Document:

EX-10.19

 Exhibit 10.19 

Execution Copy 
 LIMITED
PARTNERSHIP AGREEMENT 
 OF 

AMERICOLD REALTY OPERATING PARTNERSHIP, L.P. 

A DELAWARE LIMITED PARTNERSHIP 

November 30, 2010 

 TABLE OF CONTENTS 

 

									
	 	 	  	 	  	Page	 
	 	 ARTICLE 1 DEFINED TERMS
	  	 	2	 
		
	 	 ARTICLE 2 PARTNERSHIP FORMATION AND IDENTIFICATION
	  	 	8	 
			
	 	      2.1	 	  	 Formation
	  	 	8	 
			
	 	2.2	 	  	 Name, Office and Registered Agent
	  	 	8	 
			
	 	2.3	 	  	 Partners
	  	 	9	 
			
	 	2.4	 	  	 Term and Dissolution
	  	 	9	 
			
	 	2.5	 	  	 Filing of Certificate and Perfection of Limited Partnership
	  	 	10	 
			
	 	2.6	 	  	 Certificates Describing Partnership Units
	  	 	10	 
		
	 	 ARTICLE 3 BUSINESS OF THE PARTNERSHIP
	  	 	10	 
		
	 	 ARTICLE 4 CAPITAL CONTRIBUTIONS AND ACCOUNTS
	  	 	11	 
			
	 	4.1	 	  	 Capital Contributions
	  	 	11	 
			
	 	4.2	 	  	 Additional Capital Contributions and Issuances of Additional Partnership Interests
	  	 	11	 
			
	 	4.3	 	  	 Additional Funding
	  	 	13	 
			
	 	4.4	 	  	 Capital Accounts
	  	 	13	 
			
	 	4.5	 	  	 Percentage Interests
	  	 	14	 
			
	 	4.6	 	  	 No Interest on Contributions
	  	 	14	 
			
	 	4.7	 	  	 Return of Capital Contributions
	  	 	14	 
			
	 	4.8	 	  	 No Third Party Beneficiary
	  	 	14	 
		
	 	 ARTICLE 5 PROFITS AND LOSSES; DISTRIBUTIONS
	  	 	15	 
			
	 	5.1	 	  	 Allocation of Profit and Loss
	  	 	15	 
			
	 	5.2	 	  	 Distribution of Cash
	  	 	18	 
			
	 	5.3	 	  	 REIT Distribution Requirements
	  	 	19	 
			
	 	5.4	 	  	 No Right to Distributions in Kind
	  	 	19	 
			
	 	5.5	 	  	 Limitations on Return of Capital Contributions
	  	 	19	 
			
	 	5.6	 	  	 Distributions upon Liquidation
	  	 	19	 
			
	 	5.7	 	  	 Substantial Economic Effect
	  	 	20	 
		
	 	 ARTICLE 6 RIGHTS, OBLIGATIONS AND POWERS OF THE GENERAL PARTNER
	  	 	20	 
			
	 	6.1	 	  	 Management of the Partnership
	  	 	20	 
			
	 	6.2	 	  	 Delegation of Authority
	  	 	23	 
			
	 	6.3	 	  	 Indemnification and Exculpation of Indemnitees
	  	 	23	 

  
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	 	6.4	 	  	 Liability of the General Partner
	  	 	25	 
			
	 	6.5	 	  	 Reimbursement of General Partner
	  	 	26	 
			
	 	6.6	 	  	 Outside Activities
	  	 	26	 
			
	 	6.7	 	  	 Employment or Retention of Affiliates
	  	 	26	 
			
	 	6.8	 	  	 General Partner Participation
	  	 	27	 
			
	 	6.9	 	  	 Title to Partnership Assets
	  	 	27	 
			
	 	6.10	 	  	 Miscellaneous
	  	 	27	 
		
	 	 ARTICLE 7 CHANGES IN GENERAL PARTNER
	  	 	28	 
			
	 	7.1	 	  	 Transfer of the General Partner’s Partnership Interest
	  	 	28	 
			
	 	7.2	 	  	 Admission of a Substitute or Additional General Partner
	  	 	30	 
			
	 	7.3	 	  	 Effect of Bankruptcy, Withdrawal, Death or Dissolution of a General Partner
	  	 	30	 
			
	 	7.4	 	  	 Removal of a General Partner
	  	 	31	 
		
	 	 ARTICLE 8 RIGHTS AND OBLIGATIONS OF THE LIMITED PARTNERS
	  	 	32	 
			
	 	      8.1	 	  	 Management of the Partnership
	  	 	32	 
			
	 	8.2	 	  	 Power of Attorney
	  	 	32	 
			
	 	8.3	 	  	 Limitation on Liability of Limited Partners
	  	 	33	 
			
	 	8.4	 	  	 Exchange Right
	  	 	33	 
			
	 	8.5	 	  	 Registration
	  	 	35	 
		
	 	 ARTICLE 9 TRANSFERS OF LIMITED PARTNERSHIP INTERESTS
	  	 	36	 
			
	 	9.1	 	  	 Purchase for Investment
	  	 	36	 
			
	 	9.2	 	  	 Restrictions on Transfer of Limited Partnership Interests
	  	 	37	 
			
	 	9.3	 	  	 Admission of Substitute Limited Partner
	  	 	38	 
			
	 	9.4	 	  	 Rights of Assignees of Partnership Interests
	  	 	39	 
			
	 	9.5	 	  	 Effect of Bankruptcy, Death, Incompetence or Termination of a Limited Partner
	  	 	40	 
			
	 	9.6	 	  	 Joint Ownership of Interests
	  	 	40	 
		
	 	 ARTICLE 10 BOOKS AND RECORDS; ACCOUNTING; TAX MATTERS
	  	 	40	 
			
	 	10.1	 	  	 Books and Records
	  	 	40	 
			
	 	10.2	 	  	 Custody of Partnership Funds; Bank Accounts
	  	 	41	 
			
	 	10.3	 	  	 Fiscal and Taxable Year
	  	 	41	 
			
	 	10.4	 	  	 Annual Tax Information and Report
	  	 	41	 
			
	 	10.5	 	  	 Tax Matters Partner; Tax Elections; Special Basis Adjustments
	  	 	41	 
			
	 	10.6	 	  	 Reports to Limited Partners
	  	 	42	 

  
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	 	 ARTICLE 11 AMENDMENT OF AGREEMENT; MERGER
	  	 	43	 
		
	 	 ARTICLE 12 GENERAL PROVISIONS
	  	 	43	 
			
	 	    12.1	 	  	 Notices
	  	 	43	 
			
	 	12.2	 	  	 Survival of Rights
	  	 	44	 
			
	 	12.3	 	  	 Additional Documents
	  	 	44	 
			
	 	12.4	 	  	 Severability
	  	 	44	 
			
	 	12.5	 	  	 Entire Agreement
	  	 	44	 
			
	 	12.6	 	  	 Pronouns and Plurals
	  	 	44	 
			
	 	12.7	 	  	 Headings
	  	 	44	 
			
	 	12.8	 	  	 Counterparts
	  	 	44	 
			
	 	12.9	 	  	 Governing Law
	  	 	44	 

 EXHIBITS 
 EXHIBIT A -
Partners, Capital Contributions and Percentage Interests 
 EXHIBIT B - Notice of Exercise of Exchange Right 

  
 iii 

 LIMITED PARTNERSHIP AGREEMENT 

OF 
 AMERICOLD REALTY OPERATING
PARTNERSHIP, L.P. 
 RECITALS 

This Agreement of Limited Partnership (this “Agreement”) is entered into as of November 30, 2010, between Americold
Realty Trust, a Maryland real estate investment trust (“ART”) (the “General Partner”), and the Limited Partner set forth on Exhibit A hereto. Capitalized terms used herein but not otherwise defined shall have
the meanings given them in Article 1. 
 AGREEMENT 

WHEREAS, the General Partner has qualified and intends to qualify as a real estate investment trust under the Internal Revenue Code of 1986,
as amended; 
 WHEREAS, Americold Realty Operating Partnership, L.P. (the “Partnership”), was formed on April 5, 2010,
as a limited partnership under the laws of the State of Delaware, pursuant to a Certificate of Limited Partnership filed with the Office of the Secretary of State of the State of Delaware on April 5, 2010; 

WHEREAS, the General Partner desires to conduct its current and future business through the Partnership; 

WHEREAS, in furtherance of the foregoing, the General Partner desires to contribute certain assets to the Partnership from time to time; 

WHEREAS, in exchange for the General Partner’s contribution of assets, the parties desire that the Partnership issue Partnership Units to
the General Partner in accordance with the terms of this Agreement; 
 WHEREAS, in furtherance of the Partnership’s business, the
Partnership will acquire Properties and other assets from time to time by means of the contribution of such Properties or other assets to the Partnership by the owners thereof in exchange for Partnership Units; 

WHEREAS, the parties hereto wish to establish herein their respective rights and obligations in connection with all of the foregoing and
certain other matters; 
 NOW, THEREFORE, in consideration of the foregoing, of mutual covenants between the parties hereto, and of other
good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 

  
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 DEFINED TERMS 

The following defined terms used in this Agreement shall have the meanings specified below: 

“Act” means the Delaware Revised Uniform Limited Partnership Act, as it may be amended from time to time. 

“Additional Funds” has the meaning set forth in Section 4.3 hereof. 

“Additional Securities” means any additional REIT Shares (other than REIT Shares issued in connection with an exchange
pursuant to Section 8.4 hereof) or rights, options, warrants or convertible or exchangeable securities containing the right to subscribe for or purchase REIT Shares. 

“Administrative Expenses” means (i) all administrative and operating costs and expenses incurred by the Partnership,
(ii) those administrative costs and expenses of the General Partner, including any salaries or other payments to directors, officers or employees of the General Partner, and any accounting and legal expenses of the General Partner, which
expenses, the Partners have agreed, are expenses of the Partnership and not the General Partner, and (iii ) to the extent not included in clause (ii) above, REIT Expenses; provided, however, that Administrative Expenses shall not include
any administrative costs and expenses incurred by the General Partner that are attributable to Properties or partnership interests in a Subsidiary Partnership that are owned by the General Partner directly. 

“Affiliate” means, (i) any Person that, directly or indirectly, controls or is controlled by or is under common control
with such Person, (ii) any other Person that owns, beneficially, directly or indirectly, 10% or more of the outstanding capital stock, shares or equity interests of such Person, or (iii) any officer, director, employee, partner or trustee
of such Person or any Person controlling, controlled by or under common control with such Person (excluding trustees and persons serving in similar capacities who are not otherwise an Affiliate of such Person). For the purposes of this definition,
“control” (including the correlative meanings of the terms “controlled by” and “under common control with”), 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 and policies of such Person, through the ownership of voting securities or partnership interests or otherwise. 

“Agreed Value” means the fair market value of a Partner’s non-cash Capital Contribution as of the date of contribution
as agreed to by such Partner and the General Partner. The names and addresses of the Partners, number of Partnership Units issued to each Partner, and the Agreed Value of non-cash Capital Contributions as of the date of contribution is set forth on
Exhibit A hereto. 
 “Agreement “ means this Agreement of Limited Partnership, as amended, modified supplemented or
restated from time to time, as the context requires. 

  
 2 

 “Articles of Incorporation” means the Declaration of Trust of the General
Partner filed with the Maryland State Department of Assessments and Taxation, as amended or restated from time to time. 
 “Capital
Account” has the meaning provided in Section 4.4 hereof. 
 “Capital Contribution” means the total amount of
cash, cash equivalents, and the Agreed Value of any Property or other asset (other than cash) contributed or agreed to be contributed, as the context requires, to the Partnership by each Partner pursuant to the terms of this Agreement. Any reference
to the Capital Contribution of a Partner shall include the Capital Contribution made by a predecessor holder of the Partnership Interest of such Partner. 

“Carrying Value” means, with respect to any asset of the Partnership, the asset’s adjusted basis for federal income tax
purposes or, in the case of any asset contributed to the Partnership, the fair mark et value of such asset at the time of contribution, except that the Carrying Values of all assets may, at the discretion of the General Partner, be adjusted to equal
their respective fair market values (as determined by the General Partner), in accordance with the rules set forth in Regulations Section 1.704-1(b)(2)(iv)(f), as provided for in Section 4.4 hereof.
In the case of any asset of the Partnership that has a Carrying Value that differs from its adjusted tax basis, the Carrying Value shall be adjusted by the amount of depreciation, depletion and amortization calculated for purposes of the definition
of Profit and Loss rather than the amount of depreciation, depletion and amortization determined for federal income tax purposes. 

“Cash Amount” means an amount of cash per Partnership Unit equal to the Value of the REIT Shares Amount on the date of
receipt by the General Partner of a Notice of Exchange. 
 “Certificate” means any instrument or document that is required
under the laws of the State of Delaware, or any other jurisdiction in which the Partnership conducts business, to be signed and sworn to by the Partners of the Partnership (either by themselves or pursuant to the power-of-attorney granted to the
General Partner in Section 8.2 hereof) and filed for recording in the appropriate public offices within the State of Delaware or such other jurisdiction to perfect or maintain the Partnership as a limited partnership, to effect the admission,
withdrawal, or substitution of any Partner of the Partnership, or to protect the limited liability of the Limited Partners as limited partners under the laws of the State of Delaware or such other jurisdiction. 

“Code” means the Internal Revenue Code of 1986, as amended, and as hereafter amended from time to time. Reference to any
particular provision of the Code shall mean that provision in the Code at the date hereof and any successor provision of the Code. 

“Commission” means the U.S. Securities and Exchange Commission. 

“Conversion Factor” means 1.0, provided that in the event that the General Partner (i) declares or pays a
dividend on its outstanding REIT Shares in REIT Shares or makes a distribution to all holders of its outstanding REIT Shares in REIT Shares, (ii) subdivides its outstanding REIT Shares, or (iii) combines its outstanding REIT Shares into a
smaller number of REIT Shares, the Conversion Factor shall be adjusted by multiplying the Conversion Factor by a fraction, the numerator of which shall be the number of REIT Shares issued and outstanding on the record date for such dividend,
distribution, subdivision or combination (assuming for such 

  
 3 

 
purposes that such dividend, distribution, subdivision or combination has occurred as of such time), and the denominator of which shall be the actual number of REIT Shares (determined without the
above assumption) issued and outstanding on such date and, provided further, that in the event that an entity other than an Affiliate of the General Partner shall become General Partner pursuant to any merger, consolidation or combination of
the General Partner with or into another entity (the “Successor Entity”), the Conversion Factor shall be adjusted by multiplying the Conversion Factor by the number of shares of the Successor Entity into which one REIT Share is
converted pursuant to such merger, consolidation or combination, determined as of the date of such merger, consolidation or combination. Any adjustment to the Conversion Factor shall become effective immediately after the effective date of such
event retroactive to the record date, if any, for such event; provided, however, that if the General Partner receives a Notice of Exchange after the record date, but prior to the effective date of such dividend, distribution, subdivision or
combination, the Conversion Factor shall be determined as if the General Partner had received the Notice of Exchange immediately prior to the record date for such dividend, distribution, subdivision or combination. 

“Event of Bankruptcy” as to any Person means the filing of a petition for relief as to such Person as debtor or bankrupt
under the Bankruptcy Code of 1978 or similar provision of law of any jurisdiction (except if such petition is contested by such Person and has been dismissed within 90 days); insolvency or bankruptcy of such Person as finally determined by a court
proceeding; filing by such Person of a petition or application to accomplish the same or for the appointment of a receiver or a trustee for such Person or a substantial part of his assets; commencement of any proceedings relating to such Person as a
debtor under any other reorganization, arrangement, insolvency, adjustment of debt or liquidation law of any jurisdiction, whether now in existence or hereinafter in effect, either by such Person or by another, provided that if such
proceeding is commenced by another, such Person indicates his approval of such proceeding, consents thereto or acquiesces therein, or such proceeding is contested by such Person and has not been finally dismissed within 90 days. 

“Exchange Right” has the meaning provided in Section 8.4(a) hereof. 

“Exchanging Partner” has the meaning provided in Section 8.4(a) hereof. 

“General Partner” means Americold Realty Trust, a Maryland real estate investment trust, and any Person who becomes a
substitute or additional General Partner as provided herein, and any of their successors as General Partner. 
 “General Partnership
Interest” means a Partnership Interest held by the General Partner that is a general partnership interest. 

“Indemnitee” means (i) any Person made a party to a proceeding by reason of its status as the General Partner or a
director, officer or employee of the General Partner or the Partnership, and (ii) such other Persons (including Affiliates of the General Partner or the Partnership) as the General Partner may designate from time to time, in its sole and
absolute discretion. 
 “Independent Director” means a director of the General Partner who is not an officer or employee of
the General Partner, any Affiliate of an officer or employee or any Affiliate of (i)

  
 4 

 
any lessee of any property of the General Partner or any Subsidiary of the General Partner, (ii) any Subsidiary of the General Partner, or (iii) any partnership that is an Affiliate of
the General Partner. 
 “Limited Partner” means any Person named as a Limited Partner on Exhibit A hereto, and any Person
who becomes a Substitute Limited Partner, in such Person’s capacity as a Limited Partner in the Partnership. 
 “Limited
Partnership Interest” means the ownership interest of a Limited Partner in the Partnership at any particular time, including the right of such Limited Partner to any and all benefits to which such Limited Partner may be entitled as provided
in this Agreement and in the Act, together with the obligations of such Limited Partner to comply with all the provisions of this Agreement and of such Act. 

“Loss” has the meaning provided in Section 5.1(g) hereof. 

“Minimum Limited Partnership Interest” means the lesser of (i) 1% or (ii) if the total Capital Contributions to the
Partnership exceeds $50 million, 1% divided by the ratio of the total Capital Contributions to the Partnership to $50 million; provided, however, that the Minimum Limited Partnership Interest shall not be less than 0.2% at any time. 

“Notice of Exchange” means the Notice of Exercise of Exchange Right substantially in the form attached as Exhibit B
hereto. 
 “NYSE” means the New York Stock Exchange. 

“Offer” has the meaning set forth in Section 7.1(c) hereof. 

“Partner” means any General Partner or Limited Partner. 

“Partner Nonrecourse Debt Minimum Gain” has the meaning set forth in Regulations Section 1.704-2(i). A Partner’s
share of Partner Nonrecourse Debt Minimum Gain shall be determined in accordance with Regulations Section 1.704-2(i)(5). 

“Partnership” means Americold Realty Operating Partnership, L.P., a Delaware limited partnership. 

“Partnership Interest” means an ownership interest in the Partnership held by either a Limited Partner or the General Partner
and includes any and all benefits to which the holder of such a Partnership Interest may be entitled as provided in this Agreement, together with all obligations of such Person to comply with the terms and provisions of this Agreement. 

“Partnership Minimum Gain” has the meaning set forth in Regulations Section 1.704-2(d). In accordance with Regulations
Section 1.704-2(d), the amount of Partnership Minimum Gain is determined by first computing, for each Partnership nonrecourse liability, any gain the Partnership would realize if it disposed of the property subject to that liability for no
consideration other than full satisfaction of the liability, and then aggregating the separately 

  
 5 

 
computed gains. A Partner’s share of Partnership Minimum Gain shall be determined in accordance with Regulations Section 1.704-2(g)(1). 

“Partnership Record Date” means the record date established by the General Partner for the distribution of cash pursuant to
Section 5.2 hereof, which record date shall be the same as the record date established by the General Partner for a distribution to its stockholders of some or all of its portion of such distribution. 

“Partnership Unit” means a fractional, undivided share of the Partnership Interests of all Partners issued hereunder. The
allocation of Partnership Units among the Partners shall be as set forth on Exhibit A hereto, as such Exhibit may be amended from time to time. 

“Percentage Interest” means the percentage ownership interest in the Partnership of each Partner, as determined by dividing
the Partnership Units owned by a Partner by the total number of Partnership Units then outstanding. The Percentage Interest of each Partner shall be as set forth on Exhibit A hereto, as such Exhibit may be amended from time to time. 

“Person” means any individual, partnership, limited liability company, corporation, joint venture, trust or other entity.

 “Profit” has the meaning provided in Section 5.1(g) hereof. 

“Property” means any warehouse or industrial property or other investment in which the Partnership holds an ownership
interest. 
 “Publicly Traded” means listed or admitted to trading on the NYSE, the American Stock Exchange, The NASDAQ
Global Select Market, The NASDAQ Global Market or another national securities exchange, or any successor to any of the foregoing. 

“Regulations “ means the Federal income tax regulations promulgated under the Code, as amended and as hereafter amended from
time to time. Reference to any particular provision of the Regulations shall mean that provision of the Regulations on the date hereof and any successor provision of the Regulations. 

“Regulatory Allocations” has the meaning set forth in Section 5.1(h) hereof. 

“REIT” means a real estate investment trust under Sections 856 through 860 of the Code. 

“REIT Expenses” means (i) costs and expenses relating to the formation and continuity of existence and operation of the
General Partner and any Subsidiaries thereof (which Subsidiaries shall, for purposes hereof, be included within the definition of General Partner), including taxes, fees and assessments associated therewith, any and all costs, expenses or fees
payable to any director, officer, or employee of the General Partner, (ii) costs and expenses relating to any public offering and registration of securities by the General Partner and all statements, reports, fees and expenses incidental
thereto, including, without limitation, underwriting discounts and selling commissions applicable to any such offering of securities, and any costs and expenses associated with any claims made by any holders of such securities or any underwriters or
placement agents thereof, (iii) costs and expenses associated with any repurchase 

  
 6 

 
of any securities by the General Partner, (iv) costs and expenses associated with the preparation and filing of any periodic or other reports and communications by the General Partner under
federal, state or local laws or regulations, including filings with the Commission, (v) costs and expenses associated with compliance by the General Partner with laws, rules and regulations promulgated by any regulatory body, including the
Commission and any securities exchange, (vi) costs and expenses associated with any 401(k) plan, incentive plan, bonus plan or other plan providing for compensation for the employees of the General Partner, (vii) costs and expenses
incurred by the General Partner relating to any issuing or redemption of Partnership Interests, and (viii) all other operating or administrative costs of the General Partner incurred in the ordinary course of its business on behalf of or in
connection with the Partnership. 
 “REIT Share” means a common share of beneficial interest in the General Partner (or
successor entity, as the case may be). 
 “REIT Shares Amount” mean s a number of REIT Shares equal to the product of the
number of Partnership Units offered for exchange by an Exchanging Partner, multiplied by the Conversion Factor as adjusted to and including the Specified Exchange Date; provided that in the event the General Partner issues to all holders of
REIT Shares rights, options, warrants or convertible or exchangeable securities entitling the stockholders to subscribe for or purchase REIT Shares, or any other securities or property (collectively, the “rights”), and the rights
have not expired at the Specified Exchange Date, then the REIT Shares Amount shall also include the rights issuable to a holder of the REIT Shares Amount of REIT Shares on the record date fixed for purposes of determining the holders of REIT Shares
entitled to rights. 
 “Securities Act” means the Securities Act of 1933, as amended and the rules and regulations
promulgated thereunder. 
 “Service” means the United States Internal Revenue Service. 

“Specified Exchange Date” means: (i) if the REIT Shares are not Publicly Traded on the date on which the Notice of
Exchange is received by the General Partner, the first business day of the month that is at least 60 business days after the receipt by the General Partner of the Notice of Exchange or (ii) if the REIT Shares are Publicly Traded on the date on
which the Notice of Exchange is received by the General Partner, the tenth business day after the receipt by the General Partner of the Notice of Exchange. 

“Subsidiary” means, with respect to any Person, any corporation or other entity, including partnerships of which a majority
of (i) the voting power of the voting equity securities or (ii) the outstanding equity interests is owned, directly or indirectly, by such Person. 

“Subsidiary Partnership” means any partnership of which the partnership interests therein are owned by the General Partner or
a direct or indirect Subsidiary of the General Partner. 
 “Substitute Limited Partner” means any Person admitted to the
Partnership as a Limited Partner pursuant to Section 9.3 hereof. 
 “Successor Entity” has the meaning provided in the
definition of “Conversion Factor” contained herein. 

  
 7 

 “Survivor” has the meaning set forth in Section 7.1(d) hereof. 

“Transaction” has the meaning set forth in Section 7.1(c) hereof. 

“Transfer” has the meaning set forth in Section 9.2(a) hereof. 

“Unitholders” means all holders of Partnership Interests. 

“Value” means, with respect to any security, the average of the daily market price of such security for the ten consecutive
trading days immediately preceding the date of such valuation. The market price for each such trading day shall be: (i) if the security is listed or admitted to trading on any securities exchange or the NYSE, the sale price, regular way, on
such day, or if no such sale takes place on such day, the average of the closing bid and asked prices, regular way, on such day, (ii) if the security is not listed or admitted to trading on any securities exchange or the NYSE, the last reported
sale price on such day or, if no sale takes place on such day, the average of the closing bid and asked prices on such day, as reported by a reliable quotation source designated by the General Partner, or (iii) if the security is not listed or
admitted to trading on any securities exchange or the NYSE and no such last reported sale price or closing bid and asked prices are available, the average of the reported high bid and low asked prices on such day, as reported by a reliable quotation
source designated by the General Partner, or if there shall be no bid and asked prices on such day, the average of the high bid and low asked prices, as so reported, on the most recent day (not more than ten days prior to the date in question) for
which prices have been so reported; provided that if there are no bid and asked prices reported during the ten days prior to the date in question, the value of the security shall be determined by the General Partner acting in good faith on
the basis of such quotations and other information as it considers, in its reasonable judgment, appropriate. In the event the security includes any additional rights, then the value of such rights shall be determined by the General Partner acting in
good faith on the basis of such quotations and other information as it considers, in its reasonable judgment, appropriate. 
 PARTNERSHIP
FORMATION AND IDENTIFICATION 
 Formation. The Partnership was formed as a limited partnership pursuant to the Act and all other
pertinent laws of the State of Delaware, for the purposes and upon the terms and conditions set forth in this Agreement. 
 Name, Office
and Registered Agent. The name of the Partnership is Americold Realty Operating Partnership, L.P. The specified office and place of business of the Partnership shall be 10 Glenlake Parkway, South Tower, Suite 800, Atlanta, GA 30328. The General
Partner may at any time change the location of such office, provided the General Partner gives notice to the other Partners of any such change. The name and address of the Partnership’s registered agent is The Corporation Trust Company,
Corporation Trust Center, 1209 Orange Street, Wilmington, New Castle County, Delaware 19801. The sole duty of the registered agent as such is to forward to the Partnership any notice that is served on him as registered agent. 

  
 8 

 Partners. 

The General Partner of the Partnership is Americold Realty Trust, a Maryland real estate investment trust. Its principal place of business is
the same as that of the Partnership. 
 The Limited Partners are those Persons identified as Limited Partners on Exhibit A hereto, as
amended from time to time. 
 Term and Dissolution. 

