Document:

exv10w1

Exhibit 10.1

Sale and Purchase Agreement

Boddington Gold Mine Joint Venture

Sale of AngloGold’s BGM Interest

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

AngloGold Ashanti Limited

ARBN 090 101 170

Saddleback Investments Pty Ltd

ACN 134 978 224

Newmont Boddington Pty Ltd

ABN 32 062 936 547

Newmont Mining Corporation

ARBN 099 065 997

Newmont Australia Limited

ABN 86 009 295 765

BGM Management Company Pty Ltd

ABN 45 101 199 731

 

 

CONTENTS

	 	 	 	 	 
	1. INTERPRETATION
	 	 	2	 
	 
	 	 	 	 
	1.1 Definitions
	 	 	2	 
	1.2 Rules for interpreting this agreement
	 	 	11	 
	1.3 Business Days
	 	 	12	 
	 
	 	 	 	 
	2. AGREEMENT TO SELL AND BUY SALE INTEREST
	 	 	12	 
	 
	 	 	 	 
	2.1 Sale and purchase
	 	 	12	 
	2.2 Payment of Purchase Price
	 	 	12	 
	2.3 Consent and waiver
	 	 	12	 
	2.4 NMC acknowledgment
	 	 	12	 
	 
	 	 	 	 
	3. CONDITIONS PRECEDENT TO COMPLETION
	 	 	13	 
	 
	 	 	 	 
	3.1 Conditions
	 	 	13	 
	3.2 Further assurances
	 	 	15	 
	3.3 Waiver of conditions precedent
	 	 	16	 
	3.4 Non-satisfaction of condition precedent
	 	 	17	 
	 
	 	 	 	 
	4. OBLIGATIONS BEFORE COMPLETION
	 	 	17	 
	 
	 	 	 	 
	4.1 General
	 	 	17	 
	4.2 Exercise of rights
	 	 	18	 
	 
	 	 	 	 
	5. NET PROJECT COSTS
	 	 	18	 
	 
	 	 	 	 
	6. COMPLETION
	 	 	18	 
	 	 
	6.1 Time and place
	 	 	18	 
	6.2 Effect of Completion
	 	 	19	 
	6.3 Vendor’s obligations
	 	 	19	 
	6.4 Purchaser’s obligations
	 	 	21	 
	6.5 Obligations interdependent
	 	 	22	 
	6.6 Property in assets
	 	 	22	 
	6.7 Newmont Boddington and Manager undertaking
	 	 	22	 
	 
	 	 	 	 
	7. POST-COMPLETION MATTERS
	 	 	22	 
	 
	 	 	 	 
	7.1 Vendor’s obligations
	 	 	22	 
	7.2 Purchaser’s obligations
	 	 	22	 
	7.3 Caveat over land and Tenements
	 	 	23	 
	7.4 Maintenance and access to Records
	 	 	23	 
	7.5 Post Completion Amount
	 	 	23	 
	 
	 	 	 	 
	8. RECORDS
	 	 	26	 
	 
	 	 	 	 
	 i

 

 

	 	 	 	 	 
	9. LIABILITIES
	 	 	27	 
	 
	 	 	 	 
	9.1 Purchaser Liabilities
	 	 	27	 
	9.2 Indemnity in respect of Assumed Liabilities
	 	 	27	 
	9.3 Vendor release
	 	 	27	 
	9.4 Purchaser Affiliate release
	 	 	28	 
	9.5 Limitation on releases and Assumed Liabilities
	 	 	28	 
	9.6 Claims procedure – Assumed Liabilities
	 	 	28	 
	9.7 No liability for consequential loss
	 	 	29	 
	 
	 	 	 	 
	10. ACQUISITION CONDITIONS
	 	 	29	 
	 
	 	 	 	 
	11. ASSIGNMENT OF CONTRACTS
	 	 	30	 
	 
	 	 	 	 
	11.1 Identifying Contracts
	 	 	30	 
	11.2 Assignment and assumption of Vendor’s interests in the Contracts
	 	 	30	 
	11.3 Contracts
	 	 	30	 
	11.4 Notice to other parties
	 	 	30	 
	11.5 Further action by Vendor
	 	 	30	 
	11.6 Procure other parties
	 	 	31	 
	11.7 Benefit of Contracts
	 	 	31	 
	 
	 	 	 	 
	12. PERFORMANCE BONDS, GUARANTEES AND APPLICATIONS
	 	 	32	 
	 
	 	 	 	 
	12.1 Performance Bonds
	 	 	32	 
	12.2 Vendor Group Guarantees
	 	 	32	 
	12.3 Applications
	 	 	33	 
	 
	 	 	 	 
	13. WARRANTIES
	 	 	34	 
	 
	 	 	 	 
	13.1 Vendor Warranties
	 	 	34	 
	13.2 Continuing warranties
	 	 	36	 
	13.3 Limitation on representations
	 	 	37	 
	13.4 Purchaser’s and Purchaser Affiliates’ warranties
	 	 	37	 
	13.5 NMC – financing condition
	 	 	39	 
	13.6 Claims for breach of warranty
	 	 	39	 
	13.7 Information affecting warranties
	 	 	42	 
	 
	 	 	 	 
	14. PAYMENTS
	 	 	42	 
	 
	 	 	 	 
	14.1 How payments must be made
	 	 	42	 
	14.2 Interest on amounts due
	 	 	42	 
	 
	 	 	 	 
	15. DEFAULT
	 	 	43	 
	 
	 	 	 	 
	15.1 Parties’ right to terminate for breach
	 	 	43	 
	15.2 Parties may elect to complete
	 	 	43	 
	 
	 	 	 	 
	16. GOODS AND SERVICES TAX
	 	 	43	 
	 
	 	 	 	 
	16.1 Interpretation
	 	 	43	 
	 
	 	 	 	 
	 ii

 

 

	 	 	 	 	 
	16.2 Going concern
	 	 	44	 
	16.3 Party is member of GST group
	 	 	44	 
	16.4 GST exclusive amounts
	 	 	44	 
	16.5 Payment of GST
	 	 	45	 
	16.6 Reimbursements
	 	 	45	 
	16.7 Indemnities
	 	 	45	 
	 
	 	 	 	 
	17. MATERIAL ADVERSE EFFECT
	 	 	45	 
	 
	 	 	 	 
	18. COSTS AND STAMP DUTY
	 	 	46	 
	 
	 	 	 	 
	18.1 Costs and Taxes generally
	 	 	46	 
	18.2 Stamp duty and registration fees
	 	 	46	 
	 
	 	 	 	 
	19. NOTICES
	 	 	46	 
	 
	 	 	 	 
	19.1 Method of giving notices
	 	 	46	 
	19.2 Time of receipt
	 	 	46	 
	19.3 Address of parties
	 	 	47	 
	 
	 	 	 	 
	20. NMC AND NAL GUARANTEES
	 	 	47	 
	 
	 	 	 	 
	20.1 NMC
	 	 	47	 
	20.2 NAL
	 	 	49	 
	 
	 	 	 	 
	21. GENERAL
	 	 	50	 
	 
	 	 	 	 
	21.1 Consents
	 	 	50	 
	21.2 No merger
	 	 	50	 
	21.3 Waiver
	 	 	50	 
	21.4 Confidentiality
	 	 	50	 
	21.5 Amendment
	 	 	51	 
	21.6 No assignment
	 	 	51	 
	21.7 Severability
	 	 	51	 
	21.8 Counterparts
	 	 	51	 
	21.9 Further assurances
	 	 	51	 
	21.10 No amendment of Project Agreements
	 	 	51	 
	21.11 Entire agreement
	 	 	52	 
	21.12 Attorneys
	 	 	52	 
	 
	 	 	 	 
	22. LAW AND JURISDICTION
	 	 	52	 
	 
	 	 	 	 
	22.1 Governing law
	 	 	52	 
	22.2 Submission to jurisdiction
	 	 	52	 

iii

 

SALE AND PURCHASE AGREEMENT

DATE
27 January 2009

PARTIES

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

of Level 13, St Martin’s Tower, 44 St Georges Terrace, Perth WA 6000

(Vendor)

AngloGold Ashanti Limited

ARBN 090 101 170

of 76 Jeppe Street, Newtown

Johannesburg, South Africa

(AngloGold Ashanti)

Saddleback Investments Pty Ltd

ACN 134 978 224

of Level 1, 388 Hay Street, Subiaco WA 6008

(Purchaser)

Newmont Boddington Pty Ltd

ABN 32 062 936 547

of Level 1, 388 Hay Street, Subiaco WA 6008

(Newmont Boddington)

Newmont Mining Corporation

ARBN 099 065 997

of 6363 South Fiddler’s Green Circle

Greenwood Village, Colorado, 80111 USA

(NMC)

Newmont Australia Limited

ABN 86 009 295 765

of Level 1, 388 Hay Street, Subiaco WA 6008

(NAL)

BGM Management Company Pty Ltd

ABN 45 101 199 731

of Level 1, 388 Hay Street, Subiaco WA 6008

(Manager)

RECITALS

	A.	 	Under the Joint Venture Agreement, the current Joint Venturers and the corresponding
Proportionate Shares of their BGM Interests are as follows:

	 	 	 	 	 
	 

	 	Vendor
	 	33 and 3/9%; and
	 
	 	 	 	 
	 

	 	Newmont Boddington
	 	66 and 6/9%.

 

 

	B.	 	The Vendor has agreed to sell and the Purchaser has agreed to purchase the Sale Interest on
the terms and conditions set out in this agreement.

OPERATIVE PROVISIONS

	1.	 	INTERPRETATION
	 
	1.1	 	Definitions
	 
	 	 	In this agreement, the following definitions apply unless the context requires otherwise.

2008 Cash Call Deficit means US$8,000,000.

	 	 	ACCC means the Australian Competition and Consumer Commission.
	 
	 	 	AGA 2007 Credit Facility means the Syndicated Loan Facility Agreement dated 13 December 2007
among AngloGold Ashanti Holdings plc, AngloGold Ashanti USA Incorporated, the Vendor,
AngloGold Ashanti, various lenders and Dresdner Bank AG, Nierderlassung Luxembourg as
facility agent.
	 
	 	 	AGA 2008 Credit Facility means the Syndicated Loan Facility Agreement dated 20 November 2008
among AngloGold Ashanti Holdings plc, AngloGold Ashanti, AngloGold Ashanti USA Incorporated,
the Vendor and Standard Chartered Bank.
	 
	 	 	AGA Credit Facilities means the AGA 2007 Credit Facility and the AGA 2008 Credit Facility,
collectively.
	 
	 	 	Applications means applications for the Tenements that are not granted as at the date of
this agreement or as at Completion.
	 
	 	 	ASIC means the Australian Securities and Investments Commission.
	 
	 	 	Assumed Liabilities means all Liabilities and obligations of the Vendor in its capacity as a
Joint Venturer (other than income tax for which the Vendor is liable) whether arising, or
relating to the period, before, on or after the date of this agreement including all such
Liabilities relating to or arising out of the Sale Interest, any Contract, Tenement
(including in connection with the registered ownership of any mining tenements including
mining leases M70/21-25 (inclusive)) or other Joint Venture Asset, except as expressly set
out in clause 9.5.
	 
	 	 	Authorisation means:

	 	(a)	 	an authorisation, consent, declaration, exemption, notarisation or waiver,
however it is described; and
	 
	 	(b)	 	in relation to anything that could be prohibited or restricted by law if a
Government Agency acts in any way within a specified period, the expiry of that period
without that action being taken.

	 	 	Bankruptcy Event means, with respect to the affected party:

2.

 

	 	(a)	 	the entry of an order for relief or declaration of bankruptcy under the
Bankruptcy Code;
	 
	 	(b)	 	the filing by such party of a petition in bankruptcy or a petition for relief
under the Bankruptcy Code or any other applicable federal or state bankruptcy or
insolvency statute or any similar law;
	 
	 	(c)	 	the expiration of sixty (60) days after the filing of an involuntary petition
under the Bankruptcy Code or an involuntary petition seeking liquidation,
reorganisation, arrangement or readjustment of such party’s debts under any other
federal or state insolvency law, unless that petition is vacated, set aside or stayed
within the sixty (60) day period; or
	 
	 	(d)	 	an application by such party for the appointment of a receiver for the assets
of such party.

	 	 	Bankruptcy Code means the U.S. Bankruptcy Code of 1978.
	 
	 	 	BBAW means BHP Billiton Aluminium (Worsley) Pty Ltd (ABN 33 088 336 921).
	 
	 	 	BGM Interest means, in relation to a Joint Venturer:

	 	(a)	 	that Joint Venturer’s interest as tenant in common in the Joint Venture Assets;
and
	 
	 	(b)	 	the rights (subject to the obligations attaching thereto) under the Project
Agreements and all other agreements relating specifically to, or to the interest of,
that Joint Venturer in the BGM Project,

	 	 	excluding, for the avoidance of doubt, the benefit and burden of the Product Sales
Documents.
	 
	 	 	BGM Management Agreement means the Restated BGM Management Agreement dated 17 November 2006
between Newmont Boddington, the Vendor and the Manager.
	 
	 	 	BGM Project has the meaning given in the Joint Venture Agreement.
	 
	 	 	Blackout Period has the meaning given in schedule 5.
	 
	 	 	Bridge Loan Facility has the meaning given in clause 3.1(e).
	 
	 	 	Business Day means a day that is not a Saturday, Sunday or public holiday in Perth, Western
Australia.
	 
	 	 	Called Sum has the meaning given in the Joint Venture Agreement.
	 
	 	 	Cash Completion Amount means the amount of US$750,000,000 (seven hundred fifty million
United States dollars).
	 
	 	 	Claim means, in relation to any person, a claim, action, proceeding, judgment, damage, loss,
costs, expense or liability incurred by or to or made or recovered by or against the person,
however arising and whether present, unascertained, immediate, future or contingent.

3.

 

	 	 	Claimant has the meaning given in clause 13.6(e).
	 
	 	 	Commitment Letter means the final and executed commitment letter in respect of the Bridge
Loan Facility dated 25 January 2009 between NMC and Newmont USA Limited (on the one hand)
and JPMorgan Chase Bank, N.A., J.P. Morgan Securities Inc., Citigroup Global Markets Inc.
and Bank of Montreal, BMO Capital Markets (on the other) including the term sheet attached
thereto, certified by an officer of NMC to be a true copy.
	 
	 	 	Completion means completion of the transactions contemplated by this agreement in accordance
with clause 6.
	 
	 	 	Completion Date means 5 Business Days after the date of satisfaction or, if permissible,
waiver, of the conditions in clause 3.1 (other than the condition in clause 3.1(e)(ii)), or
such other date as is agreed by the parties in writing.
	 
	 	 	Confidential Information means any information that relates to the Sale Interest, the Joint
Venture or any of the Joint Venture Assets in the possession or under the control of the
Vendor or a Vendor Affiliate.
	 
	 	 	Contracts means any document, agreement, understanding or arrangement, excluding the Project
Agreements, to or by which the Vendor is bound and is a party (either as a signatory with
the other Joint Venturers, as authorised agent for the Joint Venture, or through the agency
of the Manager) and which forms part of or affects or relates to the Joint Venture or the
Sale Interest at Completion.
	 
	 	 	Controller means, in relation to a person’s property:

	 	(a)	 	a receiver or receiver and manager of that property; or
	 
	 	(b)	 	anyone else who (whether or not as agent for the person) is in possession, or
has control, of that property to enforce an Encumbrance.

	 	 	Corporations Act means the Corporations Act 2001 (Cth).
	 
	 	 	Deed of Assignment and Assumption (Other Contracts) means a deed of assignment and
assumption in the form of the document set out in schedule 15.
	 
	 	 	Deed of Assignment and Assumption Product Sales Documents means a deed in the form of the
document set out in schedule 12.
	 
	 	 	Deed of Covenant and Release – Sotico Agreements means a deed in the form of the document
set out in schedule 10 or any other form required by the third parties which are
counterparties to that deed.
	 
	 	 	Deed of Covenant and Release Hedges Gold Mine Sale and Purchase Agreement means a deed in
the form of the document set out in schedule 9 or any other form required by the third
parties which are counterparties to that deed.
	 
	 	 	Deed of Covenant Worsley Transfer Agreement & Letter Agreement means a deed in the form of
the document set out in schedule 11.

4.

 

	 	 	Deed of Release (AGAA Boddington Gold Mine Deed of Cross Charge) means a deed in the form of
the document set out in schedule 7.
	 
	 	 	Deeds of Sublease means:

	 	(a)	 	the deed entitled “Deed of Sublease” between BBAW and the Vendor dated 28
February 2007, granting a non-bauxite sublease in relation to a 30% registered interest
in mining leases M70/21-25 (inclusive); and
	 
	 	(b)	 	the deed entitled “Deed of Sublease” between JAA and the Vendor dated 28
February 2007, granting a non-bauxite sublease in relation to a 31/3% registered interest
in mining leases M70/21-25 (inclusive).

	 	 	Defaulting Party has the meaning given in clause 15.1.
	 
	 	 	Department means the Western Australian Department of Mines and Petroleum.
	 
	 	 	Designated Affiliate has the meaning given in clause 7.5(a)(ii).
	 
	 	 	Disponee’s Deed of Covenant (BBAW Sublease) means a disponee’s deed of covenant in the form
set out in schedule 3 or any other form required by the third party which is a counterparty
to that deed.
	 
	 	 	Disponee’s Deed of Covenant (JAA Sublease) means a disponee’s deed of covenant in the form
set out in schedule 4 or any other form required by the third party which is a counterparty
to that deed.
	 
	 	 	Disponee’s Deed of Covenant (Restated Boddington Gold Mine Cross Operation Agreement) means
a disponee’s deed of covenant in the form set out in schedule 6.
	 
	 	 	Encumbrance means any mortgage, lien, charge, pledge, assignment, claim, retention of
title, security, preferential right, net profit interest, right of first refusal or
pre-emptive right or other encumbrance or third party interest of any nature whatsoever,
whether registered or unregistered and “Encumbrances” shall be construed accordingly.
	 
	 	 	End Date means 30 June 2009 or such later date as the parties may agree in writing.
	 
	 	 	Environment means all components of the earth, including:

	 	(a)	 	land, air and water;
	 
	 	(b)	 	any layer of the atmosphere;
	 
	 	(c)	 	any organic or inorganic matter;
	 
	 	(d)	 	any living organism; and
	 
	 	(e)	 	natural, man-made or modified features or structures,

	 	 	and includes ecosystems and all elements of the biosphere.
	 
	 	 	Environmental Law means any law which regulates or has as its objective the protection or
enhancement of any aspect of the Environment, occupational health and safety, or the

5.

 

	 	 	protection of public health and welfare, and for the avoidance of doubt, includes any
Environmental Law enacted before and after the date of this agreement.
	 
	 	 	Excluded Contract means any document, agreement, understanding or arrangement to which the
Vendor is a party and which was not provided to the Purchaser prior to the date of the
agreement, but does not include any Contract.
	 
	 	 	Executive Committee has the meaning given in the Joint Venture Agreement.
	 
	 	 	General Deed of Assignment BGM Interest means a deed in the form of the document set out in
schedule 8.
	 
	 	 	Government Agency means:

	 	(a)	 	a government or government department or other body;
	 
	 	(b)	 	a governmental, semi-governmental or judicial person; or
	 
	 	(c)	 	a person (whether autonomous or not) who is charged with the administration of
a law.

	 	 	Gross Negligence means an act or omission done or omitted to be done with wanton or reckless
disregard for the consequences of that act or omission.
	 
	 	 	GST has the meaning given in section 195-1 of the GST Act.
	 
	 	 	GST Act means A New Tax System (Goods and Services Tax) Act 1999 (Cth).
	 
	 	 	Guaranteed Moneys is defined in clause 20.1(a)(i).
	 
	 	 	Insolvency Event means, in relation to a person:

	 	(a)	 	an order being made, or the person passing a resolution, for its winding up;
	 
	 	(b)	 	an application being made to a court for an order for its winding up, unless
the application is withdrawn or dismissed within 10 Business Days;
	 
	 	(c)	 	an administrator being appointed to the person;

	 	(d)	 	(i) the person resolving to appoint a Controller or analogous person to the
person or any of the person’s property;

	 	(ii)	 	an application being made to a court for an order to appoint a
Controller, provisional liquidator, trustee for creditors or in bankruptcy or
analogous person to the person or any of the person’s property, unless the
application is withdrawn or dismissed within 10 Business Days; or
	 
	 	(iii)	 	an appointment of the kind referred to in subparagraph (ii)
being made (whether or not following a resolution or application);

	 	(e)	 	the appointment of a receiver to any of the person’s property;

6.

 

	 	(f)	 	the person is otherwise insolvent as that term is used in section 95A(2) of the
Corporations Act; or
	 
	 	(g)	 	an event having a substantially similar effect to an event described in any of
paragraphs (a) to (f) happens in connection with a person,

	 	 	unless this takes place as part of a solvent reconstruction, amalgamation, merger or
consolidation.
	 
	 	 	Interest Rate on a day means the per annum rate of interest known as “London Interbank
Offered Rate” for deposits of United States dollars for a period of three months as
determined from the applicable Reuters page as at 11:00 am (London time) on that day or, if
that day is not a Business Day on the last preceding Business Day.
	 
	 	 	JAA means Japan Alumina Associates (Australia) Pty Ltd (ABN 42 008 907 524).
	 
	 	 	Joint Venture has the meaning given to it in the Joint Venture Agreement.
	 
	 	 	Joint Venture Agreement means the Further Restated BGM Joint Venturers Agreement dated 17
November 2006 between Newmont Boddington, the Vendor and the Manager.
	 
	 	 	Joint Venture Assets has the meaning given to it in the Joint Venture Agreement.
	 
	 	 	Joint Venturer has the meaning given to it in the Joint Venture Agreement.
	 
	 	 	Landgate means the Western Australian Land Information Authority established under the Land
Information Authority Act 2006 (WA).
	 
	 	 	Legal Liability means a duty, liability or obligation affecting the person concerned,
however it arises and whether it is present or future, fixed or unascertained, actual or
contingent.
	 
	 	 	Liabilities means Claims, Losses, liabilities (including Legal Liabilities), costs or
expenses of any kind and however arising, including under Environmental Laws or relating to
the Environment, and including those which are prospective or contingent and those the
amount of which for the time being is not ascertained or ascertainable.
	 
	 	 	Loss means a damage, loss, cost, expense or liability incurred by the person concerned,
however it arises and whether it is present or future, fixed or unascertained, actual or
contingent.
	 
	 	 	Material Adverse Effect has the meaning given in clause 17(b).
	 
	 	 	Mining Act means the Mining Act 1978 (WA).
	 
	 	 	Net Project Costs means the net amount of the Called Sums and the Project Receipts set out
in a statement that the Vendor gives the Purchaser under and in accordance with clause 5.
	 
	 	 	Newmont Boddington Cross Charge means the deed of cross charge entered into by Newmont
Boddington under clause 8.6 of the Joint Venture Agreement.

7.

 

	 	 	NMC Shares means shares of common stock, par value US$1.60 per share, of NMC.
	 
	 	 	Notice Date has the meaning given in clause 13.6(b)(i).
	 
	 	 	Order in Council means an official declaration made by the Governor General of Australia or
a Governor of a State of Australia on the advice of the executive council of the
Commonwealth Government of Australia or the Government of any State of Australia (as
applicable).
	 
	 	 	Payor has the meaning given in clause 13.6(e).
	 
	 	 	Performance Bonds means the security bonds and any other securities, guarantees or bonds
relating to the Tenements as set out in Part A of schedule 16.
	 
	 	 	Permitted Encumbrance means:

	 	(a)	 	the terms and conditions of the Project Agreements and the Contracts, and any
Encumbrance imposed or created in accordance with the express terms of the Project
Agreements;
	 
	 	(b)	 	the terms and conditions of an instrument of title in respect of the Tenements;
	 
	 	(c)	 	the provisions of all relevant statutes, statutory regulations, by-laws and
ordinances of any Government Agency having jurisdiction and Orders in Council which
create Encumbrances in favour of Government Agencies by ordinary operation of statutes
(unless there is default in payment of money secured by such Encumbrance by the
Vendor);
	 
	 	(d)	 	in respect of constituent parts of the Sale Interest, any mechanic’s, workman’s
or other like liens arising in the ordinary course of the business of the Joint Venture
and any retention of title arrangement undertaken in the ordinary course of the
business of the Joint Venture; and
	 
	 	(e)	 	any other Encumbrance, ascertainable from the publicly accessible registers
maintained by the Department or by Landgate, to which any Joint Venture Asset is
subject, as at 23 January 2009.

	 	 	Post Completion Amount means the amount of US$240 million (two hundred forty million United
States dollars).
	 
	 	 	Post Completion Share Issuance Date has the meaning given in clause 7.5(a).
	 
	 	 	Post Completion Share Issuance Notice has the meaning given in clause 7.5(c)(i).
	 
	 	 	Post Completion Share Issuance Notice Date has the meaning given in clause 7.5(c)(i).
	 
	 	 	Pre-Completion Period means the period commencing on the Valuation Date and ending on
the Completion Date.
	 
	 	 	Product Sales Documents means the Consulting Agreement and the Copper Sales MoAs as those
terms are defined in the Deed of Assignment and Assumption Product Sales Documents.

8.

 

	 	 	Project Agreements has the meaning given in the Joint Venture Agreement.
	 
	 	 	Project Receipts means any and all revenue and proceeds payable to the Vendor, in its
capacity as the holder (prior to Completion) of the Sale Interest.
	 
	 	 	Proportionate Share has the meaning given in the Joint Venture Agreement.
	 
	 	 	Purchase Price means the aggregate of the Cash Completion Amount and the Post Completion
Amount, as adjusted by the 2008 Cash Call Deficit.
	 
	 	 	Purchaser Affiliate means:

	 	(a)	 	any entity (including a natural person, body corporate, partnership or trust)
which the Purchaser controls (within the meaning of section 50AA of the Corporations
Act);
	 
	 	(b)	 	any holding company in respect of the Purchaser, including its ultimate holding
company; or
	 
	 	(c)	 	a person who is a related body corporate of, a director of or a secretary of
the Purchaser or any of the entities referred to in paragraphs (a) or (b),

	 	 	and includes, for the avoidance of doubt, NMC, NAL, Newmont Boddington and the Manager.
	 
	 	 	Purchaser Warranties means representations and warranties made by the Purchaser, NMC,
Newmont Boddington, NAL and the Manager set out in clause 7.5(c), clause 13.4, clause 13.5
and schedule 5 (Resale Registration).
	 
	 	 	Purchaser’s Assumption Deed means the BGM Joint Venture – Purchaser’s Assumption Deed
in the form set out in schedule 14 which is substantially in the form of schedule 3 to the
Joint Venture Agreement.
	 
	 	 	Purchaser’s Cross Charge means a deed of cross charge set out in schedule 13 which is
substantially in the form of the document set out in schedule 1 to the Joint Venture
Agreement.
	 
	 	 	Records has the meaning given in clause 8.
	 
	 	 	Relevant Obligations has the meaning given in clause 20.2(a).
	 
	 	 	Relevant Party has the meaning given in clause 15.1(b).
	 
	 	 	Relevant Sum has the meaning given in clause 13.6(c).
	 
	 	 	Royalty means the royalty payable under the Royalty Deed.
	 
	 	 	Royalty Deed means a deed in the form of the document set out in schedule 2.
	 
	 	 	Sale Interest means:

	 	(a)	 	the entirety of the Vendor’s BGM Interest (the Proportionate Share of its BGM
Interest being 33 and 3/9%, as referred to in Recital A); and

9.

 

	 	(b)	 	the benefit and burden of the Vendor’s right, title and interest and
obligations and liabilities under the Product Sales Documents.

	 	 	Securities Act means the United States Securities Act of 1933.
	 
	 	 	Subleases means the subleases granted under and subject to the terms and conditions of the
Deeds of Sublease.
	 
	 	 	Tax means a tax, levy, duty, charge, deduction or withholding, however it is described, that
is imposed by a Government Agency, together with any related interest, penalty, fine or
other charge, other than one that is imposed on net income or GST.
	 
	 	 	Tenements means the tenements described in schedule 1 and any other tenement or title that
falls within the meaning given to “Tenements” in the Joint Venture Agreement and, to avoid
doubt, any interest under a sublease granted in respect of any such tenement or title,
including the Subleases.
	 
	 	 	Trading Day means a day on which the New York Stock Exchange is open for trading.
	 
	 	 	Valuation Date means 1 January 2009.
	 
	 	 	Vendor Affiliate means:

	 	(a)	 	any entity (including a natural person, body corporate, partnership or trust)
which the Vendor controls (within the meaning of section 50AA of the Corporations Act);
	 
	 	(b)	 	any holding company of the Vendor, including its ultimate holding company; or
	 
	 	(c)	 	a person who is a related body corporate of, a director of or a secretary of,
the Vendor or any of the entities referred to in paragraphs (a) or (b).

	 	 	Vendor Group means the Vendor and each Vendor Affiliate.
	 
	 	 	Vendor Group Guarantee means:

	 	(a)	 	the security bonds and any other securities, guarantees or bonds as set out in
Part B of schedule 16, which are given together with a Newmont Boddington guarantee;
and
	 
	 	(b)	 	the security bonds and any other securities, guarantees or bonds which were
provided by the Vendor in its capacity as a Joint Venturer or by a Vendor Affiliate in
support of the Vendor in its capacity as a Joint Venturer in relation to any Tenement,
Joint Venture Asset or any other part of the Sale Interest (other than the benefit and
burden of the Product Sales Documents).

	 	 	Vendor NMC Shares has the meaning given in clause 7.5(a).
	 
	 	 	Vendor’s Cross Charge means the deed of cross charge entered into by the Vendor under clause
8.6 of the Joint Venture Agreement.
	 
	 	 	Vendor Title Warranties means the representations and warranties made by the Vendor set out
in clauses 13.1(h), 13.1(k) and 13.1(n).

10.

 

	 	 	Vendor Warranties means the representations and warranties made by the Vendor set out in
clause 13.1 and the representations and warranties made by AngloGold Ashanti set out in
clause 13.1A.
	 
	 	 	Worsley State Agreement has the meaning given in the Joint Venture Agreement.

	1.2	 	Rules for interpreting this agreement
	 
	 	 	Headings are for convenience only, and do not affect interpretation. The following rules
also apply in interpreting this agreement, except where the context makes it clear that a
rule is not intended to apply.

	 	(a)	 	A reference to:

	 	(i)	 	legislation (including subordinate legislation) is to that
legislation as amended, re-enacted or replaced, and includes any subordinate
legislation issued under it;
	 
	 	(ii)	 	an agreement, or a provision of an agreement, is to that
agreement or provision, as amended, supplemented, replaced or novated;
	 
	 	(iii)	 	a party to this agreement or to any other agreement includes a
permitted substitute or a permitted assign of that party;
	 
	 	(iv)	 	a person includes any type of entity or body of persons,
whether or not it is incorporated or has a separate legal identity, and any
executor, administrator or successor in law of the person;
	 
	 	(v)	 	a clause, schedule, annexure or exhibit is a reference to a
clause of, or schedule, annexure or exhibit to this agreement; and
	 
	 	(vi)	 	anything (including a right, obligation or concept) includes
each part of it.

	 	(b)	 	A singular word includes the plural, and vice versa.
	 
	 	(c)	 	A word which suggests one gender includes the other genders.
	 
	 	(d)	 	If a word is defined, another part of speech has a corresponding meaning.
	 
	 	(e)	 	If an example is given of anything (including a right, obligation or concept),
such as by saying it includes something else, the example does not limit the scope of
that thing.
	 
	 	(f)	 	The word “agreement” includes an undertaking or other binding arrangement or
understanding, whether or not in writing.
	 
	 	(g)	 	The words “subsidiary”, “holding company”, “related body corporate” and
“substantial holding” have the same meanings as in the Corporations Act.
	 
	 	(h)	 	A reference to US$, $ or “dollars” means United States dollars.

11.

 

	1.3	 	Business Days
	 
	 	 	If the day on or by which a person must do something under this agreement (including making
any payment that is due on demand) is not a Business Day, the person must do it on or by the
next Business Day.
	 
	2.	 	AGREEMENT TO SELL AND BUY SALE INTEREST
	 
	2.1	 	Sale and purchase
	 
	 	 	Subject to satisfaction of the conditions precedent specified in clause 3.1:

	 	(a)	 	the Vendor agrees to sell to the Purchaser; and
	 
	 	(b)	 	the Purchaser agrees to purchase from the Vendor,

	 	 	the Sale Interest, free from Encumbrances (other than the Permitted Encumbrances) for the
Purchase Price and the delivery of the Royalty Deed on the terms and subject to the
conditions of this agreement.

	2.2	 	Payment of Purchase Price
	 
	 	 	The Purchase Price will be satisfied as follows:

	 	(a)	 	the Cash Completion Amount is to be paid at Completion in accordance with
clauses 6.4 and 14; and
	 
	 	(b)	 	the Post Completion Amount is to be paid in cash, or satisfied by the issue of
the Vendor NMC Shares, or a combination of both, in accordance with clause 7.5.

	2.3	 	Consent and waiver
	 
	 	 	Newmont Boddington consents to the sale and purchase of the Sale Interest under and in
accordance with this agreement and waives any and all rights that it may have under the
Project Agreements (or any of them) to acquire all or any part of the Sale Interest from the
Vendor only so as to permit the sale and purchase of the Sale Interest under and in
accordance with this agreement.
	 
	2.4	 	NMC acknowledgment
	 
	 	 	NMC acknowledges that each of it and the Purchaser enters into this agreement without any
present intention to dispose of the Sale Interest after Completion, whether directly or
indirectly, including by way of a sale of shares or assets. Nothing in this clause will be
construed or will operate to preclude the Purchaser from disposing of its interest in the
Joint Venture (including the Sale Interest) or NMC disposing of the shares in the Purchaser
subsequent to Completion.

12.

 

	3.	 	CONDITIONS PRECEDENT TO COMPLETION
	 
	3.1	 	Conditions
	 
	 	 	The obligations of the parties in relation to Completion are (and, in the case of the
condition in clauses 3.1(b) and 3.1(g) in so far as sections 25 and 26A of the Foreign
Acquisitions and Takeovers Act 1975 (Cth) is concerned, this agreement is) conditional upon:

	 	(a)	 	the Vendor obtaining the approval and consent, in a form reasonably acceptable
to the Vendor and Purchaser, of the Minister responsible for the Mining Act to the
transfer by the Vendor to the Purchaser of the interest of the Vendor in each of the
Tenements (to the extent required under the Mining Act);
	 
	 	(b)	 	for the purposes of the Foreign Acquisitions and Takeovers Act 1975 (Cth),
either:

	 	(i)	 	the Purchaser having been informed in writing by or on behalf
of the Federal Treasurer that there are no objections in terms of the
Australian Government’s Foreign Investment Policy to it acquiring the Sale
Interest, subject to any conditions that the Treasurer may determine to impose
being acceptable:

	 	(A)	 	where such conditions impact or affect the
Purchaser, to the Purchaser (acting reasonably);
	 
	 	(B)	 	where such conditions impact or affect the
Vendor, to the Vendor (acting reasonably); or
	 
	 	(C)	 	where such conditions impact or affect the
Purchaser and the Vendor, to the Purchaser and the Vendor (each acting
reasonably); or

	 	(ii)	 	the period during which the Federal Treasurer is empowered by
section 25 and section 26A of the Foreign Acquisitions and Takeovers Act 1975
(Cth) to make an order prohibiting the proposed acquisition of assets under
this agreement has expired without an order having been made;

	 	(c)	 	any other approvals required from a Government Agency, any sublessor with
respect to a Tenement or under the Worsley State Agreement as the Purchaser or the
Vendor may identify (acting reasonably) to enable this agreement, and the transactions
contemplated in this agreement to be performed (each using its best endeavours to so
identify approvals as soon as practicable but at the latest within 15 days of the date
of this agreement), being in a form reasonably acceptable to the Purchaser and the
Vendor (each acting reasonably);
	 
	 	(d)	 	the Vendor obtaining any necessary approval of the Reserve Bank of South Africa
to this agreement and the transactions it provides for subject to any conditions that
the Reserve Bank of South Africa may determine to impose being acceptable:

	 	(i)	 	where such conditions impact or affect the Vendor, to the
Vendor (acting reasonably);

13.

 

	 	(ii)	 	where such conditions impact or affect the Purchaser, to the
Purchaser (acting reasonably); or
	 
	 	(iii)	 	where such conditions impact or affect the Purchaser and the
Vendor, to the Purchaser and the Vendor (each acting reasonably);

	 	(e)	 	(i) NMC having entered into a bridge loan facility with its relationship
bankers or other financial institutions acceptable to it (acting reasonably) in the sum
of at least US$750 million (seven hundred fifty million United States dollars) (the
“Bridge Loan Facility”) and on terms consistent with the Commitment Letter and such
other terms acceptable to NMC (acting reasonably) and the conditions to drawdown under
the Bridge Loan Facility having been satisfied; and

	 	(ii)	 	funding under the Bridge Loan Facility being made available at
Completion to pay the Cash Completion Amount;

	 	(f)	 	the execution and delivery by the counterparties thereto of the following:

	 	(i)	 	Disponee’s Deed of Covenant (BBAW Sublease);
	 
	 	(ii)	 	Disponee’s Deed of Covenant (JAA Sublease);
	 
	 	(iii)	 	Deed of Covenant and Release – Sotico Agreements;
	 
	 	(iv)	 	Deed of Covenant and Release Hedges Gold Mine Sale and Purchase
Agreement; and
	 
	 	(v)	 	Deed of Covenant Worsley Transfer Agreement & Letter Agreement;

	 	(g)	 	for the purposes of the Foreign Acquisitions and Takeovers Act 1975 (Cth),
either:

	 	(i)	 	the Vendor having been informed in writing by or on behalf of
the Federal Treasurer that there are no objections in terms of the Australian
Government’s Foreign Investment Policy to its entitlement to the Royalty,
subject to any conditions that the Treasurer may determine to impose being
acceptable:

	 	(A)	 	where such conditions impact or affect the
Vendor, to the Vendor (acting reasonably);
	 
	 	(B)	 	where such conditions impact or affect the
Purchaser, to the Purchaser (acting reasonably); or
	 
	 	(C)	 	where such conditions impact or affect the Vendor
and the Purchaser, to the Vendor and the Purchaser (each acting
reasonably); or

	 	(ii)	 	the period during which the Federal Treasurer is empowered by
section 26A of the Foreign Acquisitions and Takeovers Act 1975 (Cth) to make an
order prohibiting the proposed entitlement to the Royalty has expired without
an order having been made; and

14.

 

	 	(h)	 	the consent of the lenders under each of the AGA Credit Facilities to the
transaction evidenced by this agreement (to the extent required).

	3.2	 	Further assurances

	 	(a)	 	The Vendor and the Purchaser must use their respective commercially reasonable
efforts to satisfy the conditions precedent specified in clauses 3.1(a) (Mining Act),
3.1(c) (other approvals) and 3.1(f) (Deeds) as soon as possible following execution of
this agreement but in any event prior to the End Date.
	 
	 	(b)	 	The Vendor must use its commercially reasonable efforts to satisfy the
condition precedent specified in clause 3.1(d) (SARB) as soon as possible following
execution of this agreement but in any event prior to the End Date.
	 
	 	(c)	 	The Purchaser must use its commercially reasonable efforts to satisfy the
condition precedent specified in clause 3.1(b) (Purchaser FIRB) as soon as possible
following execution of this agreement but in any event prior to the End Date.
	 
	 	(d)	 	The Vendor must use its commercially reasonable efforts to satisfy the
condition precedent specified in clause 3.1(g) (Vendor FIRB) as soon as possible
following execution of this agreement but in any event prior to the End Date.
	 
	 	(e)	 	Without limiting clauses 3.2(a), (b), (c) and (d), the Vendor and the Purchaser
must:

	 	(i)	 	assist each other in procuring fulfilment of the conditions
precedent in clauses 3.1(a) (Mining Act), 3.1(b) (Purchaser FIRB), 3.1(c)
(other approvals), 3.1(d) (SARB), 3.1(f) (Deeds) and 3.1(g) (Vendor FIRB);
	 
	 	(ii)	 	supply to each other copies of all applications made and
information supplied for the purposes of procuring fulfilment of the conditions
precedent in clauses 3.1(a) (Mining Act), 3.1(b) (Purchaser FIRB), 3.1(c)
(other approvals), 3.1(d) (SARB), and 3.1(g) (Vendor FIRB);
	 
	 	(iii)	 	keep each other informed in a timely manner of the status of
any discussions or negotiations with relevant third parties regarding the
conditions precedent in clause 3 (other than clause 3.1(e) (Bridge Loan
Facility)); and
	 
	 	(iv)	 	advise the other party as soon as practicable after it becomes
aware that a condition has been satisfied or on becoming aware that a condition
is incapable of being satisfied.

	 	(f)	 	NMC must:

	 	(i)	 	use its best endeavours to satisfy the condition precedent
specified in clause 3.1(e)(i) as soon as possible following execution of this
agreement but in any event prior to the End Date and that the condition
precedent in clause 3.1(e)(ii) is satisfied at the time Completion is to occur;
	 
	 	(ii)	 	keep the other parties informed in a timely manner of the
status of any discussions or negotiations with relevant third parties regarding
the conditions precedent in clause 3.1(e); and

15.

 

	 	(iii)	 	advise the other parties promptly after it becomes aware that
the conditions precedent in clauses 3.1(e)(i) and (ii) have been satisfied or
it has become impossible for those conditions precedent to be satisfied by the
End Date or the time Completion is to occur (as applicable).

	 	(g)	 	NMC must use its best endeavours to:

	 	(i)	 	enter into definitive agreements for the Bridge Loan Facility
within 45 days of the date of this agreement. For the avoidance of doubt, it
would not be the use of “best endeavours” for the purposes of this clause for
NMC to reject a term of the definitive agreements for the Bridge Loan Facility
which is consistent with a provision of the Commitment Letter;
	 
	 	(ii)	 	obtain the funding under the Bridge Loan Facility assuming it
has been entered into;
	 
	 	(iii)	 	maintain in effect the Commitment Letter; and
	 
	 	(iv)	 	satisfy on a timely basis, but in any event prior to the End
Date, all conditions applicable to NMC or the other relevant Purchaser
Affiliates under the definitive agreements for the Bridge Loan Facility that
are within their control.

	 	(h)	 	A reference to a party being obliged to use its best endeavours does not oblige
that party to take steps that are commercially unreasonable in the circumstances.
	 
	 	(i)	 	If the condition in clause 3.1(e) (Bridge Loan Facility) is satisfied or NMC
waives or is deemed to have waived the condition in clause 3.1(e) (Bridge Loan
Facility) then all of the provisions in this agreement relating to the Commitment
Letter and Bridge Loan Facility shall cease to have any force and effect.
	 
	 	(j)	 	AngloGold Ashanti must:

	 	(i)	 	use its commercially reasonable efforts to satisfy the
condition precedent specified in clause 3.1(h) (AGA Credit Facilities) as soon
as possible following execution of this agreement but in any event prior to the
End Date;
	 
	 	(ii)	 	keep the other parties informed in a timely manner of the
status of any discussions or negotiations with relevant third parties regarding
the condition precedent in clause 3.1(h) (AGA Credit Facilities); and
	 
	 	(iii)	 	advise the other parties promptly after it becomes aware that
the condition precedent in clause 3.1(h) (AGA Credit Facilities) has been
satisfied or it has become impossible for that condition precedent to be
satisfied by the End Date.

	3.3	 	Waiver of conditions precedent

	 	(a)	 	The condition precedent in clause 3.1(a) (Mining Act) may be waived only with
the written agreement of the Vendor and the Purchaser.

16.

 

	 	(b)	 	The conditions precedent in clauses 3.1(b) (Purchaser FIRB), 3.1(c) (other
approvals), 3.1(f) (Deeds) and 3.1(g) (Vendor FIRB) may be waived only with the written
agreement of the Vendor and the Purchaser.
	 
	 	(c)	 	The condition precedent in clause 3.1(d) (SARB) may be waived only by the
Vendor by notice in writing to the Purchaser.
	 
	 	(d)	 	Each of the conditions precedent in clause 3.1(e) (Bridge Loan Facility) may be
waived only by NMC by notice in writing to the Vendor and the Purchaser. NMC is
automatically deemed to have waived those conditions precedent if, on or before the End
Date, it completes a capital market transaction by which it raises at least
US$750,000,000 (seven hundred fifty million United States dollars) provided that NMC is
not under any obligation to pursue a capital market transaction of any kind.
	 
	 	(e)	 	The condition precedent in clause 3.1(h) (AGA Credit Facilities) may be waived
only with the written agreement of the Vendor and the Purchaser.
	 
	 	(f)	 	If the Vendor and the Purchaser proceed with Completion prior to the
satisfaction of any of the conditions precedent in clause 3.1, the relevant party or
parties will be deemed to have waived the requirement for such condition(s) precedent
to have been satisfied prior to Completion occurring.

	3.4	 	Non-satisfaction of condition precedent
	 
	 	 	If every condition precedent referred to in clause 3.1 (other than the condition precedent
in clause 3.1(e)(ii)) is not either satisfied or waived under clause 3.3 on or before the
End Date or the condition precedent in clause 3.1(e)(ii) is not satisfied or waived at the
time Completion is to occur, none of the parties shall be obliged to proceed with Completion
and this agreement shall terminate as and from the End Date or the time Completion is to
occur (as the case requires), other than in respect of:

	 	(a)	 	this clause 3 and clauses 1 (Interpretation), 18 (Costs and Stamp Duty),
19 (Notices) and 21 (General); and
	 
	 	(b)	 	rights and liabilities that have accrued on or before the End Date or the time
Completion is to occur (as the case may be).

	4.	 	OBLIGATIONS BEFORE COMPLETION
	 
	4.1	 	General
	 
	 	 	During the period between the date of this agreement and the date of Completion:

	 	(a)	 	the Vendor undertakes that it will:

	 	(i)	 	not permit or procure or agree to the imposition or creation of
an Encumbrance (other than a Permitted Encumbrance) on or over the Sale
Interest except with the prior consent of the Purchaser; and
	 
	 	(ii)	 	conduct its affairs in relation to the Sale Interest and the
BGM Project in accordance with the Project Agreements and in the ordinary
course of the business of the Joint Venture; and

17.

 

	 	(b)	 	each of Newmont Boddington and the Manager undertakes that it will conduct its
affairs in relation to the BGM Project in accordance with the Project Agreements and in
the ordinary course of the business of the Joint Venture.

	4.2	 	Exercise of rights
	 
	 	 	During the period between the date of this agreement and the date of Completion, subject to
clause 4.1, the Vendor may:

	 	(a)	 	exercise or cause to be exercised any Executive Committee or other vote on a
resolution;
	 
	 	(b)	 	execute any contract or other undertaking; and
	 
	 	(c)	 	otherwise act in relation to the Joint Venture,

	 	 	in its own discretion (acting reasonably), provided that it shall consult with the Purchaser
in relation to the matters referred to in subparagraphs (a), (b) and (c) and may not act in
a manner so as to, and must not refrain from acting if to do so would, frustrate the
objectives of this agreement or the continued conduct of the BGM Project in accordance with
the Project Agreements or any program and budget or other matter approved pursuant to the
Project Agreements.

	5.	 	NET PROJECT COSTS
	 
	 	 	The Vendor must, at least 3 Business Days before the Completion Date, give the Purchaser a
statement prepared with reasonable care and in good faith and setting out:

	 	(a)	 	each Called Sum paid by the Vendor from the commencement of the Pre-Completion
Period to the date of the statement, showing the date of payment and the amount paid;
and
	 
	 	(b)	 	each amount received by the Vendor by way of Project Receipts in the period
mentioned in clause 5(a) specifying the date, amount and details of the transaction
giving rise to each receipt.

	 	 	At Completion, the Purchaser shall reimburse to the Vendor a sum equal to the difference
between the Called Sums specified in clause 5(a) and the Project Receipts specified in
clause 5(b), if the result is a positive number. At Completion, the Vendor shall reimburse
to the Purchaser a sum equal to the difference between the Called Sums specified in
clause 5(a) and the Project Receipts specified in clause 5(b), if the result is a negative
number.

	6.	 	COMPLETION
	 
	6.1	 	Time and place
	 
	 	 	Completion of the sale and purchase referred to in clause 2.1 will take place at the office
of the Purchaser in Perth, Western Australia (or at such other place in Australia as
notified in writing by the Purchaser to the Vendor) at 12.00 midday on the Completion Date.

18.

 

	6.2	 	Effect of Completion

	 	(a)	 	At Completion, the Vendor shall sell and assign the Sale Interest, free from
Encumbrances (other than the Permitted Encumbrances) to the Purchaser for the Purchase
Price.
	 
	 	(b)	 	On and from Completion:

	 	(i)	 	in accordance with clause 9, the Purchaser shall assume all
Assumed Liabilities; and
	 
	 	(ii)	 	the Purchaser shall be entitled to exclusive benefit, ownership
and possession of the Sale Interest and the Sale Interest shall be at its risk.

	6.3	 	Vendor’s obligations
	 
	 	 	At Completion, the Vendor must pay to the Purchaser the 2008 Cash Call Deficit, the Net
Project Costs (if any) in accordance with clause 14 and deliver to the Purchaser:

	 	(a)	 	(i) 	 	3 original counterparts of the Disponee’s Deed of Covenant (BBAW Sublease)
executed by all parties other than the Purchaser;

	 	(ii)	 	3 original counterparts of the Disponee’s Deed of Covenant (JAA
Sublease) executed by all parties other than the Purchaser; and
	 
	 	(iii)	 	any other transfer in favour of the Purchaser of the Vendor’s
interest as tenant in common in each of the Tenements (other than the
Subleases) (including transfers in respect of the Applications that have been
applied for but have not as at Completion been granted, which transfers the
Purchaser shall not register unless and until the relevant tenement the subject
of the Application applied for (in each case) has been granted), in the
prescribed form or where no form is prescribed in a form reasonably acceptable
to the Purchaser, executed by the Vendor as transferor;

	 	(b)	 	transfers in favour of the Purchaser of the Vendor’s interest as tenant in
common in any freehold land or crown lease forming part of the Sale Interest, in the
prescribed form or where no form is prescribed in a form reasonably acceptable to the
Purchaser, executed by the Vendor as transferor together with any certificates of title
of any such freehold land or crown lease;
	 
	 	(c)	 	8 original counterparts of the Disponee’s Deed of Covenant (Restated Boddington
Gold Mine Cross Operation Agreement) executed by all parties to that deed other than
the Purchaser (provided that Newmont Boddington and the Manager must so execute the
Disponee’s Deed of Covenant (Restated Boddington Gold Mine Cross Operation Agreement)
in a timely manner for the purposes of Completion);
	 
	 	(d)	 	3 original counterparts of the Deed of Release (AGAA Boddington Gold Mine Deed
of Cross Charge) executed by the Vendor, Newmont Boddington and the Manager (provided
that Newmont Boddington and the Manager must so execute the Deed of Release (AGAA
Boddington Gold Mine Deed of Cross Charge) in a timely manner for the purposes of
Completion);

19.

 

	 	(e)	 	2 original counterparts of the General Deed of Assignment BGM Interest executed
by the Vendor;
	 
	 	(f)	 	5 original counterparts of the Deed of Covenant and Release Hedges Gold Mine
Sale and Purchase Agreement executed by all parties other than the Purchaser (provided
that Newmont Boddington must so execute the Deed of Covenant and Release Hedges Gold
Mine Sale and Purchase Agreement in a timely manner for the purposes of Completion);
	 
	 	(g)	 	9 original counterparts of the Deed of Covenant and Release – Sotico Agreements
executed by all parties other than the Purchaser;
	 
	 	(h)	 	8 original counterparts of the Deed of Covenant Worsley Transfer Agreement &
Letter Agreement executed by all parties other than the Purchaser (provided that
Newmont Boddington must so execute the Deed of Covenant Worsley Transfer Agreement &
Letter Agreement in a timely manner for the purposes of Completion);
	 
	 	(i)	 	4 original counterparts of the Deed of Assignment and Assumption Product Sales
Documents executed by all parties other than the Purchaser (provided that the Purchaser
has procured that the relevant Purchaser Affiliates have executed the Deed of
Assignment and Assumption Product Sales Documents in a timely manner for the purposes
of Completion);
	 
	 	(j)	 	withdrawals of caveats in the name of the Vendor in respect of any of the
Tenements and land comprised in the Joint Venture Assets, duly executed by the Vendor;
	 
	 	(k)	 	all other agreements (if any) evidencing the Vendor’s title to assets included
in the Sale Interest;
	 
	 	(l)	 	all documents necessary to either assign to the Purchaser or discharge (as the
Purchaser directs), with effect on and from Completion, the Vendor’s interest in the
Newmont Boddington Cross Charge;
	 
	 	(m)	 	Records in accordance with the requirements of clause 8; and
	 
	 	(n)	 	any other document which the Purchaser, acting reasonably, considers necessary
or desirable to:

	 	(i)	 	assure to the Purchaser good and marketable title to the Sale
Interest and the Vendor’s interest in the Joint Venture Assets comprised in the
Sale Interest, in a form which the Purchaser reasonably requires and submits to
the Vendor as soon as practicable after becoming aware of the requirement for
such document and in any event at least 5 Business Days before Completion
(provided that where such a document is required as a result of conditions
imposed on any approvals or consents that have been received as contemplated by
clause 3.1, at least 2 Business Days before Completion); and
	 
	 	(ii)	 	give effect to the exit of the Vendor from the Joint Venture,
in a form which the Purchaser reasonably requires and submits to the Vendor as
soon as

20.

 

	 	 	 	practicable after becoming aware of the requirement for such document and in
any event at least 5 Business Days before Completion (provided that where
such a document is required as a result of conditions imposed on any
approvals or consents that have been received as contemplated by clause 3.1,
at least 2 Business Days before Completion).

	6.4	 	Purchaser’s obligations
	 
	 	 	At Completion, the Purchaser must:

	 	(a)	 	pay to the Vendor the Cash Completion Amount and the Net Project Costs (if any)
in accordance with clause 14;
	 
	 	(b)	 	deliver to the Vendor 3 original counterparts of the Royalty Deed executed by
the Purchaser;
	 
	 	(c)	 	execute the following documents (to the extent not already executed before
Completion by the Purchaser or applicable Purchaser Affiliate, if any):

	 	(i)	 	3 original counterparts of the Disponee’s Deed of Covenant
(BBAW Sublease);
	 
	 	(ii)	 	3 original counterparts of the Disponee’s Deed of Covenant (JAA
Sublease);
	 
	 	(iii)	 	the transfers delivered by the Vendor under clause 6.3(a)(iii)
and clause 6.3(b);
	 
	 	(iv)	 	8 original counterparts of the Disponee’s Deed of Covenant
(Restated Boddington Gold Mine Cross Operation Agreement);
	 
	 	(v)	 	2 original counterparts of the General Deed of Assignment BGM
Interest;
	 
	 	(vi)	 	6 original counterparts of the Deed of Covenant and Release
Hedges Gold Mine Sale and Purchase Agreement;
	 
	 	(vii)	 	9 original counterparts of the Deed of Covenant and Release –
Sotico Agreements;
	 
	 	(viii)	 	8 original counterparts of the Deed of Covenant Worsley Transfer Agreement &
Letter Agreement;
	 
	 	(ix)	 	4 original counterparts of the Purchaser’s Cross Charge;
	 
	 	(x)	 	3 Purchaser’s Assumption Deed;
	 
	 	(xi)	 	4 original counterparts of the Deed of Assignment and
Assumption Product Sales Documents; and

	 	(d)	 	each of the original counterparts of the documents delivered by the Vendor to
the Purchaser under clause 6.3.

21.

 

	6.5	 	Obligations interdependent
	 
	 	 	Notwithstanding anything to the contrary in this agreement, Completion will not be deemed to
have occurred unless and until every step required under clauses 6.3 and 6.4 has either
occurred or there is written agreement to the contrary between the parties.
	 
	6.6	 	Property in assets
	 
	 	 	Title and risk in the Sale Interest passes to the Purchaser on and from Completion.
	 
	6.7	 	Newmont Boddington and Manager undertaking
	 
	 	 	Newmont Boddington and the Manager will promptly:

	 	(a)	 	take all actions required to be taken and execute and deliver all documents
required to be executed by it under this clause 6; and
	 
	 	(b)	 	take all actions reasonably required to be taken and execute and deliver all
documents reasonably required to be executed, in each case to expeditiously implement
the transactions contemplated by this agreement.

	7.	 	POST-COMPLETION MATTERS
	 
	7.1	 	Vendor’s obligations
	 
	 	 	Promptly after Completion, the Vendor must:

	 	(a)	 	deliver to each of Newmont Boddington, the Purchaser and the Manager a partly
executed original counterpart of the Purchaser’s Assumption Deed (executed by the
Purchaser);
	 
	 	(b)	 	lodge with ASIC and such other authorities as required by law such notices or
documents as are necessary to discharge and release all property charged under the
Vendor’s Cross Charge; and
	 
	 	(c)	 	as and when it receives any Project Receipt pay the amount of that receipt to
the Purchaser.

	7.2	 	Purchaser’s obligations

	 	(a)	 	Not later than 10 days after Completion, the Purchaser must deliver to each of
the other parties an executed original counterpart of each of the documents referred to
in clause 6.4(c).
	 
	 	(b)	 	The Purchaser must ensure that, promptly following Completion (and in any case
within the time period required by law):

	 	(i)	 	this agreement; and
	 
	 	(ii)	 	any instrument, document, agreement, deed or transaction
contemplated in or necessary to give effect to this agreement,

	 	 	 	are submitted for assessment of stamp duty and (if required) registration.

22.

 

	7.3	 	Caveat over land and Tenements

	 	(a)	 	The Purchaser will be entitled to lodge an absolute caveat against the title to
the Vendor’s interest in any land to protect the Purchaser’s interest in the land
(other than the Tenements) under this agreement immediately after its execution, until
registration of a transfer of such land, applications and other documents necessary to
vest the Vendor’s interest in the land in the Purchaser whereupon the Purchaser at its
own expense shall forthwith withdraw the caveat.
	 
	 	(b)	 	The Purchaser will be entitled to lodge caveats against the Tenements to
protect its interest in the Tenements under this agreement immediately after Completion
until registration of a transfer of the Tenements.

	7.4	 	Maintenance and access to Records
	 
	 	 	The Purchaser will:

	 	(a)	 	securely keep and maintain for a period of 8 years from the Completion Date all
Records provided to it by the Vendor under clause 8; and
	 
	 	(b)	 	give the Vendor reasonable access to such Records during normal business hours
for the purposes of the Vendor conducting inspections or making copies of such Records,
at the Vendor’s cost, in order to comply with the requirements of any law, regulation
or Authorisation or the requirement of any Government Agency, or for its taxation or
accountancy purposes, or for the purposes of any actual or threatened Claim,
litigation, investigation or proceeding (including a claim in respect of the Vendor
Warranties), provided that as soon as reasonably practicable after these compliance
obligations or purposes have been discharged, the Vendor shall destroy (and shall
promptly thereafter confirm to the Purchaser in writing that it has destroyed) all
records and information obtained under this clause 7.4(b), except as it may otherwise
be required by law to retain such records and information (or copies of such records
and information).

	7.5	 	Post Completion Amount

	 	(a)	 	The Purchaser may elect in its sole discretion to pay the Post Completion
Amount:

	 	(i)	 	in cash in accordance with clause 7.5(b);
	 
	 	(ii)	 	if all of the conditions of clause 7.5(c) are satisfied,
through the issuance by NMC to the Vendor (or a Vendor Affiliate specified by
the Vendor in writing no less than five Business Days in advance of such
issuance (a “Designated Affiliate”)) of NMC Shares in accordance with clause
7.5(c); or
	 
	 	(iii)	 	through a combination of (i) and (ii).

	 	 	 	Any NMC Shares issued pursuant to this clause 7.5 are referred to as the “Vendor NMC
Shares” and the date on which such Vendor NMC Shares are issued is referred to as the
“Post Completion Share Issuance Date”. Notwithstanding the foregoing, if a Bankruptcy
Event occurs with respect to NMC prior to the issuance

23.

 

	 	 	 	of the Vendor NMC Shares, the Post Completion Amount shall immediately become due and
payable, in cash, to the Vendor.

	 	(b)	 	The Purchaser must pay the Post Completion Amount, or any part of it that the
Purchaser does not or cannot satisfy through the issuance of NMC Shares pursuant to
clause 7.5(c), to the Vendor, in cash on or before 31 December 2009 in accordance with
clause 14.
	 
	 	(c)	 	Subject to the following conditions, the Purchaser may satisfy the Post
Completion Amount or any part of it by procuring the issuance of NMC Shares to the
Vendor (or a Designated Affiliate):

	 	(i)	 	The Purchaser shall provide a written notice (“Post Completion
Share Issuance Notice”) to the Vendor of its election pursuant to clause 7.5(a)
on or before 1 December 2009 (the date such notice is received by the Vendor is
referred to herein as the “Post Completion Share Issuance Notice Date”) that:

	 	(A)	 	specifies the portion of the Post Completion
Amount that the Purchaser elects to satisfy through the issuance of the
Vendor NMC Shares;
	 
	 	(B)	 	specifies the proposed date of issuance of the
Vendor NMC Shares; and
	 
	 	(C)	 	contains a certification from NMC that, to NMC’s
knowledge after due enquiry, as of the Post Completion Share Issuance
Notice Date, no event has occurred, or is expected to occur during the
period beginning on the Post Completion Share Issuance Notice Date and
ending on the tenth Trading Day following the proposed date of issuance
of the Vendor NMC Shares, that would be expected to result in a Blackout
Period commencing prior to the end of such tenth Trading Day.

	 	(ii)	 	Immediately prior to the issuance of the Vendor NMC Shares on
the Post Completion Share Issuance Date, NMC shall deliver a certificate to the
Vendor stating that, as of the Post Completion Share Issuance Date:

	 	(A)	 	to NMC’s knowledge after due enquiry, no event
has occurred, or is expected to occur during the period beginning on the
Post Completion Share Issuance Date and ending on the tenth Trading Day
following the Post Completion Share Issuance Date, that would result in
a Blackout Period commencing prior to the end of such tenth Trading Day;

	 	(B)	 	NMC is not aware of any event that will require
NMC to make a public announcement or take any action that would
reasonably be expected to have an impact on the value or tradability of
NMC Shares during the ten Trading Days immediately following the Post
Completion Share Issuance Date; and

24.

 

	 	(C)	 	NMC has complied in all material respects with
its obligations to be performed on or prior to the Post Completion Share
Issuance Date under this agreement.

	 	(iii)	 	The Vendor NMC Shares shall have been approved for listing,
subject to issuance, on the New York Stock Exchange prior to the Post
Completion Share Issuance Date.
	 
	 	(iv)	 	As of the Post Completion Share Issuance Date, NMC shall have
complied in all material respects with its obligations to be performed on or
prior to the Post Completion Share Issuance Date under this agreement.
	 
	 	(v)	 	Any certificate signed and delivered by NMC to the Vendor
pursuant to subparagraphs (i) and (ii) shall be deemed a representation and
warranty by NMC to the Vendor under this agreement as to the matters covered
thereby and such representations and warranties shall be true and correct as of
the respective dates on which they are given.

	 	 	 	Notwithstanding the delivery of the Post Completion Share Issuance Notice, the
Purchaser shall not be entitled to satisfy any part of the Post Completion Amount
through the issuance of NMC Shares unless all of the conditions of this
clause 7.5(c) have been satisfied, or waived in writing by the Vendor. The Purchaser
acknowledges and agrees that if such conditions have not been satisfied or waived by
the Vendor by 10 December 2009 then it must pay all of the Post Completion Amount in
cash pursuant to clause 7.5(b).
	 
	 	(d)	 	The total number of Vendor NMC Shares to be issued by NMC pursuant to this
clause 7.5 will be the number determined by dividing the dollar amount of the Post
Completion Amount that the Purchaser has elected to satisfy through the issuance of NMC
Shares by the volume weighted average price at which NMC Shares traded on the New York
Stock Exchange on the five Trading Days immediately prior to the Post Completion Share
Issuance Date, rounded down to the nearest share in the event of a fractional result.
	 
	 	(e)	 	NMC undertakes to the Vendor that:

	 	(i)	 	It shall issue any Vendor NMC Shares to be issued pursuant to
this clause 7.5 on or prior to 10 December 2009. On the Post Completion Share
Issuance Date, NMC shall deliver or cause to be delivered to the Vendor a
certificate or certificates, registered in the name of the Vendor or the
Designated Affiliate, evidencing such Vendor NMC Shares or in such other manner
as the Vendor shall reasonably request in writing no less than five Business
Days prior to the Post Completion Share Issuance Date.
	 
	 	(ii)	 	The Vendor NMC Shares, if issued:

	 	(A)	 	will be duly and validly issued and fully paid
and non-assessable and will rank (as of the Post Completion Share
Issuance Date) pari passu with all other issued NMC Shares; and

25.

 

	 	(B)	 	subject to the provisions of schedule 5 to this
agreement, and to the acknowledgement contained in paragraph (f), may be
freely resold by the Vendor (or a Designated Affiliate) on the New York
Stock Exchange.

	 	(f)	 	The Vendor acknowledges that any Vendor NMC Shares issued pursuant to this
clause 7.5 will be restricted securities and may not be resold except:

	 	(i)	 	pursuant to an effective registration statement covering the
resale of such Vendor NMC Shares; or
	 
	 	(ii)	 	pursuant to an exemption from or in a transaction not subject
to the registration requirements of the Securities Act.

	 	(g)	 	Each of NMC and the Vendor acknowledges and agrees that it will comply with the
provisions of schedule 5 which forms an integral part of this agreement. The Vendor
acknowledges and agrees that it will procure such compliance from any Designated
Affiliate.

	8.	 	RECORDS

	 	(a)	 	Prior to Completion, the Vendor must use its commercially reasonable efforts to
locate the originals and copies, whether electronic or paper-based, of Confidential
Information that is in the possession, custody or control of the Vendor or Vendor
Affiliates (Records) and, subject to clauses 8(d) and 8(e), deliver such Records to the
Purchaser at Completion.
	 
	 	(b)	 	During the six months after the Completion Date, the Vendor must continue to
use its commercially reasonable efforts to locate all Records in its possession,
custody or control, and, subject to clauses 8(d) and 8(e), deliver any such Records to
the Purchaser as soon as practicable after such Records are located by it. Thereafter,
subject to clauses 8(d) and 8(e), the Vendor must deliver to the Purchaser all Records
as soon as practicable after any such Records are located by it.
	 
	 	(c)	 	All Records held by the Manager as at Completion, will be deemed to have been
delivered by the Vendor to the Purchaser on the Completion Date.
	 
	 	(d)	 	Notwithstanding any other provision in this agreement, the Vendor is not
obliged to deliver to the Purchaser:

	 	(i)	 	the originals of any Records if the Vendor or the Vendor
Affiliate is required to retain such Records by any law, regulation or
Authorisation or the requirement of any Government Agency, provided that the
Vendor shall provide copies of such documents to the Purchaser and allow the
Purchaser to access such originals should the Purchaser require such access; or
	 
	 	(ii)	 	the original or any copies of any Records that:

	 	(A)	 	are the subject of legal professional privilege
in favour of the Vendor or a Vendor Affiliate; or

	 	(B)	 	relate to board papers of the Vendor or a Vendor
Affiliate.

26.

 

	 	(e)	 	Where Records are the subject of confidentiality obligations owed by the Vendor
or a Vendor Affiliate to a third party or third parties (as the case may be), the
Vendor must use its commercially reasonable efforts to obtain any consent from a third
party or third parties (as the case may be) to disclose such Records to the Purchaser
at Completion or as soon as reasonably possible following Completion or the location of
the relevant Records by the Vendor after Completion as required by clause 8(b) (as
applicable). If a third party or third parties (as the case may be) refuses to grant
consent to the Vendor or a Vendor Affiliate disclosing relevant Records to the
Purchaser within three months following Completion or the date on which the relevant
Records are located by the Vendor after Completion as required by clause 8(b) (as
applicable), the Vendor and Purchaser must promptly meet, together with, to the extent
practicable, such third party, to discuss and try to resolve the matter.

	9.	 	LIABILITIES
	 
	9.1	 	Purchaser Liabilities
	 
	 	 	Except as provided in clause 9.5, and notwithstanding clause 11 or any deed of assignment,
assumption or novation entered into in connection with this agreement, with effect from
Completion, the Purchaser accepts and assumes responsibility for all the Assumed
Liabilities.
	 
	9.2	 	Indemnity in respect of Assumed Liabilities
	 
	 	 	Notwithstanding the provisions of clause 11 or any deed of novation, assignment or
assumption entered into in connection with this agreement, the Purchaser indemnifies and
agrees to hold harmless the Vendor and each Vendor Affiliate from and against all Assumed
Liabilities.
	 
	9.3	 	Vendor release

	 	(a)	 	With effect from, and subject to, Completion, each of NMC, NAL, Newmont
Boddington and the Manager releases (and NMC shall procure that any other Purchaser
Affiliate releases) the Vendor and Vendor Affiliates from all Claims, Losses and Legal
Liabilities that, but for this release, NMC, NAL, Newmont Boddington or the Manager (or
any other Purchaser Affiliate) may have had or brought, or at any time in the future
may have or bring, against the Vendor or any Vendor Affiliate (whether solely or
together with any other Joint Venturer or other person that holds or may hold any
right, title or interest in or in relation to the Joint Venture) in connection with, or
arising from the Vendor’s BGM Interest, the Joint Venture, the BGM Project, any Project
Agreement or Joint Venture Asset or otherwise in connection with, or arising from the
Sale Interest or the relationship between the Vendor and Newmont Boddington as Joint
Venturers in the BGM Project, and the Vendor’s relationship with the Manager.
	 
	 	(b)	 	The release in clause 9.3(a) does not apply to the extent that Claims, Losses
and Legal Liabilities arise as a result of a breach of this agreement by the Vendor.

27.

 

	9.4	 	Purchaser Affiliate release

	 	(a)	 	With effect from, and subject to, Completion, the Vendor releases (and shall
procure that the Vendor Affiliates release) Newmont Boddington, NMC, NAL, the Manager
and each Purchaser Affiliate from all Claims, Losses and Legal Liabilities that, but
for this release, the Vendor (or any Vendor Affiliate) may have had or brought, or at
any time in the future may have or bring, against Newmont Boddington, NMC, NAL, the
Manager or any Purchaser Affiliate (whether solely or together with any other Joint
Venturer or other person that holds or may hold any right, title or interest in or in
relation to the Joint Venture) in connection with, or arising from, the Vendor’s BGM
Interest, the Joint Venture, the BGM Project, any Project Agreement or Joint Venture
Asset or otherwise in connection with, or arising from the Sale Interest or the
relationship between the Vendor and Newmont Boddington as Joint Venturers in the BGM
Project, and the Vendor’s relationship with the Manager.
	 
	 	(b)	 	The release in clause 9.4(a) does not apply to the extent that Claims, Losses
and Legal Liabilities arise as a result of a breach of this agreement by the Purchaser
or any Purchaser Affiliate that is a party to this agreement.

	9.5	 	Limitation on releases and Assumed Liabilities

	 	(a)	 	The Purchaser’s obligation to indemnify and hold harmless the Vendor and the
Vendor Affiliates under clause 9.2, the assumption of the Assumed Liabilities under
clause 9.1 and the release under clause 9.3 shall not apply to any Claim, Loss or
Liability:

	 	(i)	 	to the extent that such Claim, Loss or Liability relates to or
arises from:

	 	(A)	 	a breach of any of the Vendor Warranties;
	 
	 	(B)	 	the Gross Negligence, wilful misconduct or fraud
of the Vendor or any Vendor Affiliate;
	 
	 	(C)	 	any dealing, activity or business outside the
scope of the business conducted by the Joint Venture up to the date of
this agreement; or
	 
	 	(D)	 	an Excluded Contract.

	 	(b)	 	The Vendor’s obligation to release a Purchaser Affiliate under clause 9.4 shall
not apply to any Claim, Loss or Liability to the extent that such Claim, Loss or
Liability relates to or arises from:

	 	(i)	 	the Gross Negligence, wilful misconduct or fraud of the
Purchaser or any Purchaser Affiliate; or
	 
	 	(ii)	 	a breach of any of the Purchaser Warranties.

	9.6	 	Claims procedure – Assumed Liabilities
	 
	 	 	If a Claim is made by a third party against the Vendor or a Vendor Affiliate that gives rise
or may give rise to an Assumed Liability:

28.

 

	 	(a)	 	(notice of Claims) The Vendor must give written notice of a Claim to the
Purchaser (setting out in reasonable detail the fact, circumstance or matter giving
rise to the Claim, any material documents relating to the Claim and, if applicable, the
Vendor’s calculation of the loss suffered) as soon as reasonably practicable after the
Vendor or the Vendor Affiliate becomes aware of the fact, circumstance or matter on
which the Claim is based;
	 
	 	(b)	 	(insurance) The Vendor must take, or must procure that the Vendor Affiliate
take, commercially reasonable steps to enforce its rights of indemnity under any policy
of insurance available to it in respect of the Claim and not compromise or settle any
such rights without the prior written consent of the Purchaser (not to be unreasonably
withheld or refused);
	 
	 	(c)	 	(no admission) The Vendor or the Vendor Affiliate (as applicable) must not make
any admission of liability, agreement or compromise with any person in relation to the
Claim without first consulting with and obtaining the approval of the Purchaser (which
approval must not be unreasonably withheld or delayed);
	 
	 	(d)	 	(control) Provided the Purchaser admits in writing that the amount (if any)
ultimately payable in respect of the Claim will be an Assumed Liability, the Purchaser
shall, at its cost, have the right to take control of the conduct of the defence,
settlement and compromise of any such Claim;
	 
	 	(e)	 	(out of pocket expenses) The Purchaser must reimburse the Vendor and the Vendor
Affiliates for their reasonable out of pocket expenses in complying with this clause
including legal costs on a solicitor and client basis; and
	 
	 	(f)	 	(credit) If, after the Purchaser has made any payment to the Vendor or the
Vendor Affiliate under this clause, the Vendor or the Vendor Affiliate receives any
benefit, recovery (including under any applicable insurance) or credit by reason of
matters to which the Claim relates then the Vendor must repay to the Purchaser a sum
corresponding to the amount of the payment or (if less) the amount of the benefit or
credit.

	9.7	 	No liability for consequential loss
	 
	 	 	Under no circumstances will a party be liable to make any payment (whether by way of damages
or otherwise) to any other party pursuant to this agreement or any Claim under or in respect
of this agreement for any indirect or consequential loss, such as loss of profits, loss of
opportunity or loss of reputation, however arising.
	 
	10.	 	ACQUISITION CONDITIONS
	 
	 	 	With effect from Completion, the Purchaser will have title to and possession of the Sale
Interest subject to the Permitted Encumbrances and:

	 	(a)	 	the terms and conditions of the Project Agreements and the Contracts;
	 
	 	(b)	 	the terms and conditions of the instruments of title in respect of the
Tenements; and
	 
	 	(c)	 	the provisions of all relevant statutes, statutory regulations, by-laws and
ordinances of any Government Agency having jurisdiction and Orders in Council.

29.

 

	11.	 	ASSIGNMENT OF CONTRACTS
	 
	11.1	 	Identifying Contracts
	 
	 	 	The Vendor and Purchaser shall meet in good faith as soon as practicable following execution
of this agreement to identify all Contracts (not otherwise identified in the schedules to
this agreement) for the purpose of transfer, assignment or novation by the Vendor to the
Purchaser under and in accordance with this clause 11.
	 
	11.2	 	Assignment and assumption of Vendor’s interests in the Contracts
	 
	 	 	Subject to Completion and this clause 11, the Vendor assigns and transfers to the Purchaser
all the right, title and interest of the Vendor in or arising out of each Contract not dealt
with in any of the schedules to this agreement, with effect from Completion. Subject to
Completion and clause 9.1, the Purchaser assumes all of the obligations of the Vendor under
each of the Contracts not dealt with in any of the schedules to this agreement, the benefit
of which is duly assigned to or novated in favour of the Purchaser, and where possible, from
Completion the Purchaser will assume responsibility for the performance of and comply with
the terms of all those Contracts (including those which have not been assigned or novated or
cannot be assigned or novated, or where consent to novate or assign is withheld).
	 
	11.3	 	Contracts
	 
	 	 	The Vendor and the Purchaser must use reasonable endeavours to promptly execute a Deed of
Assignment and Assumption (Other Contracts) (with such amendments as are necessary to comply
with the requirements of the relevant Contract) with each of the other parties to each of
the Contracts before Completion and to procure that the other party also does so. For the
avoidance of doubt in respect of each such deed that is executed, that deed and not
clause 11.2 will operate to effect a novation, assignment and transfer of the Vendor’s right
title and interest in or arising under, and an assumption of the Vendor’s obligations under,
the relevant Contract.
	 
	11.4	 	Notice to other parties
	 
	 	 	The Vendor and the Purchaser must prior to Completion give a notice in such form as the
Vendor and Purchaser may agree (acting reasonably) to the other parties to a Contract, where
they, acting reasonably, agree that such notice is necessary or desirable.
	 
	11.5	 	Further action by Vendor
	 
	 	 	If requested by the Purchaser, the Vendor must execute and deliver to the Purchaser all
further documents, deeds and instruments and do all other things on its part which may be
necessary to assign the Vendor’s benefit under any of the Contracts to the Purchaser
absolutely or use its reasonable endeavours to procure a novation of the Vendor’s right,
title and interest in or arising under, and obligations under, any of the Contracts in
favour of the Purchaser (at the Purchaser’s election, exercised reasonably) with effect from
Completion.

30.

 

	11.6	 	Procure other parties

	 	(a)	 	The Vendor and the Purchaser must each use reasonable endeavours to procure any
consent of a third party to an assignment of the Vendor’s benefit under, or novation of
the Vendor’s right, title and interest in or arising under, and obligations under, a
Contract which may be required.
	 
	 	(b)	 	Subject to clause 11.6(a), but without prejudicing or limiting clause 11.7, the
Purchaser acknowledges and agrees that it has no rights against the Vendor or Vendor
Affiliates in relation to any requirement under the terms of any Contract to obtain any
consent to assignment or novation or the consequences arising from such consent,
assignment or novation not having been obtained by Completion or at all.

	11.7	 	Benefit of Contracts
	 
	 	 	If:

	 	(a)	 	for any reason a Deed of Assignment and Assumption (Other Contracts) (with such
amendments as are necessary to comply with the requirements of the relevant Contract)
has not been entered into by the date of Completion in relation to a Contract, and the
benefit and burden of the Vendor under that Contract is not effectively assigned and
assumed or novated under the document in the form of the documents set out in any other
schedule to this agreement that is executed and delivered as required by this
agreement, in the absence of arrangements to the contrary;
	 
	 	(b)	 	the Vendor’s benefit under a Contract is not effectively assigned or novated at
Completion or cannot be effectively assigned without the consent of the other party
(including because the Contract does not allow the Purchaser to perform the terms of
the Contract without the consent of the other party or the other party first agreeing
to novate the Contract) and the party does not consent to the assignment or agree to
novate the Contract by Completion; or
	 
	 	(c)	 	a notice under clause 11.4 is not effective,

	 	 	then:

	 	(d)	 	the Vendor will hold its benefit under the Contract for and on behalf of the
Purchaser and perform the Contract in accordance with the directions (provided a
direction is not unlawful) of the Purchaser; and
	 
	 	(e)	 	subject to the Vendor having complied in all material respects with its
obligations under clause 11.7(d), without limiting clause 9.2, the Purchaser must
defend, indemnify and hold the Vendor harmless against all Legal Liabilities, Losses
and Claims directly or indirectly incurred or suffered by the Vendor in respect of that
Contract that arise out of acts, omissions or events that occur after Completion.

