Document:

Unassociated Document

     

    REGISTRATION
      RIGHTS AGREEMENT

     

    THIS
      REGISTRATION RIGHTS AGREEMENT (this “Agreement”)
      is made and entered into as of June 22, 2007, by and among DCP Midstream
      Partners, LP, a Delaware limited partnership (the “Partnership”),
      and the Purchasers listed on the signature pages to this Agreement (each, a
      “Purchaser”
      and collectively, the “Purchasers”).

     

    WHEREAS,
      this Agreement is made in connection with the Closing of the issuance and sale
      of the Purchased Units pursuant to the Common Unit Purchase Agreement, dated
      as
      of June 19, 2007, by and among the Partnership and the Purchasers (the
“Purchase
      Agreement”);
      

     

    WHEREAS,
      the Partnership has agreed to provide the registration and other rights set
      forth in this Agreement for the benefit of the Purchasers pursuant to the
      Purchase Agreement; and

     

    WHEREAS,
      it is a condition to the obligations of each Purchaser and the Partnership
      under
      the Purchase Agreement that this Agreement be executed and
      delivered.

     

    NOW
      THEREFORE, in consideration of the mutual covenants and agreements set forth
      herein and for good and valuable consideration, the receipt and sufficiency
      of
      which is hereby acknowledged by each party hereto, the parties hereby agree
      as
      follows:

     

    DEFINITIONS

     

    Section
      1.01. Definitions.
      Capitalized terms used herein without definition shall have the meanings given
      to them in the Purchase Agreement. The terms set forth below are used herein
      as
      so defined:

     

    “Affiliate”
      means,
      with respect to a specified Person, any other Person, whether now in existence
      or hereafter created, directly or indirectly controlling, controlled by or
      under
      direct or indirect common control with such specified Person. For purposes
      of
      this definition, “control” (including, with correlative meanings, “controlling,”
“controlled by,” and “under common control with”) means the power to direct or
      cause the direction of the management and policies of such Person, directly
      or
      indirectly, whether through the ownership of voting securities, by contract
      or
      otherwise.

     

    “Agreement”
      has the meaning specified therefor in the introductory paragraph.

     

    “Commission”
means
      the United States Securities and Exchange Commission.

     

    “Common
      Units”
means
      the Common Units of the Partnership representing limited partner interests
      therein.

     

    “Effectiveness
      Period”
      has the meaning specified therefor in Section
      2.01(a)
      of this Agreement.

     

    “Holder”
      means the record holder of any Registrable Securities.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
       

    

    “Included
      Registrable Securities”
      has the meaning specified therefor in Section
      2.02(a)
      of this Agreement.

     

    “Liquidated
      Damages”
      has the meaning specified therefor in Section
      2.01(b)
      of this Agreement.

     

    “Liquidated
      Damages Multiplier”
      means the product of [the
      purchase price for the Common Units]
      times the number of Common Units purchased by such Purchaser.

     

    “Losses”
      has the meaning specified therefor in Section
      2.08(a)
      of this Agreement.

     

    “Managing
      Underwriter”
      means, with respect to any Underwritten Offering, the book-running lead manager
      of such Underwritten Offering.

     

    “NYSE”
      means The New York Stock Exchange, Inc.

     

    “Opt
      Out Notice”
      has the meaning specified therefor in Section
      2.02(a)
      of this Agreement.

     

    “Other
      Holders”
      has the meaning specified therefor in Section
      2.02(b)
      of this Agreement.

     

    “Person”
      means any
      individual, corporation, company, voluntary association, partnership, joint
      venture, trust, limited liability company, unincorporated organization or
      government or any agency, instrumentality or political subdivision thereof,
      or
      any other form of entity.

     

    “Purchase
      Agreement”
      has the meaning specified therefor in the Recitals of this
      Agreement.

     

    “Purchaser”
      and “Purchasers”
      have the meanings specified therefor in the introductory paragraph of this
      Agreement.

     

    “Registrable
      Securities”
      means: (i) the Common Units comprising the Purchased Units and (ii) any Common
      Units issued as Liquidated Damages pursuant to Section
      2.01
      of this Agreement, if any, all of which Registrable Securities are subject
      to
      the rights provided herein until such rights terminate pursuant to the
      provisions hereof.

     

    “Registration
      Expenses”
      has the meaning specified therefor in Section
      2.07(b)
      of this Agreement.

     

    “Selling
      Expenses”
      has the meaning specified therefor in Section
      2.07(b)
      of this Agreement.

     

    “Selling
      Holder”
      means a Holder who is selling Registrable Securities pursuant to a registration
      statement.

     

    “Shelf
      Registration Statement”
      means a registration statement under the Securities Act to permit the resale
      of
      the Registrable Securities from time to time, including as permitted by Rule
      415
      under the Securities Act (or any similar provision then in force under the
      Securities Act).

     

    
      
        
        

      

      
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    “Underwritten
      Offering”
      means an offering (including an offering pursuant to a Shelf Registration
      Statement) in which Common Units are sold to an underwriter on a firm commitment
      basis for reoffering to the public.

     

    Section
      1.02. Registrable
      Securities. Any Registrable Security will cease to be a Registrable Security
      when (a) a registration statement covering such Registrable Security has been
      declared effective by the Commission and such Registrable Security has been
      sold
      or disposed of pursuant to such effective registration statement; (b) such
      Registrable Security has been disposed of pursuant to any section of Rule 144
      (or any similar provision then in force under the Securities Act); (c) such
      Registrable Security can be disposed of pursuant to Rule 144(k) (or any similar
      provision then in force under the Securities Act) by the Holder, (d) such
      Registrable Security is held by the Partnership or one of its subsidiaries;
      (e)
      two years from the date on which the Shelf Registration Statement contemplated
      by Section 2.01 is declared effective by the Commission or (f) such Registrable
      Security has been sold in a private transaction in which the transferor’s rights
      under this Agreement are not assigned to the transferee of such
      securities.

     

    REGISTRATION
      RIGHTS

    Section
      2.01. Shelf
      Registration.

     

    (a). Deadline
      To Go Effective.
      As soon
      as practicable following the Closing, but in any event by the date that is
      the
      first to occur of (i) the date on which the Partnership files a shelf
      registration statement relating to the 2,380,952 Common Units to be issued
      and
      sold by the Partnership to Lehman Brothers MLP Opportunity Fund L.P. and Banc
      of
      America Capital Investors V, L.P. pursuant to that certain Purchase Agreement
      dated as of May 21, 2007 or (ii) 120 days from the Closing, the Partnership
      shall prepare and file a Shelf Registration Statement under the Securities
      Act
      with respect to all of the Registrable Securities. The Partnership shall use
      its
      commercially reasonable efforts to cause the Shelf Registration Statement to
      become effective no later than 210 days after the date of the Closing. The
      Partnership will use its commercially reasonable efforts to cause the Shelf
      Registration Statement filed pursuant to this Section
      2.01
      to be
      continuously effective under the Securities Act until the date on which all
      such
      Registrable Securities have ceased to be Registrable Securities (the
“Effectiveness
      Period”).
      The
      Shelf Registration Statement when declared effective (including any documents
      incorporated therein by reference) will comply as to form in all material
      respects with all applicable requirements of the Securities Act and the Exchange
      Act and will not contain an untrue statement of a material fact or omit to
      state
      a material fact required to be stated therein or necessary to make the
      statements therein not misleading.

     

    
      
        
        

      

      
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    (b). Failure
      To Go Effective.
      If the
      Shelf Registration Statement required by Section
      2.01
      is not
      declared effective within 210 days after Closing, then each Purchaser shall
      be
      entitled to a payment (with respect to the Purchased Units of each such
      Purchaser), as liquidated damages and not as a penalty, of 0.25% of the
      Liquidated Damages Multiplier per 30-day period for the first 60 days following
      the 210th day, increasing by an additional 0.25% of the Liquidated Damages
      Multiplier per 30-day period for each subsequent 60 days, up to a maximum of
      1.00% of the Liquidated Damages Multiplier per 30-day period (the “Liquidated
      Damages”).
      The Liquidated Damages payable pursuant to the immediately preceding sentence
      shall be
      payable
      within ten Business Days after the end of each such 30-day period. Any
      Liquidated Damages shall be paid to each Purchaser in immediately available
      funds; provided,
      however,
      if the
      Partnership certifies that it is unable to pay Liquidated Damages in cash
      because such payment would result in a breach under a credit facility or other
      debt instrument filed as exhibits to the SEC Documents, then the Partnership
      shall pay such Liquidated Damages using as much cash as permitted without
      breaching any such credit facility or other debt instrument and shall pay the
      balance of any such Liquidated Damages in kind in the form of the issuance
      of
      additional Common Units. Upon any issuance of Common Units as Liquidated
      Damages, the Partnership shall promptly prepare and file an amendment to the
      Shelf Registration Statement prior to its effectiveness adding such Common
      Units
      to such Shelf Registration Statement as additional Registrable Securities.
      The
      determination of the number of Common Units to be issued as Liquidated Damages
      shall be equal to the amount of Liquidated Damages divided by the average
      closing price of the Partnership’s Common Units on the NYSE for the ten trading
      days immediately preceding the date on which the Liquidated Damages payment
      is
      due. The payment of the Liquidated Damages to a Purchaser shall cease at such
      time as the Purchased Units of such Purchaser cease to be Registrable
      Securities. As soon as practicable following the date that the Shelf
      Registration Statement becomes effective, but in any event within three Business
      Days of such date, the Partnership shall provide the Purchasers with written
      notice of the effectiveness of the Shelf Registration Statement.

