager or officer to any liability. Each Manager and officer shall be fully protected in relying in good faith upon the records of the Company and
upon such information, opinions, reports or statements presented to the Company by any Person as to matters such Manager or officer reasonably believes are within such other Person's professional or
expert competence, including information, opinions, reports or statements as to the value and amount of the assets, liabilities, profits, losses, or any other facts pertinent to the existence and
amount of assets from which distributions to Members might properly be paid. The Managers do not, in any way, guarantee the return of the Members' Capital Contributions or a profit for the Members
from the operations of the Company. No Manager shall be responsible to any Members because of a loss of their investments or a loss in operations, unless the loss shall have been the result of fraud,
bad faith or willful misconduct established as set forth in this Section 6.5. 

Section 6.6    Manager Has No Exclusive Duty to Company.    

        A
Manager shall not be required to manage the Company as the Manager's sole and exclusive occupation, and a Manager may have other business interests and may engage in other investments,
occupations and activities in addition to those relating to the Company. Neither the Company nor any Member shall have any right, by virtue of this Agreement, to share or participate in such other
investments or activities of a Manager or to the income or proceeds derived therefrom. 

Section 6.7    Resignation and Withdrawal.    

        A
Manager of the Company may resign from the position of Manager at any time by giving written notice to the Members of the Company. The resignation of a Manager shall take effect upon
receipt of notice thereof or at such later time as shall be specified in such notice; and unless otherwise specified therein, the acceptance of such resignation shall not be necessary to make it
effective. Upon the withdrawal of a Manager, such Manager shall be treated as having resigned as of the date of withdrawal and shall automatically cease to be a Manager as of the date of such
withdrawal. Except in the case of resignation by reason of withdrawal, the resignation of a Manager who is also a Member
pursuant to this Section 6.7 shall not affect such Manager's rights as a Member and shall not constitute a withdrawal of such Member. 

Section 6.8    Removal.    

        Subject
to Section 6.2(b), a Manager may only be removed by the consent of the Member or Members then entitled to designate such Manager in accordance with Section 6.2. The
removal of a Manager who is also a Member shall not affect such Manager's rights as a Member and shall not constitute a withdrawal of such Member. 

Section 6.9    Vacancies.    

        Any
vacancy in the position of a Manager that is created by the withdrawal, death, resignation or removal of a Manager or by the creation of a new Manager position pursuant to
Section 6.2(b) shall be filled only by consent of the Member or Members then entitled to designate such Manager in accordance with Section 6.2. A Manager elected to fill a vacancy shall
hold office until a successor shall be elected and shall qualify, or until the Manager's earlier death, resignation, withdrawal or removal. 

25

 

Section 6.10    Delegation of Authority; Officers.    

        The
Board shall have the power to elect, delegate authority to, and remove such officers, employees, agents and representatives of the Company as the Board may from time to time deem
appropriate. Any delegation of authority to take any action must be approved in the same manner as would be required for the Board to approve such action directly. The salaries of all officers,
employees and agents of the Company shall be fixed by the Board in accordance with the Approved Budget. 

Section 6.11    Designation of Operator.    

        (a)   The
Company hereby designates MWE Operating Company as the initial "Operator" of the Company. Subject to any required
Board or Member approvals rights set forth in this Agreement, MWE Operating Company shall be responsible for, shall make all decisions regarding and shall have full power and authority to manage the
day-to-day operations of the Company's business, including, the development, construction and operation of the Company's facilities and business development activities and the
oversight of G&A Services and Personnel Services provided to the Company by MWE Hydrocarbon pursuant to the Services Agreement, which includes the day-to-day management and
supervision of all Designated MWE Employees. The appointment of MWE Operating Company as the Operator shall be exclusive to MWE Operating Company, except to the extent that MWE Operating Company
elects to cause such duties to be provided by third parties (and, in any case MWE Hydrocarbon and MWE Operating Company remain fully responsible for compliance with the Services Agreement). MWE
Operating Company shall have the power and authority to execute contracts, and to take such other actions, and to direct the officers of the Company to do the foregoing, on behalf of the Company as
may be necessary or appropriate to carry out the Company's business in accordance with the Approved Budget. 

        (b)   For
the avoidance of doubt, the power and authority granted to MWE Operating Company as the Operator pursuant to Section 6.11(a) shall specifically include the
ability to perform (or cause to be performed) the following services and activities (subject to compliance with any Board or Member approval rights with respect to such services and activities
required pursuant to this Agreement): 

          (i)  investigation,
analysis and selection of acquisition and business development opportunities; 

         (ii)  with
respect to prospective acquisitions or dispositions by the Company, conducting negotiations with sellers and purchasers and their respective agents,
representatives and advisors (including, without limitation, investment bankers); 

        (iii)  administering
the day-to-day operations of the Company and performing and supervising the performance of such other administrative functions
necessary in the management of the Company as may be agreed upon by MWE Operating Company as Operator and the Board, including the collection of revenues and the payment of the Company's debts and
obligations and maintenance of appropriate computer services to perform such administrative functions; 

        (iv)  monitoring
the operating performance of the Company's assets and providing periodic reports with respect thereto to the Board, including comparative information with
respect to such operating and performance and budgeted or projected operating results; 

         (v)  assisting
the Company to retain qualified accountants and legal counsel, as applicable, to assist in developing appropriate accounting procedures and compliance
procedures; 

        (vi)  causing
the Company to qualify to do business in all applicable jurisdictions and to obtain and maintain all appropriate licenses; 

       (vii)  negotiating,
executing, amending and terminating the Company's agreements with unaffiliated third parties, managing and administering the Company's rights and
obligations under 

26

 

all
agreements with unaffiliated third parties to which the Company is a party or by which the Company is bound and monitoring compliance by the Company and by such unaffiliated third parties to such
agreements with the terms and conditions thereof; 

      (viii)  taking
all necessary actions to enable the Company to make required tax filings and reports; 

        (ix)  handling
and resolving all claims, disputes or controversies (including, without limitation, all litigation, arbitration, settlement or other proceedings or
negotiations) with unaffiliated third parties in which the Company may be involved or to which the Company may be subject arising out of the Company's day-to-day operations,
subject to such limitations or parameters as may be imposed from time to time by the Board; 

         (x)  purchasing,
selling, leasing, operating and maintaining the Company's assets; 

        (xi)  establishing
and maintaining the Company's bank accounts and banking arrangements, and to the extent of funds available, reinvesting Company funds as MWE Operating
Company as Operator may deem appropriate and consistent with MWE Operating Company's practices; 

       (xii)  performing
such other services as may be required from time to time for management and other activities relating to the assets of the Company as the Board shall
reasonably request or MWE Operating Company shall deem appropriate under the particular circumstances; and 

      (xiii)  using
commercially reasonable efforts to cause the Company to comply with all applicable laws. 

        The
Operator shall operate the Company and perform the services and activities referred to in clauses (i) through (xiii) above in accordance with Prudent Industry
Practices. 

        (c)   As
of the date hereof, the Operator and the Company shall execute the Services Agreement with MWE Hydrocarbon, which is hereby approved by the Members. MWE Hydrocarbon
shall receive the fees and reimbursement for its services as set forth in the Services Agreement. The Company and the Members hereby acknowledge and agree that the liability of Operator and MWE
Hydrocarbon to the Company and the Members, and the Operator's obligation to satisfy any claim for indemnification in connection with any such liability, shall be limited in the manner and to the
extent set forth in the Services Agreement, and the Members hereby consent to, approve, and agree to be bound by the terms thereof with regard to such limitations of the liability of the Operator and
MWE Hydrocarbon to the Company and the Members, in the same manner and to the same extent as though such provisions were set forth herein. The Operator shall serve as the Operator until the
termination of the Services Agreement. Upon the termination of the Services Agreement, the Board with the Requisite Member Approval may cause the Company to designate a new operator and enter into a
new services agreement. 

        (d)   MWE
Operating Company hereby agrees to notify EMG of any notice of default or other material notices received by MWE Operating Company in connection with the agreements
listed on Exhibit E. 

Section 6.12    Approval of Members.    

        The
following matters shall require Requisite Member Approval (provided that, in addition to other exceptions described in this Section 6.12, an explicit approval of such matter
in the Approved Budget or related Member resolution shall constitute a Requisite Member Approval if such approval is explicitly identified as a Requisite Member Approval): 

        (a)   Prior
to the First Equalization Date to the extent not in accordance with Section 8.1, any distributions of Available Cash (including Tax Distributions); 

27

 

        (b)   The
approval of the Proposed Budgets for the Company, other than the Initial Budget, which shall be deemed approved upon the execution of this Agreement; 

        (c)   Material
deviations from Approved Budgets, including (i) with respect to any Approved Budget, any modification or amendment of  ** pursuant to such budget, (ii) with respect to the capital expenditure
budget, **, but
excluding any items, other than as provided in Section 6.12(j), requiring aggregate capital expenditures of ** associated with a Project  ** and
(iii) with respect to the operating expenditure budget, ** or
**; provided, that, in any case, a Project, operation, venture, agreement or activity that has received
Requisite Member Approval shall automatically be incorporated within the Approved Budget and any changes or deviations required to incorporate such Project, operation, venture, agreement or activity
into the then current Approved Budget shall not require additional Requisite Member Approval; provided further, that any additional changes or
deviations associated with such Project, operation, venture, agreement or activity shall be subject to Requisite Member Approval to the extent they involve material deviations to the Approved Budget,
as modified to include such new Project, operation, venture, agreement or activity, under this clause (c); provided,  further, that changes in budget
items listed in Section 6.16(a)(iii) through (vi) shall not be considered material deviations for purposes
of this Section 6.12(c); 

        (d)   Any
material change in the Primary Business or in the Company's purpose; 

        (e)   Subject
to Section 6.12(j), the incurrence of Debt and the granting of Liens on the Company's Property in an aggregate amount in excess of
$**, excluding the Permitted Liens; provided, that, with respect to this Section 6.12(e), no
Requisite Member Approval is required if (x) the applicable Debt and/or granting of Liens on the Company's Property is associated with an Approved Budget and (y) the terms of such Debt
and/or Liens are materially consistent with the terms contained in any Approved Budget; 

        (f)    Any
interest rate protection agreement, foreign currency exchange agreement, commodity price protection agreement, or other interest, currency or commodity hedging
arrangement entered into by the Company, including any forward sales, calls, puts, swaps and other derivative transactions, whether financially or physically settled;  provided, that transactions
** shall not require Requisite Member Approval;  provided further, that, with respect to this Section 6.12(f), if Requisite Member Approval has been
obtained to preapprove transactions or
agreements identified in this Section 6.12(f) meeting certain requirements, then no additional Requisite Member Approval shall be required to enter into such transactions or agreements that
satisfy such requirements; 

        (g)   Subject
to Section 6.12(j), the acquisition or sale of any assets of the Company or its subsidiaries for consideration in excess of
(i) $** prior to the First Equalization Date and (ii) $** after the First Equalization
Date; provided, that, with respect to this Section 6.12(g), no Requisite Member Approval is required if (x) the applicable acquisition or
sale is associated with an Approved Budget and (y) the terms of such acquisition or sale are materially consistent with the terms contained in any Approved Budget. 

