Document:

exv10w8

 

Exhibit 10.8

CONTRIBUTION, CONVEYANCE AND

ASSUMPTION AGREEMENT

BY AND AMONG

ENTERPRISE PRODUCTS OPERATING L.P.

ENTERPRISE PRODUCTS OLPGP, INC.

ENTERPRISE PRODUCTS TEXAS OPERATING, L.P.

AND

MONT BELVIEU CAVERNS, LLC

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 	 	 
	ARTICLE I DEFINITIONS; RECORDATION	 	 	2	 
	 	1.1	 	 	Definitions
	 	 	2	 
	 	1.2	 	 	Schedules
	 	 	3	 
	ARTICLE II THE CONVEYANCE	 	 	3	 
	 	2.1	 	 	Contribution and Conveyance of the Mont Belvieu Assets by EP Texas to MBLLC
	 	 	3	 
	 	2.2	 	 	Distribution of MBLLC Interests
	 	 	3	 
	 	2.3	 	 	EPOLP Contribution of Mont Belvieu North Assets to MBLLC
	 	 	4	 
	 	2.4	 	 	Specific Conveyances
	 	 	4	 
	 	2.5	 	 	Excluded Assets
	 	 	4	 
	ARTICLE III ASSUMPTION OF CERTAIN LIABILITIES	 	 	5	 
	 	3.1	 	 	Assumption of Mont Belvieu Asset Liabilities by MBLLC
	 	 	5	 
	 	3.2	 	 	General Provisions Relating to Assumption of Liabilities
	 	 	5	 
	ARTICLE IV TITLE MATTERS	 	 	5	 
	 	4.1	 	 	Encumbrances
	 	 	5	 
	 	4.2	 	 	Disclaimer of Warranties; Subrogation; Waiver
	 	 	6	 
	ARTICLE V FURTHER ASSURANCES	 	 	7	 
	 	5.1	 	 	Further Assurances
	 	 	7	 
	 	5.2	 	 	Other Assurances
	 	 	7	 
	ARTICLE VI POWER OF ATTORNEY	 	 	8	 
	 	6.1	 	 	EP Texas
	 	 	8	 
	 	6.2	 	 	EPOLP
	 	 	8	 
	ARTICLE VII MISCELLANEOUS	 	 	9	 
	 	7.1	 	 	Order of Completion of Transactions
	 	 	9	 
	 	7.2	 	 	Consents; Restriction on Assignment
	 	 	9	 
	 	7.3	 	 	Costs
	 	 	10	 
	 	7.4	 	 	Headings; References; Interpretation
	 	 	10	 
	 	7.5	 	 	Successors and Assigns
	 	 	10	 
	 	7.6	 	 	No Third Party Rights
	 	 	10	 
	 	7.7	 	 	Counterparts
	 	 	10	 
	 	7.8	 	 	Governing Law
	 	 	10	 
	 	7.9	 	 	Severability
	 	 	10	 
	 	7.10	 	 	Deed; Bill of Sale; Assignment
	 	 	11	 
	 	7.11	 	 	Amendment or Modification
	 	 	11	 
	 	7.12	 	 	Integration
	 	 	11	 

 

 

CONTRIBUTION, CONVEYANCE AND ASSUMPTION AGREEMENT

     THIS CONTRIBUTION, CONVEYANCE AND ASSUMPTION AGREEMENT, dated as of                     , 2007 (this
“Agreement”), is entered into by and among ENTERPRISE PRODUCTS OPERATING L.P., a Delaware
limited partnership (“EPOLP”), ENTERPRISE PRODUCTS OLPGP, INC., a Delaware corporation
(“EPOLPGP”), ENTERPRISE PRODUCTS TEXAS OPERATING L.P., a Delaware limited partnership (“EP
Texas”), and MONT BELVIEU CAVERNS, LLC, a Delaware limited liability company (“MBLLC”).
The foregoing shall be referred to individually as a “Party” and collectively as the
“Parties.” Certain capitalized terms used are defined in ARTICLE I hereof.

RECITALS

	 	1.	 	WHEREAS, Enterprise Products OLPGP, Inc., a Delaware corporation
(“EPOLPGP”), as general partner, and EPOLP, as limited partner, formed Mont
Belvieu Caverns, L.P. (“MBLP”) pursuant to the Delaware Revised Uniform Limited
Partnership Act (the “Delaware LP Act”) for the purpose of owning and operating certain
storage assets and related facilities;
	 
	 	2.	 	WHEREAS, EPOLPGP and EPOLP filed the necessary certificates and documents,
under the terms of the applicable laws of the State of Delaware and under the Delaware
LP Act and the Delaware Limited Liability Company Act (the “Delaware LLC Act”),
pursuant to which MBLP was converted into a Delaware limited liability company named
MBLLC.
	 
	 	3.	 	WHEREAS, EP Texas will convey the MBLLC East/West Assets (as defined herein) to
MBLLC as a capital contribution with MBLLC assuming the Mont Belvieu East/West Asset
Liabilities (as defined herein).
	 
	 	4.	 	WHEREAS, EPOLP will contribute the Mont Belvieu North Assets (as defined
herein) to MBLLC with MBLLC assuming the Mont Belvieu North Liabilities (as defined
herein) in exchange for the continuation of its respective membership interest after
giving effect to the capital contribution.
	 
	 	5.	 	WHEREAS, in connection with the foregoing capital contributions, MBLLC will
issue to EP Texas membership interest in MBLLC.
	 
	 	6.	 	WHEREAS, EP Texas will distribute its membership interest in MBLLC to EPOLPGP
(1%) and EPOLP (99%); and
	 
	 	7.	 	WHEREAS, as a result of such transactions, EPOLP will hold a membership
interest in MBLLC with a Sharing Ratio of [99.365]% and EPOLPGP will hold a membership
interest in MBLLC with a Sharing Ratio of [0.635]%.

     NOW, THEREFORE, in consideration of their mutual undertakings and agreements hereunder, the
Parties undertake and agree as follows:

 

 

ARTICLE I

DEFINITIONS; RECORDATION

     1.1 Definitions. The following capitalized terms have the meanings given below.

     “Agreement” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “Delaware LLC Act” has the meaning assigned to such term in the second recital of this
Agreement.

     “Delaware LP Act” has the meaning assigned to such term in the first recital of this
Agreement.

     “Effective Date” means                     , 2007.

     “Effective Time” means the time when the transactions contemplated by Article
II hereof have been consummated.

     “EPOLP” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “EPOLPGP” has the meaning assigned to such term in the first recital of this
Agreement.

     “EP Texas” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “Excluded Assets” has the meaning assigned to such term in Section 2.5.

     “Excluded Liabilities” has the meaning assigned to such term in Section 3.2.

     “Laws” means any and all laws, statutes, ordinances, rules or regulations promulgated
by a governmental authority, orders of a governmental authority, judicial decisions, decisions of
arbitrators or determinations of any governmental authority or court.

     “Mont Belvieu Asset Liabilities” shall mean all liabilities and obligations relating
to the Mont Belvieu Assets. The Mont Belvieu Asset Liabilities shall not include the Excluded
Liabilities.

     “Mont Belvieu Assets” means the Mont Belvieu East/West Assets and the Mont Belvieu
North Assets, collectively.

     “Mont Belvieu East/West Assets” has the meaning assigned to such term in Section
2.1.

     “Mont Belvieu East/West Liabilities” shall mean all liabilities and obligations
relating to the Mont Belvieu East/West Assets.

     “Mont Belvieu North Assets” has the meaning assigned to such term in Section
2.3.

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     “Mont Belvieu North Liabilities” shall mean all liabilities and obligations relating
to the Mont Belvieu North Assets.

     “MBLLC” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “Party and Parties” have the meanings assigned to such terms in the first paragraph of
this Agreement.

     “Registration Statement” means the registration statement on Form S-1 (File No.
333-138371) filed by Duncan Energy Partners L.P.

     “Restriction” has the meaning assigned to such term in Section 7.2.

     “Restriction Asset” has the meaning assigned to such term in Section 7.2.

     “Specific Conveyances” has the meaning assigned to such term in Section 2.4.

     1.2 Schedules. The following schedules are attached hereto:

          (a) Schedule 2.1 — List of Mont Belvieu East/West Assets

          (b) Schedule 2.3 — List of Mont Belvieu North Assets

          (c) Schedule 2.5 — List of Excluded Assets

ARTICLE II

THE CONVEYANCE

     2.1 Contribution and Conveyance of the Mont Belvieu Assets by EP Texas to MBLLC. EP Texas
hereby grants, contributes, transfers, assigns and conveys to MBLLC, its
successors and assigns, for its and their own use forever, all of its right, title and interest in
and to all of the assets described on Schedule 2.1 (the “Mont Belvieu East/West
Assets”), and MBLLC hereby accepts the Mont Belvieu East/West Assets, as a contribution to the
capital of MBLLC, in exchange for membership interests in MBLLC with a resulting Sharing Ratio
after giving effect to the contribution of each of the Mont Belvieu East/West Assets and the Mont
Belvieu North Assets (as defined below) of ___%, subject to all matters to be contained in the
instruments of conveyance covering the Mont Belvieu East/West Assets to evidence such contribution
and conveyance, if any. The Mont Belvieu East/West Assets shall not include the Excluded Assets.

