Document:

Bareboat Charter Agreement dated October 5, 2012

 Exhibit 10.17 

BAREBOAT CHARTER AGREEMENT 
 between 
 SEADRILL CHINA OPERATIONS LTD 

and 
 SEADRILL
OFFSHORE AS 

  

					
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	 1 OBJECT
	  	 	3	  
		
	 2 DELIVERY
	  	 	4	  
		
	 3 DURATION
	  	 	4	  
		
	 4 TRADING LIMITS
	  	 	4	  
		
	 5 GUARANTEE WORKS
	  	 	5	  
		
	 6 INSPECTIONS/SURVEYS
	  	 	5	  
		
	 7 INVENTORIES AND CONSUMABLE OIL AND STORES
	  	 	6	  
		
	 8 MAINTENANCE AND OPERATION
	  	 	7	  
		
	 9 CHARTER HIRE
	  	 	9	  
		
	 10 MORTGAGE
	  	 	10	  
		
	 11 INSURANCE, REPAIRS AND CLASSIFICATION
	  	 	11	  
		
	 12 REDELIVERY
	  	 	13	  
		
	 13 NON-LIEN AND INDEMNITY
	  	 	13	  
		
	 14 SALVAGE
	  	 	16	  
		
	 15 WRECK REMOVAL
	  	 	16	  
		
	 16 GENERAL AVERAGE
	  	 	16	  
		
	 17 ASSIGNMENT AND SUB-DEMISE
	  	 	16	  
		
	 18 REQUISITION/ACQUISITION
	  	 	16	  
		
	 19 WAR
	  	 	17	  
		
	 20 LAW AND ARBITRATION
	  	 	17	  
		
	 21 NOTICES
	  	 	18	  

  

					
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 Seadrill China Operations Ltd a limited liability company registered and resident in Luxembourg,
having its principal address at Par-la-Ville Place, 14 Par-la-Ville Road, Hamilton HM08, Bermuda (hereinafter referred to as the “Owner”) and Seadrill Offshore AS, a company registered and resident in Norway, having its
principal address/office at P O Box 110, Løkkeveien 107, N-4007 Stavanger, Norway, (hereinafter referred to as the “Charterer”) have entered into with effect from 21 May 2012 the following bareboat charter agreement
(hereinafter referred to as the “Charter”): 
  

	1	OBJECT 

  

	1.1	The Owner and the Charterer hereby agree to replaced the Bareboat Charter dated 2 February 2009, and as assigned to the Owner by an assignment agreement dated
3 September 2010, shall be replaced by the Charter. 

  

	1.2	The Charterer hereby agrees to lease, and the Owner hereby agrees to let on bareboat the drilling rig WEST AQUARIUS, IMO no. 8768775, see Attachment A, owned by the
Owner (hereinafter referred to as the “Vessel”). 

  

	1.3	Charterer had on 17. August 2007 entered into a global long term drilling contract (the “Esso Drilling Contract”), contracts no A2099024, for the
Vessel with Esso Exploration Inc. (hereinafter referred to as “Esso”). The Esso Drilling Contract commences January 2009 with duration of 4 years, with an option for 1 year extension. 

 

	1.4	The Charterer has on 21 May 2012 assigned the Esso Drilling Contract to Seadrill Canada Ltd (“the Assignee”) for the duration of operations located off
the coast of Canada (“the Assignment Contract”). The assignment will be effective from one(1) nautical mile from the Charterer’s last well location in Vietnam for the remainder of the Specified Term(“Assignment Period”). The
specified term of this Assignment shall be effective until the earlier of the effective date of a Change in Locale, pursuant to the terms of the Esso Drilling Contract, or the termination of the Esso Drilling Contract. The Charterer will sublet the
Vessel to the Assignee for the duration of the Assignment Contract. 

  

	1.5	 The Charterer had previously accepted the Vessel and its equipment “as is”, in the condition in which it exists at the time of delivery under
this Charter. Delivery to the Charterer of the Vessel in accordance with Section 2 below shall constitute a full 

  

					
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performance by the Owner of all of the Owner’s obligations and thereafter Charterer shall not be entitled to make or assert any claim against the Owner on account of any conditions,
representations or warranties, expressed or implied, with respect to the Vessel, but the Owner shall be responsible for repairs or renewals occasioned by latent defects in the Vessel, her machinery or appurtenances, existing at the time of delivery
under the Charter, provided such defects have manifested themselves within 12 months after said delivery. 

  

	2	DELIVERY – Not Applicable 

  

	2.1	

  

	3	DURATION 

  

	a)	The charter period shall be for the period of the Esso Drilling Contract so that this Charter will terminate upon termination/expiry of the Esso Drilling Contract (the
“Charter Period”). The Charterer may not amend, supplement, extend or vary the terms of the Esso Drilling Contract without the prior written consent of the Owner. 

 

	b)	Pursuant to the Esso Drilling Contract, the Charterer is obliged to provide the Vessel to Esso for a firm period of 48 months, with an option for a 12 month extension
(the “Anticipated Termination Date”). 

  

	c)	The duration of the portion of the Charter Period that relates to the Assignment Contract shall commence from one (1) nautical mile from the Charterer’s last
well location in Vietnam until the earlier of the effective date of a change in locale outside of Canada pursuant to the terms of the Esso Drilling Contract or the termination of the Esso Drilling Contract. 

 

	d)	For the avoidance of doubt, if the Esso Drilling Contract is terminated in accordance with its terms or for any other reason prior to the Anticipated Termination Date
such termination will also be applicable for this Charter. 

  

	e)	The Charterer undertakes and guarantees to the Owner that, without the prior written consent of the Owner, it will not enter into any agreement with Esso extending the
duration of the Esso Drilling Contract beyond the Anticipated Termination Date. 

  

	f)	The Charterer and Owner shall have the option to extend the duration of the charter period up to an additional 24 months as to be mutually agreed between the parties.