The term of the Partnership shall continue in full force and effect until December 31, 2040, except that the Partnership shall be
dissolved upon the first to occur of any of the following events: 
 The occurrence of an Event of Bankruptcy as to a General Partner or the
dissolution, death, removal or withdrawal of a General Partner unless the business of the Partnership is continued pursuant to Section 7.3(b) hereof; provided that if a General Partner is on the date of such occurrence a partnership, the
dissolution of such General Partner as a result of the dissolution, death, withdrawal, removal or Event of Bankruptcy of a partner in such partnership shall not be an event of dissolution of the Partnership if the business of such General Partner is
continued by the remaining partner or partners, either alone or with additional partners, and such General Partner and such partners comply with any other applicable requirements of this Agreement; 

The passage of 90 days after the sale or other disposition of all or substantially all of the assets of the Partnership (provided that
if the Partnership receives an installment obligation as consideration for such sale or other disposition, the Partnership shall continue, unless sooner dissolved under the provisions of this Agreement, until such time as such note or notes are paid
in full); 
 The exchange of all Limited Partnership Interests (other than any of such interests held by the General Partner or Affiliates
of the General Partner) for REIT Shares or the securities of any other entity; or 
 The election by the General Partner that the
Partnership should be dissolved. 
 Upon dissolution of the Partnership (unless the business of the Partnership is continued pursuant to
Section 7.3(b) hereof), the General Partner (or its trustee, receiver, successor or legal representative) shall amend or cancel the Certificate and liquidate the Partnership’s assets and apply and distribute the proceeds thereof in
accordance with Section 5.6 hereof. Notwithstanding the foregoing, the liquidating General Partner may either 

  
 9 

 
(i) defer liquidation of, or withhold from distribution for a reasonable time, any assets of the Partnership (including those necessary to satisfy the Partnership’s debts and obligations),
or (ii) distribute the assets to the Partners in kind. 
 Filing of Certificate and Perfection of Limited Partnership. The
General Partner shall execute, acknowledge, record and file at the expense of the Partnership, any and all amendments to the Certificate and all requisite fictitious name statements and notices in such places and jurisdictions as may be necessary to
cause the Partnership to be treated as a limited partnership under, and otherwise to comply with, the laws of each state or other jurisdiction in which the Partnership conducts business. 

Certificates Describing Partnership Units. At the request of a Limited Partner, the General Partner, at its option, may issue a
certificate summarizing the terms of such Limited Partner’s interest in the Partnership, including the number of Partnership Units owned and the Percentage Interest represented by such Partnership Units as of the date of such certificate. Any
such certificate (i) shall be in form and substance as approved by the General Partner, (ii) shall not be negotiable and (iii) shall bear a legend to the following effect: 

This certificate is not negotiable. The Partnership Units represented by this certificate are governed by and transferable only in accordance
with the provisions of the Agreement of Limited Partnership of Americold Realty Operating Partnership, L.P., as amended from time to time. 

BUSINESS OF THE PARTNERSHIP 

The purpose and nature of the business to be conducted by the Partnership is (i) to conduct any business that may be lawfully conducted
by a limited partnership organized pursuant to the Act, provided, however, that such business shall be limited to and conducted in such a manner as to permit the General Partner at all times to qualify as a REIT, unless the General Partner
otherwise ceases to qualify as a REIT, and in a manner such that the General Partner will not be subject to any taxes under Section 857 or 4981 of the Code, (ii) to enter into any partnership, joint venture or other similar arrangement to
engage in any of the foregoing or the ownership of interests in any entity engaged in any of the foregoing and (iii) to do anything necessary or incidental to the foregoing. In connection with the foregoing, and without limiting the General
Partner’s right in its sole and absolute discretion to cease qualifying as a REIT, the Partners acknowledge that the General Partner’s current status as a REIT and the avoidance of income and excise taxes on the General Partner inures to
the benefit of all the Partners and not solely to the General Partner. Notwithstanding the foregoing, the Limited Partners agree that the General Partner may terminate its status as a REIT under the Code at any time to the full extent permitted
under the Articles of Incorporation. The General Partner on behalf of the Partnership shall also be empowered to do any and all acts and things necessary or prudent to ensure that the Partnership will not be classified as a “publicly traded
partnership” for purposes of Section 7704 of the Code. 

  
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 CAPITAL CONTRIBUTIONS AND ACCOUNTS 

Capital Contributions. The General Partner and the initial Limited Partner have made Capital Contributions to the Partnership in
exchange for the Partnership Interests set forth opposite their names on Exhibit A hereto, as such Exhibit may be amended from time to time. 

Additional Capital Contributions and Issuances of Additional Partnership Interests. Except as provided in this Section 4.2 or in
Section 4.3 hereof, the Partners shall have no right or obligation to make any additional Capital Contributions or loans to the Partnership. The General Partner may contribute additional capital to the Partnership, from time to time, and
receive additional Partnership Interests in respect thereof, in the manner contemplated in this Section 4.2. 
 Issuances of
Additional Partnership Interests. 
 General. The General Partner is hereby authorized to cause the Partnership to issue such
additional Partnership Interests in the form of Partnership Units for any Partnership purpose at any time or from time to time, to the Partners (including the General Partner) or to other Persons for such consideration and on such terms and
conditions as shall be established by the General Partner in its sole and absolute discretion, all without the approval of any Limited Partners. Any additional Partnership Interests issued thereby may be issued in one or more classes, or one or more
series of any of such classes, with such designations, preferences and relative, participating, optional or other special rights, powers and duties, including rights, powers and duties senior to Limited Partnership Interests, all as shall be
determined by the General Partner in its sole and absolute discretion and without the approval of any Limited Partner, subject to Delaware law, including, without limitation, (i) the allocations of items of Partnership income, gain, loss,
deduction and credit to each such class or series of Partnership Interests; (ii) the right of each such class or series of Partnership Interests to share in Partnership distribution s; and (iii) the rights of each such class or series of
Partnership Interests upon dissolution and liquidation of the Partnership; provided, however, that no additional Partnership Interests shall be issued to the General Partner unless: 

(A) the additional Partnership Interests are issued in connection with an issuance of REIT Shares of or other interests in the General
Partner, which shares or interests have designations, preferences and other rights, all such that the economic interests are substantially similar to the designations, preferences and other rights of the additional Partnership Interests issued to
the General Partner by the 

  
 11 

 
Partnership in accordance with this Section 4.2 and (B) the General Partner shall make a Capital Contribution to the Partnership in an amount equal to the proceeds raised in connection
with the issuance of such REI T Shares of or other interests in the General Partner; 
 the additional Partnership Interests are issued in
exchange for property owned by the General Partner with a fair market value, as determined by the General Partner, in good faith, equal to the value of the Partnership Interests; or 

the additional Partnership Interests are issued to all Partners holding Partnership Units in proportion to their respective Percentage
Interests. 
 Without limiting the foregoing, the General Partner is expressly authorized to cause the Partnership to issue Partnership
Units for less than fair market value, so long as the General Partner concludes in good faith that such issuance is in the best interests of the General Partner and the Partnership. 

Upon Issuance of Additional Securities. The General Partner shall not issue any Additional Securities other than to all holders of REIT
Shares, unless (A) the General Partner shall cause the Partnership to issue to the General Partner, as the General Partner may designate, Partnership Interests or rights, options, warrants or convertible or exchangeable securities of the
Partnership having designations, preferences and other rights, all such that the economic interests are substantially similar to those of the Additional Securities, and (B) the General Partner contributes the proceed s from the issuance of such
Additional Securities and from any exercise of rights contained in such Additional Securities, directly and through the General Partner, to the Partnership; provided, however, that the General Partner is allowed to issue Additional Securities in
connection with an acquisition of a property to be held directly by the General Partner, but if and only if, such direct acquisition and issuance of Additional Securities have been approved and determined to be in the best interests of the General
Partner and the Partnership by a majority of the General Partner’s board of directors. Without limiting the foregoing, the General Partner is expressly authorized to issue Additional Securities for less than fair market value, and to cause the
Partnership to issue to the General Partner corresponding Partnership Interests, so long as (x) the General Partner concludes in good faith that such issuance is in the best interests of the General Partner and the Partnership, including
without limitation, the issuance of REIT Shares and corresponding Partnership Units pursuant to an employee’s equity incentive plan or an employee 

  
 12 

 
share purchase plan providing for, as the case may be, purchases of or awards of REIT Shares at a discount from fair market value or employee stock options that have an exercise price that is
less than the fair market value of the REIT Shares, either at the time of issuance or at the time of exercise, and (y) the General Partner contributes all proceeds from such issuance to the Partnership. For example, in the event the General
Partner issues REIT Shares for a cash purchase price and contributes all of the proceeds of such issuance to the Partnership as required hereunder, the General Partner shall be issued a number of additional Partnership Units equal to the product of
(A) the number of such REIT Shares issued by the General Partner, the proceeds of which were so contributed, multiplied by (B) a fraction, the numerator of which is 100%, and the denominator of which is the Conversion Factor in effect on
the date of such contribution. 
 Certain Deemed Contributions of Proceeds of Issuance of REIT Shares. In connection with any and all
issuances of REIT Shares, the General Partner shall make Capital Contributions to the Partnership of the proceeds therefrom, provided that if the proceeds actually received and contributed by the General Partner are less than the gross
proceed s of such issuance as a result of any underwriter’s discount or other expenses paid or incurred in connection with such issuance, then the General Partner shall be deemed to have made Capital Contributions to the Partnership in the
aggregate amount of the gross proceeds of such issuance and the Partnership shall be deemed simultaneously to have paid such offering expenses in accordance with Section 6.5 hereof and in connection with the required issuance of additional
Partnership Units to the General Partner for such Capital Contributions pursuant to Section 4.2(a) hereof. 
 Minimum Limited
Partnership Interest. In the event that either an exchange pursuant to Section 8.4 hereof or additional Capital Contributions by the General Partner would result in the Limited Partners, in the aggregate, owning less than the Minimum
Limited Partnership Interest, the General Partner and the Limited Partner shall form another partnership and contribute sufficient Limited Partnership Interests together with such other Limited Partners so that the limited Partners of such
Partnership own at least the Minimum Limited Partnership Interest. 
 Additional Funding. If the General Partner determines that it
is in the best interests of the Partnership to provide for additional Partnership funds (“Additional Funds”) for any Partnership purpose, the General Partner may (i) cause the Partnership to obtain such funds from outside
borrowings, or (ii) elect to have the General Partner or any of its Affiliates provide such Additional Funds to the Partnership through loans or otherwise. 

Capital Accounts. A separate capital account (a “Capital Account”) shall be established and maintained for each
Partner in accordance with Regulations Section 1.704-1(b)(2)(iv). If (i)

  
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a new or existing Partner acquires an additional Partnership Interest in exchange for more than a de minimis Capital Contribution, (ii) a new or existing Partner acquires more than a de
minimis additional Partnership Interest as consideration for the provision of services to or for the benefit of the Partnership in a Partner capacity or in anticipation of becoming a partner, (iii) the Partnership distributes to a Partner more
than a de minimis amount of Partnership property or money as consideration for a Partnership Interest, or (iv) the Partnership is liquidated within the meaning of Regulations Section 704-l(b)(2)(iv)(g), the General Partner shall revalue
the property of the Partnership to its fair market value (as determined by the General Partner, in its sole and absolute discretion, and taking into account Section 7701 (g) of the Code) in accordance with Regulations Section .704-1 (b)(2)(iv)(f). When the Partnership’s property is revalued by the General Partner, the Capital Accounts of the Partners shall be adjusted in accordance with Regulations Sections 1.704-1(b)(2)(iv)(f) and (g), which generally require such Capital Accounts to be adjusted to reflect the manner in which the unrealized gain or loss inherent in such property (that has not been
reflected in the Capital Accounts previously) would be allocated among the Partners pursuant to Section 5.1 hereof (as determined by the General Partner, in its sole and absolute discretion, and taking into account Section 7701(g) of the
Code) on the date of the revaluation. 
 Percentage Interests. If the number of outstanding Partnership Units increases or decreases
during a taxable year, each Partner’s Percentage Interest shall be adjusted by the General Partner effective as of the effective date of each such increase or decrease to a percentage equal to the number of Partnership Units held by such
Partner divided by the aggregate number of Partnership Units outstanding after giving effect to such increase or decrease. If the Partners’ Percentage Interests are adjusted pursuant to this Section 4.5, the Profits and Losses for the
taxable year in which the adjustment occurs shall be allocated between the part of the year ending on the effective date of such adjustment and the part of the year beginning on the following day either (i) as if the taxable year had ended on
the date of the adjustment or (ii) based on the number of days in each part. The General Partner, in its sole and absolute discretion, shall determine which method shall be used to allocate Profits and Losses for the taxable year in which the
adjustment occurs. The allocation of Profits and Losses for the earlier part of the year shall be based on the Percentage Interests before adjustment, and the allocation of Profits and Losses for the later part shall be based on the adjusted
Percentage Interests. 
 No Interest on Contributions. No Partner shall be entitled to interest on its Capital Contribution. 

Return of Capital Contributions. No Partner shall be entitled to withdraw any part of its Capital Contribution or its Capital Account
or to receive any distribution from the Partnership, except as specifically provided in this Agreement. Except as otherwise provided herein, there shall be no obligation to return to any Partner or withdrawn Partner any part of such Partner’s
Capital Contribution for so long as the Partnership continues in existence. 
 No Third Party Beneficiary. No creditor or other third
party having dealings with the Partnership shall have the right to enforce the right or obligation of any Partner to make Capital Contributions or loans or to pursue any other right or remedy hereunder or at law or in equity, it being understood and
agreed that the provisions of this Agreement shall be solely for the benefit 

  
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of, and may be enforced solely by, the parties hereto and their respective successors and assigns. None of the rights or obligations of the Partners herein set forth to make Capital Contribution
s or loans to the Partnership shall be deemed an asset of the Partnership for any purpose by any creditor or other third party, nor may such rights or obligations be sold, transferred or assigned by the Partnership or pledged or encumbered by the
Partnership to secure any debt or other obligation of the Partnership or of any of the Partners. In addition, it i s the intent of the parties hereto that no distribution to any Limited Partner shall be deemed a return of money or other property in
violation of the Act. However, if any court of competent jurisdiction holds that, notwithstanding the provisions of this Agreement, any Limited Partner is obligated to return such money or property, such obligation shall be the obligation of such
Limited Partner and not of the General Partner. Without limiting the generality of the foregoing, a deficit Capital Account of a Partner shall not be deemed to be a liability of such Partner nor an asset or property of the Partnership. 

PROFITS AND LOSSES; DISTRIBUTIONS 

Allocation of Profit and Loss. 

General. Profit and Loss (or items thereof) of the Partnership for each fiscal year or other applicable period of the Partnership shall
be allocated among the Unitholders in accordance with their respective Percentage Interests. 
 General Partner Gross Income
Allocation. There shall be specially allocated to the General Partner an amount of (i) first, items of Partnership income and (ii) second, items of Partnership gain during each fiscal year or other applicable period, before any other
allocations are made hereunder, in an amount equal to the excess, if any, of the cumulative distributions made to the General Partner under Section 6.5(b) hereof over the cumulative allocations of Partnership income and gain to the General
Partner under this Section 5.1(b). 
 Nonrecourse Deductions; Minimum Gain Chargeback. Notwithstanding any provision to the
contrary, (i) any expense of the Partnership that is a “nonrecourse deduction” within the meaning of Regulations Section 1.704-2(b)(1) shall be allocated in accordance with the Partners’ respective Percentage Interests,
(ii) any expense of the Partnership that is a “partner nonrecourse deduction” within the meaning of Regulations Section 1.704-2(i)(2) shall be allocated to the Partner that bears the “economic risk of loss” with respect
to the liability to which such deductions are attributable in accordance with Regulations Section 1.704-2(i)(l), (iii) if there is a net decrease in Partnership Minimum Gain within the meaning of
Regulations Section 1.704-2(f)(1) for any Partnership taxable year, then, subject to the exceptions set forth in Regulations Section 1.704-2(f)(2),(3), (4) and (5), items of gain and income
shall be allocated among the Partners in accordance with Regulations Section 1.704-2(f) and the ordering rules 

  
 15 

 
contained in Regulation s Section 1.704-2(j), and (iv) if there is a net decrease in Partner Nonrecourse Debt Minim um Gain within the meaning of Regulations Section 1.704-2(i)(4)
for any Partnership taxable year, then, subject to the exceptions set forth in Regulations Section I .704-(2)(g), items of gain and income shall be allocated among the Partners in accordance with Regulations Section 1.704-2(i)(4) and the
ordering rules contained in Regulations Section 1.704-2(j). A Partner’s “interest in partnership profits” for purposes of determining its share of the excess nonrecourse liabilities of the Partnership within the meaning of
Regulations Section 1.752-3(a)(3) shall be such Partner’s Percentage Interest. 
 Qualified Income Offset. If a Partner
unexpectedly receives in any taxable year an adjustment, allocation, or distribution described in subparagraph s (4), (5), or (6) of Regulations Section 1.704-1(b)(2)(ii)(d) that causes or increases a deficit balance in such Partner’s
Capital Account that exceeds the sum of such Partner’s shares of Partnership Minimum Gain and Partner Nonrecourse Debt Minim um Gain, as determined in accordance with Regulations Sections 1.704-2(g)(l) and
1.704-2(i)(5), such Partner shall be allocated specially for such taxable year (and, if necessary, later taxable years) items of income and gain in an amount and manner sufficient to eliminate such deficit
Capital Account balance as quickly as possible as provided in Regulations Section 1.704-1(b)(2)(ii)(d). This Section 5.1(d) is intended to constitute a “qualified income offset” under Section 1.704-1(b)(2)(ii)(d) of the
Regulations and shall be interpreted consistently therewith. 
 Capital Account Deficits. Loss (or items of Loss) shall not be
allocated to a Limited Partner to the extent that such allocation would cause or increase a deficit in such Partner’s Capital Account at the end of any fiscal year (after reduction to reflect the items described in Regulations
Section 1.704- l(b)(2)(ii)(d)(4), (5) and (6)) to exceed the sum of such Partner’s shares of Partnership Minim um Gain and Partner Nonrecourse Debt Minimum Gain, as determined in accordance with Regulations Sections 1.704-2(g)(l)
and 1.704-2(i)(5). Any Loss in excess of that limitation shall be allocated to the General Partner. After the occurrence of an allocation of Loss to the General Partner in accordance with this Section 5.1(e), to the extent permitted by
Regulation s Section 1.704-1(b), Profit shall be allocated to such Partner in an amount necessary to offset the Loss previously allocated to such Partner under this Section 5.1(e). 

Allocations Between Transferor and Transferee. If a Partner transfers any part or all of its Partnership Interest, the distributive
shares of the various items of Profit and Loss allocable among the Partners during such fiscal year of the Partnership shall be allocated between the transferor and the transferee Partner either (i) as if the Partnership’s fiscal year had
ended on the date of the transfer, or (ii) based on the number of days of such fiscal year that 

  
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each was a Partner without regard to the results of Partnership activities in the respective portions of such fiscal year in which the transferor and the transferee were Partners. The General
Partner, in its sole and absolute discretion, shall determine which method shall be used to allocate the distributive shares of the various item s of Profit and Loss between the transferor and the transferee Partner. 

Definition of Profit and Loss. “Profit” and “Loss” and any items of income, gain, expense, or loss
referred to in this Agreement shall be determined in accordance with federal income tax accounting principles, as modified by Regulations Section 1.704-1(b)(2)(iv), except that Profit and Loss shall not include items of income, gain and expense
that are specially allocated pursuant to Sections 5.1(b), 5.1(c), 5.1(d), 5.1(e), or 5.1(i). All allocations of Profit and Loss (and all items contained therein) for federal income tax purposes shall be identical to all allocation s of such items
set forth in this Section 5.1, except as otherwise required by Section 704(c) of the Code and Regulations Section 1.704-1(b)(4). The General Partner shall have the authority to elect the method to be used by the Partnership for
allocating items of income, gain, and expense as required by Section 704(c) of the Code including a method that may result in a Partner receiving a disproportionately larger share of the Partnership tax depreciation deductions, and such
election shall be binding on all Partners. 
 Curative Allocations. The allocations set forth in Section 5.1(c), (d) and
(e) of this Agreement (the “Regulatory Allocations”) are intended to comply with certain requirements of the Regulations. The General Partner is authorized to offset all Regulatory Allocation s either with other Regulatory
Allocations or with special allocations of other items of Partnership income, gain, loss or deduction pursuant to this Section 5.1(h). Therefore, notwithstanding any other provision of this Section 5.1 (other than the Regulatory
Allocations), the General Partner shall make such offsetting special allocations of Partnership income, gain, loss or deduction in whatever manner it deems appropriate so that, after such offsetting allocations are made, each Partner’s Capital
Account is, to the extent possible, equal to the Capital Account balance such Partner would have had if the Regulatory Allocations were not part of this Agreement and all Partnership items were allocated pursuant to Section 5.1(a), (b), (d),
(f), and (i) hereof. 
 Forfeiture Allocations. Upon a forfeiture of any unvested Partnership Interest by any Partner, gross
items of income, gain, loss or deduction shall be allocated to such Partner if and to the extent required by final Regulations promulgated after the date of this Agreement to ensure that allocations made with respect to all unvested Partnership
Interests are recognized under Code Section 704(b). 

  
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 Distribution of Cash. 

The Partnership shall distribute cash on a quarterly (or, at the election of the General Partner, more frequent) basis, in an amount
determined by the General Partner in its sole and absolute discretion, to the Partners who are Partners on the Partnership Record Date with respect to such quarter (or other distribution period) in accordance with Section 5.2(b) below.
Distributions payable with respect to any Partnership Units that were not outstanding during the entire quarterly period in respect of which any distribution is made shall be pro rated based on the portion of the period that such Partnership Units
were outstanding. 
 Except for distributions pursuant to Section 5.6 hereof in connection with the dissolution and liquidation of the
Partnership and subject to the provisions of Sections 5.2(c), 5.2(d), 5.3 and 5.5 hereof, distribution s shall be made to the Unitholders in accordance with their respective Percentage Interests on the Partnership Record Date. 

Notwithstanding any other provision of this Agreement, the General Partner is authorized to take any action that it determines to be necessary
or appropriate to cause the Partnership to comply with any withholding requirements established under the Code or any other federal, state or local law including, without limitation, pursuant to Sections 1441, 1442, 1445 and 1446 of the Code. To the
extent that the Partnership is required to withhold and pay over to any taxing authority any amount resulting from the allocation or distribution of income to any Partner or assignee (including by reason of Section 1446 of the Code), either
(i) if the actual amount to be distributed to the Partner equals or exceeds the amount required to be withheld by the Partnership, the amount withheld shall be treated as a distribution of cash in the amount of such withholding to such Partner,
or (ii) if the actual amount to be distributed to the Partner is less than the amount required to be withheld by the Partnership, the actual amount shall be treated as a distribution of cash in the amount of such withholding and the additional
amount required to be withheld shall be treated as a loan (a “Partnership Loan”) from the Partnership to the Partner on the day the Partnership pays over such amount to a taxing authority. A Partnership Loan shall be repaid through
withholding by the Partnership with respect to subsequent distributions to the applicable Partner or assignee. In the event that a Limited Partner (a “Defaulting Limited Partner”) fails to pay any amount owed to the Partnership with
respect to the Partnership Loan within 15 days after demand for payment thereof is made by the Partnership on the Limited Partner, the General Partner, in its sole and absolute discretion, may elect to make the payment to the Partnership on behalf
of such Defaulting Limited Partner. In such event, on the date of payment, the General Partner shall be deemed to have extended a loan (a “General Partner Loan”) to the Defaulting Limited Partner in the amount of the payment made by
the General Partner and shall succeed to all rights and remedies of the Partnership against the Defaulting Limited Partner as to that amount. Without limitation, the 

  
 18 

 
General Partner shall have the right to receive any distributions that otherwise would be made by the Partnership to the Defaulting Limited Partner until such time as the General Partner Loan has
been paid in full, and any such distributions so received by the General Partner shall be treated as having been received by the Defaulting Limited Partner and immediately paid to the General Partner. 

Any amounts treated as a Partnership Loan or a General Partner Loan pursuant to this Section 5.2(c) shall bear interest at the lesser of
(i) the base rate on corporate loans at large United States money center commercial banks, as published from time to time in The Wall Street Journal, or (ii) the maximum lawful rate of interest on such obligation, such interest to accrue
from the date the Partnership or the General Partner, as applicable, is deemed to extend the loan until such loan is repaid in full. 
 In
no event may a Partner receive a distribution of cash with respect to a Partnership Unit if such Partner is entitled to receive a cash distribution as the holder of record of a REIT Share for which all or part of such Partnership Unit has been or
will be exchanged. 
 REIT Distribution Requirements. The General Partner shall use its commercially reasonable efforts to cause the
Partnership to distribute amounts sufficient to enable the General Partner to make stockholder distributions that will allow the General Partner to (i) meet its distribution requirement for qualification as a REIT as set forth in
Section 857 of the Code and (ii) avoid any federal income or excise tax liability imposed by the Code. 
 No Right to
Distributions in Kind. No Partner shall be entitled to demand property other than cash in connection with any distributions by the Partnership. 

Limitations on Return of Capital Contributions. Notwithstanding an y of the provisions of this Article 5, no Partner shall have the
right to receive, and the General Partner shall not have the right to make, a distribution that includes a return of all or part of a Partner’s Capital Contributions, unless after giving effect to the return of a Capital Contribution, the sum
of all Partnership liabilities, other than the liabilities to a Partner for the return of his Capital Contribution, does not exceed the fair market value of the Partnership’s assets. 

Distributions upon Liquidation. Upon liquidation of the Partnership, after payment of, or adequate provision for, debts and obligations
of the Partnership, including any Partner loans, any remaining assets of the Partnership shall be distributed to all Partners in accordance with Section 5.2(b) hereof, but only to the extent of the positive balance of the Capital Account of
each Partner. For purposes of the preceding sentence, the Capital Account of each Partner shall be determined after all adjustments have been made in accordance with Sect ions 4.4, 5.1 and 5.2 resulting from Partnership operations and from all sales
and dispositions of all or any part of the Partnership’s assets. Notwithstanding any other provision of this Agreement, the amount by which the value, as determined in good faith by the General Partner, of any property other than cash to be
distributed in kind to the Partners exceeds or is less than the Carrying Value of such property shall, to the extent not otherwise recognized by the Partnership, be taken into account in computing Profit and Loss of the Partnership for purposes of
crediting or charging the Capital 

  
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Accounts of, and distributing proceeds to, the Partners, pursuant to this Agreement. To the extent deemed advisable by the General Partner, appropriate arrangements (including the use of a
liquidating trust) may be made to assure that adequate funds are available to pay any contingent debts or obligations. 
 Substantial
Economic Effect. It is the intent of the Partners that the allocations of Profit and Loss under this Agreement have substantial economic effect (or be consistent with the Partners’ interests in the Partnership in the case of the allocation
of losses attributable to nonrecourse debt) within the meaning of Section 704(b) of the Code as interpreted by the Regulations promulgated pursuant thereto. Article 5 and other relevant provisions of this Agreement shall be interpreted in a
manner consistent with such intent. 
 RIGHTS, OBLIGATIONS AND POWERS OF THE GENERAL PARTNER 

Management of the Partnership. 