     TO HAVE AND TO HOLD the Mont Belvieu East/West Assets unto MBLLC, its successors and assigns,
together with all and singular the rights and appurtenances thereto in anywise belonging, subject,
however, to the terms and conditions stated in this Agreement, and in such instruments of
conveyance, forever.

     2.2 Distribution of MBLLC Interests. EP Texas hereby distributes, transfers and assigns all of its right, title and interest in
and to its MBLLC membership interests received by it pursuant to Section 2.1 one percent
(1%) to EPOLPGP and ninety nine percent (99%) to EPOLP,

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respectively, and EPOLPGP and EPOLP each
accept such membership interest distributed by EP Texas.

     TO HAVE TO HOLD, said membership interest in MBLP unto each of EPOLPGP and EPOLP,
respectively, their successors and assigns, together with all and singular the rights and
appurtenances thereto in anywise belonging, subject, however, to the terms and conditions stated
in this Agreement.

     2.3 EPOLP Contribution of Mont Belvieu North Assets to MBLLC. EPOLP hereby grants,
contributes, transfers, assigns and conveys to MBLLC, its successors
and assigns, for its and their own use forever, all of its right, title and interest in and to all
of the assets described on Schedule 2.3 (the “Mont Belvieu North Assets”) and MBLLC
hereby accepts the Mont Belvieu North Assets as a contribution to the capital of MBLLC, in exchange
for a continuation of its membership interest held by EPOLP, subject to adjustment of its resulting
Sharing Ratio after giving effect to the contribution of each of the Mont Belvieu East/West Assets
and the Mont Belvieu North Assets and to all matters to be contained in the instruments of
conveyance covering the Mont Belvieu North Assets to evidence such contribution and conveyance, if
any. The Mont Belvieu North Assets shall not include the Excluded Assets.

     To HAVE TO HOLD, the Mont Belvieu North Assets unto MBLLC, its successors and assigns,
together with all and singular the rights and appurtenances thereto in anywise belonging, subject,
however, to the terms and conditions stated in this Agreement, and in such instruments of
conveyance, forever.

     2.4 Specific Conveyances. To further evidence the contributions of the Mont Belvieu Assets reflected in this
Agreement, EP Texas and EPOLP may have executed and delivered to MBLLC certain conveyance,
assignment and bill of sale instruments (the “Specific Conveyances”). The Specific
Conveyances shall evidence and perfect such contribution and conveyance made by this Agreement and
shall not constitute a second conveyance of any assets or interests therein and shall be subject to
the terms of this Agreement. In addition, MBLLC and EPOLP hereby agree to execute an amendment to
the limited liability company agreement of MBLLC or such other agreements as necessary to evidence
the issuance of the MBLLC membership interest to EP Texas as consideration for the contributions
made pursuant to Section 2.1 and the distribution of such membership interests
pursuant to Section 2.2. Each of the parties hereto agree that as a result of such
transactions, EPOLP will hold a membership interest in MBLLC with a Sharing Ratio of [99.365]% and
EPOLPGP will hold a membership interest in MBLLC with a Sharing Ratio
of [0.635]%.

     2.5 Excluded Assets. Notwithstanding anything contained in Article II to the contrary, neither EP Texas
nor EPOLP shall grant, contribute, transfer, assign or convey to MBLLC (or cause to be granted,
contributed, transferred, assigned or conveyed), and MBLLC shall neither assume, purchase nor
acquire from EP Texas or EPOLP any of the assets described on Schedule 2.5 (collectively,
the “Excluded Assets”).

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ARTICLE III

ASSUMPTION OF CERTAIN LIABILITIES

     3.1 Assumption of Mont Belvieu Asset Liabilities by MBLLC. In connection with the respective contributions by EP Texas and EPOLP of the Mont Belvieu
Assets to MBLLC, as set forth in Sections 2.1 and 2.3 above, MBLLC hereby assumes
and agrees to duly and timely pay, perform and discharge all of the Mont Belvieu Asset Liabilities,
to the full extent that EP Texas or EPOLP, respectively, has been heretofore or would have been in
the future obligated to pay, perform and discharge the Mont Belvieu Asset Liabilities were it not
for such contributions and the execution and delivery of this Agreement; provided, however, that
said assumption and agreement to duly and timely pay, perform and discharge the Mont Belvieu Asset
Liabilities shall not (a) increase the obligation of MBLLC with respect to the Mont Belvieu Asset
Liabilities beyond that of EP Texas or EPOLP, respectively, (b) waive any valid defense that was
available to EP Texas or EPOLP, respectively, with respect to the Mont Belvieu Asset Liabilities or
(c) enlarge any rights or remedies of any third party under any of the Mont Belvieu Asset
Liabilities.

     3.2 General Provisions Relating to Assumption of Liabilities.

          (a) Notwithstanding any other provisions of this Agreement to the contrary, EP Texas, EPOLP
and MBLLC agree that MBLLC shall not be obligated to, and shall not, assume any liabilities or
obligations related to the Excluded Assets (collectively, the “Excluded Liabilities”).

          (b) Notwithstanding anything to the contrary contained in this Agreement including, without
limitation, the terms and provisions of this ARTICLE III, MBLLC shall not be deemed to have
assumed, and the Mont Belvieu Assets have not been or are not being contributed subject to, any
liens or security interests securing consensual indebtedness covering any of the Mont Belvieu
Assets, and all such liens and security interests shall be deemed to be excluded from the
assumptions of liabilities made under this ARTICLE III.

ARTICLE IV

TITLE MATTERS

     4.1 Encumbrances.

          (a) Except to the extent provided in Section 3.2 or any other document executed in
connection with this Agreement, the contribution and conveyance (by operation of Law or otherwise)
of the Mont Belvieu Assets as reflected in this Agreement are made expressly subject to all
recorded encumbrances, agreements, defects, restrictions, and adverse claims covering the Mont
Belvieu Assets and all Laws, rules, regulations, ordinances, judgments and orders of governmental
authorities or tribunals having or asserting jurisdiction over the Mont Belvieu Assets and
operations conducted thereon or therewith, in each case to the extent the same are valid and
enforceable and affect the Mont Belvieu Assets, including, without limitation, (i) all matters that
a current on the ground survey, title insurance commitment or policy, or visual inspection of the
Mont Belvieu Assets would reflect, (ii) the applicable liabilities assumed in Article III,
and (iii) all matters contained in the Specific Conveyances.

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          (b) To the extent that certain jurisdictions in which the Mont Belvieu Assets are located may
require that documents be recorded in order to evidence the transfers of title reflected in this
Agreement, then the provisions set forth in Section 4.1(a) immediately above shall also be
applicable to the conveyances under such documents.

     4.2 Disclaimer of Warranties; Subrogation; Waiver.

          (a) EXCEPT TO THE EXTENT PROVIDED IN ANY OTHER DOCUMENT EXECUTED OR DELIVERED IN CONNECTION
WITH THIS AGREEMENT, THE PARTIES ACKNOWLEDGE AND AGREE THAT NONE OF THE PARTIES HAS MADE, DOES NOT
MAKE, AND EACH SUCH PARTY SPECIFICALLY NEGATES AND DISCLAIMS, ANY REPRESENTATIONS, WARRANTIES,
PROMISES, COVENANTS, AGREEMENTS OR GUARANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS,
IMPLIED OR STATUTORY, ORAL OR WRITTEN, PAST OR PRESENT, REGARDING (A) THE VALUE, NATURE, QUALITY OR
CONDITION OF THE MONT BELVIEU ASSETS INCLUDING, WITHOUT LIMITATION, THE WATER, SOIL, GEOLOGY OR
ENVIRONMENTAL CONDITION OF THE MONT BELVIEU ASSETS GENERALLY, INCLUDING THE PRESENCE OR LACK OF
HAZARDOUS SUBSTANCES OR OTHER MATTERS ON THE MONT BELVIEU ASSETS, (B) THE INCOME TO BE DERIVED FROM
THE MONT BELVIEU ASSETS, (C) THE SUITABILITY OF THE MONT BELVIEU ASSETS FOR ANY AND ALL ACTIVITIES
AND USES THAT MAY BE CONDUCTED THEREON, (D) THE COMPLIANCE OF OR BY THE MONT BELVIEU ASSETS OR
THEIR OPERATION WITH ANY LAWS (INCLUDING WITHOUT LIMITATION ANY ZONING, ENVIRONMENTAL PROTECTION,
POLLUTION OR LAND USE LAWS, RULES, REGULATIONS, ORDERS OR REQUIREMENTS), OR (E) THE HABITABILITY,
MERCHANTABILITY, MARKETABILITY, PROFITABILITY OR FITNESS
FOR A PARTICULAR PURPOSE OF THE MONT BELVIEU ASSETS. EXCEPT TO THE EXTENT PROVIDED IN ANY
OTHER DOCUMENT EXECUTED OR DELIVERED IN CONNECTION WITH THIS AGREEMENT, THE PARTIES ACKNOWLEDGE AND
AGREE THAT EACH HAS HAD THE OPPORTUNITY TO INSPECT THE MONT BELVIEU ASSETS, AND EACH IS RELYING
SOLELY ON ITS OWN INVESTIGATION OF THE MONT BELVIEU ASSETS AND NOT ON ANY INFORMATION PROVIDED OR
TO BE PROVIDED BY ANY OF THE PARTIES. EXCEPT TO THE EXTENT PROVIDED IN ANY OTHER DOCUMENT EXECUTED
OR DELIVERED IN CONNECTION WITH THIS AGREEMENT, NONE OF THE PARTIES IS LIABLE OR BOUND IN ANY
MANNER BY ANY VERBAL OR WRITTEN STATEMENTS, REPRESENTATIONS OR INFORMATION PERTAINING TO THE MONT
BELVIEU ASSETS FURNISHED BY ANY AGENT, EMPLOYEE, SERVANT OR THIRD PARTY. EXCEPT TO THE EXTENT
PROVIDED IN ANY OTHER DOCUMENT EXECUTED OR DELIVERED IN CONNECTION WITH THIS AGREEMENT, EACH OF THE
PARTIES ACKNOWLEDGES THAT TO THE MAXIMUM EXTENT PERMITTED BY LAW, THE CONTRIBUTION OF THE MONT
BELVIEU ASSETS AS PROVIDED FOR HEREIN IS MADE IN AN “AS IS,” “WHERE IS” CONDITION WITH ALL FAULTS,
AND THE MONT BELVIEU ASSETS ARE CONTRIBUTED AND CONVEYED SUBJECT TO ALL OF THE MATTERS CONTAINED IN
THIS SECTION. THIS SECTION SHALL SURVIVE SUCH CONTRIBUTION AND CONVEYANCE OR THE TERMINATION OF
THIS AGREEMENT. THE PROVISIONS OF THIS SECTION HAVE BEEN NEGOTIATED BY THE PARTIES AFTER DUE
CONSIDERATION AND ARE