     

    (c). Waiver
      of Liquidated Damages.
      If the
      Partnership is unable to cause a Shelf Registration Statement to go effective
      within the 210 days as a result of an acquisition, merger, reorganization,
      disposition or other similar transaction, then the Partnership may request
      a
      waiver of the Liquidated Damages, and each Holder may individually
      grant or
      withhold its
      consent to such request in its reasonable discretion. 

     

    (d). Termination
      of Purchaser’s Rights.
      A
      Purchaser’s rights (and any transferee’s rights pursuant to Section
      2.10)
      under
      this Section
      2.01
      shall
      terminate upon the termination of the Effectiveness Period.

     

    (e). Delay
      Rights.
      Notwithstanding anything to the contrary contained herein, the Partnership
      may,
      upon written notice to any Selling Holder whose Registrable Securities are
      included in the Shelf Registration Statement, suspend such Selling Holder’s use
      of any prospectus which is a part of the Shelf Registration Statement (in which
      event the Selling Holder shall discontinue sales of the Registrable Securities
      pursuant to the Shelf Registration Statement) if (i) the Partnership is pursuing
      an acquisition, merger, reorganization, disposition or other similar transaction
      and the Partnership determines in good faith that the Partnership’s ability to
      pursue or consummate such a transaction would be materially adversely affected
      by any required disclosure of such transaction in the Shelf Registration
      Statement or (ii) the Partnership has experienced some other material non-public
      event, the disclosure of which at such time, in the good faith judgment of
      the
      Partnership, would materially adversely affect the Partnership; provided,
      however,
      in no
      event shall the Purchasers be suspended for a period that exceeds an aggregate
      of 30 days in any 90-day period or 90 days in any 365-day period, in each case,
      exclusive of days covered by any lock-up agreement executed by a Purchaser
      in
      connection with any Underwritten Offering. Upon disclosure of such information
      or the termination of the condition described above, the Partnership shall
      provide prompt notice to the Selling Holders whose Registrable Securities are
      included in the Shelf Registration Statement, and shall promptly terminate
      any
      suspension of sales it has put into effect and shall take such other actions
      to
      permit registered sales of Registrable Securities as contemplated in this
      Agreement.

     

    
      
        
        

      

      
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    (f). Additional
      Rights
      to Liquidated Damages.
      If (i)
      the Holders shall be prohibited from selling their Registrable Securities under
      the Shelf Registration Statement as a result of a suspension pursuant to
Section
      2.01(e)
      of this
      Agreement in excess of the periods permitted therein or (ii) the Shelf
      Registration Statement is filed and declared effective but, during the
      Effectiveness Period, shall thereafter cease to be effective or fail to be
      usable for its intended purpose without being succeeded by a post-effective
      amendment to the Shelf Registration Statement, a supplement to the prospectus
      or
      a report filed with the Commission pursuant to Sections 13(a), 13(c), 14 or
      l5(d) of the Exchange Act, then, until the suspension is lifted or a
      post-effective amendment, supplement or report is filed with the Commission,
      but
      not including any day on which a suspension is lifted or such amendment,
      supplement or report is filed and declared effective, if applicable, the
      Partnership shall owe the Holders an amount equal to the Liquidated Damages,
      following (x) the date on which the suspension period exceeded the permitted
      period under Section
      2.01(e)
      of this
      Agreement or (y) the day after the Shelf Registration Statement ceased to be
      effective or failed to be useable for its intended purposes, as liquidated
      damages and not as a penalty. For purposes of this Section
      2.01(f),
      a
      suspension shall be deemed lifted on the date that notice that the suspension
      has been lifted is delivered to the Holders pursuant to Section 3.01 of this
      Agreement. 

     

    Section
      2.02. Piggyback
      Rights. 

     

    (a). Participation.
      If at
      any time that is on or after 90 days after the date of the Closing the
      Partnership proposes to file (i) a prospectus supplement to an effective shelf
      registration statement, other than the Shelf Registration Statement contemplated
      by Section
      2.01,
      at a
      time at which the Shelf Registration Statement contemplated by Section 2.01
      has
      been declared effective by the Commission and remains so effective, or (ii)
      a
      registration statement, other than a shelf registration statement, in either
      case, for the sale of Common Units in an Underwritten Offering for its own
      account and/or another Person, then as soon as practicable but not less than
      three (3) Business Days prior to the filing of (x) any preliminary prospectus
      supplement to a prospectus relating to such Underwritten Offering pursuant
      to
      Rule 424(b) under the Securities Act, (y) the prospectus supplement to a
      prospectus relating to such Underwritten Offering pursuant to Rule 424(b) under
      the Securities Act (if no preliminary prospectus supplement is used) or (z)
      such
      registration statement, as the case may be, the Partnership shall give notice
      of
      such proposed Underwritten Offering to the Holders and such notice shall offer
      the Holders the opportunity to include in such Underwritten Offering such number
      of Registrable Securities (the “Included
      Registrable Securities”)
      as
      each such Holder may request in writing; provided,
      that
      each such Holder shall keep all information relating to such Underwritten
      Offering in confidence and shall not make use of, disseminate or in any way
      disclose any such information; provided,
      however,
      that if
      the Partnership has been advised by the Managing Underwriter that the inclusion
      of Registrable Securities for sale for the benefit of the Holders will have
      a
      material adverse effect on the price, timing or distribution of the Common
      Units
      in the Underwritten Offering, then the amount of Registrable Securities to
      be
      offered for the accounts of Holders shall be determined based on the provisions
      of Section
      2.02(b).
      The
      notice required to be provided in this Section
      2.02(a)
      to
      Holders shall be provided on a Business Day pursuant to Section
      3.01
      hereof.
      Each such Holder shall then have two Business Days after receiving such notice
      to request inclusion of Registrable Securities in the Underwritten Offering,
      except that such Holder shall have one Business Day after such Holder confirms
      receipt of the notice to request inclusion of Registrable Securities in the
      Underwritten Offering in the case of a “bought deal” or “overnight transaction”
where no preliminary prospectus is used. If no request for inclusion from a
      Holder is received within the specified time, each such Holder shall have no
      further right to participate in such Underwritten Offering. If, at any time
      after giving written notice of its intention to undertake an Underwritten
      Offering and prior to the closing of such Underwritten Offering, the Partnership
      shall determine for any reason not to undertake or to delay such Underwritten
      Offering, the Partnership may, at its election, give written notice of such
      determination to the Selling Holders and, (x) in the case of a determination
      not
      to undertake such Underwritten Offering, shall be relieved of its obligation
      to
      sell any Included Registrable Securities in connection with such terminated
      Underwritten Offering, and (y) in the case of a determination to delay such
      Underwritten Offering, shall be permitted to delay offering any Included
      Registrable Securities for the same period as the delay in the Underwritten
      Offering. Each Holder’s rights under this Section
      2.02(a)
      shall
      terminate when such Holder (together with any Affiliates of such Holder) holds
      less than $20 million of Purchased Units, based on the purchase price per unit
      under the Purchase Agreement. Notwithstanding the foregoing, any Holder holding
      greater than $20 million of Purchased Units, based on the purchase price per
      unit under the Purchase Agreement, may deliver written notice (an “Opt
      Out Notice”)
      to the
      Partnership requesting that such Holder not receive notice from the Partnership
      of any proposed Underwritten Offering; provided,
      that,
      such Holder may later revoke any such Opt Out Notice. Following receipt of
      an
      Opt Out Notice from a Holder (unless subsequently revoked), the Partnership
      shall not be required to deliver any notice to such Holder pursuant to this
      Section
      2.02(a)
      and such
      Holder shall no longer be entitled to participate in Underwritten Offerings
      by
      the Partnership pursuant to this Section
      2.02(a).

     

    
      
        
        

      

      
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    (b). Priority.
      If the
      Managing Underwriter or Underwriters of any proposed Underwritten Offering
      of
      Common Units included in an Underwritten Offering involving Included Registrable
      Securities advises that the total amount of Common Units that the Selling
      Holders and any other Persons intend to include in such offering exceeds the
      number that can be sold in such offering without being likely to have a material
      adverse effect on the price, timing or distribution of the Common Units offered
      or the market for the Common Units, then the Common Units to be included in
      such
      Underwritten Offering shall include the number of Registrable Securities that
      such Managing Underwriter or Underwriters advises can be sold without having
      such adverse effect, with such number to be allocated (i) first, to the
      Partnership and (ii) second, pro rata among the Selling Holders party to
      this Agreement and any other Persons who have been or are granted registration
      rights prior to or after the date of this Agreement (including the General
      Partner, “Other
      Holders”),
      in
      each case, who have requested participation in such Underwritten Offering.
      The
      pro rata allocations for each such Selling Holder shall be the product of (a)
      the aggregate number of Common Units proposed to be sold by all Selling Holders
      and Other Holders in such Underwritten Offering multiplied by (b) the fraction
      derived by dividing (x) the number of Common Units owned on the Registration
      Deadline by such Selling Holder or Other Holder by (y) the aggregate number
      of
      Common Units owned by all Selling Holders and Other Holders participating in
      the
      Underwritten Offering. 