Except as otherwise expressly provided in this Agreement, the General Partner shall have full, complete and exclusive discretion to manage and
control the business of the Partnership for the purposes herein stated, and shall make all decisions affecting the business and assets of the Partnership. Subject to the restrictions specifically contained in this Agreement, the powers of the
General Partner shall include, without limitation, the authority to take the following actions on behalf of the Partnership: 
 to acquire,
purchase, own, operate, lease and dispose of an y real property and any other property or assets including, but not limited to notes and mortgages, that the General Partner determines are necessary or appropriate or in the best interests of the
business of the Partnership; 
 to construct buildings and make other improvements on the properties owned or leased by the Partnership;

 to authorize, issue, sell, redeem or otherwise purchase any Partnership Interests or any securities (including secured and unsecured debt
obligations of the Partnership, debt obligations of the Partnership convertible into any class or series of Partnership Interests, or options, rights, warrants or appreciation rights relating to any Partnership Interests) of the Partnership; 

to borrow or lend money for the Partnership, issue or receive evidences of indebtedness in connection therewith, refinance, increase the
amount of, modify, amend or change the terms of, or extend the time for the payment of, any such indebtedness, and secure such indebtedness by mortgage, deed of trust, pledge or other lien on the Partnership’s assets; 

  
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 to pay, either directly or by reimbursement, for all operating costs and general administrative
expenses of the Partnership to third parties or to the General Partner or its Affiliates as set forth in this Agreement; 
 to guarantee or
become a co-maker of indebtedness of the General Partner or any Subsidiary thereof, refinance, increase the amount of, modify, amend or change the terms of, or extend the time for the payment of, any such guarantee or indebtedness, and secure such
guarantee or indebtedness by mortgage, deed of trust, pledge or other lien on the Partnership’s assets; 
 to use assets of the
Partnership (including, without limitation, cash on hand) for any purpose consistent with this Agreement, including, without limitation, payment, either directly or by reimbursement, of all operating costs and general administrative expenses of the
General Partner, the Partnership or any Subsidiary of either, to third parties or to the General Partner as set forth in this Agreement; 

to lease all or any portion of any of the Partnership’s assets, whether or not the terms of such leases extend beyond the termination
date of the Partnership and whether or not any portion of the Partnership’s assets so leased are to be occupied by the lessee, or, in turn, subleased in whole or in part to others, for such consideration and on such terms as the General Partner
may determine; 
 to prosecute, defend, arbitrate, or compromise any and all claims or liabilities in favor of or against the Partnership,
on such terms and in such manner as the General Partner may reasonably determine, and similarly to prosecute, settle or defend litigation with respect to the Partners, the Partnership, or the Partnership’s assets; 

to file applications, communicate, and otherwise deal with any and all governmental agencies having jurisdiction over, or in any way
affecting, the Partnership’s assets or any other aspect of the Partnership business; 
 to make or revoke any election permitted or
required of the Partnership by any taxing authority; 
 to maintain such insurance coverage for public liability, fire and casualty, and any
and all other insurance for the protection of the Partnership, for the conservation of Partnership assets, or for any other purpose convenient or beneficial to the Partnership, in such amounts and such types, as it shall determine from time to time;

  
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 to determine whether or not to apply any insurance proceeds for any property to the restoration
of such property or to distribute the same; 
 to establish one or more divisions of the Partnership, to hire and dismiss employees of the
Partnership or any division of the Partnership, and to retain legal counsel, accountants, consultants, real estate brokers, and such other persons, as the General Partner may deem necessary or appropriate in connection with the Partnership business
and to pay therefor such reasonable remuneration as the General Partner may deem reasonable and proper; 
 to retain other services of any
kind or nature in connection with the Partnership business, and to pay therefor such remuneration as the General Partner may deem reasonable and proper; 

to negotiate and conclude agreements on behalf of the Partnership with respect to any of the rights, powers and authority conferred upon the
General Partner; 
 to maintain accurate accounting records and to file promptly all federal, state and local income tax returns on behalf
of the Partnership; 
 to distribute Partnership cash or other Partnership assets in accordance with this Agreement; 

to form or acquire an interest in, and contribute property to, any further limited or general partnerships, joint ventures or other
relationships that it deems desirable (including, without limitation, the acquisition of interests in, and the contributions of property to, its Subsidiaries and any other Person in which it has an equity interest from time to time); 

to establish Partnership reserves for working capital, capital expenditures, contingent liabilities, or any other valid Partnership purpose;

 to merge, consolidate or combine the Partnership with or into another Person; 

to do any and all acts and things necessary or prudent to ensure that the Partnership will not be classified as a “publicly traded
partnership” for purposes of Section 7704 of the Code; and 
 to take such other action, execute, acknowledge, swear to or
deliver such other documents and instrument s, and perform any and all other acts that the General Partner deems necessary or appropriate for the formation, continuation and conduct of the business and affairs of the Partnership (including, without
limitation, all actions 

  
 22 

 
consistent with allowing the General Partner at all times to qualify as a REIT unless the General Partner voluntarily terminates its REIT status) and to possess and enjoy all of the rights and
powers of a general partner as provided by the Act. 
 Except as otherwise provided herein, to the extent the duties of the General Partner
require expenditures of funds to be paid to third parties, the General Partner shall not have any obligations hereunder except to the extent that Partnership funds are reasonably available to it for the performance of such duties, and nothing herein
contained shall be deemed to authorize or require the General Partner, in its capacity as such, to expend its individual funds for payment to third parties or to undertake any individual liability or obligation on behalf of the Partnership. 

Delegation of Authority. The General Partner may delegate any or all of its powers, rights and obligations hereunder, and may appoint,
employ, contract or otherwise deal with any Person for the transaction of the business of the Partnership, which Person may, under supervision of the General Partner, perform any acts or services for the Partnership as the General Partner may
approve. 
 Indemnification and Exculpation of Indemnitees. 

The Partnership shall indemnify an Indemnitee from and against any and all losses, claims, dam ages, liabilities, joint or several, expenses
(including reasonable legal fees and expenses), judgments, fines, settlements, and other amounts arising from any and all claims, demands, actions, suits or proceedings, civil, criminal, administrative or investigative, that relate to the operations
of the Partnership as set forth in this Agreement in which any Indemnitee may be involved, or is threatened to be involved, as a party or otherwise, unless it is established that: (i) the act or omission of the Indemnitee was material to the
matter giving rise to the proceeding and either was committed in bad faith or was the result of active and deliberate dishonesty; (ii) the Indemnitee actually received an improper personal benefit in money, property or services; or
(iii) in the case of an y criminal proceeding, the Indemnitee had reasonable cause to believe that the act or omission was unlawful. The termination of an y proceeding by judgment, order or settlement does not create a presumption that the
Indemnitee did not meet the requisite standard of conduct set forth in this Section 6.3(a). The termination of an y proceeding by conviction or upon a plea of nolo contendere or its equivalent, or an entry of an order of probation prior to
judgment, creates a rebuttable presumption that the Indemnitee acted in a manner contrary to that specified in this Section 6.3(a). Any indemnification pursuant to this Section 6.3 shall be made only out of the assets of the Partnership.

 The Partnership shall reimburse an Indemnitee for reasonable expenses incurred by an Indemnitee who is a party to a proceeding in advance
of the final 

  
 23 

 
disposition of the proceeding upon receipt by the Partnership of (i) a written affirmation by the Indemnitee of the Indemnitee’s good faith belief that the standard of conduct necessary
for indemnification by the Partnership as authorized in this Section 6.3 has been met, and (ii) a written undertaking by or on behalf of the Indemnitee to repay the amount if it shall ultimately be determined that the standard of conduct
has not been met. 
 The indemnification provided by this Section 6.3 shall be in addition to any other rights to which an Indemnitee
or any other Person may be entitled under an y agreement, pursuant to any vote of the Partners, as a matter of law or otherwise, and shall continue as to an Indemnitee who has ceased to serve in such capacity. 

The Partnership may purchase and maintain insurance, on behalf of the Indemnitees and such other Persons as the General Partner shall
determine, against any liability that may be asserted against or expenses that may be incurred by such Person in connection with the Partnership’s activities, regard less of whether the Partnership would have the power to indemnify such Person
against such liability under the provisions of this Agreement. 
 For purposes of this Section 6.3, the Partnership shall be deemed to
have requested an Indemnitee to serve as fiduciary of an employee benefit plan whenever the performance by it of its duties to the Partnership also imposes duties on, or otherwise involves services by, it to the plan or participants or beneficiaries
of the plan; excise taxes assessed on an Indemnitee with respect to an employee benefit plan pursuant to applicable law shall constitute fines within the meaning of this Section 6.3; and actions taken or omitted by the Indemnitee with respect
to an employee benefit plan in the performance of its duties for a purpose reasonably believed by it to be in the interest of the participants and beneficiaries of the plan shall be deemed to be for a purpose which is not opposed to the best
interests of the Partnership. 
 In no event may an Indemnitee subject the Limited Partners to personal liability by reason of the
indemnification provisions set forth in this Agreement. 
 An Indemnitee shall not be denied indemnification in whole or in part under this
Section 6.3 because the Indemnitee had an interest in the transaction with respect to which the indemnification applies if the transaction was otherwise permitted by the terms of this Agreement. 

The provisions of this Section 6.3 are for the benefit of the Indemnitees, their heirs, successors, assigns and administrators and shall
not be deemed to create any rights for the benefit of any other Persons. 

  
 24 

 Liability of the General Partner. 

Notwithstanding anything to the contrary set forth in this Agreement, the General Partner shall not be liable for monetary damages to the
Partnership or any Partners for losses sustained or liabilities incurred as a result of errors in judgment or of any act or omission if the General Partner acted in good faith. The General Partner shall not be in breach of any duty that the General
Partner may owe to the Limited Partners or the Partnership or any other Persons under this Agreement or of any duty stated or implied by law or equity provided the General Partner, acting in good faith, abides by the terms of this Agreement. 

The Limited Partners expressly acknowledge that the General Partner is acting on behalf of the Partnership, itself and its stockholders
collectively, that the General Partner is under no obligation to consider the separate interests of the Limited Partners (including, without limitation, the tax consequences to Limited Partners or the tax consequences of some, but not all, of the
Limited Partners) in deciding whether to cause the Partnership to take (or decline to take) any actions. In the event of a conflict between the interests of its stockholders on one hand and the Limited Partners on the other, the General Partner
shall endeavor in good faith to resolve the conflict in a manner not adverse to either its stockholders or the Limited Partners; provided, however, that for so long as the General Partner directly owns a controlling interest in the
Partnership, any such conflict that the General Partner, in its sole and absolute discretion, determines cannot be resolved in a manner not adverse to either its stockholders or the Limited Partner shall be resolved in favor of the stockholders. The
General Partner shall not be liable for monetary damages for losses sustained, liabilities incurred, or benefits not derived by Limited Partners in connection with such decisions, provided that the General Partner has acted in good faith.

 Subject to its obligations and duties as General Partner set forth in Section 6.1 hereof, the General Partner may exercise any of
the powers granted to it under this Agreement and perform any of the duties imposed upon it hereunder either directly or by or through its agents. The General Partner shall not be responsible for any misconduct or negligence on the part of any such
agent appointed by it in good faith. 
 Notwithstanding any other provisions of this Agreement or the Act, any action of the General Partner
on behalf of the Partnership or any decision of the General Partner to refrain from acting on behalf of the Partnership, undertaken in the good faith belief that such action or omission is necessary or advisable in order (i) to protect the
ability of the General Partner to continue to qualify as a REIT or (ii) to prevent the General Partner from incurring any taxes under Section 857, Section 4981, or any other provision of the Code, is expressly authorized under this
Agreement and is deemed approved by all of the Limited Partners. 

  
 25 

 Any amendment, modification or repeal of this Section 6.4 or any provision hereof shall be
prospective only and shall not in any way affect the limitations on the General Partner’s liability to the Partnership and the Limited Partners under this Section 6.4 as in effect immediately prior to such amendment, modification or repeal
with respect to matters occurring, in whole or in part, prior to such amendment, modification or repeal, regardless of when claims relating to such matters may arise or be asserted. 

Reimbursement of General Partner. 

Except as provided in this Section 6.5 and elsewhere in this Agreement (including the provisions of Articles 5 and 6 regarding
distributions, payments, and allocations to which it may be entitled), the General Partner shall not be compensated for its services as general partner of the Partnership. 

The General Partner shall be reimbursed on a monthly basis, or such other basis as the General Partner may determine in its sole and absolute
discretion, for all Administrative Expenses incurred by the General Partner. 
 Outside Activities. Subject to Section 6.8
hereof, the Articles of Incorporation of the General Partner and any agreements entered into by the General Partner or its Affiliates with the Partnership or a Subsidiary, any officer, director, employee, agent, trustee, Affiliate or stockholder of
the General Partner, the General Partner shall be entitled to and may have business interests and engage in business activities in addition to those relating to the Partnership, including business interests and activities substantially similar or
identical to those of the Partnership. Neither the Partnership nor any of the Limited Partners shall have any rights by virtue of this Agreement in any such business ventures, interest or activities. None of the Limited Partners nor any other Person
shall have any rights by virtue of this Agreement or the partnership relationship established hereby in any such business ventures, interests or activities, and the General Partner shall have no obligation pursuant to this Agreement to offer any
interest in any such business ventures, interests and activities to the Partnership or any Limited Partner, even if such opportunity is of a character which, if presented to the Partnership or any Limited Partner, could be taken by such Person. 

Employment or Retention of Affiliates. 

Any Affiliate of the General Partner may be employed or retained by the Partnership and may otherwise deal with the Partnership (whether as a
buyer, lessor, lessee, manager, furnisher of goods or services, broker, agent, lender or otherwise) and may receive from the Partnership any compensation, price, or other payment therefor which the General Partner determines to be fair and
reasonable. 

  
 26 

 The Partnership may lend or contribute to its Subsidiaries or other Persons in which it has an
equity investment, and such Persons may borrow funds from the Partnership, on terms and conditions established i n the sole and absolute discretion of the General Partner. The foregoing authority shall not create any right or benefit in favor of any
Subsidiary or any other Person. 
 The Partnership may transfer assets to joint ventures, other partnerships, corporations or other business
entities in which it is or thereby becomes a participant upon such terms and subject to such conditions as the General Partner deem s are consistent with this Agreement, applicable law and the REIT status of the General Partner. 

Except as expressly permitted by this Agreement, neither the General Partner nor any of its Affiliates shall sell, transfer or convey any
property to, or purchase any property from, the Partnership, directly or indirectly, except pursuant to transactions that are on term s that are fair and reasonable to the Partnership. 

General Partner Participation. The General Partner agrees that all business activities of the General Partner, including activities
pertaining to the acquisition, development or ownership of office or industrial property or other property, shall be conducted through the Partnership or one or more Subsidiary; provided, however, that the General Partner is allowed to make a
direct acquisition, but if and only if, such acquisition is made in connection with the issuance of Additional Securities, which direct acquisition and issuance have been approved and determined to be in the best interests of the General Partner and
the Partnership by a majority of the Independent Directors. 
 Title to Partnership Assets. Title to Partnership assets, whether
real, personal or mixed and whether tangible or intangible, shall be deemed to be owned by the Partnership as an entity, and no Partner, individually or collectively, shall have any ownership interest in such Partnership assets or any portion
thereof. Title to any or all of the Partnership assets may be held in the name of the Partnership, the General Partner or one or more nominees, as the General Partner may determine, including Affiliates of the General Partner. The General Partner
hereby declares and warrants that any Partnership assets for which legal title is held in the name of the General Partner or any nominee or Affiliate of the General Partner shall be held by the General Partner for the use and benefit of the
Partnership in accordance with the provisions of this Agreement; provided, however, that the General Partner shall use its best efforts to cause beneficial and record title to such assets to be vested in the Partnership as soon as reasonably
practicable. All Partnership assets shall be recorded as the property of the Partnership in its books and records, irrespective of the name in which legal title to such Partnership assets is held. 

Miscellaneous. In the event the General Partner redeem s any REIT Shares, then the General Partner shall cause the Partnership to
purchase from the General Partner a number of Partnership U nits as determined based on the application of the Conversion Factor on the same terms that the General Partner exchanged such REIT Shares. Moreover, if the General Partner makes a cash
tender offer or other offer to acquire REIT Shares, then the General Partner shall 

  
 27 

 
cause the Partnership to make a corresponding offer to the General Partner to acquire an equal number of Partnership Units held by the General Partner. In the event any REIT Shares are exchanged
by the General Partner pursuant to such offer, the Partnership shall redeem an equivalent number of the General Partner’s Partnership Units for an equivalent purchase price based on the application of the Conversion Factor. 

CHANGES IN GENERAL PARTNER 

Transfer of the General Partner’s Partnership Interest. 

The General Partner shall not transfer all or any portion of its General Partnership Interest or withdraw as General Partner except as provided
in or in connection with a transaction contemplated by Section 7.1(c), (d) or hereof. 
 The General Partner agrees that the
Percentage Interest for it will at all times be, in the aggregate, at least 1%. 
 Except as otherwise provided in Section 6.4(b) or
Section 7.1(d) or hereof, the General Partner shall not engage in any merger, consolidation or other combination with or into another Person or sale of all or substantially all of its assets, (other than in connection with a change in the
General Partner’s state of incorporation or organizational form) in each case which results in a change of control of the General Partner (a “Transaction”), unless: 

the consent of Limited Partners holding more than 50% of the Percentage Interests of the Limited Partners is obtained; 

as a result of such Transaction all Limited Partners will receive for each Partnership Unit an amount of cash, securities, or other property
equal to the product of the Conversion Factor and the greatest amount of cash, securities or other property paid in the Transaction to a holder of one REIT Share in consideration of one REIT Share, provided that if, in connection with the
Transaction, a purchase, tender or exchange offer (“Offer”) shall have been made to and accepted by the holders of more than 50% of the outstanding REIT Shares, each holder of Partnership Units shall be given the option to exchange
its Partnership U nits for the greatest amount of cash, securities, or other property which a Limited Partner holding Partnership U nits would have received had it (1) exercised its Exchange Right and (2) sold, tendered or exchanged
pursuant to the Offer the REIT Shares received upon exercise of the Exchange Right immediately prior to the expiration of the Offer; or 

  
 28 

 the General Partner is the surviving entity in the Transaction and either (A) the holders of
REIT Shares do not receive cash, securities, or other property in the Transaction or (B) all Limited Partners (other than the General Partner or any Subsidiary) receive in exchange for their Partnership Units, an amount of cash, securities, or
other property (expressed as an amount per REIT Share) that is no less than the product of the Conversion Factor and the greatest amount of cash, securities, or other property (expressed as an amount per REIT Share) received in the Transaction by
any holder of REIT Shares. 
 Notwithstanding Section 7.1(c) above, the General Partner may merge with or into or consolidate with
another entity if immediately after such merger or consolidation (i) substantially all of the assets of the successor or surviving entity (the “Survivor”), other than Partnership Units held by the General Partner, are
contributed, directly or indirectly, to the Partnership as a Capital Contribution in exchange for Partnership Units with a fair market value equal to the value of the assets so contributed as determined by the Survivor in good faith and
(ii) the Survivor expressly agrees to assume all obligations of the General Partner, as appropriate, hereunder. Upon such contribution and assumption, the Survivor shall have the right and duty to amend this Agreement as set forth in this
Section 7.1(d). The Survivor shall in good faith arrive at a new method for the calculation of the Cash Amount, the REIT Shares Amount and Conversion Factor for a Partnership Unit after any such merger or consolidation so as to approximate the
existing method for such calculation as closely as reasonably possible. Such calculation shall take into account, among other things, the kind and amount of securities, cash and other property that was receivable upon such merger or consolidation by
a holder of REIT Shares or options, warrants or other rights relating thereto, and which a holder of Partnership Units could have acquired had such Partnership Units been exchanged immediately prior to such merger or consolidation. Such amendment to
this Agreement shall provide for adjustment to such method of calculation, which shall be as nearly equivalent as may be practicable to the adjustments provided for with respect to the Conversion Factor. The Survivor also shall in good faith modify
the definition of REIT Shares and make such amendments to Sections 8.4 and 8.5 hereof so as to approximate the existing rights and obligations set forth in Sections 8.4 and 8.5 as closely as reasonably possible. The above provisions of this
Section 7.1(d) shall similarly apply to successive mergers or consolidations permitted hereunder. 
 Notwithstanding
Section 7.1(c), 
 a General Partner may transfer all or any portion of its General Partnership Interest to (A) a wholly-owned
Subsidiary of such General Partner or (B) the owner of all of the ownership interests of such General 

  
 29 

 
Partner, and following a transfer of all of its General Partnership Interest, may withdraw as General Partner; 

and the General Partner may engage in a transaction not required by law or by the rules of any national securities exchange on which the REIT
Shares are listed to be submitted to the vote of the holders of the REIT Shares. 
 Admission of a Substitute or Additional General
Partner. A Person shall be admitted as a substitute or additional General Partner of the Partnership only if the following terms and conditions are satisfied: 

the Person to be admitted as a substitute or additional General Partner shall have accepted and agreed to be bound by all the terms and
provisions of this Agreement by executing a counterpart thereof and such other documents or instruments as may be required or appropriate in order to effect the admission of such Person as a General Partner, and a certificate evidencing the
admission of such Person as a General Partner shall have been filed for recordation and all other actions required by Section 2.5 hereof in connection with such admission shall have been performed; 

if the Person to be admitted as a substitute or additional General Partner is a corporation or a partnership it shall have provided the
Partnership with evidence satisfactory to counsel for the Partnership of such Person’s authority to become a General Partner and to be bound by the terms and provisions of this Agreement; and 

counsel for the Partnership shall have rendered an opinion (relying on such opinions from other counsel and the state or any other
jurisdiction as may be necessary) that the admission of the person to be admitted as a substitute or additional General Partner is in conformity with the Act, that none of the actions taken in connection with the admission of such Person as a
substitute or additional General Partner will cause (i) the Partnership to be classified other than as a partnership for federal tax purposes, or (ii) the loss of any Limited Partner’s limited liability. 

Effect of Bankruptcy, Withdrawal, Death or Dissolution of a General Partner. 

Upon the occurrence of an Event of Bankruptcy as to a General Partner (and its removal pursuant to Section 7.4(a) hereof) or the death,
withdrawal, removal or dissolution of a General Partner (except that, if a General Partner is on the date of such occurrence a partnership, the withdrawal, death, dissolution, Event of Bankruptcy as to, or removal of a partner in, such Partnership
shall be deemed not to be a dissolution of such General Partner if the business of such General Partner is continued by the remaining partner or partners), the Partnership shall be dissolved and terminated unless the Partnership is continued
pursuant to
 Section 7.3(b) 

  
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hereof. The merger of the General Partner with or into any entity that is admitted as a substitute or successor General Partner pursuant to Section 7.2 hereof shall not be deemed to be the
withdrawal, dissolution or removal of the General Partner. 
 Following the occurrence of an Event of Bankruptcy as to a General Partner
(and its removal pursuant to Section 7.4(a) hereof) or the death, withdrawal, removal or dissolution of a General Partner (except that, if a General Partner is on the date of such occurrence a Partnership, the withdrawal, death, dissolution,
Event of Bankruptcy as to, or removal of a partner in, such Partnership shall be deemed not to be a dissolution of such General Partner if the business of such General Partner is continued by the remaining Partner or partners), the Limited Partners,
within 90 days after such occurrence, may elect to continue the business of the Partnership for the balance of the term specified in Section 2.4 hereof by selecting, subject to Section 7.2 hereof and any other provisions of this Agreement,
a substitute General Partner by consent of a majority in interest of the Limited Partners. If the Limited Partners elect to continue the business of the Partnership and admit a substitute General Partner, the relationship with the Partners and of
any Person who has acquired an interest of a Partner in the Partnership shall be governed by this Agreement. 
 Removal of a General
Partner. 
 Upon the occurrence of an Event of Bankruptcy as to, or the dissolution of, a General Partner, such General Partner shall be
deemed to be removed automatically; provided, however, that if a General Partner is on the date of such occurrence a partnership, the withdrawal, death, dissolution, Event of Bankruptcy as to or removal of a partner in such partnership shall
be deemed not to be a dissolution of the General Partner if the business of such General Partner is continued by the remaining partner or partners. The Limited Partners may not remove the General Partner, with or without cause. 

If a General Partner has been removed pursuant to this Section 7.4 and the Partnership is continued pursuant to Section 7.3 hereof,
such General Partner shall promptly transfer and assign its General Partnership Interest in the Partnership to the substitute General Partner approved by a majority in interest of the Limited Partners in accordance with Section 7.3(b) hereof
and otherwise admitted to the Partnership in accordance with Section 7.2 hereof. At the time of assignment, the removed General Partner shall be entitled to receive from the substitute General Partner the fair market value of the General
Partnership Interest of such removed General Partner as reduced by any damages caused to the Partnership by such General 

  
 31 

 
Partner. Such fair market value shall be determined by an appraiser mutually agreed upon by the General Partner and a majority in interest of the Limited Partners within 10 days following the
removal of the General Partner. In the event that the parties are unable to agree upon an appraiser, the removed General Partner and a majority in interest of the Limited Partners each shall select an appraiser. Each such appraiser shall complete an
appraisal of the fair market value of the removed General Partner’s General Partnership Interest within 30 days of the General Partner’s removal, and the fair market value of the removed General Partner’s General Partnership Interest
shall be the average of the two appraisals; provided, however, that if the higher appraisal exceeds the lower appraisal by more than 20% of the amount of the lower appraisal, the two appraisers, no later than 40 days after the removal of the
General Partner, shall select a third appraiser who shall complete an appraisal of the fair market value of the removed General Partner’s General Partnership Interest no later than 60 days after the removal of the General Partner. In such case,
the fair market value of the removed General Partner’s General Partnership Interest shall be the average of the two appraisals closest in value. 

The General Partnership Interest of a removed General Partner, during the time after default until transfer under Section 7.4(b) above,
shall be converted to that of a special Limited Partner; provided, however, such removed General Partner shall not have any rights to participate in the management and affairs of the Partnership, and shall not be entitled to any portion of
the income, expense, profit, gain or loss allocations or cash distributions allocable or payable, as the case may be, to the Limited Partners. Instead, such removed General Partner shall receive and be entitled only to retain distributions or
allocations of such items that it would have been entitled to receive in its capacity as General Partner, until the transfer is effective pursuant to Section 7.4(b) above. 

All Partners shall have given and hereby do give such consents, shall take such actions and shall execute such document s as shall be legally
necessary and sufficient to effect all the foregoing provisions of this Section. 
 RIGHTS AND OBLIGATIONS OF THE LIMITED PARTNERS

 Management of the Partnership. The Limited Partners shall not participate in the management or control of Partnership business
nor shall they transact any business for the Partnership, nor shall they have the power to sign for or bind the Partnership, such powers being vested solely and exclusively in the General Partner. 

Power of Attorney. Each Limited Partner hereby irrevocably appoints the General Partner its true and lawful attorney-in-fact, who may
act for each Limited Partner and in its name, place and stead, and for its use and benefit, to sign, acknowledge, swear to, deliver, file or record, at the appropriate public offices, any and all documents, certificates, and instruments as may be
deemed necessary or desirable by the General Partner to carry out fully the provisions of 

  
 32 

 
this Agreement and the Act in accordance with their terms, which power of attorney is coupled with an interest and shall survive the death, dissolution or legal incapacity of the Limited Partner,
or the transfer by the Limited Partner of any part or all of its Partnership Interest. 
 Limitation on Liability of Limited
Partners. No Limited Partner shall be liable for any debts, liabilities, contracts or obligations of the Partnership. A Limited Partner shall be liable to the Partnership only to make payments of its Capital Contribution, if any, as and when due
hereunder. After its Capital Contribution is fully paid, no Limited Partner shall, except as otherwise required by the Act, be required to make any further Capital Contributions or other payments or lend any funds to the Partnership. 