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INTENDED TO BE A COMPLETE EXCLUSION AND NEGATION OF ANY REPRESENTATIONS OR
WARRANTIES, WHETHER EXPRESS, IMPLIED OR STATUTORY, WITH RESPECT TO THE MONT BELVIEU ASSETS THAT MAY
ARISE PURSUANT TO ANY LAW NOW OR HEREAFTER IN EFFECT, OR OTHERWISE, EXCEPT AS SET FORTH IN THIS
AGREEMENT OR ANY OTHER DOCUMENT EXECUTED OR DELIVERED IN CONNECTION WITH THIS AGREEMENT.

          (b) To the extent that certain jurisdictions in which the Mont Belvieu Assets are located may
require that documents be recorded in order to evidence the transfers of title reflected in this
Agreement, then the disclaimers set forth in Section 4.2(a) immediately above shall also be
applicable to the conveyances under such documents.

          (c) The contributions of the Mont Belvieu Assets made under this Agreement are made with full
right of substitution and subrogation of MBLLC, and all persons claiming by, through and under
MBLLC, to the extent assignable, in and to all covenants and warranties by the
predecessors-in-title of the parties contributing the Mont Belvieu Assets, and with full
subrogation of all rights accruing under applicable statutes of limitation and all rights of action
of warranty against all former owners of the Mont Belvieu Assets.

          (d) Each of the Parties agrees that the disclaimers contained in this Section 4.2 are
“conspicuous” disclaimers. Any covenants implied by statute or Law by the use of the words
“grant,” “convey,” “bargain,” “sell,” “assign,” “transfer,” “deliver,” or “set over” or any of them
or any other words used in this Agreement or any schedules hereto are hereby expressly disclaimed,
waived or negated.

          (e) Each of the Parties hereby waives compliance with any applicable bulk sales Law or any
similar Law in any applicable jurisdiction in respect of the transactions contemplated by this
Agreement.

ARTICLE V

FURTHER ASSURANCES

     5.1 Further Assurances. From time to time after the date hereof, and without any further consideration, the Parties
agree to execute, acknowledge and deliver all such additional deeds, assignments, bills of sale,
conveyances, instruments, notices, releases, acquittances and other documents, and will do all such
other acts and things, all in accordance with applicable Law, as may be necessary or appropriate
(a) more fully to assure that MBLLC own all of the properties, rights, titles, interests, estates,
remedies, powers and privileges granted by this Agreement, or which are intended to be so granted,
(b) more fully and effectively to vest in MBLLC and their respective successors and assigns
beneficial and record title to the interests contributed and assigned by this Agreement or intended
so to be and (c) to more fully and effectively carry out the purposes and intent of this Agreement.

     5.2 Other Assurances. From time to time after the date hereof, and without any further consideration, each of the
Parties shall execute, acknowledge and deliver all such additional instruments, notices and other
documents, and will do all such other acts and things, all in accordance with applicable Law, as
may be necessary or appropriate to more fully and

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effectively carry out the purposes and intent of
this Agreement. Without limiting the generality of the foregoing, the Parties acknowledge that the
Parties have used their good faith efforts to attempt to identify all of the assets being
contributed to MBLLC as required in connection with this Agreement. However, due to the age of
some of those assets and the difficulties in locating appropriate data with respect to some of the
assets it is possible that assets intended to be contributed to MBLLC were not identified and
therefore are not included in the assets contributed to MBLLC. It is the express intent of the
Parties that MBLLC own all assets necessary to operate the assets that are identified in this
Agreement and in the Registration Statement. To the extent any assets were not identified but are
necessary to the operation of assets that were identified, then the intent of the Parties is that
all such unidentified assets are intended to be conveyed to MBLLC. To the extent such assets are
identified at a later date, the Parties shall take the appropriate actions required in order to
convey all such assets to MBLLC. Likewise, to the extent that assets are identified at a later
date that were not intended by the parties to be conveyed as reflected in the Registration
Statement, the Parties shall take the appropriate actions required in order to convey all such
assets to the appropriate party.

ARTICLE VI

POWER OF ATTORNEY

     6.1 EP Texas. EP Texas hereby constitutes and appoints MBLLC and its successors and assigns, its true
and lawful attorney-in-fact with full power of substitution for it and in its name, place and stead
or otherwise on behalf of EP Texas and its successors and assigns, and for the benefit of MBLLC and
its successors and assigns, to demand and receive from time to time the Mont Belvieu East/West
Assets and to execute in the name of EP Texas and its successors and assigns, instruments of
conveyance, instruments of further assurance and to give receipts and releases in respect of the
same, and from time to time to institute and prosecute in the name of EP Texas for the benefit of
MBLLC as may be appropriate, any and all proceedings at law, in equity or otherwise which MBLLC and
its successors and assigns, may deem proper in order to (a) collect, assert or enforce any claims,
rights or titles of any kind in and to the Mont Belvieu East/West Assets, (b) defend and compromise
any and all actions, suits or proceedings in respect of any of the Mont Belvieu East/West Assets,
and (c) do any and all such acts and things in furtherance of this Agreement as MBLLC or its
successors or assigns shall deem advisable. EP Texas hereby declares that the appointments hereby
made and the powers hereby granted are coupled with an interest and are and shall be irrevocable
and perpetual and shall not be terminated by any act of EP Texas or its successors or assigns or by
operation of law.

     6.2 EPOLP. EPOLP hereby constitutes and appoints MBLLC and its successors and assigns, its true and
lawful attorney-in-fact with full power of substitution for it and in its name, place and stead or
otherwise on behalf of EPOLP and its successors and assigns, and for the benefit of MBLLC and its
successors and assigns, to demand and receive from time to time the Mont Belvieu North Assets and
to execute in the name of EPOLP and its successors and assigns, instruments of conveyance,
instruments of further assurance and to give receipts and releases in respect of the same, and from
time to time to institute and prosecute in the name of EPOLP for the benefit of MBLLC as may be
appropriate, any and all proceedings at law, in equity or otherwise which MBLLC and its successors
and assigns, may deem proper in order to (a) collect, assert or enforce any claims, rights or
titles of any kind in and to the Mont Belvieu North Assets, (b) defend and compromise any and all
actions, suits or proceedings in respect of any of the

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Mont Belvieu North Assets, and (c) do any
and all such acts and things in furtherance of this Agreement as MBLLC or its successors or assigns
shall deem advisable. EPOLP hereby declares that the appointments hereby made and the powers
hereby granted are coupled with an interest and are and shall be irrevocable and perpetual and
shall not be terminated by any act of EPOLP or its successors or assigns or by operation of law.

ARTICLE VII

MISCELLANEOUS

     7.1 Order of Completion of Transactions. The transactions provided for in ARTICLE II and ARTICLE III of this Agreement shall be
completed on the Effective Date in the following order:

     First, the transactions provided for in ARTICLE II shall be completed in the order set
forth therein; and

     Second, the transactions provided for in ARTICLE III shall be completed in the order
set forth therein.