        (h)   Entry
into, termination or renewal of, or material modification or amendment of, (i) any commercial contractual commitment reasonably expected to
(A) result in expenditures or liabilities in excess of $**, which **, (B) generate annual
revenues in excess of $**, which **, or (C) result in the commitment of more than  ** of the capacity of
any Company facility **,
(ii) ** any joint venture, partnership or other similar arrangement involving the sharing of profits of the Company or any of its subsidiaries
with any third-party, (iii) any contractual commitment that limits the freedom of the Company or any of its subsidiaries to compete within the Area of Mutual Interest, (iv) any contract
for the lease of real property for greater than ** and (v) settlement agreements or other agreements related to or proposing to resolve actual or
threatened litigation, which involves (A) payment of greater than ** or (B) provides for restrictions or limitations on the Company's
ability to operate in the form of an equitable remedy; provided, that, with respect to Section 6.12(h)(i), no Requisite Member 

28

 

Approval
is required if (x) the applicable commercial contract is associated with an Approved Budget and (y) the terms of such commercial contract are materially consistent with the
economic terms contained in any Approved Budget; 

        (i)    The
formation of any subsidiary of the Company; 

        (j)    Transactions
or agreements (including amendments, terminations and renewals thereof) between the Company on the one hand, and a Member or an Affiliate of a Member on the
other hand, unless such transaction or agreement (including amendments, terminations and renewals thereof) (i) has been approved by the other Members that are not a party to, or Affiliates of a
Party to, such transaction or agreement and whose consent is required pursuant to this Section or (ii) is identified on Exhibit E, all of
which are hereby approved by the Members or (iii) is entered into in the ordinary course of business on terms comparable to arm's length transactions between unrelated third parties for  **;

        (k)   The
sale, exchange or other disposition of all, or substantially all, of the Company's assets in one transaction or a series of related transactions, 

        (l)    Any
merger into or with or consolidation with any other entity (i) in which the interests in the Company will be exchanged for a security with different rights,
preferences or privileges or (ii) pursuant to which the Members will own less than 50% of the voting securities of the surviving entity; 

        (m)  Any
repurchase by the Company of Interests in the Company or any equity interests in any of its subsidiaries; 

        (n)   Prior
to the First Equalization Date, other than in accordance with the obligations or rights of the Members pursuant to Section 4.1, any efforts by the Company
to raise additional capital, including the issuance of additional Interests or options to acquire Interests or any equity interests or options to acquire equity interests in any of the Company's
subsidiaries; 

        (o)   The
registration of any equity or debt securities of the Company or its subsidiaries under applicable United States federal or foreign securities laws or any public
offering of equity or debt securities of the Company or its subsidiaries (including any Qualified Public Offering). 

        (p)   Any
declaration of bankruptcy, or the filing of a petition, or seeking protection, under any federal or state bankruptcy, insolvency or reorganization law; 

        (q)   The
dissolution of the Company or the voluntary liquidation of the Company's assets; 

        (r)   Designating
a new Operator of the Company; 

        (s)   Approval
of the maintenance of reserves less than ** as authorized in the Approved Budget or more than  ** in the Approved Budget; 

        (t)    Permitting
the Company to create any Debt in favor of any Person; 

        (u)   Distributions
in-kind of any assets of the Company pursuant to Section 13.7; 

        (v)   Hiring
any employees of the Company or accepting secondments of employees; 

        (w)  Any
action by the Company that would cause it to be **; and 

        (x)   The
entry into any agreement to effect any of the foregoing. 

        Notwithstanding
anything to the contrary in this Agreement, MWE Operating Company shall have the unilateral right, without the approval of the Company, any other Member or any other
Person, to
either (i) contribute capital to the Company for the purpose of causing the Company to satisfy any payment obligation under any instrument of indebtedness or other agreement or
(ii) directly pay any such amount on behalf of the Company in satisfaction of any such obligation; provided that MWE would not receive any additional equity interests, increases in its
Investment Balance or other similar credit for such a contribution or payment. 

29

 

Section 6.13    **    

        **

Section 6.14    Reliance by Third Parties.    

        Any
Person dealing with the Company, a Manager or the Operator may rely upon a certificate signed by a Manager or an appropriate officer as to: 

        (a)   the
identity of the Managers; 

        (b)   the
existence or non-existence of any fact or facts which constitute a condition precedent to acts by the Board or in any other manner germane to the affairs
of the Company; 

        (c)   the
Persons who are authorized to execute and deliver any instrument or document of or on behalf of the Company; and 

        (d)   any
act or failure to act by the Company or as to any other matter whatsoever involving the Company or any Member. 

Section 6.15    Fees and Expenses of the Managers.    

        A
Class A Manager shall receive an annual amount of $** for serving as a Manager. A Class B Manager shall not be entitled to
any fees for serving as a Manager. A Manager shall be entitled to reimbursement for all reasonable out-of-pocket costs and expenses incurred by such Manager in the capacity as
a Manager. 

Section 6.16    Budgets.    

        By
** of each calendar year (beginning with calendar year 2012), the Operator shall prepare and submit the following budgets and forecasts
for the upcoming year (to the extent such budgets or forecasts are applicable to such upcoming year) to the Board for approval and to the appropriate Members for Requisite Member Approval in
accordance with Section 6.12: 

        (a)   (i)
an operating expenditure oversight budget, which shall consist of the operating expenditure budget broken down by general categories of expenses for categories
exceeding **; (ii) a capital expenditure budget which shall include, to the extent applicable, maintenance capital expenditures and growth
capital expenditures; (iii) a cost of goods sold budget or forecast; (iv) a volume budget or forecast; (v) a revenue budget or forecast; and (vi) a forecast of
distributions or capital contributions (collectively, the "Proposed Budget"). 

        (b)   The
Board and the Members with Requisite Member Approval Rights shall have until ** to review and to either approve or to
reject the Proposed Budget, in whole or in part. Any rejection of the Proposed Budget in whole or in part must be made in good faith, based on commercially reasonable standards and submitted in
writing to the Board, the other Members with Requisite Member Approval rights and the Operator and must describe proposed modifications in reasonable detail (a "Budget
Rejection Notice"). If a Budget Rejection Notice is not received by such date, then the Proposed Budget will be deemed to be approved in all respects. If a Budget Rejection
Notice is received by such date, the Operator, the Board and the Members with Requisite Member Approval rights to approve the Proposed Budget will work together in good faith to promptly resolve the
issues identified in a mutually agreeable manner. If the Proposed Budget is not approved, or in the event of a dispute if such dispute is not resolved, prior to the commencement of the calendar year
to which the Proposed Budget relates, the Approved Budget for the prior calendar year, increased by the percentage increase in the CP Index since the first day of the previous calendar year, shall be
in effect until the Proposed Budget is approved or any such dispute is resolved. In the event of a dispute, if such dispute is not resolved by February 15th of the calendar year to which
the Proposed Budget relates, such dispute shall be submitted to arbitration pursuant to Section 6.16(d) below. The Proposed Budget as 

30

 

approved,
or as deemed approved, by the Board and Requisite Member Approval in accordance with Section 6.12, and as modified in accordance with Section 6.16(c) below, is referred to
herein as an "Approved Budget." 

        (c)   Subject
to the remaining provisions of this clause (c), the Operator shall update the Approved Budget from time to time to reflect amendments or modifications
that the Operator deems necessary or appropriate, and shall promptly provide such updates to the Board; provided, that any material deviations which
require the consent of the Board or Requisite Member Approval in accordance with Section 6.12(c) or otherwise shall not become part of the Approved Budget unless approved by the Board and
Requisite Member Approval. 

        (d)   The
binding arbitration shall be administered by the American Arbitration Association ("AAA") in accordance with its
Commercial Arbitration Rules (the "Rules"). The "Arbitration Panel" shall consist of three members. The
Class A Members and the Class B Members, acting by the vote of Members holding Class A Interests or Class B Interests with an aggregate Class A Percentage Interest
or Class B Percentage Interest, respectively, equal to or exceeding 50% shall appoint one member of the Arbitration Panel. The third member of the Arbitration Panel shall be chosen by the
appointed members and shall act as chairman of the Arbitration Panel. Should any arbitrator fail to be appointed in accordance with the foregoing, then such arbitrator shall be appointed by the AAA in
accordance with the Rules. The arbitration shall be held in Houston, Texas, and the proceeding shall be conducted and concluded as soon as reasonably practicable, based upon the schedule established
by the Arbitration Panel, but in any event the decision of the Arbitration Panel shall be rendered within 90 days following the selection of the chairman of the Arbitration Panel. The decision
of the Arbitration Panel shall be final and binding upon the Company and the Members. Judgment upon the award rendered by the Arbitration Panel may be entered in, and enforced by, any court of
competent jurisdiction. Each class of Members shall bear its own expenses related to the arbitration, including its attorneys' fees and the fees and expenses of the arbitrator it appointed. Each class
of Members shall pay 50% of the fees and expenses of the chairman of the Arbitration Panel. 

 
 

  ARTICLE 7
  ASSIGNABILITY OF MEMBER INTERESTS    
    

Section 7.1    Prohibition on Assignment During Project Period.    