Exchange Right. 
 Subject
to Sections 8.4(b), 8.4(c), 8.4(d) and 8.4(e) below and the provisions of any agreements between the Partnership and one or more Limited Partners with respect to Partnership Units held by them, each Limited Partner, other than the General Partner,
shall have the right (the “Exchange Right”) to require the Partnership to redeem on a Specified Exchange Date all or a portion of the Partnership U nits held by such Limited Partner at an exchange price equal to and in the form of
the Cash Amount to be paid by the Partnership, provided, that such Partnership Units shall have been outstanding for at least one year. The Exchange Right shall be exercised pursuant to a Notice of Exchange delivered to the Partnership (with
a copy to the General Partner) by the Limited Partner who is exercising the Exchange Right (the “Exchanging Partner”); provided, however, that the Partnership shall not be obligated to satisfy such Exchange Right if the
General Partner elects to purchase the Partnership Units subject to the Notice of Exchange pursuant to Section 8.4(b) below; and provided, further, that no Limited Partner may deliver more than two Notices of Exchange during each
calendar year unless the REIT Shares are then Publicly Traded, in which case there will be no limitation on the number of Notices of Exchange that may be delivered. A Limited Partner may not exercise the Exchange Right for less than 1,000
Partnership Units or, if such Limited Partner hold s less than 1,000 Partnership Units, all of the Partnership Units held by such Partner. The Exchanging Partner shall have no right, with respect to any Partnership Units so exchanged, to receive any
distribution paid with respect to Partnership Units if the record date for such distribution is on or after the Specified Exchange Date. 

Notwithstanding the provisions of Section 8.4(a) above, a Limited Partner that exercises the Exchange Right shall be deemed to have
offered to sell the Partnership Units described in the Notice of Exchange to the General Partner, and the General Partner may, in its sole and absolute discretion, elect to purchase directly and acquire such Partnership Units by paying to the
Exchanging Partner either the Cash Amount or the REIT Shares Amount, as elected by the General Partner (in its sole and absolute discretion), on the Specified Exchange Date, whereupon the General 

  
 33 

 
Partner shall acquire the Partnership Units offered for exchange by the exchanging Partner and shall be treated for all purposes of this Agreement as the owner of such Partnership U nits. If the
General Partner shall elect to exercise its right to purchase Partnership Units under this Section 8.4(b) with respect to a Notice of Exchange, it shall so notify the Exchanging Partner within five Business Days after the receipt by the General
Partner of such Notice of Exchange. Unless the General Partner (in its sole and absolute discretion) shall exercise its right to purchase Partnership Units from the Exchanging Partner pursuant to this Section 8.4(b), the General Partner shall
have no obligation to the Exchanging Partner or the Partnership with respect to the Exchanging Partner’s exercise of the Exchange Right. In the event the General Partner shall exercise its right to purchase Partnership Units with respect to the
exercise of an Exchange Right in the manner described in the first sentence of this Section 8.4(b), the Partnership shall have no obligation to pay any amount to the Exchanging Partner with respect to such Exchanging Partner’s exercise of
such Exchange Right, and each of the Exchanging Partner, the Partnership, and the General Partner, as the case may be, shall treat the transaction between the General Partner, and the Exchanging Partner for federal income tax purposes as a sale of
the Exchanging Partner’s Partnership Units to the General Partner. Each Exchanging Partner agrees to execute such documents as the General Partner may reasonably require in connection with any issuance of REIT Shares upon exercise of the
Exchange Right. 
 Notwithstanding the provisions of Section 8.4(a) and 8.4(b) above, a Limited Partner shall not be entitled to
exercise the Exchange Right if the delivery of REIT Shares to such Partner on the Specified Exchange Date by the General Partner pursuant to Section 8.4(b) above (regardless of whether or not the General Partner would in fact exercise its
rights under Section 8.4(b)) would (i) result in such Partner or any other person owning, directly or indirectly, shares of the General Partner in excess of the Ownership Limit (as defined in the Articles of Incorporation and calculated in
accordance therewith), except as provided in the Articles of Incorporation, (ii) result in shares of the General Partner being owned by fewer than 100 Persons (determined without reference to any rules of attribution and under the definition of
“Person” in the Articles of Incorporation), except as provided in the Articles of Incorporation, result in the General Partner being “closely held” within the meaning of Section 856(h) of the Code, (iv) cause the
General Partner to own, directly or constructively, 9.8% or more of the ownership interests in a tenant of the General Partner’s, the Partnership’s, or any direct or indirect subsidiary (including, without limitation, partnerships, joint
ventures and limited liability companies) of the General Partner’s or the Partnership’s real property, within the meaning of Section 856(d)(2)(B) of the Code, (v) otherwise, directly or indirectly, cause the General Partner to
fail to qualify as a REIT or (vi) cause the acquisition of REIT Shares by such 

  
 34 

 
Partner to be “integrated” with any other distribution of REIT Shares for purposes of complying with the registration provisions of the Securities Act. The General Partner, in its sole
and absolute discretion, may waive the restriction on exchange set forth in this Section 8.4(c); provided, however, that in the event such restriction is waived, the Exchanging Partner shall be paid the Cash Amount. 

Any Cash Amount to be paid to an Exchanging Partner pursuant to this Section 8.4 shall be paid on the Specified Exchange Date;
provided, however, that the General Partner may elect to cause the Specified Exchange Date to be delayed for up to an additional 180 days to the extent required for the General Partner to cause additional REIT Shares to be issued to provide
financing to be used to make such payment of the Cash Amount. Notwithstanding the foregoing, the General Partner agrees to use its best efforts to cause the closing of the acquisition of exchanged Partnership U nits hereunder to occur as quickly as
reasonably possible. 
 Notwithstanding any other provision of this Agreement, the General Partner shall place appropriate restrictions on
the ability of the Limited Partners to exercise their Exchange Rights as and if deemed necessary to ensure that the Partnership does not constitute a “publicly traded Partnership” under Section 7704 of the Code. If and when the
General Partner determines that imposing such restrictions is necessary, the General Partner shall give prompt written notice thereof (a “Restriction Notice”) to each of the Limited Partners holding Partnership Units, which notice
shall be accompanied by a copy of an opinion of counsel to the Partnership which states that, in the opinion of such counsel, restrictions are necessary in order to avoid having the Partnership be treated as a “publicly traded partnership
“ under Section 7704 of the Code. 
 Registration. Subject to the terms of any agreement between the General Partner and
one or more Limited Partners with respect to Partnership Units held by them: 
 Shelf Registration of the Common Stock. Within four
weeks prior or subsequent to the first date upon which the Partnership Units owned by any Limited Partner may be exchanged (or such later date as may be required under applicable provisions of the Securities Act), the General Partner agrees to file
with the Commission, a shelf registration statement on Form S-3 (if the General Partner is eligible to use such form) under Rule 415 of the Securities Act (a “Registration Statement”), or any similar rule that may be adopted by the
Commission, with respect to all of the REIT Shares that may be issued upon exchange of such Partnership Units pursuant to Section 8.5 hereof (“Exchange Shares”). The General Partner will use its best efforts to have the
Registration Statement declared effective under the Securities Act. The General Partner need not file a separate Registration Statement, but may file one Registration Statement covering Exchange Shares issuable to more than one Limited Partner. The
General Partner 

  
 35 

 
further agrees to supplement or make amendments to each Registration Statement, if required by the rules, regulations or instructions applicable to the registration form utilized by the General
Partner or by the Securities Act or rules and regulations thereunder for such Registration Statement. 
 If a Registration Statement under
subsection (a) above is not available under the securities laws or the rules of the Commission, or if required to permit the resale of Exchange Shares by “Affiliates” (as defined in the Securities Act), upon the written request of any
Limited Partner holding at least [500,000] Partnership Units, the General Partner agrees to file with the Commission a Registration Statement covering the resale of Exchange Shares by Affiliates or others whose Exchange Shares are not covered by a
Registration Statement filed pursuant to subsection (a) above. The General Partner will use its best efforts to have the Registration Statement declared effective under the Securities Act. The General Partner need not file a separate
Registration Statement, but may file one Registration Statement covering Exchange Shares issuable to more than one Limited Partner. The General Partner further agrees to supplement or make amendments to each Registration Statement, if required by
the rules, regulations or instructions applicable to the registration form utilized by the General Partner or by the Securities Act or rules and regulations thereunder for such Registration Statement. 

Listing on Securities Exchange. If the General Partner shall list or maintain the listing of any REIT Shares on any securities exchange
or national market system, it will at its expense and as necessary to permit the registration and sale of the Exchange Shares hereunder, list thereon, maintain and, when necessary, increase such listing to include such Exchange Shares. 

Registration Not Required. Notwithstanding the foregoing, the General Partner shall not be required to file or maintain the
effectiveness of a registration statement relating to Exchange Shares after the first date upon which, in the opinion of counsel to the General Partner, all of the Exchange Shares covered thereby could be sold by the holders thereof in any period of
three months pursuant to Rule 144 under the Securities Act, or any successor rule thereto. 
 TRANSFERS OF LIMITED PARTNERSHIP
INTERESTS 
 Purchase for Investment. 

Each Limited Partner hereby represents and warrants to the General Partner and to the Partnership that the acquisition of his Partnership
Interests is made as a principal for his account for investment purposes only and not with a view to the resale or distribution of such Partnership Interest. 

  
 36 

 Each Limited Partner agrees that he will not sell, assign or otherwise transfer his Partnership
Interest or any fraction thereof, whether voluntarily or by operation of law or at judicial sale or otherwise, to any Person who does not make the representations and warranties to the General Partner set forth in Section 9.1(a) above and
similarly agree not to sell, assign or transfer such Partnership Interest or fraction thereof to any Person who does not similarly represent, warrant and agree. 

Restrictions on Transfer of Limited Partnership Interests. 

Subject to the provisions of 9.2(b), (c) and (d), no Limited Partner may offer, sell, assign, hypothecate, pledge or otherwise transfer
all or any portion of his Limited Partnership Interest, or any of such Limited Partner’s economic rights as a Limited Partner, whether voluntarily or by operation of law or at judicial sale or otherwise (collectively, a
“Transfer”) without the consent of the General Partner, which consent may be granted or withheld in its sole and absolute discretion. Any such purported transfer undertaken without such consent shall be considered to be null and
void ab initio and shall not be given effect. The General Partner may require, as a condition of any Transfer to which it consents, that the transferor assume all costs incurred by the Partnership in connection therewith. 

No Limited Partner may withdraw from the Partnership other than as a result of a permitted Transfer (i.e., a Transfer consented to as
contemplated by clause (a) above or clause (c) below or a Transfer pursuant to Section 9.5 below) of all of its Partnership Interest pursuant to this Article 9 or pursuant to an exchange of all of its Partnership Units pursuant to
Section 8.4 hereof. Upon the permitted Transfer or redemption of all of a Limited Partner’s Partnership Interest, such Limited Partner shall cease to be a Limited Partner. 

Subject to 9.2(d), (e) and (f) below, a Limited Partner may Transfer, with the consent of the General Partner, all or a portion of
its Partnership Interest to (i) a parent or parent’s spouse, natural or adopted descendant or descendants, spouse of such descend ant, or brother or sister, or a trust created by such Limited Partner for the benefit of such Limited Partner
and/or any such person(s), of which trust such Limited Partner or any such person(s) is a trustee, (ii) a corporation controlled by a Person or Persons named in (i) above, or (iii) if the Limited Partner is an entity, its beneficial
owners. 
 No Limited Partner may effect a Transfer of its Limited Partnership Interest, in whole or in part, if, in the opinion of legal
counsel for the Partnership, such proposed Transfer would require the registration of the Limited Partnership Interest under the Securities Act or would otherwise violate any applicable federal or state securities or blue sky law (including
investment suitability standards). 

  
 37 

 No Transfer by a Limited Partner of its Partnership Interest, in whole or in part, may be made to
any Person if (i) in the opinion of legal counsel for the Partnership, the transfer would result in the Partnership’s being treated as an association taxable as a corporation, (ii) in the opinion of legal counsel for the Partnership,
it would adversely affect the ability of the General Partner to continue to qualify as a REIT or subject the General Partner to any additional taxes under Section 857 or Section 4981 of the Code, or (iii) such transfer is effectuated
through an “established securities market” or a “secondary market (or the substantial equivalent thereof)” within the meaning of Section 7704 of the Code. 

No Transfer by a Limited Partner of any Partnership Interest may be made to a lender to the Partnership or any Person who is related (within
the meaning of Regulations Section 1.752-4(b)) to any lender to the Partnership whose loan constitutes a nonrecourse liability (within the meaning of Regulations Section 1.752-1(a)(2)), without the consent of the General Partner, which may
be withheld in its sole and absolute discretion, provided that as a condition to such consent the lender will be required to enter into an arrangement with the Partnership and the General Partner to exchange or redeem for the Cash Amount any
Partnership U nits in which a security interest is held simultaneously with the time at which such lender would be deemed to be a Partner in the Partnership for purposes of allocating liabilities to such lender under Section 752 of the Code.

 Any Transfer in contravention of any of the provisions of this Article 9 shall be void and ineffectual and shall not be binding upon, or
recognized by, the Partnership. 
 Prior to the consummation of any Transfer under this Article 9, the transferor and/or the transferee
shall deliver to the General Partner such opinions, certificates and other documents as the General Partner shall request in connection with such Transfer. 

Admission of Substitute Limited Partner. 

Subject to the other provisions of this Article 9, an assignee of the Limited Partnership Interest of a Limited Partner (which shall be
understood to include any purchaser, transferee, donee, or other recipient of any disposition of such Limited Partnership Interest) shall be deemed admitted as a Limited Partner of the Partnership only with the consent of the General Partner and
upon the satisfactory completion of the following: 
 The assignee shall have accepted and agreed to be bound by the terms and provisions of
this Agreement by executing a counterpart or an amendment thereof, including a revised Exhibit A hereto, and such other documents or instruments as the General Partner may require in order to effect the admission of such Person as a Limited
Partner. 

  
 38 

 To the extent required, an amended Certificate evidencing the admission of such Person as a
Limited Partner shall have been signed, acknowledged and filed for record in accordance with the Act. 
 The assignee shall have delivered a
letter containing the representation set forth in Section 9.1(a) hereof and the agreement set forth in Section 9.1(b) hereof. 

If the assignee is a corporation, partnership or trust, the assignee shall have provided the General Partner with evidence satisfactory to
counsel for the Partnership of the assignee’s authority to become a Limited Partner under the term s and provisions of this Agreement. 

The assignee shall have executed a power of attorney containing the term s and provisions set forth in Section 8.2 hereof. 

The assignee shall have paid all legal fees and other expenses of the Partnership and the General Partner and filing and publication costs in
connection with its substitution as a Limited Partner. 
 The assignee has obtained the prior written consent of the General Partner to its
admission as a Substitute Limited Partner, which consent may be given or denied in the exercise of the General Partner’s sole and absolute discretion. 

For the purpose of allocating Profits and Losses and distributing cash received by the Partnership, a Substitute Limited Partner shall be
treated as having become, and appearing in the records of the Partnership as, a Partner upon the filing of the Certificate described in Section 9.3(a)(ii) hereof or, if no such filing is required, the later of the date specified in the transfer
documents or the date on which the General Partner has received all necessary instruments of transfer and substitution. 
 The General
Partner shall cooperate with the Person seeking to become a Substitute Limited Partner by preparing the documentation required by this Section and making all official filings and publications. The Partnership shall take all such action as promptly
as practicable after the satisfaction of the conditions in this Article 9 to the admission of such Person as a Limited Partner of the Partnership. 

Rights of Assignees of Partnership Interests. 

Subject to the provisions of Sections 9.1 and 9.2 hereof, except as required by operation of law, the Partnership shall not be obligated for
any purposes whatsoever to recognize the assignment by any Limited Partner of its Partnership Interest until the Partnership has received notice thereof. 

  
 39 

 Any Person who is the assignee of all or any portion of a Limited Partner’s Limited
Partnership Interest, but does not become a Substitute Limited Partner and desires to make a further assignment of such Limited Partnership Interest, shall be subject to all the provisions of this Article 9 to the same extent and in the same manner
as any Limited Partner desiring to make an assignment of its Limited Partnership Interest. 
 Effect of Bankruptcy, Death, Incompetence
or Termination of a Limited Partner. The occurrence of an Event of Bankruptcy as to a Limited Partner, the death of a Limited Partner or a final adjudication that a Limited Partner is incompetent (which term shall include, but not be limited to,
insanity) shall not cause the termination or dissolution of the Partnership, and the business of the Partnership shall continue if an order for relief in a bankruptcy proceeding is entered against a Limited Partner, the trustee or receiver of his
estate or, if he dies, his executor, administrator or trustee, or, if he is finally adjudicated incompetent, his committee, guardian or conservator, shall have the rights of such Limited Partner for the purpose of settling or managing his estate
property and such power as the bankrupt, deceased or incompetent Limited Partner possessed to assign all or any part of his Partnership Interest and to join with the assignee in satisfying conditions precedent to the admission of the assignee as a
Substitute Limited Partner. 
 Joint Ownership of Interests. A Partnership Interest may be acquired by two individuals as joint
tenants with right of survivorship, provided that such individuals either are married or are related and share the same home as tenants in common. The written consent or vote of both owners of any such jointly held Partnership Interest shall
be required to constitute the action of the owners of such Partnership Interest; provided , however, that the written consent of only one joint owner will be required if the Partnership has been provided with evidence satisfactory to the
counsel for the Partnership that the actions of a single joint owner can bind both owners under the applicable laws of the state of residence of such joint owners. Upon the death of one owner of a Partnership Interest held in a joint tenancy with a
right of survivorship, the Partnership Interest shall become owned solely by the survivor as a Limited Partner and not as an assignee. The Partnership need not recognize the death of one of the owners of a jointly-held Partnership Interest until it
shall have received notice of such death. Upon notice to the General Partner from either owner, the General Partner shall cause the Partnership Interest to be divided into two equal Partnership Interests, which shall thereafter be owned separately
by each of the former owners. 
 BOOKS AND RECORDS; ACCOUNTING; TAX MATTERS 

Books and Records. At all times during the continuance of the Partnership, the Partners shall keep or cause to be kept at the
Partnership’s specified office true and complete books of account in accordance with generally accepted accounting principles, including: (a) a current list of the full name and last known business address of each Partner, (b) a copy
of the Certificate of Limited Partnership and all certificates of amendment thereto, (c) copies of the Partnership’s 

  
 40 

 
federal, state and local income tax returns and reports, (d) copies of this Agreement and amendments thereto and any financial statements of the Partnership for the three most recent years
and (e) all documents and information required under the Act. Any Partner or its duly authorized representative, upon paying the costs of collection, duplication and mailing, shall be entitled to inspect or copy such records during ordinary
business hours. 
 Custody of Partnership Funds; Bank Accounts. 

All funds of the Partnership not otherwise invested shall be deposited in one or more accounts maintained in such banking or brokerage
institutions as the General Partner shall determine, and withdrawals shall be made only on such signature or signatures as the General Partner may, from time to time, determine. 

All deposits and other funds not needed in the operation of the business of the Partnership may be invested by the General Partner in
investment grade instruments (or investment companies whose portfolio consists primarily thereof), government obligations, certificates of deposit, bankers’ acceptances and municipal notes and bonds. The funds of the Partnership shall not be
com mingled with the funds of any other Person except for such commingling as may necessarily result from an investment in those investment companies permitted by this Section 10.2(b). 

Fiscal and Taxable Year. The fiscal and taxable year of the Partnership shall be the calendar year. 

Annual Tax Information and Report. Within 75 days after the end of each fiscal year of the Partnership, the General Partner shall
furnish to each person who was a Limited Partner at any time during such year the tax information necessary to file such Limited Partner’s individual tax returns as shall be reasonably required by law. 

Tax Matters Partner; Tax Elections; Special Basis Adjustments. 

The General Partner shall be the Tax Matters Partner of the Partnership within the meaning of Section 6231(a)(7) of the Code. As Tax
Matters Partner, the General Partner shall have the right and obligation to take all actions authorized and required, respectively, by the Code for the Tax Matters Partner. The General Partner shall have the right to retain professional assistance
in respect of any audit of the Partnership by the Service and all out-of-pocket expenses and fees incurred by the General Partner on behalf of the Partnership as Tax Matters Partner shall constitute Partnership expenses. In the event the General
Partner receives notice of a final Partnership adjustment under Section 6223(a)(2) of the Cod e, the General Partner shall either (i) file a court petition for judicial review of such final adjustment within the period provided under
Section 6226(a) of the Code, a copy of which petition shall be mailed to all Limited Partners on the date such petition is filed, or (ii) mail a written notice to all Limited Partners, within such period, that describes the General
Partner’s reasons for determining not to file such a petition. 

  
 41 

 All elections required or permitted to be mad e by the Partnership under the Code or any
applicable state or local tax law shall be made by the General Partner in its sole and absolute discretion. 
 In the event of a Transfer of
all or any part of the Partnership Interest of any Partner, the Partnership, at the option of the General Partner, may elect pursuant to Section 754 of the Code to adjust the basis of the Partnership’s assets. Notwithstanding anything
contained in Article 5 of this Agreement, any adjustments made pursuant to Section 754 of the Code shall affect only the successor in interest to the Transferring Partner and in no event shall be taken into account in establishing, maintaining
or computing Capital Accounts for the other Partners for any purpose under this Agreement. Each Partner will furnish the Partnership with all information necessary to give effect to such election. 

To the extent provided for in Regulations, revenue rulings, revenue procedures and/or other IRS guidance issued after the date hereof, the
Partnership is hereby authorized to, and at the direction of the General Partner shall, elect a safe harbor under which the fair market value of any Partnership Interests issued after the effective date of such Regulation (or other guidance) will be
treated as equal to the liquidation value of such Partnership Interests (i.e., a value equal to the total amount that would be distributed with respect to such interests if the Partnership sold all of its assets for their fair market value
immediately after the issuance of such Partnership Interests, satisfied its liabilities (excluding any non-recourse liabilities to the extent the balance of such liabilities exceed the fair market value of the assets that secure them) and
distributed the net proceeds to the Partners under the term s of this Agreement). In the event that the Partnership makes a safe harbor election as described in the preceding sentence, each Partner hereby agrees to comply with all safe harbor
requirements with respect to transfers of such Partnership Interest while the safe harbor election remains effective. 
 Reports to
Limited Partners. 
 As soon as practicable after the close of each fiscal quarter (other than the last quarter of the fiscal year), the
General Partner shall cause to be m ailed to each Limited Partner a quarterly report containing financial statements of the Partnership, or of the General Partner if such statements are prepared solely on a consolidated basis with the General
Partner, for such fiscal quarter, presented in accordance with generally accepted accounting principles. As soon as practicable after the close of each fiscal year, the General Partner shall cause to be mailed to each Limited Partner an annual
report containing financial statements of the Partnership, or of the General 

  
 42 

 
Partner if such statements are prepared solely on a consolidated basis with the General Partner, for such fiscal year, presented in accordance with generally accepted accounting principles. The
annual financial statements shall be audited by accountants selected by the General Partner. 
 Any Partner shall further have the right to
a private audit of the books and records of the Partnership at the expense of such Partner, provided such audit is made for Partnership purposes and is made during norm al business hours. 

AMENDMENT OF AGREEMENT; MERGER 

The General Partner’s consent shall be required for any amendment to this Agreement. The General Partner, without the consent of the
Limited Partners, may amend this Agreement in any respect or merge or consolidate the Partnership with or into any other Partnership or business entity (as defined in Section 17-211 of the Act) in a transaction pursuant to Section 7.1(c),
(d) or (e) hereof; provided, however, that the following amendments and any other merger or consolidation of the Partnership shall require the consent of Limited Partners holding more than 50% of the Percentage Interests of the
Limited Partners: 
 any amendment affecting the operation of the Conversion Factor or the Exchange Right (except as provided in
Section 8.4(d) or 7.1(d) hereof) in a manner adverse to the Limited Partners; 
 any amendment that would adversely affect the rights
of the Limited Partners to receive the distributions payable to them hereunder, other than with respect to the issuance of additional Partnership Units pursuant to Section 4.2 hereof; 

any amendment that would alter the Partnership’s allocations of Profit and Loss to the Limited Partners, other than with respect to the
issuance of additional Partnership Units pursuant to Section 4.2 hereof; or any amendment that would impose on the Limited Partners any obligation to make additional Capital Contributions to the Partnership. 

GENERAL PROVISIONS 

Notices. All communications required or permitted under this Agreement shall be in writing and shall be deemed to have been given when
delivered person ally or upon deposit in the United States mail, registered, postage prepaid return receipt requested, to the Partners at the addresses set forth in Exhibit A hereto; provided, however, that any Partner may specify a
different address by notifying the General Partner in writing of such different address. Notices to the Partnership shall be delivered at or mailed to its specified office. 

  
 43 

 Survival of Rights. Subject to the provisions hereof limiting transfers, this Agreement
shall be binding upon and inure to the benefit of the Partners and the Partnership and their respective legal representatives, successors, transferees and assigns. 

Additional Documents. Each Partner agrees to perform all further acts and execute, swear to, acknowledge and deliver all further
documents which m ay be reasonable, necessary, appropriate or desirable to carry out the provisions of this Agreement or the Act. 

Severability. If any provision of this Agreement shall be declared illegal, invalid, or unenforceable in any jurisdiction, then such
provision shall be deemed to be severable from this Agreement (to the extent permitted by law) and in any event such illegality, invalidity or unenforceability shall not affect the remainder hereof. 

Entire Agreement. This Agreement and exhibits attached hereto constitute the entire Agreement of the Partners and supersede all prior
written agreements and prior and contemporaneous oral agreements, understandings and negotiations with respect to the subject matter hereof. 

Pronouns and Plurals. When the context in which words are used in the Agreement indicates that such is the intent, words in the
singular number shall include the plural and the masculine gender shall include the neuter or female gender as the context may require. 

Headings. The Article headings or sections in this Agreement are for convenience only and shall not be used in construing the scope of
this Agreement or any particular Article. 
 Counterparts. This Agreement may be executed in several counterparts, each of which
shall be deemed to be an original copy and all of which together shall constitute one and the same instrument binding on all parties hereto, notwithstanding that all parties shall not have signed the same counterpart. 

Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware. 

IN WITNESS WHEREOF, each of the Partners has affixed its signature to this Agreement, as of the day and year first above written. 

GENERAL PARTNER: 
 AMERICOLD REALTY TRUST 

By: /s/ Michael J. Delaney                     

Name: Michael J. Delaney 
 Title: Executive Vice President,
General Counsel and Corporate Secretary 

  
 44 

 LIMITED PARTNER 

AMERICOLD REALTY OPERATIONS, INC. 
 By: /s/ Michael J.
Delaney                     
 Name: Michael J.
Delaney 
 Title: President 

  
 45 

 EXHIBIT A 
  

			
	   General Partner
	  	Partnership Interest/
            Partnership Units        
    
		
	 Americold Realty Trust
Contribution pursuant to Americold Contribution
Agreement
	  	99%
		
	   Limited Partner
	  	 
		
	 Americold Realty Operations, Inc.
	  	  1%

 EXHIBIT B 
 NOTICE
OF EXERCISE OF EXCHANGE RIGHT 
 In accordance with Section 8.4 of the Agreement of Limited Partnership (the
“Agreement”) of Americold Realty Operating Partnership, L.P., the undersigned hereby irrevocably (i) presents for exchange
                Partnership U nits in Americold Realty Operating Partnership, L.P. in accordance with the terms of the Agreement and the Exchange Right referred to in
Section 8.4 thereof, (ii) surrenders such Partnership U nits and all right, title and interest therein, and (iii) directs that the Cash Amount or REIT Shares Amount (as defined in the Agreement) as determined by the General Partner
deliverable upon exercise of the Exchange Right be delivered to the address specified below, and if REIT Shares (as defined in the Agreement) are to be delivered, such REIT Shares be registered or placed in the name(s) and at the address(es)
specified below. 
  