     7.2 Consents; Restriction on Assignment. If there are prohibitions against or conditions to the contribution and conveyance of one or
more of the Mont Belvieu Assets without the prior written consent of third parties, including,
without limitation, governmental agencies (other than consents of a ministerial nature which are
normally granted in the ordinary course of business), which if not satisfied would result in a
breach of such prohibitions or conditions or would give an outside party the right to terminate
rights of MBLLC to whom the applicable Mont Belvieu Assets were intended to be conveyed with
respect to such portion of the Mont Belvieu Assets (herein called a “Restriction”), then
any provision contained in this Agreement to the contrary notwithstanding, the transfer of title to
or interest in each such portion of the Mont Belvieu Assets (herein called the “Restriction
Asset”) pursuant to this Agreement shall not become effective unless and until such Restriction
is satisfied, waived or no longer applies. When and if such a Restriction is so satisfied, waived
or no longer applies, to the extent permitted by applicable Law and any applicable contractual
provisions, the assignment of the Restriction Asset subject thereto shall become effective
automatically as of the Effective Time, without further action on the part of any Party. Each of
the applicable Parties that were involved with the conveyance of a Restriction Asset agree to use
their reasonable best efforts to obtain on a timely basis satisfaction of any Restriction
applicable to any Restriction Asset conveyed by or acquired by any of them. The description of any
portion of the Mont Belvieu Assets as a “Restriction Asset” shall not be construed as an admission
that any Restriction exists with respect to the transfer of such portion of the Mont Belvieu
Assets. In the event that any Restriction Asset exists, the applicable Party agrees to continue to
hold such Restriction Asset in trust for the exclusive benefit of the applicable Party to whom such
Restriction Asset was intended to be conveyed and to otherwise use its reasonable best efforts to
provide such other Party with the benefits thereof, and the party holding such Restriction Asset
will enter into other agreements, or take such other action as it may deem necessary, in order to
ensure that the applicable Party to whom such Restriction Asset was intended to be conveyed has the
assets and concomitant rights necessary to enable the applicable Party to operate such Restriction
Asset in all material respects as it was operated prior to the Effective Time.

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     7.3 Costs. MBLLC shall pay all sales, use and similar taxes arising out of the contributions,
conveyances and deliveries to be made hereunder, and shall pay all documentary, filing, recording,
transfer, deed, and conveyance taxes and fees required in connection therewith. In addition, MBLLC
shall be responsible for all costs, liabilities and expenses (including court costs and reasonable
attorneys’ fees) incurred in connection with the satisfaction or waiver of any Restriction pursuant
to Section 7.2 to the extent such Restriction was disclosed to MBLLC on or before the
Effective Date.

     7.4 Headings; References; Interpretation. All Article and Section headings in this Agreement are for convenience only and shall not be
deemed to control or affect the meaning or construction of any of the provisions hereof.
The words “hereof,” “herein” and “hereunder” and words of similar import, when used in this
Agreement, shall refer to this Agreement as a whole and not to any particular provision of this
Agreement. All references herein to Articles and Sections shall, unless the context requires a
different construction, be deemed to be references to the Articles and Sections of this Agreement,
respectively, and all such Schedules attached hereto are hereby incorporated herein and made a part
hereof for all purposes. All personal pronouns used in this Agreement, whether used in the
masculine, feminine or neuter gender, shall include all other genders, and the singular shall
include the plural and vice versa. The use herein of the word “including” following any general
statement, term or matter shall not be construed to limit such statement, term or matter to the
specific items or matters set forth immediately following such word or to similar items or matters,
whether or not non-limiting language (such as “without limitation,” “but not limited to,” or words
of similar import) is used with reference thereto, but rather shall be deemed to refer to all other
items or matters that could reasonably fall within the broadest possible scope of such general
statement, term or matter.

     7.5 Successors and Assigns. The Agreement shall be binding upon and inure to the benefit of the Parties hereto and their
respective successors and assigns.

     7.6 No Third Party Rights. The provisions of this Agreement are intended to bind the Parties hereto as to each other
and are not intended to and do not create rights in any other person or confer upon any other
person any benefits, rights or remedies and no person is or is intended to be a third party
beneficiary of any of the provisions of this Agreement.

     7.7 Counterparts. This Agreement may be executed in any number of counterparts, all of which together shall
constitute one agreement binding on the parties hereto.

     7.8 Governing Law. This Agreement shall be governed by, and construed in accordance with, the Laws of the State
of Texas applicable to contracts made and to be performed wholly within such state without giving
effect to conflict of law principles thereof, except to the extent that it is mandatory that the
Law of some other jurisdiction, wherein the interests are located, shall apply.

     7.9 Severability. If any of the provisions of this Agreement are held by any court of competent jurisdiction
to contravene, or to be invalid under, the Laws of any political body having jurisdiction over the
subject matter hereof, such contravention or invalidity shall not invalidate the entire Agreement.
Instead, this Agreement shall be construed as if it did not contain the particular provision or
provisions held to be invalid, and an equitable adjustment

-10-

 

shall be made and necessary provision
added so as to give effect to the intention of the Parties as expressed in this Agreement at the
time of execution of this Agreement.

     7.10 Deed; Bill of Sale; Assignment. To the extent required and permitted by applicable Law, this Agreement shall also constitute
a “deed,” “bill of sale” or “assignment” of the Mont Belvieu Assets.

     7.11 Amendment or Modification. This Agreement may be amended or modified from time to time only by the written agreement of
all the Parties hereto and affected thereby.

     7.12 Integration. This Agreement and the instruments referenced herein supersede all previous understandings
or agreements among the Parties, whether oral or written, with respect to its subject matter. This
Agreement and such instruments contain the entire understanding of the Parties with respect to the
subject matter hereof and thereof. No understanding, representation, promise or agreement, whether
oral or written, is intended to be or shall be included in or form part of this Agreement unless it
is contained in a written amendment hereto executed by the Parties hereto after the date of this
Agreement.

-11-

 

     IN WITNESS WHEREOF, this Agreement has been duly executed by the parties hereto as of the date
first above written.

	 	 	 	 	 
	 	 	ENTERPRISE PRODUCTS OPERATING L.P.,

a Delaware limited partnership
	 
	 	 	 	 
	 

	 	By:
	 	Enterprise Products OLPGP, Inc.,
	 

	 	 	 	its general partner
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Richard H. Bachmann
	 

	 	 	 	Executive Vice President, Chief Legal Officer and

Secretary
	 
	 	 	 	 
	 	 	ENTERPRISE PRODUCTS OLPGP, INC.,

a Delaware corporation
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	 	 	Richard H. Bachmann
	 

	 	 	 	Executive Vice President, Chief Legal Officer and

Secretary
	 
	 	 	 	 
	 	 	ENTERPRISE PRODUCTS TEXAS OPERATING, L.P.,

a Delaware limited partnership
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	Title:	 	 

Signature Page to Asset Contribution Agreement

 

 

	 	 	 	 	 
	 	 	MONT BELVIEU CAVERNS, LLC,

a Delaware limited liability company
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	Title:	 	 

Signature Page to Asset Contribution Agreement

 

 

SCHEDULE 2.1

LIST OF MONT BELVIEU EAST/WEST ASSETS

     The “Mont Belvieu East/West Assets” are described below and are collectively, in whole or in
part, hereinafter referred to as the “Storage Assets” or individually as a “Storage Asset”.

	A.	 	Storage and Brine Wells. The storage and brine wells identified on Exhibit “A” to
this Schedule 2.1 (collectively, the “Storage Wells”).

	B.	 	Permits. To the extent transferable without termination, the environmental and other
governmental permits, licenses, orders, franchises, and related instruments or rights relating
to the ownership or operation of the Storage Assets (the “Permits”), including without
limitation, those listed on Exhibit “A” to this Schedule 2.1.

	C.	 	Pipelines. The pipelines listed on Exhibit “A” to this Schedule 2.1 (the
“Pipelines”).

	D.	 	Contracts. All contracts, leases and other agreements that relate primarily to the
ownership or operation of the Storage Assets, including without limitation, those described on
Exhibit “A” to this Schedule 2.1.

	E.	 	Real Estate/Real Property Interests. The fee properties, leases, easements,
interests in real estate, licenses, permits and other agreements related to the operation of
the Storage Assets, including without limitation, those listed on Exhibit “A” to this Schedule
2.1.

	F.	 	Warranties. To the extent transferable, all covenants and warranties to the extent
related to the Storage Assets, express or implied (including title warranties and
manufacturers’, suppliers’ and contractors’ warranties).

	G.	 	Records. All books, records and files relating to the Storage Assets and the Mont
Belvieu East/West Asset Liabilities, including, without limitation, accounting records,
operating records, customer lists and information, charts, maps, surveys, drawings, prints and
any physical embodiment of the intellectual property interests relating to the Storage Assets
(the “Records”).

	H.	 	Intellectual Property. All intellectual property interests identified on Exhibit
“A”, including all claims for infringement and other proprietary rights associated therewith.