        Prior
to ** (the "Project Period"), no Member may, directly or indirectly, Transfer its
Interest or any portion thereof without the prior written consent of the other Members except for Permitted Transfers. For purposes of this Agreement, "Permitted
Transfers" shall include the following: (a) a Member may Transfer all or a portion of its Interest to any of its Affiliates, (b) Interests held by any member of
the MWE Operating Company Group may be (i) Transferred, in whole or in part, in connection with any sale of all or substantially all of the assets of MWE, or (ii) indirectly Transferred
by way of a sale of Control of MWE, or any merger of MWE with or into, or any consolidation of MWE into, any other entity and (c) Interests held by EMG may be transferred to the limited
partners of EMG, if and to the extent required by the governance documents of EMG. In the event of a Transfer pursuant to the foregoing clause (c), the EMG Group shall designate a single
representative to exercise all of the EMG Group's rights hereunder. If a Member Transfers an Interest during the Project Period in accordance with this Section 7.1, such Transfer shall entitle
the assignee to become a Substitute Member and to exercise or receive the rights, powers or benefits of a Member if the assigning Member designates, in a written instrument delivered to the Board and
the other Members, its assignee to become a Substitute Member and such assignee executes an instrument reasonably satisfactory to the Board, which shall include an acceptance and agreement by the
Substitute Member to abide by all of the terms and conditions of this Agreement. A Member may not Transfer Interests in a Permitted Transfer if such Permitted Transfer has as a purpose the avoidance
of the restrictions on 

31

 

Transfers
in this Agreement (it being understood that the purpose of this sentence is to prohibit the Transfer of Interests to a transferee in a Permitted Transfer followed by a change in the
relationship between the transferor and the transferee (or a change of Control of such transferor or transferee) after the Permitted Transfer with the result and effect that the transferor has
indirectly Transferred Interests to a transferee in a Transfer which would not have been directly permitted as a Permitted Transfer under this Section 7.1 had such change in such relationship
occurred prior to such Transfer). 

Section 7.2    Transfers After the Project Period.    

        After
the Project Period, a Member may Transfer its Interest, or any portion thereof, without the consent of any other Member or the Board,  provided, that such Member complies with the requirements of this
Section 7.2 in all instances except in connection with Permitted Transfers: 

        (a)   In
the event that a Member (the "Transferring Member") desires to Transfer, directly or indirectly, all or any portion of
its Interest (the "ROFO Interest") and such Transfer is not a Permitted Transfer, then the Transferring Member shall give written notice thereof to the
other Members (the "Remaining Members"). For a period of 30 days thereafter, all or a portion of the Remaining Members shall have the right, but
not the obligation, to submit a written offer to purchase the ROFO Interest (with each offering Remaining Member to purchase its pro rata portion of the ROFO Interest as is determined in accordance
with the respective Percentage Interests of the Remaining Members, or such other portion as the Remaining Members may mutually agree upon) (the "ROFO
Offer"), on such terms and conditions as the offering Remaining Members may determine and which terms and conditions shall be described in the ROFO Offer. Upon receipt of the
ROFO Offer, the Transferring Member may elect in its sole discretion to accept or reject the ROFO Offer. 

          (i)  In
the event that the Transferring Member elects to accept the ROFO Offer, then the Transferring Member shall be bound to Transfer to the offering Remaining Members,
and the offering Remaining Members shall be bound to purchase from the Transferring Member, the ROFO Interest on the terms and conditions set forth in the ROFO Offer (with such modifications as may be
mutually agreed upon by the offering Remaining Members and the Transferring Member), and the closing of such Transfer of the ROFO Interest shall occur within 30 days of the Transferring
Member's acceptance of the ROFO Offer or on such other date as may be set forth in the ROFO Offer (subject to extension to the extent necessary to pursue any required regulatory approvals, including
to allow for the expiration or termination of all waiting periods under the Hart-Scott-Rodino Antitrust Improvements Act of 1976). 

         (ii)  In
the event that the Transferring Member rejects the ROFO Offer, then for a 60-day period after the date on which the Transferring Member rejects the ROFO
Offer (the "Solicitation Period"), the Transferring Member may solicit an offer to purchase the ROFO Interest from one or more third parties as the
Transferring Member may determine in its discretion. If the Transferring Member receives a third party offer (a "Third Party Offer") to purchase the
ROFO Interest within the Solicitation Period, and the consideration payable for the ROFO Interest pursuant to such Third Party Offer exceeds the consideration payable for the ROFO Interest pursuant
the ROFO Offer (such Third Party Offer is referred to as a "Qualifying Third Party Offer"), the Transferring Member may elect to Transfer the ROFO
Interest to such third party in accordance with the Qualifying Third Party Offer within 30 days after the end of the Solicitation Period, subject to the Transferring Member's compliance with
the provisions of Sections 7.2(a)(iii) and 7.2(b). Any noncash consideration set forth in the ROFO Offer or a Third Party Offer shall be valued at its fair market value, as agreed by the
Transferring Member and the offering Remaining Members, and failing such agreement, as determined by an independent third party appraiser selected by the Transferring Member and reasonably acceptable
to the offering Remaining Members (the costs for which third party appraiser shall be shared equally by the Transferring Member, on the one hand, and the offering Remaining Members, on the other
hand). 

32

 

The
Transferring Member may not Transfer the ROFO Interest to any third party pursuant to a Third Party Offer that is not a Qualifying Third Party Offer without the offering Remaining Members' prior
written consent, which may be withheld in their sole discretion. Such transferee shall become a Substitute Member if the Transferring Member designates, in a written instrument delivered to the Board
and the other Members, the transferee to become a Substitute Member and such transferee executes an instrument reasonably satisfactory to the Board, which shall include an acceptance and agreement by
the Substitute Member to abide by all of the terms and conditions of this Agreement. If such closing does not occur within the required 30-day period, then the ROFO Interest in question
shall once again become subject to the restrictions of this Section 7.2, and the Transferring Member shall no longer be permitted to Transfer such ROFO Interest without again fully complying
with the provisions of this Section 7.2 

        (iii)  Prior
to the Transferring Member electing to Transfer the ROFO Interest to a third party in accordance with a Qualifying Third Party Offer pursuant to
Section 7.2(a)(ii), the Transferring Member must comply with this Section 7.2(a)(iii). Prior to accepting a Qualifying Third Party Offer pursuant to Section 7.2(a)(ii), the
Transferring Member shall give written notice thereof to the other Members. For a period of 15 days thereafter, the Remaining Members shall have the right, but not the obligation, to purchase
the ROFO Interest (with each offering Remaining Member to purchase its pro rata portion of the ROFO Interest as is determined in accordance with the respective Percentage Interests of the Remaining
Members, or such other portion as the Remaining Members may mutually agree upon) at ** the price proposed in the Qualifying Third Party Offer, and
otherwise on the same terms and conditions set forth in the Qualifying Third Party Offer. In the event that one or more of the Remaining Members exercise such  ** purchase right, the closing of the
Transfer of the ROFO Interest shall occur within 30 days of the Remaining Members' purchase election or on
such other date as the participating parties mutually agree. 

        (b)   Except
for any Transfer to another Member and except for Permitted Transfers, each Class B Member hereby agrees, whether in one transaction or in a series of
related transactions, not to Transfer for value, all or any portion of its Interest, directly or indirectly, without first complying with Section 7.2(a) and then permitting each of the
Remaining Members (the "Tag-Along Members") to participate as sellers in such transaction (the
"Tag-Along Rights"), such that each Tag-Along Member shall be entitled to sell, on the same terms as the Class B Member
proposing to sell its Interest (the "Class B Seller"), a portion of such Tag-Along Member's Interest, determined by multiplying the
Interest that the purchaser is willing to acquire by the Percentage Interest of each such Tag-Along Member desiring to participate. 

          (i)  Before
accomplishing or entering into a binding contract for any Transfer for value of any Interest that would be covered by the Tag-Along Rights, the
Class B Seller agrees to give each Tag-Along Member written notice (the "Tag-Along Notice") of any such
proposed sale (the "Sale Proposal"). The Tag-Along Notice shall state that such Tag-Along Member shall be entitled to exercise
its Tag-Along Rights. Each Tag-Along Member shall notify the Class B Seller in writing within 10 days after receipt of the Tag-Along Notice as to
whether or not such Tag-Along Member wishes to exercise Tag-Along Rights and participate in the proposed Transfer (the "Tag-Along Notice
Period"). Failure by any Tag-Along Member to respond within such period shall be deemed to be a declination of such Tag-Along Member's
Tag-Along Rights with respect to such proposed transfer. The Class B Seller shall use its commercially reasonable efforts to obtain the agreement of the prospective transferee(s) to
the participation of the Tag-Along Members in any contemplated Sale Proposal and to the inclusion of the Tag-Along Members' Interests in such transaction, and no Class B
Seller shall transfer any portion of the Interest to any prospective transferee if such prospective transferee(s) declines to allow the participation of the Tag-Along Members or the
inclusion of their Interests as contemplated herein. Each Tag-Along Member that elects to 

33

 

participate
pursuant to this paragraph shall pay its pro rata share (based on the Interests to be Transferred) of the expenses incurred by the Class B Seller in connection with such Sale
Proposal and shall be obligated to join on a pro rata basis (based on the Interests to be Transferred) in any indemnification or other obligations that Class B Seller agrees to provide in
connection with such Sale Proposal (other than any such obligations that relate specifically to a particular Member such as indemnification with respect to representations and warranties given by a
Member regarding such Member's title to and ownership of its Interest); provided, that no Tag-Along Member shall be obligated in connection
with such Sale Proposal to agree to indemnify or hold harmless the transferee with respect to an amount in excess of the net cash proceeds paid to such Tag-Along Member in connection with
such Sale Proposal. If the Tag-Along Members decline, or are deemed to decline, their Tag-Along Rights for any proposed transfer, the Class B Seller may sell its offered
Interest; provided, however, that (A) such Sale Proposal is consummated within 90 days
after the end of the Tag-Along Notice Period and (B) the terms of the actual transaction involve exactly the same consideration and other terms and conditions set forth in the
Tag-Along Notice. Any transferee pursuant to the Sale Proposal shall become a Substitute Member if the Class B Seller designates, in a written instrument delivered to the Board and
the other Members, the transferee to become a Substitute Member and such transferee executes an instrument reasonably satisfactory to the Board, which shall include an acceptance and agreement by the
Substitute Member to abide by all of the terms and conditions of this Agreement. Failure to close the Sale Proposal within the required 90-day period shall again subject the offered
Interest to the Tag-Along Rights set forth in this Section 7.2(b), whereupon the Class B Seller shall be required to give each Tag-Along Member a new written
notice with respect to the proposed transfer, and each Tag-Along Member shall again have the right to exercise Tag-Along Rights in respect of such proposed transfer. 