     

    Section
      2.03. Underwritten
      Offerings.

     

    (a). Underwritten
      Offering.
      Any one
      or more Holders may deliver written notice to the Partnership that such Holders
      wish to dispose of Registrable Securities under the Shelf Registration Statement
      in an Underwritten Offering if the Holders reasonably anticipate selling
      collectively at least $35 million of Common Units (calculated based on the
      per
      unit purchase price of such Common Units). Upon receipt of such written request,
      the Partnership shall use commercially reasonable efforts to retain underwriters
      and effect such sale through an Underwritten Offering and take all commercially
      reasonable actions as are reasonably requested by the Managing Underwriter
      or
      underwriters to expedite or facilitate the disposition of such Registrable
      Securities,
      including entering into an underwriting agreement;
      provided,
      however,
      that
      the Partnership shall not be required to cause its management to participate
      in
      a “road show” or similar marketing effort in connection with any such
      Underwriting Offering.
      The
      Partnership may elect to include primary Common Units in any Underwritten
      Offering undertaken pursuant to this Section
      2.03(a).
      In
      addition, any Underwritten Offering undertaken pursuant to this Section
      2.03
      will be
      subject to the provisions of Section
      2.02(b).

     

    
      
        
        

      

      
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    (b). General
      Procedures.
      In connection with any Underwritten Offering under this Agreement, the
      Partnership shall be entitled to select the Managing Underwriter or
      Underwriters. In connection with an Underwritten Offering contemplated by this
      Agreement in which a Selling Holder participates, each Selling Holder and the
      Partnership shall be obligated to enter into an underwriting agreement that
      contains such representations, covenants, indemnities and other rights and
      obligations as are customary in underwriting agreements for firm commitment
      offerings of securities. No Selling Holder may participate in such Underwritten
      Offering unless such Selling Holder agrees to sell its Registrable Securities
      on
      the basis provided in such underwriting agreement and completes and executes
      all
      questionnaires, powers of attorney, indemnities and other documents reasonably
      required under the terms of such underwriting agreement. Each Selling Holder
      may, at its option, require that any or all of the representations and
      warranties by, and the other agreements on the part of, the Partnership to
      and
      for the benefit of such underwriters also be made to and for such Selling
      Holder’s benefit and that any or all of the conditions precedent to the
      obligations of such underwriters under such underwriting agreement also be
      conditions precedent to its obligations. No Selling Holder shall be required
      to
      make any representations or warranties to or agreements with the Partnership
      or
      the underwriters other than representations, warranties or agreements regarding
      such Selling Holder, its authority to enter into such underwriting agreement
      and
      to sell, and its ownership of, the securities being registered on its behalf,
      its intended method of distribution and any other representation required by
      Law. 

     

    (c). Withdrawal.
      If any
      Holder disapproves of the terms of an Underwritten Offering, such Holder may
      elect to withdraw therefrom by written notice to the Partnership and the
      Managing Underwriter delivered (i) prior to the commencement of any marketing
      efforts for the Underwritten Offering or (ii) at any time up to and including
      the time of pricing of the Underwritten Offering if the price to the public
      at
      which the Registrable Securities are proposed to be sold is less than 95% of
      the
      volume-weighted average price of the Common Units during the ten trading days
      preceding the fourth trading day prior to commencement of the marketing efforts
      for the Underwritten Offering. The Partnership will provide notice to the
      Holders on the second trading day prior to the date of commencement of marketing
      efforts and the applicable price determined under the immediately preceding
      sentence. The Holder may agree to waive this right to withdraw with the
      Partnership, the underwriters or any custodial agent in any custody agreement
      and/or power of attorney executed by such Holder in connection with the
      underwriting. No such withdrawal shall affect the Partnership’s obligation to
      pay all Registration Expenses. Any Registrable Securities excluded or withdrawn
      from such underwriting shall be excluded and withdrawn from the preliminary
      prospectus supplement, prospectus supplement or registration statement, in
      each
      case as determined pursuant to the applicable clause (x),
      (y)
      or
(z)
      of
Section
      2.02(a). 

     

    
      
        
        

      

      
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    Section
      2.04. Sale
      Procedures. In connection with its obligations under this Article II, the
      Partnership will, as expeditiously as possible:

     

    (a). prepare
      and file with the Commission such amendments and supplements to the Shelf
      Registration Statement and the prospectus used in connection therewith as may
      be
      necessary to keep the Shelf Registration Statement effective for the
      Effectiveness Period and as may be necessary to comply with the provisions
      of
      the Securities Act with respect to the disposition of all securities covered
      by
      the Shelf Registration Statement;

     

    (b). if
      a
      prospectus supplement will be used in connection with the marketing of an
      Underwritten Offering from the Shelf Registration Statement and the Managing
      Underwriter at any time shall notify the Partnership in writing that, in the
      sole judgment of such Managing Underwriter, inclusion of detailed information
      to
      be used in such prospectus supplement is of material importance to the success
      of the Underwritten Offering of such Registrable Securities, the Partnership
      shall use its commercially reasonable efforts to include such information in
      such prospectus supplement; 

     

    (c). furnish
      to each Selling Holder (i) as far in advance as reasonably practicable before
      filing the Shelf Registration Statement or
      any other registration statement contemplated by this Agreement
      or any
      supplement or amendment thereto, upon request, copies of reasonably complete
      drafts of all such documents proposed to be filed (including exhibits and each
      document incorporated by reference therein to the extent then required by the
      rules and regulations of the Commission), and provide each such Selling Holder
      the opportunity to object to any information pertaining to such Selling Holder
      and its plan of distribution that is contained therein and make the corrections
      reasonably requested by such Selling Holder with respect to such information
      prior to filing the Shelf Registration Statement or such other registration
      statement or supplement or amendment thereto, and (ii) such number of copies
      of
      the Shelf Registration Statement or such other registration statement and the
      prospectus included therein and any supplements and amendments thereto as such
      Persons may reasonably request in order to facilitate the public sale or other
      disposition of the Registrable Securities covered by such Shelf Registration
      Statement or such other registration statement;

     

    (d). if
      applicable, use its commercially reasonable efforts to register or qualify
      the
      Registrable Securities covered by the Shelf Registration Statement or any other
      registration statement contemplated by this Agreement under the securities
      or
      blue sky laws of such jurisdictions as the Selling Holders or, in the case
      of an
      Underwritten Offering, the Managing Underwriter, shall reasonably request;
      provided,
      however,
      that
      the Partnership will not be required to qualify generally to transact business
      in any jurisdiction where it is not then required to so qualify or to take
      any
      action which would subject it to general service of process in any such
      jurisdiction where it is not then so subject;

     

    
      
        
        

      

      
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    (e). promptly
      notify each Selling Holder and each underwriter, at any time when a prospectus
      relating thereto is required to be delivered under the Securities Act, of (i)
      the filing of the Shelf Registration Statement or
      any other registration statement contemplated by this Agreement
      or any
      prospectus or prospectus supplement to be used in connection therewith, or
      any
      amendment or supplement thereto, and, with respect to such Shelf Registration
      Statement or any other registration statement contemplated by this Agreement
      or
      any post-effective amendment thereto, when the same has become effective; and
      (ii) any written comments from the Commission with respect to any filing
      referred to in clause (i) and any written request by the Commission for
      amendments or supplements to the Shelf Registration Statement or any other
      registration statement contemplated by this Agreement or any prospectus or
      prospectus supplement thereto;

     

    (f). immediately
      notify each Selling Holder and each underwriter, at any time when a prospectus
      relating thereto is required to be delivered under the Securities Act, of (i)
      the happening of any event as a result of which the prospectus or prospectus
      supplement contained in the Shelf Registration Statement or
      any other registration statement contemplated by this Agreement,
      as then
      in effect, includes an untrue statement of a material fact or omits to state
      any
      material fact required to be stated therein or necessary to make the statements
      therein not misleading in the light of the circumstances then existing; (ii)
      the
      issuance or threat of issuance by the Commission of any stop order suspending
      the effectiveness of the Shelf Registration Statement or
      any other registration statement contemplated by this Agreement,
      or the
      initiation of any proceedings for that purpose; or (iii) the receipt by the
      Partnership of any notification with respect to the suspension of the
      qualification of any Registrable Securities for sale under the applicable
      securities or blue sky laws of any jurisdiction. Following the provision of
      such
      notice, the Partnership agrees to as promptly as practicable amend or supplement
      the prospectus or prospectus supplement or take other appropriate action so
      that
      the prospectus or prospectus supplement does not include an untrue statement
      of
      a material fact or omit to state a material fact required to be stated therein
      or necessary to make the statements therein not misleading in the light of
      the
      circumstances then existing and to take such other action as is necessary to
      remove a stop order, suspension, threat thereof or proceedings related
      thereto;