	I.	 	Other Personal Property. The personal property and equipment listed on Exhibit “A”.

	J.	 	Other Assets. All cash, cash equivalents, accounts receivable, notes receivable,
other rights to receive payment and cash receipts arising from the ownership or operation of
the Storage Assets and attributable to revenue recognized after the Effective Time.

Schedule 2.1

 

 

EXHIBIT “A” TO SCHEDULE 2.1

MONT BELVIEU EAST/WEST ASSETS

Exhibit “A” to Schedule 2.1

 

 

SCHEDULE 2.3

LIST OF MONT BELVIEU NORTH ASSETS

          The “Mont Belvieu North Assets” are described below and are collectively, in whole or in part
referred to as the “Storage Assets” or individually as a “Storage Asset”.

	A.	 	Storage and Brine Wells. The storage and brine wells identified on Exhibit “A” to
this Schedule 2.3 (collectively, the “Storage Wells”).

	B.	 	Permits. To the extent transferable without termination, the environmental and other
governmental permits, licenses, orders, franchises, and related instruments or rights relating
to the ownership or operation of the Storage Assets (the “Permits”), including without
limitation, those listed on Exhibit “A” to this Schedule 2.3.

	C.	 	Pipelines. The pipelines listed on Exhibit “A” to this Schedule 2.3 (the
“Pipelines”).

	D.	 	Contracts. All contracts, leases and other agreements that relate primarily to the
ownership or operation of the Storage Assets, including without limitation, those described on
Exhibit “A” to this Schedule 2.3.

	E.	 	Real Estate/Real Property Interests. The fee properties, leases, easements,
interests in real estate, licenses, permits and other agreements related to the operation of
the Storage Assets, including without limitation, those listed on Exhibit “A” to this Schedule
2.3.

	F.	 	Warranties. To the extent transferable, all covenants and warranties to the extent
related to the Storage Assets, express or implied (including title warranties and
manufacturers’, suppliers’ and contractors’ warranties).

	G.	 	Records. All books, records and files relating to the Storage Assets and the Mont
Belvieu East/West Asset Liabilities, including, without limitation, accounting records,
operating records, customer lists and information, charts, maps, surveys, drawings, prints and
any physical embodiment of the intellectual property interests relating to the Storage Assets
(the “Records”).

	H.	 	Intellectual Property. All intellectual property interests identified on Exhibit
“A”, including all claims for infringement and other proprietary rights associated therewith.

	I.	 	Other Personal Property. The personal property and equipment listed on Exhibit “A”.

	J.	 	Other Assets. All cash, cash equivalents, accounts receivable, notes receivable,
other rights to receive payment and cash receipts arising from the ownership or operation of
the Storage Assets and attributable to revenue recognized after the Effective Time.

Schedule 2.3

 

 

EXHIBIT “A” TO SCHEDULE 2.3

MONT BELVIEU NORTH ASSETS

Exhibit “A” to Schedule 2.3

 

 

SCHEDULE 2.5

LIST OF EXCLUDED ASSETS

[TO COME]

Schedule 2.5exv10w9

 

Exhibit 10.9

CONTRIBUTION, CONVEYANCE AND

ASSUMPTION AGREEMENT

BY AND AMONG

ENTERPRISE PRODUCTS OPERATING L.P.

ENTERPRISE GC, L.P.,

ENTERPRISE HOLDING III, L.L.C.

ENTERPRISE GTM HOLDINGS L.P.,

ENTERPRISE GTMGP, LLC

ENTERPRISE PRODUCTS GTM, LLC

AND

SOUTH TEXAS NGL PIPELINES, LLC

 

 

TABLE OF CONTENTS

	 	 	 	 	 	 	 
	ARTICLE I DEFINITIONS; RECORDATION	 	 	2	 
	   1.1
	 	Definitions	 	 	2	 
	   1.2
	 	Schedules	 	 	3	 
	 
	 	 	 	 	 	 
	ARTICLE II THE CONVEYANCE	 	 	3	 
	   2.1
	 	Contribution and Conveyance of the South Texas Assets by Enterprise GC to STX NGL	 	 	3	 
	   2.2
	 	Excluded Assets	 	 	3	 
	   2.3
	 	Specific Conveyances	 	 	4	 
	   2.4
	 	Distribution of STX NGL Interest	 	 	4	 
	 
	 	 	 	 	 	 
	ARTICLE III ASSUMPTION OF CERTAIN LIABILITIES	 	 	4	 
	   3.1
	 	Assumption of South Texas Asset Liabilities by STX NGL	 	 	4	 
	   3.2
	 	General Provisions Relating to Assumption of Liabilities	 	 	4	 
	 
	 	 	 	 	 	 
	ARTICLE IV TITLE MATTERS	 	 	5	 
	   4.1
	 	Encumbrances	 	 	5	 
	   4.2
	 	Disclaimer of Warranties; Subrogation; Waiver	 	 	5	 
	 
	 	 	 	 	 	 
	ARTICLE V FURTHER ASSURANCES	 	 	7	 
	   5.1
	 	Further Assurances	 	 	7	 
	   5.2
	 	Other Assurances	 	 	7	 
	 
	 	 	 	 	 	 
	ARTICLE VI POWER OF ATTORNEY	 	 	8	 
	   6.1
	 	Enterprise GC	 	 	8	 
	 
	 	 	 	 	 	 
	ARTICLE VII MISCELLANEOUS	 	 	8	 
	   7.1
	 	Order of Completion of Transactions	 	 	8	 
	   7.2
	 	Consents; Restriction on Assignment	 	 	8	 
	   7.3
	 	Costs	 	 	9	 
	   7.4
	 	Headings; References; Interpretation	 	 	9	 
	   7.5
	 	Successors and Assigns	 	 	9	 
	   7.6
	 	No Third Party Rights	 	 	9	 
	   7.7
	 	Counterparts	 	 	10	 
	   7.8
	 	Governing Law	 	 	10	 
	   7.9
	 	Severability	 	 	10	 
	   7.10
	 	Deed; Bill of Sale; Assignment	 	 	10	 
	   7.11
	 	Amendment or Modification	 	 	10	 
	   7.12
	 	Integration	 	 	10	 

-i-

 

 

CONTRIBUTION, CONVEYANCE AND ASSUMPTION AGREEMENT

     THIS CONTRIBUTION, CONVEYANCE AND ASSUMPTION AGREEMENT, dated as of ___, 2006 (this
“Agreement”), is entered into by and among ENTERPRISE PRODUCTS OPERATING L.P., a Delaware
limited partnership (“EPOLP”), ENTERPRISE GC, L.P., a Delaware limited partnership (“Enterprise
GC”), ENTERPRISE HOLDING III, L.L.C., a Delaware limited liability company (“Holding III”),
ENTERPRISE GTM HOLDINGS L.P., a Delaware limited partnership (“GTM Holdings”), ENTERPRISE GTMGP,
LLC, a Delaware limited liability company (“GTMGP”), ENTERPRISE PRODUCTS GTM, LLC, a Delaware
limited liability company (“GTM”) and SOUTH TEXAS NGL PIPELINES, LLC, a Delaware limited liability
company (“STX NGL”). The foregoing shall be referred to individually as a
“Party” and collectively as the “Parties.” Certain capitalized terms used are
defined in Article I hereof.

RECITALS

	 	1.	 	WHEREAS, EPOLP entered into a Purchase and Sale Agreement (the “Purchase
Agreement”) with ExxonMobil Pipeline Company, a Delaware corporation (“EMPCO”) for the
acquisition of certain pipeline assets;

	 	2.	 	WHEREAS, EPOLP assigned its rights as buyer under the Purchase Agreement to
Enterprise GC;

	 	3.	 	WHEREAS, EMPCO conveyed and assigned certain of the South Texas Assets (as
herein defined) to Enterprise GC pursuant to the Purchase Agreement;

	 	4.	 	WHEREAS, EPOLP formed STX NGL pursuant to the Delaware Limited Liability
Company Act (the “Delaware LLC Act”) and contributed $1,000 in exchange for all of the
membership interests in STX NGL;

	 	5.	 	WHEREAS, Enterprise GC will convey the South Texas Assets (as defined herein)
to STX NGL as a capital contribution with STX NGL assuming the South Texas Asset
Liabilities (as defined herein);

	 	6.	 	WHEREAS, Enterprise GC will distribute its membership interests in STX NGL 1%
to Holding III (Holding III in turn distributes such membership interests to GTM
Holdings) and 99% to GTM Holdings;

	 	7.	 	WHEREAS, GTM Holdings will distribute its membership interests in STX NGL 1% to
GTMGP (GTMGP in turn distributes such membership interests to GTM and GTM in turn
distributes such membership interests to EPOLP) and 99% to EPOLP; and

	 	8.	 	WHEREAS, after giving effect to and as a result of the foregoing transactions,
EPOLP will remain the sole member of STX NGL.

     NOW, THEREFORE, in consideration of their mutual undertakings and agreements hereunder, the
Parties undertake and agree as follows:

 

 

ARTICLE I

DEFINITIONS; RECORDATION

     1.1 Definitions. The following capitalized terms have the meanings given below.

     “Agreement” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “Delaware LLC Act” has the meaning assigned to such term in the first recital of this
Agreement.