         (ii)  If
a Class B Seller wishes to solicit Sale Proposals from third parties involving a Company Sale, it shall first notify the other Members of its desire to
solicit a Company Sale ("Solicitation Notice"). The other Members shall notify the Class B Seller in writing within 10 days after receipt
of the Solicitation Notice as to whether or not such Members wish to participate in a Company Sale and shall specify a minimum price ("Minimum Price")
at which such Members are willing to sell their Interest thereunder ("Solicitation Response"). If the Class B Seller obtains Solicitation
Responses from all of the Members indicating each Member's desire to enter into a Company Sale and a Minimum Price with respect to each Member, then the Class B Seller may solicit offers for a
Company Sale. If the Class B Seller obtains an offer within 90 days of its receipt of the Solicitation Responses for a Company Sale in excess of each of the Minimum Prices set forth in
the Solicitation Responses ("Company Sale Offer"), it may cause a Company Sale pursuant to the terms and provisions set forth in
Section 7.2(b)(iii). If the Class B Seller does not obtain an offer for a Company Sale in excess of the minimum prices set forth in the Solicitation Responses within 90 days of
its receipt of the Solicitation Responses, then the Class B Seller may not pursue a Company Sale. For the avoidance of doubt, this Section 7.2(b)(ii) shall only apply to a Company Sale
to be solicited by a Class B Member. Any sale of the Interest of a Class B Seller that is not a Company Sale shall remain subject to the provisions of Section 7.2(b)(i) above. 

        (iii)  Within
five days after receipt of a Company Sale Offer that the Class B Seller desires to accept, the Board shall notify each Member, in writing, of such
Company Sale Offer ("Company Sale Notice"). The Company Sale Notice shall identify the transferee, the proposed consideration and all other material
terms and conditions of the Company Sale, including the form of the proposed agreement, if any, and provide a copy of all relevant documents and agreements related to such Company Sale. Each Member
agrees that upon receipt of a Company Sale Notice it will (i) take such action as may reasonably be required, including voting its Interest and/or including its Interest in any such Company
Sale, (ii) cause its designated Managers to take such action required, to approve and cause such Company Sale to promptly be consummated, (iii) provide for the execution of such
agreements and such instruments and other actions reasonably necessary to 

34

 

provide,
to the extent necessary, customary several (and not joint) representations, warranties, indemnities, and escrow/holdback arrangements relating to such Company Sale, in each case only to the
extent that each other holder of Interests is similarly obligated; provided that, no Affiliated Member Group shall be obligated in respect of any
indemnity obligations with respect to the customary representations, warranties and indemnities made on a several (and not joint) basis and referred to in the immediately preceding clause in such
Company Sale for an aggregate amount in excess of the total consideration payable to such Affiliated Member Group in such Company Sale. The Member proposing such Company Sale shall have the right in
connection with any such transaction (or in connection with the investigation or consideration of any such potential transaction) to require the Company to cooperate fully with potential acquirors in
such prospective Company Sale by taking all customary and other actions reasonably requested by the Member proposing the Company Sale or such potential
acquirors, including making the Company's properties, books and records, and other assets reasonably available for inspection by such potential acquirors, establishing a data room including materials
customarily made available to potential acquirors in connection with such processes and making its employees reasonably available for presentations, interviews and other diligence activities, in each
case subject to reasonable and customary confidentiality provisions. The Company and each Member shall provide assistance with respect to these actions as reasonably requested by the Member proposing
the Company Sale. In addition, once a Company Sale is properly initiated under this Section 7.2, the Board shall be entitled to take all steps reasonably necessary to carry out an auction of
the Company, including selecting an investment bank, providing Confidential Information (pursuant to confidentiality agreements), selecting the winning bidder and negotiating the requisite
documentation; provided, however, that the rights granted the Board in this sentence shall not permit
the Board to veto such a properly initiated Company Sale. 

        (c)   The
consideration or value allocated to the Members under this Section 7.2 shall be allocated among the Transferring Member and other Members (whether
Tag-Along Members or otherwise) in accordance with their respective rights to distributions from the Company as if the Company had been liquidated pursuant to Section 13.4 and the
Company had sold all of its Property for an appraised value using the implied valuation of such Property that may be derived from the sales process described in Section 7.2, and, except for
such consideration, no Member will receive any payments of any nature whatsoever from the transferee in connection with or arising from such sale transaction. 

Section 7.3    Recognition of Assignment by Company or Other Members.    

        No
Transfer of an Interest that is in violation of this Article 7 shall be valid or effective, and neither the Company nor the Board nor any Member shall recognize the same for
any purpose of this Agreement, including the purpose of making distributions of Available Cash pursuant to this Agreement with respect to such Interest or part thereof. Neither the Company nor the
Board shall incur any liability as a result of refusing to make any such distributions to the assignee of any such invalid assignment. 

Section 7.4    Effective Date of Assignment.    

        Any
valid Transfer of a Member's Interest, or part thereof, pursuant to the provisions of this Article 7 shall be effective as of the later of (i) the date of Transfer set
forth on the written instrument of Transfer, (ii) the date on which the Company has received the written instrument of Transfer and such other documents as may be required by the Company
pursuant to this Agreement and such Transfer has been recorded on the books of the Company, and (iii) the date on which the requirements of this Article 7 have been satisfied. The
Company shall, from the effective date of such Transfer, thereafter pay all further distributions on account of the Interest (or part thereof) so assigned to the assignee of such Interest, or part
thereof. As between any Member and its assignee, Profits and Losses for the Fiscal Year of the Company in which such assignment occurs shall be apportioned for federal income tax purposes in
accordance with any convention permitted under Section 706(d) of the Code and selected by the Board. 

35

 

 

Section 7.5    Limitations on Transfer.    

        No
Transfer of an Interest may be effectuated unless in the opinion of counsel satisfactory to the Board, the Transfer (a) would comply with the Securities Act and applicable
securities laws of any other jurisdiction; (b) would not cause the Company to be terminated for purposes of Code Section 708; or (c) would not violate any other applicable laws,  provided,
that the provisions of this Section 7.5 may be waived by the Board. 

Section 7.6    Transferee Not a Substitute Member.    

        In
the event that a transferee is not designated, or does not become, a Substitute Member pursuant to this Article 7, then such transferee shall not be entitled to exercise or
receive any of the rights, powers or benefits of a Member other than the right to receive distributions to which the assigning Member would be entitled. 

 
 

  ARTICLE 8
  DISTRIBUTIONS TO MEMBERS    
    

Section 8.1    Available Cash.    

        Available
Cash shall be determined by the Board on a quarterly basis within 45 days after the end of each calendar quarter. Subject to the remaining provisions of this
Article 8 and any preferential or disproportionate distributions to the extent expressly provided for in this Agreement, and other than upon a liquidation of the Company pursuant to
Section 13.4, the Company shall distribute such Available Cash to the Members of record, as follows. 

        (a)   Within
60 days following the end of each calendar quarter prior to the earlier to occur of (i) the Trigger Date and (ii) the First Equalization
Date, Available Cash shall be distributed to the Members as follows: 

          (i)  40%
to the Class A Members in accordance with their Class A Percentage Interests; and 

         (ii)  60%
to the Class B Members in accordance with their Class B Percentage Interests. 

        (b)   With
respect to the calendar quarter during which the Trigger Date or the First Equalization Date occurs, within 60 days following the end of such calendar
quarter, Available Cash shall be distributed to the Members based on the quotient (expressed as a percentage) obtained by dividing the weighted average Investment Balance of such Member by the
weighted average Investment Balances of all Members during such period. 

        (c)   Within
60 days following the end of each calendar quarter after the earlier to occur of (i) the Trigger Date and (ii) the First Equalization Date,
Available Cash shall be distributed to the Members in accordance with their respective Percentage Interests. 

Section 8.2    Withholding.    

        All
amounts withheld pursuant to the Code or any provision of any foreign, state or local tax law or treaty with respect to any payment, distribution or allocation to the Company or the
Members shall be treated as amounts distributed to the Members pursuant to this Article 8 for all purposes of this Agreement. The Board is authorized to withhold from distributions, or with
respect to allocations, to the Members and to pay over to any federal, foreign, state or local government any amounts required to be so withheld pursuant to the Code or any provision of any other
federal, foreign, state or local law or treaty and shall allocate such amounts to those Members with respect to which such amounts were withheld. 

36

 

Section 8.3    Limitations on Distribution.    

        Except
as provided in this Agreement, no Member shall be entitled to any distribution of cash or other property from the Company. Notwithstanding any provision to the contrary contained
in this Agreement, the Company shall not make a distribution to any Member on account of its Interest in the Company if such distribution would violate the Act or other applicable law. 

Section 8.4    Tax Distributions.    

        (a)   Each
Member shall be entitled to receive, on the date which is two Business Days prior to each date on which estimated income tax payments are required to be made by an
individual calendar year taxpayer and each due date for the income tax return of an individual calendar year taxpayer (each a "Tax Distribution Date"),
cumulative cash distributions in an amount equal to such Member's Assumed Tax Liability, if any. The "Assumed Tax Liability" of each Member means an
amount equal to (i) the cumulative amount of federal income taxes (including any applicable estimated taxes), determined taking into account the character of income and loss allocated to such
Member as it affects the applicable tax rate, that the Board estimates would be due from such Member as of such Tax Distribution Date, assuming such Member were an individual that earned solely the
items of income, gain, deduction, loss and/or credit allocated to such Member pursuant to Section 9.4 (after reflecting any adjustments thereto by reason of Code Sections 732(d), 734, or
743), reduced by (ii) all previous distributions made to such Member pursuant to this Article 8. 

        (b)   Distributions
under this Section shall be treated as an advance distribution under and shall offset future distributions that such Member would otherwise be entitled to
receive pursuant to Section 8.1 or, if not previously offset, Section 13.4. 

        (c)   If
on a Tax Distribution Date there are not sufficient funds on hand to distribute to each Member the full amount of such Member's Assumed Tax Liability, distributions
pursuant to this Section 8.4 shall be made to the Members to the extent of the available funds in proportion to each Member's Assumed Tax Liability. 

 
 

  ARTICLE 9
  ALLOCATIONS    
    

Section 9.1    Profits and Losses.    

        After
giving effect to the special allocations set forth in Section 9.2, 9.3 and 13.4(b), all Profits and Losses from operations for each Fiscal Year (or part thereof) shall be
allocated to the Class A Members and the Class B Members in accordance with their Percentage Interests; provided, that no Losses shall be
allocated to any Member to the extent that such Losses would result in a Member having an Adjusted Capital Account Deficit. To the extent Losses allocated to a Member would cause such Member to have
an Adjusted Capital Account Deficit at the end of any Fiscal Year, the Losses will be reallocated to other Members. If any Member receives an allocation of Losses otherwise allocable to another Member
in accordance with this Section 9.1(a), such Member shall be allocated Profits in subsequent Fiscal Years necessary to reverse the effect of such allocation of Losses. Such allocation of
Profits (if any) shall be made before any other Profit allocations under this Section 9.1(a). 

Section 9.2    Special Allocations.    

        Notwithstanding
anything in this Agreement to the contrary, the following special allocations shall be made: 

        (a)    Nonrecourse Deductions.    Nonrecourse Deductions for any taxable year shall be allocated to the Members in
accordance with their Percentage Interests. 