	 	 	For the avoidance of doubt, clause 11.7(e) does not operate to indemnify any person against
a Claim, Loss or Legal Liability:

	 	(f)	 	to the extent that it arises from the Gross Negligence, wilful misconduct or
fraud of the Vendor or a Vendor Affiliate; or

31.

 

	 	(g)	 	in respect of a pending action, claim or proceeding against the Vendor or a
Vendor Affiliate (excluding an action, claim or proceeding in common with the other
Joint Venturer) only if the Vendor or the Vendor Affiliate has not complied with
clause 9.6 applied mutatis mutandis.

	12.	 	PERFORMANCE BONDS, GUARANTEES AND APPLICATIONS
	 
	12.1	 	Performance Bonds

	 	(a)	 	The Purchaser must replace each Performance Bond to the extent the Performance
Bond has been provided by or on behalf of the Vendor promptly after Completion, but in
any event, no later than 10 Business Days after the Completion Date.
	 
	 	(b)	 	The Purchaser must use its reasonable endeavours to ensure that the Vendor’s
share of each Performance Bond in place as at the Completion Date is refunded or
released to the Vendor as soon as possible following the Completion Date.
	 
	 	(c)	 	The Vendor must maintain the Performance Bonds in full force and effect until
replaced in accordance with clause 12.1(a).
	 
	 	(d)	 	If the Purchaser fails to provide the Vendor with replacements for the
Performance Bonds within 12 Business Days of the Completion Date (or such other period
agreed by the parties in writing) the Purchaser will reimburse the Vendor’s reasonable
costs and expenses associated with maintaining the Performance Bonds from the expiry of
that period until such time as the Performance Bonds are replaced.

	12.2	 	Vendor Group Guarantees

	 	(a)	 	As soon as practicable after either the Vendor or the Purchaser actually
becomes aware (whether before, on or after Completion) of the existence of any Vendor
Group Guarantee, that party must give notice to the other party of the existence of
such Vendor Group Guarantee and provide:

	 	(i)	 	a copy of the relevant documents evidencing a Vendor Group
Guarantee; and
	 
	 	(ii)	 	a copy of any document or agreement giving rise to the
requirement to provide such Vendor Group Guarantee.

	 	(b)	 	If the Purchaser or Vendor (as the case may be) so requests, the other party
must promptly provide to the first named party any additional information regarding the
requirement to provide the relevant Vendor Group Guarantee as may be available to the
other party.
	 
	 	(c)	 	If the Vendor Group Guarantee is given together with a Newmont Boddington
guarantee, then the Purchaser and Vendor must use reasonable endeavours to obtain the
release, with effect from Completion or with effect from as soon as practicably
possible after Completion, of each member of the Vendor Group from Liability under any
Vendor Group Guarantee.

32.

 

	 	(d)	 	If the Vendor and Purchaser are unable to obtain the release of a member of the
Vendor Group from Liability under a Vendor Group Guarantee that has been given together
with a Newmont Boddington guarantee on or from Completion:

	 	(i)	 	the Purchaser will indemnify such member against any Liability
arising directly or indirectly under the Vendor Group Guarantee; and
	 
	 	(ii)	 	the Purchaser will continue to use reasonable endeavours to
obtain, as soon as practicably possible after Completion, the release of each
member of the Vendor Group from Liability under any Vendor Group Guarantee.

	 	(e)	 	For the purposes of this clause 12.2, ‘reasonable endeavours’ includes
the Purchaser or (at the request of the relevant third party) another Purchaser
Affiliate providing the relevant third party with a replacement guarantee or security
on the same or substantially the same terms as the existing Vendor Group Guarantee.

	12.3	 	Applications

	 	(a)	 	Without limiting any other obligation under this agreement, with effect from
Completion until the grant of the Applications, the Purchaser must comply, at its cost,
with any applicable law and the proper requirements of Government Agencies in
connection with the Applications.
	 
	 	(b)	 	As between the Vendor and the Purchaser, the Purchaser will, following
Completion, to the maximum extent legally permissible have responsibility for (at its
own cost and expense) all aspects of the processing and grant of the Applications. The
parties will agree a form of power of attorney from the Vendor in favour of the
Purchaser to facilitate (to the extent required) the Purchaser’s responsibility for the
processing and grant of the Applications.
	 
	 	(c)	 	The Purchaser must reimburse the Vendor for all proper and reasonable out of
pocket costs and expenses incurred by the Vendor under this clause after Completion as
a result of the Vendor taking any action in respect of the Applications in accordance
with the directions or instructions of the Purchaser.
	 
	 	(d)	 	On the grant of any tenement pursuant to an Application, the Purchaser must
promptly lodge the relevant transfer provided at Completion with respect to such
tenement, and must bear and pay all stamp duty, registration fees or other fees and
duties payable in respect of a transfer and its lodgement and registration.
	 
	 	(e)	 	Without limiting any other indemnity in this agreement, with effect from
Completion the Purchaser indemnifies and agrees to hold harmless the Vendor from and
against all Liability which may arise or be incurred or sustained by the Vendor from or
in connection with the Applications or any tenements granted pursuant to the
Applications, and any action taken by the Vendor in respect of the Applications upon
the direction or instruction of the Purchaser under this agreement.
	 
	 	(f)	 	Notwithstanding any other provision of this clause 12.3, the Vendor will not be
required to comply with any direction of the Purchaser under this clause which would
breach any applicable law or regulation or the requirements of any

33.

 

	 	 	 	Government Agency or which would be unreasonable taking into account all of the
circumstances.

	13.	 	WARRANTIES
	 
	13.1	 	Vendor Warranties
	 
	 	 	The Vendor represents and warrants in favour of the Purchaser that as at the date of this
agreement and the Completion Date:

	 	(a)	 	(status) it is a company limited by shares under the Corporations Act and it is
not subject to an Insolvency Event;
	 
	 	(b)	 	(power) it has full legal capacity and power to:

	 	(i)	 	own its property and to carry on its business; and
	 
	 	(ii)	 	enter into this agreement and to carry out the transactions
that this agreement contemplates;

	 	(c)	 	(corporate authority) it has taken all corporate action that is necessary to
authorise its entry into this agreement and its carrying out of the transactions that
this agreement contemplates;
	 
	 	(d)	 	(Authorisations) it holds each Authorisation that is necessary to:

	 	(i)	 	enable it to properly execute this agreement and, subject to
clause 3, to carry out the transactions that this agreement contemplates;
	 
	 	(ii)	 	ensure that this agreement is legal, valid, binding and
admissible in evidence (subject to any required stamping and registration); and
	 
	 	(iii)	 	enable it to properly carry on its business,

	 	 	 	and it is complying with any conditions to which any of these Authorisations is
subject and it will provide the Purchaser with evidence of all Authorisations as
reasonably requested to do so by the Purchaser;
	 
	 	(e)	 	(documents effective) this agreement constitutes its legal, valid and binding
obligations, enforceable against it in accordance with its terms (except to the extent
limited by equitable principles and laws affecting creditors’ rights generally),
subject to any necessary stamping or registration;
	 
	 	(f)	 	(no contravention) neither its execution of this agreement nor the carrying out
by it of the transactions that this agreement contemplates, does or will:

	 	(i)	 	contravene any law to which it or any of its property is
subject or any order of any Government Agency that is binding on it or any of
its property;
	 
	 	(ii)	 	contravene any Authorisation;

34.

 

	 	(iii)	 	contravene any undertaking or instrument binding on it or any
of its property; or
	 
	 	(iv)	 	contravene its constitution;

	 	(g)	 	(no dispute, litigation or process) there is no dispute, litigation,
arbitration, mediation, conciliation or administrative proceeding, writ of execution or
other process of any court, taking place, pending, or threatened which could reasonably
be expected to affect the Sale Interest, other than any which affects the Proportionate
Shares of all of the Joint Venturers;
	 
	 	(h)	 	(holder of Sale Interest) it is the sole legal and beneficial holder of the
whole of the Sale Interest (recognising that, in respect of certain constituent assets
that comprise the Sale Interest, it may only be beneficial owner where the legal title
to that constituent asset is held by the Manager or another Joint Venturer);
	 
	 	(i)	 	(compliance with obligations) it has complied with all of its material
obligations under the Project Agreements and Contracts;
	 
	 	(j)	 	(no withdrawal from Contracts) other than as may be said to arise by reason of
the Vendor entering into and performing its obligations under this agreement, the
Vendor has not withdrawn, or given notice that it intends to withdraw, from any of the
Project Agreements or Contracts;
	 
	 	(k)	 	(transfer of Sale Interest) the Sale Interest is not subject to any Encumbrance
or any agreement, option, royalty, interest or right of any kind (including a right
that is conditional, contingent or that may arise in the future) except for the
Permitted Encumbrances;
	 
	 	(l)	 	(no knowledge) the Vendor is not aware after due enquiry of any fact or matter
which would affect the good standing of the Tenements or the Sale Interest;
	 
	 	(m)	 	(Project Agreements binding) to the best of the Vendor’s knowledge and belief
the Project Agreements remain valid and binding on it and the Vendor is not aware of
any material breach or threatened material breach by it of any of the Project
Agreements; and
	 
	 	(n)	 	(third party interests) no third party has any right, title or interest
(including rights of first refusal or pre-emptive rights) in:

	 	(i)	 	the whole or a percentage of the Sale Interest (recognising
that, in respect of certain Joint Venture Assets, there are Permitted
Encumbrances); or
	 
	 	(ii)	 	the Vendor’s interest in the Subleases.

	13.1A 	 	AngloGold Ashanti warranties
	 
	 	 	AngloGold Ashanti represents and warrants in favour of the Purchaser that as at the date of
this agreement and the Completion Date:

	 	(a)	 	(status) it is a company validly incorporated in its place of incorporation and
it is not subject to an Insolvency Event;

35.

 

	 	(b)	 	(power) it has full legal capacity and power to:

	 	(i)	 	own its property and to carry on its business; and
	 
	 	(ii)	 	enter into this agreement and to carry out the transactions
that this agreement contemplates;

	 	(c)	 	(corporate authority) it has taken all corporate action that is necessary to
authorise its entry into this agreement and its carrying out of the transactions that
this agreement contemplates;
	 
	 	(d)	 	(Authorisations) it holds each Authorisation that is necessary to:

	 	(i)	 	enable it to properly execute this agreement and, subject to
clause 3, to perform the obligations expressed to be imposed on it;
	 
	 	(ii)	 	ensure that this agreement is legal, valid, binding and
admissible in evidence (subject to any required stamping and registration); and
	 
	 	(iii)	 	enable it to properly carry on its business,

	 	 	 	and it is complying with any conditions to which any of these Authorisations is
subject and it will provide the Purchaser with evidence of all Authorisations as
reasonably requested to do so by the Purchaser;
	 
	 	(e)	 	(documents effective) this agreement constitutes its legal, valid and binding
obligations, enforceable against it in accordance with its terms (except to the extent
limited by equitable principles and laws affecting creditors’ rights generally),
subject to any necessary stamping or registration;
	 
	 	(f)	 	(no contravention) neither its execution of this agreement nor the carrying out
by it of the transactions that this agreement contemplates, does or will:

	 	(i)	 	contravene any law to which it or any of its property is
subject or any order of any Government Agency that is binding on it or any of
its property;
	 
	 	(ii)	 	contravene any Authorisation;
	 
	 	(iii)	 	contravene any undertaking or instrument binding on it or any
of its property; or
	 
	 	(iv)	 	contravene its constitution.

	13.2	 	Continuing warranties
	 
	 	 	Each of the Vendor Warranties and the Purchaser Warranties is made on the date of this
agreement and is repeated as at the Completion Date (except for the representation and
warranty in clause 13.5 and where expressly provided otherwise) and shall remain in full
force notwithstanding Completion, subject to clauses 13.3 and 13.6.

36.

 

	13.3	 	Limitation on representations

	 	(a)	 	Each of the Purchaser, Newmont Boddington, NMC, NAL and the Manager
acknowledges and agrees that:

	 	(i)	 	except as expressly set out in this agreement, neither the
Vendor, the Vendor Affiliates, nor any person acting on behalf of or associated
with the Vendor has made any representation, given any advice or given any
warranty or undertaking, promise or forecast of any kind in relation to the
Sale Interest, or this agreement;
	 
	 	(ii)	 	without limiting paragraph (i), no representation, no advice,
no warranty, no undertaking, no promise and no forecast is given in relation
to:

	 	(A)	 	any economic, fiscal or other interpretations or
evaluations by the Vendor or any person acting on behalf of or
associated with the Vendor or any other person;
	 
	 	(B)	 	future matters, including future or forecast
costs, prices, revenues or profits (including in relation to reserves
and resources);
	 
	 	(C)	 	the principles to be applied by the Department,
the ACCC or their successor(s) or other Governmental Agencies with
respect to the regulation of the gold mining and exploration industry or
any part of it and, in particular, matters affecting revenue, prices,
charges and service levels; or
	 
	 	(D)	 	the regulation of the exploration and mining
industry (including any act or omission by the Department, the ACCC or
any other Governmental Agency) and other Western Australian or national
industries (and the relationship of such other industry regulation to
the regulation of the gold mining and exploration industry).

	 	(b)	 	To the extent permitted by law, each of the Purchaser, the Manager, Newmont
Boddington, NAL and NMC releases the Vendor and each Vendor Affiliate from, and agrees
not to make and waives any right it might have to make, any Claim against the Vendor
and each Vendor Affiliate in relation to anything referred to in clause 13.3(a) and
will procure that each other Purchaser Affiliate so releases and agrees not to make and
waive all such Claims, provided that nothing in this clause has the effect of releasing
the Vendor from any Liability for breach of a Vendor Warranty or any other express
Liability of the Vendor under this agreement.

	13.4	 	Purchaser’s and Purchaser Affiliates’ warranties
	 
	 	 	Each of the Purchaser, NMC, NAL, Newmont Boddington and the Manager represents and warrants
in favour of the Vendor that as at the date of this agreement and as at the Completion Date:

	 	(a)	 	(status) it is a company validly incorporated in its place of incorporation and
it is not subject to an Insolvency Event;
	 
	 	(b)	 	(power) it has full legal capacity and power to:

37.

 

	 	(i)	 	own its property and to carry on its business; and
	 
	 	(ii)	 	enter into this agreement and to carry out the transactions
that this agreement contemplates;

	 	(c)	 	(corporate authority) it has taken all corporate action that is necessary or
desirable to authorise its entry into this agreement and its carrying out of the
transactions that this agreement contemplates;
	 
	 	(d)	 	(Authorisations) subject to clause 3, it holds each Authorisation that is
necessary to:

	 	(i)	 	enable it to properly execute this agreement and to carry out
the transactions that this agreement contemplates;
	 
	 	(ii)	 	ensure that this agreement is legal, valid, binding and,
subject to applicable stamp duty, admissible in evidence; or
	 
	 	(iii)	 	enable it to properly carry on its business,

	 	 	 	and it is complying with any conditions to which any of these Authorisations is
subject;

	 	(e)	 	(keep Authorisations in good standing) it will:

	 	(i)	 	use its best endeavours to obtain and keep in good standing all
Authorisations required by law to:

	 	(A)	 	perform all of its obligations under this
agreement; and
	 
	 	(B)	 	acquire and hold all rights and interests
provided for it under this agreement; and

	 	(ii)	 	give the Vendor evidence of all Authorisations if requested by
the Vendor;

	 	(f)	 	(documents effective) this agreement constitutes its legal, valid and binding
obligations, enforceable against it in accordance with its terms (except to the extent
limited by equitable principles and laws affecting creditors’ rights generally),
subject to any necessary stamping or registration; and
	 
	 	(g)	 	(no contravention) neither its execution of this agreement nor the carrying out
by it of the transactions that this agreement contemplates, does or will:

	 	(i)	 	contravene any law to which it or any of its property is
subject or any order of any Government Agency that is binding on it or any of
its property;
	 
	 	(ii)	 	contravene any Authorisation;
	 
	 	(iii)	 	contravene any undertaking or instrument binding on it or any
of its property; or
	 
	 	(iv)	 	contravene its constitution or other constituent document.

38.

 

	13.5	 	NMC – financing condition
	 
	 	 	NMC represents and warrants (as at the date of this agreement) in favour of the Vendor that:

	 	(a)	 	as far as NMC is aware there has not occurred any event or circumstance that
has resulted or could reasonably be expected to result in a material adverse change in
the business, assets, operations or financial condition of NMC and its subsidiaries
taken as a whole, except as disclosed in NMC’s Annual Report on Form 10-K for the year
ended December 31, 2007, Quarterly Reports on Form 10-Q for the quarters ended March
31, 2008, June 30, 2008 and September 30, 2008 and in any Current Report on Form 8-K
filed subsequent to September 30, 2008 but prior to the date of this agreement;
	 
	 	(b)	 	NMC has delivered to the Vendor and AngloGold Ashanti a true and complete copy
of the Commitment Letter;
	 
	 	(c)	 	the Commitment Letter has not been amended or modified; and
	 
	 	(d)	 	the commitments contained in the Commitment Letter have not been withdrawn or
rescinded in any respect prior to the date of this agreement.

	13.6	 	Claims for breach of warranty

	 	(a)	 	No one or more of the Vendor or any of the Purchaser, Newmont Boddington, NMC
or the Manager (as the case may be) may make any Claim in respect of the Purchaser
Warranties or the Vendor Warranties (as applicable) and there is no Liability to make
any payment (whether by way of damages or otherwise) for any breach of any of the
Vendor Warranties or any of the Purchaser Warranties (as applicable):

	 	(i)	 	to the extent that the Claim is based on any fact, matter or
circumstance:

	 	(A)	 	provided for in this agreement or any Project
Agreement;

	 	(B)	 	in the case of any Claim in respect of the Vendor
Warranties other than the Vendor Title Warranties, within the actual
knowledge of senior management of the Purchaser or a Purchaser
Affiliate; or
	 
	 	(C)	 	

	 	(I)	 	in the case of any Claim in
respect of the Vendor Warranties other than the Vendor Title
Warranties: (1) within the actual knowledge of senior management
of the Manager, NMC, Newmont Boddington, NAL or another
Purchaser Affiliate; (2) that senior management of the Manager
should have reasonably known, having regard to the Manager’s
standard of conduct under the Project Agreements; or (3) that
senior management of Newmont Boddington should reasonably have
known in its capacity as a Joint Venturer;

39.

 

	 	(II)	 	in the case of any Claim in
respect of the Purchaser Warranties, within the actual knowledge
of senior management of the Vendor or any Vendor Affiliate or
that senior management of the Vendor should reasonably have
known in its capacity as a Joint Venturer; or

	 	(III)	 	in the case of any Claim in
respect of the Vendor Warranties in clauses 13.1(i) (compliance
with obligations) and 13.1(j) (no withdrawal from Contracts),
arising out of or relating to an act or omission of the Manager;

	 	(ii)	 	in the case of any Claim in respect of the Vendor Title
Warranties, no Claim may be made in respect of any area of land which is
subject to a sublease held by the Vendor before Completion and which, after
Completion, becomes subject to any form of registered alternative tenure or
similar right under the Mining Act, issued to or in favour of the Purchaser;
and
	 
	 	(iii)	 	in the case of any Claim in respect of the Vendor Warranties,
other than the Vendor Title Warranties, or the Purchaser Warranties, if notice
of the Claim under clause 13.6(e) is not given within 12 calendar months of the
Completion Date.

	 	(b)	 	Despite any other provision of this agreement, the maximum aggregate amount
that the Purchaser or any Purchaser Affiliate may recover from the Vendor (whether by
way of damages or otherwise):

	 	(i)	 	under the Vendor Title Warranties, is the Relevant Sum
determined as at the date on which notice of the relevant Claim is received by
the Vendor (“Notice Date”); and
	 
	 	(ii)	 	under the Vendor Warranties, other than the Vendor Title
Warranties, is US$198,000,000,

	 	 	 	provided that the maximum amount recoverable under the Vendor Warranties (inclusive
of the Vendor Title Warranties) must never exceed US$1,090,000,000.

	 	(c)	 	Despite any other provision of this agreement, the maximum aggregate amount
that the Vendor or any Vendor Affiliate may recover from the Purchaser or a Purchaser
Affiliate (whether by way of damages or otherwise) under the Purchaser Warranties is
US$198,000,000.
	 
	 	 	 	In this agreement, “Relevant Sum” means, at a Notice Date, the sum of:

	 	(A)	 	US$750,000,000;
	 
	 	(B)	 	the component of the Post Completion Amount received from the
Purchaser in cash as at the Notice Date (if any);
	 
	 	(C)	 	the cash received by the Vendor from the sale of the Vendor NMC
Shares as at the Notice Date less Registration Expenses (as that term is defined
in schedule 5 (Resale Registration) paid by the Vendor or Vendor Affiliates;

40.

 

	 	(D)	 	the aggregate of the listed price of the Vendor NMC Shares not
sold as at the Notice Date; and
	 
	 	(E)	 	the sum of payments received pursuant to the Royalty by the
Purchaser as at the Notice Date.

	 	(d)	 	No party is liable to make any payment (whether by way of damages or otherwise)
for any breach of any Vendor Warranty or Purchaser Warranty (as applicable) if the
amount finally adjudicated against that party or agreed in respect of the breach, or a
series of breaches relating to the same or substantially similar facts, matters or
circumstances or made in respect of the same Vendor Warranty or Purchaser Warranty (as
applicable) is less than US$1,000,000.
	 
	 	(e)	 	Each of the following applies in respect of this clause 13.6:

	 	(i)	 	(notice of Claims) The party making a Claim in respect of a
Vendor Warranty or a Purchaser Warranty (as applicable) (the “Claimant”) must
give written notice of a Claim to the party that gave the relevant
representation or warranty (“Payor”) (setting out in reasonable detail the
fact, circumstance or matter giving rise to the breach, the nature of the
breach and the Claimant’s calculation of the Loss suffered) as soon as
reasonably practicable after the Claimant becomes aware of the fact,
circumstance or matter on which the Claim is based;
	 
	 	(ii)	 	(insurance) The Claimant must take commercially reasonable
steps to enforce its rights of indemnity under any policy of insurance
available to it in respect of the Claim and not compromise or settle any such
rights without the prior written consent of the Payor (not to be unreasonably
withheld or refused);
	 
	 	(iii)	 	(credit) If, after the Payor has made any payment to the
Claimant under this clause, the Claimant receives any benefit, recovery
(including under any applicable insurance) or credit by reason of matters to
which the Claim relates then the Claimant must repay to the Payor a sum
corresponding to the amount of the payment or (if less) the amount of the
benefit or credit;
	 
	 	(iv)	 	(Tax adjustment) If any payment to be made to the Claimant will
be subject to any Tax, the Payor must gross up the amount paid so that the
amount actually received by the Claimant, net of Tax, is equal to the amount it
would have received had no Tax been payable by it in respect of the amount
payable to it but for this clause 13.6(e)(iv);
	 
	 	(v)	 	(change in law or interpretation) The Payor will not be liable
to make any payment (whether by way of damages or otherwise) to the Claimant in
respect of a Claim:

	 	(A)	 	where the breach is as a result of any
legislation not in force at the date of this agreement including
legislation which takes effect retrospectively;

41.

 

	 	(B)	 	where the breach is as a result of or in respect
of a change in the judicial interpretation of the law in any
jurisdiction after the date of this agreement; or
	 
	 	(C)	 	where the breach is as a result of or in respect
of a change in the administrative practice of any Governmental Agency
after the date of this agreement including any change which takes effect
retrospectively,

	 	 	 	provided that where such breach would result in a material breach of the
Vendor Title Warranties, the Claimant shall, prior to Completion, have the
right to terminate this agreement by written notice to the Payor and this
agreement shall terminate as and from the date of such notice other than in
respect of clauses 1 (Interpretation), 18 (Costs and Stamp Duty), 19
(Notices) and 21 (General).

	13.7	 	Information affecting warranties
	 
	 	 	If, during the Pre-Completion Period, a party becomes aware of any information, matter or
thing which could reasonably be expected to materially adversely impact on the truth,
accuracy or completeness of a warranty or representation given by it under this agreement or
a warranty or representation given by another party under this agreement, that party must
promptly notify the party or parties with the benefit of the warranty or that gave the
warranty (as applicable) regarding that information.
	 
	14.	 	PAYMENTS
	 
	14.1	 	How payments must be made
	 
	 	 	Each payment required to be made under this agreement must, in the absence of any other
applicable provision in this agreement, be made as follows:

	 	(a)	 	by direct transfer of immediately available funds to the credit of the account
that the Vendor or Purchaser (as the case requires) nominates at least 4 Business Days
before the payment is due to be made; and
	 
	 	(b)	 	without any set-off or counterclaim and (to the extent permitted by law) free
and clear of, and without deduction or withholding for or on account of, any Taxes.

	14.2	 	Interest on amounts due
	 
	 	 	If any party fails to pay any amount payable by it under or in accordance with this
agreement, that party must, if demand is made by the party entitled to the payment, pay
simple interest on that amount from the due date for payment until that amount is paid in
full at the rate per annum which is the sum of the Interest Rate on the date on which the
payment was due, plus a margin of 5% per annum, calculated daily. The right to require
payment of interest under this clause is without prejudice to any other rights the party
entitled to the payment may have against the party obliged to make the payment at law or in
equity or under this agreement.

42.

 

	15.	 	DEFAULT
	 
	15.1	 	Parties’ right to terminate for breach
	 
	 	 	If a party (“Defaulting Party”):

	 	(a)	 	breaches a material term of this agreement before Completion or one of the
Vendor Warranties in clause 13.1 or one of the Purchaser Warranties in clause 13.4 is
found or admitted to be untrue, inaccurate or not complied with in a material respect
on or before Completion; and
	 
	 	(b)	 	the Defaulting Party does not remedy that material breach or the circumstances
giving rise to that warranty or representation being untrue, inaccurate or not complied
with in a material respect (to the reasonable satisfaction of the Purchaser, where the
Vendor is the Defaulting Party, or the Vendor, where the Purchaser, Newmont Boddington,
the Manager or NMC is the Defaulting Party (in each case, the party giving notice of
default being the “Relevant Party”)) within ten Business Days of the date the Relevant
Party gives notice requiring the Defaulting Party to remedy that breach,

	 	 	then the Relevant Party may, without prejudice to any right or remedy available to
it:

	 	(c)	 	terminate this agreement before Completion by notifying the Defaulting Party
and each other party and sue the Defaulting Party for the loss of the benefit of this
agreement; or
	 
	 	(d)	 	seek specific performance of this agreement, in which case the Defaulting Party
and the related bodies corporate of the Defaulting Party will not attempt to defeat
that right by taking any steps in pursuance of a claim that damages would be an
adequate remedy for the Relevant Party.

	 	 	If the period under this clause 15.1 during which a party may remedy a breach or
circumstance giving rise to a warranty or representation being untrue, inaccurate or not
complied with would extend past the End Date and/or the Completion Date then the End Date
and/or the Completion Date (as applicable) shall be extended so as to expire on the Business
Day following the expiry of that period.
	 
	15.2	 	Parties may elect to complete
	 
	 	 	If a party is entitled to terminate this agreement pursuant to clause 15.1, the party may
(at its absolute discretion) elect to complete this agreement without prejudice to any right
or remedy that it may have against the Defaulting Party in respect of the circumstance
giving rise to the right to terminate.
	 
	16.	 	GOODS AND SERVICES TAX
	 
	16.1	 	Interpretation
	 
	 	 	Unless the context requires otherwise, terms defined in the GST Act have a corresponding
meaning where used in this clause 16.

43.

 

	16.2	 	Going concern

	 	(a)	 	The parties acknowledge and agree that:

	 	(i)	 	the sale and purchase of the Sale Interest under the terms and
conditions of this agreement is the sale of a going concern for the purposes of
the GST Act and to the understanding of the parties is accordingly GST-free;
	 
	 	(ii)	 	under this agreement the Vendor supplies to the Purchaser all
of the things that are necessary for the continued operation of the business
conducted pursuant to the Sale Interest;
	 
	 	(iii)	 	the Vendor warrants that it will carry on the enterprise
conducted pursuant to the Sale Interest until the Completion Date;
	 
	 	(iv)	 	the Vendor warrants that it is registered or required to be
registered for GST and will remain so until the Completion Date; and
	 
	 	(v)	 	the Vendor warrants that it is supplying all things necessary
for the continued operation of the enterprise constituted by the Sale Interest.

	 	(b)	 	Notwithstanding clause 16.2(a), if the Commissioner of Taxation determines that
the sale and purchase of the Sale Interest is subject to GST, the Vendor (as
“Supplier”) may, in addition to the consideration payable for the supply, recover an
additional amount on account of GST from the Purchaser (as “Recipient”), and:

	 	(i)	 	the Vendor must provide the Purchaser with a tax invoice; and
	 
	 	(ii)	 	the Purchaser must pay to the Vendor an amount equal to the GST
assessed on the Purchase Price and paid by the Vendor (and, to avoid doubt, but
subject to clause 16.2(c), any fines, penalties or interest on the GST shall be
the liability of the Purchaser).

	 	(c)	 	If any fines, penalties or interest are imposed or levied as a result of the
failure by the Vendor to remit the GST amount in a timely manner after the Vendor’s
receipt from the Purchaser of an amount equal to the GST, then any such fines,
penalties or interest shall be the liability of the Vendor.

	16.3	 	Party is member of GST group
	 
	 	 	If a party is a member of a GST group, references to GST which the party must pay and to
input tax credits to which the party is entitled include GST which the representative member
of the GST group must pay and input tax credits to which the representative member is
entitled.
	 
	16.4	 	GST exclusive amounts
	 
	 	 	All amounts payable under or in connection with this agreement are exclusive of GST unless
indicated otherwise.

44.

 

	16.5	 	Payment of GST
	 
	 	 	Subject to clause 16.2:

	 	(a)	 	a recipient of a taxable supply under or in connection with this agreement must
pay to the supplier, in addition to the consideration for the taxable supply, an amount
equal to any GST paid or payable by the supplier in respect of the taxable supply; and
	 
	 	(b)	 	the recipient must make that payment to the supplier as and when the
consideration or part of it is provided, except that the recipient need not pay unless
and until the recipient has received a tax invoice (or an adjustment note) for that
taxable supply.

	16.6	 	Reimbursements
	 
	 	 	Where a supplier incurs a cost or expense for which it may be reimbursed by, indemnified
against, claim against or set-off against another party under this agreement, the amount to
be paid or credited is the cost or expense (reduced by the input tax credit that the
supplier is entitled to claim in relation to that cost or expense) plus the amount in
relation to GST payable by the recipient as calculated under this clause 16.
	 
	16.7	 	Indemnities

	 	(a)	 	If a release or an indemnity under or in connection with this agreement gives
rise to a liability to pay GST, the indemnified amount must include that GST.
	 
	 	(b)	 	If a party has a claim under or in connection with this agreement whose amount
depends on actual or estimated revenue or which is for a loss of revenue, revenue must
be calculated without including any amount received or receivable as reimbursement for
GST (whether that amount is separate or included as part of a larger amount).

	17.	 	MATERIAL ADVERSE EFFECT

	 	(a)	 	The Purchaser may terminate this agreement by giving notice to the Vendor if,
before Completion, any of the physical assets comprising the Joint Venture Assets are
destroyed, lost or rendered unusable (whether or not insured), in whole or in part, so
as to have a Material Adverse Effect.
	 
	 	(b)	 	In this clause 17, “Material Adverse Effect” means a circumstance provided for
in clause 17(a) which has or is reasonably likely to have a prejudicial or negative
impact of a material nature, in the context of the transaction evidenced by this
agreement, on the value of the Sale Interest, but excluding for the purposes of
determining impact on the value of the Sale Interest any decrease in the value of the
Sale Interest to the extent that it is attributable to:

	 	(i)	 	currency exchange rates;
	 
	 	(ii)	 	the price of any Product, as that term is defined in the Joint
Venture Agreement;
	 
	 	(iii)	 	negative exploration results or re-evaluation of reserves or
resources; and/or

45.

 

	 	(iv)	 	an event, matter or circumstance otherwise known to the
Purchaser or a Purchaser Affiliate, prior to the date of this agreement.

	 	(c)	 	If the Purchaser terminates this agreement under clause 17(a), that termination
shall be the Purchaser’s sole remedy in relation to events or circumstances giving rise
to the Purchaser’s right to so terminate but that termination shall not prejudice the
continued force and effect of any provision of this agreement which is expressly or by
implication provided to continue after termination of this agreement.

	18.	 	COSTS AND STAMP DUTY
	 
	18.1	 	Costs and Taxes generally
	 
	 	 	Except to the extent specified in clause 18.2, each party must bear and is responsible for
its own costs in connection with the preparation, execution, completion and carrying into
effect of this agreement and all taxes imposed on it arising out of or in any way connected
with this agreement or the transactions it contemplates.
	 
	18.2	 	Stamp duty and registration fees
	 
	 	 	The Purchaser must bear and is responsible for, and must indemnify and keep indemnified the
Vendor against, all stamp duty (together with any related interest, penalty, fine and
expense) and registration fees payable on or in respect of or as a consequence of:

	 	(a)	 	this agreement; and
	 
	 	(b)	 	any instrument, document, agreement, deed or transaction contemplated in or
necessary to give effect to this agreement.

	19.	 	NOTICES
	 
	19.1	 	Method of giving notices
	 
	 	 	A notice, consent, approval or other communication required or permitted to be given by one
party to another under this agreement must be given in writing and signed by or on behalf of
the person giving it, addressed to the person to whom it is given and:

	 	(a)	 	delivered to that party’s address; or
	 
	 	(b)	 	transmitted by fax to that party’s address.

	19.2	 	Time of receipt
	 
	 	 	A notice given to a party in accordance with this clause is treated as having been given and
received:

	 	(a)	 	if delivered to a party’s address, on the day of delivery if a Business Day,
otherwise on the next Business Day; or
	 
	 	(b)	 	if transmitted by fax to a party’s address and a correct and complete
transmission report is received, on the day of transmission if a Business Day,
otherwise on the next Business Day.

46.

 

	19.3	 	Address of parties
	 
	 	 	For the purposes of this clause 19, the address of a party is the address set out below or
another address of which that party may from time to time give notice to each other party:

	 	 	 	 	 
	 	 	Vendor and AngloGold Ashanti:
	 

	 	Address:
	 	Level 13, St Martins Tower, 44 St Georges Terrace
	 

	 	 	 	Perth WA 6000
	 

	 	Fax:
	 	+618 9425 4650 
	 

	 	Attention:
	 	Company Secretary
	 
	 	 	 	 
	 	 	Purchaser, Newmont Boddington, Manager and NAL:
	 

	 	Address:
	 	Level 1, 388 Hay Street, Subiaco WA 6008
	 

	 	Fax:
	 	+61-8-9423-6176 
	 

	 	Attention:
	 	Company Secretary
	 
	 	 	 	 
	 

	 	NMC:	 	 
	 

	 	Address:
	 	6363 South Fiddler’s Green Circle
	 

	 	 	 	Greenwood Village, Colorado, 80111 USA
	 

	 	Fax:
	 	+1-303-837-5810 
	 

	 	Attention:
	 	General Counsel

	20.	 	NMC AND NAL GUARANTEES
	 
	20.1	 	NMC

	 	(a)	 	In consideration of, amongst other things, the release in favour of NMC in
clause 9.4, NMC unconditionally and irrevocably guarantees to the Vendor:

	 	(i)	 	the due and punctual payment by the Purchaser of the Cash
Completion Amount, the Post Completion Amount and the Royalty, to the extent
such amounts become payable hereunder (“Guaranteed Moneys”); and
	 
	 	(ii)	 	the performance by the Purchaser of its obligations in clauses
7.2, 8.1 and 8.2 of the Royalty Deed.

	 	(b)	 	As a separate, independent and additional covenant in respect of which NMC
shall be bound as principal and not as surety, NMC agrees that if the Purchaser, for
any reason:

	 	(i)	 	fails to pay any of the Guaranteed Moneys when expressed to be
due by this agreement, NMC will pay the moneys not paid by the Purchaser on
demand by the Vendor; or
	 
	 	(ii)	 	fails to perform the obligations in clauses 7.2, 8.1 and 8.2 of
the Royalty Deed, NMC will perform that obligation or indemnify the Vendor or
Vendor Affiliate in respect of any Liability incurred by the Vendor or Vendor
Affiliate arising as a result of the failure to perform that obligation but so
that NMC shall not be liable for an amount greater than the Purchaser would
have been liable for had that obligation been enforceable against the
Purchaser.

47.

 

	 	(c)	 	NMC’s obligations under this clause 20.1(a) remain in full force and effect in
respect of the Guaranteed Moneys until all of the Guaranteed Moneys have been paid in
full and in respect of the obligations in clauses 7.2, 8.1 and 8.2 of the Royalty Deed
while the Royalty continues to be payable. They will not be abated, suspended,
abrogated, varied or affected by any matter or thing whatsoever including:

	 	(i)	 	the Vendor granting to the Purchaser any waiver, concession or
other indulgence in respect of the performance of any obligation;
	 
	 	(ii)	 	the Vendor delaying or postponing the exercise of any right,
power or remedy conferred upon the Vendor;
	 
	 	(iii)	 	any variation in the respective obligations and liabilities of
the Purchaser and the Vendor under this agreement whether made with or without
the knowledge or consent of NMC and whether or not to NMC’s prejudice or
detriment;
	 
	 	(iv)	 	any of the obligations of the Purchaser under this agreement
connected with the Guaranteed Moneys being invalid, void, voidable or
unenforceable for any reason whatsoever; and
	 
	 	(v)	 	any other matter, event, thing or occurrence which results in
prejudice or detriment to NMC or which but for this clause would have abated,
suspended, abrogated, varied or detrimentally affected NMC’s liability under
this agreement.

	 	(d)	 	The Vendor shall not be bound to pursue any claims or to exercise any remedy
against the Purchaser or any other person before making any claim or demand or
otherwise exercising its rights under this clause 20.1.
	 
	 	(e)	 	At any time while any of the Guaranteed Moneys remain unpaid, NMC must:

	 	(i)	 	not either directly or indirectly prove in, claim or receive
the benefit of any distribution, dividend or payment arising out of or relating
to, the liquidation of the Purchaser in respect of any amount paid by NMC under
this clause 20.1(a);
	 
	 	(ii)	 	not raise a set-off or counterclaim available to it or the
Purchaser against the Vendor in reduction of its liability under this clause
20.1(a);
	 
	 	(iii)	 	not make a claim or enforce a right against the Purchaser or
its property, in respect of any amount paid by NMC under this clause 20.1(a);
	 
	 	(iv)	 	if required by the Vendor prove in any liquidation of the
Purchaser for all amounts paid by NMC under this clause 20.1(a); and
	 
	 	(v)	 	hold all amounts recovered by NMC from the liquidation of the
Purchaser on account of amounts paid by NMC under this clause 20.1(a) in trust
for the Vendor to the extent of any unsatisfied liability of NMC under this
clause 20.1(a).

48.

 

	20.2	 	NAL

	 	(a)	 	In consideration of, amongst other things, the release in favour of NAL in
clause 9.4, NAL unconditionally and irrevocably guarantees to the Vendor the due and
punctual performance by the Purchaser of all obligations under this agreement and the
deeds or agreements scheduled to this agreement, other than the obligations on the
Purchaser to pay Guaranteed Moneys the subject of clause 20.1 (the “Relevant
Obligations”).
	 
	 	(b)	 	As a separate, independent and additional covenant in respect of which NAL
shall be bound as principal and not as surety, NAL agrees that if the Purchaser, for
any reason, fails to perform the Relevant Obligations, NAL will perform the Relevant
Obligations or indemnify the Vendor or Vendor Affiliate in respect of any Liability
incurred by the Vendor or Vendor Affiliate arising as a result of the failure to
perform the Relevant Obligations but so that NAL shall not be liable for an amount
greater than the Purchaser would have been liable for had the Relevant Obligations been
enforceable against the Purchaser.
	 
	 	(c)	 	NAL’s obligations under this clause 20.2 remain in full force and effect until
all of the Relevant Obligations have been discharged and performed in full. They will
not be abated, suspended, abrogated, varied or affected by any matter or thing
whatsoever including:

	 	(i)	 	the Vendor granting to the Purchaser any waiver, concession or
other indulgence in respect of the performance of any obligation;
	 
	 	(ii)	 	the Vendor delaying or postponing the exercise of any right,
power or remedy conferred upon the Vendor;
	 
	 	(iii)	 	any variation in the respective obligations and liabilities of
the Purchaser and the Vendor under this agreement whether made with or without
the knowledge or consent of NAL and whether or not to NAL’s prejudice or
detriment;
	 
	 	(iv)	 	any of the Relevant Obligations of the Purchaser under this
agreement being invalid, void, voidable or unenforceable for any reason
whatsoever; and
	 
	 	(v)	 	any other matter, event, thing or occurrence which results in
prejudice or detriment to NAL or which but for this clause would have abated,
suspended, abrogated, varied or detrimentally affected NAL’s liability under
this agreement.

	 	(d)	 	The Vendor shall not be bound to pursue any claims or to exercise any remedy
against the Purchaser or any other person before making any claim or demand or
otherwise exercising its rights under this clause 20.2.
	 
	 	(e)	 	At any time while any of the Relevant Obligations remain undischarged or
unperformed, NAL must:

	 	(i)	 	not either directly or indirectly prove in, claim or receive
the benefit of any distribution, dividend or payment arising out of or relating
to, the liquidation

49.

 

	 	 	 	of the Purchaser in respect of any amount paid by NAL under this clause 20.2;

	 	(ii)	 	not raise a set-off or counterclaim available to it or the
Purchaser against the Vendor in reduction of its liability under this clause
20.2;
	 
	 	(iii)	 	not make a claim or enforce a right against the Purchaser or
its property, in respect of any amount paid by NAL under this clause 20.2;
	 
	 	(iv)	 	if required by the Vendor prove in any liquidation of the
Purchaser for all amounts paid by NAL under this clause 20.2; and
	 
	 	(v)	 	hold all amounts recovered by NAL from the liquidation of the
Purchaser on account of amounts paid by NAL under this clause 20.2 in trust for
the Vendor to the extent of any unsatisfied liability of NAL under this clause
20.2.

	21.	 	GENERAL
	 
	21.1	 	Consents
	 
	 	 	Where this agreement contemplates that a party may agree or consent to something (however it
is described), the party may:

	 	(a)	 	agree or consent, or not agree or consent, in its absolute discretion; and
	 
	 	(b)	 	agree or consent subject to conditions,

	 	 	unless this agreement expressly contemplates otherwise.
	 
	21.2	 	No merger
	 
	 	 	Any rights and obligations of the parties under this agreement which are expressed to
operate or may have effect upon or after Completion or have not been fulfilled in whole or
in part by Completion, as the case may be, do not merge on Completion, but remain in full
force and effect.
	 
	21.3	 	Waiver
	 
	 	 	The non-exercise of or delay in exercising any power or right of a party does not operate as
a waiver of that power or right, nor does any single exercise of a power or right preclude
any other or further exercise of it or the exercise of any other power or right. A power or
right may only be waived in writing, signed by the party to be bound by the waiver.
	 
	21.4	 	Confidentiality

	 	(a)	 	A party may disclose this agreement to third parties.
	 
	 	(b)	 	Each of the Vendor and the Purchaser shall consult with the other in relation
to any proposed press release or public announcement by the other party or a Purchaser
Affiliate or a Vendor Affiliate (as applicable) in relation to this agreement or the
transactions contemplated by this agreement. The parties shall use their respective

50.

 

	 	 	 	reasonable endeavours to agree on the terms of any such proposed releases or
announcements. If such agreement is not obtained, then each party may make such
press announcements or releases as required by law or the rules of any stock
exchange. No party may unreasonably withhold or delay its agreement under this
clause.

	 	(c)	 	The Vendor will comply with the terms and conditions of clause 21 of the Joint
Venture Agreement after Completion as if it were a Joint Venturer, provided that to the
extent that the relevant terms or conditions of the Joint Venture Agreement are
inconsistent with any term or condition of this agreement, the term or condition of
this agreement will prevail to the extent of the inconsistency.

	21.5	 	Amendment
	 
	 	 	This agreement may only be amended or supplemented in writing, signed by the parties.
21.6 No assignment
	 
	 	 	No party to this agreement may assign or purport to assign its rights or obligations under
this agreement without the prior written consent of the other party, which consent may be
withheld for any reason.
	 
	21.7	 	Severability
	 
	 	 	Any provision in this agreement which is invalid or unenforceable in any jurisdiction is to
be read down for the purposes of that jurisdiction, if possible, so as to be valid and
enforceable, and is otherwise capable of being severed to the extent of the invalidity or
unenforceability, without affecting the remaining provisions of this agreement or affecting
the validity or enforceability of that provision in any other jurisdiction.
	 
	21.8	 	Counterparts
	 
	 	 	This agreement may be executed in any number of counterparts and all of those counterparts
taken together constitute one and the same instrument.
	 
	21.9	 	Further assurances
	 
	 	 	Each party must do, sign, execute and deliver and must procure that each of its employees
and agents does, signs, executes and delivers, all deeds, agreements, instruments and acts
reasonably required of it or them by notice from another party to effectively carry out and
give full effect to this agreement and the rights and obligations of the parties under it.
The exchange of executed counterparts of this agreement by facsimile or electronic mail of a
scanned executed original of this agreement shall be as effective in all respects as the
physical exchange of originally executed hard copy counterparts of this agreement.
	 
	21.10	 	No amendment of Project Agreements
	 
	 	 	Nothing in this agreement shall operate or be construed to operate to vary or amend in any
way any provision of any of the Project Agreements.

51.

 

	21.11	 	Entire agreement
	 
	 	 	This agreement is the entire agreement of the parties on the subject matter. The only
enforceable obligations and liabilities of the parties in relation to the subject matter are
those that arise out of this agreement. All representations, communications and prior
agreements in relation to the subject matter are merged in and superseded by this agreement.
	 
	21.12	 	Attorneys
	 
	 	 	Each person who executes this agreement on behalf of a party under a power of attorney
declares that he or she is not aware of any fact or circumstance that might affect his or
her authority to do so under that power of attorney.
	 
	22.	 	LAW AND JURISDICTION
	 
	22.1	 	Governing law
	 
	 	 	This agreement is governed by the laws applying in the State of Western Australia except for
matters set forth in schedule 5 which shall be governed by the laws of New York.
	 
	22.2	 	Submission to jurisdiction
	 
	 	 	Except as otherwise provided in schedule 5, the parties submit to the non-exclusive
jurisdiction of the courts of Western Australia and any courts which may hear appeals from
those courts in respect of any proceedings in connection with this agreement.

52.

 

Schedule 1

TENEMENTS

 

 

JOINT VENTURE TENEMENTS

PART A – BGM Tenements for which Vendor is a registered holder

	 	 	 	 	 	 	 	 	 	 	 
	 	 	Tenement	 	 	 	Date	 	 	 	Application
	Type	 	Number	 	Registered Holder	 	Granted	 	Date Expiry	 	Date
	E

	 	70/2149
	 	AngloGold Ashanti Australia Ltd

Newcrest Operations Ltd

Newmont Boddington Pty Ltd  
	 	 	 	 
	 	7/12/1998
	E

	 	70/2336
	 	AngloGold Ashanti Australia Ltd

Newcrest Operations Ltd

Newmont Boddington Pty Ltd  
	 	 	 	 
	 	25/05/2000
	E

	 	70/2550
	 	AngloGold Ashanti Australia Ltd

Newcrest Operations Ltd

Newmont Boddington Pty Ltd  
	 	 	 	 
	 	11/10/2002
	G

	 	70/0215
	 	AngloGold Ashanti Australia Ltd

Newcrest Operations Ltd

Newmont Boddington Pty Ltd  
	 	 	 	 
	 	13/05/2005
	G 

	 	70/218
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	16/08/2006
	 	15/08/2027
	 	 
	G 

	 	70/219
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	13/12/2006
	 	12/12/2027
	 	 
	G 

	 	70/222
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd  
	 	 	 	 
	 	13/04/2006
	L

	 	70/0028
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	4/11/1993
	 	3/11/2013
	 	 
	L 

	 	70/0095
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/05/2006
	 	4/05/2027
	 	 
	L 

	 	70/0096
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	10/11/2006
	 	9/11/2027
	 	 
	M

	 	70/0731
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	26/01/1993
	 	25/01/2014
	 	 
	M

	 	70/0944
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0945
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0946
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0947
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0948
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0949
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0950
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0951
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0952
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 

 
	
M

	 	
70/0953
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	
5/12/1996
	 	4/12/2017
	 	 

 
	M

	 	70/0954
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 
	M

	 	70/0955
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	5/12/1996
	 	4/12/2017
	 	 

 

 

	 	 	 	 	 	 	 	 	 	 	 
	 	 	Tenement	 	 	 	Date	 	 	 	Application
	Type	 	Number	 	Registered Holder	 	Granted	 	Date Expiry	 	Date
	M

	 	70/0981
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	3/09/1997
	 	2/09/2018
	 	 
	M

	 	70/1031
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	11/10/1999
	 	10/10/2020
	 	 
	M

	 	264SA
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	1/08/1988
	 	31/07/2009
	 	 
	ML

	 	70/0662
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	1/01/2002
	 	31/12/2022
	 	 
	ML

	 	70/0663
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	1/01/2002
	 	31/12/2022
	 	 
	ML

	 	70/0699
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	1/01/1989
	 	31/12/2009
	 	 
	ML

	 	70/0751
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	1/01/2002
	 	31/12/2022
	 	 
	ML

	 	70/0752
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	1/01/2002
	 	31/12/2022
	 	 
	ML

	 	70/0753
	 	AngloGold Ashanti Australia Ltd

Newmont Boddington Pty Ltd
	 	1/01/2002
	 	31/12/2022
	 	 

PART B – Other BGM Tenements

	 	 	 	 	 	 	 	 	 	 	 
	 	 	Tenement	 	 	 	Date	 	 	 	Application
	Type	 	Number	 	Registered Holder	 	Granted	 	Date Expiry	 	Date
	E

	 	70/0139
	 	Hedges Gold Pty Ltd
	 	18/06/1999
	 	17/06/2004	 	 
	E

	 	70/0710
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	16/01/1989
	 	15/01/1997  	 	 
	E

	 	70/1148
	 	Hedges Gold Pty Ltd
	 	18/10/1993
	 	17/10/2005  	 	 
	E

	 	70/1965
	 	Hedges Gold Pty Ltd
	 	5/10/1998
	 	4/10/2009  	 	 
	E

	 	70/2562
	 	Hedges Gold Pty Ltd
	 	 
	 	 
	 	2/12/2002
	G

	 	70/220
	 	Hedges Gold Pty Ltd
	 	 	 	 	 	9/02/2006
	M

	 	70/0018
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	8/04/1983
	M

	 	70/0019
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	8/04/1983
	M

	 	70/0021
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	9/04/1986
	 	8/04/2028  	 	 
	M

	 	70/0022
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	9/04/1986
	 	8/04/2028  	 	 
	M

	 	70/0023
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	9/04/1986
	 	8/04/2028  	 	 
	M

	 	70/0024
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	9/04/1986
	 	8/04/2028  	 	 
	M

	 	70/0025
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	9/04/1986
	 	8/04/2028  	 	 

2.

 

	 	 	 	 	 	 	 	 	 	 	 
	 	 	Tenement	 	 	 	Date	 	 	 	Application
	Type	 	Number	 	Registered Holder	 	Granted	 	Date Expiry	 	Date
	M

	 	70/0026
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0027
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0028
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0029
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0030
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0031
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0032
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0033
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0034
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0035
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0036
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

BHP Minerals Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/04/1983
	M

	 	70/0110
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	3/02/1989
	 	2/02/2010  	 	 
	M

	 	70/0111
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	3/02/1989
	 	2/02/2010  	 	 
	M

	 	70/0112
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	3/02/1989
	 	2/02/2010  	 	 
	M

	 	70/0113
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	3/02/1989
	 	2/02/2010  	 	 
	M

	 	70/0114
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	3/02/1989
	 	2/02/2010  	 	 
	M

	 	70/0115
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	3/02/1989
	 	2/02/2010  	 	 
	M

	 	70/0116
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	3/02/1989
	 	2/02/2010  	 	 
	M

	 	70/0462
	 	Hedges Gold Pty Ltd
	 	12/10/1989
	 	11/10/2010  	 	 

3.

 

	 	 	 	 	 	 	 	 	 	 	 
	 	 	Tenement	 	 	 	Date	 	 	 	Application
	Type	 	Number	 	Registered Holder	 	Granted	 	Date Expiry	 	Date
	M

	 	70/0463
	 	Hedges Gold Pty Ltd
	 	12/10/1989
	 	11/10/2010  	 	 
	M

	 	70/0464
	 	Hedges Gold Pty Ltd
	 	12/10/1989
	 	11/10/2010  	 	 
	M

	 	70/0465
	 	Hedges Gold Pty Ltd
	 	12/10/1989
	 	11/10/2010  	 	 
	M

	 	70/0466
	 	Hedges Gold Pty Ltd
	 	12/10/1989
	 	11/10/2010  	 	 
	M

	 	70/0545
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	13/07/1989
	M

	 	70/0554
	 	Reynolds Australia Alumina Ltd

The Shell Company of Australia Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	6/04/2004
	 	5/04/2025  	 	 
	M

	 	70/0564
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium(Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	27/04/1990
	 	26/04/2011  	 	 
	M

	 	70/0588
	 	Hedges Gold Pty Ltd
	 	7/06/1990
	 	6/06/2011  	 	 
	M

	 	70/0589
	 	Hedges Gold Pty Ltd
	 	7/06/1990
	 	6/06/2011  	 	 
	M

	 	70/0590
	 	Hedges Gold Pty Ltd
	 	7/06/1990
	 	6/06/2011  	 	 
	M

	 	70/0591
	 	Hedges Gold Pty Ltd
	 	7/06/1990
	 	6/06/2011  	 	 
	M

	 	70/0799
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	21/09/1993
	 	20/09/2014  	 	 
	M

	 	70/0975
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/01/1997
	M

	 	70/0976
	 	Billiton Aluminium (RAA) Pty Ltd

Billiton Aluminium (Worsley) Pty Ltd

Sojitz Alumina Pty Ltd

Japan Alumina Associates (Australia) Pty Ltd
	 	 
	 	 
	 	14/01/1997
	M

	 	70/1220
	 	Hedges Gold Pty Ltd
	 	 
	 	 
	 	4/03/2005
	M

	 	70/1221
	 	Hedges Gold Pty Ltd
	 	 
	 	 
	 	4/03/2005
	M

	 	70/1236
	 	Hedges Gold Pty Ltd
	 	 
	 	 
	 	17/06/2005
	M

	 	70/1237
	 	Hedges Gold Pty Ltd
	 	 
	 	 
	 	17/06/2005
	M

	 	70/1238
	 	Hedges Gold Pty Ltd
	 	 
	 	 
	 	17/06/2005
	M

	 	70/1239
	 	Hedges Gold Pty Ltd
	 	 
	 	 
	 	17/06/2005

4.

 

Schedule 2

ROYALTY DEED

 

 

Boddington Gold Mine Royalty Deed

DATED

Parties

	1.	 	Saddleback Investments Pty Ltd (ACN 134 978 224) of Level 1, 388 Hay Street, Subiaco, Western
Australia (Saddleback)

	2.	 	AngloGold Ashanti Australia Limited (ABN 42 008 737 424) of Level 13, St Martin’s Tower, 44
St Georges Terrace, Perth, Western Australia (AngloGold)

Background

	A.	 	Saddleback and AngloGold are parties to the Sale and Purchase Agreement which provides inter
alia for the payment by Saddleback of the Royalty to AngloGold.

	B.	 	The Parties now enter into this Deed to record the terms and conditions upon which the
Royalty is payable by Saddleback to AngloGold.

Operative provisions

	1.	 	Interpretation

	1.1	 	In this Deed, unless the context otherwise requires:
	 
	 	 	“Allocation” has the meaning given in clause 8.4(f);
	 
	 	 	“Average Margin” has the meaning given in clause 2;
	 
	 	 	“Boddington Gold Mine Joint Venture” means the unincorporated joint venture governed by the
agreement entitled “Further Restated Boddington Gold Mine Joint Venturers Agreement” dated
17 November 2006 between Newmont Boddington Pty Ltd, AngloGold and BGM Management Company
Pty Ltd and “Boddington Gold Mine” means the gold mine the conduct of which is the subject
matter of that agreement;
	 
	 	 	“Business Day” means a day which is not a Saturday, Sunday or public holiday in the state of
Western Australia;
	 
	 	 	“Cash Costs” has the meaning given in clause 2;
	 
	 	 	“Commencement Date” means the first day of the second calendar quarter of 2010;
	 
	 	 	“Deed” means this deed;

Page 1

 

“Dispose” means to sell, assign, lease, transfer, mortgage, pledge, part with
possession of any interest, novate, deal or in any manner encumber, dispose of or alienate
and “Disponee”, “Disposal” and “Disposing” have corresponding meanings;

“Encumbrance” means a mortgage, pledge, charge, lien, assignment, hypothecation,
security interest or title retention;

“Expert” means a person suitably qualified and capable of making an expert
determination under this Deed;

“Gold” means the precious metal bearing the chemical symbol “Au”;

“Government Agency” means:

	(a)	 	a government or government department or other body;
	 
	(b)	 	a governmental, semi-governmental or judicial person; or

	(c)	 	a person (whether autonomous or not) who is charged with the administration of
a law;

“Interest Rate” on a day means the per annum rate of interest known as “London
Interbank Offered Rate” for deposits of United States dollars for a period of three months
as determined from the applicable Reuters page as at 11:00 am (London time) on that day or,
if that day is not a Business Day on the last preceding Business Day;

“Minerals” means all minerals (as that term is defined in the Mining Act) and metals,
in whatever form;

“Mining” includes any mode or method of working whereby earth or any rock structure, stone,
fluid or mineral bearing substance is disturbed, removed, washed, shifted, crushed, leeched,
roasted, distilled, evaporated, smelted, refined or dealt with for the purpose of obtaining
any Gold or Minerals therefrom whether it has been previously disturbed or not and “Mined”
has a corresponding meaning;

“Mining Act” means the Mining Act 1978 (WA) in force from time to time in Western Australia
and any regulations made under the Act;

“mining tenement” has the same meaning as under the Mining Act;

“Offer” has the meaning given in clause 8.4(b);

“Parties” means AngloGold and Saddleback and “Party” means any one of them;

“Produce” means to refine, smelt and/or process ore to produce metal able to be sold on a
metals exchange and “Produced” and “Production” have corresponding meanings;

“Product” means any Minerals Mined or Produced by or on behalf of Saddleback from within the
Royalty Area;

Page 2

 

“Project Statement” means a statement setting out the calculation of the Royalty for the
previous Quarter and also setting out in detail all the information necessary for the
calculation of Cash Costs for that Quarter;

“Quarter” means the period commencing on the Commencement Date and ending on the next to
occur of 31 March, 30 June, 30 September or 31 December, and thereafter, each period of 3
calendar months ending on those dates in each calendar year during which Mining on the
Royalty Area has been conducted, and “Quarterly” has a corresponding meaning;

“Records” means books of account, records, reports, invoices, statements and other documents
as would usually be kept and maintained by a prudent manager of a project of a kind similar
to any Mining operations on the Royalty Area and in relation to deliveries and other
Disposals of the Product derived from such Mining operations;

“Related Body Corporate” has the same meaning as in the Corporations Act 2001 (Cth);

“Royalty” means the royalty granted by Saddleback to AngloGold pursuant to clause 2 and
payable by Saddleback to AngloGold in accordance with the terms of this Deed;

“Royalty Area” means the area of land shown in the map attached to this Deed in schedule 2
(which map was agreed between the Parties after the date of the Sale and Purchase Agreement
but before Completion (as that term is defined in the Sale and Purchase Agreement) under the
Sale and Purchase Agreement to represent the area of land enclosed by the external
boundaries of the Tenements, as the Tenements were at the date of this Deed);

“Royalty Interest” has the meaning given in clause 8.4(b);

“Sale and Purchase Agreement” means the agreement dated [insert] between Saddleback,
AngloGold and others related to the sale of AngloGold’s interest in the Boddington Gold Mine
Joint Venture;

“Subleases” means the subleases granted under:

	(a)	 	the deed entitled “Deed of Sublease” between BHP Billiton Aluminium (Worsley)
Pty Ltd and AngloGold dated 28 February 2007, granting a non-bauxite sublease in
relation to a 30% registered interest in mining leases M70/21-25 (inclusive); and

	(b)	 	the deed entitled “Deed of Sublease” between Japan Alumina Associates
(Australia) Pty Ltd and AngloGold dated 28 February 2007, granting a non-bauxite
sublease in relation to a 31/3% registered interest in mining leases M70/21-25
(inclusive);

“Tax” means a tax, levy, duty, charge, deduction or withholding (including income taxes),
however it is described, that is imposed by a Government Agency, together with any related
interest, penalty, fine or other charge, other than GST; and

Page 3

 

	 	 	“Tenements” means the mining tenements (including applications for mining tenements) listed
in schedule 3.
	 
	1.2	 	In this Deed, unless the context otherwise requires:

	 	(a)	 	words denoting the singular number only include the plural and vice versa;
	 
	 	(b)	 	words denoting the masculine gender include the feminine and vice versa;
	 
	 	(c)	 	words denoting individual persons include corporations;
	 
	 	(d)	 	a reference to a section, clause, sub-clause, paragraph or schedule is a
reference to a section, a clause, a sub-clause or a paragraph of, or a schedule to,
this Deed;
	 
	 	(e)	 	reference to a statute includes all regulations under and amendments to that
statute and any statute passed in substitution for that statute or incorporating any of
its provisions to the extent that they are incorporated;
	 
	 	(f)	 	reference to a claim includes any claim, demand, right, request, requisition,
requirement, direction, action, application, proceeding, allegation or legal action,
whether actual, commenced, anticipated, threatened or potential;
	 
	 	(g)	 	a reference to a deed (including this Deed), agreement or other instrument or
any provision thereof includes a reference to that deed, agreement, instrument or
provision as varied, supplemented, novated, assigned or replaced from time to time;
	 
	 	(h)	 	a reference to a month is a reference to a calendar month (whether or not
beginning on the first day of any month);
	 
	 	(i)	 	the words “including”, “such as” and “particularly” and similar expressions do
not imply any limitation;
	 
	 	(j)	 	clause and subclause headings are for reference purposes only;
	 
	 	(k)	 	reference to loss includes any loss, liability, damage, injury, accident, claim
or cost incurred at any time;
	 
	 	(l)	 	a reference to liability means:

	 	(i)	 	in relation to any person, any liability, debt, indebtedness,
loss, damages, compensation, expenditure, obligation, duty, function,
responsibility, accountability, answerability, answerability for profits,
liability to make restitution, judgment debt, fine or criminal or civil
penalty; and
	 
	 	(ii)	 	in relation to any asset, any liability, charge, encumbrance,
disqualification or prejudice affecting that asset;

Page 4

 

	 	(m)	 	reference to a person includes any other entity recognised by law and vice
versa;
	 
	 	(n)	 	where a word or phrase is defined its other grammatical forms have a
corresponding meaning;
	 
	 	(o)	 	any reference to a Party, a party to an agreement or contract or a party in its
capacity as a joint venturer includes (in each case) its successors and permitted
assigns;
	 
	 	(p)	 	the expression “at any time” includes reference to past, present and future
time and the performance of any action from time to time;
	 
	 	(q)	 	no rule of construction concerning a provision applies to the disadvantage of a
Party because that Party was responsible for the inclusion of that provision; and
	 
	 	(r)	 	a reference to US$, $ or “dollars” means United States dollars.

	2.	 	The Royalty
	 
	2.1	 	Saddleback grants AngloGold a royalty on the terms set out in this clause 2.
	 
	2.2	 	The Royalty shall not exceed in the aggregate the sum of US$100,000,000 (one hundred million
United States dollars). If the aggregate amount of the Royalty paid under this Deed equals
US$100,000,000 (one hundred million United States dollars), no further payments shall be due
or payable under this Deed.
	 
	2.3	 	The Royalty shall commence on the Commencement Date. The calculation set out in clause 2.4
shall be made in respect of the Quarter commencing on the Commencement Date and each
subsequent Quarter, and payment of the Royalty (if any) in respect of a particular Quarter
shall be made no later than 45 days after the last day of that Quarter.
	 
	2.4	 	The amount that is the Royalty for a given Quarter shall be equal to:

	 	(a)	 	50% of the amount by which the Average Margin for that Quarter exceeds US$600
per ounce, multiplied by
	 
	 	(b)	 	33 and 3/9% of the number of Gold ounces Produced from the Royalty Area that
are sold in that Quarter.

	2.5	 	In this Deed:
	 
	 	 	“Average Margin” means, in respect of a Quarter, the arithmetic average of the London
Bullion Market Association AM Gold Fix for each day during that Quarter less Cash Costs;
and
	 
	 	 	“Cash Costs” means, in respect of a Quarter, the amount per ounce of Gold Produced from the
Royalty Area that is sold during that Quarter, calculated in accordance with Schedule 1.

Page 5

 

	3.	 	Information and Access to Records
	 
	3.1	 	Saddleback must keep and maintain or ensure that there are kept and maintained accurate and
complete Records.

	3.2	 	Saddleback must deliver to AngloGold:

	 	(a)	 	within 45 days after the expiration of each Quarter, a Project Statement in
respect of that Quarter; and
	 
	 	(b)	 	the Records and other information, relating to the calculation of the Royalty,
and which may reasonably be requested by AngloGold, from time to time, to enable
AngloGold to verify the amount of the Royalty payable in respect of that Quarter and to
verify the completeness and accuracy of each Project Statement.

	3.3	 	Saddleback must permit AngloGold, at AngloGold’s own cost and risk and after AngloGold has
given reasonable notice to Saddleback, to inspect at all reasonable times all Records and
other information relating to the calculation of the Royalty.

	3.4	 	Subject to clause 3.5, AngloGold undertakes that it will keep confidential all Records and
information provided to it in accordance with clause 3.2(b) or inspected by it in exercising
the rights conferred by clause 3.3.

	3.5	 	AngloGold may disclose Records and information provided to it in accordance with clause
3.2(b) or inspected by it in exercising the rights conferred by clause 3.3:

	 	(a)	 	in enforcing this Deed or in a proceeding arising out of or in connection with
this Deed;
	 
	 	(b)	 	if required under a binding order of a Governmental Agency or under a procedure
for discovery in any proceedings;
	 
	 	(c)	 	if required under any law or any administrative guideline, directive, request
or policy whether or not having the force of law;
	 
	 	(d)	 	to its legal and financial advisers on a confidential basis;
	 
	 	(e)	 	to a bona fide proposed assignee of its right, title and interest in and under
this Deed (provided the proposed assignee has first covenanted in writing in favour of
Saddleback to keep such information confidential); or
	 
	 	(f)	 	with the prior written consent of Saddleback.

	3.6	 	To the extent legally possible AngloGold must give Saddleback as much prior notice as
possible of a proposed disclosure pursuant to clauses 3.5(a) or 3.5(b) including details of
the Records and information to be disclosed and the persons to whom disclosure is to be made
and the circumstances for that proposed disclosure. AngloGold must use commercially reasonable
efforts to limit the disclosure to the

Page 6

 

	 	 	maximum extent permissible having regard to the
circumstances requiring the disclosure to be made.
	 
	4.	 	Right to Audit
	 
	4.1	 	After giving reasonable notice to Saddleback, AngloGold may, within 20 Business Days of the
payment of the Royalty under clause 2, audit and verify the Records relating to Saddleback’s
calculations in respect of the formula in clause 2 and the component items of it including the
Cash Costs and Average Margin.
	 
	4.2	 	Saddleback must make available to AngloGold and AngloGold’s auditors such of its personnel
and Records as are reasonably required by AngloGold or its auditors for the purposes of
conducting an audit of the type referred to in clause 4.1.
	 
	4.3	 	If there is a dispute in relation to the amount of a Royalty payment, then either Party shall
have the right to give notice to the other Party requesting the appointment of an independent
auditor. The Parties will jointly appoint such independent auditor and failing agreement
within 10 Business Days of the notice requesting the appointment, the independent auditor
shall be selected by the President (at the time of notice) of the Institute of Chartered
Accountants (Western Australian Branch). The independent auditor shall review and determine
the amount of the Royalty that is properly due and payable. The Parties must cooperate with,
and provide information, including the Records, to the independent auditor. At the conclusion
of the review the independent auditor will issue an audit certificate to the Parties.
	 
	4.4	 	The costs of carrying out an audit of the type referred to in clause 4.3 must be borne:

	 	(a)	 	if the audit verifies Saddleback’s Royalty payment or reveals that Saddleback’s
Royalty payment has resulted in AngloGold being paid a greater amount of Royalty than
the amount of Royalty to which AngloGold is entitled, by AngloGold; and
	 
	 	(b)	 	in all other circumstances, by Saddleback.

	4.5	 	The audit referred to in clause 4.3 will be a final and conclusive determination of the
accuracy of the matters the subject of the audit, and binding on the Parties in the absence of
manifest error. Each Party will make the appropriate payment required in adjustment in
accordance with the audit certificate within 10 Business Days of receiving the audit
certificate.

	5.	 	Goods and Services Tax

	5.1	 	Definitions
	 
	 	 	Capitalised terms in this clause 5 that are not defined by this Deed have the same
meaning as those terms have under the A New Tax System (Goods and Services Tax) Act 1999
(Cth).

Page 7

 

	5.2	 	Adjustment for GST

	 	(a)	 	Amounts specified in this Deed as being payable by Saddleback to AngloGold are
exclusive of any GST applicable.
	 
	 	(b)	 	If a Supply from AngloGold under or in connection with this Deed constitutes a
Taxable Supply, AngloGold may recover from Saddleback an amount on account of GST in
addition to any payment or other consideration for the Supply.
	 
	 	(c)	 	The additional amount is equal to the Value for the Supply multiplied by the
prevailing rate of GST.

	5.3	 	Tax Invoice
	 
	 	 	If any Supply is a Taxable Supply, then Saddleback must provide AngloGold with a
Recipient Created Tax Invoice within 15 Business Days of the end of the month in which the
payment or other consideration for the Supply is made.

	6.	 	Payments
	 
	6.1	 	Saddleback shall pay the Royalty to AngloGold in cash, by bank cheque, by a cheque of
Saddleback which is honoured on presentation, or by direct debit to a bank account nominated
in writing by AngloGold.
	 
	6.2	 	 

	 	(a)	 	If at any time an applicable law obliges Saddleback to make a deduction or
withholding from a payment to AngloGold under this Deed on account of Taxes payable by
AngloGold (or any amounts required to be withheld by virtue of section 128B of the
Income Tax Assessment Act 1936 (as amended, or replaced) or section 12-325 of the
Taxation Administration Act 1953 (as amended, or replaced)), Saddleback must make the
withholding as required by law and must pay to the relevant Government Agency on time
the full amount of the deduction or withholding and promptly deliver to AngloGold a
copy of any receipt, certificate or other proof of payment. Any such deduction or
withholding made in relation to income taxes or in relation to any other tax imposed on
AngloGold shall be considered a part of the Royalty paid under this Deed for the
purposes of clause 2.2.
	 
	 	(b)	 	If at any time an applicable law obliges AngloGold to make a tax payment on
behalf of Saddleback under this Deed in relation to the Royalty payments, on account of
Taxes payable by Saddleback, AngloGold must make the payment as required by law and
must pay to the relevant Government Agency on time the full amount of the payment and
promptly deliver to Saddleback a copy of any receipt, certificate or other proof of
payment. Saddleback must pay to AngloGold a sum equivalent to the sum paid by AngloGold
to the Government Agency (in addition to the Royalty payment otherwise calculated under
this Deed), at the time of payment of each Royalty payment. Any such sum paid in

Page 8

 

relation to taxes imposed on Saddleback shall not be considered a part of the Royalty
paid under this Deed for purposes of clause 2.2.

	 	(c)	 	Subject to clauses 5, 6.2(a) and 6.2(b), and for the avoidance of doubt:

	 	(i)	 	any Taxes imposed on AngloGold, or a Related Body Corporate of
AngloGold, in relation to the Royalty shall be exclusively borne by AngloGold;
and
	 
	 	(ii)	 	any Taxes imposed on Saddleback, or a Related Body Corporate of
Saddleback, in relation to the Royalty shall be exclusively borne by
Saddleback.

	6.3	 	Subject to clause 6.2 and except for amounts owing pursuant to clause 4.5 which may be
deducted from future Royalty payments, Saddleback has no right to set off or otherwise deduct
from or withhold any payment that it is liable to make to AngloGold under this Deed against
any money that AngloGold or any Related Body Corporate of AngloGold is or may be liable to pay
to Saddleback whether under this Deed or otherwise.

	6.4	 	If any Party fails to pay any amount payable by it under or in accordance with this Deed,
that Party must, if demand is made, pay simple interest on that amount from the due date for
payment until that amount is paid in full at the rate per annum which is the sum of the
Interest Rate on the date on which the payment was due, plus a margin of 5% per annum,
calculated daily. The right to require payment of interest under this clause is without
prejudice to any other rights the non-defaulting Party may have against the defaulting Party
at law or in equity or under this Deed.

	7.	 	Default

	7.1	 	If Saddleback defaults in performing or observing any obligation imposed on it under this
Deed or if Saddleback repudiates this Deed then AngloGold, in addition to any other rights or
remedies which it may have under this Deed or otherwise, may:

	 	(a)	 	affirm this Deed and sue Saddleback for damages for breach; or
	 
	 	(b)	 	affirm this Deed and sue Saddleback for specific performance of this Deed and
damages for breach in addition to or in lieu of specific performance of this Deed.

	7.2	 	Except as otherwise specifically provided in this Deed:

	 	(a)	 	AngloGold shall not be entitled to exercise any of its rights or remedies under
clause 7.1 on the ground of Saddleback’s default in performing or observing any
obligation imposed on Saddleback under this Deed; and

Page 9

 

	 	(b)	 	AngloGold shall not be entitled to terminate this Deed on the ground of
Saddleback’s default in performing or observing any obligation imposed on Saddleback
under this Deed,

	 	 	unless AngloGold has first given to Saddleback a written notice specifying the default
complained of, which notice shall require that the default be remedied within a period
of not less than 10 Business Days from the date of service of that notice, and Saddleback
fails to remedy or begins to remedy the default within that period.
	 
	7.3	 	The giving of a notice under this clause does not prejudice the right of AngloGold to give a
further notice under this clause.

	7.4	 	Clause 7.2 shall not apply where Saddleback repudiates this Deed.
	 
	8.	 	Assignment and Encumbrances
	 
	8.1	 	By Saddleback

	 	(a)	 	This clause 8.1 applies to any Disposal by Saddleback of its rights and
obligations under this Deed.
	 
	 	(b)	 	For the purpose of this clause 8.1, any Disposal by Saddleback of any of its
rights and obligations under this Deed is referred to as an assignment.
	 
	 	(c)	 	Any assignment or purported assignment will be of no effect and is void ab
initio unless:

	 	(i)	 	AngloGold has given its prior written consent (such consent not
to be unreasonably withheld or delayed);
	 
	 	(ii)	 	the assignment is part of a transaction involving the sale or
transfer of an interest in the Boddington Gold Mine to the assignee that is
commensurate with the extent of the proposed assignment recognising that
Saddleback’s interest in the Boddington Gold Mine as at the date of this Deed
is 33 and 3/9%; and
	 
	 	(iii)	 	a deed duly executed by the assignee, under which the assignee
assumes in favour of AngloGold, the obligations of Saddleback under this Deed
either wholly or to the extent of the interest assigned under the assignment
(as the case requires) is delivered to AngloGold in a form acceptable to
AngloGold (acting reasonably).

	 	(d)	 	Subject to an assignment conforming to this clause 8.1, Saddleback will be
released from any further obligation under this Deed to the extent of the assumption of
those obligations by the assignee and arising after the date of the assignment. Until
the release of Saddleback becomes effective, Saddleback shall continue to pay the
Royalty as if the assignment had not occurred.
	 
	 	(e)	 	The release of Saddleback under clause 8.1(d) will be without prejudice to any
of the rights of AngloGold against Saddleback for a breach of this Deed arising

Page 10

 

before
the date of the assignment or from any rights intended to survive this Deed.

	8.2	 	Retention of Royalty obligations

	 	(a)	 	If as part of a proposed sale or transfer of an interest by Saddleback in the
Boddington Gold Mine to a third party (the assignee), the obligations under this Deed
are not to be assumed by the assignee under clause 8.1 and accordingly Saddleback
retains the obligations under this Deed, including to pay the Royalty, then such
proposed sale or transfer of an interest in the Boddington Gold Mine may not occur and
is void ab initio unless Saddleback first procures a contractual right to ensure that:

	 	(i)	 	the Records and information required to calculate the Royalty
payments are kept and maintained for so long as the Royalty remains payable;
	 
	 	(ii)	 	Saddleback has access to the Records and information required
to calculate the Royalty so as to enable it to calculate the Royalty and
prepare Project Statements; and
	 
	 	(iii)	 	AngloGold may have access to inspect those Records and that
AngloGold has information and audit rights and obligations in accordance with
provisions equivalent to clauses 3.3, 3.4 and 3.6 and 4.

	 	(b)	 	Saddleback shall use commercially reasonable endeavours to enforce, at its own
expense, the contractual rights against the assignee obtained under clause 8.2(a).

	8.3	 	By AngloGold

	 	(a)	 	Subject to clause 8.4, AngloGold may at any time Dispose of its rights, title
and interest under this Deed to any person, without obtaining the consent of
Saddleback.
	 
	 	(b)	 	The Disposal contemplated by this clause 8.3 must be by instrument in writing
executed by AngloGold and the assignee and delivered to Saddleback. The form of that
instrument will be as agreed between AngloGold and the assignee except that it must
contain details of the assignee’s address for service.

	8.4	 	Saddleback Pre-emptive Right

	 	(a)	 	This clause 8.4 does not apply with respect to any Disposal or proposed
Disposal by AngloGold to a Related Body Corporate of AngloGold, which shall be
permitted without the need for consent from Saddleback.
	 
	 	(b)	 	Subject to clause 8.4(e), if at any time during the period in which Royalty
payments are due under this Deed, AngloGold proposes to assign its rights under this
Deed (“Royalty Interest”) to a third party Disponee, then it must first offer its
Royalty Interest to Saddleback (“Offer”) in accordance with this clause 8.4.