     “Effective Date” means                     , 2007.

     “Effective Time” means the time when the transactions contemplated by Article
II hereof have been consummated.

     “Enterprise GC” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “EPOLP” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “Excluded Assets” has the meaning assigned to such term in Section 2.2.

     “Excluded Liabilities” has the meaning assigned to such term in Section 3.2.

     “GTM” has the meaning assigned to such term in the first paragraph of this Agreement.

     “GTMGP” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “GTM Holdings” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “Holding III” has the meaning assigned to such term in the first paragraph of this
Agreement.

     “Laws” means any and all laws, statutes, ordinances, rules or regulations promulgated
by a governmental authority, orders of a governmental authority, judicial decisions, decisions of
arbitrators or determinations of any governmental authority or court.

     “Party and Parties” have the meanings assigned to such terms in the first paragraph of
this Agreement.

     “Registration Statement” means the registration statement on Form S-1 (File No.
333-138371) filed by Duncan Energy Partners L.P.

     “Restriction” has the meaning assigned to such term in Section 7.2.

-2-

 

     “Restriction Asset” has the meaning assigned to such term in Section 7.2.

     “South Texas Assets” has the meaning assigned to such term in Section 2.1.

     “South Texas Asset Liabilities” shall mean all liabilities and obligations relating to
the South Texas Assets. The South Texas Asset Liabilities shall not include the Excluded
Liabilities.

     “Specific Conveyances” has the meaning assigned to such term in Section 2.3.

     “STX NGL” has the meaning assigned to such term in the first paragraph of this
Agreement.

     1.2 Schedules. The following schedules are attached hereto:

	 	(a)	 	Schedule 2.1 — List of South Texas Assets
	 
	 	(b)	 	Schedule 2.2 — List of Excluded Assets

ARTICLE II

THE CONVEYANCE

     2.1 Contribution and Conveyance of the South Texas Assets by Enterprise GC to STX NGL. Enterprise GC hereby grants, contributes, transfers, assigns and conveys to STX NGL, its
successor and assigns, for its and their own use forever, all of its right, title and interest in
and to all of the assets described on Schedule 2.1 (the “South Texas Assets”), and
STX NGL hereby accepts the South Texas Assets, as a contribution to the capital of STX NGL in
exchange for membership interests in STX NGL, subject to all matters to be contained in the
instruments of conveyance covering the South Texas Assets to evidence such contribution and
conveyance, if any. The South Texas Assets shall not include the Excluded Assets.

     TO HAVE AND TO HOLD the South Texas Assets unto STX NGL, its successors and assigns, together
with all and singular the rights and appurtenances thereto in anywise belonging, subject, however,
to the terms and conditions stated in this Agreement, and in such instruments of conveyance,
forever.

     2.2 Excluded Assets. Notwithstanding anything contained in Section 2.1 to the contrary, Enterprise GC
shall not grant, contribute, transfer, assign or convey to STX NGL (or cause to be granted,
contributed, transferred, assigned or conveyed), and STX NGL shall neither assume, purchase nor acquire from Enterprise GC any of the assets described on Schedule 2.2
(collectively, the “Excluded Assets”).

-3-

 

     2.3 Specific Conveyances. To further evidence the contributions of the South Texas Assets reflected in this
Agreement, Enterprise GC may have executed and delivered to STX NGL certain conveyance, assignment
and bill of sale instruments (the “Specific Conveyances”). The Specific Conveyances shall
evidence and perfect such contribution and conveyance made by this Agreement and shall not
constitute a second conveyance of any assets or interests therein and shall be subject to the terms
of this Agreement.

     2.4 Distribution of STX NGL Interest. Enterprise GC hereby distributes, transfers and assigns all of its right, title and
interest in and to its membership interest in STX NGL to Holding III and GTM Holdings, 1% and 99%,
respectively. Holding III in turn distributes such 1% membership interest to GTM Holdings. GTM
Holdings accepts such membership interest distributed by Enterprise GC.

     GTM Holdings hereby distributes, transfers and assigns all of its right, title and interest in
and to its membership interest in STX NGL to GTMGP and EPOLP, 1% and 99%, respectively. GTMGP in
turn distributes such 1% membership interest to GTM and GTM in turn distributes such membership
interests to EPOLP. EPOLP accepts such membership interests in STX NGL distributed by GTM Holdings
and GTM.

     TO HAVE TO AND TO HOLD, said membership interest in STX NGL unto EPOLP, its successors and
assigns, together with all and singular the rights and appurtenances thereto in anywise belonging,
subject, however, to the terms and conditions stated in this Agreement.

ARTICLE III

ASSUMPTION OF CERTAIN LIABILITIES

     3.1 Assumption of South Texas Asset Liabilities by STX NGL. In connection with the contribution by Enterprise GC of the South Texas Assets to STX NGL,
as set forth in Section 2.1 above, STX NGL hereby assumes and agrees to duly and timely
pay, perform and discharge all of the South Texas Asset Liabilities, to the full extent that
Enterprise GC has been heretofore or would have been in the future obligated to pay, perform and
discharge the South Texas Asset Liabilities were it not for such contribution and the execution and
delivery of this Agreement; provided, however, that said assumption and agreement to duly and
timely pay, perform and discharge the South Texas Asset Liabilities shall not (a) increase the
obligation of STX NGL with respect to the South Texas Asset Liabilities beyond that of Enterprise
GC, (b) waive any valid defense that was available to Enterprise GC with respect to the South Texas
Asset Liabilities or (c) enlarge any rights or remedies of any third party under any of the South
Texas Asset Liabilities. In addition, STX NGL and each of the other parties hereto hereby agree to
execute an amendment to the limited liability company agreement of STX NGL or such other agreements
as necessary to evidence the issuance of the STX NGL membership interest to Enterprise GC as
consideration for the contributions made pursuant to Section 2.1 and the distributions of such membership interests pursuant to
Section 2.2. Each of the parties hereto agree that after giving effect to and as a result
of such transactions, EPOLP will remain the sole member of STX NGL.

     3.2 General Provisions Relating to Assumption of Liabilities

-4-

 

          (a) Notwithstanding any other provisions of this Agreement to the contrary, Enterprise GC and
STX NGL agree that STX NGL shall not be obligated to, and shall not, assume any liabilities or
obligations related to the Excluded Assets (collectively, the “Excluded Liabilities”).

          (b) Notwithstanding anything to the contrary contained in this Agreement including, without
limitation, the terms and provisions of this Article III, STX NGL shall not be deemed to
have assumed, and the South Texas Assets have not been or are not being contributed subject to, any
liens or security interests securing consensual indebtedness covering any of the South Texas
Assets, and all such liens and security interests shall be deemed to be excluded from the
assumptions of liabilities made under this Article III.

ARTICLE IV

TITLE MATTERS

     4.1 Encumbrances.

          (a) Except to the extent provided in Section 3.2 or any other document executed in
connection with this Agreement, the contribution and conveyance (by operation of Law or otherwise)
of the South Texas Assets as reflected in this Agreement are made expressly subject to all recorded
encumbrances, agreements, defects, restrictions, and adverse claims covering the South Texas Assets
and all Laws, rules, regulations, ordinances, judgments and orders of governmental authorities or
tribunals having or asserting jurisdiction over the South Texas Assets and operations conducted
thereon or therewith, in each case to the extent the same are valid and enforceable and affect the
South Texas Assets, including, without limitation, (i) all matters that a current on the ground
survey, title insurance commitment or policy, or visual inspection of the South Texas Assets would
reflect, (ii) the applicable liabilities assumed in Article III, and (iii) all matters
contained in the Specific Conveyances.

          (b) To the extent that certain jurisdictions in which the South Texas Assets are located may
require that documents be recorded in order to evidence the transfers of title reflected in this
Agreement, then the provisions set forth in Section 4.1(a) immediately above shall also be
applicable to the conveyances under such documents.