37

 

        (b)    Member Nonrecourse Deductions.    Member Nonrecourse Deductions for any taxable year shall be allocated 100% to
the Member that bears the Economic Risk of Loss with respect to the Member Nonrecourse Debt to which such Member Nonrecourse Deductions are attributable in accordance with Treasury Regulation
Section 1.704-2(i). If more than one Member bears the Economic
Risk of Loss with respect to a Member Nonrecourse Debt, Member Nonrecourse Deductions attributable thereto shall be allocated between or among such Members in accordance with the ratios in which they
share such Economic Risk of Loss. This Section 9.2(b) is intended to comply with the provisions of Treasury Regulation Section 1.704-2(i) and shall be interpreted
consistently therewith. 

        (c)    Company Minimum Gain Chargeback.    Notwithstanding any other provision of this Agreement, if there is a net
decrease in Minimum Gain during any taxable year, each Member shall be allocated items of Company income and gain for such year (and, if necessary, subsequent taxable years) in the manner and amounts
provided in Treasury Regulation Sections 1.704-2(f)(6), (g)(2) and (j)(2)(i). For purposes of this Section 9.2, each Member's Capital Account shall be determined, and the
allocation of income or gain required hereunder shall be effected, prior to the application of any other allocations pursuant to this Article 9 with respect to such taxable year. This
Section 9.2(c) is intended to comply with the partner minimum gain chargeback requirement in Treasury Regulation Section 1.704-2(f) and shall be interpreted consistently
therewith. 

        (d)    Member Nonrecourse Debt Minimum Gain Chargeback.    Notwithstanding the other provisions of this Agreement
(other than Section 9.2(c) above), if there is a net decrease in Member Nonrecourse Debt Minimum Gain during any taxable year, any Member with a share of Member Nonrecourse Debt Minimum Gain at
the beginning of such taxable year shall be allocated items of Company income and gain for such year (and, if necessary, subsequent taxable years) in the manner and amounts provided in Treasury
Regulation Section 1.704-2(i)(4) and (j)(2)(ii). For purposes of this Section 9.2, each Member's Adjusted Capital Account balance shall be determined, and the allocation of
income and gain required hereunder shall be effected, prior to the application of any other allocations pursuant to this Article 9, other than Section 9.2(c) above, with respect to such
taxable year. This Section 9.2(d) is intended to comply with the partner nonrecourse debt minimum gain chargeback requirement in Treasury Regulation Section 1.704-2(i)(4) and
shall be interpreted consistently therewith. 

        (e)    Qualified Income Offset.    Except as provided in Sections 9.2(c) and 9.2(d) above, in the event any
Member unexpectedly receives an adjustment, allocation or distribution described in Treasury Regulation Sections 1.704-1(b)(2)(ii)(d)(4), (5) or (6), items of Company income
and gain shall be allocated to such Member in an amount and manner sufficient to eliminate, to the extent required by such Treasury Regulation, the deficit balance, if any, in its Adjusted Capital
Account created by such adjustment, allocation or distribution as quickly as possible unless such deficit balance is otherwise eliminated pursuant to Sections 9.2(c) or 9.2(d). This
Section 9.2(e) is intended to constitute a qualified income offset described in Treasury Regulation Section 1.704-1(b)(2)(ii)(d) and shall be interpreted consistently
therewith. 

        (f)    Gross Income Allocation.    In the event any Member has a deficit balance in its Adjusted Capital Account at
the end of any taxable year, such Member shall be allocated items of Company gross income and gain in the amount of such excess as quickly as possible; provided,
however, that an allocation pursuant to this Section 9.2(f) shall be made only if and to the extent that such Member would have a deficit balance in its Adjusted Capital
Account after all other allocations provided in this Section 9.2 (other than Section 9.2(e)) have been tentatively made as if Section 9.2(e) and this Section 9.2(f) were
not in this Agreement. 

Section 9.3    Curative Allocations.    

        The
allocations set forth in Section 9.2 (the "Regulatory Allocations") are intended to comply with certain requirements of the
Treasury Regulations. It is the intent of the Members that, to the extent possible, all Regulatory Allocations shall be offset either with other Regulatory Allocations or with 

38

 

special
allocations of other items of Company income, gain, loss or deduction pursuant to this Section 9.3. Therefore, notwithstanding any other provision of this Article 9 (other than
the Regulatory Allocations), but subject to the Code and the Treasury Regulations, the Board shall make such offsetting special allocations of Company income, gain, loss or deduction in whatever
manner it determines appropriate so that, after such offsetting allocations are made, each Member's Capital Account balance is, to the extent possible, equal to the Capital Account balance such Member
would have had if the Regulatory Allocations were not part of this Agreement. In exercising its discretion under this Section 9.3, the Board shall take into account future Regulatory
Allocations that, although not yet made, are likely to offset other Regulatory Allocations previously made. 

Section 9.4    Income Tax Allocations.    

        (a)   Except
as provided in this Section 9.4, each item of income, gain, loss and deduction of the Company for federal income tax purposes shall be allocated among the
Members in the same manner as such items are allocated for book purposes under Sections 9.1, 9.2, 9.3 and 13.4(b). 

        (b)   In
accordance with Code Section 704(c) and the applicable Treasury Regulations thereunder, income, gain, loss and deduction with respect to any property
contributed to the Company shall, solely for tax purposes, be allocated among the Members so as to take account of any variation between the adjusted basis of such property to the Company for federal
income tax purposes and its Gross Asset Value at the time of its contribution to the Company. If the Gross Asset Value of any Company property is adjusted in accordance with clause (c) or
(d) of the definition of Gross Asset Value, then subsequent allocations of income, gain, loss and deduction shall take into account any variation between the adjusted basis of such property for
federal income tax purposes and its Gross Asset Value as provided in Code Section 704(c) and the related Treasury Regulations. For purposes of such allocations, the Company shall elect the
remedial allocation method described in Treasury Regulation Section 1.704-3(d). 

        (c)   All
items of income, gain, loss, deduction and credit allocated to the Members in accordance with the provisions hereof and basis allocations recognized by the Company
for federal income tax purposes shall be determined without regard to any election under Section 754 of the Code which may be made by the Company. 

        (d)   If
any deductions for depreciation or cost recovery are recaptured as ordinary income upon the Transfer of Company properties, the ordinary income character of the gain
from such Transfer shall be allocated among the Members in the same ratio as the deductions giving rise to such ordinary character were allocated. 

Section 9.5    Allocation and Other Rules.    

        (a)   In
the event Members are admitted to the Company pursuant to this Agreement on different dates, the Profits (or Losses) allocated to the Members for each Fiscal Year
during which Members are so admitted shall be allocated among the Members in proportion to their Percentage Interests during such Fiscal Year in accordance with Section 706 of the Code, using
any convention permitted by law and selected by the Board that takes into account the varying interests of the Members during such Fiscal Year. 

        (b)   For
purposes of determining the Profits, Losses or any other items allocable to any period, Profits, Losses and any such other items shall be determined on a daily,
monthly or other basis, as determined by the Board using any method that is permissible under Section 706 of the Code and the Treasury Regulations thereunder. 

        (c)   The
Members are aware of the income tax consequences of the allocations made by this Article 9 and hereby agree to be bound by the provisions of this
Article 9 in reporting their shares of Company income and loss for income tax purposes. 

39

 

        (d)   Allocations
made by the Board under Section 9.2 in reliance upon the advice of the Company's accountants shall be deemed to be made pursuant to any fiduciary
obligation to the Company and the Members. 

        (e)   If
any Member makes a loan to the Company, or the Company makes a loan to any Member, and interest in excess of the amount actually payable is imputed under Code
Sections 7872, 483, or 1271 through 1288 or corresponding provisions of subsequent federal income tax law, then any item of income or expense attributable to any such imputed interest shall be
allocated solely to the Member who made or received the loan and shall be credited or charged to its Capital Account, as appropriate. 

 
 

  ARTICLE 10
  BOOKS AND RECORDS    
    

Section 10.1    Inspection Rights Pursuant to Law.    

        The
Company shall have obligations to the Members as set forth in this Article 10 respecting books, records and financial statements of the Company. 

Section 10.2    Books and Records.    

        At
all times during the continuance of the Company, the Company shall maintain at its principal place of business all records and materials the Company is required to maintain at such
location under the Act. The Company shall keep proper and complete books of account adequate for its purposes. The books of account relating to the Company shall be open to inspection and copying by
any of the Members or by their authorized representatives upon reasonable notice and at any reasonable time during business hours, at the Member's expense;  provided, however, that the Members acknowledge and agree that, to the extent that the books of account
include information relating to one or more Affiliates of the Operator (other than the Company) or any Out of Scope Projects or Exempted Projects (the "Unrelated
Information"), then the Company and Operator shall be entitled either to redact, or limit access to, the books of account such that the Members shall not have access to
Unrelated Information or to require such Member to designate an independent third party auditor to conduct such review, which auditor will be required to execute a confidentiality agreement with the
Operator under which such auditor may examine the Unrelated Information but may not disclose the Unrelated Information to such Member. 

Section 10.3    Financial Statements and Reports.    

        The
Operator shall prepare, on behalf of the Company and at the Company's expense, and shall submit to the Members the following statements, reports and notices: 

        (a)   Annual
financial statements of the Company, consisting of a profit and loss statement, balance sheet and statement of cash flows, as of the end of and for the prior
Fiscal Year, which shall be prepared in accordance with GAAP and audited by the Operator's independent certified public accountants, which shall be a nationally recognized accounting firm (the
"Annual Financial Statements"). The Annual Financial Statements shall be delivered to each Member within 75 days after the end of each Fiscal
Year; 

        (b)   Unaudited
quarterly financial statements of the Company, consisting of a profit and loss statement, balance sheet and statement of cash flows, as of the end of and for
the prior calendar quarter, which shall be prepared in accordance with GAAP except for normal year end adjustments and the absence of footnotes (the "Quarterly Financial
Statements"). The Quarterly Financial Statements shall be delivered within 45 days after the end of each calendar quarter; 

40

 

 

        (c)   Monthly
financial and business reports, which shall consist of a profit and loss statement, balance sheet and statement of cash flows, as of the end of and for the prior
calendar month, which shall be prepared in accordance with GAAP except for normal year end adjustments and the absence of footnotes (the "Monthly
Reports"). The Monthly Reports shall be delivered within 30 days after the end of each calendar month; 

        (d)   Copies
of the Approved Budget in effect from time to time, within 30 days after the approval thereof in accordance with Section 6.16; 

        (e)   Such
other information as a Member may reasonably request to satisfy such Member's or its Affiliates' public disclosure obligations under the Exchange Act, the rules of
any stock exchange, or any similar public disclosure obligations; provided, that public disclosure of any such information shall be subject to the
provisions of Section 5.4. 