Page 11

 

	(c)	 	An Offer under this clause 8.4 must be made by written notice and include:

	 	(i)	 	the name and address of the proposed Disponee;
	 
	 	(ii)	 	the relationship between AngloGold and the proposed Disponee;
	 
	 	(iii)	 	the cash consideration (or if there is non-cash consideration
as to whole or in part, the value in cash of that non-cash consideration as
reasonably determined by AngloGold, subject to clause 8.4(f)) for the proposed
Disposal and if that Disposal is part of a larger transaction the basis on
which the proposed consideration for the Disposal has been determined (which
must represent a reasonable allocation of the overall consideration determined
by AngloGold, subject to clause 8.4(f) for that larger transaction); and
	 
	 	(iv)	 	all terms and conditions upon which AngloGold proposes to
Dispose the Royalty Interest to the Disponee (including a copy of any proposed
assignment documents to the extent that they relate to the Royalty Interest).

	(d)	 	Saddleback may accept an Offer by written notice to AngloGold:

	 	(i)	 	within 15 Business Days after the making of the Offer; or
	 
	 	(ii)	 	if the Offer is referred to an Expert for determination in
accordance with clause 8.4(f), within 10 Business Days of the date of the
determination made by the Expert.

	(e)	 	If an Offer is not duly accepted by Saddleback in accordance with clause 8.4(d)
then AngloGold may, within 45 Business Days after the end of the period specified in
clause 8.4(d), proceed with the proposed Disposal of the Royalty Interest on terms not
materially different to those notified in its Offer, subject to complying with clause
8.3(b). If AngloGold does not so proceed to Dispose of the Royalty Interest within 45
Business Days after the end of the period specified in clause 8.4(d), then this clause
8.4 again applies to any proposed Disposal subject to the terms of this clause 8.4.

	(f)	 	Within 5 Business Days after receipt by Saddleback of the calculation of the
cash value of the non-cash consideration or the allocation of the overall consideration
for a larger transaction to the value of the Royalty Interest (the “Allocation”),
Saddleback may give written notice to AngloGold that it does not accept the calculation
of the cash value of the non-cash consideration or the Allocation, in which case, the
Parties must seek to agree upon that cash value or Allocation. If the Parties cannot
reach agreement within 5 Business Days after the written notice is received by
AngloGold, that cash value or the Allocation must be independently determined by an
Expert appointed under this Deed, who must make such determination within 30 days of
his or her appointment.

Page 12

 

	9.	 	Saddleback’s covenants

	9.1	 	Saddleback must not do, or, to the extent it has power, permit to be done, anything that may
render the Tenements or any of them liable for forfeiture.
	 
	9.2	 	Saddleback must use its commercially reasonable efforts to maintain the Tenements, or cause
them to be maintained in good standing in accordance with their respective terms.
	 
	9.3	 	Nothing in this Deed, including this clause 9, will make Saddleback liable to AngloGold to
the extent of an area where:

	 	(a)	 	a Sublease has expired and a new sublease replacing the relevant whole or part
of the area of that Sublease is refused;
	 
	 	(b)	 	Mining operations cease to be conducted in the whole or part of the Royalty
Area; or
	 
	 	(c)	 	any of the Tenements or Subleases is surrendered or released because:

	 	(i)	 	the relevant whole or part of that Tenement, the Sublease or
the Tenement the subject matter of that Sublease no longer contains known Gold
reserves or resources that the owners of the Boddington Gold Mine consider to
be economically minable (acting reasonably); or
	 
	 	(ii)	 	such owners determine (acting reasonably) that further
exploration on the area covered by a Tenement or a Sublease is not warranted
or, for other business reasons, continuing to maintain the Tenement or a
Sublease in existence is not warranted.

	9.4	 	To the extent a Tenement or Sublease is surrendered or released as contemplated in clause 9.3
then, for so long as Saddleback or a Related Body Corporate of Saddleback, does not have an
interest in the released or surrendered area, any Minerals Produced from that area shall be
excluded in calculating the Royalty. To avoid doubt, if Saddleback or a Related Body Corporate
of Saddleback re-acquires an interest in such area then that area shall again be subject to
the Royalty and will be included in calculating the Royalty.

Page 13

 

	10.	 	Waiver
	 
	10.1	 	No waiver by any Party of any provision of this Deed is effective unless it is in writing
signed by that Party and any waiver is effective only in the specific instances and for the
specific purpose for which it was given.
	 
	10.2	 	No failure or delay by any Party to exercise any right, power or remedy under this Deed or to
insist on strict compliance by the other Party with any obligation under this Deed, and no
custom or practice of the Parties at variance with the terms of this Deed, constitutes a
waiver of any Party’s right to demand exact compliance with this Deed.
	 
	10.3	 	The single or partial exercise of any right by that Party does not preclude any other or
further exercise of that or any other right by that Party.
	 
	11.	 	Expert Determination
	 
	11.1	 	Where a matter is permitted or required by this Deed to be determined by an Expert, either
Party may refer the matter to the Expert for determination and the following provisions apply:

	 	(a)	 	Unless the Expert determines otherwise or the Parties otherwise agree, each
Party must pay its own advisers, consultants and legal fees and expenses in connection
with the Expert determination.
	 
	 	(b)	 	The Expert determination must be conducted by a person or body agreed to by the
Parties or failing agreement within 5 Business Days of commencing to seek agreement by
the person or body nominated by the Institute of Arbitrators & Mediators Australia on
application by either Party.
	 
	 	(c)	 	In making a determination:

	 	(i)	 	the Expert must make a determination in accordance with, and
subject to, the Institute of Arbitrators & Mediators Australia Expert
Determination Rules;
	 
	 	(ii)	 	the Expert must act in that capacity and not as an arbitrator;
	 
	 	(iii)	 	the Expert’s finding is final and binding upon the Parties in
the absence of manifest error;
	 
	 	(iv)	 	the Expert must determine which Party or Parties should bear
the costs of any such determination and in what proportion. In making this
decision, the Expert must consider the degree to which he or she considers a
Party was unreasonable in failing to agree to the matter; and
	 
	 	(v)	 	the Expert may employ consultants to provide advice to the
Expert in order for the Expert to carry out his or her duties.

Page 14

 

	12.	 	Notices
	 
	12.1	 	All notices, notifications, requests, demands, waivers, statements and other communications
(“notice”) which a Party gives to another Party under this Deed must, unless otherwise agreed,
be in writing and may be given and served by delivering the same to or despatching the same by
facsimile to the number, or by mail with postage prepaid in an envelope or wrapper addressed
to the addressee Party at its address, stated in clause 12.4 or such other number or address
as the addressee Party may from time to time have notified pursuant to this clause for service
of notices.
	 
	12.2	 	Any notice that is sent by post in accordance with clause 12.1 will be deemed to have been
duly given and served on the third Business Day following the date of posting.
	 
	12.3	 	Any notice delivered by hand or despatched by facsimile in accordance with clause 12.1 will
be deemed to have been duly given and served on the next Business Day following the date of
transmission.
	 
	12.4	 	The addresses for notices of the Parties are:

	 	 	 	 	 
	 

	 	Saddleback:
	 	Saddleback Investments Pty Ltd
	 

	 	 	 	Level 1, 388 Hay Street
	 

	 	 	 	Subiaco, Western Australia 6008
	 

	 	 	 	Facsimile:      +61 8 9423 6176
	 

	 	 	 	Attention:      Company Secretary
	 
	 	 	 	 
	 

	 	AngloGold:
	 	AngloGold Ashanti Australia Limited
	 

	 	 	 	Level 13, St Martin’s Tower
	 

	 	 	 	St Georges Terrace
	 

	 	 	 	Perth, Western Australia 6000
	 

	 	 	 	Facsimile:       +61 8 9425 4650
	 

	 	 	 	Attention:      Company Secretary

	12.5	 	Each Party may rely on any notice believed on reasonable grounds by it to be genuine, correct
and duly authorised, and to have been communicated or signed by whom or on behalf of whom it
purports to be communicated or signed.
	 
	13.	 	General Provisions
	 
	13.1	 	Further Assurances
	 
	 	 	The Parties shall expeditiously sign all such documents and do all
such things as are reasonably required to give full effect to this
Deed and the transactions contemplated by it.
	 
	13.2	 	No Partnership
	 
	 	 	Nothing contained in this Deed or otherwise arising from it shall constitute the Parties
hereto as partners with or agents for or legal representatives of one another except as

Page 15

 

	 	 	otherwise specifically provided for in this Deed and no Party shall pledge the credit of the
other Party.
	 
	13.3	 	Costs and Stamp Duty

	 	(a)	 	Except to the extent specified in clause 13.3(b), each Party must bear and is
responsible for its own costs in connection with the preparation, execution and
carrying into effect of this Deed and all Taxes imposed on it arising out of or in any
way connected with this Deed or the transactions it contemplates.
	 
	 	(b)	 	Saddleback must bear and is responsible for, and must indemnify and keep
indemnified AngloGold against, all stamp duty (together with any related interest,
penalty, fine and expense) and registration fees (if any) payable on or in respect of
or as a consequence of this Deed.

	13.4	 	Entire Agreement
	 
	 	 	This Deed:

	 	(a)	 	expresses and incorporates the entire agreement between the Parties in relation
to its subject matter, and all the terms of that agreement; and
	 
	 	(b)	 	supersedes and excludes any prior or collateral negotiation, understanding,
undertaking, representation, warranty, communication or agreement by or between the
Parties in relation to the subject matter or any term of the agreement referred to in
clause 13.4(a).

	13.5	 	Severance
	 
	 	 	If any provision of this Deed is, or becomes, prohibited or unenforceable in any
jurisdiction and the rest of the Deed is not invalidated by its removal then that provision
shall be ineffective to the extent of that jurisdiction without invalidating any other
provision of this Deed or the validity of that provision in any other jurisdiction.

	13.6	 	Enurement
	 
	 	 	This Deed binds, in addition to the Parties, their respective successors in title and
permitted assigns.
	 
	13.7	 	Governing Law
	 
	 	 	This Deed shall be construed, and the rights and obligations of the Parties shall be
determined, in accordance with the laws of Western Australia, and the Parties submit to the
non-exclusive jurisdiction of the courts of Western Australia and any courts competent to
hear appeals from those courts.
	 
	13.8	 	Remedies
	 
	 	 	The rights of a Party under this Deed are cumulative and not exclusive of any
rights provided by law.

Page 16

 

	13.9	 	Amendments
	 
	 	 	Any amendment to this Deed has no force or effect, unless effected by a document
executed by the Parties and which document is expressed to effect an amendment to this
Deed.
	 
	13.10	 	Third Parties
	 
	 	 	This Deed confers rights only upon a person expressed to be a Party, and not upon any other
person.
	 
	13.11	 	Counterparts
	 
	 	 	This Deed may be executed in any number of counterparts, all of which taken together are
deemed to constitute one and the same document.
	 
	13.12	 	Caveats

	 	(a)	 	Subject to clauses 13.12(b) and 13.12(c), Saddleback will not object to
AngloGold registering caveats against any of the Tenements to protect its interests
under this Deed, and Saddleback agrees that it will take no steps to object to, or seek
the withdrawal of, any such caveat. Saddleback will consent to the lodgement of a
caveat in respect of Tenements of which it is a registered holder and agrees the term
of such caveat is indefinite.
	 
	 	(b)	 	AngloGold agrees that it will withdraw any such caveat:

	 	(i)	 	on request by the owners or representatives of the Boddington
Gold Mine to allow prudent management of the Tenements (including surrender for
the purposes of replacement or amalgamation or as required by applicable law)
(provided AngloGold may reinstate such caveat after such action is taken); or
	 
	 	(ii)	 	provided that Saddleback has complied with clauses 8.1 or
8.2(a) (as applicable), to enable the assignment of the interest in the
Boddington Gold Mine contemplated by clauses 8.1 or 8.2(a) (as applicable)
(provided that AngloGold may reinstate such caveat after the assignment of an
interest as contemplated by clause 8.1).

	 	(c)	 	A Tenement the subject of a sublease is not capable of having a caveat
registered against it for the purposes of clause 13.12(a) unless the terms and
condition of the sublease expressly permit such registration and the registered holder
of such Tenement consents to the registration of a caveat.

13.13 Termination

	 	(a)	 	This Deed will terminate and be of no further force and effect (except clauses
3.4, 3.5 3.6, 5 and 13) once the Royalty paid under this Deed is equal to
US$100,000,000 (one hundred million United States dollars).

Page 17

 

	(b)	 	Within 15 days of the date of termination of this Deed, AngloGold must withdraw
all caveats lodged against the Tenements.

Page 18

 

EXECUTED and delivered as a Deed in Perth.

	 	 	 
	Executed as a deed in accordance with
section 127 of the
Corporations Act 2001 by
SADDLEBACK INVESTMENTS PTY LTD:
	 	 
	 
	 	 
	 	 	 
	Secretary/Director

	 	Director
	 
	 	 
	 	 	 
	Print name

	 	Print name
	 
	 	 
	Executed as a deed in accordance with section
127 of the
Corporations Act 2001 by
ANGLOGOLD ASHANTI AUSTRALIA LIMITED:
	 	 
	 
	 	 
	 	 	 
	Secretary/Director

	 	Director
	 
	 	 
	 	 	 
	Print name

	 	Print name

Page 19

 

Schedule 1 -Determination of Cash Costs

The Cash Costs for a Quarter shall be the total cash costs (1) per ounce of Gold
Produced from the Royalty Area that is sold during that Quarter calculated in accordance with The
Gold Institute (2) “Proposed Revised Standard for Reporting Production Costs” with the
following exceptions:

	 	1.	 	Deductions or additions for “Stripping and deferred mine development” will not be made.
	 
	 	2.	 	Accretion of Asset Retirement Obligations as required under FAS 143 will not be
included.
	 
	 	3.	 	Depreciation, amortisation and depletion, all Product hedging costs and losses or gains
on settlement of price capped sales contracts will not be included.

Net revenues(3) from the by-product metals, including Copper, Silver and Molybdenum,
Produced from the Royalty Area and sold in the relevant Quarter will be deducted from total cash
costs.

Currency conversions will be done in accordance with the Relevant Policies.(5)

 

			
	(1)	 	Total cash costs includes all expenditures incurred at the site (direct mining and
processing costs and site administration), in-mine drilling expenditures that are related to
production (e.g. in-fill drilling, grade control), site specific corporate charges (e.g. insurance,
computer services, regional administration (in accordance with the Relevant
Policies(5)), product inventory charges (e.g. ore stockpile, in-circuit, concentrate and
finished goods), inventory write-downs, royalties (other than the Royalty) and production taxes,
reclamation expenses and with the exception as per paragraphs numbered 1, 2 and 3 above.
	 
	(2)	 	As revised by The Gold Institute Financial Executives Committee on October 29, 1999
and approved by The Gold Institute Board of Directors on November 3, 1999.
	 
	(3)	 	Net revenues will be the total value of sales, as adjusted for final prices and
quantities in the period in which they become known, less the cost to refine, smelt, roast (as
applicable), and all associated transport, freight and by-product charges.
	 
	(4)	 	Newmont group of companies means Newmont Mining Corporation and each Related Body
Corporate of Newmont Mining Corporation.
	 
	(5)	 	Relevant Policies means the policies of the Newmont group of companies while the
party obliged to pay the Royalty is a member of the Newmont group of companies,(4) and
where the party obliged to pay the Royalty is a not a member of the Newmont group of companies,
then the policies of the group of which the payer is a member. In particular, currency conversions
will be done in accordance with US GAAP or such other accounting standard adopted by Newmont Mining
Corporation for external reporting purposes or where the party obliged to pay the Royalty is a not
a member of the Newmont group of companies, then currency conversions will be done in accordance
with the policies of the group of which the payer is a member which shall be the accounting
standard adopted for that group’s external reporting purposes (if applicable).

Page 20

 

Schedule 2 Royalty Area Map

Page 1

 

 

Schedule 3 Tenements

Page 1

 

 

Boddington Gold Mine Royalty Deed

Saddleback Investments Pty Ltd

ACN 134 978 224

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

 

 

Contents

	 	 	 	 	 
	1. Interpretation
	 	 	1	 
	 
	 	 	 	 
	2. The Royalty
	 	 	5	 
	 
	 	 	 	 
	3. Information and Access to Records
	 	 	6	 
	 
	 	 	 	 
	4. Right to Audit
	 	 	7	 
	 
	 	 	 	 
	5. Goods and Services Tax
	 	 	7	 
	 
	 	 	 	 
	6. Payments
	 	 	8	 
	 
	 	 	 	 
	7. Default
	 	 	9	 
	 
	 	 	 	 
	8. Assignment and Encumbrances
	 	 	10	 
	 
	 	 	 	 
	9. Saddleback’s covenants
	 	 	13	 
	 
	 	 	 	 
	10. Waiver
	 	 	14	 
	 
	 	 	 	 
	11. Expert Determination
	 	 	14	 
	 
	 	 	 	 
	12. Notices
	 	 	15	 
	 
	 	 	 	 
	13. General Provisions
	 	 	15	 
	 
	 	 	 	 
	Schedule 1 - Determination of Cash Costs
	 	 	20	 
	 
	 	 	 	 
	Schedule 2 Royalty Area Map
	 	 	1	 
	 
	 	 	 	 
	Schedule 3 Tenements
	 	 	1	 

 

 

Schedule 3

DISPONEE’S DEED OF COVENANT (BBAW SUBLEASE)

 

 

Disponee’s Deed of Covenant — BBAW Sublease

Saddleback Investments Pty Ltd

ACN 134 978 224

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

BHP Billiton Aluminium (Worsley) Pty Ltd

ABN 33 088 336 921

 

 

DISPONEE’S DEED OF COVENANT — BBAW SUBLEASE

This Deed of Covenant is made      day of      2009

Between:

Saddleback Investments Pty Ltd ACN 134 978 224 of Level 1, 388 Hay Street, Subiaco Western
Australia (Disponee)

AngloGold Ashanti Australia Limited ABN 42 008 737 424 of Level 13, St Martin’s Tower, 44 St
Georges Terrace, Perth, Western Australia (AngloGold)

BHP Billiton Aluminium (Worsley) Pty Ltd ABN 33 088 336 921 (formerly Billiton Aluminium
(Worsley) Pty Ltd) of Gastaldo Road, Allanson, Western Australia (Continuing Party)

RECITALS

	A.	 	The Continuing Party and AngloGold entered into the Deed of Sublease on 28 February 2007
(Deed of Sublease) granted in respect of the Leasehold Interest (as defined in the Deed of
Sublease).

	B.	 	Under the terms of a Sale and Purchase Agreement dated [#] between the Disponee and AngloGold
(among others) (SPA), with effect from the Completion Date (as defined in the SPA), AngloGold
has agreed to sell and the Disponee has agreed to purchase, the entire interest of AngloGold
in the BGM Project (as defined in the SPA).

	C.	 	Pursuant to clause 8.2(b)(i) of the Deed of Sublease, it is a precondition to the disposition
of the BGM Interest (as defined in the SPA), that the Disponee execute and deliver to the
Continuing Party a deed of covenant.

IT IS AGREED as follows:

	1.	 	For the purposes of this Deed, words and expressions defined or given a special meaning in
the Deed of Sublease have the same meaning when used in this Deed.

	2.	 	The Disponee covenants with the Continuing Party to be bound by, and observe and perform, all
of the obligations on the part of AngloGold under the Deed of Sublease with effect on and from
the Completion Date (as defined in the SPA).

	3.	 	With effect on and from the Completion Date (as defined in the SPA), the Continuing Party
releases and discharges AngloGold from all its obligations under the Deed of Sublease to the
extent such obligations have been assumed by the Disponee under clause 2 of this Deed.

2.

 

	4.	 	For the purposes of clause 9(b) of the Deed of Sublease, the address of the Disponee to which
any notice, consent or other instrument required or authorised to be given under the Deed of
Sublease must be sent is:

	 	 	 	 
	 	Address:
	 	Level 1, 388 Hay Street, Subiaco WA 6008
	 	Fax:
	 	+61-8-9423-6176
	 	Attention:
	 	Company Secretary

	5.	 	This Deed may be executed in any number of counterparts each of which shall be deemed an
original but all of which shall constitute one and the same instrument.

	6.	 	This Deed is governed by the laws of Western Australia.

3.

 

EXECUTED and delivered as a deed in Perth.

	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001

by SADDLEBACK INVESTMENTS PTY
LTD:
	 	 
	 
	 	 
	 	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001

by ANGLOGOLD ASHANTI AUSTRALIA
LIMITED:
	 	 
	 
	 	 
	 	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001

by BHP BILLITON ALUMINIUM (WORSLEY) PTY LTD:
	 	 
	 
	 	 
	 	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 	 	 
	Name of director

	 	Name of director/secretary

4.

 

Schedule 4

DISPONEE’S DEED OF COVENANT (JAA SUBLEASE)

 

 

Disponee’s Deed of Covenant — JAA Sublease

Saddleback Investments Pty Ltd

ACN 134 978 224

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

Japan Alumina Associates (Australia) Pty Ltd

ABN 42 008 907 524

 

 

DISPONEE’S DEED OF COVENANT — JAA SUBLEASE

	 	 	This Deed of Covenant is made            day of            2009
	 
	 	 	Between:
	 
	 	 	Saddleback Investments Pty Ltd ACN 134 978 224 of Level 1, 388 Hay Street, Subiaco, Western
Australia (Disponee)
	 
	 	 	AngloGold Ashanti Australia Limited ABN 42 008 737 424 of Level 13, St Martin’s Tower, 44 St
Georges Terrace, Perth, Western Australia (AngloGold)
	 
	 	 	Japan Alumina Associates (Australia) Pty Ltd ABN 42 008 907 524 of Level 21, 140 St Georges
Terrace, Perth, Western Australia (Continuing Party)

RECITALS

	A.	 	The Continuing Party and AngloGold entered into the Deed of Sublease on 28 February 2007
(Deed of Sublease) granted in respect of the Leasehold Interest (as defined in the Deed of
Sublease).
	 
	B.	 	Under the terms of a Sale and Purchase Agreement dated [#] between the Disponee and AngloGold
(among others) (SPA), with effect from the Completion Date (as defined in the SPA), AngloGold
has agreed to sell and the Disponee has agreed to purchase, the entire interest of AngloGold
in the BGM Project (as defined in the SPA).
	 
	C.	 	Pursuant to clause 8.2(b)(i) of the Deed of Sublease, it is a precondition to the disposition
of the BGM Interest (as defined in the SPA), that the Disponee execute and deliver to the
Continuing Party a deed of covenant.

IT IS AGREED as follows:

	1.	 	For the purposes of this Deed, words and expressions defined or given a special meaning in
the Deed of Sublease have the same meaning when used in this Deed.
	 
	2.	 	The Disponee covenants with the Continuing Party to be bound by, and observe and perform, all
of the obligations on the part of AngloGold under the Deed of Sublease with effect on and from
the Completion Date (as defined in the SPA).
	 
	3.	 	With effect on and from the Completion Date (as defined in the SPA), the Continuing Party
releases and discharges AngloGold from all its obligations under the Deed of Sublease to the
extent such obligations have been assumed by the Disponee under clause 2 of this Deed.

2.

 

	4.	 	For the purposes of clause 10.4 of the Deed of Sublease, the address of the Disponee to which
any notice, consent or other instrument required or authorised to be given under the Deed of
Sublease must be sent is:

	 	 	 	 	 
	 

	 	Address:
	 	Level 1, 388 Hay Street, Subiaco WA 6008
	 

	 	Fax:
	 	+61-8-9423-6176 
	 

	 	Attention:
	 	Company Secretary

	5.	 	This Deed may be executed in any number of counterparts each of which shall be deemed an
original but all of which shall constitute one and the same instrument.
	 
	6.	 	This Deed is governed by the laws of Western Australia.

3.

 

EXECUTED and delivered as a deed in Perth.

	 	 	 
	Executed as a deed in
accordance with section 127

 of
the Corporations Act 2001

by SADDLEBACK INVESTMENTS PTY
LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in
accordance with section 127

 of
the Corporations Act 2001

by ANGLOGOLD ASHANTI AUSTRALIA
LIMITED:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in
accordance with section 127 

of
the Corporations Act 2001

by JAPAN ALUMINA ASSOCIATES
(AUSTRALIA) PTY LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary

4.

 

Schedule 5

RESALE REGISTRATION

 

 

SCHEDULE 5

RESALE REGISTRATION

          Definitions. For purposes of this schedule 5, terms shall have the meanings assigned
to them in this agreement unless otherwise defined in this schedule 5 or defined below (such
meanings being equally applicable to both the singular and plural form of the terms defined):

          “Affiliate” shall mean, with respect to any specified Person, any other Person that
directly, or indirectly through one or more intermediaries, Controls, is Controlled by, or is under
common Control with, such specified Person.

          “Business Day” shall mean any day that is not a Saturday, a Sunday or a day on which
commercial banks are required or permitted by law to be closed in the City of New York in the State
of New York.

          “Control” (including the terms “Controlled by” and “under common Control
with”) means the possession, directly or indirectly, of the power to direct or cause the
direction of the management and policies of a Person, whether through the ownership of voting
securities, as trustee or executor, by contract or otherwise, including, without limitation, the
ownership, directly or indirectly, of securities having the power to elect a majority of the board
of directors or similar body governing the affairs of such Person.

          “Effective Period” shall mean the period from the Post Completion Share Issuance Date
until the earlier to occur of (i) the date on which the Seller has sold all Vendor NMC Shares and
(ii) the date on which all of the Vendor NMC Shares may be sold by the Seller pursuant to Rule 144
under the Securities Act.

          “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, and all
rules and regulations promulgated thereunder.

          “Exempt Transaction” shall mean a sale by the Seller of any Vendor NMC Shares in a
transaction exempt from registration with the SEC under the Securities Act.

          “FINRA” shall mean the Financial Industry Regulatory Authority, or any successor
entity thereof.

          “Person” shall mean any individual, corporation, partnership, joint venture, firm,
trust, unincorporated organization, government or any agency or political subdivision thereof or
other entity.

          “Post Completion Share Issuance Date” shall mean the date on which the Vendor NMC
Shares are issued to the Vendor or a Designated Affiliate pursuant to Section 7.5 of this
agreement.

          “Registered Securities” shall mean the Vendor NMC Shares. For purposes of this
schedule 5, Registered Securities shall cease to be deemed to be Registered Securities after they

 

 

have been initially sold by the Seller in a transaction registered, or in a transaction exempt
from registration, under the Securities Act.

          “Registration Expenses” shall mean all expenses in connection with or incident to the
registration of the Registered Securities hereunder, including, without limitation, (a) all SEC and
any FINRA registration and filing fees and expenses, (b) all fees and expenses in connection with
the registration or qualification of the Registered Securities for offering and sale under the
securities or “blue sky” laws of any state or other jurisdiction of the United States of America
and, in the case of an Underwritten Offering, determination of their eligibility for investment
under the laws of such jurisdictions as the managing underwriter or underwriters may designate,
including reasonable fees and disbursements, if any, of counsel for the underwriters in connection
with such registrations or qualifications and determination, (c) all expenses relating to the
preparation, printing, distribution and reproduction of the registration statement required to be
filed hereunder, each prospectus included therein or prepared for distribution pursuant hereto,
each amendment or supplement to the foregoing, the expenses of preparing the Registered Securities
in a form for delivery for purchase pursuant to such registration or qualification and the expense
of printing or producing any underwriting agreement(s) and agreement(s) among underwriters and any
“blue sky” or legal investment memoranda, any selling agreements and all other documents to be used
in connection with the offering, sale or delivery of Registered Securities, (d) messenger,
telephone and delivery expenses of NMC and out-of-pocket travel expenses incurred by or for NMC
personnel for travel undertaken for any “road show” made in connection with the offering of
securities registered thereby, (e) fees and expenses of any transfer agent and registrar with
respect to the delivery of any Registered Securities and any escrow agent or custodian involved in
the offering, (f) fees, disbursements and expenses of counsel of NMC and independent certified
public accountants of NMC incurred in connection with the registration, qualification and offering
of the Registered Securities (including the expenses of any opinions or “comfort” letters required
by or incident to such performance and compliance), (g) fees, expenses and disbursements of any
other persons retained by NMC, including special experts retained by NMC in connection with such
registration, (h) Securities Act liability insurance, if NMC desires such insurance and (i) the
fees and expenses incurred in connection with the quotation or listing of Registered Securities on
the New York Stock Exchange. Notwithstanding the foregoing, the following expenses shall not be
deemed to be “Registration Expenses”: any commissions, fees, discounts and expenses of any
underwriter, broker, dealer or agent, including, without limitation, fees, disbursements and
expenses of counsel thereto in connection with or incident to the sale of any Registered
Securities.

          “Registration Statement” shall mean NMC’s automatic shelf registration statement on
Form S-3 (File No. 333-146720) filed with the SEC on October 15, 2007.

          “Sale” or “sell” for purposes of this agreement shall mean any sale, transfer
or other disposition of NMC Shares.

          “Securities Act” shall mean the United States Securities Act of 1933, as amended, and
all rules and regulations promulgated thereunder.

          “SEC” shall mean the United States Securities and Exchange Commission, or any
successor thereto.

2

 

          “Seller” means the Vendor or a Designated Affiliate to be notified by the Vendor to
NMC in writing as provided in section 7.5 of this agreement.

          “Trading Day” shall mean a day on which the New York Stock Exchange is open for
trading.

          Sale by the Seller of the Vendor NMC Shares

          Shelf Registration Sale.

          (a) No later than the second Business Day following delivery of the Post Completion Share
Issuance Notice pursuant to clause 7.5(c)(i) of this agreement, the Seller shall deliver written
notice to NMC (the “Initial Sale Notice”) specifying whether it intends to sell the Vendor
NMC Shares in an underwritten offering (an “Underwritten Offering”) or in non-underwritten
sales from time to time through brokers (“Brokerage Transactions”).

          (b) If the Seller intends in the Initial Sale Notice to sell the Vendor NMC Shares in an
Underwritten Offering, the Initial Sale Notice shall state (i) the maximum number of Registered
Securities the Seller proposes to sell in the Underwritten Offering and (ii) the proposed terms and
conditions, including the timing, structure, method of distribution and manner of such Underwritten
Offering.

          (c) If the Seller intends in the Initial Sale Notice to sell the Registered Securities in
Brokerage Transactions, the Seller may subsequently deliver a further written notice to NMC during
the Effective Period (the “Subsequent Sale Notice”) indicating that it wishes to sell any
remaining Registered Securities through an Underwritten Offering. The Subsequent Sale Notice shall
state (i) the maximum number of Registered Securities the Seller proposes to sell in the
Underwritten Offering and (ii) the proposed terms and conditions, including the timing, structure,
method of distribution and manner of such Underwritten Offering. The Underwritten Offering may not
be launched prior to the fifth Business Day after the filing of NMC’s Form 10-K relating to the
fiscal year ended December 31, 2009 or such earlier date agreed in writing by NMC.

          (d) Unless otherwise mutually agreed by the Seller and NMC, the managing underwriter or
underwriters for an Underwritten Offering shall be selected by the Seller, in consultation with
NMC, from a list of investment banks of recognized international standing to be separately agreed
between the Vendor and NMC.

          (e) No more than one Underwritten Offering relating to the resale of the Restricted Securities
may take place during the Effective Period.

          Exempt Transaction Sale. The Seller may sell the Vendor NMC Shares at any time during the
Effective Period in an Exempt Transaction. In connection with any Exempt Transaction, NMC shall
use reasonable efforts to procure the cooperation of NMC’s transfer agent in settling any offering
or sale of the securities (subject to receipt from the Seller’s counsel of a legal opinion
regarding the exempt nature of the transaction) including with respect to the furnishing of
unlegended share certificates and the transfer of physical stock certificates into

3

 

book-entry form) as reasonably necessary to expedite or facilitate the offer and sale by the
Seller of such in such Exempt Transaction.

          Registration Procedures. In order to facilitate the sale by the Seller of Registered
Securities in accordance with the terms of Section 2.1 of this schedule 5, during the Effective
Period:

          Due Diligence.

          (f) In connection with an Underwritten Offering, from the date on which the managing
underwriter or underwriters are appointed NMC shall make reasonably available for inspection by the
managing underwriter or underwriters and any attorney, accountant or other agent retained by such
underwriter or underwriters (i) the financial and other records, pertinent corporate documents and
material properties of NMC and (ii) cause NMC’s officers, directors and employees to supply all
relevant information in the case of both (i) and (ii) reasonably requested by such underwriter or
underwriters, attorney, accountant or agent in connection with such Underwritten Offering. NMC’s
obligation to make such information available shall be subject to obtaining confidentiality
agreements from each such person, in form and substance reasonably satisfactory to NMC, including
but not limited to an agreement not to disclose such information to the Seller or its Affiliates.

          (g) In connection with an Underwritten Offering, NMC shall furnish or arrange to be furnished
on the dates reasonably requested by the managing underwriter or underwriters (i) signed opinions
and “10b-5” disclosure letters, dated such dates, of the independent legal counsel representing NMC
for the purpose of such registration, addressed to the Seller and the underwriters as to such
matters as would be customary in such a transaction; (ii) customary documents dated such dates
delivered by officers of NMC and customary certificates dated such dates from the officers of NMC;
and (iii) “comfort” letters dated such dates from the independent certified public accountants of
NMC addressed to the underwriters as would be customary in such a transaction.

          (h) If the Seller elects in the Initial Sale Notice to sell the Registered Securities in
Brokerage Transactions, NMC shall (i) furnish to the Seller on the Post Completion Share Issuance
Date a certificate from the Chief Financial Officer or Executive Vice President — Strategic
Development of NMC dated such date to the effect that as of such date the Registration Statement
and the prospectus (as supplemented by the prospectus supplement filed pursuant to section 3.2(a)
below) do not contain any 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 (in the case of the
prospectus, as supplemented by the prospectus supplement to be filed pursuant to section 3.2(a)
below, in the light of the circumstances under which they were made) not misleading; and (ii) use
commercially reasonable efforts to furnish to the broker or brokers participating in such Brokerage
Transactions such further documents in form and substance as they shall reasonably require to
effect such Brokerage Transactions having regard to customary market practice at such time as
ascertained from at least three internationally recognized brokers including, if so required, a
“10b-5” disclosure letter, dated such date, of NMC’s independent legal counsel (or in-house counsel
if acceptable to such brokers) and a “comfort letter”, dated such date, from the independent
certified public accountants of NMC.

4

 

          Filings, Effectiveness and Ongoing Reporting.

          (i) NMC shall file with the SEC, on the Post Completion Share Issuance Date, a prospectus
supplement to the Registration Statement relating to the method of sale of the Registered
Securities specified in the Initial Sale Notice in form and substance reasonably satisfactory to
the Seller and, if applicable, the managing underwriter or underwriters of an Underwritten
Offering. If the Seller elects in a Subsequent Sale Notice to conduct an Underwritten Offering of
any remaining Registered Securities, NMC shall use its reasonable best efforts to file such
amendments to such prospectus supplement on the dates that the managing underwriter or underwriters
may require, in each case in form and substance reasonably satisfactory to the Seller and the
managing underwriter or underwriters.

          (j) At least five Business Days or such shorter period as the Seller and NMC may mutually
agree before filing a prospectus supplement relating to the Registered Securities or any amendments
or supplements thereto or to the Registration Statement (for the purposes of this subsection,
amendments shall not be deemed to include any filing that NMC is required to make pursuant to the
Exchange Act), NMC shall furnish to the Seller and the managing underwriter or underwriters of an
Underwritten Offering draft copies of all documents proposed to be filed, which documents will be
subject to their reasonable review and comment.

          (k) Except during any Blackout Period specified under Section 3.4 of this schedule 5, NMC
shall (i) use reasonable best efforts to keep the Registration Statement effective and current;
(ii) prepare and file with the SEC such amendments and supplements to the Registration Statement
and the prospectus used in connection therewith as may be necessary to keep such Registration
Statement effective and current; (iii) cause any prospectus (and any amendments or supplements
thereto) to be filed pursuant to Rules 424 and 430B under the Securities Act and/or any successor
rules that may be adopted by the SEC, as such rules may be amended from time to time; and (iv) use
reasonable best efforts to comply with the provisions of the Securities Act with respect to the
sale of all Registered Securities covered by such Registration Statement.

          (l) Promptly following its actual knowledge thereof, NMC shall provide written or electronic
notice to the Seller:

          (i) when the prospectus or any amendment or supplement thereto or to the Registration
Statement has been filed with the SEC, and, with respect to such Registration Statement or
any amendment thereto, when the same has become effective;

          (ii) of any request by the SEC for amendments or supplements to the Registration
Statement or any prospectus included therein or for additional information;

          (iii) of the issuance by the SEC or any state securities authority of any stop order or
other action suspending the effectiveness of the Registration Statement or the initiation of
any proceedings for that purpose;

          (iv) of the receipt by NMC of any notification with respect to the suspension of the
qualification of the Registered Securities for sale in any jurisdiction or the initiation of
any proceeding for such purpose; and

5

 

          (v) of the happening of any event which makes any statement in the Registration
Statement or any post-effective amendment thereto, any prospectus included therein, or any
amendment or supplement thereto or any document incorporated therein by reference untrue in
any material respect or which requires the making of any changes in the Registration
Statement or post-effective amendment thereto or prospectus or amendment or supplement
thereto so that they will not contain any untrue statement of a material fact or omit to
state any material fact required to be stated therein or necessary to make the statements
therein (in the case of any prospectus, in the light of the circumstances under which they
were made) not misleading (which notice shall be accompanied by an instruction to suspend
the use of the prospectus until the requisite changes have been made).

          Immediately upon the receipt of notice of the occurrence of an event described in clauses (ii)
through (v) above, the Seller shall suspend use of the Registration Statement and prospectus.
Without further request from the Seller, NMC shall use reasonable best efforts to prepare and file
with the SEC such amendments or supplements to the Registration Statement or prospectus used in
connection therewith as may be necessary to cause the Registration Statement to become effective as
promptly as reasonably practicable and to cause the Registration Statement and prospectus not to
contain any untrue statement of a material fact or omit to state any material fact required to be
stated therein or necessary to make the statements therein (in the case of any prospectus, in the
light of the circumstances under which they were made) not misleading and to furnish to the Seller
a reasonable number of copies of such supplements or amendments, in each case as promptly as
reasonably practicable. If NMC notifies the Seller to suspend the use of the prospectus until the
requisite changes to the prospectus have been made, then the Seller shall forthwith suspend use of
such prospectus and use reasonable best efforts to return to NMC as promptly as reasonably
practicable all copies of such prospectus other than permanent file copies then in the Seller’s
possession.

          (m) If at any time NMC is no longer eligible to use an automatic shelf registration statement,
NMC shall file a new shelf registration statement relating to the sale by the Seller of Registered
Securities in a form reasonably satisfactory to the Seller and any managing underwriters
participating in an Underwritten Offering and will use its reasonable best efforts to cause such
registration statement to be declared effective as promptly as practicable. References herein to
“Registration Statement” shall include such new shelf registration statement.

          (n) In connection with an Underwritten Offering, NMC shall use reasonable best efforts to
register or qualify the Registered Securities for offer and sale under such securities or “blue
sky” laws of such jurisdictions within the United States as the Seller shall reasonably request in
writing, and to take any other action which may be reasonably necessary to enable the Seller to
consummate the sale of Registered Securities in such jurisdictions provided,
however, that NMC shall not be required in connection therewith or as a condition thereto
to qualify to do business, subject itself to taxation in or to file a general consent to service of
process in any jurisdiction wherein it would not but for the requirements of this paragraph (f) be
obligated to do so or to make any changes to its Certificate of Incorporation or By-Laws or enter
into any undertakings with respect to its corporate affairs other than undertakings customarily
given in connection with qualifications of securities for sale which do not restrict the conduct of
its

6

 

business; and provided, further, that NMC shall not be required to qualify
Registered Securities in any jurisdiction in which the securities regulatory authority requires
that NMC submit any Registered Securities to the terms, provisions and restrictions of any escrow,
lockup or similar agreement(s) for consent to sell Registered Securities in such jurisdiction
unless NMC agrees to do so.

          (o) During the Effective Period, NMC shall use reasonable best efforts to prevent the issuance
or obtain the withdrawal of (i) any order suspending the effectiveness of such Registration
Statement or any post-effective amendment thereto, or (ii) any suspension of the qualification of
the Registered Securities for sale in any jurisdiction in which the Registered Securities have been
registered or qualified for sale pursuant to subsection 3.2(f) of this schedule 5, except, in the
case of (ii) hereof, if such suspension is due to events specified in subsection 3.2(f) of this
schedule 5.

          (p) The Vendor agrees that neither it nor any Seller will make any offer relating to the
Registered Securities that would constitute an Issuer Free Writing Prospectus (as defined in Rule
433 under the Securities Act), and will not distribute any written materials (other than the
Registration Statement, the prospectus supplement and the Issuer Free Writing Prospectuses relating
to the Registered Securities) in connection with the offer and sale of the Registered Securities,
in each case without prior written consent of NMC and, in connection with the Underwritten
Offering, the underwriters, in each case not to be unreasonably withheld. Any such Free Writing
Prospectus consented to by NMC and the underwriters will be treated by NMC as an Issuer Free
Writing Prospectus, including in respect of timely filing with the SEC, legending and record
keeping.

          Additional Undertakings.

          (q) In connection with an Underwritten Offering, NMC and the Seller shall enter into an
underwriting agreement with the selected underwriters in usual and customary form.

          (r) NMC shall use reasonable best efforts to comply with all applicable rules and regulations
of the SEC, and make available to its security holders an earnings statement, as soon as reasonably
practicable but in no event later than 40 days after the end of the period of twelve months (or 75
days after the end of any period of twelve months if such period is a fiscal year) commencing on
the first day of any fiscal quarter next succeeding each sale by the Vendor of Registered
Securities, complying with the provisions of Section 11(a) of the Securities Act (which may be
prepared in accordance with Rule 158 under the Securities Act).

          (s) NMC shall cause all Registered Securities to be listed, subject to issuance, on the New
York Stock Exchange on or prior to the Post Completion Payment Share Issuance Date.

          (t) In connection with an Underwritten Offering, NMC shall make appropriate officers of NMC
available for meetings with prospective purchasers of Registered Securities for a reasonable period
not to exceed three Business Days and prepare and present to such potential investors customary
“road show” material in each case as are customary in

7

 

transactions of such kind and reasonably necessary in connection therewith in order to
expedite or facilitate the sale of the Registered Securities. The nature, timing and location of
such meetings shall be determined after taking into account the availability and other commitments
of such officers and the good faith judgment of the managing underwriter or underwriters regarding
what is reasonably necessary to expedite or facilitate the sale of the Registered Securities.

          (u) NMC shall use reasonable best efforts to procure the prompt cooperation of NMC’s transfer
agent in settling any offering or sale of Registered Securities, including with respect to the
timely furnishing of unlegended share certificates in such denominations as the Seller may
reasonably request and the transfer of physical stock certificates into book-entry form, as
reasonably necessary to expedite or facilitate such offering or sale of Registered Securities,
subject to receipt from the Seller’s counsel of a legal opinion if reasonably requested by the
transfer agent.

          (v) In the event of an Underwritten Offering, as promptly as reasonably practicable, NMC shall
include in a prospectus supplement or post-effective amendment to the Registration Statement such
information as the managing underwriter or underwriters reasonably agree should be included therein
and to which NMC does not reasonably object including, without limitation, with respect to the
Registered Securities being sold by the Seller to such underwriter or underwriters, the purchase
price being paid therefor by such underwriter or underwriters and any other terms of such
Underwritten Offering, and make all required filings of such prospectus supplement or
post-effective amendment as promptly as reasonably practicable following receipt by NMC of such
information to be included in such prospectus supplement or post-effective amendment.

          (w) In the event of an Underwritten Offering, NMC shall use reasonable best efforts to
cooperate with the Seller and each underwriter participating in the offer and their respective
counsel in connection with any filings required to be made with FINRA.

          (x) Upon the happening of any event described in clause 3.2(d)(v) of this schedule 5, NMC
shall, subject to any Blackout Periods pursuant to Section 3.4 of this schedule 5, use reasonable
best efforts to prepare and file with the SEC such amendments or supplements to such Registration
Statement or prospectus used in connection therewith as may be necessary to cause such Registration
Statement to become effective as promptly as reasonably practicable and to cause such Registration
Statement and prospectus not to contain any untrue statement of a material fact or omit to state
any material fact required to be stated therein or necessary to make the statements therein (in the
case of any prospectus, in the light of the circumstances under which they were made) not
misleading and to furnish to the Seller a reasonable number of copies of such supplements or
amendments, in each case as promptly as reasonably practicable.

          It shall be a condition precedent to the obligation of NMC to take any action pursuant to this
schedule 5 in respect of the Registered Securities that the Seller shall furnish to NMC such
information regarding the NMC Shares held by the Seller and the intended method of sale of
Registered Securities as NMC shall reasonably request and as shall be required in connection with
the action taken by NMC. The Seller shall promptly give notice to NMC of any inaccuracy or change
in information previously furnished by the Seller to NMC or the happening

8

 

of any event, which to
the knowledge of the Seller makes any statement in a Registration Statement or any related prospectus (including the prospectus relating to the Registered
Securities) or any amendment or supplement thereto untrue in any material respect or which requires
the making of changes in such Registration Statement or any related prospectus or any amendment or
supplement thereto so that they will not contain any untrue statement of a material fact or omit to
state any material fact required to be stated therein or necessary to make the statements therein
(in the case of any prospectus, in the light of the circumstances under which they were made) not
misleading; and the Seller shall promptly furnish to NMC any additional information required to
correct and update any previously furnished information or required so that such Registration
Statement or any related prospectus or any amendment or supplement thereto will not contain any
untrue statement of a material fact or omit to state any material fact required to be stated
therein or necessary to make the statements therein (in the case of any prospectus, in the light of
the circumstances under which they were made) not misleading.

          Blackout Periods.

          Subject to clause 7.5 of this agreement, NMC shall be entitled to postpone, delay or suspend
the filing of the prospectus supplement relating to the Registered Securities, or any sale of
Registered Securities pursuant to the Registration Statement or defer compliance with its
obligations under this schedule 5 to keep the Registration Statement effective and current for a
reasonable period of time, not to exceed 60 calendar days in the case of clauses (i) and (ii)
below, or 30 calendar days in the case of clause (iii) below (unless the information relates to an
event described in clause (i) or (ii) of this subsection 3.4, in which case a 60 calendar day
limitation shall apply) (each, a “Blackout Period”), if NMC shall determine that any such
sale of Registered Securities or compliance with its obligation to keep a Registration Statement
effective and current would (i) in the good faith judgment of the Chief Financial Officer of NMC,
impede, delay or otherwise interfere with any pending or contemplated financing, acquisition, asset
disposal (other than in the ordinary course of business), corporate reorganization or other similar
transaction involving NMC, (ii) based upon advice from NMC’s financial advisor, adversely affect
any pending or contemplated offering or sale of any class of securities by NMC, or (iii) in the
good faith judgment of the Chief Financial Officer of NMC require disclosure of material nonpublic
information which, if disclosed at such time, would reasonably be expected to have an adverse
impact upon the interests of NMC or its shareholders; provided, however, that, in
the case of a Blackout Period pursuant to clause (i) or (ii) above, the Blackout Period shall
earlier terminate upon the completion or abandonment of the relevant securities offering or sale,
financing, acquisition, corporate reorganization or other similar transaction; and
provided, further, that in the case of a Blackout Period pursuant to clause (iii)
above, the Blackout Period shall earlier terminate upon public disclosure by NMC and
provided, further, that in the case of a Blackout Period pursuant to clause (i),
(ii) or (iii) above, NMC shall furnish to the Seller a certificate of an executive officer of NMC
to the effect that an event permitting a Blackout Period has occurred. Notwithstanding anything
herein to the contrary, NMC shall not exercise its rights pursuant to this Section 3.4 more than
three times during the Effective Period and in no event shall the aggregate number of calendar days
subject to Blackout Periods and the number of calendar days on which use of a prospectus has been
suspended pursuant to Section 3.2(d)(v) of this schedule 5 exceed 90 calendar days during the
Effective Period. Upon notice by NMC to the Seller of any such determination, the Seller covenants
that it shall keep the fact of any such notice strictly confidential and promptly halt any offer,
sale, trading or transfer by it or any of its

9

 

Affiliates of any Registered Securities for the
duration of the Blackout Period set forth in such notice (or until such Blackout Period shall be earlier terminated in writing by NMC) and
promptly halt any use, publication, dissemination or distribution of the Registration Statement,
each prospectus included therein, and any amendment or supplement thereto by it and any of its
affiliates, in each case for the duration of the Blackout Period set forth in such notice (or until
such Blackout Period shall be earlier terminated in writing by NMC). After the expiration of any
Blackout Period (or its earlier termination by NMC) and without further request from the Seller,
NMC shall use reasonable best efforts to prepare and file with the SEC such amendments or
supplements to the Registration Statement or prospectus used in connection therewith as may be
necessary to cause the Registration Statement to become effective as promptly as reasonably
practicable and to cause the Registration Statement and prospectus not to contain any untrue
statement of a material fact or omit to state any material fact required to be stated therein or
necessary to make the statements therein (in the case of any prospectus, in the light of the
circumstances under which they were made) not misleading and to furnish to the Seller a reasonable
number of copies of such supplements or amendments, in each case as promptly as reasonably
practicable.

          Expenses.

          (y) The Seller shall pay all Registration Expenses, including any commissions, fees, discounts
and expenses of any underwriter, broker, dealer or agent, including, without limitation, fees,
disbursements and expenses of counsel thereto in connection with or incident to the sale of any
Registered Securities. Notwithstanding the foregoing, NMC shall pay: (i) all SEC and FINRA
registration and filing fees and expenses, (ii) all fees and expenses in connection with the
registration or qualification of the Registered Securities for offering and sale under the
securities or “blue sky” laws of any state or other jurisdiction of the United States of America,
(iii) fees and expenses of any transfer agent and registrar with respect to the delivery of any
Registered Securities, (iv) fees, disbursements and expenses of counsel of NMC and independent
certified public accountants of NMC incurred in connection with the registration and qualification
of the Registered Securities (including the expenses of any opinions or “comfort letters” required
by or incident to such performance and compliance), (v) fees, expenses and disbursements of any
other persons retained by NMC, including special experts retained by NMC in connection with such
registration, (vi) fees and expenses of any transfer agent and registrar with respect to the
delivery of any Registered Security and any escrow agent or custodian involved in the offering,
(vii) Securities Act liability insurance, if NMC desires such insurance, and (viii) the fees and
expenses incurred in connection with the quotation or listing of Registered Securities on the New
York Stock Exchange.

          (z) Notwithstanding the foregoing, NMC shall not be responsible for payment of fees,
disbursements and expenses of counsel of NMC and independent certified public accountants of NMC
incurred in connection with the delivery of any opinions or “comfort letters” of its independent
certified public accountants to be furnished in connection with an Underwritten Offering (in which
case such costs and expenses shall be paid by the Seller) if such opinions or “comfort letters”
have previously been delivered in connection with Brokerage Transactions, or vice versa.

          Indemnification and Contribution.

10

 

          (aa) NMC hereby agrees to indemnify and hold harmless the Seller, the Seller’s directors and
officers, and each person, if any, who controls the Seller within the meaning of the Securities
Act, against any losses, claims, damages or liabilities, joint or several, to which they may become
subject under the Securities Act or otherwise, insofar as such losses, claims, damages or
liabilities (or proceedings in respect thereof) arise out of or are based on any untrue or alleged
untrue statement of any material fact contained in the Registration Statement, or any preliminary
or final prospectus contained therein, or any amendment or supplement thereto filed by NMC pursuant
to the Securities Act, or any document incorporated by reference therein, 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 not misleading, and NMC will, and hereby agrees
to, reimburse each of the Seller, the Seller’s directors and officers, and each such controlling
person for any legal or other out-of-pocket expenses reasonably incurred by them (but not in excess
of expenses incurred in respect of one counsel for all of them unless there is an actual conflict
of interest between any indemnified parties, which indemnified parties may be represented by
separate counsel) in connection with investigating or defending any such claim, proceeding or
action; provided, however, that the indemnity agreement contained in this Section 5
shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action
if such settlement is effected without the written consent of NMC (which consent shall not be
unreasonably withheld or delayed); provided, further, that NMC shall not be liable
to the Seller, the Seller’s directors and officers, or any controlling person in any such case for
any such loss, claim, damage, liability or action to the extent that it arises out of or is based
upon an untrue statement or alleged untrue statement or omission or alleged omission made in such
Registration Statement, preliminary prospectus, final prospectus or amendments or supplements
thereto, in reliance upon and in conformity with written information furnished expressly for use
therein by any of the Seller, the Seller’s directors and officers, or controlling person of the
Seller or by the Seller’s failure to furnish NMC, upon request, with the information with respect
to the Seller’s intended method of distribution, that is the subject of the untrue statement or
omission. Such indemnity shall remain in full force and effect regardless of any investigation
made by or on behalf of any of the Seller, the Seller’s directors and officers, or controlling
person, and shall survive the transfer of such securities by the Seller.

          (bb) The Seller hereby agrees to indemnify and hold harmless NMC, each of its directors and
officers, each person, if any, who controls NMC within the meaning of the Securities Act, and each
agent and any underwriter (within the meaning of the Securities Act) against any losses, claims,
damages or liabilities, joint or several, to which NMC or any such director, officer, controlling
person, agent or underwriter may become subject, under the Securities Act or otherwise, insofar as
such losses, claims, damages or liabilities (or proceedings in respect thereof) arise out of or are
based upon any untrue statement or alleged untrue statement of any material fact contained in the
Registration Statement or any preliminary or final prospectus contained therein, or any amendment
or supplement thereto, or any document incorporated by reference therein, 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 not misleading, in each case to the extent, but
only to the extent, that such untrue statement or alleged untrue statement or omission or alleged
omission was made in the Registration Statement, preliminary or final prospectus, or amendments or
supplements thereto, in reliance upon and in conformity with written information furnished to NMC
by or on behalf of

11

 

the Seller expressly for use therein; and the Seller will, and hereby agrees to, reimburse any
legal or other out-of-pocket expenses reasonably incurred by NMC or any such director, officer,
controlling person, agent or underwriter (but not in excess of expenses incurred in respect of one
counsel for all of them unless there is an actual conflict of interest between any indemnified
parties, which indemnified parties may be represented by separate counsel) in connection with
investigating or defending any such claim, proceeding or action; provided, however,
the Seller shall not be liable for any indemnity claims hereunder in excess of the amount of net
proceeds received by the Seller from the sale of Registered Securities pursuant to the Shelf
Registration Statement; provided, further, that the indemnity agreement contained
in this Section 5(b) shall not apply to amounts paid in settlement of any such loss, claim, damage,
liability or action if such settlement is effected without the written consent of the Seller (which
consent shall not be unreasonably withheld or delayed).

          (cc) If the indemnification provided for in this Section 5 from the indemnifying party is
limited or prohibited by law in respect of any losses, claims, damages, liabilities or expenses
referred to therein, then the 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
losses, claims, damages, liabilities or expenses in such proportion as is appropriate to reflect
the relative fault of the indemnifying party and indemnified parties in connection with the actions
which resulted in such losses, claims, damages, liabilities or expenses, as well as any other
relevant equitable considerations. The relative fault of such indemnifying party and indemnified
parties shall be determined by reference to, among other things, whether any action in question,
including any untrue or alleged untrue statement of a material fact or omission or alleged omission
to state a material fact, has been made by, or relates to information supplied by, such
indemnifying party or indemnified parties, and the parties’ relative intent, knowledge, access to
information and opportunity to correct or prevent such action. The amount paid or payable by a
party as a result of the losses, claims, damages, liabilities and expenses referred to above shall
be deemed to include any legal or other fees or expenses reasonably incurred by such party in
connection with any investigation or proceeding.

          The parties hereto agree that it would not be just and equitable if contribution pursuant to
this Section 5(c) were determined by pro rata allocation or by any other method of allocation which
does not take account of the equitable considerations referred to in the immediately preceding
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 was not guilty of such
fraudulent misrepresentation.

          (dd) Any Person entitled to indemnification hereunder (the “Indemnified Party”) agrees
to give prompt written notice to the indemnifying party (the “Indemnifying Party”) after
the receipt by the Indemnified Party of any written notice of the commencement of any action, suit,
proceeding or investigation or threat thereof made in writing for which the Indemnified Party
intends to claim indemnification or contribution pursuant to this schedule 5; provided,
that the failure so to notify the Indemnified Party shall not relieve the Indemnifying Party of any
liability that it may have to the Indemnifying Party hereunder unless such failure is materially
prejudicial to the Indemnifying Party. If notice of commencement of any such action is given to
the Indemnifying Party as above provided, the Indemnifying Party shall be entitled to participate
in and, to the extent it may wish, to assume the defense of such action at its own

12

 

expense, with counsel chosen by it and reasonably satisfactory to the Indemnified Party. The
Indemnified Party shall have the right to employ separate counsel in any such action and
participate in the defense thereof, but the fees and expenses of such counsel shall be paid by the
Indemnified Party unless (i) the Indemnifying Party agrees to pay the same, (ii) the Indemnifying
Party fails to assume the defense of such action, or (iii) the named parties to any such action
(including any impleaded parties) have been advised by such counsel that either (A) representation
of such Indemnified Party and the Indemnifying Party by the same counsel would be inappropriate
under applicable standards of professional conduct or (B) there are one or more legal defenses
available to it which are substantially different from or additional to those available to the
Indemnifying Party. No Indemnifying Party shall be liable for any settlement entered into without
its written consent, which consent shall not be unreasonably withheld.

          (ee) The agreements contained in this Section 5 shall survive the transfer of the Registered
Securities by the Seller and sale of all the Registered Securities pursuant to the Registration
Statement and shall remain in full force and effect, regardless of any investigation made by or on
behalf of the Seller or such director, officer or participating or controlling Person.

          Legends. (ff) Stop transfer restrictions will be given to NMC’s transfer agent(s)
with respect to the Vendor NMC Shares and there will be placed on the Vendor NMC Shares, and on any
certificate or instrument delivered in substitution therefor, a legend stating in substance:

“THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE U.S.
SECURITIES ACT OF 1933. THE SHARES REPRESENTED BY THIS CERTIFICATE MAY NOT BE SOLD
OR OTHERWISE TRANSFERRED EXCEPT (A) IN A TRANSACTION REGISTERED PURSUANT TO THE U.S.
SECURITIES ACT OF 1933, OR (B) PURSUANT TO AN EXEMPTION FROM SUCH REGISTRATION.”

          (gg) NMC hereby agrees that it will use reasonable best efforts to cause stop transfer
restrictions to be removed as soon as practicable upon expiration of the Effective Period or with
respect to any the Vendor NMC Shares that are sold (A) in accordance with the terms of this
Agreement, and (B) otherwise (i) pursuant to an effective registration statement under the
Securities Act, (ii) pursuant to Rule 144 under the Securities Act, (iii) in accordance with the
requirements of Rule 903 or 904 of Regulation S under the Securities Act, or (iv) pursuant to
another exemption from the registration requirements of the Securities Act; provided,
however, that in the case of any sale, the request for transfer is accompanied by a written
statement signed by the Seller confirming compliance with the terms of this Agreement and, in
addition, in the case of any sale pursuant to clause (ii), (iii) or (iv) above, the request for
transfer is accompanied by a written statement signed by the Seller confirming compliance with the
requirements of the relevant exemption from registration; and provided, further,
that in the case of any sale pursuant to clause (iv) above, other than any sale by the Seller to
one or more of its direct or indirect wholly-owned subsidiaries, or among such subsidiaries, or by
any such subsidiary to the Seller, NMC (and the transfer agent if reasonably requested) shall have
received a written opinion of counsel reasonably satisfactory to NMC.

13

 

          (hh) Public Information. For so long as the Seller holds any Registered Securities,
NMC shall timely file with the SEC all Exchange Act reports required in order to enable the Seller
to resell the Registered Securities pursuant to the exemption provided by Rule 144.

          Notice of Completion of Sale of Vendor NMC Shares. No later than five Business Days
following the completion of the sale of all of the Vendor NMC Shares the Seller shall give notice
thereof to NMC in accordance with section 19 of this agreement.

          Seller’s Compliance With SEC Rules and Regulations. Seller shall use reasonable best
efforts to comply with all applicable rules and regulations of the SEC.

          Further Assurances. Each of NMC and the Seller shall execute and deliver such
additional instruments and other documents and shall take such further actions as may be reasonably
necessary or appropriate to effectuate, carry out and comply with all of its obligations under this
Agreement. Without limiting the generality of the foregoing, neither party hereto shall enter into
any agreement or arrangement (or alter, amend or terminate any existing agreement or arrangement)
if such action would impair the ability of the other party to effectuate, carry out or comply with
all the terms of this schedule 5.

          2. Remedies. In the event of a breach by NMC or the Seller of any of their respective
obligations under this schedule 5, each of NMC or the Seller, as the case may be, in addition to
being entitled to exercise all rights granted by law, including recovery of damages will be
entitled to specific performance of its rights under this schedule 5. NMC and the Seller agree
that monetary damages would not be adequate compensation for any loss incurred by reason of a
breach by it of any of the provisions of this schedule 5 and hereby further agree that, in the
event of any action for specific performance in respect of such breach, it shall waive the defense
that a remedy at law would be adequate.

          3. No Piggyback on Underwritten Offering. Neither NMC nor any of its security holders
shall have the right to include any securities of NMC in an Underwritten Offering.

          4. Severability. The remedies provided herein are cumulative and not exclusive to any
remedies provided by law. If any term, provision, covenant or restriction of this schedule 5 is
held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the
remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in
full force and effect and shall in no way be affected, impaired or invalidated, and the parties
hereto shall use their commercially reasonable best efforts to find and employ an alternative means
to achieve the same or substantially the same result as that contemplated by such term, provision,
covenant or restriction. It is hereby stipulated and declared to be the intention of the parties
that they would have executed the remaining terms, provisions, covenants and restrictions without
including any of such that may be hereafter declared invalid, illegal, void or unenforceable.

          5. Transferability of Registration Rights. The registration rights provided herein
may not be transferred or assigned by the Vendor to a third party except to a Designated

14

 

Affiliate, provided that, (a) within five business days of such assignment, NMC is furnished
with written notice of the name and address of such Designated Affiliate and the securities with
respect to which the registration rights are being assigned and (b) such assignee agrees in writing
to be bound by and subject to the terms, conditions and obligations set forth in this agreement.

          6. Survival. The provisions of this schedule 5 shall terminate at the end of the
Effective Period. Notwithstanding the foregoing, (i) Section 7 and the indemnification and
contribution provisions of section 5 of this schedule shall survive such termination, and (ii) such
termination shall not relieve any party to the agreement from liability arising from a breach of
representation, warranty, covenant or agreement in this schedule 5 occurring prior to such
termination.

          7. Governing Law. This schedule 5 will be governed and construed in accordance with
the internal laws of the state of New York, without regard to any applicable conflict of laws
principles. Each party to this schedule 5 irrevocably submits to the jurisdiction of, and venue
in, the district court of the United States for the Southern District of New York or the courts of
the state of New York in the borough of Manhattan and waives any objection based on forum non
conveniens. Each party hereto hereby acknowledges and agrees that any controversy which may arise
under this schedule 5 is likely to involve complicated and difficult issues, and therefore each
such party hereto hereby irrevocably and unconditionally waives any right such party hereto may
have to a trial by jury in respect of any litigation directly or indirectly arising out of or
relating to this schedule 5, or the breach, termination or validity of this schedule 5, or the
transactions contemplated by this schedule 5.

15

 

Schedule 6

DISPONEE’S DEED OF COVENANT (RESTATED BODDINGTON GOLD MINE

CROSS OPERATION AGREEMENT)

 

 

Disponee’s Deed of Covenant (Restated

Boddington Gold Mine Cross Operation

Agreement)

Saddleback Investments Pty Ltd

ACN 134 978 224

Newmont Boddington Pty Ltd

ABN 32 062 936 547

BGM Management Company Pty Ltd

ABN 45 101 199 731

BHP Billiton Aluminium (RAA) Pty Ltd

ABN 54 095 831 119

BHP Billiton Aluminium (Worsley) Pty Ltd

ABN 33 088 336 921

Japan Alumina Associates (Australia) Pty Ltd

ABN 42 008 907 524

Sojitz Alumina Pty Ltd

ABN 59 009 309 344

BHP Billiton Worsley Alumina Pty Ltd

ABN 58 008 905 155

 

 

DISPONEE’S DEED OF COVENANT

(RESTATED BODDINGTON GOLD MINE CROSS OPERATION AGREEMENT)

	 	 	This Deed of Covenant is made this            day            of 2009
	 
	 	 	Between:
	 
	 	 	Saddleback Investments Pty Ltd ACN 134 978 224 of Level 1, 388 Hay Street, Subiaco, Western
Australia (Disponee)
	 
	 	 	Newmont Boddington Pty Ltd ABN 32 062 936 547 of Level 1, 388 Hay Street, Subiaco, Western
Australia
	 
	 	 	BGM Management Company Pty Ltd ABN 45 101 199 731 of Level 1, 388 Hay Street, Subiaco,
Western Australia
	 
	 	 	BHP Billiton Aluminium (RAA) Pty Ltd ABN 54 095 831 119 of Gastaldo Road, Allanson, Western
Australia
	 
	 	 	BHP Billiton Aluminium (Worsley) Pty Ltd ABN 33 088 336 921 of Gastaldo Road, Allanson,
Western Australia
	 
	 	 	Japan Alumina Associates (Australia) Pty Ltd (formerly Kobe Alumina Associates (Australia)
Pty Ltd) ABN 42 008 907 524 of Level 21, 140 St Georges Terrace, Perth, Western Australia
	 
	 	 	Sojitz Alumina Pty Ltd (formerly Nissho Iwai Alumina Pty Ltd) ABN 59 009 309 344 of Level 9,
172 — 176 St Georges Terrace, Perth, Western Australia
	 
	 	 	BHP Billiton Worsley Alumina Pty Ltd ABN 58 008 905 155 of Gastaldo Road, Allanson, Western
Australia
	 
	 	 	(collectively, the Continuing Parties)

RECITALS

	A.	 	By a joint venture agreement dated 7 February 1980 (the Worsley Joint Venture Agreement),
Reynolds Australia Alumina, Ltd, The Shell Company of Australia Limited, Dampier Mining
Company Limited and Kobe Alumina Associates (Australia) Pty Limited associated themselves in a
joint venture for the purpose of the exercise and development of the Worsley Agreement Rights
as defined, and by the means prescribed, in the Worsley Joint Venture Agreement.
	 
	B.	 	By a joint venture agreement dated 31 March 1987 (the Original BGM Joint Venturers
Agreement), the parties referred to in Recital A established a joint venture for the purposes
of the development of the BGM Project.
	 
	C.	 	By a cross-operation agreement dated 31 May 1988 (the Original Cross Operation Agreement),
the then current parties to the Worsley Joint Venture Agreement and the Original BGM Joint
Venturers Agreement made provision for the regulation of certain

2.

 

	 	 	aspects of the relationship
between the Worsley Joint Venturers and the BGM Joint Venturers.
	 
	D.	 	Due to certain agreed changes to the management arrangements for the BGM Joint Venture and
the Worsley Joint Venture, the Original Cross Operation Agreement was replaced and restated
pursuant to an agreement dated 30 September 2002 and entitled ‘Restated Boddington Gold Mine
Cross Operation Agreement’ between the Worsley Joint Venturers, the Boddington Joint
Venturers, the Worsley Manager and the BGM Manager (the Restated Cross Operation Agreement).
	 
	E.	 	AngloGold Ashanti Australia Limited proposes to dispose of the whole of its Joint Venture
Interest to the Disponee pursuant to Clause 10.1 of the Restated Cross Operation Agreement,
and it is a precondition to such disposition that the Disponee execute and deliver to the
Continuing Parties a Deed of Covenant in, or substantially in, the form of this Deed.

IT IS AGREED as follows:

	1.	 	For the purposes of this Deed, words and expressions defined or given a special meaning in
the Restated Cross Operation Agreement have the same meaning when used in this Deed.
	 
	2.	 	The Disponee hereby covenants with each of the Continuing Parties to be bound by, and observe
and perform, all the obligations on the part of a BGM Joint Venturer whether generally or
specifically in that capacity contained in the Restated Cross Operation Agreement.
	 
	3.	 	For the purposes of Clause 18 of the Restated Cross Operation Agreement, the address of the
Disponee to which any notice, consent or other instrument required or authorised to be given
under the Restated Cross Operation Agreement must be sent is:

	 	 	 	 	 
	 

	 	Address:
	 	Level 1, 388 Hay Street, Subiaco WA 6008
	 

	 	Fax:
	 	+61-8-9423-6176 
	 

	 	Attention:
	 	Company Secretary

	4.	 	This Deed may be executed in any number of counterparts each of which shall be deemed an
original but all of which shall constitute one and the same instrument.
	 
	5.	 	This Deed is governed by the laws of Western Australia.

3.

 

EXECUTED and delivered as a deed in Perth.

	 	 	 
	Executed as a deed in
accordance with section 127 

of
the Corporations Act 2001

by SADDLEBACK INVESTMENTS PTY
LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in
accordance with section 127 

of
the Corporations Act 2001

by NEWMONT BODDINGTON PTY LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in accordance
with section 127 

of the
Corporations Act 2001

by BGM MANAGEMENT COMPANY PTY LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary

4.

 

	 	 	 
	Executed as a deed in accordance with
section 127 

of the Corporations Act
2001

by BHP BILLITON ALUMINIUM (RAA)PTY LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in accordancewith
section 127 
of the CorporationsAct 2001

by BHP BILLITON ALUMINIUM (WORSLEY)

PTY LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in
accordance with section 127 

of
the Corporations Act 2001

by JAPAN ALUMINA ASSOCIATES
(AUSTRALIA) PTY LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary

5.

 

	 	 	 
	Executed as a deed in
accordance with section 127 

of
the Corporations Act 2001

by SOJITZ ALUMINA PTY LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary
	 
	 	 
	Executed as a deed in accordance with
section 127 

of the Corporations Act
2001

by BHP BILLITON WORSLEY ALUMINAPTY LTD:
	 	 
	 
	 	 
	 

	 	 
	Signature of director

	 	Signature of director/secretary
	 
	 	 
	 

	 	 
	Name of director

	 	Name of director/secretary

6.

 

Schedule 7

DEED OF RELEASE (AGAA BODDINGTON GOLD MINE DEED OF CROSS CHARGE)

 

 

Deed of Release

(AGAA Boddington Gold Mine Deed

of Cross Charge)

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

Newmont Boddington Pty Ltd

ABN 32 062 936 547

BGM Management Company Pty Ltd

ABN 45 101 199 731

Allens Arthur Robinson

Level 37

QV.1 Building

250 St Georges Terrace

Perth WA 6000

Tel +61 8 9488 3700

Fax +61 8 9488 3701

www.aar.com.au

© Copyright Allens Arthur Robinson, Australia 2009

 

 

Deed of Release

Table of Contents

	 	 	 	 	 
	1. INTERPRETATION
	 	 	2	 
	2. RELEASE BY RELEASORS
	 	 	3	 
	3. COUNTERPARTS
	 	 	4	 
	4. GOVERNING LAW
	 	 	4	 
	5. GIVING EFFECT TO THIS DOCUMENT
	 	 	4	 
	6. OPERATION OF THIS DOCUMENT
	 	 	4	 
	7. Costs and Stamp Duty
	 	 	4	 

 

 

Deed of Release

Date

Parties

	 	1.	 	AngloGold Ashanti Australia Limited (ABN 42 008 737 424) of
Level 13 St Martin’s Tower, 44 St Georges Terrace, Perth,
Western Australia, 6000 (AGAA)
	 
	 	2.	 	Newmont Boddington Pty Ltd (ABN 32 062 936 547) of Level 1,
388 Hay Street, Subiaco, Western Australia, 6008 (Newmont)
	 
	 	3.	 	BGM Management Company Pty Ltd (ABN 45 101 199 731) of Level
1, 388 Hay Street, Subiaco, Western Australia, 6008 (Manager)

Recitals

	 	A	 	Under the Deed of Cross Charge, AGAA charges certain property
in accordance with the terms of the Joint Venture Agreement.
	 
	 	B	 	Under the terms of a Sale and Purchase Agreement (SPA) dated
[*] between Saddleback Investments Pty Ltd (ACN 134 978 224)
and AGAA (among others), with effect from the Completion Date,
AGAA has sold and Saddleback Investments Pty Ltd has
purchased, the entire BGM Interest of AGAA.
	 
	 	C	 	In accordance with clause 15(a) of the Deed of Cross Charge,
the Releasors have agreed to release AGAA from the Deed of
Cross Charge on the terms and conditions set out in this
document.

It is agreed as follows.

1. Definitions and Interpretation

	1.1	 	Definitions
	 
	 	 	In this document unless the context requires otherwise, the following definitions apply.
	 
	 	 	BGM Interest has the meaning given in the Joint Venture Agreement.
	 
	 	 	Completion Date means [*].
	 
	 	 	Claim means, in relation to a party, a demand, claim, action or proceeding made or brought
by or against the party, however arising and whether present, unascertained, immediate,
future or contingent.
	 
	 	 	Deed of Cross Charge means the Boddington Gold Mine Deed of Cross Charge dated 29 May 1987
the current parties to which are AGAA and the Releasors.
	 
	 	 	Joint Venture Agreement means the Further Restated BGM Joint Venturers Agreement dated 17
November 2006 between AGAA and the Releasors.

Page 2 

 

Deed of Release

	 	 	Liabilities means debts, obligations, liabilities, losses, expenses, costs and damages of
any kind and however arising, including penalties, fines, and interest and including those
which are prospective or contingent and those the amount of which for the time being is not
ascertained or ascertainable.
	 
	 	 	Loss means losses, liabilities, claims, proceedings, actions, demands, damages, costs,
charges, expenses or diminution in value, however arising, and whether present or future,
fixed or unascertained, actual or contingent.
	 
	 	 	Releasors means Newmont and the Manager.
	 
	1.2	 	Interpretation
	 
	 	 	Headings are for convenience only and do not affect interpretation. The following rules
apply unless the context requires otherwise.

	 	(a)	 	The singular includes the plural, and the converse also applies.
	 
	 	(b)	 	A gender includes all genders.
	 
	 	(c)	 	If a word or phrase is defined, its other grammatical forms have a
corresponding meaning.
	 
	 	(d)	 	A reference to a person includes a corporation, trust, partnership,
unincorporated body or other entity, whether or not it comprises a separate legal
entity.
	 
	 	(e)	 	A reference to a clause or schedule is to a clause of or schedule to this
Deed.
	 
	 	(f)	 	A reference to an agreement or document (including a reference to this Deed)
is to the agreement or document as amended, supplemented, novated or replaced, except
to the extent prohibited by this Deed or that other agreement or document and includes
the recitals, schedules and annexures to that agreement or document.
	 
	 	(g)	 	A reference to legislation or to a provision of legislation includes a
modification or re-enactment of it, a legislative provision substituted for it and a
regulation or statutory instrument issued under it.

2. Release by Releasors

	 	 	With effect on and from the Completion Date, each Releasor irrevocably releases and forever
discharges:

	 	(a)	 	AGAA from all Claims, Losses and Liabilities that, but for this release, the
Releasor may have had or brought, or at any time in the future may have or bring,
against AGAA under the Deed of Cross Charge; and
	 
	 	(b)	 	all property charged under the Deed of Cross Charge from the charge or
charges constituted by that document.

Page 3 

 

Deed of Release

3. Counterparts

This Deed may be executed in any number of counterparts. All counterparts together will be taken
to constitute the one document.

4. Governing Law

This Deed is governed by the law in force in Western Australia. Each party submits to the
non-exclusive jurisdiction of the courts of Western Australia, and any courts which may hear
appeals from those courts, in respect of any proceedings in connection with this Deed.

5. Giving Effect To This Document

Each party must do anything (including execute any document), and must ensure that its employees
and agents do anything (including execute any document), that any other party may reasonably
require to give full effect to this document.

6. Operation Of This Document

Any provision of this Deed which is unenforceable or partly unenforceable is, where possible, to be
severed to the extent necessary to make this Deed enforceable, unless this would materially change
the intended effect of this Deed.

7. Costs and Stamp Duty

Each party must bear its own costs arising out of the negotiation, preparation and execution of
this Deed. All stamp duty (including fines, penalties and interest) payable on or in connection
with this Deed and any instrument executed under or any transaction evidenced by this Deed must be
borne by Newmont.

Page 4 

 

Deed of Release

	 	 	 
	EXECUTED and delivered as a deed in Perth.
	 	 
	 
	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by

AngloGold Ashanti Australia Limited:
	 	 
	 
	 	 
	 

	 	 
	Director Signature

	 	Director/Secretary Signature
	 
	 	 
	 

	 	 
	Print Name

	 	Print Name
	 
	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by

Newmont Boddington Pty Ltd:
	 	 
	 
	 	 
	 

	 	 
	Director Signature

	 	Director/Secretary Signature
	 
	 	 
	 

	 	 
	Print Name

	 	Print Name
	 
	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by

BGM Management Company Pty Ltd:
	 	 
	 
	 	 
	 

	 	 
	Director Signature

	 	Director/Secretary Signature
	 
	 	 
	 

	 	 
	Print Name

	 	Print Name

Page 5 

 

Schedule 8

GENERAL DEED OF ASSIGNMENT BGM INTEREST

 

 

ANGLOGOLD ASHANTI AUSTRALIA LIMITED

ABN 42 008 737 424

AND

SADDLEBACK INVESTMENTS PTY LTD

ACN 134 978 224

 

GENERAL DEED OF ASSIGNMENT

BGM INTEREST

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	1. DEFINITIONS AND INTERPRETATIONS
	 	 	3	 
	2. ASSIGNMENT
	 	 	3	 
	3. ASSUMPTION OF LIABILITIES
	 	 	3	 
	4. FURTHER ASSURANCES
	 	 	4	 
	5. RELATIONSHIP Between this deed and SPA
	 	 	4	 
	6. COSTS AND STAMP DUTY
	 	 	4	 
	7. GOVERNING LAW AND JURISDICTION
	 	 	4	 

 

 

					
	 	 	 	 	 
	THIS DEED OF ASSIGNMENT is made this
	 	day of          2009
	 	 

BETWEEN

ANGLOGOLD ASHANTI AUSTRALIA LIMITED

ABN 42 008 737 424

of Level 13, St Martins Tower, 44 St Georges Terrace, Perth WA 6000

(Assignor)

AND

SADDLEBACK INVESTMENTS PTY LTD

ACN 134 978 224

of Level 1 388 Hay Street, Subiaco, Western Australia, 6206

(Assignee)

BACKGROUND

	A.	 	The Assignor is a party to the Further Restated BGM Joint Venturers Agreement (BGMJVA) dated
17 November 2006 between the Assignor, Newmont Boddington Pty Ltd ABN 32 062 936 547 (Newmont
Boddington) and BGM Management Company Pty Ltd ABN 45 101 199 731 (Manager).
	 
	B.	 	The Assignor has a BGM Interest in and under the BGMJVA representing a Proportionate Share of
33 and 3/9%.
	 
	C.	 	The Assignor has agreed to sell, and the Assignee has agreed to purchase, the BGM Interest of
the Assignor on the terms and conditions set out in the SPA.
	 