     4.2 Disclaimer of Warranties; Subrogation; Waiver.

          (a) EXCEPT TO THE EXTENT PROVIDED IN ANY OTHER DOCUMENT EXECUTED OR DELIVERED IN CONNECTION
WITH THIS AGREEMENT, THE PARTIES ACKNOWLEDGE AND AGREE THAT NONE OF THE PARTIES HAS MADE, DOES NOT MAKE, AND EACH
SUCH PARTY SPECIFICALLY NEGATES AND DISCLAIMS, ANY REPRESENTATIONS, WARRANTIES, PROMISES,
COVENANTS, AGREEMENTS OR GUARANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS, IMPLIED
OR STATUTORY, ORAL OR WRITTEN, PAST OR PRESENT, REGARDING (A) THE VALUE, NATURE, QUALITY OR
CONDITION OF THE SOUTH TEXAS ASSETS INCLUDING, WITHOUT LIMITATION, THE WATER, SOIL, GEOLOGY OR
ENVIRONMENTAL CONDITION OF THE SOUTH TEXAS ASSETS GENERALLY, INCLUDING THE PRESENCE OR LACK OF
HAZARDOUS SUBSTANCES

-5-

 

OR OTHER MATTERS ON THE SOUTH TEXAS ASSETS, (B) THE INCOME TO BE DERIVED FROM
THE SOUTH TEXAS ASSETS, (C) THE SUITABILITY OF THE SOUTH TEXAS ASSETS FOR ANY AND ALL ACTIVITIES
AND USES THAT MAY BE CONDUCTED THEREON, (D) THE COMPLIANCE OF OR BY THE SOUTH TEXAS ASSETS OR THEIR
OPERATION WITH ANY LAWS (INCLUDING WITHOUT LIMITATION ANY ZONING, ENVIRONMENTAL PROTECTION,
POLLUTION OR LAND USE LAWS, RULES, REGULATIONS, ORDERS OR REQUIREMENTS), OR (E) THE HABITABILITY,
MERCHANTABILITY, MARKETABILITY, PROFITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OF THE SOUTH
TEXAS ASSETS. EXCEPT TO THE EXTENT PROVIDED IN ANY OTHER DOCUMENT EXECUTED OR DELIVERED IN
CONNECTION WITH THIS AGREEMENT, THE PARTIES ACKNOWLEDGE AND AGREE THAT EACH HAS HAD THE OPPORTUNITY
TO INSPECT THE SOUTH TEXAS ASSETS, AND EACH IS RELYING SOLELY ON ITS OWN INVESTIGATION OF THE SOUTH
TEXAS ASSETS AND NOT ON ANY INFORMATION PROVIDED OR TO BE PROVIDED BY ANY OF THE PARTIES. EXCEPT TO
THE EXTENT PROVIDED IN ANY OTHER DOCUMENT EXECUTED OR DELIVERED IN CONNECTION WITH THIS AGREEMENT,
NONE OF THE PARTIES IS LIABLE OR BOUND IN ANY MANNER BY ANY VERBAL OR WRITTEN STATEMENTS,
REPRESENTATIONS OR INFORMATION PERTAINING TO THE SOUTH TEXAS ASSETS FURNISHED BY ANY AGENT,
EMPLOYEE, SERVANT OR THIRD PARTY. EXCEPT TO THE EXTENT PROVIDED IN ANY OTHER DOCUMENT EXECUTED OR
DELIVERED IN CONNECTION WITH THIS AGREEMENT, EACH OF THE PARTIES ACKNOWLEDGES THAT TO THE MAXIMUM
EXTENT PERMITTED BY LAW, THE CONTRIBUTION OF THE SOUTH TEXAS ASSETS AS PROVIDED FOR HEREIN IS MADE
IN AN “AS IS,” “WHERE IS” CONDITION WITH ALL FAULTS, AND THE SOUTH TEXAS ASSETS ARE CONTRIBUTED AND
CONVEYED SUBJECT TO ALL OF THE MATTERS CONTAINED IN THIS SECTION. THIS SECTION SHALL SURVIVE SUCH
CONTRIBUTION AND CONVEYANCE OR THE TERMINATION OF THIS AGREEMENT. THE PROVISIONS OF THIS SECTION
HAVE BEEN NEGOTIATED BY THE PARTIES AFTER DUE CONSIDERATION AND ARE INTENDED TO BE A COMPLETE
EXCLUSION AND NEGATION OF ANY REPRESENTATIONS OR WARRANTIES, WHETHER EXPRESS, IMPLIED OR STATUTORY,
WITH RESPECT TO THE SOUTH TEXAS ASSETS THAT MAY ARISE PURSUANT TO ANY LAW NOW OR HEREAFTER IN
EFFECT, OR OTHERWISE, EXCEPT AS SET FORTH IN THIS AGREEMENT OR ANY OTHER DOCUMENT EXECUTED OR
DELIVERED IN CONNECTION WITH THIS AGREEMENT.

          (b) To the extent that certain jurisdictions in which the South Texas Assets are located may
require that documents be recorded in order to evidence the transfers of title reflected in this
Agreement, then the disclaimers set forth in Section 4.2(a) immediately above shall also be
applicable to the conveyances under such documents.

          (c) The contribution of the South Texas Assets made under this Agreement is made with full
right of substitution and subrogation of STX NGL, and all persons claiming by, through and under
STX NGL, to the extent assignable, in and to all covenants and warranties by the
predecessors-in-title of the parties contributing the South Texas Assets, and with full

-6-

 

subrogation
of all rights accruing under applicable statutes of limitation and all rights of action of warranty
against all former owners of the South Texas Assets.

          (d) Each of the Parties agrees that the disclaimers contained in this Section 4.2 are
“conspicuous” disclaimers. Any covenants implied by statute or Law by the use of the words
“grant,” “convey,” “bargain,” “sell,” “assign,” “transfer,” “deliver,” or “set over” or any of them
or any other words used in this Agreement or any schedules hereto are hereby expressly disclaimed,
waived or negated.

          (e) Each of the Parties hereby waives compliance with any applicable bulk sales Law or any
similar Law in any applicable jurisdiction in respect of the transactions contemplated by this
Agreement.

ARTICLE V

FURTHER ASSURANCES

     5.1 Further Assurances. From time to time after the date hereof, and without any further consideration, the Parties
agree to execute, acknowledge and deliver all such additional deeds, assignments, bills of sale,
conveyances, instruments, notices, releases, acquittances and other documents, and will do all such
other acts and things, all in accordance with applicable Law, as may be necessary or appropriate
(a) more fully to assure that STX NGL own all of the properties, rights, titles, interests,
estates, remedies, powers and privileges granted by this Agreement, or which are intended to be so
granted, (b) more fully and effectively to vest in STX NGL and their respective successors and
assigns beneficial and record title to the interests contributed and assigned by this Agreement or
intended so to be and (c) to more fully and effectively carry out the purposes and intent of this
Agreement.

     5.2 Other Assurances. From time to time after the date hereof, and without any further consideration, each of the
Parties shall execute, acknowledge and deliver all such additional instruments, notices and other
documents, and will do all such other acts and things, all in accordance with applicable Law, as
may be necessary or appropriate to more fully and effectively carry out the purposes and intent of
this Agreement. Without limiting the generality of the foregoing, the Parties acknowledge that the
Parties have used their good faith efforts to attempt to identify all of the assets being
contributed to STX NGL as required in connection with this Agreement. However, due to the age of
some of those assets and the difficulties in locating appropriate data with respect to some of the assets it is possible that assets intended to be contributed to STX NGL
were not identified and therefore are not included in the assets contributed to STX NGL. It is the
express intent of the Parties that STX NGL own all assets necessary to operate the assets that are
identified in this Agreement and in the Registration Statement. To the extent any assets were not
identified but are necessary to the operation of assets that were identified, then the intent of
the Parties is that all such unidentified assets are intended to be conveyed to STX NGL. To the
extent such assets are identified at a later date, the Parties shall take the appropriate actions
required in order to convey all such assets to STX NGL. Likewise, to the extent that assets are
identified at a later date that were not intended by the parties to be conveyed as reflected in the
Registration Statement, the Parties shall take the appropriate actions required in order to convey
all such assets to the appropriate party.

-7-

 

ARTICLE VI

POWER OF ATTORNEY

     6.1 Enterprise GC. Enterprise GC hereby constitutes and appoints STX NGL and its successors and assigns, its
true and lawful attorney-in-fact with full power of substitution for it and in its name, place and
stead or otherwise on behalf of Enterprise GC and its successors and assigns, and for the benefit
of STX NGL and its successors and assigns, to demand and receive from time to time the South Texas
Assets and to execute in the name of Enterprise GC and its successors and assigns, instruments of
conveyance, instruments of further assurance and to give receipts and releases in respect of the
same, and from time to time to institute and prosecute in the name of Enterprise GC for the benefit
of STX NGL as may be appropriate, any and all proceedings at law, in equity or otherwise which STX
NGL and its successors and assigns, may deem proper in order to (a) collect, assert or enforce any
claims, rights or titles of any kind in and to the South Texas Assets, (b) defend and compromise
any and all actions, suits or proceedings in respect of any of the South Texas Assets, and (c) do
any and all such acts and things in furtherance of this Agreement as STX NGL or its successors or
assigns shall deem advisable. Enterprise GC hereby declares that the appointments hereby made and
the powers hereby granted are coupled with an interest and are and shall be irrevocable and
perpetual and shall not be terminated by any act of Enterprise GC or its successors or assigns or
by operation of law.

ARTICLE VII

MISCELLANEOUS

     7.1 Order of Completion of Transactions. The transactions provided for in Article II and Article III of this Agreement shall be
completed on the Effective Date in the following order:

     First, the transactions provided for in Article II shall be completed in the order set
forth therein; and

     Second, the transactions provided for in Article III shall be completed in the order
set forth therein.