  

	4	TRADING LIMITS 

  

	4.1	 The Vessel shall work as a drilling vessel. Charterer specifically undertakes that the Vessel will not be used in violation of her existing document or
register, or in 

  

					
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violation of the existing classification or load line regulations of any governmental entity having jurisdiction over the Vessel. Classification certificates and surveys as required by applicable
law and regulations shall be maintained by Charterer. 

  

	4.2	Charterer undertakes not to employ the Vessel or suffer the Vessel to be employed otherwise than in conformity with the terms of any applicable insurance policies
(including any warranties expressed or implied therein) without first obtaining the consent to such employment from the Vessel’s insurers and complying with such requirements as to extra premium or otherwise as the insurers may prescribe. The
Charterer shall keep the Owner, and any Mortgagees of the Vessel, advised of the intended employment of the Vessel. 

  

	4.3	The Vessel shall not be brought into a war zone or into an operating area where threats of war or war-like operations can put the Vessel at extra risk, without the
prior written consent of Owner, and Charterer shall purchase satisfactory insurance against such extra war risk at the Charterer’s expense. 

  

	5	GUARANTEE WORKS 

 If not
otherwise agreed between the parties, the Owner authorises the Charterer to arrange for relevant guarantee works to be performed in accordance with the building contract for the Vessel – See Attachment A. Charter Hire shall be paid during any
period of guarantee works. The Charterer has to advise the Owner about the performance of any guarantee works to the extent the Owner may request so. 
  

	6	INSPECTIONS/SURVEYS 

  

	6.1	The Owner shall have the right at any time to inspect or survey the Vessel or instruct a duly authorised surveyor to carry out such survey on their behalf to ascertain
the condition of the Vessel and satisfy themselves that the Vessel is being properly repaired and maintained. Inspection or survey in dry-dock shall be made only when the Vessel is scheduled for dry-docking by the Charterer and always in compliance
with requirements from the classification society. However, the Owner shall have the right to require the Vessel to be dry-docked for inspections if the Charterer fails to dock her as required for normal classification intervals. The fees for such
inspection or survey shall, in the event of the Vessel is found to be in the condition provided in Section 8 of this Charter, be payable by the Owner and shall be paid by the Charterer only in the event of the Vessel being found to require
repairs or maintenance in order to achieve the condition so provided. All time taken in respect of inspection, survey or repairs shall count as time on hire and shall form part of the Charter Period. 

  

					
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	6.2	The Charterer shall also permit the Owner to inspect the Vessel’s log books whenever requested and shall whenever required by the Owner furnish him with full
information regarding any casualties or other accidents or damage to the Vessel. For the purpose of this Section, the Charterer shall keep the Owner advised of the intended employment of the Vessel. 

 

	7	INVENTORIES AND CONSUMABLE OIL AND STORES 

 A complete inventory of the Vessel’s entire equipment, outfit, appliances and of all consumable stores on board the Vessel shall be made by the Charterer in conjunction with the Owner on delivery and
again on redelivery of the Vessel. The Charterer and the Owner respectively shall have a right at the time of delivery and redelivery to take over and pay for all bunkers, lubricating oil, water and unbroached provisions, paints, oils, ropes and
other consumable stores on the Vessel at the then current market prices at the ports of delivery and redelivery, respectively. 

  

					
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	8	MAINTENANCE AND OPERATION 

  

	8.1	The Vessel shall during the Charter Period be in the full possession and at the absolute disposal for all purposes of the Charterer and under its complete control in
every respect. The Charterer shall maintain the Vessel, her spare parts and documentation in a good state of repair, in efficient operating condition and in accordance with good commercial maintenance practice, and Charterer shall keep the Vessel
with unexpired classification of the same class as at delivery of the Vessel (and free from overdue recommendations and conditions of class), and with other required certificates in force at any time. 

 

	8.2	The Charterer shall take immediate steps to have necessary repairs carried out within a reasonable time and always in compliance with requirements from the
classification society. If Charterer fails to comply with the aforesaid obligation the Owner shall have the right to withdraw the Vessel from the Charter without noting any protest and without prejudice to any claim the Owner may otherwise have
against the Charterer under the Charter. 

  

	8.3	Unless otherwise agreed, in the event of any upgrading, structural changes or expensive new equipment becoming necessary for the continued operation of the Vessel by
reason of new class requirements, compulsory legislation costing or requirements in employment contracts for the Vessel with oil companies shall be for Charterer’s account, and will, unless otherwise agreed, become Owner’s property at the
expiry of this Charter without any compensation. Should Owner accept to pay for such costs the Charter Hire shall be increased on mutually agreed commercial terms to reflect said costs paid by Owner. 

 

	8.4	The Charterer is required to establish and maintain financial security or responsibility in respect of oil or other pollution damage as required by any government,
including federal, state or municipal or other division or authority thereof, to enable the Vessel, without any delay, penalty or charge, lawfully to enter, remain at, or leave any port, place, territorial or contiguous waters of any country, state
or municipality in performance of this Charter. This obligation shall apply whether or not such requirements have been lawfully imposed by such government or division or authority thereof. The Charterer shall make and maintain all arrangements by
bond or otherwise as may be necessary to satisfy such requirements at the Charterer’s sole expense and the Charterer shall indemnify the Owner against all consequences whatsoever (including loss of time) for any failure or inability to do so.

  

	8.5	 The Charterer shall at its own expense and by his own procurement man, victual, navigate, operate, supply, fuel and repair the Vessel whenever required
during the 

  

					
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Charter Period and it shall pay all charges and expenses of every kind and nature whatsoever incidental to its use and operation of the Vessel under this Charter, including any foreign general
municipality and/or state taxes. The master, officers and crew of the Vessel shall be the servants of the Charterer for all purposes whatsoever, even if for any reason appointed by the Owner. 

 

	8.6	Charterer shall comply with the laws and regulations regarding officers and crew in force in the country of the Vessel’s flag or operation or any other applicable
law. 