	D.	 	In accordance with their respective obligations under the SPA, the parties wish to provide
for the complete vesting in the Assignee of the Assignor’s BGM Interest and the Assignor’s
Related Rights on the terms and conditions set out in this Deed.

IT IS AGREED as follows:

	1.	 	DEFINITIONS AND INTERPRETATIONS

	 	(1)	 	In this Deed including the Background, unless the context otherwise requires, the
following expressions have the following meanings respectively:
	 
	 	 	 	Agreement means each of the agreements, deeds and other documents described in the
Schedule to this Deed as amended, supplemented, novated, assigned and assumed up to the
date of this Deed.] [Schedule to be confirmed.]
	 
	 	 	 	BGMJVA has the meaning given in paragraph A of the Background.
	 
	 	 	 	Related Rights means all rights, title and interest of the Assignor in, to and under
each Agreement to the extent such rights, title and interest are not comprised in the
BGM Interest.
	 
	 	 	 	SPA means the agreement entitled “Sale and Purchase Agreement Boddington Gold Mine Sale
Interest” dated [insert] between the Assignor, AngloGold Ashanti Limited ARBN 090 101
170, the Assignee, Newmont Boddington, Newmont Australia Limited, Newmont Mining
Corporation and the Manager.

 

 

	 	(2)	 	In this Deed including the Background, unless the context otherwise requires:
	 
	 	(a)	 	references to the parties include their successors and assigns;
	 
	 	(b)	 	all capitalised terms not defined in clause 1(1) shall have the meanings given to
them in the SPA;
	 
	 	(c)	 	headings are for convenience only and shall not affect the construction of this
Deed;
	 
	 	(d)	 	a reference to any agreement or document is to that agreement or document (and,
where applicable, any of its provisions) as amended, novated, supplemented or replaced
from time to time;
	 
	 	(e)	 	words importing the singular include the plural and vice versa; and
	 
	 	(f)	 	where an expression is defined, another part of speech or grammatical form of that
expression has a corresponding meaning.

	2.	 	ASSIGNMENT
	 
	2.1	 	Subject to clause 2.3, the Assignor assigns, transfers and sets over to the Assignee the
Assignor’s BGM Interest and the Assignor’s Related Rights (including, for avoidance of doubt,
its rights and interests as both an income beneficiary and a capital beneficiary under the
Boddington Housing Trust No 2 referred to in paragraph under 5 of the Schedule) to hold the
same unto the Assignee absolutely.
	 
	2.2	 	Subject to clause 2.3, the Assignor assigns, transfers and sets over to the Assignee the
whole of the Assignor’s interest in contracts entered into by the Manager in its capacity as
manager of the BGMJV to hold the same unto the Assignee absolutely.
	 
	2.3	 	The assignment, transfer and setting over in clauses 2.1 and 2.2 takes effect on and from the
Completion Date (as defined in the SPA), except in respect of any Agreement that requires, as
a condition to be satisfied prior to an assignment of that Agreement, that the consent of any
person be obtained or that any document be executed and/or delivered and in the case of each
of those Agreements that assignment, transfer and setting over shall take effect upon that
condition having been satisfied.
	 
	3.	 	ASSUMPTION OF LIABILITIES
	 
	 	 	The Assignee:

	 	(a)	 	agrees duly and punctually to perform and observe all of the obligations of the
Assignor falling due for observance or performance under the Agreements; and
	 
	 	(b)	 	subject to the terms of the SPA, accepts and assumes responsibility for all Assumed
Liabilities, including Liabilities relating to or arising out of each Agreement,

	 	 	with effect on and from the Completion Date (as defined in the SPA).

 

 

	4.	 	FURTHER ASSURANCES
	 
	4.1	 	The Assignor shall, from time to time, at the request of the Assignee, execute and deliver
such further instruments of transfer and assignment and take such other actions as the
Assignee may reasonably request in order to vest in the Assignee title to the Assignor’s BGM
Interest and the Assignor’s Related Rights (including joining with the Assignee in giving
notice of the assignment of any Agreement).
	 
	4.2	 	The Assignee shall, from time to time, at the request of the Assignor, execute and deliver
such further instruments and take such other actions as the Assignor may reasonably request in
order for the Assignee to more fully and effectually assume the Assignor’s obligations in
accordance with clause 3.
	 
	5.	 	RELATIONSHIP BETWEEN THIS DEED AND SPA
	 
	 	 	For the avoidance of doubt, this Deed:

	 	(a)	 	is entered into in accordance with the parties’ obligations under
clauses 6.3 and 6.4 of the SPA; and
	 
	 	(b)	 	does not:

	 	(i)	 	derogate from, limit, abrogate or otherwise affect the SPA
which shall continue in full force and effect notwithstanding this Deed; or
	 
	 	(ii)	 	confer any right, or impose any obligation, in addition to
those contemplated in the SPA other than those rights and obligations
expressly set out in this Deed.

	6.	 	COSTS AND STAMP DUTY
	 
	6.1	 	Except to the extent specified in clause 6.2, each party must bear and is responsible for its
own costs in connection with the preparation, execution, completion and carrying into effect
of this Deed and all taxes imposed on it arising out of or in any way connected with this Deed
or the transactions it contemplates.
	 
	6.2	 	The Assignee must bear and is responsible for, and must indemnify and keep indemnified the
Assignor against, all stamp duty (together with any related interest, penalty, fine and
expense) and registration fees payable on or in respect of or as a consequence of:

	 	(a)	 	this Deed; and
	 
	 	(b)	 	any instrument, document, agreement, deed or transaction contemplated
in or necessary to give effect to this Deed.

	7.	 	GOVERNING LAW AND JURISDICTION
	 
	7.1	 	The laws of Western Australia shall govern this Deed.
	 
	7.2	 	Each party submits to the non-exclusive jurisdiction of the courts exercising jurisdiction in
Western Australia, and any court that may hear appeals from any of those courts, for any
proceedings in connection with this document, and waives any right it might have to claim that
those courts are an inconvenient forum.

 

 

SCHEDULE

[To be confirmed]

	1.	 	BGMJVA.
	 
	2.	 	Restated Boddington Gold Mine Management Agreement dated 17 November 2006 between the
Assignor, Newmont Boddington and the Manager.
	 
	3.	 	Boddington Gold Mine Titles Deposit Agreement dated 31 March 1987 made between West
Australian Trustees Limited (now Perpetual Trustees W.A. Pty Ltd), Reynolds Australia Alumina,
Ltd, The Shell Company of Australia Limited, BHP Minerals Limited (now the Assignor), Kobe
Alumina Associates (Australia) Pty Ltd (now JAA) and Worsley Alumina Pty Ltd.
	 
	4.	 	Boddington Gold Mine Cross Charge dated 22 March 1995 and given by Newmont Boddington.
	 
	5.	 	Trust Deed dated 11 December 1987 between Worsley Alumina Pty Ltd and Boddington Housing Pty
Ltd establishing Boddington Housing Trust No 2.
	 
	6.	 	Boddington Housing Agreement No 2 dated 11 December 1987 between Reynolds Australia Alumina,
Ltd, Billiton Australia Gold Pty Ltd (now the Assignor), BHP Gold Mines Limited (now Newcrest
Operations Pty Ltd), Kobe Alumina Associates (Australia) Pty Limited (now JAA) and Boddington
Housing Pty Ltd.
	 
	7.	 	Restated Boddington Gold Mine Cross-Operation Agreement dated 30 September 2002 between the
Assignor, Newmont Boddington, Newcrest Operations Pty Ltd,, BGM Management Company Pty Ltd,
Billiton Aluminium (RAA) Pty Ltd, Billiton Aluminium (Worsley) Pty Ltd, Kobe Alumina
Associates (Australia) Pty Ltd (now JAA), Nissho Iwai Alumina Pty Ltd (now Sojitz Alumina Pty
Ltd) and Worsley Alumina Pty Ltd and all Disponee’s Deeds of Covenant executed under clause 10
of that document.
	 
	8.	 	Deed of Sublease (Non-Bauxite sublease in relation to 3 and 1/3% interest in Mining Leases
M70/21-25) dated 28 February 2007 between JAA and the Assignor.
	 
	9.	 	Deed of Sublease (Non-Bauxite sublease in relation to 30% interest in Mining Lease M70/21 –
25) dated 28 February 2007 between Billiton Aluminium (Worsley) Pty Ltd and the Assignor.
	 
	10.	 	Saddleback Compensation Agreement dated 14 February 2001 between Reynolds Australia Alumina
Ltd, LLC, Billiton Aluminium (Worsley) Pty Ltd, Kobe Alumina Associates (Australia) Pty Ltd
(now JAA), Nissho Iwai Alumina Pty Ltd (now Sojitz Alumina Pty Ltd), Normandy Boddington Pty
Ltd (now Newmont Boddington), the Assignor and Newcrest Mining (WA) Pty Ltd (now Newcrest
Operations Pty Ltd).
	 
	11.	 	Hedges Gold Mine Sale and Purchase Agreement dated 8 October 1998 between Normandy
Boddington Pty Ltd (now Newmont Boddington), the Assignor), Newcrest Mining (WA) Pty Ltd (now
Newcrest Operations Pty Ltd), Alcoa of Australia Limited and Hedges Gold Pty Ltd.
	 
	12.	 	Farm-In Agreement dated 8 May 2001 between Normandy Boddington Pty Ltd (now Newmont
Boddington), the Assignor, Newcrest Mining (WA) Pty Ltd (now Newcrest Operations Pty Ltd),
Alcoa of Australia Limited and Hedges Gold Pty Ltd.

 

 

	13.	 	The agreement arising from the Notice to Sell (in respect of its interest in the Boddington
Gold Mine Joint Venture) dated 10 November 1994 issued by Kobe Alumina Associates (Australia)
Pty Ltd (now JAA), and Acacia Resources Limited’s (now the Assignor’s) Offer in Response to
Notice to Sell dated 12 December 1994.]
	 
	14.	 	Deed of Transfer between Reynolds Australia Alumina, Ltd, Billiton Australia Pty Ltd (now
Billiton Aluminium Australia Pty Ltd), Kobe Alumina Associates (Australia) Pty Ltd (now JAA),
Nissho Iwai Alumina Pty Ltd (now Sojitz Alumina Pty Ltd), Reynolds Metals Company, Newcrest Mining (WA) Ltd (now
Newcrest Operations Pty Ltd), Normandy Boddington Pty Ltd (now Newmont Boddington), Acacia
Resources Limited (now the Assignor) and Worsley Alumina Pty Ltd dated 28 April 1998.
	 
	15.	 	Deed of Assignment between Kobe Alumina Associates (Australia) Pty Ltd (now JAA) and Acacia
Resources Limited (now the Assignor) dated 28 March 1995 relating to a 3 3/9% BGM Interest.
	 
	16.	 	Sale and Purchase Agreement between Sotico Pty Ltd (as vendor) and the Assignor, Newcrest
Operations Pty Ltd and Newmont Boddington (as purchasers) dated 3 February 2006 relating to
parts of Lots 526, 529 and 530 on Deposited Plan 228488 and all other agreements entered into
on or before Completion occurring which are contemplated by or for the purposes of that
Agreement and to which the Assignor and Newmont Boddington are parties.
	 
	17.	 	Sale and Purchase Agreement between Bunnings Forest Products Pty Ltd (now Sotico Pty Ltd),
Bunnings Limited (now Wesfarmers Bunnings Limited), Reynolds Australia Metals, Ltd, Billiton
Australia Gold Pty Ltd (now the Assignor), Newcrest Mining (WA) Limited (now Newcrest
Operations Pty Ltd), and Kobe Alumina Associates (Australia) Pty Ltd (now JAA) dated 19 July
1991.
	 
	18.	 	Lease Agreement between Bunnings Forest Products Pty Ltd (now Sotico Pty Ltd), Reynolds
Australia Metals, Ltd, Billiton Australia Gold Pty Ltd (now the Assignor), Newcrest Mining
(WA) Limited (now Newcrest Operations Pty Ltd), and Kobe Alumina Associates (Australia) Pty
Ltd (now JAA) dated 19 July 1991.
	 
	19.	 	Bauxite Covenant and Supplemental Deed between Bunnings Forest Products Pty Ltd (now Sotico
Pty Ltd), Reynolds Australia Metals, Ltd, Billiton Australia Gold Pty Ltd (now the Assignor),
Newcrest Mining (WA) Limited (now Newcrest Operations), Kobe Alumina Associates (Australia)
Pty Ltd (now JAA) (as a BGM Joint Venturer), Reynolds Australia Alumina, Ltd, The Shell
Company of Australia Limited, Kobe Alumina Associates (Australia) Pty Ltd (now JAA) (as a
Bauxite/Alumina Joint Venturer) and Nisho Iwai Alumina Pty Ltd (now Sojitz Alumina Pty Ltd)
dated 19 July 1991.
	 
	20.	 	Forest Management Agreement between Reynolds Australia Metals, Ltd, Billiton Australia Gold
Pty Ltd (now the Assignor), Newcrest Mining (WA) Limited (now Newcrest Operations Pty Ltd),
Kobe Alumina Associates (Australia) Pty Ltd (now JAA) and Bunnings Forest Products Pty Ltd
(now Sotico Pty Ltd) dated 19 July 1991
	 
	21.	 	Letter of Undertaking from the Assignor, Newcrest Operations Pty Ltd and Newmont Boddington
to Billiton Aluminium Australia Pty Ltd and Kobe Alumina Associates (Australia) Pty Ltd (now
JAA) dated 1 September 2001.
	 
	22.	 	EPCM Agreement (AUS-BDG-2005-017) effective 28 October 2005 between BGM Management Company
Pty Ltd and Aker Kvaerner Clough Murray & Roberts Joint Venture.

 

 

	23.	 	Mining Equipment Supply Agreement and Maintenance Agreement both between BGM Management
Company Pty Ltd and Bucyrus (Australia) Pty Ltd and both dated 28 April 2006.
	 
	24.	 	Lease Agreement dated [xxxxx] between Gibbs and BGM Management Company Pty Ltd.
	 
	25.	 	Letter agreement in respect of L70/95 dated 20 April 2006 between WAPL and BGM Management
Company Pty Ltd.
	 
	26.	 	Crown lease dated 18 June 2008 in favour of the Assignor and Newmont Boddington.
	 
	27.	 	Interconnection Works Agreement dated 25 January 2007 between Electricity Networks
Corporation and BGM Management Company Pty Ltd.
	 
	28.	 	Power Purchase Agreement dated 7 July 2006 between BGM Management Company Pty Ltd and Griffin
Energy Pty Ltd (Need to list deed of priority also as well as securities).
	 
	29.	 	Joint Venturer’s Deed Poll dated 19 January 2007 between the Assignor and Newmont Boddington.
	 
	30.	 	Moorditj Booja – A Community Partnership Agreement dated 16 August 2006 between Gnaala Karla
Booja People, South West Aboriginal Land & Sea Council, Newmont Boddington, the Assignor and
the Manager.
	 
	31.	 	Preservation of Aboriginal Heritage Agreement dated 22 March 2007 between NBPL, AngloGold,
Gnaarla Karla Booja and South West Aboriginal Land & Sea Council.
	 
	32.	 	Deed for grant of mining tenements dated 18 July 2006 State of WA, Native title parties, the
Assignor, Newmont Boddington Pty Ltd and Newcrest Mining (WA) Pty Ltd (now Newcrest Operations
Pty Ltd).
	 
	33.	 	Contract of sale for lots 98, 99, 200 Bannister-Marradong Rd Boddington dated 10 July 2008
BGM Management Company Pty Ltd, AngloGold Ashanti Australia Pty Ltd, WA Country Builders Pty
Ltd.
	 
	34.	 	2007 Sale and Purchase Agreement dated 12 November 2007 between Newmont Boddington, the
Assignor and Sotico Pty Ltd.
	 
	35.	 	Deed of assignment and assumption Bauxite Exploration Agreement dated 14 April 2008 between
Sotico Pty Ltd, Newmont Boddington Pty Ltd, the Assignor and Worsley Alumina Pty Ltd (now BHP
Worsley Alumina Pty Ltd)
	 
	36.	 	Bauxite Covenant and Supplemental Deed between Sotico Pty Ltd, Newmont Boddington, the
Assignor, Billiton Aluminium (RAA) Pty Ltd (now BHP Billiton Aluminium (RAA) Pty Ltd),
Billiton Aluminium (Worsley) Pty Ltd (now BHP Billiton Aluminium (Worsley) Pty Ltd, Japan
Alumina Associates (Australia) Pty Ltd and Sojitz Alumina Pty Ltd dated 14 April 2008.
	 
	37.	 	Deed of variation Forest Management Agreement dated 14 April 2008 between Sotico Pty Ltd,
Newmont Boddington and the Assignor.
	 
	38.	 	Services & Transition Agreement dated 30 September 2002 between Worsley Alumina Pty Ltd, the
Manager, Billiton RAA Pty Ltd, Billiton Aluminium (Worsley) Pty Ltd, JAA, Nissho Iwai, Newmont
Boddington, Newcrest Operations Pty Ltd and the Assignor (to the extent it survived
termination).

 

 

	39.	 	All other deeds and agreement relating to the Boddington Gold Mine Joint Venture entered into
by the Assignor or by which the Assignor is bound in each case in common with all other Joint
Venturers.

	 	 	 	 	 	 	 	 	 
	EXECUTED and delivered as a deed in Perth.
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	EXECUTED as a deed in accordance with

	 	 	)	 	 	 	 	 
	section 127 of the Corporations Act 2001 by

	 	 	)	 	 	 	 	 
	ANGLOGOLD ASHANTI

	 	 	)	 	 	 	 	 
	AUSTRALIA LIMITED:

	 	 	)	 	 	 	 	 
	 

	 	 	)	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Director

	 	 	 	 	 	Director/Secretary

	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	Name of Director

	 	 	 	 	 	Name of Director/Secretary	 	 
	 
	 	 	 	 	 	 	 	 
	EXECUTED as a deed in accordance

	 	 	)	 	 	 	 	 
	with section 127 of the Corporations Act 2001

	 	 	)	 	 	 	 	 
	by SADDLEBACK INVESTMENTS

	 	 	)	 	 	 	 	 
	PTY LTD:

	 	 	)	 	 	 	 	 
	 

	 	 	)	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	Director

	 	 	 	 	 	Director/Secretary	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	Name of Director

	 	 	 	 	 	Name of Director/Secretary	 	 

 

 

Schedule 9

DEED OF COVENANT AND RELEASE HEDGES GOLD MINE SALE AND PURCHASE AGREEMENT

 

 

Deed of Covenant and Release

Hedges Gold Mine

Sale and Purchase Agreement

Saddleback Investments Pty Ltd

ACN 134 978 224

Newmont Boddington Pty Ltd

ABN 32 062 936 574

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

Alcoa of Australia Limited

ABN 93 004 879 298

Hedges Gold Pty Ltd

ABN 15 005 592 067

 

 

DEED OF COVENANT AND RELEASE

DATE

BETWEEN

	 	 	Saddleback Investments Pty Ltd ACN 134 978 224 (Covenantor)
	 
	 	 	Newmont Boddington Pty Ltd ABN 32 062 936 574 (formerly named Normandy Boddington Pty Ltd)
(Newmont)
	 
	 	 	AngloGold Ashanti Australia Limited ABN 42 008 737 424 (formerly named Acacia Resources
Limited) (AngloGold)
	 
	 	 	Alcoa of Australia Limited ABN 93 004 879 298 (Alcoa)
	 
	 	 	Hedges Gold Pty Ltd ABN 15 005 592 067 (Hedges)

RECITALS

	A.	 	Newmont, AngloGold, Alcoa and Hedges are now the parties to an agreement dated 8 October 1998
entitled Hedges Gold Mine Sale and Purchase Agreement (Hedges Agreement) under which certain
assets comprising the Hedges Gold Mine were sold by Alcoa and Hedges and purchased by Newmont,
AngloGold and Newcrest Operations Limited (ABN 80 009 221 505).
	 
	B.	 	As a result of the sale and purchase referred to in Recital A, the Hedges Gold Mine was
subsumed within the Boddington Gold Mine Joint Venture.
	 
	C.	 	Under the terms of the SPA, AngloGold has agreed to sell, and the Covenantor has agreed to
purchase, the entire interest of AngloGold in the Boddington Gold Mine Joint Venture.
	 
	D.	 	With effect from completion under the SPA, AngloGold wishes to assign to the Covenantor, and
the Covenantor wishes to assume, all of AngloGold’s right, title, interest, obligations and
liabilities under the Hedges Agreement, including the Trust Property.
	 
	E.	 	Clause 24.2 of the Hedges Agreement provides that:

	 	(a)	 	AngloGold may assign its rights under the Hedges Agreement and any property
acquired or held by it pursuant to that agreement; and
	 
	 	(b)	 	if AngloGold holds any such rights or property on trust for another party to
the Hedges Agreement (pursuant to the terms of that agreement), AngloGold shall only
be entitled to assign those rights or property if the intended assignee first enters
into a deed of covenant with that other party in a form reasonably acceptable to that
other party, under which the intended assignee:

 

 

	 	(i)	 	confirms that the relevant rights or property shall be
acquired subject to the relevant trust arrangement; and
	 
	 	(ii)	 	agrees to comply with all of the terms and conditions of the
Hedges Agreement that relate to that trust arrangement.

	F.	 	As at the date of this Deed, AngloGold and Newmont in their capacity as participants in the
Boddington Gold Mine Joint Venture hold the Trust Property on trust for Alcoa pursuant to
clause 12 of the Hedges Agreement.
	 
	G.	 	The Covenantor enters into this Deed in compliance with clause 24.2 of the Hedges Agreement.

OPERATIVE PROVISIONS

	1.	 	DEFINITIONS AND INTERPRETATION
	 
	1.1	 	Definitions
	 
	 	 	BGMMCo means BGM Management Company Pty Ltd (ABN 45 101 199 731).
	 
	 	 	Boddington Gold Mine Joint Venture means the joint venture carried on under the name
‘Boddington Gold Mine Joint Venture’ as constituted from time to time pursuant to the Joint
Venture Agreement.
	 
	 	 	Hedges Gold Mine means the gold mining operations within the area of Section 2 of ML264SA.
	 
	 	 	Joint Venture Agreement means the Further Restated BGM Joint Venturers Agreement dated 17
November 2006 between Newmont, AngloGold and BGMMCo.
	 
	 	 	Newmont Mining means Newmont Mining Corporation, a company incorporated in the USA.
	 
	 	 	SPA means the Sale and Purchase Agreement Boddington Gold Mine Joint Venture dated [#] 2009
between AngloGold, AngloGold Ashanti Limited (ARBN 090 101 170), the Covenantor, Newmont,
Newmont Australia Limited (ABN 86 009 295 765), Newmont Mining and BGMMCo.
	 
	 	 	Trust Property means Section 1 of ML264SA (as described in the Hedges Agreement).
	 
	1.2	 	Interpretation
	 
	 	 	In this Deed, unless the context otherwise:

	 	(a)	 	terms defined in the Recitals have the meaning given in the Recitals;
	 
	 	(b)	 	headings are for convenience only and do not affect interpretation;
	 
	 	(c)	 	words importing the singular include the plural and vice versa;

2.

 

	 	(d)	 	a reference to any agreement or document (including this Deed) is to that
agreement or document (and, where applicable, any of its provisions) as amended,
novated, supplemented or replaced from time to time;
	 
	 	(e)	 	a reference to any party includes that party’s executors, administrators,
substitutes, successors and permitted assigns;
	 
	 	(f)	 	where an expression is defined, another part of speech or grammatical form of
that expression has a corresponding meaning;
	 
	 	(g)	 	a reference to legislation is to that legislation as amended, re-enacted or
replaced, and includes any subordinate legislation issued under it; and
	 
	 	(h)	 	a reference to any thing (including any right) includes a part of that thing.

	2.	 	COVENANT
	 
	 	 	In accordance with clause 24.2 of the Hedges Agreement, with effect on and from Completion
(as defined in the SPA) the Covenantor:

	 	(a)	 	confirms that the Trust Property acquired by it under the SPA is subject to
the trust arrangements set out in the Hedges Agreement; and
	 
	 	(b)	 	agrees to comply with all of the terms and conditions of the Hedges Agreement
that relate to the trust arrangement referred to in paragraph (a).

	3.	 	CONSENT TO ASSIGNMENT
	 
	 	 	Each of Newmont, Alcoa and Hedges consents to:

	 	(a)	 	the assignment by AngloGold to the Covenantor of all of AngloGold’s right,
title and interest under the Hedges Agreement, including the Trust Property; and
	 
	 	(b)	 	the assumption by the Covenantor of all of AngloGold’s right, title,
interest, obligations and liabilities under the Hedges Agreement,

	 	 	with effect on and from the Completion Date (as defined in the SPA).

	4.	 	RELEASE
	 
	 	 	With effect on and from the Completion Date (as defined in the SPA), each of Newmont, Alcoa
and Hedges releases AngloGold from all its obligations and liabilities under the Hedges
Agreement.

	5.	 	COUNTERPARTS

	 	(a)	 	This Deed may be executed in counterparts.
	 
	 	(b)	 	If this Deed is executed in counterparts, each counterpart is an original and
all of the counterparts together constitute the same document.

3.

 

	6.	 	COSTS AND STAMP DUTY

	 	(a)	 	Except to the extent specified in paragraph (b) of this clause 6, each party
must bear and is responsible for its own costs in connection with the preparation,
execution, completion and carrying into effect of this Deed.
	 
	 	(b)	 	The Covenantor must bear and is responsible for, and must indemnify and keep
indemnified Alcoa against all stamp duty (together with any related interest, penalty,
fine and expense) and registration fees payable on or in respect of or as a
consequence of this Deed.

	7.	 	GOVERNING LAW
	 
	 	 	This Deed is governed by the law in force in Western Australia and the parties submit to
the non-exclusive jurisdiction of the courts of Western Australia and any courts which may
hear appeals from those courts in respect of any proceedings in connection with this Deed.

4.

 

	 	 	 
	EXECUTED and delivered as a deed in Perth.
	 	 
	 
	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
Saddleback Investments Pty Ltd:
	 	 
	 
	 	 
	 

	 	 
	Director Signature

	 	Director/Secretary Signature
	 
	 	 
	 

	 	 
	Print Name

	 	Print Name
	 
	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
Newmont Boddington Pty Ltd:
	 	 
	 
	 	 
	 

	 	 
	Director Signature

	 	Director/Secretary Signature
	 
	 	 
	 

	 	 
	Print Name

	 	Print Name
	 
	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
AngloGold Ashanti Australia Limited:
	 	 
	 
	 	 
	 

	 	 
	Director Signature

	 	Director/Secretary Signature
	 
	 	 
	 

	 	 
	Print Name

	 	Print Name

5.

 

	 	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
Alcoa of Australia Limited:
	 	 
	 
	 	 
	 

	 	 
	Director Signature

	 	Director/Secretary Signature
	 
	 	 
	 

	 	 
	Print Name

	 	Print Name
	 
	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
Hedges Gold Pty Ltd:
	 	 
	 
	 	 
	 

	 	 
	Director Signature

	 	Director/Secretary Signature
	 
	 	 
	 

	 	 
	Print Name

	 	Print Name

6.

 

Schedule 10

DEED OF COVENANT AND RELEASE — SOTICO AGREEMENTS

 

 

Deed of Covenant and Release —

Sotico Agreements

Saddleback Investments Pty Ltd

ACN 134 978 224

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

Sotico Pty Ltd

ABN 56 008 665 898

Wesfarmers Bunnings Limited

ABN 25 008 673 363

BHP Billiton Aluminium (RAA) Pty Ltd

ABN 54 095 831 119

BHP Billiton Aluminium (Worsley) Pty Ltd

ABN 33 088 336 921

Japan Alumina Associates (Australia) Pty Ltd

ABN 42 008 907 524

Sojitz Alumina Pty Ltd

ABN 59 009 309 344

BHP Billiton Worsley Alumina Pty Ltd

ABN 58 008 905 155

 

 

DEED OF COVENANT AND RELEASE — SOTICO AGREEMENTS

DATE

BETWEEN

Saddleback Investments Pty Ltd ACN 134 978 224 (Covenantor)

AngloGold Ashanti Australia Limited ABN 42 008 737 424 (formerly Billiton Australia Gold Pty
Ltd) (AngloGold)

Sotico Pty Ltd ABN 56 008 665 898 (formerly Bunnings Forest Products Pty Ltd) (Sotico)

Wesfarmers Bunnings Limited ABN 25 008 673 363 (formerly Bunnings Limited) (Wesfarmers
Bunnings)

BHP Billiton Aluminium (RAA) Pty Ltd ABN 54 095 831 119 (formerly Reynolds Australia Alumina
Pty Ltd) (Billiton RAA)

BHP Billiton Aluminium (Worsley) Pty Ltd ABN 33 088 336 921 (Billiton Worsley)

Japan Alumina Associates (Australia) Pty Ltd ABN 42 008 907 524 (formerly Kobe Alumina
Associates (Australia) Pty Ltd) (JAA)

Sojitz Alumina Pty Ltd ABN 59 009 309 344 (formerly Nissho Iwai Alumina Pty Ltd) (Sojitz)

BHP Billiton Worsley Alumina Pty Ltd ABN 58 008 905 155 (formerly Worsley Alumina Pty Ltd)
(WAPL)

RECITALS

	A.	 	Under the terms of a Sale and Purchase Agreement (SPA) dated [x] between the Covenantor and
AngloGold (among others), with effect from the Completion Date, AngloGold has sold and the
Covenantor has purchased, the entire interest of AngloGold in the BGM Project (as defined in
the SPA).
	 
	B.	 	In accordance with the SPA, with effect from the Completion Date,
AngloGold wishes to assign to the Covenantor, and the Covenantor
wishes to assume, all of AngloGold’s right, title, interest,
obligations and liabilities under each of the Sotico
Agreements.
	 
	C.	 	Each Sotico Agreement permits AngloGold to assign its rights and
interest in the Sotico Agreement to the Covenantor provided that the
Covenantor enters into a deed of covenant agreeing to perform and
observe the obligations, terms and conditions of that Sotico Agreement
on the part of AngloGold to be performed and observed.
	 
	D.	 	The Covenantor enters into this Deed in compliance with the
requirements referred to in Recital C.

 

 

	G.	 	With effect from the Completion Date, each of Sotico, Wesfarmers
Bunnings, WAPL and the Bauxite/Alumina Joint Venturers has agreed to
release AngloGold from AngloGold’s obligations under the Sotico
Agreements to which it is a party on the terms and conditions set out
in this Deed.

OPERATIVE PROVISIONS

	1.	 	DEFINITIONS AND INTERPRETATION
	 
	1.1	 	Definitions
	 
	 	 	In this Deed unless the context requires otherwise, terms defined in the Recitals have the
meaning given therein and the following definitions apply:
	 
	 	 	Bauxite/Alumina Joint Venturers means Billiton RAA, Billiton Worsley, JAA and Sojitz.
	 
	 	 	Bauxite Compensation Agreement means the Bauxite Compensation Agreement dated 27 October
1971 between Bunning Bros. Pty. Ltd. (now known as Sotico Pty Ltd), Alwest Pty Limited (now
known as ALW Pty Ltd) and Dampier Mining Company Limited (now known as BHP Billiton Minerals
Pty Ltd):

	 	(a)	 	as amended by agreements dated 23 March 1972 and 18 August 1975 between the
same parties;
	 
	 	(b)	 	as supplemented by an Alwest Deed of Sale and Covenant dated 7 February 1980
between Alwest Pty Limited (now known as ALW Pty Limited), Dampier Mining Company
Limited (now known as BHP Billiton Minerals Pty Ltd), Reynolds Australia Alumina, Ltd.
(now known as BHP Billiton Aluminium (RAA) Pty Ltd), The Shell Company of Australia
Limited, Kobe Alumina Associates (Australia) Pty Ltd (now known as Japan Alumina
Associates (Australia) Pty Ltd);
	 
	 	(c)	 	as supplemented by a Deed of General Assignment dated 31 May 1988 between BHP
Minerals Limited (now known as BHP Billiton Minerals Pty Ltd), Reynolds Australia
Alumina, Ltd (now known as BHP Billiton Aluminium (RAA) Pty Ltd), The Shell Company of
Australia Limited, and Nissho Iwai Alumina Pty Ltd (now known as Sojitz Alumina Pty
Ltd) and a Deed of Covenant dated 31 May 1988 between Bunnings Forest Products Pty Ltd
(now known as Sotico Pty Ltd), Reynolds Australia Alumina, Ltd. (now known as BHP
Billiton Aluminium (RAA) Pty Ltd), The Shell Company of Australia Limited, Kobe Alumina
Associates (Australia) Pty Ltd (now known as Japan Alumina Associates (Australia) Pty
Ltd) and Nissho Iwai Alumina Pty Ltd (now known as Sojitz Alumina Pty Ltd);
	 
	 	(d)	 	as further amended by a Deed of Amendment dated 19 July 1991 between Bunnings
Forest Products Pty Ltd (now known as Sotico Pty Ltd), Reynolds Australia Alumina, Ltd.
(now known as BHP Billiton Aluminium (RAA) Pty Ltd), The Shell Company of Australia
Limited, Kobe Alumina Associates (Australia) Pty Ltd (now known as Japan Alumina
Associates (Australia) Pty Ltd) and Nissho Iwai Alumina Pty Ltd (now known as Sojitz
Alumina Pty Ltd);

2. 

 

	 	(e)	 	as supplemented by the 1991 Bauxite Covenant and Supplemental Deed;
	 
	 	(f)	 	as supplemented by the Deed of Covenant and Novation (Sotico Instruments);
	 
	 	(g)	 	as supplemented by the Newmont/Newcrest Deed of Covenant and Release;
	 
	 	(h)	 	as supplemented by the 2006 Bauxite Covenant and Supplemental Deed; and
	 
	 	(i)	 	as supplemented by the 2007 Bauxite Covenant and Supplemental Deed.

Bauxite Exploration Agreement means the Bauxite Exploration Agreement dated 13 March 2006
between Worsley Alumina Pty Ltd (now known as BHP Billiton Worsley Alumina Pty Ltd) and
Sotico as supplemented by the Deed of Assignment and Assumption — Bauxite Exploration
Agreement dated 6 December 2006 between Sotico, Newmont Boddington Pty Ltd, AngloGold and
Worsley Alumina Pty Ltd (now known as BHP Billiton Worsley Alumina Pty Ltd) and further
supplemented by the Deed of Assignment and Assumption — Bauxite Exploration Agreement dated
14 April 2008 between Sotico, Newmont Boddington Pty Ltd, AngloGold and Worsley Alumina Pty
Ltd (now known as BHP Billiton Worsley Alumina Pty Ltd).

Claim means, in relation to any person, a claim, action, proceeding, judgment, damage, loss,
costs, expense or liability incurred by or to or made or recovered by or against the person,
however arising and whether present, unascertained, immediate, future or contingent.

Completion Date means [x].

Deed of Covenant and Novation (Sotico Instruments) means the Deed of Covenant and Novation
(Sotico Instruments) dated 12 November 2004 between The Shell Company of Australia Limited,
Billiton Aluminium (RAA) Pty Ltd (now known as BHP Billiton Aluminium (RAA) Pty Ltd),
Billiton Aluminium Australia Pty Ltd (now known as BHP Billiton Aluminium Australia Pty
Ltd), Billiton Aluminium (Worsley) Pty Ltd (now know as BHP Billiton Aluminium (Worsley) Pty
Ltd), Japan Alumina Associates (Australia) Pty Ltd, Sojitz Alumina Pty Ltd, Newmont
Boddington Pty Ltd, AngloGold, Newcrest Operations Limited and Sotico.

Forest Management Agreement means the Forest Management Agreement dated 19 July 1991 between
Reynolds Australia Metals, Ltd (since deregistered), Billiton Australia Gold Pty Ltd (now
known as AngloGold Ashanti Australia Limited), Newcrest Mining (W.A.) Limited (now known as
Newcrest Operations Limited) and Kobe Alumina Associates (Australia) Pty Limited (now known
as Japan Alumina Associates (Australia) Pty Ltd) and Bunnings Forest Products Pty Ltd (now
known as Sotico Pty Ltd), as supplemented by a Forest Management Agreement Deed of Covenant
dated 13 March 2006 between Newmont Boddington Pty Ltd, AngloGold, Newcrest Operations
Limited and Sotico, the Newmont/Newcrest Deed of Covenant and Release, the Deed of Variation
 — Forest Management Agreement dated 6 December 2006 between Sotico, Newmont Boddington Pty
Ltd and AngloGold and the 2007 Deed of Variation — Forest Management Agreement dated 14
April 2008 between Sotico, Newmont Boddington Pty Ltd and AngloGold.

3. 

 

Landgate means the Western Australian Land Information Authority established under the Land
Information Authority Act 2006 (WA) .

Lease means the Lease Agreement dated 19 July 1991 between Bunnings Forest Products Pty Ltd
(now known as Sotico Pty Ltd) and Reynolds Australia Metals, Ltd (since deregistered),
Billiton Australia Gold Pty Ltd (now known as AngloGold Ashanti Australia Limited), Newcrest
Mining (W.A.) Limited (now known as Newcrest Operations Limited) and Kobe Alumina Associates
(Australia) Pty Limited (now known as Japan Alumina Associates (Australia) Pty Ltd) as
supplemented by the Newmont/Newcrest Deed of Covenant and Release.

Legal Liability means a duty, liability or obligation affecting the person concerned,
however it arises and whether it is present or future, fixed or unascertained, actual or
contingent.

Loss means a damage, loss, cost, expense or liability incurred by the person concerned,
however it arises and whether it is present or future, fixed or unascertained, actual or
contingent.

Newmont/Newcrest Deed of Covenant and Release means the deed entitled “Deed of Covenant and
Release” dated 27 October 2006 between Newmont Boddington Pty Ltd, Newcrest Operations
Limited and the parties to this Deed other than the Covenantor.

Property means:

	 	(a)	 	the ‘Property’ as defined in the 1991 Bauxite Covenant and Supplemental Deed;
	 
	 	(b)	 	the ‘2006 SPA Property’ as defined in the 2006 Bauxite Covenant and
Supplemental Deed; and
	 
	 	(c)	 	the ‘2007 SPA Property’ as defined in the 2007 Bauxite Covenant and
Supplemental Deed.

Sotico Agreements means the 1991 Sale and Purchase Agreement, the Lease, the Bauxite
Compensation Agreement, the 1991 Bauxite Covenant and Supplemental Deed, the Forest
Management Agreement, the 2006 Sale and Purchase Agreement, the Bauxite Exploration
Agreement, the 2006 Bauxite Covenant and Supplemental Deed, the 2007 Sale and Purchase
Agreement and the 2007 Bauxite Covenant and Supplemental Deed and any other agreement that
was entered into by the parties thereto arising as a consequence of these agreements.

Sotico Caveats means the absolute caveats lodged by Sotico against the titles of the land
sold to AngloGold and Newmont Boddington Pty Ltd under clause 8.6 of the 2006 Sale and
Purchase Agreement and clause 8.6 of the 2007 Sale and Purchase Agreement.

1991 Bauxite Covenant and Supplemental Deed means the Bauxite Covenant and Supplemental Deed
dated 19 July 1991 between Bunnings Forest Products Pty Ltd (now known as Sotico Pty Ltd)
and Reynolds Australia Metals, Ltd (since deregistered), Billiton Australia Gold Pty Ltd
(now known as AngloGold Ashanti Australia Limited), Newcrest Mining (W.A.) Limited (now
known as Newcrest Operations Limited), Kobe Alumina

4. 

 

Associates (Australia) Pty Limited (now known as Japan Alumina Associates (Australia) Pty
Ltd) and Reynolds Australia Alumina, Ltd. (now known as BHP Billiton Aluminium (RAA) Pty
Ltd), The Shell Company of Australia Limited, Kobe Alumina Associates (Australia) Pty Ltd
(now known as Japan Alumina Associates (Australia) Pty Ltd) and Nissho Iwai Alumina Pty.
Limited (now known as Sojitz Alumina Pty Ltd), as supplemented by the Deed of Covenant and
Novation (Sotico Instruments) and the Newmont/Newcrest Deed of Covenant and Release.

1991 Sale and Purchase Agreement means the agreement dated 19 July 1991 between Bunnings
Forest Products Pty Ltd (now known as Sotico Pty Ltd) and Bunnings Limited (now known as
Wesfarmers Bunnings Limited) and Reynolds Australia Metals, Ltd (since deregistered),
Billiton Australia Gold Pty Ltd (now known as AngloGold Ashanti Australia Limited), Newcrest
Mining (W.A.) Limited (now known as Newcrest Operations Limited) and Kobe Alumina Associates
(Australia) Pty Limited (now known as Japan Alumina Associates (Australia) Pty Ltd) as
supplemented by the Newmont/Newcrest Deed of Covenant and Release.

2006 Bauxite Covenant and Supplemental Deed means the 2006 Bauxite Covenant and Supplemental
Deed dated 6 December 2006 between Sotico, Newmont Boddington Pty Ltd, AngloGold, Billiton
Aluminium (RAA) Pty Ltd (now known as BHP Billiton Aluminium (RAA) Pty Ltd), Billiton
Aluminium (Worsley) Pty Ltd (now known as BHP Billiton Aluminium (Worsley) Pty Ltd), Japan
Alumina Associates (Australia) Pty Limited and Sojitz Alumina Pty Limited.

2006 Sale and Purchase Agreement means the agreement dated 3 February 2006 between Sotico,
Newmont Boddington Pty Ltd, Newcrest Operations Limited and AngloGold as supplemented by the
Newmont/Newcrest Deed of Covenant and Release and as amended by the Deed of Variation —
2006 Sale and Purchase Agreement dated 6 December 2006 between Sotico, Newmont Boddington
Pty Ltd and AngloGold.

2007 Bauxite Covenant and Supplemental Deed means the 2007 Bauxite Covenant and Supplemental
Deed dated 14 April 2008 between Sotico, Newmont Boddington Pty Ltd, AngloGold, Billiton
Aluminium (RAA) Pty Ltd (now known as BHP Billiton Aluminium (RAA) Pty Ltd), Billiton
Aluminium (Worsley) Pty Ltd (now known as BHP Billiton Aluminium (Worsley) Pty Ltd), Japan
Alumina Associates (Australia) Pty Limited and Sojitz Alumina Pty Limited.

2007 Sale and Purchase Agreement means the agreement dated 12 November 2007 between Sotico,
Newmont Boddington Pty Ltd and AngloGold.

	1.2	 	Rules for interpreting this document

In this Deed unless the context requires otherwise, the following rules apply:

	 	(a)	 	headings are for convenience only and do not affect interpretation;
	 
	 	(b)	 	words importing the singular include the plural and vice versa;

5. 

 

	 	(c)	 	a reference to any agreement or document is to that agreement or document (and,
where applicable, any of its provisions) as amended, novated, supplemented or replaced
from time to time;
	 
	 	(d)	 	a reference to any party includes that party’s executors, administrators,
substitutes, successors and permitted assigns;
	 
	 	(e)	 	where an expression is defined, another part of speech or grammatical form of
that expression has a corresponding meaning;
	 
	 	(f)	 	a reference to legislation is to that legislation as amended, re-enacted or
replaced, and includes any subordinate legislation issued under it; and
	 
	 	(g)	 	a reference to any thing (including any right) includes a part of that thing.

	2.	 	COVENANT AND ACKNOWLEDGEMENT
	 
	2.1	 	Covenant
	 
	 	 	With effect on and from the Completion Date:

	 	(a)	 	in accordance with clause 12.1 of the 1991 Sale and Purchase Agreement, the
Covenantor agrees to perform and observe the obligations, terms and conditions of the
1991 Sale and Purchase Agreement on the part of AngloGold to be performed and observed;
	 
	 	(b)	 	in accordance with clause 7.5 of the 1991 Bauxite Covenant and Supplemental
Deed, clause 7.5 of the 2006 Bauxite Covenant and Supplemental Deed and clause 7.5 of
the 2007 Bauxite Covenant and Supplemental Deed, the Covenantor agrees to be bound by
and observe the covenants, terms and conditions of the Bauxite Compensation Agreement
and the 1991 Bauxite Covenant and Supplemental Deed, the 2006 Bauxite Covenant and
Supplemental Deed and the 2007 Bauxite Covenant and Supplemental Deed on the part of
AngloGold to be performed and observed and acknowledges the rights of Sotico to receive
compensation in respect of the Property under the terms of the Bauxite Compensation
Agreement;
	 
	 	(c)	 	in accordance with clauses 7.1 and 7.2 of the Lease, the Covenantor agrees to
be bound by all the terms and conditions of the Lease on the part of AngloGold to be
performed;
	 
	 	(d)	 	in accordance with clause 10.1 of the Forest Management Agreement, the
Covenantor agrees to assume and be bound by the obligations of AngloGold under the
Forest Management Agreement;
	 
	 	(e)	 	in accordance with clause 12.1 of the 2006 Sale and Purchase Agreement, the
Covenantor agrees to perform and observe the obligations, terms and conditions of the
2006 Sale and Purchase Agreement on the part of AngloGold to be performed and observed;
	 
	 	(f)	 	in accordance with clause 12.1 of the 2007 Sale and Purchase Agreement, the
Covenantor agrees to perform and observe the obligations, terms and conditions of

6. 

 

	 	 	 	the 2007 Sale and Purchase Agreement on the part of AngloGold to be performed and
observed;
	 
	 	(g)	 	for the purposes of clause 16(c) of the Bauxite Compensation Agreement the
Covenantor acknowledges that it has taken the interests of AngloGold in the Property
subject to the interests of the Bauxite/Alumina Joint Venturers under the Bauxite
Compensation Agreement; and
	 
	 	(h)	 	in accordance with clause 8.2 of the Bauxite Exploration Agreement the
Covenantor agrees to perform and observe the obligations, terms and conditions of the
Bauxite Exploration Agreement on the part of AngloGold to be performed and observed.

	2.2	 	Acknowledgment
	 
	 	 	Each party acknowledges and agrees that the covenants and undertakings on the part of the
Covenantor set out in each paragraph of clause 2.1 comply with the requirements to perfect
an assignment of AngloGold’s right, title and interest in each Sotico Agreement to which it
is a party from AngloGold to the Covenantor in accordance with the terms of each such Sotico
Agreement.

	3.	 	RELEASE
	 
	 	 	With effect on and from the Completion Date:

	 	(a)	 	each of Sotico and Wesfarmers Bunnings releases and discharges AngloGold from
all Claims, Losses and Legal Liabilities that, but for this release, Sotico and/or
Wesfarmers Bunnings may have had or brought, or at any time in the future may have or
bring, against AngloGold arising out of, or in connection with, the 1991 Sale and
Purchase Agreement except for any Claim, Loss or Legal Liability that arises prior to
the Completion Date;
	 
	 	(b)	 	Sotico releases and discharges AngloGold from all Claims, Losses and Legal
Liabilities that, but for this release, Sotico may have had or brought, or at any time
in the future may have or bring, against AngloGold arising out of, or in connection
with, the Lease, the Forest Management Agreement, the 2006 Sale and Purchase Agreement
or the 2007 Sale and Purchase Agreement except for any Claim, Loss or Legal Liability
that arises prior to the Completion Date;
	 
	 	(c)	 	each of Sotico and the Bauxite/Alumina Joint Venturers releases and discharges
AngloGold from all Claims, Losses and Legal Liabilities that, but for this release,
Sotico and/or a Bauxite/Alumina Joint Venturer may have had or brought, or at any time
in the future may have or bring, against AngloGold arising out of, or in connection
with, the Bauxite Compensation Agreement or the 1991 Bauxite Covenant and Supplemental
Deed, the 2006 Bauxite Covenant and Supplemental Deed or the 2007 Bauxite Covenant and
Supplemental Deed except for any Claim, Loss or Legal Liability that arises prior to
the Completion Date; and
	 
	 	(d)	 	WAPL releases and discharges AngloGold from all Claims, Losses and Legal
Liabilities that, but for this release, WAPL may have had or brought, or at any time

7. 

 

	 	 	 	in the future may have or bring, against AngloGold arising out of, or in connection
with, the Bauxite Exploration Agreement except for any Claim, Loss or Legal
Liability that arises prior to the Completion Date.

	4.	 	WAIVER
	 
	4.1	 	Waiver by Bauxite/Alumina Joint Venturers
	 
	 	 	The Bauxite/Alumina Joint Venturers waive their first right of refusal under clause 20(i) of
the Bauxite Compensation Agreement in relation to the acquisition by the Covenantor of the
interest of AngloGold in the Property (if and to the extent such right applies to those
acquisitions).
	 
	4.2	 	Waiver by Sotico
	 
	 	 	Sotico waives its right under clause 15.1 of the 1991 Sale and Purchase Agreement to require
AngloGold to provide Sotico notice of AngloGold’s intention to dispose of its interest in
the Property (or the relevant portion thereof) in advance of disposing of that interest to
the Covenantor (if and to the extent such right applies to those disposals).
	 
	5.	 	SOTICO CAVEATS

	 	(a)	 	Sotico must provide to AngloGold fully and correctly completed and executed
withdrawal forms in respect of the Sotico Caveats for lodgement with Landgate within 10
Business Days of having received a written request from AngloGold to provide such
withdrawal forms.
	 
	 	(b)	 	AngloGold undertakes not to lodge such withdrawal forms before completion of
the SPA.

	6.	 	COUNTERPARTS

	 	(a)	 	This Deed may be executed in counterparts.
	 
	 	(b)	 	If this Deed is executed in counterparts, each counterpart is an original and
all of the counterparts together constitute the same document.

	7.	 	COSTS AND STAMP DUTY

	 	(a)	 	Except to the extent specified in paragraph (b) of this clause 7, each party
must bear and is responsible for its own costs in connection with the preparation,
execution, completion and carrying into effect of this Deed.
	 
	 	(b)	 	The Covenantor must bear and is responsible for, and must indemnify and keep
indemnified the other parties to this Deed, against all stamp duty (together with any
related interest, penalty, fine and expense) and registration fees payable on or in
respect of or as a consequence of:

	 	(i)	 	this Deed; and

8. 

 

	 	(ii)	 	any instrument, document, agreement, deed or transaction
contemplated in or necessary to give effect to this Deed.

	8.	 	GOVERNING LAW
	 
	 	 	This Deed is governed by the law in force in Western Australia and the parties submit to the
non-exclusive jurisdiction of the courts of Western Australia and any courts which may hear
appeals from those courts in respect of any proceedings in connection with this Deed.

9. 

 

	 	 	 	 	 
	EXECUTED and delivered as a deed in Perth.
	 	 	 	 
	 
	 	 	 	 
	EXECUTED as a deed in accordance with
section 127 of the Corporations Act 2001
	 	 	 	 
	by SADDLEBACK INVESTMENTS PTY LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	EXECUTED as a deed in accordance with
section 127 of the Corporations Act 2001
	 	 	 	 
	by ANGLOGOLD ASHANTI AUSTRALIA LIMITED:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	EXECUTED as a deed in accordance with
section 127 of the Corporations Act 2001
	 	 	 	 
	by SOTICO PTY LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 

10. 

 

	 	 	 	 	 
	EXECUTED as a deed in accordance with
section 127 of the Corporations Act 2001
	 	 	 	 
	by WESFARMERS BUNNINGS LIMITED:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	EXECUTED as a deed in accordance with
section 127 of the Corporations Act 2001
	 	 	 	 
	by BHP BILLITON ALUMINIUM (RAA) PTY LIMITED:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	EXECUTED as a deed in accordance with
section 127 of the Corporations Act 2001
	 	 	 	 
	by BHP BILLITON ALUMINIUM (WORSLEY) PTY
LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 

11. 

 

	 	 	 	 	 
	EXECUTED as a deed in accordance with
section 127 of the Corporations Act 2001
	 	 	 	 
	by JAPAN ALUMINA ASSOCIATES (AUSTRALIA)
PTY LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	EXECUTED as a deed for and on behalf of
SOJITZ ALUMINA PTY LTD by its duly
appointed attorney Japan Alumina
Associates (Australia) Pty Ltd (which
declares that it has not had notice of the
revocation of the power of attorney under
which it is appointed):
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	EXECUTED as a deed in accordance with
section 127 of the Corporations Act 2001
	 	 	 	 
	by BHP BILLITON WORSLEY ALUMINA PTY LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 

12. 

 

Schedule 11

DEED
OF COVENANT WORSLEY TRANSFER AGREEMENT & 
LETTER AGREEMENT

 

 

Deed of Covenant

Worsley Transfer Agreement

& Letter Agreement

Saddleback Investments Pty Ltd

ACN 134 978 224

Newmont Boddington Pty Limited

ABN 32 062 936 547

AngloGold Ashanti Australia Limited

ABN 42 008 737 424

BHP Billiton Aluminium (RAA) Pty Ltd

ABN 54 095 831 119

BHP Billiton Aluminium Australia Pty Ltd

ABN 65 063 671 349

Japan Alumina Associates (Australia) Pty Ltd

ABN 42 008 907 524

Sojitz Alumina Pty Limited

ABN 59 009 309 344

BHP Billiton Worsley Alumina Pty Ltd

ABN 58 008 905 155

 

 

DEED OF COVENANT

			
	 	 	 
	DATE
	 	2009

BETWEEN

Saddleback Investments Pty Ltd ACN 134 978 224 of Level 1, 388 Hay Street, Subiaco, Western
Australia (Covenantor)

Newmont Boddington Pty Limited ABN 32 062 936 547 (formerly Normandy Boddington Pty Ltd) of
Level 1, 388 Hay Street, Subiaco, Western Australia (Newmont)

AngloGold Ashanti Australia Limited ABN 42 008 737 424 (formerly Acacia Resources Limited)
of Level 13, St Martin’s Tower, 44 St Georges Terrace, Perth, Western Australia (AngloGold)

BHP Billiton Aluminium (RAA) Pty Ltd ABN 54 095 831 119 (formerly Reynolds Australia Alumina
Ltd) of Gastaldo Road, Allanson, Western Australia (Billiton RAA)

BHP Billiton Aluminium Australia Pty Ltd ABN 65 063 671 349 (formerly Billiton Australia Pty
Limited) of Level 14, Riverside Centre, 123 Eagle Street, Brisbane, Queensland (Billiton
Aluminium)

Japan Alumina Associates (Australia) Pty Ltd ABN 42 008 907 524 (formerly Kobe Alumina
Associates (Australia) Pty Ltd) of Level 21, 140 St Georges Terrace, Perth Western Australia
(Japan Alumina)

Sojitz Alumina Pty Limited ABN 59 009 309 344 (formerly Nissho Iwai Alumina Pty Ltd) of
Level 9, 172-176 St Georges Terrace, Perth, Western Australia (Sojitz)

BHP Billiton Worsley Alumina Pty Ltd ABN 58 008 905 155 (formerly Worsley Alumina Pty Ltd)
of Gastaldo Road, Allanson, Western Australia (Worsley)

RECITALS

	A.	 	Under the terms of a Deed of Transfer dated 28 April 1998 between the then Worsley Joint
Venturers and the then BGM Joint Venturers (Deed of Transfer), the Worsley Joint Venturers
agreed to assign to the BGM Joint Venturers, all of the Worsley Joint Venturers’ right, title
and interest in certain mining tenements and mining tenement applications.
	 
	B.	 	Under the terms of the Letter Agreement, Worsley (for and on behalf of the Worsley Joint
Venturers) agreed to withdraw an objection to the grant of an application for Miscellaneous
Licence 70/95 on the terms set out in the Letter Agreement.
	 
	C.	 	Under the terms of the SPA, AngloGold has agreed to sell, and the Covenantor has agreed to
purchase, the entire interest of AngloGold in the Boddington Gold Mine Joint Venture.
	 
	D.	 	With effect from the Completion Date (as defined in the SPA), AngloGold will assign to the
Covenantor, and the Covenantor will assume, all of AngloGold’s right, title, interest,
obligations and liabilities under the Deed of Transfer.

 

 

	E.	 	Clause 10(b) of the Deed of Transfer allows AngloGold to assign all of its rights and
interest in the Deed of Transfer as part of an assignment or disposition of the whole of its
BGM Interest (as defined in the Deed of Transfer) provided that the assignee enters into a
deed of covenant in a form acceptable to the other parties to the Deed of Transfer assuming
AngloGold’s rights and obligations under the Deed of Transfer arising on or after the date of
completion of the assignment.
	 
	F.	 	Paragraph (k)(ii) of the Letter Agreement provides that a BGM Joint Venturer may assign its
interest in Miscellaneous Licence 70/95 as part of an assignment of its BGM Interest provided
the assignee agrees to be bound by the Letter Agreement.
	 
	G.	 	The Covenantor enters into this Deed in compliance with clause 10(b) of the Deed of Transfer
and paragraph (k)(ii) of the Letter Agreement.

THE PARTIES AGREE as follows

	1.	 	DEFINITIONS AND INTERPRETATION
	 
	1.1	 	Definitions
	 
	 	 	In this Deed, unless the context requires otherwise, terms defined in the Recitals have the
meaning given in the Recitals, and:
	 
	 	 	BGMMC means BGM Management Company Pty Ltd (ABN 45 101 199 731) of Level 1, 388 Hay Street,
Subiaco, Western Australia.
	 
	 	 	BGM Joint Venturers means Newmont and AngloGold.
	 
	 	 	Boddington Gold Mine Joint Venture means the joint venture carried on under the name
‘Boddington Gold Mine Joint Venture’ as constituted from time to time pursuant to the Joint
Venture Agreement.
	 
	 	 	Joint Venture Agreement means the Further Restated BGM Joint Venturers Agreement dated 17
November 2006 between Newmont, AngloGold and BGMMC.
	 
	 	 	Letter Agreement means the letter issued by BGMMC to Worsley dated 20 April 2006 as attached
to this deed and marked “A”.
	 
	 	 	Newmont Australia means Newmont Australia Limited (ABN 86 009 295 765) of Level 1, 388 Hay
Street, Subiaco, Western Australia.
	 
	 	 	Newmont Mining means Newmont Mining Corporation (ARBN 099 065 997) of 6363 South Fiddlers
Green Circle, Greenwood Village, Colorado, USA.
	 
	 	 	SPA means the Sale and Purchase Agreement Boddington Gold Mine Joint Venture dated [#]
between AngloGold, AngloGold Ashanti Limited (ARBN 090 101 170), the Covenantor, Newmont,
Newmont Mining, Newmont Australia and BGMMC under which AngloGold has agreed to sell and the
Covenantor has agreed to purchase the entire interest of AngloGold in the Boddington Gold
Mine Joint Venture.
	 
	 	 	Worsley Joint Venturers means Billiton RAA, Billiton Aluminium, Japan Alumina and Sojitz.

2.

 

	1.2	 	Interpretation
	 
	 	 	In this Deed, unless the context requires otherwise:

	 	(a)	 	headings are for convenience only and do not affect interpretation;
	 
	 	(b)	 	words importing the singular include the plural and vice versa;
	 
	 	(c)	 	a reference to any agreement or document is to that agreement or document (and,
where applicable, any of its provisions) as amended, novated, supplemented or replaced
from time to time;
	 
	 	(d)	 	a reference to any party includes that party’s executors, administrators,
substitutes, successors and permitted assigns;
	 
	 	(e)	 	where an expression is defined, another part of speech or grammatical form of
that expression has a corresponding meaning;
	 
	 	(f)	 	a reference to legislation is to that legislation as amended, re-enacted or
replaced, and includes any subordinate legislation issued under it; and
	 
	 	(g)	 	a reference to any thing (including any right) includes a part of that thing.

	2.	 	COVENANT
	 
	 	 	In accordance with clause 10(b) of the Deed of Transfer and paragraph (k)(ii) of the Letter
Agreement, for the benefit of the Worsley Joint Venturers (and their permitted substitutes
and assigns), with effect on and from the Completion Date (as defined in the SPA), the
Covenantor covenants to assume all of the obligations and liabilities of AngloGold arising
on or after the Completion Date (as defined in the SPA) and to discharge those obligations
and liabilities as and when required under:

	 	(a)	 	the Deed of Transfer; and
	 
	 	(b)	 	the Letter Agreement.

	3.	 	RELEASE
	 
	 	 	With effect on and from the Completion Date (as defined in the SPA), each of Newmont,
Billiton RAA, Billiton Aluminium, Japan Alumina, Sojitz and Worsley releases and discharges
AngloGold from all its obligations and liabilities under:

	 	(a)	 	the Deed of Transfer; and
	 
	 	(b)	 	the Letter Agreement,

	 	 	to the extent such obligations have been assumed by the Covenantor under clause 2 of this
Deed.

3.

 

	4.	 	COSTS AND STAMP DUTY

	 	(a)	 	Except to the extent specified in paragraph (b) of this clause 4, each party
must bear and is responsible for its own costs in connection with the preparation,
execution, completion and carrying into effect of this Deed.
	 
	 	(b)	 	The Covenantor must bear and is responsible for, and must indemnify and keep
indemnified the other parties to this Deed against, all stamp duty (together with any
related interest, penalty, fine and expense) and registration fees payable on or in
respect of or as a consequence of:

	 	(i)	 	this Deed; and
	 
	 	(ii)	 	any instrument, document, agreement, deed or transaction
contemplated in or necessary to give effect to this Deed.

	5.	 	COUNTERPARTS
	 
	 	 	This Deed may be executed in counterparts and each counterpart is an original and all of the
counterparts together constitute the same document.
	 
	6.	 	GOVERNING LAW
	 
	 	 	This Deed is governed by the law in force in Western Australia and the parties submit to the
non-exclusive jurisdiction of the courts of Western Australia and any courts which may hear
appeals from those courts in respect of any proceedings in connection with this deed.

4.

 

Annexure “A”

Letter Agreement

5.

 

	 	 	 	 	 
	EXECUTED and delivered as a
deed in Perth.
	 	 	 	 
	 
	 	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001
	 	 	 	 
	by SADDLEBACK INVESTMENTS PTY
LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001
	 	 	 	 
	by NEWMONT BODDINGTON PTY
LIMITED:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001
	 	 	 	 
	by ANGLOGOLD ASHANTI AUSTRALIA
LIMITED:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 

6.

 

	 	 	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001
	 	 	 	 
	by BHP BILLITON ALUMINIUM
(RAA) PTY LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001
	 	 	 	 
	by BHP BILLITON ALUMINIUM
AUSTRALIA PTY LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001
	 	 	 	 
	by JAPAN ALUMINA ASSOCIATES
(AUSTRALIA) PTY LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 

7.

 

	 	 	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001
	 	 	 	 
	by SOJITZ ALUMINA PTY LIMITED:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	Executed as a deed in
accordance with section 127 of
the Corporations Act 2001
	 	 	 	 
	by BHP BILLITON WORSLEY
ALUMINA PTY LTD:
	 	 	 	 
	 
	 	 	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 

8.

 

Schedule 12

DEED OF ASSIGNMENT AND ASSUMPTION PRODUCT SALES DOCUMENTS

 

 

ANGLOGOLD ASHANTI AUSTRALIA LIMITED (ABN 42 008 737 424)

AND

SADDLEBACK INVESTMENTS PTY LTD (ACN 134 978 224)

AND

NEWMONT BODDINGTON PTY LTD (ABN 32 062 936 547)

AND

NEWMONT MINING SERVICES PTY LTD (ACN 008 087 778)

DEED OF ASSIGNMENT AND ASSUMPTION

PRODUCT SALES DOCUMENTS

1

 

TABLE OF CONTENTS

	 	 	 	 	 
	1. DEFINITIONS AND INTERPRETATIONS
	 	 	3	 
	 	 
	1.1 Definitions
	 	 	3	 
	 	 
	1.2 Interpretation
	 	 	5	 
	 	 
	2. ASSIGNMENT
	 	 	5	 
	 	 
	3. CONSULTING AGREEMENT
	 	 	6	 
	 	 
	4. COPPER SALES MOAS
	 	 	6	 
	 	 
	5. BGM MARKETING COMMITTEE CHARTER
	 	 	6	 
	 	 
	6. INDEMNITY
	 	 	7	 
	 	 
	7. FURTHER DOCUMENTS
	 	 	7	 
	 	 
	8. COSTS AND STAMP DUTY
	 	 	7	 
	 	 
	9. COUNTERPARTS
	 	 	7	 
	 	 
	10. GOVERNING LAW
	 	 	7	 

2

 

					
	THIS DEED is made this
	 	day of
	 	2009

BETWEEN

	1.	 	ANGLOGOLD ASHANTI AUSTRALIA LIMITED (ABN 42 008 737 424) of Level 13, St Martins Tower, 44 St
Georges Terrace, Perth, Western Australia 6000 (“AngloGold”);

AND

	2.	 	SADDLEBACK INVESTMENTS PTY LTD (ACN 134 978 224) of Level 1, 388 Hay Street, Subiaco, Western
Australia 6008 (“SIPL”);

AND

	3.	 	NEWMONT BODDINGTON PTY LTD (ABN 32 062 936 547) of Level 1, 388 Hay Street, Subiaco, Western
Australia 6008 (“NBPL”);

AND

	4.	 	NEWMONT MINING SERVICES PTY LTD (ACN 008 087 778) of Level 1, 388 Hay Street, Subiaco,
Western Australia 6008 (“NMS”).

BACKGROUND

	A.	 	AngloGold and NMS are parties to the Consulting Agreement.
	 
	B.	 	AngloGold and NBPL are the signatories to the BGM Marketing Committee Charter.
	 
	C.	 	AngloGold and NBPL are parties to the Copper Sales MoAs.
	 
	D.	 	With effect from completion under the SPA, AngloGold wishes to assign to SIPL the Assigned
Interest.
	 
	E.	 	The purpose of this Deed is to record the assignment of the Assigned Interest from AngloGold
to SIPL, and the assumption by SIPL of the obligations and liabilities of AngloGold under the
Principal Agreements, effective from the Completion Date.

IT IS AGREED as follows:

	1.	 	DEFINITIONS AND INTERPRETATIONS
	 
	1.1	 	Definitions
	 
	 	 	In this Deed, unless the context otherwise requires, the following expressions have the
following meanings respectively:
	 
	 	 	Assigned Interest means all of AngloGold’s rights, titles, estates, claims, and interests
under the Principal Agreements.

3

 

	 	 	BGMMC means BGM Management Company Pty Ltd (ABN 45 101 199 731) of Level 1, 388 Hay Street,
Subiaco, Western Australia.
	 
	 	 	BGM Marketing Committee Charter means the Restated BGM Marketing Committee Charter between
NBPL and AngloGold effective from 1 January 2008.
	 
	 	 	BGM Project has the meaning given to that term in the SPA.
	 
	 	 	Boddington Gold Mine Joint Venture means the joint venture carried on under the name
‘Boddington Gold Mine Joint Venture’ as constituted from time to time pursuant to the Joint
Venture Agreement.
	 
	 	 	Completion Date has the meaning given to that term in the SPA.
	 
	 	 	Consulting Agreement means the Consulting Agreement between AngloGold and NMS dated 1 March
2006 as extended by extension letter dated 10 December 2007 and further extended by extension
letter dated 24 December 2008.
	 
	 	 	Copper Sales Agreements mean [list any copper sale agreement entered into by or on behalf of
AngloGold before the Completion Date in respect of the sale of concentrate from the BGM
Project].
	 
	 	 	Copper Sales MoAs means:

	 	(a)	 	the Memorandum of Agreement between AngloGold, NBPL and Louis Dreyfus
Commodities Metals Suisse SA dated September 2008;
	 
	 	(b)	 	the Memorandum of Agreement between AngloGold, NBPL and Trafigura
Beheer BV Amsterdam dated [ ];
	 
	 	(c)	 	the Memorandum of Agreement between AngloGold, NBPL and Norddeutsche
Affinerie AG dated September 2008;
	 
	 	(d)	 	the Memorandum of Agreement between AngloGold, NBPL and Sumitomo Metal
Mining Co Ltd dated September 2008;
	 
	 	(e)	 	the Memorandum of Agreement between AngloGold, NBPL and LS Nikko Copper
dated September 2008;
	 
	 	(f)	 	the Memorandum of Agreement between NBPL and Trafigura Beheer B.V.
Amsterdam Zurishstasse dated 19 January 2009; and
	 
	 	(g)	 	[list any other memorandum of agreement entered into by or on behalf of
AngloGold before the Completion Date in respect of the sale of concentrate from the
BGM Project].

Deed means this deed and any amendments to it which are reduced to writing and signed by all
the parties to this Deed.

Joint Venture Agreement means the Further Restated BGM Joint Venturers Agreement dated 17
November 2006 between NBPL, AngloGold and BGMMC.

Newmont Australia means Newmont Australia Limited (ABN 86 009 295 765) of Level 1, 388 Hay
Street, Subiaco, Western Australia.

Newmont Mining means Newmont Mining Corporation (ARBN 099 065 997) of 6363 South Fiddlers
Green Circle, Greenwood Village, Colorado, USA.

4

 

Principal Agreements means the Consulting Agreement, the Copper Sales MoAs and the Copper
Sales Agreements.

SPA means the Sale and Purchase Agreement Boddington Gold Mine Joint Venture dated [#]
between AngloGold, AngloGold Ashanti Limited (ARBN 090 101 170), SIPL, NBPL, Newmont Mining,
Newmont Australia and BGMMC under which AngloGold has agreed to sell and SIPL has agreed to
purchase the entire interest of AngloGold in the Boddington Gold Mine Joint Venture.

	1.2	 	Interpretation
	 
	 	 	In this Deed including the Background, unless the contrary intention appears:

	 	(a)	 	words denoting the singular include the plural and vice versa;
	 
	 	(b)	 	a reference to any one of an individual, corporation, partnership, joint venture,
association, authority, trust or government includes (as the context requires) any other
of them;
	 
	 	(c)	 	the table of contents and headings are for convenience only and do not affect
interpretation;
	 
	 	(d)	 	a reference to any instrument (such as a deed, agreement or document) is to that
instrument (or, if required by the context, to a part of it) as amended, novated,
substituted or supplemented at any time and from time to time;
	 
	 	(e)	 	a reference to a Party is a reference to a party to this Deed and includes that
Party’s executors, administrators, successors and permitted assigns;
	 
	 	(f)	 	a reference to a recital, clause, schedule or annexure is to a recital, clause
(including sub-clause, paragraph, sub-paragraph or further subdivision of a clause),
schedule or annexure of or to this Deed, and a reference to a paragraph is to a
paragraph in a schedule;
	 
	 	(g)	 	a reference to any legislation or legislative provision includes any statutory
modification or re-enactment of, or substitution for, and any subordinate legislation
under, that legislation or legislative provision;
	 
	 	(h)	 	where an expression is defined, another part of speech or grammatical form of
that expression has a corresponding meaning; and
	 
	 	(i)	 	including and similar expressions are not and must not be treated as words of
limitation.

	2.	 	ASSIGNMENT
	 
	 	 	As and from the Completion Date:

	 	(a)	 	AngloGold assigns the Assigned Interest to SIPL;
	 
	 	(b)	 	SIPL accepts the Assigned Interest from AngloGold; and
	 
	 	(c)	 	SIPL covenants with AngloGold to assume the obligations and liabilities of
AngloGold under the Principal Agreements which arise or accrue on and from the
Completion Date and undertakes to discharge

5

 

	 	 	 	those obligations and liabilities as and when required under the Principal
Agreements.

	3.	 	CONSULTING AGREEMENT

	 	(a)	 	SIPL covenants with NMS, with effect on and from the Completion Date, to observe,
perform and be bound by all of the terms and provisions binding on, and all of the
obligations of, AngloGold under or in connection with the Consulting Agreement.
	 
	 	(b)	 	NMS:

	 	(i)	 	consents to SIPL being the holder of the Assigned Interest
to the extent such Assigned Interest relates to the Consulting Agreement as
and from the Completion Date and assuming the obligations of AngloGold in
accordance with (and to the extent referred to in) clause 3(a); and
	 
	 	(ii)	 	acknowledges that, with effect on and from the Completion
Date, SIPL will be entitled to exercise all of the rights, privileges and
benefits of AngloGold under or in connection with the Consulting Agreement.

	 	(c)	 	With effect on and from the Completion Date, NMS releases and forever discharges
AngloGold from all claims, demands and liabilities which arise on or after the
Completion Date (but not, for the avoidance of doubt, which have arisen prior to the
Completion Date) relating to any or all of the terms and provisions binding on, or the
obligations of, AngloGold under or in connection with the Consulting Agreement.
	 
	 	(d)	 	NMS acknowledges and agrees that as at the Completion Date AngloGold is not in
breach of the Consulting Agreement.

	4.	 	COPPER SALES MOAS
	 
	 	 	Promptly following the Completion Date, SIPL must give notice to the counterparties of the
Copper Sales MoAs, other than NBPL, of the assignment of AngloGold’s interests under the
Copper Sales MoAs to SIPL.

	[4A. 	 	 COPPER SALES AGREEMENTS
	 
	 	 	SIPL covenants with AngloGold, with effect on and from the Completion Date, to observe,
perform and be bound by all of the terms and provisions binding on, and all of the
obligations of, AngloGold under or in connection with the Copper Sales Agreements.]

	5.	 	BGM MARKETING COMMITTEE CHARTER
	 
	 	 	NBPL and AngloGold agree that the BGM Marketing Committee Charter shall terminate with effect
from the Completion Date and release each other with effect from the Completion Date from any
claims under or in connection with the BGM Marketing Committee Charter which have or may have
arisen on or before the Completion Date.

6

 

	6.	 	FURTHER DOCUMENTS
	 
	 	 	The Parties shall execute and deliver all such documents and do all such things as may be
reasonably necessary or desirable to give full effect to this Deed according to its tenor or
which may be required to secure the consent or approval of any person as required to comply
with any applicable laws and shall use their best endeavours to achieve satisfaction of any
such consents or approvals.
	 
	7.	 	COSTS AND STAMP DUTY
	 
	 	 	Each Party shall bear its costs arising out of the negotiation, preparation and execution of
this Deed. All stamp duty (including fines, penalties and interest) which may be payable on
or in connection with this Deed and any instrument executed under this Deed shall be borne by
SIPL.
	 
	8.	 	COUNTERPARTS
	 
	 	 	This Deed may be executed in any number of counterparts and all of those counterparts, taken
together, will be deemed to constitute the same instrument.
	 
	9.	 	GOVERNING LAW
	 
	 	 	This Deed is governed by the law in force in Western Australia and the Parties submit to the
non-exclusive jurisdiction of the courts of Western Australia and all courts competent to
hear appeals from the courts of Western Australia in respect of all proceedings arising in
connection with this Deed.

7

 

EXECUTED and delivered as a deed in Perth.

Executed as a deed in
accordance with section 127 
of
the Corporations Act 2001

by ANGLOGOLD ASHANTI AUSTRALIA
LIMITED:

	 	 	 	 	 	 	 
	 

Signature of director

	 	 	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 	 	 
	 

Name of director

	 	 	 	 

Name of director/secretary
	 	 

Executed as a deed in
accordance with section 127 
of
the Corporations Act 2001

by SADDLEBACK INVESTMENTS PTY
LTD:

	 	 	 	 	 	 	 
	 

Signature of director

	 	 	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 	 	 
	 

Name of director

	 	 	 	 

Name of director/secretary
	 	 

8

 

Executed as a deed in
accordance with section 127 
of
the Corporations Act 2001

by NEWMONT BODDINGTON PTY LTD:

	 	 	 	 	 	 	 
	 

Signature of director

	 	 	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 	 	 
	 

Name of director

	 	 	 	 

Name of director/secretary
	 	 

Executed as a deed in
accordance with section 127 
of
the Corporations Act 2001

by NEWMONT MINING SERVICES PTY
LTD:

	 	 	 	 	 	 	 
	 

Signature of director

	 	 	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 	 	 
	 

Name of director

	 	 	 	 

Name of director/secretary
	 	 

9

 

Schedule 13

PURCHASER’S CROSS CHARGE

 

 

PURCHASER’S CROSS CHARGE

Date

Parties

	 	1.	 	Saddleback Investments Pty Ltd (ACN 134 978 224) (Chargor)
	 
	 	2.	 	Newmont Boddington Pty Ltd (ABN 32 062 936 547) (Newmont)
	 
	 	3.	 	BGM Management Company Pty Ltd (ABN 45 101 199 731) (Manager)

Recitals

	 	A 	 	The Joint Venturers are parties to a joint venture agreement
dated 17 November 2006 (the Further Restated BGM Joint Venturers
Agreement) for the purposes of operating the BGM Project.
	 
	 	B 	 	By the terms of the Further Restated BGM Joint Venturers
Agreement and a management agreement executed contemporaneously
with the Further Restated BGM Joint Venture Agreement (the BGM
Management Agreement), certain payments are to be made from time
to time by the Chargor to the Manager to meet the Chargor’s
obligations under the Further Restated BGM Joint Venturers
Agreement and the BGM Management Agreement.
	 
	 	C 	 	It is a further term of the Further Restated BGM Joint Venturers
Agreement that the Chargor will enter into this Deed for the
purposes of securing the obligations of the Chargor to make such
payments and that the Chargor will register this Deed in all
places required by law to perfect the security hereby constituted
or to avoid that security becoming void whether totally or
against any particular person.

Page 1

 

It is agreed as follows.

	1.	 	In this Deed unless the contrary intention appears words, phrases and expressions defined or
given a special meaning in the Further Restated BGM Joint Venturers Agreement have the same
meanings in this Deed.
	 
	 	 	BGM Products means all the Chargor’s right, title and interest both present and future in:

	 	(i)	 	the right to receive its share of all gold and other Minerals products except
bauxite of the BGM Project;
	 
	 	(ii)	 	the interest of the Chargor as tenant in common in all gold, other Minerals
except bauxite, metal and other products of the BGM Project not yet taken in kind by
the Chargor; and

all gold and other Minerals products except bauxite of the BGM Project taken in kind by the
Chargor pursuant to the Further Restated BGM Joint Venturers Agreement.

Charged Property has the meaning set out in Clause 3 of the Appendix.

Deed means this Deed including the Appendix, as the same may be amended from time to time.

Default means default in the payment of any Secured Sum.

Due Date means the date on which the Chargor is first required by the terms of the Further
Restated BGM Joint Venturers Agreement or the BGM Management Agreement to pay any Called
Sum.

Encumbrance means any assignment (whether absolute, by way of security or otherwise),
mortgage, charge, pledge, security interest, production payment, lien or other encumbrance,
other than liens arising by operation of law.

Prospective Liability has the meaning set out in Section 261(1) of the Corporations Act.

Secured Sum means any Called Sum which is owing and unpaid by the Chargor for a period of
not less than fourteen (14) days after the Due Date together with interest thereon and all
royalties, costs and expenses incurred by any Joint Venturer or the Manager as the result
of such default.

The singular includes the plural and vice versa and words importing one gender include the
other genders.

	2.	 	On Default by the Chargor, any Non-Defaulting Joint Venturer may request the Manager in its
own name to take all action available under this Deed to enforce the charges contained in this
Deed on behalf of the Non-Defaulting Joint Venturers and the Manager shall forthwith comply
with such request.
	 
