Document:

exv10w1

 

Exhibit 10.1

LOAN AGREEMENT

     THIS LOAN AGREEMENT, dated as of July 10, 2007 (this “Agreement”), is between ORION MARINE
GROUP, INC., a Delaware corporation (“Borrower”), each of the financial institutions which is or
may from time to time become a party hereto (collectively, “Lenders”, and each a “Lender”), and
AMEGY BANK NATIONAL ASSOCIATION, a national banking association, as agent (the “Agent”).

R E C I T A L S :

     Orion Marine Group Holdings, Inc., a Nevada corporation (“Prior Borrower”), certain Lenders
and the Agent entered into that certain Loan Agreement dated as of October 14, 2004, as amended by
First Amendment to Loan Agreement dated as of December 3, 2004, Second Amendment to Loan Agreement
dated as of November 17, 2005 and Third Amendment to Loan Agreement dated as of March 23, 2007
(collectively, the “Prior Loan Agreement”). On April 5, 2007, (a) Prior Borrower merged with and
into Hunter Acquisition Corp., a Delaware corporation (“Parent”), and (b) Parent changed its name
from Hunter Acquisition Corp. to the name of Borrower, and Borrower assumed all the liabilities of
Prior Borrower. This Agreement is in restatement and replacement of the Prior Loan Agreement, and
the liens and security interests created by the Loan Documents (as defined below) are in renewal
and extension of the liens and security interests created by the documents executed in connection
with the Prior Loan Agreement.

     Borrower has requested that Lenders extend credit to Borrower. Lenders are willing to make
such extensions of credit to Borrower upon the terms and conditions hereinafter set forth.

     NOW THEREFORE, in consideration of the premises and the mutual covenants herein contained, the
parties hereto agree as follows:

ARTICLE I.

Definitions

     Section 1.1. Definitions. As used in this Agreement, the following terms have the following
meanings:

     “Acquisition” shall have the meaning given to such term in Section 10.3.

     “Acquisition Advance” means an advance of funds pursuant to Article IV.

 

 

     “Acquisition Advance Request Form” means a certificate, in substantially the form of Exhibit
“P”, properly completed and signed by Borrower requesting an Acquisition Advance

     “Acquisition Term Loan” means the term loan made by Lenders to Borrower pursuant to Article
IV.

     “Acquisition Term Notes” means the promissory notes executed by Borrower payable to the order
of each Lender who has a Commitment-Acquisition Term Loan, respectively, in substantially the form
of Exhibit “C”, properly completed, as the same may be renewed, extended or modified and all
promissory notes executed in renewal, extension, modification or substitution thereof.

     “Adjusted Cash Balance” means, at any time (a) all cash of Borrower and its Subsidiaries as of
such time, but excluding cash which is subject to a Lien (including Liens created in connection
with Cash Secured Letters of Credit), minus (b) $3,000,000.00.

     “Adjusted Net Income” means, for any period, (a) Net Income for such period minus (b) the sum
of (i) amounts by which Net Income is reduced as a result of extraordinary or non-recurring charges
for such period plus (ii) Income Tax Expense for such period.

     “Affiliate” means, with respect to any Person, any other Person which, directly or indirectly,
controls or is controlled by or is under common control with such Person, including, (a) any Person
which beneficially owns or holds ten percent (10%) or more of any class of voting stock of such
Person or ten percent (10%) or more of the equity interest in such Person, (b) any Person of which
such Person beneficially owns or holds ten percent (10%) or more of any class of voting shares or
in which such Person beneficially owns or holds ten percent (10%) or more of the equity interests
in such Person, and (c) any officer or director of such Person.

     “Amegy Bank” means Amegy Bank National Association, and its successors and assigns.

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     “Applicable Margin” means, for the loan facilities and the Levels described below, the
percentage amounts set forth below.

	 	 	 	 	 	 	 	 	 	 	 
	 	 	Level I	 	Level II	 	Level III	 	Level IV	 	Level V
	     LIBOR Margin
	 	1.50%
	 	1.75%
	 	2.00%
	 	2.25%
	 	2.50%
	     Prime Rate Margin
	 	-1.00%
	 	-0.75%
	 	-0.50%
	 	-0.25%
	 	0.00%

     Level I applies when the Total Leverage Ratio is less than 1.00 to 1.00.

     Level II applies when the Total Leverage Ratio is equal to or greater than 1.00 to
1.00 but less than 1.50 to 1.00.

     Level III applies when the Total Leverage Ratio is equal to or greater than 1.50 to
1.00 but less than 2.00 to 1.00.

     Level IV applies when the Total Leverage Ratio is equal to or greater than 2.00 to
1.00 but less than 2.50 to 1.00.

     Level V applies when the Total Leverage Ratio is equal to or greater than 2.50 to
1.00.

     The applicable Level shall be adjusted, to the extent applicable, forty-five (45) days after
the end of each quarter (or, in the case of any change reflected by the audited financial
statements delivered pursuant to Section 9.1(a), on the first Business Day occurring at least one
hundred twenty (120) days after the end of any fiscal year) based on the Total Leverage Ratio
tested for the period ending on the last day of such fiscal quarter or fiscal year, as applicable;
provided that if the Borrower fails to deliver the financial statements required by Section 9.1(a)
or (b), as applicable, and the related No Default Certificate required by Section 9.1(c) by the
forty-fifth (45 th ) (or, if applicable, the one hundred twentieth (120 th ) after
the end of any fiscal quarter or any fiscal year), Level V shall apply until the first Business Day
immediately following the date such financial statements are delivered.

     “Applicable Rate” means, (a) during the period that a Loan is a Prime Rate Loan, the Prime
Rate plus the Prime Rate Margin from time to time in effect, and (b) during the period that a Loan
is a LIBOR Loan, the sum of the LIBOR Rate plus the LIBOR Margin from time to time in effect.

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     “Assignment and Acceptance” means a document in substantially the form of Exhibit “S”.

     “Authorized Representative” means any officer or employee of Borrower who has been designated
in writing by Borrower to Agent to be an Authorized Representative.

     “Autopay Agreement” means that certain Amegy Autopay Agreement between Borrower and Agent, and
all modifications, amendments and supplements thereto and all restatements and replacements
thereof.

     “Beneficial Owner” has the meaning specified for such term in Rule 13d-3 and Rule 13d-5 under
the Exchange Act.

     “Board” means the board of directors of Borrower.

     “Bond Obligations” means obligations and indebtedness of Borrower and its Subsidiaries arising
in connection with (a) bid or payment and performance bonds or (b) insurance policies or other
instruments insuring the performance by Borrower and its Subsidiaries of obligations under
contracts to which such Persons are parties.

     “Bonded Receivables” means accounts receivable of Borrower and its Subsidiaries which arise
from contracts in connection with which Borrower or such Subsidiary has obtained a bond or
insurance policy insuring performance of such contract.

     “Bonding Default” means that (a) either (i) Borrower or any of its Subsidiaries shall fail to
have adequate bonding capacity to operate their respective businesses in the ordinary course of
business as reasonably determined by Agent in good faith or (ii) Borrower or any of its
Subsidiaries shall have received notice that its bonding capacity is to be or has been denied,
terminated or withdrawn and (b) such failure or receipt does not yet constitute an Event of Default
under Section 12.1(k) because (A) it has not been cured and (B) the thirty (30) day grace period
provided therein has not been completed.

     “Borrowing Base” means, at any particular time, an amount equal to the sum of (a) eighty
percent (80%) of Eligible Accounts plus (b) ninety percent (90%) of Adjusted Cash Balances.

     “Borrowing Base Certificate” means a certificate in the form of Exhibit “Q”, fully completed
and executed by all the Borrowing Base Parties.

     “Borrowing Base Parties” means Construction, King Fisher and Misener.

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     “Business Day” means (a) any day on which commercial banks are not authorized or required to
close in Houston, Texas and (b) with respect to all borrowings, payments, Conversions,
Continuations, Interest Periods and notices in connection with LIBOR Loans, any day which is a
Business Day described in clause (a) above and which is also a day on which dealings in Dollar
deposits are carried out in the London interbank market.

     “Capital Expenditures” means for Borrower and its Subsidiaries, all expenditures for assets
which, in accordance with GAAP, are required to be capitalized and so shown on the consolidated
balance sheet of Borrower and its Subsidiaries.

     “Capital Lease Obligations” means, for Borrower and its Subsidiaries, on a consolidated basis,
the obligations of Borrower and its Subsidiaries to pay rent or other amounts under a lease of (or
other agreement conveying the right to use) real and/or personal property, which obligations, in
accordance with GAAP, are required to be classified and accounted for as a capital lease on a
balance sheet of any such Person.

     “Cash Secured Letter of Credit” means any letter of credit, the indebtedness with respect to
which is fully secured by cash or cash equivalents.

     “Cash Taxes” means for Borrower and its Subsidiaries, on a consolidated basis, for any period,
the sum of all income and franchise taxes paid in cash during such period.

     “Change of Control” means the occurrence of any of the following:

     (a) any individual, entity or group (within the meaning of Section 13(d)(3) or
14(d)(2) of the Exchange Act) acquires beneficial ownership (within the meaning of Rule
13d-3 promulgated under the Exchange Act) of stock in Borrower that, together with stock
held by such individual, entity or group, constitutes more than fifty percent (50%) of the
total voting power of the stock of Borrower; provided, however, if any individual, entity
or group, is considered to own more than fifty percent (50%) of the total voting power of
the stock of Borrower, the acquisition of additional stock by the same individual, entity
or group will not be considered a “Change in Control”; provided, further, however, that for
purposes of this definition, the following acquisitions shall not constitute a Change in
Control: (i) any acquisition by any employee benefit plan (or related trust) sponsored or
maintained by Borrower or any entity controlled by Borrower, (ii) any acquisition by
investors in Borrower for financing purposes, or (iii) any holding, grant or exercise of
equity based compensation awards or otherwise pursuant to any employee benefit plan; or

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     (b) the replacement of a majority of the members of the Board during any twelve-month
period by directors whose appointment or election is not endorsed by a majority of the
members of the Board prior to the date of the appointment or election.

     “Claims” has the meaning set forth in Section 14.2.

     “Closing Date” means the date on which this Agreement has been executed and delivered by the
parties hereto and the conditions set forth in Section 7.1 have been satisfied.

     “Collateral” has the meaning specified in Section 6.1.

     “Combined Commitments-Acquisition Term Loan” means, as to all Lenders who have
Commitments-Acquisition Term Loan, the obligations of such Lenders to make Acquisition Advances in
an aggregate principal amount at any time outstanding up to but not exceeding $25,000,000.00.

     “Combined Commitments-Acquisition Term Loan Increase” shall have the meaning given to such
term in Section 4.8.

     “Combined Commitments-Real Estate Term Loan” means, as to all Lenders who have
Commitments-Real Estate Term Loan, the obligations of such Lenders to fund the Real Estate Term
Loan in an original aggregate principal amount equal to $3,095,000.00.

     “Combined Commitments-Revolving Advances” means, as to all Lenders who have
Commitments-Revolving Advances, the obligations of such Lenders to make Revolving Advances and
issue Letters of Credit in an aggregate principal amount at any time outstanding up to but not
exceeding $8,500,000.00.

     “Combined Commitments-Total” means, as to all Lenders, the sum of (a) the Combined
Commitments-Acquisition Term Loan, plus (b) the Combined Commitments-Revolving Advances, plus (c)
the Combined Commitments-Real Estate Term Loan.

     “Commitment-Acquisition Term Loan” means, as to any Lender, its obligation to make Acquisition
Advances in the amount set forth opposite the name of such Lender on Annex “II” hereto under the
heading “Commitment-Acquisition Advances”, as the same may be modified (a) as provided in an
amendment to this Agreement or (b) as the result of an assignment of all or part of such Lender’s
Acquisition Term Note pursuant to Section 14.16.

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     “Commitment Percentage-Revolving Advances” means for each Lender who has a
Commitment-Revolving Advances the percentage derived by dividing its Commitment-Revolving Advances
by the Combined Commitments-Revolving Advances at the time in question.

     “Commitment Percentage-Total” means for each Lender the percentage derived by dividing its
Commitment-Total by the Combined Commitments-Total at the time in question.

     “Commitment-Real Estate Term Loan” means, as to any Lender, its obligation to fund the Real
Estate Term Loan in the amount set forth opposite the name of such Lender on the original signature
pages of the Loan Agreement under the heading “Real Estate Term Note”, as the same may be modified
(a) as provided in an amendment to this Agreement or (b) as the result of an assignment of all or
part of such Lender’s Real Estate Term Note pursuant to Section 14.16.

     “Commitment-Revolving Advances” means, as to any Lender, its obligation to make Revolving
Advances and issue Letters of Credit hereunder in the amount set forth opposite the name of such
Lender on Annex “I” hereto under the heading “Commitment-Revolving Advances”, as the same may be
(a) reduced pursuant to Section 2.8 or otherwise, (b) modified as provided in an amendment to this
Agreement or (c) modified as the result of an assignment of all or part of such Lender’s Revolving
Credit Note pursuant to Section 14.16.

     “Commitment-Total” means, as to any Lender, the sum of (a) its Commitment-Acquisition Term
Loan, plus (b) its Commitment-Revolving Advances, plus (c) its Commitment-Real Estate Term Loan.

     “Construction” means Orion Construction, L.P., a Texas limited partnership, and its successors
and assigns.

     “Continue”, “Continuation” and “Continued” shall refer to the continuation pursuant to Section
5.7 of a Loan as a Loan of the same Type from one Interest Period to the next Interest Period.

     “Convert”, “Conversion”, and “Converted” shall refer to a conversion pursuant to Section 5.7
of or 5.8 of one Type of Loan into another Type of Loan.

     “Debt” means for any Person (without duplication) (a) all indebtedness, whether or not
represented by bonds, debentures, notes, securities, or other evidences of indebtedness, for the
repayment of money borrowed, (b) Rate Management Transaction Obligations, (c) all indebtedness
representing deferred payment of the purchase price of property or assets, (d) Capital Lease
Obligations and obligations with respect to

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synthetic leases, (e) all indebtedness under guaranties, endorsements, assumptions, or other
contingent obligations, in respect of, or to purchase or otherwise acquire, indebtedness of others,
(f) all indebtedness secured by a Lien existing on property owned, subject to such Lien, whether or
not the indebtedness secured thereby shall have been assumed by the owner thereof (in which event
the amount thereof shall not be deemed to exceed the fair value of such property), and (g) any
obligation to redeem or repurchase any of such Person’s capital stock or other ownership interests,
but excluding in any event, all obligations and indebtedness related to Cash Secured Letters of
Credit.

     “Deed of Trust-Market Street-First Lien” means the Deed of Trust, Security Agreement,
Assignment of Rents and Financing Statement executed by Construction in favor of Agent, dated as of
October 14, 2004, and recorded in the Official Public Records of Real Property of Harris County,
Texas under Clerk’s File No. Y059593, Film Code No. 595-61-1363, a copy of which is attached as
Exhibit “I”, as modified by Modification to Deed of Trust-Market Street-First Lien, and as the same
may be further amended, supplemented or modified from time to time.

     “Deed of Trust-Market Street-Second Lien” means the Deed of Trust, Security Agreement,
Assignment of Rents and Financing Statement executed by Construction in favor of Agent, in
substantially the form of Exhibit “J”, as the same may be amended, supplemented or modified.

     “Deed of Trust-Port Lavaca-First Lien” means the Deed of Trust, Security Agreement, Assignment
of Rents and Financing Statement executed by King Fisher in favor of Agent, dated as of October 14,
2004, and recorded in the Official Public Records of Real Property of Calhoun County, Texas under
Clerk’s File No. 00089332, Volume 387, Page 220, a copy of which is attached as Exhibit “K”, as
modified by Modification to Deed of Trust-Port Lavaca-First Lien, and as the same may be further
amended, supplemented or modified from time to time.

     “Deed of Trust-Port Lavaca-Second Lien” means the Deed of Trust, Security Agreement,
Assignment of Rents and Financing Statement executed by King Fisher in favor of Agent, in
substantially the form of Exhibit “L”, as the same may be amended, supplemented or modified.

     “Deeds of Trust-Market Street” means the Deed of Trust-Market Street-First Lien and the Deed
of Trust-Market Street-Second Lien.

     “Deeds of Trust-Port Lavaca” means the Deed of Trust-Port Lavaca-First Lien and the Deed of
Trust-Port Lavaca-Second Lien.

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     “Default Rate” means the lesser of (a) the sum of the Applicable Rate in effect from day to
day plus two percent (2.0%) or (b) the Maximum Rate.

     “Defaulting Lender” has the meaning specified in Section 5.1.

     “Dollar,” “Dollars” and “$” means currency of the United States of America which is at the
time of payment legal tender for the payment of public and private debts in the United States of
America.

     “EBITDA” means for Borrower and its Subsidiaries, on a consolidated basis for any period, the
sum of (a) Net Income for such period, plus (b) without duplication and to the extent deducted in
determining such Net Income (i) depreciation and amortization for such period, plus (ii) Interest
Expense for such period, plus (iii) Income Tax Expense for such period, plus (iv) (A) other
non-recurring or extraordinary charges for such period reasonably approved by (i) Agent in good
faith if during any period commencing on October 1 and continuing through the next September 30 (a
“Test Period”) the aggregate amount of all such charges for such Test Period does not exceed ten
percent (10%) of EBITDA for the twelve month period ending on the September 30 immediately
preceding such Test Period, and (ii) Majority Lenders if during any Test Period the aggregate
amount of all such charges for such Test Period is equal to or greater than ten percent (10%) of
EBITDA for the twelve month period ending on the September 30 immediately preceding such Test
Period, minus (B) non-recurring or extraordinary gains for such period.

     “Eligible Accounts” means the aggregate of all accounts receivable of Borrowing Base Parties
that satisfy the following conditions: (a) are due and payable within (i) sixty (60) days if the
account debtor is an Investment Grade Person and (ii) forty-five (45) days if the account debtor is
not an Investment Grade Person; (b) have been outstanding less than (i) one hundred twenty (120)
days past the original date of invoice if the account debtor is an Investment Grade Person, and
(ii) ninety (90) days past the original date of invoice if the account debtor is not an Investment
Grade Person; (c) have arisen in the ordinary course of business from services performed by a
Borrowing Base Party to or for the account debtor or the sale by a Borrowing Base Party of goods in
which such Borrowing Base Party had sole ownership where such goods have been shipped or delivered
to the account debtor; (d) represent complete bona fide transactions which require no further act
under any circumstances on the part of any Borrowing Base Party to make such accounts receivable
payable by the account debtor; (e) the goods the sale of which gave rise to such accounts
receivable were shipped or delivered to the account debtor on an absolute sale basis and not on
consignment, a sale or return basis, a guaranteed sale basis, a bill and hold basis, or on the
basis of any similar understanding; (f) do not constitute pre-billings or other unearned income;
(g) do not constitute Bonded Receivables; (h) the goods the sale of which gave rise to such
accounts receivable were not, at the time of sale thereof, subject to any Lien, except

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the security interest in favor of Agent created by the Loan Documents and Liens permitted by
Sections 10.2(h) and 10.2(k); (i) are not subject to any provisions prohibiting assignment or
requiring notice of or consent to such assignment, to the extent notice is not given or consent is
not obtained; (j) are subject to a perfected, first priority security interest in favor of Agent
and are not subject to any other Lien other than Liens permitted by Sections 10.2(h) and 10.2(k);
(k) are not the subject of a right of setoff, counterclaim, defense, allowance, dispute, or
adjustment affirmatively asserted by the account debtor, the existence of which the Borrower has
actual knowledge (but only with respect to the amount subject to dispute or adjustment and
excluding normal discounts for prompt payment), and the goods of sale which gave rise to such
accounts receivable have not been returned, rejected, repossessed, lost, or damaged; (l) the
account debtor is not insolvent or the subject of any bankruptcy or insolvency proceeding and has
not made an assignment for the benefit of creditors, suspended normal business operations,
dissolved, liquidated, terminated its existence, ceased to pay its debts as they become due, or
suffered a receiver or trustee to be appointed for any of its assets or affairs; (m) are not
evidenced by chattel paper or any instrument of any kind; (n) are owed by a Person or Persons that
are citizens of or organized under the laws of the United States or any State and are not owed by
any Person organized under the laws of a jurisdiction located outside of the United States of
America (“Foreign Persons”), provided, that accounts receivable owed by Foreign Persons may
constitute Eligible Accounts if (i) payment of such accounts receivable is insured by a foreign
risk insurance policy acceptable to Majority Lenders and the proceeds of such policy have been
assigned to Agent by an instrument satisfactory to Majority Lenders, (ii) payment of such accounts
receivable is covered by a letter of credit in form and substance satisfactory to Majority Lenders,
issued by a financial institution satisfactory to Majority Lenders, and the proceeds of such letter
of credit have been assigned to Agent by an instrument satisfactory to Majority Lenders, or (iii)
Majority Lenders specifically approve such accounts receivable as Eligible Accounts; (o) if any
accounts receivable are owed by the United States of America or any department, agency, or
instrumentality thereof, the Federal Assignment of Claims Act shall have been complied with; (p)
are not owed by an Affiliate of any Borrowing Base Party; and (q) do not include any amount which
constitutes retainage. No account receivable owed by an account debtor to any Borrowing Base Party
shall be included as an Eligible Account if more than twenty percent (20%) of the balances then
outstanding on accounts receivable owed by such account debtor and its Affiliates to Borrowing Base
Parties have remained unpaid for more than eighty-nine (89) days from the dates of their original
invoices. The amount of any Eligible Accounts owed by an account debtor to any Borrowing Base Party
shall be reduced by the amount of all “contra accounts” and other obligations owed by any Borrowing
Base Party to such account debtor. In the event that at any time the accounts receivable from any
account debtor and its Affiliates to Borrowing Base Parties exceed thirty-five percent (35%) of the
accounts receivable of Borrowing Base Parties, the accounts receivable from such account debtor and
its Affiliates shall not constitute Eligible Accounts to the extent to

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which such accounts receivable exceed thirty-five percent (35%) of the accounts receivable of
Borrowing Base Parties.

     “Eligible Assignee” means any of (a) a Lender or any Affiliate of a Lender, (b) a commercial
bank organized under the laws of the United States, or any state thereof, and having a combined
capital and surplus of at least $100,000,000.00, (c) a commercial bank organized under the laws of
a country which is a member of the Organization for Economic Cooperation and Development, or a
political subdivision of any such country, and having a combined capital and surplus of at least
$100,000,000.00, provided that such bank is acting through a branch or agency located in the United
States, and (d) any other Person approved by Agent, and so long as no Event of Default has occurred
and is continuing, who is reasonably acceptable to Borrower.

     “ENSR Memo” means that Environmental Review Memorandum dated October 11, 2004 prepared by Herb
Fry and John Rutkousis of ENSR Corporation addressing certain environmental issues at one or more
of the Florida Property and the Market Street Property.

     “Environmental Laws” means any and all laws, rules, regulations, codes, ordinances, orders,
decrees, judgments, injunctions, notices or binding agreements issued, promulgated or entered into
by any Governmental Authority, relating in any way to the environment, preservation or reclamation
of natural resources, or the management, release or threatened release of Hazardous Substance or to
health and safety matters relating to the same.

     “Environmental Report-Florida Property” means the Interim Remedial Action Plan (Revised) dated
May 27, 2003 prepared by URS Corporation.

     “Environmental Report-Market Street Property” means the Phase I Environmental Site Assessment,
Orion Construction, LP, 17300 Market Street, Channelview, Texas 77530, Enercon Project No.
ENMISC0195, dated September 15, 2004, and prepared by Enercon Services, Inc.

     “Environmental Report-Port Lavaca Property” means the Phase I Environmental Site Assessment,
King Fisher Marine Service, LP, 159 Highway 316, Port Lavaca, Texas 77979, Enercon Project No.
ENMISC0195, dated September 15, 2004, and prepared by Enercon Services, Inc.

     “Environmental Reports” means (a) the Environmental Report-Florida Property, (b) the
Environmental Report-Market Street Property, (c) the Environmental Report-Port Lavaca Property,
and (d) the ENSR Memo.

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     “ERISA” means the Employee Retirement Income Security Act of 1974, as amended from time to
time, and the regulations and published interpretations thereof.

     “Event of Default” has the meaning specified in Section 12.1.

     “Excess Cash Flow” means, for Borrower and its Subsidiaries, on a consolidated basis, for any
period, (a) EBITDA for such period, minus (b) the sum of (i) Capital Expenditures for such period,
plus (ii) Cash Taxes for such period, plus (iii)(A) Scheduled Principal, (B) all unscheduled
voluntary prepayments of principal on the Real Estate Term Loan and the Acquisition Term Loan for
such period, and (C) mandatory prepayments of principal on the Real Estate Term Loan and the
Acquisition Term Loan pursuant to Section 3.5(b), (c) or (d) and Section 4.5(b), (c) or (d), plus
(iv) Interest Expense for such period.

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

     “Existing Letters of Credit” means (a) that certain Letter of Credit No. SC1346 in the amount
of $498,688.00 issued by Amegy Bank for the benefit of Signal Mutual Indemnity Association Ltd. c/o
Signal Administration Inc. for the account of Construction, and (b) that certain Letter of Credit
No. SC2015 in the amount of $106,447.00 issued by Amegy Bank for the benefit of Signal Mutual
Indemnity Association Ltd. c/o Signal Administration Inc. for the account of King Fisher.

     “F. Miller” means F. Miller Construction, LLC, a Louisiana limited liability company, and its
successors and assigns.

     “Field Audits” means audits, verifications and inspections of the accounts receivable,
inventory and assets of Borrower and its Subsidiaries, conducted by an independent third Person
selected by Agent.

     “Fixed Charge Coverage Ratio” means for Borrower and its Subsidiaries, on a consolidated
basis, as of any date, (a) EBITDA for the period ended as of such date, minus (b) the greater of
(i) Maintenance Capital Expenditures for the period ended as of such date or (ii) $3,000,000.00,
divided by the sum of (c) Scheduled Principal for the period ended as of such date, plus (d)
Interest Expense for the period ended as of such date, plus (e) Cash Taxes for the period ended as
of such date.

     “Florida Property” means the real property and improvements owned by Misener, located at 5600
W. Commerce, Tampa, Florida 33616-1930 and further described in and covered by the
Mortgage-Florida.

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     “Florida Remediation” means the environmental remediation conducted at the Florida Property
pursuant to the Environmental Report-Florida Property.

     “Funded Debt” means, at any time, for Borrower and its Subsidiaries, on a consolidated basis,
the sum of (a) all indebtedness for borrowed money, whether or not evidenced by bonds, debentures,
notes or similar instruments, including the Notes, (b) the Senior Subordinated Note and Other
Subordinated Debt, (c) Capital Lease Obligations, (d) all obligations (including contingent
obligations) incurred in connection with guaranties of the indebtedness for borrowed money of
another Person (but excluding Bond Obligations), (e) all obligations to pay the deferred purchase
price of property or services (but excluding trade accounts payable or trade notes in the ordinary
course of business that are not past due by more than ninety (90) days), (f) all indebtedness
secured by a Lien on the property of Borrower or its Subsidiaries (in which event the amount
thereof shall not be deemed to exceed the fair market value of such property), and (g) the Letter
of Credit Liabilities, but excluding in any event, all obligations and indebtedness related to Cash
Secured Letters of Credit.

     “GAAP” means generally accepted accounting principles in the United States of America,
consistently applied.

     “Governmental Authority” means the government of the United States of America, any other
nation or any political subdivision thereof, whether state or local, and any agency, authority,
instrumentality, regulatory body, court, central bank or other entity exercising executive,
legislative, judicial, taxing regulatory or administrative powers or functions of or pertaining to
government.

     “Guarantors” means Construction, King Fisher, Misener and OAS.

     “Guaranty Agreement” means a Guaranty Agreement executed by each Guarantor in favor of Agent
in substantially the form of Exhibit “N”, as the same may be amended, supplemented or modified.

     “Hazardous Substance” means any substance, product, waste, pollutant, material, chemical,
contaminant, constituent, or other material which is or becomes listed, regulated, or addressed
under any Environmental Law, including, without limitation, asbestos, petroleum, and
polychlorinated biphenyls.

     “Income Tax Expense” means for Borrower and its Subsidiaries, on a consolidated basis for any
period, all local, state and federal income and franchise taxes paid or due to be paid during such
period and reflected upon Borrower’s income statement.

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     “Interest Expense” means for Borrower and its Subsidiaries, on a consolidated basis, for any
period, the sum of all cash interest expense paid or required by its terms to be paid during such
period, as determined in accordance with GAAP applied consistently.

     “Interest Period” means with respect to LIBOR Loans, each period commencing on the date such
Loans are made or Converted from Loans of another Type or, in the case of each subsequent,
successive Interest Period applicable to a LIBOR Loan, each period commencing on the last day of
the immediately preceding Interest Period with respect to such LIBOR Loan, and in each case ending
on the numerically corresponding day in the calendar month that is one, two or three months
thereafter, as Borrower may select as provided in Sections 2.6, 3.6, 4.6 or 5.7; provided, however,
that (a) each Interest Period which would otherwise end on a day which is not a Business Day shall
end on the next succeeding Business Day; provided that if such extension would cause the last day
of such Interest Period to occur in the next following calendar month, the last day of such
Interest Period shall occur on the next preceding Business Day, (b) any Interest Period which
begins on the last Business Day of a calendar month (or on a day for which there is no numerically
corresponding day in the calendar month at the end of such Interest Period) shall end on the last
Business Day of the calendar month in which it would have ended if there were a numerically
corresponding day in such calendar month, (c) no Interest Period for any LIBOR Loan which is a
Revolving Advance may extend beyond the Termination Date Revolving Advances (and any proposed LIBOR
Loan which is a Revolving Advance with an Interest Period which would extend beyond the Termination
Date Revolving Advances shall be a Prime Rate Loan maturing on the Termination Date Revolving
Advances), (d) no Interest Period for any LIBOR Loan, which is a Real Estate Term Loan Portion, may
extend beyond the Maturity Date Real Estate Term Loan (and any proposed LIBOR Loan which is a Real
Estate Term Loan Portion with an Interest Period which would extend beyond the Maturity Date Real
Estate Term Loan shall be a Prime Rate Loan maturing on the Maturity Date Real Estate Term Loan),
(e) no Interest Period for any LIBOR Loan which is an Acquisition Advance may extend beyond the
Maturity Date Acquisition Term Loan (and any proposed LIBOR Loan which is an Acquisition Advance
with an Interest Period which would extend beyond the Maturity Date Acquisition Term Loan shall be
a Prime Rate Loan maturing on the Maturity Date Acquisition Term Loan), (f) for all LIBOR Loans no
more than five (5) Interest Periods for each of the Revolving Advances, Real Estate Term Loan
Portions or the Acquisition Advances, respectively, shall be in effect at the same time, and (g) no
Interest Period shall have a duration of less than thirty (30) days and, if the Interest Period for
any LIBOR Loan would otherwise be a shorter period, such Loan shall be a Prime Rate Loan.

     “Investment Grade Person” means a Person organized under the laws of the United States of
America or a state thereof who has (a) a rating from Standard & Poor’s

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Corporation of (i) A-1 or better for its commercial paper or (ii) BBB or better for its long term
debt, or (b) a rating from Moody’s Investor Service of (i) P-1 or better for its commercial paper
or (ii) Baa or better for its long term debt.

     “Issuing Bank” means Amegy Bank National Association in its capacity of the issuer of Letters
of Credit.

     “KFMSGP” means KFMSGP, LLC, a Texas limited liability company and the general partner of King
Fisher, and its successors and assigns

     “KFMSLP” means KFMSLP, LLC, a Nevada limited liability company, and its successors and
assigns.

     “King Fisher” means King Fisher Marine Service, L.P., a Texas limited partnership, and its
successors and assigns.

     “Letter of Credit” means any letter of credit issued by Issuing Bank for the account of
Borrower pursuant to Article II and the Existing Letters of Credit. For clarification, Cash
Secured Letters of Credit shall not be deemed to be Letters of Credit for purposes of this
Agreement.

     “Letter of Credit Application” means Issuing Bank’s standard form of letter of credit
application and agreement, as the same may be amended, modified, renewed, extended, or
supplemented.

     “Letter of Credit Liabilities” means, at any time, the aggregate undrawn face amounts of all
outstanding Letters of Credit (including the Existing Letters of Credit).

     “LIBOR Loans” means Loans the interest rates on which are determined on the basis of the rates
referred to in the definition of “LIBOR Rate”.

     “LIBOR Margin” has the meaning given to such term in the definition of the term “Applicable
Rate”.

     “LIBOR Rate” means, for any LIBOR Loan, for any Interest Period therefor, the rate per annum
offered for Dollar deposits in an amount comparable to the principal amount of such LIBOR Loan for
a period of time equal to such Interest Period as of 11:00 A.M. City of London, England time two
(2) London Business Days prior to the first date of such Interest Period as shown on the display
designated as “British Bankers Association Interest Settlement Rates” on the Bloomberg system
(“Bloomberg”); provided, however, that if such rate is not available on Bloomberg then such offered
rate shall be otherwise independently determined by Agent from an alternate,

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substantially similar independent source available to Agent and recognized in the banking
industry.

     “Lien” means any lien, mortgage, security interest, tax lien, pledge, charge, hypothecation,
assignment, preference, priority, or other encumbrance of any kind or nature whatsoever (including,
without limitation, any conditional sale or title retention agreement), whether arising by
contract, operation of law, or otherwise.

     “Loan Documents” means this Agreement and all promissory notes, security agreements, deeds of
trust, assignments, letters of credit, guaranties, and other instruments, documents, and agreements
executed and delivered pursuant to or in connection with this Agreement, as such instruments,
documents, and agreements may be amended, modified, renewed, extended, or supplemented.

     “Loans” means Revolving Advances, Real Estate Term Loan Portions and Acquisition Advances.

     “London Business Day” means any day other than a Saturday, Sunday or a day on which banking
institutions are generally authorized or obligated by laws or executive order to close in the City
of London, England.

     “Maintenance Capital Expenditures” means, for Borrower and its Subsidiaries, all Capital
Expenditures related to extending the life of, or maintaining the working condition of, existing
assets. Maintenance Capital Expenditures does not include capital spending for new assets (so-
called “growth capital expenditures”).

     “Majority Lenders” means Lenders holding sixty-six and two-thirds percent (66b%) or more of
the Combined Commitments.

     “Market Street-New Property” means the 11.59 acre tract constituting part of the Market Street
Property.

     “Market Street Property” means the real property and improvements owned by Construction,
located at 17300 Market Street and 17140 Market Street, Channelview, Texas 77530 and further
described in and covered by the Deeds of Trust-Market Street.

     “Material Adverse Effect” means a material adverse effect on (a) the business, operations,
property or condition (financial or otherwise) of Borrower and its Subsidiaries, taken as a whole,
or any Obligated Party (other than OAS) and its Subsidiaries, taken as a whole, (b) the ability of
Borrower to pay the Obligations or the ability of Borrower or any Obligated Party to perform its
respective material obligations under this Agreement or any of the other Loan Documents, or (c) the
validity or

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enforceability of this Agreement or any of the other Loan Documents, or the rights or remedies of
Lender hereunder or thereunder.

     “Maturity Date Acquisition Term Loan” means September 30, 2010.

     “Maturity Date Real Estate Term Loan” means September 30, 2010.

     “Maximum Rate” means the maximum rate of nonusurious interest permitted from day to day by
applicable law, including Chapter 303 of the Texas Finance Code (the “Code”) (and as the same may
be incorporated by reference in other Texas statutes). To the extent that Chapter 303 of the Code
is relevant to Lenders for the purposes of determining the Maximum Rate, Lenders elect to determine
such applicable legal rate pursuant to the “weekly ceiling,” from time to time in effect, as
referred to and defined in Chapter 303 of the Code; subject, however, to the limitations on such
applicable ceiling referred to and defined in the Code, and further subject to any right any Lender
may have subsequently, under applicable law, to change the method of determining the Maximum Rate.

     “Merger” shall have the meaning given to such term in Section 10.3.

     “Misener” means Misener Marine Construction, Inc., a Florida corporation, and its successors
and assigns.

     “Modification to Deed of Trust-Market Street-First Lien” means the First Modification to Deed
of Trust-Market Street-First Lien, executed by Construction in favor of Agent, in substantially the
form of Exhibit “U”.

     “Modification to Deed of Trust-Port Lavaca-First Lien” means the First Modification to Deed of
Trust-Port Lavaca-First Lien, executed by King Fisher in favor of Agent, in substantially the form
of Exhibit “V”.

     “Modifications to Real Estate Term Notes” means the First Modifications to Real Estate Term
Notes executed by Borrower in favor of each Lender who has a Commitment-Real Estate Term Loan,
respectively, in substantially the form of Exhibit “T”, properly completed.

     “Mortgage-Florida” means the Mortgage executed by Misener in favor of Agent, in substantially
the form of Exhibit “M”, as the same may be amended, supplemented or modified.

     “Net Income” means, for Borrower and its Subsidiaries for any period, the consolidated net
income (or loss) of Borrower and its Subsidiaries for such period, calculated in accordance with
GAAP.

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     “Net Worth” means, at any particular time, all amounts which, in conformity with GAAP, would
be included as stockholders’ capital on a consolidated balance sheet of Borrower and its
Subsidiaries.

     “No Default Certificate” means a certificate in the form of Exhibit “R” hereto, fully
completed and executed by Borrower.

     “Notes” means the Revolving Credit Notes, the Real Estate Term Notes and the Acquisition Term
Notes.

     “OAS” means Orion Administrative Services, Inc., a Texas corporation, and its successors and
assigns.

     “Obligated Party” means each Guarantor and any other Person who is or becomes a party to any
agreement pursuant to which such Person guarantees or secures payment and performance of the
Obligations or any part thereof.

     “Obligations” means all obligations, indebtedness, and liabilities of Borrower to Agent,
Issuing Bank, and Lenders, or any of them, arising pursuant to this Agreement or any of the Loan
Documents, under any treasury management arrangements with any Lender or under any Rate Management
Transactions to which a Lender or its Affiliate is a party, whether direct or indirect (including
those acquired by assumption), absolute or contingent, due or to become due, now existing or
hereafter arising, including, without limitation, all of Borrower’s contingent reimbursement
obligations in respect of Letters of Credit, and all interest accruing thereon and all reasonable
and documented attorneys’ fees and other expenses incurred in the enforcement or collection
thereof.

     “OCGP” means OCGP, LLC, a Texas limited liability company and the general partner of
Construction, and its successors and assigns.

     “OCLP” means OCLP, LLC, a Nevada limited liability company, and its successors and assigns.

     “Organizational Documents” means, for any Person, (a) the articles of incorporation and bylaws
of such Person if such Person is a corporation, (b) the articles of organization and regulations of
such Person if such Person is a limited liability company, (c) the limited partnership agreement of
such Person if such Person is a limited partnership, or (d) the documents under which such Person
was created and is governed if such person is not a corporation, limited liability company or
limited partnership.

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     “Other Subordinated Debt” means Debt of Borrower to any Person, the payment of which has been
subordinated to the payment of the Obligations in a manner satisfactory to Agent and by a document
satisfactory to Agent, but excluding the Senior Subordinated Note Debt.

     “Permitted Liens” shall have the meaning set forth in Section 10.2 of this Agreement.

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

     “Pledge Agreement-Borrower-Ownership Interests” means the Security Agreement and Collateral
Assignment executed by Borrower in favor of Agent in substantially the form of Exhibit “E”, as the
same may be amended, supplemented or modified.

     “Pledge Agreement-Borrower-Stock” means the Security Agreement-Pledge executed by Borrower in
favor of Agent in substantially the form of Exhibit “F”, as the same may be amended, supplemented
or modified.

     “Pledge Agreement-Subsidiary-Ownership Interests” means a Security Agreement and Collateral
Assignment executed by each of Construction, KFMSGP, KFMSLP, OCGP and OCLP in favor of Agent in
substantially the form of Exhibit “G”, as the same may be amended, supplemented or modified.

     “Pledge Agreement-Subsidiary-Stock” means a Security Agreement-Pledge executed by
Construction in favor of Agent in substantially the form of Exhibit “H”, as the same may be
amended, supplemented or modified.

     “Port Lavaca Property” means the real property and improvements owned by King Fisher, located
at 159 Highway 316, Port Lavaca, Texas 77979 and further described in and covered by the Deeds of
Trust-Port Lavaca.

     “Prime Rate” means that variable rate of interest per annum established by Agent from time to
time as its prime rate which shall vary from time to time. Such rate is set by Agent as a general
reference rate of interest, taking into account such factors as Agent may deem appropriate, it
being understood that many of Agent’s commercial or other loans are priced in relation to such
rate, that it is not necessarily the lowest or best rate charged to any customer and that Lenders
may make various commercial or other loans at rates of interest having no relationship to such
rate.

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     “Prime Rate Loans” means Loans that bear interest at rates based upon the Prime Rate.

     “Prime Rate Margin” has the meaning given to such term in the definition of the term
“Applicable Margin”.

     “Pro Rata”, “Pro Rata Share” or “Pro Rata Part” means for each Lender (a) with respect to the
Revolving Advances, when no Revolving Advance is outstanding, such Lender’s Commitment
Percentage-Revolving Advances, (b) otherwise, the proportion which the portion of outstanding
Revolving Advances, the Real Estate Term Loan and the Acquisition Advances, respectively, owed to
such Lender bears to the aggregate outstanding Revolving Advances, the Real Estate Term Loan and
the Acquisition Advances, respectively, owed to all Lenders at the time in question.

     “Pro Rata Share-Total” means for each Lender the proportion which the portion of the sum of
the outstanding Revolving Advances plus the Real Estate Term Loan plus the Acquisition Advances
owed to such Lender bears to the sum of the aggregate outstanding Revolving Advances, the Real
Estate Term Loan and the Acquisition Advances owed to all Lenders at the time in question.

     “Rate Management Transaction” means any transaction (including an agreement with respect
thereto) now existing or hereafter entered into between Borrower and any Lender or any Lender’s
Affiliates which is a rate swap, basis swap, forward rate transaction, commodity swap, commodity
option, equity or equity index swap, equity or equity index option, bond option, interest rate
option, foreign exchange transaction, cap transaction, floor transaction, collar transaction,
forward transaction, currency swap transaction, cross-currency rate swap transaction, currency
option or any other similar transaction (including any option with respect to any of these
transactions) or any combination thereof, whether linked to one or more interest rates, foreign
currencies, commodity prices, equity prices or other financial measures.

     “Rate Management Transaction Obligations” means any and all obligations, contingent or
otherwise, whether now existing or hereafter arising, of Borrower to any Lender or any Lender’s
Affiliates arising under or in connection with any Rate Management Transaction.

     “Real Estate Term Loan” means the loan made by Lenders to Borrower pursuant to Article III.

     “Real Estate Term Loan Portions” means amounts of the outstanding principal amount of the Real
Estate Term Loan which have been so designated by Borrower pursuant to Section 3.6.

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     “Real Estate Term Notes” means the promissory notes in the original aggregate principal amount
of $41,500,000.00 dated October 14, 2004, executed by Prior Borrower and payable to the order of
the Lenders who have Commitments-Real Estate Term Loan, respectively, and in the aggregate
principal amount of $23,547,500.00 as of the date of this Agreement, copies of which are attached
as Exhibit “B”, which have been modified by Modifications to Real Estate Term Notes, and as the
same may be further amended, supplemented or modified from time to time and all promissory notes
executed in renewal, extension, modification or substitution therefor.

     “Regulation D” means Regulation D of the Board of Governors of the Federal Reserve System as
the same may be amended or supplemented.

     “Regulatory Change” means, with respect to any Lender, any change after the date of this
Agreement in United States federal, state, or foreign laws or regulations (including Regulation D)
or the adoption or making after such date any interpretations, directives, or requests applying to
a class of banks (including any Lender) of or under any United States federal or state, or any
foreign, laws or regulations (whether or not having the force of law) by any court or governmental
or monetary authority charged with the interpretation or administration thereof.

     “Reserve Requirement” means the aggregate maximum reserve percentages (including any marginal,
special, supplemental or emergency reserves, and expressed as a decimal) established by the Federal
Reserve Board or any other United States banking authority to which Lender is subject for
“Eurocurrency Liabilities” (as defined in Regulation D). Such reserve percentages shall include,
without limitation, those imposed under Regulation D of the Board of Governors of the Federal
Reserve System.

     “Revolving Advance” means a loan or loans pursuant to Article II.

     “Revolving Advance Request Form” means a certificate, in substantially the form of Exhibit
“O”, properly completed and signed by Borrower requesting a Revolving Advance.

     “Revolving Credit Notes” means the promissory notes executed by Borrower payable to the order
of each Lender, respectively, in substantially the form of Exhibit “A”, properly completed, as the
same may be renewed, extended or modified and all promissory notes executed in renewal, extension,
modification or substitution thereof.

     “Revolving Line of Credit” means the credit facility extended by Lenders to Borrower pursuant
to Article II.

     “Scheduled Principal” means for Borrower and is Subsidiaries, on a consolidated basis, for any
period, all principal payments required to be made during such period

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under Section 3.4(c) and Section 4.4(c) hereof. Scheduled principal payments on the
Revolving Credit Notes and any mandatory payments made pursuant to Section 3.5 and Section
4.5 hereof shall not constitute Scheduled Principal.

     “Security Agreement-Subsidiary-General” means a Security Agreement executed by each
Guarantor in favor of Agent in substantially the form of Exhibit “D”, as the same may be
amended, supplemented or modified.