  

	8.7	During the Charter Period, the Vessel shall retain her present name and shall remain under and fly the flag of Norway or Panama, unless otherwise agreed between the
parties of this Charter. However, the Charterer shall have the liberty to paint the Vessel in its own colours, install and display its funnel insignia and fly his own house flag. Painting and re-painting, instalment and re-instalment shall be for
the Charterer’s account and time used thereby shall count as time on hire. 

  

	8.8	The Charterer shall make no significant structural changes in the Vessel or significant changes in the equipment, documentation or spare parts thereof without in each
instance first securing the Owner’s approval thereof. If the Owner so agree, the Charterer shall, if the Owner so require at the time of approving said changes, restore the Vessel to its former condition before the expiry / termination of the
Charter Period. 

  

	8.9	The Owner has so agreed to the modifications to the Vessel and/or supply of additional equipment installed on the Vessel to enable the Assignee to perform the services
under the Assignment Contract in eastern Canada. 

  

	8.10	The Charterer shall have the unrestricted use of all outfit, equipment, and appliances on board the Vessel at the time of delivery, provided the same or their
substantial equivalent shall be returned to the Owner on redelivery in the same good order and condition as when received, ordinary wear and tear excepted. The Charterer shall from time to time during the Charter Period replace such items of
equipment as shall be so damaged or worn out as to be unfit for use. The Charterer shall procure that all repairs to or replacement of any damaged, worn out or lost parts or equipment are effected in such manner (both with respect to workmanship and
quality of materials) as not to diminish the value of the Vessel. The Charterer has the right to fit additional equipment at their expense and risk but the Charterer shall remove such equipment at the end of the Charter Period if requested by the
Owner. 

  

	8.11	 Any third party equipment including radio equipment on hire on the Vessel at the time of delivery shall be kept and maintained by the Charterer and the
Charterer shall assume the obligations and liabilities of the Owner under any lease contracts in 

  

					
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connection therewith and shall reimburse the Owner for all expenses incurred in connection therewith, also for any new equipment required in order to comply with radio regulations.

  

	8.12	The Charterer shall dry-dock the Vessel and clean and paint her underwater parts whenever required to maintain the Vessel’s class. 

 

	9	CHARTER HIRE 

  

	9.1	The Charterer shall pay to the Owner for the hire of the Vessel, the net bareboat hire (“Charter Hire”) of; 

 

	 	a.	US$ 305,500 per day for the first twelve month period from commencement of Charterer’s earning of ordinary day rate from Esso under the Esso Drilling
Contract. 

  

	 	b.	US$ 332,000 per day after period under a) has come to an end until expiry or termination of this Charter. 

 

	 	c.	For the duration of this charter under the Assignment Contract, the Charter Hire will be modified to US$ 278,600 from commencement of Charterer’s earning ordinary
dayrate upon arrival in Canada. 

  

	 	d.	Esso has agreed to compensate the Assignee for moving the Vessel from Vietnam to Canada, for the costs of modification to the Vessel preparing it to work in Canada, and
for the costs to supply additional equipment on the Vessel. This compensation is referred to as the “mobilization fee” in the Assignment. The net financial result of the mobilisation fee (after deduction of all relevant costs) will be
split by 90% to Charterer and 10% to the Assignee. The net mobilization fee received by Charterer will then further be split by 90% to Owner and 10% retained by Charterer. 

The reduced rate Charter Hire under a) takes into consideration anticipated lower economic utilisation of the Vessel due to required
fine-tuning of the Vessel’s equipment to get the Vessel fully operational. 
  

	9.2	 Charterer agrees to be liable for all taxes or withholdings of any nature whatsoever, together with any penalties or interest thereon (herein
collectively called “Taxes”) imposed upon, withheld from or assessed against Owner or Charterer by any national or local government or taxing authority of any country upon or with respect to or measured by income or earnings of the
Vessel or the Charter Hire. Charterer shall not 

  

					
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be liable for any Taxes which (i) are imposed by the government of the country under which the Owner is organized or any political subdivision thereof and are imposed upon or in respect of
or measured by the Charter Hire or (ii) shall result wholly from action taken by the Owner not related to the transactions contemplated hereby or (iii) are imposed for any period, or with respect to any act, occurring after expiration or
earlier termination of this Charter. Upon request of Owner, Charterer agrees to cooperate reasonably with Owner to minimize taxes to be borne by Owner, and, upon request of Charterer, Owner agrees to cooperate reasonably with Charterer to minimize
Taxes to be borne by Charterer. 

 Charterer will deduct any applicable withholding tax impost during international
operations for any compensation paid under this Charter. Accordingly Charterer shall provide appropriate receipts for any such withholding tax. 
  

	9.3	Charter Hire shall be payable monthly in arrears in United States Dollars and shall be paid immediately following receipt by the Charterer of charter hire under the
Esso Drilling Contract and in any event within five (5) calendar days after expiration of the month for which the Charter Hire is applicable. Unless otherwise agreed between the parties, Charter Hire shall be paid by means of wire transfer of
funds in accordance with instructions provided by Owner. 

  

	9.4	Payment of Charter Hire in respect of the day of delivery and the day of redelivery, if less than a full day, shall be calculated proportionally according to the number
of hours, rounded to the nearest quarter-hour, for that particular day. 

  

	9.5	Should the Vessel be lost or missing, Charter Hire shall cease from the date and time the Vessel was lost or last heard from. 

 

	9.6	Invoices which remain unpaid after the due date shall bear interest at three (3) months USD LIBOR rate, plus two per cent (2%) per annum.

  

	10	MORTGAGE ETC. 

  

	a)	The Owner has entered into a Senior Secured Revolving Credit Facility Agreement dated 29 May 2008, and as later amended, with Nordea Bank Norge ASA as agent (the
“Loan Agreement”). As an element in the security package for the Loan Agreement the Vessel will be mortgaged in favour of Nordea Bank Norge ASA. 