     

    (g). in
      the
      case of an Underwritten Offering, furnish upon request, (i) an opinion of
      counsel for the Partnership, dated the effective date of the applicable
      registration statement or the date of any amendment or supplement thereto,
      and a
      letter of like kind dated the date of the closing under the underwriting
      agreement, and (ii) a “cold comfort” letter, dated the pricing date of such
      Underwritten Offering and a letter of like kind dated the date of the closing
      under the underwriting agreement, in each case, signed by the independent public
      accountants who have certified the Partnership’s financial statements included
      or incorporated by reference into the applicable registration statement, and
      each of the opinion and the “cold comfort” letter shall be in customary form and
      covering substantially the same matters with respect to such registration
      statement (and the prospectus and any prospectus supplement included therein)
      as
      have been customarily covered in opinions of issuer’s counsel and in
      accountants’ letters delivered to the underwriters in Underwritten Offerings of
      securities by the Partnership and such other matters as such underwriters and
      Selling Holders may reasonably request;

     

    (h). otherwise
      use its commercially reasonable efforts to comply with all applicable rules
      and
      regulations of the Commission, and make available to its security holders,
      as
      soon as reasonably practicable, an earnings statement, which earnings statement
      shall satisfy the provisions of Section 11(a) of the Securities Act and Rule
      158
      promulgated thereunder;

     

    
      
        
        

      

      
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    (i). make
      available to the appropriate representatives of the Managing Underwriter and
      Selling Holders access to such information and Partnership personnel as is
      reasonable and customary to enable such parties to establish a due diligence
      defense under the Securities Act; 

     

    (j). cause
      all
      such Registrable Securities registered pursuant to this Agreement to be listed
      on each securities exchange or nationally recognized quotation system on which
      similar securities issued by the Partnership are then listed;

     

    (k). use
      its
      commercially reasonable efforts to cause the Registrable Securities to be
      registered with or approved by such other governmental agencies or authorities
      as may be necessary by virtue of the business and operations of the Partnership
      to enable the Selling Holders to consummate the disposition of such Registrable
      Securities; 

     

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

     

    (m). enter
      into customary agreements and take such other actions as are reasonably
      requested by the Selling Holders or the underwriters, if any, in order to
      expedite or facilitate the disposition of such Registrable Securities;
      and

     

    (n). the
      Partnership agrees that, if any Purchaser could reasonably be deemed to be
      an
“underwriter”, as defined in Section 2(a)(11) of the Securities Act, in
      connection with the Shelf Registration Statement, in addition to its obligations
      set forth in paragraph (i) above, at any Purchaser’s request, (A) the
      Partnership will furnish to such Purchaser, on the date of the effectiveness
      of
      the Shelf Registration Statement and thereafter from time to time on such dates
      as such Purchaser may reasonably request, an opinion of counsel for the
      Partnership and, to the extent practicable, a “cold comfort” letter signed by
      the independent public accountants who have certified the Partnership’s
      financial statements included or incorporated by reference into the Shelf
      Registration Statement, and each of the opinion and “cold comfort” letter shall
      be in customary form and covering substantially the same matters with respect
      to
      the Shelf Registration Statement as have been customarily covered in opinions
      of
      issuer’s counsel and accountants’ letters delivered to the underwriters in
      Underwritten Offerings of securities of the Partnership and (B) the
      Partnership will also permit legal counsel to such Purchaser to review and
      comment upon the Shelf Registration Statement at least five Business Days prior
      to its filing with the Commission and all amendments and supplements thereto
      (excluding any filings made under the Securities Exchange Act of 1934 and
      incorporated therein by reference) within a reasonable time period prior to
      their filing with the Commission and not file any Shelf Registration Statement
      or amendment or supplement thereto (excluding any filings made under the
      Securities Exchange Act of 1934 and incorporated therein by reference) in a
      form
      to which such Purchaser’s legal counsel reasonably objects.

     

    
      
        
        

      

      
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    Each
      Selling Holder, upon receipt of notice from the Partnership of the happening
      of
      any event of the kind described in subsection (f) of this Section
      2.04,
      shall forthwith discontinue disposition of the Registrable Securities until
      such
      Selling Holder’s receipt of the copies of the supplemented or amended prospectus
      contemplated by subsection (f) of this Section
      2.04
      or until it is advised in writing by the Partnership that the use of the
      prospectus may be resumed, and has received copies of any additional or
      supplemental filings incorporated by reference in the prospectus, and, if so
      directed by the Partnership, such Selling Holder will, or will request the
      managing underwriter or underwriters, if any, to deliver to the Partnership
      (at
      the Partnership’s expense) all copies in their possession or control, other than
      permanent file copies then in such Selling Holder’s possession, of the
      prospectus covering such Registrable Securities current at the time of receipt
      of such notice.

     

    Section
      2.05. Cooperation
      by Holders. The Partnership shall have no obligation to include in the Shelf
      Registration Statement, or in an Underwritten Offering pursuant to Section
      2.02(a) or Section 2.03(a), Common Units of a Selling Holder who has failed
      to
      timely furnish such information that, in the opinion of counsel to the
      Partnership, is reasonably required in order for the registration statement
      or
      prospectus supplement, as applicable, to comply with the Securities
      Act.

     

    Section
      2.06. Restrictions
      on Public Sale by Holders of Registrable Securities. For one year following
      the Closing Date, each Holder of Registrable Securities who is included in
      the
      Shelf Registration Statement agrees not to effect any public sale or
      distribution of the Registrable Securities during the 30-day period following
      completion of an Underwritten Offering of equity securities by the Partnership
      (except as provided in this Section 2.06); provided,
      however,
      that
      the duration of the foregoing restrictions shall be no longer than the duration
      of the shortest restriction generally imposed by the underwriters on the
      officers or directors or any other unitholder of the Partnership on whom a
      restriction is imposed. In addition, the lock-up provisions in this Section
      2.06
      shall not apply with respect to a Holder that (A) owns less than $20 million
      of
      Purchased Units, based on the purchase price per unit under the Purchase
      Agreement, (B) has delivered an Opt Out Notice to the Partnership pursuant
      to
      Section 2.02(a) or (C) has submitted a notice requesting the inclusion of
      Registrable Securities in an Underwritten Offering pursuant to Section 2.02(a)
      but is unable to do so as a result of the priority provisions contained in
      Section 2.02(b).

     

    Section
      2.07. Expenses.

     

    (a). Expenses.
      The
      Partnership will pay all reasonable Registration Expenses as determined in
      good
      faith, including, in the case of an Underwritten Offering, whether or not any
      sale is made pursuant to such Underwritten Offering. Each Selling Holder shall
      pay all Selling Expenses in connection with any sale of its Registrable
      Securities hereunder. In addition, except as otherwise provided in Section
      2.08
      hereof,
      the Partnership shall not be responsible for legal fees incurred by Holders
      in
      connection with the exercise of such Holders’ rights hereunder. 

     

    (b). Certain
      Definitions.
      “Registration
      Expenses”
means
      all expenses incident to the Partnership’s performance under or compliance with
      this Agreement to effect the registration of Registrable Securities on the
      Shelf
      Registration Statement pursuant to Section
      2.01
      or an
      Underwritten Offering covered under this Agreement, and the disposition of
      such
      securities, including, without limitation, all registration, filing, securities
      exchange listing and NYSE fees, all registration, filing, qualification and
      other fees and expenses of complying with securities or blue sky laws (other
      than fees and expenses of counsel to the Managing Underwriter in connection
      with
      an Underwritten Offering), fees of the National Association of Securities
      Dealers, Inc., fees of transfer agents and registrars, all word processing,
      duplicating and printing expenses, any transfer taxes and the fees and
      disbursements of counsel and independent public accountants for the Partnership,
      including the expenses of any special audits or “cold comfort” letters required
      by or incident to such performance and compliance. “Selling
      Expenses”
means
      all underwriting fees, discounts and selling commissions allocable to the sale
      of the Registrable Securities.

     

    
      
        
        

      

      
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    Section
      2.08. Indemnification.