     “Subsidiary” means each Guarantor and any other Person of which or in which Borrower,
any Guarantor or their other Subsidiaries own or control, directly or indirectly, fifty
percent (50%) or more of (a) the combined voting power of all classes having general voting
power under ordinary circumstances to elect a majority of the directors or equivalent body
of such Person, if it is a corporation, (b) the capital interest or profits interest of
such Person, if it is a partnership, limited liability company, joint venture or similar
entity, or (c) the beneficial interest of such Person, if it is a trust, association or
other unincorporated association or organization.

     “TCEQ” means the Texas Commission on Environmental Quality.

     “Termination Date Acquisition Advances” means 11:00 a.m., Houston, Texas time on
September 30, 2008.

     “Termination Date Revolving Advances” means 11:00 a.m., Houston, Texas time on
September 30, 2010, or such earlier date on which the Commitments-Revolving Advances
terminate as provided in this Agreement.

     “Total Leverage Ratio” means, as of any date, (a) Funded Debt as of such date divided
by (b) EBITDA for the period ended as of such date.

     “Type” means the type of Loan (i.e. Prime Rate Loan or LIBOR Loan).

     “Unmatured Event of Default” means the occurrence of an event or the existence of a
condition which, with the giving of notice or the passage of time would constitute an Event
of Default.

     Section 1.2.
Other Definitional Provisions. All definitions contained in this Agreement are
equally applicable to the singular and plural forms of the terms defined. The words “hereof”,
“herein”, and “hereunder” and words of similar import referring to this Agreement refer to this
Agreement as a whole and not to any particular provision of this Agreement. Unless otherwise
specified, all Article and Section references pertain to this Agreement. All accounting terms not
specifically defined herein shall be construed in accordance with GAAP. Terms
used herein that are defined in the Uniform Commercial Code as adopted by the State of Texas,
unless otherwise defined herein, shall have the meanings

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specified in the Uniform Commercial Code as adopted by the State of Texas. In the event that, at
any time, Borrower has no Subsidiaries, all references to the Subsidiaries of Borrower and the
consolidation of certain financial information shall be deemed to be inapplicable until such time
as Borrower has a Subsidiary.

ARTICLE II.

Revolving Line of Credit and Letters of Credit

     Section 2.1. Revolving Line of Credit. Subject to the terms and conditions of this Agreement,
each Lender agrees severally to extend a portion of the Revolving Line of Credit to Borrower by
making one or more Revolving Advances to Borrower from time to time from the date hereof to and
including the Termination Date Revolving Advances in an aggregate principal amount at any time
outstanding up to but not exceeding such Lender’s Commitment-Revolving Advances; provided that the
aggregate amount of all Revolving Advances at any time outstanding shall not exceed the lesser of
(a) the Combined Commitments-Revolving Advances minus the Letter of Credit Liabilities or (b) the
Borrowing Base minus the Letter of Credit Liabilities. Lenders shall have no obligation to make any
Revolving Advance (other than a Revolving Advance to reimburse Issuing Bank for any draw on a
Letter of Credit issued pursuant to the terms hereof) if an Event of Default or a Bonding Default
has occurred and is continuing. The obligations of Lenders under the Commitments-Revolving
Advances are several and not joint. The failure of any Lender to make a Revolving Advance required
to be made by it shall not relieve any other Lender of its obligation to make its Revolving
Advance, and no Lender shall be responsible for the failure of any other Lender to make the
Revolving Advance to be made by such other Lender. No Lender shall ever be required to lend
hereunder in excess of its legal lending limit. Subject to the foregoing limitations, and the other
terms and provisions of this Agreement, Borrower may borrow, repay, and reborrow hereunder.

     Section 2.2. Revolving Credit Notes. The obligation of Borrower to repay the Revolving
Advances shall be evidenced by a Revolving Credit Note executed by Borrower, payable to the order
of each Lender, respectively, in the principal amount of such Lender’s Commitment-Revolving
Advances. From time to time a new Revolving Credit Note may be issued to another Lender hereunder
as such Person becomes a party to this Agreement. From time to time the Agent may require a
Revolving Credit Note to be exchanged for a newly issued Revolving Credit Note to accurately
reflect the amount of each Lender’s Commitment-Revolving Advances hereunder. Upon the request of
Agent, Borrower shall execute and deliver to Agent such new Revolving Credit Notes as requested by
Agent; provided, however, that in no event will Borrower be required to issue
Revolving Credit Notes in an aggregate amount which exceeds the amount of the Combined
Commitment-Revolving Advances.

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     Section 2.3. Interest. The unpaid principal amount of the Revolving Advances (and, therefore,
the Revolving Credit Notes) shall bear interest prior to maturity at a varying rate per annum equal
from day to day to the lesser of (a) the Maximum Rate or (b) the Applicable Rate in effect from day
to day, and each change in the rate of interest charged on the Revolving Advances shall become
effective, without notice to Borrower, on the effective date of each change in the Applicable Rate
or the Maximum Rate, as the case may be; provided, however, if at any time the rate of interest
specified in clause (b) preceding shall exceed the Maximum Rate, thereby causing the interest on
the Revolving Advances to be limited to the Maximum Rate, then any subsequent reduction in the
Applicable Rate shall not reduce the rate of interest on the Revolving Advances below the Maximum
Rate until the aggregate amount of interest actually accrued on the Revolving Advances equals the
amount of interest which would have accrued on the Revolving Advances if the interest rate
specified in clause (b) preceding had at all times been in effect. Notwithstanding the foregoing,
if any Event of Default has occurred and is continuing, the outstanding principal of the Revolving
Advances shall, upon the determination of the Majority Lenders (notice of which is provided by
Agent to Borrower), bear interest at the Default Rate.

     Section 2.4. Repayment of Principal and Interest. (a) Accrued and unpaid interest on the
Revolving Advances (and, therefore, the Revolving Credit Notes) shall be payable as follows:

     (i) in the case of each Revolving Advance which is a Prime Rate Loan, on each March
31, June 30, September 30 and December 31, commencing September 30, 2007;

     (ii) in the case of each Revolving Advance which is a LIBOR Loan, on the last day of
each Interest Period therefor;

     (iii) upon the payment or prepayment (mandatory or optional) of any Revolving Advance
or the Conversion of any Revolving Advance (but only on the principal amount so paid,
prepaid, or Converted); and

     (iv) for all Revolving Advances, on the Termination Date Revolving Advances.

     (b) The principal amount of the Revolving Advances (and, therefore, the Revolving Credit
Notes) shall be due and payable on the earlier of (i) the Termination Date Revolving Advances or
(ii) such other dates on which the Revolving Advances are or may be required to be paid pursuant to
this Agreement.

     (c) Notwithstanding the foregoing, interest payable at the Default Rate shall be payable from
time to time on demand.

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     Section 2.5. Requests for Revolving Advances. (a) As long as the Autopay Agreement is in
effect, Revolving Advances which are to be Prime Rate Loans may be made as provided in the Autopay
Agreement, and Borrower shall not be required to request a Revolving Advance directly from Agent by
means of a Revolving Advance Request Form.

     (b) The provisions of this paragraph shall apply (i) to all requests for Revolving Advances
which are to be LIBOR Loans, (ii) if Borrower so chooses, (iii) if the Autopay Agreement is not in
effect, or (iv) if the Available Amount (as defined in the Autopay Agreement) is, or has been
declared to be, equal to zero. Borrower shall request each Revolving Advance by delivering to
Agent a Revolving Advance Request Form (i) stating the amount of the Revolving Advance, (ii)
stating the date on which Borrower desires that the Revolving Advance be funded, (iii) stating the
Type of the Revolving Advance, and (iv) if such Revolving Advance is a LIBOR Loan, designating the
Interest Period thereof. Each Revolving Advance Request Form shall be delivered to Agent at least
(i) one (1) Business Day before the date on which Borrower desires that the Revolving Advance be
funded in the case of each Revolving Advance which is to be a Prime Rate Loan and (ii) at least
three (3) Business Days before the date on which Borrower desires that the Revolving Advance be
funded in the case of each Revolving Advance which is to be a LIBOR Loan; provided that (x) no
Revolving Advance which is a LIBOR Loan may be in an amount which is less than $1,000,000.00, and
(y) at any time there can be no more than five (5) Interest Periods in effect for the Revolving
Advances. Borrower at any time may redesignate the amounts of, and Convert and Continue the
Revolving Advances, but only to be effective from and after the end of the Interest Period therefor
if a Revolving Advance is a LIBOR Loan, and subject to the terms and provisions of this Agreement,
including Sections 5.7, 5.8 and 5.9 hereof. Prior to making any Revolving Advance, Lender may
require that Borrower deliver a Borrowing Base Certificate dated a recent date acceptable to Lender
evidencing that the amount of the outstanding Revolving Advances plus the requested Revolving
Advance is less than the lesser of the Combined Commitments-Revolving Advances and the Borrowing
Base. The Agent shall promptly notify each Lender of the contents of each such notice. No later
than 11:00 a.m. Houston, Texas time on the date specified for each Revolving Advance hereunder,
each Lender shall make available to Agent at its office specified herein in immediately available
funds, its Pro Rata Share of each requested Revolving Advance. After Agent’s receipt of such funds
and subject to the other terms and conditions of this Agreement, Agent shall make each Revolving
Advance available to the Borrower.

     Section 2.6. Use of Proceeds. The proceeds of Revolving Advances (a) were originally used to
partially finance the acquisition of the stock of Orion Marine Group Holdings, Inc., a Nevada
corporation by Borrower (when it was
Hunter Acquisition Corp., a Delaware corporation) and to refinance existing indebtedness, and
(b) shall be used to refinance existing indebtedness for general working capital purposes and for
capital expenditures.

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     Section 2.7. Mandatory Prepayment. If at any time the outstanding principal amount of the
Revolving Advances plus the Letter of Credit Liabilities exceeds the Borrowing Base, Borrower shall
immediately prepay the outstanding Revolving Advances by the amount of the excess plus accrued and
unpaid interest on the amount so prepaid or, if no (or insufficient) Revolving Advances are
outstanding, Borrower shall immediately pledge to Agent cash or cash equivalent investments in an
amount equal to the excess as security for the Letter of Credit Liabilities.

     Section 2.8. Unused Commitment Fee; Reduction or Termination of Combined Commitments-Revolving
Advances. Borrower agrees to pay to Agent for the Pro Rata-Revolving Advances benefit of the
Lenders a commitment fee on the average daily unused portion of the Combined Commitments-Revolving
Advances, from and including the Closing Date to, but excluding the Termination Date Revolving
Advances, at the rate set forth below based on a 360 day year and the actual number of days
elapsed, payable quarterly, in arrears, and on the Termination Date Revolving Advances.

	 	 	 	 	 
	Total Leverage Ratio
	 	Commitment Fee
	Less than 1.00 to 1.00
	 	 	0.200	%
	Equal to or greater than 1.00 to 1.00 but less than 1.50 to 1.00
	 	 	0.250	%
	Equal to or greater than 1.50 to 1.00 but less than 2.00 to 1.00
	 	 	0.250	%
	Equal to or greater than 2.00 to 1.00 but less than 2.50 to 1.00
	 	 	0.300	%
	Equal to or greater than 2.50 to 1.00
	 	 	0.375	%

For the purpose of calculating the commitment fee hereunder, the Combined Commitments-Revolving
Advances shall be deemed utilized by the amount of all outstanding Revolving Advances and Letter of
Credit Liabilities. Borrower shall have the right at any time to terminate in whole or from time
to time to irrevocably reduce in part the Combined Commitments-Revolving Advances upon at least
three (3) Business Days prior notice to Agent specifying the effective date thereof, whether a
termination or reduction is being made, and the amount of any partial reduction; provided, however,
the Combined Commitments-Revolving Advances shall never be reduced below an amount equal to the
Letter of Credit Liabilities. Any such reduction in the Combined Commitments-Revolving Advances
shall take effect Pro Rata. Simultaneously with giving such notice, Borrower shall prepay the
amount by which the unpaid principal amount of the
Revolving Advances plus the Letter of Credit Liabilities exceeds the Combined Commitments-Revolving
Advances (after giving effect to such notice) plus accrued and unpaid interest on the principal
amount so prepaid. The Combined Commitments-Revolving Advances may not be reinstated after they
have been terminated or reduced.

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     Section 2.9. Letters of Credit. Subject to the terms and conditions of this Agreement, Issuing
Bank agrees to issue one or more Letters of Credit for the account of Borrower from time to time
from the date hereof to and including the Termination Date Revolving Advances; provided, however,
that the Letter of Credit Liabilities shall not at any time exceed the least of (a) $2,000,000.00,
(b) the Combined Commitments-Revolving Advances minus the outstanding Revolving Advances, or (c)
the Borrowing Base minus the outstanding Revolving Advances. Each Letter of Credit shall (a) have
an expiration date which is not later than three hundred sixty-five (365) days following the date
of issuance of such Letter of Credit, (b) have an expiration date which is at least fifteen (15)
days prior to the Termination Date Revolving Advances, (unless any such Letter of Credit is fully
secured by cash in a manner acceptable to Agent and Issuing Bank), (c) be payable in United States
dollars, (d) have a minimum face amount of $100,000.00, (e) support a transaction that is entered
into in the ordinary course of any Borrower’s business, and (f) otherwise be satisfactory in form
and substance to Issuing Bank. No Letter of Credit shall require any payment by Issuing Bank to
the beneficiary thereunder pursuant to a drawing prior to the third Business Day following
presentment of a draft and any related documents to Issuing Bank. Issuing Bank shall have no
obligation to issue any Letter of Credit if an Event of Default or Bonding Default has occurred and
is continuing. The Existing Letters of Credit constitute Letters of Credit for all purposes of this
Agreement.

     Section 2.10. Procedure for Issuing Letters of Credit. Each Letter of Credit shall be issued
upon receipt by Issuing Bank of written notice from an Authorized Representative requesting the
issuance of such Letter of Credit, which notice shall be received by Issuing Bank at least three
(3) Business Days prior to the requested date of issuance of such Letter of Credit. Such notice
shall be accompanied by a Letter of Credit Application and such other documents and instruments as
Issuing Bank may require. Such notice and application (both front and back sides) may be sent by
fax, provided that Borrower holds Issuing Bank harmless with respect to actions taken by Issuing
Bank based upon notices and applications sent by fax. Each request for a Letter of Credit shall
constitute a representation by Borrower to Issuing Bank, Agent and the other Lenders as to each of
the matters set forth in the Borrowing Base Certificate, including representations that (a) the sum
of (i) the outstanding Revolving Advances plus (ii) the Letter of Credit Liabilities plus (iii) the
face amount of the requested Letter of Credit does not exceed the lesser of the Borrowing Base and
the Combined Commitments-Revolving Advances, and (b) no Event of Default or Bonding Default has
occurred and is continuing. Prior to Issuing any Letter of Credit, Issuing Bank may request a
Borrowing Base Certificate from Borrower dated of a
recent date acceptable to Lender evidencing that the statements contained in the preceding
sentence are correct.

     Section 2.11. Participation by Lenders. By the issuance of any Letter of Credit and without
any further action on the part of Issuing Bank or any Lender in respect thereof, Issuing Bank
hereby grants to each Lender, and each Lender hereby agrees to acquire from Issuing Bank, a
participation in each such Letter of Credit and the related Letter of Credit Liabilities, effective
upon the issuance thereof without recourse or warranty, equal to such Lender’s Pro

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Rata Part of such Letter of Credit and Letter of Credit Liabilities. Issuing Bank shall provide a
copy of each Letter of Credit to each other Lender promptly after issuance. This agreement to grant
and acquire participations is an agreement between Issuing Bank and Lenders, and neither Borrower
nor any beneficiary of a Letter of Credit shall be entitled to rely thereon. Borrower agrees that
each Lender purchasing a participation from the Issuing Bank pursuant to this Section 2.11 may
exercise all of its rights to payment against the Borrower including the right of setoff, with
respect to such participation as fully as if such Lender were the direct creditor of Borrower in
the amount of such participations.

     Section 2.12. Payments Constitute Revolving Advances. Each payment by Issuing Bank pursuant to
a drawing under a Letter of Credit shall constitute and be deemed a Revolving Advance by Issuing
Bank to Borrower under the Revolving Credit Notes and this Agreement as of the day and time such
payment is made by Issuing Bank and in the amount of such payment. Each Lender shall make available
to Issuing Bank in immediately available funds its Pro Rata Share-Revolving Advances of each such
Revolving Advance in the manner provided in Section 2.5 hereof upon notice given by the Issuing
Bank in the manner provided in Section 2.5 for notices given by Agent. Notwithstanding the
foregoing, if, prior to paying a drawing on a Letter of Credit with a Revolving Advance as provided
above, an Event of Default under Section 12.1(d) or (e) shall have occurred or if for any other
reason a Revolving Advance cannot be made, then, each Lender will, on the date on which the
Revolving Advance was to have been made to pay such drawing or such other date as is designated by
Issuing Bank, purchase from Issuing Bank an undivided participation interest in such Letter of
Credit in an amount equal to its Pro Rata Share of the Revolving Advances. Upon request from Agent
(which shall be given by Agent to Lenders immediately following receipt of notice by Agent from
Issuing Bank), each Lender will immediately transfer such amount to Issuing Bank.

     Section 2.13. Letter of Credit Fees. Borrower shall pay to Agent for the Pro Rata-Revolving
Advances benefit of the Lenders a letter of credit fee payable on the date each Letter of Credit is
issued in an amount equal to the greater of (a) $300.00, or (b) the applicable percentage set forth
below of the stated amount
of such Letter of Credit based upon a 360 day year for the period during which such Letter of
Credit will remain outstanding:

	 	 	 	 	 
	Total Leverage Ratio
	 	Letter of Credit Fee
	Less than 1.00 to 1.00
	 	 	1.50	%
	Equal to or greater than 1.00 to 1.00 but less than 1.50 to 1.00
	 	 	1.75	%
	Equal to or greater than 1.50 to 1.00 but less than 2.00 to 1.00
	 	 	2.00	%
	Equal to or greater than 2.00 to 1.00 but less than 2.50 to 1.00
	 	 	2.25	%
	Equal to or greater than 2.50 to 1.00
	 	 	2.50	%

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At the time of issuance of each Letter of Credit, Borrower shall pay to the Issuing Bank a letter
of credit fee in an amount equal to one-eighth of one percent (c%) of the stated amount of such
Letter of Credit. In addition, Borrower shall pay to Issuing Bank (a) at the time of issuance of
any Letter of Credit, all reasonable and documented out-of-pocket costs incurred by Issuing Bank in
connection with the issuance of such Letter of Credit, and (b) upon the payment of any Letter of
Credit, all applicable payment fees. Upon the amendment (including the extension) of any Letter of
Credit, Borrower shall pay to Issuing Bank all applicable amendment fees and to Agent for the Pro
Rata benefit of Lenders a fee calculated as provided in the first sentence of this Section 2.13 for
the period of such extension.

     Section 2.14. Obligations Absolute. The obligations of Borrower under this Agreement and the
other Loan Documents, including without limitation the obligation of Borrower to reimburse Issuing
Bank and Lenders, as applicable, for payment of drawings under any Letter of Credit, shall be
absolute, unconditional and irrevocable, and shall be performed strictly in accordance with the
terms of this Agreement and the other Loan Documents under all circumstances, including (a) any
lack of validity or enforceability of any Letter of Credit or any other Loan Document, (b) the
existence of any claim, set-off, counterclaim, defense or other rights which Borrower, any
Obligated Party or any other Person may have at any time against any beneficiary of any Letter of
Credit, Issuing Bank, Agent, any Lender, or any other Person, whether in connection with this
Agreement or any other Loan Document or any unrelated transaction, (c) if any statement, draft or
other document presented under any Letter of Credit proves to be forged, fraudulent, invalid or
insufficient in any respect or any statement therein is untrue or inaccurate in any respect
whatsoever, (d) payment by Issuing Bank under any Letter of Credit against presentation of a draft
or other document which does not comply with the terms of such Letter of Credit in a manner which
is not material, (e) any amendment or waiver of, or any consent to departure
from, any Loan Document or (f) any other circumstance or happening whatsoever, whether or not
similar to any of the foregoing.

     Section 2.15. Limitation of Liability. Borrower assumes all risks of the acts or omissions of
any beneficiary of any Letter of Credit with respect to its use of such Letter of Credit. None of
Issuing Bank, Agent, any Lender or any of their officers, employees or directors shall have any
responsibility or liability to Borrower or any other Person for (a) the failure of any draft to
bear any reference or adequate reference to any Letter of Credit, or the failure of any documents
to accompany any draft at negotiation, or the failure of any Person to surrender or to take up any
Letter of Credit or to send documents apart from drafts as required by the terms of any Letter of
Credit, or the failure of any Person to note the amount of any instrument on any Letter of Credit,
each of which requirements, if contained in any Letter of Credit itself, it is agreed may be waived
by Issuing Bank, (b) errors, omissions, interruptions or delays in transmission or delivery of any
messages, (c) the validity, sufficiency or genuineness of any draft or other document, or any
endorsement thereon, even if any such draft, document or endorsement should in fact prove to be in
any and all respects invalid, insufficient, fraudulent or forged or any statement therein is untrue
or inaccurate in any respect, (d) payment by Issuing Bank to the beneficiary of any Letter of
Credit against presentation of any draft or other

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document that does not comply with the terms of the Letter of Credit in a respect which is not
material or (e) any other circumstance whatsoever in making or failing to make any payment under a
Letter of Credit. Issuing Bank may accept documents that appear on their face to be in order,
without responsibility for further investigation, regardless of any notice or information to the
contrary. Notwithstanding the foregoing, Issuing Bank shall be liable to Borrower to the extent of
any direct, but not consequential, damages suffered by Borrower which Borrower proves in a final
nonappealable judgment were caused by (i) Issuing Bank’s willful misconduct or gross negligence or
(ii) Issuing Bank’s willful failure to pay under any Letter of Credit after presentation to it of
documents strictly complying with the terms and conditions of such Letter of Credit.

     Section 2.16. Provisions Regarding Electronic Issuance of Letters of Credit. Issuing Bank may
adopt procedures pursuant to which Borrower may request the issuance of Letters of Credit by
electronic means and Issuing Bank may issue Letters of Credit based on such electronic requests.
Such procedures may include the entering by Borrower into the Letter of Credit Applications
electronically. All the procedures, actions and documents referred to in the two preceding
sentences are referred to as “Electronic Applications”. Borrower holds Issuing Bank, Agent and each
Lender harmless with respect to actions taken by Issuing Bank based upon Electronic Applications.
Borrower further agrees to be bound by all the terms and provisions contained in the Letter of
Credit Applications, including, without limitation, the terms and provisions of the Letter of
Credit Applications contained on the reverse side of the paper copies thereof, including the
release and indemnification provisions contained therein.

     Section 2.17. Increase of the Combined Commitments-Revolving Advances. (a) At any time prior
to the Termination Date Revolving Advances, the Borrower may effectuate up to two (2) separate
increases in the aggregate Combined Commitments-Revolving Advances (each such increase being a
“Combined Commitments-Revolving Advances Increase”), by designating either one or more of the
existing Lenders (each of which, in its sole discretion, may determine whether and to what degree
to participate in such Combined Commitments-Revolving Advances Increase) or one or more other banks
or other financial institutions (reasonably acceptable to Agent) that at the time agree, in the
case of any such bank or financial institution that is an existing Lender to increase its
Commitment-Revolving Advances as such Lender shall so select (an “Increasing Lender”) and, in the
case of any other such bank or financial institution (an “Additional Lender”), to become a party to
this Agreement; provided, however, that (i) each Combined Commitments-Revolving Advances Increase
shall be in an amount at least equal to $5,000,000.00, (ii) the aggregate amount of all Combined
Commitments-Revolving Advances Increases and Combined Commitments-Acquisition Term Loan Increases
(as defined in Section 4.8) shall not exceed $25,000,000.00, and (iii) all Commitments-Revolving
Advances and Revolving Advances provided pursuant to a Combined Commitments-Revolving Advances
Increase shall be available on the same terms as those applicable to the existing
Commitments-Revolving Advances and Revolving Advances. The sum of the increases in the
Commitments-Revolving Advances of the Additional Lenders upon giving effect to a Combined
Commitments-Revolving Advances

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Increase shall not, in the aggregate, exceed the amount of such Combined Commitments-Revolving
Advances Increase minus the increases in the Combined Commitments-Revolving Advances of the
Increasing Lenders. Borrower shall provide prompt notice of any proposed Combined
Commitments-Revolving Advances Increase pursuant to clause (a) above to Agent. This Section 2.17
shall not be construed to create any obligation on Agent or any Lender to advance or to commit to
advance any credit to Borrower or to arrange for any other Person to advance or to commit to
advance any credit to Borrower.

     (b) A Combined Commitments-Revolving Advances Increase shall become effective upon the receipt
by Agent of (i) a fee on the amount of the Combined Commitments-Revolving Advances Increase based
upon prevailing market rates at the time of such Combined Commitments-Revolving Advances Increase,
(ii) an agreement in form and substance reasonably satisfactory to Agent signed by Borrower, each
Increasing Lender and each Additional Lender, as applicable, setting forth the
Commitments-Revolving Advances of each such Lender, and in the case of an Additional Lender,
setting forth the agreement of such Additional Lender to become a party to this Agreement and to be
bound by all the terms and provisions hereof binding upon each Lender, (iii) such evidence of
appropriate authorization on the part of Borrower with respect to such Combined
Commitments-Revolving Advances Increase as Agent may reasonably request, and (iv) a certificate of
an Authorized Representative of
Borrower stating that, both before and after giving effect to such Combined
Commitments-Revolving Advances Increase, no Event of Default or Unmatured Event of Default has
occurred and is continuing, and that all representations and warranties made by Borrower in this
Agreement are true and correct in all material respects, unless such representation or warranty
relates to an earlier date which remains true and correct as of such earlier date.

ARTICLE III.

Real Estate Term Loan

     Section 3.1. Real Estate Term Loan. Subject to the terms and conditions of this Agreement,
each Lender who has a Commitment-Real Estate Term Loan agrees severally to make the Real Estate
Term Loan to Borrower in the principal amount of the Combined Commitments-Real Estate Term Loan.

     Section 3.2. Real Estate Term Notes. The obligation of Borrower to repay the Real Estate Term
Loan shall be evidenced by the Real Estate Term Notes executed by Borrower, payable to the order of
each Lender who as a Commitment-Real Estate Term Loan, respectively, in the principal amount of
such Lender’s Commitment-Real Estate Term Loan. From time to time a new Real Estate Term Note may
be issued to another Lender hereunder as such Person becomes a party to this Agreement. From time
to time the Agent may require a Real Estate Term Note to be exchanged for a newly issued Real
Estate Term Note to

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accurately reflect the amount of each Lender’s Commitment-Real Estate Term Loan hereunder. Upon the
request of Agent, Borrower shall execute and deliver to Agent such new Real Estate Term Notes as
requested by Agent.

     Section 3.3. Interest. The unpaid principal amount of the Real Estate Term Loan (and,
therefore, the Real Estate Term Notes) shall bear interest to but excluding the maturity date
thereof at a varying rate per annum equal from day to day to the lesser of (a) the Maximum Rate or
(b) the Applicable Rate, and each change in the rate of interest charged on the Real Estate Term
Loan shall become effective, without notice to Borrower, on the effective date of each change in
the Applicable Rate or the Maximum Rate, as the case may be; provided, however, if at any time the
rate of interest specified in clause (b) preceding shall exceed the Maximum Rate, thereby causing
the interest on the Real Estate Term Loan to be limited to the Maximum Rate, then any subsequent
reduction in the Applicable Rate shall not reduce the rate of interest on the Real Estate Term Loan
below the Maximum Rate until the aggregate amount of interest accrued on the Real Estate Term Loan
equals the aggregate amount of interest which would have accrued on the Real Estate Term Loan if
the interest rate specified in clause (b) preceding had at all times been in effect.
Notwithstanding the foregoing, if any Event of Default has occurred and is continuing, the
outstanding principal of the Real Estate Term Loan shall, upon
the determination of the Majority Lenders (notice of which is provided by Agent to Borrower),
bear interest at the Default Rate.

     Section 3.4. Repayment of Principal and Interest. (a) Accrued and unpaid interest on the Real
Estate Term Loan (and, therefore, the Real Estate Term Notes) shall be due and payable as follows:

     (i) in the case of each Real Estate Term Loan Portion which is a Prime Rate Loan, on
each March 31, June 30, September 30 and December 31, commencing September 30, 2007;

     (ii) in the case of each Real Estate Term Loan Portion which is a LIBOR Loan, on the
last day of each Interest Period therefor;

     (iii) upon the payment or prepayment (mandatory or optional) of any Real Estate Term
Loan Portion or the Conversion of any Real Estate Term Loan Portion (but only on the
principal amount so paid, prepaid, or Converted); and

     (iv) for all Real Estate Term Loan Portions, on the Maturity Date Real Estate Term
Loan.

     (b) Notwithstanding the foregoing, interest payable at the Default Rate shall be payable from
time to time on demand.

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     (c) The principal of the Real Estate Term Loan (and, therefore, the Real Estate Term Notes)
shall be due and payable by Borrower as follows:

     (i) Two (2) principal installments each in an amount equal to One Million Four Hundred
Fifty-Two Thousand Five Hundred and No/100 Dollars ($1,452,500.00), shall be due and
payable on September 30, 2007 and December 31, 2007;

     (ii) Four (4) principal installments each in an amount equal to Two Million
Seventy-Five Thousand and No/100 Dollars ($2,075,000.00), shall be due and payable on March
31, 2008, June 30, 2008, September 30, 2008 and December 31, 2008;

     (iii) Five (5) principal installments each in an amount equal to Two Million Four
Hundred Ninety Thousand and No/100 Dollars ($2,490,000.00), shall be due and payable on
March 31, 2009, June 30, 2009, September 30, 2009, December 31, 2009 and March 31, 2010;

     (iv) One (1) principal installment in an amount equal to Two Million Five Hundred
Ninety-Three Thousand Seven Hundred Fifty and No/100 Dollars ($ 2,593,750.00), shall be due
and payable on June 30, 2010; and

     (v) a final installment in the amount of all outstanding principal shall be due and
payable on the Maturity Date Real Estate Term Loan.

     Section 3.5. Mandatory Prepayment. (a) If at the end of any fiscal year of Borrower,
commencing with the fiscal year ending December 31, 2007, (i) the Total Leverage Ratio is less than
2.00 to 1.00, the Real Estate Term Loan shall be subject to mandatory prepayment in an amount equal
to twenty-five percent (25%) of Excess Cash Flow for such fiscal year, and (ii) the Total Leverage
Ratio is equal to or greater than 2.00 to 1.00, the Real Estate Term Loan shall be subject to
mandatory prepayment in an amount equal to fifty percent (50%) of Excess Cash Flow for such fiscal
year. Such mandatory prepayments shall be due and payable on that day which is one hundred twenty
(120) days following the last day of each fiscal year of Borrower and shall be applied to the
remaining principal payments due on the Real Estate Term Loan in inverse order of their maturities.

     (b) The Real Estate Term Loan shall be subject to mandatory prepayment in an amount equal to
one hundred percent (100%) of the insurance, condemnation or other proceeds received in connection
with any casualty event, condemnation or other loss suffered by Borrower or any Subsidiary (“Event
Proceeds”); provided, however, that (i) if such Event Proceeds are less than or equal to
$500,000.00, no mandatory prepayment shall be required, such Event Proceeds shall be paid to
Borrower, and Borrower shall use such Event Proceeds to repair or restore the assets which gave
rise to such Event Proceeds, and (ii) if such Event Proceeds are greater than $500,000.00, Agent
may determine that no mandatory prepayment is to be required and that such Event Proceeds are to be
paid to Borrower, and, in such event,

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Borrower shall use such Event Proceeds to repair or restore the assets which gave rise to such
Event Proceeds. Such mandatory prepayments shall be due on that date which is ten (10) days
following the date on which Borrower or Agent receives any such Event Proceeds and shall be applied
to the remaining principal payments due on the Real Estate Term Loan in inverse order of their
maturities.

     (c) The Real Estate Term Loan shall be subject to mandatory prepayment in an amount equal to
one hundred percent (100%) of the net proceeds of any sale or other disposition of assets of
Borrower or any Subsidiary (“Net Proceeds”); provided, however, that (i) if the aggregate amount of
the Net Proceeds of all such sales or dispositions during any calendar year is less than
$250,000.00, no mandatory prepayment shall be required, (ii) if (A) the aggregate amount of the Net
Proceeds of all such sales or dispositions during any calendar year is equal to or greater than
$250,000.00 but less than $1,000,000.00, and (B) Borrower acquires replacement assets having a cost
at least equal to such Net Proceeds in which Agent has a first priority Lien, no mandatory
prepayment shall be required, and (iii) if the aggregate amount of the Net Proceeds of all such
sales or dispositions during any calendar year is equal to or greater than
$1,000,000.00, Agent may determine that no mandatory prepayment is to be required if Borrower
acquires replacement assets having a cost at least equal to such Net Proceeds in which Agent has a
first priority Lien. Any such mandatory prepayments shall be due on that date which is ten (10)
days following the date on which Borrower or Agent receives any such Net Proceeds which results in
the obligation to make a mandatory prepayment, and shall be applied to the remaining principal
payments due on the Real Estate Term Loan in inverse order of their maturities. Notwithstanding
any provision of this Agreement or any Loan Document to the contrary, Borrower or any Subsidiary
may sell or convey its assets, other than the assets described in the Pledge Agreements, free and
clear of the Liens created by the Loan Documents, provided that any such sale or conveyance is
subject to the provisions of, and in accordance with, this Section 3.5(c).

     (d) The Real Estate Term Loan shall be subject to mandatory prepayment in an amount equal to
one hundred percent (100%) of the net proceeds from any issuance of debt securities, excluding (i)
any proceeds from any issuance by Borrower of equity securities and (ii) cash proceeds used in
conjunction with any acquisition; provided however, that the Senior Subordinated Note shall not
constitute debt securities for purposes of this Section 3.5(d). Such mandatory prepayments shall be
due on the date on which such debt securities are issued and shall be applied to the remaining
principal payments due on the Real Estate Term Loan in inverse order of their maturities.

     Section 3.6. Designation of Real Estate Term Loan Portions. Not less than two (2) Business
Days prior to the Closing Date, Borrower shall designate the amount of the Real Estate Term Loan
Portions to Lender in writing, and such designation shall specify the Type of each Real Estate Term
Loan Portion and, in the case of each Real Estate Term Loan Portion which is to be a LIBOR Loan,
the duration of the Interest Period therefor; provided that at all times (a) the sum of all the
Real Estate Term Loan Portions shall equal the outstanding

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principal balance of the Real Estate Term Loan, (b) each Real Estate Term Loan Portion shall be in
an amount which is not less than $1,000,000.00, and (c) at any time there can be no more than five
(5) Real Estate Term Loan Portions. Borrower at any time may redesignate the amounts of, and
Convert and Continue the Real Estate Term Loan Portions, but only to be effective from and after
the end of the Interest Period therefor if such Real Estate Term Loan Portion is a LIBOR Loan, and
subject to the terms and provisions of this Agreement, including Sections 5.7, 5.8 and 5.9 hereof.

     Section 3.7. Use of Proceeds. The proceeds of the Real Estate Term Loan (a) were originally
used to partially finance the acquisition of the stock of Orion Marine Group Holdings, Inc., a
Nevada corporation by Borrower (when it was Hunter Acquisition Corp., a Delaware corporation) and
(b) shall be used to refinance existing indebtedness and for general working capital purposes.

ARTICLE IV.

Acquisition
Term Loan

     Section 4.1. Acquisition Term Loan. Subject to the terms and conditions of this Agreement,
Lenders agree severally to make the Acquisition Term Loan to Borrower in one or more Acquisition
Advances from time to time from the date hereof to and including the Termination Date Acquisition
Advances in an aggregate principal amount up to but not exceeding each such Lender’s
Commitment-Acquisition Term Loan; provided that the aggregate amount of all Acquisition Advances
shall not exceed the Combined Commitments-Acquisition Term Loan. Lenders shall have no obligation
to make any Acquisition Advance if an Event of Default or an Unmatured Event of Default has
occurred and is continuing unless waived by Majority Lenders. The obligations of the Lenders under
the Commitments-Acquisition Term Loan are several and not joint. The failure of any Lender to make
an Acquisition Advance required to be made by it shall not relieve any other Lender of its
obligation to make its Acquisition Advance, and no Lender shall be responsible for the failure of
any other Lender to make an Acquisition Advance to be made by such other Lender. No Lender shall
ever be required to lend hereunder in excess of its legal lending limit. Borrower may not reborrow
any Acquisition Advance which has been repaid. No Acquisition Advance shall be made after the
Termination Date Acquisition Advances.

     Section 4.2. Acquisition Term Notes. The obligation of Borrower to repay Acquisition Term Loan
shall be evidenced by the Acquisition Term Notes, executed by Borrower, payable to the order of
each Lender who has a Commitment-Acquisition Term Loan, respectively in the principal amount of
such Lender’s Commitment-Acquisition Term Loan. From time to time a new Acquisition Term Note may
be issued to another Lender hereunder as such Person becomes a party to this Agreement. From time
to time the Agent may require an Acquisition Term Note to be exchanged for a newly issued
Acquisition Term Note to accurately reflect the

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amount of each Lender’s Commitment-Acquisition Term Loan hereunder. Upon the request of Agent,
Borrower shall execute and deliver to Agent such new Acquisition Term Notes as requested by Agent.

     Section 4.3. Interest. The unpaid principal amount of Acquisition Advances (and, therefore,
the Acquisition Term Notes) shall bear interest prior to maturity at a varying rate per annum equal
from day to day to the lesser of (a) the Maximum Rate or (b) the Applicable Rate, and each change
in the rate of interest charged on the Acquisition Term Loan shall become effective, without notice
to Borrower on the effective date of each change in the Applicable Rate or the Maximum Rate, as the
case may be; provided, however, if at any time the rate of interest specified in clause (b)
preceding shall exceed the Maximum Rate, thereby causing the interest on the Acquisition Term Loan
to be limited to the Maximum
Rate, then any subsequent reduction in the Applicable Rate shall not reduce the rate of
interest on the Acquisition Term Loan below the Maximum Rate until the aggregate amount of interest
accrued on the Acquisition Term Loan equals the aggregate amount of interest which would have
accrued on the Acquisition Term Loan if the interest rate specified in clause (b) preceding had at
all times been in effect. Notwithstanding the foregoing, if any Event of Default has occurred and
is continuing, the outstanding principal of the Acquisition Term Loan shall, upon the determination
of the Majority Lenders, bear interest at the Default Rate.

     Section 4.4. Repayment of Principal and Interest. (a) Accrued and unpaid interest on the
Acquisition Term Loan (and, therefore, the Acquisition Term Notes) shall be due and payable as
follows:

     (i) in the case of each Acquisition Advance which is a Prime Rate Loan, on each March
31, June 30, September 30 and December 31, commencing September 30, 2007;

     (ii) in the case of each Acquisition Advance which is a LIBOR Loan, on the last day of
each Interest Period therefor;

     (iii) upon the payment or prepayment (mandatory or optional) of any Acquisition
Advance or the Conversion of any Acquisition Advance (but only on the principal amount so
paid, prepaid, or Converted); and

     (iv) for all Acquisition Advances, on the Maturity Date Acquisition Term Loan.

     (b) Notwithstanding the foregoing, interest payable at the Default Rate shall be payable from
time to time on demand.

     (c) The principal of the Acquisition Term Loan (and, therefore, the Acquisition Term Notes)
shall be due and payable by Borrower as follows:

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     (i) seven (7) quarterly installments each in the principal amount equal to two and
one-half percent (2.50%) of the outstanding principal balance of the Acquisition Term Loan
on the Termination Date Acquisition Advances, shall be due and payable on each March 31,
June 30, September 30 and December 31, commencing December 31, 2008 until and including
June 30, 2010;

     (ii) quarterly installments each in the principal amount equal to two and one-half
percent (2.50%) of the amount of any Combined Commitments-Acquisition Term Loan Increase
which occurs at any time after the Termination Date Acquisition Advances shall be due and
payable on each March 31, June 30, September 30 and December 31, commencing with the first
such date occurring after the calendar quarter in
which such Combined Commitments-Acquisition Term Loan Increase occurs; and

     (iii) a final installment in the amount of all outstanding principal shall be due and
payable on the Maturity Date Acquisition Term Loan.

     Section 4.5.Mandatory Prepayment. (a) If the Real Estate Term Loan has been paid in full, the
Acquisition Term Loan shall be subject to mandatory prepayment if at the end of any fiscal year of
Borrower, commencing with the fiscal year ending December 31, 2007, (i) the Total Leverage Ratio is
less than 2.00 to 1.00, in an amount equal to twenty-five percent (25%) of Excess Cash Flow for
such fiscal year, and (ii) the Total Leverage Ratio is equal to or greater than 2.00 to 1.00, in an
amount equal to fifty percent (50%) of Excess Cash Flow for such fiscal year. Such mandatory
prepayments shall be due and payable on that day which is one hundred twenty (120) days following
the last day of each fiscal year of Borrower and shall be applied to the remaining principal
payments due on the Acquisition Term Loan in inverse order of their maturities.

     (b) If the Real Estate Term Loan has been paid in full, the Acquisition Term Loan shall be
subject to mandatory prepayment in an amount equal to one hundred percent (100%) of the insurance,
condemnation or other proceeds received in connection with any casualty event, condemnation or
other loss suffered by Borrower or any Subsidiary (“Event Proceeds”); provided, however, that (i)
if such Event Proceeds are less than or equal to $500,000.00, no mandatory prepayment shall be
required, such Event Proceeds shall be paid to Borrower, and Borrower shall use such Event Proceeds
to repair or restore the assets which gave rise to such Event Proceeds, and (ii) if such Event
Proceeds are greater than $500,000.00, Agent may determine that no mandatory prepayment is to be
required and that such Event Proceeds are to be paid to Borrower, and, in such event, Borrower
shall use such Event Proceeds to repair or restore the assets which gave rise to such Event
Proceeds. Such mandatory prepayments shall be due on that date which is ten (10) days following the
date on which Borrower or Agent receives any such Event Proceeds and shall be applied to the
remaining principal payments due on the Acquisition Term Loan in inverse order of their maturities.

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     (c) If the Real Estate Term Loan has been paid in full, the Acquisition Term Loan shall be
subject to mandatory prepayment in an amount equal to one hundred percent (100%) of the net
proceeds of any sale or other disposition of assets of Borrower or any Subsidiary (“Net Proceeds”);
provided, however, that (i) if the aggregate amount of the Net Proceeds of all such sales or
dispositions during any calendar year is less than $250,000.00, no mandatory prepayment shall be
required, (ii) if (A) the aggregate amount of the Net Proceeds of all such sales or dispositions
during any calendar year is equal to or greater than $250,000.00 but less than $1,000,000.00, and
(B) Borrower acquires replacement assets having a cost at least equal to such Net Proceeds in which
Agent has a first priority Lien, no mandatory prepayment shall be required, and
(iii) if the aggregate amount of the Net Proceeds of all such sales or dispositions during any
calendar year is equal to or greater than $1,000,000.00, Agent may determine that no mandatory
prepayment is to be required if Borrower acquires replacement assets having a cost at least equal
to such Net Proceeds in which Agent has a first priority Lien. Any such mandatory prepayments shall
be due on that date which is ten (10) days following the date on which Borrower or Agent receives
any such Net Proceeds which results in the obligation to make a mandatory prepayment, and shall be
applied to the remaining principal payments due on the Acquisition Term Loan in inverse order of
their maturities. Notwithstanding any provision of this Agreement or any Loan Document to the
contrary, Borrower or any Subsidiary may sell or convey its assets, other than the assets described
in the Pledge Agreements, free and clear of the Liens created by the Loan Documents, provided that
any such sale or conveyance is subject to the provisions of, and in accordance with, this Section
4.5(c).

     (d) If the Real Estate Term Loan has been paid in full, the Acquisition Term Loan shall be
subject to mandatory prepayment in an amount equal to one hundred percent (100%) of the net
proceeds from any issuance of debt securities, excluding any (i) proceeds from any issuance by
Borrower of equity securities and (ii) cash proceeds used in conjunction with any acquisition;
provided however, that the Senior Subordinated Note shall not constitute debt securities for
purposes of this Section 4.5(d). Such mandatory prepayments shall be due on the date on which such
debt securities are issued and shall be applied to the remaining principal payments due on the
Acquisition Term Loan in inverse order of their maturities.

     Section 4.6. Requests for Acquisition Advances. Borrower shall request each Acquisition
Advance by delivering to Agent an Acquisition Advance Request Form (a) stating the amount of the
Acquisition Advance, (b) stating the date on which Borrower desires that the Acquisition Advance be
funded, (c) stating the Type of the Acquisition Advance, and (d) if such Acquisition Advance is a
LIBOR Loan, designating the Interest Period thereof. Each Acquisition Advance Request Form shall be
accompanied by documentation satisfactory to Agent related such Acquisition Advance. Each
Acquisition Advance Request Form shall be delivered to Agent at least (i) in the case of each
Acquisition Advance which is to be a Prime Rate Loan, (A) not later than 11:00 a.m. on any Business
Day, in which case such Acquisition Advance shall be funded on such Business Day (if all other
conditions contained in this Agreement are satisfied) or (B) after 11:00 a.m. on any Business Day,
in which case, such

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Acquisition Advance shall be funded on the next succeeding Business Day (if all other conditions
contained in this Agreement are satisfied), and (ii) in the case of each Acquisition Advance which
is to be a LIBOR Loan, at least three (3) Business Days before the date on which Borrower desires
that the Acquisition Advance be funded; provided that (x) no Acquisition Advance which is a LIBOR
Loan may be in an amount which is less than $1,000,000.00, and (y) at any time there can be no more
than five (5) Interest Periods in effect for the Acquisition
Advances. Borrower at any time may redesignate the amounts of, and Convert and Continue the
Acquisition Advances, subject to the terms and provisions of this Agreement, including Sections
5.7, 5.8 and 5.9 hereof.