 

	b)	 The Owner shall have the right to assign to any and all of its banks (the “Mortgagee(s)”) any and all of the rights, benefits and
interest of the Owner in and 

  

					
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to this Charter, including but not limited to assignments of earnings and insurances and assignment of this Charter and any guarantees (if any) granted in favour of the Owner pursuant hereto.

  

	c)	Owner is entitled to register mortgages on the Vessel when required following Owner’s financing arrangements under the Loan Agreement or any refinancing thereof.

  

	d)	The Charterer confirms and agrees that it will comply with any covenants and undertakings related to the Vessel or her operations as set out in the Loan Agreement (or
any refinancing thereof). 

  

	11	INSURANCE, REPAIRS AND CLASSIFICATION 

  

	11.1	During the Charter Period the Vessel shall be kept insured by the Charterer at its expense against marine and war risks under the form of policy or policies agreed
between Owner and Charterer at least two weeks prior to commencement of this Charter. Any amendment in said insurance policies during the Charter Period is subject to Charterer’s reasonable prior approval (any requirements from the Mortgagee(s)
to be deemed reasonable). The Owner and/or the insurers shall not have any right of recovery or subrogation against the Charterer on account of loss of or any damage to the Vessel or her machinery or equipment covered by such insurance, or on
account of payments made to discharge claims against or liabilities of the Vessel or the Owner covered by such insurance. All insurance policies shall be in the joint names of the Owner and the Charterer as their interests may appear. The Charterer
shall procure that the Mortgagee(s) are noted as first priority mortgagee(s) in the insurance contracts, together with the confirmation from the underwriters to the Mortgagee(s) that the notice of assignment with regards to the insurances and the
loss payable clauses are noted in the insurance contracts and that standard letters of undertaking are executed by the insurers. 

  

	11.2	During the Charter Period the Vessel shall be kept insured by the Charterer against Protection and Indemnity risks in such form and with such limits as the Owner shall
approve which approval shall not be unreasonably withheld (any requirements from the Mortgagee(s) to be deemed reasonable). 

  

	11.3.	If the Charterer fails to arrange and maintain any of the insurances provided for under the provisions of this Section 11 in the manner described herein, the Owner
shall notify the Charterer whereupon the Charterer shall rectify the position within three calendar days, failing which the Owner shall have the right to withdraw the Vessel from the service under this Charter without prejudice to any claim the
Owner may otherwise have against the Charterer. 

  

					
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	11.4	In the event that any act or negligence of the Charterer shall vitiate any of the insurances herein provided, the Charterer shall pay to the Owner all corresponding
losses and indemnify the Owner against all claims and demands which would otherwise have been covered by such insurances. 

  

	11.5	The Charterer shall, subject to the approval of the Owner or Owner’s underwriters, carry out all insured repairs, and the Charterer shall undertake settlement of
all relevant expenses in connection with such repairs as well as all incurred charges, expenses and liabilities, to the extent covered under the insurance provisions of this Charter. The Charterer shall be reimbursed through the Owner’s
underwriters for such expenditures upon presentation of adequate claims accounts. 

  

	11.6	The Charterer shall remain responsible for and shall carry out repairs and settlement of costs and expenses incurred thereby in respect of all other repairs not covered
by the insurances and/or not exceeding any deductibles provided for in the insurance policies. 

  

	11.7	Should the Vessel become an actual, constructive, compromised or agreed total loss under the insurances required under Section 11.1 above, all insurance payments
for such loss shall be paid to the Owner, who shall distribute the funds between himself and the Charterer according to their respective interests. 

  

	11.8	If the Vessel becomes an actual, constructive, compromised or agreed total loss under the insurances arranged by the Charterer in accordance with Section 11.1
above, this Charter shall terminate as of the date of such loss. 

  

	11.9	The Charterer shall upon the request of the Owner, promptly execute such documents as may be required to enable the Owner to abandon the Vessel and leave her at the
insurers disposal and claim a constructive total loss. 

  

					
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	11.10	For the purpose of insurance cover against marine and war risks under the provisions of Section 11.1 above, the total insured value (including hull interest) of
the Vessel upon commencement of this Charter has been agreed to be at least equal to the higher of the market value of the Vessel and USD 850 million (and so that the value of the hull and machinery insurances shall cover at least 80% of the
market value of the Vessel). Such insured value may be revised upon mutual agreement of the parties. 

  

	12	REDELIVERY 

  

	12.1	The Charterer shall at the expiry of the Charter Period redeliver the Vessel at a safe and ice-free port or an offshore location as agreed upon between the parties in
writing. The Charterer shall give the Owner not less than 30 calendar days preliminary and not less than 14 calendar days definite notice of expected date, range of ports of redelivery or port or offshore location of redelivery. Any changes
thereafter in the Vessel’s position shall be notified immediately to the Owner. 

  

	12.2	Should the Vessel be engaged on a drilling contract by which the Charter Period may be exceeded, the Charterer shall have the right to use the Vessel to complete such
drilling contract under the same terms and conditions as agreed herein. 

  

	12.3	The Vessel shall be redelivered to the Owner in the same or as good structure, state, condition and class as that in which she was delivered, fair wear and tear not
affecting class excepted. 

  

	12.4	The Vessel shall upon redelivery have her survey cycles up to date and the class certificates valid (free of overdue recommendations and conditions of class).

  

	12.5	Except as otherwise provided for herein, Charterer shall be responsible for ensuring that any equipment owned by any third party is removed from the Vessel prior to her
redelivery and that any contracts relating to any such equipment onboard the Vessel shall be terminated. If any structural changes are necessary for or arise out of such removal, the Vessel shall, unless otherwise agreed between the parties, be
restored to her original condition at Charterer’s expense. 