Section 10.4    Accounting Method.    

        For
both financial and tax reporting purposes and for purposes of determining Profits and Losses, the books and records of the Company shall be kept on such method of accounting as
determined by the Board and shall reflect all Company transactions and be appropriate and adequate for the Company's business. 

Section 10.5    Bank Accounts; Investments.    

        The
Board shall establish one or more bank accounts in the name of the Company into which all Company funds shall be deposited. No other funds shall be deposited into these accounts. 

 
 

  ARTICLE 11
  TAX MATTERS    
    

Section 11.1    Taxation of Company.    

        It
is the intent of the Members that the Company shall be treated as a partnership for U.S. federal income tax purposes. Neither the Company nor any Member shall make an election for the
Company to be excluded from the application of the provisions of subchapter K of chapter 1 of subtitle A of the Code or any similar provisions of applicable state law or to be classified
as other than a partnership pursuant to Treasury Regulation Section 301.7701-3. 

Section 11.2    Tax Returns.    

        The
Company shall cause the Operator to prepare, at the expense of the Company, for each Fiscal Year (or part thereof), federal tax returns in compliance with the provisions of the Code
and any required state and local tax returns. Each Member shall furnish to the Company all pertinent information in its possession relating to the Company's operations that is necessary to enable the
Company's tax returns to be timely prepared and filed. Not less than 60 days prior to the due date (as extended) of the Company's federal income tax return or any state income tax return, the
return proposed by the Board to be filed by the Company shall be furnished to the Members for review. In addition, not more than 10 days after the date on which the Company files its federal
income tax return or any state income tax return, a copy of the return so filed shall be furnished to the Members. 

Section 11.3    Member Tax Return Information.    

        The
Company, at its expense, shall cause to be delivered to each Member within 60 calendar days after the end of the Company's taxable year an IRS Form K-1 or a good
faith estimate of the amounts to be included on such IRS Form K-1 for such Member and such other information as shall be necessary (including a statement for that year of each
Member's share of net income, net losses and other items allocated to such Member) for the preparation and timely filing by the Members of their federal, state and local income and other tax returns. 

41

 

Section 11.4    Tax Matters Representative.    

        (a)   The
"tax matters partner" of the Company for purposes of Section 6231(a)(7) of the Code shall be MWE Operating Company, so long as MWE Operating Company or one of
its Affiliates is a Member, and shall have the power to manage and control, on behalf of the Company, any administrative proceeding at the Company level with the Internal Revenue Service relating to
the determination of any item of Company income, gain, loss, deduction or credit for federal income tax purposes. Any Member who is designated as the tax matters partner shall be referred to herein as
the "Tax Matters Member." 

        (b)   The
Tax Matters Member shall keep the Members informed as to the status of any audit of the Company's tax affairs, and shall take such action as may be necessary to
cause any Member so requesting to become a "notice partner" within the meaning of Section 6231(a)(8) of the Code. Without first obtaining the approval of the Board and Requisite Member
Approval, the Tax Matters Member shall not, with respect to Company tax matters: (i) enter into a settlement agreement with respect to any tax matter which purports to bind Members,
(ii) intervene in any action pursuant to Code Section 6226(b)(6), (iii) enter into an agreement extending the period of limitations for making assessments on behalf of Members, or
(iv) file a petition pursuant to Code Section 6226(a) or 6228. If an audit of any of the Company's tax returns shall occur, the Tax Matters Member shall not settle or otherwise
compromise assertions of the auditing agent which may be adverse to any Member as compared to the position taken on the Company's tax returns without the prior written consent of each such affected
Member. 

        (c)   No
Member shall file a request pursuant to Code Section 6227 for an administrative adjustment of Company items for any taxable year, or a petition under
Code Sections 6226 or 6228 or other Code sections with respect to any item involving the Company, without first notifying other Members. 

Section 11.5    Right to Make Section 754 Election.    

        The
Board, in its sole discretion, may make or revoke, on behalf of the Company, an election in accordance with Section 754 of the Code, so as to adjust the basis of Company
property in the case of a distribution of property within the meaning of Section 734 of the Code, and in the case of a transfer of Interests within the meaning of Section 743 of the
Code. 

Section 11.6    Tax Elections.    

        The
Company shall have the right to make any U.S. federal income tax elections it deems appropriate and in the best interests of the Members. 

Section 11.7    Tax Reimbursement.    

        If
Texas law requires the Company and any Member both to participate in the filing of a Texas margin tax combined group report, and if such Member pays the margin tax liability due in
connection with such combined report, the parties agree that the Company shall promptly reimburse such Member for the margin tax paid on behalf of the Company as a combined group member. The margin
tax paid on behalf of the Company shall be equal to the margin tax that the Company would have paid if it had computed its margin tax liability for the report period on a separate entity basis rather
than as a member of the combined group. In such event, the parties agree that such Member shall be considered as paying such amount on behalf of the Company and the Company shall deduct for federal
income tax purposes 100% of the Texas margin tax attributable to the Company; provided, that in the event that such deduction may not be properly taken
by the Company, the Company shall reimburse such Member for the after-tax cost of such payment of Texas margin tax paid on the Company's behalf. 

42

 
 
 

  ARTICLE 12
  LIABILITY, EXCULPATION AND INDEMNIFICATION    
    

Section 12.1    Liability.    

        (a)   Except
as otherwise provided by the Act, the debts, obligations and liabilities of the Company, whether arising in contract, tort or otherwise, shall be solely the
debts, obligations and liabilities of the Company, and no Covered Person shall be obligated personally for any such debt, obligation or liability of the Company solely by reason of being a Covered
Person. 

        (b)   Except
as otherwise expressly required by law, a Member, in its capacity as Member, shall have no liability in excess of (i) the amount of its Capital
Contributions; (ii) its share of any assets and undistributed profits of the Company; (iii) its obligation to make other payments expressly provided for in this Agreement; and
(iv) the amount of any distributions wrongfully distributed to it. 

Section 12.2    Exculpation.    

        (a)   No
Covered Person shall be liable to the Company or any other Covered Person for any loss, damage or claim incurred by reason of any act or omission performed or omitted
by such Covered Person on behalf of the Company and in a manner reasonably believed to be within the scope of authority conferred on such Covered Person by this Agreement, except that a Covered Person
shall be liable for any such loss, damage or claim incurred by reason of such Covered Person's fraud, bad faith or willful misconduct as established by a non-appealable court order,
judgment, decree or decision. 

        (b)   A
Covered Person shall be fully protected in relying in good faith upon the records of the Company and upon such information, opinions, reports or statements presented
to the Company by any Person as to matters the Covered Person reasonably believes are within such other Person's professional or expert competence and who has been selected with reasonable care by or
on behalf of the Company, including information, opinions, reports or statements as to the value and amount of the assets, liabilities, Profits, Losses or Available Cash or any other facts pertinent
to the existence and amount of assets from which distributions to Members might properly be paid. 

Section 12.3    Indemnification.    

        To
the fullest extent permitted by applicable law, the Company shall indemnify and hold harmless each Covered Person from and against all Claims arising from or related to any act or
omission performed or omitted by such Covered Person on behalf of the Company and in a manner reasonably believed to be within the scope of authority conferred on such Covered Person by this
Agreement, except that no Covered Person shall be entitled to be indemnified in respect of any Claim by reason of such Covered Person's fraud, bad faith, or willful misconduct as established by a
non-appealable court order, judgment, decree or decision. Any indemnity under this Section 12.3 shall be provided out of and to the extent of Company assets only (including the
proceeds of any insurance policy obtained pursuant to Section 12.5), and no Covered Person shall have any personal liability on account thereof. Any amendment, modification or repeal of this
Section 12.3 or any provision in this Section 12.3 shall be prospective only and shall not in any way affect the rights of any Covered Person under this Section 12.3 as in effect
immediately prior to such amendment, modification or repeal with respect to matters occurring, in whole or in part, prior to such amendment, modification or repeal, regardless of when claims relating
to such matters may arise or be asserted. 

Section 12.4    Expenses.    

        To
the fullest extent permitted by applicable law, expenses (including legal fees) incurred by a Covered Person in defending any claim, demand, action, suit or proceeding shall, from
time to time, be advanced by the Company prior to the final disposition of such claim, demand, action, suit or proceeding upon receipt by the Company of an undertaking by or on behalf of the Covered
Person to 

43

 

repay
such amount if it shall be determined that the Covered Person is not entitled to be indemnified as authorized in Section 12.3. 

Section 12.5    Insurance.    

        The
Company may purchase and maintain insurance, to the extent and in such amounts as the Board shall, in its sole discretion, deem reasonable, on behalf of Covered Persons and such
other Persons as the Board shall determine, against any liability that may be asserted against or expenses that may be incurred by any such Person in connection with the activities of the Company or
such indemnities, regardless of whether the Company would have the power to indemnify such Person against such liability under the provisions of this Agreement. The Board and the Company may enter
into indemnity contracts with Covered Persons and such other Persons as the Board shall determine and adopt written procedures pursuant to which arrangements are made for the advancement of expenses
and the funding of obligations under Section 12.4 and containing such other procedures regarding indemnification as are appropriate. 

Section 12.6    Certain Liabilities.    

        Each
Member agrees to be liable for the Capital Contributions required to be made by such Member, and subject to the other provisions of this Agreement, in the event a Member becomes
liable for any liabilities of the Company, the Members shall bear such liability in proportion to their then existing Percentage Interests. 

Section 12.7    Acts Performed Outside the Scope of the Company.    

        Each
Member (each Member in such capacity, an "Indemnitor") shall indemnify, defend, save and hold harmless each other Member (an
"Indemnitee") from any and all Claims that shall or may arise by virtue of any act or thing done or omitted to be done by the Indemnitor (directly or
through agents or employees) outside the scope of, or in breach of, the terms of this Agreement; provided,  however, that the Indemnitor shall be properly
notified of the existence of the Claim, and shall be given reasonable opportunity to cure any act or
omission causing liability, and participate in the defense thereof. The Indemnitee's failure to give such notice shall not affect the Indemnitor's obligations hereunder, except to the extent of any
actual prejudice arising therefrom. 

Section 12.8    Liability of Members to Company or Other Members.    

        Unless
otherwise provided in this Agreement, no Member shall be liable to any other Member or to the Company by reason of such Member's actions in connection with the Company, except in
the event of a violation of any provision of this Agreement, fraud, bad faith or willful misconduct. 