	3.	 	For the purpose of securing the payment of all Secured Sums by the Chargor, the Chargor
hereby charges all the BGM Products, both present and future and the proceeds of sale of the
BGM Products, in favour of the other Joint Venturers and the Manager to the intent that such
charge shall be a first floating charge in priority to any or all other Encumbrances given,
entered into or incurred by the Chargor in relation to the property and rights charged by this
Deed.
	 
	4.	 	The Manager and the Non-Defaulting Joint Venturers shall have the right on Default:

	 	(i)	 	to take possession of and sell, or sell without taking possession, any of the
BGM Products (excluding the right to any BGM Products to be produced subsequent to the
date of any such sale) and apply the proceeds thereof in accordance with this Deed;
and

Page 2

 

	 	(ii)	 	to appropriate and apply any other proceeds of sale of the BGM Products
(excluding any BGM Products to be produced subsequent to the date of sale referred to
in Clause 4(i)) in accordance with this Deed.

	5.	 	The Chargor warrants to and covenants with each of the other Joint Venturers that any other
Encumbrance which it may give or enter into in relation to the property and rights charged
pursuant to Clause 3 must acknowledge the priority of and be subject to the charge in favour
of the other Joint Venturers and the Manager created pursuant to Clause 3 and must contain a
provision that the Encumbrance is thereby postponed to the rights of the other Joint Venturers
and the Manager on their behalf.
	 
	6.	 	The charge contained in Clause 3 is granted subject to and with the benefit of the conditions
in the Appendix to this Deed.
	 
	7.	 	Without prejudice to any other remedy available, in the event of Default, the Non-Defaulting
Joint Venturers and the Manager will thereupon become entitled to enforce the charge herein.
	 
	8.	 	The Chargor will from time to time execute and deliver such further mortgages, charges and
other documents as may be reasonably requested by any Joint Venturer or the Manager in order
to confirm or effectuate the intent and purposes of this Deed.
	 
	9.	 	The Chargor covenants with each other Joint Venturer and the Manager that it will not enter
into any other Encumbrance covering its BGM Interest without obtaining from the other party to
the Encumbrance a Deed of Covenant in the form of Schedule 2 of the Further Restated BGM Joint
Venturers Agreement and any other Encumbrance entered into without such a Deed will be void
and of no effect.
	 
	10.	 	In the event that the Chargor when not in Default sells, transfers or assigns all or part of
its BGM Interest in accordance with the Further Restated BGM Joint Venturers Agreement, the
other Joint Venturers and the Manager will at the time of completion of such sale, transfer or
assignment, release and discharge the charges herein contained in respect of the BGM Interest
or part thereof sold, transferred or assigned. Each other Joint Venturer and the Manager
covenants to duly register, file or record all such notices or documents relating thereto as
may be required or permitted by law.
	 
	11.	 	The Chargor, the other Joint Venturers and the Manager covenant each with the others and with
one another to execute and deliver all such assurances, deeds, instruments, notices and
directions and do all such acts and things as may be necessary to release and discharge that
part of the BGM Interest of the Chargor or another Joint Venturer which is sold pursuant to
the BGM Joint Venture Agreement and so becomes part of the BGM Interest of another Joint
Venturer. The Chargor, the other Joint Venturers and the Manager covenant, each with the
others and with one another, to duly register, file or record all such notices or documents
relating thereto as may be required by law.

	12.	 	(a) 	Any amount recovered by a Joint Venturer or the Manager as a result of enforcing any of
the charges hereby granted or executing any of the powers hereby conferred (that is to say “by
execution of this Cross Charge”) will be held in trust by the Joint Venturer or the Manager,
whichever the case may be, for all the Joint Venturers and the Manager and will be applied in
accordance with the following provisions of this clause.

	 		(b) 	Unless a court of competent jurisdiction otherwise orders, any amount
recovered by execution of this Cross Charge shall be applied as follows:

Page 3

 

	 	(i)	 	first, in payment of any moneys having priority to the charge
created by Clause 3 of this Deed;
	 
	 	(ii)	 	secondly, in payment of all costs, charges and expenses of
and incidental to the appointment of the Receiver under this Deed and the
exercise by him, the Manager or the other Joint Venturers of all or any of the
powers aforesaid including the reasonable remuneration of the Receiver;
	 
	 	(iii)	 	thirdly, in or towards the satisfaction of any costs,
charges, expenses and liabilities incurred or payments, including but not
limited to stamp duty, made in or about the recovery of that amount by way of
execution;
	 
	 	(iv)	 	fourthly, if any part of the amount recovered remains after
satisfaction of the costs, charges, expenses, liabilities and payments in
accordance with Clause 12(b)(iii), by application of the remaining part in or
towards the discharge of the Chargor’s obligations in relation to Secured
Sums; and
	 
	 	(v)	 	fifthly, if any part of the amount recovered remains after
discharge of the Secured Sums by the Chargor in accordance with
Clause 12(b)(iv) then subject to all proper claims enforceable under other
Encumbrances, by payment of the remaining part to the Chargor.

	 	(c)	 	The claims of the Joint Venturers will, as between those claims, rank pari
passu and rateably, to the intent that if the amount recovered by way of execution of
this Cross Charge is less than the amount required to discharge the Chargor’s
obligations in relation to Secured Sums the amount will be apportioned and paid to the
claimants in proportion to their respective claims.

	13.	 	The Chargor will immediately register or file or both register and file this Deed or record
such other notices or documents relating thereto in the State and in other jurisdictions to
which it is subject as may be required by the law of those jurisdictions to perfect the
security hereby given or to avoid that security becoming void whether totally or against any
particular person and shall pay or make provision satisfactory to the other parties for the
payment of any applicable stamp duty, registration or filing fees on the charges created by
it.
	 
	14.	 	The Chargor shall from time to time furnish to the other Joint Venturers and the Manager such
information as is appropriate or as may reasonably be requested by any other Joint Venturer or
the Manager in order to determine in which place or places registration or filing of this Deed
or recording of such other notices or documents relating thereto is necessary or desirable to
give effect to the purposes of such registration, filing or recording pursuant to Clause 13.
The Chargor and the Joint Venturers must co-operate to do and perfect all registrations,
filings or recordings which are so necessary or desirable.
	 
	15.	 	Any notice, demand, consent or other communication (a Notice) given or made under this Deed:

	 	(i)	 	must be in writing and signed by a person duly authorised by
the sender;
	 
	 	(ii)	 	must be delivered to the intended recipient by prepaid post
(if posted to an address in another country, by registered airmail) or by hand
or fax to the address or fax number below or the address or fax number last
notified by the intended recipient to the sender:

Page 4

 

	 	 	 	 	 
	(A)
	 	Newmont:	 	Newmont Boddington Pty Ltd
	 
	 	 	 	Level 1, 388 Hay Street
	 
	 	 	 	Subiaco WA 6008
	 
	 	 	 	Attention:  Company Secretary
	 	 
	 
	 	 	 	Facsimile:  + 618 9423-6270
	 
	 	 	 	 
	(B)
	 	Chargor:	 	Saddleback Investments Pty Ltd
	 
	 	 	 	Level 1, 388 Hay Street
	 
	 	 	 	Subiaco WA 6008
	 	 
	 
	 	 	 	Attention: Company Secretary
	 
	 	 	 	Facsimile:  6189423 6270
	 
	 	 	 	 
	(C)
	 	Manager:	 	BGM Management Company Pty Ltd
	 
	 	 	 	Boddington Gold Mine Administration 
	 
	 	 	 	Building 

Old Soldiers Road
	 
	 	 	 	Boddington  WA  6390
	 
	 	 	 	 
	 
	 	 	 	Attention:     Company Secretary
	 
	 	 	 	Facsimile:     + 618 9883 4208

	 	(iii)	 	will be taken to be duly given or made:

	 	(A)	 	in the case of delivery in person, when
delivered;
	 
	 	(B)	 	in the case of delivery by post, two Business
Days after the date of posting (if posted to an address in the same
country) or seven Business Days after the date of posting (if posted
to an address in another country); and
	 
	 	(C)	 	in the case of fax, on receipt by the sender
of a transmission control report from the despatching machine showing
the relevant number of pages and the correct destination fax number or
name of recipient and indicating that the transmission has been made
without error,

but if the result is that a Notice would be taken to be given or made on a
day that is not a business day in the place to which the Notice is sent, or
at later than 4.00pm (local time), it will be taken to have been duly given
or made at the start of business on the next business day in that place.

	16.	 	This Deed shall be governed by and take effect and be construed in accordance with the laws
of the State of Western Australia.
	 
	17.	 	If it is held by a court of competent jurisdiction that:

	 	(i)	 	any part of this Deed would be void, voidable, illegal or unenforceable; or
	 
	 	(ii)	 	this Deed would be void, voidable, illegal or unenforceable unless any part
of this Deed were severed from this Deed,

that part shall be severable from and shall not affect the continued operation of the rest
of this Deed.

Page 5

 

	 	 	 	 	 
	18.

	 	(a)
	 	In accordance with the provisions of the Corporations Act and for
the purpose of fixing priorities between the charges contained in
this Deed and any registrable charge over the property and rights
charged by this Deed which is subsequently registered under the
Corporations Law or which remains unregistered the parties hereto
agree that each of the charges contained in this Deed secures a
Prospective Liability of a specified amount being, in the case of
the charges created by:
	 
	 	 	 	 
	 

	 	 	 	(i)     Saddleback Investments Pty Ltd                    $#]]
	 
	 	 	 	 
	 

	 	(b)
	 	In addition to the amount of the Prospective Liabilities specified above the
charges also secure Prospective Liabilities of unspecified amounts being all other
Secured Sums and except for the purposes of Section 282(3) of the Corporations Act
charges created by this Deed will not be in any way limited to the amounts specified
in Clause 18(a).

Page 6

 

Appendix

(Clauses 6 and 10)

	1.	 	The first floating charges created by this Deed will not hinder any sale or other dealings by
the Chargor, in the ordinary course of or for the purpose of carrying on its business, with
the property and rights charged thereby, prior to a party becoming entitled to enforce the
charge.
	 
	2.	 	None of the property charged by this Deed will be subjected to any other Encumbrance ranking
either in priority to or pari passu with the charges created by this Deed.
	 
	3.	 	A Joint Venturer or the Manager entitled to take action to enforce any of the charges
contained in this Deed may, at any time after its entitlement to enforce the said charge
arises, appoint a Receiver of the property and rights charged thereunder (the Charged
Property) and may in like manner from time to time remove any Receiver so appointed and
appoint another in his stead. Any such appointment or removal shall be in writing.

	4.	 	(a) 	A Receiver so appointed shall be deemed to be the agent of the Chargor which shall be
solely responsible for his acts and defaults and for his remuneration. The Receiver may
exercise any or all of the following powers, authorities and discretions (which shall be
interpreted separately and not by reference to one another) in addition to all other powers,
authorities and discretions conferred on him by law and subject always to the terms and
conditions of the Further Restated BGM Joint Venturers Agreement:

	 	(i)	 	to take possession of, collect and get in the Charged
Property and for that purpose to take any proceedings in the name of the
Chargor or otherwise as seems expedient and to give effectual receipts
accordingly for the same;
	 
	 	(ii)	 	to execute all such contracts, deeds, transfers and other
assurances in the name and on behalf of the Chargor for the purpose of
carrying into effect any of the powers and authorities conferred on the
Receiver as he may see fit;
	 
	 	(iii)	 	to make any arrangement or compromise which he thinks
expedient; and
	 
	 	(iv)	 	generally to do or cause to be done such acts and things
respecting the Charged Property (without being responsible for any loss or
damage which happens thereby) as he may think necessary and which could have
been done or caused to be done if he had the absolute ownership of the
Charged Property.

	 	(b)	Any person paying the money to or otherwise dealing with a Receiver shall not
be concerned to enquire whether any event has occurred to authorise the Receiver to
act and the receipt of any such Receiver for any moneys arising under any of the
powers aforesaid shall be a sufficient discharge without obligating the person paying
the same to see to the application thereof.

Page 7

 

	 	(c)	 	Any of the powers which the Receiver may exercise pursuant to Clause 4(a) of
this Appendix may also be exercised by the Manager and any of the Joint Venturers
other than the Chargor.

	5.	 	The net proceeds in respect of the BGM Interest of the Chargor from the carrying on of the
BGM Project and the net proceeds from the sale of any property and rights charged pursuant to
Clause 3 of this Deed must be applied by the Receiver, the Manager or the Joint Venturers (as
the case may be) in accordance with Clause 12 of this Deed. Save as provided for in Clause 12
of this Deed, neither the Joint Venturers nor the Manager will be under any liability to the
Receiver for his remuneration, costs, charges or expenses or otherwise.
	 
	6.	 	The charge created by Clause 3 of this Deed will be deemed to be running and continuing
securities notwithstanding any settlement on account or any other matter or thing whatsoever
and shall remain in full force until final discharges thereof have been executed by the
Manager and the Joint Venturers.

Executed as a Deed in Western Australia

Signed Sealed and Delivered for and on

behalf of Saddleback Investments Pty

Ltd by:

	 	 	 
	 

	 	 
	Director
	 	 
	 
	 	 
	 

	 	 
	Print Name
	 	 
	 
	 	 
	 

	 	 
	Director/Secretary
	 	 
	 
	 	 
	 

	 	 
	Print Name
	 	 

Page 8

 

Signed Sealed and Delivered for and on

behalf of Newmont Boddington Pty Ltd

by:

	 	 	 
	 

	 	 
	Director
	 	 
	 
	 	 
	 

	 	 
	Print Name
	 	 
	 
	 	 
	 

	 	 
	Director/Secretary
	 	 
	 
	 	 
	 

	 	 
	Print Name
	 	 

Signed Sealed and Delivered for and on

behalf of BGM Management Company

Pty Ltd by:

	 	 	 
	 

	 	 
	Director
	 	 
	 
	 	 
	 

	 	 
	Print Name
	 	 
	 
	 	 
	 

	 	 
	Director/Secretary
	 	 
	 
	 	 
	 

	 	 
	Print Name
	 	 

Page 9

 

Schedule 14

PURCHASER’S ASSUMPTION DEED

 

 

BGM Joint Venture -

Purchaser’s Assumption Deed

Saddleback Investments Pty Ltd

ACN 134 978 224

Newmont Boddington Pty Ltd

ABN 32 062 936 547

BGM Management Company Pty Ltd

ABN 45 101 199 731

 

 

			
	Date
	 	2009

Parties

	 	1.	 	Saddleback Investments Pty Ltd (ACN 134 978 224) of Level 1, 388 Hay Street, Subiaco, Western
Australia (the New Joint Venturer)
	 
	 	2.	 	Newmont Boddington Pty Ltd (ABN 32 062 936 547) of Level 1, 388 Hay Street, Subiaco, Western
Australia (the Continuing Joint Venturer)
	 
	 	3.	 	BGM Management Company Pty Ltd (ABN 45 101 199 731) of Level 1, 388 Hay Street, Subiaco,
Western Australia (the Manager).

Recitals

	 	A 	 	Pursuant to a joint venture agreement dated 17 November 2006 (the Further Restated BGM Joint
Venturers Agreement), the Continuing Joint Venturer and AngloGold Ashanti Australia Limited
(the Old Joint Venturer) are the participants in a joint venture for the purpose of the
exercise and development of the BGM Joint Venture, as defined and by the means prescribed in
the Further Restated BGM Joint Venturers Agreement.
	 
	 	B 	 	Upon the execution and delivery of this Deed the Joint Venturers will be the Continuing Joint
Venturer and the New Joint Venturer.
	 
	 	C 	 	The New Joint Venturer wishes to acquire all of the BGM Interest of the Old Joint Venturer
and, by the terms of Clause 11 of the Further Restated BGM Joint Venturers Agreement, such
acquisition will be effective only when the New Joint Venturer has executed and delivered to
the Old Joint Venturer an assumption deed in substantially the form of this Deed.

It is agreed as follows:

	1.	 	For the purposes of this Deed words, phrases and expressions which are defined or given a
special meaning in the Further Restated BGM Joint Venturers Agreement have the same meanings
when used in this Deed.
	 
	2.	 	The New Joint Venturer hereby covenants and agrees with the Continuing Joint Venturer and
with the Manager to be bound by all the terms, conditions, warranties, restrictions, covenants
and obligations under the Further Restated BGM Joint Venturers Agreement and the other
instruments listed in the Schedule to this Deed of or affecting the Old Joint Venturer or the
BGM Interest of the Old Joint Venturer, or of or affecting a purchaser or the BGM Interest of
the New Joint Venturer (including the Old Joint Venturer’s obligation to pay any Unpaid Called
Sum) to the extent that such terms, conditions, warranties, restrictions, covenants and obligations relate to the BGM
Interest of the Old Joint Venturer acquired by the New Joint Venturer (such BGM Interest
representing a Proportionate Share of 33 and 3/9 %).

1

 

	3.	 	For the purposes of Clause 20 of the Further Restated BGM Joint Venturers Agreement, the
address of the New Joint Venturer to which any notice, consent, offer, demand or other
instrument required or authorised to be given or made under the Further Restated BGM Joint
Venturers Agreement is:

Saddleback Investments Pty Ltd

Level 1, 388 Hay Street,

Subiaco Western Australia 6008

Attention: Company Secretary

Facsimile: +618 9423-6176

	4.	 	This Deed may be executed in any number of counterparts each of which shall be deemed an
original but all of which shall constitute one and the same instrument.
	 
	5.	 	This Deed shall be governed by and take effect and be construed in accordance with the laws
in force in the State of Western Australia.

2

 

SCHEDULE

(List such of the Project Agreements as are appropriate at the time of execution including all then
current Chargee’s Deeds of Covenant.)

3

 

Executed and delivered as a Deed in Perth

	 	 	 
	EXECUTED by SADDLEBACK
INVESTMENTS PTY LTD (ACN 134 978 224)
in accordance with
Section 127(1) of the
Corporations Act 2001 (Cth) by authority of its
directors:
	 	 
	 
	 	 
	 

Director

	 	 
	 
	 	 
	 

Print Name

	 	 
	 
	 	 
	 

Director/Secretary

	 	 
	 
	 	 
	 

Print Name

	 	 

	 	 	 
	EXECUTED by NEWMONT BODDINGTON PTY LTD (ABN 32 062 936 547) in accordance with
Section 127(1) of the Corporations Act 2001 (Cth) by authority of its
directors:
	 	 
	 
	 	 
	 

Director

	 	 
	 
	 	 
	 

Print Name

	 	 
	 
	 	 
	 

Director/Secretary

	 	 
	 
	 	 
	 

Print Name

	 	 

4

 

	 	 	 
	EXECUTED by BGM MANAGEMENT COMPANY PTY LTD (ABN 45 101 199 731) in accordance
with Section 127(1) of the Corporations Act 2001 (Cth) by authority of its
directors:
	 	 
	 
	 	 
	 

Director

	 	 
	 
	 	 
	 

Print Name

	 	 
	 
	 	 
	 

Director/Secretary

	 	 
	 
	 	 
	 

Print Name

	 	 

5

 

Schedule 15

DEED OF ASSIGNMENT AND ASSUMPTION (OTHER CONTRACTS)

 

 

ANGLOGOLD ASHANTI AUSTRALIA LIMITED (ABN 42 008 737 424)

AND

SADDLEBACK INVESTMENTS PTY LTD (ACN 134 978 224)

AND

NEWMONT BODDINGTON PTY LTD (ABN 32 062 936 547)

AND

[Insert further parties]

DEED OF ASSIGNMENT AND ASSUMPTION

[Insert Subject]

1

 

TABLE OF CONTENTS

	 	 	 	 	 
	1. DEFINITIONS AND INTERPRETATIONS
	 	 	3	 
	 	 
	1.1 Definitions
	 	 	3	 
	 	 
	1.2 Interpretation
	 	 	3	 
	 	 
	2. ASSIGNMENT
	 	 	4	 
	 	 
	3. NEW PARTY ASSUMES LIABILITY
	 	 	4	 
	 	 
	4. CONTINUING PARTY
	 	 	5	 
	 	 
	5. RELEASE
	 	 	5	 
	 	 
	6. INDEMNITY
	 	 	5	 
	 	 
	7. ACKNOWLEDGEMENT
	 	 	5	 
	 	 
	8. CONTINUING OBLIGATIONS
	 	 	5	 
	 	 
	9. FURTHER DOCUMENTS
	 	 	6	 
	 	 
	10. COSTS AND STAMP DUTY
	 	 	6	 
	 	 
	11. COUNTERPARTS
	 	 	6	 
	 	 
	12. GOVERNING LAW
	 	 	6	 
	 
	 	 	 	 
	SCHEDULE
	 	 	7	 

2

 

THIS DEED is made this            day of                                2009

BETWEEN

The person named and described in Item 1 of the Schedule (“Assignor”)

AND

The person named and described in Item 2 of the Schedule (“New Party”)

AND

The person or persons named and described in Item 3 of the Schedule (“Continuing Party”)

BACKGROUND

	A.	 	The Assignor and each Continuing Party are parties to the agreement or deed described in Item
4 of the Schedule (“Assigned Agreement”).
	 
	B.	 	As a result of the agreement described in Item 5 of the Schedule (“Sale Agreement”), the
Assignor has agreed to assign its rights under the Assigned Agreement in relation to the
Assigned Interest to the New Party and the New Party has agreed to assume the obligations of
the Assignor under the Assigned Agreement in relation to the Assigned Interest on and from the
Assignment Date.
	 
	C.	 	Each Continuing Party has agreed to release the Assignor from its obligations under the
Assigned Agreement in relation to the Assigned Interest on and from the Assignment Date.
	 
	D.	 	Each Continuing Party has agreed to consent to the transactions referred to in this Deed in
accordance with the terms of this Deed.

IT IS AGREED as follows:

	1.	 	DEFINITIONS AND INTERPRETATIONS
	 
	1.1	 	Definitions
	 
	 	 	In this Deed, unless the context otherwise requires, the following expressions have the
following meanings respectively:
	 
	 	 	Assigned Interest has the meaning set out in Item 6 of the Schedule.
	 
	 	 	Assignment Date means the date set out or described in Item 7 of the Schedule.
	 
	 	 	Deed means this deed and any amendments to it which are reduced to writing and signed by all
the parties to this Deed.
	 
	1.2	 	Interpretation
	 
	 	 	In this Deed, including the Background, unless the contrary intention appears:

3

 

	 	(a)	 	words denoting the singular include the plural and vice versa;
	 
	 	(b)	 	a reference to any one of an individual, corporation, partnership, joint venture,
association, authority, trust or government includes (as the context requires) any other
of them;
	 
	 	(c)	 	the table of contents and headings are for convenience only and do not affect
interpretation;
	 
	 	(d)	 	a reference to any instrument (such as a deed, agreement or document) is to that
instrument (or, if required by the context, to a part of it) as amended, novated,
substituted or supplemented at any time and from time to time;
	 
	 	(e)	 	a reference to a Party is a reference to a party to this Deed and includes that
Party’s executors, administrators, successors and permitted assigns;
	 
	 	(f)	 	a reference to a recital, clause, schedule or annexure is to a recital, clause
(including sub-clause, paragraph, sub-paragraph or further subdivision of a clause),
schedule or annexure of or to this Deed, and a reference to a paragraph is to a paragraph
in a schedule;
	 
	 	(g)	 	a reference to any legislation or legislative provision includes any statutory
modification or re-enactment of, or substitution for, and any subordinate legislation
under, that legislation or legislative provision;
	 
	 	(h)	 	where an expression is defined, another part of speech or grammatical form of that
expression has a corresponding meaning; and
	 
	 	(i)	 	including and similar expressions are not and must not be treated as words of
limitation.

	2.	 	ASSIGNMENT

	 	(1)	 	The Assignor assigns as and from the Assignment Date the Assigned Interest to the
New Party, which accepts such assignment.
	 
	 	(2)	 	If the Assignment Date is a date earlier than the date set out at the commencement
of this Deed then this Deed must take effect as if executed on that date.
	 
	 	(3)	 	If the Assignment Date is an undetermined future date, the New Party must give to
each Continuing Party prompt written notice of the date which is the Assignment Date.
	 
	 	(4)	 	If the Assignment Date has not occurred by the date which is 180 days after the
date of this Deed then this Deed must terminate and this Deed will have no force and
effect.

	3.	 	CONSENT OF CONTINUING PARTY
	 
	 	 	With effect on and from the Assignment Date, each Continuing Party:

4

 

	 	(a)	 	consents to the New Party being the holder of the Assigned Interest and assuming
the obligations of the Assignor in accordance with clause 4;
	 
	 	(b)	 	acknowledges and agrees that the New Party will be entitled to exercise all of the
rights, privileges and benefits of the Assignor in respect of the Assigned Interest under
or in connection with the Assigned Agreement; and
	 
	 	(c)	 	agrees to be bound by the terms of the Assigned Agreement as if the New Party were
named in the Assigned Agreement as a party instead of the Assignor.

	4.	 	NEW PARTY ASSUMES LIABILITY
	 
	 	 	With effect on and from the Assignment Date, the New Party covenants with each Continuing
Party that it:

	 	(a)	 	enjoys all the rights and interest of the Assignor under the Assigned Agreement in
relation to the Assigned Interest and may hold and deal with the Assigned Interest
without any interruption or disturbance from the Assignor; and
	 
	 	(b)	 	assumes, observes, performs and will be bound by the obligations and liabilities of
the Assignor under the Assigned Agreement in relation to the Assigned Interest which
arise or accrue on and from the Assignment Date and undertakes to discharge those
obligations and liabilities as and when required under the Assigned Agreement.

	5.	 	ASSIGNOR RELEASED
	 
	 	 	With effect on and from the Assignment Date, each Continuing Party releases and forever
discharges the Assignor from all claims, losses, demands and liabilities which arise on or
after the Assignment Date relating to or connected with the Assigned Interest except for any
claim, loss, demand or liability arising before the Assignment Date.
	 
	6.	 	INDEMNITY
	 
	 	 	The Sale Agreement contains indemnities which relate to the Assigned Agreement and those
indemnities continue to apply notwithstanding the execution and operation of this Deed.
	 
	7.	 	ACKNOWLEDGEMENT
	 
	 	 	Each Continuing Party acknowledges and agrees that, as at the Assignment Date, the Assignor is
not in breach of the Assigned Agreement.
	 
	8.	 	ADDRESS OF NEW PARTY TO NOTICES
	 
	 	 	For the purposes of the Assigned Agreement, the address of the New Party to which all Notices
must be delivered is as follows:

Saddleback Investments Pty Ltd

Level 1, 388 Hay Street

5

 

Subiaco WA 6008

Fax No: +61 8 9423 6176

Attention: Company Secretary

	9.	 	FURTHER DOCUMENTS
	 
	 	 	The Parties must use their reasonable endeavours to execute and deliver all such documents and
do all such things to give full effect to this Deed or which may be required to secure the
consent or approval of any person as required to comply with any applicable laws and must use
their reasonable endeavours to achieve satisfaction of any such consents or approvals.
	 
	10.	 	COSTS AND STAMP DUTY
	 
	 	 	Each Party must bear its own costs arising out of the negotiation, preparation and execution
of this Deed. All stamp duty (including fines, penalties and interest) payable on or in
connection with this Deed and any instrument executed under this Deed must be borne by the New
Party.
	 
	11.	 	COUNTERPARTS
	 
	 	 	This Deed may be executed in any number of counterparts. All counterparts together will be
taken to constitute the one instrument.
	 
	12.	 	GOVERNING LAW
	 
	 	 	This Deed is governed by the law in force in Western Australia. Each Party submits to the
non-exclusive jurisdiction of the courts of Western Australia and any courts which may hear
appeals from those courts in respect of any proceedings in connection with this Deed.

6

 

Schedule

	Item 1: 	 	 The Assignor
	 
	 	 	AngloGold Ashanti Australia Limited (ABN 42 008 737 424) of Level 13, St Martin’s
Tower, 44 St Georges Terrace, Perth, Western Australia, 6000.
	 
	Item 2:  	 	The New Party
	 
	 	 	Saddleback Investments Pty Ltd (ACN 134 978 224) of Level 1, 388 Hay Street,
Subiaco, Western Australia, 6008.
	 
	Item 3:  	 	The Continuing Party/Parties
	 
	 	 	[amend Item 3 as appropriate for each Assigned Agreement]
	 	 	Newmont Boddington Pty Ltd (ABN 32 062 936 547) of Level 1, 388 Hay Street, Subiaco,
Western Australia, 6008.
	 
	 	 	[Third Party Name] (ABN.....) of [third party address].
	 
	Item 4:  	 	The Assigned Agreement
	 
	 	 	[insert name, parties and date of the agreement to be assigned].
	 
	Item 5:  	 	Sale Agreement
	 
	 	 	The Sale and Purchase Agreement entitled ‘Boddington Gold Mine Joint Venture Sale of
AngloGold’s BGM Interest’ between AngloGold Ashanti Australia Limited (ABN 42 008
737 424), AngloGold Ashanti Limited (ARBN 090 101 170), Saddleback Investments Pty
Ltd (ACN 134 978 224), Newmont Boddington Pty Ltd (ABN 32 062 936 547), Newmont
Mining Corporation (ARBN 099 065 997), Newmont Australia Limited (ABN 86 009 295
765) and BGM Management Company Pty Ltd (ABN 45 101 199 731) dated [#] January 2009.
	 
	Item 6:  	 	Assigned Interest
	 
	 	 	All of the right, title, estate, claim and interest in, to and under the Assigned
Agreement of the Assignor.
	 
	Item 7:  	 	The Assignment Date
	 
	 	 	The date on which ‘Completion’, as defined in the Sale Agreement, occurs under the
Sale Agreement.

7

 

EXECUTED and delivered as a deed in [insert location].

	 	 	 	 	 	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
AngloGold Ashanti Australia Limited:
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

Director Signature

	 	 
	 	 

Director/Secretary Signature
	 	 
	 
	 	 	 	 	 	 
	 

Print Name

	 	 
	 	 

Print Name
	 	 
	 
	 	 	 	 	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
Saddleback Investments Pty Ltd:
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

Director Signature

	 	 
	 	 

Director/Secretary Signature
	 	 
	 
	 	 	 	 	 	 
	 

Print Name

	 	 
	 	 

Print Name
	 	 
	 
	 	 	 	 	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
Newmont Boddington Pty Ltd:
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

Director Signature

	 	 
	 	 

Director/Secretary Signature
	 	 
	 
	 	 	 	 	 	 
	 

Print Name

	 	 
	 	 

Print Name
	 	 
	 
	 	 	 	 	 	 
	Executed as a deed in accordance with
section 127 of the Corporations Act 2001 by
[insert name of continuing party]:
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

Director Signature

	 	 
	 	 

Director/Secretary Signature
	 	 
	 
	 	 	 	 	 	 
	 

Print Name

	 	 
	 	 

Print Name
	 	 

[insert further execution clauses if there are other parties to the relevant Agreement]

8

 

Schedule 16

PERFORMANCE BONDS AND VENDOR GROUP GUARANTEES

Part A — Performance Bonds

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	Approximate	 	 	 	 	 	 
	 	 	 	 	Date of	 	Government	 	Bank	 	Amount
	Tenement	 	Undertaking	 	Dealing	 	Reference	 	Reference	 	(A$)
	G70/218

	 	Unconditional
Performance Bond
	 	18/09/2006
	 	Bond 247939
	 	R057906W
	 	$	79,166	 
	G70/219

	 	Unconditional
Performance Bond
	 	18/12/2006
	 	Bond 253048
	 	R058006W
	 	$	38,000	 
	L70/95

	 	Unconditional
Performance Bond
	 	18/09/2006
	 	Bond 247936
	 	R058306W
	 	$	51,666	 
	L70/96

	 	Unconditional
Performance Bond
	 	30/10/2006
	 	Bond 251025
	 	R064606W
	 	$	10,000	 
	M264SA

	 	Unconditional
Performance Bond
	 	18/09/2006
	 	Bond 247934
	 	R058206W
	 	$	1,209,988	 
	M70/1031

	 	Unconditional
Performance Bond
	 	18/09/2006
	 	Bond 247949
	 	R057806W
	 	$	1,679,150	 
	M70/21

	 	Unconditional
Performance Bond
	 	6/03/2007
	 	Bond 262219
	 	R092607W
	 	$	4,042,126	 
	M70/22

	 	Unconditional
Performance Bond
	 	6/05/2007
	 	Bond 262223
	 	R092707W
	 	$	1,428,819	 
	M70/23

	 	Unconditional
Performance Bond
	 	6/03/2007
	 	Bond 262226
	 	R092807W
	 	$	339,997	 
	M70/24

	 	Unconditional
Performance Bond
	 	6/03/2007
	 	Bond 262232
	 	R092907W
	 	$	2,965,804	 
	M70/25

	 	Unconditional
Performance Bond
	 	6/03/2007
	 	Bond 262233
	 	R093007W
	 	$	234,998	 
	M70/799

	 	Unconditional
Performance Bond
	 	18/09/2006
	 	Bond 247951
	 	R057706W
	 	$	3,437,632	 
	 

	 	 	 	 	 	 	 	Total
	 	$	15,517,346	 

Part B — Vendor Group Guarantees

	1.	 	Guarantee by the Vendor in favour of Newmont Boddington dated 19 April 2006.
	 
	2.	 	Unconditional Undertaking dated on or about 20 December 2007 given by or on behalf of the
Vendor to Western Power in the sum of A$20,000,000 (bank reference R612207W).

 

 

EXECUTED as an agreement.

EXECUTED by ANGLOGOLD ASHANTI

AUSTRALIA LIMITED by its duly authorised

Attorney under power of attorney:

	 	 	 	 	 
	/s/ Nerilee Rockman

	 	/s/ Igor Bogdanich	 	 
	 

Signature of attorney

	 	 

Signature of witness
	 	 
	 
	 	 	 	 
	Nerilee Rockman

	 	Igor Bogdanich	 	 
	 

Name of attorney

	 	 

Name of witness
	 	 
	 
	 	 	 	 
	EXECUTED by ANGLOGOLD ASHANTI
LIMITED:
	 	 	 	 
	 
	 	 	 	 
	/s/ Paul JG Dennison

	 	/s/ Nerilee Rockman	 	 
	 

Signature of officer

	 	 

Signature of witness
	 	 
	 
	 	 	 	 
	Paul JG Dennison

	 	Nerilee Rockman	 	 
	 

Name of officer

	 	 

Name of witness
	 	 
	 
	 	 	 	 
	EXECUTED by SADDLEBACK
INVESTMENTS PTY LTD in accordance with
Section 127 of the Corporations Act:
	 	 	 	 
	 
	 	 	 	 
	/s/ Andrew Michael Strelein

	 	/s/ Christopher James Campbell	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	Andrew Michael Strelein

	 	Christopher James Campbell	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 

 

 

EXECUTED by NEWMONT BODDINGTON PTY LTD 

in accordance with Section 127
 of the Corporations Act:

	 	 	 	 	 
	/s/ Andrew Michael Strelein

	 	/s/ Christopher James Campbell	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	Andrew Michael Strelein

	 	Christopher James Campbell	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 
	 
	 	 	 	 
	EXECUTED by NEWMONT MINING CORPORATION:
	 	 	 	 
	 
	 	 	 	 
	/s/ E. Randy Engel

	 	/s/ David R. Faley	 	 
	 

Signature of officer

	 	 

Signature of witness
	 	 
	 
	 	 	 	 
	E. Randy Engel

	 	David R. Faley	 	 
	 

Name of officer

	 	 

Name of witness
	 	 
	 
	 	 	 	 
	EXECUTED by NEWMONT AUSTRALIA
LIMITED in accordance with Section
127 of the Corporations Act:
	 	 	 	 
	 
	 	 	 	 
	/s/ Andrew Michael Strelein

	 	Christopher James Campbell	 	 
	 

Signature of director

	 	 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	Andrew Michael Strelein

	 	Christopher James Campbell	 	 
	 

Name of director

	 	 

Name of director/secretary
	 	 

 

 

EXECUTED by BGM MANAGEMENT COMPANY PTY LTD 
in accordance with Section

127 of the Corporations Act:

	 	 	 	 	 
	/s/ Andrew Michael Strelein
 

Signature of director

	 	/s/ Philip J. Stephenson
 

Signature of director/secretary
	 	 
	 
	 	 	 	 
	Andrew Michael Strelein

	 	Philip J. Stephenson	 	 
	 

Name of director

	 	 

Name of director/secretaryexv4w1

Exhibit
4.1

EXECUTION COPY

 

Petrohawk Energy Corporation

10.5% Senior Notes due 2014

Indenture

Dated as of January 27, 2009

U.S. Bank Trust National Association,

as Trustee

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	ARTICLE I

	 
	 	 	 	 
	DEFINITIONS AND INCORPORATION BY REFERENCE

	Section 1.1 Definitions

	 	 	1	 
	Section 1.2 Other Definitions

	 	 	31	 
	Section 1.3 Incorporation by Reference of Trust Indenture Act

	 	 	32	 
	Section 1.4 Rules of Construction

	 	 	32	 
	 
	 	 	 	 
	ARTICLE II

	 
	 	 	 	 
	THE SECURITIES

	 
	 	 	 	 
	Section 2.1 Form and Dating

	 	 	33	 
	Section 2.2 Execution and Authentication

	 	 	34	 
	Section 2.3 Registrar and Paying Agent

	 	 	35	 
	Section 2.4 Paying Agent to Hold Money in Trust

	 	 	35	 
	Section 2.5 Holder Lists

	 	 	36	 
	Section 2.6 Transfer and Exchange

	 	 	36	 
	Section 2.7 Replacement Securities

	 	 	49	 
	Section 2.8 Outstanding Securities

	 	 	50	 
	Section 2.9 Temporary Securities

	 	 	50	 
	Section 2.10 Cancellation

	 	 	50	 
	Section 2.11 Defaulted Interest

	 	 	50	 
	Section 2.12 CUSIP Numbers

	 	 	51	 
	 
	 	 	 	 
	ARTICLE III

	 
	 	 	 	 
	REDEMPTION

	 
	 	 	 	 
	Section 3.1 Notices to Trustee

	 	 	51	 
	Section 3.2 Selection of Securities to Be Redeemed

	 	 	51	 
	Section 3.3 Notice of Redemption

	 	 	52	 
	Section 3.4 Effect of Notice of Redemption

	 	 	53	 
	Section 3.5 Deposit of Redemption Price

	 	 	53	 
	Section 3.6 Securities Redeemed in Part

	 	 	53	 
	Section 3.7 Optional Redemption

	 	 	53	 
	 
	 	 	 	 
	ARTICLE IV

	 
	 	 	 	 
	COVENANTS

	 
	 	 	 	 
	Section 4.1 Payment of Securities

	 	 	54	 
	Section 4.2 SEC Reports

	 	 	55	 
	Section 4.3 Incurrence of Indebtedness

	 	 	55	 

i 

 

	 	 	 	 	 
	Section 4.4 Restricted Payments

	 	 	59	 
	Section 4.5 Liens

	 	 	63	 
	Section 4.6 Dividend and Other Payment Restrictions Affecting Subsidiaries

	 	 	63	 
	Section 4.7 Asset Sales

	 	 	64	 
	Section 4.8 Transactions With Affiliates

	 	 	67	 
	Section 4.9 Additional Subsidiary Guarantees

	 	 	68	 
	Section 4.10 Business Activities

	 	 	68	 
	Section 4.11 Change of Control

	 	 	68	 
	Section 4.12 Maintenance of Office or Agency for Registration of Transfer, Exchange and
	 	 	 	 
	Payment of Securities

	 	 	70	 
	Section 4.13 Appointment to Fill a Vacancy in the Office of Trustee

	 	 	70	 
	Section 4.14 Provision as to Paying Agent

	 	 	70	 
	Section 4.15 Maintenance of Corporate Existence

	 	 	71	 
	Section 4.16 Compliance Certificate

	 	 	71	 
	Section 4.17 Taxes

	 	 	72	 
	Section 4.18 Stay, Extension and Usury Laws

	 	 	72	 
	Section 4.19 Calculation of Original Issue Discount

	 	 	72	 
	 
	 	 	 	 
	ARTICLE V
	 	 	 	 
	 
	 	 	 	 
	SUCCESSOR COMPANY
	 	 	 	 
	 
	 	 	 	 
	Section 5.1 Merger, Consolidation or Sale of Assets

	 	 	73	 
	Section 5.2 Successor Substituted

	 	 	74	 
	 
	 	 	 	 
	ARTICLE VI
	 	 	 	 
	 
	 	 	 	 
	DEFAULTS AND REMEDIES
	 	 	 	 
	 
	 	 	 	 
	Section 6.1 Events of Default

	 	 	74	 
	Section 6.2 Acceleration of Maturity; Rescission and Annulment

	 	 	76	 
	Section 6.3 Other Remedies

	 	 	76	 
	Section 6.4 Waiver of Past Defaults

	 	 	77	 
	Section 6.5 Control by Majority

	 	 	77	 
	Section 6.6 Limitation on Suits

	 	 	77	 
	Section 6.7 Rights of Holders to Receive Payment

	 	 	78	 
	Section 6.8 Collection Suit by Trustee

	 	 	78	 
	Section 6.9 Trustee May File Proofs of Claim

	 	 	78	 
	Section 6.10 Priorities

	 	 	78	 
	Section 6.11 Undertaking for Costs

	 	 	79	 
	 
	 	 	 	 
	ARTICLE VII
	 	 	 	 
	 
	 	 	 	 
	TRUSTEE
	 	 	 	 
	 
	 	 	 	 
	Section 7.1 Duties of Trustee

	 	 	79	 
	Section 7.2 Rights of Trustee

	 	 	80	 

ii 

 

	 	 	 	 	 
	Section 7.3 Individual Rights of Trustee

	 	 	81	 
	Section 7.4 Trustee’s Disclaimer

	 	 	81	 
	Section 7.5 Notice of Defaults

	 	 	81	 
	Section 7.6 Reports by Trustee to Holders

	 	 	81	 
	Section 7.7 Compensation and Indemnity

	 	 	82	 
	Section 7.8 Replacement of Trustee

	 	 	82	 
	Section 7.9 Successor Trustee by Merger

	 	 	83	 
	Section 7.10 Eligibility; Disqualification

	 	 	84	 
	Section 7.11 Preferential Collection of Claims Against Company

	 	 	84	 
	 
	 	 	 	 
	ARTICLE VIII
	 	 	 	 
	 
	 	 	 	 
	DISCHARGE OF INDENTURE; DEFEASANCE
	 	 	 	 
	 
	 	 	 	 
	Section 8.1 Discharge of Liability on Securities; Defeasance

	 	 	84	 
	Section 8.2 Conditions to Defeasance

	 	 	86	 
	Section 8.3 Delivery and Application of Trust Money

	 	 	87	 
	Section 8.4 Repayment to Company

	 	 	87	 
	Section 8.5 Indemnity for Government Securities

	 	 	87	 
	Section 8.6 Reinstatement

	 	 	87	 
	 
	 	 	 	 
	ARTICLE IX
	 	 	 	 
	 
	 	 	 	 
	AMENDMENTS
	 	 	 	 
	 
	 	 	 	 
	Section 9.1 Without Consent of Holders

	 	 	88	 
	Section 9.2 With Consent of Holders

	 	 	89	 
	Section 9.3 Compliance with Trust Indenture Act

	 	 	90	 
	Section 9.4 Revocation and Effect of Consents and Waivers

	 	 	90	 
	Section 9.5 Notation on or Exchange of Securities

	 	 	90	 
	Section 9.6 Trustee to Sign Amendments

	 	 	91	 
	 
	 	 	 	 
	ARTICLE X
	 	 	 	 
	 
	 	 	 	 
	SUBSIDIARY GUARANTEES
	 	 	 	 
	 
	 	 	 	 
	Section 10.1 Subsidiary Guarantees

	 	 	91	 
	Section 10.2 Limitation on Liability

	 	 	92	 
	Section 10.3 Execution and Delivery of Subsidiary Guarantee

	 	 	93	 
	Section 10.4 Successors and Assigns

	 	 	93	 
	Section 10.5 No Waiver

	 	 	93	 
	Section 10.6 Right of Contribution

	 	 	94	 
	Section 10.7 No Subrogation

	 	 	94	 
	Section 10.8 Modification

	 	 	94	 
	Section 10.9 Merger, Consolidation or Sale of Assets of a Guarantor; Release of a
Guarantor

	 	 	94	 

iii 

 

	 	 	 	 	 
	ARTICLE XI
	 	 	 	 
	 
	 	 	 	 
	MISCELLANEOUS
	 	 	 	 
	 
	 	 	 	 
	Section 11.1 Trust Indenture Act Controls

	 	 	95	 
	Section 11.2 Notices

	 	 	96	 
	Section 11.3 Communication by Holders with Other Holders

	 	 	97	 
	Section 11.4 Certificate and Opinion as to Conditions Precedent

	 	 	97	 
	Section 11.5 Statements Required in Certificate or Opinion

	 	 	97	 
	Section 11.6 When Securities Disregarded

	 	 	97	 
	Section 11.7 Legal Holidays

	 	 	98	 
	Section 11.8 Governing Law

	 	 	98	 
	Section 11.9 No Personal Liability of Directors, Officers, Employees and Shareholders

	 	 	98	 
	Section 11.10 Successors

	 	 	98	 
	Section 11.11 Multiple Originals; Counterparts

	 	 	98	 
	Section 11.12 Severability

	 	 	98	 
	Section 11.13 Table of Contents; Headings

	 	 	99	 
	Section 11.14 No Adverse Interpretation of Other Agreements

	 	 	99	 

EXHIBITS

Exhibit A — Form of Security

Exhibit B — Form of Certificate of Transfer

Exhibit C — Form of Certificate of Exchange

Exhibit D — Form of Notation of Subsidiary Guarantee

Exhibit E — Form of Supplemental Indenture to be Delivered by Future Guarantors

iv 

 

CROSS-REFERENCE TABLE

	 	 	 
	Trust Indenture Act Section	Indenture Section      
	310 (a)(1) 
	 	7.10
	(a)(2) 
	 	7.10
	(a)(3) 
	 	N.A.
	(a)(4) 
	 	N.A.
	(a)(5) 
	 	7.10
	(b)
	 	7.8; 7.10
	(c)
	 	N.A.
	311 (a)
	 	7.11
	(b)
	 	7.11
	(c)
	 	N.A.
	312 (a)
	 	2.5
	(b)
	 	11.3
	(c)
	 	11.3
	313 (a) 
	 	7.6
	(b)(1) 
	 	N.A.
	(b)(2) 
	 	7.6
	(c)
	 	7.6, 11.2
	(d)
	 	7.6
	314 (a)
	 	4.2; 4.16; 11.2
	(b)
	 	N.A.
	(c)(1) 
	 	11.4
	(c)(2) 
	 	11.4
	(c)(3) 
	 	N.A.
	(d)
	 	N.A.
	(e)
	 	11.5
	(f)
	 	N.A.
	315 (a)
	 	7.1
	(b)
	 	7.5; 11.2
	(c)
	 	7.1
	(d)
	 	7.1
	(e)
	 	6.11
	316 (a)(last sentence) 
	 	11.6
	(a)(1)(A) 
	 	6.5
	(a)(1)(B) 
	 	6.4
	(a)(2) 
	 	N.A.
	(b) 
	 	6.7 
	317 (a)(1) 
	 	6.8
	(a)(2) 
	 	6.9
	(b)
	 	4.14
	318 (a)
	 	11.1

N.A. means Not Applicable.

 

			
	Note:	 	This Cross-Reference Table shall not, for any purpose, be deemed to be part of this
Indenture.

v 

 

     THIS INDENTURE, dated as of January 27, 2009, is among PETROHAWK ENERGY CORPORATION, a
Delaware corporation (the “Company”), each of the GUARANTORS (as defined herein) and U.S. BANK
TRUST NATIONAL ASSOCIATION, as trustee (the “Trustee”).

     Each party agrees as follows for the benefit of the other parties and for the equal and
ratable benefit of the Holders of the Company’s 10.5% Senior Notes due 2014 issued on the date
hereof (the “Initial Securities”), the Holders of any Additional Securities (as defined herein)
issued hereafter and, if and when issued in exchange for the Initial Securities or any Additional
Securities as provided in a Registration Rights Agreement (as hereinafter defined), the Company’s
Exchange Securities (as hereinafter defined):

ARTICLE I

DEFINITIONS AND INCORPORATION BY REFERENCE

Section 1.1 Definitions

     “144A Global Security“ means a Global Security substantially in the form of Exhibit A
hereto bearing the Global Security Legend and the Private Placement Legend, that has the “Schedule
of Exchanges of Interests in the Global Security” attached thereto, and that is deposited with or
on behalf of, and registered in the name of, the Depositary or its nominee, issued in a
denomination equal to the outstanding principal amount of the Securities initially sold in reliance
on Rule 144A.

     “ACNTA“ means (without duplication), as of the date of determination:

	 	(1)	 	the sum of:

	 	(a)	 	discounted future net revenue from proved crude oil and natural
gas reserves of the Company and its Restricted Subsidiaries calculated in
accordance with SEC guidelines before any state or federal income taxes, as
estimated in a reserve report prepared as of the end of the Company’s most
recently completed fiscal year, which reserve report is prepared or reviewed by
independent petroleum engineers, as increased by, as of the date of
determination, the discounted future net revenue of:

	 	(i)	 	estimated proved crude oil and natural gas
reserves of the Company and its Restricted Subsidiaries attributable to
acquisitions consummated since the date of such year-end reserve
report, and
	 
	 	(ii)	 	estimated crude oil and natural gas reserves of
the Company and its Restricted Subsidiaries attributable to extensions,
discoveries and other additions and upward determinations of estimates
of proved crude oil and natural gas reserves (including previously
estimated development costs incurred during the period and the
accretion of discount since the prior year end) due to exploration,
development or exploitation, production or other activities which
reserves were not reflected in such year-end reserve report,

 

 

in the case of the determination made under each of clauses (i) and (ii)
above, calculated in accordance with SEC guidelines (utilizing the prices
utilized in such year-end reserve report), and decreased by, as of the date
of determination, the discounted future net revenue attributable to

	 	(iii)	 	estimated proved crude oil and natural gas
reserves of the Company and its Restricted Subsidiaries reflected in
such year-end reserve report produced or disposed of since the date of
such year-end reserve report, and
	 
	 	(iv)	 	reductions in the estimated crude oil and
natural gas reserves of the Company and its Restricted Subsidiaries
reflected in such year-end reserve report since the date of such
year-end reserve report attributable to downward determinations of
estimates of proved crude oil and natural gas reserves due to
exploration, development or exploitation, production or other
activities conducted or otherwise occurring since the date of such
year-end reserve report, in each case calculated in accordance with SEC
guidelines (utilizing the prices utilized in such year-end reserve
report);

provided, however, that, in the case of each of the determinations made
pursuant to clauses (i) through (iv), such increases and decreases shall be
as estimated by the Company’s engineers, except that if as a result of such
acquisitions, dispositions, discoveries, extensions or revisions, there is a
Material Change, then such increases and decreases in the discounted future
net revenue shall be confirmed in writing by an independent petroleum
engineer;

	 	(b)	 	the capitalized costs that are attributable to crude oil and
natural gas properties of the Company and its Restricted Subsidiaries to which
no proved crude oil and natural gas reserves are attributed, based on the
Company’s books and records as of a date no earlier than the date of the
Company’s latest annual or quarterly financial statements;
	 
	 	(c)	 	the Net Working Capital on a date no earlier than the date of
the Company’s latest annual or quarterly financial statements; and
	 
	 	(d)	 	the greater of (I) the net book value on a date no earlier than
the date of the Company’s latest annual or quarterly financial statements and
(II) the appraised value, as estimated by independent appraisers within the
immediately preceding 12 months, of other tangible assets of the Company and
its Restricted Subsidiaries (provided that the Company shall not be required to
obtain such an appraisal of such assets if no such appraisal has been
performed); minus

2

 

	 	(2)	 	to the extent not otherwise taken into account in the immediately preceding
clause (1), the sum of:

	 	(a)	 	minority interests;
	 
	 	(b)	 	any net gas or other balancing liabilities of the Company and
its Restricted Subsidiaries reflected in the Company’s latest audited financial
statements;
	 
	 	(c)	 	the discounted future net revenue, calculated in accordance
with SEC guidelines (utilizing the same prices utilized in the Company’s
year-end reserve report), attributable to reserves subject to participation
interests, royalty interests, overriding royalty interests, net profits
interests or other interests of third parties, pursuant to participation,
partnership, vendor financing or other agreements then in effect, or which
otherwise are required to be delivered to third parties;
	 
	 	(d)	 	the discounted future net revenue, calculated in accordance
with SEC guidelines (utilizing the same prices utilized in the Company’s
year-end reserve report), attributable to reserves that are required to be
delivered to third parties to fully satisfy the obligations of the Company and
its Restricted Subsidiaries with respect to Volumetric Production Payments on
the schedules specified with respect thereto; and
	 
	 	(e)	 	the discounted future net revenue, calculated in accordance
with SEC guidelines, attributable to reserves subject to Dollar-Denominated
Production Payments that, based on the estimates of production included in
determining the discounted future net revenue specified in the immediately
preceding clause (1)(a) (utilizing the same prices utilized in the Company’s
year-end reserve report), would be necessary to satisfy fully the obligations
of the Company and its Restricted Subsidiaries with respect to
Dollar-Denominated Production Payments on the schedules specified with respect
thereto.

If the Company changes its method of accounting from the full cost method to the successful efforts
method or a similar method of accounting, ACNTA will continue to be calculated as if the Company
were still using the full cost method of accounting.

     “Acquired Debt“ means, with respect to any specified Person:

	 	(1)	 	Indebtedness of any other Person existing at the time such other Person is
merged with or into or became a Restricted Subsidiary of such specified Person, whether
or not such Indebtedness is incurred in connection with, or in contemplation of, such
other Person merging with or into, or becoming a Restricted Subsidiary of, such
specified Person; and

3

 

	 	(2)	 	Indebtedness secured by a Lien encumbering any asset acquired by such specified
Person.

     “Additional Interest” means, with respect to any Securities, the additional interest thereon,
if any, required by the Registration Rights Agreement applicable to such Securities.

     “Additional Securities” means any Securities (other than the Initial Securities or the
Exchange Securities) issued under this Indenture in accordance with Sections 2.2 and
4.3 hereof, as part of the same series as the Initial Securities to the extent outstanding
and any Exchange Securities then outstanding.

     “Affiliate” of any specified Person means any other Person directly or indirectly controlling
or controlled by or under direct or indirect common control with such specified Person. For
purposes of this definition, “control,” as used with respect to any Person, shall mean the
possession, directly or indirectly, of the power to direct or cause the direction of the management
or policies of such Person, whether through the ownership of voting securities, by agreement or
otherwise; provided that beneficial ownership of 10% or more of the Voting Stock of a Person shall
be deemed to be control. For purposes of this definition, the terms “controlling,” “controlled by”
and “under common control with” shall have correlative meanings.

     “Agent” means any Registrar or Paying Agent.

     “Applicable Procedures” means, with respect to any transfer or exchange of or for beneficial
interests in any Global Security, the rules and procedures of the Depositary, Euroclear or
Clearstream that apply to such transfer or exchange.

     “Asset Sale” means:

	 	(1)	 	the sale, lease, conveyance or other disposition (including, without
limitation, by means of a sale and leaseback transaction) of any assets, including,
without limitation, any sale of hydrocarbons or other mineral products as a result of
the creation of Production Payments and Reserve Sales (other than Production Payments
and Reserve Sales created or sold in connection with the financing of, and within 90
days after, the acquisition of the properties subject thereto); provided that the sale,
lease conveyance or other disposition of all or substantially all of the assets of the
Company and its Restricted Subsidiaries taken as a whole will be governed by
Section 4.11 hereof and/or Section 5.1 hereof and not by the provisions
of Section 4.7 hereof; and
	 
	 	(2)	 	the issuance of Equity Interests by any of the Company’s Restricted
Subsidiaries or the sale of Equity Interests in any of its Subsidiaries (other than
directors’ qualifying shares or shares required by applicable law to be held by a
Person other than the Company or a Restricted Subsidiary).

4

 

     Notwithstanding the preceding, the following items shall not be deemed to be Asset Sales:

	 	(1)	 	any single transaction or series of related transactions that: (a) involves
assets having a Fair Market Value of less than $2.0 million; or (b) results in Net
Proceeds to the Company and its Restricted Subsidiaries of less than $2.0 million;
	 
	 	(2)	 	a transfer of assets between or among the Company and its Restricted
Subsidiaries;
	 
	 	(3)	 	an issuance of Equity Interests by a Restricted Subsidiary to the Company or to
another Restricted Subsidiary;
	 
	 	(4)	 	a disposition of cash or Cash Equivalents;
	 
	 	(5)	 	a Permitted Investment or a Restricted Payment that is permitted by Section
4.4 hereof;
	 
	 	(6)	 	a disposition of oil, natural gas or other hydrocarbons or other mineral
products in the ordinary course of business of the oil and gas production operations of
the Company and its Subsidiaries;
	 
	 	(7)	 	any abandonment, relinquishment, farm-in, farm-out, lease and sub-lease of
developed and/or undeveloped properties made or entered into in the ordinary course of
business, but excluding any disposition as a result of the creation of a Production
Payment and Reserve Sale;
	 
	 	(8)	 	the provision of services, equipment and other assets for the operation and
development of the Company’s and its Restricted Subsidiaries’ oil and natural gas
wells, in the ordinary course of the Company’s and its Restricted Subsidiaries’ Oil and
Gas Business, notwithstanding that such transactions may be recorded as asset sales in
accordance with full cost accounting guidelines;
	 
	 	(9)	 	the creation or perfection of a Lien (but not the sale or other disposition of
any asset subject to such Lien);
	 
	 	(10)	 	the trade or exchange (“Permitted Asset Exchange”) by the Company or any
Restricted Subsidiary of any crude oil or natural gas property or interest therein
owned or held by the Company or such Restricted Subsidiary for (a) any crude oil or
natural gas property or interest therein owned or held by another Person or (b) the
Capital Stock of another Person that becomes a Restricted Subsidiary as a result of
such trade or exchange or the Capital Stock of another Person that is a joint venture,
partnership or other similar entity, in each case all or substantially all of whose
assets consist of crude oil or natural gas properties, including in the case of either
of clauses (a) or (b), any cash or cash equivalents necessary in order to achieve an
exchange of equivalent value; provided, however, that the value of the property or
Capital Stock received by the Company or any Restricted Subsidiary in such trade or
exchange (including any cash or cash equivalents) is at least equal to the Fair Market Value of the property (including any cash or cash
equivalents) so traded or exchanged;

5

 

	 	(11)	 	the surrender or waiver of contract rights or the settlement, release or
surrender of contract, tort or other claims of any kind;
	 
	 	(12)	 	any assignment of an overriding royalty or net profits interest to an employee
or consultant of the Company or any of its Restricted Subsidiaries in the ordinary
course of business in connection with the generation of prospects or the development of
oil and natural gas projects; and
	 
	 	(13)	 	the sale or other disposition (whether or not in the ordinary course of
business) of oil and gas properties, provided at the time of such sale or other
disposition such properties do not have associated with them any proved reserves.

     “Attributable Debt” in respect of a sale and leaseback transaction means, at the time of
determination, the present value of the obligation of the lessee for net rental payments during the
remaining term of the lease included in such sale and leaseback transaction including any period
for which such lease has been extended or may, at the option of the lessor, be extended. Such
present value shall be calculated using a discount rate equal to the rate of interest implicit in
such transaction, determined in accordance with GAAP. As used in the preceding sentence, the “net
rental payments” under any lease for any such period shall mean the sum of rental and other
payments required to be paid with respect to such period by the lessee thereunder, excluding any
amounts required to be paid by such lessee on account of maintenance and repairs, insurance, taxes,
assessments, water rates or similar charges. In the case of any lease that is terminable by the
lessee upon payment of penalty, such net rental payment shall also include the amount of such
penalty, but no rent shall be considered as required to be paid under such lease subsequent to the
first date upon which it may be so terminated.

     “Bankruptcy Law” means Title 11, United States Code, or any similar U.S. federal or state law
for the relief of debtors.

     “Beneficial Owner” has the meaning assigned to such term in Rule l3d-3 and Rule l3d-5 under
the Exchange Act.

     “Board of Directors” means, with respect to any Person, the board of directors of such Person
or any duly authorized committee thereof.

     “Board Resolution” means a copy of a resolution certified by the Secretary or an Assistant
Secretary of the applicable Person to have been duly adopted by its Board of Directors and to be in
full force and effect on the date of such certification, and delivered to the Trustee.

     “Business Day” means any day other than a Saturday, Sunday or other day on which commercial
banks in New York, New York are authorized or required by law to close.

     “Capital Lease Obligation” means, at the time any determination thereof is to be made, the
amount of the liability of a Person in respect of a capital lease that would at that time be
required to be capitalized on a balance sheet of such Person in accordance with GAAP.

6

 

     “Capital Stock” means:

	 	(1)	 	in the case of a corporation, corporate stock;
	 
	 	(2)	 	in the case of an association or business entity, any and all shares,
interests, participations, rights or other equivalents (however designated) of
corporate stock;
	 
	 	(3)	 	in the case of a partnership or limited liability company, partnership or
membership interests (whether general or limited); and
	 
	 	(4)	 	any other interest or participation (other than any debt security convertible
into an equity interest) that confers on a Person the right to receive a share of the
profits and losses of, or distributions of assets of, the issuing Person.

     “Cash Equivalents” means:

	 	(1)	 	United States dollars;
	 
	 	(2)	 	securities issued or directly and fully guaranteed or insured by the United
States government or any agency or instrumentality thereof (provided that the full
faith and credit of the United States is pledged in support thereof) having maturities
of not more than one year from the date of acquisition;
	 
	 	(3)	 	demand accounts, time deposit accounts, certificates of deposit and Eurodollar
time deposits with maturities of six months or less from the date of acquisition,
bankers’ acceptances with maturities not exceeding six months and overnight bank
deposits, in each case, with any domestic commercial bank having capital and surplus in
excess of $250.0 million and a Thomson BankWatch rating of “B” or better (or an
equivalent rating by any successor to the business of Thomson BankWatch, including
Fitch Ratings);
	 
	 	(4)	 	repurchase obligations with a term of not more than seven days for underlying
securities of the types described in clauses (2) and (3) above entered into with any
financial institution meeting the qualifications specified in clause (3) above;
	 
	 	(5)	 	commercial paper having the highest rating obtainable from Moody’s Investors
Service, Inc. (or its successor) or Standard & Poor’s Ratings Services (or its
successor) and in each case maturing within 270 days after the date of acquisition;
	 
	 	(6)	 	deposits and certificates of deposit with any commercial bank not meeting the
qualifications specified in clause (3) above, provided all such deposits do not exceed
$1.0 million in the aggregate at any one time; and
	 
	 	(7)	 	money market or other mutual funds substantially all of the assets of which
constitute Cash Equivalents of the kinds described in clauses (1) through (6) of this
definition.

7

 

     “Change of Control” means the occurrence of any of the following:

	 	(1)	 	the sale, lease, transfer, conveyance or other disposition (other than by way
of merger or consolidation), in one or a series of related transactions, of all or
substantially all of the assets of the Company and its Subsidiaries taken as a whole;
	 
	 	(2)	 	the adoption by the Board of Directors of a plan of liquidation or dissolution
of the Company;
	 
	 	(3)	 	the consummation of any transaction (including, without limitation, any merger
or consolidation) the result of which is that any “person” (as such term is used in
Section 13(d)(3) of the Exchange Act), becomes the Beneficial Owner, directly or
indirectly, of more than 50% of the Voting Stock of the Company, measured by voting
power rather than number of shares;
	 
	 	(4)	 	the first day on which a majority of the members of the Board of Directors of
the Company are not Continuing Directors; or
	 
	 	(5)	 	the Company consolidates with, or merges with or into, any Person, or any
Person consolidates with, or merges with or into, the Company, in any such event
pursuant to a transaction in which any of the outstanding Voting Stock of the Company
is converted into or exchanged for cash, securities or other property, other than any
such transaction where the Voting Stock of the Company outstanding immediately prior to
such transaction is converted into or exchanged for Voting Stock (other than
Disqualified Stock) of the surviving or transferee Person constituting a majority of
the outstanding shares of such Voting Stock of such surviving or transferee Person
immediately after giving effect to such issuance.

     “Clearstream” means Clearstream Banking, société anonyme, or any successor securities
clearance agency.

     “Code” means the U.S. Internal Revenue Code of 1986 and any successor statute thereto, in each
case as amended from time to time.

     “Commodity Agreement” means any oil or natural gas hedging agreement and other agreement or
arrangement entered into in the ordinary course of business and designed to protect the Company or
any Restricted Subsidiary against fluctuations in oil or natural gas prices.

     “Company” means the Person named as the “Company” in the first paragraph of this instrument
until a successor Person shall have become such pursuant to the applicable provisions of this
Indenture, and thereafter “Company” shall mean such successor Person.

     “Consolidated Net Income” means, with respect to any specified Person for any period, the
aggregate of the net income of such Person and its Restricted Subsidiaries for such period, on a
consolidated basis, determined in accordance with GAAP; provided that there shall be excluded
therefrom:

8

 

	 	(1)	 	the net income (or loss) of any Person that is not a Restricted Subsidiary or
that is accounted for by the equity method of accounting, except to the extent of the
amount of dividends or distributions paid in cash to the specified Person or a
Restricted Subsidiary thereof;
	 
	 	(2)	 	the net income of any Restricted Subsidiary to the extent that the declaration
or payment of dividends or similar distributions by that Restricted Subsidiary of that
net income is not at the date of determination permitted without any prior governmental
approval (that has not been obtained) or, directly or indirectly, by operation of the
terms of its charter or any agreement, instrument, judgment, decree, order, statute,
rule or governmental regulation applicable to that Restricted Subsidiary or its
stockholders;
	 
	 	(3)	 	the cumulative effect of a change in accounting principles;
	 
	 	(4)	 	any write-downs of non-current assets; provided, however, that any “ceiling
limitation” write-downs under SEC guidelines shall be treated as capitalized costs, as
if such write-downs had not occurred;
	 
	 	(5)	 	any unrealized non-cash gains or losses or charges in respect of hedge or
non-hedge derivatives (including those resulting from the application of FAS 133);
	 
	 	(6)	 	any gain (or loss), together with any related provision for taxes on such gain
(or loss), realized in connection with: (a) any Asset Sale; or (b) the disposition of
any securities by such Person or any of its Restricted Subsidiaries or the
extinguishment of any Indebtedness of such Person or any of its Restricted
Subsidiaries;
	 
	 	(7)	 	any extraordinary or non-recurring gain (or loss), together with any related
provision for taxes on such extraordinary or non-recurring gain (or loss); and
	 
	 	(8)	 	any non-cash compensation charge arising from any grant of stock, stock options
or other equity-based awards.

     “Continuing Directors” means, as of any date of determination, any member of the Board of
Directors of the Company who:

	 	(1)	 	was a member of such Board of Directors on the Issue Date; or
	 
	 	(2)	 	was nominated for election, appointed or elected to such Board of Directors
with the approval of a majority of the Continuing Directors who were members of such
Board at the time of such nomination, appointment or election.

     “Corporate Trust Office of the Trustee” means the office of the Trustee at which at any time
its corporate trust business shall be administered in the City of New York, State of New York,
which office at the date hereof is located at 100 Wall Street, Suite 1600, New York, New York
10005, Attention: Corporate Trust Administration, or such other address as the Trustee may designate from time to time by notice to the Holders and the Company given in accordance
with Section 11.2 hereof.

9

 

     “Credit Facilities” means, with respect to the Company or any Guarantor, one or more debt
facilities or commercial paper facilities (including, without limitation, the Existing Credit
Facilities), in each case with banks or other lenders in the business of providing loans of the
types described hereinafter, providing for revolving credit loans, term loans, receivables
financing (including through the sale of receivables to such lenders or to special purpose entities
formed to borrow from such lenders against such receivables) or letters of credit or letter of
credit guarantees, in each case, as amended, restated, modified, supplemented, extended, renewed,
refunded, replaced or refinanced in whole or in part from time to time.

     “Currency Agreements” means, at any time as to the Company and its Restricted Subsidiaries,
any foreign currency exchange agreement, option or future contract or other similar agreement or
arrangement entered into in the ordinary course of business and designed to protect against or
manage the Company or any of its Restricted Subsidiaries’ exposure to fluctuations in foreign
currency exchange rates.

     “Custodian” means any receiver, trustee, assignee, liquidator, sequestrator or similar
official under any Bankruptcy Law.

     “Default” means any event that is, or with the passage of time or the giving of notice or both
would be, an Event of Default.

     “Definitive Security” means a certificated Security registered in the name of the Holder
thereof and issued in accordance with Section 2.6 hereof, substantially in the form of
Exhibit A hereto except that such Security shall not bear the Global Security Legend and
shall not have the “Schedule of Exchanges of Interests in the Global Security” attached thereto.

     “Depositary” means The Depository Trust Company, until a successor shall have been appointed
and become such Depositary pursuant to this Indenture and thereafter shall mean its successor.

     “Disqualified Stock” means any Capital Stock that, by its terms (or by the terms of any
security into which it is convertible, or for which it is exchangeable, in each case at the option
of the holder thereof), or upon the happening of any event, matures or is mandatorily redeemable,
for any consideration other than Capital Stock pursuant to a sinking fund obligation or otherwise,
or is redeemable for any consideration other than Capital Stock at the option of the holder
thereof, in whole or in part, on or prior to the date that is 91 days after the date on which the
Securities mature. Notwithstanding the preceding sentence, any Capital Stock that would constitute
Disqualified Stock solely because the holders thereof have the right to require the Company to
repurchase such Capital Stock upon the occurrence of a change of control or an asset sale shall not
constitute Disqualified Stock if the terms of such Capital Stock provide that the Company may not
repurchase or redeem any such Capital Stock pursuant to such provisions unless such repurchase or
redemption complies with Section 4.4 hereof.

10

 

     “Dollar-Denominated Production Payments” mean production payment obligations recorded as
liabilities in accordance with GAAP, together with all undertakings and obligations in connection
therewith.

     “EBITDA” means, with respect to any Person for any period, without duplication, the
Consolidated Net Income of such Person for such period plus:

	 	(1)	 	provision for taxes based on income or profits of such Person and its
Restricted Subsidiaries for such period, to the extent that such provision for taxes
was deducted in computing such Consolidated Net Income; plus
	 
	 	(2)	 	consolidated interest expense of such Person and its Restricted Subsidiaries
for such period, whether paid or accrued and whether or not capitalized (including,
without limitation, amortization of debt issuance costs and original issue discount,
non-cash interest payments, the interest component of any deferred payment obligations,
the interest component of all payments associated with Capital Lease Obligations,
imputed interest with aspect to Attributable Debt, commissions, discounts and other
fees and charges incurred in respect of letter of credit or bankers’ acceptance
financings, and net payments, if any, pursuant to Interest Rate Agreements), to the
extent that any such expense was deducted in computing such Consolidated Net Income;
plus
	 
	 	(3)	 	depreciation, depletion, amortization (including amortization of goodwill and
other intangibles but excluding amortization of prepaid cash expenses that were paid in
a prior period) and other non-cash expenses (excluding any such non-cash expense to the
extent that it represents an accrual of or reserve for cash expenses in any future
period or amortization of a prepaid cash expense that was paid in a prior period other
than non-cash charges resulting from the application of FAS 143) of such Person and its
Restricted Subsidiaries for such period to the extent that such depreciation,
depletion, amortization and other non-cash expenses were deducted in computing such
Consolidated Net Income; minus
	 
	 	(4)	 	non-cash items increasing such Consolidated Net Income for such period, other
than items that were accrued in the ordinary course of business, in each case, on a
consolidated basis and determined in accordance with GAAP; minus
	 
	 	(5)	 	(to the extent included in determining Consolidated Net Income) the sum of

	 	(a)	 	the amount of deferred revenues that are amortized during the
period and are attributable to reserves that are subject to Volumetric
Production Payments; and
	 
	 	(b)	 	amounts recorded in accordance with GAAP as repayments of
principal and interest pursuant to Dollar-Denominated Production Payments.

     Notwithstanding the preceding, the provision for taxes based on the income or profits of, and
the depreciation, depletion and amortization and other non-cash charges of, a Restricted Subsidiary
of the Company shall be added to Consolidated Net Income to compute EBITDA of

11

 

the Company only to the extent that a corresponding amount would be permitted at the date of
determination to be dividended to the Company by such Restricted Subsidiary without prior approval
(that has not been obtained), pursuant to the terms of its charter and all agreements, instruments,
judgments, decrees, orders, statutes, rules and governmental regulations applicable to that
Subsidiary or its stockholders.

     “Equity Interests” mean Capital Stock and all warrants, options or other rights to acquire
Capital Stock (but excluding any debt security that is convertible into, or exchangeable for,
Capital Stock).

     “Equity Offering” means:

	 	(1)	 	any underwritten public offering of common stock of the Company registered
under the Securities Act (other than on Form S-8 or any successor thereto) and other
than any issuance of securities under any benefit plan of the Company; and
	 
	 	(2)	 	any unregistered offering of common stock of the Company, so long as, at the
time of the consummation thereof, the Company has a class of common equity securities
registered pursuant to Section 12(b) or 12(g) under the Exchange Act.

     “Euroclear” means Euroclear Bank S.A./N.V., or any successor securities clearance agency.

     “Exchange Act” means the Securities Exchange Act of 1934 and any successor statute thereto, in
each case as amended from time to time.

     “Exchange Offer Registration Statement” means the registration statement of the Company
relating to any offer to exchange Exchange Securities for either Initial Securities or Additional
Securities pursuant to a Registration Rights Agreement.

     “Exchange Securities” means Securities issued in an exchange offer for Initial Securities or
Additional Securities in accordance with a Registration Rights Agreement.

     “Exchanging Dealer” means a broker-dealer that exchanges Securities in a Registered Exchange
Offer that it has acquired for its own account as a result of market making activities or other
trading activities.

     “Existing Credit Facility” means the senior secured revolving credit facility of the Company
under the Third Amended and Restated Senior Revolving Credit Agreement, dated as of September 10,
2008, by and among the Company and the commercial lending institutions that are agents and lenders
thereunder, as amended through the Issue Date.

     “Existing Indebtedness” means Indebtedness outstanding on the Issue Date.

     “Fair Market Value” means, with respect to any Asset Sale (or Permitted Asset Exchange) or
Restricted Payment (or Investment or Permitted Investment), the price that would be negotiated in
an arm’s-length transaction between a willing seller and a willing and able buyer, neither of which is
under any compulsion to complete the transaction, as such price is
determined in good faith by:

12

 

	 	(1)	 	if the value of such Asset Sale (or Permitted Asset Exchange having a value of
more than $2.0 million) or Restricted Payment (or Investment or Permitted Investment)
is less than $10.0 million, an officer of the Company, as evidenced by an Officers’
Certificate delivered to the Trustee; and
	 
	 	(2)	 	if the value of such Asset Sale (or Permitted Asset Exchange) or Restricted
Payment (or Investment or Permitted Investment) is $10.0 million or greater, the Board
of Directors of the Company, as evidenced by a board resolution delivered to the
Trustee in the form of an Officers’ Certificate.

     “Fixed Charge Coverage Ratio” means, with respect to any specified Person for any period, the
ratio of the EBITDA of such Person and its Restricted Subsidiaries for such period to the Fixed
Charges of such Person for such period. In the event that the specified Person or any of its
Restricted Subsidiaries incurs, assumes, Guarantees, redeems or repays any Indebtedness (other than
revolving credit borrowings unless the commitments to lend associated with such revolving credit
borrowings are permanently reduced or canceled) or issues or redeems preferred stock subsequent to
the commencement of the period for which the Fixed Charge Coverage Ratio is being calculated but
prior to the date on which the event for which the calculation of the Fixed Charge Coverage Ratio
is made (the “Calculation Date”), then the Fixed Charge Coverage Ratio shall be calculated giving
pro forma effect to such incurrence, assumption, Guarantee, redemption or repayment of
Indebtedness, or such issuance or redemption of preferred stock, as if the same had occurred at the
beginning of the applicable four-quarter reference period.

     In addition, for purposes of calculating the Fixed Charge Coverage Ratio:

	 	(1)	 	acquisitions that have been made by the specified Person or any of its
Restricted Subsidiaries, including through mergers or consolidations and including any
related financing transactions, during the four-quarter reference period or subsequent
to such reference period and on or prior to the Calculation Date shall be deemed to
have occurred on the first day of the four-quarter reference period;
	 
	 	(2)	 	the EBITDA attributable to discontinued operations, as determined in accordance
with GAAP, and operations or businesses disposed of prior to the Calculation Date,
shall be excluded; and
	 
	 	(3)	 	the Fixed Charges attributable to discontinued operations, as determined in
accordance with GAAP, and operations or businesses disposed of prior to the Calculation
Date, shall be excluded, but only to the extent that the obligations giving rise to
such Fixed Charges will not be obligations of the specified Person or any of its
Restricted Subsidiaries following the Calculation Date.

13

 

     “Fixed Charges” means, with respect to any Person for any period, the sum, without
duplication, of:

	 	(1)	 	the consolidated interest expense of such Person and its Restricted
Subsidiaries for such period, whether paid or accrued and whether or not capitalized,
including, without limitation, original issue discount, non-cash interest payments
(other than amortization of debt issuance costs), the interest component of any
deferred payment obligations, the interest component of all payments associated with
Capital Lease Obligations, imputed interest with respect to Attributable Debt,
commissions, discounts, and other fees and charges incurred in respect of letters of
credit or bankers’ acceptance financings, and net payments, if any, pursuant to
Interest Rate Agreements; plus
	 
	 	(2)	 	the consolidated interest of such Person and its Restricted Subsidiaries that
was capitalized during such period; plus
	 
	 	(3)	 	any interest expense on Indebtedness of another Person that is Guaranteed by
such Person or one of its Restricted Subsidiaries or secured by a Lien on assets of
such Person or one of its Restricted Subsidiaries, whether or not such Guarantee or
Lien is called upon; plus
	 
	 	(4)	 	all dividend payments, whether or not in cash, on any series of preferred stock
of such Person or any of its Restricted Subsidiaries, other than dividend payments on
Equity Interests payable solely in Equity Interests of the Company (other than
Disqualified Stock) or to the Company or a Restricted Subsidiary of the Company.

     “Foreign Subsidiary” means any Restricted Subsidiary incorporated or organized under the laws
of a foreign jurisdiction and having substantially all its operations outside the United States of
America.

     “GAAP” means generally accepted accounting principles set forth in the opinions and
pronouncements of the Accounting Principles Board of the American Institute of Certified Public
Accountants and statements, and pronouncements of the Financial Accounting Standards Board or in
such other statements by such other entity as have been approved by a significant segment of the
accounting profession, which are in effect from time to time.

     “Global Securities” means, individually and collectively, each of the Restricted Global
Securities and the Unrestricted Global Securities.

     “Global Security Legend” means the legend set forth in Section 2.6(g)(2), which is
required to be placed on all Global Securities issued under this Indenture.

     “Government Securities” means direct obligations, or certificates representing an ownership
interest in such obligations, of the United States of America (including any agency or
instrumentality thereof) for the payment of which the full faith and credit of the United States of
America is pledged and that are not callable at the issuer’s option.