					
	
Dated:                ,
            
	  		 	
		  		 	  

(Name of Limited Partner)
  

 

		  		 	  

(Signature of Limited Partner)
  

 

		  		 	  

(Mailing Address)
  

 

		  		 	  

(City) (State) (Zip Code)
  

 

		  		 	  

Signature Guaranteed by:
  

 

	 If REIT Shares are to be issued, issue to:
	  		 	

  

			
		
	Name:	 	 

			
	   

	
	  

Social Security or Tax I.D. Number:Exhibit 10.5 

 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

 

Execution Version

 

 

 

GAS GATHERING, PROCESSING AND PURCHASE
AGREEMENT

 

 

BETWEEN

 

 

LILIS ENERGY, INC

AS “SELLER”

 

 

and

 

 

LUCID ENERGY DELAWARE, LLC

AS “BUYER”

 

 

     

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

GAS GATHERING, PROCESSING AND PURCHASE
AGREEMENT

 

This Gas Gathering,
Processing and Purchase Agreement (this “Agreement”) is made and entered into this 10th day of August, 2017
(the “Effective Date”), by and between Lucid Energy Delaware, LLC, a Delaware limited liability company (“Buyer”),
and Lilis Energy, Inc., a Nevada corporation (“Seller”). Buyer and Seller are sometimes referred to in this Agreement
individually as a “Party” and collectively as the “Parties.”

 

Background:

 

Seller owns, controls,
or may acquire Interests (including oil and gas leases) in certain lands in the Dedicated Acreage (as defined in Exhibit A).

 

Seller has or contemplates
having a supply of Gas from present and future wells located in the Dedicated Acreage and desires to deliver such Gas to Buyer.

 

Buyer owns and operates,
or plans to own and operate, gathering and processing facilities capable of receiving deliveries of Committed Gas (as defined below).

 

Seller desires that
Buyer provide gathering, processing and other services as set forth in this Agreement and to sell Gas to Buyer, and Buyer desires
to provide to Seller gathering, processing and other services and to purchase Gas from Seller, all in accordance with the terms
and conditions stated in this Agreement.

 

Agreement:

 

In consideration of
the premises and of the mutual covenants set forth in this Agreement, the Parties agree as follows:

 

ARTICLE I

GENERAL TERMS AND CONDITIONS

 

Exhibit A, which is
attached to and made a part of this Agreement, contains general terms and conditions that apply to the Parties’ performance
under this Agreement. If there is any conflict between the terms and conditions contained in this Agreement and the terms and conditions
contained in Exhibit A, then the body of this Agreement will prevail. Unless otherwise defined, capitalized terms used this Agreement
will have the meanings assigned to those terms in Exhibit A.

 

    	 	1	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

ARTICLE II

DEDICATION

 

Article 2.1             
Dedication. Beginning on the Effective Date and continuing through the term of this Agreement, subject to the express
provisions of this Agreement, Seller does hereby (the “Dedication”): (i) dedicate and commit to deliver
all of its Gas produced from, and which is attributable to, well(s) operated by Seller or its Affiliates now or subsequently located
on Interests owned by Seller (and its successors and assigns) in the Dedicated Acreage, and (ii) commits to deliver all Gas produced
from such wells that is attributable to the interests in such wells owned by working interest, royalty and overriding royalty owners
that is not taken “in-kind” by such owners and for which Seller or is Affiliates has the right or obligation to market,
for so long as that Gas is not taken “in-kind” by the owners of that Gas (collectively, the “Committed Gas”).
If, after the Effective Date, Seller acquires additional Interests located in the Dedicated Acreage, then such Interests shall
automatically be subject to this Agreement without any further actions by the Parties; provided, however, if any such Interests
or Gas produced from such Interests is subject to a prior written dedication or commitment for gathering, processing or purchase
at the time of acquisition, then such Interests or Gas will be excluded from the Dedication (and such Gas will not be subject to
this Agreement) until the prior dedication or commitment expires. Upon the expiration or termination of that prior dedication or
commitment, such Interests and Gas will automatically be subject to this Agreement without any further actions by the Parties.
In addition, Seller shall be entitled to comply with the prior written dedications or commitments for gathering, processing or
purchase existing as of the Effective Date and set forth on Exhibit E. If, at any time in the future, Seller (or its successors
or assigns) has the right or ability to terminate any prior dedication or commitment covering Interests at no additional cost to
Seller, the prior dedication or commitment will be promptly terminated, and upon termination, the Interests subject to the prior
dedication or commitment will automatically be subject to this Agreement without any further action by the Parties; provided, however,
Seller shall have no obligation to terminate any such prior dedication or commitment to the extent that the Gas subject to such
prior dedication or commitment would not constitute Committed Gas hereunder. Seller represents and warrants to Buyer that there
are no prior assignments, dedications or commitments covering such Interests assigned and dedicated hereunder or Committed Gas
produced therefrom except as set forth on Exhibit E. For the avoidance of doubt, Seller shall not be required to deliver Gas from
any well now or subsequently located on the Dedicated Acreage if Seller would be required to install split stream connection facilities
or similar facilities to take such Gas in kind from wells operated by an operator other than Seller or its Affiliates, and such
Gas shall not be Committed Gas subject to Dedication hereunder. From time to time, and in Seller’s sole discretion, Seller
may elect to dedicate and commit hereunder additional Interests located outside of the Dedicated Acreage. Such additional Interests
shall only become dedicated and committed hereunder and subject to this Agreement at such time as Seller provides written notice
to Buyer of such election; provided, however, such dedication and commitment of the additional Interests shall be subject to the
available capacity on the Gathering System. For the avoidance of doubt, any additional Interest dedicated and committed hereunder
shall be entitled to the services provided under this Agreement on a Firm basis.

 

Article 2.2             
Sale of Committed Gas. From and after the In-Service Date, subject to Article 4.5, Seller agrees to sell and
deliver to Buyer at the Receipt Points all Committed Gas.  From and after the In-Service Date, subject to Article 4.5,
Buyer will receive and purchase from Seller at the Receipt Points each Day all Committed Gas delivered by Seller in accordance
with this Agreement, on a Firm basis.  If Buyer is unable to receive from Seller at the Receipt Points each Day all Committed
Gas delivered by Seller in accordance with this Agreement, Seller shall have the right to find an alternative market and such Committed
Gas shall be released from the Dedication as provided in Articles 2.3 and 2.4 below.

 

    	 	2	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Article 2.3             
Temporary Release. Notwithstanding anything herein to the contrary, and in addition to any other remedies that Seller
may have under this Agreement, at any time after the In-Service Date when Buyer curtails or is otherwise unable to accept all of
Seller’s deliveries of Committed Gas for any reason, and there exists no uncured material breach of this Agreement on the
part of the Seller, the volumes affected will be, and are hereby, released from this Agreement for a period of time corresponding
with Buyer’s curtailment or inability to otherwise accept Seller’s deliveries, and Seller will be free to dispose of
such affected volumes under other arrangements for such period. At such time as receipts and deliveries of Committed Gas are no
longer interrupted or curtailed, Buyer may resume receipts of released volumes only upon thirty (30) days’ advance written
notice as of the beginning of a month unless otherwise agreed.

 

Article 2.4             
Permanent Release. Notwithstanding anything herein to the contrary, and in addition to any other remedies that Seller
may have under this Agreement, at any time after the In-Service Date, Committed Gas dedicated and committed to Buyer under this
Agreement shall be permanently released from the Dedication as follows:

 

(a)              
in the event that the Gathering System has insufficient capacity to receive and handle all of the Committed Gas dedicated
and committed to Buyer under this Agreement or Buyer is otherwise unable or fails to receive such Committed Gas or fully perform
the services under this Agreement and there exists no uncured material breach of this Agreement on the part of the Seller, for
a period of at least [**] Days or [**] Days [**] Day period, and such inability is not due to a Force Majeure declared by Buyer,
then at Seller’s option and upon written notice to Buyer, Seller shall be granted a permanent release from Dedication to
this Agreement of the affected Interests and wells, from which Buyer cannot receive and handle such Committed Gas or perform the
services, and all of such Committed Gas produced and producible therefrom. In the event that the Gathering System has insufficient
capacity to receive and handle all of the Committed Gas dedicated and committed to Buyer under this Agreement or Buyer is otherwise
unable or fails to receive such Committed Gas and/or fully perform the services, and there exists no uncured material breach of
this Agreement on the part of the Seller, for a period of at least [**] Days [**] Days [**] Day period and such inability is due
to a Force Majeure declared by Buyer, then at Seller’s option and upon written notice to Buyer, Seller shall be granted a
permanent release from Dedication to this Agreement of the affected Interests and wells, from which Buyer cannot receive and handle
such Committed Gas or perform the services, and all of such Committed Gas produced and producible therefrom;

 

(b)              
at Seller’s option and upon written notice to Buyer, in the event that Seller elects to exercise its rights to a permanent
release as provided in Article 6.4; and

 

(c)              
at Seller’s option and upon written notice to Buyer, in the event that Seller elects to exercise its rights to a permanent
release as provided in Section VI of Exhibit A.

 

At the request of Seller, the Parties shall
execute a release reasonably acceptable to Seller (which, in the case of a permanent release, shall be in recordable form) reflecting
the release of any Receipt Point(s), wells, Interests or Committed Gas released from Dedication hereunder.

 

Article 2.5             
Covenant. So long as this Agreement is in effect, this Agreement will: (i) be a covenant running with the Interests
now owned by Seller or hereafter acquired (that become subject to this Agreement) by Seller within the Dedicated Acreage, and (ii)
be binding on and enforceable by Buyer and its successors and assigns against Seller and all subsequent owners, successors and
assigns of all or any part of such Interests in the Dedicated Acreage. Seller will cause any conveyance by it of all or any Interests
(or Committed Gas) in the Dedicated Acreage to be made expressly subject to this Agreement, and to cause such transferee to execute
a written instrument in a form reasonably satisfactory to Buyer acknowledging such transferee’s obligations and rights under
this Agreement. Notwithstanding the foregoing, Seller shall be permitted to sell, transfer, convey, assign, grant, or otherwise
dispose of any Interest in the Dedicated Acreage free of the dedication and commitment hereunder (i) in a transaction in which
undeveloped Interests within the Dedicated Acreage are exchanged for other Interests located in the Dedicated Acreage that would
become subject to dedication and commitment hereunder, and (ii) in a sale (or a series of sales) of undeveloped Interests
within the Dedicated Acreage in which the total net acres sold does not exceed [**] percent ([**]%) of the total net acres dedicated
and committed under this Agreement.

 

    	 	3	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Article 2.6             
Memorandum. Contemporaneously with the execution of this Agreement and from time to time during the term of this
Agreement, the Parties will execute, acknowledge, deliver and record a “short form” memorandum of this Agreement in
the form of Exhibit F attached hereto identifying the Dedicated Acreage and identifying the lands, leases and wells in which Seller
and its Affiliates own Interests, which will be placed of record in each county within the Dedicated Acreage.

 

ARTICLE III

QUANTITY

 

Article 3.1             
Nominations. Seller must provide Buyer written notice that Seller is prepared to flow Committed Gas at least ten
(10) Business Days prior to Seller’s estimated date of initial flow, and will include in such notice Seller’s good
faith estimate of Daily quantities (stated in both MMBtu and Mcf) of Committed Gas that will be available for sale to Buyer under
this Agreement during the initial Month of deliveries. Each Month thereafter, at least ten (10) Business Days before the end of
such Month, Seller must estimate the quantities of Committed Gas that will be available for sale to Buyer each Day during the next
Month.

 

Article 3.2             
Curtailment. Buyer will use reasonable efforts to provide timely notification to Seller by telephone, with subsequent
e-mail notification, of the potential size and duration of any unscheduled capacity disruption.

 

Article 3.3             
Objectionable Material. In order to ensure that the Gathering System is kept free of water, liquids and solids that
could impede free flow of Gas, Buyer may collect or remove from the Gas in the Gathering System any water, liquids or solids which
could accumulate in the Gathering System, and in that event Buyer will be responsible for disposal of and liable for the water,
liquids and solids so collected and removed, and will own them. The quantities of Gas attributable to the water, liquids and solids
so collected or removed from Gas will be retained by Buyer and are hereby conveyed and transferred to Buyer by Seller free and
clear of all liens, encumbrances and Claims.

 

    	 	4	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

  

ARTICLE IV

PRICE OF GAS; GAS PURCHASE PAYMENT

 

Article 4.1             
Pricing. The purchase price for Seller’s Residue Gas will be a price per MMBtu of Seller’s Residue Gas
equal to that described in Paragraph 1 of Exhibit B. The purchase price for Seller’s Plant Products will be a price per gallon
of Seller’s Plant Products equal to that described in Paragraph 2(f) of Exhibit B.

 

Article 4.2             
Gas Purchase Payment. Buyer’s monthly payment for the purchase of Seller’s Residue Gas and Plant Products
will equal the price per MMBtu determined in accordance with Article 4.1 above, multiplied by Seller’s Residue Gas
(determined in accordance with Exhibit B) plus the price per gallon determined in accordance with Article 4.1 above, multiplied
by Seller’s Plant Products for each component as determined in accordance with Paragraph 2(c) of Exhibit B (the “Gas
Purchase Payment”). The Gas Purchase Payment will be reduced by the following, if applicable: (i) the H2S Treating
Fee; (ii) the CO2 Treating Fee; (iii) the Processing Fee; (iv) the Inlet Compression Fee; (v) the Electric Power Fee; (vi) the
Gathering Fee; (vii) the Maintenance and Meter Fee and (viii) the Nitrogen Fee.

 

Article 4.3             
Low Volume at Receipt Points. If the average Daily quantity of Committed Gas delivered by Seller at a Receipt Point
over any calendar Month is less than [**] MMBtu per Day for any reason (other than Force Majeure or Buyer’s unexcused failure
to accept deliveries from Seller), then Buyer will charge Seller a “Maintenance and Meter Fee” of $[**] per Month for
each such Receipt Point for administration, maintenance and meter servicing.

 

Article 4.4             
Marketing of Gas. Notwithstanding any other provision in this Agreement to the contrary, Buyer is obligated to sell
Seller’s Residue Gas and Seller’s Plant Products but is not obligated to sell Seller’s Residue Gas and Seller’s
Plant Products at any particular downstream point or at any particular price, provided however, Buyer shall use commercially reasonable
efforts to obtain the best price and terms for the sale of Seller’s Residue Gas and Seller’s Plant Products with unaffiliated
third parties.

 

Article 4.5             
Take-In-Kind.

 

(a)              
Residue Gas. For any calendar [**] during the term of this Agreement, Seller will have the right to elect, by providing
Buyer written notice thirty (30) Days’ prior to the beginning of the calendar [**], to take Seller’s Residue Gas “in-kind”
at the Delivery Point.  For any calendar [**] that Seller elects to take Seller’s Residue Gas “in-kind”,
Buyer will not be required to pay the Gas Purchase Payment to Seller for such “in-kind” Residue Gas, Buyer will list
on its monthly statement the fees and other charges owed by Seller pursuant to this Agreement for Buyer’s processing of the
Gas related to such “in-kind” Residue Gas, and Seller will pay Buyer for any such fees and other charges pursuant to
the terms of Section 8.01 of Exhibit A.  Additionally, during any such calendar [**], the “Take In-Kind
Terms” set forth in Exhibit G, as well as the applicable Title, Possession and Responsibility provisions of Section IX
of Exhibit A, will apply.

 

    	 	5	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

(b)              
Plant Products. For any calendar [**] during the term of this Agreement, Seller will have the right to elect, by
providing Buyer written notice thirty (30) Days’ prior to the beginning of the calendar [**], to take Seller’s Plant
Products “in-kind” at the Plant Products Delivery Point.  For any calendar [**] that Seller elects to take Seller’s
Plant Products “in-kind”, Buyer will not be required to pay the Gas Purchase Payment to Seller for such “in-kind”
Plant Products, Buyer will list on its monthly statement the fees and other charges owed by Seller pursuant to this Agreement relating
to such “in-kind” Plant Products, and Seller will pay Buyer for any such fees and other charges pursuant to the terms
of Section 8.01 of Exhibit A.  Additionally, during any such calendar [**] that Seller takes Seller’s Plant
Products “in-kind”, the “Take In-Kind Terms” set forth in Exhibit G, as well as the applicable Title, Possession
and Responsibility provisions of Section IX of Exhibit A, will apply.

 

ARTICLE V

FEES; FUEL AND ELECTRICITY

 

Article 5.1             
Seller will pay to Buyer each of the fees and other amounts, as applicable, set forth on Exhibit C, attached hereto, for
the gathering and processing of Committed Gas and other services provided under this Agreement. Buyer shall provide dehydration
and compression services with respect to Gas delivered by Seller to the Crittendon Field Station HP and Crittendon Field Station
LP Receipt Points (the “Crittendon Receipt Points”), subject to the payment of the Inlet Compression Fee. Initially,
Gas delivered by Seller to the Prizehog BWZ Receipt Point, Wildhog BWX Receipt Point and the Crittenden North Receipt Point shall
be at high pressure (the “PWC Receipt Points”) and shall not require dehydration or compression services or be subject
to the Inlet Compression Fee. At any time prior to the beginning of the sixth (6th) Year of the Agreement Seller may
elect, by providing ninety (90) Days prior written notice to have any of the PWC Receipt Points converted to a Low Pressure Receipt
Point and Exhibit D will be amended to reflect such election by Seller. To the extent Seller elects such option, Buyer shall provide
dehydration and compression services with respect to the Gas delivered by Seller to any such Low Pressure Receipt Point(s), subject
to the payment of the Inlet Compression Fee.

 

Article 5.2             
System Fuel, Lost and Unaccounted for Gas. Subject to the terms and conditions set forth in this Article 5.2,
Buyer will deduct from the volumes of Committed Gas delivered by Seller hereunder, at no cost to Buyer, [**] percent ([**]%) of
such Gas in MMBtus delivered by Seller at the Receipt Point(s), which will be attributed to Buyer’s use as (i) Plant Fuel,
and (ii) Field Fuel (collectively, “Seller’s Fixed FL&U”). Seller’s Fixed FL&U is comprised
of, (a) [**] percent ([**]%) Field Fuel (“Seller’s Fixed Field Fuel”) and (b) [**] percent ([**]%) Plant
Fuel (“Seller’s Fixed Plant Fuel”). To the extent Buyer utilizes electric compression to compress Committed
Gas, Seller will be responsible, and pay Buyer for, its ratable share of Electrical Power Charges. Notwithstanding anything to
the contrary set forth herein, Seller shall not be subject to a deduction for Seller’s Fixed Field Fuel at the High Pressure
Receipt Points, and shall only be subject to a deduction for Seller’s Fixed Plant Fuel with respect to the Gas delivered
by Seller at the High Pressure Receipt Point(s).

 

Article 5.3             
Adjustment of Fees. On the first anniversary of the first Day of the Month following the Effective Date and on each
anniversary date thereafter, each fee set forth in this Agreement will be automatically adjusted, by multiplying the current fee
by a fraction, the numerator of which will be the [**], and the denominator of which will be [**]; provided however, no such adjustment
to any such fee shall exceed [**] percent ([**]%) for any given Year.  Notwithstanding the above, in no event will any fee
set forth in this Agreement be adjusted below the fees listed in Exhibit C.

 

    	 	6	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

ARTICLE VI

RECEIPT AND DELIVERY POINTS

 

Article 6.1             
Receipt Points. Each Receipt Point for Committed Gas delivered by Seller under this Agreement will be at the inlet
flange of the measurement facilities located at a mutually agreed point of interconnection between Seller’s facilities and
Buyer’s, or its designee’s, Gathering System as further described on Exhibit D attached hereto.

 

Article 6.2             
Delivery Points. Each Delivery Point for Residue Gas delivered by Buyer for its own account under this Agreement
will be at the inlet flange of the measurement facilities of each Delivery Point that is set forth on Exhibit D. The foregoing
notwithstanding, Buyer may, at its sole discretion, add a Delivery Point to Exhibit D at any time; provided that, any such addition
shall not adversely affect the price and terms for the sale of Seller’s Residue Gas and Seller’s Plant Products.

 

Article 6.3             
Plant Products Delivery Points. Each Plant Products Delivery Point for recovered Plant Products delivered by Buyer
for its own account under this Agreement will be at the inlet flange of the measurement facilities of each Plant Products Delivery
Point that is set forth on Exhibit D. The foregoing notwithstanding, Buyer may, at its sole discretion, add a Plant Products Delivery
Point to Exhibit D at any time.

 

Article 6.4             
Receipt Point Connections.

 

(a)              
Completion Deadline. Buyer, at its sole risk, cost and expense, shall construct and connect and shall cause the following
Receipt Points, each as more particularly described on Exhibit D, to be installed and fully operational for the receipt
of Committed Gas on or before the following dates (each such date, a “Completion Deadline”):

 

Prizehog BWZ:November
1, 2017;

 

Wildhog BWX:November
1, 2017;

 

Crittendon Field Station
LP:December 15, 2017;

 

Crittendon Field Station
HP: December 15, 2017; and

 

Crittendon North:April
1, 2018.

 

The Prizehog BWZ and Wildhog BWX Receipt
Point(s) shall be designed and constructed for capacities ranging from 0 Mcf/day to 10,000 Mcf/Day, and the Crittendon Field Station
LP, Crittendon Field Station HP, and Crittendon North Receipt Point(s) shall be designed and constructed for capacities ranging
from 0 Mcf/Day to 50,000 Mcf/day. Such Receipt Point(s) shall be expanded from time to time as necessary for Buyer to receive all
of Committed Gas delivered by Seller.

 

    	 	7	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

(b)              
Force Majeure Delay. To the extent the delay in causing any Receipt Point completion to occur by the respective Completion
Deadline is due to a properly noticed Force Majeure event, then for each Day of the Force Majeure event, Buyer shall have one additional
Day within which to cause any such Receipt Point completion to occur, and such Completion Deadline shall be extended accordingly.

 

(c)              
Receipt Point Completion Delays.

 

(i)       If
Buyer fails to cause any Receipt Point completion to occur on or before the respective Completion Deadline, but Buyer causes such
Receipt Point completion to occur on or before the [**] Day after such Completion Deadline, then for a period equal to [**] times
the number of Days after such Completion Deadline until Buyer causes such Receipt Point completion to occur, the fee(s) payable
by Seller set forth on Exhibit C shall be reduced by [**]% for such Receipt Point.

 

(ii)       If
Buyer fails to cause any Receipt Point completion to occur on or before the [**] Day after the respective Completion Deadline,
then for a period equal to [**] times the number of Days after such Completion Deadline until Buyer causes such Receipt Point completion
to occur, the fee(s) payable by Seller set forth on Exhibit C shall be reduced by [**]% for such Receipt Point.

 

(iii)       Without
limiting Seller’s rights above, if Buyer fails to cause the Receipt Point completion for any such Receipt Point to occur
on or before the [**] Day after the respective Completion Deadline, then Seller may elect to permanently release from the Dedication
any such Receipt Point, the affected Interests and all existing and future wells that would have otherwise been delivered to such
Receipt Point, and all of such Committed Gas produced or producible therefrom. Prior to Seller’s election to permanently
release under this Article 6.4(c)(iii), Seller must provide Buyer reasonable documentation evidencing the Receipt Point,
the affected Interests and all existing and future wells that would have been delivered to such Receipt Point. Seller’s right
to permanent release pursuant to this Article 6.4(c)(iii) shall expire when the Receipt Point completion for each such Receipt
Point has occurred.

 

ARTICLE VII

TERM

 

This Agreement is
effective as of the Effective Date, and, unless terminated earlier in accordance with any express provision of this Agreement,
will remain in full force and effect for a primary term of ten (10) Years following the Effective Date and, unless terminated by
either Party upon at least ninety Days’ written notice prior to the end of such primary term, will continue year to year
until ninety (90) Days’ written notice is provided by a Party prior to the end of any term extension. Termination will be
effective on the last Day of the primary term or yearly term extension, whichever is applicable. Upon final termination under this
Article VII, the Dedication hereunder shall terminate.

 

    	 	8	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

 

ARTICLE VIII

NOTICES

 

Article 8.1             
Notices. Any notice, request, demand, statement, payment or bill provided for in this Agreement, or any notice which
a Party may desire to give to the other, must be in writing and will be deemed duly made when (a) delivered personally, (b) three
business days following deposit with the U.S. Postal Service, certified mail with return receipt and prepaid postage, (c) one business
day following delivery to a recognized overnight courier service with prepaid postage, or (d) the same day if emailed, telefaxed
or wired to the other Party at the following address:

 

	BUYER:	Notices & Correspondence: 
	 	Lucid Energy Delaware, LLC 
	 	3100 McKinnon St., #800 
	 	Dallas, Texas 75201 
	 	Attention:	Contract Administration
	 	Telephone:	214-420-4950
	 	Facsimile:	214-420-4949
	 	Email:	Contract.Admin@lucid-energy.com
	 	
         

         

	 	Billing: 
	 	Lucid Energy Delaware, LLC 
	 	3100 McKinnon St., #800 
	 	Dallas, Texas 75201 
	 	Attention:  Accounting 
	 	Telephone: 	214-420-4950
	 	Facsimile:  	214-420-4949
	 	Email:	ap@lucid-energy.com
	 	 
	 	Payments By Wire: 
	 	
        [**]

         

	 	Account Name:	[**]
	 	Account Number:	[**]
	 	ABA:	[**]
	 	 
	SELLER:	Notices & Correspondence: 
	 	Lilis Energy, Inc. 
	 	300 E. Sonterra Blvd, Suite 1220 
	 	San Antonio, TX 78258 
	 	Attention: Accounting and Operations 
	 	Telephone: 210-999-5400 
	 	Facsimile   210-999-5401 

 

    	 	9	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

	 	Billing:
	 	Lilis Energy, Inc.
	 	300 E. Sonterra Blvd, Suite 1220
	 	San Antonio, TX 78258
	 	Attention: Patrick Tumer
	 	Telephone: 817-502-1635   
	 	Facsimile:  210-999-5401
	 	Email: AP@Lilisenergy.com
	 	 
	 	Payments By Wire:
	 	Bank Name: [**]
	 	Account Name: [**]
	 	Account Number: [**]
	 	ABA: [**]

 

Article 8.2             
Change of Address. Either Party may change one or more of its addresses or accounts by giving written notice to the
other Party in any manner provided above.

 

[End of Page. Signatures to Follow]

 

    	 	10	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

IN WITNESS WHEREOF, the Parties have caused this Agreement to
be executed in duplicate originals by their duly authorized officers effective as of the Effective Date.

 

	SELLER:	 	BUYER:
	 	 	 	 	 
	LILIS ENERGY, INC.	 	LUCID ENERGY DELAWARE, LLC
	 	 	 	 	 
	 	 	 	 	 
	By:	/s/ Jim Linville	 	By:	/s/ B. Scott Brown
	 	 	 	 	 
	Name:	Jim Linville 	 	Name:	B. Scott Brown
	 	 	 	 	 
	Title:	Chief Executive Officer	 	Title:	Executive Vice President and CCO

 

 

    	 	11	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

EXHIBIT A

to

GAS GATHERING, PROCESSING AND PURCHASE AGREEMENT

dated as of August __, 2017

between

LUCID ENERGY DELAWARE, LLC

(Buyer)

and

LILIS ENERGY, INC.