     

    (a). By
      the
      Partnership.
      In the
      event of a registration of any Registrable Securities under the Securities
      Act
      pursuant to this Agreement, the Partnership will indemnify and hold harmless
      each Selling Holder thereunder, its directors, officers, employees and agents,
      and each underwriter, pursuant to the applicable underwriting agreement with
      such underwriter, of Registrable Securities thereunder and each Person, if
      any,
      who controls such Selling Holder within the meaning of the Securities Act and
      the Exchange Act, and its directors, officers, employees or agents, against
      any
      losses, claims, damages, expenses or liabilities (including reasonable
      attorneys’ fees and expenses) (collectively, “Losses”),
      joint
      or several, to which such Selling Holder, director, officer, employee, agent
      or
      underwriter or controlling Person may become subject under the Securities Act,
      the Exchange Act or otherwise, insofar as such Losses (or actions or
      proceedings, whether commenced or threatened, in respect thereof) arise out
      of
      or are based upon any untrue statement or alleged untrue statement of any
      material fact contained in the Shelf Registration Statement or any other
      registration statement contemplated by this Agreement, any preliminary
      prospectus, free writing prospectus or final prospectus contained therein,
      or
      any amendment or supplement thereto, or arise out of or are based upon the
      omission or alleged omission to state therein a material fact required to be
      stated therein or necessary to make the statements therein (in the case of
      a
      prospectus, in light of the circumstances under which they were made) not
      misleading, and will reimburse each such Selling Holder, its directors,
      officers, employee and agents, each such underwriter and each such controlling
      Person for any legal or other expenses reasonably incurred by them in connection
      with investigating or defending any such Loss or actions or proceedings;
provided,
      however,
      that
      the Partnership will not be liable in any such case if and to the extent that
      any such Loss arises out of or is based upon an untrue statement or alleged
      untrue statement or omission or alleged omission so made in conformity with
      information furnished by such Selling Holder, its directors, officers, employees
      and agents or any underwriter or such controlling Person in writing specifically
      for use in the Shelf Registration Statement or such other registration statement
      contemplated by this Agreement, or any preliminary prospectus, free writing
      prospectus or final prospectus contained therein, or any amendment or supplement
      thereto, as applicable. Such indemnity shall remain in full force and effect
      regardless of any investigation made by or on behalf of such Selling Holder
      or
      any such directors, officers, employees agents or any underwriter or controlling
      Person, and shall survive the transfer of such securities by such Selling
      Holder.

     

    (b). By
      Each Selling Holder.
      Each
      Selling Holder agrees severally and not jointly to indemnify and hold harmless
      the Partnership, its directors, officers, employees and agents and each Person,
      if any, who controls the Partnership within the meaning of the Securities Act
      or
      of the Exchange Act, and its directors, officers, employees and agents, to
      the
      same extent as the foregoing indemnity from the Partnership to the Selling
      Holders, but only with respect to information regarding such Selling Holder
      furnished in writing by or on behalf of such Selling Holder expressly for
      inclusion in the Shelf Registration Statement or any other registration
      statement contemplated by this Agreements, or any preliminary prospectus, free
      writing prospectus or final prospectus contained therein, or any amendment
      or
      supplement thereto.

     

    
      
        
        

      

      
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    (c). Notice.
      Promptly after receipt by an indemnified party hereunder of notice of the
      commencement of any action, such indemnified party shall, if a claim in respect
      thereof is to be made against the indemnifying party hereunder, notify the
      indemnifying party in writing thereof, but the omission so to notify the
      indemnifying party shall not relieve it from any liability which it may have
      to
      any indemnified party other than under this Section
      2.08.
      In any
      action brought against any indemnified party, it shall notify the indemnifying
      party of the commencement thereof. The indemnifying party shall be entitled
      to
      participate in and, to the extent it shall wish, to assume and undertake the
      defense thereof with counsel reasonably satisfactory to such indemnified party
      and, after notice from the indemnifying party to such indemnified party of
      its
      election so to assume and undertake the defense thereof, the indemnifying party
      shall not be liable to such indemnified party under this Section
      2.08
      for any
      legal expenses subsequently incurred by such indemnified party in connection
      with the defense thereof other than reasonable costs of investigation and of
      liaison with counsel so selected; provided,
      however,
      that,
      (i) if the indemnifying party has failed to assume the defense or employ counsel
      reasonably acceptable to the indemnified party or (ii) if the defendants in
      any
      such action include both the indemnified party and the indemnifying party and
      counsel to the indemnified party shall have concluded that there may be
      reasonable defenses available to the indemnified party that are different from
      or additional to those available to the indemnifying party, or if the interests
      of the indemnified party reasonably may be deemed to conflict with the interests
      of the indemnifying party, then the indemnified party shall have the right
      to
      select a separate counsel and to assume such legal defense and otherwise to
      participate in the defense of such action, with the reasonable expenses and
      fees
      of such separate counsel and other reasonable expenses related to such
      participation to be reimbursed by the indemnifying party as incurred.
      Notwithstanding any other provision of this Agreement, no indemnified party
      shall settle any action brought against it with respect to which it is entitled
      to indemnification hereunder without the consent of the indemnifying party,
      unless the settlement thereof imposes no liability or obligation on, and
      includes a complete and unconditional release from all liability of, the
      indemnifying party.

     

    (d). Contribution.
      If the
      indemnification provided for in this Section
      2.08
      is held
      by a court or government agency of competent jurisdiction to be unavailable
      to
      any indemnified party or is insufficient to hold them harmless in respect of
      any
      Losses, then each such indemnifying party, in lieu of indemnifying such
      indemnified party, shall contribute to the amount paid or payable by such
      indemnified party as a result of such Loss in such proportion as is appropriate
      to reflect the relative fault of the indemnifying party on the one hand and
      of
      such indemnified party on the other in connection with the statements or
      omissions which resulted in such Losses, as well as any other relevant equitable
      considerations; provided,
      however,
      that in
      no event shall such Selling Holder be required to contribute an aggregate amount
      in excess of the dollar amount of proceeds (net of Selling Expenses) received
      by
      such Selling Holder from the sale of Registrable Securities giving rise to
      such
      indemnification. The relative fault of the indemnifying party on the one hand
      and the indemnified party on the other shall be determined by reference to,
      among other things, whether the untrue or alleged untrue statement of a material
      fact or the omission or alleged omission to state a material fact has been
      made
      by, or relates to, information supplied by such party, and the parties’ relative
      intent, knowledge, access to information and opportunity to correct or prevent
      such statement or omission. The parties hereto agree that it would not be just
      and equitable if contributions pursuant to this paragraph were to be determined
      by pro rata allocation or by any other method of allocation which does not
      take
      account of the equitable considerations referred to herein. The amount paid
      by
      an indemnified party as a result of the Losses referred to in the first sentence
      of this paragraph shall be deemed to include any legal and other expenses
      reasonably incurred by such indemnified party in connection with investigating
      or defending any Loss which is the subject of this paragraph. No person guilty
      of fraudulent misrepresentation (within the meaning of Section 11(f) of the
      Securities Act) shall be entitled to contribution from any Person who is not
      guilty of such fraudulent misrepresentation.

     

    
      
        
        

      

      
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    (e). Other
      Indemnification.
      The
      provisions of this Section
      2.08
      shall be
      in addition to any other rights to indemnification or contribution which an
      indemnified party may have pursuant to law, equity, contract or
      otherwise.

     

    Section
      2.09. Rule
      144 Reporting. With a view to making available the benefits of certain rules
      and regulations of the Commission that may permit the sale of the Registrable
      Securities to the public without registration, the Partnership agrees to use
      its
      commercially reasonable efforts to:

     

    (a). Make
      and
      keep public information regarding the Partnership available, as those terms
      are
      understood and defined in Rule 144 under the Securities Act, at all times from
      and after the date hereof;

     

    (b). File
      with
      the Commission in a timely manner all reports and other documents required
      of
      the Partnership under the Securities Act and the Exchange Act at all times
      from
      and after the date hereof; and

     

    (c). So
      long
      as a Holder owns any Registrable Securities, furnish to such Holder forthwith
      upon request a copy of the most recent annual or quarterly report of the
      Partnership, and such other reports and documents so filed as such Holder may
      reasonably request in availing itself of any rule or regulation of the
      Commission allowing such Holder to sell any such securities without
      registration.

     

    Section
      2.10. Transfer
      or Assignment of Registration Rights. The rights to cause the Partnership to
      register Registrable Securities granted to the Purchasers by the Partnership
      under this Article II may be transferred or assigned by any Purchaser to one
      or
      more transferee(s) or assignee(s) of such Registrable Securities; provided,
      however,
      that
      (a) unless such transferee is an Affiliate or a swap counterparty of such
      Purchaser, each such transferee or assignee holds Registrable Securities
      representing at least $20 million of the Purchased Units, based on the purchase
      price per unit under the Purchase Agreement, (b) the Partnership is given
      written notice prior to any said transfer or assignment, stating the name and
      address of each such transferee and identifying the securities with respect
      to
      which such registration rights are being transferred or assigned, and (c) each
      such transferee assumes in writing responsibility for its portion of the
      obligations of such Purchaser under this Agreement.

     

    
      
        
        

      

      
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    Section
      2.11. Limitation
      on Subsequent Registration Rights. From and after the date hereof, the
      Partnership shall not, without the prior written consent of the Holders of
      a
      majority of the outstanding Registrable Securities, enter into any agreement
      with any current or future holder of any securities of the Partnership that
      would allow such current or future holder to require the Partnership to include
      securities in any registration statement filed by the Partnership on a basis
      that is superior in any way to the piggyback rights granted to the Purchasers
      hereunder.