     7.2 Consents; Restriction on Assignment. If there are prohibitions against or conditions to the contribution and conveyance of one or
more of the South Texas Assets without the prior written consent of third parties, including,
without limitation, governmental agencies (other than consents of a ministerial nature which are
normally granted in the ordinary course of business), which if not satisfied would result in a
breach of such prohibitions or conditions or would give an outside party the right to terminate
rights of STX NGL to whom the applicable South Texas Assets were intended to be conveyed with
respect to such portion of the South Texas Assets (herein called a “Restriction”), then any
provision contained in this Agreement to the contrary notwithstanding, the transfer of title to or
interest in each such portion of the South Texas Assets (herein called the “Restriction
Asset”) pursuant to this Agreement shall not become effective unless and until such Restriction
is satisfied, waived or no longer applies. When and if such a Restriction is so satisfied, waived
or no longer applies, to the extent permitted by

-8-

 

applicable Law and any applicable contractual
provisions, the assignment of the Restriction Asset subject thereto shall become effective
automatically as of the Effective Time, without further action on the part of any Party. Each of
the applicable Parties that were involved with the conveyance of a Restriction Asset agree to use
their reasonable best efforts to obtain on a timely basis satisfaction of any Restriction
applicable to any Restriction Asset conveyed by or acquired by any of them. The description of any
portion of the South Texas Assets as a “Restriction Asset” shall not be construed as an admission
that any Restriction exists with respect to the transfer of such portion of the South Texas Assets.
In the event that any Restriction Asset exists, the applicable Party agrees to continue to hold
such Restriction Asset in trust for the exclusive benefit of the applicable Party to whom such
Restriction Asset was intended to be conveyed and to otherwise use its reasonable best efforts to
provide such other Party with the benefits thereof, and the party holding such Restriction Asset
will enter into other agreements, or take such other action as it may deem necessary, in order to
ensure that the applicable Party to whom such Restriction Asset was intended to be conveyed has the
assets and concomitant rights necessary to enable the applicable Party to operate such Restriction
Asset in all material respects as it was operated prior to the Effective Time.

     7.3 Costs. STX NGL shall pay all sales, use and similar taxes arising out of the contributions,
conveyances and deliveries to be made hereunder, and shall pay all documentary, filing, recording,
transfer, deed, and conveyance taxes and fees required in connection therewith. In addition, STX
NGL shall be responsible for all costs, liabilities and expenses (including court costs and
reasonable attorneys’ fees) incurred in connection with the satisfaction or waiver of any
Restriction pursuant to Section 7.2 to the extent such Restriction was disclosed to STX NGL
on or before the Effective Date.

     7.4 Headings; References; Interpretation. All Article and Section headings in this Agreement are for convenience only and shall not be
deemed to control or affect the meaning or construction of any of the provisions hereof. The words “hereof,” “herein” and “hereunder” and words of similar import, when used in this
Agreement, shall refer to this Agreement as a whole and not to any particular provision of this
Agreement. All references herein to Articles and Sections shall, unless the context requires a
different construction, be deemed to be references to the Articles and Sections of this Agreement,
respectively, and all such Schedules attached hereto are hereby incorporated herein and made a part
hereof for all purposes. All personal pronouns used in this Agreement, whether used in the
masculine, feminine or neuter gender, shall include all other genders, and the singular shall
include the plural and vice versa. The use herein of the word “including” following any general
statement, term or matter shall not be construed to limit such statement, term or matter to the
specific items or matters set forth immediately following such word or to similar items or matters,
whether or not non-limiting language (such as “without limitation,” “but not limited to,” or words
of similar import) is used with reference thereto, but rather shall be deemed to refer to all other
items or matters that could reasonably fall within the broadest possible scope of such general
statement, term or matter.

     7.5 Successors and Assigns. The Agreement shall be binding upon and inure to the benefit of the Parties hereto and their
respective successors and assigns.

     7.6 No Third Party Rights. The provisions of this Agreement are intended to bind the Parties hereto as to each other
and are not intended to and do not create rights in any other person or confer upon any other

-9-

 

person any benefits, rights or remedies and no person is or is intended to be a third party
beneficiary of any of the provisions of this Agreement.

     7.7 Counterparts. This Agreement may be executed in any number of counterparts, all of which together shall
constitute one agreement binding on the parties hereto.

     7.8 Governing Law. This Agreement shall be governed by, and construed in accordance with, the Laws of the State
of Texas applicable to contracts made and to be performed wholly within such state without giving
effect to conflict of law principles thereof, except to the extent that it is mandatory that the
Law of some other jurisdiction, wherein the interests are located, shall apply.

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

     7.10 Deed; Bill of Sale; Assignment. To the extent required and permitted by applicable Law, this Agreement shall also constitute
a “deed,” “bill of sale” or “assignment” of the South Texas Assets.

     7.11 Amendment or Modification. This Agreement may be amended or modified from time to time only by the written agreement of
all the Parties hereto and affected thereby.

     7.12 Integration. This Agreement and the instruments referenced herein supersede all previous understandings
or agreements among the Parties, whether oral or written, with respect to its subject matter. This
Agreement and such instruments contain the entire understanding of the Parties with respect to the
subject matter hereof and thereof. No understanding, representation, promise or agreement, whether
oral or written, is intended to be or shall be included in or form part of this Agreement unless it
is contained in a written amendment hereto executed by the Parties hereto after the date of this
Agreement.

-10-

 

     IN WITNESS WHEREOF, this Agreement has been duly executed by the parties hereto as of the date
first above written.

	 	 	 	 	 
	 	

ENTERPRISE GC, L.P., 

a Delaware limited partnership

 	 
	 	By:  	 	 
	 	Name:  	 	 	 
	 	Title:  	 	 	 
	 
	 	

ENTERPRISE HOLDING III, L.L.C., 

a Delaware limited liability company

 	 
	 	By:  	 	 
	 	Name:  	 	 	 
	 	Title:  	 	 	 
	 
	 	

ENTERPRISE GTM HOLDINGS L.P., 

a Delaware limited partnership

 	 
	 	By:  	 	 
	 	Name:  	 	 	 
	 	Title:  	 	 	 
	 
	 	ENTERPRISE GTMGP, LLC, 

a Delaware limited liability company

 	 
	 	By:  	 	 
	 	Name:  	 	 	 
	 	Title:  	 	 	 
	 
	 	ENTERPRISE PRODUCTS GTM, LLC, 

a Delaware limited liability company

 	 
	 	By:  	 	 
	 	Name:  	 	 	 
	 	Title:  	 	 	 
	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 

Signature Page to Asset Contribution Agreement

 

 

	 	 	 	 	 
	 	

SOUTH TEXAS NGL PIPELINES, LLC, 

a Delaware limited liability company

 	 
	 	By:  	 	 
	 	Name:  	 	 	 
	 	Title:  	 	 	 
	 
	 	ENTERPRISE PRODUCTS OPERATING L.P., 

a Delaware limited partnership

 	 
	 	By:  	 	 
	 	Name:  	 	 	 
	 	Title:  	 	 	 
	 

Signature Page to Asset Contribution Agreement

 

 

SCHEDULE 2.1

LIST OF SOUTH TEXAS ASSETS

A. 1. Seller’s Corpus Christi to Fairmont Parkway pipeline system consisting of approximately 215
miles of 16” pipe originating near Corpus Christi, Texas and connecting to approximately 10.83
miles of 12” mainline pipe and terminating near Fairmont Parkway in Pasadena, Texas. This pipeline
system is more particularly described in Exhibit A to this Schedule 2.1.

     2. Seller’s 10-mile long 18” pipeline segment commonly known as the P-61 pipeline running from
Mont Belvieu to Teppco’s Baytown terminal.

     3. Seller’s 32 mile long 6” pipeline segment commonly referred to as the Helen Gohlke Pipeline
which extends from approximately 8 miles south of Seller’s Armstrong plant to within 1 mile of
Seller’s Corpus Christi to Fairmont Parkway pipeline system in Victoria County, Texas.

     The pipelines listed in 1-3 above are collectively the “Pipelines”.

B. All above ground and below ground improvements necessary to operate the Pipeline, including,
without limitation, all buildings, stations, meters and regulatory equipment, valves, pumps,
motors, tanks and other personal property.

C. All real property interests, including all fee, leasehold, easements, permits, licenses,
approvals and similar rights in land, and the rights in right-of-way and Department of
Transportation permits and files used in connection with the operation of the Pipeline.

D. Every contract, agreement or other arrangement or understanding of any kind relating to the
operation of the foregoing facilities and pipelines described in this Schedule 2.1,
including, without limitation, those listed on Exhibit B to this Schedule 2.1.

Schedule 2.1

 

 

EXHIBIT “A”

To

SCHEDULE 2.1

[Schematics from Purchase Agreement, including TX-219, 219A, 219B, 215A, 215B.]

Schedule 2.1

 

 

EXHIBIT “B”

To

SCHEDULE 2.1

Specific Contracts

1. Facilities Sharing Agreement dated August 1, 2006 between Enterprise GC, L.P. and ExxonMobil
Pipe Line Company.

2. Shared Services Agreement dated August 1, 2006 between Enterprise GC, L.P. and ExxonMobil Pipe
Line Company.

Schedule 2.1

 

 

SCHEDULE 2.2

LIST OF EXCLUDED ASSETS

None.

Schedule 2.2

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