(Seller)

 

 

GENERAL TERMS AND CONDITIONS

 

Section I

Definitions

 

Section 1.01       
Definitions. Unless another definition is expressly stated or the context requires otherwise, the following terms,
when used in this Agreement to which this Exhibit A is attached and all other exhibits and attachments to this Agreement, are intended
to and will have the following meanings:

 

(a)              
“Agreement” is defined in the Preamble.

 

(b)              
“Affiliate” means any Person that directly or indirectly through one or more intermediaries, controls or is
controlled by or is under common control with another Person. The term “control” (including its derivatives and similar
terms) means possessing the power to direct or cause the direction of the management and policies of a Person, whether through
ownership, by contract, or otherwise. Any Person will be deemed to be an Affiliate of any specified Person if such Person owns
fifty percent or more of the voting securities of the specified Person, if the specified Person owns fifty percent or more of the
voting securities of such Person, or if fifty percent or more of the voting securities of the specified Person and such Person
are under common control.

 

(c)              
“Annual Prime Rate” shall mean the fluctuating per annum lending rate of interest from time to time published
in The Wall Street Journal (New York edition) as the Prime Rate.

 

(d)              
“Base Quantity” shall mean the average daily quantity of Committed Gas for the twelve (12) months prior to Seller’s
election in Section 2.06.

 

(e)              
“Btu” means a “British Thermal Unit,” which is the amount of heat required to raise the temperature
of one avoirdupois pound of pure water from 58.5° Fahrenheit to 59.5° Fahrenheit at a constant pressure of 14.65 pounds
per square inch absolute.

 

(f)               
“Business Day” means a calendar day other than a Saturday, Sunday or other Day that federal banks are authorized
or required to close.

 

    	 	A-1	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

(g)              
“Buyer” means Lucid Energy Delaware, LLC, a Delaware limited liability company.

 

(h)              
 “Claims” means any and all actions, claims, costs (including costs of investigation, litigation, and court
costs), damages, demands, fines, interest, judgments, liabilities (INCLUDING STRICT LIABILITY), losses, penalties, proceedings,
suits (including appeal), and expenses (including reasonable attorney’s fees and expert fees).

 

(i)                
“CO2 Treating Fee” is defined in Exhibit C.

 

(j)                
“Committed Gas” is defined in Article 2.1.

 

(k)              
“Commitment Period” shall mean the period starting on the first day of the Month following Seller’s election
in Section 2.06 until the termination of this Agreement.

 

(l)                
“Cubic Foot” means a volume of Gas occupying a space of one cubic foot at a temperature of 60° Fahrenheit
at 14.65 pounds per square inch absolute.

 

(m)            
“Day” (or “Daily”) means a period beginning at 9:00 a.m., Central time, on one calendar day and
ending at 9:00 a.m., Central time, on the following calendar day.

 

(n)              
“Dedicated Acreage” means all lands described on Exhibit E.

 

(o)              
 “Dedication” is defined in Article 2.1.

 

(p)              
“Delivery Points” is defined in Article 6.2.

 

(q)              
“Effective Date” is defined in the Preamble.

 

(r)               
“Electrical Power Charges” means the actual cost to Buyer for the electrical power consumed in the operation
of gathering, compression, processing or treating equipment used to gather, compress, process or treat the Committed Gas under
this Agreement.

 

(s)               
“Field Fuel” means the quantity of Gas or other hydrocarbons used or consumed as gathering, compression, treating,
dehydration or other fuel on the Gathering System upstream of the Processing Plant(s) and at points upstream of the Receipt Point(s)
to the extent allocated to Seller by Buyer with respect to the delivery by Seller of Gas at the Receipt Point(s), in order to deliver
Gas to the Processing Plant(s) or in the services performed hereunder, or used or consumed as flared, lost, unaccounted for Gas
or otherwise used or consumed in the operation on such portions of the Gathering System.

 

(t)                
“Firm” means that level of service that has the highest priority call for Similarly Situated Shippers on capacity
of all or any relevant portion of the Gathering System, which service shall not be subject to interruption or curtailment except
for a Permitted Curtailment.

 

(u)              
 “Force Majeure” is defined in Section 11.02 of this Exhibit A.

 

 

    	 	A-2	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

(v)              
“Gas” means natural gas or any mixture of hydrocarbon gases or of hydrocarbon gases and noncombustible gases,
consisting predominantly of methane.

 

(w)            
“Gas Purchase Payment” is defined in Article 4.2.

 

(x)              
“Gathering Fee” is defined in Exhibit C.

 

(y)              
“Gathering System” means Buyer’s gathering facilities, related compression, dehydration, treating, processing
and other facilities, acquired or constructed by Buyer, that are utilized in conjunction with receiving, gathering, processing
and purchasing Seller’s Committed Gas from Receipt Points on Buyer’s gathering facilities and delivering Residue Gas
and Plant Products out of Buyer’s gathering facilities to the Delivery Points and Plant Products Delivery Points for sale,
including the Processing Plant(s).

 

(z)              
“GPM” is defined in Exhibit B.

 

(aa)           
“Gross Heating Value” means the number of Btus produced by the complete combustion, at constant pressure, of
the amount of dry Gas which would occupy a volume of one Cubic Foot at a temperature of 60° Fahrenheit and at a pressure equivalent
to 14.65 pounds per square inch absolute, under standard gravitational force (acceleration 980.665 centimeters per second per second),
with air of the same temperature and pressure as the Gas when the products of combustion are cooled to the initial temperature
of the Gas and air and when the water formed by combustion is condensed to the liquid state. The Gross Heating Value so determined
will be expressed on a real instead of ideal basis, and corrected to adjust for the water vapor content at the pressure and temperature
of the Gas delivered, expressed in Btu per Cubic Foot and reported at a pressure base of 14.65 pounds per square inch absolute;
provided, however, if the water vapor content of the Gas delivered is seven pounds or less per one million Cubic Feet, the Gas
will be deemed to be dry.

 

(bb)          
“H2S Treating Fee” is defined in Exhibit C.

 

(cc)           
“High Pressure Receipt Points” is defined in Exhibit D.

 

(dd)          
“Impaired Party” is defined in Section 8.04 of this Exhibit A.

 

(ee)           
“Inlet Compression Fee” is defined in Exhibit C.

 

(ff)             
 “Insecure Party” is defined in Section 8.04 of this Exhibit A.

 

(gg)          
“In-Service Date” is the first day of the Month following the Day of initial flow of Seller’s Committed
Gas at the first Receipt Point to receive Committed Gas.

 

(hh)          
“Interests” means any right, title or interest in lands (including pursuant to oil and gas leases) and any right
to produce oil and/or Gas therefrom whether arising from fee ownership, working interest ownership, mineral ownership, leasehold
ownership, or arising from any pooling, unitization, or communitization of any of those rights.

 

    	 	A-3	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

(ii)             
 “Interruptible” means all obligations of Buyer to receive, gather and process Gas, that are designated as such,
as to which Buyer may interrupt its performance for any or no reason.

 

(jj)             
“Low Pressure Receipt Points” is defined in Exhibit D.

 

(kk)          
“Maintenance” is defined in Section 2.02 of this Exhibit A.

 

(ll)             
“Maintenance and Meter Fee” is defined in Article 4.3.

 

(mm)     
“Mcf” means one thousand Cubic Feet.

 

(nn)          
“MMBtu” means one million Btu.

 

(oo)          
“Month” means the period beginning at 9:00 a.m., Central time, on the first Day of a calendar month and ending
at 9:00 a.m., Central time, on the first Day of the succeeding calendar month.

 

(pp)          
“Nitrogen Fee” is defined in Section 5.03 of this Exhibit A.

 

(qq)          
“Non-Conforming Gas” is defined in Section 5.06 of this Exhibit A.

 

(rr)             
“Party” or “Parties” is defined in the Preamble.

 

(ss)            
“Permitted Curtailment” means a curtailment and/or interruption of services on the Gathering System attributable
to a Force Majeure declared by Buyer, Maintenance, or because such curtailment and/or interruption is necessary to avoid injury
or harm to Persons or property, to the environment, or to the integrity of Buyer’s System for a reason outside of Buyer’s
control.

 

(tt)             
“Person” means any individual, firm, corporation, trust, partnership, limited liability company, association,
joint venture, other business enterprise or governmental authority.

 

(uu)          
“Plant Fuel” is defined in Exhibit B.

 

(vv)          
“Plant Products” is defined in Exhibit B.

 

(ww)      
“Plant Products Delivery Point” is defined in Article 6.3.

 

(xx)          
“Processing Plant(s)” means the Red Hills I, Red Hills II, Palo Duro or any other cryogenic or refrigeration
plant and associated equipment that Buyer may install on the Gathering System.

 

(yy)          
“Receipt Points” is defined in Article 6.1.

 

(zz)           
“Potential Gallons” is defined in Exhibit B.

 

(aaa)       
“Qualified Institution” means (i) the U.S. office of a commercial bank or trust company (that is not an Affiliate
of either Party) organized under the laws of the United States (or any state or a political subdivision thereof), or (ii) the U.S.
branch of a foreign bank (that is not an Affiliate of either Party), in each case having assets of at least ten billion dollars
($10,000,000,000), and having credit ratings of at least "A-" by Standard & Poor's Financial Services LLC, a subsidiary
of The McGraw-Hill Companies, Inc. (or its successor) or at least "A3" by Moody's Investors Service, Inc.(or its successor).

 

    	 	A-4	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

(bbb)      
“Residue Gas” is defined in Exhibit B.

 

(ccc)       
“Seller” means Lilis Energy, Inc., a Nevada corporation.

 

(ddd)      
“Seller’s Fixed Field Fuel” is defined in Article 5.2.

 

(eee)       
“Seller’s Fixed FL&U” is defined in Article 5.2.

 

(fff)          
“Seller’s Fixed Plant Fuel is defined in Article 5.2.

 

(ggg)      
“Shrinkage” is defined in Exhibit B.

 

(hhh)      
“Similarly Situated Shipper” means any other shipper of Buyer that has contracted for gathering and/or processing
services with Buyer pursuant to an acreage and/or lease dedication with financial commitments tied to minimum volumes of Gas less
than [**] Mcf/day.

 

(iii)           
“Taxes” means all taxes, assessments, allowances, charges or costs imposed by any law, rule, regulations or
other government authority or paid or incurred by Buyer in response to, or to comply with, any law, rule or regulation or other
government authority, including to comply with any emissions limitations (which costs include the costs of any allowances that
are required to be purchased by or on behalf of Buyer to comply with such emissions limitations).

 

(jjj)           
 “Weighted Average Sales Price” for Residue Gas means the price obtained each Month by dividing the market sales
proceeds obtained under arms-length transactions with unaffiliated third parties without marketing fees at the various Delivery
Points by the total MMBtu quantities of Residue Gas owned or controlled by Buyer and sold at the various Delivery Points.

 

(kkk)      
“Year” means a period of 365 consecutive Days, provided that any calendar year containing the date of February
29 will consist of 366 consecutive Days.

 

Section 1.02         
Interpretation.

 

(a)              
All references in this Agreement to articles, sections, subsections and other subdivisions refer to corresponding articles,
sections, subsections and other subdivisions of this Agreement unless expressly provided otherwise.

 

(b)              
Titles appearing at the beginning of any of such subdivisions are for convenience only and will not constitute part of such
subdivisions and will be disregarded in construing the language contained in such subdivisions.

 

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    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

(c)              
The words “this Agreement,” “this instrument,” “herein,” “hereof,” “hereby,”
“hereunder” and words of similar import refer to this Agreement as a whole and not to any particular subdivision unless
expressly so limited.

 

(d)              
Words in the singular form will be construed to include the plural and vice versa, unless the context otherwise requires.
Pronouns in masculine, feminine and neuter genders will be construed to include any other gender.

 

(e)              
Examples will not be construed to limit, expressly or by implication, the matter they illustrate.

 

(f)               
Unless the context otherwise requires or unless otherwise provided herein, the terms defined in this Agreement which refer
to a particular agreement, instrument or document also refer to and include all renewals, extensions, modifications, amendments
or restatements of such agreement, instrument or document, provided that nothing contained in this subsection will be construed
to authorize such renewal, extension, modification, amendment or restatement.

 

(g)              
The word “or” is not intended to be exclusive and the word “includes” and its derivatives means
“includes, but is not limited to” and corresponding derivative expressions.

 

(h)              
No consideration will be given to the fact or presumption that one party had a greater or lesser hand in drafting this Agreement.

 

Section II.

Field Equipment

 

Section 2.01       
Seller’s Equipment; Gathering System.

 

(a)              
Seller agrees to furnish, install and maintain all equipment upstream of the Receipt Point(s) necessary for the proper,
safe and efficient operation and maintenance of Seller’s wells and to enable it to make delivery of Committed Gas in accordance
with this Agreement.  This equipment must include valves and fittings necessary to permit Buyer to make its connections at
the Receipt Points that will permit Seller to regulate deliveries from its wells according to Buyer’s requirements, including
equipment that may be necessary to prevent freezing during the varying deliveries from the wells.  Seller agrees to install
pressure control equipment at its wellhead or other appropriate location. Seller must furnish any information reasonably requested
by Buyer regarding Seller’s well equipment or any of its delivery lines for the purpose of Buyer providing the services hereunder.
Seller will operate its wells in a good and workmanlike manner.

 

(b)              
Buyer shall, at its sole risk, cost and expense, design, construct, maintain and operate the Gathering System, including
any and all facilities required to connect each Receipt Point to the Gathering System, as necessary to perform the services and
all its obligations under this Agreement in a good and workmanlike manner in accordance with standards customary in the industry.
Buyer will design and shall expand, and may add or remove components of the Gathering System, as it determines to be best in its
capacity as a prudent operator, provided that such design and structure are consistent with the full performance of Buyer’s
obligations and Services hereunder. Buyer shall use best efforts (including, but not limited to, the exercise of any eminent domain
rights) to obtain all servitudes, right-of-way grants, permits, permissions or licenses from any Person (other than a governmental
authority, whether federal, state, local, tribal or any other political subdivision) to enable Buyer to perform the services and
all of its obligations under this Agreement. Except for the service fees set forth on Exhibit C or as otherwise expressly provided
in this Agreement, Seller shall have no responsibility for the cost of the Buyer’s System or any facilities constructed or
to be constructed by Buyer.

 

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    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section 2.02       
Operational Control. Buyer will be entitled to full and complete operational control of its facilities and will be
entitled to schedule deliveries and to operate and reconfigure its facilities in a manner which, in Buyer’s reasonable business
judgment, is consistent with its obligations under this Agreement. Buyer will be entitled, without liability, to interrupt its
performance under this Agreement to perform necessary or desirable inspections, maintenance, testing, alterations, modifications,
expansions, connections, repairs or replacements to its facilities as Buyer deems necessary in its sole good faith discretion (“Maintenance”),
with reasonable notice provided to Seller, except in cases of emergency where such notice is impracticable or in cases where the
operations of Seller are not expected to be affected. Buyer will exercise reasonable diligence to schedule routine repairs and
maintenance so as to minimize disruption of service hereunder. Buyer will schedule and provide reasonable prior notice (but, in
any event, no less than 15 days’ prior notice) to Seller in advance of any plant turnarounds, shut downs associated with
tie-ins of new processing or fractionation trains or other major maintenance. In all cases, Buyer will provide reasonable prior
notice (but, in any event, no less than 15 days’ prior notice) to Seller prior to the commencement of any planned maintenance
or repairs that would cause an interruption or curtailment of service hereunder. Written notice with reasonably full particulars
of the event or occurrence, as well as Buyer’s plans for addressing the reason for the interruption or curtailment, is required
within a reasonable time prior to the commencement of the event or occurrence (but, in any event, no less than 15 days’ prior
notice). In situations reasonably perceived by Buyer to be emergencies, Buyer shall use commercially reasonable efforts to provide
reasonable prior notice to Seller of such repairs or maintenance.

 

Section 2.03       
No Processing. Seller will not and will not permit others to strip liquid hydrocarbons in the field or elsewhere
from the Committed Gas to be delivered under this Agreement other than by usual separation methods.

 

Section 2.04       
Commingling. Buyer shall be entitled to commingle the Committed Gas with other Gas delivered to the Gathering System
from other shippers; provided, however, any such commingling of the Committed Gas shall not adversely affect the quality of such
Committed Gas or merchantability of such Committed Gas, or limit or reduce Buyer’s redelivery obligations hereunder with
respect to such Committed Gas. 

 

Section 2.05       
[**]. If it becomes [**], then [**]and [**]provided, however, [**].

 

Section 2.06       
[**]. At any time within the [**]. If such [**]percent ([**]%) of the [**] or [**].

 

Section 2.07       
Reduced Fees for Curtailment. Notwithstanding anything to the contrary set forth herein, without limiting any other
remedies available to Seller, including temporary or permanent releases, in the event that receipts of Committed Gas are curtailed
in whole or part or services hereunder are curtailed for any reason other than a Permitted Curtailment (including as a result of
Buyer’s failure to maintain pressures pursuant to Section VI of this Exhibit A), for a period of at least [**] Days
[**] Days [**] Day period, then for a period equal to [**] times the number of Days of curtailment, the fee(s) payable by Seller
set forth on Exhibit C shall be reduced by [**]% at the affected Receipt Point(s).

 

    	 	A-7	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section 2.08       
Excessive Downtime. Notwithstanding anything to the contrary set forth herein, without limiting any other remedies
available to Seller, including temporary or permanent releases, commencing on the first day of the In-Service Date, in the event
that during any [**] Month period, the downtime period (excluding any downtime attributable to Force Majeure or emergency conditions
existing on the Gathering System) for all or any portion of Gathering System when receipts of Committed Gas are curtailed in whole
or part or services hereunder are curtailed during such [**] Month period is in excess of [**] percent ([**]%), then the fee(s)
payable by Seller set forth on Exhibit C shall be reduced by [**]% for the [**] Month period immediately following.

 

Section III.

Measuring Equipment and Testing

 

Section 3.01       
Measuring Equipment. Buyer, or its designee, will maintain and operate at its own expense the measuring stations
at the Receipt Points through which Committed Gas delivered to Buyer will be measured. Seller may install, maintain and operate,
at its own expense, such check measuring equipment as desired by Seller; provided, that such equipment must be installed so as
not to interfere with the operation of Buyer’s, or its designee’s, measuring equipment. Further, Buyer shall provide
Seller with real-time access to all SCADA, measurement, pressure and other measurement data with respect to Committed Gas delivered
to Buyer and generated by equipment at the Receipt Point(s) through which Committed Gas is measured.

 

Section 3.02       
Measurement Standards. The measuring equipment will be constructed, installed and operated, and have computations
for Gas measurement performed in accordance with the following standards, depending on the type of meters used:

 

(a)              
Orifice Meters - in accordance with ANSI/API 14.3.2 (American Gas Association Report No. 3), Orifice Metering
of Natural Gas and Other Hydrocarbon Fluids, Fourth Edition, dated April 2000, and any subsequent amendments, revisions or
modifications thereof, and will include the use of flange connections. Should Gas pulsation problems occur upstream of the Receipt
Point meter, Seller will promptly take all actions necessary to mitigate such pulsation upstream of the Receipt Point meter.

 

(b)              
Positive Displacement Meters - in accordance with the American Gas Association Measurement Committee Report No. 6
(American Gas Association Report No. 6) dated January 1971, and any subsequent amendments, revisions or modifications thereof.

 

(c)              
Turbine Meters - in accordance with the American Gas Association Measurement Committee Report No. 7 (American Gas
Association Report No. 7), First Revision, dated November 1984, and any subsequent amendments, revisions or modifications thereof.

 

    	 	A-8	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

(d)              
Electronic Transducers and Flow Computers (solar and otherwise) - in accordance with the applicable American Gas
Association standards, including but not limited to American Gas Association Measurement Committee Report Nos. 3, 5, 7 and any
subsequent amendments, revisions, or modifications thereof.

 

(e)              
Ultrasonic Meters - in accordance with the American Gas Association Measurement Committee Report No. 9 (American
Gas Association Report No. 9), dated June 1998, and any subsequent amendments, revisions or modifications thereof.

 

Notwithstanding anything contained in this
Section 3.02 to the contrary, Buyer, or its designee, will not be required to replace or make any alterations to its existing
measuring equipment as a result of any subsequent amendments, revisions or modifications of the American Gas Association Reports
cited in Subparagraphs (a) through (e) of this Section 3.02.

 

Section 3.03       
Seller’s Representative and Right to Verify. Buyer will give reasonable notice to Seller in order that Seller
may have a representative present to observe any cleaning, changing, repairing, inspecting, testing, calibrating, or adjusting
of Buyer’s measuring equipment at the Receipt Points. The official recordings from the measuring equipment are the property
of Buyer or its designee. Within two weeks of a request from Seller, Buyer or its designee will submit its meter records, together
with calculations therefrom, to Seller for inspection and verification.

 

Section 3.04       
Meter Calibration and Adjustment. The accuracy of measuring equipment will be verified by Buyer, or its designee,
and, if requested, in the presence of a representative of Seller.  Buyer will provide Seller reasonable notice prior to any
meter testing so that Seller may have a representative present during such testing. Buyer or its designee will verify the accuracy
of such equipment once every three Months unless Seller requests a special test as described below; provided, however, that when
Daily deliveries average [**] Mcf per day or less during any Month, then the accuracy will be verified once every six Months and
when daily deliveries of Gas at any Receipt Point average [**] Mcf per Day or greater during any Month, the accuracy of the measuring
equipment at such Receipt Point will be verified once every Month.  If, upon any test, the measuring equipment is found to
be inaccurate by [**]% or less, previous readings of such equipment will be considered correct in computing the deliveries of Committed
Gas, but such equipment will immediately be adjusted to record accurately.  If, upon any test, the measuring equipment is
found to be inaccurate by more than [**]% of the average flow rate since the last test, then any previous recordings of such equipment
will be corrected for any period which is known definitely or agreed upon in accordance with the procedure set forth in Paragraph
(e) of this Section III.  If such period is not known or agreed upon, such correction will be made for a period covering
one-half of the time elapsed since the date of the latest test.  If Seller desires a special test of any measuring equipment,
at least 72 hours advance notice will be given to Buyer or its designee by Seller, and both Parties will cooperate to secure a
prompt test of the accuracy of such equipment.  If the measuring equipment so tested is found to be inaccurate by [**]% or
less, Buyer or its designee will have the right to bill Seller for the costs incurred due to such special test, including any labor
and transportation costs, and Seller will pay such costs promptly upon invoice therefor.

 

    	 	A-9	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section 3.05       
Meter Out of Service or Repair. If, for any reason, any measurement equipment is out of adjustment, out of service,
or out of repair and the total calculated hourly flow rate through each meter run is found to be in error by an amount of the magnitude
described in Section 3.04, the total quantity of Gas delivered will be redetermined in accordance with the first of the
following methods which is feasible:

 

(a)              
By using the registration of any check meters, if installed and accurately registering (subject to testing as described
in Section 3.04); or

 

(b)              
Where parallel multiple meter runs exist, by calculation using the registration of such parallel meter runs; provided that
they are measuring Gas from upstream headers in common with the faulty metering equipment, are not controlled by separate regulators,
and are accurately registering; or

 

(c)              
By correcting the error by rereading of the official meter data, or by straight forward application of a correcting factor
to the quantities recorded for the period (if the net percentage of error is ascertainable by calibration, tests or mathematical
calculation); or

 

(d)              
By estimating the quantity, based upon deliveries made during periods of similar conditions when the meter was registering
accurately.

 

Section 3.06       
Preservation of Records. Buyer or its designee will retain and preserve for a period of at least two Years all test
data and other similar records.

 

Section 3.07       
Right to Shut-Off. In the event of an emergency, or the failure of Seller to regulate the deliveries of Gas at the
times requested by Buyer, Buyer will have the right to shut-off the flow of Seller’s Gas at the Receipt Points, and Buyer
will not be liable to Seller for any damage that may result to Seller’s equipment, facilities or wells as a result. Buyer
agrees to notify Seller as soon as reasonably practicable if it becomes necessary to take the foregoing action.

 

Section IV.

Measurement Specifications

 

The measurements of the quantity and quality
of all Gas delivered at the Receipt Points will be conducted in accordance with the following:

 

Section 4.01       
The unit of volume for measurement will be one Cubic Foot. Such measured volumes will be multiplied by their Gross Heating
Value and divided by 1,000,000 to determine MMBtu delivered hereunder.

 

Section 4.02       
The temperature of the Gas will be determined by a recording thermometer installed so that it may record the temperature
of the Gas flowing through the meters, or such other means of recording temperature as may be mutually agreed upon by the Parties.
The average of the record to the nearest 1° Fahrenheit, obtained while Gas is being delivered, will be the applicable flowing
Gas temperature for the period under consideration.

 

    	 	A-10	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section 4.03       
The specific gravity of the Gas will be determined by a recording gravitometer or chromatographic device installed and located
at a suitable point to record representative specific gravity of the Gas being metered or, at Buyer’s or its designee’s
option, by continuous sampling using standard type methods.  If a recording gravitometer or chromatographic device is used,
the gravity to the nearest one-thousandth obtained while Gas is being delivered will be the specific gravity of the Gas used for
the recording period. The gravity to the nearest one-thousandth will be determined monthly from the continuous Gas analysis. 
The result should be applied during such Month for the determination of Gas volumes delivered.

 

Section 4.04       
Adjustments to measured Gas volumes for the effects of supercompressibility will be made in accordance with accepted American
Gas Association standards. Buyer or its designee will obtain appropriate carbon dioxide and nitrogen mole fraction values for the
Gas delivered as may be required to compute such adjustments in accordance with standard testing procedures. At Buyer’s or
its designee’s option, equations for the calculation of supercompressibility may be taken from either the American Gas Association
Manual for the Determination of Supercompressibility Factors for Natural Gas, dated December, 1962 (also known as the “NX-19
Manual”) or American Gas Association Report No. 8, dated December 1985, Compressibility and Supercompressibility for Natural
Gas and Other Hydrocarbon Gases, latest revision.

 

Section 4.05       
For purposes of measurement and meter calibration, the atmospheric pressure for each of the Receipt Points will be assumed
to be the pressure determined by Buyer and Seller, or their respective designee, for the elevation at which such point is located
pursuant to generally accepted industry practices, irrespective of the actual atmospheric pressure at such points from time to
time.

 

Section 4.06       
The Gross Heating Value of the Gas delivered at the Receipt Points will be determined from the samples obtained in the continuous
sampling as provided in Section 4.03.

 

Section 4.07       
Other tests to determine water content, sulfur, and other impurities in the Gas will be conducted whenever requested by
either Party and will be conducted in accordance with standard industry testing procedures. When requested by Seller to perform
such tests, Buyer or its designee will bear the cost of such tests only in the event the Gas tested is determined not to be within
the quality specification set forth below. If the Gas is within such quality specification, then Seller will bear the cost of such
tests.

 

Section 4.08       
New Measurement Techniques. If, at any time during the term of this Agreement a new method or technique is developed
with respect to Gas measurement or the determination of the factors used in such Gas measurement, then such new method or technique
may, at Buyer’s reasonable discretion, be substituted for the method set forth in this Section 4 when such methods
or techniques are in accordance with the currently accepted standards of the American Gas Association and are reasonably expected
to provide no less accurate and verifiable bases of measurement.

 

    	 	A-11	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section V.