14

 

     “Guarantee” means, without duplication, any obligation, contingent or otherwise, of any Person
directly or indirectly guaranteeing any Indebtedness of any other Person and any other obligation,
direct or indirect, contingent or otherwise, of such Person:

	 	(1)	 	to purchase or pay (or advance or supply funds for the purchase or payment of)
such Indebtedness of such other Person (whether arising by virtue of partnership
arrangements, or by agreements to keep-well, to purchase assets, goods, securities or
services, to take-or-pay or to maintain financial statement conditions or otherwise),
or
	 
	 	(2)	 	entered into for the purpose of assuring in any other manner the obligee of
such Indebtedness of the payment therefor to protect such obligee against loss in
respect thereof (in whole or in part);

provided, however, that the term “Guarantee” shall not include endorsements for collection or
deposit in the ordinary course of business. The term “Guarantee” used as a verb has a
corresponding meaning.

     “Guarantors” means each Subsidiary that executes this Indenture as a Guarantor, any Restricted
Subsidiary of the Company that becomes a Guarantor thereafter in accordance with the provisions of
this Indenture, and their respective successors and assigns.

     “Hedging Obligations” means, with respect to any Person, the obligations of such Person under
Currency Agreements, Interest Rate Agreements and Commodity Agreements.

     “Holder” means a person in whose name a Security is registered on the Registrar’s books.

     “Indebtedness” means, with respect to any specified Person, without duplication,

	 	(1)	 	all obligations of such Person, whether or not contingent, in respect of:

	 	(a)	 	the principal of and premium, if any, in respect of outstanding
(i) Indebtedness of such Person for money borrowed and (ii) Indebtedness
evidenced by notes, debentures, bonds or other similar instruments for the
payment of which such Person is responsible or liable;
	 
	 	(b)	 	all Capital Lease Obligations of such Person and all
Attributable Debt in respect of sale and leaseback transactions entered into by
such Person;
	 
	 	(c)	 	the deferred purchase price of property, which purchase price
is due more than six months after the date of taking delivery of title to such
property, including all obligations of such Person for the deferred purchase
price of property under any title retention agreement, but excluding accrued
expenses and trade accounts payable arising in the ordinary course of business;
and

15

 

	 	(d)	 	the reimbursement obligation of any obligor for the principal
amount of any letter of credit, banker’s acceptance or similar transaction
(excluding obligations with respect to letters of credit securing obligations
(other than obligations described in clauses (a) through (c) above) entered
into in the ordinary course of business of such Person to the extent such
letters of credit are not drawn upon or, if and to the extent drawn upon, such
drawing is reimbursed no later than the tenth Business Day following receipt by
such Person of a demand for reimbursement following payment on the letter of
credit);

	 	(2)	 	all net obligations in respect of Currency Agreements, Interest Rate Agreements
and Commodity Agreements, except to the extent such net obligations are otherwise
included in this definition;
	 
	 	(3)	 	all liabilities of others of the kind described in the preceding clause (1) or
(2) that such Person has Guaranteed or that are otherwise its legal liability;
	 
	 	(4)	 	with respect to any Production Payment and Reserve Sale, any warranties or
guaranties of production or payment by such Person with respect to such Production
Payment and Reserve Sale but excluding other contractual obligations of such Person
with respect to such Production Payment and Reserve Sale;
	 
	 	(5)	 	Indebtedness (as otherwise defined in this definition) of another Person
secured by a Lien on any asset of such Person, whether or not such Indebtedness is
assumed by such Person, the amount of such obligations being deemed to be the lesser of

	 	(a)	 	the full amount of such obligations so secured and
	 
	 	(b)	 	the fair market value of such asset as determined in good faith
by such specified Person;

	 	(6)	 	Disqualified Stock of such Person or a Restricted Subsidiary in an amount equal
to the greater of the maximum mandatory redemption or repurchase price (not including,
in either case, any redemption or repurchase premium) or the liquidation preference
thereof;
	 
	 	(7)	 	the aggregate preference in respect of amounts payable on the issued and
outstanding shares of preferred stock of any of the Company’s Restricted Subsidiaries
in the event of any voluntary or involuntary liquidation, dissolution or winding up
(excluding any such preference attributable to such shares of preferred stock that are
owned by such Person or any of its Restricted Subsidiaries; provided, that if such
Person is the Company, such exclusion shall be for such preference
attributable to such shares of preferred stock that are owned by the Company or any of its Restricted
Subsidiaries); and
	 
	 	(8)	 	any and all deferrals, renewals, extensions, refinancings and refundings
(whether direct or indirect) of, or amendments, modifications or supplements to, any

16

 

          liability of the kind described in any of the preceding clauses (1), (2), (3), (4), (5), (6)
or (7) or this clause (8), whether or not between or among the same parties.

Subject to clause (4) of the preceding sentence, Production Payments and Reserve Sales shall not be
deemed to be Indebtedness.

     “Indenture” means this Indenture, as amended or supplemented from time to time.

     “Indirect Participant” means a Person who holds a beneficial interest in a Global Security
through a Participant.

     “Initial Purchasers” means with respect to the Initial Securities J.P. Morgan Securities Inc.,
Banc of America Securities LLC, BMO Capital Markets Corp., BNP Paribas Securities Corp., Wachovia
Capital Markets, LLC, Barclays Capital Inc., Fortis Securities LLC, Capital One Southcoast, Inc.,
RBC Capital Markets Corporation, Citigroup Global Markets Inc., Natixis Bleichroeder Inc., Piper
Jaffray & Co., Wedbush Morgan Securities Inc., BBVA Securities, Inc. and Calyon Securities (USA)
Inc.

     “Interest Payment Date,” when used with respect to any Security, means the Stated Maturity of
an installment of interest on such Security.

     “Interest Rate Agreements” means, with respect to the Company and its Restricted Subsidiaries,
interest rate agreements, interest rate cap agreements and interest rate collar agreements and
other agreements or arrangements designed to protect such Person against fluctuations in interest
rates, with respect to any Indebtedness that is permitted to be incurred under this Indenture.

     “Investments” means, with respect to any Person, all investments by such Person in other
Persons (including Affiliates) in the forms of direct or indirect loans (including Guarantees of
Indebtedness or other obligations), advances or capital contributions (excluding commission, travel
and similar advances to officers and employees made in the ordinary course of business), purchases
or other acquisitions for consideration of Indebtedness, Equity Interests or other securities,
together with all items that are or would be classified as investments on a balance sheet prepared
in accordance with GAAP. If the Company or any Restricted Subsidiary of the Company sells or
otherwise disposes of any Equity Interests of any direct or indirect Restricted Subsidiary of the
Company such that, after giving effect to any such sale or disposition, such Person is no longer a
Restricted Subsidiary of the Company, the Company shall be deemed to have made an Investment on the
date of any such sale or disposition equal to the Fair Market Value of the Equity Interests of such
Restricted Subsidiary not sold or disposed of in an amount determined as provided in the third to
last paragraph of Section 4.4 hereof.

     “Issue Date” means the first date on which the Securities are issued, authenticated and
delivered under this Indenture.

     “KCS Merger Agreement” means that certain Amended and Restated Agreement and Plan of Merger
dated as of May 16, 2006, and effective as of April 20, 2006, among KCS Energy, Inc., the Company
and Hawk Nest Corporation, as amended or supplemented from time to time.

17

 

     “Lien” means, with respect to any asset, any mortgage, lien, pledge, charge, security interest
or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise
perfected under applicable law, including any conditional sale or other title retention agreement,
any lease in the nature thereof, any option or other agreement to sell or give a security interest
in any asset and any filing of or agreement to give any financing statement under the Uniform
Commercial Code (or equivalent statutes) of any jurisdiction.

     “Make Whole Premium” means, with respect to a Security at any time, the excess, if any, of (a)
the present value at such time of (i) the Redemption Price of such Security at February 1, 2012
plus (ii) any required interest payments due on such Security through February 1, 2012 (except for
currently accrued and unpaid interest), computed using a discount rate equal to the Treasury Rate
plus 50 basis points, discounted to the Redemption Date on a semi-annual basis (assuming a 360-day
year consisting of twelve 30 day months), over (b) the principal amount of such Security.

     “Material Change” means an increase or decrease (excluding changes that result solely from
changes in prices and changes resulting from the incurrence of previously estimated future
development costs) of more than 25% during a fiscal quarter in the discounted future net revenues
from proved crude oil and natural gas reserves of the Company and its Restricted Subsidiaries,
calculated in accordance with clause (a)(i) of the definition of ACNTA; provided, however, that the
following will be excluded from the calculation of Material Change:

	 	(1)	 	any acquisitions during the fiscal quarter of oil and natural gas reserves that
have been estimated by independent petroleum engineers and with respect to which a
report or reports of such engineers exist; and
	 
	 	(2)	 	any disposition of properties existing at the beginning of such fiscal quarter
that have been disposed of in compliance with Section 4.7 hereof.

     “Net Cash Proceeds,” with respect to any issuance or sale of Capital Stock or the sale or
incurrence of any Indebtedness, means the cash proceeds of such issuance or sale net of attorneys’
fees, accountants’ fees, underwriters’ or placement agents’ fees, listing fees, discounts or
commissions and brokerage, consultant and other fees and charges actually incurred in connection
with such issuance or sale and net of taxes paid or payable as a result of such issuance or sale.

     “Net Proceeds” means the aggregate cash proceeds received by the Company or any of its
Restricted Subsidiaries in respect of any Asset Sale (including, without limitation, any cash
received upon the sale or other disposition of any non-cash consideration received in any Asset
Sale), net of, without duplication:

	 	(1)	 	the direct costs relating to such Asset Sale, including, without limitation,
legal, title, engineering, environmental, accounting and investment banking fees, and
sales commissions, and any relocation expenses incurred as a result thereof;
	 
	 	(2)	 	taxes paid or payable as a result thereof;

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	 	(3)	 	amounts required to be applied to the repayment of Indebtedness (other than
under the Credit Facilities) secured by a Lien on the asset or assets that were the
subject of such Asset Sale;
	 
	 	(4)	 	any reserve established in accordance with GAAP against liabilities associated
with such Asset Sale or any amount placed in escrow for adjustment in respect of the
purchase price of such Asset Sale, until such time as such reserve is reversed or such
escrow arrangement is terminated, in which case Net Proceeds shall be increased by the
amount of the reserve so reversed or the amount returned to the Company or its
Restricted Subsidiaries from such escrow arrangement, as the case may be; and
	 
	 	(5)	 	any distributions and other payments required to be made to minority interest
holders in any Restricted Subsidiaries as a result of such Asset Sale.

     “Net Working Capital” means:

	 	(1)	 	all current assets of the Company and its Restricted Subsidiaries, minus
	 
	 	(2)	 	all current liabilities of the Company and its Restricted Subsidiaries, except
current liabilities included in Indebtedness;

in each case determined in accordance with GAAP.

     “Non-Recourse Debt” means Indebtedness:

	 	(1)	 	as to which neither the Company nor any of its Restricted Subsidiaries (a)
provides credit support of any kind (including any undertaking, agreement or instrument
that would constitute Indebtedness), (b) is directly or indirectly liable as a
guarantor or otherwise, or (c) constitutes the lender; and
	 
	 	(2)	 	no default with respect to which (including any rights that the holders thereof
may have to take enforcement action against an Unrestricted Subsidiary) would permit
upon notice, lapse of time or both any holder of any other Indebtedness of the Company
or any of its Restricted Subsidiaries to declare a default on such other Indebtedness
or cause the payment thereof to be accelerated or payable prior to its Stated Maturity.

     “Non-Recourse Purchase Money Indebtedness” means Indebtedness (other than Capital Lease
Obligations) of the Company or any Guarantor incurred in connection with the acquisition by the
Company or such Guarantor of assets used in the Oil and Gas Business (including office buildings
and other real property used by the Company or such Guarantor in conducting its operations) with
respect to which:

	 	(1)	 	the holders of such Indebtedness agree that they will look solely to the assets
so acquired that secure such Indebtedness, and neither the Company nor any Restricted
Subsidiary (a) is directly or indirectly liable for such Indebtedness or (b) provides
credit support, including any undertaking, Guarantee, agreement or instrument that would constitute Indebtedness (other than the grant of a Lien on
such acquired assets); and

19

 

	 	(2)	 	no default or event of default with respect to such Indebtedness would cause,
or permit (after notice or passage of time or otherwise), any holder of any other
Indebtedness of the Company or a Guarantor to declare a default or event of default on
such other Indebtedness or cause the payment, repurchase, redemption, defeasance or
other acquisition or retirement for value thereof to be accelerated or payable prior to
any scheduled principal payment, scheduled sinking fund payment or maturity.

     “Officer” means, with respect to any Person, the Chairman of the Board, the Chief Executive
Officer, the President, the Chief Financial Officer, any Vice President, the Treasurer, the
Controller or the Secretary of such Person.

     “Officers’ Certificate” means a certificate signed on behalf of the Company by two Officers or
by an Officer and either an Assistant Treasurer or an Assistant Secretary of the Company and that
complies with Sections 11.4 and 11.5 of this Indenture and is delivered to the
Trustee.

     “Oil and Gas Business” means:

	 	(1)	 	the acquisition, exploration, exploitation, development, operation or
disposition of interests in, or obtaining production from, oil, natural gas or other
hydrocarbon properties;
	 
	 	(2)	 	the gathering, marketing, treating, processing (but not refining), storage,
selling or transporting of any production from such interests or properties; or
	 
	 	(3)	 	any activity that is ancillary, necessary or appropriate to facilitate, or that
is incidental to, the activities described in clauses (1) and (2) of this definition.

     “Oil and Gas Liens” means:

	 	(1)	 	Liens on any specific property or any interest therein, construction thereon or
improvement thereto to secure all or any part of the costs incurred for surveying,
exploration, drilling, extraction, development, operation, production, construction,
alteration, repair or improvement of, in, under or on such property and the plugging
and abandonment of wells located thereon (it being understood that, in the case of oil
and gas producing properties, or any interest therein, costs incurred for “development”
will include costs incurred for all facilities relating to such properties or to
projects, ventures or other arrangements of which such properties form a part or that
relate to such properties or interests);
	 
	 	(2)	 	Liens on an oil or gas producing property to secure obligations incurred or
Guarantees of obligations incurred in connection with or necessarily incidental to
commitments for the purchase or sale of, or the transportation or distribution of, the
products derived from such property;

20

 

	 	(3)	 	Liens arising under partnership agreements, oil and gas leases, overriding
royalty agreements, net profits agreements, production payment agreements, royalty
trust agreements, incentive compensation programs on terms that are reasonably
customary, in the Oil and Gas Business for geologists, geophysicists and other
providers of technical services to the Company or a Restricted Subsidiary, farm-out
agreements, farm-in agreements, division orders, contracts for the sale, purchase,
exchange, transportation, gathering or processing of oil, gas or other hydrocarbons,
unitizations and pooling designations, declarations, orders and agreements, development
agreements, operating agreements, production sales contracts, area of mutual interest
agreements, gas balancing or deferred production agreements, injection, repressuring
and recycling agreements, salt water or other disposal agreements, seismic or
geophysical permits or agreements, and other agreements that are customary in the Oil
and Gas Business; provided, however, that in all instances such Liens are limited to
the assets that are the subject of the relevant agreement, program, order or contract;
	 
	 	(4)	 	Liens securing Production Payments and Reserve Sales; provided that such Liens
are limited to the property that is subject to such Production Payments and Reserve
Sales, and such Production Payments and Reserve Sales either:

	 	(a)	 	were in existence on the Issue Date,
	 
	 	(b)	 	were created in connection with the acquisition of property
after the date of this Indenture and such Lien was incurred in connection with
the financing of, and within 90 days after the acquisition of the property
subject thereto, or
	 
	 	(c)	 	constitute Asset Sales made in compliance with Section
4.7 hereof; and

	 	(5)	 	Liens on pipelines or pipeline facilities that arise by operation of law.

     “Opinion of Counsel” means a written opinion from legal counsel that complies with
Sections 11.4 and 11.5 of this Indenture and is delivered to the Trustee. The
counsel may be an employee of or counsel to the Company or the Trustee.

     “Participant” means, with respect to the Depositary, Euroclear or Clearstream, a Person who
has an account with the Depositary, Euroclear or Clearstream, respectively (and, with respect to
The Depository Trust Company, shall include Euroclear and Clearstream).

     “Permitted Business Investments” means Investments made in the ordinary course of, and of a
nature that is or shall have become customary in, the Oil and Gas Business, including through
agreements, transactions, interests or arrangements that permit one to share risk or costs, comply
with regulatory requirements regarding local ownership or satisfy other objectives customarily
achieved through the conduct of the Oil and Gas Business jointly with third parties, including
without limitation:

21

 

	 	(1)	 	ownership of oil, natural gas, other related hydrocarbon and mineral properties
or any interest therein or gathering, transportation, processing, storage or related
systems; and
	 
	 	(2)	 	the entry into operating agreements, joint ventures, processing agreements,
working interests, royalty interests, mineral leases, farm-in agreements, farm-out
agreements, development agreements, production sharing agreements, area of mutual
interest agreements, contracts for the sale, transportation or exchange of oil and
natural gas and related hydrocarbons and minerals, unitization agreements, pooling
arrangements, joint bidding agreements, service contracts, partnership agreements
(whether general or limited), or other similar or customary agreements (including for
limited liability companies), transactions, properties, interests or arrangements, and
Investments and expenditures in connection therewith or pursuant thereto, in each case
made or entered into in the ordinary course of the Oil and Gas Business, excluding,
however, Investments in corporations.

     “Permitted Investments” means:

	 	(1)	 	any Investment in the Company or in a Restricted Subsidiary of the Company;
	 
	 	(2)	 	any Investment in Cash Equivalents;
	 
	 	(3)	 	any Investment by the Company or any Restricted Subsidiary of the Company in a
Person if as a result of such Investment:

	 	(a)	 	such Person becomes a Restricted Subsidiary of the Company; or
	 
	 	(b)	 	such Person is merged, consolidated or amalgamated with or
into, or transfers or conveys substantially all of its assets to, or is
liquidated into, the Company or a Restricted Subsidiary of the Company;

	 	(4)	 	any Investment made as a result of the receipt of non-cash consideration from
an Asset Sale that was made pursuant to and in compliance with Section 4.7
hereof.
	 
	 	(5)	 	any acquisition of assets solely in exchange for the issuance of Equity
Interests (other than Disqualified Stock) of the Company;
	 
	 	(6)	 	receivables owing to the Company or any Restricted Subsidiary created or
acquired in the ordinary course of business and payable or dischargeable in accordance
with customary trade terms; provided, however, that such trade terms may include such
concessionary trade terms as the Company or any such Restricted Subsidiary deems
reasonable under the circumstances;
	 
	 	(7)	 	payroll, travel, relocation and similar advances to officers, directors and
employees to cover matters that are expected at the time of such advances ultimately to
be treated as expenses for accounting purposes and that are made in the ordinary course
of business;

22

 

	 	(8)	 	loans or advances to employees made in the ordinary course of business of the
Company or such Restricted Subsidiary made for bona fide business purposes;
	 
	 	(9)	 	Capital Stock, obligations or securities received in settlement of debts
created in the ordinary course of business and owing to the Company or any Restricted
Subsidiary or in satisfaction of judgments or pursuant to any plan of reorganization or
similar arrangement upon the bankruptcy or insolvency of a debtor or received in
connection with a work-out or recapitalization of the issuer or as a result of a
foreclosure or other transfer of title or perfection or enforcement of any lien with
respect to any secured Investment in default;
	 
	 	(10)	 	Hedging Obligations, which transactions or obligations are incurred in
compliance with Section 4.3 hereof;
	 
	 	(11)	 	Permitted Business Investments; and
	 
	 	(12)	 	other Investments in any Person having an aggregate Fair Market Value (measured
on the date each such Investment was made and without giving effect to subsequent
changes in value), when taken together with all other Investments made pursuant to this
clause (12) since the Issue Date, not to exceed $20.0 million.

     “Permitted Liens” means:

	 	(1)	 	Liens on any property or assets of the Company and any Guarantor securing
Indebtedness and other obligations under Credit Facilities that were permitted by the
terms of this Indenture to be incurred;
	 
	 	(2)	 	Liens in favor of the Company or the Guarantors;
	 
	 	(3)	 	Liens on any property or assets of a Person existing at the time such Person is
merged with or into or consolidated with the Company or any Restricted Subsidiary of
the Company, provided that such Liens were in existence prior to the contemplation of
such merger or consolidation and do not extend to any property or assets other than
those of the Person merged into or consolidated with the Company or the Restricted
Subsidiary;
	 
	 	(4)	 	Liens on any property or assets existing at the time of acquisition thereof by
the Company or any Restricted Subsidiary of the Company, provided that such Liens were
not incurred in connection with the contemplation of such acquisition;
	 
	 	(5)	 	Liens to secure the performance of statutory obligations, surety or appeal
bonds, performance bonds or other obligations of a like nature incurred in the ordinary
course of business;
	 
	 	(6)	 	Liens existing on the Issue Date;

23

 

	 	(7)	 	Liens arising from Uniform Commercial Code financing statement filings
regarding operating leases entered into by the Company and its Restricted Subsidiaries
in the ordinary course of business;
	 
	 	(8)	 	Liens securing Permitted Refinancing Indebtedness incurred to refinance
Indebtedness that was previously so secured, provided that any such Lien is limited to
all or part of the same property or assets (plus improvements, accessions, proceeds or
dividends or distributions in respect thereof) that secured (or, under the written
arrangements under which the original Lien arose, could secure) the Indebtedness being
refinanced or is in respect of property that is the security for a Permitted Lien
hereunder;
	 
	 	(9)	 	Liens securing Hedging Obligations of the Company or any of its Restricted
Subsidiaries;
	 
	 	(10)	 	Liens securing Non-Recourse Purchase Money Indebtedness granted in connection
with the acquisition by the Company or any Restricted Subsidiary of assets used in the
Oil and Gas Business (including the office buildings and other real property used by
the Company or such Restricted Subsidiary in conducting its operations); provided that
(i) such Liens attach only to the assets acquired with the proceeds of such
Non-Recourse Purchase Money Indebtedness; and (ii) such Non-Recourse Purchase Money
Indebtedness is not in excess of the purchase price of such fixed assets; and
	 
	 	(11)	 	any Lien incurred in the ordinary course of business incidental to the conduct
of the business of the Company or the Restricted Subsidiaries or the ownership of their
property (including (a) easements, rights of way and similar encumbrances, (b) rights
or title of lessors under leases (other than Capital Lease Obligations), (c) rights of
collecting banks having rights of setoff, revocation, refund or chargeback with respect
to money or instruments of the Company or the Restricted Subsidiaries on deposit with
or in the possession of such banks, (d) Liens imposed by law, including Liens under
workers’ compensation or similar legislation and mechanics’, carriers’, warehousemen’s,
materialmen’s, suppliers’ and vendors’ Liens, (e) Liens incurred to secure performance
of obligations with respect to statutory or regulatory requirements, performance or
return-of-money bonds, surety bonds or other obligations of a like nature and incurred
in a manner consistent with industry practice and (f) Oil and Gas Liens, in each case
which are not incurred in connection with the borrowing of money, the obtaining of
advances or credit or the payment of the deferred purchase price of property (other
than trade accounts payable arising in the ordinary course of business)); and
	 
	 	(12)	 	Liens for taxes, assessments and governmental charges not yet due or the
validity of which are being contested in good faith by appropriate proceedings,
promptly instituted and diligently conducted, and for which adequate reserves have been
established to the extent required by GAAP as in effect at such time.

24

 

     “Permitted Refinancing Indebtedness” means any Indebtedness of the Company or any of its
Restricted Subsidiaries issued in exchange for, or the Net Cash Proceeds of which are used to
extend, refinance, renew, replace, defease or refund other Indebtedness of the Company or any of
its Restricted Subsidiaries (other than intercompany Indebtedness); provided that:

	 	(1)	 	the principal amount (or accreted value, if applicable) of such Permitted
Refinancing Indebtedness does not exceed the principal amount of (or accreted value, if
applicable), plus premium, if any, and accrued and unpaid interest on the Indebtedness
so extended, refinanced, renewed, replaced, defeased or refunded (plus the amount of
reasonable expenses incurred in connection therewith);
	 
	 	(2)	 	(a) if the final maturity date of the Indebtedness being extended, refinanced,
renewed, replaced, deferred or refunded is earlier than the final maturity date of the
Securities, the Permitted Refinancing Indebtedness has a final maturity date no earlier
than the final maturity date of the Indebtedness being extended, refinanced, renewed,
replaced, deferred or refunded, or (b) if the final maturity date of the Indebtedness
being extended, refinanced, renewed, replaced, deferred or refunded is later than the
final maturity date of the Securities, the Permitted Refinancing Indebtedness has a
final maturity date at least 91 days later than the final maturity date of the
Securities;
	 
	 	(3)	 	the Permitted Refinancing Indebtedness has a Weighted Average Life to Maturity
at the time such Permitted Refinancing Indebtedness is incurred that is equal to or
greater than the Weighted Average Life to Maturity of the Indebtedness being extended,
refinanced, renewed, replaced, deferred or refunded;
	 
	 	(4)	 	if the Indebtedness being extended, refinanced, renewed, replaced, defeased or
refunded is subordinated in right of payment to the Securities or a Subsidiary
Guarantee, such Permitted Refinancing Indebtedness is subordinated in right of payment
to the Securities or such Subsidiary Guarantee on terms at least as favorable, taken as
a whole, to the Holders as those contained in the documentation governing the
Indebtedness being extended, refinanced, renewed, replaced, defeased or refunded;
	 
	 	(5)	 	such Indebtedness is not incurred by a Restricted Subsidiary if the Company is
the obligor on the Indebtedness being extended, refinanced, renewed, replaced, defeased
or refunded; provided, however, that a Restricted Subsidiary that is also a Guarantor
may Guarantee Permitted Refinancing Indebtedness incurred by the Company, whether or
not such Restricted Subsidiary was an obligor or guarantor of the Indebtedness being
extended, refinanced, renewed, replaced, defeased or refunded; provided further,
however, that if such Permitted Refinancing Indebtedness is subordinated to the
Securities, such Guarantee shall be subordinated to such Restricted Subsidiary’s
Subsidiary Guarantee to at least the same extent; and
	 
	 	(6)	 	if the Indebtedness being extended, refinanced, renewed, replaced, defeased, or
refunded is Non-Recourse Purchase Money Indebtedness, such Permitted Refinancing Indebtedness satisfies clauses (1) and (2) of the definition of
“Non-Recourse Purchase Money Indebtedness.”

25

 

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

     “Private Exchange” means an offer to exchange Private Exchange Securities for either Initial
Securities or Additional Securities in accordance with a Registration Rights Agreement.

     “Private Exchange Securities” means Exchange Securities issued in exchange for either Initial
Securities or Additional Securities other than pursuant to a Registered Exchange Offer.

     “Private Placement Legend” means the legend set forth in Section 2.6(g)(1) to be
placed on all Securities issued under this Indenture except where otherwise permitted by the
provisions of this Indenture.

     “Production Payments” means, collectively, Dollar-Denominated Production Payments and
Volumetric Production Payments.

     “Production Payments and Reserve Sales” means the grant or transfer by the Company or a
Restricted Subsidiary to any Person of a royalty, overriding royalty, net profits interest or
Production Payment in oil and natural gas properties, reserves or the right to receive all or a
portion of the production or the proceeds from the sale of production attributable to such
properties where, in the case of each of the foregoing, the holder of such interest has recourse
solely to such production or proceeds of production, subject to the obligation of the grantor or
transferor to operate and maintain, or cause the subject interests to be operated and maintained,
in a reasonably prudent manner or other customary standard or subject to the obligation of the
grantor or transferor to indemnify for environmental, title or other matters customary in the
foregoing interests.

     “QIB” means any “qualified institutional buyer” (as defined in Rule 144).

     “Redemption Date,” when used with respect to any Security to be redeemed, means the date fixed
for such redemption by or pursuant to this Indenture.

     “Redemption Price,” when used with respect to any Security to be redeemed, means the price at
which it is to be redeemed pursuant to this Indenture.

     “Registered Exchange Offer” means an offer to exchange Exchange Securities for either Initial
Securities or Additional Securities pursuant to an Exchange Offer Registration Statement as
required by a Registration Rights Agreement.

     “Registration Rights Agreement” means, with respect to the Initial Securities, the
Registration Rights Agreement, dated as of the Issue Date, among the Company, the Guarantors and
the Initial Purchasers, or any similar registration rights agreement with respect to Additional
Securities.

26

 

     “Regulation S” means Regulation S promulgated under the Securities Act.

     “Regulation S Global Security” means a permanent Global Security substantially in the form of
Exhibit A hereto bearing the Global Security Legend and the Private Placement Legend, that
has the “Schedule of Exchanges of Interests in the Global Security” attached thereto, and that is
deposited with or on behalf of, and registered in the name of, the Depositary or its nominee,
issued in a denomination equal to the outstanding principal amount of the Securities initially sold
in reliance on Regulation S.

     “Resale Restriction Termination Date” means (i) the date which is one year after the later of
the date of the original issue of any Securities and the last date on which the Company or any of
its affiliates (as defined in Rule 144) was the owner of such Securities (or any predecessor
Securities) or (ii) such later date, if any, as may be required by applicable law.

     “Restricted Definitive Security” means a Definitive Security bearing the Private Placement
Legend.

     “Restricted Global Security” means a Global Security bearing the Private Placement Legend
(including the Regulation S Global Security).

     “Restricted Period” means the 40-day distribution compliance period as defined in Regulation
S.

     “Restricted Security” means either a Restricted Definitive Security or a Restricted Global
Security.

     “Restricted Subsidiary” of a Person means any Subsidiary of the referenced Person that is not
an Unrestricted Subsidiary.

     “Rule 144” means Rule 144 promulgated under the Securities Act.

     “Rule 144A” means Rule 144A promulgated under the Securities Act.

     “Rule 904” means Rule 904 promulgated under the Securities Act.

     “SEC” means the U.S. Securities and Exchange Commission.

     “Securities” means securities issued under this Indenture. The Initial Securities, the
Exchange Securities and the Additional Securities shall be treated as a single class for all
purposes under this Indenture, including waivers, amendments, redemptions and offers to purchase,
and unless otherwise provided or the context otherwise requires, all references to the Securities
shall include the Initial Securities, the Exchange Securities and the Additional Securities.

     “Securities Act” means the Securities Act of 1933 and any successor statute thereto, in each
case as amended from time to time.

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     “Securities Custodian” means the custodian with respect to a Global Security (as appointed by
the Depositary) or any successor Person, and shall initially be the initial Registrar.

     “Senior Debt” means:

	 	(1)	 	all Indebtedness of the Company or any Guarantor outstanding under Credit
Facilities and all Hedging Obligations with respect thereto; and
	 
	 	(2)	 	any other Indebtedness of the Company or any Guarantor permitted to be incurred
by it under the terms of this Indenture, unless such Indebtedness is Subordinated
Indebtedness.

     “Shelf Registration Statement” means a registration statement of the Company used by a Holder
in connection with its offer and sale of Securities pursuant to a Registration Rights Agreement.

     “Significant Subsidiary” means any Subsidiary that would be a “significant subsidiary” as
defined in Article 1, Rule 1-02 of Regulation S-X, promulgated pursuant to the Securities Act, as
such Regulation is in effect on the Issue Date.

     “Stated Maturity” means, with respect to any installment of interest or principal on any
series of Indebtedness, the date on which such payment of interest or principal was scheduled to be
paid in the original documentation governing such Indebtedness, and shall not include any
contingent obligations to repay, redeem or repurchase any such interest or principal prior to the
date originally scheduled for the payment thereof.

     “Subordinated Indebtedness” means Indebtedness of the Company (or a Guarantor) that is
expressly subordinated or junior in right of payment to the Securities (or a Subsidiary Guarantee,
as appropriate) pursuant to a written agreement to that effect.

     “Subsidiary” means any subsidiary of the Company. A “subsidiary” of any Person means:

	 	(1)	 	a corporation a majority of whose Voting Stock is at the time, directly or
indirectly owned by such Person, by one or more subsidiaries of such Person or by such
Person and one or more subsidiaries of such Person; or
	 
	 	(2)	 	a partnership, joint venture, limited liability company or similar entity, in
which such Person or a subsidiary of such Person is, at the date of determination, in
the case of a partnership, a general or limited partner of such partnership, and, in
the case of each of the foregoing entities, is entitled to receive more than 50 percent
of the assets of such entity upon its dissolution.

     “Subsidiary Guarantee” means a Guarantee by a Guarantor of the Company’s Obligations pursuant
to Article X hereof.

     “Treasury Rate” means the yield to maturity at the time of computation of United States
Treasury securities with a constant maturity (as compiled and published in the most recent

28

 

Federal Reserve Statistical Release H.15(519) which has become publicly available at least two
Business Days prior to the date fixed for redemption (or, if such Statistical Release is no longer
published, any publicly available source of similar market data)) most nearly equal to the period
from the Redemption Date to February 1, 2012; provided, however, that if such period is not equal
to the constant maturity of a United States Treasury security for which a weekly average yield is
given, the Company shall obtain the Treasury Rate by linear interpolation (calculated to the
nearest one-twelfth of a year) from the weekly average yields of United States Treasury securities
for which such yields are given, except that if the period from the Redemption Date to February 1,
2012 is less than one year, the weekly average yield on actually traded United States Treasury
securities adjusted to a constant maturity of one year shall be used. The Company will (a)
calculate the Treasury Rate on the second Business Day preceding the applicable Redemption Date and
(b) prior to such Redemption Date file with the Trustee an Officers’ Certificate setting forth the
Make Whole Premium and the Treasury Rate and showing the calculation of each in reasonable detail.

     “Trust Indenture Act” or “TIA” means the Trust Indenture Act of 1939 as in force at the Issue
Date, except as provided in Section 9.3; provided, however, that in the event the Trust Indenture
Act of 1939 is amended after such date, “Trust Indenture Act” or “TIA” means, to the extent
required by any such amendment, the Trust Indenture Act of 1939 as so amended.

     “Trustee” means the Person named as the “Trustee” in the first paragraph of this Indenture
until a successor Trustee shall have become such pursuant to the applicable provisions of this
Indenture, and thereafter “Trustee” shall mean or include each Person who is then a Trustee
hereunder.

     “Trust Officer” means the Chairman of the Board, the President or any other officer or
assistant officer of the Trustee assigned by the Trustee to administer its corporate trust matters.

     “Unrestricted Definitive Security” means one or more Definitive Securities that do not bear
and are not required to bear the Private Placement Legend.

     “Unrestricted Global Security” means a permanent Global Security substantially in the form of
Exhibit A attached hereto that bears the Global Security Legend and that has the “Schedule
of Exchanges of Interests in the Global Security” attached thereto, and that is deposited with or
on behalf of and registered in the name of the Depositary, representing a series of Securities that
do not bear the Private Placement Legend.

     “Unrestricted Security” means either an Unrestricted Definitive Security or an Unrestricted
Global Security.

     “Unrestricted Subsidiary” means any Subsidiary of the Company that is designated by the Board
of Directors as an Unrestricted Subsidiary pursuant to a Board Resolution, but only to the extent
that such Subsidiary:

	 	(1)	 	has no Indebtedness other than Non-Recourse Debt;
	 
	 	(2)	 	is not party to any agreement, contract, arrangement or understanding with the
Company or any Restricted Subsidiary of the Company unless the terms of any

29

 

	 	 	 	such agreement, contract, arrangement or understanding are no less favorable to the
Company or such Restricted Subsidiary than those that might be obtained at the time
from Persons who are not Affiliates of the Company;

	 	(3)	 	is a Person with respect to which neither the Company nor any of its Restricted
Subsidiaries has any obligation (a) to subscribe for additional Equity Interests or (b)
to maintain or preserve such Person’s financial condition or to cause such Person to
achieve any specified levels of operating results; and
	 
	 	(4)	 	has not Guaranteed or otherwise directly or indirectly provided credit support
for any Indebtedness of the Company or any of its Restricted Subsidiaries.

     The Board of Directors may designate any Restricted Subsidiary to be an Unrestricted
Subsidiary if that designation is in compliance with the next succeeding sentence and would not
otherwise cause a Default. If a Restricted Subsidiary is designated as an Unrestricted Subsidiary,
all outstanding Investments owned by the Company and its Restricted Subsidiaries in the Subsidiary
so designated, shall be valued at their Fair Market Value at the time of such designation for
purposes of determining compliance with Section 4.4 hereof; provided, however, that such
covenant need not be complied with if the Subsidiary to be so designated has total assets of $1,000
or less. That designation will only be permitted if such Restricted Payment would be so permitted
at that time and if such Restricted Subsidiary otherwise meets the definition of an Unrestricted
Subsidiary.

     Any designation of a Subsidiary of the Company as an Unrestricted Subsidiary shall be
evidenced to the Trustee by filing with the Trustee a copy of the Board Resolution giving effect to
such designation certified in an Officers’ Certificate that also certifies that such designation
complied with the preceding conditions and was permitted by Section 4.4, in which case such
designation shall be effective as of the date specified in such resolution hereof. If, at any
time, any Unrestricted Subsidiary would fail to meet the preceding requirements as an Unrestricted
Subsidiary, it shall thereafter cease to be an Unrestricted Subsidiary for purposes of this
Indenture and any Indebtedness of such Subsidiary shall be deemed to be incurred by a Restricted
Subsidiary of the Company as of such date and, if such Indebtedness is not permitted to be incurred
as of such date under Section 4.3 hereof, the Company shall be in default of such covenant.

     The Board of Directors of the Company may at any time designate any Unrestricted Subsidiary to
be a Restricted Subsidiary; provided that such designation shall be deemed to be an incurrence of
Indebtedness by a Restricted Subsidiary of the Company of any outstanding Indebtedness of such
Unrestricted Subsidiary and such designation shall only be permitted if (1) such Indebtedness is
permitted under Section 4.3 hereof, calculated on a pro forma basis as if such designation
had occurred at the beginning of the four-quarter reference period; and (2) no Default or Event of
Default would be in existence following such designation.

     “U.S. Person” means any U.S. person as defined for purposes of Regulation S.

30

 

     “Volumetric Production Payments” mean production payment obligations recorded as deferred
revenue in accordance with GAAP, together with all undertakings and obligations in connection
therewith.

     “Voting Stock” of any Person as of any date means the Capital Stock of such Person that is at
the time entitled (without reference to the occurrence of any contingency) to vote in the election
of the directors, managers or trustees of such Person.

     “Weighted Average Life to Maturity” means, when applied to any Indebtedness at any date, the
number of years obtained by dividing:

	 	(1)	 	the sum of the products obtained by multiplying (a) the amount of each then
remaining installment, sinking fund, serial maturity or other required payments of
principal, including payment at final maturity, in respect thereof, by (b) the number
of years (calculated to the nearest one-twelfth) that will elapse between such date and
the making of such payment; by
	 
	 	(2)	 	the then outstanding principal amount of such Indebtedness.

Section 1.2 Other Definitions

	 	 	 
	“Affiliate Transaction”

	 	Section 4.8(a)
	“Asset Sale Offer”

	 	Section 4.7(c)
	“Asset Sale Payment”

	 	Section 4.7(c)
	“Asset Sale Payment Date”

	 	Section 4.7(d)
	“Authenticating Agent”

	 	Section 2.2
	“Calculation Date”

	 	Section 1.1 (“Fixed Charge Coverage Ratio”)
	“Change of Control Offer”

	 	Section 4.11(a)
	“Change of Control Payment”

	 	Section 4.11(a)
	“Change of Control Payment Date”

	 	Section 4.11(a)
	“covenant defeasance option”

	 	Section 8.1(b)
	“Defaulted Interest”

	 	Section 2.11
	“Event of Default”

	 	Section 6.1
	“Excess Proceeds”

	 	Section 4.7(c)
	“incur”

	 	Section 4.3(a)
	“Initial Securities”

	 	Preamble
	“legal defeasance option”

	 	Section 8.1(b)
	“Legal Holiday”

	 	Section 11.7
	“Obligations”

	 	Section 10.1
	“Paying Agent”

	 	Section 2.3
	“Payment Default”

	 	Section 6.1(6)
	“Permitted Asset Exchange”

	 	Section 1.1 (“Asset Sale”)
	“Permitted Indebtedness”

	 	Section 4.3(b)
	“Registrar”

	 	Section 2.3
	“Restricted Payment”

	 	Section 4.4(a)

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Section 1.3 Incorporation by Reference of Trust Indenture Act

     This Indenture is subject to the mandatory provisions of the Trust Indenture Act which are
incorporated by reference in and made a part of this Indenture. The following Trust Indenture Act
terms have the following meanings:

     “Commission” means the SEC,

     “indenture securities” means the Securities and the Subsidiary Guarantees,

     “indenture security holder” means a Holder,

     “indenture to be qualified” means this Indenture,

     “indenture trustee” or “institutional trustee” means the Trustee and

     “obligor” on the indenture securities means the Company and any other obligor (including any
Guarantor) on the indenture securities.

     All other Trust Indenture Act terms used in this Indenture that are defined by the Trust
Indenture Act, defined by the Trust Indenture Act by reference to another statute or defined by an
SEC rule have the meanings assigned to them by such definitions.

Section 1.4 Rules of Construction

     Unless the context otherwise requires:

          (1) a term has the meaning assigned to it;

          (2) an accounting term not otherwise defined has the meaning assigned to it in accordance with
GAAP;

          (3) “or” is not exclusive;

          (4) “including” means including without limitation;

          (5) words in the singular include the plural and words in the plural include the singular;

          (6) unless otherwise indicated, all references to “Articles” or “Sections” are to Articles or
Sections, as the case may be, of this Indenture;

          (7) references to sections of or rules under the Exchange Act or the Securities Act shall be
deemed to include substitute, replacement or successor sections or rules adopted by the SEC from
time to time; and

          (8) “herein,” “hereof” and other words of similar import refer to this Indenture as a whole
(as amended or supplemented from time to time) and not to any particular Article, Section or other
subdivision.

32

 

ARTICLE II

THE SECURITIES

Section 2.1 Form and Dating

     (a) General. The Securities and the Trustee’s certificate of authentication shall be
substantially in the form of Exhibit A hereto. The notation of Subsidiary Guarantee shall
be substantially in the form of Exhibit D hereto, and shall be notated on the Securities.
The Securities may have notations, legends or endorsements required by law, stock exchange rule or
usage. Each Security shall be dated the date of its authentication. The Securities shall be in
minimum denominations of $2,000 and integral multiples of $1,000 in excess thereof. The terms and
provisions contained in the Securities shall constitute, and are hereby expressly made, a part of
this Indenture and the Company, the Guarantors and the Trustee, by their execution and delivery of
this Indenture, expressly agree to such terms and provisions and to be bound thereby. However, to
the extent any provision of any Security or any Guarantee conflicts with the express provisions of
this Indenture, the provisions of this Indenture (to the extent permitted by law) shall govern and
be controlling.

     (b) Global Securities. Securities issued in global form shall be substantially in the form of
Exhibit A attached hereto (including the Global Security Legend thereon and the “Schedule
of Exchanges of Interests in the Global Security” attached thereto). Securities issued in
definitive form shall be substantially in the form of Exhibit A attached hereto (but
without the Global Security Legend thereon and without the “Schedule of Exchanges of Interests in
the Global Security” attached thereto). Each Global Security shall represent such of the
outstanding Securities as shall be specified therein, and each shall provide that it shall
represent the aggregate principal amount of outstanding Securities from time to time endorsed
thereon and that the aggregate principal amount of outstanding Securities represented thereby may
from time to time be reduced or increased, as appropriate, to reflect exchanges and redemptions.
Any endorsement of a Global Security to reflect the amount of any increase or decrease in the
aggregate principal amount of outstanding Securities represented thereby shall be made by the
Trustee or the Securities Custodian, at the direction of the Trustee, in accordance with
instructions given by the Holder thereof as required by Section 2.6 hereof.

     (c) Regulation S Global Securities. Any Securities offered and sold in reliance on Regulation
S shall be issued initially in the form of a Regulation S Global Security, which shall be deposited
on behalf of the purchasers of the Securities represented thereby with the Securities Custodian,
and registered in the name of the Depositary or the nominee of the Depositary for the accounts of
designated agents holding on behalf of Euroclear or Clearstream, duly executed by the Company and
authenticated by the Trustee as hereinafter provided. Prior to the expiration of the Restricted
Period, any resale or transfer of beneficial interests in a Regulation S Global Security to U.S.
Persons shall not be permitted unless such resale or transfer is made pursuant to Rule 144A or
Regulation S.

     (d) 144A Global Securities. Any Securities offered and sold in reliance on Rule 144A shall be
issued initially in the form of a 144A Global Security, which shall be deposited on behalf of the
purchasers of the Securities represented thereby with the Securities Custodian, and
registered in the name of the Depositary or the nominee of the Depositary, duly executed by
the Company and authenticated by the Trustee as hereinafter provided.

33

 

     (e) Definitive Securities. Notwithstanding any other provision of this Article II,
any issuance of Definitive Securities shall be at the Company’s discretion, except in the
circumstances set forth in Section 2.6(a) hereof.

Section 2.2 Execution and Authentication

     An Officer shall sign the Securities for the Company by manual or facsimile signature. One
Officer shall sign each notation of Subsidiary Guarantee for each Guarantor by manual or facsimile
signature.

     If an Officer whose facsimile signature is on a Security no longer holds that office at the
time the Trustee authenticates the Security, the Security shall be valid nevertheless.

     A Security shall not be valid until an authorized signatory of the Trustee manually
authenticates the Security. The signature of the Trustee on a Security shall be conclusive
evidence that such Security has been duly and validly authenticated and issued under this
Indenture.

     The Trustee shall authenticate and deliver: (i) Initial Securities for original issue in an
aggregate principal amount of $600,000,000, (ii) if and when issued, Additional Securities (which
may be issued in either a registered or a private offering under the Securities Act) and (iii)
Exchange Securities for issue only in an exchange offer pursuant to a Registration Rights
Agreement, and only in exchange for Initial Securities or Additional Securities of an equal
principal amount, in each case upon a written order of the Company signed by one Officer of the
Company. Such order shall specify the amount of the Securities to be authenticated and the date on
which the original issue of Securities is to be authenticated and whether the Securities are to be
in global or definitive form and whether they are to bear the Private Placement Legend. The
Company may issue Additional Securities under this Indenture subsequent to the Issue Date, subject
to Section 4.3 of this Indenture; provided, however, that no Additional Securities may be
issued at a price that would cause such Additional Securities to have “original issue discount”
within the meaning of Section 1273 of the Code; and provided, further, that in no event may the
Company issue any Additional Securities if, as a result of any such issuance, the aggregate
principal amount of Securities outstanding would exceed the maximum aggregate principal amount of
Securities permitted under the Existing Credit Facility or any other Credit Facilities, in each
case as in effect on the date of such issuance.

     The Trustee may appoint an agent (the “Authenticating Agent”) reasonably acceptable to the
Company to authenticate the Securities. Unless limited by the terms of such appointment, any such
Authenticating Agent may authenticate Securities whenever the Trustee may do so. Each reference in
this Indenture to authentication by the Trustee includes authentication by such agent.

34

 

Section 2.3 Registrar and Paying Agent

     The Company shall at all times maintain in the continental United States an office or agency
where Securities may be presented for registration of transfer or for exchange (the “Registrar”),
and it shall likewise maintain in the City of New York, the State of New York an office or agency
where Securities may be presented for payment (the “Paying Agent”). The Registrar shall keep a
register of the Securities and of their transfer and exchange. The Company may have one or more
co-registrars and one or more additional paying agents. The term “Registrar” includes any
co-registrar, and the term “Paying Agent” includes any such additional paying agent.

     The Company or any of its Subsidiaries may act as Paying Agent, subject to the provisions of
Section 4.14. Any Paying Agent or Registrar may resign as such upon 30 days’ prior written
notice to the Company and the Trustee; upon resignation of any Paying Agent or Registrar, the
Company shall appoint a successor Paying Agent or Registrar, as the case may be, complying with the
requirements of this Section 2.3, no later than 30 days thereafter and shall provide notice
to the Trustee of such successor Paying Agent or Registrar.

     If at any time there shall be no Paying Agent with an office or agency in the City of New
York, State of New York, where the Securities may be presented or surrendered for payment, the
Company shall forthwith designate such a Paying Agent in order that the Securities shall at all
times be payable in the City of New York, the State of New York.

     The Company initially appoints U.S. Bank Trust National Association as Registrar and Paying
Agent for the Securities.

     The immunities, protections and exculpations available to the Trustee under this Indenture
shall also be available to each Agent, and the Company’s obligations under Section 7.7 to
compensate and indemnify the Trustee shall extend likewise to each Agent.

Section 2.4 Paying Agent to Hold Money in Trust

     By at least 11:00 a.m. (New York City time) on the date on which any principal, premium, if
any, or interest on any Security is due and payable, the Company shall deposit with the Paying
Agent a sum sufficient to pay such principal, premium, if any, and interest when due. The Company
shall require each Paying Agent (other than the Trustee) to agree in writing that such Paying Agent
shall hold in trust for the benefit of Holders or the Trustee all money held by such Paying Agent
for the payment of principal, premium, if any, and interest (if any) on the Securities and shall
notify the Trustee of any default by the Company in making any such payment. If the Company or a
Subsidiary acts as Paying Agent, it shall segregate the money held by it as Paying Agent and hold
it as a separate trust fund. The Company at any time may require a Paying Agent (other than the
Trustee) to pay all money held by it to the Trustee and to account for any funds disbursed by such
Paying Agent. Upon complying with this Section 2.4, the Paying Agent (if other than the
Company or a Subsidiary) shall have no further liability for the money delivered to the Trustee.

35

 

Section 2.5 Holder Lists

     The Trustee shall preserve in as current a form as is reasonably practicable the most recent
list available to it of the names and addresses of Holders. If the Trustee is not the Registrar,
the Company shall furnish to the Trustee, in writing at least seven Business Days before each
Interest Payment Date and at such other times as the Trustee may request in writing, a list in such
form and as of such date as the Trustee may reasonably require of the names and addresses of
Holders.

Section 2.6 Transfer and Exchange

     (a) Transfer and Exchange of Global Securities. A Global Security may not be transferred as a
whole except by the Depositary to a nominee of the Depositary, by a nominee of the Depositary to
the Depositary or to another nominee of the Depositary, or by the Depositary or any such nominee to
a successor Depositary or a nominee of such successor Depositary. Owners of beneficial interests
in Global Securities shall not be entitled to receive Definitive Securities unless:

          (1) the Company delivers to the Trustee and the Registrar notice from the Depositary that it
is unwilling or unable to continue to act as Depositary or that it is no longer a clearing agency
registered under the Exchange Act and, in either case, a successor Depositary is not appointed by
the Company within 90 days; or

          (2) there has occurred and is continuing an Event of Default and the Depositary notifies the
Trustee and the Registrar of its decision to exchange the Global Securities for Definitive
Securities; provided that in no event shall the Regulation S Global Security be exchanged by the
Company for Definitive Securities prior to the expiration of the Restricted Period.

     Upon the occurrence of either of the preceding events in (1) or (2) above, Definitive
Securities shall be issued in such names as the Depositary shall instruct the Trustee and the
Registrar. Global Securities also may be exchanged or replaced, in whole or in part, as provided
in Section 2.7 hereof. Every Security authenticated and delivered in exchange for, or in
lieu of, a Global Security or any portion thereof, pursuant to this Section 2.6 or
Section 2.7 hereof, shall be authenticated and delivered in the form of, and shall be, a Global
Security. A Global Security may not be exchanged for another Security other than as provided in
this Section 2.6(a); however, beneficial interests in a Global Security may be transferred
and exchanged as provided in Section 2.6(b), (c) or (f) hereof.

     (b) Transfer and Exchange of Beneficial Interests in the Global Securities. The transfer and
exchange of beneficial interests in the Global Securities shall be effected through the Depositary,
in accordance with the provisions of this Indenture and the Applicable Procedures. Beneficial
interests in the Restricted Global Securities shall be subject to restrictions on transfer
comparable to those set forth herein, including those set forth in the Private Placement Legend, to
the extent required by the Securities Act. Transfers of beneficial interests in the Global
Securities also shall require compliance with either subparagraph (1) or (2) below, as applicable,
as well as one or more of the other following provisions of this Section 2.6, as
applicable:

36

 

          (1) Transfer of Beneficial Interests in the Same Global Security. Beneficial interests in any
Restricted Global Security may be transferred to Persons who take delivery thereof in the form of a
beneficial interest in the same Restricted Global Security in accordance with the transfer
restrictions set forth in the Private Placement Legend; provided, however, that prior to the
expiration of the Restricted Period, (A) transfers of beneficial interests in the Regulation S
Global Security may not be to a U.S. Person or for the account or benefit of a U.S. Person (other
than an Initial Purchaser) and (B) such beneficial interests may be held only through Euroclear or
Clearstream (as Indirect Participants in the Depositary). Beneficial interests in such
Unrestricted Global Security may be transferred to Persons who take delivery thereof in the form of
a beneficial interest in an Unrestricted Global Security. No written orders or instructions shall
be required to be delivered to the Registrar to effect the transfers described in the preceding
sentence of this Section 2.6(b)(1).

          (2) All Other Transfers and Exchanges of Beneficial Interests in Global Securities. In
connection with all transfers and exchanges of beneficial interests that are not subject to
Section 2.6(b)(1) above, the transferor of such beneficial interest must deliver to the
Registrar either:

          (A) (i) a written order from a Participant or an Indirect Participant given to the
Depositary in accordance with the Applicable Procedures directing the Depositary to credit
or cause to be credited a beneficial interest in another Global Security in an amount equal
to the beneficial interest to be transferred or exchanged; and

                (ii) instructions given in accordance with the Applicable Procedures containing
information regarding the Participant account to be credited with such increase; or

          (B) (i) a written order from a Participant or an Indirect Participant given to the
Depositary in accordance with the Applicable Procedures directing the Depositary to cause to
be issued a Definitive Security in an amount equal to the beneficial interest to be
transferred or exchanged; and

                (ii) instructions given by the Depositary to the Registrar containing information
regarding the Person in whose name such Definitive Security shall be registered to effect
the transfer or exchange referred to in Section 2.6(b)(2)(B)(i) above; provided that
in no event shall Definitive Securities be issued upon the transfer or exchange of
beneficial interests in the Regulation S Global Security prior to the expiration of the
Restricted Period.

Upon consummation of a Registered Exchange Offer by the Company in accordance with Section
2.6(f) hereof, the requirements of this Section 2.6(b)(2) shall be deemed to have been
satisfied upon receipt by the Registrar of the instructions contained in the Letter of Transmittal
delivered by the Holder of such beneficial interests in the Restricted Global Securities. Upon
satisfaction of all of the requirements for transfer or exchange of beneficial interests in Global
Securities contained in this Indenture, the Securities or otherwise applicable under the Securities
Act, the principal amount of the relevant Global Security(s) shall be adjusted pursuant to
Section 2.6(h) hereof.

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          (3) Transfer of Beneficial Interests to Another Restricted Global Security. A beneficial
interest in any Restricted Global Security may be transferred to a Person who takes delivery
thereof in the form of a beneficial interest in another Restricted Global Security if the transfer
complies with the requirements of Section 2.6(b)(2) above and the Registrar receives the
following:

          (A) if the transferee will take delivery in the form of a beneficial interest in the
144A Global Security, then the transferor must deliver a certificate in the form of
Exhibit B hereto, including the certifications in item (1) thereof; and

          (B) if the transferee will take delivery in the form of a beneficial interest in the
Regulation S Global Security, then the transferor must deliver a certificate in the form of
Exhibit B hereto, including the certifications in item (2) thereof, and if such
transfer occurs prior to the expiration of the Restricted Period, then the transferee must
hold such beneficial interest through either Euroclear or Clearstream (as Indirect
Participants in the Depositary).

          (4) Transfer and Exchange of Beneficial Interests in a Restricted Global Security for
Beneficial Interests in the Unrestricted Global Security. A beneficial interest in any Restricted
Global Security may be exchanged by any holder thereof for a beneficial interest in an Unrestricted
Global Security or transferred to a Person who takes delivery thereof in the form of a beneficial
interest in an Unrestricted Global Security if the exchange or transfer complies with the
requirements of Section 2.6(b)(2) above and:

          (A) such exchange or transfer is effected pursuant to a Registered Exchange Offer in
accordance with the applicable Registration Rights Agreement and the holder of the
beneficial interest to be transferred, in the case of an exchange, or the transferee, in the
case of a transfer, certifies in the applicable Letter of Transmittal (or via the
Depositary’s book-entry system) that it is not (i) a broker-dealer, (ii) a Person
participating in the distribution of the Exchange Securities or (iii) a Person who is an
affiliate (as defined in Rule 144) of the Company;

          (B) such transfer is effected pursuant to a Shelf Registration Statement in accordance
with the applicable Registration Rights Agreement;

          (C) such transfer is effected by an Exchanging Dealer pursuant to an Exchange Offer
Registration Statement in accordance with the applicable Registration Rights Agreement; or

          (D) the Registrar receives the following:

          (i) if the holder of such beneficial interest in a Restricted Global Security
proposes to exchange such beneficial interest for a beneficial interest in an
Unrestricted Global Security, a certificate from such holder in the form of
Exhibit C hereto, including the certifications in item (1)(a) thereof; or

          (ii) if the holder of such beneficial interest in a Restricted Global Security
proposes to transfer such beneficial interest to a Person who shall

38

 

take delivery thereof in the form of a beneficial interest in an Unrestricted
Global Security, a certificate from such holder in the form of Exhibit B
hereto, including the certifications in item (4) thereof;

and, in each such case set forth in this subparagraph (D), if the Registrar so requests or
if the Applicable Procedures so require, an Opinion of Counsel in form reasonably acceptable
to the Registrar to the effect that such exchange or transfer is in compliance with the
Securities Act and state “blue sky” laws and that the restrictions on transfer contained
herein and in the Private Placement Legend are no longer required in order to maintain
compliance with the Securities Act.

     If any such transfer is effected pursuant to subparagraph (B) or (D) above at a time when an
Unrestricted Global Security has not yet been issued, the Company shall issue and, upon receipt of
a written order in accordance with Section 2.2 hereof, the Trustee shall authenticate one
or more Unrestricted Global Securities in an aggregate principal amount equal to the aggregate
principal amount of beneficial interests transferred pursuant to subparagraph (B) or (D) above.

     Beneficial interests in an Unrestricted Global Security cannot be exchanged for, or
transferred to Persons who take delivery thereof in the form of, a beneficial interest in a
Restricted Global Security.

     (c) Transfer or Exchange of Beneficial Interests for Definitive Securities.

          (1) Beneficial Interests in Restricted Global Securities to Restricted Definitive Securities.
If any holder of a beneficial interest in a Restricted Global Security proposes to exchange such
beneficial interest for a Restricted Definitive Security or to transfer such beneficial interest to
a Person who takes delivery thereof in the form of a Restricted Definitive Security, then, upon
receipt by the Registrar of the following documentation:

          (A) if the holder of such beneficial interest in a Restricted Global Security proposes
to exchange such beneficial interest for a Restricted Definitive Security, a certificate
from such holder in the form of Exhibit C hereto, including the certifications in
item (2)(a) thereof;

          (B) if such beneficial interest is being transferred to a QIB in accordance with Rule
144A, a certificate to the effect set forth in Exhibit B hereto, including the
certifications in item (1) thereof; or

          (C) if such beneficial interest is being transferred to a non-U.S. Person in an
offshore transaction in accordance with Rule 904, a certificate to the effect set forth in
Exhibit B hereto, including the certifications in item (2) thereof,

the Registrar shall cause the aggregate principal amount of the applicable Global Security to be
reduced accordingly pursuant to Section 2.6(h) hereof, and the Company shall execute and
the Trustee shall authenticate and deliver to the Person designated in the instructions a
Definitive Security in the appropriate principal amount. Any Definitive Security issued in
exchange for a beneficial interest in a Restricted Global Security pursuant to this Section
2.6(c) shall be

39

 

registered in such name or names and in such authorized denomination or denominations as the holder
of such beneficial interest shall instruct the Registrar through instructions from the Depositary
and the Participant or Indirect Participant. The Trustee shall deliver such Definitive Securities
to the Persons in whose names such Securities are so registered. Any Definitive Security issued in
exchange for a beneficial interest in a Restricted Global Security pursuant to this Section
2.6(c)(1) shall bear the Private Placement Legend and shall be subject to all restrictions on
transfer contained therein. Notwithstanding Sections 2.6(c)(1)(A) and (C) hereof,
a beneficial interest in the Regulation S Global Security may not be exchanged for a Definitive
Security or transferred to a Person who takes delivery thereof in the form of a Definitive Security
prior to the expiration of the Restricted Period, except in the case of a transfer pursuant to an
exemption from the registration requirements of the Securities Act other than Rule 903 or Rule 904.

          (2) Beneficial Interests in Restricted Global Securities to Unrestricted Definitive
Securities. A holder of a beneficial interest in a Restricted Global Security may exchange such
beneficial interest for an Unrestricted Definitive Security or may transfer such beneficial
interest to a Person who takes delivery thereof in the form of an Unrestricted Definitive Security
only if:

          (A) such exchange or transfer is effected pursuant to a Registered Exchange Offer in
accordance with the applicable Registration Rights Agreement and the holder of such
beneficial interest, in the case of an exchange, or the transferee, in the case of a
transfer, certifies in the applicable Letter of Transmittal (or via the Depositary’s
book-entry system) that it is not (i) a broker-dealer, (ii) a Person participating in the
distribution of the Exchange Securities or (iii) a Person who is an affiliate (as defined in
Rule 144) of the Company;

          (B) such transfer is effected pursuant to a Shelf Registration Statement in accordance
with the applicable Registration Rights Agreement;

          (C) such transfer is effected by an Exchanging Dealer pursuant to an Exchange Offer
Registration Statement in accordance with the applicable Registration Rights Agreement; or

          (D) the Registrar receives the following:

          (i) if the holder of such beneficial interest in a Restricted Global Security
proposes to exchange such beneficial interest for an Unrestricted Definitive
Security, a certificate from such holder in the form of Exhibit C hereto,
including the certifications in item (1)(b) thereof; or

          (ii) if the holder of such beneficial interest in a Restricted Global Security
proposes to transfer such beneficial interest to a Person who shall take delivery
thereof in the form of an Unrestricted Definitive Security, a certificate from such
holder in the form of Exhibit B hereto, including the certifications in item
(4) thereof;

and, in each such case set forth in this subparagraph (D), if the Registrar so requests or
if the Applicable Procedures so require, an Opinion of Counsel in form reasonably

40

 

acceptable to the Registrar to the effect that such exchange or transfer is in compliance
with the Securities Act and state “blue sky” laws and that the restrictions on transfer
contained herein and in the Private Placement Legend are no longer required in order to
maintain compliance with the Securities Act.

          (3) Beneficial Interests in Unrestricted Global Securities to Unrestricted Definitive
Securities. If any holder of a beneficial interest in an Unrestricted Global Security proposes to
exchange such beneficial interest for a Definitive Security or to transfer such beneficial interest
to a Person who takes delivery thereof in the form of a Definitive Security, then, upon
satisfaction of the conditions set forth in Section 2.6(b)(2) hereof, the Registrar shall cause the
aggregate principal amount of the applicable Global Security to be reduced accordingly pursuant to
Section 2.6(h) hereof, and the Company shall execute and the Trustee shall authenticate and
deliver to the Person designated in the instructions a Definitive Security in the appropriate
principal amount. Any Definitive Security issued in exchange for a beneficial interest pursuant to
this Section 2.6(c)(3) shall be registered in such name or names and in such authorized
denomination or denominations as the holder of such beneficial interest shall instruct the
Registrar through instructions from the Depositary and the Participant or Indirect Participant.
The Trustee shall deliver such Definitive Securities to the Persons in whose names such Securities
are so registered. Any Definitive Security issued in exchange for a beneficial interest pursuant
to this Section 2.6(c)(3) shall not bear the Private Placement Legend.

     (d) Transfer and Exchange of Definitive Securities for Beneficial Interests.

          (1) Restricted Definitive Securities to Beneficial Interests in Restricted Global Securities.
If any Holder of a Restricted Definitive Security proposes to exchange such Security for a
beneficial interest in a Restricted Global Security or to transfer such Restricted Definitive
Security to a Person who takes delivery thereof in the form of a beneficial interest in a
Restricted Global Security, then, upon receipt by the Registrar of the following documentation:

          (A) if the Holder of such Restricted Definitive Security proposes to exchange such
Security for a beneficial interest in a Restricted Global Security, a certificate from such
Holder in the form of Exhibit C hereto, including the certifications in item (2)(b)
thereof;

          (B) if such Restricted Definitive Security is being transferred to a QIB in accordance
with Rule 144A, a certificate to the effect set forth in Exhibit B hereto, including
the certifications in item (1) thereof; or

          (C) if such Restricted Definitive Security is being transferred to a non-U.S. Person in
an offshore transaction in accordance with Rule 904, a certificate to the effect set forth
in Exhibit B hereto, including the certifications in item (2) thereof,

the Trustee shall cancel the Restricted Definitive Security, the Registrar shall increase or cause
to be increased the aggregate principal amount of, in the case of clause (A) above, the appropriate
Restricted Global Security, in the case of clause (B) above, the 144A Global Security, and in the
case of clause (C) above, the Regulation S Global Security.

41

 

          (2) Restricted Definitive Securities to Beneficial Interests in Unrestricted Global
Securities. A Holder of a Restricted Definitive Security may exchange such Security for a
beneficial interest in an Unrestricted Global Security or transfer such Restricted Definitive
Security to a Person who takes delivery thereof in the form of a beneficial interest in an
Unrestricted Global Security only if:

          (A) such exchange or transfer is effected pursuant to a Registered Exchange Offer in
accordance with applicable Registration Rights Agreement and the Holder, in the case of an
exchange, or the transferee, in the case of a transfer, certifies in the applicable Letter
of Transmittal (or via the Depositary’s book-entry system) that it is not (1) a
broker-dealer, (2) a Person participating in the distribution of the Exchange Securities or
(3) a Person who is an affiliate (as defined in Rule 144) of the Company;

          (B) such transfer is effected pursuant to a Shelf Registration Statement in accordance
with the applicable Registration Rights Agreement;

          (C) such transfer is effected by an Exchanging Dealer pursuant to an Exchange Offer
Registration Statement in accordance with the applicable Registration Rights Agreement; or

          (D) the Registrar receives the following:

          (i) if the Holder of such Definitive Securities proposes to exchange such
Securities for a beneficial interest in the Unrestricted Global Security, a
certificate from such Holder in the form of Exhibit C hereto, including the
certifications in item (1)(c) thereof; or

          (ii) if the Holder of such Definitive Securities proposes to transfer such
Securities to a Person who shall take delivery thereof in the form of a beneficial
interest in the Unrestricted Global Security, a certificate from such Holder in the
form of Exhibit B hereto, including the certifications in item (4) thereof;

and, in each such case set forth in this subparagraph (D), if the Registrar so requests or
if the Applicable Procedures so require, an Opinion of Counsel in form reasonably acceptable
to the Registrar to the effect that such exchange or transfer is in compliance with the
Securities Act and state “blue sky” laws and that the restrictions on transfer contained
herein and in the Private Placement Legend are no longer required in order to maintain
compliance with the Securities Act.

     Upon satisfaction of the conditions of any of the subparagraphs in this Section
2.6(d)(2), the Trustee shall cancel the Definitive Securities and the Registrar shall increase
or cause to be increased the aggregate principal amount of the Unrestricted Global Security.

          (3) Unrestricted Definitive Securities to Beneficial Interests in Unrestricted Global
Securities. A Holder of an Unrestricted Definitive Security may exchange such Security for a
beneficial interest in an Unrestricted Global Security or transfer such Definitive Security to a
Person who takes delivery thereof in the form of a beneficial interest in an Unrestricted Global

42

 

Security at any time. Upon receipt of a request for such an exchange or transfer, the Trustee
shall cancel the applicable Unrestricted Definitive Security and the Registrar shall increase or
cause to be increased the aggregate principal amount of one of the Unrestricted Global Securities.

     If any such exchange or transfer from a Definitive Security to a beneficial interest is
effected pursuant to subparagraph (2)(B), (2)(D) or (3) above at a time when an Unrestricted Global
Security has not yet been issued, the Company shall issue and, upon receipt of an Authentication
Order in accordance with Section 2.2 hereof, the Trustee shall authenticate one or more
Unrestricted Global Securities in an aggregate principal amount equal to the principal amount of
Definitive Securities so transferred.

     (e) Transfer and Exchange of Definitive Securities for Definitive Securities. Upon request by
a Holder of Definitive Securities and such Holder’s compliance with the provisions of this
Section 2.6(e), the Registrar shall register the transfer or exchange of Definitive
Securities. Prior to such registration of transfer or exchange, the requesting Holder shall
present or surrender to the Registrar the Definitive Securities duly endorsed or accompanied by a
written instruction of transfer in form satisfactory to the Registrar duly executed by such Holder
or by its attorney, duly authorized in writing. In addition, the requesting Holder shall provide
any additional certifications, documents and information, as applicable, required pursuant to the
following provisions of this Section 2.6(e).

          (1) Restricted Definitive Securities to Restricted Definitive Securities. Any Restricted
Definitive Security may be transferred to and registered in the name of Persons who take delivery
thereof in the form of a Restricted Definitive Security if the Registrar receives the following:

          (A) if the transfer will be made pursuant to Rule 144A, then the transferor must
deliver a certificate in the form of Exhibit B hereto, including the certifications
in item (1) thereof;

          (B) if the transfer will be made pursuant to Rule 904, then the transferor must deliver
a certificate in the form of Exhibit B hereto, including the certifications in item
(2) thereof; and

          (C) if the transfer will be made pursuant to any other exemption from the registration
requirements of the Securities Act, then the transferor must deliver a certificate in the
form of Exhibit B hereto, including the certifications required by item (3) thereof.

          (2) Restricted Definitive Securities to Unrestricted Definitive Securities. Any Restricted
Definitive Security may be exchanged by the Holder thereof for an Unrestricted Definitive Security
or transferred to a Person or Persons who take delivery thereof in the form of an Unrestricted
Definitive Security if:

          (A) such exchange or transfer is effected pursuant to a Registered Exchange Offer in
accordance with the applicable Registration Rights Agreement and the Holder, in the case of
an exchange, or the transferee, in the case of a transfer, certifies in

43

 

the applicable Letter of Transmittal (or via the Depositary’s book-entry system) that
it is not (1) a broker-dealer, (2) a Person participating in the distribution of the
Exchange Securities or (3) a Person who is an affiliate (as defined in Rule 144) of the
Company;

          (B) any such transfer is effected pursuant to a Shelf Registration Statement in
accordance with the applicable Registration Rights Agreement;

          (C) any such transfer is effected by an Exchanging Dealer pursuant to an Exchange Offer
Registration Statement in accordance with the applicable Registration Rights Agreement; or

          (D) the Registrar receives the following:

          (i) if the Holder of such Restricted Definitive Securities proposes to exchange
such Securities for an Unrestricted Definitive Security, a certificate from such
Holder in the form of Exhibit C hereto, including the certifications in item
(1)(d) thereof; or

          (ii) if the Holder of such Restricted Definitive Security proposes to transfer
such Securities to a Person who shall take delivery thereof in the form of an
Unrestricted Definitive Security, a certificate from such Holder in the form of
Exhibit B hereto, including the certifications in item (4) thereof;

and, in each such case set forth in this subparagraph (D), if the Registrar so requests, an
Opinion of Counsel in form reasonably acceptable to the Registrar to the effect that such
exchange or transfer is in compliance with the Securities Act and state “blue sky” laws and
that the restrictions on transfer contained herein and in the Private Placement Legend are
no longer required in order to maintain compliance with the Securities Act.

          (3) Unrestricted Definitive Securities to Unrestricted Definitive Securities. A Holder of
Unrestricted Definitive Securities may transfer such Securities to a Person who takes delivery
thereof in the form of an Unrestricted Definitive Security. Upon receipt of a request to register
such a transfer, the Registrar shall register the Unrestricted Definitive Security pursuant to the
instructions from the Holder thereof.

     (f) (1) Registered Exchange Offer. Upon the occurrence of a Registered Exchange Offer in
accordance with the applicable Registration Rights Agreement, the Company shall issue and, upon
receipt of a written order in accordance with Section 2.2, the Trustee shall authenticate:

     (A) one or more Unrestricted Global Securities in an aggregate principal amount equal
to the principal amount of the beneficial interests in the Restricted Global Securities
tendered for acceptance by Persons that certify in the applicable Letters of Transmittal (or
via the Depositary’s book-entry system), among other things, that (I) they are not
broker-dealers, (II) they are not participating in a distribution of the Exchange Securities
and (III) they are not affiliates (as defined in Rule 144) of the Company, and accepted for
exchange in the Registered Exchange Offer; and

44

 

     (B) Unrestricted Definitive Securities in an aggregate principal amount equal to the
principal amount of any Restricted Definitive Securities accepted for exchange in the
Registered Exchange Offer.

     Concurrently with the issuance of such Securities, the Registrar shall cause the aggregate
principal amount of the applicable Restricted Global Securities to be reduced accordingly, and the
Company shall execute and the Trustee shall authenticate, and deliver to the Persons designated by
the Holders of any Definitive Securities so accepted, Unrestricted Definitive Securities in the
appropriate principal amount.

     (2) If upon consummation of a Registered Exchange Offer, any Initial Purchaser holds
Initial Securities acquired by it as part of the initial distribution thereof, the Company,
upon written request of such Initial Purchaser, simultaneously with the delivery of the
Exchange Securities pursuant to the Registered Exchange Offer, shall issue and deliver to
such Initial Purchaser and, upon receipt of a written order in accordance with Section
2.2 hereof, the Trustee shall authenticate, one or more Restricted Definitive Securities
representing Private Exchange Securities in a Private Exchange for the Initial Securities
held by such Initial Purchaser, in an aggregate principal amount equal to the Initial
Securities so exchanged by such Initial Purchaser in the Private Exchange.

     (g) Legends. The following legends shall appear on the face of all Global Securities and
Definitive Securities issued under this Indenture unless specifically stated otherwise in the
applicable provisions of this Indenture.

          (1) Private Placement Legend.

          (A) Except as permitted by subparagraph (B) below or as otherwise agreed between the
Company and the Holder, each Global Security and each Definitive Security (and all
Securities issued in exchange therefor or substitution thereof) shall bear a legend, until
the Resale Restriction Termination Date, in substantially the following form:

     “THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT
OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES
LAWS. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION
HEREIN MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED,
ENCUMBERED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF SUCH
REGISTRATION OR UNLESS SUCH TRANSACTION IS EXEMPT FROM, OR NOT
SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT.

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     THE HOLDER OF THIS SECURITY BY ITS ACCEPTANCE HEREOF (1)
REPRESENTS THAT (A) IT IS A “QUALIFIED INSTITUTIONAL BUYER” (AS
DEFINED IN RULE 144A UNDER THE SECURITIES ACT (“RULE 144A”)), OR
(B) IT IS A NON-U.S. PURCHASER AND IS ACQUIRING THIS SECURITY IN AN
OFFSHORE TRANSACTION WITHIN THE MEANING OF REGULATION S UNDER THE
SECURITIES ACT, PURSUANT TO RULE 904 OF REGULATION S, AND (2) AGREES
TO OFFER, SELL OR OTHERWISE TRANSFER SUCH SECURITY, PRIOR TO THE
DATE WHICH IS ONE YEAR AFTER THE LATER OF THE ORIGINAL ISSUE DATE
HEREOF (OR ANY PREDECESSOR OF THIS SECURITY) AND THE LAST DATE ON
WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE OWNER OF
THIS SECURITY (OR ANY PREDECESSOR OF SUCH SECURITY), ONLY (A) TO THE
COMPANY OR ANY OF ITS SUBSIDIARIES, (B) PURSUANT TO A REGISTRATION
STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES
ACT, (C) FOR SO LONG AS THE SECURITIES ARE ELIGIBLE FOR RESALE
PURSUANT TO RULE 144A, TO A PERSON IT REASONABLY BELIEVES IS A
“QUALIFIED INSTITUTIONAL BUYER” AS DEFINED IN RULE 144A THAT
PURCHASES FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE TRANSFER IS
BEING MADE IN RELIANCE ON RULE 144A, (D) PURSUANT TO OFFERS AND
SALES TO NON-U.S. PURCHASERS THAT OCCUR OUTSIDE THE UNITED STATES
WITHIN THE MEANING OF REGULATION S UNDER THE SECURITIES ACT,
PURSUANT TO RULE 904 OF REGULATION S, OR (E) PURSUANT TO ANOTHER
AVAILABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE
SECURITIES ACT AND THE SECURITIES LAWS OF ANY OTHER JURISDICTION,
INCLUDING ANY STATE OF THE UNITED STATES, SUBJECT TO THE COMPANY’S
AND THE TRUSTEE’S RIGHT PRIOR TO ANY SUCH OFFER, SALE OR TRANSFER
PURSUANT TO CLAUSE (D) OR (E) TO REQUIRE THE DELIVERY OF AN OPINION
OF COUNSEL, CERTIFICATION AND/OR OTHER INFORMATION SATISFACTORY TO
EACH OF THEM, AND IN EACH OF THE FOREGOING CASES, A CERTIFICATE OF
TRANSFER OR EXCHANGE IN THE FORM APPEARING IN THE INDENTURE IS
COMPLETED AND DELIVERED BY THE TRANSFEROR TO THE TRUSTEE. THIS
LEGEND WILL BE REMOVED UPON THE REQUEST OF THE HOLDER OR THE

46

 

COMPANY ON OR AFTER THE RESALE RESTRICTION TERMINATION DATE.”

          (B) Notwithstanding the foregoing, any Global Security or Definitive Security issued
pursuant to subparagraph (b)(4), (c)(2), (c)(3), (d)(2), (d)(3), (e)(2), (e)(3) or (f) of
this Section 2.6 (and all Securities issued in exchange therefor or substitution
thereof) shall not bear the Private Placement Legend. The Company, acting in its discretion,
may remove the Private Placement Legend from any Restricted Security at any time on or after
the Resale Restriction Termination Date applicable to such Restricted Security. Without
limiting the generality of the preceding sentence, the Company may effect such removal by
issuing and delivering, in exchange for such Restricted Security, an Unrestricted Security,
registered to the same Holder and in an equal principal amount, and, notwithstanding any
other provision of this Section 2.6, upon receipt of a written order of the Company given
at least three Business Days in advance of the proposed date of exchange specified therein
(which shall be no earlier than the Resale Restriction Termination Date), the Trustee shall
authenticate and deliver such Unrestricted Security as directed in such order.