  

	13	NON-LIEN AND INDEMNITY 

  

	13.1	The Charterer will not suffer, nor permit to be continued, any lien or encumbrance incurred by him or his agents, which might have priority over the title and interest
of the Owner or any Mortgagee(s) in the Vessel. 

  

					
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	13.2	Upon written notice from the Owner the Charterer further agrees to fasten to the Vessel in a conspicuous place and to keep so fastened during the Charter Period a
notice reading as follows: 

 “This Vessel is owned by Seadrill China Operations Ltd, Bermuda, and is
subject to a First Naval Mortgage dated 03.09.2010 , as it may be additioned or modified from time to time, in favour of Nordea Bank Norge ASA. 
 Under the terms of the mortgage, neither the mortgagor, as owner, any charterer, the Master of the Vessel nor any other person has any right, power or authority to create, incur or permit to be placed
or imposed or continued upon this Vessel any lien whatsoever other than for salvage, crew’s wages, stevedores’ and other wharfers’ compensation and contributions to general average. 

The Vessel is under charter to Seadrill Offshore AS and further sub-chartered to Seadrill Canada Ltd and by the terms of the Charter
Party neither the Charterer nor the Master have any right, power or authority to create, incur or permit to be imposed on the Vessel any lien whatsoever.” 
  

	13.3	The Charterer shall indemnify and hold the Owner harmless against any encumbrances or lien of whatsoever nature arising upon the Vessel during the Charter Period while
she is under the control of the Charterer, and against any claims against the Owner arising out of or in relation to the operation of the Vessel by the Charterer. Should the Vessel be arrested by reason of claims or liens arising out of her
operation hereunder by the Charterer, the Charterer shall at his own expense take all reasonable steps to secure that the Vessel immediately is released from such claim or lien and at its own expense provide any bail required to secure release of
the Vessel. 

  

	13.4	 The Charterer hereby agrees to protect, defend, indemnify and save harmless Owner from and against any and all claims and costs (including reasonable
attorney fees and expenses), demands and causes of action on account of any property damage or loss, or personal injury or death suffered by Charterer, any party under contract to Charterer, their respective employees, subcontractors and invitees or
any third party. The indemnity obligations and/or liabilities assumed by Charterer under the terms of this Charter shall be without regard to the cause or causes thereof, the unseaworthiness of the Vessel, strict liability or the negligence of any
party or parties, whether such negligence is sole, joint or concurrent, active or passive, 

  

					
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subject only to gross negligence and wilful misconduct. Furthermore, Charterer’s indemnity to Owner shall be without regard to and without any right to contribution from any insurance
maintained by Owner under this Charter. Charterer’s indemnity provided above shall survive redelivery of the Vessel. 

  

	13.5	N/A 

  

	13.6	A party’s assumption of liability or extension of an indemnity to another party under this Charter shall include the right of the party providing such indemnity to
control the handling of any such claim, provided that the indemnified party is kept reasonably informed of the handling of such claim. However, notwithstanding the foregoing, the party covered by or receiving the benefits of the indemnity shall have
the right, at its own expense, to jointly participate in the claims proceeding and have legal representation of his own selection. 

  

					
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	14	SALVAGE 

 All salvage and
towage performed by the Vessel shall be for the Charterer’s benefit and the cost of repairing damage occasioned thereby shall be borne by the Charterer. 
  

	15	WRECK REMOVAL 

 In the
event of the Vessel becoming a wreck or obstruction to navigation the Charterer shall indemnify the Owner against any sums whatsoever which the Owner shall become liable to pay and shall pay in consequence of the Vessel becoming a wreck or
obstruction to navigation. 
  

	16	GENERAL AVERAGE 

 General
Average, if any, shall be adjusted according to the York-Antwerpen Rules 1974 or any subsequent modification thereof current at the time of the casualty. The Charter Hire shall not contribute to General Average. 

 

	17	ASSIGNMENT AND SUB-DEMISE 

The Charterer shall neither assign this Charter nor sub-demise the Vessel except with the prior consent in writing of the Owner which
shall not be unreasonably withheld and subject to such terms and conditions as the Owner shall approve. 
 The Owner has approved
the sub-charter of the Vessel to Seadrill Canada Ltd. for the duration of the Assignment Contract. 
  

	18	REQUISITION/ACQUISITION 

  

	18.1	In the event of the Requisition for Hire of the Vessel by any governmental or other competent authority (hereinafter referred to as “Requisition for
Hire”) irrespective of the date during the Charter Period when Requisition for Hire may occur and irrespective of the length thereof and whether or not it be for an indefinite or a limited period of time, and irrespective of whether it may
or will remain in force for the remainder of the Charter Period, this Charter shall not be deemed thereby or thereupon to be frustrated or otherwise terminated and the Charterer shall continue to pay the stipulated Charter Hire in the manner
provided by this Charter until the time when the Charter would have terminated pursuant to any of the provisions hereof always provided however that in the event of Requisition for Hire any requisition hire or compensation received or receivable by
the Owner shall be payable to the Charterer during the remainder of the Charter Period or the period of the Requisition for Hire whichever be the shorter. The Charter Hire shall be payable to the Owner from the same time as the requisition hire is
payable to the Charterer. 

  

					
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	18.2	In the event of the Owner being deprived of its ownership in the Vessel by any compulsory acquisition of the Vessel or requisition for title by any governmental or
other competent authority (hereinafter referred to as “Compulsory Acquisition”), then, irrespective of the date during the Charter Period when Compulsory Acquisition may occur, this Charter shall be deemed terminated as of the date
of such Compulsory Acquisition. In such event Charter Hire shall be considered as earned and to be paid up to the date and time of such Compulsory Acquisition. 