     Section 4.7. Use of Proceeds. The proceeds of the Acquisition Term Loan shall be used for
general corporate purposes, including to finance Acquisitions permitted by this Agreement and for
capital expenditures.

     Section 4.8. Increase of the Combined Commitments-Acquisition Term Loan. (a) Borrower may
effectuate up to two (2) separate increases in the aggregate Combined Commitments-Acquisition Term
Loan (each such increase being a “Combined Commitments-Acquisition Term Loan Increase”), by
designating either one or more of the existing Lenders (each of which, in its sole discretion, may
determine whether and to what degree to participate in such Combined Commitments-Acquisition Term
Loan Increase) or one or more other banks or other financial institutions (reasonably acceptable to
Agent) that at the time agree, in the case of any such bank or financial institution that is an
existing Lender to increase its Commitment-Acquisition Term Loan as such Lender shall so select (an
“Increasing Lender”) and, in the case of any other such bank or financial institution (an
“Additional Lender”), to become a party to this Agreement; provided, however, that (i) each
Combined Commitments-Acquisition Term Loan Increase shall be in an amount at least equal to
$5,000,000.00, (ii) the aggregate amount of all Combined Commitments-Acquisition Term Loan
Increases and Combined Commitments-Revolving Advances Increases (as defined in Section 2.17) shall
not exceed $25,000,000.00, and (iii) all Commitments-Acquisition Term Loan and Acquisition Advances
provided pursuant to a Combined Commitments-Acquisition Term Loan Increase shall be available on
the same terms as those applicable to the existing Commitments-Acquisition Term Loan and
Acquisition Advances. The sum of the increases in the Commitments-Acquisition Term Loan of the
Additional Lenders upon giving effect to a Combined Commitments-Acquisition Term Loan Increase
shall not, in the aggregate, exceed the amount of such Combined Commitments-Acquisition Term Loan
Increase minus the increase in the Combined Commitments-Acquisition Advances of the Increasing
Lenders. Borrower shall provide prompt notice of any proposed Combined Commitments-Acquisition Term
Loan Increase pursuant to clause (a) above to Agent. This Section 4.8 shall not be construed to
create any obligation on Agent or any Lender to advance or to commit to advance any credit to
Borrower or to arrange for any other Person to advance or to commit to advance any credit to
Borrower.

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     (b) A Combined Commitments-Acquisition Term Loan Increase shall become effective upon the
receipt by Agent of (i) a fee on the amount of the Combined Commitments-Acquisition Term Loan
Increase based upon prevailing market rates at the time of such Combined Commitments-Acquisition
Term Loan Increase, (ii) an agreement in form and substance reasonably satisfactory to Agent signed
by Borrower, each Increasing Lender and each Additional Lender, as applicable, setting forth the
Commitments-Acquisition Term Loan of each such Lender, and in the case of an Additional Lender,
setting forth the agreement of such Additional Lender to become a party to this Agreement and to be
bound by all the terms and provisions hereof binding upon each Lender, (iii) such evidence of
appropriate authorization on the part of Borrower with respect to such Combined
Commitments-Acquisition Term Loan Increase as Agent may reasonably request, and (iv) receipt by
Agent of a certificate of an Authorized Representative of Borrower stating that, both before and
after giving effect to such Combined Commitments-Acquisition Term Loan Increase, no Event of
Default or Unmatured Event of Default has occurred and is continuing, and that all representations
and warranties made by Borrower in this Agreement are true and correct in all material respects,
unless such representation or warranty relates to an earlier date which remains true and correct as
of such earlier date.

     Section 4.9. Unused Commitment Fee; Reduction or Termination of Combined
Commitments-Acquisition Term Loan. Borrower agrees to pay to Agent for the Pro Rata-Acquisition
Advances benefit of the Lenders a commitment fee on the average daily unused portion of the
Combined Commitments-Acquisition Term Loan, from and including the Closing Date to, but excluding
the Termination Date Acquisition Advances, at the rate set forth below based on a 360 day year and
the actual number of days elapsed, payable quarterly, in arrears, and on the Termination Date
Acquisition Advances.

	 	 	 	 	 
	Total Leverage Ratio
	 	Commitment Fee
	Less than 1.00 to 1.00
	 	 	0.200	%
	Equal to or greater than 1.00 to 1.00 but less than 1.50 to 1.00
	 	 	0.250	%
	Equal to or greater than 1.50 to 1.00 but less than 2.00 to 1.00
	 	 	0.250	%
	Equal to or greater than 2.00 to 1.00 but less than 2.50 to 1.00
	 	 	0.300	%
	Equal to or greater than 2.50 to 1.00
	 	 	0.375	%

For the purpose of calculating the commitment fee hereunder, the Combined Commitments-Acquisition
Term Loan shall be deemed utilized by the amount of all outstanding Acquisition Advances. Borrower
shall have the right at any time to terminate in whole or from time to time to irrevocably reduce
in part the Combined Commitments-Acquisition Term Loan upon at least three (3) Business
Days prior notice to Agent specifying the effective date thereof, whether a termination or
reduction is being made, and the amount of any partial reduction;

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provided, however, the Combined Commitments-Acquisition Term Loan shall never be reduced below an
amount equal to the outstanding Acquisition Advances. Any such reduction in the Combined
Commitments-Acquisition Term Loan shall take effect Pro Rata. The Combined Commitments-Acquisition
Term Loan may not be reinstated after they have been terminated or reduced.

ARTICLE V.

Payments; Additional Matters with Respect to

LIBOR Loans; Yield Protection Provisions

     Section 5.1. Method of Payment. All payments of principal, interest, and other amounts to be
made by Borrower under this Agreement, the Notes or any other Loan Documents shall be made to Agent
at its designated office specified herein for the account of each Lender’s office specified herein
in immediately available funds, without setoff, deduction, or counterclaim in immediately available
funds, not later than 11:00 a.m. Houston, Texas time on the date that such payment shall become due
(and each such payment made after such time on such due date to be deemed to have been made on the
next succeeding Business Day). Each payment received by Agent under this Agreement or any other
Loan Document for the account of a Lender shall be paid promptly to such Lender, in immediately
available funds, at such Lender’s office designated herein; provided, however, in the event any
Lender shall have failed to make a Revolving Advance as contemplated by Section 2.5 or an
Acquisition Advance as contemplated by Section 4.6 hereof (a “Defaulting Lender”) and Agent or
another Lender or Lenders shall have made such Revolving Advance or Acquisition Advance, payment
received by Agent for the account of such Defaulting Lender shall not be distributed to such
Defaulting Lender or Lenders until such Revolving Advance or Acquisition Advance, or Revolving
Advances or Acquisition Advances shall have been repaid in full to Agent or Lender or Lenders who
funded such Revolving Advance or Acquisition Advance, or Revolving Advances or Acquisition
Advances. Whenever any payment under this Agreement, any Note or any other Loan Document shall be
stated to be due on a day that is not a Business Day, such payment may be made on the next Business
Day, and interest shall continue to accrue during such extension.

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     Section 5.2. Sharing of Payments, etc./Non-Receipt of Funds by Agent.

     (a) If any Lender shall obtain any payment (whether voluntary, involuntary, or otherwise) on
account of the Revolving Advances, the Real Estate Term Loan or the Acquisition Advances
(including, without limitation, any set-off), which is in excess of its Pro Rata Share of payments
on the Revolving Advances, the Real Estate Term Loan or the Acquisition Advances, as applicable,
obtained by all Lenders, such Lender shall purchase from the other Lenders such participation as
shall be necessary to cause such purchasing Lender to share the excess payment Pro Rata with each
of them; provided that, if all or any portion of such excess payment is thereafter recovered from
such purchasing Lender, the purchase shall be rescinded and the purchase price restored to the
extent of recovery. Borrower agrees that any Lender so purchasing a participation from another
Lender pursuant to this section may, to the fullest extent permitted by law, exercise all of its
rights of payment (including the right of offset) with respect to such participation as fully as if
such Lender were the direct creditor of Borrower in the amount of such participation.

     (b) Unless Agent shall have been notified by a Lender or Borrower (the “Payor”) prior to the
date on which such Lender is to make payment to Agent of the proceeds of a Revolving Advance or an
Acquisition Advance to be made by it hereunder or Borrower is to make a payment to Agent for the
account of one or more of the Lenders, as the case may be (a “Required Payment”), which notice
shall be effective upon receipt, that the Payor does not intend to make the Required Payment to
Agent, Agent may assume that the Required Payment has been made and may, in reliance upon such
assumption (but shall not be required to), make the amount thereof available to the intended
recipient on such date and, if the Payor has not in fact made the Required Payment to Agent, the
recipient of such payment shall, on demand, pay to Agent the amount made available to it together
with interest thereon in respect of the period commencing on the date such amount was made
available by Agent until the date Agent recovers such amount at the rate applicable to such portion
of the applicable Revolving Advance, Real Estate Term Loan or Acquisition Advance.

     Section 5.3. Voluntary Prepayment. Borrower may prepay the Notes in whole at any time or from
time to time in part without premium or penalty but with accrued interest to the date of prepayment
on the amount so prepaid; provided, however, that any prepayments of principal of the Real Estate
Term Notes or the Acquisition Term Notes shall be applied first to the remaining principal payments
due on the Real Estate Term Notes in inverse order of their maturities and then to the remaining
principal payments due on the Acquisition Term Notes in inverse order of their maturities.

     Section 5.4. Computation of Interest. Interest on the indebtedness evidenced by the Notes
shall be computed on the basis of a year of (a) 360 days and the actual number of days elapsed
(including the first day but excluding the
last day) for all LIBOR Loans unless such calculation would result in a usurious rate, in
which case interest shall be calculated on the

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basis of a year of 365 or 366 days, as the case may be and (b) 365 or 366 days, as the case may be,
for all Prime Rate Loans.

     Section 5.5. Capital Adequacy. If after the date hereof, any Lender shall have determined
that the adoption of any applicable law, rule or regulation regarding capital adequacy, or any
change therein, or any change in the interpretation or administration thereof by any governmental
authority, central bank or comparable agency charged with the interpretation or administration
thereof, or compliance by such Lender (or its parent) with any request or directive regarding
capital adequacy (whether or not having the force of law) of any such authority, central bank or
comparable agency, has or would have the effect of reducing the rate of return on such Lender’s (or
its parent’s) capital as a consequence of its obligations hereunder or the transactions
contemplated hereby to a level below that which such Lender (or its parent) could have achieved but
for such adoption, change or compliance (taking into consideration such Lender’s policies with
respect to capital adequacy) by an amount deemed by such Lender to be material, then from time to
time, within thirty (30) days after written demand by such Lender, Borrower shall pay to such
Lender such additional amount or amounts as will compensate such Lender (or its parent) for such
reduction. A certificate of such Lender accompanying such written demand claiming compensation
under this Section and setting forth in reasonable detail the additional amount or amounts to be
paid to it hereunder and an explanation of the event, circumstance or change giving rise to such
demand shall, absent manifest error, be conclusive, provided that the determination thereof is made
on a reasonable basis. In determining such amount or amounts, such Lender may use any reasonable
averaging and attribution methods.

     Section 5.6. Additional Costs in Respect of Letters of Credit. If as a result of any
Regulatory Change there shall be imposed, modified, or deemed applicable any tax, reserve, special
deposit, or similar requirement against or with respect to or measured by reference to Letters of
Credit issued or to be issued hereunder or Issuing Bank’s commitment to issue Letters of Credit
hereunder, and the result shall be to increase the cost to Issuing Bank of issuing or maintaining
any Letter of Credit or its commitment to issue Letters of Credit hereunder or reduce any amount
receivable by Issuing Bank hereunder in respect of any Letter of Credit (which increase in cost, or
reduction in amount receivable, shall be the result of Issuing Bank’s reasonable allocation of the
aggregate of such increases or reductions resulting from such event), then, within thirty (30) days
after written demand by Issuing Bank, Borrower agrees to pay to Issuing Bank from time to time as
specified by Issuing Bank, such additional amounts as shall be sufficient to compensate Issuing
Bank for such increased costs or reductions in amount. A statement in reasonable detail describing
such increased costs or reductions in amount incurred by Issuing
Bank, submitted by Issuing Bank to Borrower with such written demand, shall, absent manifest
error, be conclusive as to the amount thereof, provided that the determination thereof is made on a
reasonable basis.

     Section 5.7. Conversions and Continuations. Borrower shall have the right from time to time to
Convert any Loan from one Type of Loan into another Type of Loan or to Continue

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any LIBOR Loan as a LIBOR Loan by giving Agent written notice at least one (1) Business Day before
Conversion into a Prime Rate Loan and at least three (3) Business Days before Conversion into or
Continuation of a LIBOR Loan, specifying (a) the Conversion or Continuation date, (b) in the case
of Conversions, the Type of Loan to be Converted into, and (c) in the case of a Continuation of or
Conversion into a LIBOR Loan the duration of the Interest Period applicable thereto; provided that
(w) no Revolving Advance, Real Estate Term Loan Portion or Acquisition Advance, as applicable,
which is a LIBOR Loan may be in an amount which is less than $500,000.00, (x) at any time there can
be no more than five (5) Interest Periods in effect for the Revolving Advances, the Real Estate
Term Loan Portions or the Acquisition Advances, respectively, (y) LIBOR Loans may only be Converted
on the last day of the Interest Period therefor, and (z) except for Conversions to Prime Rate
Loans, Lender shall have no obligation to make any Conversions while an Event of Default or a
Bonding Default has occurred and is continuing. In the case of Loans the amount(s) of which are
being redesignated, in addition to the foregoing notices, Borrower shall give at least three (3)
Business Days written notice to Agent before any such redesignation of the new amounts of any such
Loans; provided that no Loan which is a LIBOR Loan may be redesignated except at the end of the
Interest Period applicable thereto. All notices under this Section shall be irrevocable and shall
be given not later than 11:00 A.M. Houston, Texas time on the day which is not less than the number
of Business Days specified above for such notice. If Borrower shall fail to give Agent the notice
specified above for Continuation or Conversion of any LIBOR Loan prior to the end of the Interest
Period with respect thereto, such LIBOR Loan shall automatically be Converted into a Prime Rate
Loan on the last day of such Interest Period.

     Section 5.8. Illegality, Impossibility, Regulatory Change and Compensation. In the event that
(a) it becomes unlawful for any Lender to honor its obligation to make LIBOR Loans hereunder or to
maintain LIBOR Loans hereunder, (b) Agent determines that (i) quotations of interest rates for the
relevant deposits referred to in the definition of “LIBOR Rate” are not being provided in the
relative amounts or for the relative maturities for determining the interest rates borne by the
LIBOR Loans as provided in this Agreement or (ii) such quotations do not accurately reflect any
Lender’s costs in connection therewith, or (c) a Regulatory Change (including the imposition of a
Reserve Requirement) occurs which changes any Lender’s basis of taxation with respect to LIBOR
Loans or imposes reserve, capital or other requirements with respect
thereto, then (x) Agent or such Lender shall notify Borrower in writing of any such event,
which notice shall be accompanied by an explanation of the event, (y) Borrower shall promptly pay
to such Lender such amounts as such Lender may determine (which determination shall be conclusive
provided such determination is made on a reasonable basis without manifest error) to be necessary
to compensate Issuing Bank for any increased costs incurred by such Lender or decreases in amounts
receivable by such Lender which such Lender determines are attributable to any event described in
clauses (a), (b) or (c) above, and (z) the obligation of such Lender to make or Continue LIBOR
Loans or to Convert Prime Rate Loans to LIBOR Loans shall terminate, and (i) all future Loans shall
be Prime Rate Loans and

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(ii) all outstanding Loans which are LIBOR Loans shall be Converted to Prime Rate Loans on the last
day of the current Interest Period therefor.

     Section 5.9. Compensation for Prepayment or Failure to Borrow. Upon (a) any prepayment or
Conversion of any LIBOR Loan on a day other than the last day of an Interest Period therefor or (b)
the failure by Borrower to borrow as provided in an Revolving Advance Request Form or an
Acquisition Advance Request Form delivered to Agent, Convert or prepay a LIBOR Loan on any date
required hereby, Borrower shall pay to Agent, following written demand accompanied by an
explanation of the event giving rise to Agent’s demand, a fee in an amount reasonably determined by
Agent equal to funding losses actually incurred by Agent or Lenders as a result of such event, but
not more than one percent (1.0%) of the principal amount of the Revolving Advance, the Real Estate
Term Loan Portion or the Acquisition Advance, which is not borrowed or which is prepaid, as
applicable, times a fraction, the numerator of which is the number of days remaining in the
Interest Period and the denominator of which is 365.

ARTICLE VI.

Collateral

     Section 6.1. Collateral. To secure full and complete payment and performance of the
Obligations, Borrower shall execute and deliver or cause to be executed and delivered the documents
described below covering the property and collateral described therein and in this Section 6.1
(which, together with any other property and collateral which may now or hereafter secure the
Obligations or any part thereof, is sometimes herein called the “Collateral”):

     (a) Each of Construction, King Fisher, Misener and OAS, shall grant to Agent a first
priority security interest in all of its accounts, accounts receivable, inventory,
equipment, machinery, fixtures, chattel paper, documents, instruments, deposit accounts,
investment property, letter of credit rights, general intangibles and all its other
personal
property, whether now owned or hereafter acquired, and all products and proceeds
thereof, pursuant to a Security Agreement-Subsidiary-General.

     (b) Borrower shall grant to Agent a first priority security interest in all its (i)
stock of its directly owned Subsidiaries which are corporations, pursuant to the Pledge
Agreement-Borrower-Stock, and (ii) ownership interests of its other directly owned
Subsidiaries, pursuant to the Pledge Agreement-Borrower-Ownership Interests.

     (c) Each of Construction, KFMSGP, KFMSLP, OCGP and OCLP, shall grant to Agent a first
priority security interest in all its ownership interests of its directly

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owned Subsidiaries (which are not corporations), pursuant to a Pledge
Agreement-Subsidiary-Ownership Interests.

     (d) Construction shall grant to Agent a first priority security interest in all its
stock of its directly owned Subsidiaries which are corporations, pursuant to a Pledge
Agreement-Subsidiary-Stock.

     (e) Construction shall grant to Agent a first and second priority lien on the Market
Street Property, pursuant to the Deeds of Trust-Market Street.

     (f) King Fisher shall grant to Agent a first and second priority lien on the Port
Lavaca Property, pursuant to the Deeds of Trust-Port Lavaca.

     (g) Misener shall grant to Agent a first priority lien on the Florida Property,
pursuant to the Mortgage-Florida.

     (h) Borrower shall execute and cause to be executed such further documents and
instruments as Agent, in its sole discretion, deems necessary or desirable to evidence and
perfect its liens and security interests in the Collateral. Borrower authorizes, directs
and permits Agent to file Uniform Commercial Code financing statements with respect to the
Collateral in such jurisdictions as Agent may desire.

     Section 6.2. Setoff. Upon the occurrence and during the continuance of an Event of Default,
Agent, Issuing Bank and each Lender shall have the right to set off and apply against the
Obligations in such a manner as such Person may determine, at any time and without notice to
Borrower, any and all deposits (general or special, time or demand, provisional or final) or other
sums at any time credited by or owing from such Person to Borrower whether or not the Obligations
are then due. As further security for the Obligations, Borrower hereby grants to Agent, Issuing
Bank and each Lender a security interest in all money, instruments, and other property of Borrower
now or hereafter held by such
Person. In addition to such Person’s right of setoff and as further security for the
Obligations, Borrower hereby grants to Agent, Issuing Bank and each Lender a security interest in
all deposits (general or special, time or demand, provisional or final) and other accounts of
Borrower now or hereafter on deposit with or held by such Person and all other sums at any time
credited by or owing from such Person to Borrower. The rights and remedies of Agent, Issuing Bank
and each Lender hereunder are in addition to other rights and remedies (including, without
limitation, to the rights of setoff) which such Person may have.

     Section 6.3. Guaranty Agreements. Each Guarantor shall unconditionally and irrevocably
guarantee payment and performance of the Obligations by execution and delivery of a Guaranty
Agreement.

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ARTICLE VII.

Conditions Precedent

     Section 7.1. Initial Extension of Credit. The effectiveness of this Agreement is subject to
the condition precedent that prior thereto Agent shall have received all of the documents set forth
below in form and substance satisfactory to Agent.

     (a) Certificate — Borrower. A certificate of the Secretary or another officer of
Borrower acceptable to Agent certifying (i) resolutions of the board of directors of
Borrower which authorize the execution, delivery and performance by Borrower of this
Agreement and the other Loan Documents to which Borrower is or is to be a party, and (ii)
the names of the officers of Borrower authorized to sign this Agreement and each of the
other Loan Documents to which Borrower is or is to be a party together with specimen
signatures of such officers.

     (b) Organizational Documents — Borrower. The certificate of incorporation and the
bylaws of Borrower certified by the Secretary or another officer of Borrower acceptable to
Agent.

     (c) Governmental Certificates — Borrower. Certificates issued by the appropriate
government officials of the state of incorporation of Borrower as to the existence and good
standing of Borrower.

     (d) Certificate — OCGP — As General Partner of Construction. A certificate of a
manager or another officer of OCGP acceptable to Agent certifying (i) resolutions of the
members of OCGP, as general partner of Construction, which authorize the execution,
delivery and performance by Construction of each of the Loan Documents to which
Construction is or is to be a party and (ii) the names of the managers or officers of OCGP
authorized to sign each of the Loan Documents to which Construction is or is to be a party
together with specimen signatures of such Persons.

     (e) Organizational Documents — Construction. The Limited Partnership Agreement of
Construction and the Certificate of Limited Partnership of Construction certified by a
manager or another officer of OCGP, as general partner of Construction, acceptable to
Agent.

     (f) Governmental Certificates — Construction. A certificate issued by the appropriate
government official of the state of organization of Construction as to the existence of
Construction.

     (g) Certificate — KFMSGP — As General Partner of King Fisher. A certificate of a
manager or another officer of KFMSGP acceptable to Agent certifying (i)

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resolutions of the members of KFMSGP, as general partner of King Fisher, which authorize the
execution, delivery and performance by King Fisher of each of the Loan Documents to which King
Fisher is or is to be a party and (ii) the names of the managers or officers of KFMSGP authorized
to sign each of the Loan Documents to which King Fisher is or is to be a party together with
specimen signatures of such Persons.

     (h) Organizational Documents — King Fisher. The Limited Partnership Agreement of King Fisher
and the Certificate of Limited Partnership of King Fisher certified by a manager or another officer
of KFMSGP, as general partner of King Fisher, acceptable to Agent.

     (i) Governmental Certificates — King Fisher. A certificate issued by the appropriate
government official of the state of organization of King Fisher as to the existence of King Fisher.

     (j) Certificate — Misener and OAS. A certificate of the Secretary or another officer of each
of Misener and OAS acceptable to Agent certifying (i) resolutions of the board of directors of each
of Misener and OAS which authorize the execution, delivery and performance by each of Misener and
OAS of each of the Loan Documents to which each of Misener and OAS is or is to be a party and (ii)
the names of the officers of each of Misener and OAS authorized to sign each of the Loan Documents
to which each of Misener and OAS is or is to be party together with specimen signatures of such
officers.

     (k) Organizational Documents — Misener and OAS. The articles of incorporation and the bylaws
of each of Misener and OAS certified by the Secretary or another officer of each of Misener and OAS
acceptable to Agent.

     (l) Governmental Certificates — Misener and OAS. Certificates issued by the appropriate
government officials of the state of incorporation of each of Misener and OAS as to the existence
and good standing of each of Misener and OAS.

     (m) Certificate — KFMSGP, KFMSLP, OCGP and OCLP. A certificate of a manager or another officer
of each of KFMSGP, KFMSLP, OCGP and OCLP acceptable to Agent certifying (i) resolutions of the
members of each of KFMSGP, KFMSLP, OCGP and OCLP which authorize the execution, delivery and
performance by each of KFMSGP, KFMSLP, OCGP and OCLP of each of the Loan Documents to which each of
KFMSGP, KFMSLP, OCGP and OCLP is or is to be a party and (ii) the names of the managers or other
officers of each of KFMSGP, KFMSLP, OCGP and OCLP authorized to sign each of the Loan Documents to
which each of KFMSGP, KFMSLP, OCGP and OCLP is or is to be a party together with specimen
signatures of such Persons.

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     (n) Organizational Documents — KFMSGP, KFMSLP, OCGP and OCLP. The articles of organization and
the regulations of each of KFMSGP, KFMSLP, OCGP and OCLP certified by a manager or another officer
of each of KFMSGP, KFMSLP, OCGP and OCLP acceptable to Agent.

     (o) Governmental Certificates — KFMSGP, KFMSLP, OCGP and OCLP. Certificates issued by the
appropriate government officials of the state of organization of each of KFMSGP, KFMSLP, OCGP and
OCLP as to the existence and good standing of each of KFMSGP, KFMSLP, OCGP and OCLP.

     (p) Notes. (i) The Revolving Credit Notes and the Acquisition Term Notes executed by Borrower
payable to the order of the respective Lenders, and (ii) the Modifications to Real Estate Term
Notes executed by Borrower in favor of the respective Lenders.

     (q) Security Agreement-Subsidiary-General. A Security Agreement-Subsidiary-General executed
by each of Construction, King Fisher, Misener and OAS.

     (r) Pledge Agreement-Borrower-Ownership Interests. The Pledge Agreement-Borrower-Ownership
Interests executed by Borrower.

     (s) Pledge Agreement-Borrower-Stock. The Pledge Agreement-Borrower-Stock executed by Borrower.

     (t) Pledge Agreement-Subsidiary-Ownership Interests. A Pledge Agreement-Subsidiary-Ownership
Interests executed by each of Construction, KFMSGP, KFMSLP, OCGP and OCLP.

     (u) Pledge Agreement-Subsidiary-Stock. A Pledge Agreement-Subsidiary-Stock executed by
Construction.

     (v) Financing Statements. Uniform Commercial Code financing statements showing Borrower,
Construction, KFMSGP, KFMSLP, King Fisher, Misener, OAS, OCGP and OCLP as debtor.

     (w) Guaranty Agreement. A Guaranty Agreement executed by each Guarantor.

     (x) Modification to Deed of Trust-Market Street-First Lien. The Modification to Deed of
Trust-Market Street-First Lien executed by Construction.

     (y) Deed of Trust-Market Street-Second Lien. The Deed of Trust-Market Street-Second Lien
executed by Construction.

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     (z) Modification to Deed of Trust-Port Lavaca-First Lien. The Modification to Deed of
Trust-Port Lavaca-First Lien executed by King Fisher.

     (aa) Deed of Trust-Port Lavaca-Second Lien. The Deed of Trust-Port Lavaca-Second Lien
executed by King Fisher.

     (ab) Mortgage-Florida. The Mortgage-Florida executed by Misener.

     (ac) Mortgagee Title Insurance Policy. A paid mortgagee policy of title insurance in
the amount of $5,260,000.00 insuring that the Mortgage-Florida creates in favor of Agent a
first priority lien on the Florida Property. The mortgagee policy of title insurance shall
have been issued at Borrower’s expense by a title insurance company acceptable to Agent,
shall show a state of title and exceptions thereto, if any, reasonably acceptable to Agent
and shall contain such endorsements as may be available and required by Agent.

     (ad) Title Reports. Current title reports on the Market Street Property and the Port
Lavaca Property.

     (ae) Insurance Policies. Copies of all insurance policies required by Section 9.5 or
certificates therefor, together with loss payable endorsements in favor of Agent with
respect to all insurance policies covering Collateral.

     (af) UCC Search. A Uniform Commercial Code search showing all financing statements and
other documents or instruments on file against (i) Borrower and Hunter Acquisition Corp.
with the Delaware Secretary of State, (ii) Borrower, Construction, KFMSGP, KFMSLP, King
Fisher, Misener, OAS, OCGP and OCLP with the Texas Secretary of State, (iii) Orion Marine
Group Holdings, Inc., KFMSLP and OCLP with Nevada Secretary of State and (iv) Misener with
the Florida Secretary of State.

     (ag) Opinion of Counsel. An opinion of Vinson & Elkins, L.P., legal counsel to
Borrower, Construction, KFMSGP, KFMSLP, King Fisher, Misener, OAS, OCGP and OCLP.

     (ah) Attorneys’ Fees and Expenses. Evidence that the costs and expenses (including
reasonable attorneys’ fees) referred to in Section 14.1, to the extent incurred, have been
paid in full by Borrower.

     (ai) Additional Documentation. Such additional approvals, opinions or documents as
Agent may reasonably request.

     Section 7.2. All Extensions of Credit. The obligation of Lenders to make any Revolving
Advance or any Acquisition Advance, as applicable, and Issuing Bank to issue any

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Letter of Credit (including the initial Revolving Advance, the initial Acquisition Advance and the
initial Letter of Credit) is subject (a) to receipt by Agent or Issuing Bank, as applicable, of the
items required by Sections 2.5, 2.10, 4.1 or 4.6, as applicable, and such additional approvals,
opinions or documents as Agent may reasonably request, (b) all of the representations and
warranties contained in Article VIII hereof and the other Loan Documents being true and correct in
all material respects (unless such representation and warranty is already qualified by a
materiality standard) on and as of the date of such Revolving Advance, Acquisition Advance and/or
Letter of Credit issuance, as applicable, with the same force and effect as if such representations
and warranties had been made on and as of such date, except to the extent (i) previously fulfilled
in accordance with the terms hereof, (ii) applicable to a specific date or otherwise subsequently
inapplicable, or (iii) previously waived or approved in writing by the Majority Lenders with
respect to any particular factual circumstance, (c) no Event of Default or Bonding Default exists
or would result from such Revolving Advance, Acquisition Advance or Letter of Credit and (d) since
the date of the most recent financial statements of Borrower delivered to Agent, there has been no
change to Borrower and its Subsidiaries which has had, or could reasonably be expected to have, a
Material Adverse Effect.

ARTICLE VIII.

Representations and Warranties

     To induce Agent, Issuing Bank and Lenders to enter into this Agreement, Borrower represents
and warrants to each such Person that:

     Section 8.1. Existence. Borrower and each Subsidiary (a) are duly organized, validly existing,
and in good standing under the laws of their respective jurisdictions of organization, (b) have all
requisite power and authority to own their assets and carry on their business as now being or as
proposed to be conducted and (c) are qualified to do business in all jurisdictions where failure to
so qualify would have a Material Adverse Effect. Borrower has the power and authority to execute,
deliver and perform its obligations under this Agreement and the other Loan Documents to which it
is or may become a party.

     Section 8.2. Financial Statements. Borrower has delivered to Agent audited consolidated
financial statements of Borrower and its Subsidiaries as at and for the fiscal year ended December
31, 2006, and unaudited consolidated financial statements of Borrower and its Subsidiaries for the
three (3) month period ended March 31, 2007. Such financial statements are true and correct in all
material respects, have been prepared in accordance with GAAP, and fairly and accurately present,
on a consolidated basis, in all material respects the financial condition of Borrower and its
Subsidiaries as of the respective dates indicated therein and the results of operations for the
respective periods indicated therein. Neither Borrower nor any of its Subsidiaries has any material
contingent liabilities, liabilities for taxes, material

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forward or long-term commitments, or material unrealized or anticipated losses from any unfavorable
commitments not reflected in such financial statements. There has been no Material Adverse Effect
since the effective date of the most recent financial statements referred to in this Section.

     Section 8.3. Requisite Action; No Breach. The execution, delivery, and performance by Borrower
of this Agreement and the other Loan Documents to which Borrower is or may become a party have been
duly authorized by all requisite action on the part of Borrower and do not and will not violate or
conflict with the Organizational Documents of Borrower or any law, rule or regulation or any order,
writ, injunction, or decree of any court, governmental authority, or arbitrator, and do not and
will not conflict with, result in a breach of, or constitute a default under, or result in the
imposition of any Lien (except as provided in this Agreement) upon any of the revenues or assets of
Borrower or any Subsidiary pursuant to the provisions of any indenture, mortgage, deed of trust,
security agreement, franchise, permit, license, or other instrument or agreement by which Borrower
or any Subsidiary or any of their respective properties is bound.

     Section 8.4. Operation of Business. Borrower, each Guarantor and each Subsidiary possess all
material licenses, permits, franchises, patents, copyrights, trademarks, and trade names, or rights
thereto, to conduct their respective businesses substantially as now conducted and as presently
proposed to be conducted.

     Section 8.5. Litigation and Judgments. There is no action, suit, investigation, or proceeding
before or by any court, governmental authority, or arbitrator pending, or to the knowledge of
Borrower, threatened against Borrower, any Guarantor or any Subsidiary, that, if adversely
determined, could reasonably be expected to have a Material Adverse Effect. There are no
outstanding judgments against Borrower, any Guarantor or any Subsidiary.

     Section 8.6.Rights in Properties; Liens. Borrower, each Guarantor and each Subsidiary have
good and indefeasible title to or valid leasehold interests in their respective properties and
assets, real and personal, including the properties, assets and leasehold interests reflected in
the financial statements
described in Section 8.2, and none of the properties, assets or leasehold interests of
Borrower, any Guarantor or any Subsidiary is subject to any Lien, except for Permitted Liens.

     Section 8.7. Enforceability. This Agreement constitutes, and the other Loan Documents to
which Borrower is party, when delivered, shall constitute the legal, valid, and binding obligations
of Borrower, enforceable against Borrower in accordance with their respective terms, except as
enforceability thereof may be limited by bankruptcy, insolvency, or other laws of general
application relating to the enforcement of creditor’s rights.

     Section 8.8. Approvals. No authorization, approval, or consent of, and no filing or
registration with, any court, governmental authority, or third party is or will be necessary for

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the execution, delivery, or performance by Borrower of this Agreement and the other Loan Documents
to which Borrower is or may become a party or the validity or enforceability thereof.

     Section 8.9. Debt. Borrower and its Subsidiaries have no Debt except Debt permitted pursuant
to Section 10.1.

     Section 8.10. Use of Proceeds; Margin Securities. None of Borrower, any Guarantor or any
Subsidiary is engaged principally, or as one of its important activities, in the business of
extending credit for the purpose of purchasing or carrying margin stock (within the meaning of
Regulations T, U, or X of the Board of Governors of the Federal Reserve System), and no part of the
proceeds of any extension of credit under this Agreement will be used to purchase or carry any such
margin stock or to extend credit to others for the purpose of purchasing or carrying margin stock.

     Section 8.11. ERISA. Borrower, each Guarantor and each Subsidiary have complied in all
material respects with all applicable minimum funding requirements and all other applicable and
material requirements of ERISA, and there are no existing conditions that would give rise to
material liability thereunder. No Reportable Event (as defined in Section 4043 of ERISA) has
occurred within five (5) years prior to the Closing Date in connection with any employee benefit
plan sponsored by Borrower, any Guarantor or any Subsidiary that might reasonably constitute
grounds for the termination of such plan by the Pension Benefit Guaranty Corporation or for the
appointment by the appropriate United States District Court of a trustee to administer such plan.

     Section 8.12. Taxes. Borrower, each Guarantor and each Subsidiary have filed all tax returns
(federal, state, and local) required to be filed, including all income, franchise, employment,
property, and sales taxes, and have paid all of their liabilities for taxes, assessments,
governmental charges, and other levies that are due and payable, unless such taxes, charges or
levies are being
diligently contested in good faith by appropriate proceedings for which adequate reserves have
been established and with respect to which no Lien has been filed of record, and Borrower knows of
no pending investigation of Borrower, any Guarantor or any Subsidiary by any taxing authority or of
any pending but unassessed tax liability of Borrower, any Guarantor or any Subsidiary.

     Section 8.13. Disclosure. There is no fact known to Borrower which might reasonably be
expected to have a Material Adverse Effect, that has not been disclosed in writing to Agent.

     Section 8.14. Subsidiaries. Borrower has no Subsidiaries other than Construction, KFMSGP,
KFMSLP, King Fisher, Misener, OAS, OCGP, OCLP and F. Miller. Borrower owns directly or indirectly
one hundred percent (100%) of the outstanding stock or other ownership interests of each such
Subsidiary. Borrower has no assets other than the stock of OAS, the membership interests of OCLP
and the ownership interests of F. Miller.

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     Section 8.15. Compliance with Laws. None of Borrower, any Guarantor or any Subsidiary (a) is
in violation in any material respect of any law, rule, regulation, order, or decree of any court,
governmental authority, or arbitrator or (b) has received written notice of any such material
violation from any Governmental Authority. All inventory of Borrower has been and will hereafter be
produced in compliance in all material respects with all applicable laws, rules, regulations, and
governmental standards, including, without limitation, the minimum wage and overtime provisions of
the Fair Labor Standards Act, as amended (29 U.S.C. §§ 201-219), and the regulations promulgated
thereunder.

     Section 8.16. Compliance with Agreements. None of Borrower, any Guarantor or any Subsidiary is
in violation in any material respect of, or in any material default under, any material document,
agreement, contract or instrument to which it is a party or by which it or its properties are
bound.

     Section 8.17. Environmental Matters. Except as may be disclosed in the Environmental Reports,
but excluding those items described in the Environmental Reports which have been remediated
pursuant to the Florida Remediation, Borrower, each Guarantor and each Subsidiary, and their
respective properties are in compliance with all applicable Environmental Laws. Except for the
Florida Remediation, there is no pending or threatened investigation or inquiry by any governmental
authority of Borrower, any Guarantor or any Subsidiary, or any of their respective properties
pertaining to any Hazardous Substance. Except in the ordinary course of business and in compliance
with all Environmental Laws and except as may be disclosed in the Environmental Reports, but
excluding those items described in the Environmental Reports which have been remediated pursuant to
the Florida Remediation, there are no Hazardous Substances located on or under any of the
properties of Borrower, any Guarantor or any Subsidiary. Except in the ordinary
course of business and in compliance with all Environmental Laws and except as may be
disclosed in the Environmental Reports, but excluding those items described in the Environmental
Reports which have been remediated pursuant to the Florida Remediation, none of Borrower, any
Guarantor or any Subsidiary has caused or permitted any Hazardous Substance to be disposed of on or
under or released from any of its properties. Borrower, each Guarantor and each Subsidiary have
obtained all permits, licenses, and authorizations which are required under and by all
Environmental Laws, except as may be disclosed in the Environmental Reports. Notwithstanding the
foregoing, (a) the Florida Remediation has been conducted as required by the Environmental
Report-Florida Property, and (b) remediation at the Market Street Property has been completed in
accordance with the requirements of the TCEQ.

     Section 8.18. Solvency. Borrower, Guarantors and their Subsidiaries, on an individual and a
consolidated basis, are not insolvent, Borrower’s, Guarantors’ and their Subsidiaries’ assets, on
an individual and a consolidated basis, exceed their liabilities, and Borrower will not be rendered
insolvent by the execution and performance of this Agreement and the Loan Documents.

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     Section 8.19. Investment Company Act. None of Borrower, any Guarantor or any Subsidiary is an
“investment company” within the meaning of the Investment Company Act of 1940, as amended.

     Section 8.20. Labor Disputes. There are no strikes, labor disputes, slow downs or work
stoppages due to labor disagreements related to Borrower, any Guarantor or any Subsidiary which
have had, or would reasonably be expected to have, a Materially Adverse Effect, and, to the best
knowledge of Borrower, there are no such strikes, disputes, slow downs or work stoppages threatened
against Borrower, any Guarantor or any Subsidiary.

ARTICLE IX.

Affirmative Covenants

     Borrower covenants and agrees that, as long as the Obligations or any part thereof are
outstanding or any Lender has any Commitment hereunder or Issuing Bank has any obligation to issue
any Letter of Credit hereunder or any Letter of Credit Liabilities exist, Borrower will perform and
observe the covenants set forth below, unless Agent shall otherwise consent in writing.

     Section 9.1. Reporting Requirements. Borrower will deliver to Agent, Lenders and Issuing Bank:

     (a) Annual Financial Statements — Borrower. As soon as available, and in any event
within one hundred twenty (120) days after the end of each fiscal year of Borrower,
beginning with the fiscal year ending December 31, 2007, (i) a copy of the annual audited
financial statements
of Borrower and its Subsidiaries for such fiscal year containing, on a consolidated
and a consolidating basis, balance sheets, statements of income, statements of
stockholders’ equity and statements of cash flows as at the end of such fiscal year and for
the 12-month period then ended, in each case setting forth in comparative form the figures
for the preceding fiscal year, all in reasonable detail, prepared in accordance with GAAP,
and audited and certified without qualification by independent certified public accountants
of recognized standing reasonably acceptable to Agent and (ii) certificates of such
accountants and of an officer of Borrower acceptable to Agent to the effect that such
Persons have no knowledge that any Event of Default or Unmatured Event of Default has
occurred and is continuing and that, to the best of such Persons’ knowledge, such financial
statements are true and correct in all material respects.

     (b) Quarterly Financial Statements — Borrower. As soon as available, and in any event
within forty-five (45) days after the end of each quarter of each fiscal year of Borrower,
a copy of the financial statements of Borrower and its Subsidiaries as of the

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end of such fiscal quarter and for the portion of the fiscal year then ended, containing, on a
consolidated and a consolidating basis, balance sheets, statements of income, statements of
stockholders’ equity and cash flows in each case setting forth in comparative form the figures for
the corresponding period of the preceding fiscal year, all in reasonable detail and accompanied by
a certificate of an officer of Borrower acceptable to Agent to the effect that such officer has no
knowledge that any Event of Default or Unmatured Event of Default has occurred and is continuing,
such financial statements have been prepared in accordance with GAAP, and, to the best of such
officers’ knowledge, such financial statements are true and correct in all material respects.

     (c) No Default Certificate. (i) As soon as available, and in any event within forty-five (45)
days after the end of each quarter of each fiscal year of Borrower, a No Default Certificate as of
the last day of such fiscal quarter, and (ii) together with the financial statements delivered
pursuant to Section 9.1(a), a No Default Certificate as of the last day of the fiscal year covered
by such financial statements, in each case executed by an officer of Borrower acceptable to Agent
and containing detailed calculations of the covenants contained in Article XI.

     (d) Contract Status Reports. As soon as available, and in any event within forty-five (45)
days after the end of each quarter of each fiscal year of Borrower, a contract status report for
Borrower and its Subsidiaries, certified by an officer of Borrower acceptable to Agent.

     (e) Borrowing Base Certificate. As soon as available, and in any event within forty-five (45)
days after the end of each quarter of each fiscal year of Borrower, a Borrowing Base Certificate as
of the last day of such fiscal quarter certified by an officer of each Borrowing Base Party
acceptable to Agent;
provided, however, if at the end of any month the outstanding principal balance of the
Revolving Advances is $1.00 or more, as soon as available, and in any event within thirty (30) days
after the end of such month.

     (f) Quarterly Accounts Receivable Reports. As soon as available, and in any event within
forty-five (45) days after the end of each quarter of each fiscal year of Borrower, aged accounts
receivable reports for Borrower as of the last day of such month certified by an officer of
Borrower acceptable to Agent; provided, however, if at the end of any month the outstanding
principal balance of the Revolving Advances is $1.00 or more, as soon as available, and in any
event within thirty (30) days after the end of such month.

     (g) Notice of Litigation. Promptly after the commencement thereof, notice of all actions,
suits and proceedings before any court or governmental department, commission, board, agency or
instrumentality, domestic or foreign, affecting Borrower,

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any Guarantor or any Subsidiary which could reasonably be expected to have a Material
Adverse Effect.

     (h) Judgments. Within five (5) days of the rendering thereof, notice of any judgment
against Borrower, any Guarantor or any Subsidiary in an amount which is more than
$50,000.00.

     (i) Notice of Default. As soon as possible and in any event within five (5) days after
the occurrence of each Event of Default and Unmatured Event of Default of which Borrower is
aware, a written notice setting forth the details of such Event of Default or Unmatured
Event of Default and the action which Borrower has taken and proposes to take with respect
thereto.

     (j) Notice of Material Adverse Effect. As soon as possible, an in any event within
five (5) days after Borrower becomes aware thereof, notice of the occurrence of any event
or the existence of any condition which could reasonably be expected to have a Material
Adverse Effect.

     (k) General Information. Promptly, such other information concerning Borrower, any
Guarantor or any Subsidiary as Lender may from time to time reasonably request, all of
which information is subject to the provisions of Section 14.20 of this Agreement.

     Section 9.2. Maintenance of Existence; Conduct of Business. Borrower will preserve and
maintain, and will cause each Guarantor and each Subsidiary to preserve and maintain, its corporate
existence and preserve and maintain all of its material leases, privileges, licenses, permits,
franchises, qualifications, intellectual property rights and other rights. Anything in this
Agreement to the contrary notwithstanding, (a) Borrower and each of the Guarantors and
Subsidiaries may change its corporate or other name or address, (b) any of the Subsidiaries
may merge with or into Borrower if Borrower is the survivor of such merger (or dissolve and
liquidate its assets to Borrower), and (c) one or more of the Subsidiaries may merge with and into
one another; provided in the event of any such name change or merger (or such dissolution and
liquidation) that: (i) Borrower shall give Agent thirty (30) days prior written notice thereof and
(ii) Borrower, Guarantors and the Subsidiaries shall execute and deliver, prior to or
simultaneously with any such action, any and all documents and agreements requested by Agent in its
reasonable business judgment to confirm the continuation and preservation of all Liens granted to
Agent hereunder.

     Section 9.3. Maintenance of Properties. Borrower will maintain, and will cause each Guarantor
and each Subsidiary to maintain, its assets and properties in good condition and repair, ordinary
wear and tear and damage by casualty excepted.