Quality

 

Section 5.01       
Quality Specifications. All Committed Gas delivered by Seller to Buyer at the Receipt Points must conform to the
following specifications:

 

(a)              
Hydrogen Sulfide: Subject to the provisions of subparagraph (g) below, the Committed Gas must not contain more than
[**] of hydrogen sulfide per 100 Cubic Feet of Gas as determined by quantitative tests.

 

(b)              
Total Sulfur: Subject to the provisions of subparagraph (g) below, the Committed Gas must not contain more than [**]
of total sulfur per 100 Cubic Feet of Gas as determined by quantitative tests.

 

(c)              
Temperature: The Committed Gas must not have a temperature less than [**] Fahrenheit or more than [**] Fahrenheit.

 

(d)              
Carbon Dioxide: Subject to the provisions of subparagraph (g) below, the Committed Gas must not contain an amount
of carbon dioxide in excess of [**]% by volume of carbon dioxide at the Receipt Points.

 

(e)              
Oxygen: The Committed Gas must contain no oxygen.

 

(f)               
Nitrogen: Subject to the provisions of subparagraph (g) below, the Committed Gas must not contain an amount of nitrogen
in excess of [**]% by volume of nitrogen at the Receipt Points.

 

(g)              
Nonhydrocarbons: Notwithstanding the foregoing provisions of this Section 5 to the contrary, the Committed
Gas must not contain an amount of non-hydrocarbons in excess of such amount that, after processing the Committed Gas, results in
Residue Gas attributable to Seller containing more than [**] mole % total non-hydrocarbons. Non-hydrocarbons will include, but
not be limited to, hydrogen sulfide, sulfur, carbon dioxide, oxygen, helium and nitrogen.

 

(h)              
Objectionable Liquids and Solids and Dilution: The Committed Gas must be free of objectionable liquids and solids,
and must be commercially free from dust, gums, gum-forming constituents, and other liquids or solid matter which might become separated
from the Gas in the course of transportation through pipelines.

 

(i)                
Gross Heating Value: The Committed Gas must not have a gross heating value less than 950 Btu per Cubic Foot of Gas.

 

(j)                
Mercaptan Sulfur: Subject to the provisions of subparagraph (g) above, the Committed Gas must not contain more than
[**] of mercaptan sulfur per 100 Cubic Feet of Gas as determined by quantitative tests.

 

(k)              
Water Vapor: The Gas must not contain more than [**] pounds of water vapor per MMcf.

 

    	 	A-12	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

Section 5.02       
Additional Quality Specifications. Buyer’s downstream transporters may notify Buyer of different or additional
quality specifications required for the operation of transporter’s pipeline. Buyer will notify Seller of any such different
or additional specifications as soon as reasonably practicable after being notified by any such downstream transporters. If the
Committed Gas delivered by Seller should fail to meet any of the quality specifications specified in Section 5.01, then
Buyer will notify Seller and Seller will make a diligent effort to correct the situation. Buyer will have the right to refuse to
accept such Gas for so long as Seller does not deliver Committed Gas conforming to such specifications, and such Committed Gas
not received by Buyer will be automatically released according to Article 2.3 of this Agreement.

 

Section 5.03       
Treating; Dehydration; Nitrogen Rejection. If Committed Gas delivered contains carbon dioxide in excess of that specified
in this Section V, Seller agrees to pay Buyer the CO2 Treating Fee. If Committed Gas delivered contains hydrogen
sulfide in excess of that specified in this Section V, Seller agrees to pay Buyer the H2S Treating Fee. If Committed
Gas delivered contains nitrogen in excess of that specified in this Section V, Seller agrees to pay Buyer a nitrogen fee
per Mcf of Committed Gas received by Buyer at the Receipt Points specified in Exhibit C (the “Nitrogen Fee”). Dehydration
for the Low Pressure Receipt Points and the Crittendon Field Station HP Receipt Point will be the responsibility of Buyer to insure
all Gas complies with Section 5.01, (k) above. Seller, at Seller’s cost and expense, will dehydrate all Committed
Gas delivered to the PWC Receipt Points. Seller will not be charged a dehydration fee with respect to any dehydration services
performed by Buyer.

 

Section 5.04       
Processing. Buyer shall process or have processed the Committed Gas delivered by Seller at the Receipt Points subject
to the terms of Exhibits B and C attached hereto and made a part hereof.

 

Section 5.05       
Electrical Power Charges. In addition to any applicable compression, processing and treating fees, if Buyer installs
electrical equipment for any reason, in lieu of installing equipment that can or traditionally is operated through combustion of
fuel, then Seller will pay the Electrical Power Charges, prorated on an Mcf basis, incurred by Buyer associated with respective
gathering, compression, processing and/or treating of the Committed Gas.

 

Section 5.06       
Seller’s Liability For Delivery of Non-Conforming Gas. If, prior to Buyer’s knowledge, the Committed
Gas delivered by Seller or its designee does not comply with the Gas quality specifications set forth in Section 5.01 or
Section 5.02 (“Non-Conforming Gas”), then Seller will be responsible for, and will indemnify, defend and hold
harmless Buyer against any and all Claims arising from, related to or in any way connected with Seller’s delivery of Non-Conforming
Gas upon reasonable proof that damages were due to Seller’s Non-Conforming Gas, except to the extent attributable to the
gross negligence or willful misconduct of Buyer, or to the extent such Claims have been waived.  The provisions of this Section
5.06 will not apply if Buyer knowingly accepts Seller’s Non-Conforming Gas, or if Buyer continues to accept such Non-Conforming
Gas after a thirty (30) day period following the commencement of deliveries of such Non-Conforming Gas. Notwithstanding anything
to the contrary set forth herein, in the event that Buyer either knowingly accepts such Non-Conforming Gas or continues to accept
such Off-Specification Receipts for thirty (30) days following the commencement of deliveries of such Non-Conforming Gas, Seller
shall not be liable for any Claims or other damages caused by or resulting from such Non-Conforming Gas, and Buyer hereby waives
its claims against Seller with respect to any such Claims or damages.

 

    	 	A-13	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section 5.07       
Delivery Point Specifications. If Seller delivers Gas to Buyer at the Receipt Points that meets the quality specifications
of this Agreement, or with respect to Non-Conforming Gas that Buyer knowingly accepts following the commencement of deliveries
of such Non-Conforming Gas, then Buyer shall redeliver Gas and Plant Products that meets the most restrictive quality specifications
required from time to time at a Delivery Point or Plant Product Delivery Point by Buyer’s downstream transporters, and Buyer
shall be responsible for, and will indemnify, defend and hold harmless Seller, its Affiliates, and their respective subsidiaries,
shareholders, members, partners, officers, directors, employees, and agents against any and all Claims or damages caused by or
resulting from Buyer’s failure to meet such Delivery Point or Plant Product Delivery Point quality specifications with respect
to such Gas and Plant Products re-delivered at any such Delivery Point or Plant Product Delivery Point, except to the extent attributable
to the negligence, gross negligence or willful misconduct of any such indemnified party.

 

Section 5.08       
Additives. Seller must notify Buyer in writing at least ten Days in advance of the introduction or injection of any
chemicals, corrosive inhibitors, or other additives to well, pipelines or other equipment. Seller must include the name of the
manufacturer and trade name of the additive in the notice. Buyer may refuse to accept any Gas containing additives that Buyer believes
may have adverse effects to its equipment or operations or to the value of the Committed Gas. Seller must reimburse Buyer for all
expenses incurred by Buyer in connection with the introduction of any such additives.

 

Section VI.

Delivery Pressure

 

Buyer will endeavor to maintain, under
normal operating conditions, all Low Pressure Receipt Point pressures at approximately [**] psig, and all High Pressure Receipt
Points pressures at approximately [**] psig. Subject to Article 5.1 and Exhibit C of the Agreement, Seller will deliver
Gas at the Receipt Points hereunder at a pressure sufficient to enter the Gathering System at each such point and not to exceed
the maximum allowable operating pressure of the Gathering System at such point. Notwithstanding the above, in no event shall Seller
be required to deliver Gas hereunder at a pressure exceeding [**] psig at the Low Pressure Receipt Points and [**] psig at the
High Pressure Receipt Points, and if the average operating pressure of the Gathering System for any month at any Low Pressure Receipt
Point exceeds [**] psig or at High Pressure Receipt Point exceeds [**] psig, then those volumes of the affected Committed Gas shall
be subject to Seller’s rights under Article 2.3. Additionally, if the average operating pressure of the Gathering
System at any Low Pressure Receipt Point exceeds [**] psig or at High Pressure Receipt Point exceeds [**] psig for a period of
at least [**] consecutive Days or for [**] Days out of a consecutive [**] Day period, then at Seller’s option and upon written
notice to Buyer, Seller shall be granted a permanent release from Dedication to this Agreement of such Receipt Point(s), the affected
Interests and all existing and future wells behind such Receipt Point(s), and all of such Committed Gas produced or producible
therefrom. For purposes of this Section VI, the Parties acknowledge and agree that any deviation in pressure levels that
are of no fault of Seller and that average in excess of the levels prescribed in the foregoing sentence over a measurement day
shall be deemed to be a deviation lasting for a period of one (1) Day.

 

    	 	A-14	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section VII.

Taxes

 

Buyer will be responsible for and will
pay all Taxes assessed or levied on the Committed Gas on or after its delivery to or for the account of Buyer at the Receipt Points,
and Seller will be responsible for and will pay all Taxes assessed or levied on the Committed Gas prior to its delivery to or for
the account of Buyer at the Receipt Points. Buyer and Seller agree that the price and payments tendered hereunder are inclusive
of the reimbursement of 100% of all Taxes (including all gross production, severance or any other Taxes required by law, as of
the Effective Date, to be paid to any applicable governmental authority, by Seller, with respect to the production of Committed
Gas delivered under this Agreement), transportation charges, expenses and costs attributable to the gas prior to its delivery to
Buyer at the Receipt Points. Notwithstanding anything herein to the contrary, Seller shall have no responsibility for any income
taxes, franchise taxes, ad valorem taxes, and property taxes of Buyer, or other similar taxes, fees, or assessments imposed by
any governmental authority with respect to the Gathering System and ownership and operation thereof, the payment of such taxes
being the sole responsibility of Buyer.

 

Section VIII.

Billings and Payments

 

Section 8.01       
Invoices and Payment. On or before the twenty-fifth (25th) Day of each Month, Buyer will render to Seller
a statement setting forth (i) the total Mcf and MMBtu of Committed Gas accepted by Buyer at the Receipt Points during the preceding
Month, (ii) the amount of Seller’s Fixed FL&U, Shrinkage, Plant Products and Residue Gas allocated to Seller in accordance
with Exhibits B and C, (iii) the Gas Purchase Payment amount due Seller (as reduced in accordance with Article 4.2 of this
Agreement), and (iv) the amount due to Buyer from Seller for all fees and charges contemplated under this Agreement. Buyer will
pay to Seller the net amount due on or before the twenty-fifth (25th) Day of the Month following the Month in which
the applicable statement was delivered to Seller. However, if an invoice and payment are due on a Day that is not a Business Day,
such invoice and payment will be due on the next Business Day. It is Seller’s responsibility to provide to Buyer any information
in Seller’s, or its designee’s, possession that is necessary for Buyer’s calculation or payment of the amounts
due hereunder. If such information is not provided to Buyer on or before the tenth Day of the Month in which the statement and
payment are due, then the time for payment by Buyer will be extended for a period of time equal to the delay. Late payments shall
accrue interest at the Annual Prime Rate plus 2.0% or the maximum allowed by law, whichever is less, exclusive of the date such
late payment is made.

 

Section 8.02       
Audit. Each Party will have the right at all reasonable times during the term of this Agreement to audit the records
of the other Party to the extent necessary to verify performance under any of the terms and conditions of this Agreement, provided
that an adjustment may be made under Section 8.03 of this Exhibit A and to the extent that each Party will protect the confidentiality
of such records.

 

    	 	A-15	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

Section 8.03       
Billing Adjustments. Each Party must promptly notify the other Party of any error that is discovered after payment
has been made. Within thirty Days of such notice, Seller will refund to Buyer the amount of any error made in its favor, and Buyer
will pay to Seller the amount of any error made in its favor, as the case may be; provided, however, that (no retroactive adjustments
will be made for any error that is not submitted to the other Party in writing within twenty-four Months from the end of the production
month for which the error was made. The provisions of this Section 8.03 will survive the termination of this Agreement.

 

Section 8.04       
Adequate Assurances. When reasonable grounds for insecurity of payment or performance arise with respect to a Party
(the “Impaired Party”), including, without limitation, as a result of the occurrence of a material change in the creditworthiness
of the Impaired Party or the Impaired Party’s failure to timely pay any amounts due hereunder), the other Party (the “Insecure
Party”) may demand adequate assurance of performance, and in the absence of the provision of such assurance from the Impaired
Party within two (2) Business Days of request, suspend further performance and/or exercise its rights under Section XII,
including the right to terminate this Agreement. Adequate assurance shall mean security in the form, amount and for the term reasonably
specified by the Insecure Party, including, but not limited to, a standby irrevocable letter of credit issued by a Qualified Institution,
a prepayment or a guarantee by an entity deemed creditworthy at the sole discretion of the Insecure Party, advance cash payment
or other satisfactory security reasonably acceptable to the Insecure Party.

 

Section IX.

Title, Possession and Responsibility

 

Subject to Seller’s take “in
kind” rights pursuant to Article 4.5, title to all Committed Gas (including Plant Products contained in Committed
Gas) delivered to Buyer under this Agreement will pass to Buyer at the Receipt Points, and Seller hereby conveys the Gas (and Plant
Products in the Gas) to Buyer, free and clear of any adverse claims, liens or encumbrances of any nature. In the event that Seller
exercises its take “in kind” rights pursuant to Article 4.5, title to all Committed Gas (including Plant Products
contained therein) taken in-kind and allocated to Seller hereunder as Seller’s Residue Gas or Seller’s Plant Products
(pursuant to Exhibit B) shall remain in Seller at all times; provided, however, title to Seller’s Fixed FL&U and the
portion of such Committed Gas not allocated to Seller as Seller’s Residue Gas or Seller’s Plant Products (pursuant
to Exhibit B) shall transfer to Buyer at the Receipt Points.   Except as otherwise provided in this Agreement, as between
the Parties, Buyer will be deemed in possession of and solely liable and responsible for Gas after its delivery at the Receipt
Points and Seller will be deemed in possession of and solely liable and responsible for said Gas at all times prior to such delivery;
provided, however, in the event that Seller exercises its take “in kind” rights pursuant to Article 4.5, Seller
will be deemed in possession of and solely liable and responsible for said Gas and Plant Products recovered therefrom at all times
after re-delivery by Buyer at the Delivery Points and Plant Product Delivery Points.  Each Party will release, indemnify and
defend the other Party, its Affiliates, and their respective subsidiaries, shareholders, members, partners, officers, directors,
employees, and agents for and save such indemnified parties harmless from, any and all Claims (including with respect to any lost
Gas) incurred by such indemnified parties caused by the Gas (and Plant Products) in the indemnifying Party’s possession except
to the extent contributed to by a material breach of this Agreement, or the grossly negligent act or omission of any such indemnified
party; provided, however, each Party is responsible for any injury or damage due solely to any defect in any equipment that it
furnished or installed, regardless of where it occurs.  If both Parties are at fault, each is liable to the extent of its
degree of fault.

 

    	 	A-16	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section X.

Warranty of Title and Indemnity

 

Seller hereby warrants that it has good,
merchantable title to all Committed Gas delivered to Buyer hereunder, and that such Committed Gas is free and clear of all liens,
encumbrances and claims whatsoever. Seller agrees to indemnify and defend Buyer and its partners, officers, employees and agents
and save it and its partners, officers, employees and agents harmless from all suits, actions, debts, fines, penalties, accounts,
damages, costs, losses and expenses (including attorneys’ fees) arising from or out of: (i) any adverse claims of any and
all persons or entities to or against such Committed Gas (including Plant Products contained in Committed Gas); (ii) any taxes,
fees or charges arising from or out of the receipt and purchase of such Committed Gas (including Plant Products contained in Committed
Gas) by Buyer; and (iii) the breach of any representations made in this Agreement by Seller. Buyer may, at any time when in Buyer’s
opinion the ownership or title to all or part of said Committed Gas (including Plant Products contained in Committed Gas), or of
any lands or leases from which such Committed Gas is produced, may be in a party or parties other than Seller, or upon learning
of any regulatory requirement or any other claim, lien, taxes, royalties, fees, expenses or other adverse claims, retain as security
for the performance of Seller’s obligations with respect thereto, the entire purchase price of Seller’s Residue Gas
and Seller’s Plant Products, without interest, until Buyer has been satisfied to the amount of such ownership interest or
the claim has been finally determined and satisfied or until Seller will have furnished bond to Buyer in an amount and with sureties
satisfactory to Buyer, conditioned upon the protection of Buyer with respect to such ownership or claims.

 

In the event that Seller exercises its
take “in kind” rights pursuant to Article 4.5, Buyer represents and warrants to Seller that from the time Committed
Gas is received at the Receipt Points to the time of re-delivery of such Gas (including Plant Products contained in Gas) shall
be free and clear of all liens, encumbrances and claims arising by, through, or from any action or failure to act of Seller. Buyer
agrees to indemnify and defend Seller, its Affiliates, and their respective subsidiaries, shareholders, members, partners, officers,
directors, employees, and agents and save it and its directors, officers, employees and agents harmless from all Claims to the
extent arising from or out of: (i) any adverse claims of any and all persons or entities arising by, through, or from any action
or failure to act of Seller to or against such Gas (including Plant Products contained in Gas); (ii) any taxes, fees or charges
arising from or out of the receipt of such Gas (including Plant Products contained in Gas) by Buyer pursuant to this Agreement
allocated to Buyer hereunder; and (iii) the breach of any representations made in this Agreement by Buyer.

 

 

    	 	A-17	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section XI.

Force Majeure

 

Section 11.01   
Notice. If either Party is rendered unable, wholly or in part, by an event of Force Majeure to carry out its obligations
under this Agreement, except with respect to the obligation to pay amounts owing hereunder, the Party so affected must notify the
other Party of the Force Majeure, describing it in reasonable detail. Notice must be given orally as soon as practicable and followed
in writing within a reasonable time. The obligations of the Parties, so far as they are affected by such Force Majeure, will be
suspended during the continuance of the event of Force Majeure, but for no longer period, and such Force Majeure will be remedied
with all reasonable dispatch.

 

Section 11.02   
Definition. “Force Majeure” means occurrences not reasonably within the control of a Party that prevents
its performance under this Agreement, and includes, without limitation: acts of God; strikes, lockouts or other industrial disturbances;
acts of the public enemy or terrorism, wars, blockades, insurrections, civil disturbances and riots, and epidemics; landslides,
lightning, earthquakes, fires, storms, hurricanes and threats of hurricanes, floods and washouts; arrests, orders, requests, directives,
restraints and requirements of the government and governmental agencies, either federal, state or local, civil and military; any
application of governmental conservation or curtailment rules and regulations; failure of downstream transportation; explosions,
breakage or accident to machinery, equipment or lines of pipe; freezing of wells or lines of pipe; premature, partial or entire
failure of natural Gas wells, Gas supply or depletion of Gas reserves; and other causes of a similar nature not reasonably within
the control of the Party claiming suspension. It is understood and agreed that the settlement of strikes or lockouts will be entirely
within the discretion of the Party having the difficulty, and that the requirement of a Party claiming Force Majeure to use reasonable
dispatch will not require the settlement of strikes or lockouts by acceding to the demand of opposing party when such course is
inadvisable or inappropriate in the discretion of the Party having the difficulty. Force Majeure will also include (a) in those
instances where either Party is required to obtain servitudes, right-of-way grants, permits or licenses from any governmental authority,
whether federal, state, local, tribal or any other political subdivision to enable such Party to fulfill its obligations hereunder,
the inability of such Party to acquire, at reasonable cost and after the exercise of reasonable diligence, such servitudes, right-of-way
grants, permits or licenses; and (b) in those instances where either Party is required to furnish materials and supplies for the
purpose of constructing or maintaining facilities or is required to secure permits or permissions from any governmental authority,
whether federal, state, local, tribal or any other political subdivision to enable such Party to fulfill its obligations hereunder,
the inability of such Party to acquire, at reasonable cost and after the exercise of reasonable diligence, such materials, supplies,
permits and permissions.

 

Section XII.

Remedy for Breach

 

Section 12.01   
Right to Terminate. Unless another remedy is specified in this Agreement in which case that remedy will be a Party’s
sole and exclusive remedy, if either Party fails to perform any of its material covenants or obligations in this Agreement or breaches
any of its representations or warranties contained in this Agreement, then the other Party may terminate this Agreement by notifying
the breaching Party of the default in reasonable detail and its election to terminate the Agreement.

 

    	 	A-18	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section 12.02   
Opportunity to Cure. The Party in default will have three (3) Business Days with respect to the failure to post adequate
assurances hereunder, five (5) Business Days with respect to a payment default and thirty (30) Days for other defaults, from receipt
of such notice to remedy the default and to pay or indemnify the other Party for all loss or damage incurred as a result thereof,
and upon failure to do so, this Agreement may be terminated from and after the expiration of such three-Business Day, five-Business
Day or thirty-Day period, as applicable. Any such termination will be an additional remedy and will not prejudice the right of
the Party not in default to collect any amounts due it hereunder and any damage or loss suffered by it and will not waive any other
legal or equitable remedy to which the Party not in default may be entitled for breach of this Agreement.

 

Section
12.03    Anything to the contrary
contained herein notwithstanding, neither Party will be liable or otherwise responsible to the other Party for punitive, special,
consequential, or incidental damages or for lost profits which arise out of or relate to this Agreement or the performance or breach
thereof except to the extent that a Party is required to indemnify the other Party hereunder; provided, however, the foregoing
must not be construed as limiting the obligation of either Party under this Agreement to indemnify the other Party against claims
asserted by third parties, including, but not limited to, consequential, incidental, indirect, punitive or exemplary damages.

 

Section XIII.

Assignment

 

This Agreement will be binding upon and
inure to the benefit of the Parties and their respective successors and assigns.  Either Party may assign its respective rights
and obligations in whole or in part under this Agreement; provided, however, (i) this Agreement may not be transferred or assigned
by either Party without the prior written consent of the other Party, which consent will not be unreasonably withheld or delayed,
and (ii) such permitted assignee of either Party must expressly assume in writing the obligations arising under this Agreement
so assigned. Notwithstanding the foregoing, either Party will have the right to assign this Agreement, in whole or in part, upon
notice to, but without the consent of, the other Party (i) to an Affiliate and (ii) to an acquiring party, upon the sale
or other disposition of all or substantially all of the assigning Party’s interests in the Gathering System or all or any
portion of the Interests dedicated hereunder. From and after any assignment permitted by this Section XIII, the assigning
Party shall have no further liability under this Agreement with respect to the interest so assigned except for liabilities accruing
before the time of such assignment, provided, however, any assignment to an Affiliate will not relieve the assigning Party of any
of its liabilities, obligations, or duties hereunder.

 

    	 	A-19	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section XIV.

Laws and Regulations

 

Section 14.01   
Seller represents and warrants that the Committed Gas sold hereunder to Buyer is deregulated pursuant to the Natural Gas
Wellhead Decontrol Act of 1989 and that the sale of Committed Gas to Buyer, and all sales of such Gas prior thereto, are each a
“first sale” as such term is defined in Section 2(21) of the Natural Gas Policy Act of 1978.

 

Section 14.02   
Each of Buyer and Seller represent and warrant to the other that the Committed Gas delivered under this Agreement will not
have been and will not be sold or resold, transported, commingled, used or consumed in interstate commerce in such a manner that
would subject the Committed Gas, this Agreement, either Party, their designees or the facilities of either Party or their designees
to jurisdiction and/or regulation under the Natural Gas Act of 1938, as amended. If either Party should breach this warranty, the
other Party will have the right, at its option, to terminate this Agreement immediately in addition to any other remedy it may
have under the provisions hereof or at law or in equity.

 

Section
14.03   This Agreement will be governed by and construed in accordance with the
laws of the State of Texas, without regard to the principles of conflicts of laws. 

 

Section 14.04  
The Parties hereby waive a trial by jury of any and all issues arising in any
action or proceeding between the Parties or their successors or permitted assigns, arising under or related to this Agreement,
or any of its provisions.

 

Section XV.

Confidentiality

 

Except as provided below, (i) all terms
of this Agreement, including but not limited to the price paid for Seller’s Residue Gas, Seller’s Plant Products, the
fees charged by Buyer, the identity of any third-party transporting pipelines and the cost of such transportation, and the quantities
of Committed Gas purchased or sold must be kept confidential by the Parties and may not be disclosed to third parties and (ii)
all information relating to Seller’s exploration, production, operations, and related activities, plans and projections that
may be disclosed to Buyer in connection with the activities and transactions contemplated by this Agreement must be kept confidential
by Buyer and may not be disclosed by Buyer to third parties. To the extent information must be disclosed to a third party for the
purpose of (i) transporting Seller’s Residue Gas or Seller’s Plant Products purchased under this Agreement, (ii) to
a royalty owner, preferential right holder or working interest owner to fulfill a written obligation, (iii) to a Party’s
financial advisors, consultants, attorneys, banks, institutional investors, equity providers or financing sources or potential
equity providers or financing sources, or prospective purchasers, (iv) to comply with contractual obligations, or (v) as may be
required by law, regulation, securities and stock exchange rules, or order of any governmental authority of competent jurisdiction
, such information may be disclosed without violating this Section XV; provided that, the Party disclosing the information
only discloses the information that is required to be disclosed pursuant to the advice of outside legal counsel, and, in the case
of (i) – (iv) of this Section XV, such Party advises such third parties receiving the information of the confidentiality
obligations hereunder and such parties agree to keep such information confidential.

 

    	 	A-20	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

Section XVI.

Miscellaneous

  

Section 16.01   
Entire Agreement. This Agreement constitutes the entire Agreement between the Parties with respect to the subject
matter hereof, and there are no agreements, modifications, conditions or understanding, written or oral, expressed or implied,
pertaining to the subject matter hereof which are not contained herein.

 

Section 16.02   
Royalty Payments. Buyer and Seller hereby agree that, as between Seller and Buyer, Seller is responsible for the
payment of any and all proceeds (including all royalty, overriding royalty and production rights) derived from the sale of Gas
to the any and all parties and/or persons legally entitled thereto.

 

Section 16.03   
Counterpart. This Agreement may be executed in several counterparts, each of which will be deemed an original, but
all of which together will constitute one and the same instrument. This Agreement may be executed by facsimile signatures.

 

Section 16.04   
Modification. Modifications of this Agreement will be or become effective only upon the due and mutual execution
of appropriate supplemental agreements or amendments hereto by duly authorized representatives of the respective Parties.

 

Section 16.05   
Easements and Rights-of-Way. Seller agrees to grant to Buyer, upon Buyer’s written request, without warranty
of title, either express or implied, a license and right-of-use, insofar as Seller has the contractual right to grant such license
and right-of-use, to any Interests of Seller for the construction of pipelines and/or facilities necessary for the performance
of this Agreement; provided, however, Seller shall have no obligation under this Section 16.05 if doing so would violate
any existing obligations of the Interests owned by the Seller or require Seller to incur material expenses.

 

Section 16.06   
Waiver. No waiver by either Party of any one or more defaults by the other in the performance of any of the provisions
of this Agreement will operate or be construed as a waiver of any future default or defaults whether of a like or different character.

 

Section 16.07   
No Other Beneficiaries. The provisions of this Agreement will not impart rights enforceable by any person, firm,
or organization not a Party or not a successor or assignee of a Party to this Agreement.