 

	19	WAR 

  

	19.1	The Vessel shall, except with the prior written consent of the Owner, not be ordered nor continue to any place or on any voyage nor be used on any service which will
bring her within a zone which is dangerous as the result of any actual or threatened act of war, war, hostilities, warlike operations, acts of piracy or of hostility or malicious damage against the Vessel or any other vessel or her cargo by any
person, body or state whatsoever, revolution, civil war, civil commotion or the operation of international law, nor be exposed in any way to commotion or the operation of international law, nor be exposed in any way to any risks or penalties or any
other interference of any kind whatsoever by the belligerent or fighting powers or parties or by any government or ruler. 

  

	19.2	The Vessel shall have the liberty to comply with any orders or directions as to departure, arrival, routes, ports of call, stoppages, destination, delivery or in any
other way whatsoever given by the government of the nation under whose flag the Vessel sails or any other government or any other person (or body) acting or purporting to act with the authority of such government or by any committee or person
having, under the terms of the war risks insurance on the Vessel, the right to give any such orders or directions. 

  

	20	LAW AND ARBITRATION 

  

	20.1	This Charter shall be governed by and construed in accordance with the laws of the Kingdom of Norway. 

 

	20.2	Each of the parties hereto agrees that all disputes arising out of or in connection with this Charter or any further agreements, contract or contracts resulting from or
executed in pursuance thereof shall be submitted to arbitration in Stavanger by three arbitrators, to be appointed jointly by the parties or failing agreement on such appointment by the Northern Shipowners’ Defence Club at the request of any
party. 

  

					
		 	17 of 19	 	

 
 18
 
  

 The arbitrators shall apply the rules of the Norwegian Arbitration Act of 2004 and shall
be entitled to give interlocutory orders and/or give rulings on an agreed set of facts and/or preliminary point of law at the request of any party if they think fit to do so. 

 

	21	NOTICES 

 Notices required
to be given under this Charter shall be in writing to the following addresses: 
  

			
	Charterer:	  	Seadrill Offshore AS,
		  	Lokkeveien 107,
		  	N-4007 Stavanger, Norway
		  	Telephone: +47 51 30 90 00
		  	Telefax: + 47 51 30 96 88
		  	Att.: General Manager
		
	Owner:	  	Seadrill China Operations Ltd.
		  	Par-la-Ville Place,
		  	14 Par-la-Ville Road,
		  	Hamilton HM08,
		  	BermudaAtt.: General Manager

 Any notification under this Charter shall be well and sufficiently served on the party concerned when
received by telefax or international courier at the above address, or the latest address as has been notified the other party in accordance with this Section. 
 ***************** 
 Stavanger, 05.10.2012 

 

					
	Seadrill China Operations Ltd	 		  	Seadrill Offshore AS
			
	     /s/ Erica Granberg
	 		  	     /s/ Erica Granberg

	Erica Granberg	 		  	Erica Granberg
	Attorney-in-fact	 		  	Attorney-in-fact

  

					
		 	18 of 19	 	

 
 19
 
  

 Attachment A. 

 

			
	Name of Vessel:	  	West Aquarius
		
	Previous name:	  	N/A
		
	IMO No:	  	8768775
		
	Radio Call Signals:	  	3EOK7
		
	Type:	  	Semi-Submersible
		
	Built at:	  	Daewoo
		
	Hull number:	  	3020
		
	Built year:	  	2009
		
	Guarantee from yard:	  	12 months from delivery
		
	Flag state:	  	Panama
		
	Gross tonnage:	  	40,731
		
	Class:	  	DNV
		
	 Hull insurance value in million USD
 (incl. Hull Interest coverage):
	  	850

  

					
		 	19 of 19Second Amendment to the Fourth Amended and Restated Credit Agreement

 Exhibit 10.1 
 EXECUTION VERSION 
 SECOND AMENDMENT TO FOURTH AMENDED 

AND RESTATED CREDIT AGREEMENT 
 THIS SECOND AMENDMENT TO FOURTH AMENDED AND RESTATED CREDIT AGREEMENT (herein called this “Amendment”), dated effective as of October 12, 2012 (the “Effective
Date”), is entered into by and among W&T OFFSHORE, INC., a Texas corporation, as the borrower (the “Borrower”), the various financial institutions parties hereto, as lenders (collectively, the
“Lenders”), TORONTO DOMINION (TEXAS) LLC, individually and as agent (in such capacity together with any successors thereto, the “Agent”) for the Lenders, and the issuers of letters of credit parties hereto,
as issuers (collectively, the “Issuers”). Terms defined in the Credit Agreement (as hereinafter defined) are used herein with the same meanings as given them therein, unless the context otherwise requires. 

W I T N E S S E T H 
 WHEREAS, the Borrower, the Lenders, the Agent, the Issuers and the other parties thereto have heretofore executed that certain Fourth Amended and Restated Credit Agreement, dated as of
May 5, 2011 (as may be amended, supplemented, restated or otherwise modified from time to time, including pursuant to that certain Waiver to Fourth Amended and Restated Credit Agreement, dated as of July 28, 2011, and the First
Amendment to Fourth Amended and Restated Credit Agreement, dated as of May 7, 2012, the “Credit Agreement”); and 
 WHEREAS, the parties hereto hereby further intend to amend certain provisions of the Credit Agreement, in each case on the terms and conditions set forth herein. 

NOW, THEREFORE, in consideration of the premises and the mutual agreements herein contained, the undersigned hereby agree as
follows: 
 1. Amendments to Credit Agreement. 

(a) Amendment to Section 1.1 of the Credit Agreement. Section 1.1 of the Credit Agreement is hereby
amended by inserting the phrase “, subject, however, to Section 10.14(b)” immediately prior to the period ending the defined terms “Collateral” and “Mortgaged Properties.” 

(b) Amendment to Section 1.1 of the Credit Agreement. Section 1.1 of the Credit Agreement is hereby
amended by inserting the following defined terms in alphabetical order: 
 “Building” has the meaning assigned
to such term in the applicable Flood Insurance Regulation; provided that, in no event shall the term “Building” include platforms and other structures located in state or federal waters offshore of the United States or other areas
that are not subject to Flood Insurance Regulation. 