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     Section 9.4. Taxes and Claims. Borrower will pay or discharge, and will cause each Guarantor
and each Subsidiary to pay or discharge, at or before maturity or before becoming delinquent (a)
all taxes, levies, assessments, and governmental charges imposed on it or its income or profits or
any of its property, and (b) all lawful claims for labor, material, and supplies, which, if unpaid
and past due, might become a Lien upon any of its property; provided, however, that none of
Borrower, any Guarantor or any Subsidiary shall be required to pay or discharge any tax, levy,
assessment, or governmental charge with respect to which no Lien has been filed of record, which is
being contested in good faith by appropriate proceedings diligently pursued, for which adequate
reserves have been established and the contest of which would not have a Material Adverse Effect.

     Section 9.5. Insurance. Borrower will maintain, and will cause each Guarantor and each
Subsidiary to maintain, with financially sound and reputable insurance companies workmen’s
compensation insurance, liability insurance, and insurance on its property, assets and business,
all in such amounts and against such risks as at any time are usually insured against by Persons
engaged in similar businesses. Each insurance policy covering Collateral shall name Agent as lender
loss payee and provide that such policy will not be cancelled without thirty (30) days prior
written notice to Agent.

     Section 9.6. Inspection; Field Audits; Appraisals; Environmental. (a) At any reasonable time
and from time to time during normal business hours and without undue interference to Borrower’s or
any Guarantor’s or any Subsidiary’s business, Borrower will permit, and will cause each Guarantor
and each Subsidiary to permit, representatives of Agent:

     (i) To examine and make copies of the books and records of, and visit and inspect the
properties or assets of Borrower, Guarantors and any Subsidiary and to discuss the
business, operations, and financial
condition of any such Persons with their respective officers and employees and with
their independent certified public accountants;

     (ii) To conduct Field Audits; provided, however, that Agent intends to conduct at
least one (1) Field Audit during each fiscal year of Borrower and the cost of one (1) Field
Audit during each fiscal year of Borrower shall be paid by Borrower; and

     (iii) To conduct appraisals of the assets of Borrower and its Subsidiaries; provided,
however, that if an Event of Default has occurred and is continuing, the cost of one (1)
appraisal of all the assets of Borrower and its Subsidiaries during each calendar year
shall be paid by Borrower (otherwise such cost shall be paid by Lenders).

     (b) In addition to its other rights regarding obtaining environmental reports contained in the
Deeds of Trust-Market Street, the Deeds of Trust-Port Lavaca and the Mortgage-Florida, if an Event
of Default has occurred and is continuing, Agent may obtain a

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Phase I Environmental Report on the Florida Property, the cost of which shall be paid by Borrower.

     Section 9.7. Keeping Books and Records. Borrower will maintain, and will cause each Guarantor
and each Subsidiary to maintain, proper books of record and account in which full, true, and
correct, in all material respects, entries in conformity with GAAP shall be made of all dealings
and transactions in relation to its business and activities.

     Section 9.8. Compliance with Laws. Borrower will comply, and will cause each Guarantor and
each Subsidiary to comply, with all applicable laws, rules, regulations, and orders of any court,
governmental authority, or arbitrator, except where failure to comply would not result in a
Material Adverse Effect.

     Section 9.9. Compliance with Agreements. Borrower will comply, and will cause each Guarantor
and each Subsidiary to comply, with all agreements, contracts, and instruments binding on it or
affecting its properties or business, except when failure to comply would not result in a Material
Adverse Effect.

     Section 9.10. Further Assurances. Borrower will execute and deliver, and will cause each
Guarantor and each Subsidiary to execute and deliver, such further instruments as may be reasonably
requested by Agent to carry out the provisions and purposes of this Agreement and the other Loan
Documents and to preserve and perfect the Liens of Agent in the Collateral.

     Section 9.11. ERISA. Borrower will comply, and will cause each Guarantor and each Subsidiary
to comply, in all material respects with all minimum funding
requirements, and all other material requirements, of ERISA, if applicable, so as not to give
rise to any material liability thereunder.

     Section 9.12. Continuity of Operations. Borrower will continue to conduct, and will cause each
of its Subsidiaries to continue to conduct, its primary businesses as conducted as of the Closing
Date and to continue its operations in such businesses.

     Section 9.13. Operating Accounts. Borrower will maintain, and will cause each Guarantor and
each Subsidiary to maintain, its operating accounts at Agent.

ARTICLE X.

Negative Covenants

     Borrower covenants and agrees that, as long as the Obligations or any part thereof are
outstanding or any Lender has any Commitment hereunder or Issuing Bank has any obligation to issue
any Letter of Credit hereunder or any Letter of Credit Liabilities exist, Borrower will

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perform and observe the covenants set forth below, unless Agent shall otherwise consent in writing.

     Section 10.1. Debt. Borrower will not incur, create, assume or permit to exist, and will not
permit any Subsidiary to incur, create, assume, or permit to exist, any Debt, except (a) Debt to
Lenders (including, without limitation, any and all Letter of Credit Liabilities), (b) Debt in an
aggregate principal amount which does not exceed $100,000.00 outstanding at any time, (c) Bond
Obligations, (d) Capital Lease Obligations in an aggregate amount which does not exceed $250,000.00
outstanding at any time, (e) Other Subordinated Debt, (f) accounts payable in the ordinary course
of business, (g) Debt arising from the endorsement of instruments for collection in the ordinary
course of business, (h) Rate Management Transaction Obligations and (i) the inter-company loans and
advances permitted pursuant to Section 10.6 of this Agreement.

     Section 10.2. Limitation on Liens. Borrower will not incur, create, assume or permit to exist,
and will not permit any Subsidiary to incur, create, assume or permit to exist, any Lien upon any
of its property, assets or revenues, whether now owned or hereafter acquired, except (a) Liens in
favor of Agent as agent for Lenders, (b) purchase money Liens securing Debt permitted by Section
10.1(b), which Liens cover only the assets financed with the Debt permitted by Section 10.1(b), (c)
Liens on Bonded Receivables, which Liens secure only the related Bond Obligations, (d) Liens on
cash deposits in an aggregate amount which does not exceed $250,000.00 at any time, which Liens
secure only Bond Obligations, (e) Liens securing Debt permitted by Section 10.1(d), which Liens
cover only the assets subject to the Capital Lease Obligations permitted by Section 10.1(d), (f)
Permitted Encumbrances, if any, as defined in the Deeds of Trust-Market Street,
the Deeds of Trust-Port Lavaca and the Mortgage-Florida, (g) Liens for taxes, assessments, or
other governmental charges which are not delinquent or which are being contested in good faith as
provided in Section 9.4, (h) Liens of mechanics, materialmen, warehousemen, carriers or other
similar statutory Liens securing obligations that are not yet due and are incurred in the ordinary
course of business, (i) statutory Liens and contractual Liens of landlords, created in the ordinary
course of business for amounts which are not delinquent or past due, (j) Liens of judgment
creditors provided such Liens do not secure judgments the existence of which results in an Event of
Default pursuant to Section 12.1(g), (k) Liens in favor of banking institutions arising by
operation of law encumbering deposits (including the right of setoff) held by such banking
institutions incurred in the ordinary course of business and that are within the general parameters
customary in the banking industry, (l) Liens on cash deposits pledged as collateral to secure Cash
Secured Letters of Credit, and (m) subordinate Liens in favor of Borrower’s and Guarantors’ bonding
companies which Liens secure only the related Bond Obligations (collectively, “Permitted Liens”).

     Section 10.3. Mergers, Acquisitions, Dissolutions and Disposition of Assets. Borrower will
not, and will not permit any Guarantor or any Subsidiary to, (a) become a party to a merger,
consolidation or other business combination (“Merger”) or purchase or otherwise

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acquire all or a substantial part of the assets of any Person or any shares or other evidence of
beneficial ownership of any Person (“Acquisition”), unless (i) immediately before such Merger or
Acquisition no Event of Default exists, (ii) no Event of Default would arise as a result of giving
effect to such Merger or Acquisition, (iii) prior to such Merger or Acquisition Borrower has
delivered to Agent notice of such Merger or Acquisition and evidence that after giving effect to
such Merger or Acquisition the Total Leverage Ratio will be less than 2.50 to 1.00, and (iv) prior
to any Merger or Acquisition, for which the consideration is $5,000,000.00 or more Borrower has
delivered to Agent (A) copies of all appraisals (real property and/or equipment) obtained by
Borrower in connection with such Merger or Acquisition, (B) copies of other information used by
Borrower to determine the value of the acquired Person or assets and (C) a description of the
structure of Borrower and its Subsidiaries following such Merger or Acquisition, (b) dissolve or
liquidate, (c) sell, lease, assign, transfer or otherwise dispose of substantially all of its
assets, except dispositions of inventory in the ordinary course of business, (d) enter into any
partnership or joint venture, or (e) enter into any agreement to do any of the foregoing. Borrower
will own no assets other than the stock of OAS, the membership interests of OCLP and the ownership
interest in F. Miller. OCLP will own no assets other than limited partnership interests in
Construction. OCGP will own no assets other than the general partnership interests in Construction.
KFMSLP will own no assets other than the limited partnership interests of King Fisher. KFMSGP will
own no assets other than the general partnership interests in King Fisher. No Subsidiary of
Borrower may issue, sell or otherwise dispose of any of its equity securities (of
any class) or its ownership interests (partnership, membership or otherwise) to any Person other
than Borrower or any Subsidiary.

     Section 10.4. Subsidiaries. Borrower will not, and will not permit any Guarantor or any
Subsidiary to, create or acquire any Subsidiary, unless at the time of the creation or acquisition
of such Subsidiary, (a) Borrower, such Guarantor or such Subsidiary has notified Agent of the
creation or the acquisition of such Subsidiary, (b) Borrower, such Guarantor or such Subsidiary has
pledged the ownership interests in such Subsidiary to Agent, and (c) such Subsidiary (i) has
executed and delivered to Agent a Security Agreement-Subsidiary-General and a Guaranty Agreement,
(ii) if such Subsidiary owns equity interests, has executed and delivered to Agent a pledge
agreement in form and substance satisfactory to Agent, and (iii) has delivered to the Agent its
Organizational Documents and evidence of its authority to enter into the documents referred to in
clause (c)(i) and (ii) above. Security Agreements-Subsidiary-General, Guaranty Agreements and
pledge agreements executed by Subsidiaries pursuant to the preceding sentence shall constitute Loan
Documents.

     Section 10.5. Restricted Payments; Management Fees. Borrower will not declare or pay any
dividends or make any other payment or distribution (in cash, property, or obligations) on account
of its capital stock, or redeem, purchase, retire, or otherwise acquire any of its capital stock,
or set apart any money for a sinking or other analogous fund for any dividend or other distribution
on its capital stock or for any redemption, purchase, retirement, or other acquisition of any of
its capital stock. Notwithstanding the foregoing, Borrower may repurchase or otherwise acquire any
of its capital stock to the extent required or provided for

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by any stock incentive plan of Borrower. Neither Borrower nor any Subsidiary shall enter into any
other agreement that prohibits or limits the amount of dividends, Distributions, or loans that may
be paid or made to Borrower by any of its Subsidiaries.

     Section 10.6. Loans and Advances. Borrower will not make, and will not permit any Guarantor or
any Subsidiary to make, any advance, loan or extension of credit to any Person (including any
employee, officer or director of Borrower, any Guarantor or any Subsidiary); provided, however,
that Borrower may make loans and advances to any Guarantor or any Subsidiary, and any Subsidiary or
any Guarantor may make loans and advances to any other Subsidiary and any other Guarantor, and
further provided that the Borrower and its Subsidiaries may advance money for anticipated expenses
to any of their respective employees, officers, and directors in an outstanding amount which does
not exceed $100,000.00 at any time.

     Section 10.7. Investments. Borrower will not make, and will not permit any Guarantor or any
Subsidiary to make, any capital contribution to or investment in, or purchase, or permit any
Guarantor or any Subsidiary to purchase, any stock, bonds, notes, debentures, or other securities
of any Person, except (a) readily
marketable direct obligations of the United States of America, (b) fully insured certificates
of deposit with maturities of one year or less from the date of acquisition of Agent or any
commercial bank operating in the United States having capital and surplus in excess of
$100,000,000.00, (c) commercial paper of a domestic issuer if at the time of purchase such paper is
rated in one of the two highest rating categories of Standard and Poor’s Corporation or Moody’s
Investors Service, Inc., (d) investments made through Agent or its Affiliates and approved by
Agent, and (e) capital contributions to or investments in any of the Subsidiaries.

     Section 10.8. Compliance with Environmental Laws. Borrower will not, and will not permit any
Guarantor or any Subsidiary to, (a) use (or permit any tenant to use) any of their respective
properties or assets for the handling, processing, storage, transportation, or disposal of any
Hazardous Substance, other than in the ordinary course of its business and in accordance with
applicable Environmental Laws and other then in connection with the Florida Remediation, (b)
generate any Hazardous Substance, other than in the ordinary course of its business and in
accordance with applicable Environmental Laws, (c) conduct any activity which is likely to cause a
release or threatened release of any Hazardous Substance, other than in the ordinary course of its
business and in accordance with applicable Environmental Laws, or (d) otherwise conduct any
activity or use any of their respective properties or assets in any manner that is likely to
violate in any material respect any Environmental Law.

     Section 10.9. Accounting. Borrower will not make, and will not permit any Guarantor or any
Subsidiary to make, any material change in accounting treatment or reporting practices, except as
required by GAAP or as required as a result of Borrower operating as a public company and issuing
stock, warrants, rights and options.

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     Section 10.10. Change of Business. Borrower will not enter into, or permit any Subsidiary to
enter into, any type of business which is materially different from the business in which Borrower
and its Subsidiaries, taken as a whole, are presently engaged.

     Section 10.11. Transactions With Affiliates. Except for certain agreements listed in Schedule
10.11, Borrower will not enter into, or permit to exist, and will not permit any Subsidiary to
enter into or permit to exist, any transaction, arrangement or contract (including any lease or
other rental agreement) with any of its Affiliates which is on terms which are less favorable than
are obtainable from any Person who is not an Affiliate of Borrower or such Subsidiary.

     Section 10.12. Capital Expenditures. Borrower will not permit the aggregate Capital
Expenditures of Borrower and its Subsidiaries to exceed $18,000,000.00 during any fiscal year;
provided, however that Capital Expenditures incurred in connection with Mergers and Acquisitions
(as defined in Section 10.3) shall be excluded from the limitations contained in this Section
10.12.

     Section 10.13.ERISA. Borrower will not, and will not permit any Guarantor or any Subsidiary
to, engage in any transaction in connection with which the Borrower, such Guarantor or such
Subsidiary could be subject to a civil penalty assessed pursuant to a material ERISA violation.

ARTICLE XI.

Financial Covenants

     Borrower covenants and agrees that, as long as the Obligations or any part thereof are
outstanding or any Lender has any Commitment hereunder or Issuing Bank has any obligation to issue
any Letter of Credit hereunder or any Letter of Credit Liabilities exist, Borrower will observe and
perform the financial covenants set forth below, unless Agent shall otherwise consent in writing.

     Section 11.1. Net Worth. Borrower will at all times maintain Net Worth in an amount not less
than the sum of (a) $40,000,000.00, plus (b) fifty percent (50%) of Adjusted Net Income since
December 31, 2006, plus (c) seventy-five percent (75%) of net proceeds of equity issuance. For the
purpose of calculating clause (b), Adjusted Net Income shall be the sum of Adjusted Net Income of
Borrower and its Subsidiaries for each fiscal quarter beginning with the fiscal quarter ending
March 31, 2007, provided, however that for any fiscal quarter for which Adjusted Net Income was
less than zero, Adjusted Net Income for such fiscal quarter shall be assumed to be zero (and shall
be calculated as zero for such quarter). Net Worth shall be calculated and tested quarterly as of
the last day of each fiscal quarter of Borrower, commencing with the fiscal quarter ending March
31, 2007.

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     Section 11.2. Fixed Charge Coverage Ratio. Borrower will at all times maintain a Fixed Charge
Coverage Ratio of not less than 1.30 to 1.00. The Fixed Charge Coverage Ratio will be calculated
and tested quarterly as of the last day of each fiscal quarter of Borrower, commencing with the
fiscal quarter ending March 31, 2007 on a cumulative basis for the four (4) fiscal quarters ended
as of such date (a “rolling or trailing four (4) quarters” basis).

     Section 11.3. Total Leverage Ratio. Borrower will maintain a Total Leverage Ratio of not
greater than 3.00 to 1.00. The Total Leverage Ratio shall be calculated and tested quarterly as of
the last day of each fiscal quarter of Borrower, commencing with the fiscal quarter ending March
31, 2007, and, for purposes of calculating the Total Leverage Ratio, EBITDA shall be determined on
a cumulative basis for the four (4) fiscal quarters ended as of such date (a “rolling or trailing
four (4) quarters” basis).

ARTICLE XII.

Default

     Section 12.1. Events of Default. Each of the following shall be deemed an “Event of Default”:

     (a) Borrower shall fail to pay (i) the principal of the Obligations (or any part
thereof) when due or (ii) any other portion of the Obligations (including interest and
fees) and such failure shall continue for a period of five (5) days.

     (b) Any representation or warranty made or deemed made by Borrower or any Obligated
Party (or any of their respective officers) in any Loan Document or in any certificate,
report, notice, or financial statement furnished at any time in connection with this
Agreement shall be false, misleading, or erroneous in any material respect when made or
deemed to have been made.

     (c) Borrower or any Obligated Party shall fail to perform, observe, or comply with any
covenant, agreement, or term (i) contained in Section 9.1, Article X or Article XI, or (ii)
contained in any other Section or Article of this Agreement or any other Loan Document and
such failure shall continue for thirty (30) days following the earlier of the date on which
(A) Borrower or such Obligated Party has knowledge of such failure, or (B) Agent gives
Borrower or such Obligated Party notice of such failure.

     (d) Borrower, any Subsidiary, or any Obligated Party shall commence a voluntary
proceeding seeking liquidation, reorganization, or other relief with respect to itself or
its debts under any bankruptcy, insolvency, or other similar law now or hereafter in effect
or seeking the appointment of a trustee, receiver, liquidator, custodian, or other similar
official of it or a substantial part of its property or shall

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consent to any such relief or to the appointment of or taking possession by any such official in an
involuntary case or other proceeding commenced against it or shall make a general assignment for
the benefit of creditors or shall generally fail to pay its debts as they become due or shall take
any corporate action to authorize any of the foregoing.

     (e) An involuntary proceeding shall be commenced against Borrower, any Subsidiary, or any
Obligated Party seeking liquidation, reorganization, or other relief with respect to it or its
debts under any bankruptcy, insolvency, or other similar law now or hereafter in effect or seeking
the appointment of a trustee, receiver, liquidator, custodian or other similar official for it or a
substantial part of its property, and such involuntary proceeding shall remain undismissed and
unstayed for a period of sixty (60) days.

     (f) Borrower, any Subsidiary, or any Obligated Party shall fail to discharge within a period
of sixty (60) days after the commencement thereof any attachment, sequestration, or similar
proceeding or proceedings involving an
aggregate amount in excess of $1,000,000.00 against any of its assets or properties.

     (g) Any final (i) judgment or order for payment of money in excess of $250,000.00, or
otherwise having a Material Adverse Effect, not covered by insurance for which Borrower, any
Subsidiary or any Obligated Party is liable or (ii) non-monetary judgment or order having a
Material Adverse Effect, not covered by insurance for which Borrower, any Subsidiary or any
Obligated Party is liable, shall be rendered against Borrower, any Subsidiary or any Obligated
Party, which judgment remains in effect for sixty (60) days without being stayed or deferred.

     (h) Borrower, any Subsidiary, or any Obligated Party shall fail to pay when due any principal
of or interest on any Debt having a principal amount in excess of $250,000.00 (other than the
Obligations), or the maturity of any such Debt shall have been accelerated, or any such Debt shall
have been required to be prepaid prior to the stated maturity thereof, or any event shall have
occurred that permits (or, with the giving of notice or lapse of time or both, would permit) any
holder or holders of such Debt or any Person acting on behalf of such holder or holders to
accelerate the maturity thereof or require any such prepayment.

     (i) This Agreement or any other Loan Document shall cease to be in full force and effect or
shall be declared null and void or the validity or enforceability thereof shall be contested or
challenged by Borrower, any Subsidiary, any Obligated Party or any of their respective
shareholders, or Borrower or any Obligated Party shall deny that it has any further liability or
obligation under any of the Loan Documents, or any Lien or security interest created by the Loan
Documents shall for any reason cease to be a valid Lien of the priority described in this
Agreement.

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     (j) A Change of Control shall occur.

     (k) Borrower or any of its Subsidiaries (i) shall fail to have adequate bonding
capacity to operate their respective businesses in the ordinary course of business as
reasonably determined by Agent in good faith and such failure shall continue for thirty
(30) days or (ii) shall receive notice that its bonding capacity is to be or has been
denied, terminated or withdrawn and a period of thirty (30) days shall elapse following the
date of receipt of such notice by Borrower or such Subsidiary without Borrower or such
Subsidiary replacing such denied, terminated or withdrawn bonding capacity with another
bonding agent.

     Section 12.2. Remedies Upon Default. If any Event of Default shall occur, Agent may do any one
or more of the following: (a) declare the outstanding principal of and accrued and unpaid interest
on the Notes and the Obligations or any part thereof to be immediately due and payable, and the
same shall thereupon become immediately due and payable, without notice, demand,
presentment, notice of dishonor, notice of acceleration, notice of intent to accelerate,
notice of intent to demand, protest, or other formalities of any kind, all of which are hereby
expressly waived by Borrower, (b) terminate the Commitments-Revolving Advances and the
Commitments-Acquisition Term Loan without notice to Borrower, (c) foreclose or otherwise enforce
any Lien granted to Agent to secure payment and performance of the Obligations, and (d) exercise
any and all rights and remedies afforded by the laws of the State of Texas or any other
jurisdiction by any of the Loan Documents, by equity or otherwise; provided, however, that upon the
occurrence of an Event of Default under Section 12.1(d) or Section 12.1(e), the
Commitments-Revolving Advances and the Commitments-Acquisition Term Loan shall automatically
terminate, and the outstanding principal of and accrued and unpaid interest on the Notes and the
other Obligations shall become immediately due and payable without notice, demand, presentment,
notice of dishonor, notice of acceleration, notice of intent to accelerate, notice of intent to
demand, protest, or other formalities of any kind, all of which are hereby expressly waived by
Borrower.

     Section 12.3. Cash Collateral. If any Event of Default shall occur and is continuing, Borrower
shall, if requested by Agent, immediately deposit with and pledge to Agent, cash or cash equivalent
investments in an amount equal to the outstanding Letter of Credit Liabilities as security for the
Obligations.

     Section 12.4. Performance by Agent. If Borrower shall fail to perform any covenant, duty, or
agreement contained in any of the Loan Documents, Agent may perform or attempt to perform such
covenant, duty, or agreement on behalf of Borrower. In such event, Borrower shall, at the request
of Agent, promptly pay any reasonable and documented amount reasonably expended by Agent in such
performance or attempted performance to Agent, together with interest thereon at the Default Rate
from the date of such expenditure until paid. Notwithstanding the foregoing, it is expressly agreed
that neither Agent nor any Lender shall

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have any liability or responsibility for the performance of any obligation of Borrower under this
Agreement or any other Loan Document.

ARTICLE XIII.

The Agent

     Section 13.1. Appointment and Authorization. (a) Each Lender hereby irrevocably (subject to
Section 13.9) appoints, designates and authorizes Agent to take such action on its behalf under the
provisions of this Agreement and each other Loan Document and to exercise such powers and perform
such duties as are expressly delegated to it by the terms of this Agreement or any other Loan
Document, together with such powers as are reasonably incidental thereto. Notwithstanding any
provision to the contrary contained elsewhere in this Agreement or in any other Loan Document,
Agent (which term as used in this Section 13.1(a), Section 13.3, 13.6 and 13.7 shall include its
Affiliates and its
own and its Affiliates’ officers, directors, employees and agents) shall not have any duty or
responsibility except those expressly set forth herein, nor shall Agent have or be deemed to have
any fiduciary relationship with any Lender, and no implied covenants, functions, responsibilities,
duties, obligations or liabilities shall be read into this Agreement or any other Loan Documents or
otherwise exist against Agent.

     (b) Issuing Bank shall act on behalf of Lenders with respect to any Letters of Credit issued
by it and the documents associated therewith. The Issuing Bank shall have all of the benefits and
immunities (i) provided to Agent in this Article XIII with respect to any acts taken or omissions
suffered by Issuing Bank in connection with Letters of Credit issued by it or proposed to be issued
by it and the applications and agreements for letters of credit pertaining to such Letters of
Credit as fully as if the term “Agent”, as used in this Article XIII, including Issuing Bank with
respect to such acts or omissions and (ii) as additionally provided in this Agreement with respect
to Issuing Bank.

     Section 13.2. Delegation of Duties. Agent may execute any of its duties under this Agreement
or any other Loan Document by or through agents, employees or attorneys-in-fact and shall be
entitled to advice of counsel concerning all matters pertaining to such duties. The Agent shall not
be responsible for the negligence or misconduct of any agent or attorney-in-fact that it selects
with reasonable care.

     Section 13.3. Liability of Agent. None of Agent nor any of its directors, officers, employees
or agents shall (a) be liable for any action taken or omitted to be taken by any of them under or
in connection with this Agreement or any other Loan Documents or the transactions contemplated
hereby (except for their own gross negligence or willful misconduct), or (b) be responsible in any
manner to any Lender for any recital, statement, representation or warranty (whether written or
oral) made by Borrower or any Subsidiary or

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Affiliate of Borrower, or any officer thereof, contained in this Agreement or in any other Loan
Document, or in any certificate, report, statement or other document referred to or provided for
in, or received by Agent under or in connection with, this Agreement or any other Loan Document, or
the validity, effectiveness, genuineness, enforceability or sufficiency of this Agreement or any
other Loan Document, or for any failure of Borrower or any other party to any Loan Document to
perform its obligations hereunder or thereunder. Agent shall not be under any obligation to any
Lender to ascertain or to inquire as to the observance or performance of any of the agreements
contained in, or conditions of, this Agreement or any other Loan Document, or to inspect the
properties, books or records of Borrower or any of Borrower’s Subsidiaries or Affiliates.

     Section 13.4. Reliance by Agent. Agent shall be entitled to rely, and shall be fully protected
in relying, upon any writing, resolution, notice, consent, certificate, affidavit, letter,
telegram, facsimile, telex, telephone or electronic
message, statement or other document or conversation believed by it to be genuine and correct
and to have been signed, sent, or made by the proper Person or Persons, and upon advice and
statements of legal counsel (including counsel to Borrower), independent accountants and other
experts selected by Agent with reasonable care. Agent shall be fully justified in failing or
refusing to take any action under this Agreement or any other Loan Document unless it shall first
receive such advice or concurrence of the Majority Lenders as it deems appropriate and, if it so
requests, confirmation from Lenders of their obligation to indemnify Agent against any and all
liability and expense which may be incurred by it by reason of taking or continuing to take any
such action. Agent shall in all cases be fully protected in acting, or in refraining from acting,
under this Agreement or any other Loan Documents in accordance with a request or consent of the
Majority Lenders and such request and any action taken or failure to act pursuant thereto shall be
binding upon all Lenders.

     Section 13.5. Notice of Default. Agent shall not be deemed to have knowledge or notice of the
occurrence of any Event of Default or Unmatured Event of Default, unless Agent shall have received
written notice from a Lender or Borrower referring to this Agreement, describing such Event of
Default or Unmatured Event of Default and stating that such notice is a “notice of default”. The
Agent will notify Lenders of its receipt of any such notice. Agent shall (subject to any requested
indemnification pursuant to Section 13.7) take such action with respect to such Event of Default or
Unmatured Event of Default as may be requested by the Majority Lenders in accordance with Article
XIII; provided that unless and until Agent has received any such request, Agent may (but shall not
be obligated to) take such action, or refrain from taking such action, with respect to such Event
of Default or Unmatured Event of Default as it shall deem advisable or in the best interest of
Lenders.

     Section 13.6. Credit Decision. Each Lender acknowledges that Agent has not made any
representation or warranty to it, and that no act by Agent hereafter taken, including any review of
the affairs of Borrower and its Subsidiaries, shall be deemed to constitute any representation or
warranty by Agent to any Lender. Each Lender represents to Agent that it has,

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independently and without reliance upon Agent and based on such documents and information as it has
deemed appropriate, made its own appraisal of and investigation into the business, prospects,
operations, property, financial and other condition and creditworthiness of Borrower and its
Subsidiaries, and made its own decision to enter into this Agreement and to extend credit to
Borrower hereunder. Each Lender also represents that it will, independently and without reliance
upon Agent and based on such documents and information as it shall deem appropriate at the time,
continue to make its own credit analysis, appraisals and decisions in taking or not taking action
under this Agreement and the other Loan Documents, and to make such investigations as it deems
necessary to inform itself as to the business, prospects, operations, property, financial and other
condition and creditworthiness of Borrower. Except for
notices, reports and other documents expressly herein required to be furnished to the Lenders by
Agent, Agent shall not have any duty or responsibility to provide any Lender with any credit or
other information concerning the business, prospects, operations, property, financial or other
condition or creditworthiness of Borrower or its Subsidiaries which may come into the possession of
the Agent.

     Section 13.7. INDEMNIFICATION. WHETHER OR NOT THE TRANSACTIONS CONTEMPLATED HEREBY ARE
CONSUMMATED, THE LENDERS SHALL INDEMNIFY UPON DEMAND AGENT AND ITS DIRECTORS, OFFICERS, EMPLOYEES
AND AGENTS (TO THE EXTENT NOT REIMBURSED BY OR ON BEHALF OF BORROWER AND WITHOUT LIMITING THE
OBLIGATION OF BORROWER TO DO SO), BASED ON ITS PRO RATA SHARE-TOTAL, FROM AND AGAINST ANY AND ALL
CLAIMS; PROVIDED THAT NO LENDER SHALL BE LIABLE FOR ANY PAYMENT TO ANY SUCH PERSON OF ANY PORTION
OF THE CLAIMS RESULTING FROM SUCH PERSON’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT. WITHOUT
LIMITATION OF THE FOREGOING, EACH LENDER SHALL REIMBURSE AGENT UPON DEMAND FOR ITS PRO RATA
SHARE-TOTAL OF ANY COSTS OR OUT-OF-POCKET EXPENSES (INCLUDING REASONABLE ATTORNEYS’ FEES) INCURRED
BY AGENT IN CONNECTION WITH THE PREPARATION, EXECUTION, DELIVERY, ADMINISTRATION, MODIFICATION,
AMENDMENT OR ENFORCEMENT (WHETHER THROUGH NEGOTIATIONS, LEGAL PROCEEDINGS OR OTHERWISE) OF, OR
LEGAL ADVICE IN RESPECT OF RIGHTS OR RESPONSIBILITIES UNDER, THIS AGREEMENT, ANY OTHER LOAN
DOCUMENT, OR ANY DOCUMENT CONTEMPLATED BY OR REFERRED TO HEREIN, TO THE EXTENT THAT AGENT IS NOT
REIMBURSED FOR SUCH EXPENSES BY OR ON BEHALF OF BORROWER. THE UNDERTAKING IN THIS SECTION SHALL
SURVIVE REPAYMENT OF THE REVOLVING ADVANCES, THE REAL ESTATE TERM LOAN, THE ACQUISITION TERM LOAN,
CANCELLATION OF EACH NOTE, EXPIRATION OR TERMINATION OF THE LETTERS OF CREDIT, ANY FORECLOSURE
UNDER, OR MODIFICATION, RELEASE OR DISCHARGE OF, ANY OR ALL OF THE LOAN DOCUMENTS, TERMINATION OF
THIS AGREEMENT AND THE RESIGNATION OR REPLACEMENT OF AGENT.

     Section 13.8. Agent in Individual Capacity. Amegy Bank National Association and its Affiliates
may make loans to, issue letters of credit for the account of, accept deposits from,

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acquire equity interests in and generally engage in any kind of banking, trust, financial advisory,
underwriting or other business with Borrower and its Subsidiaries and Affiliates as though Amegy
Bank National Association were not Agent or Issuing Bank hereunder and without notice to or consent
of Lenders. Lenders acknowledge that, pursuant to such activities, Amegy Bank National Association
or its Affiliates may receive information regarding Borrower or its Affiliates (including
information that may be subject to confidentiality obligations in favor of Borrower or such
Affiliate) and acknowledge that Agent shall be under
no obligation to provide such information to them. With respect to the Revolving Advances, the Real
Estate Term Loan and the Acquisition Term Loan, and Amegy Bank National Association’s Pro Rata
Share thereof, Amegy Bank National Association and its Affiliates shall have the same rights and
powers under this Agreement as any other Lender and may exercise the same as Amegy Bank National
Association were not Agent and Issuing Bank, and the terms “Lender” and “Lenders” including Amegy
Bank National Association and its Affiliates, to the extent applicable, in their individual
capacities.

     Section 13.9. Successor Agent. Agent may resign as Agent upon thirty (30) days’ notice to
Lenders and Borrower. If Agent resigns under this Agreement, Lenders shall, with (so long as no
Event of Default has occurred and is continuing) the consent of Borrower (which shall not be
unreasonably withheld or delayed), appoint from among Lenders a successor agent for Lenders. If no
successor agent is appointed prior to the effective date of the resignation of Agent, Agent may
appoint, after consulting with Lenders and Borrower, a successor agent from among Lenders. Upon the
acceptance of its appointment as successor agent hereunder, such successor agent shall succeed to
all the rights, powers and duties of the retiring Agent and the term “Agent” shall mean such
successor agent, and the retiring Agent’s appointment, powers and duties as Agent shall be
terminated. After any retiring Agent’s resignation hereunder as Agent, the provisions of this
Article XIII and Sections 13.1, 13.3 and 13.7 shall inure to its benefit as to any actions taken or
omitted to be taken by it while it was Agent under this Agreement. If no successor agent has
accepted appointment as Agent by the date which is thirty (30) days following a retiring Agent’s
notice of resignation, the retiring Agent’s resignation shall nevertheless thereupon become
effective and Lenders shall perform all of the duties of Agent hereunder until such time, if any,
as the Majority Lenders (with the consent of Borrower) appoint a successor agent as provided for
above.

     Section 13.10. Collateral Matters. Lenders irrevocably authorize Agent, at its option and in
its discretion, to release any Lien granted to or held by Agent under any Loan Document (a) upon
termination of the Combined Commitments-Revolving Advances and the Combined Commitments-Acquisition
Term Loan and payment in full of all Revolving Advances, the Real Estate Term Loan, the Acquisition
Term Loan, the Letter of Credit Liabilities and all other obligations of Borrower hereunder and the
expiration of termination of all Letters of Credit; (b) constituting property sold or to be sold or
disposed of as part of or in connection with any disposition permitted hereunder; or (c) subject to
Section 14.7, if approved, authorized or ratified in writing by one hundred percent (100%) of the
Lenders. Upon request

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by Agent at any time, Lenders will confirm in writing Agent’s authority to release, or subordinate
its interest in, particular types or items of collateral pursuant to this Section 13.10.

ARTICLE XIV.

Miscellaneous

     Section 14.1. Expenses. Borrower hereby agrees to pay Agent and Lenders, as applicable, on
demand (a) all reasonable and documented costs and expenses incurred by Agent (but not of other
Lenders) in connection with the preparation, negotiation, and execution of this Agreement and the
other Loan Documents and any and all amendments, modifications, renewals, extensions, and
supplements thereof and thereto, including, without limitation, the costs associated with field
examinations (subject to Section 9.6(b)), appraisals and collateral reviews and fees and expenses
of Agent’s legal counsel, (b) all reasonable and documented costs and expenses incurred by Agent
and each Lender in connection with the enforcement (whether through negotiations, legal proceedings
or otherwise) of this Agreement or any other Loan Document, including, without limitation, the
reasonable and documented fees and expenses of each such Person’s legal counsel, and (c) all other
reasonable and documented costs and expenses incurred by Agent in connection with this Agreement or
any other Loan Document, including, without limitation, all costs, expenses, taxes, assessments,
filing fees, and other charges levied by any governmental authority or otherwise payable in respect
of this Agreement or any other Loan Document or in obtaining any insurance policy, audit or
appraisal in respect of the Collateral.

     SECTION 14.2. INDEMNIFICATION. BORROWER HEREBY INDEMNIFIES AGENT, ISSUING BANK AND EACH LENDER
AND EACH AFFILIATE THEREOF AND THEIR RESPECTIVE OFFICERS, DIRECTORS, EMPLOYEES, ATTORNEYS, AND
AGENTS FROM, AND HOLDS EACH OF THEM HARMLESS AGAINST, ANY AND ALL LOSSES, LIABILITIES, CLAIMS,
DAMAGES, PENALTIES, JUDGMENTS, DISBURSEMENTS, AND REASONABLE AND DOCUMENTED COSTS AND EXPENSES
(INCLUDING ATTORNEYS’ FEES) (COLLECTIVELY, “CLAIMS”) TO WHICH ANY OF THEM MAY BECOME SUBJECT WHICH
DIRECTLY OR INDIRECTLY ARISE FROM OR RELATE TO (A) THE NEGOTIATION, EXECUTION, DELIVERY,
PERFORMANCE, ADMINISTRATION, OR ENFORCEMENT OF ANY OF THE LOAN DOCUMENTS, (B) ANY OF THE
TRANSACTIONS CONTEMPLATED BY THE LOAN DOCUMENTS, (C) ANY BREACH BY BORROWER OF ANY REPRESENTATION,
WARRANTY, COVENANT, OR OTHER AGREEMENT CONTAINED IN ANY OF THE LOAN DOCUMENTS, (D) THE PRESENCE,
RELEASE, THREATENED RELEASE, DISPOSAL, REMOVAL, OR CLEANUP OF ANY HAZARDOUS SUBSTANCE LOCATED ON,
ABOUT, WITHIN, OR AFFECTING ANY OF THE PROPERTIES OR ASSETS OF BORROWER OR ANY SUBSIDIARY, (E) ANY
ACT OR OMISSION OF AGENT OR ANY LENDER BASED UPON ANY FAX OR ELECTRONIC TRANSMISSION, OR (F) ANY MATTER RELATED TO ANY LETTER
OF CREDIT, INCLUDING, WITH RESPECT TO ALL OF THE ABOVE, ANY

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CLAIM WHICH ARISES AS A RESULT OF THE NEGLIGENCE OF ANY INDEMNIFIED PERSON; PROVIDED, HOWEVER, THAT
BORROWER’S INDEMNIFICATION OBLIGATIONS UNDER THIS SECTION 14.2 SHALL NOT APPLY TO THE EXTENT THAT
THE CLAIMS ARISE AS A RESULT OF THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF ANY INDEMNIFIED
PERSON.

     Section 14.3. Limitation of Liability. Neither Agent, Issuing Bank, any Lender nor any
affiliate, officer, director, employee, attorney, or agent of such Person shall have any liability
with respect to, and Borrower (for itself and on behalf of its Subsidiaries) hereby waives,
releases, and agrees not to sue any of them upon, any claim for any special, indirect, incidental,
or consequential damages suffered or incurred by Borrower in connection with, arising out of, or in
any way related to, this Agreement or any of the other Loan Documents, or any of the transactions
contemplated by this Agreement or any of the other Loan Documents. Borrower (for itself and on
behalf of its Subsidiaries) hereby waives, releases, and agrees not to sue Agent, Issuing Bank, any
Lender or any of such Person’s affiliates, officers, directors, employees, attorneys, or agents for
punitive damages in respect of any claim in connection with, arising out of, or in any way related
to, this Agreement or any of the other Loan Documents, or any of the transactions contemplated by
this Agreement or any of the other Loan Documents.

     Section 14.4. No Waiver; Cumulative Remedies. No failure on the part of Agent, Issuing Bank,
or any Lender to exercise and no delay in exercising, and no course of dealing with respect to, any
right, power, or privilege under this Agreement shall operate as a waiver thereof, nor shall any
single or partial exercise of any right, power, or privilege under this Agreement preclude any
other or further exercise thereof or the exercise of any other right, power, or privilege. The
rights and remedies provided for in this Agreement and the other Loan Documents are cumulative and
not exclusive of any rights and remedies provided by law.

     Section 14.5. Successors and Assigns. This Agreement is binding upon and shall inure to the
benefit of Agent, Issuing Bank, each Lender and Borrower and their respective successors and
permitted assigns, except that Borrower may not assign or transfer any of its rights or obligations
under this Agreement without prior written consent of Agent.

     Section 14.6. Survival. All representations and warranties made in this Agreement or any other
Loan Document or in any document, statement, or certificate furnished in connection with this
Agreement shall survive the execution and delivery of this Agreement and the other Loan Documents,
and no investigation by Agent, Issuing Bank or any Lender or any closing shall affect the
representations and warranties or the right of Agent, Issuing Bank or any Lender to rely upon
them. Without prejudice to the survival of any other obligation of Borrower hereunder, the
obligations of Borrower under Sections 14.1 and 14.2 shall survive repayment of the Notes and
termination of the Combined Commitments-Revolving Advances, the Combined Commitments-Acquisition
Term Loan and the Letters of Credit.

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     Section 14.7. Amendments. No amendment, modification or waiver of, or consent with respect to,
any provision of this Agreement or any Note shall in any event be effective unless the same shall
be in writing and signed and delivered by Lenders having an aggregate Pro Rata Share of not less
than the aggregate Pro Rata Share expressly designated herein with respect thereto or, in the
absence of such designation as to any provision of this Agreement or any Note, by the Majority
Lenders, and then any such amendment, modification, waiver or consent shall be effective only in
the specific instance and for the specific purpose for which given. No amendment, modification,
waiver or consent shall change the Pro Rata Share-Revolving Advances, the Pro Rata Share-Real
Estate Term Loan or the Pro Rata Share-Acquisition Term Loan of any Lender without the consent of
such Lender. No amendment, modification, waiver or consent shall (i) increase the Combined
Commitments-Revolving Advances, the principal amount of the Combined Commitments-Acquisition Term
Loan or the principal amount of the Real Estate Term Loan, (ii) extend the date for payment of any
principal of or interest on the Revolving Advances, the Real Estate Term Loan, the Acquisition Term
Loan or any fees payable hereunder, (iii) extend any Lender’s Commitment-Revolving Advances,
Commitment-Acquisition Term Loan or the Maturity Date Real Estate Term Loan, (iv) reduce the
principal amount of any Revolving Advance, the Real Estate Term Loan or the Acquisition Term Loan,
the rate of interest thereon or any fees payable hereunder, (v) release any guaranty or all or any
substantial part of the collateral granted under the Loan Documents (except that Agent shall be
entitled to release any Collateral to the extent the sale or disposition thereof is permitted under
this Agreement), or (vi) reduce the aggregate Pro Rata Share required to effect an amendment,
modification, waiver or consent without, in each case, the consent of all Lenders. No provision of
Article XIII or other provision of this Agreement affecting Agent in its capacity as such shall be
amended, modified or waived without the consent of Agent. No provision of this Agreement relating
to the rights or duties of the Issuing Bank in its capacity as such shall be amended, modified or
waived without the consent of the Issuing Bank.

     Section 14.8. Maximum Interest Rate. No provision of this Agreement or of any other Loan
Documents shall require the payment or the collection of interest in excess of the maximum
permitted by applicable law. If any excess of interest in such respect is hereby provided for, or
shall be adjudicated to be so provided, in any other Loan Documents or otherwise in connection with
this loan transaction, the provisions of this Section shall govern and prevail and neither Borrower
nor the sureties, guarantors, successors, or assigns of Borrower shall be obligated to pay the
excess amount of such interest or any other excess sum
paid for the use, forbearance, or detention of sums loaned pursuant hereto. In the event
Agent, Issuing Bank or any Lender ever receives, collects, or applies as interest any such sum,
such amount which would be in excess of the maximum amount permitted by applicable law shall be
applied as a payment and reduction of the principal of the indebtedness evidenced by the Notes;
and, if the principal of the Notes has been paid in full, any remaining excess shall forthwith be
paid to Borrower. In determining whether or not the interest paid or payable exceeds the Maximum
Rate, Borrower and Agent, Issuing Bank and Lenders shall, to the extent permitted by applicable
law, (a) characterize any non-principal payment as an

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expense, fee, or premium rather than as interest, (b) exclude voluntary prepayments and the effects
thereof, and (c) amortize, prorate, allocate, and spread in equal or unequal parts the total amount
of interest throughout the entire contemplated term of the indebtedness evidenced by the Notes so
that interest for the entire term does not exceed the Maximum Rate.

     Section 14.9. Notices. All notices and other communications provided for in this Agreement
and the other Loan Documents shall be in writing and may be emailed, telecopied (faxed), mailed by
certified mail return receipt requested, or delivered to the intended recipient at the addresses
specified on the signature pages hereof or at such other address as shall be designated by any such
party in a notice to the other parties given in accordance with this Section; provided, however,
that (a) all electronic mail transmissions may be only in the form of electronically scanned
documents, showing all signatures, and (b) electronic mail may be used only to distribute routine
communications, such as financial statements and Borrowing Base Certificates, and not for any other
purpose. Except as otherwise provided in this Agreement, all such communications shall be deemed to
have been duly given (a) when transmitted by telecopy (fax), subject to confirmation of receipt,
(b) when received if transmitted by electronic mail, (c) when personally delivered or, (d) in the
case of a mailed notice, two (2) Business Days after being duly deposited in the mails, in each
case given or addressed as aforesaid; provided, however, that notices to Agent pursuant to Article
II or Article IV shall not be effective until received by Agent.