Section 12.9    Attorneys' Fees.    

        All
of the indemnities provided in this Agreement shall include reasonable attorneys' fees, including appellate attorneys' fees and court costs. 

Section 12.10    Subordination of Other Rights to Indemnity.    

        The
interests of the Members in any proceeds of the Company by way of repayment of loans, return of any Capital Contributions, or any distributions from the Company, shall be
subordinated to the right of Members to the indemnities provided by this Article 12. 

Section 12.11    Survival of Indemnity Provisions.    

        Except
as otherwise specifically provided herein, all of the indemnity provisions contained in this Agreement shall survive a Member's ceasing to be a Member hereunder. 

44

 
 
 

  ARTICLE 13
  DISSOLUTION, LIQUIDATION AND TERMINATION    
    

Section 13.1    No Dissolution.    

        The
Company shall not be dissolved by the admission of Additional Members or Substitute Members in accordance with the terms of this Agreement, or the withdrawal of a Member. 

Section 13.2    Events Causing Dissolution.    

        The
Company shall be dissolved and its affairs shall be wound up upon the occurrence of any of the following events: 

        (a)   the
determination of the Members pursuant to Section 6.12(q); 

        (b)   at
such time as there are no Members; 

        (c)   the
entry of a decree of judicial dissolution under the Act; or 

        (d)   the
sale, exchange or disposition of all, or substantially all, of the Company's assets in one transaction or a series of related transactions. 

Section 13.3    Notice of Dissolution.    

        Upon
the dissolution of the Company, the Board shall promptly notify the Members of such dissolution. 

Section 13.4    Liquidation.    

        (a)   Upon
dissolution of the Company, the Board (in such capacity, the "Liquidating Trustee") shall carry out the winding up
of the Company and shall immediately commence to wind up the Company's affairs; provided, however, that
a reasonable time shall be allowed for the orderly liquidation of the assets of the Company and the satisfaction of liabilities to creditors so as to enable the Members to minimize the normal losses
attendant upon a liquidation. The proceeds of liquidation shall be applied first to payment of all expenses and debts of the Company and setting up of such reserves as the Board reasonably deems
necessary to wind up the Company's affairs and to provide for any contingent liabilities or obligations of the Company; provided, that the unpaid
principal of and interest on any loans made to the Company by Members (and their Affiliates) shall be distributed pro rata to the Members (and their Affiliates) who made such loans, in proportion to
the total amount of principal and interest payable on such loans, such distributions being treated first as a payment of accrued interest on such loans and next as in payment of principal on such
loans. Any remaining proceeds shall be distributed as follows: 

          (i)  If
the First Equalization Date has not yet occurred, then: 

        (A)  First,
100% to the Class A Members until the **; and 

        (B)  Second,
to the Class A Members and the Class B Members in proportion to their Investment Balances until **; 

        (C)  Third,
40% to the Class A Members and 60% to the Class B Members until **; and 

        (D)  Thereafter,
to the Class A Members and to the Class B Members in proportion to their Investment Balances (determined immediately prior to any distributions
made pursuant to this Section 13.4). 

         (ii)  If
the First Equalization Date has occurred, then to the Members in accordance with their respective Percentage Interests. 

45

 

        (b)   In
the event of any liquidation and winding up of the Company under Section 13.4 or a sale, exchange or other disposition of all or substantially all of the
assets of the Company, either voluntary or involuntary, Profits and Losses and each item of gross income, gain, loss and deduction for such period shall be allocated to the Members so that, to the
maximum extent possible, each Member's Capital Account balance equals the amount of cash distributed to each such Member pursuant to Sections 13.4(a)(i) and (ii) (referred to as
"Liquidation Amounts"), and no other allocation of Profit or Loss pursuant to this Agreement shall reverse the effect of such allocation. If in the year
of such liquidation, dissolution or winding up, the Members' Capital Accounts are not equal to their respective Liquidation Amounts after the application of the preceding sentence, then to the extent
permitted by law and notwithstanding anything to the contrary contained in this Agreement, items of gross income and gain for any preceding taxable period(s) with respect to which IRS Form 1065
Schedules K-1 have not been filed by the Company shall be reallocated among the Members until the Members' Capital Accounts are equal to their respective Liquidation Amounts, and no
other allocation of Profit or Loss pursuant to this Agreement shall reverse the effect of such allocation. 

Section 13.5    Termination.    

        The
Company shall terminate when all of the assets of the Company, after payment of or due provision for all debts, liabilities and obligations of the Company, shall have been
distributed to the Members in the manner provided for in this Article 13 and the Certificate shall have been canceled, or such other documents required under the Act to be executed and filed
with the Secretary of State of the State of Delaware have been so executed and filed, in the manner required by the Act. 

Section 13.6    Claims of the Members or Third Parties.    

        The
Members and former Members shall look solely to the Company's assets for the return of their Capital Contributions, and if the assets of the Company remaining after payment of or due
provision for all debts, liabilities and obligations of the Company are insufficient to return such Capital Contributions, the Members and former Members shall have no recourse against the Company or
any other Member; provided, however, that nothing contained herein shall be deemed to limit the rights
of a Member under applicable law. In the event any Member has a deficit balance in its Capital Account at the time of the Company's dissolution, it shall not be required to restore such account to a
positive balance or otherwise make any payments to the Company or its creditors or other third parties in respect of such deficiency. 

Section 13.7    Distributions In-Kind.    

        If
any assets of the Company shall be distributed in kind, such assets shall be distributed to the Member(s) entitled thereto as tenants-in-common in the same
proportions as such Member(s) would have been entitled to cash distributions if (i) such assets had been
sold for cash by the Company at the fair market value of such property (taking the Gross Asset Value definition herein and Code Section 7701(g) into account) on the date of distribution;
(ii) any unrealized income, gain, loss and deduction inherent in such property (that has not been reflected in the Capital Accounts previously) that would be realized by the Company from such
sale were allocated among the Member(s) as Profits or Losses in accordance with this Agreement; and (iii) the cash proceeds were distributed to the Member(s) in accordance with this
Article 13. The Capital Accounts of the Member(s) shall be increased by the amount of any unrealized income or gain inherent in such property or decreased by the amount of any loss or deduction
inherent in such property that would be allocable to them, and shall be reduced by the fair market value of the assets distributed to them under the preceding sentence. Notwithstanding the foregoing,
the Members shall have the right to assign their interest to such in-kind distribution to any Person. 

46

 

 

 
 

  ARTICLE 14
  REPRESENTATIONS, WARRANTIES AND COVENANTS    
    

Section 14.1    Representations, Warranties and Covenants.    

        Each
Member hereby represents, warrants and covenants to the Company as follows: 

        (a)   The
Member understands that the purpose of the Company is to engage in the Primary Business. The Member has read and is familiar with, and has been given full and
complete access to, information, financial or otherwise, regarding the Company and has utilized such access to the Member's satisfaction and has obtained any other relevant information the Member has
sought. The Member has been given the opportunity to ask questions of, and receive answers from, the Company concerning the terms and conditions of, and other matters pertaining to, this investment. 

        (b)   The
Member has read this Agreement and understands that the Interests being acquired by the Member will be governed hereby. The Member agrees to be bound, in all
respects, by the terms of this Agreement. 

        (c)   The
Member has sufficient knowledge and experience in financial and business matters in general, and investments in particular, to be capable of evaluating the merits
and risks of the investment in the Interests. The Member is able to bear the economic risk of this investment, including a total loss of the investment. The Member has adequate means of providing for
its currents needs and personal contingencies, has no need for liquidity in the investment in the Company and has no reason to anticipate any circumstances, financial or otherwise, which might cause
or require any sale or distribution of the Interests. The Member's overall commitment to investments that are not readily marketable is not disproportionate to the Member's net worth and the
investment in the Company will not cause the Member's overall commitment in such investments to become excessive. The Member can lose its entire investment in the Interests without producing a
material adverse change in the Member's net worth. 

        (d)   It
is the Member's intention to acquire the Interest for its own account, for investment purposes, and not with a view to, or for, resale in connection with any
distribution thereof. The Member understands that no federal or state agency has passed upon the Interests or made any findings or determination as to the fairness of this investment. The Member
understands and acknowledges that the Interests have not been registered under the Securities Act or under state securities laws and that the sale of the Interests is being made pursuant to exemptions
from registration that may depend upon the Member's investment intention. The Member also understands and acknowledges that the Interests may not be transferred unless they are registered under the
Securities Act or an exemption from such registration is available thereunder and under applicable state securities laws and established to the Company's satisfaction. In addition, the Member
acknowledges that the Interests are subject to additional restrictions on transferability in this Agreement that will make it difficult to Transfer or liquidate this investment. The Member
acknowledges that the Company will rely on these representations and that the Company is not required to recognize any Transfer of an Interest if, in the opinion of counsel, such Transfer would result
in a violation of any federal or state law, rule or regulation, regarding the offering or sale of securities. The Member further understands that any certificates representing the Interests may
contain legends restricting the Transfer of the Interests. 

        (e)   The
Member is fully authorized and qualified to become a Member of the Company and is authorized to make the initial Capital Contribution to the Company, and the person
executing this Agreement on the Member's behalf has been duly authorized to do so. 

        (f)    The
Member understands and acknowledges that (i) the Company may need to raise additional capital from time to time in order to engage in the Primary Business and
achieve any other objectives and goals that may be established for the Company by the Board, (ii) the Company may raise additional capital by selling Interests to one or more Members or other
Persons, (iii) the Member 

47

 

has
no right to participate in any future offering, or to buy any additional Interests that may be issued, by the Company except to the extent set forth herein, and (iv) the Member's Percentage
Interest in the Company may be diluted as a result of any such sale of additional Interests in the Company. 

        (g)   The
Member will indemnify and hold harmless the Company and its Managers, officers, Members and Affiliates, and any other Person who controls or is controlled by any of
them, against any and all loss, liability, claim, damage and expense whatsoever, including reasonable attorney's fees, arising out of or based upon any false representation or warranty or any breach
by the Member of any term or condition contained in this Article 14. 

        (h)   All
of the information provided to the Company by the Member and all of the Member's representations and warranties are true and correct as of the date of this
Agreement. The Member's representations, warranties and covenants shall survive the delivery of the Member's Capital Contribution. 

 
 

  ARTICLE 15
  MISCELLANEOUS    
    

Section 15.1    Notices.    