     

    MISCELLANEOUS

     

    Section
      3.01. Communications.
      All notices and other communications provided for or permitted hereunder shall
      be made in writing by facsimile, electronic mail, courier service or personal
      delivery:

     

    1. if
      to
      Purchaser, to the address set forth in Schedule 8.07 to the Purchase
      Agreement;

     

    2. if
      to a
      transferee of Purchaser, to such Holder at the address provided pursuant to
      Section
      2.10
      above;
      and 

     

    3. if
      to the
      Partnership at 370 17th
      Street,
      Suite 2775, Denver, Colorado 80202 (facsimile: 303-___-____).

     

    All
      such notices and communications shall be deemed to have been received at the
      time delivered by hand, if personally delivered; when receipt acknowledged,
      if
      sent via facsimile or sent via Internet electronic mail; and when actually
      received, if sent by courier service or any other means.

     

    Section
      3.02. Successor
      and Assigns. This Agreement shall inure to the benefit of and be binding
      upon the successors and assigns of each of the parties, including subsequent
      Holders of Registrable Securities to the extent permitted herein.

     

    Section
      3.03. Assignment
      of Rights. All or any portion of the rights and obligations of any Purchaser
      under this Agreement may be transferred or assigned by such Purchaser in
      accordance with Section 2.10 hereof.

     

    Section
      3.04. Recapitalization,
      Exchanges, Etc. Affecting the Common Units. The provisions of this Agreement
      shall apply to the full extent set forth herein with respect to any and all
      units of the Partnership or any successor or assign of the Partnership (whether
      by merger, consolidation, sale of assets or otherwise) which may be issued
      in
      respect of, in exchange for or in substitution of, the Registrable Securities,
      and shall be appropriately adjusted for combinations, unit splits,
      recapitalizations and the like occurring after the date of this
      Agreement.

     

    Section
      3.05. Specific
      Performance. Damages in the event of breach of this Agreement by a party
      hereto may be difficult, if not impossible, to ascertain, and it is therefore
      agreed that each such Person, in addition to and without limiting any other
      remedy or right it may have, will have the right to an injunction or other
      equitable relief in any court of competent jurisdiction, enjoining any such
      breach, and enforcing specifically the terms and provisions hereof, and each
      of
      the parties hereto hereby waives any and all defenses it may have on the ground
      of lack of jurisdiction or competence of the court to grant such an injunction
      or other equitable relief. The existence of this right will not preclude any
      such Person from pursuing any other rights and remedies at law or in equity
      which such Person may have.

     

    
      
        
        

      

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

     

    Section
      3.07. Headings.
      The headings in this Agreement are for convenience of reference only and shall
      not limit or otherwise affect the meaning hereof.

     

    Section
      3.08. Governing
      Law. The Laws of the State of New York shall govern this Agreement without
      regard to principles of conflict of Laws. 

     

    Section
      3.09. Severability
      of Provisions. Any provision of this Agreement which is prohibited or
      unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective
      to the extent of such prohibition or unenforceability without invalidating
      the
      remaining provisions hereof or affecting or impairing the validity or
      enforceability of such provision in any other jurisdiction.

     

    Section
      3.10. Entire
      Agreement. This Agreement is intended by the parties as a final expression
      of their agreement and intended to be a complete and exclusive statement of
      the
      agreement and understanding of the parties hereto in respect of the subject
      matter contained herein. There are no restrictions, promises, warranties or
      undertakings, other than those set forth or referred to herein with respect
      to
      the rights granted by the Partnership set forth herein. This Agreement and
      the
      Purchase Agreement supersede all prior agreements and understandings between
      the
      parties with respect to such subject matter.

     

    Section
      3.11. Amendment.
      This Agreement may be amended only by means of a written amendment signed by
      the
      Partnership and the Holders of a majority of the then outstanding Registrable
      Securities; provided,
      however,
      that no
      such amendment shall materially and adversely affect the rights of any Holder
      hereunder without the consent of such Holder.

     

    Section
      3.12. No
      Presumption. If any claim is made by a party relating to any conflict,
      omission, or ambiguity in this Agreement, no presumption or burden of proof
      or
      persuasion shall be implied by virtue of the fact that this Agreement was
      prepared by or at the request of a particular party or its counsel.

     

    Section
      3.13. Aggregation
      of Purchased Units. All Purchased Units held or acquired by Persons who are
      Affiliates of one another shall be aggregated together for the purpose of
      determining the availability of any rights under this Agreement.

     

    
      
        
        

      

      
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    Section
      3.14. Obligations
      Limited to Parties to Agreement. Each of the Parties hereto covenants,
      agrees and acknowledges that no Person other than the Purchasers shall have
      any
      obligation hereunder and that, notwithstanding that one or more of the
      Purchasers may be a corporation, partnership or limited liability company,
      no
      recourse under this Agreement or under any documents or instruments delivered
      in
      connection herewith or therewith shall be had against any former, current or
      future director, officer, employee, agent, general or limited partner, manager,
      member, stockholder or Affiliate of any of the Purchaser or any former, current
      or future director, officer, employee, agent, general or limited partner,
      manager, member, stockholder or Affiliate of any of the foregoing, whether
      by
      the enforcement of any assessment or by any legal or equitable proceeding,
      or by
      virtue of any applicable Law, it being expressly agreed and acknowledged that
      no
      personal liability whatsoever shall attach to, be imposed on or otherwise by
      incurred by any former, current or future director, officer, employee, agent,
      general or limited partner, manager, member, stockholder or Affiliate of any
      of
      the Purchasers or any former, current or future director, officer, employee,
      agent, general or limited partner, manager, member, stockholder or Affiliate
      of
      any of the foregoing, as such, for any obligations of the Purchasers under
      this
      Agreement or any documents or instruments delivered in connection herewith
      or
      therewith or for any claim based on, in respect of or by reason of such
      obligation or its creation, except in each case for any assignee of a Purchaser
      hereunder.

     

    Section
      3.15. Interpretation.
      Article and Section references to this Agreement, unless otherwise specified.
      All references to instruments, documents, contracts and agreements are
      references to such instruments, documents, contracts and agreements as the
      same
      may be amended, supplemented and otherwise modified from time to time, unless
      otherwise specified. The word “including” shall mean “including but not limited
      to.” Whenever any determination, consent or approval is to be made or given by a
      Purchaser under this Agreement, such action shall be in such Purchaser’s sole
      discretion unless otherwise specified.

     

    [Signature
      pages to follow]

    

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

     

    IN
      WITNESS WHEREOF, the Parties hereto execute this Agreement, effective as of
      the
      date first above written. 

    
       

      
        	 	 	 
	 	DCP
                MIDSTREAM PARTNERS, LP
	 	 	 
	 	By:	
                DCP Midstream Partners GP, LP,

                its
                  General Partner

              
	 	 	 
	 	By:	
                DCP Midstream Partners GP, LLC,

                its
                  General Partner

              
	 	 	 
	 	By:  	/s/
                Thomas E.
                Long                                         
                
	 	Name:   	Thomas E.
                Long                                  
                            
                
	 	Title:      	Vice
                President and Chief Financial Officer   
                

      

    

     

    

    [PURCHASERS]

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    
      
        	 	 	 
	 	GPS
                INCOME FUND LP
	 	 
	 	By:  GPS
                Partners, LLC, its General Partner
	 
 	 
 	 
 
	 	By:  	/s/ Jeff
                Farron
	 	
                

                Name:
                  Jeff Farron

                Title:
                  CFO

              
	 	 

      

       

      
        
           

        

        
           

          
            

          

        

        
           

        

         

        
          	 	 	 
	 	KIDRON
                  PARTNERS III LP
	 	 
	 	By:
                   Kidron
                  Capital LLC,
                   Its
                    general partner

                
	 
 	 
 	 
 
	 	By:  	/s/ Chuck
                  Webster
	 	
                  

                  Chuck
                    Webster

                  Managing
                    Member

                
	 	 

        

      

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      
        	 	 	 
	 	
                ROYAL
                  BAK OF CANADA

                by
                  its agent

              
	 	 
	 	RBC CAPITAL MARKETS CORPORATION
	 
 	 
 	 
 
	 	By:  	/s/ Josef
                Muskafel
	 	 	
                
Josef
                Muskafel
                Director
                  and Senior Counsel

              
	 	 	 
	 	 	 
	 	By: 	/s/ David Weiner
	 	
                

                
                  David
                    Weiner

                  Managing
                    Director

                

              
	 	 

      

      

      

      
        
           

        

        
           

          
            

          

        

        
           

        

        
          	 	 	 
	 	
                  TORTOISE
                    ENERGY INFRASTRUCTURE CORPORATION

                
	 
 	 
 	 
 
	 	By:  	/s/ Zachary
                  A. Hamel
	 	
                  

                  Zachary
                    A. Hamel

                  Senior
                    Vice President

                
	 	 

        

      

      

      

      
        
           

        

        
           

          
            

          

        

        
           

        

         

        
          	 	 	 