     Section 14.10. Applicable Law; Venue; Service of Process. This Agreement shall be governed by
and construed in accordance with the laws of the State of Texas and the applicable laws of the
United States of America. This Agreement has been entered into in Harris County, Texas and it shall
be performable for all purposes in Harris County, Texas. Any action or proceeding against Borrower
under or in connection with any of the Loan Documents may be brought in any state or federal court
in Harris County, Texas, and Borrower hereby irrevocably submits to the nonexclusive jurisdiction
of such courts and waives any objection it may now or hereafter have as to the venue of any such
action or proceeding brought in any such court or that any such court is an inconvenient forum.
Borrower agrees that service of process upon it may be made by certified or registered mail, return
receipt requested, at its office
specified in this Agreement. Nothing herein or in any of the other Loan Documents shall affect
the right of Agent or any Lender to serve process in any other manner permitted by law or shall
limit the right of Agent or any Lender to bring any action or proceeding against Borrower or with
respect to any of its property in courts in other jurisdictions. Any action or proceeding by
Borrower against Agent or any Lender shall be brought only in a court located in Harris County,
Texas.

     Section 14.11. Counterparts. This Agreement may be executed in one or more counterparts, each
of which shall be deemed an original, but all of which together shall constitute one and the same
instrument.

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     Section 14.12. Severability. Any provision of this Agreement held by a court of competent
jurisdiction to be invalid or unenforceable shall not impair or invalidate the remainder of this
Agreement and the effect thereof shall be confined to the provision held to be invalid or illegal.

     Section 14.13. Headings. The headings, captions, and arrangements used in this Agreement are
for convenience only and shall not affect the interpretation of this Agreement.

     Section 14.14. Non-Application of Chapter 346 of Texas Finance Code. The provisions of
Chapter 346 of the Texas Finance Code are specifically declared by the parties hereto not to be
applicable to this Agreement or any of the other Loan Documents or to the transactions contemplated
hereby.

     Section 14.15. Consent to Participations. Any Lender shall have the right at any time and from
time to time to sell or transfer one or more participation interests in the Notes and the
indebtedness evidenced thereby to one or more purchasers (“Purchasers”), whether related or
unrelated to such Lender; provided, however, that (a) such Lender’s obligations under this
Agreement shall remain unchanged, (b) such Lender shall remain solely responsible to the other
parties hereto for the performance of such obligations, (c) the participant shall be entitled to
the benefit of the yield protection provisions contained in Sections 5.5, 5.8 and 5.9 and the right
to setoff contained in Section 6.2, and (d) the Borrower shall continue to deal solely and directly
with such Lender in connection with such Lender’s rights and obligations under this Agreement, and
such Lender shall retain the sole right to enforce the obligations of the Borrower relating to its
Revolving Advances, the Real Estate Term Loan, the Acquisition Term Loan, and its Notes and to
approve any amendment, modification, or waiver of any provisions of this Agreement (other than
amendments, modifications, or waivers decreasing the amount of principal of or the rate at which
interests is payable on such Revolving Advances, the Real Estate Term Loan, the Acquisition Term
Loan, or Notes, extending any scheduled principal payment date or date fixed for the payment of
interests on such Revolving Advances, the Real Estate Term Loan, the Acquisition Term Loan or
Notes, or extending its Commitment-Revolving Advances or Commitment-Acquisition Term Loan). Any
Lender may
provide to any one or more Purchasers or potential Purchasers any information, financial
statements, data or knowledge such Lender may have about Borrower or about any other matter
relating to the Obligations, provided that such Purchasers or potential Purchasers first agree in
writing to be bound by the confidentiality obligations of such Lender under Section 14.19 of this
Agreement. Borrower agrees that the owners of any participation interests will be considered as the
absolute owners of their interests in the Obligations and will, subject to the terms of this
Section 14.15, have all the rights granted under the participation agreements or other agreements
governing the sale of their participation interests. Borrower waives all rights of offset or
counterclaim that it may now or later have against such Lender or against any Purchaser and agrees
that such Lender may enforce Borrower’s obligations under the Loan Documents irrespective of the
failure or insolvency of any owner of any interest in the

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Obligations. Any Lender which participates a portion of the Obligations shall promptly notify
Borrower of such participation.

     Section 14.16. Assignments. Any Lender may, with the prior written consents of Issuing Bank
and Agent and (so long as no Event of Default has occurred and is continuing) Borrower (which
consents shall not be unreasonably delayed or withheld and, in any event, shall not be required for
an assignment by any Lender to one of its Affiliates), at any time assign and delegate to an
Eligible Assignee all or any fraction of such Lender’s Revolving Advances, Commitment-Revolving
Advances, Acquisition Advances and Commitment-Acquisition Term Loan and/or its Pro Rata Share of
the Real Estate Term Loan in a minimum aggregate amount equal to the lesser of the amount of the
assigning Lender’s Pro Rata Share of the Combined Commitments-Revolving Advances, the Combined
Commitments-Acquisition Term Loan or the Real Estate Term Loan, as applicable, and (a)
$2,500,000.00 if no Event of Default has occurred and is continuing and (b) $1,000,000.00 if an
Event of Default has occurred and is continuing; provided that Borrower and Agent shall be entitled
to continue to deal solely and directly with such Lender in connection with the interests so
assigned and delegated to an Eligible Assignee until the date when all of the following conditions
shall have been met:

     (a) the assigning Lender and the Eligible Assignee shall have executed and delivered
to Borrower and Agent an Assignment and Acceptance, together with any documents required to
be delivered thereunder, which Assignment and Acceptance shall have been accepted by Agent;

     (b) except in the case of an assignment by a Lender to one of its Affiliates, the
assigning Lender or the Eligible Assignee shall have paid Agent a processing fee of $3,500;
and

     (c) five (5) Business Days (or such lesser period of time as the Agent and the
assigning Lender shall agree) shall have passed after
written notice of such assignment and delegation, together with payment instructions,
addresses and related information with respect to such Eligible Assignee, shall have been
given to Borrower and Agent by such assigning Lender and the Eligible Assignee.

Any Lender may provide to any one or more Eligible Assignees or potential Eligible Assignees any
information, financial statements, data or knowledge such Lender may have about Borrower or about
any other matter relating to the obligations; provided that such Eligible Assignees or potential
Eligible Assignees first agree in writing to be bound by the confidentiality obligations of such
Lender under Section 14.19 of this Agreement. From and after the date on which the conditions
described above have been met, (x) such Eligible Assignee shall be deemed automatically to have
become a party hereto and, to the extent that rights and obligations hereunder have been assigned
and delegated to such Eligible Assignee pursuant to such Assignment and Acceptance, shall have the
rights and obligations of a Lender

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hereunder and (y) the assigning Lender, to the extent that rights and obligations hereunder have
been assigned and delegated by it pursuant to such Assignment and Acceptance, shall be released
from its obligations hereunder. Within five (5) Business Days after effectiveness of any assignment
and delegation, Borrower shall execute and deliver to Agent (for delivery to the Eligible Assignee
and the assigning Lender, as applicable) a new Note, as applicable, in the principal amount of the
Eligible Assignee’s Pro Rata Share of the Combined Commitments-Revolving Advances, the Combined
Commitments-Acquisition Term Loan or the Real Estate Term Loan, as applicable, and, if the
assigning Lender has retained a Commitment-Revolving Advances, a Commitment-Acquisition Term Loan
or a portion of the Real Estate Term Loan, as applicable, hereunder, a replacement Revolving Credit
Note, Acquisition Term Note or a Real Estate Term Note in the principal amount of the Pro Rata
Share of the Combined Commitments-Revolving Advances, the Combined Commitments-Acquisition Term
Loan or the Real Estate Term Loan, as applicable, retained by the assigning Lender (such Note to be
in exchange for, but not in payment of, the portion of the predecessor Notes not being assigned).
Accrued interest and accrued fees shall be paid at the same time or times provided in the
predecessor Note and in this Agreement. Upon delivery by Borrower of any such new Note in
replacement of an existing Note, the existing Note shall be deemed cancelled and replaced. Any
attempted assignment and delegation not made in accordance with this Section 14.16 shall be null
and void.

     Notwithstanding the foregoing provisions of this Section 14.16 or any other provision of this
Agreement, any Lender may at any time assign all or any portion of its Commitment-Revolving
Advances, its Commitment-Acquisition Term Loan or its Pro Rata Share of the Real Estate Term Loan
and its Notes to a Federal Reserve Bank (but no such assignment shall release any Lender from any
of its obligations hereunder).

     Section 14.17. USA Patriot Act. Each Lender hereby notifies Borrower that pursuant to the
requirements of the USA Patriot Act (Title III of Pub. L. 107-56 (signed into law October 26,
2001)) (the “Act”), it is required to obtain, verify and record information that identifies
Borrower, which information includes the name and address of Borrower and other information that
will allow such Lender to identify Borrower in accordance with the Act.

     Section 14.18. Foreign Lender Reporting Requirements. If any Lender which is not a Person
organized and existing under the laws of the United States of America or a state thereof (a “Non-US
Person”) becomes a party to this Agreement, such Lender will deliver to Borrower and Agent such
documents and forms related to such status as a Non-US Person as Borrower or Agent may require.

     Section 14.19. Confidentiality. Agent and each Lender agree (on behalf of itself and each of
its Affiliates, directors, officers and employees) to use reasonable efforts to keep confidential,
in accordance with customary procedures for handling confidential information of this nature and in
accordance with safe and sound investment practices, any non-public information supplied to it by
or on behalf of any of Borrower, the Subsidiaries, or the other

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Obligated Parties pursuant to this Agreement or any other Loan Document, provided that nothing
herein shall limit the disclosure of any such information (a) to the extent required by statute,
rule, regulation or judicial process, (b) to counsel or any other third party professional
consultants or advisors for any Lender or Agent, (c) to regulatory bodies (including the National
Association of Insurance Commissioners or any similar organization, or any nationally recognized
rating agency that requires access to information about Agent’s or any Lender’s investment
portfolio), auditors or accountants of Agent or any Lender, (d) to Agent or any other Lender or any
Affiliate thereof, (e) in connection with any litigation relating to the transactions contemplated
by this Agreement or any other Loan Document to which any one or more of Agent or any Lender is a
party, or (f) to any assignee or participant (or prospective assignee or participant) or to any
direct or indirect contractual counterparties in swap agreements or to the professional advisors of
such swap counterparties so long as such assignee or participant (or prospective assignee or
participant) or direct or indirect contractual counterparties in swap agreements or such swap
counterparties’ professional advisors agree in writing to be bound by the provisions of this
Section 14.19. Non-public information does not include information that (i) was publicly known
prior to the time of disclosure by Borrower or any of the Subsidiaries or other Obligated Parties,
(ii) after disclosure by Borrower or any of the Subsidiaries or other Obligated Parties to any
Lender or the Agent, becomes publicly known through no act or omission by any Lender or the Agent
or by any Person acting on behalf of any Lender or the Agent or (iii) otherwise becomes known to
any Lender or the Agent other than through disclosure by Borrower or any of the Subsidiaries or
other Obligated Parties.

     Section 14.20. Document Imaging. Borrower understands and agrees that (a) Agent’s document
retention policy involves the imaging of executed loan documents and the destruction of the paper
originals, and (b) Borrower waives any right that it may have to claim that the imaged copies of
the Loan Documents are not originals.

     Section 14.21. ENTIRE AGREEMENT. THIS AGREEMENT, THE NOTES, AND THE OTHER LOAN DOCUMENTS
REFERRED TO HEREIN EMBODY THE FINAL, ENTIRE AGREEMENT AMONG THE PARTIES HERETO WITH RESPECT TO THE
SUBJECT MATTER HEREOF AND THEREOF AND SUPERSEDE ANY AND ALL PRIOR COMMITMENTS, AGREEMENTS,
REPRESENTATIONS, AND UNDERSTANDINGS, WHETHER WRITTEN OR ORAL, RELATING TO THE SUBJECT MATTER HEREOF
AND THEREOF AND MAY NOT BE CONTRADICTED OR VARIED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR
SUBSEQUENT ORAL AGREEMENTS OR DISCUSSIONS OF THE PARTIES HERETO. THERE ARE NO ORAL AGREEMENTS AMONG
THE PARTIES HERETO.

     Section 14.22. WAIVER OF TRIAL BY JURY. TO THE FULLEST EXTENT PERMITTED, BY APPLICABLE LAW,
BORROWER, AGENT, ISSUING BANK AND EACH LENDER HEREBY VOLUNTARILY, KNOWINGLY, IRREVOCABLY AND
UNCONDITIONALLY WAIVES ANY RIGHT TO HAVE A JURY PARTICIPATE IN RESOLVING ANY DISPUTE (WHETHER BASED
UPON CONTRACT, TORT OR OTHERWISE)

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BETWEEN OR AMONG BORROWER AND AGENT, ISSUING BANK OR ANY LENDER ARISING OUT OF OR IN ANY WAY
RELATED TO THIS AGREEMENT, ANY OTHER LOAN DOCUMENTS, OR ANY RELATIONSHIP BETWEEN BORROWER AND
AGENT, ISSUING BANK OR ANY LENDER. THIS PROVISION IS A MATERIAL INDUCEMENT TO LENDERS TO PROVIDE
THE FINANCING DESCRIBED IN THIS AGREEMENT.

     [THE REMAINDER OF THIS PAGE HAS BEEN INTENTIONALLY LEFT BLANK]

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     IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the day and
year first above written.

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 	 	BORROWER:	 	 
	 
	 	 	 	 	 	 
	 	 	ORION MARINE GROUP, INC.,	 	 
	 	 	a Delaware corporation	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Mark R. Stauffer 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Mark R. Stauffer 
Chief
Financial Officer	 	 
	 
	 	 	 	 	 	 
	 	 	Address for Notices: 	 	 
	 	 	12550 Fuqua

 Houston, Texas 77034	 	 
	 	 	Fax No.: 713-852-6530	 	 
	 	 	Email: mstauffer@orionmarinegroup.com	 	 
	 
	 	 	 	 	 	 
	 	 	with a copy (which shall not constitute notice) to:	 	 
	 
	 	 	 	 	 	 
	 	 	Vinson & Elkins L.L.P. 	 	 
	 	 	2801 Via Fortuna, Suite 100 	 	 
	 	 	Austin, Texas 78746 

Attention: Kyle Fox 	 	 
	 	 	Fax No.: 512-236-3295 	 	 
	 	 	Email: kfox@velaw.com	 	 

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	 	 	AGENT:	 	 
	 
	 	 	 	 	 	 
	 	 	AMEGY BANK NATIONAL ASSOCIATION	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Laif Afseth 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Laif Afseth	 	 
	 

	 	 	 	Senior Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	Address for Notices: 	 	 
	 	 	Five Post Oak Park 	 	 
	 	 	4400 Post Oak Parkway 	 	 
	 	 	Houston, Texas 77027 

Fax No.: 713-571-5413	 	 
	 	 	Email: laif.afseth@amegybank.com	 	 
	 
	 	 	 	 	 	 
	 	 	LENDERS:	 	 
	 
	 	 	 	 	 	 
	Commitment -

      Real Estate Term Loan: $928,500.00	 	AMEGY BANK NATIONAL ASSOCIATION	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Laif Afseth 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Laif Afseth	 	 
	 

	 	 	 	Senior Vice President	 	 
	 
	 	 	 	 	 	 
	 	 	Address for Notices: 	 	 
	 	 	Five Post Oak Park 	 	 
	 	 	4400 Post Oak Parkway 	 	 
	 	 	Houston, Texas 77027 

Fax No.: 713-571-5413
	 	 
	 	 	Email: laif.afseth@amegybank.com	 	 

-81-

 

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	Commitment -
	 	GUARANTY BANK	 	 
	     Real Estate Term Loan: $773,750.00	 		 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Jason Fowler 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	Jason Fowler 	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:	 	Vice President 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	Address for Notices:	 	 
	 	 	333 Clay Street, Suite 4400	 	 
	 	 	Houston, Texas 77002 Fax No.:	 	 
	 	 	713-759-0765	 	 
	 	 	Email: scott.wiginton@guarantygroup.com	 	 
	 	 	 	jason.fowler@guarantygroup.com	 	 
	 
	 	 	 	 	 	 
	Commitment -

	 	WHITNEY NATIONAL BANK 	 
	
     Real Estate Term Loan: $464,250.00	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Larry C. Stephens 	 	 
	 

	 	 	 	 	 	 
	 

	 	 	 	Larry C. Stephens	 	 
	 

	 	 	 	Vice President	 	 
	 
	 	 	Address for Notices:	 	 
	 	 	River Oaks Branch	 	 
	 	 	4265 San Felipe, Suite 200	 	 
	 

	 	Fax No.:	 	 	 
	 

	 	 	 	 	 	 
	 	 	Email: lstephens@whitneybank.com	 	 
	 
	 	 	 	 	 	 
	Commitment -
	 	WACHOVIA BANK, N.A.	 	 
	     Real Estate Term Loan: $464,250.00	 		 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Kenneth C. Coulter 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	Kenneth C. Coulter 	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:	 	Vice President 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	Address for Notices:	 	 
	 	 	2800 Post Oak Blvd., Suite 3400	 	 
	 	 	Houston, Texas 77056	 	 
	 	 	Fax No.: 713-650-3328/713-652-0500	 	 
	 	 	Email: kenneth.coulter@wachovia.com	 	 

-82-

 

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	Commitment -

       Real Estate Term Loan: $464,250.00	 	WELLS FARGO BANK, NATIONAL ASSOCIATION	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Linda Masera 	 	 
	 

	 	 	 	 	 	 
	 

	 	Name:	 	Linda Masera 	 	 
	 

	 	 	 	 	 	 
	 

	 	Title:	 	Vice President 	 	 
	 

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	Address for Notices:	 	 
	 	 	1000 Louisiana, 3rd Floor	 	 
	 	 	Houston, Texas 77002	 	 
	 	 	Fax No.: 713-739-1082	 	 
	 	 	Email: maseralf@wellsfargo.com	 	 

-83-

 

LIST OF SCHEDULES

	 	 	 
	Schedule 10.11
	 	Agreements with Affiliates

-84-

 

ANNEX “I”

LIST OF COMMITMENT-REVOLVING ADVANCES

July 10, 2007

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Commitment-
	 	 	 	 	 	 	Revolving Advances
	 	 	Percentage Share	 	Amounts as of
	Name of Lender
	 	as of July 10, 2007	 	July 10, 2007
	1. Amegy Bank National
National Association

	 	 	30	%	 	$	2,550,000.00	 
	 
	2. Guaranty Bank

	 	 	25	%	 	$	2,125,000.00	 
	 
	3. Whitney National Bank

	 	 	15	%	 	$	1,275,000.00	 
	 
	4. Wachovia Bank, N.A.

	 	 	15	%	 	$	1,275,000.00	 
	 
	5. Wells Fargo Bank,
National Association

	 	 	15	%	 	$	1,275,000.00	 
	 
	Total

	 	 	100	%	 	$	8,500,000.00	 

-85-

 

ANNEX “II”

LIST OF COMMITMENT-ACQUISITION ADVANCES

July 10, 2007

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Commitment-
	 	 	 	 	 	 	Acquisition Advances
	 	 	Percentage Share	 	Amounts as of
	Name of Lender
	 	as of July 10, 2007	 	July 10, 2007
	1. Amegy Bank National
National Association

	 	 	20	%	 	$	5,000,000.00	 
	 
	2. Guaranty Bank

	 	 	20	%	 	$	5,000,000.00	 
	 
	3. Whitney National Bank

	 	 	20	%	 	$	5,000,000.00	 
	 
	4. Wachovia Bank, N.A.

	 	 	20	%	 	$	5,000,000.00	 
	 
	5. Wells Fargo Bank,
National Association

	 	 	20	%	 	$	5,000,000.00	 
	 
	Total

	 	 	100	%	 	$	25,000,000.00	 

-86-

 

LIST OF EXHIBITS

	 	 	 
	Exhibit	 	Document
	 
	 	 
	A

	 	Form of Revolving Credit Note
	 
	 	 
	B

	 	Copies of Real Estate Term Notes
	 
	 	 
	C

	 	Form of Acquisition Term Note
	 
	 	 
	D

	 	Form of Security Agreement-Subsidiary-General
	 
	 	 
	E

	 	Pledge Agreement-Borrower-Ownership Interests
	 
	 	 
	F

	 	Pledge Agreement-Borrower-Stock
	 
	 	 
	G

	 	Form of Pledge Agreement-Subsidiary-
Ownership Interests
	 
	 	 
	H

	 	Form of Pledge Agreement-Subsidiary-Stock
	 
	 	 
	I

	 	Copy of Deed of Trust-Market Street-First Lien
	 
	 	 
	J

	 	Deed of Trust-Market Street-Second Lien
	 
	 	 
	K

	 	Copy of Deed of Trust-Port Lavaca-First Lien
	 
	 	 
	L

	 	Deed of Trust-Port Lavaca-Second Lien
	 
	 	 
	M

	 	Mortgage-Florida
	 
	 	 
	N

	 	Form of Guaranty Agreement
	 
	 	 
	O

	 	Revolving Advance Request Form
	 
	 	 
	P

	 	Acquisition Advance Request Form
	 
	 	 
	Q

	 	Borrowing Base Certificate
	 
	 	 
	R

	 	No Default Certificate
	 
	 	 
	S

	 	Assignment and Acceptance
	 
	 	 
	T

	 	Form of Modification to Real Estate Term Note

-87-

 

	 	 	 
	Exhibit	 	Document
	U

	 	Modification to Deed of Trust-Market Street-First Lien
	 
	 	 
	V

	 	Modification to Deed of Trust-Port Lavaca-First Lien

-88-exv10w2

 

Exhibit 10.2

Execution Copy

ORION MARINE GROUP, INC.

17,500,000 SHARES OF COMMON STOCK

PURCHASE/PLACEMENT AGREEMENT

May 9, 2007

 

 

PURCHASE/PLACEMENT AGREEMENT

May 9, 2007

FRIEDMAN, BILLINGS, RAMSEY & CO., INC.

1001 19th Street North

Arlington, Virginia 22209

     Dear Sirs:

     ORION MARINE GROUP, INC., a Delaware corporation (the “Company”), proposes to issue
and sell to you, Friedman, Billings, Ramsey & Co., Inc. (“FBR”), as initial purchaser, a
number of shares of the Company’s common stock, par value $0.01 per share (the “Common
Stock”) equal to 17,500,000 shares less the number of Regulation D Shares sold in the Private
Placement (each as defined herein) (the “144A/Regulation S Shares”).

     FBR will also act as the Company’s sole placement agent in connection with the Company’s offer
and sale to certain “Accredited Investors” (as such term is defined in Regulation D
(“Regulation D”) under the Securities Act of 1933, as amended (the “Securities
Act”) of (a) that number of shares of Common Stock equal to the difference between 17,500,000
shares and the number of 144A/Regulation S Shares (the “Regulation D Shares” and, together
with the 144A/Regulation S Shares, the “Initial Shares”), and (b) the Placed Option Shares
(as defined herein), as set forth in the Final Memorandum (as defined herein) under the headings
“Plan of Distribution” and “Private Placement.” The offer and sale of the shares described in the
first sentence of this paragraph (the “Private Placement Shares”) is referred to herein as
the “Private Placement.”

     In addition, the Company proposes to grant to you the option described in Section 1(c) hereof
to purchase or place all or any part of 3,449,196 additional shares of Common Stock (the
“Option Shares” and, together with the Initial Shares, the “Shares”) solely to
cover additional allotments, if any.

     The offer and sale of the Shares to you and to the Accredited Investors, respectively, will be
made without registration under the Securities Act and the rules and regulations thereunder (the
“Securities Act Regulations”), in reliance upon the exemption from the registration
requirements of the Securities Act provided by Section 4(2) thereof. You have advised the Company
that you will make offers and sales (“Exempt Resales”) of the 144A/Regulation S Shares
purchased by you hereunder and the Purchased Option Shares (as defined herein) (such shares
referred to collectively herein as “Resale Shares”) in accordance with Section 3 hereof on
the terms set forth in the Final Memorandum (as defined herein), as soon as you deem advisable
after this Agreement has been executed and delivered.

     In connection with the offer and sale of the Shares, the Company (i) has prepared a
preliminary offering memorandum, subject to completion, dated April 12, 2007, and amendments or
supplements thereto (the “Preliminary Memorandum”), and (ii) a final offering memorandum,
dated the date hereof and as it may be amended or supplemented from time to time (the “Final
Memorandum”). Each of the Preliminary Memorandum and the Final

 

 

Memorandum sets forth certain information concerning the Company and the Shares. The Company
hereby confirms that it has authorized the use of the Preliminary Memorandum and the Final
Memorandum in connection with (i) the offering and resale of the Resale Shares by FBR and by all
dealers to whom Resale Shares may be sold and (ii) the Private Placement. Any references to the
Preliminary Memorandum or the Final Memorandum shall be deemed to include all exhibits and annexes
thereto.

     It is understood and acknowledged that holders (including subsequent transferees) of the
Shares will have the registration rights set forth in the registration rights agreement between the
Company and FBR, which shall be in substantially the form attached hereto as Exhibit A and
dated as of the Closing Time (as defined herein) (the “Registration Rights Agreement”), for
so long as such securities constitute “Registrable Shares” (as defined in the Registration
Rights Agreement).

     Pursuant to, and subject to the terms of, the Registration Rights Agreement, the Company will
agree to file with the Securities and Exchange Commission (the “Commission”), under the
circumstances set forth therein, (i) a registration statement on Form S-1 under the Securities Act
for the initial public offering of Common Stock that includes the resale by holders of the
Registrable Shares and/or (ii) a shelf registration statement on Form S-1 or such other appropriate
form pursuant to Rule 415 under the Securities Act relating to the resale by holders of the
Registrable Shares, and to use its commercially reasonable efforts to cause any such registration
statement to be declared effective on the terms set forth in the Registration Rights Agreement.

     The Company and FBR agree as follows:

     1. Sale and Purchase.

     (a) 144A/Regulation S Shares. Upon the basis of the warranties and representations and
other terms and conditions herein set forth, the Company agrees to issue and sell to FBR and
FBR agrees to purchase from the Company the 144A/Regulation S Shares at a purchase price of
$12.555 per share (the “144A/Regulation S Purchase Price”), reflecting an initial
purchaser’s discount of $0.945 per share.

     (b) Regulation D Shares. The Company agrees to issue and sell the Regulation D Shares
and, to the extent that FBR exercises the option described in Section 1(c), the Placed
Option Shares, for which the Accredited Investors have subscribed pursuant to the terms and
conditions set forth in the subscription agreements substantially in the forms attached to
the Preliminary Memorandum as Annex III and Annex IV, as applicable (each a
“Subscription Agreement”). The Private Placement Shares will be sold by the Company
pursuant to this Agreement at a price of $13.50 per share (the “Regulation D Purchase
Price”). As compensation for the services to be provided by FBR in connection with the
Private Placement, the Company shall pay to FBR at each of the Closing Time and any
Secondary Closing Time (as defined herein), to the extent applicable, an amount equal to
$0.945 per Private Placement Share sold at such time (the “Placement Fee”).

-2-

 

     (c) Option Shares. Upon the basis of the representations and warranties and subject to
the other terms and conditions herein set forth, the Company hereby grants an option to FBR
to (i) purchase from the Company, as initial purchaser, up to an aggregate of 3,449,196,
Option Shares at the 144A/Regulation S Purchase Price per share (the “Purchased Option
Shares”); and (ii) place, as exclusive placement agent for the Company, up to that
number of Option Shares remaining, after subtracting any Purchased Option Shares with
respect to which FBR has exercised its option pursuant to clause (i), at the Regulation D
Purchase Price per share (the “Placed Option Shares”). The option granted hereby
will expire 30 days after the date hereof and may be exercised in whole or in part from time
to time in one or more installments, including at the Closing Time, only for the purpose of
covering additional allotments of Shares initially sold at the offering price set forth in
the Final Memorandum which may be made in connection with the offering and distribution of
the Initial Shares upon written notice by FBR to the Company setting forth (i) the number of
Option Shares as to which FBR is then exercising the option, (ii) the names and
denominations to which the Option Shares are to be delivered in book-entry form through the
facilities of The Depository Trust Company (“DTC”), (iii) the number of Option
Shares that will be Purchased Option Shares and the number of Option Shares that will be
Placed Option Shares, and (iv) the time and date of payment for and delivery of such Option
Shares in book-entry form. Any such time and date of delivery shall be determined by FBR,
but shall not be later than five full business days nor earlier than one full business day
after the exercise of said option, nor in any event prior to the Closing Time, unless
otherwise agreed in writing by FBR and the Company.

     2. Payment and Delivery.

     (a) 144A/Regulation S Shares. The closing of FBR’s purchase of the 144A/Regulation S
Shares shall be held at the office of Nelson Mullins Riley & Scarborough LLP, 101
Constitution Avenue, N.W., Suite 900, Washington, DC 20001 (unless another place shall be
agreed upon by FBR and the Company). At the closing, subject to the satisfaction or waiver
of the closing conditions set forth herein, FBR shall pay to the Company the aggregate
purchase price for the 144A/Regulation S Shares by wire transfer of immediately available
funds to an account previously designated by the Company in writing against delivery by the
Company of the 144A/Regulation S Shares to FBR for FBR’s account through the facilities of
DTC in such denominations and registered in such names as FBR shall specify. Such payment
and delivery shall be made at 10:00 a.m., New York City time, on the sixth business day
after the date hereof (unless another time, not later than ten business days after such
date, shall be agreed to by FBR and the Company). The time at which such payment and
delivery are actually made is hereinafter called the “Closing Time”.

     (b) Regulation D Shares. At the Closing Time, subject to the satisfaction of the
closing conditions set forth herein, FBR shall pay to the Company the aggregate applicable
purchase price received by FBR prior to the Closing Time (net of any Placement Fee, if the
Placement Fee is withheld as provided in the immediately following paragraph) for the
Regulation D Shares (other than any Extended Regulation D Shares, as defined below) against
the Company’s delivery of the Regulation D Shares to FBR, as placement agent in

-3-

 

respect of such shares, in book-entry form through the facilities of DTC for each such
Accredited Investor’s account. At FBR’s option, it may delay the placement of up to 3% of
Regulation D Shares (the “Extended Regulation D Shares”) for an additional five
business days after the Closing Time (the “Extended Regulation D Closing Date”) at
which time FBR shall cause Bank of New York, as escrow agent, to the extent it has available
funds transferred to it by Accredited Investors, to pay the Company the aggregate applicable
purchase price for the Extended Regulation D Shares placed by FBR (net of any Placement Fee,
if the Placement Fee is withheld as provided herein) against the Company’s delivery of the
Extended Regulation D Shares to the purchasers thereof, in book-entry form through the
facilities of DTC. Extended Regulation D Shares may only be placed with Accredited
Investors who have committed to purchase Regulation D Shares before the Closing Time. The
time at which payment and delivery on an Extended Regulation D Closing Date is actually made
is hereinafter sometimes called the “Extended Closing Time.”

          At each of the Closing Time or any Extended Closing Time, unless FBR has withheld such
amount from the applicable purchase price paid by FBR to the Company with respect to the
Regulation D Shares placed by FBR on such date, the Company shall pay to FBR, by wire
transfer of immediately available funds to an account or accounts designated by FBR, any
Placement Fee amount payable with respect to the Regulation D Shares for which the Company
shall have received the purchase price.

     (c) Option Shares. The closing of FBR’s purchase or placement of the Option Shares
shall occur from time to time at the office of Nelson Mullins Riley & Scarborough LLP, 101
Constitution Avenue, N.W., Suite 900, Washington, DC 20001 (unless another place shall be
agreed upon by FBR and the Company). On the applicable Secondary Closing Time (as defined
herein), subject to the satisfaction or waiver of the closing conditions set forth herein,
FBR shall pay to the Company the aggregate applicable purchase price for the Option Shares
then purchased or placed by FBR (net of any Placement Fee with respect to any Placed Option
Shares) by wire transfer of immediately available funds against the Company’s delivery of
the Option Shares. Such payment and delivery shall be made at 10:00 a.m., New York City
time, on each Secondary Closing Time. The Option Shares shall be delivered in book-entry
form through the facilities of DTC, in such names and in such denominations as FBR shall
specify. The time at which payment by FBR for and delivery by the Company of any Option
Shares are actually made is referred to herein as a “Secondary Closing Time.”

     3. Offering of the Shares; Restrictions on Transfer.

     (a) FBR represents and warrants to and agrees with the Company that (i) it has not
solicited and will not solicit any offer to buy, and has not and will not make any offer to
sell, the Shares by means of any form of general solicitation or general advertising (within
the meaning of Regulation D), and, with respect to Resale Shares sold in reliance on
Regulation S under the Securities Act (“Regulation S”), by means of any directed
selling efforts (within the meaning of Regulation S) in the United States; (ii) it has
solicited and will solicit offers to buy the Resale Shares only from, and has offered

-4-

 

and will offer, sell and deliver the Resale Shares only to, (A) persons who it
reasonably believes to be “qualified institutional buyers” (as defined in Rule 144A under
the Securities Act) (“QIBs”) or, if any such person is buying for one or more
institutional accounts for which such person is acting as fiduciary or agent, only when such
person has represented to it that each such account is a QIB to whom notice has been given
that such sale or delivery is being made in reliance on Rule 144A, and, in each case, in
transactions under Rule 144A and who provide to it a fully completed and executed
purchaser’s letter substantially in the form of Annex I to the Preliminary Memorandum or
Final Memorandum, and (B) persons (each a “Regulation S Purchaser”) to whom, and
under which circumstances, it reasonably believes offers and sales of Resale Shares may be
made without registration under the Securities Act in reliance on Regulation S thereunder,
and who provide to it a fully completed and executed purchaser’s letter substantially in the
form of Annex II to the Preliminary Memorandum or Final Memorandum (such persons specified
in clauses (A) and (B) being referred to herein as the “Eligible Purchasers”); and
(iii) as placement agent, it has solicited and will solicit offers to buy the Regulation D
Shares or the Placed Option Shares only from persons it reasonably believes are Accredited
Investors and it will deliver the Private Placement Shares only to Accredited Investors who,
in the case of those purchasing such Regulation D Shares or the Placed Option Shares only,
have provided to FBR and the Company a fully completed and executed Subscription Agreement
in the form of Annex III or Annex IV, as applicable, to the Preliminary Memorandum or Final
Memorandum.

     (b) The Company represents and warrants to and agrees with FBR that it (together with
its affiliates) has not solicited and will not solicit any offer to buy, and it (together
with its affiliates) has not offered and will not offer to sell, the Shares by means of any
form of general solicitation or general advertising (within the meaning of Regulation D),
and it has solicited and will solicit offers to buy the Private Placement Shares only from,
and has offered and will offer, sell or deliver the Shares only to, Accredited Investors
(except for any solicitations made at meetings attended by both the Company and FBR, as to
which the Company makes no representation and is relying on the representation made by FBR
in Section 3(a)(iii) above). The Company also represents and warrants and agrees that it
will sell the Private Placement Shares only to persons that have provided to the Company a
fully completed and executed Subscription Agreement in the form of Annex III or Annex IV, as
applicable, to the Preliminary Memorandum or Final Memorandum.

     (c) The Company represents and warrants to and agrees with FBR that, assuming the
accuracy of FBR’s representations and warranties and FBR’s compliance with its obligations
set forth in this Section 3, (i) none of the Company or any of its affiliates or any person
acting on behalf of it or its affiliates has engaged in, nor will any of them engage in, any
directed selling efforts (as that term is defined in Regulation S) with respect to the
Shares; and (ii) the Company or any of its affiliates, and any person acting on behalf of it
or its affiliates (in each case, other than FBR as to which no representation is made) have
complied, and will comply, with the offering restrictions requirement of Regulation S.

-5-

 

     (d) FBR represents and warrants that it has not offered or sold, nor will it offer or
sell, any Resale Shares in a jurisdiction outside of the United States except in material
compliance with all applicable laws, regulations and rules of those countries.

     (e) Each of FBR and the Company represents and warrants to the other that no action is
being taken by it or is contemplated that would permit an offering or sale of the Shares or
possession or distribution of the Preliminary Memorandum or the Final Memorandum or any
other offering material relating to the Shares in any jurisdiction where, or in any other
circumstances in which, action for those purposes is required (other than in jurisdictions
where such action has been duly taken by counsel for FBR).

     (f) FBR and the Company agree that FBR may arrange (i) for the private offer and sale
of a portion of the Resale Shares to a limited number of Eligible Purchasers (which may
include affiliates of FBR), and (ii) for the private offer and sale of the Private Placement
Shares by the Company to Accredited Investors (which may include affiliates of FBR), in each
case under restrictions and other circumstances designed to preclude a distribution of the
Shares that would require registration of the Shares under the Securities Act.

     (g) FBR and the Company agree that the Shares may be resold or otherwise transferred by
the holders thereof only if the offer and sale of such Shares are registered under the
Securities Act or if an exemption from registration is available. FBR hereby establishes
and agrees that it has observed and will observe the following procedures in connection with
offers, sales and subsequent resales or other transfers of any Shares purchased or placed by
FBR:

     (i) Sales only to Eligible Purchasers. Initial offers and sales of the
Resale Shares will be made only in Exempt Resales by FBR to investors that FBR
reasonably believes to be Eligible Purchasers and who have delivered to the Company
and FBR a fully completed and executed purchaser’s letter substantially in the form
of Annex I or II, as applicable, to the Preliminary Memorandum or Final Memorandum.

     (ii) No general solicitation. The Shares will be offered only by
approaching prospective purchasers on an individual basis with whom FBR and/or the
Company has an existing relationship. No general solicitation or general
advertising within the meaning of Regulation D will be used in connection with the
offering of the Shares.

     (iii) Restrictions on transfer. Each of the Preliminary Memorandum and
the Final Memorandum shall state that the offer and sale of the Shares have not been
and will not be registered (other than pursuant to the Registration Rights
Agreement) under the Securities Act, and that no resale or other transfer of any
Shares or any interest therein prior to the date that is two years (or such shorter
period as is prescribed by Rule 144(k) under the Securities Act as then in effect)
after the later of the original issuance of such Shares and the last date on which
the Company or any “affiliate” (as defined in Rule 144 under the Securities Act)

-6-

 

of the Company was the owner of such Shares may be made by a purchaser of such
Shares except as follows:

     (A) to the Company with its written consent,

     (B) pursuant to a registration statement that has been declared
effective under the Securities Act,

     (C) to a person who such purchaser reasonably believes is a QIB that
purchases such common stock for its own account or for the account of a QIB
to whom notice is given that the offer, sale, pledge or other transfer is
being made in reliance upon Rule 144A,

     (D) pursuant to offers and sales to non-U.S. persons that occur outside
the United States within the meaning of Regulation S, with the consent of
the Company, or

     (E) pursuant to any other available exemption from the registration
requirements of the Securities Act,

in each case in accordance with any applicable federal securities laws and the
securities laws of any state of the United States or other jurisdiction.

     (h) FBR and the Company agree that each initial resale of Resale Shares by FBR (and
each purchase of Resale Shares from the Company by FBR) in accordance with this Section 3
shall be deemed to have been made on the basis of and in reliance on the representations,
warranties, covenants and agreements (including, without limitation, agreements with respect
to indemnification and contribution) of the Company herein contained.

     (i) Upon original issuance thereof, and until such time as the same is no longer
required under the applicable requirements of the Securities Act, the global certificates
representing the Shares (and all securities issued in exchange therefore or in substitution
thereof) shall bear the following legend (in addition to any other legends that may be
required by DTC or deemed necessary by the Company to ensure compliance with the Securities
Act):

     THIS SECURITY WAS ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION
UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
AND THIS SECURITY MAY NOT BE SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF SUCH
REGISTRATION OR AN APPLICABLE EXEMPTION THEREFROM.

     THE HOLDER OF THIS SECURITY AGREES FOR THE BENEFIT OF ORION MARINE GROUP, INC.
(THE “COMPANY”), AND ITS AGENTS THAT, ABSENT AN EFFECTIVE REGISTRATION STATEMENT
UNDER THE SECURITIES ACT: (A) THIS SECURITY MAY BE OFFERED,

-7-

 

RESOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY (I) TO THE COMPANY OR A
SUBSIDIARY THEREOF, (II) TO A “QUALIFIED INSTITUTIONAL BUYER” PURSUANT TO RULE 144A,
(III) TO A PERSON WHO IS NOT A UNITED STATES PERSON IN AN “OFFSHORE” TRANSACTION
PURSUANT TO REGULATION S OR (IV) PURSUANT TO ANOTHER EXEMPTION FROM REGISTRATION AS
PERMITTED UNDER THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS, AS
CONFIRMED TO THE COMPANY BY AN OPINION OF COUNSEL IF REQUESTED, SUBJECT IN EACH OF
THE FOREGOING CASES TO COMPLIANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY
JURISDICTION. THE HOLDER OF THIS SECURITY ACKNOWLEDGES THAT THE COMPANY SHALL
REFUSE TO REGISTER ANY SALE OR TRANSFER OF THE SECURITY NOT MADE IN ACCORDANCE WITH
THE FOREGOING PROVISIONS.