 “Mobile Home” has the meaning assigned to the term “Manufactured
Home” and “Mobile Home” in the applicable Flood Insurance Regulation; provided that, in no event shall the term “Mobile Home” include platforms and other structures located in state or federal waters offshore of the
United States or other areas that are not subject to Flood Insurance Regulation. 
 (c) Amendment to
Section 7.1 of the Credit Agreement. Clause (h) of Section 7.1 of the Credit Agreement is hereby amended and restated in its entirety with the following new clause (h): 

“provided that (i) no Default is existing or shall occur as a result of the incurrence thereof and (ii) Borrower is in pro
forma compliance with the covenants under this Agreement after the incurrence thereof, Indebtedness (including the Existing Senior Notes) incurred under senior unsecured notes and related guarantees thereof (collectively, the
“Bonds”) issued pursuant to one or more indentures or note purchase agreements (each an “Indenture”); provided, that such Indebtedness (A) is unsecured, (B) does not have a maturity date that is earlier
than the Maturity Date, and (C) has covenants not materially more onerous to the Restricted Persons than those contained in this Agreement; and provided further that, (x) the Borrowing Base shall automatically and simultaneously with the
incurrence (other than any renewal, extension, refinancing, restatement, replacement or other modification of Indenture to the extent that such renewal, extension, refinancing, restatement, replacement or other modification does not increase the
principal amount of Bonds) of such Indebtedness reduce, without any further action, by an amount equal to 25% of the amount of such incurred Indebtedness (including, with respect to unsecured guarantees, 25% of the amount of the underlying potential
Liability) in each case until such time as the Borrowing Base is redetermined or otherwise adjusted pursuant to the terms of this Agreement and (y) the Borrower shall deliver notice to the Administrative Agent of the incurrence of such
Indebtedness or entry into such guarantee, as the case may be, within five (5) Business Days of incurring such Indebtedness or entering into such guarantee; and” 

(d) Amendment to Section 10.14 of the Credit Agreement. Section 10.14 of the Credit Agreement is hereby
amended by making the existing Section 10.14 into clause (a) of Section 10.14 and inserting immediately thereafter the following new subsection (b): 
 “(b) Notwithstanding any provision in this Agreement or any other Loan Document to the contrary, in no event is any Building or Mobile Home included in the definition of “Mortgaged
Properties” or the definition of “Collateral” and no Building or Mobile Home is hereby encumbered by any security interest or lien granted pursuant to this Agreement or any other Loan Document. As used herein, “Flood

  

					
		  	2	  	 -Second Amendment to
 Credit Agreement-

 
Insurance Regulations” means (a) the National Flood Insurance Act of 1968 as now or hereafter in effect or any successor statute thereto, (b) the Flood Disaster Protection Act of
1973 as now or hereafter in effect or any successor statue thereto, (c) the National Flood Insurance Reform Act of 1994 (amending 42 USC 4001, et seq.), as the same may be amended or recodified from time to time and (d) the Flood Insurance
Reform Act of 2004 and any regulations promulgated thereunder.” 
 2. Representations and Warranties. The Borrower
and each Restricted Person (if any) hereby represents and warrants that after giving effect hereto: 
 (a) the
representations and warranties of the Borrower and such Restricted Person (if any) contained in the Loan Documents are true and correct in all material respects on and as of the Effective Date, other than those representations and warranties that
expressly relate solely to a specific earlier date, which shall remain correct in all material respects as of such earlier date; 
 (b) the execution, delivery and performance by the Borrower and such Restricted Person (if any) of this Amendment are within their corporate or limited liability powers, have been duly authorized by all
necessary action, require, in respect of any of them, no action by or in respect of, or filing with, any governmental authority which has not been performed or obtained and do not contravene, or constitute a default under, any provision of Law or
regulation or the articles of incorporation or the bylaws of any of them or any agreement, judgment, injunction, order, decree or other instrument binding upon the Borrower or such Restricted Person (if any) or result in the creation or imposition
of any Lien on any asset of any of them except as contemplated by the Loan Documents other than, in each case, as would not reasonably be expected to cause a Material Adverse Change; 

(c) the execution, delivery and performance by the Borrower and such Restricted Person of this Amendment constitutes the
legal, valid and binding obligation of each of them enforceable against them in accordance with its terms except as such enforcement may be limited by bankruptcy, insolvency or similar Laws of general application relating to enforcement of
creditors’ rights; and 
 (d) no Default or Event of Default has occurred and is continuing. 

3. Conditions to Effectiveness. This Amendment shall be deemed effective (subject to the conditions herein contained) as of the
Effective Date upon receipt by the Agent of counterparts hereof duly executed by the Borrower, the Agent, the Issuers and Majority Lenders. 
 4. Ratification; Loan Document. This Amendment shall be deemed to be an amendment to the Credit Agreement, and the Credit Agreement, as hereby amended, is hereby ratified, approved and confirmed in
each and every respect. The Borrower and each other Restricted Person (if any) hereby ratifies, approves and confirms in every respect all 

  

					
		  	3	  	 -Second Amendment to
 Credit Agreement-

 
the terms, provisions, conditions and obligations of the Loan Documents (including, without limitation, all Security Documents) to which it is a party. All references to the Credit Agreement in
any Loan Document or in any other document, instrument, agreement or writing shall hereafter be deemed to refer to the Credit Agreement as hereby amended. This Amendment is a Loan Document. 