          (2) Global Security Legend. Each Global Security shall bear a legend in substantially the
following form:

     “THIS GLOBAL SECURITY IS HELD BY THE DEPOSITARY (AS DEFINED IN
THE INDENTURE GOVERNING THIS SECURITY) OR ITS NOMINEE IN CUSTODY FOR
THE BENEFIT OF THE BENEFICIAL OWNERS HEREOF, AND IS NOT TRANSFERABLE
TO ANY PERSON UNDER ANY CIRCUMSTANCES EXCEPT THAT (I) THE REGISTRAR
MAY MAKE SUCH NOTATIONS HEREON AS MAY BE REQUIRED PURSUANT TO
SECTION 2.6 OF THE INDENTURE, (II) THIS GLOBAL SECURITY MAY
BE EXCHANGED IN WHOLE BUT NOT IN PART PURSUANT TO SECTION
2.6(a) OF THE INDENTURE AND (III) THIS GLOBAL SECURITY MAY BE
DELIVERED TO THE TRUSTEE FOR CANCELLATION PURSUANT TO SECTION
2.10 OF THE INDENTURE.

     UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR
SECURITIES IN DEFINITIVE FORM, THIS SECURITY MAY NOT BE TRANSFERRED
EXCEPT AS A WHOLE BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY
OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER
NOMINEE OF THE DEPOSITARY OR BY THE DEPOSITARY OR ANY SUCH NOMINEE
TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY.
UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST

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COMPANY (55 WATER STREET, NEW YORK, NEW YORK) (“DTC”) TO THE
COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR
PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF
CEDE & CO. OR SUCH OTHER NAME AS MAY BE REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR SUCH
OTHER ENTITY AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF
DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED
OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.”

     (h) Cancellation and/or Adjustment of Global Securities. At such time as all beneficial
interests in a particular Global Security have been exchanged for Definitive Securities or a
particular Global Security has been redeemed, repurchased or canceled in whole and not in part,
each such Global Security shall be returned to or retained and canceled by the Trustee in
accordance with Section 2.10 hereof. At any time prior to such cancellation, if any
beneficial interest in a Global Security is exchanged for or transferred to a Person who will take
delivery thereof in the form of a beneficial interest in another Global Security or for Definitive
Securities, the principal amount of Securities represented by such Global Security shall be reduced
accordingly and an endorsement shall be made on such Global Security by the Trustee or by the
Securities Custodian at the direction of the Trustee to reflect such reduction; and if the
beneficial interest is being exchanged for or transferred to a Person who will take delivery
thereof in the form of a beneficial interest in another Global Security, such other Global Security
shall be increased accordingly and an endorsement shall be made on such Global Security by the
Trustee or by the Securities Custodian at the direction of the Trustee to reflect such increase.

     (i) General Provisions Relating to Transfers and Exchanges.

          (1) To permit registrations of transfers and exchanges, the Company shall execute and the
Trustee shall authenticate Global Securities and Definitive Securities upon the Company’s order or
at the Registrar’s request.

          (2) No service charge shall be made to a holder of a beneficial interest in a Global Security
or to a Holder of a Definitive Security for any registration of transfer or exchange, but the
Company may require payment of a sum sufficient to cover any transfer tax or similar governmental
charge or other fee required by law and payable in connection therewith (other than any such
transfer taxes or similar governmental charge payable upon exchange or transfer pursuant to
Sections 2.9 , 3.6, 3.7, 4.7 and 4.11 hereof).

          (3) All Global Securities and Definitive Securities issued upon any registration of transfer
or exchange of Global Securities or Definitive Securities shall be the valid obligations of the
Company, evidencing the same debt, and entitled to the same benefits under this Indenture,
as the Global Securities or Definitive Securities surrendered upon such registration of
transfer or exchange.

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          (4) None of the Company, the Trustee or the Registrar shall be required (A) to issue, to
register the transfer of or to exchange any Securities during a period of 15 days before the day of
any selection of Securities for redemption under Section 3.2 hereof and ending at the close
of business on the day of selection, (B) to register the transfer of or to exchange any Securities
so selected for redemption in whole or in part, except the unredeemed portion of any Security being
redeemed in part or (C) to register the transfer of or to exchange a Security between a record date
and the next succeeding Interest Payment Date.

          (5) Prior to the due presentation for registration of transfer of any Security, the Company,
each Guarantor, the Trustee, the Paying Agent or the Registrar may deem and treat the Person in
whose name a Security is registered as the absolute owner of such Security for the purpose of
receiving payment of principal, interest and premium (if any) on such Security and for all other
purposes whatsoever, whether or not such Security is overdue, and none of the Company, the Trustee,
the Paying Agent or the Registrar shall be affected by notice to the contrary.

          (6) The Trustee shall authenticate Global Securities and Definitive Securities upon receipt of
a written order of the Company and in accordance with the other provisions of Section 2.2
hereof.

          (7) All certifications, certificates and Opinions of Counsel required to be submitted to the
Registrar pursuant to this Section 2.6 to effect a registration of transfer or exchange may
be submitted by facsimile.

Section 2.7 Replacement Securities

     If any mutilated Security is surrendered to the Registrar or the Company and the Registrar
receive evidence to their satisfaction of the destruction, loss or theft of any Security, the
Company will issue and the Trustee, upon receipt of a written order of the Company conforming to
Section 2.2 hereof, will authenticate a replacement Security if the Registrar’s and the
Company’s reasonable requirements are met. If required by the Registrar or the Company, an
indemnity bond must be supplied by the Holder that is sufficient in the judgment of the Registrar,
the Trustee and the Company to protect the Company, the Trustee, the Registrar, any other Agent and
any Authenticating Agent from any loss that any of them may suffer if a Security is replaced.

     Every replacement Security is an additional obligation of the Company and will be entitled to
all of the benefits of this Indenture equally and proportionately with all other Securities duly
issued hereunder.

     Notwithstanding any other provision of this Section, rather than authenticating and delivering
a replacement Security for a mutilated, destroyed, loss or stolen Security which has been redeemed
or the principal of which has matured, the Company or the Paying Agent may make payment of the
amount due on such security to the Holder upon receipt of the above-described indemnity bond.

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Section 2.8 Outstanding Securities

     The Securities outstanding at any time are all the Securities authenticated by the Trustee
except for those canceled by it, those delivered to it for cancellation, those reductions in the
interest in a Global Security effected by the Trustee in accordance with the provisions hereof, and
those described in this Section as not outstanding. Except as set forth in Section 11.6
hereof, a Security does not cease to be outstanding because the Company or an Affiliate of the
Company holds the Security.

     If a Security is replaced pursuant to Section 2.7 hereof, it ceases to be outstanding
unless the Trustee receives proof satisfactory to it that the replaced Security is held by a
protected purchaser.

     If the principal amount of any Security is considered paid under Section 4.1 hereof,
it ceases to be outstanding and interest on it ceases to accrue.

     If the Paying Agent (other than the Company, a Subsidiary or an Affiliate of any thereof)
holds, on a Redemption Date or maturity date, money sufficient to pay Securities payable on that
date, then on and after that date such Securities will be deemed to be no longer outstanding and
will cease to accrue interest.

Section 2.9 Temporary Securities

     Until Definitive Securities are ready for delivery, the Company may prepare and the Trustee
shall authenticate temporary Securities. Temporary Securities shall be substantially in the form
of Definitive Securities but may have variations that the Company considers appropriate for
temporary Securities. Without unreasonable delay, the Company shall prepare and the Trustee shall
authenticate Definitive Securities in exchange for temporary Securities. Holders of temporary
Securities shall in all respects be entitled to the same benefits under this Indenture as a holder
of Definitive Securities.

Section 2.10 Cancellation

     The Company at any time may deliver Securities to the Trustee or any Registrar for
cancellation. The Registrar and the Paying Agent shall forward to the Trustee any Securities
surrendered to them for registration of transfer, exchange or payment. The Trustee or the
Registrar and no one else shall cancel and destroy (subject to the record retention requirements of
the Exchange Act) all Securities surrendered for registration of transfer, exchange, payment,
replacement or cancellation and deliver a certificate of such destruction to the Company unless the
Company directs the Trustee and the Registrar to deliver canceled Securities to the Company. The
Company may not issue new Securities to replace Securities it has redeemed, paid or delivered to
the Trustee or the Registrar for cancellation.

Section 2.11 Defaulted Interest

     If the Company defaults in a payment of interest (“Defaulted Interest”) on the Securities, the
Company shall pay Defaulted Interest (as provided in Section 4.1) in any lawful manner.
The Company may pay the Defaulted Interest to the Persons who are Holders on a subsequent

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special record date. The Company shall fix or cause to be fixed (or upon the Company’s
failure to do so the Trustee shall fix pursuant to a written instruction of Holders of at least a
majority in principal amount of the Securities) any such special record date and payment date to
the reasonable satisfaction of the Trustee which special record date shall not be less than 10 days
prior to the payment date for such Defaulted Interest and the Company, or at the Company’s request,
the Trustee, shall promptly mail or cause to be mailed to each Holder a notice that states the
special record date, the payment date and the amount of Defaulted Interest to be paid. The Company
shall notify the Trustee in writing of the amount of Defaulted Interest proposed to be paid on each
Security and the date of the proposed payment, and at the same time the Company shall deposit with
the Trustee an amount of money equal to the aggregate amount proposed to be paid in respect of such
Defaulted Interest or shall make arrangements satisfactory to the Trustee for such deposit prior to
the date of the proposed payment, such money when so deposited to be held in trust for the benefit
of the Persons entitled to such Defaulted Interest as provided in this Section 2.11.

Section 2.12 CUSIP Numbers

     The Company in issuing the Securities may use “CUSIP,” “ISIN” or similar numbers (if then
generally in use) and, if so, the Trustee shall use such numbers in notices of redemption as a
convenience to Holders; provided, however, that any such notice may state that no representation is
made as to the correctness of such numbers either as printed on the Securities or as contained in
any notice of a redemption and that reliance may be placed only on the other identification numbers
printed on the Securities, and any such redemption shall not be affected by any defect in or
omission of such numbers.

ARTICLE III

REDEMPTION

Section 3.1 Notices to Trustee

     If the Company elects to redeem Securities pursuant to Section 3.7 hereof, it shall
notify the Trustee in writing of the Redemption Date and the principal amount of Securities to be
redeemed.

     The Company shall give each notice to the Trustee and the Registrar provided for in this
Section 3.1 at least 60 days before the Redemption Date unless the Trustee consents to a
shorter period. If such redemption is to be effected pursuant to Section 3.7(b), then such
notice shall be accompanied by an Officers’ Certificate to the effect that such redemption will
comply with the conditions therein. If fewer than all the Securities are to be redeemed, the
record date relating to such redemption shall be selected by the Company and set forth in the
related notice given to the Trustee, which record date shall be not less than 15 days after the
date of such notice.

Section 3.2 Selection of Securities to Be Redeemed

     In the case of any partial redemption, selection of the Securities for redemption will be made
by the Trustee in compliance with the requirements of the principal national securities exchange,
if any, on which the Securities are listed or, if the Securities are not listed, then on a

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pro rata basis and in such manner as complies with applicable legal requirements. The Trustee
shall make the selection from outstanding Securities not previously called for redemption. The
Trustee may select for redemption portions of the principal of Securities that have denominations
larger than $2,000. Securities and portions of them the Trustee selects shall be in minimum
amounts of $2,000 or a whole multiple of $1,000 in excess thereof. Provisions of this Indenture
that apply to Securities called for redemption also apply to portions of Securities called for
redemption. The Trustee shall notify the Company promptly of the Securities or portions of
Securities to be redeemed. The Trustee may rely upon information provided by the Registrar for
purposes of this Section 3.2.

Section 3.3 Notice of Redemption

     At least 30 days but not more than 60 days before a date for redemption of Securities, the
Company shall mail a notice of redemption by first-class mail to each Holder of Securities to be
redeemed at such Holder’s registered address.

     The notice shall identify the Securities to be redeemed and shall state:

          (1) the Redemption Date;

          (2) the Redemption Price (if then determined and otherwise the basis for its determination);

          (3) the name and address of the Paying Agent where Securities are to be surrendered;

          (4) that Securities called for redemption must be surrendered to the Paying Agent to collect
the Redemption Price;

          (5) if fewer than all the outstanding Securities are to be redeemed, the identification and
principal amounts of the particular Securities to be redeemed;

          (6) that, unless the Company defaults in making such redemption payment, interest on
Securities (or portion thereof) called for redemption ceases to accrue on and after the Redemption
Date;

          (7) the CUSIP, ISIN or similar number, if any, printed on the Securities being redeemed; and

          (8) that no representation is made as to the correctness or accuracy of the CUSIP, ISIN or
similar number, if any, listed in such notice or printed on the Securities.

     At the Company’s request, the Trustee shall give the notice of redemption in the Company’s
name and at the Company’s expense. In such event, the Company shall provide the Trustee with the
information required by this Section 3.3.

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Section 3.4 Effect of Notice of Redemption

     Once notice of redemption is mailed to Holders, Securities (or portions thereof) called for
redemption become irrevocably due and payable on the Redemption Date and at the Redemption Price.
A notice of redemption may not be conditional. Upon surrender to the Paying Agent, such Securities
shall be paid at the Redemption Price stated in the notice, plus accrued and unpaid interest to the
Redemption Date; provided that if the Redemption Date is after the taking of a record of the
Holders on a record date and on or prior to the related Interest Payment Date, the accrued and
unpaid interest shall be payable to the Person in whose name the redeemed Securities are registered
on such record date. Failure to give notice or any defect in the notice to any Holder shall not
affect the validity of the notice to any other Holder.

Section 3.5 Deposit of Redemption Price

     No later than 11:00 a.m. (New York City time) on the Redemption Date, the Company shall
deposit with the Paying Agent (or, if the Company or a Subsidiary is the Paying Agent, shall
segregate and hold in trust) money sufficient to pay the Redemption Price of and accrued and unpaid
interest on all Securities to be redeemed on that date. If the Company complies with the
provisions of this paragraph, then on and after the Redemption Date, interest will cease to accrue
on the Securities or the portions of Securities called for redemption.

Section 3.6 Securities Redeemed in Part

     Upon cancellation of a Security that is redeemed in part, the Company shall issue and the
Trustee shall authenticate for the Holder (at the Company’s expense) a new Security equal in
principal amount to the unredeemed portion of the Security surrendered. The Trustee shall notify
the Registrar of the issuance of such new Security.

Section 3.7 Optional Redemption

     (a) On and after February 1, 2012, the Company may redeem all or a part of the Securities at
any time or from time to time at the following Redemption Prices (expressed as percentages of the
principal amount) plus accrued and unpaid interest on the Securities, if any, to the applicable
Redemption Date, if redeemed during the 12-month period beginning February 1 of the years
indicated:

	 	 	 	 	 
	Year	 	Redemption Price
	2012
	 	 	110.500	%
	2013
	 	 	105.250	%
	2014 and thereafter
	 	 	100.000	%

     (b) On or prior to February 1, 2012, the Company may on one or more occasions redeem up to an
aggregate amount equal to 35% of the aggregate principal amount of the Securities (including
Additional Securities) originally issued prior to the Redemption Date under this Indenture at a
Redemption Price of 110.5% of the principal amount of the Securities, plus accrued and unpaid
interest, if any, to the Redemption Date, with the Net Cash Proceeds of one or more Equity
Offerings; provided, that (i) at least 65% in aggregate principal amount of the

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Securities (including any Additional Securities) originally issued remains outstanding
immediately after the occurrence of such redemption (excluding Securities held by the Company and
its Subsidiaries) and (ii) each such redemption occurs within 180 days of the date of the closing
of the related Equity Offering.

     (c) In addition, at any time prior to February 1, 2012, the Company may redeem all or part of
the Securities at a Redemption Price equal to the sum of:

          (i) the principal amount thereof, plus

          (ii) accrued and unpaid interest, if any, to the Redemption Date, plus

          (iii) the Make Whole Premium at the Redemption Date.

     (d) Any redemption pursuant to this Section 3.7 shall be made pursuant to the
provisions of Sections 3.1 through 3.6 hereof.

     (e) The Securities will not be redeemable at the option of the Company except as set forth in
this Section 3.7. The Company is not, however, prohibited from acquiring the Securities by
means other than a redemption, whether pursuant to a tender offer, open market transactions or
otherwise, so long as the acquisition does not otherwise violate the terms of this Indenture.

ARTICLE IV

COVENANTS

Section 4.1 Payment of Securities

     The Company covenants and agrees for the benefit of the Holders of the Securities that it
shall promptly pay the principal of, premium, if any, and interest on the Securities on the dates
and in the manner provided in the Securities, this Indenture and, in the case of any Additional
Interest, the applicable Registration Rights Agreement. Payments of principal, premium, if any,
and interest on the Securities shall be deemed due for all purposes under this Indenture whether
such payments are due at Stated Maturity, upon redemption, upon required repurchase pursuant to
Section 4.7 or 4.11 hereof, upon declaration or otherwise. Principal, premium, if
any, and interest on the Securities shall be considered paid on the date due if by 11:00 a.m. (New
York City time) on such date the Paying Agent holds in accordance with this Indenture money
sufficient to pay all principal, premium, if any, and interest then due.

     The Company will pay, to the extent lawful, interest (including post-petition interest in any
proceeding under any Bankruptcy Law) on overdue principal and premium, if any, at the rate then in
effect on the Securities; it will pay, to the extent lawful, interest (including post-petition
interest in any proceeding under any Bankruptcy Law) on overdue installments of interest (without
regard to any applicable grace periods), from time to time on demand at the same rate as on overdue
principal.

     All references in this Indenture, the Securities or the Subsidiary Guarantees to “interest”
shall be deemed to include Additional Interest unless the context otherwise requires. The
Company shall give the Trustee advance written notice of the amount of any Additional Interest
that may be payable with respect to the Securities.

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Section 4.2 SEC Reports

     Whether or not required by the SEC, so long as any Securities are outstanding, the Company
will furnish to the Holders of Securities, within the time periods specified in the SEC’s rules and
regulations:

          (1) all quarterly and annual financial information that would be required to be contained in a
filing with the SEC on Forms 10-Q and 10-K if the Company were required to file such Forms,
including a section on “Management’s Discussion and Analysis of Financial Condition and Results of
Operations” and, with respect to the annual information only, a report on the annual financial
statements by the Company’s certified independent public accountants; and

          (2) all current reports that would be required to be filed with the SEC on Form 8-K if the
Company were required to file such reports.

     If the Company has designated any of its Subsidiaries as Unrestricted Subsidiaries, then the
quarterly and annual financial information required by the preceding paragraph shall include a
reasonably detailed presentation, either on the face of the financial statements or in the
footnotes thereto, and in Management’s Discussion and Analysis of Financial Condition and Results
of Operations, of the financial condition and results of operations of the Company and its
Restricted Subsidiaries separate from the financial condition and results of operations of the
Unrestricted Subsidiaries of the Company.

     In addition, whether or not required by the SEC, the Company will file a copy of all of the
information and reports referred to in clause (1) and (2) above with the SEC for public
availability within the time periods specified in the SEC’s rules and regulations (unless the SEC
will not accept such a filing).

     In addition, the Company agrees that, for so long as any Securities remain outstanding, if at
any time it is not required to file with the SEC the reports required by the preceding paragraphs
of this Section 4.2, it will furnish to Holders of Securities and to prospective investors,
upon request, the information required to be delivered pursuant to Rule 144A(d)(4) under the
Securities Act.

Section 4.3 Incurrence of Indebtedness

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly, create, incur, issue, assume, guarantee or otherwise become directly or indirectly
liable, contingently or otherwise, with respect to (collectively, “incur”) any Indebtedness
(including Acquired Debt); provided, however, that the Company and any Guarantor may incur
Indebtedness (including Acquired Debt), if the Fixed Charge Coverage Ratio for the Company’s most
recently ended four full fiscal quarters for which internal financial statements are available
immediately preceding the date on which such additional Indebtedness is incurred would have been at
least 2.5 to 1, determined on a pro forma basis (including a pro
forma application of the Net Cash Proceeds therefrom), as if the additional Indebtedness had
been incurred at the beginning of such four-quarter period.

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     (b) The foregoing paragraph (a) of this Section 4.3 will not prohibit the incurrence
of any of the following items of Indebtedness (collectively, “Permitted Indebtedness”):

          (1) the incurrence by the Company and any Guarantor of the Indebtedness under Credit
Facilities; provided that the aggregate principal amount of all Indebtedness of the Company and the
Guarantors outstanding at any time under this clause (1) under all Credit Facilities after giving
effect to such incurrence does not exceed an amount equal to the greater of (A) $1.0 billion less
the aggregate amount of all permanent principal repayments since the Issue Date under a Credit
Facility that are made under clause (b)(1) of Section 4.7 hereof and (B) 30% of ACNTA as of
the date of such incurrence;

          (2) the incurrence by the Company and its Restricted Subsidiaries of Existing Indebtedness
(other than Indebtedness described under clause (1), (3) or (6) of this paragraph (b));

          (3) the incurrence by the Company and the Guarantors of Indebtedness represented by (A) the
Initial Securities and the Subsidiary Guarantees, and (B) any Securities issued pursuant to the
Registration Rights Agreement in exchange for the Securities, and any Subsidiary Guarantees related
thereto;

          (4) the incurrence by the Company or any of its Restricted Subsidiaries of Non-Recourse
Purchase Money Indebtedness;

          (5) the incurrence by the Company or any of its Restricted Subsidiaries of Permitted
Refinancing Indebtedness in exchange for, or the Net Cash Proceeds of which are used to refund,
refinance or replace, Indebtedness (other than intercompany Indebtedness) that was permitted by
this Indenture to be incurred under paragraph (a) of this Section 4.3 covenant or clause
(2), (3), (4) or this clause (5) of this paragraph (b);

          (6) the incurrence by the Company or any of its Restricted Subsidiaries of intercompany
Indebtedness between or among the Company and any of its Restricted Subsidiaries; provided,
however, that:

          (A) (i) if the Company is the obligor on such Indebtedness, such Indebtedness must be
expressly subordinated to the prior payment in full in cash of all obligations with respect
to the Securities, and (ii) if a Guarantor is the obligor of such Indebtedness, such
Indebtedness must be expressly subordinated to the prior payment in full in cash of all
obligations of such Guarantor with respect to its Subsidiary Guarantee, and

          (B) (i) any subsequent issuance or transfer of Equity Interests that results in any
such Indebtedness being held by a Person other than the Company or a Restricted Subsidiary
thereof and (ii) any sale or other transfer of any such Indebtedness to a Person that is not
either the Company or a Restricted Subsidiary thereof, shall be deemed, in
each case, to constitute an incurrence of such Indebtedness by the Company or such
Restricted Subsidiary, as the case may be, that was not permitted by this clause;

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          (7) in-kind obligations relating to net oil and natural gas balancing positions arising in the
ordinary course of business;

          (8) the accrual of interest accretion or amortization of original issue discount, the payment
of interest on any Indebtedness in the form of additional Indebtedness with the same terms, and the
payment of dividends on Disqualified Stock, in the form of additional shares of the same class of
Disqualified Stock;

          (9) any obligations in respect of completion bonds, performance bonds, bid bonds, appeal
bonds, surety bonds, bankers acceptances, letters of credit, insurance obligations or bonds and
other similar bonds and obligations incurred by the Company or any Restricted Subsidiary in the
ordinary course of business and any guaranties or letters of credit functioning as or supporting
any of the foregoing bonds or obligations;

          (10) any obligation (including deferred premiums) under Interest Rate Agreements, Currency
Agreements and Commodity Agreements; provided, that such Interest Rate Agreements, Currency
Agreements and Commodity Agreements are related to business transactions of the Company or its
Restricted Subsidiaries and are entered into for bona fide hedging purposes of the Company or its
Restricted Subsidiaries (as determined in good faith by the Board of Directors or senior management
of the Company);

          (11) any obligation arising from agreements of the Company or a Restricted Subsidiary
providing for indemnification, guarantee, adjustment of purchase price, holdback, contingency
payment obligation based on the performance of the acquired or disposed asset or similar
obligations, in each case, incurred or assumed in connection with the acquisition or disposition of
any business, asset or Capital Stock of a Restricted Subsidiary;

          (12) any obligation arising from the honoring by a bank or other financial institution of a
check, draft or similar instrument drawn against insufficient funds in the ordinary course of
business, provided, however, that such Indebtedness is extinguished within five Business Days of
incurrence; and

          (13) the incurrence by the Company or any of its Restricted Subsidiaries of Indebtedness in
addition to Indebtedness permitted by clauses (1) through (12) above of this paragraph (b) or the
first paragraph (a) of this Section 4.3 above in an aggregate principal amount (or accrued
value, as applicable) at any time outstanding not to exceed $45.0 million.

     (c) For purposes of determining compliance with this Section 4.3:

          (1) in the event that an item of proposed Indebtedness meets the criteria of more than one of
the categories of Permitted Indebtedness described in clauses (1) through (13) of paragraph (b)
above, or is entitled to be incurred pursuant to paragraph (a) of this Section 4.3, the
Company will be permitted to classify such item of Indebtedness (or any portion thereof) on the
date of its incurrence in any manner that complies with this covenant, and only be required to
include the amount and type of such Indebtedness in one of such clauses;

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          (2) all Indebtedness outstanding on the date of this Indenture under the Credit Facilities
shall be deemed initially incurred on the Issue Date under clause (1) of paragraph (b) of this
Section 4.3 and not paragraph (a) of this Section 4.3 or clause (2) of paragraph
(b) of this Section 4.3;

          (3) Guarantees of, or obligations in respect of letters of credit relating to, Indebtedness
which is otherwise included in the determination of a particular amount of Indebtedness shall not
be included;

          (4) if obligations in respect of letters of credit are incurred pursuant to the Credit
Facility and are being treated as incurred pursuant to paragraph (b)(1) above and the letters of
credit relate to other Indebtedness, then such other Indebtedness shall not be included;

          (5) Indebtedness permitted by this covenant need not be permitted solely by reference to one
provision permitting such Indebtedness but may be permitted in part by one such provision and in
part by one or more other provisions of this covenant permitting such Indebtedness;

          (6) the amount of Indebtedness issued at a price that is less than the principal amount
thereof will be equal to the amount of the liability in respect thereof determined in accordance
with GAAP; and

          (7) Indebtedness of any Person existing at the time such Person becomes a Restricted
Subsidiary shall be deemed to have been incurred by the Company and the Restricted Subsidiary at
the time such Person becomes a Restricted Subsidiary.

     (d) For purposes of determining compliance with any U.S. dollar-denominated restriction on the
incurrence of Indebtedness, the U.S. dollar-equivalent principal amount of Indebtedness denominated
in a foreign currency shall be calculated based on the relevant currency exchange rate in effect on
the date such Indebtedness was incurred, in the case of term Indebtedness, or first committed, in
the case of revolving credit Indebtedness; provided that if such Indebtedness is incurred to
refinance other Indebtedness denominated in a foreign currency, and such refinancing would cause
the applicable U.S. dollar-dominated restriction to be exceeded if calculated at the relevant
currency exchange rate in effect on the date of such refinancing, such U.S. dollar-dominated
restriction shall be deemed not to have been exceeded so long as the principal amount of such
refinancing Indebtedness does not exceed the principal amount of such Indebtedness being
refinanced. Notwithstanding any other provision of this covenant, the maximum amount of
Indebtedness that the Company may incur pursuant to this covenant shall not be deemed to be
exceeded solely as a result of fluctuations in the exchange rate of currencies. The principal
amount of any Permitted Refinancing Indebtedness, if incurred in a different currency from the
Indebtedness being refinanced, shall be calculated based on the currency exchange rate applicable
to the currencies in which such Permitted Refinancing Indebtedness is denominated that is in effect
on the date of such refinancing.

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Section 4.4 Restricted Payments

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly:

          (1) declare or pay any dividend or make any other payment or distribution on account of the
Company’s or any of its Restricted Subsidiaries’ Equity Interests (including, without limitation,
any payment by the Company or any Restricted Subsidiary in connection with any merger or
consolidation involving the Company or any of its Restricted Subsidiaries) or to the direct or
indirect holders of the Company’s or any of its Restricted Subsidiaries’ Equity Interests in their
capacity as such (other than dividends or distributions payable in Equity Interests (other than
Disqualified Stock) of the Company or to the Company or a Restricted Subsidiary of the Company);

          (2) purchase, redeem or otherwise acquire or retire for value (including, without limitation,
in connection with any merger or consolidation involving the Company) any Equity Interests of the
Company or any direct or indirect parent of the Company (other than any such Equity Interests owned
by the Company or any Restricted Subsidiary of the Company);

          (3) make any payment on or with respect to, or purchase, redeem, defease or otherwise acquire
or retire for value, prior to scheduled maturity or scheduled sinking fund payment, any
Subordinated Indebtedness of the Company or any Guarantor, except a payment of interest or
principal at the Stated Maturity thereof; or

          (4) make any Investment other than a Permitted Investment (all such payments and other actions
set forth in clauses (1) through (3) above and this clause (4) being collectively referred to as
“Restricted Payments”),

     (b) unless, at the time of and after giving effect to such Restricted Payment:

          (1) no Default or Event of Default shall have occurred and be continuing or would occur as a
consequence thereof;

          (2) the Company would, at the time of such Restricted Payment and after giving pro forma
effect thereto as if such Restricted Payment had been made at the beginning of the applicable
four-quarter period, have been permitted to incur at least $1.00 of additional Indebtedness
pursuant to the Fixed Charge Coverage Ratio test set forth in Section 4.3(a) hereof; and

          (3) such Restricted Payment, together with the aggregate amount of all other Restricted
Payments made by the Company and its Restricted Subsidiaries after July 12, 2006 (excluding
Restricted Payments permitted by clauses (2), (3), (4), (6), (7), (9), (11) and (12) of the next
succeeding paragraph (c) below, but including Restricted Payments permitted by clauses (1), (5),
(8) and (10) of such paragraph), is less than the sum, without duplication, of

          (A) 50% of the Consolidated Net Income of the Company for the period (taken as one
accounting period) from July 1, 2006 to the end of the Company’s most recently ended fiscal
quarter for which internal financial statements are available at the
time of such Restricted Payment (or, if such Consolidated Net Income for such period is
a deficit, less 100% of such deficit), plus

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          (B) 100% of the aggregate Net Cash Proceeds and 100% of the Fair Market Value of
securities or other property other than cash (including Capital Stock of Persons engaged in
the Oil and Gas Business that become Restricted Subsidiaries or assets used in the Oil and
Gas Business) received by the Company since July 12, 2006 from the issue or sale of Equity
Interests of the Company (other than Disqualified Stock), other than Equity Interests (or
Disqualified Stock or debt securities) sold to a Subsidiary of the Company and other than an
issuance or sale pursuant to the KCS Merger Agreement or to an employee stock ownership plan
or to a trust established by the Company or any of its Subsidiaries for the benefit of their
employees, plus

          (C) the amount by which Indebtedness is reduced on the Company’s consolidated balance
sheet upon the conversion or exchange (other than by a Subsidiary of the Company) subsequent
to July 12, 2006 of any Indebtedness convertible or exchangeable for Capital Stock (other
than Disqualified Stock) of the Company (plus the amount of any accrued interest then
outstanding on such Indebtedness to the extent the obligation to pay such interest is
extinguished less the amount of any cash, or the Fair Market Value of any property (as
determined in good faith by an Officer of the Company), distributed by the Company upon such
conversion or exchange); provided, however, that the foregoing amount shall not exceed the
Net Cash Proceeds received by the Company or any Restricted Subsidiary from the sale of such
Indebtedness (excluding Net Cash Proceeds from sales to a Subsidiary of the Company or to an
employee stock ownership plan or to a trust established by the Company or any of its
Subsidiaries for the benefit of their employees); plus

          (D) an amount equal to the sum of (i) the net reduction in the Investments (other than
Permitted Investments) made by the Company or any Restricted Subsidiary in any Person
resulting from repurchases, repayments or redemptions of such Investments by such Person,
proceeds realized on the sale of such Investment and proceeds representing the return of
capital (excluding dividends and distributions), in each case received by the Company or any
Restricted Subsidiary since July 12, 2006, and (ii) to the extent such Person is an
Unrestricted Subsidiary, the portion (proportionate to the Company’s equity interest in such
Subsidiary) of the Fair Market Value of the net assets of such Unrestricted Subsidiary at
the time such Unrestricted Subsidiary is designated a Restricted Subsidiary; provided,
however, that to the extent the foregoing sum exceeds, in the case of any such Person or
Unrestricted Subsidiary, the amount of Investments (excluding Permitted Investments)
previously made (and treated as a Restricted Payment) by the Company or any Restricted
Subsidiary in such Person or Unrestricted Subsidiary since July 12, 2006, such excess shall
not be included in this clause (D) unless the amount represented by such excess has not been
and will not be taken into account in one of the foregoing clauses (A)-(C) of this paragraph
(b)(3); plus

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          (E) $30.0 million.

     (c) The preceding provisions will not prohibit:

          (1) the payment of any dividend within 60 days after the date of declaration thereof, if at
said date of declaration such payment would have complied with the provisions of this Indenture
(and such payment shall be deemed to be paid on the date of payment for purposes of any calculation
required by this covenant);

          (2) the redemption, repurchase, retirement, defeasance or other acquisition of any
Subordinated Indebtedness of the Company or any Guarantor or of any Equity Interests of the Company
or any Restricted Subsidiary in exchange for, or out of the Net Cash Proceeds of the substantially
concurrent sale (other than to a Subsidiary of the Company) of, Equity Interests of the Company
(other than Disqualified Stock); provided that the amount of any such Net Cash Proceeds that are
utilized for any such redemption, repurchase, retirement, defeasance or other acquisition shall be
excluded from clause (3)(B) of the preceding paragraph (b);

          (3) the defeasance, redemption, repurchase, retirement or other acquisition of any
Subordinated Indebtedness of the Company or any Guarantor with the Net Cash Proceeds from an
incurrence of any Permitted Refinancing Indebtedness permitted to be incurred under Section
4.3 hereof;

          (4) the payment of any dividend or other distribution by a Restricted Subsidiary of the
Company to the holders of its common Equity Interests on a pro rata basis;

          (5) so long as no Default has occurred and is continuing, the repurchase, redemption or other
acquisition or retirement for value of any Equity Interests of the Company or any Restricted
Subsidiary of the Company held by any employees, former employees, directors or former directors of
Company or any of its Restricted Subsidiaries (or heirs, estates or other permitted transferees of
such employees or directors) pursuant to any agreements (including employment agreements),
management equity subscription agreements or stock option agreements or plans (or amendments
thereto), approved by the Board of Directors, under which such individuals purchase or sell or are
granted the right to purchase or sell shares of Capital Stock; provided that the aggregate price
paid for all such repurchased, redeemed, acquired or retired Equity Interests shall not exceed $2.0
million in any twelve-month period;

          (6) so long as no Default has occurred and is continuing, loans or advances to employees of
the Company or employees or directors of any Subsidiary of the Company, in each case as permitted
by Section 402 of the Sarbanes-Oxley Act of 2002, the proceeds of which are used to purchase
Capital Stock of the Company, or to refinance loans or advances made pursuant to this clause (6),
in an aggregate amount not in excess of $1.0 million at any one time outstanding;

          (7) repurchases or other acquisitions for value of Capital Stock deemed to occur upon the
exercise or exchange of stock options, warrants or other convertible securities if such Capital
Stock represents a portion of the exercise or exchange price thereof or made in lieu of withholding
taxes in connection with any such exercise or exchange; provided, however, that the aggregate
amount of such repurchases, redemption or acquisitions to satisfy federal income tax obligations
shall not exceed $2.0 million in any twelve-month period;

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          (8) so long as no Default has occurred and is continuing, upon the occurrence of a Change of
Control or an Asset Sale and within 60 days after the completion of the offer to repurchase the
Securities under Section 4.11 or Section 4.7 hereof (including the purchase of all
Securities tendered), any purchase, repurchase, redemption, defeasance, acquisition or other
retirement for value of Subordinated Indebtedness required under the terms thereof as a result of
such Change of Control or Asset Sale at a purchase or redemption price not to exceed 101% of the
outstanding principal amount thereof, plus accrued and unpaid interest thereon, if any, provided
that, in the notice to Holders relating to a Change of Control or Asset Sale hereunder, the Company
shall describe this clause (8);

          (9) so long as no Default has occurred or is continuing, the purchase by the Company of
fractional shares arising out of stock dividends, splits or business combinations;

          (10) dividends in respect of the shares of the Company’s 8% cumulative convertible preferred
stock outstanding on July 12, 2006 at an annual rate not in excess of $0.74 per share;

          (11) payments to dissenting stockholders (x) pursuant to applicable law or (y) in connection
with the settlement or other satisfaction of legal claims made pursuant to or in connection with a
consolidation, merger or transfer of assets in connection with a transaction that is not prohibited
by this Indenture; or

          (12) payments made by any Person other than the Company or any Restricted Subsidiary to the
stockholders of the Company in connection with or as part of (a) a merger or consolidation of the
Company with or into such Person or a subsidiary of such Person, or (b) a merger of a subsidiary of
such Person into the Company.

     The amount of all Restricted Payments (other than cash) shall be the Fair Market Value on the
date of the Restricted Payment of the asset(s) or securities proposed to be transferred or issued
by the Company or such Restricted Subsidiary, as the case may be, pursuant to the Restricted
Payment. The Fair Market Value of any assets or securities that are required to be valued at the
time of such Restricted Payment by this covenant shall be evidenced by an Officers’ Certificate
which shall be delivered to the Trustee not later than five Business Days following the date of the
making of any Restricted Payment. Such Officers’ Certificate shall state that such Restricted
Payment is permitted by this Section 4.4, together with a copy of any related resolution of
the Board of Directors.

     For purposes of determining compliance with this Section 4.4, if a Restricted Payment
meets the criteria of more than one of the types of Restricted Payments described in clauses
(1)-(12) above, the Company, in its sole discretion, may order and classify such Restricted Payment
in any manner in compliance with this covenant.

     In computing Consolidated Net Income under clause (b)(3)(A) above, (1) the Company shall use
audited financial statements for the portions of the relevant period for which audited financial
statements are available on the date of determination and unaudited financial statements and other
current financial data based on the books and records of the Company for the remaining portion of
such period and (2) the Company shall be permitted to rely in good faith on
the financial statements and other financial data derived from the books and records of the
Company that are available on the date of determination.

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Section 4.5 Liens

     The Company will not, and will not permit any of its Restricted Subsidiaries to create, incur,
assume or suffer to exist any Lien on any property or asset now owned or hereafter acquired, or any
income or profits therefrom or assign or convey any right to receive income therefrom, except
Permitted Liens, to secure (a) any Indebtedness of the Company unless prior to, or
contemporaneously therewith, the Securities are equally and ratably secured for so long as such
other Indebtedness is so secured, or (b) any Indebtedness of any Guarantor, unless prior to, or
contemporaneously therewith, the Subsidiary Guarantee of such Guarantor is equally and ratably
secured for so long as such other Indebtedness is so secured; provided, however, that if such
Indebtedness is expressly subordinated to the Securities or a Subsidiary Guarantee, the Lien
securing such Indebtedness will be subordinated and junior to the Lien securing the Securities or
such Subsidiary Guarantee, as the case may be, with the same relative priority as such Indebtedness
has with respect to the Securities or such Subsidiary Guarantee.

Section 4.6 Dividend and Other Payment Restrictions Affecting Subsidiaries

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, directly
or indirectly, create or permit to exist or become effective any consensual encumbrance or
restriction on the ability of any Restricted Subsidiary to:

          (1) pay dividends or make any other distributions on its Capital Stock to the Company or any
of the Company’s Restricted Subsidiaries, or pay any Indebtedness owed to the Company or any of the
Company’s Restricted Subsidiaries;

          (2) make loans or advances to the Company or any of the Company’s Restricted Subsidiaries; or

          (3) transfer any of its properties or assets to the Company or any of the Company’s Restricted
Subsidiaries.

     (b) However, the preceding restrictions will not apply to encumbrances or restrictions
existing under or by reason of:

          (1) agreements existing on the Issue Date, including the Existing Credit Facility as in effect
on the Issue Date;

          (2) any instrument governing Indebtedness or Capital Stock of a Person acquired by the Company
or any of its Restricted Subsidiaries as in effect at the time of such acquisition (except to the
extent such Indebtedness was incurred in connection with or in contemplation of such acquisition),
which encumbrance or restriction is not applicable to any Person, or the properties or assets of
any Person, other than the Person, or the property or assets of the Person, so acquired, provided
that, in the case of Indebtedness, such Indebtedness was permitted by the terms of this Indenture
to be incurred;

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          (3) any agreement for the sale or other disposition of Capital Stock or assets of a Restricted
Subsidiary that restricts distributions by such Restricted Subsidiary pending such sale or other
disposition;

          (4) any amendment, restatement, modification, supplement, extension, renewal, refunding,
replacement or refinancing of Indebtedness referred to in clauses (1) or (2) of this paragraph (b),
provided that the encumbrances or restrictions contained in the agreements governing the foregoing
are not materially more restrictive, taken as a whole, than those contained in the agreements
governing such Indebtedness;

          (5) restrictions on cash or other deposits by parties under agreements entered into in the
ordinary course of the Oil and Gas Business of the types described in the definition of Permitted
Business Investments; and

          (6) with respect to clause (3) of the preceding paragraph (a) only, any of the following
encumbrances or restrictions:

          (A) customary non-assignment or consent provisions in leases entered into in the
ordinary course of business;

          (B) purchase money obligations for property acquired in the ordinary course of business
that impose restrictions on the property so acquired;

          (C) Permitted Liens or Liens securing Indebtedness otherwise permitted to be incurred
pursuant to the provisions of Section 4.5 hereof that limit the right of the Company
or any of its Restricted Subsidiaries to dispose of the assets subject to such Lien;

          (D) customary restrictions contained in asset sale agreements limiting the transfer of
such assets pending the closing of such sale;

          (E) customary restrictions on the subletting, assignment or transfer of any property or
asset that is subject to a lease, license, sub-license or similar contract, or the
assignment or transfer of any such lease, license, sub-license or other contract; and

          (F) customary restrictions on the disposition or distribution of assets or property in
agreements entered into in the ordinary course of the Oil and Gas Business of the types
described in the definition of Permitted Business Investments.

Section 4.7 Asset Sales

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to,
consummate an Asset Sale unless:

          (1) the Company (or the Restricted Subsidiary, as the case may be) receives consideration at
the time of such Asset Sale at least equal to the Fair Market Value of the Equity Interests or
other assets issued or sold or otherwise disposed of; and

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          (2) at least 75% of the consideration therefor received by the Company or such Restricted
Subsidiary is in the form of cash or Cash Equivalents. For purposes of this provision, each of the
following shall be deemed to be cash:

          (A) any liabilities (as shown on the Company’s or such Restricted Subsidiary’s most
recent balance sheet) of the Company or any Restricted Subsidiary (other than contingent
liabilities and liabilities that are by their terms subordinated to the Securities or any
Subsidiary Guarantee) that are assumed by the transferee of any such assets pursuant to a
customary novation agreement or similar agreement that releases the Company or such
Restricted Subsidiary from further liability; and

          (B) any securities, notes or other obligations received by the Company or any such
Restricted Subsidiary from such transferee that are converted within 120 days by the Company
or such Restricted Subsidiary into cash (to the extent of the cash received in that
conversion).

     (b) Within the later of (x) one year after the date of receipt of any Net Proceeds from an
Asset Sale and (y) six months after the date of an agreement entered into within such one-year
period committing the Company to make an acquisition or expenditure referred to in clauses (2) or
(3) below, the Company may apply such Net Proceeds at its option, in any one or more of the
following:

      (1) to permanently repay, prepay, redeem or repurchase the Senior Debt of the Company or any
Guarantor, and cause any related loan commitment to be permanently reduced in an amount equal to
the principal amount so repaid, prepaid, redeemed or repurchased;

      (2) to acquire all or substantially all of the assets of, or a majority of the Voting Stock
of, a Company principally engaged in the Oil and Gas Business or to acquire additional Capital
Stock in any Person that at such time is a Restricted Subsidiary; or

      (3) to make capital expenditures or to acquire properties or assets, in each case that are
used or useful in the Oil and Gas Business.

     Pending the final application of any such Net Proceeds, the Company may temporarily reduce
revolving credit borrowings or otherwise invest such Net Proceeds in any manner not prohibited by
this Indenture.

     (c) Any Net Proceeds from Asset Sales that are not applied or invested as provided in the
preceding paragraph will constitute “Excess Proceeds.” When the aggregate amount of Excess
Proceeds exceeds $20.0 million, the Company will make an offer (the “Asset Sale Offer”) to all
Holders of Securities and, to the extent required by the terms thereof, all holders of other
Indebtedness that is pari passu with the Securities containing provisions similar to those set
forth in this Indenture with respect to offers to purchase or redeem with the proceeds of sales of
assets to purchase the maximum principal amount of Securities and such other pari passu
Indebtedness that may be purchased out of the Excess Proceeds. The offer price in any Asset Sale
Offer will be equal to 100% of principal amount (or accreted value in the case of any such other
pari passu Indebtedness issued with a significant original issue discount) plus accrued and unpaid
interest, if any, to the date of purchase (the “Asset Sale Payment”), and will be payable in cash.
If any

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Excess Proceeds remain after consummation of an Asset Sale Offer, the Company may use such
Excess Proceeds for any purpose not otherwise prohibited by this Indenture. If the aggregate
principal amount of Securities and such other pari passu Indebtedness tendered into such Asset Sale
Offer exceeds the amount of Excess Proceeds, the Trustee shall select the Securities and such other
pari passu Indebtedness to be purchased on a pro rata basis, on the basis of the aggregate
principal amounts (or accreted values) tendered in round denominations (which in the case of the
Securities will be minimum denominations of $2,000 principal amount or multiples of $1,000 in
excess thereof). Upon completion of each Asset Sale Offer, the amount of Excess Proceeds shall be
reset at zero.

     (d) Within 30 days following the date when the Company becomes obligated to make an Asset Sale
Offer, the Company will mail a notice to each Holder describing the transaction or transactions
that constitute the Asset Sale and offering to repurchase Securities on the date (the “Asset Sale
Payment Date”) specified in such notice, which date will be no earlier than 30 days nor later than
60 days from the date such notice is mailed, pursuant to the procedures required by this Indenture
and described in such notice.

     (e) On the Asset Sale Payment Date, the Company will, to the extent lawful:

          (1) accept for payment all Securities or portions thereof properly tendered pursuant to the
Asset Sale Offer, subject to proration based on the amount of Excess Proceeds pursuant to clause
(c) above of this Section 4.7;

          (2) deposit with the Paying Agent an amount equal to the amount of Excess Proceeds that, after
giving effect to proration with holders of pari passu Indebtedness pursuant to clause (c) above of
this Section 4.7, is allocable to the Securities or portions thereof so tendered (or, if
less, the aggregate Asset Sale Payment for all Securities validly tendered and not withdrawn); and

          (3) deliver or cause to be delivered to the Trustee the Securities so accepted together with
an Officers’ Certificate stating the aggregate principal amount of Securities or portions thereof
being purchased by the Company.

     (f) The Paying Agent will promptly mail (or cause to be transferred through the facilities of
the Depositary) to each Holder of Securities so tendered and not withdrawn and accepted for payment
in accordance with this Section 4.7, the Asset Sale Payment for such tendered Securities,
and the Trustee will promptly authenticate and mail (or cause to be transferred by book entry) to
each Holder a new Security equal in principal amount to any unpurchased portion of the Securities
surrendered, if any, by such Holder; provided that each such new Security will be in a principal
amount of $1,000 or an integral multiple thereof.

     (g) If the Asset Sale Offer Purchase Date is after the taking of a record of the Holders on a
record date and on or before the related Interest Payment Date, any accrued and unpaid interest
will be paid to the Person in whose name a purchased Security is registered on such record date,
and no other interest will be payable to Holders who tender Securities pursuant to the Asset Sale
Offer.

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     (h) The Company will comply with the requirements of Rule 14e-l under the Exchange Act and any
other securities laws and regulations thereunder to the extent such laws and regulations are
applicable in connection with an Asset Sale Offer. To the extent that the provisions of any
securities laws or regulations conflict with the provisions of this Section 4.7, the
Company will comply with the applicable securities laws and regulations and will not be deemed to
have breached its obligations under this covenant by virtue of the Company’s compliance with such
securities laws or regulations.

     (i) The Company will publicly announce the results of the Asset Sale Offer on or as soon as
practicable after the date such Asset Sale Offer is completed.

Section 4.8 Transactions With Affiliates

     (a) The Company will not, and will not permit any of its Restricted Subsidiaries to, make any
payment to, or sell, lease, transfer or otherwise dispose of any of its properties or assets to, or
purchase any property or assets from, or enter into or make or amend any transaction, contract,
agreement, understanding, loan, advance or Guarantee with, or for the benefit of, any Affiliate
(each, an “Affiliate Transaction”), unless:

          (1) such Affiliate Transaction is on terms that are no less favorable to the Company or the
relevant Restricted Subsidiary than those that would have been obtained at the time of such
transaction in arm’s-length dealings by the Company or such Restricted Subsidiary with a Person who
is not an Affiliate; and

     (2) (A) with respect to any Affiliate Transaction or series of related Affiliate(s)
Transactions involving aggregate consideration in excess of $10.0 million, a majority of the
disinterested members of the Board of Directors have determined that the criteria set forth
in clause (a)(1) of this Section 4.8 are satisfied with respect to such Affiliate
Transaction(s) and have approved such Affiliate Transaction(s), as evidenced by a Board
Resolution delivered to the Trustee and certified by an Officers’ Certificate as having been
adopted by the Board of Directors; and

          (B) with respect to any Affiliate Transaction or series of related Affiliate
Transactions involving aggregate consideration in excess of $25.0 million, the Company
delivers to the Trustee a written opinion that such Affiliate Transaction(s) is fair, from a
financial point of view, to the Company and its Restricted Subsidiaries, taken as a whole,
or that such Affiliate Transaction(s), is not less favorable to the Company and its
Restricted Subsidiaries than could reasonably be expected to be obtained at the time in an
arm’s-length transaction with a Person who is not an Affiliate, in either such case issued
by an accounting, appraisal or investment banking firm of national standing that is not an
Affiliate of the Company.

     (b) The following items shall not be deemed to be Affiliate Transactions and, therefore, will
not be subject to the provisions of Section 4.8(a) hereof:

          (1) any employment agreement or other employee compensation plan or arrangement existing on
the Issue Date or thereafter entered into by the Company or any of its
Restricted Subsidiaries in the ordinary course of business and consistent with the past
practice of the Company or such Restricted Subsidiary;

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          (2) transactions between or among the Company and/or its Restricted Subsidiaries;

          (3) Restricted Payments that, in each case, are permitted by Section 4.4 hereof;

          (4) loans or advances to employees, officers or directors in the ordinary course of business
of the Company or any of its Restricted Subsidiaries, in each case only as permitted by Section 402
of the Sarbanes-Oxley Act of 2002, but in any event not to exceed $1.0 million in the aggregate
outstanding at any one time;

          (5) indemnities of officers, directors and employees of the Company or any Restricted
Subsidiary consistent with applicable charter, bylaw or statutory provisions; and

          (6) the payment of reasonable and customary fees to directors of the Company or any of its
Restricted Subsidiaries who are not employees of the Company or any Subsidiary.

Section 4.9 Additional Subsidiary Guarantees

     If the Company or any of its Restricted Subsidiaries acquires or creates another Restricted
Subsidiary (other than Foreign Subsidiaries) on or after the Issue Date, then the Company shall
cause that newly acquired or created Restricted Subsidiary (i) to become a Guarantor by executing a
supplemental indenture substantially in the form of Exhibit E hereto and (ii) to deliver an
Opinion of Counsel to the Trustee as to the due authorization, execution and delivery thereof by
such Guarantor.

Section 4.10 Business Activities

     The Company will not, and will not permit any Restricted Subsidiary to, engage in any business
other than the Oil and Gas Business, except to such extent as would not be material in the opinion
of the Board of Directors (which opinion shall be reasonable and made in good faith) to the Company
and its Restricted Subsidiaries taken as a whole.

Section 4.11 Change of Control

     (a) If a Change of Control occurs, each Holder of Securities will have the right to require
the Company to repurchase all or any part (equal to $2,000 or an integral multiple of $1,000 in
excess thereof) of that Holder’s Securities pursuant to the offer described below (the “Change of
Control Offer”). In the Change of Control Offer, the Company will offer a payment (the “Change of
Control Payment”) in cash equal to 101% of the aggregate principal amount of Securities to be
repurchased plus accrued and unpaid interest thereon, if any, to the date of purchase. Within 30
days following any Change of Control, the Company will mail a notice to each Holder describing the
transaction or transactions that constitute the Change of Control and offering to repurchase
Securities on the date (the “Change of Control Payment Date”) specified in such notice, which date
will be no earlier than 30 days nor later than 60 days from the date such notice is mailed,
pursuant to the procedures required by this Indenture and described in such

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notice. The Company will comply with the requirements of Rule 14e-l under the Exchange Act
and any other securities laws and regulations thereunder to the extent such laws and regulations
are applicable in connection with the repurchase of the Securities as a result of a Change of
Control. To the extent that the provisions of any securities laws or regulations conflict with the
provisions of the covenant described herein, the Company will comply with the applicable securities
laws and regulations and will not be deemed to have breached its obligations under this covenant by
virtue of the Company’s compliance with such securities laws or regulations.

     (b) On the Change of Control Payment Date, the Company will, to the extent lawful:

          (1) accept for payment all Securities or portions thereof properly tendered pursuant to the
Change of Control Offer;

          (2) deposit with the Paying Agent an amount equal to the Change of Control Payment in respect
of all Securities or portions thereof so tendered; and

          (3) deliver or cause to be delivered to the Trustee the Securities so accepted together with
an Officers’ Certificate stating the aggregate principal amount of Securities or portions thereof
being purchased by the Company.

     (c) The Paying Agent will promptly mail (or cause to be transferred through the facilities of
the Depositary) to each Holder of Securities so tendered and not withdrawn the Change of Control
Payment for such tendered Securities, and the Trustee will promptly authenticate and mail (or cause
to be transferred by book entry) to each Holder a new Security equal in principal amount to any
unpurchased portion of the Securities surrendered, if any, by such Holder; provided that each such
new Security will be in a principal amount of $2,000 or an integral multiple of $1,000 in excess
thereof. The Trustee will notify the Registrar of the issuance of the new Security.

     (d) If the Change of Control Payment Date is on or after an interest payment record date and
on or before the related interest payment date, any accrued and unpaid interest will be paid to the
Person in whose name a Security is registered at the close of business on such record date, and no
other interest will be payable to Holders who tender pursuant to the Change of Control Offer.

     (e) The Company will publicly announce the results of the Change of Control Offer on or as
soon as practicable after the Change of Control Payment Date.

     (f) The provisions described above that require the Company to make a Change of Control Offer
following a Change of Control will be applicable regardless of whether or not any other provisions
of this Indenture are applicable.

     (g) The Company will not be required to make a Change of Control Offer upon a Change of
Control if a third party makes the Change of Control Offer in the manner, at the times and
otherwise in compliance with the requirements set forth in this Indenture applicable to a Change of
Control Offer made by the Company and purchases all Securities validly tendered and not withdrawn
under such Change of Control Offer.

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	Section 4.12	 	Maintenance of Office or Agency for Registration of Transfer, Exchange and Payment of
Securities

     So long as any of the Securities shall remain outstanding, the Company will, in accordance
with Section 2.3 hereof, maintain an office or agency (which may be an office of the
Trustee or an affiliate of the Trustee, or the Registrar) in the continental United States where
the Securities may be surrendered for exchange or registration of transfer as in this Indenture
provided and where notices and demands to or upon the Company in respect to the Securities may be
served, and in the City of New York, State of New York, where the Securities may be presented or
surrendered for payment. The Company may also from time to time designate one or more other
offices or agencies in the continental United States, either within or without the City of New
York, the State of New York, where Securities may be presented or surrendered for any and all such
purposes and may from time to time rescind such designations; provided, however, that no such
designation or rescission shall in any manner relieve the Company of its obligation under
Section 2.3 and this Section 4.12 to maintain an office or agency in the City of
New York, State of New York where Securities may be presented or surrendered for payment. The
Company will give to Trustee prompt written notice of the location of any such office or agency and
of any change of location thereof. In case the Company shall fail to maintain any such office or
agency or shall fail to give such notice of the location or of any change in the location thereof,
such surrenders, presentations and demands may be made and notices may be served at the designated
Corporate Trust Office of the Trustee, and the Company hereby appoints the Trustee its agent to
receive at the aforesaid office all such surrenders, presentations, notices and demands.

Section 4.13 Appointment to Fill a Vacancy in the Office of Trustee

     The Company, whenever necessary to avoid or fill a vacancy in the office of Trustee, will
appoint, in the manner provided in Section 7.8, a Trustee, so that there shall at all times
be a Trustee hereunder.

Section 4.14 Provision as to Paying Agent

     (a) If the Company shall appoint a Paying Agent other than the Trustee, in accordance with the
terms of this Indenture, it will cause such Paying Agent to execute and deliver to the Trustee an
instrument in which such Agent shall undertake, subject to the provisions of this Section
4.14:

          (1) that it will hold all sums held by it as such agent for the payment of the principal of,
premium, if any, or interest on the Securities (whether such sums have been paid to it by the
Company or by any other obligor on the Securities) in trust for the benefit of the Holders of the
Securities and will notify the Trustee of the receipt of sums to be so held;

          (2) that it will give the Trustee notice of any failure by the Company (or by any other
obligor on the Securities) to make any payment of the principal of, premium, if any, or interest on
the Securities when the same shall be due and payable;

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          (3) that it will at any time during the continuance of any Event of Default specified in
Section 6.1, upon the written request of the Trustee, deliver to the Trustee all sums so
held in trust by it; and

          (4) that it will acknowledge, accept and agree to comply in all aspects with the provisions of
this Indenture relating to the duties, rights and liabilities of such Paying Agent.

     (b) If the Company shall not act as its own Paying Agent, it will, by 11:00 a.m. (New York
City time) on the due date of the principal of or premium, if any, or interest on any Securities,
deposit with such Paying Agent a sum in same day funds sufficient to pay the principal of, premium,
if any, or interest so becoming due, such sum to be held in trust for the benefit of the Holders of
Securities entitled to such principal of or premium, if any, or interest, and (unless such Paying
Agent is the Trustee) the Company will promptly notify the Trustee of its failure so to act.

     (c) If the Company shall act as its own Paying Agent, it will, by 11:00 a.m., (New York City
time) on each due date of the principal of or premium, if any, or interest on the Securities, set
aside, segregate and hold in trust for the benefit of the Persons entitled thereto, a sum
sufficient to pay such principal or premium or interest so becoming due and will notify the Trustee
of any failure to take such action.

     (d) Anything in this Section 4.14 to the contrary notwithstanding, the Company may, at
any time, for the purpose of obtaining a satisfaction and discharge of this Indenture, or for any
other reason, pay or cause to be paid to the Paying Agent for delivery to the Trustee all sums held
in trust by it, as required by this Section 4.14, such sums to be delivered by the Paying
Agent to the Trustee to be held by the Trustee upon the trusts herein contained.

     (e) Anything in this Section 4.14 to the contrary notwithstanding, the agreement to
hold sums in trust as provided in this Section 4.14 is subject to the provisions of
Section 8.4 and Section 8.6.

Section 4.15 Maintenance of Corporate Existence

     So long as any of the Securities shall remain outstanding, the Company will at all times
(except as otherwise provided or permitted in this Article V of this Indenture) do or cause
to be done all things necessary to preserve and keep in full force and effect its corporate
existence.

Section 4.16 Compliance Certificate

     (a) The Company and the Guarantors shall deliver to the Trustee within 90 days after the end
of each fiscal year of the Company ending after the Issue Date a statement (which need not be an
Officers’ Certificate) signed by the principal executive officer, the principal accounting officer
or the principal financial officer of each of the Company and the Guarantors, stating that a review
of the activities of the Company and its Restricted Subsidiaries during the preceding fiscal year
has been made under the supervision of the signing Officers with a view to determining whether each
of the Company and the Guarantors has performed its obligations under this Indenture, and further
stating whether or not the signers know of any Default or Event of Default that occurred during
such period. If they do, the certificate shall describe such Default
or Event of Default, its status and what action the Company is taking or proposes to take with
respect thereto.

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     (b) So long as not contrary to the then current recommendations of the American Institute of
Certified Public Accountants, the year-end financial statements delivered pursuant to Section
4.2 above shall be accompanied by a written statement of the Company’s independent public
accountants that in making the examination necessary for certification of such financial
statements, nothing has come to their attention that would lead them to believe that the Company
has violated any provisions of this Article IV or Article V hereof or, if any such
violation has occurred, specifying the nature and period of existence thereof, it being understood
that such accountants shall not be liable directly or indirectly to any Person for any failure to
obtain knowledge of any such violation.

     (c) So long as any of the Securities are outstanding, the Company will deliver to the Trustee,
forthwith upon any Officer becoming aware of any Default or Event of Default, an Officers’
Certificate specifying such Default or Event of Default and what action the Company is taking or
proposes to take with respect thereto.

Section 4.17 Taxes

     The Company will pay, and will cause each of its Significant Subsidiaries to pay, prior to
delinquency, all material taxes, assessments, and governmental levies except such as are contested
in good faith and by appropriate proceedings or where the failure to effect such payment would not
have a material adverse effect on the Company and its Restricted Subsidiaries, taken as a whole.

Section 4.18 Stay, Extension and Usury Laws

     The Company covenants (to the extent that it may lawfully do so) that it will not at any time
insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any
stay, extension or usury law wherever enacted, now or at any time hereafter in force, that may
affect the covenants or the performance of this Indenture; and the Company (to the extent that it
may lawfully do so) hereby expressly waives all benefit or advantage of any such law, and covenants
that it will not, by resort to any such law, hinder, delay or impede the execution of any power
herein granted to the Trustee, but will suffer and permit the execution of every such power as
though no such law has been enacted.

Section 4.19 Calculation of Original Issue Discount

     The Company shall file with the Trustee within 30 days of the end of each calendar year (i) a
written notice specifying the amount of original issue discount (including daily rates and accrual
periods) accrued on the Securities as of the end of such year and (ii) such other specific
information relating to such original issue discount as may be required under the Code.

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ARTICLE V

SUCCESSOR COMPANY

Section 5.1 Merger, Consolidation or Sale of Assets

     (a) The Company may not: (1) consolidate or merge with or into another Person (whether or not
the Company is the surviving corporation); or (2) sell, assign, transfer, lease, convey or
otherwise dispose of all or substantially all of the properties or assets of the Company and its
Restricted Subsidiaries taken as whole, in one or more related transactions, to another Person,
unless:

          (1) either:

          (A) the Company is the surviving corporation; or

          (B) the Person formed by or surviving any such consolidation or merger (if other than
the Company) or to which such sale, assignment, transfer, lease, conveyance or other
disposition shall have been made is a Person organized or existing under the laws of the
United States, any state thereof or the District of Columbia;

          (2) the Person formed by or surviving any such consolidation or merger (if other than the
Company) or the Person to which such sale, assignment, transfer, lease, conveyance or other
disposition shall have been made assumes all the obligations of the Company under the Securities,
this Indenture and each Registration Rights Agreement pursuant to a supplemental indenture
reasonably satisfactory to the Trustee;

          (3) immediately after such transaction no Default or Event of Default exists;

          (4) the Company or the Person formed by or surviving any such consolidation or merger (if
other than the Company) will, on the date of such transaction after giving pro forma effect thereto
and any related financing transactions as if the same had occurred at the beginning of the
applicable four-quarter period, be permitted to incur at least $1.00 of additional Indebtedness
pursuant to the Fixed Charge Coverage Ratio test set forth in Section 4.3(a) hereof; and

          (5) the Company shall have delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that such consolidation, merger, sale, assignment, transfer, lease,
conveyance or other disposition and such supplemental indenture (if any) comply with this
Indenture.

     (b) For purposes of this covenant, the sale, assignment, transfer, lease, conveyance or other
disposition of all or substantially all of the properties or assets of one or more Subsidiaries of
the Company, which properties or assets, if held by the Company instead of such Subsidiaries, would
constitute all or substantially all of the properties or assets of the Company on a consolidated
basis, shall be deemed to be the transfer of all or substantially all of the properties or assets
of the Company.

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     (c) Clause (a)(4) of this Section 5.1 will not apply to a sale, assignment, transfer,
conveyance or other disposition of assets between or among the Company and any of its Restricted
Subsidiaries that are Guarantors.

Section 5.2 Successor Substituted

     Upon any consolidation or merger, or any sale, assignment, transfer, lease, conveyance or
other disposition of all or substantially all of the properties or assets of the Company and its
Restricted Subsidiaries taken as a whole in accordance with Section 5.1 hereof, the
successor formed by such consolidation or into which the Company is merged or to which such sale,
assignment, transfer, lease, conveyance or other disposition is made shall succeed to, and may
exercise every right and power of, the Company under this Indenture with the same effect as if such
successor had been named as the Company herein and shall be substituted for the Company (so that
from and after the date of such consolidation, merger, sale, assignment, transfer, lease,
conveyance or other disposition, the provisions of this Indenture referring to the “Company” shall
refer instead to the successor and not to the predecessor); and thereafter, if the Company is
dissolved following a disposition of all or substantially all of the properties or assets of the
Company and its Restricted Subsidiaries taken as a whole in accordance with this Indenture, except
in the case of such a disposition by way of a lease it shall be discharged and released from all
obligations and covenants under this Indenture and the Securities.

ARTICLE VI

DEFAULTS AND REMEDIES

Section 6.1 Events of Default

     Each of the following is an “Event of Default”:

          (1) default for 30 days in the payment when due of interest on the Securities;

          (2) default in the payment when due of the principal of, or premium, if any, on the
Securities;

          (3) failure by the Company to comply with Section 5.1 hereof;

          (4) failure by the Company or any of its Restricted Subsidiaries to comply for 30 days after
receipt of written notice specified below with Sections 4.2, 4.3,
4.4, 4.5, 4.6, 4.7, 4.8, 4.9, 4.10 or
4.11 hereof;

          (5) failure by the Company for 60 days after receipt of written notice specified below to
comply with any of its other agreements contained in this Indenture;

          (6) default under any mortgage, indenture or instrument under which there may be issued or by
which there may be secured or evidenced any Indebtedness for money borrowed by the Company or any
of its Restricted Subsidiaries (or the payment of which is Guaranteed by the Company or any of its
Restricted Subsidiaries), whether such Indebtedness or Guarantee now exists, or is created after
the date of this Indenture, if that default:

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          (A) is caused by a failure to pay principal of, or premium, if any, or interest on such
Indebtedness prior to the expiration of the grace period provided in such Indebtedness (a
“Payment Default”); or

          (B) results in the acceleration of such Indebtedness prior to its Stated Maturity;

and, in each case, the principal amount of any such Indebtedness, together with the principal
amount of any other such Indebtedness under which there has been a Payment Default or the maturity
of which has been so accelerated, aggregates $10.0 million or more; provided, however, that if any
such Payment Default is cured or waived or any such acceleration rescinded, or such Indebtedness is
repaid, within a period of 30 days from the continuation of such Payment Default beyond the
applicable grace period or the occurrence of such acceleration, as the case may be, such Event of
Default and any consequential acceleration of the Securities shall be automatically rescinded, so
long as such rescission does not conflict with any judgment or decree;

          (7) failure by the Company or any of its Restricted Subsidiaries to pay final judgments
aggregating in excess of $10.0 million (net of any amounts covered by insurance), which judgments
are not paid, discharged or stayed for a period of 60 days;

          (8) any Subsidiary Guarantee of a Guarantor shall be held in any judicial proceeding to be
unenforceable or invalid or, except as permitted by this Indenture, shall cease for any reason to
be in full force and effect or any Guarantor, or any Person acting on behalf of any Guarantor,
shall deny or disaffirm its obligations under its Subsidiary Guarantee, in each case with respect
to any Guarantor that is also a Significant Subsidiary or any group of Guarantors that, taken
together, would constitute a Significant Subsidiary; and

     (9) (A) the Company or a Significant Subsidiary or a group of Restricted Subsidiaries
that, taken together, would constitute a Significant Subsidiary pursuant to or within the
meaning of any Bankruptcy Law:

          (i) commences a voluntary case or proceeding;

          (ii) consents to the entry of an order for relief against it in an involuntary
case or proceeding in which it is a debtor;

          (iii) consents to the appointment of a Custodian of it or for any substantial
part of its property;

          (iv) makes a general assignment for the benefit of its creditors; or

          (v) consents to the institution of a bankruptcy or an insolvency proceeding
against it;

     or takes any comparable action under any foreign laws relating to insolvency; or

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          (B) a court of competent jurisdiction enters an order or decree under any Bankruptcy
Law that:

          (i) is for relief against the Company or any Significant Subsidiary or a group
of Restricted Subsidiaries that, taken together, would constitute a Significant
Subsidiary in an involuntary case in which it is a debtor;

          (ii) appoints a Custodian of the Company or any Significant Subsidiary or a
group of Restricted Subsidiaries that, taken together, would constitute a
Significant Subsidiary or for any substantial part of its property; or

          (iii) orders the winding up or liquidation of the Company or any Significant
Subsidiary or a group of Restricted Subsidiaries that, taken together would
constitute a Significant Subsidiary;

or any similar relief is granted under any foreign laws and the order, decree or relief
remains unstayed and in effect for 60 consecutive days.

     However, a Default under clauses (4) and (5) of this Section 6.1 will not constitute
an Event of Default until the Trustee or the Holders of at least 25% in principal amount of the
outstanding Securities notify the Company of the Default and the Company does not cure such Default
within the time specified in clauses (4) and (5) of this Section 6.1 after receipt of such
notice. Such notice must specify the Default, demand that it be remedied and state that such
notice is a “Notice of Default.”

Section 6.2 Acceleration of Maturity; Rescission and Annulment

     If an Event of Default (other than an Event of Default described in clause (9) of Section
6.1) occurs and is continuing, the Trustee by notice to the Company, or the Holders of at least
25% in principal amount of the outstanding Securities by notice to the Company and the Trustee, may
declare the principal of, premium, if any, and accrued and unpaid interest, if any, on all the
Securities to be due and payable. Upon such a declaration, such principal, premium and accrued and
unpaid interest will be due and payable immediately. If an Event of Default described in clause
(9) of Section 6.1 above occurs and is continuing, the principal of, premium, if any, and
accrued and unpaid interest on all the Securities will become and be immediately due and payable
without any further action or notice on the part of the Trustee or any Holders. The Holders of a
majority in outstanding principal amount of the Securities by notice to the Trustee may on behalf
of the Holders of all the Securities rescind any such acceleration with respect to the Securities
and its consequences if (1) rescission would not conflict with any judgment or decree of a court of
competent jurisdiction and (2) all existing Events of Default, other than the nonpayment of the
principal of, premium, if any, and interest on the Securities that have become due solely by such
declaration of acceleration, have been cured or waived.

Section 6.3 Other Remedies

     If an Event of Default occurs and is continuing, the Trustee may pursue any available remedy
to collect the payment of principal of, premium (if any) or interest on the Securities or to
enforce the performance of any provision of the Securities or this Indenture.

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     The Trustee may maintain a proceeding even if it does not possess any of the Securities or
does not produce any of them in the proceeding. A delay or omission by the Trustee or any Holder
in exercising any right or remedy accruing upon an Event of Default shall not impair the right or
remedy or constitute a waiver of or acquiescence in the Event of Default. No remedy is exclusive
of any other remedy. All available remedies are cumulative to the extent permitted by law.

Section 6.4 Waiver of Past Defaults

     The Holders of a majority in outstanding principal amount of the Securities, by notice to the
Trustee may on behalf of the Holders of all the Securities waive an existing Default or Event of
Default and its consequences hereunder except (i) a Default or Event of Default in the payment of
the principal of, premium, if any, or interest on a Security or (ii) a Default or Event of Default
in respect of a provision that under Section 9.2 hereof cannot be amended without the
consent of each Holder affected. When a Default or Event of Default is waived, it is deemed cured,
but no such waiver shall extend to any subsequent or other Default or Event of Default or impair
any consequent right.

Section 6.5 Control by Majority

     The Holders of a majority in outstanding principal amount of the Securities have the right to
direct the time, method and place of conducting any proceeding for exercising any remedy available
to the Trustee or of exercising any trust or power conferred on the Trustee. However, the Trustee
may refuse to follow any direction that conflicts with law or this Indenture or, subject to
Section 7.1 hereof, that the Trustee determines is unduly prejudicial to the rights of
other Holders or would involve the Trustee in personal liability; provided, however, that the
Trustee may take any other action deemed proper by the Trustee that is not inconsistent with such
direction. Subject to Section 7.1, prior to taking any action hereunder, the Trustee shall
be entitled to indemnification reasonably satisfactory to it against all loss, liability and
expense caused by taking or not taking such action.

Section 6.6 Limitation on Suits

     Except to enforce the right to receive payment of principal, premium (if any) or interest when
due, a Holder may not pursue any remedy with respect to this Indenture, the Securities or the
Subsidiary Guarantees unless:

          (1) the Holder has previously given the Trustee written notice stating that an Event of
Default is continuing;

          (2) Holders of at least 25% in outstanding principal amount of the Securities have made a
written request to the Trustee to pursue the remedy;

          (3) such Holder or Holders have furnished the Trustee reasonable security or indemnity against
any loss, liability or expense;

          (4) the Trustee has not complied with the Holders’ request within 60 days after receipt of the
request and the furnishing of security or indemnity; and

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          (5) the Holders of a majority in outstanding principal amount of the Securities have not given
the Trustee a direction that, in the opinion of the Trustee, is inconsistent with the request
during such 60-day period.

     A Holder may not use this Indenture to prejudice the rights of another Holder or to obtain a
preference or priority over another Holder.

Section 6.7 Rights of Holders to Receive Payment

     Notwithstanding any other provision of this Indenture, the right of any Holder to receive
payment of principal of, premium, if any, and interest on the Securities held by such Holder, on or
after the respective due dates expressed in the Securities, or to bring suit for the enforcement of
any such payment on or after such respective dates, shall not be impaired or affected without the
consent of such Holder.

Section 6.8 Collection Suit by Trustee

     If an Event of Default specified in Section 6.1(1) or Section 6.1(2) hereof
occurs and is continuing, the Trustee may recover judgment in its own name and as trustee of an
express trust against the Company or any Guarantor for the whole amount then due and owing
(together with interest on any unpaid interest to the extent lawful) and the amounts provided for
in Section 7.7 hereof to cover the costs and expenses of collection, including the
reasonable compensation, disbursement and advances of the Trustee, its agents and counsel.

Section 6.9 Trustee May File Proofs of Claim

     The Trustee may file such proofs of claim and other papers or documents as may be necessary or
advisable in order to have the claims of the Trustee and the Holders allowed in any judicial
proceedings relative to the Company or any Guarantor or their respective creditors or properties
and, unless prohibited by law or applicable regulations, may vote on behalf of the Holders in any
election of a trustee in bankruptcy or other Person performing similar functions, and any Custodian
in any such judicial proceeding is hereby authorized by each Holder to make payments to the Trustee
and, in the event that the Trustee shall consent to the making of such payments directly to the
Holders, to pay to the Trustee any amount due it for the compensation, expenses, disbursements and
advances of the Trustee, its agents and its counsel, and any other amounts due the Trustee under
Section 7.7 hereof.

Section 6.10 Priorities

     If the Trustee collects any money or property pursuant to this Article VI, it shall
pay out the money or property in the following order:

     First: costs and expenses of collection, including all sums paid or advanced by the
Trustee hereunder and the compensation, expenses and disbursements of the Trustee, its
agents, and counsel and all other amounts due to the Trustee under Section 7.7
hereof;

     Second: to Holders for amounts due and unpaid on the Securities for principal and
interest and premium, if any, ratably, without preference or priority of any kind,
according to the amounts due and payable on the Securities for principal and interest
and premium, if any, respectively; and

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     Third: to the Company.

     The Trustee may fix a record date and payment date for any payment to Holders pursuant to this
Section 6.10. At least 15 days before such record date, the Trustee shall mail to each
Holder and the Company a notice that states the record date, the payment date and amount to be
paid.

Section 6.11 Undertaking for Costs

     In any suit for the enforcement of any right or remedy under this Indenture or in any suit
against the Trustee for any action taken or omitted by it as Trustee, a court in its discretion may
require the filing by any party litigant in the suit of an undertaking to pay the costs of the
suit, and the court in its discretion may assess reasonable costs, including reasonable attorneys’
fees, against any party litigant in the suit, having due regard to the merits and good faith of the
claims or defenses made by the party litigant. This Section 6.11 does not apply to a suit
by the Trustee, a suit by a Holder pursuant to Section 6.7 hereof or a suit by Holders of
more than 10% in outstanding principal amount of the Securities.

ARTICLE VII

TRUSTEE

Section 7.1 Duties of Trustee

     (a) If an Event of Default has occurred and is continuing, the Trustee shall exercise the
rights and powers vested in it by this Indenture and use the same degree of care and skill in their
exercise as a prudent person would exercise or use under the circumstances in the conduct of such
person’s own affairs.

     (b) Except during the continuance of an Event of Default: (i) the Trustee undertakes to
perform such duties and only such duties as are specifically set forth in this Indenture and no
implied covenants or obligations shall be read into this Indenture against the Trustee; and (ii) in
the absence of bad faith on its part, the Trustee may conclusively rely, as to the truth of the
statements and the correctness of the opinions expressed therein, upon certificates or opinions
furnished to the Trustee and conforming to the requirements of this Indenture. However, the
Trustee shall examine the certificates and opinions to determine whether or not they conform to the
requirements of this Indenture.

     (c) The Trustee may not be relieved from liability for its own negligent action, its own
negligent failure to act or its own willful misconduct, except that:

          (1) this paragraph does not limit the effect of Section 7.1(b) hereof;

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          (2) the Trustee shall not be liable for any error of judgment made in good faith by a Trust
Officer unless it is proved that the Trustee was negligent in ascertaining the pertinent facts; and

          (3) the Trustee shall not be liable with respect to any action it takes or omits to take in
good faith in accordance with a direction received by it pursuant to Section 6.5 hereof.

     (d) Every provision of this Indenture that in any way relates to the Trustee is subject to
Sections 7.1(a), 7.1(b) and 7.1(c) hereof.

     (e) The Trustee shall not be liable for interest on any money received by it except as the
Trustee may agree in writing with the Company.

     (f) Money held in trust by the Trustee need not be segregated from other funds except to the
extent required by law.

     (g) Subject to Section 7.1(a) hereof, no provision of this Indenture shall require the
Trustee to expend or risk its own funds or otherwise incur financial liability in the performance
of any of its duties hereunder or in the exercise of any of its rights or powers, if it shall have
reasonable grounds to believe that repayment of such funds or adequate security or indemnity
against such risk or liability is not reasonably assured to it.

Section 7.2 Rights of Trustee.

     (a) The Trustee may rely on any document believed by it to be genuine and to have been signed
or presented by the proper Person. The Trustee need not investigate any fact or matter stated in
the document.

     (b) Before the Trustee acts or refrains from acting, it may require an Officers’ Certificate
or an Opinion of Counsel. The Trustee shall not be liable for any action it takes or omits to take
in good faith in reliance on the Officers’ Certificate or Opinion of Counsel.

     (c) The Trustee may act through its attorneys and agents and shall not be responsible for the
misconduct or negligence of any agent appointed with due care.