     4. Representations and Warranties of the Company.

     The Company hereby represents and warrants to FBR that:

     (a) the Preliminary Memorandum did not, as of its date, contain an untrue statement of
a material fact or omit to state a material fact necessary in order to make the statements
therein, in the light of the circumstances under which they were made, not misleading; the
Preliminary Memorandum on April 12, 2007, and as amended and supplemented (the
“Applicable Time”), together with the pricing terms as set forth in Section 1(a) and
(b) of this Agreement, and the information set forth on Schedule A (collectively, the
“Disclosure Package”) did not, as of the Applicable Time, contain an untrue
statement of a material fact or omit to state a material fact necessary in order to make the
statements therein, in light of the circumstances under which they were made, not
misleading; and the Final Memorandum will not, as of its date, at the Closing Time and each
Extended Closing Time (if any) and each Secondary Closing Time (if any), contain an untrue
statement of a material fact or omit to state a material fact necessary in order to make the
statements therein, in the light of the circumstances under which they were made, not
misleading; provided, however, that this representation and warranty shall not apply to any
statement in or omission from the Disclosure Package or Final Memorandum made in reliance
upon and in conformity with information furnished to the Company in writing by FBR expressly
for use therein (that information being limited to that described in the last sentence of
Section 8(b) hereof);

     (b) the Preliminary Memorandum included, as of its date, and the Final Memorandum will
include, as of its date, and will include at the Closing Time, Extended Closing Time (if
any) and at each Secondary Closing Time (if any), the information required by Rule 144A,
Regulation S and Regulation D;

     (c) the Company is a corporation duly organized and validly existing and in good
standing under the laws of the State of Delaware, with requisite corporate power and
authority to own, lease or operate its properties and to conduct its business as described
in the

-8-

 

Disclosure Package and the Final Memorandum and to execute and deliver this Agreement
and the Registration Rights Agreement, and to consummate the transactions contemplated
hereby (including the issuance, sale and delivery of the Shares) and thereby;

     (d) each corporation, association, partnership or other business entity of which more
than 50% of the total voting power entitled to vote in the election of directors, managers,
general partners, or trustees thereof is controlled, directly or indirectly, by the Company
(each, a “Subsidiary”) is a legal entity duly organized and validly existing and in good
standing under the laws of its respective jurisdiction of organization, with requisite power
and authority to own, lease or operate its properties and to conduct its business as
described in the Disclosure Package and the Final Memorandum;

     (e) the Disclosure Package and the Final Memorandum under the caption “Capitalization,”
at the date indicated and at the Closing Time, Extended Closing Time (if any) and the
Secondary Closing Time (if any), accurately describe the duly authorized capital stock of
the Company after giving effect to the adjustments set forth thereunder; all of the issued
and outstanding shares of capital stock of the Company and each Subsidiary have been duly
and validly authorized and issued and are fully paid and non-assessable, and have been
issued and sold in compliance with all applicable federal, state, foreign and local
securities laws and the laws of the jurisdiction of incorporation of the Company or such
Subsidiary, as applicable, and have not been issued in violation of or subject to any
preemptive right or other similar right of stockholders arising by operation of law, under
the certificate of incorporation or bylaws, or other governing document of the Company or
such Subsidiary, as applicable, under any agreement to which the Company or such Subsidiary,
as applicable, is a party or otherwise; all of the capital stock, partnership interests or
membership interests of any of the Company’s Subsidiaries are owned directly or indirectly
by the Company, free and clear of all liens, encumbrances, equities or claims; except as
disclosed in the Disclosure Package and the Final Memorandum, there are no outstanding (i)
securities or obligations of the Company convertible into or exchangeable for any capital
stock of the Company or capital stock, partnership interests or membership interests of any
of its Subsidiaries, (ii) warrants, rights or options to subscribe for or purchase from the
Company or any such Subsidiary any such capital stock, partnership interest, or membership
interest or any such convertible or exchangeable securities or obligations or (iii)
obligations of the Company or any such Subsidiary to issue or sell any shares of capital
stock, partnership interest, or membership interest, any such convertible or exchangeable
securities or obligation, or any such warrants, rights or options;

     (f) the Shares have been duly authorized for issuance, sale and delivery pursuant to
this Agreement and, when issued and delivered by the Company against payment therefore in
accordance with the terms of this Agreement, will be duly and validly issued and fully paid
and nonassessable, free and clear of any pledge, lien, encumbrance, security interest or
other claim, and the issuance, sale and delivery of the Shares by the Company are not
subject to any preemptive right, co-sale right, registration right, right of first refusal
or other similar right of stockholders arising by operation of law, under the certificate of
incorporation or bylaws of the Company, under any agreement to which the Company is a party
or otherwise, other than as provided for in the

-9-

 

Registration Rights Agreement; the Shares satisfy the requirements set forth in Rule
144A under the Securities Act;

     (g) each of the Company and the Subsidiaries is duly qualified or licensed by, and is
in good standing in, each jurisdiction in which it conducts its business, or in which it
owns or leases property or maintains an office and in which such qualification or licensing
is necessary and in which the failure, individually or in the aggregate, to be so qualified
or licensed could reasonably be expected to have a material adverse effect on the business,
condition (financial or otherwise), results of operations or prospects of the Company and
the Subsidiaries taken as a whole (a “Material Adverse Effect”);

     (h) each of the Company and the Subsidiaries has legal, valid and defensible title to
all assets and properties reflected as owned by them in the Disclosure Package and the Final
Memorandum (whether through fee ownership, mineral estates or similar rights of ownership),
with title investigations having been carried out by or on behalf of such person in
accordance with reasonable practice in the industries and in the areas in which the Company
and the Subsidiaries operate, and good and marketable title to substantially all other real
and personal property reflected as assets owned by them in the Disclosure Package and the
Final Memorandum, in each case free and clear of all liens, security interests, pledges,
charges, encumbrances, mortgages and defects, except such as are disclosed in both the
Disclosure Package and the Final Memorandum or as could not reasonably be expected to have a
Material Adverse Effect; and any real property or personal property held under lease by the
Company or any Subsidiary is held under a lease that is valid, existing and enforceable by
the Company or such Subsidiary, with such exceptions as are disclosed in the Disclosure
Package and the Final Memorandum or as could not reasonably be expected to have a Material
Adverse Effect, and neither the Company nor any Subsidiary has received any notice of any
material claim of any sort that has been asserted by anyone adverse to the rights of the
Company or such Subsidiary under any such lease;

     (i) each of the Company and the Subsidiaries owns or possesses such licenses or other
rights to use all patents, trademarks, service marks, trade names, copyrights, software and
design licenses, trade secrets, manufacturing processes, other intangible property rights
and know-how (collectively “Intellectual Property”), as are necessary to entitle the
Company to conduct the Company’s or such Subsidiary’s business described in the Disclosure
Package and the Final Memorandum, and neither the Company nor any such Subsidiary has
received written notice of any infringement of or conflict with (and the Company does not
know of any such infringement of or conflict with) asserted rights of others with respect to
any Intellectual Property which would reasonably be expected to have a Material Adverse
Effect;

     (j) neither the Company nor any Subsidiary has violated, or received notice of any
violation with respect to, any law, rule, regulation, order, decree or judgment applicable
to it or its business, including those relating to transactions with affiliates,
environmental, safety or similar laws, federal or state laws relating to discrimination in
the hiring, promotion or pay of employees, federal or state wages and hours law or the rules
and regulations promulgated thereunder, except for those violations that would not

-10-

 

reasonably be expected, individually or in the aggregate, to have a Material Adverse
Effect;

     (k) none of the Company, any Subsidiary or, to the Company’s knowledge, any officer,
director, agent or employee purporting to act on behalf of the Company or any Subsidiary,
has at any time, directly or indirectly, (i) made any contributions to any candidate for
political office, or failed to disclose fully any such contributions, in violation of law,
(ii) made any payment to any state, federal or foreign governmental officer or official, or
other person charged with similar public or quasi-public duties, other than payments
required or allowed by applicable law (including the Foreign Corrupt Practices Act of 1977,
as amended (the “FCPA”)), (iii) engaged in any transactions or maintained any bank account
on behalf of the Company or a Subsidiary or used any corporate funds except for
transactions, bank accounts and funds which have been and are reflected in the normally
maintained books and records of the Company and each Subsidiary, (iv) violated any provision
of the FCPA, or (v) made any other unlawful payment;

     (l) except as otherwise disclosed in both the Disclosure Package and the Final
Memorandum, there are no outstanding loans or advances or guarantees of indebtedness by the
Company or any Subsidiary to or for the benefit of any of the executive officers, directors,
affiliates or representatives of the Company or any Subsidiary or any of the members of the
families of any of them;

     (m) except with respect to FBR, the Company has not incurred any liability for any
finder’s fees or similar payments in connection with the transactions contemplated hereby;

     (n) neither the Company nor any Subsidiary is in breach of, or in default under (nor
has any event occurred which with notice, lapse of time, or both would constitute a breach
of, or default under) its certificate of incorporation, bylaws, or other organizational
documents (collectively, the “Charter Documents”) or in the performance or
observance of any obligation, agreement, covenant or condition contained in any contract,
license, indenture, mortgage, deed of trust, bank loan or credit agreement or other
agreement or instrument to which the Company or any Subsidiary is a party or by which any of
them or their respective properties may be bound or affected, except where such breaches and
defaults not relating to the charter documents which could not reasonably be expected to
have a Material Adverse Effect;

     (o) the execution, delivery and performance by the Company of this Agreement, and the
Registration Rights Agreement, and the issuance, sale and delivery of the Shares by the
Company, the Company’s use of the proceeds from the sale of the Shares as described in the
Disclosure Package and Final Memorandum and the consummation by the Company of the
transactions contemplated hereby and thereby, and compliance by the Company with the terms
and provisions hereunder and thereunder will not conflict with, or result in any breach of
or constitute a default under (nor constitute any event which with notice, lapse of time, or
both would constitute a breach of, or default under), (i) any provision of the Charter
Documents of the Company or any

-11-

 

Subsidiary, (ii) any provision of any contract, license, indenture, mortgage, deed of
trust, bank loan or credit agreement or other agreement or instrument to which the Company
or any Subsidiary is a party or by which it or its respective properties may be bound or
affected, or (iii) any constitution, act, statute, law, treaty, rule, code, ordinance,
regulation, standard, directive or official interpretation of, or judgment, injunction,
order, decision, decree, license, permit, consent or authorization (each a “Legal
Requirement”) issued by, the U.S. government or any state, local or foreign government,
court, administrative agency or commission or other governmental agency, authority or
instrumentality, domestic or foreign, of competent jurisdiction (each a “Governmental
Authority”) applicable to the Company or any Subsidiary , except in the case of clauses (ii)
or (iii) for such conflicts, breaches or defaults which have been validly waived or would
not reasonably be expected to have a Material Adverse Effect; and except in the case of
clause (iii), compliance with Blue Sky laws (state and foreign) in respect of the issuance,
sale and delivery of the Shares;

     (p) this Agreement has been duly authorized, executed and delivered by the Company and
constitutes a legal, valid and binding agreement of the Company, is enforceable in
accordance with its terms, and the Registration Rights Agreement has been duly authorized by
the Company and at the Closing Time will have been duly executed and delivered by the
Company and will constitute a legal, valid and binding agreement of the Company enforceable
in accordance with its terms, except in each case as may be limited by bankruptcy,
insolvency, reorganization, moratorium or similar laws affecting creditors’ rights
generally, and by general principles of equity, and except to the extent that the
indemnification provisions hereof or thereof may be limited by federal or state securities
laws and public policy considerations in respect thereof;

     (q) the Shares, this Agreement, and the Registration Rights Agreement conform in all
material respects to the descriptions thereof contained in both the Disclosure Package and
the Final Memorandum;

     (r) assuming the accuracy of FBR’s representations and warranties set forth in Section
3 of this Agreement and that the purchasers who buy the Resale Shares in Exempt Resales are
Eligible Purchasers, no approval, authorization, consent or order of or filing with any
Governmental Authority is required in connection with the execution, delivery and
performance by the Company of this Agreement or the Registration Rights Agreement, or the
consummation by the Company of the transactions contemplated hereby and thereby, or the
issuance, sale and delivery of the Shares as contemplated hereby, other than (i) such as
have been obtained or made, or will have been obtained or made at the Closing Time,
including any necessary Hart-Scott-Rodino Act filings, (ii) any necessary qualification
under the securities or blue sky laws of the various jurisdictions in which the Shares are
being offered or placed by FBR, (iii) with or by federal or state securities regulatory
authorities in connection with or pursuant to the Registration Rights Agreement, including
without limitation the filing of the registration statement(s) required thereby with the
Commission, and (iv) the filing of a Form D with the Commission and with the applicable
state regulatory authorities;

-12-

 

     (s) each of the Company and the Subsidiaries has all necessary licenses, permits,
certificates, authorizations, consents and approvals and has made all necessary filings
required under any Requirement of Law (collectively, “Authorizations”), and has
obtained all necessary Authorizations from other persons required in order to conduct its
respective business as described in both the Disclosure Package and the Final Memorandum,
except to the extent that any failure to have any such Authorizations, to make any such
filings or to obtain any such Authorizations could not, individually or in the aggregate,
reasonably be expected to have a Material Adverse Effect; the Company and the Subsidiaries
have complied in all material respects with the terms of the necessary Authorizations and
there are not pending modifications, amendments or revocations of the Authorizations that
would have a Material Adverse Effect; the Company and each Subsidiary have paid all fees due
to Governmental Authorities pursuant to the Authorizations, except to the extent that any
failure to pay any such fees would not reasonably be expected, individually or in the
aggregate, to have a Material Adverse Effect; all reports required to be filed in connection
with the Authorizations have been timely filed and are accurate and complete, except to the
extent that any failure to file a complete and accurate report in a timely manner would not
reasonably be expected, individually, or in the aggregate, to have a Material Adverse
Effect; true and correct copies of the Authorizations and all amendments thereto to the date
hereof have been made available to FBR; none of the Company or any of its Subsidiaries is in
violation of, or in default under, any such Authorizations or any federal, state, local or
foreign law, regulation or rule or any decree, order or judgment applicable to the Company,
the effect of which could reasonably be expected to have a Material Adverse Effect;

     (t) there is no outstanding judgment, order, writ, injunction, decree or award of any
Governmental Authority or arbitrator affecting the businesses of the Company or any
Subsidiary which questions the validity of any action taken or to be taken pursuant to this
Agreement or in which it is sought to restrain or prohibit or to obtain damages or other
relief in connection with this Agreement;

     (u) both the Disclosure Package and the Final Memorandum contain accurate summaries of
all material contracts, agreements, instruments and other documents of the Company and the
Subsidiaries that would be required to be described in a prospectus included in a
registration statement on Form S-1 under the Securities Act; the copies of all contracts,
agreements, instruments and other documents (including Authorizations and all amendments or
waivers relating to any of the foregoing) that have been previously furnished to FBR or its
counsel are complete and genuine and include all material collateral and supplemental
agreements thereto;

     (v) other than as set forth in both the Disclosure Package and the Final Memorandum and
except as to matters that have been previously disclosed to FBR that would not reasonably be
expected to result in a Material Adverse Effect, there are no actions, suits, arbitrations,
claims, proceedings, inquiries or investigations pending or, to the Company’s knowledge,
threatened against the Company or any Subsidiary, or any of their respective properties, or
to the Company’s knowledge, directors, officers or affiliates at law or in equity, or before
or by any Governmental Authority; other than FBR, the Company has not authorized anyone to
make any representations regarding the

-13-

 

offer and sale of the Shares, or regarding the Company and its Subsidiaries in
connection therewith; the Company has not received notice of any order or decree preventing
the use of the Disclosure Package or the Final Memorandum or any amendment or supplement
thereto, and no order asserting that the transactions contemplated by this Agreement are
subject to the registration requirements of the Securities Act, has been issued and, to the
Company’s knowledge, no proceeding for that purpose has commenced or is pending or is
contemplated;

     (w) no securities of the Company of the same class (within the meaning of Rule 144A
under the Securities Act) as the Shares are listed on a national securities exchange
registered under Section 6 of the Securities Exchange Act of 1934, as amended (the
“Exchange Act”), or quoted in a U.S. automated inter-dealer quotation system;

     (x) subsequent to the Applicable Time, and except as may be otherwise stated in both
the Disclosure Package and the Final Memorandum, there has not been (i) any event,
circumstance or change that has, or could reasonably be expected to have, a Material Adverse
Effect, (ii) any transaction, other than in the ordinary course of business, which is
material to the Company and the Subsidiaries taken as a whole, contemplated or entered into
by the Company or any Subsidiary, (iii) any obligation, contingent or otherwise, directly or
indirectly incurred by the Company or any Subsidiary, other than in the ordinary course of
business, which is material to the Company and the Subsidiaries taken as a whole, or (iv)
any dividend or distribution of any kind declared, paid or made by the Company on any class
of its capital stock, or any purchase by the Company of any of its outstanding capital
stock;

     (y) neither the Company nor any of the Subsidiaries is, nor upon the sale of the Shares
as contemplated herein and the application of the net proceeds therefrom as described in
both the Disclosure Package and the Final Memorandum under the caption “Use of Proceeds,”
will be, an “investment company” or an entity “controlled” by an “investment company” (as
such terms are defined in the Investment Company Act of 1940, as amended);

     (z) there are no persons with registration or other similar rights to have any
securities registered by the Company under the Securities Act other than pursuant to the
Registration Rights Agreement;

     (aa) other than as explicitly set forth herein, the Company has not relied upon FBR or
legal counsel for FBR for any legal, tax or accounting advice in connection with the
offering and sale of the Shares;

     (bb) each of the independent directors named in the Disclosure Package and the Final
Memorandum has not within the last five years been employed by or affiliated, directly or
indirectly, with the Company, whether by ownership of, ownership interest in, employment by,
any material business or professional relationship with, or serving as an officer or
director of, the Company or any of its affiliates;

-14-

 

     (cc) in connection with the offering of the Shares, neither the Company or any of its
Subsidiaries, nor any of its affiliates (as defined in Section 501(b) of Regulation D) has,
whether directly or through any agent or person acting on its behalf (other than FBR): (i)
offered Common Stock of the Company or any other securities convertible into or exchangeable
or exercisable for such Common Stock in a manner in violation of the Securities Act or the
rules and regulations thereunder, (ii) distributed any other offering material in connection
with the offer and sale of the Shares, other than as described in both the Disclosure
Package and the Final Memorandum, or (iii) sold, offered for sale, solicited offers to buy
or otherwise negotiated in respect of any security (as defined in the Securities Act) which
is or will be integrated with the offering and sale of the Shares in a manner that would
require the registration of the Shares under the Securities Act;

     (dd) none of the Company, any of its Subsidiaries nor any of their respective
affiliates (i) is required to register as a “broker” or “dealer” in accordance with the
provisions of the Exchange Act or the rules and regulations thereunder, or (ii) directly, or
indirectly through one or more intermediaries, controls or has any other association with
(within the meaning of Article 1 of the Bylaws of the National Association of Securities
Dealers, Inc. (the “NASD”)) any member firm of the NASD;

     (ee) none of the Company, any of its Subsidiaries or any of its directors, officers,
representatives or affiliates have taken, directly or indirectly, any action intended, or
which might reasonably be expected, to cause or result, under the Securities Act, the
Exchange Act or otherwise, or which has constituted, stabilization or manipulation of the
price of any security of the Company to facilitate the sale or resale of the Shares;

     (ff) each of the Company and the Subsidiaries carries, or is covered by, insurance
(issued by insurers of recognized financial responsibility to the best knowledge of the
Company) in such amounts and covering such risks as is appropriate for the conduct of their
respective businesses and the value of the assets to be held by them upon the consummation
of the transactions contemplated by both the Disclosure Package and the Final Memorandum and
as is customary for companies engaged in businesses similar to the business of the Company
or such Subsidiary, all of which insurance is in full force and effect;

     (gg) the financial statements, including the notes thereto, included in both the
Disclosure Package and the Final Memorandum fairly present the financial condition of the
Company and its consolidated Subsidiaries as of the respective dates thereof, and the
results of their operations for the periods then ended, correctly reflect and disclose all
extraordinary items required by U.S. generally accepted accounting principles to be so
reflected or disclosed, and have been prepared in conformity with U.S. generally accepted
accounting principles applied on a consistent basis;

     (hh) Grant Thornton LLP, who has certified certain consolidated financial statements
and supporting schedules included in the Disclosure Package and the Final Memorandum, whose
reports with respect to such consolidated financial statements and supporting schedules are
included in the Disclosure Package and the Final Memorandum

-15-

 

and who have delivered the comfort letters referred to in Section 6(b) hereof, are, and
were during the periods covered by their reports, independent certified public accountants
with respect to the Company within the meaning of Rule 101 of the American Institute of
Certified Public Accountants’ (“AICPA”) Code of Professional Conduct and its interpretations
and rulings.

     (ii) Melton and Melton, L.L.P., who has audited the consolidated financial statements
of Orion Marine Holdings, Inc. (the “Predecessor”) for the years ended and as of December
31, 2002 and 2003 and the consolidated financial statements of the Company for the quarter
ended and as of December 31, 2004 are, and were during the periods covered by their reports,
independent certified public accountants with respect to the Predecessor and the Company
within the meaning of Rule 101 of the AICPA’s Code of Professional Conduct and its
interpretations and rulings.

     (jj) any certificate signed by any officer of the Company delivered to FBR or to
counsel for FBR pursuant to or in connection with this Agreement shall be deemed a
representation and warranty by the Company to FBR as to the matters covered thereby;

     (kk) the forms of the certificates used to evidence the Common Stock comply in all
material respects with all applicable statutory requirements and with any applicable
requirements of the Charter Documents of the Company;

     (ll) except where such failure to file or pay an assessment or lien would not in the
aggregate reasonably be expected to have a Material Adverse Effect or where such matters are
the result of a pending bona fide dispute with taxing authorities, (i) each of the Company
and the Subsidiaries has accurately prepared and timely filed any and all federal, state,
foreign and other tax returns that are required to be filed by it, if any, and has paid or
made provision for the payment of all taxes, assessments, governmental or other similar
charges, including without limitation, all sales and use taxes and all taxes which the
Company or such Subsidiary is obligated to withhold from amounts owing to employees,
creditors and third parties, with respect to the periods covered by such tax returns
(whether or not such amounts are shown as due on any tax return), (ii) no deficiency
assessment with respect to a proposed adjustment of the Company’s or any Subsidiary’s
federal, state, local or foreign taxes is pending or, to the best of the Company’s
knowledge, threatened; (iii) since the date of the most recent audited consolidated
financial statements, neither the Company nor any Subsidiary has incurred any liability for
taxes other than in the ordinary course of its business; and (iv) there is no tax lien,
whether imposed by any federal, state, foreign or other taxing authority, outstanding
against the assets, properties or business of the Company or any Subsidiary;

     (mm) except as described in both the Disclosure Package and the Final Memorandum or as
would not in the aggregate reasonably be expected to have a Material Adverse Effect, (i)
neither the Company nor any Subsidiary is in violation of any Legal Requirement or rule of
common law or any judicial or administrative interpretation thereof, relating to pollution
or protection of human health, the environment (including, without limitation, ambient air,
surface water, groundwater, land surface or subsurface strata), natural resources or
wildlife, including, without limitation, laws and regulations

-16-

 

relating to the release or threatened release of chemicals, pollutants, contaminants,
wastes, toxic substances, hazardous substances, petroleum or petroleum products,
asbestos-containing materials or mold (collectively, “Hazardous Materials”) or to
the manufacture, processing, distribution, use, treatment, storage, disposal, transport or
handling of Hazardous Materials (collectively, “Environmental Laws”), (ii) each of
the Company and the Subsidiaries has all permits, authorizations and approvals required
under any applicable Environmental Laws to conduct their respective businesses and are each
in compliance with their requirements, (iii) there are no pending or, to the Company’s
knowledge, threatened administrative, regulatory or judicial actions, suits, demands, demand
letters, claims, liens, notices of noncompliance or violation, investigation or proceedings
relating to any Environmental Law against the Company or any Subsidiary, and (iv) to the
Company’s knowledge, there are no events or circumstances that would reasonably be expected
to form the basis of an order for investigation, clean-up or remediation, or an action, suit
or proceeding by any private party or Governmental Authority, against or affecting the
Company or any Subsidiary relating to Hazardous Materials or any Environmental Laws; and (v)
neither the Company nor any Subsidiary anticipates material capital expenditures relating to
Environmental Laws or changes in processes or operations relating to any Environmental Laws;

     (nn) the Company is not aware of (a) any significant deficiency or material weakness in
the design or operation of its internal controls over financial reporting which are
reasonably likely to adversely affect the Company’s ability to record, process, summarize
and report financial information to management and the Company’s board of directors, or (b)
any fraud, whether or not material, that involves management or other employees who have a
significant role in the Company’s internal control over financial reporting;

     (oo) the Company and each of the Subsidiaries maintain a system of internal accounting
controls sufficient to provide reasonable assurance that (i) transactions are executed in
accordance with management’s general or specific authorizations; (ii) transactions are
recorded as necessary to permit preparation of financial statements in conformity with
generally accepted accounting principles as applied in the United States and to maintain
asset accountability; (iii) access to assets is permitted only in accordance with
management’s general or specific authorization; and (iv) the recorded accountability for
assets is compared with the existing assets at reasonable intervals and appropriate action
is taken with respect to any differences;

     (pp) the Company and each of the Subsidiaries are in compliance with all presently
applicable provisions of the Employee Retirement Income Security Act of 1974, as amended,
including the regulations and published interpretations thereunder (“ERISA”); no
“reportable event” (as defined in ERISA) has occurred with respect to any “pension plan” (as
defined in ERISA) for which the Company or any of the Subsidiaries would have any liability;
the Company and each of the Subsidiaries have not incurred and do not expect to incur
liability under (i) Title IV of ERISA with respect to termination of, or withdrawal from,
any “pension plan” or (ii) Section 412 or 4971 of the Internal Revenue Code of 1986, as
amended, including the regulations and published

-17-

 

interpretations thereunder (“Code”); and each “pension plan” for which the
Company and each of its Subsidiaries would have any liability that is intended to be
qualified under Section 401(a) of the Code is so qualified and nothing has occurred, whether
by action or by failure to act, which would cause the loss of such qualification;

     (qq) the operations of the Company and its Subsidiaries and, to the Company’s
knowledge, its affiliates are and have been conducted at all times in compliance with
applicable financial recordkeeping and reporting requirements of the Currency and Foreign
Transactions Reporting Act of 1970, as amended, the Money Laundering Control Act of 1986, as
amended, the Bank Secrecy Act, as amended, the United and Strengthening of America by
Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act (USA PATRIOT
Act) of 2001, as any other money laundering statutes of all jurisdictions, the rules and
regulations thereunder and any related or similar rules, regulations or guidelines, issued,
administered or enforced by any Governmental Authority (collectively, the “Money
Laundering Laws”), except for any such non-compliance as would not, individually or in
the aggregate, reasonably be expected to have a Material Adverse Effect, and no action, suit
or proceeding by or before any Governmental Authority or any arbitrator involving the
Company or any of it Subsidiaries, or, to the Company’s knowledge, any of its affiliates,
with respect to the Money Laundering Laws is pending or, to the Company’s knowledge,
threatened;

     (rr) neither the Company nor any of its Subsidiaries, nor, to the Company’s knowledge,
any of its affiliates or any director, officer, agent or employee of, or other person
associated with or acting on behalf of, the Company, is currently subject to any United
States sanctions administered by the Office of Foreign Assets Control of the United States
Treasury Department (“OFAC”); and the Company will not directly or indirectly use
the proceeds of the offering, or lend, contribute or otherwise make available such proceeds
to any Subsidiary, partner or joint venturer or other person or entity, for the purpose of
financing the activities of any person currently subject to any United States sanctions
administered by OFAC;

     (ss) there are no existing or, to the Company’s knowledge, threatened, labor disputes
with the employees of the Company or any of the Subsidiaries which would, individually or in
the aggregate, reasonably be expected to have a Material Adverse Effect;

     (tt) except as otherwise disclosed in both the Disclosure Package and the Final
Memorandum, neither the Company nor any Subsidiary has any off-balance sheet transactions,
arrangements, obligations (including contingent obligations), or any other similar
relationships with unconsolidated entities or other persons;

     (uu) each of the Company and its Subsidiaries, and, to the Company’s knowledge, each of
their affiliates and any director, officer, agent or employee of, or other person associated
with or acting on behalf of, the Company has acted at all times in compliance in all
material respects with applicable Export and Import Laws (as defined below) and there are no
claims, complaints, charges, investigations or proceedings pending or, to the Company’s
knowledge, threatened between the Company or any of its

-18-

 

Subsidiaries and any Governmental Authority under any Export or Import Laws. The term
“Export and Import Laws” means the Arms Export Control Act, the International Traffic in
Arms Regulations, the Export Administration Act of 1979, as amended, the Export
Administration Regulations, The Trading with the Enemy Act, the International Emergency
Economic Powers Act, and sanctions regulations issued pursuant to those statutory
authorities prohibiting unlicensed transactions (including exports of services, data, or
goods) with sanctioned countries or entities, and all other laws and regulations of the
United States government regulating the provision of services to non-U.S. parties or the
export and import of articles or information from and to the United States of America, and
all similar laws and regulations of any foreign government regulating the provision of
services to parties not of the foreign country or the export and import of articles and
information from and to the foreign country to parties not of the foreign country;

     (vv) to the Company’s knowledge, there have been no allegations of any violations of
export control rules by the Company or any of its Subsidiaries, including allegations by any
Governmental Authority, and no investigations of any export control matters of the Company
or its Subsidiaries by any Governmental Authority;

     (ww) the Company has complied, and will use its commercially reasonable efforts to
comply, with the citizenship requirements of certain U.S. maritime laws, including the
Foreign Dredge Act of 1906, as amended, the Merchant Marine Act of 1920, as amended (also
known as the “Jones Act”), and the U.S. vessel documentation laws, as amended (also know as
the “Vessel Documentation Act”), prohibiting foreign ownership or control of persons engaged
in transporting merchandise or passengers or dredging in the navigable waters of the U.S.

     (xx) the Company has complied and will comply with all the provisions of Florida
Statutes, Section 517.075 (Chapter 92-198, Laws of Florida); and neither the Company nor any
of the Subsidiaries or affiliates does business with the government of Cuba or with any
person or affiliate located in Cuba;

     (yy) no relationship, direct or indirect, exists between or among the Company or any of
the Subsidiaries on the one hand, and the directors, officers, stockholders, customers or
suppliers of the Company or any of the Subsidiaries on the other hand, which would be
required by the Securities Act and the Securities Act Regulations to be described in a
prospectus included in a registration statement on Form S-1 under the Securities Act, which
is not so described in both the Disclosure Package and the Final Memorandum;

     (zz) assuming the performance by FBR of its obligations as set forth herein, it is not
necessary in connection with the offer, sale and deliver of the Shares in the manner
contemplated by this Agreement to register the Shares under the Securities Act;

     (aaa) each of the Company and the Subsidiaries has complied in all material respects
with all Legal Requirements governing or applicable to its Government Contracts and
Government Bids, each as hereinafter defined, including the material terms and conditions of
all such Government Contracts and Government Bids; to the

-19-

 

Company’s knowledge, each Government Contract performed or being performed by the
Company or any Subsidiary was legally and properly awarded to the Company or such Subsidiary
and, if performance is ongoing, each Government Contract is currently valid; neither the
Company nor any Subsidiary has, in obtaining or performing any Government Contract, violated
any laws, regulations, rules, directives, requirements or procedures of any Governmental
Authority or any other applicable Legal Requirement that could reasonably be expected to
have a Material Adverse Effect; there exist (i) no outstanding claims (including, but not
limited to, termination settlement proposals), contracting officer’s final decisions,
requests for equitable adjustment or other contractual action(s) for relief against the
Company or any Subsidiary, by a Governmental Authority or by any prime contractor,
subcontractor or other person, arising under or relating to any Government Contract or
Government Bid, and (ii) no disputes between the Company or any Subsidiary and any
Governmental Authority or between the Company or any Subsidiary and any prime contractor,
subcontractor or other person, arising under or relating to any Government Contract or
Government Bid that could reasonably be expected to have a Material Adverse Effect; neither
the Company nor any Subsidiary has an interest in any pending or potential claim, request
for equitable adjustment, action, litigation or appeal under the Contract Disputes Act of
1978, as amended, and/or under or related to the disputes clause of any contract against any
Governmental Authority or involving any prime contractor or subcontractor; for the purposes
of this paragraph, (A) “Government Contract” means any prime contract, subcontract,
teaming agreement, joint venture, basic ordering agreement, pricing agreement, letter
contract, grant, cooperative agreement, or other mutually binding legal agreement between
the Company or any Subsidiary and (x) any Governmental Authority, (y) any prime contractor
of any Governmental Authority, or (z) any subcontractor of any Governmental Authority;
provided that a task order, purchase order or delivery order under a Government Contract
shall not constitute a separate Government Contract for purposes of this definition, but
shall be part of the Government Contract to which it relates and (B) “Government
Bid” shall mean any written quotations, bids or proposals that, if accepted, would bind
the Company or any Subsidiary to perform the resultant Government Contract.

     5. Certain Covenants of the Company.

     The Company hereby agrees with FBR:

     (a) to furnish such information as may be required and otherwise to cooperate in
qualifying the Shares for offer and sale under the securities or blue sky laws of such
states and other jurisdictions as FBR may designate or as required for the Private Placement
and to maintain such qualifications in effect as long as required by such laws for the
distribution of the Shares and for the Exempt Resales of the Resale Shares; provided,
however, that the Company shall not be required to qualify as a foreign corporation or to
consent to the service of process under the laws of, or subject itself to taxation as doing
business in, any such state or other jurisdiction (except service of process with respect to
the offering and sale of the Shares);

-20-

 

     (b) to prepare the Final Memorandum in a form approved by FBR and to furnish promptly
(and with respect to the initial delivery of such Final Memorandum, not later than 10:00
a.m. (New York City time) on the first business day following the execution and delivery of
this Agreement) to FBR or to purchasers upon the direction of FBR as many copies of the
Final Memorandum (and any amendments or supplements thereto) as FBR may reasonably request
for the purposes contemplated by this Agreement;

     (c) to advise FBR promptly, confirming such advice in writing, of: (i) the happening of
any event known to the Company within the time during which the Final Memorandum shall (in
the view of FBR) be required to be distributed by FBR in connection with an Exempt Resale
(and FBR hereby agrees to notify the Company in writing when the foregoing time period has
ended) which, in the judgment of the Company, would require the making of any change in the
Final Memorandum then being used so that the Final Memorandum would not include an untrue
statement of a material fact or omit to state a material fact necessary to make the
statements therein, in light of the circumstances under which they are made, not misleading;
and (ii) the receipt of any notification with respect to the modification, rescission,
withdrawal or suspension of the qualification of the Shares, or of any exemption from such
qualification or from registration of the Shares, for offering or sale in any jurisdiction,
or of the initiation or threatening of any proceedings for any of such purposes and, if any
Governmental Authority should issue any such order, to make every reasonable effort to
obtain the lifting or removal of such order as soon as possible;

     (d) to furnish to FBR for a period of two years from the Closing Time, (i) copies of
all annual, quarterly and current reports supplied to holders of the Shares, (ii) copies of
all reports filed by the Company with the Commission, and (iii) such other information as
FBR may reasonably request regarding the Company; provided, however, that the Company shall
not be required to furnish to FBR any information that is made publicly available by filing
electronically with the Commission;

     (e) not to amend or supplement the Final Memorandum prior to the Closing Time or any
Secondary Closing Time unless FBR shall previously have been advised thereof and shall have
consented thereto or not have reasonably objected thereto (for legal reasons) in writing
within a reasonable time after being furnished a copy thereof;

     (f) during any period in the two years (or such shorter period as may then be
applicable under the Securities Act regarding the holding period for securities under Rule
144(k) under the Securities Act or any successor rule) after the Closing Time in which the
Company is not subject to Section 13 or 15(d) of the Exchange Act to furnish, upon request,
to any holder of such Shares the information (“Rule 144A Information”) specified in
Rule l44A(d)(4) under the Securities Act and any additional information (“PORTAL
Information”) required by the National Association of Securities Dealers, Inc.
Portal SM  Market (“PORTAL”), and any such Rule l44A Information
and Portal Information will not, at the date thereof, contain any untrue statement of a
material fact or omit to state a material fact necessary in order to make the statements
therein, in the light of the circumstances under which they are made, not misleading;

-21-

 

     (g) to apply the net proceeds from the sale of the Shares in the manner set forth under
the caption “Use of Proceeds” in both the Disclosure Package and the Final Memorandum;

     (h) that neither the Company nor any of its affiliates (as defined in Section 501(b) of
Regulation D) will, whether directly or through any agent or person acting on its behalf
(other than FBR): (i) offer Common Stock of the Company or any other securities convertible
into or exchangeable or exercisable for such Common Stock in a manner in violation of the
Securities Act or the rules and regulations thereunder, (ii) distribute any other offering
material in connection with the offer and sale of the Shares, other than as described in
both the Disclosure Package and the Final Memorandum, or (iii) sell, offer for sale, solicit
offers to buy or otherwise negotiate in respect of any security (as defined in the
Securities Act), any of which will be integrated with the offering and sale of the Shares in
a manner that would require the registration under the Securities Act of the sale to FBR or
the Eligible Purchasers of the Resale Shares or to the Accredited Investors of the Private
Placement Shares;

     (i) that none of the Company, its Subsidiaries or any of its affiliates will take,
directly or indirectly, any action designed to, or that might be reasonably expected to,
cause or result in stabilization or manipulation of the price of the Shares;

     (j) that, except as permitted by the Securities Act, neither the Company nor any of its
affiliates will distribute any offering materials in connection with Exempt Resales;

     (k) to pay all expenses, fees and taxes (other than taxes based on income or sales) in
connection with (i) the preparation of both the Disclosure Package and the Final Memorandum,
and any amendments or supplements thereto, and the printing and furnishing of copies of each
thereof to FBR (including costs of mailing and shipment), (ii) the preparation, issuance,
sale and delivery of the Shares, including any stock or other transfer taxes or duties
payable upon the sale of the Resale Shares to FBR, (iii) the printing of this Agreement and
any dealer agreements, and the reproduction and/or printing and furnishing of copies of each
thereof to dealers (including costs of mailing and shipment), (iv) the qualification of the
Shares for offering and sale under state laws and the determination of their eligibility for
investment under state law as aforesaid (including any filing fees), and the printing and
furnishing of copies of any blue sky surveys or legal investment surveys to FBR and to
dealers, (v) the designation of the Shares as PORTAL-eligible securities by PORTAL, (vi) all
fees and disbursements of counsel and accountants for the Company, (vii) the fees and
expenses of any transfer agent or registrar for the Common Stock, (viii) costs of background
investigations, (ix) the costs and expenses of FBR and the Company incurred in connection
with the marketing of the Shares, including all “out of pocket” expenses, roadshow costs
(regardless of the form in which the roadshow is conducted) and expenses, and expenses of
Company personnel, including but not limited to commercial or charter air travel, local
hotel accommodations and transportation, and (x) performance of the Company’s other
obligations hereunder, but excluding from all of the above the fees and disbursements of
FBR’s legal counsel; provided however, the Company will pay all fees and disbursements

-22-

 

of FBR’s legal counsel related to clause (iv) above and the Registration Expenses as
described in the Registration Rights Agreement.

     (l) to use reasonable efforts in cooperation with FBR to obtain permission for the
Shares (other than Shares offered and sold in accordance with Regulation S) to be eligible
for clearance and settlement through DTC, and for the Shares sold in accordance with
Regulation S to be eligible for clearance and settlement through the Euroclear System and
Clearstream Banking, société anonyme, Luxembourg;

     (m) in connection with Resale Shares offered and sold in an offshore transaction (as
defined in Regulation S), not to register any transfer of such Resale Shares not made in
accordance with the provisions of Regulation S and not, except in accordance with the
provisions of Regulation S, if applicable, to issue any such Resale Shares in the form of
definitive securities;

     (n) to furnish to FBR, during the period referred to in clause (i) of Section 5(c), not
fewer than two business days before filing with the Commission, a copy of the most current
draft at such time of any document proposed to be filed with the Commission pursuant to
Section 13, 14 or 15(d) of the Exchange Act;

     (o) to refrain during the period (i) commencing on the date of this Agreement until 180
days after the Closing Date, (ii) from the date the registration statement to be filed
pursuant to the Registration Rights Agreement is declared effective until 60 days
thereafter, and (iii) from the effective date of any registration statement relating to an
initial public offering of the Company’s common stock and ending on the date that is 180
days after the effective date of such registration statement, without the prior written
consent of FBR (which consent may be withheld or delayed in FBR’s sole discretion), from (i)
offering, pledging, selling, contracting to sell, selling any option or contract to
purchase, purchasing any option or contract to sell, granting any option, right or warrant
for the sale of, lending or otherwise disposing of or transferring, directly or indirectly,
any equity securities of the Company or any securities convertible into or exercisable or
exchangeable for equity securities of the Company, or filing any registration statement
under the Securities Act with respect to any of the foregoing, or (ii) entering into any
swap or other arrangement that transfers, in whole or in part, directly or indirectly, any
of the economic consequences of ownership of equity securities of the Company, whether any
such transaction described in clause (i) or (ii) above is to be settled by delivery of
Common Stock or such other securities, in cash or otherwise. The foregoing sentence shall
not apply to (i) the Shares to be sold hereunder, (ii) the registration and sale of the
Shares in accordance with the terms of the Registration Rights Agreement, (iii) any shares
of Common Stock issued by the Company upon the exercise of an option outstanding on the date
hereof and referred to in both the Disclosure Package and the Final Memorandum, or (iv) such
issuances of options or grants of restricted stock under the Company’s stock option and
incentive plans as described in both the Disclosure Package and the Final Memorandum;

     (p) to reimburse FBR for all its reasonable and documented out-of-pocket expenses
relating to the transactions contemplated hereby, including the reasonable

-23-

 

fees and disbursements of its legal counsel if the closing does not occur for any of
the following reasons: (i) breach by the Company of a representation and warranty or
covenant set forth herein; (ii) failure of the condition set forth in Section 6(e) hereof to
be fulfilled; (iii) failure by the Company, one of its officers or directors, or its counsel
or accountants to make a delivery under Section 6 hereof for a reason other than an event
that arises between the date hereof and the Closing Time that is beyond the reasonable
control of the Company or the person making such delivery; or (iv) FBR’s termination of this
Agreement pursuant to Section 7(ii), 7(iii), 7(iv) or 7(v) hereof.

     (q) that, from and after the Closing Time, the Company shall have in place and maintain
a system of internal accounting controls sufficient to provide reasonable assurance that (i)
transactions are executed in accordance with management’s general or specific
authorizations, (ii) transactions are recorded as necessary to permit preparation of
financial statements in conformity with generally accepted accounting principles and to
maintain asset accountability, (iii) access to assets is permitted only in accordance with
management’s general or specific authorization, and (iv) the recorded accountability for
assets is compared with the existing assets at reasonable intervals and appropriate action
is taken with respect to any differences;

     (r) that the Company will conduct its affairs in such a manner so as to ensure that the
Company will not be an “investment company;” and

     (s) that, as soon as reasonably practicable following completion of the transactions
contemplated hereunder, to use commercially reasonable efforts to cause the Company’s board
of directors to approve any changes to the corporate governance policies and procedures that
may be required by law prior to filing any registration statement with the Commission.

     6. Conditions of FBR’s Obligations. The obligations of FBR hereunder are
subject to (w) the accuracy of the representations and warranties on the part of the
Company on the date hereof, at the Closing Time, each Extended Closing Time and each
Secondary Closing Time, (x) the accuracy of the statements of the Company’s officers made
in any certificate pursuant to the provisions hereof as of the date of such certificate,
(y) the performance by the Company of all of their respective covenants and other
obligations hereunder and (z) the following other conditions:

     (a) The Company shall furnish to FBR at the Closing Time an opinion of Vinson & Elkins
L.L.P., counsel for the Company, addressed to FBR and dated the Closing Time, in form and
substance satisfactory to FBR, covering the matters set forth on Exhibit B hereto.
Such opinion shall indicate that it is being rendered to FBR at the request of the Company.

     (b) FBR shall have received from Grant Thornton LLP the following “comfort” letters:
(i) a letter with respect to and as of the date of the Preliminary Memorandum; (ii) a letter
with respect to and as of the date of any amendment or supplement to the Preliminary
Memorandum; (iii) a letter with respect to the Final

-24-

 

Memorandum as of the date hereof; and (iv) a “bring down” letter relating to the
matters covered in the letters referred to in (i) and (ii) as of the time of pricing of the
Shares; and (v) a “bring down” letter relating to the matters covered in the letters
referred to in (iii) as of the Closing Time. Each such letter shall be addressed to FBR and
shall be in form and substance satisfactory to FBR.

     (c) (i) FBR shall have received at the Closing Time a favorable opinion of Nelson
Mullins Riley & Scarborough LLP, counsel for FBR, dated the Closing Time, in form and
substance satisfactory to FBR and (ii) the Company shall have received at the Closing Time a
favorable opinion of Vinson & Elkins L.L.P., counsel to the Company, dated as of the date of
the Closing Time, relating to certain legal matters in connection with the entry into naked
total return swaps by certain investors as described in Exhibit C attached hereto.

     (d) Prior to the Closing Time, any Extended Closing Time or any Secondary Closing Time,
(i) no suspension of the qualification of the Shares for offering or sale in any
jurisdiction, or of the initiation or threatening of any proceedings for any of such
purposes, shall have occurred and (ii) both the Disclosure Package and the Final Memorandum
and all amendments or supplements thereto, or modifications thereof, if any, shall not
contain an untrue statement of material fact or omit to state a material fact necessary to
make the statements therein, in the light of the circumstances under which they are made,
not misleading.

     (e) Between the time of execution of this Agreement and the Closing Time, any Extended
Closing Time or any Secondary Closing Time, (i) no event, circumstance or change
constituting a Material Adverse Effect shall have occurred or become known, (ii) no
transaction which is material to the Company and its Subsidiaries, taken as a whole, shall
have been entered into by the Company or any of its Subsidiaries that has not been fully and
accurately disclosed in both the Disclosure Package and the Final Memorandum, or any
amendment or supplement thereto; and (iii) no order or decree preventing the use of any of
the Preliminary Memorandum or the Final Memorandum, or any order asserting that any of the
transactions contemplated by this Agreement are subject to the registration requirements of
the Securities Act shall have been issued.

     (f) The Company shall have delivered to FBR a certificate, executed by the secretary of
the Company and dated as of the Closing Time, as to (i) the resolutions adopted by the
Company’s board of directors in form and substance reasonably acceptable to FBR, (ii) the
Company’s certificate of incorporation, as amended and (iii) the Company’s bylaws, as
amended, each as in effect at the Closing Time.

     (g) The Company shall have delivered to FBR a certificate, executed by its chief
executive officer and chief financial officer to the effect that the representations and
warranties of the Company set forth in this Agreement shall be true and correct as of the
Closing Time as though made on and as of such date (except to the extent that such
representations and warranties speak as of another date, in which case such representations
and warranties shall be true and correct as of such other date), the conditions set forth in
subsections (d) and (e) of this Section 6 shall have been satisfied and be true and correct
as

-25-

 

of the Closing Time, and the Company shall have complied with all covenants and
agreements and satisfied all conditions on its part to be performed or satisfied under this
Agreement at or prior to the Closing Time.

     (h) On or before the Closing Time, FBR shall have received the Registration Rights
Agreement executed by the Company and such agreement shall be in full force and effect.

     (i) At the time of execution and delivery of this Agreement, FBR shall have received
from each of the officers and directors and certain existing stockholders of the Company a
written agreement (a “Lock-up Agreement”) in substantially the form attached hereto
as Exhibit D.

     (j) The Company shall have obtained and delivered to FBR a copy of (i) all executed
consents required under the relevant leases and contracts, (ii) any approvals under the
credit facility, and (iii) any approvals under the Hart-Scott-Rodino Act.

     (k) At each Extended Closing Time and Secondary Closing Time, FBR shall have received:

     (i) certificates, dated as of each Extended Closing Time or Secondary Closing
Time, of the Company, substantially to the same effect as the certificates delivered
at the Closing Time pursuant to subsections (f) and (g), of this Section 6, subject
to any exceptions that, in the reasonable judgment of FBR, are not material.

     (ii) the opinion of Vinson & Elkins L.L.P., in form and substance satisfactory
to FBR, dated as of each Secondary Closing Time relating to the Regulation D Shares
or the Option Shares, as applicable, and otherwise substantially to the same effect
as the opinions required by subsection (a) of this Section 6.

     (iii) a “bring down” “comfort” letter from Grant Thornton LLP in form and
substance satisfactory to FBR, dated as of each Secondary Closing Time,
substantially the same in scope and substance as the letter furnished to FBR
pursuant to subsection (b)(iv) and subsection (b)(v) of this Section 6, except that
the “specified date” in the letter furnished pursuant to this subsection (k)(iii)
shall be a date not more than five days prior to such Secondary Closing Time.

          In the event that any “comfort” letter referred to in subsection (b) of this
Section 6 or this subsection (k)(iii) sets forth any such changes, decreases or
increases that, in the reasonable discretion of FBR, are likely to result in a
Material Adverse Effect, it shall be a further condition to the obligations of FBR
that such letters shall be accompanied by a written explanation of the Company as to
the significance thereof, unless FBR deems such explanation unnecessary. References
to the Preliminary Memorandum, the Disclosure Package and/or Final Memorandum with
respect to any “comfort” letter referred to in this Section 6 shall include any
amendment or supplement thereto at the date of such letter.

-26-

 

     (iv) the opinion of Nelson Mullins Riley & Scarborough LLP, dated as of each
Secondary Closing Time, relating to the Regulation D Shares or the Option Shares, as
applicable, and otherwise to the same effect as the opinion required by subsection
(c) of this Section 6.