	 	
                  ING
                    LIVE INSURANCE AND ANNUITY COMPANY

                  RELIASTAR
                    LIFE INSURANCE COMPANY

                  ING
                    USA ANNUITY AND LIFE INSURANCE

                  COMPANY

                  SECURITY
                    LIFE OF DENVER INSURANCE

                  COMPANY

                  RELIASTAR
                    LIFE INSURACNE COMPANY OF 

                  NEW
                    YORK

                
	 	 
	 	By:
                   ING
                  Investment Management LLC as
                  Agent
	 
 	 
 	 
 
	 	By:  	/s/ Steve
                  Newby
	 	
                  

                  Steve
                    Newby

                  Vice
                    President

                
	 	 

        

      

      
         

      

      
        
          
             

          

          
             

            
              

            

          

          
             

          

        

      

       

      
        	 	 	 
	 	ENERGY
                INCOME AND GROWTH FUND
	 
 	 
 	 
 
	 	By:  	/s/ David
                Lindquist
	 	
                
Name: David
                Lindquist
	 	Title: Vice
                President

      

       

      
        
          
             

          

          
             

            
              

            

          

          
             

          

        

      

      
        	 	 	 
	 	
                FIDUCIARY/CLAYMORE
                  MLP OPPORTUNITY FUND

              
	 
 	 
 	 
 
	 	By:  	/s/ Steven
                M. Hill
	 	
                

                Name: Steven
                  M. Hill

                Title: Chief
                  Financial Officer

              
	 	 

      
        
           

        

        
           

          
            

          

        

        
           

        

         

        
          	 	 	 
	 	EAGLE
                  INCOME APPRECIATION PARTNERS, L.P.
	 	 
	 	
                  By: Eagle
                    Income Appreciation GP, LLC

                  By: Eagle
                    Global Advisors, LLC

                
	 
 	 
 	 
 
	 	By:  	/s/ Malcolm
                  Day
	 	
                  

                  Name: Malcolm
                    Day

                  Title: Partner

                
	 	 

        

      

      
        	 	 	 
	 	EAGLE
                INCOME
                APPRECIATION II, L.P.
	 	 
	 	
                By: Eagle
                  Income Appreciation GP, LLC

                By: Eagle
                  Global Advisors, LLC

              
	 
 	 
 	 
 
	 	By:  	/s/ Malcolm
                Day
	 	
                
Name: Malcolm
                Day
	 	Title: Partner

      

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      
        	 	 	 
	 	HARTZ
                CAPITAL MLP, LLC
	 	 
	 	
                By: Hartz
                  Capital, Inc.,

                Its Manager

              
	 
 	 
 	 
 
	 	By:  	/s/ Ronald
                J. Bangs
	 	
                
Ronald
                J. Bangs
	 	Chief
                Operating Officer

      

       

      
        
           

        

        
           

          
            

          

        

        
           

        

         

      

      
        	 	 	 
	 	
                THE
                  NORTHWESTERN MUTUAL LIFE INSURANCE
                  COMPANY

              
	 
 	 
 	 
 
	 	By:  	/s/ Jerome
                R. Baier
	 	
                

                Jerome
                  R. Baier

                its
                  authorized representative

              
	 	 

      

      
        
           

        

        
           

          
            

          

        

        
           

        

         

        
          	 	 	 
	 	MSDW
                  STRATEGIC INVESTMENTS, INC.
	 
 	 
 	 
 
	 	By:  	/s/ Alan
                  Thomas
	 	
                  

                  Name:
                    Alan Thomas

                  Title:
                    Vice PresidentEXHIBIT
        10.1

       

      AMENDMENT
        TO 

      CONVERTIBLE
        NOTES PURCHASE AGREEMENT

       

       

      This
        Amendment to Convertible Notes Purchase Agreement
        (this
“Amendment”)
        is
        entered into on this 19th day of June, 2007, by and between Wits Basin Precious
        Minerals Inc., a Minnesota corporation (the “Issuer”),
        and
        China Gold, LLC, a Kansas limited liability company, its successors and assigns
        (together with its successors and assigns “Purchaser”),
        to
        amend, as hereinafter set forth, the terms of that certain Convertible Notes
        Purchase Agreement dated April 10, 2007 by and between Issuer and Purchaser
        (the
“Purchase
        Agreement”).
        Capitalized terms used in this Amendment and not otherwise defined herein
        shall
        have the same meanings as defined in the Purchase Agreement.

       

      A.  Issuer
        and Purchaser entered into the Purchase Agreement on April 10, 2007, which
        contemplated the initial sale by Issuer, and purchase by Purchaser, of an
        aggregate minimum of $12,000,000 and an aggregate maximum of $25,000,000
        in
        convertible notes of Issuer within 12 months of the Initial Closing
        Date.

       

      B.  Pursuant
        to the Purchase Agreement, on April 10, 2007, Issuer sold, and Purchaser
        purchased, the Initial Note in the amount of $3,000,000. On May 7, 2007,
        Issuer
        sold, and Purchaser purchased, an Additional Note in the amount of $2,000,000.
        

       

      C.  Issuer
        and Purchaser wish to amend the Purchase Agreement, in the respects, but
        only in
        the respects, as set forth herein. Issuer and Purchaser intend for this
        amendment to (a) clarify that the obligations of Issuer and Purchaser under
        the
        Purchase Agreement to sell and purchase, respectively, convertible notes
        under
        the Purchase Agreement shall terminate at the earlier of (i) 12 months from
        the
        Initial Closing Date and (ii) the date of effectiveness of Issuer’s proposed
        merger with Easyknit Enterprises Holdings Limited (defined herein and in
        the
        Purchase Agreement as the “Permitted
        Business Combination”);
        (b)
        to provide for anti-dilution protections for the Purchase Rights (defined
        herein) provided by this amendment; and (c) extend certain registration rights
        to the common stock underlying the Registration Rights.

       

      D.  On
        the
        date hereof, and in the form attached hereto as Exhibit A, Issuer is selling,
        and Purchaser is purchasing, an Additional Note in the aggregate amount of
        $4,000,000.

       

      Now,
        Therefore,
        the
        parties hereto hereby agree as follows:

       

       

      Section
        1.  AMENDMENTS

       

      1.1  Section
        2.1 of the Purchase Agreement is hereby deleted in its entirety and replaced
        with the following: 

       

      2.1 Authorization
        of the Notes. Issuer
        shall authorize the issuance and sale to the Purchaser of an initial 8.25%
        Secured Convertible Note in the principal amount of $3,000,000.00 (the
“Initial
        Note”)
        and,
        prior to the earlier of (i) 12 months from the Initial Closing Date and (ii)
        the
        effectiveness of the Permitted Business Combination, may authorize the issuance
        and sale to the Purchaser of one or more additional 8.25% Secured Convertible
        Notes in a minimum aggregate principal amount of $9,000,000 and a maximum
        aggregate principal amount of $22,000,000.00, with each such 8.25% Secured
        Convertible Note containing the terms and conditions and in the form set
        forth
        in Exhibit
        A
        attached
        hereto and with all such 8.25% Secured Convertible Notes, including the Initial
        Note, not to exceed a total aggregate principal amount of $25,000,000.00
        (each a
“Note”
and
        collectively, together with any notes issued by any Person with respect to
        the
        purchase of Securities, the “Notes”).
        The
        Notes authorized for sale to Purchaser other than the Initial Note are
        collectively the “Additional
        Notes”.
        The
        Notes are sometimes referred to herein as the “Securities.”

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      1.2  Section
        2.3 of the Purchase Agreement is hereby deleted in its entirety and replaced
        with the following:

       

      2.3 Purchase
        and Sales of the Additional Notes.
        Prior
        to the earlier of (i) 12 months from the Initial Closing Date and (ii)
        effectiveness of the Permitted Business Combination, Issuer shall direct,
        by
        written notice, that Purchaser purchase one or more Additional Notes in an
        aggregate principal amount not to exceed $9,000,000 authorized in accordance
        with Section 2.1. Within 5 days of its receipt of such notice, and, subject
        to
        the terms and conditions set forth in this Agreement, Purchaser shall purchase
        from the Issuer one or more Additional Notes in an aggregate principal amount
        not to exceed $9,000,000 at a purchase price equal to the principal amount
        of
        the Additional Note or Additional Notes being purchased by wire transfer
        of
        immediately available funds against delivery of the Additional Notes or
        Additional Notes. From time to time, but prior to the earlier of (i) 12 months
        from the Initial Closing Date and (ii) effectiveness of the Permitted Business
        Combination, at Issuer’s request by written notice to Purchaser that Purchaser
        purchase one or more Additional Notes in an aggregate amount of up to an
        additional $13,000,000, Purchaser may purchase, at its discretion, Additional
        Notes in an aggregate amount of up to an additional $13,000,000.