 

Section 16.08   
 Planning Meetings. In order to facilitate the performance of each Party under this Agreement and to allow for the
planning of expansions and modifications to the Gathering System and Receipt Points, the Parties agree that they will meet in person
(unless mutually agreed otherwise) on a quarterly basis to exchange information and develop plans for the delivery and receipt
of Seller’s Gas hereunder. Each Party will ensure the attendance of personnel with appropriate technical capabilities and
expertise to address the subjects to be covered at the meetings. The meeting topics shall be developed by the participants for
each meeting, but shall contemplate at least the following: Seller’s good faith volume forecasts by Receipt Point, nominations
by Receipt Point, anticipated quality by Receipt Point, Seller’s drilling plans, planned outages, system constraints, Gathering
System expansions and expected Gathering System capacity related thereto, any operational issues on the Gathering System, historic
throughput volumes of Gathering System by level of service and priority classification, Buyer's good faith forecasts of throughput
volumes of Gathering System by level of service and priority, Buyer's Gathering System capacity and good faith forecasts of projected
Gathering System capacity and any other issues necessary to support Seller’s delivery and Buyer’s receipt or ability
to receive all of Seller’s Gas from the Receipt Points. Seller and Buyer acknowledge and agree that the information provided
by the Parties pursuant to this Section 16.08 with respect to any plans, forecasts, projections or other forward-looking
statements is only an estimate, and disclosing Party shall have no liability to receiving Party for any differences between the
estimates provided by disclosing Party in good faith and the actual results. In addition, Seller and Buyer acknowledge and agree
that the information provided by the Parties under this Section 16.08 is subject to confidentiality per Section XV of the Agreement.

 

    	 	A-21	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

Section 16.09   
Severability. If a court determines that any part or provision of this Agreement is illegal or unenforceable, then
the court must delete that provision and enforce the remaining provisions.

 

Section 16.10   
Maximum Volumes. In no event will the volumes of Committed Gas that Seller is obligated to sell and deliver to Buyer
or that Buyer is obligated to purchase and receive from Seller under the terms of this Agreement ever exceed the volumes of Gas
that can be legally produced or purchased under the applicable rules and regulations of the Railroad Commission of Texas.

 

Section 16.11   
Reservations by Seller. Seller reserves the following rights from its Dedication of the Committed Gas hereunder:

 

(a)               
The right to use, but not to sell to others, sufficient Committed Gas for Seller’s requirements in the development
and operation of Seller’s leases including, but not limited to, use of Committed Gas for drilling, and workover operations
and gas lift purposes, cycling, re-pressuring and/or pressure maintenance, and well production enhancement;

 

(b)              
The right to pool and unitize the Interests in the Dedicated Acreage with other lands, leases and properties of Seller or
others located in the fields in which the Dedicated Acreage is located; provided, however, the exercise of this right by Seller
may not diminish Buyer’s right or increase its obligations with respect to the Committed Gas produced from the Interests
subject to this Agreement;

 

(c)               
The right to operate the Interests and wells subject to this Agreement in a manner as Seller deems advisable in its sole discretion,
including the right to drill new wells, to repair or rework old wells, to renew in whole or in part any of the Interests covered
by this Agreement and to abandon any well or surrender, release or terminate in whole or in part any of the Interests or cease
production from any well not deemed by Seller to be capable under normal methods of operation of producing in commercial quantities;

 

    	 	A-22	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

  

(d)              
The right to deliver or furnish to Seller’s lessors and holders of other existing burdens on production such Gas as is required
to satisfy the terms of the applicable Interests or other applicable instruments;

 

(e)              
The right to temporarily use facilities of third parties to gather Committed Gas from a well prior to the time that the Gathering
System facilities required to gather such Committed Gas have been completed or during periods of temporary release;

 

(f)               
The right to retain all oil, condensate and other liquid hydrocarbons separated from Committed Gas prior to delivery to Buyer hereunder
by conventional mechanical field separators;

 

(g)              
The right to construct, install, maintain, own and operate any treating, dehydration and/or conditioning facilities upstream of
the Gathering System as reasonably necessary to (i) comply with any environmental, legal, or Interest requirements, or (ii) meet
the quality specifications of the Gathering System and/or the quality specifications of any Buyer’s downstream transporters;

 

(h)              
The right to retain Gas that any of Seller’s non-operators elect to separately take and market; and

 

(i)                
The right to retain any and all Gas that is not Committed Gas dedicated and committed to this Agreement.

 

 

END OF EXHIBIT A

 

    	 	A-23	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

EXHIBIT B

to

GAS GATHERING, PROCESSING AND PURCHASE AGREEMENT

dated as of August __, 2017

between

LUCID ENERGY DELAWARE, LLC

(Buyer)

and

LILIS ENERGY, INC.

(Seller)

 

 

PRICE OF GAS; ALLOCATION METHODOLOGIES

 

		1.	Residue Gas Purchase Price. The purchase price for Seller’s Residue Gas will be a
price per MMBtu equal to [**]% of the Weighted Average Sales Price. The price stated above will be reduced by Seller’s pro-rata
share of any transportation fees, retention of fuel or other fees incurred by Buyer under arms-length transactions with unaffiliated
third parties to deliver Seller’s Residue Gas to its ultimate sales point.

 

		2.	Plant Allocation Methodology. Buyer will process or have processed Seller’s Gas according
to the following methodology.

 

		(a)	Definitions. When used in this Exhibit B, the following terms have the following meanings:

 

		(i)	“Plant Fuel” means the quantity of Gas or other hydrocarbons used or consumed as fuel,
or flared, lost, unaccounted for or otherwise used or consumed in the operation of the Processing Plant.

 

		(ii)	“Plant Products” means the mixture of ethane, propane, isobutane, normal butane, natural
gasoline, and other substances (whether or not hydrocarbons), if any, that are extracted at the processing plant.

 

		(iii)	“Residue Gas” means the volume and associated MMBtu of Gas remaining after deductions
for Plant Fuel, Field Fuel, and the thermal content of Shrinkage attributable to Plant Products.

 

		(iv)	“Shrinkage” means the MMBtus attributable to the extraction of Plant Products in the
processing of Gas.

 

		(b)	Seller’s Residue Gas. Seller’s Residue Gas will be determined each Month by
the following equation:

 

[**] 

where:

 

[**] = [**]

[**] = [**]

[**] = [**]

[**] = [**]

[**] = [**]

* [**]

 

    	 	B-1	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

		(c)	Seller’s Plant Products. The gallons of each component of Plant Products to be allocated
each Month to Seller will be designated as “Y” and determined by the following equation:

 

[**]

where:

[**]
= [**]

[**]
= [**]

[**]
= [**]

[**]
= [**]

[**]
= [**]

*
[**]

 

If Buyer is operating its plants
in recovery mode the following recovery percentage for the applicable component of Plant Product, will be applied to the equation
above:

 

	Ethane (C2)	[**]%
	Propane (C3)	[**]%
	Isobutane (iC4)	[**]%
	Normal Butane (nC4)	[**]%
	Pentanes & Heavier (C5+)	[**]%

 

Notwithstanding the foregoing,
if Buyer is operating its plants in ethane rejection mode then the following recovery percentage for the applicable component of
Plant Product, will be applied to the equation above:

 

	Ethane (C2)	[**]%
	Propane (C3)	[**]%
	Isobutane (iC4)	[**]%
	Normal Butane (nC4)	[**]%
	Pentanes & Heavier (C5+)	[**]%

 

    	 	B-2	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

		(d)	Allocation of Shrinkage. The quantity of Shrinkage to be allocated each Month to Seller
will be determined by converting the amount of each individual component of Seller's Plant Products allocated to Seller’s
Gas in (d) above to its respective gaseous equivalent quantity in MMBtu by using the conversion factors published in the Gas Processor's
Association (GPA) Publication 2145-09, fuel as ideal gas, or any subsequent revision thereof in effect at the time such calculation
is performed, and adjusted to a pressure base of 14.65 psia and a temperature of 60° Fahrenheit. The hexanes plus factor will
be calculated from quarterly fractional analyses of the hexanes and heavier hydrocarbons contained in a typical natural gasoline
sample obtained at the plants.

 

	 	(f)	Plant Product Purchase Price. The purchase price for Seller’s Plant Products will be equal to [**]% of the Monthly average of the weighted actual sales price for each component product sold from the Processing Plants. The actual sales price shall be reduced by [**], all under arms-length transactions to unaffiliated third parties. 

 

 

 

END OF EXHIBIT B

 

    	 	B-3	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

  

EXHIBIT C

to

GAS GATHERING, PROCESSING AND PURCHASE AGREEMENT

dated as of August __, 2017

between

LUCID ENERGY DELAWARE, LLC

(Buyer)

and

LILIS ENERGY, INC.

(Seller)

 

 

SERVICE FEES

 

		1.	Gathering Fee. Seller will pay Buyer a gathering fee equal to $[**] per MMBtu at the Receipt
Points (“Gathering Fee”).

 

		2.	Processing Fee. Seller will pay Buyer a processing fee equal to $[**] per MMBtu at the Receipt
Points (“Processing Fee”).

 

		3.	Inlet Compression Fee. Seller will pay Buyer an inlet compression fee equal to $[**] per
Mcf at the Low Pressure Receipt Points per stage of compression (“Inlet Compression Fee”).

 

		4.	CO2 Treating Fee. If Seller’s gas exceeds the CO2 quality specification
set forth in Section V of Exhibit A Seller will pay Buyer a CO2 Treating Fee per Receipt Point Mcf. The CO2
Treating Fee shall equal $[**] per Receipt Point Mcf for each [**] ([**]) mole % of CO2 that such Gas exceeds the CO2
specification; provided, however, the CO2 Treating Fee Seller will pay Buyer in this Section 3 will not
be less than $[**] per Receipt Point Mcf and no greater than $[**] per Receipt Point Mcf. For example, if Seller’s CO2 Mole
% at the Receipt Point was [**]% and the CO2 specification was [**] mole %, the Committed Gas would exceed the specification by
[**]% and the fee would be $[**] per Receipt Point Mcf.

 

		5.	H2S Treating Fee. If Seller’s gas exceeds the H2S quality specification
set forth in Section V of Exhibit A Seller will pay Buyer an H2S Treating Fee per Receipt Point Mcf. The H2S
Treating Fee shall be based upon the applicable Receipt Point H2S content from the following table:

 

Receipt Point H2S Content       $
Fee per Mcf at the Receipt Point

[**]

 

		6.	Nitrogen Fee. If Seller’s gas exceeds the nitrogen quality specification set forth
in Section V of Exhibit A for a Receipt Point, Seller will pay Buyer a Nitrogen Fee equal to $[**] per Mcf at such Receipt
Point.

 

		7.	Minimum Volume Deficit Payment. If Seller has made the election in Section 2.06 and
Seller fails to deliver the quantity in Section 2.06(i), Seller will pay Buyer a Minimum Volume Deficit Payment equal to $[**]
times the difference between the Base Quantity and the average daily quantity of Committed Gas received at the Receipt Point.

 

END OF EXHIBIT C

 

    	 	C-1	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

EXHIBIT D

to

GAS GATHERING, PROCESSING AND PURCHASE AGREEMENT

dated as of August __, 2017

between

LUCID ENERGY DELAWARE, LLC

(Buyer)

and

LILIS ENERGY, INC.

(Seller)

 

LOW PRESSURE RECEIPT POINTS

 

 

	Meter Number	Points of Delivery Name	County, State	Lat/Long
	TBD	Crittendon Field Station LP	Winkler, Texas	TBD

 

HIGH PRESSURE RECEIPT POINTS

 

	Meter Number	Points of Delivery Name	County, State	Lat/Long
	TBD	Wild Hog	Lea, New Mexico	TBD
	TBD	Prize Hog	Lea, New Mexico	TBD
	TBD	Crittendon North	Winkler, Texas	TBD
	TBD	Crittendon Field Station HP	Winkler, Texas	TBD

 

 

DELIVERY POINTS

 

	Meter Number	Points of Delivery Name	County, State	Lat/Long
	37914	El Paso/Kinder Morgan	Lea, New Mexico	32.2888°/-103.6478°
	95720	Transwestern	Lea, New Mexico	32.2111°/-103.5948°

 

PLANT PRODUCTS DELIVERY POINTS

 

	Meter Number	Points of Delivery Name	County, State	Lat/Long
	TBD	Red Hills Tailgate with redelivery to ONEOK West Texas	Lea, New Mexico	TBD
	TBD	Enterprise Pipeline	Lea, New Mexico	TBD
	TBD	DCP Sand Hills	Lea, New Mexico	TBD

 

** Exhibit D will be amended to add
meter numbers and locations of facilities if/when Buyer establishes such Plant Products Delivery Points.

 

END OF EXHIBIT D

 

    	 	D-1	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

EXHIBIT E

to

GAS GATHERING, PROCESSING AND PURCHASE AGREEMENT

dated as of August ___, 2017

between

LUCID ENERGY DELAWARE, LLC

(Buyer)

and

LILIS ENERGY, INC.

(Seller)

 

INTERESTS IN THE DEDICATED ACREAGE

 

	State	County	Description
	New Mexico	Lea	Section 21, Township 26 S, Range 35 E
	New Mexico	Lea	Section 19, Township 26 S, Range 36 E
	New Mexico	Lea	Section 20, Township 26 S, Range 36 E
	Texas	Loving	Block C24, Section 4, PSL, Cowden C C, A-1401
	Texas	Winkler	Block C24, Section 4, PSL, Cowden C C, A-1397
	Texas	Winkler	Block C23, Section 21, PSL, Cowden C C & L, A-1391
	Texas	Winkler	Block C24, Section 2, PSL, Cowden C C, A-1396
	Texas	Winkler	Block C23, Section 25, PSL, Cowden C C, A-1394
	Texas	Winkler	Block C23, Section 22, PSL, Cowden C C, A-1414
	Texas	Winkler	Block C24, Section 1, PSL, Cowden C C, A-1395
	Texas	Winkler	Block C23, Section 24, PSL, Cowden C C, A-1393
	Texas	Winkler	Block C23, Section 23, PSL, Cowden C C, A-1392
	Texas	Winkler	Block C23, Section 16, PSL, Beckham W L, A-1324
	Texas	Winkler	Block C23, Section 15, PSL, Beckham W L, A-1323
	Texas	Winkler	Block 75, Section 1, PSL, Cowden C C, A-1381
	Texas	Winkler	Block 74, Section 9, PSL, Cowden C C, A-1377
	Texas	Winkler	Block 74, Section 7, PSL, Desmond J L, A-714
	Texas	Winkler	Block 74, Section 6, PSL, Moreland R E, A-521
	Texas	Winkler	Block 74, Section 5, PSL, Moreland R E, A-614
	Texas	Winkler	Block 74, Section 5, PSL, Moreland R E, A-613

 

 

  

    	 	E-1	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

DEDICATED ACREAGE MAP

 

 

CONFLICTING DEDICATION

 

The Parties acknowledge and agree that
the Interests are, as of the Effective Date, subject to prior written dedications and commitments for gathering, processing and
purchase of Gas pursuant to the certain agreements provided below and that Seller shall be entitled to comply with such prior written
dedications or commitments in accordance with the provisions of this Agreement.

 

		1)	Gas Gathering Agreement dated July 2, 2012 by and between Regency Field Services LLC (predecessor-in-interest
to ETC Field Services LLC) and Permian Atlantis LLC (predecessor-in-interest to Lilis Energy, Inc.) with an expiration date of
February 1, 2018.

 

		2)	Gas Gathering Agreement dated August 1, 2008 by and between Regency Field Services LLC (predecessor-in-interest
to ETC Field Services LLC) and Lakehills Production, Inc. (predecessor-in-interest to Lilis Energy, Inc.) with an expiration date
of February 1, 2018.

 

		3)	Gas Gathering Agreement effective July 1, 2012 by and between Anadarko Gathering Company LLC and SWEPI
LP (predecessor-in-interest to Lilis Energy, Inc.) with an expiration date of December 31, 2017.

 

 

END OF EXHIBIT E

 

    	 	E-2	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

 

EXHIBIT F

to

GAS GATHERING, PROCESSING AND PURCHASE AGREEMENT

dated as of August __, 2017

between

LUCID ENERGY DELAWARE, LLC

(Buyer)

and

LILIS ENERGY, INC.

(Seller)

 

	THE STATE OF NEW MEXICO/TEXAS	§
	 	§
	THE COUNTY OF _____________ 	§

 

Lucid Energy Delaware,
LLC (“Buyer”) and Lilis Energy, Inc. (“Seller”) are parties to that certain Gas Gathering, Processing and
Purchase Agreement (the “Agreement”) dated effective August ___, 2017 (“Effective Date”).

 

Pursuant to the Agreement,
Seller dedicated to Buyer, as a covenant running with the interests owned by Seller, certain owned or controlled gas produced from
wells operated by Seller or its Affiliates within the dedicated area described in the attached Schedule A for a period of ten (10)
years from the Effective Date of the Agreement, and then year to year thereafter until terminated pursuant to the terms of the
Agreement.

 

Buyer and Seller desire
to enter into, and record in the applicable county land records, this memorandum in order to place all third parties on notice
of the Agreement and the interests of Seller dedicated thereunder.

 

The terms and conditions
referenced in this Memorandum are more particularly described in the Agreement, and are incorporated herein by reference. The Parties
have agreed that this memorandum is executed solely for the purpose of giving notice and shall not amend or modify the Agreement
in any way. In the event of a conflict between this Memorandum of Agreement and the Agreement, the Agreement shall govern.

 

This memorandum may
be executed in any number of counterparts, all of which will be considered together as one instrument.

 

[Remainder of page left intentionally
blank.]

 

    	 	F-1	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

SELLER:

 

LILIS ENERGY, INC.

 

	By:	 	 
	 	 	 
	Name:	 	 
	 	 	 
	Title:	 	 

 

 

	STATE OF _________	)
	 	) ss:
	COUNTY OF _______ 	)

 

 

The foregoing instrument
was acknowledged before me this _____ day of _______________, 2017, by ________________________________________________,
as _______________________________________________________ of LILIS ENERGY, INC., for and on behalf of such corporation.

 

	 	 	 
	 	Notary Public	 
	 	My commission expires: ________________________	 
	 	Commission # ________________________________ 	 

 

    	 	F-2	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

BUYER:

 

LUCID ENERGY DELAWARE, LLC

 

	By:	 	 
	 	 	 
	Name:	 	 
	 	 	 
	Title:	 	 

 

 

	STATE OF TEXAS	)
	 	) ss:
	COUNTY OF DALLAS 	)

 

 

This instrument was
signed and acknowledged before me on this _____ day of _______________, 2017, by _________________________________,
as __________________________________________ of LUCID ENERGY DELAWARE, LLC, for and on behalf of such
limited liability company.

 

 

	 	 	 
	 	Notary Public	 
	 	My commission expires: ________________________	 
	 	Commission # ________________________________ 	 

  

 

    	 	F-3	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

SCHEDULE A

to

MEMORANDUM OF AGREEMENT

 

DEDICATED AREA

 

 

 

 

END OF SCHEDULE A

 

    	 	F-4	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

EXHIBIT G

to

GAS GATHERING, PROCESSING AND PURCHASE AGREEMENT

dated as of August ___, 2017

between

LUCID ENERGY DELAWARE, LLC

(Buyer)

and

LILIS ENERGY, INC.

(Seller)

 

 

TAKE-IN KIND TERMS

 

For any calendar [**] during which Seller
elects under Article 4.5 of the Agreement to take its Residue Gas and/or Plant Products in-kind, the following terms (“Take
In-Kind Terms”) will apply:

 

I.                   
Nominations. Buyer and Seller agree that scheduling and commencement of service shall be consistent with the down-stream
receiving pipeline or transporter nomination requirements. Whenever Seller’s Residue Gas or Plant Products are to be scheduled
or nominated hereunder, each Party shall provide to the other Party all information required for such nominations and confirmations
with upstream and downstream pipelines or transporters.

 

(a)              
Receipt Point Nominations. Seller will not be required to provide Buyer with nominations of the Gas at the Receipt
Point(s), however, Seller will provide volume forecast information, as updates are available, or upon request by Buyer, for Buyer’s
general capacity planning purposes by Receipt Point.

 

(b)              
Operational Information. Buyer will use reasonable efforts to provide daily information related to Receipt Point
volume, Gathering System performance including, but not limited to, estimated Field Fuel, Plant Fuel, Shrinkage, Plant Product
composition and historical volume information in order to assist with Seller’s nominations below. Seller will use reasonable
efforts to make nomination changes as necessary, based on the information provide by Buyer, at the Delivery Points to minimize
imbalances.

 

(c)               
Delivery Point Nominations.

 

i.           
Seller will make all necessary arrangements with pipelines or other third parties downstream of the Delivery Points and
Plant Products Delivery Points in order to help manage Buyer’s delivery of Seller’s Residue Gas and Seller’s
Plant Products. Those arrangements must be coordinated with Buyer, and Buyer will coordinate such arrangements with Seller and
such downstream pipelines or other third parties.

 

ii.           
Residue Gas. No later than 12:00 PM on the fifth Business Day prior to the beginning of each Month, but no later
than one (1) Business Day prior to the nomination deadline each Month for the applicable downstream pipeline(s) receiving Residue
Gas at the Delivery Points, Seller will notify Buyer of the estimated quantity of Seller’s Residue Gas per Day for each Delivery
Point, and any other information relevant to Buyer’s operation of the Gathering System, provided that nominations at the
Delivery Points are subject to confirmation by the downstream pipeline at the Delivery Points. Buyer reserves the right, from time
to time, to revise its nomination procedures, subject to Seller’s consent which shall not be unreasonably withheld. At any
time, Seller may adjust its nomination prospectively for the remainder of such Month by providing Buyer notice prior to the nomination
deadline of the applicable pipeline at the Delivery Points for making such changes.

 

    		G-1	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

iii.           
Plant Products. No later than 12:00 PM on the fifth (5th) Business Day prior to the beginning of each
Month, but no later than one (1) Business Day prior to the nomination deadline each Month for the applicable downstream pipelines
receiving Plant Products at the Plant Products Delivery Points, Seller will notify Buyer of the estimated volumes of Seller’s
Plant Products per day (and the composition of such Plant Products) for each Plant Products Delivery Point, and any other information
relevant to Buyer’s operation of the Gathering System, provided that nominations at the Plant Products Delivery Points are
subject to confirmation by the downstream pipeline at the Plant Products Delivery Points. Buyer reserves the right, from time to
time, to revise its nomination procedures, subject to Seller’s consent which shall not be unreasonably withheld. At any time,
Seller may adjust its nomination prospectively for the remainder of such Month by providing Buyer notice and prior to the nomination
deadline of the applicable pipeline at the Plant Products Delivery Point for making such changes.

 

(d)              
Buyer and Seller will immediately inform each other of any discovered unanticipated changes in deliveries at either the
Receipt Point(s), Delivery Point(s), or Plant Products Delivery Point(s). Nominations may be made by telephone, but will be confirmed
in writing by e-mail, facsimile or other electronic means to Buyer's Gas Control Department.

 

II.                
Balancing. Subject to all of the provisions of the Agreement, Buyer will accept at the Receipt Point a Daily quantity
of Gas at the Receipt Points and redeliver Seller’s Residue Gas and Seller’s Plant Products allocated to such Gas at
the Delivery Points and Plant Products Delivery Point, respectively. All quantities received in accordance with the Agreement at
the Receipt Points and all deliveries of Seller’s Residue Gas in accordance with this Agreement at the Delivery Point will
be balanced on a Btu basis, and all such quantities referred to in the Agreement will be adjusted for the Gross Heating Value thereof.
Buyer will use its best efforts to enter into, and maintain in good standing, operational balancing agreements with the downstream
receiving pipelines at each of the Delivery Points and Plant Products Delivery Points. When operational balancing agreements are
effective between Buyer and an applicable downstream pipeline (and the applicable downstream pipeline keeps Seller whole on its
nominations each Month) and an imbalance is caused solely by Seller and Buyer incurs a cash out, penalty or settlement due to said
imbalance, then Seller will reimburse Buyer for such cash out, penalty or settlement incurred by Buyer pursuant to the terms of
the applicable operational balancing agreement, to the extent such cash out, penalty or settlement is caused by Seller. Buyer shall
provide an invoice to Seller for same, along with reasonable documentation evidencing same, and Seller will reimburse Buyer for
same in accordance with the payment terms set forth in Section 8.01 of the Agreement.

 

    		G-2	 

    	** Text Omitted and Filed Separately Confidential Treatment Requested Under 17 C.F.R. §§ 80(b)(4) and 240.24b-2

    

 

III.             
Cash Outs. Because of dispatching and other causes outside of Buyer’s reasonable control, imbalances may occur
between the total heating value of the Residue Gas delivered to downstream pipelines at the Delivery Points for Seller’s
account and the allocated quantity of Residue Gas attributable to Seller’s Gas. Similarly, imbalances may occur between the
allocated volumes of Seller’s Plant Products that are delivered to downstream pipelines at the Plant Products Delivery Points
for Seller’s account and the allocated Plant Products attributable to Seller’s Gas. For imbalance events at Delivery
Points or Plant Products Delivery Points where Buyer does not have an operational balancing agreement in place, the Parties agree
to settle cash outs and pay applicable penalties for imbalance positions according to the respective cash out and penalty policies
of such downstream pipeline and the Party causing the imbalance shall be assessed said penalty or cash out, and reimburse same
to the other Party if the other Party is required to pay same to the pipeline company. The Party to whom payment is owed hereunder
shall provide an invoice to the other Party for same, along with reasonable documentation evidencing same, and the other Party
will reimburse the invoicing Party for same in accordance with the payment terms set forth in Section 8.01 of the Agreement.
Upon the expiration of the term of the Agreement, the termination or cancellation of the Agreement, or Seller’s assignment
of all of its right, title, and interest in the Agreement, the Parties agree to settle any remaining imbalance through a final
cash out settlement, and such imbalance settlement obligation shall survive any expiration, termination or cancellation of the
Agreement. The price for final cash out settlement of Seller’s Residue Gas and Seller’s Plant Products will be as follows:

 

(a)       Residue
Gas. The arithmetic average of the daily average prices as published in Platts Gas Daily, Daily Price Survey ($/MMBtu) for
“Waha” under the West Texas – Permian Basin Area heading for the last Month Seller’s Residue Gas was delivered
to the Delivery Points less $[**].

 

(b)       Plant
Products. The OPIS average Monthly prices, using purity ethane, NON-TET propane, normal butane, iso-butane and natural gasoline,
as applicable, less Seller’s T&F Fees. “Seller’s T&F Fees” shall be the weighted average price
paid by Seller over the previous three (3) month period for transportation and fractionation of Seller’s Plant Products between
the Plant Products Delivery Points and a designated Mont Belvieu fractionation facility.

 

IV.             
Curtailment. Buyer will use reasonable efforts to provide timely notification to Seller by telephone, with subsequent
e-mail notification, of the potential size and duration of any unscheduled capacity disruption. If Seller does not adjust its nomination
within four (4) hours after receiving notification from Buyer, then Buyer may adjust Seller’s nomination and/or not confirm
the nominations requested by Seller in the next nomination cycle. If Seller does not adjust its nomination as reasonably requested
by Buyer, and such failure to adjust nominations could materially impact operations on the Gathering System, Buyer may curtail
or shut in Gas for a reasonable period of time.

 

 

 

END OF EXHIBIT G

 

 

    		G-3

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