     (l) The Company shall have furnished to FBR such other documents and certificates as to
the accuracy and completeness of any statement in both the Disclosure Package and the Final
Memorandum or any amendment or supplement thereto, and any additional matters as FBR may
reasonably request, as of the Closing Time or any Secondary Closing Time, or as FBR may
reasonably request.

     (m) The Shares to be resold by FBR to QIBs pursuant to Rule 144A under the Securities
Act shall have been designated as PORTAL-eligible securities by PORTAL.

     (n) Each Subscription Agreement shall remain in full force and effect and no event
shall have occurred giving any party the right to terminate any Subscription Agreement
pursuant to the terms thereof; provided that, in the event a Subscription Agreement is no
longer in full force and effect, FBR shall use its commercially reasonable efforts to
reallocate the shares covered by such Subscription Agreement to investors who subscribed for
additional Shares under Subscription Agreements that are in full force and effect.

     (o) The Company shall have received the opinion of Vinson & Elkins L.L.P. dated as of
each Secondary Closing Time to the same effect as the opinion required by subsection (c)(ii)
of this Section 6.

     7. Termination. The obligations of FBR hereunder shall be subject to
termination in the absolute discretion of FBR, at any time prior to the Closing Time or any
Secondary Closing Time, if (i) any of the conditions specified in Section 6 shall not have
been fulfilled when and as required by this Agreement to be fulfilled, (ii) trading in
securities in general on any exchange or national quotation system shall have been
suspended or minimum prices shall have been established on such exchange or quotation
system, (iii) there has been a material disruption in the securities settlement, payment or
clearance services in the United States, (iv) a banking moratorium shall have been declared
either by the United States or New York State authorities, or (v) if the United States
shall have declared war in accordance with its constitutional processes or there shall have
occurred any material outbreak or escalation of hostilities or other national or
international calamity or crisis or change in economic, political or other conditions of
such magnitude in its effect on the financial markets of the United States as, in the
judgment of FBR, to make it impracticable to market the Shares.

          If FBR elects to terminate this Agreement as provided in this Section 7, the Company shall be
notified promptly by letter or fax.

          If the sale to FBR of the Resale Shares, as contemplated by this Agreement, is not carried out
by FBR for any reason permitted under this Agreement or if such sale is not carried out because the
Company shall be unable to comply with any of the terms of this Agreement, (i)

-27-

 

the Company shall not be under any obligation or liability to FBR under this Agreement (except
to the extent provided in Sections 5(k), 5(p) and 8 hereof), and (ii) FBR shall be under no
obligation or liability to the Company under this Agreement (except to the extent provided in
Section 8 hereof).

     8. Indemnity.

     (a) The Company agrees to indemnify, defend and hold harmless FBR and its affiliates,
and their respective directors, officers, representatives and agents, and any person who
controls FBR within the meaning of Section 15 of the Securities Act or Section 20 of the
Exchange Act, from and against any loss, expense, liability or claim (including the
reasonable cost of investigation) which, jointly or severally, FBR or any such controlling
person may incur under the Securities Act, the Exchange Act or otherwise, insofar as such
loss, expense, liability or claim arises out of or is based upon (i) any untrue statement or
alleged untrue statement made by the Company herein, (ii) any breach by the Company of any
covenant set forth herein, or (iii) any untrue statement or alleged untrue statement of a
material fact contained in the Disclosure Package or the Final Memorandum, or arises out of
or is based upon any omission or alleged omission to state a material fact necessary to make
the statements made therein, in the light of the circumstances under which they were made,
not misleading, except insofar as any such loss, expense, liability or claim arises out of
or is based upon any untrue statement or alleged untrue statement of a material fact
contained in and in conformity with information furnished in writing by FBR to the Company
expressly for use in such Preliminary Memorandum, the Disclosure Package or Final Memorandum
(that information being limited to that described in the last sentence of Section 8(b)
hereof).

     (b) FBR agrees to indemnify, defend and hold harmless the Company and its directors and
officers and any person who controls the Company within the meaning of Section 15 of the
Securities Act or Section 20 of the Exchange Act, from and against any loss, expense,
liability or claim (including the reasonable cost of investigation) which, jointly or
severally, the Company or any such person may incur under the Securities Act, the Exchange
Act or otherwise, insofar as such loss, expense, liability or claim arises out of or is
based upon any untrue statement or alleged untrue statement of a material fact contained in
and made in reliance upon and in conformity with information furnished in writing by FBR to
the Company expressly for use in the Preliminary Memorandum, the Disclosure Package or Final
Memorandum (or in any amendment or supplement thereof by the Company), such information
being limited to the following: information provided by FBR to the Company as disclosed in
the paragraph on the cover page immediately preceding FBR’s name at the bottom of the page
and the second, seventh (solely with respect to the fourth sentence) and eighth paragraphs
of the section entitled “Plan of Distribution” in the Disclosure Package and the Final
Memorandum.

     (c) If any action is brought against any person or entity (each an “Indemnified
Party”), in respect of which indemnity may be sought pursuant to Section 8(a) or (b)
above, the Indemnified Party shall promptly notify the party obligated to provide such
indemnity

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(each an “Indemnifying Party”) in writing of the institution of such action and
the Indemnifying Party shall assume the defense of such action, including the employment of
counsel and payment of expenses; provided that the failure so to notify the Indemnifying
Party will not relieve the Indemnifying Party from any liability which the Indemnifying
Party may have to any Indemnified Party unless and to the extent the Indemnifying Party did
not otherwise know of such action and such failure results in the forfeiture by the
Indemnifying Party of rights and defenses that would have had material value in the defense.
The Indemnified Party(ies) shall have the right to employ its or their own counsel in any
such case, but the fees and expenses of such counsel shall be at the expense of the
Indemnified Party unless the employment of such counsel shall have been authorized in
writing by the Indemnifying Party in connection with the defense of such action or the
Indemnifying Party shall not have employed counsel to have charge of the defense of such
action within a reasonable time or such Indemnified Party(ies) shall have reasonably
concluded (based on the advice of counsel) that counsel selected by the Indemnifying Party
has an actual conflict of interest or there may be defenses available to the Indemnified
Party(ies) which are different from or additional to those available to the Indemnifying
Party (in which case the Indemnifying Party shall not have the right to direct the defense
of such action on behalf of the Indemnified Party(ies)), in any of which events such fees
and expenses shall be borne by the Indemnifying Party and paid as incurred (it being
understood, however, that the Indemnifying Party shall not be liable for the fees and
expenses of more than one separate firm of counsel (in addition to local counsel) for the
Indemnified Party in any one action or series of related actions in the same jurisdiction
representing the Indemnified Parties who are parties to such action). Anything in this
paragraph to the contrary notwithstanding, the Indemnifying Party shall not be liable for
any settlement of any such claim or action effected without its written consent. The
Indemnifying Party shall have the right to settle any such claim or action for itself and
any Indemnified Party so long as the Indemnifying Party pays any settlement payment and such
settlement (i) includes a complete and unconditional release of the Indemnified Party from
all losses, expenses, claims, damages, injunctions, liability and other obligations with
respect to any claims that are the subject matter of such action and (ii) does not include a
statement as to, or an admission of, fault, culpability or a failure to act by or on behalf
of the Indemnified Party.

     (d) If the indemnification provided for in this Section 8 is unavailable to an
Indemnified Party under subsections (a) and (b) of this Section 8 in respect of any losses,
expenses, liabilities or claims referred to therein, then each applicable Indemnifying
Party, in lieu of indemnifying such Indemnified Party, shall contribute to the amount paid
or payable by such Indemnified Party as a result of such losses, expenses, liabilities or
claims (i) in such proportion as is appropriate to reflect the relative benefits received by
the Company, on the one hand, and FBR, on the other hand, from the offering of the Shares or
(ii) if the allocation provided by clause (i) above is not permitted by applicable law, in
such proportion as is appropriate to reflect not only the relative benefits referred to in
clause (i) above but also the relative fault of the Company, on the one hand, and of FBR, on
the other hand, in connection with the statements or omissions which resulted in such
losses, expenses, liabilities or claims, as well as any other relevant equitable
considerations. The relative benefits received by the Company, on the one hand, and FBR, on
the other hand, shall be deemed to be in the same proportion as the total

-29-

 

proceeds from the offering (net of initial purchaser discounts, commissions and
placement fees, but before deducting expenses) received by the Company bear to the discounts
and commissions received by FBR. The relative fault of the Company, on the one hand, and of
FBR, on the other hand, shall be determined by reference to, among other things, whether the
untrue statement or alleged untrue statement of a material fact or omission or alleged
omission relates to information supplied by the Company or by FBR and the parties’ relative
intent, knowledge, access to information and opportunity to correct or prevent such
statement or omission. The amount paid or payable by a party as a result of the losses,
claims, damages and liabilities referred to above shall be deemed to include any legal or
other fees or expenses reasonably incurred by such party in connection with investigating or
defending any claim or action.

     (e) The parties hereto agree that it would not be just and equitable if contribution
pursuant to this Section 8 were determined by pro rata allocation or by any other method of
allocation which does not take account of the equitable considerations referred to in
subsection (d) above. Notwithstanding the provisions of this Section 8, FBR shall not be
required to contribute any amount in excess of the sum of (i) the aggregate amount of any
Placement Fee actually received by FBR with respect to the Regulation D Shares and the
Placed Option Shares and (ii) the aggregate amount of FBR’s discount on the 144A/Regulation
S Shares and the Purchased Option Shares (as described in the Final Memorandum). No person
guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the
Securities Act) shall be entitled to contribution from any person who was not guilty of such
fraudulent misrepresentation.

     (f) The indemnity and contribution agreements contained in this Section 8 and the
covenants, warranties and representations of the Company contained in this Agreement shall
remain in full force and effect regardless of any investigation made by or on behalf of FBR
or its affiliates, or their respective directors, officers, representatives and agents, or
any person who controls FBR within the meaning of Section 15 of the Securities Act or
Section 20 of the Exchange Act, or by or on behalf of the Company or their respective
directors and officers or any person who controls the Company within the meaning of Section
15 of the Securities Act or Section 20 of the Exchange Act, and shall survive any
termination of this Agreement or the sale and delivery of the Shares. Each party to this
Agreement agrees promptly to notify the other party of the commencement of any litigation or
proceeding against it and, in the case of the Company, against any of their respective
officers and directors, in connection with the sale and delivery of the Shares, or in
connection with the both the Disclosure Package and/or Final Memorandum.

     9. Notices. Except as otherwise herein provided, all statements, requests,
notices and agreements shall be in writing delivered by facsimile (with receipt confirmed),
overnight courier or registered or certified mail, return receipt requested, or by telegram
and:

     (a) if to FBR, shall be sufficient in all respects if delivered or sent to Friedman,
Billings, Ramsey & Co., Inc., 1001 Nineteenth Street North, Arlington, Virginia 22209,

-30-

 

Attention: Compliance Department, (facsimile: 703-312-9698); with a copy to Nelson
Mullins Riley & Scarborough LLP, 101 Constitution Avenue, N.W. Suite 900, Washington, DC
20001, Attention: Jonathan H. Talcott (facsimile: 202-712-2856); and

     (b) if to the Company, shall be sufficient in all respects if delivered to the Company
at the offices of the Company at 12550 Fuqua Street, Houston, Texas 77034, Attention: Chief
Financial Officer (facsimile: (713) 852-6350); with a copy to Vinson & Elkins L.L.P., First
City Tower, 1001 Fannin Street, Suite 2500, Houston, Texas 77002, Attention: James M.
Prince (facsimile: (713) 615-5962).

     10. Duties. Nothing in this Agreement shall be deemed to create a
partnership, joint venture or agency relationship between the parties. FBR undertakes to
perform such duties and obligations only as expressly set forth herein. Such duties and
obligations of FBR with respect to the Shares shall be determined solely by the express
provisions of this Agreement, and FBR shall not be liable except for the performance of
such duties and obligations with respect to the Shares as are specifically set forth in
this Agreement. The Company acknowledges and agrees that: (i) the purchase and sale of the
Shares pursuant to this Agreement, including the determination of the offering price of the
Shares and any related discounts and commissions, is an arm’s-length commercial transaction
between the Company, on the one hand, and FBR, on the other hand, and the Company is
capable of evaluating and understanding and understands and accepts the terms, risks and
conditions of the transactions contemplated by this Agreement; (ii) in connection with each
transaction contemplated hereby and the process leading to such transaction FBR is and has
been acting solely as a principal and is not the financial advisor, agent or fiduciary of
the Company or its affiliates, stockholders, creditors or employees or any other party;
(iii) FBR has not assumed and will not assume an advisory, agency or fiduciary
responsibility in favor of the Company with respect to any of the transactions contemplated
hereby or the process leading thereto (irrespective of whether FBR has advised or is
currently advising the Company on other matters); and (iv) FBR and its affiliates may be
engaged in a broad range of transactions that involve interests that differ from those of
the Company and that FBR has no obligation to disclose any of such interests. The Company
acknowledges that FBR disclaims any implied duties (including any fiduciary duty),
covenants or obligations arising from its performance of the duties and obligations
expressly set forth herein. The Company hereby waives and releases, to the fullest extent
permitted by law, any claims that the Company may have against FBR with respect to any
breach or alleged breach of agency or fiduciary duty.

     11. GOVERNING LAW; HEADINGS. THIS AGREEMENT SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO
CONFLICTS OF LAWS PRINCIPLES THAT WOULD REQUIRE THE APPLICATION OF THE LAW OF ANY OTHER
STATE. The section headings in this Agreement have been inserted as a matter of
convenience of reference and are not a part of this Agreement.

-31-

 

     12. Parties at Interest. The Agreement herein set forth has been and is made
solely for the benefit of FBR and the Company and the controlling persons, directors and
officers referred to in Section 8 hereof, and their respective successors, assigns,
executors and administrators. No other person, partnership, association or corporation
(including a purchaser, in its capacity as such, from FBR) shall acquire or have any right
under or by virtue of this Agreement.

     13. Counterparts. This Agreement may be signed by the parties in
counterparts, which together shall constitute one and the same agreement among the parties.

[SIGNATURE PAGE FOLLOWS]

-32-

 

     If the foregoing correctly sets forth the understanding among the Company and FBR, please
so indicate in the space provided below for the purpose, whereupon this letter shall constitute a
binding agreement between the Company and FBR.

	 	 	 	 	 
	 	Very truly yours,

ORION MARINE GROUP, INC.

 	 
	 	By:  	/s/ J. Michael Pearson 	 
	 	 	Name:  	J. Michael Pearson 	 
	 	 	Title:  	President & CEO 	 
	 

[SIGNATURE PAGE TO PURCHASE/PLACEMENT AGREEMENT]

 

 

	 	 	 	 	 
	 	Accepted and agreed to as
of the date first above written:

FRIEDMAN, BILLINGS, RAMSEY & CO., INC.

 	 
	 	By:  	/s/
James R. Kleeblatt 	 
	 	 	Name:  	James R. Kleeblatt 	 
	 	 	Title:  	Senior Managing Director 	 
	 

[SIGNATURE PAGE TO PURCHASE/PLACEMENT AGREEMENT]

 

 

SCHEDULE A

	 	 	 	 	 
	Offering Price
	 	$	13.500000	 
	 
	 	 	 	 
	Offering Size:
	 	 	17,500,000	 
	Green Shoe Granted:
	 	 	3,449,196	 
	 
	 	 	 
	Total:
	 	 	20,949,196	 

 

 

EXHIBIT A

FORM OF REGISTRATION RIGHTS AGREEMENT

     This Registration Rights Agreement (this “Agreement”) is made and entered into as of [n], 2007, by and between Orion Marine Group, Inc., a Delaware corporation (together with any
successor entity thereto, the “Company”), and Friedman, Billings, Ramsey & Co., Inc., a Delaware
corporation (“FBR”), for the benefit of FBR, the purchasers of the Company’s common stock, $0.01
par value per share, as participants (“Participants”) in the private placement by the Company of
shares of its common stock, and the direct and indirect transferees of FBR, and each of the
Participants.

     This Agreement is made pursuant to the Purchase/Placement Agreement (the “Purchase/Placement
Agreement”), dated as of [n], 2007, by and between the Company and FBR in connection with
the purchase and sale or placement of an aggregate of 17,500,000 shares of the Company’s common
stock (plus an additional 3,449,169 shares to cover additional allotments, if any). In order to
induce FBR to enter into the Purchase/Placement Agreement, the Company has agreed to provide the
registration rights provided for in this Agreement to FBR, the Participants, and their respective
direct and indirect transferees. The execution of this Agreement is a condition to the closing of
the transactions contemplated by the Purchase/Placement Agreement.

     The parties hereby agree as follows:

1. Definitions

     As used in this Agreement, the following terms shall have the following meanings:

     Accredited Investor Shares: Shares initially sold by the Company to “accredited investors”
(within the meaning of Rule 501(a) promulgated under the Securities Act) as Participants.

     Affiliate: As to any specified Person, (i) any Person directly or indirectly owning,
controlling or holding, with power to vote, ten percent or more of the outstanding voting
securities of such other Person, (ii) any Person, ten percent or more of whose outstanding voting
securities are directly or indirectly owned, controlled or held, with power to vote, by such other
Person, (iii) any Person directly or indirectly controlling, controlled by or under common control
with such other Person, (iv) any executive officer, director, trustee or general partner of such
Person and (v) any legal entity for which such Person acts as an executive officer, director,
trustee or general partner. An indirect relationship shall include circumstances in which a
Person’s spouse, children, parents, siblings or mother, father, sister- or brother-in-law is or has
been associated with a Person.

     Agreement: As defined in the preamble.

     Board of Directors: As defined in Section 5(a) hereof.

A-1

 

     Business Day: With respect to any act to be performed hereunder, each Monday, Tuesday,
Wednesday, Thursday and Friday that is not a day on which banking institutions in New York, New
York or other applicable places where such act is to occur are authorized or obligated by
applicable law, regulation or executive order to close.

     Closing Date: [n], 2007 or such other time or such other date as FBR and the Company
may agree.

     Commission: The Securities and Exchange Commission.

     Common Stock: The common stock, $0.01 par value per share, of the Company.

     Company: As defined in the preamble.

     Controlling Person: As defined in Section 6(a) hereof.

     End of Suspension Notice: As defined in Section 5(b) hereof.

     Exchange Act: The Securities Exchange Act of 1934, as amended, and the rules and regulations
promulgated by the Commission pursuant thereto.

     FBR: As defined in the preamble.

     Holder: Each record owner of any Registrable Shares from time to time, including FBR and its
Affiliates.

     Indemnified Party: As defined in Section 6(c) hereof.

     Indemnifying Party: As defined in Section 6(c) hereof.

     IPO Registration Statement: As defined in Section 2(b) hereof.

     Issuer Free Writing Prospectus: As defined in Section 2(c) hereof.

     Liabilities: As defined in Section 6(a) hereof.

     NASD: The National Association of Securities Dealers, Inc.

     No Objections Letter: As defined in Section 4(t) hereof.

     Participants: As defined in the preamble.

     Person: An individual, partnership, corporation, trust, unincorporated organization,
government or agency or political subdivision thereof, or any other legal entity.

A-2

 

     Proceeding: An action, claim, suit or proceeding (including without limitation, an
investigation or partial proceeding, such as a deposition), whether commenced or, to the knowledge
of the Person subject thereto, threatened.

     Prospectus: The prospectus included in any Registration Statement, including any preliminary
prospectus at the “time of sale” within the meaning of Rule 159 under the Securities Act and all
other amendments and supplements to any such prospectus, including post-effective amendments, and
all material incorporated by reference or deemed to be incorporated by reference, if any, in such
prospectus.

     Purchase/Placement Agreement: As defined in the preamble.

     Purchaser Indemnitee: As defined in Section 6(a) hereof.

     Registrable Shares: The Rule 144A Shares, the Accredited Investor Shares and the Regulation S
Shares, upon original issuance thereof, and at all times subsequent thereto, including upon the
transfer thereof by the original holder or any subsequent holder (provided, in each case that the
transferee has duly completed, executed and delivered a Transferee Letter in the form specified in
the offering memorandum for the initial issuance of such shares) and any shares or other securities
issued in respect of such Registrable Shares by reason of or in connection with any stock dividend,
stock distribution, stock split, purchase in any rights offering or in connection with any exchange
for or replacement of such Registrable Shares or any combination of shares, recapitalization,
merger or consolidation, or any other equity securities issued pursuant to any other pro rata
distribution with respect to the Common Stock, until, in the case of any such Rule 144A Share,
Accredited Investor Share or Regulation S Share, the earliest to occur of (i) the date on which the
resale of such share has been registered pursuant to the Securities Act and it has been disposed of
in accordance with the Registration Statement relating to it, (ii) the date on which either it has
been transferred pursuant to Rule 144 (or any similar provision then in effect) or is saleable
pursuant to Rule 144(k) promulgated by the Commission pursuant to the Securities Act or (iii) the
date on which it is sold to the Company.

     Registration Default: As defined in Section 2(f) hereof.

     Registration Expenses: Any and all expenses incident to the Company’s performance of or
compliance with this Agreement and certain expenses incident to FBR’s performance of or compliance
with this Agreement, including, and, with respect to the expenses incident to the Company’s
performance, without limitation: (i) all Commission, securities exchange, NASD registration,
listing, inclusion and filing fees; (ii) all fees and expenses incurred in connection with
compliance with international, federal or state securities or blue sky laws (including, without
limitation, any registration, listing and filing fees and reasonable fees and disbursements of
counsel in connection with blue sky qualification of any of the Registrable Shares and the
preparation of a blue sky memorandum and compliance with the rules of the NASD); (iii) all expenses
in preparing or assisting in preparing, word processing, duplicating, printing, delivering and
distributing any Registration Statement, any Prospectus, any amendments or supplements thereto, any
underwriting agreements, securities sales agreements, certificates and any other documents relating
to the performance under and compliance with this Agreement; (iv) all fees and expenses incurred in

A-3

 

connection with the listing or inclusion of any of the Registrable Shares on any securities
exchange or The Nasdaq Stock Market, Inc.® pursuant to Section 4(n) of this Agreement; (v) the fees
and disbursements of counsel for the Company and of the independent registered public accounting
firm of the Company (including, without limitation, the expenses of any special audit and “cold
comfort” letters required by or incident to the performance of this Agreement); (vi) reasonable
fees and disbursements of Nelson Mullins Riley & Scarborough, LLP, or one such other counsel,
reasonably acceptable to the Company, for the Holders, selected by the Holders holding a majority
of the Registrable Shares (such counsel, “Selling Holders’ Counsel”); and (vii) any fees and
disbursements customarily paid in issues and sales of securities (including the fees and expenses
of any experts retained by the Company in connection with any Registration Statement); provided,
however, that Registration Expenses shall exclude brokers’ or underwriters’ discounts and
commissions, if any, relating to the sale or disposition of Registrable Shares by a Holder.

     Registration Statement: Any registration statement of the Company that covers the resale of
Registrable Shares pursuant to the provisions of this Agreement, including the Prospectus,
amendments and supplements to such registration statement or Prospectus, including pre- and
post-effective amendments, all exhibits thereto and all material incorporated by reference or
deemed to be incorporated by reference, if any, in such registration statement.

     Regulation S: Regulation S (Rules 901-905) promulgated by the Commission under the Securities
Act, as such rules may be amended from time to time, or any similar rule or regulation hereafter
adopted by the Commission as a replacement thereto having substantially the same effect as such
regulation.

     Regulation S Shares: Shares initially resold by FBR pursuant to the Purchase/Placement
Agreement to “non-U.S. persons” (in accordance with Regulation S) in an “offshore transaction” (in
accordance with Regulation S).

     Rule 144: Rule 144 promulgated by the Commission pursuant to the Securities Act, as such rule
may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

     Rule 144A: Rule 144A promulgated by the Commission pursuant to the Securities Act, as such
rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

     Rule 144A Shares: Shares initially resold by FBR pursuant to the Purchase/Placement Agreement
to “qualified institutional buyers” (as such term is defined in Rule 144A).

     Rule 158: Rule 158 promulgated by the Commission pursuant to the Securities Act, as such rule
may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

     Rule 159: Rule 159 promulgated by the Commission pursuant to the Securities Act, as such rule
may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

A-4

 

     Rule 405: Rule 405 promulgated by the Commission pursuant to the Securities Act, as such rule
may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

     Rule 415: Rule 415 promulgated by the Commission pursuant to the Securities Act, as such rule
may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

     Rule 424: Rule 424 promulgated by the Commission pursuant to the Securities Act, as such rule
may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

     Rule 429: Rule 429 promulgated by the Commission pursuant to the Securities Act, as such rule
may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

     Rule 433: Rule 433 promulgated by the Commission pursuant to the Securities Act, as such rule
may be amended from time to time, or any similar rule or regulation hereafter adopted by the
Commission as a replacement thereto having substantially the same effect as such rule.

     Securities Act: The Securities Act of 1933, as amended, and the rules and regulations
promulgated by the Commission thereunder.

     Shares: The shares of Common Stock being offered and sold pursuant to the terms and
conditions of the Purchase/Placement Agreement.

     Shelf Registration Statement: As defined in Section 2(a) hereof.

     Suspension Event: As defined in Section 5(b) hereof.

     Suspension Notice: As defined in Section 5(b) hereof.

     Underwritten Offering: A sale of securities of the Company to an underwriter or underwriters
for re-offering to the public.

2. Registration Rights

     (a) Mandatory Shelf Registration. As set forth in Section 4 hereof, the Company agrees to
file with the Commission as soon as reasonably practicable following the date of this Agreement
(but in no event later than the date that is 120 days after the date of this Agreement) a shelf
Registration Statement on Form S-1 or such other form under the Securities Act then available to
the Company providing for the resale of any Registrable Shares pursuant to Rule 415 from time to
time by the Holders (a “Shelf Registration Statement”). The Company shall use its commercially
reasonable efforts to cause such Shelf Registration Statement to be declared effective

A-5

 

by the Commission as soon as reasonably practicable. Any Shelf Registration Statement shall
provide for the resale from time to time, and pursuant to any method or combination of methods
legally available (including, without limitation, an Underwritten Offering, a direct sale to
purchasers or a sale through brokers or agents, which may include sales over the internet) by the
Holders of any and all Registrable Shares.

     (b) IPO Registration. If the Company proposes to file a registration statement on Form S-1 or
such other form under the Securities Act providing for the initial public offering of shares of
Common Stock (the “IPO Registration Statement”), the Company will notify in writing each Holder of
the filing, within the ten (10) Business Days after the filing thereof, and afford each Holder an
opportunity by the time designated in the notice to include in the IPO Registration Statement all
or any part of the Registrable Shares then held by such Holder. Each Holder desiring to include in
the IPO Registration Statement all or part of the Registrable Shares held by such Holder shall,
within twenty (20) days after receipt of the above-described notice from the Company, so notify the
Company in writing, and in such notice shall inform the Company of the number of Registrable Shares
such Holder wishes to include in the IPO Registration Statement. Any election by any Holder to
include any Registrable Shares in the IPO Registration Statement will not affect the inclusion of
such Registrable Shares in the Shelf Registration Statement until such Registrable Shares have been
sold under the IPO Registration Statement.

     (i) Right to Terminate IPO Registration. The Company shall have the right to terminate
or withdraw the IPO Registration Statement initiated by it referred to in this Section 2(b)
prior to the effectiveness of such registration whether or not any Holder has elected to
include Registrable Shares in such registration.

     (ii) Selection of Underwriter. The Company shall have the sole right to select the
managing underwriter(s) for its initial public offering, regardless of whether any
Registrable Securities are included in the IPO Registration Statement or otherwise.

     (iii) Shelf Registration not Impacted by IPO Registration Statement. The Company’s
obligation to file the Shelf Registration Statement pursuant to Section 2(a) hereof shall
not be affected by the filing or effectiveness of the IPO Registration Statement.

     (c) Issuer Free Writing Prospectus. The Company represents and agrees that, unless it obtains
the prior consent of Holders of a majority of the Registrable Shares that are registered under a
Registration Statement at such time or the consent of the managing underwriter in connection with
any Underwritten Offering of Registrable Shares, and each Holder represents and agrees that, unless
it obtains the prior consent of the Company and any such underwriter, it will not make any offer
relating to the Shares that would constitute an “issuer free writing prospectus,” as defined in
Rule 433 (an “Issuer Free Writing Prospectus”), or that would otherwise constitute a “free writing
prospectus,” as defined in Rule 405, required to be filed with the Commission. The Company
represents that any Issuer Free Writing Prospectus prepared by it will not include any information
that conflicts with the information contained in any Registration Statement or the related
Prospectus and, any Issuer Free Writing Prospectus, when taken together with the information in
such Registration Statement and the related Prospectus, will not include any untrue

A-6

 

statement of a material fact or omit to state any material fact necessary in order to make the
statements therein, in light of the circumstances under which they were made, not misleading.

     (d) Underwriting. The Company shall advise all Holders of the underwriter for the
Underwritten Offering proposed under the IPO Registration Statement. The right of any such
Holder’s Registrable Shares to be included in the IPO Registration Statement pursuant to Section
2(b) shall be conditioned upon such Holder’s participation in such underwriting and the inclusion
of such Holder’s Registrable Shares in the underwriting to the extent provided herein. All Holders
proposing to distribute their Registrable Shares through such underwriting shall enter into an
underwriting agreement in customary form with the managing underwriter(s) selected for such
underwriting and complete and execute any questionnaires, powers of attorney, indemnities, custody
agreements, securities escrow agreements and other documents reasonably required under the terms of
such underwriting, and furnish to the Company such information as the Company may reasonably
request in writing for inclusion in the Registration Statement; provided, however, that no Holder
shall be required to make any representations or warranties to or agreements with the Company or
the underwriters other than representations, warranties or agreements regarding such Holder and
such Holder’s intended method of distribution and any other representation required by law or
reasonably requested by the underwriters. Notwithstanding any other provision of this Agreement,
if the managing underwriter(s) determine(s) in good faith that marketing factors require a
limitation on the number of shares to be included, then the managing underwriter(s) may exclude
shares (including Registrable Shares) from the IPO Registration Statement and Underwritten
Offering, and any shares included in such IPO Registration Statement and Underwritten Offering
shall be allocated first, to the Company, and second, to each of the Holders requesting inclusion
of their Registrable Shares in such IPO Registration Statement (on a pro rata basis based on the
total number of Registrable Shares then held by each such Holder who is requesting inclusion);
provided, however, that the number of Registrable Shares to be included in the IPO Registration
Statement shall not be reduced unless all other securities of the Company held by (i) officers,
directors, other employees of the Company and consultants; and (ii) other holders of the Company’s
capital stock with registration rights that are inferior (with respect to such reduction) to the
registration rights of the Holders set forth herein, are first entirely excluded from the
underwriting and registration; provided, further, however, that Holders of Registrable Shares shall
be permitted to include Registrable Shares comprising at least 25% of the total securities included
in the Underwritten Offering proposed under the IPO Registration Statement.

          By electing to include the Registrable Shares in the IPO Registration Statement, the Holder of
such Registrable Shares shall be deemed to have agreed not to effect any public sale or
distribution of securities of the Company of the same or similar class or classes of the securities
included in the IPO Registration Statement or any securities convertible into or exchangeable or
exercisable for such securities, including a sale pursuant to Rule 144 or Rule 144A under the
Securities Act, during such periods as reasonably requested (but in no event for a period longer
than thirty (30) days prior to and one hundred eighty (180) days following the effective date of
the IPO Registration Statement) by the representatives of the underwriters, if an Underwritten
Offering, or by the Company in any other registration.

          If any Holder disapproves of the terms of any such underwriting, such Holder may elect to
withdraw therefrom by written notice to the Company and the managing underwriter(s),

A-7

 

delivered at least ten (10) Business Days prior to the effective date of the IPO Registration
Statement. Any Registrable Shares excluded or withdrawn from such underwriting shall be excluded
and withdrawn from the registration.

     (e) Expenses. The Company shall pay all Registration Expenses in connection with the
registration of the Registrable Shares pursuant to this Agreement. Each Holder participating in a
registration pursuant to this Section 2 shall bear such Holder’s proportionate share (based on the
total number of Registrable Shares sold in such registration) of all discounts and commissions
payable to underwriters or brokers in connection with a registration of Registrable Shares pursuant
to this Agreement.

     (f) Executive Bonuses. If the Company does not file a Registration Statement registering the
resale of the Accredited Investor Shares, the Rule 144A Shares, and the Regulation S Shares within
120 days after the Closing Date, other than as a result of the Commission being unable to accept
such filings (a “Registration Default”), then, for each day the Registration Default continues,
each of J. Michael Pearson, President, Chief Executive Officer and Chief Operating Officer and Mark
R. Stauffer, Chief Financial Officer and Secretary, shall forfeit 1.0% of any bonus that would
otherwise become payable to him in the 2007 fiscal year after the date of this Agreement (or to
which he became entitled as a result of performance during the 2007 fiscal year) but excluding any
amounts payable under the Transaction Bonus Agreements dated April 2, 2007, whether under an
employment agreement with the Company, a bonus plan or any other bonus arrangement, including any
bonus compensation for which payment would otherwise be deferred until after 2007. No bonuses,
compensation, awards, equity compensation or other amounts shall be payable or granted in lieu of
or to make such President, Chief Executive Officer and Chief Operating Officer or Chief Financial
Officer and Secretary whole for any such forfeited bonuses.

3. Rules 144 and 144A Reporting

     With a view to making available the benefits of certain rules and regulations of the
Commission that may at any time permit the sale of the Registrable Shares to the public without
registration, the Company agrees to:

     (a) use commercially reasonable efforts to make and keep public information available, as
those terms are understood and defined in Rule 144 under the Securities Act, at all times after the
effective date of the first registration statement under the Securities Act filed by the Company
for an offering of its securities to the general public;

     (b) use commercially reasonable efforts to file with the Commission in a timely manner all
reports and other documents required to be filed by the Company under the Securities Act and the
Exchange Act (at any time after it has become subject to such reporting requirements);

     (c) so long as a Holder owns any Registrable Shares, if the Company is not required to file
reports and other documents under the Securities Act and the Exchange Act, it will make available
other information as required by, and so long as necessary to permit sales of Registrable

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Shares pursuant to, Rule 144A and, commencing at such time as sales are permitted under Rule 144,
Rule 144, and in any event shall make available (either by mailing a copy thereof, by posting on
the Company’s website, or by press release) to each Holder a copy of:

     (i) the Company’s annual consolidated financial statements (including at least balance
sheets, statements of profit and loss, statements of stockholders’ equity and statements of
cash flows) prepared in accordance with generally accepted accounting principles in the
U.S., accompanied by an audit report of the Company’s independent accountants, no later than
ninety (90) days after the end of each fiscal year of the Company; and

     (ii) the Company’s unaudited quarterly financial statements (including at least balance
sheets, statements of profit and loss, statements of stockholders’ equity and statements of
cash flows) prepared in a manner substantially consistent with the preparation of the
Company’s annual financial statements, no later than forty-five (45) days after the end of
each fiscal quarter of the Company;

The Company shall hold, a reasonable time after the availability of such financial statements and
upon reasonable notice to the Holders and FBR (either by mail, by posting on the Company’s website,
or by press release), a quarterly investor conference call to discuss such financial statements,
which call will also include an opportunity for the Holders to ask questions of management with
regard to such financial statements, and will also cooperate with, and make management reasonably
available to, FBR personnel in connection with making Company information available to investors;
and

     (d) at any time after it has become subject to the reporting requirements of the Exchange Act,
so long as a Holder owns any Registrable Shares, to furnish to the Holder promptly upon request (i)
a written statement by the Company as to its compliance with the reporting requirements of Rule 144
(at any time after ninety (90) days after the effective date of the first registration statement
filed by the Company for an offering of its securities to the general public), and of the
Securities Act and the Exchange Act, (ii) a copy of the most recent annual or quarterly report of
the Company, and (iii) such other reports and documents of the Company, and take such further
actions, as a Holder may reasonably request in availing itself of any rule or regulation of the
Commission allowing a Holder to sell any such Registrable Shares without registration.

4. Registration Procedures

     In connection with the obligations of the Company with respect to any registration pursuant to
this Agreement, the Company shall use its commercially reasonable efforts to effect or cause to be
effected the registration of the Registrable Shares under the Securities Act to permit the sale of
such Registrable Shares by the Holder or Holders in accordance with the Holder’s or Holders’
intended method or methods of distribution, and the Company shall:

     (a) notify FBR and Selling Holders’ Counsel, in writing, at least ten (10) Business Days prior
to filing a Registration Statement, of its intention to file a Registration Statement with

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the Commission and, at least five (5) Business Days prior to filing, provide a copy of the
Registration Statement to FBR, its counsel and Selling Holders’ Counsel for review and comment;
prepare and file with the Commission, as specified in this Agreement, a Registration Statement(s),
which Registration Statement(s) shall (x) comply as to form in all material respects with the
requirements of the applicable form and include all financial statements required by the Commission
to be filed therewith and (y) be reasonably acceptable to FBR, its counsel and Selling Holders’
Counsel; notify FBR and Selling Holders’ Counsel in writing, at least five (5) Business Days prior
to filing of any amendment or supplement to such Registration Statement and, at least three (3)
Business Days prior to filing, provide a copy of such amendment or supplement to FBR, its counsel
and Selling Holders’ Counsel for review and comment; promptly following receipt from the
Commission, provide to FBR, its counsel and Selling Holders’ Counsel copies of any comments made by
the staff of the Commission relating to such Registration Statement and of the Company’s responses
thereto for review and comment; and use its commercially reasonable efforts to cause such
Registration Statement to become effective as soon as practicable after filing and to remain
effective, subject to Section 5 hereof, until the earlier of (i) such time as all Registrable
Shares covered thereby have been sold in accordance with the intended distribution of such
Registrable Shares, (ii) there are no Registrable Shares outstanding or (iii) the second
anniversary of the initial effective date of such Registration Statement (subject to extension as
provided in Section 5(c) hereof); provided, however, that the Company shall not be required to
cause the IPO Registration Statement to remain effective for any period longer than ninety (90)
days following the effective date of the IPO Registration Statement (subject to extension as
provided in Section 5(c) hereof); provided, further, that if the Company has an effective Shelf
Registration Statement on Form S-1 under the Securities Act and becomes eligible to use Form S-3 or
such other short-form registration statement form under the Securities Act, the Company may, upon
twenty (20) Business Days prior written notice to all Holders, register any Registrable Shares
registered but not yet distributed under the effective Shelf Registration Statement on such a
short-form Shelf Registration Statement and, once the short-form Shelf Registration Statement is
declared effective, de-register such shares under the previous Registration Statement or transfer
the filing fees from the previous Registration Statement (such transfer pursuant to Rule 429, if
applicable) unless any Holder registered under the initial Shelf Registration Statement notifies
the Company within fifteen (15) Business Days of receipt of the Company notice that such a
registration under a new Registration Statement and de-registration of the initial Shelf
Registration Statement would interfere with its distribution of Registrable Shares already in
progress;

     (b) subject to Section 4(i) hereof, (i) prepare and file with the Commission such amendments
and post-effective amendments to each such Registration Statement as may be necessary to keep such
Registration Statement effective for the period described in Section 4(a) hereof; (ii) cause each
Prospectus contained therein to be supplemented by any required Prospectus supplement, and as so
supplemented to be filed pursuant to Rule 424 or any similar rule that may be adopted under the
Securities Act; and (iii) comply with the provisions of the Securities Act with respect to the
disposition of all securities covered by each Registration Statement during the applicable period
in accordance with the intended method or methods of distribution by the selling Holders thereof;

     (c) furnish to the Holders, without charge, as many copies of each Prospectus, including each
preliminary Prospectus, and any amendment or supplement thereto and such other

A-10

 

documents as such Holder may reasonably request, in order to facilitate the public sale or other
disposition of the Registrable Shares; the Company consents to the use of such Prospectus,
including each preliminary Prospectus, by the Holders, if any, in connection with the offering and
sale of the Registrable Shares covered by any such Prospectus;

     (d) use its commercially reasonable efforts to register or qualify, or obtain exemption from
registration or qualification for, all Registrable Shares by the time the applicable Registration
Statement is declared effective by the Commission under all applicable state securities or “blue
sky” laws of such jurisdictions as FBR or any Holder of Registrable Shares covered by a
Registration Statement shall reasonably request in writing, keep each such registration or
qualification or exemption effective during the period such Registration Statement is required to
be kept effective pursuant to Section 4(a) and do any and all other acts and things that may be
reasonably necessary to enable such Holder to consummate the disposition in each such jurisdiction
of such Registrable Shares owned by such Holder; provided, however, that the Company shall not be
required to (i) qualify generally to do business in any jurisdiction or to register as a broker or
dealer in such jurisdiction where it would not otherwise be required to qualify but for this
Section 4(d) and except as may be required by the Securities Act, (ii) subject itself to taxation
in any such jurisdiction, or (iii) submit to the general service of process in any such
jurisdiction;

     (e) use its commercially reasonable efforts to cause all Registrable Shares covered by such
Registration Statement to be registered and approved by such other governmental agencies or
authorities as may be necessary to enable the Holders thereof to consummate the disposition of such
Registrable Shares;

     (f) (i) notify FBR and each Holder promptly and, if requested by FBR or any Holder, confirm
such advice in writing (1) when a Registration Statement has become effective and when any
post-effective amendments and supplements thereto become effective, (2) of the issuance by the
Commission or any state securities authority of any stop order suspending the effectiveness of a
Registration Statement or the initiation of any proceedings for that purpose, (3) of any request by
the Commission or any other federal, state or foreign governmental authority for (A) amendments or
supplements to a Registration Statement or related Prospectus or (B) additional information and (4)
of the happening of any event during the period a Registration Statement is effective as a result
of which such Registration Statement or the related Prospectus or any document incorporated by
reference therein contains any untrue statement of a material fact or omits to state any material
fact required to be stated therein or necessary to make the statements therein not misleading
(which information shall be accompanied by an instruction to suspend the use of the Prospectus
until the requisite changes have been made) and (ii) at the request of any such Holder, promptly to
furnish to such Holder a reasonable number of copies of a supplement to or an amendment of such
Prospectus as may be necessary so that, as thereafter delivered to the purchaser of such
securities, such Prospectus shall not include an untrue statement of a material fact or omit to
state a material fact required to be stated therein or necessary to make the statements therein not
misleading;

     (g) except as provided in Section 5, make every reasonable effort to avoid the issuance of, or
if issued, to obtain the withdrawal of, any order enjoining or suspending the use or effectiveness
of a Registration Statement or suspending of the qualification (or exemption from

A-11

 

qualification) of any of the Registrable Shares for sale in any jurisdiction, as promptly as
practicable;

     (h) upon written request, furnish to each requesting Holder of Registrable Shares, without
charge, at least one conformed copy of each Registration Statement and any post-effective amendment
or supplement thereto (without documents incorporated therein by reference or exhibits thereto,
unless requested);

     (i) except as provided in Section 5, upon the occurrence of any event contemplated by Section
4(f)(i)(4) hereof, use its commercially reasonable efforts to promptly prepare a supplement or
post-effective amendment to a Registration Statement or the related Prospectus or any document
incorporated therein by reference or file any other required document so that, as thereafter
delivered to the purchasers of the Registrable Shares, such Prospectus will not contain any untrue
statement of a material fact or omit to state a material fact required to be stated therein or
necessary to make the statements therein, in the light of the circumstances under which they were
made, not misleading;

     (j) if requested by the representative of the underwriters, if any, or any Holders of
Registrable Shares being sold in connection with such offering, (i) promptly incorporate in a
Prospectus supplement or post-effective amendment such information as the representative of the
underwriters, if any, or such Holders indicate relates to them or that they reasonably request be
included therein and (ii) make all required filings of such Prospectus supplement or such
post-effective amendment as soon as practicable after the Company has received notification of the
matters to be incorporated in such Prospectus supplement or post-effective amendment; provided,
however, that the Company shall not be required to prepare or file a Prospectus supplement or post
effective amendment to name additional selling stockholders therein more than once in any thirty
(30) day period;

     (k) in the case of an Underwritten Offering, use its commercially reasonable efforts to
furnish to the underwriters a signed counterpart, addressed to the underwriters, of: (i) an opinion
of counsel for the Company, dated the date of each closing under the underwriting agreement,
reasonably satisfactory to the underwriters; and (ii) a “comfort” letter, dated the effective date
of such Registration Statement and the date of each closing under the underwriting agreement,
signed by the independent public accountants who have certified the Company’s financial statements
included in such Registration Statement, covering substantially the same matters with respect to
such Registration Statement (and the Prospectus included therein) and with respect to events
subsequent to the date of such financial statements, as are customarily covered in accountants’
letters delivered to underwriters in underwritten public offerings of securities and such other
financial matters as the underwriters may reasonably request;

     (l) enter into customary agreements (including in the case of an Underwritten Offering, an
underwriting agreement in customary form) and take all other action in connection therewith in
order to expedite or facilitate the distribution of the Registrable Shares included in such
Registration Statement and, in the case of an Underwritten Offering, make representations and
warranties to the underwriters in such form and scope as are customarily made by issuers to

A-12

 

underwriters in underwritten offerings and confirm the same to the extent customary if and when
requested;

     (m) make available for inspection by representatives of the Holders and the representative of
any underwriters participating in any disposition pursuant to a Registration Statement and any
special counsel or accountants retained by such Holders or underwriters, all financial and other
records, pertinent corporate documents and properties of the Company and cause the respective
officers, directors and employees of the Company to supply all information reasonably requested by
any such representatives, the representative of the underwriters, counsel thereto or accountants in
connection with a Registration Statement; provided, however, that such records, documents or
information that the Company determines, in good faith, to be confidential and notifies such
representatives, representative of the underwriters, counsel thereto or accountants are
confidential shall not be disclosed by the representatives, representative of the underwriters,
counsel thereto or accountants unless (i) the disclosure of such records, documents or information
is necessary to avoid or correct a misstatement or omission in a Registration Statement or
Prospectus, (ii) the release of such records, documents or information is ordered pursuant to a
subpoena or other order from a court of competent jurisdiction, or (iii) such records, documents or
information have been generally made available to the public;

     (n) use its commercially reasonable efforts (including, without limitation, seeking to cure
any deficiencies cited by the exchange or market in the Company’s listing or inclusion application)
to list or include all Registrable Shares on the New York Stock Exchange or the Nasdaq Global
Market;

     (o) prepare and file in a timely manner all documents and reports required by the Exchange Act
and, to the extent the Company’s obligation to file such reports pursuant to Section 15(d) of the
Exchange Act expires prior to the expiration of the effectiveness period of the Registration
Statement as required by Section 4(a) hereof, the Company shall register the Registrable Shares
under the Exchange Act and shall maintain such registration through the effectiveness period
required by Section 4(a) hereof;

     (p) provide a CUSIP number for all Registrable Shares, not later than the effective date of
the Registration Statement;

     (q) (i) otherwise use its commercially reasonable efforts to comply with all applicable rules
and regulations of the Commission, (ii) make generally available to its stockholders, as soon as
reasonably practicable, earnings statements covering at least 12 months that satisfy the provisions
of Section 11(a) of the Securities Act and Rule 158 (or any similar rule promulgated under the
Securities Act) thereunder, but in no event later than ninety (90) days after the end of each
fiscal year of the Company and (iii) not file any Registration Statement or Prospectus or amendment
or supplement to such Registration Statement or Prospectus to which any Holder of Registrable
Shares covered by any Registration Statement shall have reasonably objected on the grounds that
such Registration Statement or Prospectus or amendment or supplement does not comply in all
material respects with the requirements of the Securities Act, such Holder having been furnished
with a copy thereof at least two (2) Business Days prior to the filing thereof;

A-13

 

     (r) provide and cause to be maintained a registrar and transfer agent for all Registrable
Shares covered by any Registration Statement from and after a date not later than the effective
date of such Registration Statement;

     (s) in connection with any sale or transfer of the Registrable Shares (whether or not pursuant
to a Registration Statement) that will result in the securities being delivered no longer being
Registrable Shares, cooperate with the Holders and the representative of the underwriters, if any,
to facilitate the timely preparation and delivery of certificates representing the Registrable
Shares to be sold, which certificates shall not bear any restrictive transfer legends and to enable
such Registrable Shares to be in such denominations and registered in such names as the
representative of the underwriters, if any, or the Holders may request at least two (2) Business
Days prior to any sale of the Registrable Shares;

     (t) in connection with the initial filing of a Shelf Registration Statement and each amendment
thereto with the Commission pursuant to Section 2(a) hereof, cooperate with FBR in connection with
the filing with the NASD of all forms and information required or requested by the NASD in order to
obtain written confirmation from the NASD that the NASD does not object to the fairness and
reasonableness of the underwriting terms and arrangements (or any deemed underwriting terms and
arrangements) (each such written confirmation, a “No Objections Letter”) relating to the resale of
Registrable Shares pursuant to the Shelf Registration Statement, including, without limitation,
information provided to the NASD through its COBRADesk system, and pay all reasonable costs, fees
and expenses incident to the NASD’s review of the Shelf Registration Statement and the related
underwriting terms and arrangements, including, without limitation, all filing fees associated with
any filings or submissions to the NASD and the legal expenses, filing fees and other disbursements
of FBR and any other NASD member that is the holder of, or is affiliated or associated with an
owner of, Registrable Shares included in the Shelf Registration Statement (including in connection
with any initial or subsequent member filing);

     (u) in connection with the initial filing of a Shelf Registration Statement and each amendment
thereto with the Commission pursuant to Section 2(a) hereof, provide to FBR and its
representatives, the opportunity to conduct due diligence, including, without limitation, an
inquiry of the Company’s financial and other records, and make available members of its management
for questions regarding information which FBR may request in order to fulfill any due diligence
obligation on its part; and

     (v) upon effectiveness of the first Registration Statement filed under this Agreement, take
such actions and make such filings as are necessary to effect the registration of the Common Stock
under the Exchange Act simultaneously with or immediately following the effectiveness of the
Registration Statement.