      

      1.3  The
        following shall be incorporated as Section 2.5 of the Purchase
        Agreement:

       

      2.5 Prepayment
        of Notes in Event of Substantial Financing.
        Notwithstanding the specific terms and conditions of any Additional Notes,
        in
        the event Issuer and/or any of Issuer’s majority-owned subsidiaries receive, at
        a time when any Notes remain outstanding, cumulative financing in the form
        of
        cash or immediately available funds from one or more third parties in the
        aggregate amount of at least $50,000,000 from and after June 19, 2007] (a
        “Substantial
        Financing”),
        the
        outstanding Notes issued under the Purchase Agreement
        shall
        be
        due and payable out
        of
        the proceeds from such Substantial Financing.
        In the
        event such prepayment of any or all outstanding Notes, the respective Holder
        of
        each such prepaid Note shall be entitled to receive from Issuer, from the
        date
        of such prepayment until the earlier of (i) immediately prior to the Permitted
        Business Combination or (ii) five (5) years from the date of such prepayment,
        at
        a purchase price of $1.00 per share, the right to purchase the number of
        shares
        of Issuer’s common stock equal to the amount prepaid on such Note divided by
        $1.00 (the “Purchase
        Right”).
        In
        the event the issuance of a Purchase Right is required pursuant to the terms
        of
        this Section 2.5, Issuer shall deliver to Holder an option agreement, with
        standard terms and conditions as agreed upon by Issuer and Holder, evidencing
        Holder’s Purchase Rights as set forth herein. Issuer shall provide, as
        reasonably practicable, Holder notice of the proposed time of effectiveness
        of a
        Substantial Financing or Permitted Business Combination within a reasonable
        time
        prior to any such proposed effectiveness. The number of shares that may be
        purchased under any Purchase Right shall be entitled to anti-dilution protection
        substantially similar to the anti-dilution protections provided in Section
        7 of
        the Initial Note. As such, the provisions of Section 7 of the Initial Note
        shall
        apply as practicable to any such Purchase Right arising from this Section
        2.5 to
        avoid any inequity to Issuer and Holder.

      

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      1.4  The
        following shall be incorporated as Section 8.25 of the Purchase
        Agreement:

       

      8.25 Limitation
        of Conversion of
        Notes or Exercise of Purchase Right.
        Despite
        anything to the contrary in the respective Notes, except pursuant to an
        Automatic Conversion (as defined in the Notes), Purchaser may not convert
        any or
        all of the Notes or exercise its Purchase Right pursuant to Section 2.5 hereof
        during the time period and to the extent that the shares of Common Stock
        that
        Purchaser could acquire upon such conversion or exercise would cause the
        Beneficial Ownership (as defined below) of Common Stock held by Purchaser
        and
        its Affiliates to exceed 4.99%. The parties shall compute “Beneficial Ownership"
        of Common Stock in accordance with Rule 13d-3 under the Securities Exchange
        Act
        of 1934, as amended. Purchaser will, at the request of Issuer, from time
        to
        time, notify Issuer of Purchaser’s computation of Purchaser’s Beneficial
        Ownership. By written notice to Issuer, Purchaser may waive the provisions
        of
        this Section 8.25, but any such waiver will not be effective until the
        61st
        day
        after delivery thereof. Nothing herein shall preclude Purchaser or its
        Affiliates from disposing of a sufficient number of other shares of Common
        Stock
        beneficially owned by Purchaser or its Affiliates so as to thereafter permit
        the
        conversion of the respective Notes or exercise of any Purchase
        Right.

       

      1.5  The
        definition of the terms “Purchase Agreement” and Registrable Securities” in
        Section 2 of Appendix 1 to the Purchase Agreement are hereby deleted and
        the
        following definitions are substituted in place thereof:

       

      “Purchase
        Agreement” means that certain Convertible Notes Purchase Agreement by and
        between Issuer and China Gold, LLC, of even date herewith as may be amended
        or
        restated from time to time.

       

      “Registrable
        Securities” means (i) any shares of Common Stock issuable upon conversion
        of the Notes or the exercise of any Purchase Right, and (ii) any additional
        shares of Common Stock issued pursuant stock splits, in-kind dividends and
        similar distributions with respect to the stock described in the foregoing
        clause, but does not include any such shares, which, at the time the identity
        of
        the Registrable Securities is to be determined, previously have been sold
        pursuant to a registration or Rule 144, including Rule 144(k) or
        Rule 144A.

       

      1.6  The
        following shall be added as a new definition in alphabetical order to Section
        2
        of Appending 1 to the Purchase Agreement:

       

      “Purchase
        Right” means any Purchase Right arising under Section 2.5 of the Purchase
        Agreement or under Section 2 of any of the Notes. 

       

      Section
        2.  SUPPLEMENTAL
        REPRESENTATION

       

      2.1  On
        June
        19, 2007, Issuer makes to Purchaser the supplemental representation and warranty
        identified in Exhibit B hereto (the “Supplemental Representation”). The
        Supplemental Representation is accurate as of June 19, 2007, and Issuer does
        not
        undertake any obligation to update the applicability, veracity or accuracy
        of
        such representation on any other date except as otherwise required under
        the
        Purchase Agreement. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      Section
        3.  MISCELLANEOUS

       

      3.1  This
        Amendment shall be construed in connection with and as part of the Purchase
        Agreement, and, except as modified and expressly amended by this Amendment,
        all
        terms, conditions and covenants contained in the Purchase Agreement, are
        hereby
        ratified and shall be and remain in full force and effect.

       

      3.2  Any
        and
        all notices, requests, certificates and other instruments executed and delivered
        after the execution and delivery of this Amendment may refer to the Purchase
        Agreement without making specific reference to this Amendment, but nevertheless
        all such references shall include this Amendment, unless the context otherwise
        requires.

       

      3.3  The
        description headings of the various sections or parts of this Amendment are
        for
        convenience only and shall not affect the meaning or construction of any
        of the
        provisions hereof.

       

      3.4  This
        Amendment shall be governed by and construed in accordance with Kansas
        law.

       

      3.5  This
        Amendment may be executed in any number of counterparts, each executed
        counterpart constituting an original, but all together only one agreement.
        Signature to this Amendment may be given by facsimile or other electronic
        transmission and such signatures shall be fully binding on the party sending
        the
        same.

       

      

       

      

       

      [Signature
        page follows]

       

      

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

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

       

      

        
          	
                  ISSUER:

                	
                  WITS
                    BASIN PRECIOUS MINERALS INC.,
                    

                
	
                   

                	
                  a
                    Minnesota corporation

                
	 	 	 
	 	
                  By:

                	 
	 	
                  Name:
                    

                	
                  
                    

                  

                  Mark
                    D. Dacko

                
	 	
                  Title:
                    

                	
                  Chief
                    Financial Officer

                
	 	 
	 	 
	
                  PURCHASER:
                    

                	
                  CHINA
                    GOLD, LLC,

                
	 	
                  a
                    Kansas limited liability company

                
	 	 	 
	 	
                  By:

                	
                  Pioneer
                    Holdings, LLC

                
	 	
                  Its:

                	
                  Manager

                
	 	 	 
	 	 	 
	 	
                  By:

                	
                
	 	
                  Name:

                	
                  

                
	 	
                  Title:

                	 

        

      

       

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      Exhibit
        B

      

      SUPPLEMENTAL
        REPRESENTATION

      

      

      With
        respect to Section 6.22 of the Convertible Notes Purchase Agreement, please
        note
        that Section 7.01(k) of the Merger Agreement with Easyknit Enterprises provides
        that it is a condition to the obligations of the parties under the Merger
        Agreement that the Hong Kong Securities and Futures Commission (the "SFC")
        issue a ruling that the merger and related transactions do not require the
        holders of record of Wits Basin shares to make a mandatory general offer
        for all
        shares of Easyknit as a result of, or in connection with, the merger under
        the
        Hong Kong Code on Takeovers.  Easyknit has a made a request to the SFC
        for the ruling.  The sole issue for the ruling is whether there will
        be an acquisition of "control" of Easyknit upon the merger, which under
        the Hong Kong Code on Takeovers means an aggregate of 30% or more of
        the voting rights of Easyknit.  To further satisfy the SFC with respect to
        establishing that a block of Wits Basin shareholders that would hold an
        aggregate of 30% of the post-merger shares of Easyknit are not acting in
        concert, Wits Basin has submitted questionnaires from its officers,
        directors and 5% holders certifying that they are not so acting in
        concert.  The SFC has not yet made its final decision on the ruling, but
        has indicated that it needs evidence that a larger number of Wits
        Basin shares are not held by shareholders acting in concert.  Accordingly,
        Wits Basin is currently preparing a questionnaire to be sent to a larger
        group
        of its shareholders (possibly all other shareholders) to obtain similar
        certifications that they are not acting in concert, respectively.

       

      In
        the
        event Wits Basin cannot affirmatively establish that its shareholders are
        not
        acting in concert to acquire control of Easyknit in a manner
        acceptable to the SFC, it is likely the SFC will not provide the necessary
        ruling.  Absent a waiver of the aforementioned condition in the Merger
        Agreement by Easyknit and Wits Basin, the parties would not be able to complete
        the merger as currently intended without the
        SFC ruling.  Easyknit has informally indicated that it might not
        provide such waiver should it become necessary.

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