     (d) The Trustee shall not be liable for any action it takes or omits to take in good faith
which it believes to be authorized or within its rights or powers conferred upon it by this
Indenture; provided, however, that the Trustee’s conduct does not constitute willful misconduct or
negligence.

     (e) The Trustee may consult with counsel, and the advice or opinion of counsel with respect to
legal matters relating to this Indenture and the Securities shall be full and complete
authorization and protection from liability in respect to any action taken, omitted or suffered by
it hereunder in good faith and in accordance with the advice or opinion of such counsel.

     (f) Except for (i) a default under Section 6.1(1) or Section 6.1(2) hereof, or
(ii) any other event of which the Trustee has actual knowledge and which event, with the giving of
notice or the passage of time or both, would constitute an Event of Default under this Indenture,
the Trustee shall not be deemed to have notice of any default or event unless specifically
notified in writing of such event by the Company or any Holder of the Securities.

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     (g) The Trustee shall have no obligation to ascertain whether or not the Company is obligated
at any time to offer to purchase the Securities pursuant to Section 4.7 or 4.11
hereof, and at all times the Trustee may conclusively presume, in the absence of written notice to
the contrary from the Company or an order from a court of competent jurisdiction, that no such
obligation exists.

Section 7.3 Individual Rights of Trustee

     The Trustee in its individual or any other capacity may become the owner or pledgee of
Securities and may otherwise deal with the Company or its Affiliates with the same rights it would
have if it were not Trustee. However, in the event that the Trustee acquires any conflicting
interest (as defined in the TIA) after a Default has occurred and is continuing, it must eliminate
such conflict within 90 days, apply to the SEC for permission to continue as Trustee or resign.
The Trustee is also subject to Sections 7.10 and 7.11 hereof.

Section 7.4 Trustee’s Disclaimer

     The Trustee shall not be responsible for and makes no representation as to the validity or
adequacy of this Indenture or the Securities, it shall not be accountable for the Company’s use of
the proceeds from the Securities, it shall not be responsible for the use or application of any
money received by any Paying Agent (other than itself as Paying Agent), and it shall not be
responsible for any statement of the Company in this Indenture or in any document issued in
connection with the sale of the Securities or in the Securities other than the Trustee’s
certificate of authentication.

Section 7.5 Notice of Defaults

     If a Default or Event of Default occurs and is continuing and if a Trust Officer has actual
knowledge thereof, the Trustee shall mail to each Holder notice of the Default or Event of Default
within 90 days after it occurs. Except in the case of a Default or Event of Default relating to
payment of principal of, premium, if any, or interest on, any Security (including payments pursuant
to the redemption or required repurchase provisions of such Security), the Trustee may withhold the
notice if and so long as its board of directors, the Executive Committee of its board of directors
or a committee of its Trust Officers in good faith determines that withholding the notice is in the
interests of Holders.

Section 7.6 Reports by Trustee to Holders

     (a) Within 60 days after each May 15 beginning with the May 15 following the date of this
Indenture, the Trustee shall mail to each Holder a brief report that complies with Trust Indenture
Act Section 313(a) (but if no event described in Trust Indenture Act §313(a) has occurred within
the 12 months preceding the reporting date, no report need be transmitted). The Trustee also shall
comply with Trust Indenture Act Section 313(b). The Trustee shall also transmit by mail all
reports required by Trust Indenture Act Section 313(c).

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     (b) A copy of each report at the time of its mailing to Holders shall be mailed to the Company
and filed with the SEC and each stock exchange (if any) on which the Securities are listed. The
Company agrees to notify promptly the Trustee whenever the Securities become listed on any stock
exchange and of any delisting thereof.

Section 7.7 Compensation and Indemnity

     (a) The Company shall pay to the Trustee from time to time, and the Trustee shall be entitled
to, reasonable compensation for its services, which may be set forth in a separate fee agreement
between the Trustee and the Company. The Trustee’s compensation shall not be limited by any law on
compensation of a trustee of an express trust. The Company shall reimburse the Trustee upon
request for all reasonable out-of-pocket expenses incurred or made by it, including costs of
collection, costs of preparing and reviewing reports, certificates and other documents, costs of
preparation and mailing of notices to Holders and reasonable costs of counsel retained by the
Trustee in connection with the delivery of an Opinion of Counsel or otherwise, in addition to the
compensation for its services. Such expenses shall include the reasonable compensation and
expenses, disbursements and advances of the Trustee’s agents and counsel. The Company shall
indemnify and hold harmless the Trustee (in its individual and trustee capacities) and its
officers, directors and agents against any and all loss, liability, claims, action, suit, cost or
expense (including reasonable attorneys’ fees) of any kind and nature whatsoever incurred by it in
connection with the administration of this trust and the performance of its duties hereunder,
including the costs and expenses of enforcing this Indenture (including this Section 7.7)
and of defending itself against any claims (whether asserted by any Holder, the Company or
otherwise). The Trustee shall notify the Company promptly of any claim for which it may seek
indemnity. Failure by the Trustee to so notify the Company shall not relieve the Company of its
obligations hereunder. The Company shall defend the claim and the Trustee may have separate
counsel and the Company shall pay the fees and expenses of such counsel. The Company is not
required to reimburse any expense or indemnify against any loss, liability claim, again, suit, cost
or expense incurred by the Trustee through the Trustee’s own willful misconduct or negligence.

     (b) To secure the Company’s payment obligations in this Section 7.7, the Trustee shall
have a lien prior to the Securities on all money or property held or collected by the Trustee other
than money or property held in trust to pay principal of, premium (if any) and interest on
particular Securities.

     (c) The Company’s payment obligations pursuant to this Section 7.7 shall survive the
discharge of this Indenture and the resignation or removal of the Trustee. When the Trustee incurs
expenses after the occurrence of a Default specified in Section 6.1(9) hereof with respect
to the Company, the expenses are intended to constitute expenses of administration under any
Bankruptcy Law.

Section 7.8 Replacement of Trustee

     (a) A resignation or removal of the Trustee and appointment of a successor Trustee will become
effective only upon the successor Trustee’s acceptance of appointment as provided in this
Section 7.8.

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     (b) The Trustee may resign at any time by so notifying the Company. The Holders of a majority
in outstanding principal amount of the Securities may remove the Trustee by so notifying the
Trustee and the Company and may appoint a successor Trustee. The Company may remove the Trustee
if: (i) the Trustee fails to comply with Section 7.10 hereof; (ii) the Trustee is adjudged
bankrupt or insolvent; (iii) a Custodian or other public officer takes charge of the Trustee or its
property; or (iv) the Trustee otherwise becomes incapable of acting.

     (c) If the Trustee resigns or is removed by the Company or by the Holders of a majority in
outstanding principal amount of the Securities and such Holders do not reasonably promptly appoint
a successor Trustee, or if a vacancy exists in the office of Trustee for any reason (the Trustee in
such event being referred to herein as the retiring Trustee), the Company shall promptly appoint a
successor Trustee.

     (d) A successor Trustee shall deliver a written acceptance of its appointment to the retiring
Trustee and to the Company. Thereupon the resignation or removal of the retiring Trustee shall
become effective, and the successor Trustee shall have all the rights, powers and duties of the
Trustee under this Indenture. The successor Trustee shall mail a notice of its succession to the
Holders. The retiring Trustee shall promptly transfer all property held by it as Trustee to the
successor Trustee, subject to the lien provided for in Section 7.7 hereof.

     (e) If a successor Trustee does not take office within 60 days after the retiring Trustee
resigns or is removed, the retiring Trustee or the Holders of 10% in outstanding principal amount
of the Securities may petition any court of competent jurisdiction for the appointment of a
successor Trustee.

     (f) If the Trustee fails to comply with Section 7.10 hereof after written notice
thereto, the Holders of at least 10% in principal amount of the then outstanding Securities may
petition any court of competent jurisdiction for the removal of the Trustee and the appointment of
a successor Trustee.

     (g) Notwithstanding the replacement of the Trustee pursuant to this Section 7.8, the
Company’s obligations under Section 7.7 hereof shall continue for the benefit of the
retiring Trustee.

Section 7.9 Successor Trustee by Merger

     (a) If the Trustee consolidates with, merges or converts into, or transfers all or
substantially all its corporate trust business or assets to, another corporation or banking
association, the resulting, surviving or transferee corporation or banking association without any
further act shall be the successor Trustee.

     (b) If at the time such successor or successors by merger, conversion or consolidation to the
Trustee shall succeed to the trusts created by this Indenture, any of the Securities shall have
been authenticated but not delivered, any such successor to the Trustee may adopt the certificate
of authentication of any predecessor Trustee, and deliver such Securities so authenticated; and if
at that time any of the Securities shall not have been authenticated, any successor to the Trustee
may authenticate such Securities either in the name of any predecessor hereunder or in the name of
the successor to the Trustee; and in all such cases such certificates shall have the full force
which it is anywhere in the Securities or in this Indenture provided that the certificate of
the Trustee shall have.

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Section 7.10 Eligibility; Disqualification

     The Trustee shall at all times satisfy the requirements of Trust Indenture Act Section 310(a).
There shall at all times be a Trustee hereunder that is a corporation organized and doing business
under the laws of the United States of America or of any state thereof that is authorized under
such laws to exercise corporate trustee power, that is subject to supervision or examination by
federal or state authorities and that has a combined capital and surplus of at least $50 million as
set forth in its most recent published annual report of condition. The Trustee shall comply with
Trust Indenture Act Section 310(b); provided, however, that there shall be excluded from the
operation of Trust Indenture Act Section 310(b)(1) the indenture for the 10.5% Senior Notes due
2013 of the Company and any other indenture or indentures under which other securities or
certificates of interest or participation in other securities of the Company are outstanding if the
requirements for such exclusion set forth in Trust Indenture Act Section 310(b)(1) are met.

Section 7.11 Preferential Collection of Claims Against Company

     The Trustee shall comply with Trust Indenture Act Section 311(a), excluding any creditor
relationship listed in Trust Indenture Act Section 311(b). A Trustee who has resigned or been
removed shall be subject to Trust Indenture Act Section 311(a) to the extent indicated.

ARTICLE VIII

DISCHARGE OF INDENTURE; DEFEASANCE

Section 8.1 Discharge of Liability on Securities; Defeasance

     (a) Subject to Section 8.1(c) hereof, when (i)(x) the Company delivers to the Trustee
all outstanding Securities (other than Securities replaced pursuant to Section 2.7 hereof)
for cancellation or (y) all outstanding Securities not theretofore delivered for cancellation have
become due and payable at their scheduled maturity or (z) all outstanding Securities not
theretofore delivered for cancellation have become scheduled for redemption under arrangements
satisfactory to the Trustee as a result of the giving of notice of redemption by the Trustee in the
name and at the expense of the Company in accordance with Article III hereof, (ii) the
Company irrevocably deposits or causes to be deposited with the Trustee as trust funds in trust
solely for the benefit of the Holders money in U.S. dollars, Government Securities, or a
combination thereof, in such amounts as will be sufficient without consideration of any
reinvestment of interest to pay and discharge the entire Indebtedness on such Securities not
theretofore delivered to the Trustee for cancellation for principal, premium, if any, and accrued
interest to the date of Stated Maturity or redemption, (iii) no Default or Event of Default shall
have occurred and be continuing on the date of such deposit or shall occur as a result of such
deposit and such deposit will not result in a breach or violation of, or constitute a default
under, any other instrument to which the Company is a party or by which the Company is bound, (iv)
the Company has paid or caused to be paid all sums then payable by it under this Indenture and the
Securities and (v) the Company has delivered irrevocable instructions to the Trustee to apply the
deposited money

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toward the payment of such Securities at Stated Maturity or the Redemption Date, as the case
may be, then the Trustee shall acknowledge satisfaction and discharge of this Indenture and the
obligations of the Company and the Guarantors under the Securities and the Subsidiary Guarantees,
on demand of the Company (accompanied by an Officers’ Certificate and an Opinion of Counsel stating
that all conditions precedent specified herein relating to the satisfaction and discharge of this
Indenture have been complied with) and at the cost and expense of the Company.

     (b) Subject to Section 8.2 hereof, the Company at its option at any time may terminate
(i) all its obligations, except as specified in Section 8.1(c) hereof, under the Securities
and this Indenture and all obligations of the Guarantors with respect to their Subsidiary
Guarantees (“legal defeasance option”), and after giving effect to such legal defeasance, any
omission to comply with such obligations shall no longer constitute a Default or Event of Default
or (ii) its obligations under Section 4.2, Section 4.3, Section 4.4,
Section 4.5, Section 4.6, Section 4.7, Section 4.8, Section
4.9, Section 4.10 and Section 4.11 hereof, except to the extent such
obligations are imposed by Section 318(c) of the Trust Indenture Act, and clause (a)(4) of
Section 5.1 hereof, and the Company may omit to comply with and shall have no liability in
respect of any term, condition or limitation set forth in any such Section, whether directly or
indirectly, by reason of any reference elsewhere herein to any such Section or by reason of any
reference in any such Section to any other provision herein or in any other document and such
omission to comply with such Sections shall no longer constitute a Default or an Event of Default
under Section 6.1(3) (solely as it relates to clause (a)(4) of Section 5.1) and
Section 6.1(4) hereof and the operation of Section 6.1(5), Section 6.1(6),
Section 6.1(7) and Section 6.1(8) hereof and (with respect only to Significant
Subsidiaries) Section 6.1(9) hereof, and the events specified in such Sections shall no
longer constitute an Event of Default (this clause (ii) being referred to as the “covenant
defeasance option”), but otherwise the remainder of this Indenture and the Securities shall be
unaffected thereby. The Company may exercise its legal defeasance option notwithstanding its prior
exercise of its covenant defeasance option. If the Company exercises its legal defeasance option
or its covenant defeasance option, each Guarantor shall be released from its obligations with
respect to its Subsidiary Guarantee as provided in Section 10.9(b) hereof.

     If the Company exercises its legal defeasance option, payment of the Securities may not be
accelerated because of an Event of Default. If the Company exercises its covenant defeasance
option, payment of the Securities may not be accelerated because of an Event of Default specified
in Section 6.1(4), Section 6.1(5), Section 6.1(6), Section 6.1(7),
Section 6.1(8), and (with respect only to Significant Subsidiaries) Section 6.1(9)
hereof or the failure of the Company to comply with clause (a)(4) of Section 5.1 hereof.

     Upon satisfaction of the conditions set forth herein and upon request of the Company, the
Trustee shall acknowledge in writing the discharge of those obligations that the Company
terminates.

     (c) Notwithstanding the provisions of Section 8.1(a) and Section 8.1(b)
hereof, the obligations of the Company in Section 2.3, Section 2.4,
Section 2.5, Section 2.6, Section 2.7, Section 2.9, Section
7.7, Section 7.8 hereof, and in this Article VIII shall survive until the
Securities have been paid in full. Thereafter, the obligations of the Company in Section
7.7, Section 8.4 and Section 8.5 hereof shall survive.

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Section 8.2 Conditions to Defeasance

     The Company may exercise its legal defeasance option or its covenant defeasance option only
if:

          (1) the Company shall have irrevocably deposited with the Trustee, in trust, for the benefit
of the Holders of the Securities, cash in U.S. dollars, non-callable Government Securities, or a
combination thereof, in such amounts as will be sufficient, in the opinion of a nationally
recognized firm of independent public accountants, to pay the principal of, premium, if any, and
interest on the outstanding Securities on the Stated Maturity or on the applicable Redemption Date,
as the case may be, and the Company must specify whether the Securities are being defeased to
Stated Maturity or to a particular Redemption Date;

          (2) in the case of the legal defeasance option, the Company shall have delivered to the
Trustee an Opinion of Counsel reasonably acceptable to the Trustee confirming that (a) the Company
has received from, or there has been published by, the Internal Revenue Service a ruling or (b)
since the Issue Date, there has been a change in the applicable federal income tax law, in either
case to the effect that, and based thereon such Opinion of Counsel shall confirm that, the Holders
of the outstanding Securities will not recognize income, gain or loss for federal income tax
purposes as a result of such legal defeasance option and will be subject to federal income tax on
the same amounts, in the same manner and at the same times as would have been the case if such
legal defeasance option had not occurred;

          (3) in the case of the covenant defeasance option, the Company shall have delivered to the
Trustee an Opinion of Counsel reasonably acceptable to the Trustee confirming that the Holders of
the outstanding Securities will not recognize income, gain or loss for federal income tax purposes
as a result of such covenant defeasance option and will be subject to federal income tax on the
same amounts, in the same manner and at the same times as would have been the case if such covenant
defeasance option had not occurred;

          (4) no Default or Event of Default shall have occurred and be continuing either: (a) on the
date of such deposit (other than a Default or Event of Default resulting from the borrowing of
funds to be applied to such deposit); or (b) insofar as Events of Default from bankruptcy or
insolvency events are concerned, at any time in the period ending on the 91st day after the date of
deposit;

          (5) such legal defeasance option or covenant defeasance option will not result in a breach or
violation of, or constitute a default under, any material agreement or instrument (other than this
Indenture) to which the Company or any of its Restricted Subsidiaries is a party or by which the
Company or any of its Restricted Subsidiaries is bound;

          (6) the Company shall have delivered to the Trustee an Opinion of Counsel to the effect that
after the 91st day following the deposit, the trust funds will not be subject to the effect of any
applicable bankruptcy, insolvency, reorganization or similar laws affecting creditors’ rights
generally;

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          (7) the Company shall have delivered to the Trustee an Officers’ Certificate stating that the
deposit was not made by the Company with the intent of preferring the Holders of Securities over
the other creditors of the Company with the intent of defeating, hindering, delaying or defrauding
creditors of the Company or others; and

          (8) the Company shall have delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, stating that all conditions precedent relating to the legal defeasance option or the
covenant defeasance option have been complied with.

Section 8.3 Delivery and Application of Trust Money

     The Trustee shall hold in trust money or Government Securities deposited with it pursuant to
this Article VIII. It shall apply the deposited money and the money from Government
Securities and in accordance with this Indenture to the payment of principal, premium, if any, of
and interest on the Securities.

Section 8.4 Repayment to Company

     The Trustee and each Paying Agent shall promptly turn over to the Company upon request any
excess money or securities held by them upon payment of all the obligations under this Indenture.

     Subject to any applicable abandoned property law, the Trustee and each Paying Agent shall pay
to the Company upon request any money held by them for the payment of principal of, or premium, if
any, or interest on the Securities that remains unclaimed for two years (or any such money then
held by the Company or any Subsidiary shall be discharged from any trust hereunder), and,
thereafter, Holders entitled to the money must look to the Company for payment as unsecured general
creditors; provided, however, that, if any Definitive Securities are then outstanding, the Trustee
or such Paying Agent, before being required to make any such repayment, may at the expense of the
Company cause to be published once, in The New York Times and The Wall Street Journal (national
edition), notice that such money remains unclaimed and that, after a date specified therein, which
will not be less than 30 days from the date of such notification or publication, any unclaimed
balance of such money then remaining will be repaid to the Company.

Section 8.5 Indemnity for Government Securities

     The Company shall pay and shall indemnify the Trustee against any tax, fee or other charge
imposed on or assessed against deposited Government Securities or the principal and interest
received on such Government Securities.

Section 8.6 Reinstatement

     If the Trustee or any Paying Agent is unable to apply any money or Government Securities in
accordance with this Article VIII by reason of any legal proceeding or by reason of any
order or judgment of any court or governmental authority enjoining, restraining or otherwise
prohibiting such application, the obligations of the Company under this Indenture and the
Securities shall be revived and reinstated as though no deposit had occurred pursuant to this

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Article VIII until such time as the Trustee or such Paying Agent is permitted to apply
all such money or Government Securities in accordance with this Article VIII; provided,
however, that, if the Company has made any payment in respect of any Securities because of the
reinstatement of its obligations, the Company shall be subrogated to the rights of the Holders of
such Securities to receive such payment from the money or Government Securities held by the Trustee
or any Paying Agent.

ARTICLE IX

AMENDMENTS

Section 9.1 Without Consent of Holders

     The Company, the Guarantors and the Trustee may amend or supplement this Indenture, the
Securities or the Subsidiary Guarantees without notice to or consent of any Holder:

          (1) to cure any ambiguity, defect or inconsistency;

          (2) to provide for uncertificated Securities in addition to or in place of certificated
Securities;

          (3) to provide for the assumption of the Company’s or a Guarantor’s obligations to Holders of
the Securities in the case of a merger or consolidation or sale of all or substantially all of the
Company’s or a Guarantor’s properties or assets in compliance with this Indenture;

          (4) to add or release Guarantors in compliance with this Indenture;

          (5) to make any change that would provide any additional rights or benefits to the Holders or
that does not adversely affect the legal rights hereunder of any Holder; provided, however, that
any change to this Indenture to conform it to the description of the Initial Securities in the
offering memorandum of the Company dated May 9, 2008 shall not be deemed to adversely affect such
legal rights;

          (6) to secure the Securities, including pursuant to the requirements of Section 4.5;

          (7) to comply with the requirements of the SEC in order to effect or maintain the
qualification of this Indenture under the Trust Indenture Act;

          (8) to provide for the issuance of the Exchange Securities, which will have terms
substantially identical in all respects to the Initial Securities (except that the transfer
restrictions contained in the Initial Securities will be modified or eliminated, as appropriate),
and which will be treated, together with any outstanding Initial Securities and Additional
Securities, as a single issue of securities; or

          (9) to provide for the issuance of Additional Securities in accordance with this Indenture.

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Section 9.2 With Consent of Holders

     The Company, the Guarantors and the Trustee may amend or supplement this Indenture, the
Securities or the Subsidiary Guarantees with the consent of the Holders of at least a majority in
principal amount of the then outstanding Securities (including consents obtained in connection with
the purchase of, or tender offer or exchange offer for, Securities). Subject to the following
sentence, any existing Default or compliance with any provision of this Indenture, the Securities
or the Subsidiary Guarantees may be waived with the consent of the Holders of at least a majority
in principal amount of the then outstanding Securities (including consents obtained in connection
with a purchase of, or tender offer or exchange offer for, Securities). However, without the
consent of each Holder, an amendment, supplement or waiver may not (with respect to any Securities
held by a non-consenting Holder):

          (1) reduce the principal amount of Securities whose Holders must consent to an amendment,
supplement or waiver;

          (2) reduce the principal of or change the fixed maturity of any Security or alter the
provisions with respect to the redemption or repurchase of the Securities (other than provisions
relating to Section 4.7 or 4.11);

          (3) reduce the rate of or change the time for payment of interest on any Security;

          (4) waive a Default or Event of Default in the payment of principal of or premium, if any, or
interest on the Securities or a Default or Event of Default in respect of a provision that cannot
be amended or supplemented without the consent of each Holder affected;

          (5) make any Security payable in a currency other than that stated in the Securities;

          (6) make any change in the provisions of this Indenture relating to waivers of past Defaults
or the rights of Holders of Securities to receive payments of principal of or premium, if any, or
interest on the Securities (except as permitted by clause (7) below);

          (7) waive a redemption or repurchase payment with respect to any Security (other than a
payment required by Section 4.7 or 4.11);

          (8) modify any Subsidiary Guarantee in any manner adverse to the Holders of the Securities or
release any Guarantor from its obligations under its Subsidiary Guarantee except in accordance with
the terms of this Indenture;

          (9) make any change in the ranking of the Securities or the Subsidiary Guarantees in a manner
adverse to the Holders of the Securities or the Subsidiary Guarantees; or

          (10) make any change in the preceding amendment, supplement and waiver provisions of this
Section 9.2.

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     The consent of the Holders is not necessary under this Section 9.2 to approve the
particular form of any proposed amendment or waiver. It is sufficient if the consent approves the
substance of the proposed amendment or waiver.

     After an amendment, supplement or waiver under this Section 9.2 becomes effective, the
Company shall mail to each Holder of Securities affected thereby a notice briefly describing such
amendment. The failure to give such notice to any or all Holders, or any defect therein, shall not
impair or affect the validity of any amendment, supplement or waiver under this Section
9.2.

Section 9.3 Compliance with Trust Indenture Act

     Every amendment to this Indenture, the Securities or the Subsidiary Guarantees shall comply
with the Trust Indenture Act as then in effect.

Section 9.4 Revocation and Effect of Consents and Waivers

     A consent to an amendment, supplement or waiver by a Holder of a Security shall bind the
Holder and every subsequent Holder of that Security or portion of the Security that evidences the
same debt as the consenting Holder’s Security (or any Holder of a Security issued upon the
registration of transfer or exchange thereof or in lieu thereof), even if notation of the
amendment, supplement or waiver is not made on the Security. However, any such Holder or
subsequent Holder may revoke the consent as to such Holder’s Security or portion of the Security if
the Trustee receives the written notice of revocation before the date the amendment, supplement or
waiver becomes effective. After an amendment, supplement or waiver becomes effective in accordance
with its terms, it shall bind every Holder.

     The Company may, but shall not be obligated to, fix a record date for the purpose of
determining the Holders entitled to give their consent or take any other action described above or
required or permitted to be taken pursuant to this Indenture. If a record date is fixed, then
notwithstanding the immediately preceding paragraph, those Persons who were Holders at the close of
business on such record date (or their duly designated proxies), and only those Persons, shall be
entitled to give such consent or to revoke any consent previously given or to take any such action,
whether or not such Persons continue to be Holders after such record date, and for this purpose the
Securities then outstanding shall be computed as of such record date. No such consent shall become
valid or effective more than 120 days after such record date.

Section 9.5 Notation on or Exchange of Securities

     If an amendment or supplement changes the terms of a Security, the Trustee may require the
Holder of the Security to deliver it to the Trustee. The Trustee may place an appropriate notation
on the Security regarding the changed terms and return it to the Holder. Alternatively, if the
Company or the Trustee so determines, the Company in exchange for the Security shall issue and the
Trustee shall authenticate a new Security that reflects the changed terms, but the failure to make
the appropriate notation or to issue a new Security shall not affect the validity and effect of
such amendment or supplement.

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Section 9.6 Trustee to Sign Amendments

     The Trustee shall sign any amendment or supplement authorized pursuant to this Article
IX if the amendment or supplement does not adversely affect the rights, duties, liabilities or
immunities of the Trustee. If it does, the Trustee may but need not sign it. In signing such
amendment or supplement the Trustee shall be entitled to receive, and (subject to Section
7.1 hereof) shall be fully protected in relying upon, an Officers’ Certificate and an Opinion
of Counsel stating that the execution of such amendment or supplement is authorized or permitted by
this Indenture.

ARTICLE X

SUBSIDIARY GUARANTEES

Section 10.1 Subsidiary Guarantees

     Each Guarantor which is a party hereto or becomes a party hereto by executing and delivering a
supplement to this Indenture pursuant to Section 4.9 hereof, jointly and severally,
unconditionally Guarantees to each Holder and to the Trustee and its successors and assigns the
full and punctual payment of principal of, premium (if any) and interest on the Securities when
due, whether at Stated Maturity, or upon redemption, required repurchase pursuant to Section
4.7 or Section 4.11 hereof, acceleration or otherwise, and all other monetary
obligations owing by the Company under this Indenture (including obligations owing to the Trustee)
and the Securities (all the foregoing being hereinafter collectively called the “Obligations”).
The Guarantors further agree that the Obligations may be extended or renewed, in whole or in part,
without notice or further assent from the Guarantors, and that the Guarantors will remain bound
under this Article X notwithstanding any extension or renewal of any Obligation.

     The Guarantors waive presentation to, demand of payment from and protest to the Company of any
of the Obligations and also waive notice of protest for nonpayment. The Guarantors waive notice of
any Default under the Securities or the Obligations. The obligations of the Guarantors hereunder
shall not be affected by: (i) the failure of any Holder or the Trustee to assert any claim or
demand or to enforce any right or remedy against the Company or any other Person under this
Indenture, the Securities or any other agreement or otherwise; (ii) any extension or renewal of any
Obligation; (iii) any rescission, waiver, amendment, modification or supplement of any of the terms
or provisions of this Indenture (other than this Article X), the Securities or any other
agreement; (iv) the release of security, if any, held by any Holder or the Trustee for the
Obligations or any of them; (v) the failure of any Holder or the Trustee to exercise any right or
remedy against any other guarantor of the Obligations; (vi) any change in the ownership of the
Company; or (vii) any other act or thing or omission or delay to do any other act or thing which
may or might in any manner or to any extent vary the risk of the Guarantors or would otherwise
operate as a discharge of the Guarantors as a matter of law or equity, except for payment of the
Securities in full.

     The Guarantors, jointly and severally, further agree that their Subsidiary Guarantees herein
constitute a guarantee of payment when due (and not a guarantee of collection) and waive
any right to require that any resort be had by any Holder or the Trustee to security, if any,
held for payment of the Obligations.

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     The obligations of the Guarantors hereunder shall not be subject to any reduction, limitation,
impairment or termination for any reason (except to the extent provided in Section 10.2
hereof), including any claim of waiver, release, surrender, alteration or compromise, and shall not
be subject to any defense, setoff, counterclaim, recoupment or termination whatsoever or by reason
of the invalidity, illegality or unenforceability of the Obligations or otherwise.

     The Guarantors, jointly and severally, further agree that their Subsidiary Guarantees herein
shall continue to be effective or be reinstated, as the case may be, if at any time payment, or any
part thereof, of any Obligation is rescinded or must otherwise be restored by any Holder or the
Trustee upon the bankruptcy or reorganization of the Company or otherwise.

     In furtherance of the foregoing and not in limitation of any other right which any Holder or
the Trustee has at law or in equity against the Guarantors by virtue hereof, upon the failure of
the Company to pay any Obligation when and as the same shall become due, whether at Stated
Maturity, upon redemption, required repurchase, acceleration or otherwise, the Guarantors hereby
promise to and will, upon receipt of written demand by the Trustee, forthwith pay, or cause to be
paid, in cash, to the Holders or the Trustee an amount equal to the sum of (i) the unpaid principal
amount of such Obligations, (ii) accrued and unpaid interest on such Obligations (but only to the
extent not prohibited by law) and (iii) all other monetary Obligations of the Company to the
Holders and the Trustee.

     The Guarantors, jointly and severally, agree that, as between the Guarantors, on the one hand,
and the Holders and the Trustee, on the other hand, (x) the maturity of the Obligations may be
accelerated as provided in Article VI for the purposes of the Subsidiary Guarantee herein,
notwithstanding any stay, injunction or other prohibition preventing such acceleration in respect
of the Obligations, and (y) in the event of any declaration of acceleration of such Obligations as
provided in Article VI, such Obligations (whether or not due and payable) shall forthwith
become due and payable by the Guarantors for the purposes of this Section 10.1.

     The Guarantors, jointly and severally, also agree to pay any and all costs and expenses
(including reasonable attorneys’ fees) incurred by the Trustee or any Holder in enforcing any
rights under this Section 10.1.

Section 10.2 Limitation on Liability

     Each Guarantor, and by its acceptance of Securities, each Holder, hereby confirm that it is
the intention of all such parties that the Subsidiary Guarantee of such Guarantor not constitute a
fraudulent transfer or conveyance for purposes of Bankruptcy Law, the Uniform Fraudulent Conveyance
Act, the Uniform Fraudulent Transfer Act or any similar federal or state law to the extent
applicable to any Subsidiary Guarantee. To effectuate the foregoing intention, the Trustee, the
Holders and the Guarantors hereby irrevocably agree that the obligations of each Guarantor will be
limited to the maximum amount that will, after giving effect to such maximum amount and all other
contingent and fixed liabilities of such Guarantor that are relevant under such laws, and after
giving effect to any collections from, rights to receive contribution from or

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payments made by or on behalf of any other Guarantor in respect of the obligations of such
other Guarantor under this Article X, result in the obligations of such Guarantor under its
Subsidiary Guarantee not constituting a fraudulent transfer or conveyance.

Section 10.3 Execution and Delivery of Subsidiary Guarantee

     To evidence its Subsidiary Guarantee set forth in Section 10.1, each Guarantor hereby
agrees that a notation of such Subsidiary Guarantee substantially in the form attached as
Exhibit D hereto will be endorsed by manual or facsimile signature by an Officer of such
Guarantor on each Security authenticated and delivered by the Trustee and that this Indenture (or a
supplemental indenture substantially in form of Exhibit E hereof) will be executed on
behalf of such Guarantor by one of its Officers.

     Each Guarantor hereby agrees that its Subsidiary Guarantee set forth in Section 10.1
will remain in full force and effect notwithstanding any failure to endorse on each Security a
notation of such Subsidiary Guarantee. If an Officer whose facsimile signature is on the
Subsidiary Guarantee no longer holds that office at the time the Trustee authenticates the Security
on which the Subsidiary Guarantee is endorsed, the Subsidiary Guarantee will be valid nevertheless.

     The delivery of any Security by the Trustee, after the authentication thereof hereunder, will
constitute due delivery of the Subsidiary Guarantee set forth in this Indenture on behalf of the
Guarantors.

     In the event that the Company or any of its Restricted Subsidiaries acquires or creates
another Restricted Subsidiary (other than Foreign Subsidiaries) after the Issue Date, the Company
will comply with the provisions of Section 4.9 hereof.

Section 10.4 Successors and Assigns

     Except as otherwise provided in Section 10.9 hereof, this Article X shall be
binding upon the Guarantors and their successors and assigns and shall inure to the benefit of the
successors and assigns of the Trustee and the Holders and, in the event of any transfer or
assignment of rights in accordance with the terms of this Indenture by any Holder or the Trustee,
the rights and privileges conferred upon that party in this Indenture and in the Securities shall
automatically extend to and be vested in such transferee or assignee, all subject to the terms and
conditions of this Indenture, the Securities and the Subsidiary Guarantees.

Section 10.5 No Waiver

     Neither a failure nor a delay on the part of either the Trustee or the Holders in exercising
any right, power or privilege under this Article X shall operate as a waiver thereof, nor
shall a single or partial exercise thereof preclude any other or further exercise of any right,
power or privilege. The rights, remedies and benefits of the Trustee and the Holders herein
expressly specified are cumulative and not exclusive of any other rights, remedies or benefits
which either may have under this Article X at law, in equity, by statute or otherwise.

93

 

Section 10.6 Right of Contribution

     Each Guarantor hereby agrees that to the extent that a Guarantor shall have paid more than its
proportionate share of any payment made hereunder, such Guarantor shall be entitled to seek and
receive contribution from and against any other Guarantor hereunder who has not paid its
proportionate share of such payment. Each Guarantor’s right of contribution shall be subject to
the terms and conditions of this Article X. The provisions of this Section 10.6
shall in no respect limit the obligations and liabilities of any Guarantor to the Trustee and the
Holders and each Guarantor shall remain liable to the Trustee and the Holders for the full amount
guaranteed by such Guarantor hereunder.

Section 10.7 No Subrogation

     Notwithstanding any payment or payments made by any of the Guarantors hereunder, no Guarantor
shall be entitled to exercise any rights of subrogation it may have to any of the rights of the
Trustee or any Holder against the Company or any other Guarantor or any collateral security or
guarantee or right of offset held by the Trustee or any Holder for the payment of the Obligations,
nor shall any Guarantor seek or be entitled to seek any contribution or reimbursement from the
Company or any other Guarantor in respect of payments made by such Guarantor hereunder, until all
amounts owing to the Trustee and the Holders by the Company on account of the Obligations are paid
in full. If any amount shall be paid to any Guarantor on account of such subrogation rights at any
time when all of the Obligations shall not have been paid in full, such amount shall be held by
such Guarantor in trust for the Trustee and the Holders, segregated from other funds of such
Guarantor, and shall, forthwith upon receipt by such Guarantor, be turned over to the Trustee in
the exact form received by such Guarantor (duly indorsed by such Guarantor to the Trustee, if
required), to be applied against the Obligations.

Section 10.8 Modification

     No modification, amendment or waiver of any provision of this Article X, nor the
consent to any departure by the Guarantors therefrom, shall in any event be effective unless the
same shall be made in accordance with Article IX hereof. No notice to or demand on the
Guarantors in any case shall entitle the Guarantors to any other or further notice or demand in the
same, similar or other circumstances.

Section 10.9 Merger, Consolidation or Sale of Assets of a Guarantor; Release of a Guarantor

     (a) The Company shall not permit a Guarantor to sell or otherwise dispose of all or
substantially all of its properties or assets to, or consolidate with or merge with or into
(whether or not such Guarantor is the resulting, transferee or surviving Person), another Person
(other than the Company or another Guarantor), unless:

          (1) immediately after giving effect to that transaction, no Default or Event of Default shall
have occurred and be continuing; and

94

 

          (2) either:

          (A) the Person acquiring the properties or assets in any such sale or disposition or
the Person formed by or surviving any such consolidation or merger (if other than the
Guarantor) assumes all the obligations of that Guarantor under its Subsidiary Guarantee
pursuant to a supplemental indenture satisfactory to the Trustee; or

          (B) an amount equal to the Net Proceeds of such sale or other disposition is applied in
accordance with Section 4.7 hereof.

     (b) The Subsidiary Guarantee of a Guarantor shall be automatically and unconditionally
released:

          (1) in connection with any sale or other disposition of all or substantially all of the assets
of that Guarantor (including by way of merger or consolidation), other than to the Company or
another Guarantor, if the Company applies the Net Proceeds of that sale or other disposition in
accordance with Section 4.7 hereof;

          (2) in connection with any sale or other disposition of all of the Capital Stock of a
Guarantor (including by way of merger or consolidation) other than to the Company or another
Guarantor, if the Company applies the Net Proceeds of that sale or other disposition in accordance
with Section 4.7 hereof;

          (3) if the Company designates any Restricted Subsidiary that is a Guarantor as an Unrestricted
Subsidiary in accordance with the provisions of this Indenture; or

          (4) if the Company exercises either its legal defeasance option or its covenant defeasance
option in accordance with Section 8.1(b) hereof.

     (c) Upon delivery by the Company to the Trustee of an Officers’ Certificate to the effect that
any of the conditions described in clauses (1) — (4) of Section 10.9(b) has occurred, the
Trustee shall execute any supplemental indenture or other documents reasonably requested by the
Company in order to evidence the release of any Guarantor from its obligations under its Subsidiary
Guarantee and this Indenture.

ARTICLE XI

MISCELLANEOUS

Section 11.1 Trust Indenture Act Controls

     If any provision of this Indenture limits, qualifies or conflicts with another provision which
is required to be included in this Indenture by the Trust Indenture Act (or in any other indenture
qualified thereunder), the provision required by the Trust Indenture Act shall control.

95

 

Section 11.2 Notices

     Any notice or communication shall be in writing in the English language and delivered in
person or mailed by first-class mail, telecopier or overnight air courier guaranteeing next day
delivery, addressed as follows (unless the Company and the Trustee agree to another method of
delivery):

     if to the Company or the Guarantors:

Petrohawk Energy Corporation

1100 Louisiana, Suite 4400

Houston, Texas 77002

Attention: Chief Financial Officer

Facsimile: (832) 204-2827

     with a copy to each of:

Hinkle & Elkouri Law Firm, LLC

2000 Epic Center

301 North Main Street

Wichita, Kansas 67202

Attention: David S. Elkouri

Facsimile: (316) 660-6011

Thompson & Knight LLP

333 Clay Street, Suite 3300

Houston, Texas 77002

Attention: William T. Heller IV

Facsimile: (713) 654-1871

     if to the Trustee:

U.S. Bank Trust National Association

950 Seventeenth Street, 12th Floor

Denver, Colorado 80202

Attention: Corporate Trust Services

Facsimile: (303) 585-6865

     The Company or the Guarantors, by notice to the Trustee, or the Trustee by notice to the
Company and the Guarantors, may designate additional or different addresses for subsequent notices
or communications.

     Any notice or communication to a Holder shall be delivered to the Holder at the Holder’s
address as it appears on the registration books of the Registrar by first class mail, certified or
registered, return receipt requested, or by overnight air courier guaranteeing next day delivery to
its address shown on the register kept by the Registrar.

96

 

     All notices and communications shall be deemed to have been duly given; at the time delivered
by hand, if personally delivered; five Business Days after being deposited in the mail, postage
prepaid, if mailed; (other than those sent to Holders) when answered back, if telecopied; and the
next Business Day after timely delivery to the courier, if sent by overnight air courier
guaranteeing next day delivery.

     Failure to deliver a notice or communication to a Holder or any defect in it shall not affect
its sufficiency with respect to other Holders. If a notice or communication is delivered in the
manner provided above, it is duly given, whether or not the addressee receives it.

Section 11.3 Communication by Holders with Other Holders

     Holders may communicate pursuant to the Trust Indenture Act Section 312(b) with other Holders
with respect to their rights under this Indenture or the Securities. The Company, the Trustee, the
Registrar and anyone else shall have the protection of the Trust Indenture Act Section 312(c).

Section 11.4 Certificate and Opinion as to Conditions Precedent

     Upon any request or application by the Company to the Trustee to take or refrain from taking
any action under this Indenture, the Company shall, if requested, furnish to the Trustee: (i) an
Officers’ Certificate in form and substance reasonably satisfactory to the Trustee stating that, in
the opinion of the signers, all conditions precedent, if any, provided for in this Indenture
relating to the proposed action have been complied with; and (ii) an Opinion of Counsel in form and
substance reasonably satisfactory to the Trustee stating that, in the opinion of such counsel, all
such conditions precedent have been complied with.

Section 11.5 Statements Required in Certificate or Opinion

     Each certificate or opinion with respect to compliance with a covenant or condition provided
for in this Indenture shall include: (i) a statement that the individual making such certificate or
opinion has read such covenant or condition; (ii) a brief statement as to the nature and scope of
the examination or investigation upon which the statements or opinions contained in such
certificate or opinion are based; (iii) a statement that, in the opinion of such individual, he has
made such examination or investigation as is necessary to enable him to express an informed opinion
as to whether or not such covenant or condition has been complied with; and (iv) a statement as to
whether or not, in the opinion of such individual, such covenant or condition has been complied
with.

Section 11.6 When Securities Disregarded

     In determining whether the Holders of the required principal amount of Securities have
concurred in any direction, waiver or consent, Securities owned by the Company or by any Person
directly or indirectly controlling or controlled by or under direct or indirect common control with
the Company shall be disregarded and deemed not to be outstanding, except that, for the purpose of
determining whether the Trustee shall be protected in relying on any such direction, waiver or
consent, only Securities which the Trustee actually knows are so owned shall

97

 

be so disregarded. Also, subject to the foregoing, only Securities outstanding at the time
shall be considered in any such determination.

Section 11.7 Legal Holidays

     A “Legal Holiday” is a day that is not a Business Day. Notwithstanding any other provisions
of this Indenture, the Securities or the Subsidiary Guarantees, if a payment date is a Legal
Holiday, payment shall be made on the next succeeding day that is not a Legal Holiday, and no
interest shall accrue for the intervening period. If a record date is a Legal Holiday, the record
date shall not be affected.

Section 11.8 Governing Law

     THE LAWS OF THE STATE OF NEW YORK WILL GOVERN AND BE USED TO CONSTRUE AND ENFORCE THIS
INDENTURE, THE SECURITIES AND THE SUBSIDIARY GUARANTEES.

Section 11.9 No Personal Liability of Directors, Officers, Employees and Shareholders

     No director, officer, employee, incorporator, member, partner or stockholder of the Company or
any Guarantor, as such, shall have any liability for any obligations of the Company or the
Guarantors under the Securities, this Indenture, the Subsidiary Guarantees, any Registration Rights
Agreement or for any claim based on, in respect of or by reason of such obligations or their
creation. By accepting a Security, each Holder waives and releases all such liability. The waiver
and release shall be part of the consideration for the issue of the Securities.

Section 11.10 Successors

     All agreements of the Company and (except as otherwise provided in Section 10.9
hereof) the Guarantors in this Indenture, the Securities and the Subsidiary Guarantees shall bind
their respective successors. All agreements of the Trustee in this Indenture shall bind its
successors.

Section 11.11 Multiple Originals; Counterparts

     The parties may sign any number of copies of this Indenture. Each signed copy shall be an
original, but all of them together represent the same agreement. One signed copy is enough to
prove this Indenture. This Indenture may be executed in multiple counterparts which, when taken
together, shall constitute one instrument.

Section 11.12 Severability

     In case any provision in this Indenture or in the Securities or the Subsidiary Guarantees is
invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining
provisions will not in any way be affected or impaired thereby.

98

 

Section 11.13 Table of Contents; Headings

     The table of contents, cross-reference sheet and headings of the Articles and Sections of this
Indenture have been inserted for convenience of reference only, are not intended to be considered a
part hereof and shall not modify or restrict any of the terms or provisions hereof.

Section 11.14 No Adverse Interpretation of Other Agreements

     This Indenture may not be used to interpret any other indenture, loan or debt agreement of the
Company or its Subsidiaries or of any other Person. Any such indenture, loan or debt agreement may
not be used to interpret this Indenture.

[Signatures on following page]

99

 

     IN WITNESS WHEREOF, the parties have caused this Indenture to be duly executed as of the date
first written above.

	 	 	 	 	 
	 	PETROHAWK ENERGY CORPORATION

 	 
	 	By:  	/s/ David S. Elkouri
 	 
	 	 	David S. Elkouri 	 
	 	 	Executive Vice President -

General Counsel and Secretary 	 
	 
	 	GUARANTORS:

P-H ENERGY, LLC

PETROHAWK OPERATING COMPANY

RED RIVER FIELD SERVICES, L.L.C.

WINWELL RESOURCES, L.L.C.

WSF, INC.

KCS RESOURCES, LLC

KCS ENERGY SERVICES, INC.

MEDALLION CALIFORNIA PROPERTIES 

     COMPANY

PROLIQ, INC.

ONE TEC, LLC

ONE TEC OPERATING, LLC

BISON RANCH LLC

HAWK FIELD SERVICES, L.L.C.

HK ENERGY MARKETING, LLC
 	 
	 	 	 
	 	 	 
	 	By:  	/s/ David S. Elkouri	 
	 	 	David S. Elkouri 	 
	 	 	Executive Vice President - 

General Counsel and Secretary 	 
	 
	 	PETROHAWK HOLDINGS, LLC

 	 
	 	By:  	/s/ David S. Elkouri
 	 
	 	 	David S. Elkouri 	 
	 	 	Vice President, Treasurer 

and Assistant Secretary 	 

100

 

	 	 	 	 	 

	 	 	 	 	 
	 	PETROHAWK PROPERTIES, LP

 	 
	 	By:  	P-H Energy, LLC
 	 
	 	 	Its General Partner 	 
	 	 	 	 
	 	 	 
	 	By:  	                             /s/ David S. Elkouri
 	 
	 	 	David S. Elkouri 	 
	 	 	Executive Vice President - 

General Counsel and Secretary 	 
	 
	 	U.S. BANK TRUST NATIONAL ASSOCIATION,

     as Trustee

 	 
	 	By:  	/s/ William W. MacMillan
 	 
	 	 	William W. MacMillan 	 
	 	 	Vice President 	 
	 

101

 

EXHIBIT A

[FACE OF SECURITY]

PETROHAWK ENERGY CORPORATION

10.5% SENIOR NOTE DUE 2014

CUSIP NO. [716495 AE6]1

[U71618AD1]2

[716495 AG1]3

THIS SECURITY IS BEING ISSUED WITH ORIGINAL ISSUE DISCOUNT FOR UNITED STATES FEDERAL INCOME TAX
PURPOSES. FOR INFORMATION REGARDING THE ISSUE PRICE, THE TOTAL AMOUNT OF ORIGINAL ISSUE DISCOUNT,
THE ISSUE DATE, AND THE YIELD TO MATURITY OF THIS SECURITY, PLEASE CONTACT THE CHIEF FINANCIAL
OFFICER OF PETROHAWK ENERGY CORPORATION AT 1100 LOUISIANA, SUITE 4400, HOUSTON, TEXAS 77002 (OR
TELEPHONE HIM AT (832) 204-2732).

					
	 	 	 	 	 
	No. ___
	 	 
	 	Principal Amount $                    

     PETROHAWK ENERGY CORPORATION, a Delaware corporation, promises to pay to ___, or
registered assigns, the principal sum of                                         dollars on August 1,
2014 [, or such other principal amount as is indicated on the attached schedule]4.

   Interest Payment Dates: February 1 and August 1, commencing August 1, 2009.

   Record Dates: January 15 and July 15.

   Dated:                     , 20___

	 	 	 	 	 
	 	PETROHAWK ENERGY CORPORATION

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

U.S. BANK TRUST NATIONAL ASSOCIATION

as Trustee, certifies that this is one of the

Securities referred to in the Indenture.

	 	 	 	 	 
	By:
	 	 	 	 
	 

	 	 

Authorized Signatory 
	 	 

 

			
	1	 	For Securities sold in reliance on Rule 144A.
	 
	2	 	For Securities sold in reliance on Regulation S.
	 
	3	 	For Unrestricted Securities.
	 
	4	 	For Global Securities.

A-1 

 

[BACK OF SECURITY]

PETROHAWK ENERGY CORPORATION

10.5% SENIOR NOTE DUE 2014

     [Insert the Global Security Legend, if applicable pursuant to the provisions of the Indenture]

     [Insert the Private Placement Legend, if applicable pursuant to the provisions of the
Indenture]

     Capitalized terms used herein have the meanings assigned to them in the Indenture referred to
below unless otherwise indicated.

     1. Interest. Petrohawk Energy Corporation, a Delaware corporation (the “Company”), promises
to pay interest on the principal amount of this Security at 10.5% per annum from January 27, 2009
until maturity. The Company will pay interest semi-annually in arrears on February 1 and August 1
of each year, or if any such day is not a Business Day, on the next succeeding Business Day (each,
an “Interest Payment Date”). Interest on the Securities will accrue from the most recent date to
which interest has been paid or, if no interest has been paid, from the date of issuance; provided
that if there is no existing Default in the payment of interest, and if this Security is
authenticated between a record date referred to on the face hereof and the next succeeding Interest
Payment Date, interest shall accrue from such next succeeding Interest Payment Date; provided,
further, that the first Interest Payment Date shall be August 1, 2009. The Company will pay, to
the extent lawful, interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue principal and premium, if any, at the rate then in effect; it will pay,
to the extent lawful, interest (including post-petition interest in any proceeding under any
Bankruptcy Law) on overdue installments of interest (without regard to any applicable grace
periods) from time to time on demand at the same rate as on overdue principal. Interest will be
computed on the basis of a 360-day year of twelve 30-day months.

     2. Method of Payment. The Company will pay interest on the Securities (except Defaulted
Interest) to the Persons who are registered Holders of Securities at the close of business on the
January 15 or July 15 next preceding the Interest Payment Date, even if such Securities are
canceled after such record date and on or before such Interest Payment Date, except as provided in
Section 2.11 of the Indenture with respect to Defaulted Interest. The Securities will be
payable as to principal, premium, if any, and interest at the office or agency of the Paying Agent
maintained for such purpose within the City and State of New York, or, at the option of the
Company, payment of interest may be made by check mailed by such Paying Agent to the Holders at
their addresses set forth in the register of Holders; provided that payment by wire transfer of
immediately available funds will be required with respect to principal of and interest, and
premium, if any, on all Global Securities and all other Securities, the Holders of which hold at
least $5,000,000 aggregate principal amount of the Securities and have provided wire transfer
instructions to the Company and the Paying Agent. Such payment will be in such coin or currency of
the United States of America as at the time of payment is legal tender for payment of public and
private debts. Holders must surrender their Securities to the Paying Agent to collect payments of
principal and premium, if any.

     3. Paying Agent and Registrar. Initially, U.S. Bank Trust National Association will act as
Paying Agent and Registrar. The Company may appoint and change any Paying Agent or

A-2 

 

Registrar without notice to any Holder, and the Company or any of its Subsidiaries may act as
Paying Agent or Registrar, all in accordance with the Indenture.

     4. Indenture. The Company issued the Securities under an Indenture, dated as of January 27,
2009 (the “Indenture”), among the Company, the Guarantors named on the signature pages thereto and
U.S. Bank Trust National Association, as the Trustee. The terms of the Securities include those
stated in the Indenture and those made part of the Indenture by reference to the Trust Indenture
Act. The Securities are subject to all such terms, and Holders are referred to the Indenture and
such Act for a statement of such terms. To the extent any provision of this Security conflicts
with the express provisions of the Indenture, the provisions of the Indenture shall govern and be
controlling (to the extent permitted by law). The Securities are unsecured obligations of the
Company. The Company initially has issued $600,000,000 aggregate principal amount of Securities.
The Company may issue Additional Securities under the Indenture, subject to Section 4.3 of
the Indenture; provided, however, that no Additional Securities may be issued at a price that would
cause such Additional Securities to have “original issue discount” within the meaning of Section
1273 of the Code; and provided, further, that in no event may the Company issue any Additional
Securities if, as a result of any such issuance, the aggregate principal amount of Securities
outstanding would exceed the maximum aggregate principal amount of Securities permitted under the
Existing Credit Facilities or any other Credit Facility, in each case as in effect on the date of
such issuance.

     5. Redemption.

          (a) On and after February 1, 2012, the Company may redeem all or a part of the Securities at
any time or from time to time at the following Redemption Prices (expressed as percentages of the
principal amount) plus accrued and unpaid interest on the Securities, if any, to the applicable
Redemption Date, if redeemed during the 12-month period beginning February 1 of the years
indicated:

	 	 	 	 	 
	Year	 	Redemption Price
	2012
	 	 	110.500	%
	2013
	 	 	105.250	%
	2014 and thereafter
	 	 	100.000	%

          (b) On or prior to February 1, 2012, the Company may on one or more occasions redeem up to an
aggregate amount equal to 35% of the aggregate principal amount of the Securities (including any
Additional Securities) originally issued prior to the Redemption Date under the Indenture at a
Redemption Price of 110.5% of the principal amount of the Securities, plus accrued and unpaid
interest, if any, to the Redemption Date, with the Net Cash Proceeds of one or more Equity
Offerings; provided that (i) at least 65% in aggregate principal amount of the Securities
(including any Additional Securities) originally issued remains outstanding immediately after the
occurrence of such redemption (excluding Securities held by the Company and its Subsidiaries) and
(ii) each such redemption occurs within 180 days of the date of the closing of the related Equity
Offering.

          (c) In addition, at any time prior to February 1, 2012, the Company may redeem all or part of
the Securities at a Redemption Price equal to the sum of:

          (i) the principal amount thereof, plus

A-3 

 

          (ii) accrued and unpaid interest, if any, to the Redemption Date, plus

          (iii) the Make Whole Premium at the Redemption Date.

     6. Denominations, Transfer, Exchange. The Securities are in registered form without coupons
in minimum denominations of $2,000 and integral multiples of $1,000 in excess thereof. The
transfer of Securities may be registered and Securities may be exchanged as provided in the
Indenture. The Registrar or the Trustee may require a Holder, among other things, to furnish
appropriate endorsements and transfer documents and the Company may require a Holder to pay any
transfer tax or similar governmental charge or other fee required by law and payable in connection
therewith. The Company need not exchange or register the transfer of any Security or portion of a
Security selected for redemption, except for the unredeemed portion of any Security being redeemed
in part. Also, the Company need not exchange or register the transfer of any Securities for a
period of 15 days before the day of any selection of Securities to be redeemed or during the period
between a record date and the corresponding Interest Payment Date.

     If this is a Global Security, this Security represents the aggregate principal amount of
outstanding Securities from time to time endorsed hereon, and the aggregate principal amount of
outstanding Securities represented by this Security may from time to time be reduced or increased,
as appropriate, to reflect exchanges and redemptions in accordance with the Indenture.

     7. Persons Deemed Owners. The registered Holder of a Security may be treated as its owner for
all purposes.

     8. Amendment, Supplement and Waiver. Subject to certain exceptions, the Indenture and the
Securities may be amended or supplemented with the written consent of the Holders of at least a
majority in outstanding principal amount of the Securities, and any existing Default or compliance
with any provision of the Indenture or the Securities may be waived with the written consent of the
Holders of at least a majority in outstanding principal amount of the Securities. Without the
consent of any Holder of a Security, the Indenture, the Subsidiary Guarantees or the Securities may
be amended or supplemented (i) to cure any ambiguity, defect or inconsistency, (ii) to provide for
uncertificated Securities in addition to or in place of certificated Securities, (iii) to provide
for the assumption of the Company’s or a Guarantor’s obligations under the Indenture and the
Securities, (iv) to add or release Guarantors in compliance with the Indenture, (v) to secure the
Securities, (vi) to make any change that would provide any additional rights or benefits to the
Holders, (vii) to make any change that does not adversely affect the legal rights of any Holder,
subject to the proviso to Section 9.1(5) of the Indenture, (viii) to comply with any
requirement of the SEC in connection with qualifying the Indenture under the Trust Indenture Act or
maintaining such qualification, (ix) to provide for the issuance of the Exchange Securities and (x)
to provide for the issuance of Additional Securities in accordance with the Indenture.

     9. Defaults. If an Event of Default shall occur and be continuing, the principal of all the
Securities may be declared (or will become) due and payable in the manner and with the effect
provided in the Indenture.

     10. Defeasance. The Indenture contains provisions for defeasance of (i) the entire
indebtedness of the Company on this Security and (ii) certain restrictive covenants and the related
Events of Default, subject to compliance by the Company with certain conditions set forth in the
Indenture, which provisions apply to this Security.

A-4 

 

     11. Authentication. This Security will not be valid until authenticated by the manual
signature of the Trustee or an Authenticating Agent.

     12. Abbreviations. Customary abbreviations may be used in the name of a Holder or an
assignee, such as: TEN COM (= tenants in common), TEN ENT (= tenants by the entireties), JT TEN (=
joint tenants with right of survivorship and not as tenants in common), CUST (= Custodian), and
U/G/M/A (= Uniform Gifts to Minors Act).

     13. [Additional Rights of Holders of Restricted Global Securities and Restricted Definitive
Securities. In addition to the rights provided to Holders of Securities under the Indenture,
Holders of Restricted Global Securities and Restricted Definitive Securities will have all the
rights set forth in the Registration Rights Agreement, dated as of January 27, 2009, among the
Company, the Guarantors and the other parties named on the signature pages
thereof.]*

     14. CUSIP Numbers. Pursuant to a recommendation promulgated by the Committee on Uniform
Security Identification Procedures, the Company has caused CUSIP numbers to be printed on the
Securities and the Trustee may use CUSIP, ISIN or similar numbers in notices of redemption as a
convenience to Holders. No representation is made as to the accuracy of such numbers either as
printed on the Securities or as contained in any notice of redemption and reliance may be placed
only on the other identification numbers placed thereon.

     The Company will furnish to any Holder upon written request and without charge a copy of the
Indenture [and/or the Registration Rights Agreement].* Requests may be made to:

Petrohawk Energy Corporation

1100 Louisiana, Suite 4400

Houston, Texas 77002

Attention: Chief Financial Officer

 

			
	*	 	Delete for Exchange Security
	 
	**	 	Delete for Additional Securities.

A-5 

 

ASSIGNMENT FORM

     To assign this Security, fill in the form below:

(I) or (we) assign
and transfer this Security to:                                                                         
                                                                               
                

(Insert assignee’s legal name)

      

(Insert assignee’s soc. sec. or tax I.D. no.)

      

      

      

      

(Print or type assignee’s name, address and zip code)

and irrevocably appoint                                                            
to transfer this Security on the books of the Company. The agent may substitute another to act for
him.

Date:                     

	 	 	 	 	 	 	 
	 

	 	Your Signature:	 	 	 	 
	 

	 	 	 	 

(Sign exactly as your name appears on the
face of this Security)
	 	 

Signature Guarantee:*                                        

 

			
	*	 	Participant in a recognized Signature Guarantee
Medallion Program (or other signature guarantor acceptable to the Trustee).

A-6 

 

Option of Holder to Elect Purchase

     If you want to elect to have this Security purchased by the Company pursuant to Section
4.7 or Section 4.11 of the Indenture, check the appropriate box below:

	 	 	 
	o Section 4.7
	 	o Section 4.11

     If you want to elect to have only part of the Security purchased by the Company pursuant to
Section 4.7 or Section 4.11 of the Indenture, state the amount you elect to have
purchased:

$                    

Date:                     

	 	 	 	 	 	 	 
	 

	 	Your Signature:	 	 	 	 
	 

	 	 	 	 

(Sign exactly as your name appears on the
face of this Security)
	 	 
	 
	 	 	 	 	 	 
	 	 	Tax Identification No.:                                        

Signature Guarantee:*                    

 

			
	*	 	Participant in a recognized Signature Guarantee
Medallion Program (or other signature guarantor acceptable to the Trustee).

A-7 

 

[TO BE ATTACHED TO GLOBAL SECURITIES]

SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL SECURITY

     The following increases or decreases in this Global Security have been made:

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Principal Amount of	 	
	 	 	Amount of Decrease	 	Amount of Increase	 	this Global	 	Signature of
	 	 	in Principal Amount	 	in Principal Amount	 	Security Following	 	Authorized Officer
	 	 	of this 	 	of this	 	such Decrease	 	of Trustee or
	Date of Exchange	 	Global Security	 	Global Security	 	or Increase	 	Securities Custodian
	 

	 	 
	 	 
	 	 
	 	 

A-8 

 

EXHIBIT B

FORM OF CERTIFICATE OF TRANSFER

Petrohawk Energy Corporation

1100 Louisiana, Suite 4400

Houston, Texas 77002

U.S. Bank Trust National Association

60 Livingston Avenue

1st Floor – Bond Drop Window

St. Paul, Minnesota 55107

			
	     Re:	 	Petrohawk Energy Corporation 10.5% Senior Notes due 2014

CUSIP [716495 AE6]1 [U71618AD1]2

     Reference is hereby made to the Indenture, dated as of January 27, 2009 (the “Indenture”),
among Petrohawk Energy Corporation, as issuer (the “Company”), the Guarantors named on the
signature pages thereto and U.S. Bank Trust National Association, as trustee. Capitalized terms
used but not defined herein shall have the meanings given to them in the Indenture.

     ___, (the “Transferor”) owns and proposes to transfer the Security[ies] or
beneficial interest in such Security[ies] in the principal amount of $___(the “Transfer”),
to ___(the “Transferee”). In connection with the Transfer, the
Transferor hereby certifies that:

[CHECK ALL THAT APPLY]

     1. o Check if Transferee will take delivery of a beneficial interest in the 144A
Global Security or a Restricted Definitive Security pursuant to Rule 144A. The Transfer is
being effected pursuant to and in accordance with Rule 144A under the Securities Act of 1933, as
amended (the “Securities Act”), and, accordingly, the Transferor hereby further certifies that the
beneficial interest or Definitive Security is being transferred to a Person that the Transferor
reasonably believes is purchasing the beneficial interest or Definitive Security for its own
account, or for one or more accounts with respect to which such Person exercises sole investment
discretion, and such Person and each such account is a “qualified institutional buyer” within the
meaning of Rule 144A in a transaction meeting the requirements of Rule 144A, and such Transfer is
in compliance with any applicable blue sky securities laws of any state of the United States. Upon
consummation of the proposed Transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Security will be subject to the restrictions on
transfer enumerated in the Private Placement Legend printed on the 144A Global Security and/or the
Restricted Definitive Security and in the Indenture and the Securities Act.

 

			
	1	 	For Securities sold in reliance on Rule 144A.
	 
	2	 	For Securities sold in reliance on Regulation S.

B-1 

 

     2. o Check if Transferee will take delivery of a beneficial interest in the
Regulation S Global Security or a Restricted Definitive Security pursuant to Regulation S. The
Transfer is being effected pursuant to and in accordance with Rule 904 under the Securities Act
and, accordingly, the Transferor hereby further certifies that (i) the Transfer is not being made
to a Person in the United States and (x) at the time the buy order was originated, the Transferee
was outside the United States or such Transferor and any Person acting on its behalf reasonably
believed and believes that the Transferee was outside the United States or (y) the transaction was
executed in, on or through the facilities of a designated offshore securities market and neither
such Transferor nor any Person acting on its behalf knows that the transaction was prearranged with
a buyer in the United States, (ii) no directed selling efforts have been made in contravention of
the requirements of Rule 903(b) or Rule 904(b) of Regulation S under the Securities Act, (iii) the
transaction is not part of a plan or scheme to evade the registration requirements of the
Securities Act and (iv) if the Transfer is being made prior to the expiration of the Restricted
Period, the Transfer is not being made to a U.S. Person or for the account or benefit of a U.S.
Person (other than an Initial Purchaser). Upon consummation of the Transfer in accordance with the
terms of the Indenture, the transferred beneficial interest or Definitive Security will be subject
to the restrictions on transfer enumerated in the Private Placement Legend printed on the
Regulation S Global Security and/or the Restricted Definitive Security and in the Indenture and the
Securities Act.

     3. o Check if Transferee will take delivery of a beneficial interest in a
Restricted Global Security or a Restricted Definitive Security pursuant to any provision of the
Securities Act other than Rule 144A or Regulation S. The Transfer is being effected in
compliance with the transfer restrictions applicable to beneficial interests in Restricted Global
Securities and Restricted Definitive Securities and pursuant to and in accordance with the
Securities Act (other than Rule 144A or Regulation S) and any applicable blue sky securities laws
of any state of the United States.

     4. o Check if Transferee will take delivery of a beneficial interest in an
Unrestricted Global Security or of an Unrestricted Definitive Security.

     (a) o Check if Transfer is pursuant to Rule 144. (i) The Transfer is being effected
pursuant to and in accordance with Rule 144 under the Securities Act and in compliance with the
transfer restrictions contained in the Indenture and any applicable blue sky securities laws of any
state of the United States and (ii) the restrictions on transfer contained in the Indenture and the
Private Placement Legend are not required in order to maintain compliance with the Securities Act.
Upon consummation of the proposed Transfer in accordance with the terms of the Indenture, the
transferred beneficial interest or Definitive Security will no longer be subject to the
restrictions on transfer enumerated in the Private Placement Legend printed on the Restricted
Global Securities, on Restricted Definitive Securities and in the Indenture.

     (b) o Check if Transfer is Pursuant to Regulation S. (i) The Transfer is being
effected pursuant to and in accordance with Rule 904 under the Securities Act and in compliance
with the transfer restrictions contained in the Indenture and any applicable blue sky securities
laws of any state of the United States and (ii) the restrictions on transfer contained in the
Indenture and the Private Placement Legend are not required in order to maintain compliance with
the Securities Act. Upon consummation of the proposed Transfer in accordance with the

B-2 

 

terms of the Indenture, the transferred beneficial interest or Definitive Security will no
longer be subject to the restrictions on transfer enumerated in the Private Placement Legend
printed on the Restricted Global Securities, on Restricted Definitive Securities and in the
Indenture.

     (c) o Check if Transfer is Pursuant to Other Exemption. (i) The Transfer is being
effected pursuant to and in compliance with an exemption from the registration requirements of the
Securities Act other than Rule 144 or Rule 904 and in compliance with the transfer restrictions
contained in the Indenture and any applicable blue sky securities laws of any State of the United
States and (ii) the restrictions on transfer contained in the Indenture and the Private Placement
Legend are not required in order to maintain compliance with the Securities Act. Upon consummation
of the proposed Transfer in accordance with the terms of the Indenture, the transferred beneficial
interest or Definitive Security will not be subject to the restrictions on transfer enumerated in
the Private Placement Legend printed on the Restricted Global Securities or Restricted Definitive
Securities and in the Indenture.

B-3 

 

     This certificate and the statements contained herein are made for your benefit and the benefit
of the Company.

	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 
	 	 	[Insert Name of Transferor]
	 	 
	 
	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

     Dated:                     

B-4 

 

EXHIBIT C

FORM OF CERTIFICATE OF EXCHANGE

Petrohawk Energy Corporation

1100 Louisiana, Suite 4400

Houston, Texas 77002

U.S. Bank Trust National Association

60 Livingston Avenue

1st Floor – Bond Drop Window

St. Paul, Minnesota 55107

			
	     Re:	 	Petrohawk Energy Corporation 10.5% Senior Notes due 2014

CUSIP
[716495 AE6]1 [U71618AD1]2

     Reference is hereby made to the Indenture, dated as of January 27, 2009 (the “Indenture”),
among Petrohawk Energy Corporation, as issuer (the “Company”), the Guarantors named on the
signature pages thereto and U.S. Bank Trust National Association, as trustee. Capitalized terms
used but not defined herein shall have the meanings given to them in the Indenture.

     ___, (the “Owner”) owns and proposes to exchange the Security[ies] or
beneficial interest in such Security[ies] specified herein, in the principal amount of
$___(the “Exchange”). In connection with the Exchange, the Owner hereby certifies that:

     1. Exchange of Restricted Definitive Securities or Beneficial Interests in a Restricted
Global Security for Unrestricted Definitive Securities or Beneficial Interests in an Unrestricted
Global Security

     (a) o Check if Exchange is from beneficial interest in a Restricted Global Security to
beneficial interest in an Unrestricted Global Security. In connection with the Exchange of the
Owner’s beneficial interest in a Restricted Global Security for a beneficial interest in an
Unrestricted Global Security in an equal principal amount, the Owner hereby certifies (i) the
beneficial interest is being acquired for the Owner’s own account without transfer, (ii) such
Exchange has been effected in compliance with the transfer restrictions applicable to the Global
Securities and pursuant to and in accordance with the Securities Act of 1933, as amended (the
“Securities Act”), (iii) the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance with the Securities Act and (iv)
the beneficial interest in an Unrestricted Global Security is being acquired in compliance with any
applicable blue sky securities laws of any state of the United States.

 

			
	1	 	For Securities sold in reliance on Rule 144A.
	 
	2	 	For Securities sold in reliance on Regulation S.

C-1 

 

     (b) o Check if Exchange is from beneficial interest in a Restricted Global Security to
Unrestricted Definitive Security. In connection with the Exchange of the Owner’s beneficial
interest in a Restricted Global Security for an Unrestricted Definitive Security, the Owner hereby
certifies (i) the Definitive Security is being acquired for the Owner’s own account without
transfer, (ii) such Exchange has been effected in compliance with the transfer restrictions
applicable to the Restricted Global Securities and pursuant to and in accordance with the
Securities Act, (iii) the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance with the Securities Act and (iv)
the Definitive Security is being acquired in compliance with any applicable blue sky securities
laws of any state of the United States.

     (c) o Check if Exchange is from Restricted Definitive Security to beneficial interest
in an Unrestricted Global Security. In connection with the Owner’s Exchange of a Restricted
Definitive Security for a beneficial interest in an Unrestricted Global Security, the Owner hereby
certifies (i) the beneficial interest is being acquired for the Owner’s own account without
transfer, (ii) such Exchange has been effected in compliance with the transfer restrictions
applicable to Restricted Definitive Securities and pursuant to and in accordance with the
Securities Act, (iii) the restrictions on transfer contained in the Indenture and the Private
Placement Legend are not required in order to maintain compliance with the Securities Act and (iv)
the beneficial interest is being acquired in compliance with any applicable blue sky securities
laws of any state of the United States.

     (d) o Check if Exchange is from Restricted Definitive Security to Unrestricted
Definitive Security. In connection with the Owner’s Exchange of a Restricted Definitive Security
for an Unrestricted Definitive Security, the Owner hereby certifies (i) the Unrestricted Definitive
Security is being acquired for the Owner’s own account without transfer, (ii) such Exchange has
been effected in compliance with the transfer restrictions applicable to Restricted Definitive
Securities and pursuant to and in accordance with the Securities Act, (iii) the restrictions on
transfer contained in the Indenture and the Private Placement Legend are not required in order to
maintain compliance with the Securities Act and (iv) the Unrestricted Definitive Security is being
acquired in compliance with any applicable blue sky securities laws of any state of the United
States.

     2. Exchange of Restricted Definitive Securities or Beneficial Interests in Restricted
Global Securities for Restricted Definitive Securities or Beneficial Interests in Restricted Global
Securities

     (a) o Check if Exchange is from beneficial interest in a Restricted Global Security to
Restricted Definitive Security. In connection with the Exchange of the Owner’s beneficial interest
in a Restricted Global Security for a Restricted Definitive Security with an equal principal
amount, the Owner hereby certifies that the Restricted Definitive Security is being acquired for
the Owner’s own account without transfer. Upon consummation of the proposed Exchange in accordance
with the terms of the Indenture, the Restricted Definitive Security issued will continue to be
subject to the restrictions on transfer enumerated in the Private Placement Legend printed on the
Restricted Definitive Security and in the Indenture and the Securities Act.

C-2 

 

     (b) o Check if Exchange is from Restricted Definitive Security to beneficial interest
in a Restricted Global Security. In connection with the Exchange of the Owner’s Restricted
Definitive Security for a beneficial interest in the [CHECK
ONE] o 144A Global Security,
o Regulation S Global Security with an equal principal amount, the Owner hereby certifies (i)
the beneficial interest is being acquired for the Owner’s own account without transfer and (ii)
such Exchange has been effected in compliance with the transfer restrictions applicable to the
Restricted Global Securities and pursuant to and in accordance with the Securities Act, and in
compliance with any applicable blue sky securities laws of any state of the United States. Upon
consummation of the proposed Exchange in accordance with the terms of the Indenture, the beneficial
interest issued will be subject to the restrictions on transfer enumerated in the Private Placement
Legend printed on the relevant Restricted Global Security and in the Indenture and the Securities
Act.

     This certificate and the statements contained herein are made for your benefit and the benefit
of the Company.

	 	 	 	 	 	 	 
	 
	 
	 	 	 	 	 
	 	 	[Insert Name of Transferor]	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Name:	 	 
	 

	 	 	 	Title:	 	 

Dated:                     

C-3 

 

EXHIBIT D

FORM OF NOTATION OF SUBSIDIARY GUARANTEE

     For value received, the undersigned Guarantor (which term includes any successor to such
Guarantor under the Indenture) has, jointly and severally, with each other Guarantor,
unconditionally guaranteed, to the extent set forth in the Indenture and subject to the provisions
in the Indenture dated as of January 27, 2009 (the “Indenture”) among Petrohawk Energy Corporation
(the “Company”), the Guarantors party thereto and U.S. Bank Trust National Association, as trustee
(the “Trustee”), the full and punctual payment of the principal of, premium, if any, and interest
on the Securities (as defined in the Indenture) when due, whether at Stated Maturity, or upon
redemption, required repurchase pursuant to Section 4.7 or Section 4.11 of the
Indenture, acceleration or otherwise, and all other monetary obligations owing by the Company under
the Indenture (including obligations owing to the Trustee) and the Securities, all as more fully
provided in Article X of the Indenture. The obligations of the undersigned Guarantor to
the Holders of Securities and to the Trustee pursuant to the Subsidiary Guarantee and the Indenture
are expressly set forth in Article X of the Indenture and reference is hereby made to the
Indenture for the precise terms of the Subsidiary Guarantee. Each Holder of a Security, by
accepting the same, (a) agrees to and shall be bound by such provisions and (b) appoints the
Trustee attorney-in-fact of such Holder for such purpose; provided, however, that each Subsidiary
Guarantee is subject to release in accordance with the provisions of the Indenture.

	 	 	 	 	 	 	 
	 	 	 	 	 
	 	 	[Name of Guarantor(s)]	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	 	 	 

Name:
	 	 
	 

	 	 	 	Title:	 	 

D-1 

 

EXHIBIT E

FORM OF SUPPLEMENTAL INDENTURE

TO BE DELIVERED BY FUTURE GUARANTORS

     Supplemental Indenture (this “Supplemental Indenture”), dated as of ___,
20___, among [Name of Future Guarantor(s)] (the “New Guarantor”), a subsidiary of Petrohawk Energy
Corporation, a Delaware corporation [or its permitted successor] (the “Company”), the existing
Guarantors (as defined in the Indenture referred to herein) and U.S. Bank Trust National
Association, as trustee under the Indenture referred to herein (the “Trustee”). The New Guarantor
and the existing Guarantors are sometimes referred to collectively herein as the “Guarantors”, or
individually as a “Guarantor.”

W I T N E S S E T H

     WHEREAS, the Company and the existing Guarantors have heretofore executed and delivered to the
Trustee an indenture (the “Indenture”), dated as of January 27, 2009, relating to the 10.5% Senior
Notes due 2014 (the “Securities”) of the Company;

     WHEREAS, Section 4.9 of the Indenture provides that if the Company or any of its
Restricted Subsidiaries acquires or creates another Restricted Subsidiary (other than Foreign
Subsidiaries) after the Issue Date, then the Company shall cause newly acquired or created
Restricted Subsidiary (i) to become a Guarantor by executing a supplemental indenture and (ii) to
deliver an Opinion of Counsel to the Trustee as provided in such Section; and

     WHEREAS, pursuant to Section 9.1 of the Indenture, the Company, the Guarantors and the
Trustee are authorized to execute and deliver this Supplemental Indenture to amend or supplement
the Indenture without the consent of any Holder;

     NOW THEREFORE, to comply with the provisions of the Indenture and in consideration of the
foregoing and for other good and valuable consideration, the receipt of which is hereby
acknowledged, the New Guarantor, the other Guarantors, the Company and the Trustee mutually
covenant and agree for the equal and ratable benefit of the Holders of the Securities as follows:

     1. Capitalized Terms. Capitalized terms used herein without definition shall have
the meanings assigned to them in the Indenture.

     2. Agreement to Guarantee. The New Guarantor hereby agrees, jointly and severally,
with all other Guarantors, to unconditionally Guarantee to each Holder and to the Trustee the
Obligations, to the extent set forth in the Indenture and subject to the provisions in the
Indenture. The obligations of the Guarantors to the Holders of Securities and to the Trustee
pursuant to the Subsidiary Guarantees and the Indenture are expressly set forth in Article
X of the Indenture and reference is hereby made to the Indenture for the precise terms of the
Subsidiary Guarantees.

     3. Execution and Delivery. The New Guarantor agrees that its Subsidiary
Guarantee shall remain in full force and effect notwithstanding any failure to endorse on each
Security a notation of such Subsidiary Guarantee.

E-1 

 

     4. NEW YORK LAW TO GOVERN. THE LAWS OF THE STATE OF NEW YORK SHALL GOVERN AND BE USED TO
CONSTRUE AND ENFORCE THIS SUPPLEMENTAL INDENTURE.

     5. Counterparts. The parties may sign any number of copies of this Supplemental
Indenture. Each signed copy shall be an original, but all of them together represent the same
agreement. This Supplemental Indenture may be executed in multiple counterparts which, when taken
together, shall constitute one instrument.

     6. Effect of Headings. The Section headings herein are for convenience only and
shall not affect the construction hereof.

     7. The Trustee. Except as otherwise expressly provided herein, no duties,
responsibilities or liabilities are assumed, or shall be construed to be assumed, by the Trustee by
reason of this Supplemental Indenture. This Supplemental Indenture is executed and accepted by the
Trustee subject to all the terms and conditions set forth in the Indenture with the same force and
effect as if those terms and conditions were repeated at length herein and made applicable to the
Trustee with respect hereto.

E-2 

 

     IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly
executed and attested, all as of the date first above written.

     Dated:                     , 20___

	 	 	 	 	 
	 	[NEW GUARANTOR]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	[OTHER GUARANTORS]

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	Petrohawk Energy Corporation

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	U.S. Bank Trust National Association, as Trustee

 	 
	 	By:  	 	 
	 	 	Authorized Signatory 	 
	 	 	 	 
	 

E-3

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