        All
notices provided for in this Agreement shall be in writing, duly signed by the party giving such notice, and shall be delivered, telecopied, mailed by registered or certified mail,
sent by recognized overnight delivery or courier service (e.g., Federal Express) or, to the extent permitted by this Agreement, sent via electronic mail, and shall be deemed to have been given
(a) upon delivery, if delivered personally, or if delivered by facsimile, upon confirmation of delivery, (b) when notice is sent to the recipient provided that confirmation of receipt is
obtained by sender orally, by facsimile or by electronic mail, if sent by electronic mail (unless otherwise provided in this Agreement), (c) three days after mailing, if mailed, or
(d) one Business Day after delivery to the courier, if delivered by overnight courier service, as follows: 

          (i)  if
given to the Company, in care of the Board at the principal place of business of the Company set forth in Section 2.5 or at such other address as the Company
may hereafter designate by 10 days' written notice to the Members. 

         (ii)  if
given to any Member, at such address designated on the signature page and Exhibit B hereto or at such other address as such Member may hereafter designate by
10 days' written notice to the Company. 

Section 15.2    Failure to Pursue Remedies.    

        The
failure of any party to seek redress for violation of, or to insist upon the strict performance of, any provision of this Agreement shall not prevent a subsequent act, which would
have originally constituted a violation, from having the effect of an original violation. 

Section 15.3    Cumulative Remedies.    

        The
rights and remedies provided by this Agreement are cumulative and the use of any one right or remedy by any party shall not preclude or waive its right to use any or all other
remedies. Said rights and remedies are given in addition to any other rights the parties may have by law, statute, ordinance or otherwise. 

Section 15.4    Binding Effect.    

        This
Agreement shall be binding upon and inure to the benefit of all of the parties and, to the extent permitted by this Agreement, their successors, legal representatives and assigns. 

48

 

Section 15.5    Interpretation.    

        Throughout
this Agreement, nouns, pronouns and verbs shall be construed as masculine, feminine, neuter, singular or plural, whichever shall be applicable. All references herein to
"Articles," "Sections" and "Paragraphs" shall refer to corresponding provisions of this Agreement. 

Section 15.6    Severability.    

        The
invalidity or unenforceability of any particular provision of this Agreement shall not affect the other provisions hereof, and this Agreement shall be construed in all respects as if
such invalid or unenforceable provision were omitted. 

Section 15.7    Counterparts.    

        This
Agreement may be executed in any number of counterparts with the same effect as if all parties hereto had signed the same document. All counterparts shall be construed together and
shall constitute one instrument. 

Section 15.8    Integration.    

        This
Agreement constitutes the entire agreement among the parties hereto pertaining to the subject matter hereof and supersedes all prior agreements and understandings pertaining
thereto. 

Section 15.9    Amendment or Restatement.    

        This
Agreement (including any Exhibit or Schedule hereto) and the Certificate may be amended, modified or supplemented, and any provisions of this Agreement or the Certificate be waived,
with a written instrument adopted, executed and agreed to by the Company and the Class B Members with an aggregate Class B Percentage Interest equal to or exceeding 50%;  provided, however, that (a) this Agreement shall be deemed automatically amended from time to
time without further consent of any party to reflect issuances and transfers of Interests made in compliance with this Agreement and (b) any amendment, modification, supplement or waiver to
this Agreement or the Certificate that would adversely affect the rights, or increase the obligations, of any Member in any material respect shall not be effective without the consent of such affected
Member. Except as required by law, no amendment, modification, supplement, discharge or waiver of or under this Agreement shall require the consent of any Person not a party to this Agreement. 

Section 15.10    Governing Law.    

        This
Agreement and the rights of the parties hereunder shall be interpreted in accordance with the laws of the State of Delaware and all rights and remedies shall be governed by such
laws without regard to principles of conflict of laws. The parties further agree that any legal action or proceeding with respect to this Agreement or any document relating hereto may be brought only
in a federal or state court of competent jurisdiction in Houston, Texas. Each party hereby irrevocably waives any objection, including, without limitation, any objection to the laying of venue or
based on the grounds of forum non-convenience, which it may now or hereafter have to the bringing of such action or proceeding in any such respective jurisdiction. 

Section 15.11    Dealings in Good Faith.    

        Except
as otherwise expressly set forth herein, each party hereto agrees to act in good faith with respect to the other party in exercising its rights and discharging its obligations
under this Agreement. Each party further agrees to use its reasonable efforts to ensure that the purposes of this Agreement are realized and to take all steps as are reasonable in order to implement
the operational provisions of this Agreement. 

49

 

Section 15.12    Partition of the Property.    

        Each
Member agrees that it shall have no right to partition the Property, or any portion thereof, and each Member agrees that it shall not make application to any court or authority
having jurisdiction in the matter to commence or prosecute any action or proceeding for partition of the Property, or any portion thereof. Upon the breach of this Section by any Member, the other
Members, in addition to all other rights and remedies in law and equity, shall be entitled to a decree or order dismissing application, action or proceeding. 

Section 15.13    Third Party Beneficiaries.    

        Except
as expressly set forth in this Agreement, nothing in this Agreement is intended or shall be construed, to confer upon or give any Person other than the parties hereto, any rights,
remedies,
obligations or liabilities under or by reason of this Agreement, or result in their being deemed a third party beneficiary of this Agreement. 

Section 15.14    Tax Disclosure Authorization.    

        Notwithstanding
anything herein to the contrary, the Members (and each Affiliate and Person acting on behalf of any Member) agree that each Member (and each employee, representative, and
other agent of such Member) may disclose to any and all Persons, without limitation of any kind, the transaction's tax treatment and tax structure (as such terms are used in Sections 6011 and
6112 of the Code and the Treasury Regulations thereunder) contemplated by this Agreement and all materials of any kind (including opinions or other tax analyses) provided to such Member or such Person
relating to such tax treatment and tax structure, except to the extent necessary to comply with any applicable federal or state securities laws. 

Section 15.15    Waivers and Consents.    

        A
waiver or consent, express or implied, to or of any breach or default by any Person in the performance of its obligations hereunder is not a consent or waiver to or of any other breach
or default in the performance by that Person of the same or any other obligation of such Person hereunder. Failure of a Person to assert the default or breach of any other Person hereunder shall not
constitute a waiver thereof until the applicable statute of limitations period has run. 

[Signature Page Follows]

50

        IN
WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written. 

 

					
	 	 	MWE OPERATING COMPANY:
	

 	
 	
 MARKWEST UTICA OPERATING COMPANY, L.L.C.,

a Delaware limited liability company
	

 	
 	
By:	
 	
/s/ Frank M. Semple

 
	 	 	Name:	 	Frank M. Semple
	 	 	Title:	 	President and CEO
	

 	
 	
 Address for notice:

1515 Arapahoe Street

Tower 1, Suite 1600

Denver, CO 80202-2137

Attention:    Senior Vice President and Chief Operating Officer

 

 Signature
Page 

 

					
	 	 	EMG:
	

 	
 	
EMG UTICA, LLC
	

 	
 	
By:	
 	
/s/ John T. Raymond

 
	 	 	Name:	 	John T. Raymond
	 	 	Title:	 	Chairman & Chief Executive Officer
	

 	
 	
Address for notice:

811 Main Street, Suite 4200

Houston, TX 77002

Attention:    John T. Raymond
	

 	
 	
with a copy to:
	

 	
 	
Locke Lord LLP

600 Travis Street, Suite 2800

Houston, Texas 77002

Facsimile: (713) 226-2563

Attention: H. William Swanstrom

 

 Signature
Page 

 

 
 

EXHIBIT A

AREA
OF MUTUAL INTEREST 

        ** 

A-1

 

EXHIBIT B  

MEMBERS AND CAPITAL CONTRIBUTIONS 

 

									
	Member Name and Address

 
	 	Capital

Contribution 	 	Type of

Membership

Interest 	 	Initial

Percentage

Interest 	 	Initial

Investment

Balance 
	

 EMG Utica, LLC

811 Main Street, Suite 4200

Houston, TX 77002

Attention: John T. Raymond

Facsimile: (713) 579-5010

Email: jraymond@emgtx.com

            jrawls@emgtx.com

            pwade@emgtx.com

with a copy to:

Locke Lord LLP

600 Travis Street, Suite 2800

Houston, Texas 77002

Facsimile: (713) 226-2563

Attention: H. William Swanstrom	
 	
**	
 	
Class A	
 	
40%	
 	
**
	  	 	 	 	 	 	 	 	 
	
MarkWest Utica Operating Company, L.L.C.

1515 Arapahoe Street, Tower 1, Suite 1600

Denver, CO 80202

Attention:    Senior Vice President and Chief Operating Officer

Facsimile: (303) 925-9305

Email: jmollenkopf@markwest.com

with a copy to:

MarkWest Utica Operating Company, L.L.C.

1515 Arapahoe Street, Tower 1, Suite 1600

Denver, CO 80202

Attention:    Senior Vice President, General Counsel and Secretary

Facsimile: (303) 925-9308

Email: cbromley@markwest.com	
 	
**	
 	
Class B	
 	
60%	
 	
**

 

 B-1

 

 
 

EXHIBIT C    
    

BASE
PROJECT 

**

C-1

 

 
 

EXHIBIT D    
    

INITIAL
BUDGET 

**  

D-1

 

EXHIBIT E

PRE-APPROVED
AFFILIATED TRANSACTIONS 

	1.
	Services
Agreement 

E-1

 

EXHIBIT F

        **

F-1

QuickLinks

Exhibit 10.35

TABLE OF CONTENTS

LIMITED LIABILITY COMPANY AGREEMENT OF MARKWEST UTICA EMG, L.L.C.

ARTICLE 1 DEFINED TERMS

ARTICLE 2 FORMATION AND TERM

ARTICLE 3 PURPOSE AND POWERS OF THE COMPANY

ARTICLE 4 CAPITAL CONTRIBUTIONS, MEMBER INTERESTS, CAPITAL ACCOUNTS AND FUTURE CAPITAL REQUIREMENTS

ARTICLE 5 MEMBERS, MEETINGS AND AMENDMENTS

ARTICLE 6 MANAGEMENT

ARTICLE 7 ASSIGNABILITY OF MEMBER INTERESTS

ARTICLE 8 DISTRIBUTIONS TO MEMBERS

ARTICLE 9 ALLOCATIONS

ARTICLE 10 BOOKS AND RECORDS

ARTICLE 11 TAX MATTERS

ARTICLE 12 LIABILITY, EXCULPATION AND INDEMNIFICATION

ARTICLE 13 DISSOLUTION, LIQUIDATION AND TERMINATION

ARTICLE 14 REPRESENTATIONS, WARRANTIES AND COVENANTS

ARTICLE 15 MISCELLANEOUS

EXHIBIT A

EXHIBIT C

EXHIBIT D

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