5. Costs And Expenses. As provided in Section 10.4 of the Credit Agreement, the Borrower agrees to reimburse Agent for all
reasonable costs and expenses incurred by or on behalf of Agent (including attorneys’ fees, consultants’ fees and engineering fees, travel costs and miscellaneous expenses) in connection with this Amendment and any other agreements,
documents, instruments, releases, terminations or other collateral instruments delivered by the Agent in connection with this Amendment. 
 6. GOVERNING LAW. THIS AMENDMENT SHALL BE DEEMED A CONTRACT AND INSTRUMENT MADE UNDER THE LAWS OF THE STATE OF NEW YORK AND SHALL BE CONSTRUED AND ENFORCED IN ACCORDANCE WITH AND GOVERNED
BY THE LAWS OF THE STATE OF NEW YORK AND THE LAWS OF THE UNITED STATES OF AMERICA, WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAW. 
 7. Severability. Any provision of this Amendment that is prohibited or unenforceable in any jurisdiction shall, as to such provision and such jurisdiction, be ineffective to the extent of such
prohibition or unenforceability without invalidating the remaining provisions of this Amendment or affecting the validity or enforceability of such provision in any other jurisdiction. 

8. Counterparts. This Amendment may be executed in any number of counterparts, all of which taken together shall constitute one
and the same instrument, and any party hereto may execute this Amendment by signing one or more counterparts. Any signature hereto delivered by a party by facsimile or electronic transmission shall be deemed to be an original signature hereto.

 9. Successors and Assigns. This Amendment shall be binding upon the Borrower and its successors and permitted assigns
and shall inure, together with all rights and remedies of each Lender Party hereunder, to the benefit of each Lender Party and its successors, transferees and assigns. 
 (The remainder of this page is intentionally left blank.) 

  

					
		  	4	  	 -Second Amendment to
 Credit Agreement-

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by
their respective officers thereunto duly authorized as of the day and year first above written. 
  

			
	 BORROWER:

	
	W&T OFFSHORE, INC.
		
	By:	 	 /s/ John D. Gibbons

	Name:	 	John. D. Gibbons
	Title:	 	Senior Vice President and Chief Financial Officer

  

					
		  	S-1	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 TORONTO DOMINION (TEXAS) LLC,

	 as Agent and Lender

		
	By:	 	 /s/ Bebi Yasin

	Name:	 	Bebi Yasin
	Title:	 	Authorized Signatory

  

					
		  	S-2	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	THE TORONTO-DOMINION BANK,
	as Issuer
		
	By:	 	 /s/ Robyn Zeller

	Name:	 	Robyn Zeller
	Title:	 	Vice President

  

					
		  	S-3	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	IBERIABANK.
		
	By:	 	/s/ Moni Collins
		 	  

	Name:	 	Moni Collins
	Title:	 	Vice President

  

					
		  	S-4	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 BANK OF SCOTLAND PLC,

as Lender

		
	By:	 	/s/ Stephen Giacolone
		 	  

	Name:	 	Stephen Giacolone
	Title:	 	Assistant Vice President

  

					
		  	S-5	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	NATIXIS,
	as an Issuer and Lender
		
	By:	 	/s/ Timothy L. Polvado
		 	  

	Name:	 	Timothy L. Polvado
	Title:	 	Senior Managing Director
		
	By:	 	/s/ Louis P. Laville, III
		 	  

	Name:	 	Louis P. Laville, III
	Title:	 	Managing Director

  

					
		  	S-6	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 GE BUSINESS FINANCIAL SERVICES, INC.
 f/k/a MERRILL LYNCH BUSINESS FINANCIAL SERVICES, INC.,
 as Lender

		
	By:	 	/s/ Carl Peterson
		 	  

	Name:	 	Carl Peterson
	Title:	 	Authorized Signatory

  

					
		  	S-7	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 AMEGY BANK NATIONAL ASSOCIATION,
 as Lender

		
	By:	 	/s/ Charles Patterson
		 	  

	Name:	 	Charles Patterson
	Title:	 	Senior Vice President

  

					
		  	S-8	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 WELLS FARGO BANK, N.A.,
 as an Issuer and Lender

		
	By:	 	/s/ Rick Hawthorne
		 	  

	Name:	 	Rick Hawthorne
	Title:	 	Director

  

					
		  	S-9	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 ING CAPITAL LLC,

as Lender

		
	By:	 	/s/ Charles Hall
		 	  

	Name:	 	Charles Hall
	Title:	 	Managing Director

  

					
		  	S-10	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 MORGAN STANLEY BANK, N.A.,
 as Lender

		
	By:	 	/s/ William Jones
		 	  

	Name:	 	William Jones
	Title:	 	Authorized Signatory

  

					
		  	S-11	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 THE BANK OF NOVA SCOTIA,

as Lender

		
	By:	 	/s/ Terry Donovan
	Name: Terry Donovan
	Title: Managing Director

  

					
		  	S-12	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 CITIBANK, N.A.,

as Lender

		
	By:	 	/s/ John Miller
	Name: John Miller
	Title: Vice President

  

					
		  	S-13	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 REGIONS BANK,

as Lender

		
	By:	 	/s/ Daniel G. Steele
	Name: Daniel G. Steele
	Title: Senior Vice President

  

					
		  	S-14	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 ABN AMRO CAPITAL USA, LLC,

as Lender

		
	By:	 	/s/ Elizabeth Johnson
	Name: Elizabeth Johnson
	Title: Vice President
		
	By:	 	/s/ Darrell Holley
	Name: Darrell Holley
	Title: Managing Director

  

					
		  	S-15	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 CAPITAL ONE, N.A.,

as Lender

		
	By:	 	/s/ Nancy M. Mak
	Name: Nancy M. Mak
	Title: Senior Vice President

  

					
		  	S-16	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 GOLDMAN SACHS BANK, USA,

as Lender

		
	By:	 	/s/ Michelle Latzoni
	Name: Michelle Latzoni
	Title: Authorized Signatory

  

					
		  	S-18	  	 -Signature Page to
 Second Amendment to Credit Agreement- 

 
			
	 CADENCE BANK, N.A.,

as Lender

		
	By:	 	/s/ Eric Broussard
	Name: Eric Broussard
	Title: Senior Vice President

  

					
		  	S-19	  	 -Signature Page to
 Second Amendment to Credit Agreement-

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