     The Company may require the Holders to furnish to the Company such information regarding the
proposed distribution by such Holder of such Registrable Shares as the Company may from time to
time reasonably request in writing or as shall be required to effect the registration of the
Registrable Shares, and no Holder shall be entitled to be named as a selling stockholder in any
Registration Statement and no Holder shall be entitled to use the Prospectus forming a part thereof
if such Holder does not provide such information to the Company. Each Holder further

A-14

 

agrees to furnish promptly to the Company in writing all information required from time to time to
make the information previously furnished by such Holder not misleading.

     Each Holder agrees that, upon receipt of any notice from the Company of the happening of any
event of the kind described in Section 4(f)(i)(3)(A) or 4(f)(i)(4) hereof, such Holder will
immediately discontinue disposition of Registrable Shares pursuant to a Registration Statement
until such Holder’s receipt of the copies of the supplemented or amended Prospectus. If so
directed by the Company, such Holder will deliver to the Company (at the expense of the Company)
all copies in its possession, other than permanent file copies then in such Holder’s possession, of
the Prospectus covering such Registrable Shares current at the time of receipt of such notice.

5. Black-Out Period

     (a) Subject to the provisions of this Section 5 and a good faith determination by a majority
of the independent members of the board of directors of the Company (the “Board of Directors”) that
it is in the best interests of the Company to suspend the use of the Registration Statement,
following the effectiveness of a Registration Statement (and the filings with any international,
federal or state securities commissions), the Company, by written notice to FBR and the Holders,
may direct the Holders to suspend sales of the Registrable Shares pursuant to a Registration
Statement for such times as the Company reasonably may determine is necessary and advisable (but in
no event for more than an aggregate of ninety (90) days in any rolling twelve (12) month period
commencing on the Closing Date or more than sixty (60) days in any rolling ninety (90) day period,
except as a result of a review of any post effective amendment by the Commission prior to declaring
any post effective amendment to the Registration Statement effective; provided the Company has used
all commercially reasonable efforts to cause such post effective amendment to be declared
effective), if any of the following events shall occur: (i) the representative of the underwriters
of an Underwritten Offering of primary shares by the Company has advised the Company that the sale
of Registrable Shares pursuant to the Registration Statement would have a material adverse effect
on the Company’s primary offering; (ii) the majority of the independent members of the Board of
Directors of the Company shall have determined in good faith that (A) the offer or sale of any
Registrable Shares would materially impede, delay or interfere with any proposed financing, offer
or sale of securities, acquisition, merger, tender offer, business combination, corporate
reorganization or other significant transaction involving the Company, (B) after the advice of
counsel, the sale of Registrable Shares pursuant to the Registration Statement would require
disclosure of non-public material information not otherwise required to be disclosed under
applicable law, and (C) (x) the Company has a bona fide business purpose for preserving the
confidentiality of such transaction or information, (y) disclosure would have a material adverse
effect on the Company or the Company’s ability to consummate such transaction, or (z) renders the
Company unable to comply with Commission requirements, in each case under circumstances that would
make it impractical or inadvisable to cause the Registration Statement (or such filings) to become
effective or to promptly amend or supplement the Registration Statement on a post-effective basis,
as applicable; or (iii) the majority of the independent members of the Board of Directors of the
Company shall have determined in good faith, after the advice of counsel, that it is required by
law, rule or regulation or that it is in the best interests of the

A-15

 

Company to supplement the Registration Statement or file a post-effective amendment to the
Registration Statement in order to incorporate information into the Registration Statement for the
purpose of (1) including in the Registration Statement any prospectus required under Section
10(a)(3) of the Securities Act; (2) reflecting in the prospectus included in the Registration
Statement any facts or events arising after the effective date of the Registration Statement (or of
the most recent post-effective amendment) that, individually or in the aggregate, represents a
fundamental change in the information set forth therein; or (3) including in the prospectus
included in the Registration Statement any material information with respect to the plan of
distribution not disclosed in the Registration Statement or any material change to such
information. Upon the occurrence of any such suspension, the Company shall use commercially
reasonable efforts to cause the Registration Statement to become effective or to promptly amend or
supplement the Registration Statement on a post-effective basis or to take such action as is
necessary to make resumed use of the Registration Statement compatible with the Company’s best
interests, as applicable, so as to permit the Holders to resume sales of the Registrable Shares as
soon as possible.

     (b) In the case of an event that causes the Company to suspend the use of a Registration
Statement (a “Suspension Event”), the Company shall give written notice (a “Suspension Notice”) to
FBR and the Holders to suspend sales of the Registrable Shares and such notice shall state
generally the basis for the notice and that such suspension shall continue only for so long as the
Suspension Event or its effect is continuing and the Company is using commercially reasonable
efforts and taking all reasonable steps to terminate suspension of the use of the Registration
Statement as promptly as possible. The Holders shall not effect any sales of the Registrable
Shares pursuant to such Registration Statement (or such filings) at any time after it has received
a Suspension Notice from the Company and prior to receipt of an End of Suspension Notice (as
defined below). If so directed by the Company, each Holder will deliver to the Company (at the
expense of the Company) all copies other than permanent file copies then in such Holder’s
possession of the Prospectus covering the Registrable Shares at the time of receipt of the
Suspension Notice. The Holders may recommence effecting sales of the Registrable Shares pursuant
to the Registration Statement (or such filings) following further notice to such effect (an “End of
Suspension Notice”) from the Company, which End of Suspension Notice shall be given by the Company
to the Holders and FBR in the manner described above promptly following the conclusion of any
Suspension Event and its effect.

     (c) Notwithstanding any provision herein to the contrary, if the Company shall give a
Suspension Notice pursuant to this Section 5, the Company agrees that it shall extend the period of
time during which the applicable Registration Statement shall be maintained effective pursuant to
this Agreement by the number of days during the period from the date of receipt by the Holders of
the Suspension Notice to and including the date of receipt by the Holders of the End of Suspension
Notice and copies of the supplemented or amended Prospectus necessary to resume sales.

6. Indemnification and Contribution

     (a) The Company agrees to indemnify and hold harmless (i) each Holder of Registrable Shares
and any underwriter (as determined in the Securities Act) for such Holder (including, if

A-16

 

applicable, FBR), (ii) each Person, if any, who controls (within the meaning of Section 15 of the
Securities Act or Section 20(a) of the Exchange Act) any such Person described in clause (i) (any
of the Persons referred to in this clause (ii) being hereinafter referred to as a “Controlling
Person”), and (iii) the respective officers, directors, partners, employees, representatives and
agents of any such Person or any Controlling Person (any Person referred to in clause (i), (ii) or
(iii) above may hereinafter be referred to as a “Purchaser Indemnitee”), to the fullest extent
lawful, from and against any and all losses, claims, damages, judgments, actions, out-of-pocket
expenses, and other liabilities (the “Liabilities”), including without limitation and as incurred,
reimbursement of all reasonable costs of investigating, preparing, pursuing or defending any claim
or action, or any investigation or proceeding by any governmental agency or body, commenced or
threatened, including the reasonable fees and expenses of counsel to any Purchaser Indemnitee,
joint or several, directly or indirectly related to, based upon, arising out of or in connection
with any untrue statement or alleged untrue statement of a material fact contained in any
Registration Statement (or any amendment thereto), any Prospectus (or any amendment or supplement
thereto) or any Issuer Free Writing Prospectus prepared by the Company (or any amendment or
supplement thereto), or any preliminary Prospectus or any other document used to sell the Shares,
or any omission or alleged omission to state therein a material fact required to be stated therein
or necessary to make the statements therein, in light of the circumstances under which they were
made, not misleading, except insofar as such Liabilities arise out of or are based upon any untrue
statement or omission or alleged untrue statement or omission made in reliance upon and in
conformity with information relating to any Purchaser Indemnitee furnished to the Company or any
underwriter in writing by such Purchaser Indemnitee expressly for use therein. The Company shall
notify the Holders promptly of the institution, threat or assertion of any claim, proceeding
(including any governmental investigation), or litigation of which it shall have become aware in
connection with the matters addressed by this Agreement which involves the Company or a Purchaser
Indemnitee. The indemnity provided for herein shall remain in full force and effect regardless of
any investigation made by or on behalf of any Purchaser Indemnitee.

     (b) In connection with any Registration Statement in which a Holder of Registrable Shares is
participating, such Holder agrees, severally and not jointly, to indemnify and hold harmless the
Company, each Person who controls the Company within the meaning of Section 15 of the Securities
Act or Section 20(a) of the Exchange Act and the respective partners, directors, officers, members,
representatives, employees and agents of such Person or Controlling Person to the same extent as
the foregoing indemnity from the Company to each Purchaser Indemnitee, but only with reference to
untrue statements or omissions or alleged untrue statements or omissions made in reliance upon and
in strict conformity with information relating to such Holder furnished to the Company in writing
by such Holder expressly for use in such Registration Statement (or any amendment thereto),
Prospectus (or any amendment or supplement thereto), Issuer Free Writing Prospectus (or any
amendment or supplement thereto) or any preliminary Prospectus. Absent gross negligence or willful
misconduct, the liability of any Holder pursuant to this paragraph shall in no event exceed the net
proceeds received by such Holder from sales of Registrable Shares pursuant to such Registration
Statement (or any amendment thereto), Prospectus (or any amendment or supplement thereto), Issuer
Free Writing Prospectus (or any amendment or supplement thereto) or any preliminary Prospectus.

A-17

 

     (c) If any suit, action, proceeding (including any governmental or regulatory investigation),
claim or demand shall be brought or asserted against any Person in respect of which indemnity may
be sought pursuant to paragraph (a) or (b) above, such Person (the “Indemnified Party”) shall
promptly notify the Person against whom such indemnity may be sought (the “Indemnifying Party”) in
writing of the commencement thereof (but the failure to so notify an Indemnifying Party shall not
relieve it from any liability which it may have under this Section 6, except to the extent the
Indemnifying Party is materially prejudiced by the failure to give notice), and the Indemnifying
Party, upon request of the Indemnified Party, shall retain counsel reasonably satisfactory to the
Indemnified Party to represent the Indemnified Party and any others the Indemnifying Party may
reasonably designate in such proceeding and shall pay the reasonable fees and expenses actually
incurred by such counsel related to such proceeding. Notwithstanding the foregoing, in any such
proceeding, any Indemnified Party shall have the right to retain its own counsel, but the fees and
expenses of such counsel shall be at the expense of such Indemnified Party, unless (i) the
Indemnifying Party and the Indemnified Party shall have mutually agreed in writing to the contrary,
(ii) the Indemnifying Party failed within a reasonable time after notice of commencement of the
action to assume the defense and employ counsel reasonably satisfactory to the Indemnified Party,
(iii) the Indemnifying Party and its counsel do not actively and vigorously pursue the defense of
such action or (iv) the named parties to any such action (including any impleaded parties) include
both such Indemnified Party and Indemnifying Party, or any Affiliate of the Indemnifying Party, and
such Indemnified Party shall have been reasonably advised by counsel that, either (x) there may be
one or more legal defenses available to it which are different from or additional to those
available to the Indemnifying Party or such Affiliate of the Indemnifying Party or (y) a conflict
may exist between such Indemnified Party and the Indemnifying Party or such Affiliate of the
Indemnifying Party (in which case the Indemnifying Party shall not have the right to assume nor
direct the defense of such action on behalf of such Indemnified Party; it being understood,
however, that the Indemnifying Party shall not, in connection with any one such action or separate
but substantially similar or related actions in the same jurisdiction arising out of the same
general allegations or circumstances, be liable for the fees and expenses of more than one separate
firm of attorneys (in addition to any local counsel) for all such Indemnified Parties, which firm
shall be designated in writing by those Indemnified Parties who sold a majority of the Registrable
Shares sold by all such Indemnified Parties and any such separate firm for the Company, the
directors, the officers and such control Persons of the Company as shall be designated in writing
by the Company). The Indemnifying Party shall not be liable for any settlement of any proceeding
effected without its written consent, which consent shall not be unreasonably withheld, but if
settled with such consent or if there is a final judgment for the plaintiff, the Indemnifying Party
agrees to indemnify any Indemnified Party from and against any loss or liability by reason of such
settlement or judgment. No Indemnifying Party shall, without the prior written consent of the
Indemnified Party, effect any settlement of any pending or threatened proceeding in respect of
which any Indemnified Party is or could have been a party and indemnity could have been sought
hereunder by such Indemnified Party, unless such settlement includes an unconditional release of
such Indemnified Party from all liability on claims that are the subject matter of such proceeding.

     (d) If the indemnification provided for in paragraphs (a) and (b) of this Section 6 is for any
reason held to be unavailable to an Indemnified Party in respect of any Liabilities referred to
therein (other than by reason of the exceptions provided therein) or is insufficient to hold
harmless

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a party indemnified thereunder, then each Indemnifying Party under such paragraphs, in lieu of
indemnifying such Indemnified Party thereunder, shall contribute to the amount paid or payable by
such Indemnified Party as a result of such Liabilities (i) in such proportion as is appropriate to
reflect the relative benefits of the Indemnified Party on the one hand and the Indemnifying
Party(ies) on the other in connection with the statements or omissions that resulted in such
Liabilities, or (ii) if the allocation provided by clause (i) above is not permitted by applicable
law, in such proportion as is appropriate to reflect not only the relative benefits referred to in
clause (i) above but also the relative fault of the Indemnifying Party(ies) and the Indemnified
Party, as well as any other relevant equitable considerations. The relative fault of the Company
on the one hand and any Purchaser Indemnitees on the other shall be determined by reference to,
among other things, whether the untrue or alleged untrue statement of a material fact or the
omission or alleged omission to state a material fact relates to information supplied by the
Company or by such Purchaser Indemnitees and the parties’ relative intent, knowledge, access to
information and opportunity to correct or prevent such statement or omission.

     (e) The parties agree that it would not be just and equitable if contribution pursuant to this
Section 6 were determined by pro rata allocation (even if such Indemnified Parties were treated as
one entity for such purpose), or by any other method of allocation that does not take account of
the equitable considerations referred to in paragraph 6(d) above. The amount paid or payable by an
Indemnified Party as a result of any Liabilities referred to paragraph 6(d) shall be deemed to
include, subject to the limitations set forth above, any reasonable legal or other expenses
actually incurred by such Indemnified Party in connection with investigating or defending any such
action or claim. Notwithstanding the provisions of this Section 6, in no event shall a Purchaser
Indemnitee be required to contribute any amount in excess of the amount by which the net proceeds
received by such Purchaser Indemnitee from sales of Registrable Shares exceeds the amount of any
damages that such Purchaser Indemnitee has otherwise been required to pay by reason of such untrue
or alleged untrue statement or omission or alleged omission. For purposes of this Section 6, each
Person, if any, who controls (within the meaning of Section 15 of the Securities Act or Section
20(a) of the Exchange Act) FBR or a Holder of Registrable Shares shall have the same rights to
contribution as FBR or such Holder, as the case may be, and each Person, if any, who controls
(within the meaning of Section 15 of the Securities Act or Section 20(a) of the Exchange Act) the
Company, and each officer, director, partner, employee, representative, agent or manager of the
Company shall have the same rights to contribution as the Company. Any party entitled to
contribution will, promptly after receipt of notice of commencement of any action, suit or
proceeding against such party in respect of which a claim for contribution may be made against
another party or parties, notify each party or parties from whom contribution may be sought, but
the omission to so notify such party or parties shall not relieve the party or parties from whom
contribution may be sought from any obligation it or they may have under this Section 6 or
otherwise, except to the extent that any party is materially prejudiced by the failure to give
notice. No Person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of
the Securities Act) shall be entitled to contribution from any Person who was not guilty of such
fraudulent misrepresentation.

     (f) The indemnity and contribution agreements contained in this Section 6 will be in addition
to any liability which the Indemnifying Parties may otherwise have to the Indemnified Parties
referred to above. The Purchaser Indemnitee’s obligations to contribute pursuant to this

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Section 6 are several in proportion to the respective number of Shares sold by each of the
Purchaser Indemnitees hereunder and not joint.

7. Market Stand-off Agreement

     Each Holder hereby agrees that it shall not, to the extent requested by the Company or an
underwriter of securities of the Company, directly or indirectly sell, offer to sell (including
without limitation any short sale), grant any option or otherwise transfer or dispose of any
Registrable Shares or other shares of Common Stock of the Company or any securities convertible
into or exchangeable or exercisable for shares of Common Stock of the Company then owned by such
Holder (other than to donees or partners of the Holder who agree to be similarly bound) for a
period of sixty (60) days following the effective date of an IPO Registration Statement of the
Company filed under the Securities Act; provided, however, that:

     (a) the restrictions above shall not apply to Registrable Shares sold pursuant to the IPO
Registration Statement;

     (b) all executive officers and directors of the Company then holding shares of Common Stock of
the Company or securities convertible into or exchangeable or exercisable for shares of Common
Stock of the Company enter into agreements that are no less restrictive;

     (c) the Holders shall be allowed any concession or proportionate release allowed to any
officer or director that entered into agreements that are no less restrictive (with such proportion
being determined by dividing the number of shares being released with respect to such officer or
director by the total number of issued and outstanding shares held by such officer or director);
provided, that nothing in this Section 7(c) shall be construed as a right to proportionate release
for the executive officers and directors of the Company upon the expiration of the sixty (60) day
period applicable to all Holders other than the executive officers and directors of the Company;
and

     (d) this Section 7 shall not be applicable if a Shelf Registration Statement of the Company
filed under the Securities Act has been declared effective prior to the filing of an IPO
Registration Statement.

     In order to enforce the foregoing covenant, the Company shall have the right to place
restrictive legends on the certificates representing the securities subject to this Section 7 and
to impose stop transfer instructions with respect to the Registrable Shares and such other
securities of each Holder (and the securities of every other Person subject to the foregoing
restriction) until the end of such period.

8. Termination of the Company’s Obligation

     The Company shall have no obligation pursuant to this Agreement with respect to any
Registrable Shares proposed to be sold by a Holder in a registration pursuant to this Agreement if,

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in the opinion of counsel to the Company, all such Registrable Shares proposed to be sold by a
Holder may be sold in a three month period without registration under the Securities Act pursuant
to Rule 144 under the Securities Act.

9. Limitations on Subsequent Registration Rights

     From and after the date of this Agreement, the Company shall not, without the prior written
consent of Holders beneficially owning not less than a majority of the then outstanding Registrable
Shares (provided, however, that for purposes of this Section 9, Registrable Shares that are owned,
directly or indirectly, by an Affiliate of the Company shall not be deemed to be outstanding),
enter into any agreement with any holder or prospective holder of any securities of the Company
that would allow such holder or prospective holder (a) to include such securities in any
Registration Statement filed pursuant to the terms hereof, unless, under the terms of such
agreement, such holder or prospective holder may include such securities in any such registration
only to the extent that the inclusion of its securities will not reduce the amount of Registrable
Shares of the Holders that is included, or (b) to have its securities registered on a registration
statement that could be declared effective prior to, or within one hundred eighty (180) days of,
the effective date of any Registration Statement filed pursuant to this Agreement.

10. Miscellaneous

     (a) Remedies. In the event of a breach by the Company of any of its obligations under this
Agreement, each Holder, in addition to being entitled to exercise all rights provided herein or, in
the case of FBR, in the Purchase/Placement Agreement, or granted by law, including recovery of
damages, will be entitled to specific performance of its rights under this Agreement. Subject to
Section 6, the Company agrees that monetary damages would not be adequate compensation for any loss
incurred by reason of a breach by it of any of the provisions of this Agreement and hereby further
agree that, in the event of any action for specific performance in respect of such breach, it shall
waive the defense that a remedy at law would be adequate.

     (b) Amendments and Waivers. The provisions of this Agreement, including the provisions of
this sentence, may not be amended, modified or supplemented, and waivers or consents to or
departures from the provisions hereof may not be given, without the written consent of the Company
and Holders beneficially owning not less than a majority of the then outstanding Registrable
Shares; provided, however, that for purposes of this Section 10(b), Registrable Shares that are
owned, directly or indirectly, by an Affiliate of the Company shall not be deemed to be
outstanding. No amendment shall be deemed effective unless it applies uniformly to all Holders.
Notwithstanding the foregoing, a waiver or consent to or departure from the provisions hereof with
respect to a matter that relates exclusively to the rights of a Holder whose securities are being
sold pursuant to a Registration Statement and that does not directly or indirectly affect, impair,
limit or compromise the rights of other Holders may be given by such Holder; provided that the
provisions of this sentence may not be amended, modified or supplemented except in accordance with
the provisions of the immediately preceding sentence.

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     (c) Notices. All notices and other communications, provided for or permitted hereunder, shall
be made in writing and delivered by facsimile (with receipt confirmed), overnight courier or
registered or certified mail, return receipt requested, or by telegram:

     (i) if to a Holder, at the most current address given by the transfer agent and
registrar of the Shares to the Company; and

     (ii) if to the Company, at the offices of the Company at 12550 Fuqua Street, Houston,
Texas 77034, Attention: Chief Financial Officer; (facsimile: 713-852-6350); with a copy to
Vinson & Elkins L.L.P., The Terrace 7, 2801 Via Fortuna, Suite 100, Austin, Texas 78746,
Attention Kyle K. Fox (facsimile: 512-236-3340).

     (iii) if to FBR, at the offices of FBR at 1001 Nineteenth Street North, Arlington,
Virginia 22209, Attention: William Ginivan, Esq. (facsimile 703-469-1140); with a copy
(which shall not constitute notice) to Nelson Mullins Riley & Scarborough LLP, 101
Constitution Avenue, N.W., Suite 900, Washington, D.C. 20001, Attention: Jonathan H.
Talcott, Esq. (facsimile 202-712-2856).

     (d) Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon
the successors and assigns of each of the parties hereto, including, without limitation and without
the need for an express assignment or assumption, subsequent Holders. The Company agrees that the
Holders shall be third party beneficiaries to the agreements made hereunder by FBR and the Company,
and each Holder shall have the right to enforce such agreements directly to the extent it deems
such enforcement necessary or advisable to protect its rights hereunder; provided, however, that
such Holder fulfills all of its obligations hereunder.

     (e) Counterparts. This Agreement may be executed in any number of counterparts and by the
parties hereto in separate counterparts, each of which when so executed shall be deemed to be an
original and all of which taken together shall constitute one and the same agreement.

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

     (g) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE
LAWS OF THE STATE OF NEW YORK, AS APPLIED TO CONTRACTS MADE AND PERFORMED WITHIN THE STATE OF NEW
YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAW. EACH OF THE PARTIES HERETO HEREBY
IRREVOCABLY SUBMITS TO THE JURISDICTION OF ANY STATE COURT IN THE STATE OF NEW YORK OR ANY FEDERAL
COURT SITTING IN NEW YORK IN RESPECT OF ANY SUIT, ACTION OR PROCEEDING ARISING OUT OF OR RELATING
TO THIS AGREEMENT, AND IRREVOCABLY ACCEPTS FOR ITSELF AND IN RESPECT OF ITS PROPERTY, GENERALLY AND
UNCONDITIONALLY, THE JURISDICTION OF THE AFORESAID COURTS. EACH OF THE PARTIES HERETO IRREVOCABLY
WAIVES, TO THE FULLEST EXTENT IT MAY EFFECTIVELY DO SO UNDER APPLICABLE LAW, ANY OBJECTION THAT IT
MAY NOW OR HEREAFTER HAVE TO THE LAYING OF THE

A-22

 

VENUE OF ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT IN ANY SUCH COURT AND ANY CLAIM THAT ANY SUCH
SUIT, ACTION OR PROCEEDING BROUGHT IN ANY SUCH COURT HAS BEEN BROUGHT IN AN INCONVENIENT FORUM.

     (h) Severability. If any term, provision, covenant or restriction of this Agreement is held
by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the remainder
of the terms, provisions, covenants and restrictions set forth herein shall remain in full force
and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall
use their commercially reasonable efforts to find and employ an alternative means to achieve the
same or substantially the same result as that contemplated by such term, provision, covenant or
restriction. It is hereby stipulated and declared to be the intention of the parties hereto that
they would have executed the remaining terms, provisions, covenants and restrictions without
including any of such that may be hereafter declared invalid, illegal, void or unenforceable.

     (i) Entire Agreement. This Agreement, together with the Purchase/Placement Agreement, is
intended by the parties hereto as a final expression of their agreement, and is intended to be a
complete and exclusive statement of the agreement and understanding of the parties hereto in
respect of the subject matter contained herein and therein.

     (j) Registrable Shares Held by the Company or its Affiliates. Whenever the consent or
approval of Holders of a specified percentage of Registrable Shares is required hereunder,
Registrable Shares held by the Company or its Affiliates shall not be counted in determining
whether such consent or approval was given by the Holders of such required percentage.

     (k) Adjustment for Stock Splits, etc. Wherever in this Agreement there is a reference to a
specific number of shares, then upon the occurrence of any subdivision, combination, or stock
dividend of such shares, the specific number of shares so referenced in this Agreement shall
automatically be proportionally adjusted to reflect the effect on the outstanding shares of such
class or series of stock by such subdivision, combination, or stock dividend.

     (l) Survival. This Agreement is intended to survive the consummation of the transactions
contemplated by the Purchase/Placement Agreement. The indemnification and contribution obligations
under Section 6 of this Agreement shall survive the termination of the Company’s obligations under
Section 2 of this Agreement.

     (m) Attorneys’ Fees. In any action or proceeding brought to enforce any provision of this
Agreement, or where any provision hereof is validly asserted as a defense, the prevailing party, as
determined by the court, shall be entitled to recover its reasonable attorneys’ fees in addition to
any other available remedy.

[Signature page follows]

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     IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above
written.

	 	 	 	 	 
	 	ORION MARINE GROUP, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	FRIEDMAN, BILLINGS, RAMSEY & CO., INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

A-24

 

EXHIBIT B

SUBSTANCE OF OPINION OF COMPANY COUNSEL

May ___, 2007

Friedman, Billings Ramsey & Co., Inc.

1001 Nineteenth Street North, 18th Floor

Arlington, Virginia 22209

Re:    Orion Marine Group, Inc.—Common Stock Offering

     Ladies and Gentlemen:

     We have acted as counsel to Orion Marine Group, Inc., a Delaware corporation (the “Company”),
in connection with the purchase by you as initial purchaser and the placement by you as Placement
Agent (“FBR”) of an aggregate of 19,044,724 shares (the “Shares”) of the common stock, par value
$.01 per share, of the Company (the “Common Stock”), from the Company pursuant to the
Purchase/Placement Agreement dated May 2, 2007, by and between the Company and you (the
“Purchase/Placement Agreement”). This opinion letter is being delivered to you pursuant to Section
6(a) of the Purchase/Placement Agreement. Capitalized terms used but not defined herein have the
meanings given to them in the Purchase/Placement Agreement.

     In such capacity, we have examined copies of:

     the Preliminary Offering Memorandum, dated April 12, 2007 (the “Preliminary Memorandum”);

     the Final Offering Memorandum, dated May 2, 2007 (the “Final Memorandum”);

     the Purchase/Placement Agreement;

     the Registration Rights Agreement, dated the date hereof, by and between the Company and FBR
(the “Registration Rights Agreement”);

     the Purchaser’s Letters and Subscription Agreements completed by the purchasers who buy the
Shares or Resale Shares (the “Purchasers”) in substantially the forms included as Annexes I through
IV in the Final Memorandum and accepted by the Company (collectively, the “Subscription
Agreements”);

     a specimen of the certificates evidencing the Shares;

     a copy of the Amended and Restated Certificate of Incorporation of the Company (the
“Certificate of Incorporation”), as filed with the Secretary of State of the State of Delaware on
May ___, 2007 and certified by the Secretary of State of the State of Delaware as of a recent date
and a copy of the Certificate of Incorporation of the Company, as filed with the Secretary of

B-1

 

State of the State of Delaware on October 12, 2004 and certified by the Secretary of State of
the State of Delaware on such date, and Certificate of Amendment to Certificate of Incorporation of
the Company as filed with the Secretary of State of the State of Delaware on March 22, 2005 and
certified by the Secretary of State of the State of Delaware on such date (as amended, the “Old
Certificate of Incorporation”);

     a copy of the Amended and Restated Bylaws of the Company (the “Bylaws”), certified by the
Secretary of the Company to be a true copy thereof;

     a copy of the Articles of Incorporation of Orion Marine Group, Inc., a Texas corporation (the
“OMG Certificate”), as filed with the Secretary of State of the State of Texas on April 9, 2003 and
certified by the Secretary of State of the State of Texas as of a recent date;

     a copy of the Bylaws of Orion Marine Group, Inc., a Texas corporation (the “OMG Bylaws”),
certified by the Secretary of the Company to be a true copy thereof;

     a copy of the Articles of Organization of OCGP, LLC, a Texas limited liability company (the
“OCGP LLC Articles”), as filed with the Secretary of State of the State of Texas on June 30, 2003
and certified by the Secretary of State of the State of Texas as of a recent date;

     a copy of the Regulations dated June 30, 2003 of OCGP, LLC, a Texas limited liability company
(the “OCGP Regulations”), certified by the Secretary of the Company to be a true copy thereof;

     a copy of the Certificate of Limited Partnership of Orion Construction, L.P., a Texas limited
partnership (the “Orion Construction LP Certificate”), as filed with the Secretary of State of the
State of Texas on June 30, 2003 and certified by the Secretary of State of the State of Texas as of
a recent date;

     a copy of the Agreement of Limited Partnership dated June 30, 2003 of Orion Construction,
L.P., a Texas limited partnership (the “Orion Construction LP Agreement”), certified by the
Secretary of the Company to be a true copy thereof;

     a copy of the Articles of Organization of KFMSGP, LLC, a Texas limited liability company (the
“KFMSGP LLC Certificate”), as filed with the Secretary of State of the State of Texas on June 30,
2003 and certified by the Secretary of State of the State of Texas as of a recent date;

     a copy of the Regulations dated June 30, 2003 of KFMSGP, LLC, a Texas limited liability
company (the “KFMSGP Regulations”), certified by the Secretary of the Company to be a true copy
thereof;

     a copy of the Certificate of Limited Partnership of King Fisher Marine Service LP, a Texas
limited partnership (the “King Fisher LP Certificate”), as filed with the Secretary of State of the
State of Texas on July 2, 2003 and certified by the Secretary of State of the State of Texas as of
a recent date;

B-2

 

     a copy of the Agreement of Limited Partnership June 30, 2003 of King Fisher Marine Service LP,
a Texas limited partnership (the “King Fisher LP Agreement”), certified by the Secretary of the
Company to be a true copy thereof;

     a copy of a certificate from the Secretary of State of the State of Texas as to the foreign
qualification of the Company;

     unanimous written consents and certified resolutions of the Board of Directors of the Company
relating to the authorization of the Purchase/Placement Agreement and sale of the Shares and the
Registration Rights Agreement; the records of corporate, limited liability company or limited
partnership action, as applicable, of the Company; Orion Marine Group, Inc., OCGP, LLC, Orion
Construction, L.P., KFMSGP, LLC and King Fisher Marine Service LP; stock ledgers and ownership
records of the Company, Orion Marine Group, Inc., OCGP, LLC, Orion Construction, L.P., KFMSGP, LLC
and King Fisher Marine Service LP; in each case that were presented to us by the Company; and the
documents expressly described on Annex A attached hereto;

     reports, dated as of recent dates, prepared by CT Corporation System purporting to describe
all financing statements on file as of the dates thereof in the office of the Secretary of State of
the State of Delaware, the Secretary of State of the State of Texas, the Secretary of State of the
State of Nevada or the Secretary of State of the State of Florida, as applicable, naming the
Company; Orion Marine Group, Inc.; OCLP, LLC; OCGP, LLC; Orion Construction LP; Misener Marine
Construction, Inc.; KFMSLP, LLC; KFMSGP, LLC; King Fisher Marine Service, LP; or F. Miller
Construction, LLC, or any of them, as debtors; and

     copies of the Indemnification Agreements, as amended, by and between the Company and each of
the Company’s directors.

     I. In rendering the opinions expressed below, we have assumed (i) the legal capacity
of all natural persons, (ii) the genuineness of all signatures, (iii) the authority of all
persons signing each of the Purchase/Placement Agreement and the Registration Rights
Agreement on behalf of the parties to such documents (other than the Company), (iv) the
authenticity of all documents submitted to us as originals, and (v) the conformity to
authentic original documents of all documents submitted to us as copies. We have also
assumed that (x) the Purchase/Placement Agreement and the Registration Rights Agreement are
valid and binding agreements of the party or parties thereto other than the Company and (y)
any laws other than Applicable Law (as defined below) do not affect the terms of such
agreements. As to facts material to the opinions expressed herein, we have made no
independent investigation of such facts and have relied, to the extent we deem such
reliance proper, upon certificates of public officials and officers or other
representatives of the Company and of Orion Marine Group, Inc.; OCLP, LLC; OCGP, LLC; Orion
Construction LP; Misener Marine Construction, Inc.; KFMSLP, LLC; KFMSGP, LLC; King Fisher
Marine Service LP; and F. Miller Construction, LLC (each, a “Subsidiary” and together, the
“Subsidiaries”). We have also assumed, without any independent inquiry or investigation,
the truth and accuracy of the representations and

B-3

 

warranties of the Company and FBR included in the Purchase/Placement Agreement,
insofar as such representations and warranties are as to factual matters.

     As to matters with respect to which an opinion herein is stated to be “to our knowledge”,
“known to us” or words of similar effect, we have not undertaken any independent examination of
facts or the records of any court, tribunal or other body, but have based our opinion in sole
reliance upon a certificate of an officer of the Company and upon matters of which attorneys in our
Firm who have devoted substantial time to this matter have actual knowledge.

     Based on the foregoing and subject to the assumptions, qualifications, limitations and
exceptions hereinafter set forth, we are of the opinion that:

     (a) The Company is duly incorporated and validly existing as a corporation and is in
good standing under the laws of the State of Delaware, with all corporate power and
authority to own, lease or operate its current property and to conduct its business as
described in the Preliminary Memorandum and Final Memorandum, and to execute, deliver and
perform its obligations under the Purchase/Placement Agreement and the Registration Rights
Agreement;

     (b) The execution, delivery and performance by the Company of each of the
Purchase/Placement Agreement and the Registration Rights Agreement have been duly authorized
by all necessary corporate action of the Company and each of the Purchase/Placement
Agreement and the Registration Rights Agreement has been duly executed and delivered on
behalf of the Company;

     (c) The authorized capital stock of the Company is as set forth under the caption
“Capitalization” in the Preliminary Memorandum and Final Memorandum; all of the issued and
outstanding shares of capital stock of the Company have been duly authorized and validly
issued, to our knowledge are fully paid and non-assessable, and were not issued in violation
of or subject to any preemptive right or other similar right of stockholders arising under
the Delaware General Corporation Law, or the Certificate of Incorporation or Bylaws of the
Company or, to our knowledge, under any agreement to which the Company is a party;

     (d) The issuance and sale of the Shares have been duly authorized by all necessary
corporate action of the Company and, when issued in accordance with the provisions of the
Purchase/Placement Agreement against payment therefor of the consideration set forth
therein, the Shares will be validly issued, fully paid and non-assessable; the issuance,
sale and delivery of the Shares by the Company is not subject to any preemptive right,
co-sale right, registration right, right of first refusal or other similar right of
stockholders arising under the Delaware General Corporation Law, or the Certificate of
Incorporation or Bylaws of the Company or, to our knowledge, under any agreement to which
the Company is a party, other than the Registration Rights Agreement; the form of
certificate evidencing the Shares complies with the requirements of the Delaware General
Corporation Law; the Shares satisfy the requirements set forth in Rule 144A(d)(3) under the
Securities Act;

     (e) The execution, delivery and performance by the Company of each of the
Purchase/Placement Agreement and the Registration Rights Agreement, the issuance, sale and
delivery of the Shares by the Company, the repurchase by the Company of (x) all outstanding
shares of preferred stock of the Company and (y) 16,031,394 outstanding shares of Common
Stock of the Company with a portion of the net proceeds received by the Company from the
sale of the Shares as described in the Final Memorandum, the consummation by the Company of
the transactions contemplated by each of the Purchase/Placement Agreement and the
Registration Rights Agreement, and compliance by the Company with the terms and provisions
thereunder, will

B-4

 

not (i) result in any violation of any provision of the Certificate of Incorporation or
Bylaws of the Company, (ii) result in any breach of or constitute a default under (nor
constitute any event which with notice, lapse of time, or both would constitute a breach of,
or default under) any provision of any agreement set forth on Annex A, (iii) result
in any violation by the Company of any Applicable Law (as defined below) or (iv) result in
any violation of any judgment, order, writ or decree known to us and to which the Company is
subject, except in the case of clauses (ii), (iii) and (iv) for such
breaches, defaults or violations that would not reasonably be expected to have a Material
Adverse Effect; provided, however, that we express no opinion with respect
to federal or state securities laws or other antifraud laws under this paragraph
(e);

     (f) Each of the Subsidiaries is validly existing as a legal entity and in good standing
under the laws of its jurisdiction of organization, with all requisite corporate, limited
liability or limited partnership, as the case may be, power and authority to own, lease or
operate its current property and to conduct its business as described in the Preliminary
Memorandum and Final Memorandum;

     (g) The Company is duly qualified and is in good standing as a foreign corporation in
the State of Texas;

     (h) All of the outstanding equity interests of Orion Marine Group, Inc., OCGP, LLC,
Orion Construction, L.P., KFMSGP, LLC, and King Fisher Marine Service LC have been duly
authorized and validly issued, to our knowledge are fully paid (as required, in the case of
OCGP, LLC, by the OCGP Regulations, in the case of Orion Construction LP, by the Orion
Construction LP Agreement, in the case of KFMSGP, LLC, by the KFMSGP Regulations, and in the
case of King Fisher Marine Service LP, by the King Fisher LP Agreement) and non-assessable
(except as such non-assessability may be affected by the Texas Limited Liability Company
Act, as amended (the “Texas LLC Act”), or by the Texas Revised Limited Partnership Act, as
amended (the “Texas LP Act”)), and are owned by the Company or another Subsidiary free and
clear of any pledge, security interests, liens, encumbrances, charges or claims (A) in
respect of which a financing statement under the Uniform Commercial Code of the State of
Texas naming such Subsidiary as debtor is on file in the office of the Secretary of State of
the States of Texas, or (B) otherwise known to us, without independent investigation, other
than (x) those arising under that certain Loan Agreement dated as of October 14, 2004, among
the Company and each of the financial institutions which is or may from time to time become
a party thereto and Amegy Bank National Association, a national banking association
(formerly known as Southwest Bank of Texas N.A.), as agent, as amended by First Amendment to
Loan Agreement dated as of December 3, 2004, Second Amendment to Loan Agreement dated as of
November 17, 2005 and Third Amendment to Loan Agreement dated as of March 23, 2007 (as
amended, the “Loan Agreement”), and (y) those created by or arising under the Texas LLC Act
or the Texas LP Act;

     (i) Assuming (i) the accuracy of the representations and warranties of, and compliance
with agreements by, the Company and FBR set forth in the Purchase/Placement Agreement, and
(ii) that the purchasers who buy the Resale Shares in Exempt Resales are Eligible
Purchasers, (A) the sale of the Resale Shares to FBR by the Company, (B) the Exempt Resales
and (C) the sale of the Private Placement Shares to Accredited Investors by the Company, in
each case in compliance with and as contemplated under the Purchase/Placement Agreement, are
exempt from the registration requirements of the Securities Act;

     (j) Assuming (x) the accuracy of the representations and warranties of, and compliance
with agreements by, the Company and FBR set forth in the Purchase/Placement

B-5

 

Agreement and (y) that the purchasers who buy the Resale Shares in Exempt Resales are
Eligible Purchasers, no Governmental Approval (as defined below) is required in connection
with (i) the execution, delivery and performance by the Company of the Purchase/Placement
Agreement and the Registration Rights Agreement, (ii) the consummation by the Company of the
transactions contemplated thereby, or (iii) the issuance, sale and delivery of the Shares as
contemplated thereby, other than (A) such as have been obtained or made, (B) any necessary
Governmental Approvals under the securities or Blue Sky laws of the various jurisdictions in
which the Resale Shares are being offered by FBR or the Private Placement Shares are being
offered by the Company, as to which we do not express any opinion, (C) any with or by
federal or state securities regulatory authorities in connection with or pursuant to the
Registration Rights Agreement, including without limitation the filing of the registration
statement(s) required thereby with the Commission, and (D) the filing of a Form D with the
Commission and appropriate state regulatory agencies;

     (k) The information in the Preliminary Memorandum and Final Memorandum under the
captions “Business–Government Regulations,” “Description of Capital Stock,” “Shares Eligible
For Future Sale,” “ERISA Considerations,” and “Material U.S. Federal Tax Considerations to
Non-U.S. Holders,” insofar as it purports to be summaries of the principal provisions of
documents referenced therein, matters of law or legal conclusions, has been reviewed by us
and is correct in all material respects. The description of the Registration Rights
Agreement contained in the Preliminary Memorandum and Final Memorandum, insofar as it
purports to be a summary of the principal provisions thereof, is accurate in all material
respects;

     (l) Neither the Company nor any of its Subsidiaries is, nor upon the sale of the Shares
as contemplated in the Purchase/Placement Agreement and the timely application of the net
proceeds therefrom as described in the Preliminary Memorandum and Final Memorandum under the
caption “Use of Proceeds,” will be, an “investment company” (as such term is defined in the
Investment Company Act of 1940, as amended);

     (m) Except as disclosed in the Preliminary Memorandum and/or Final Memorandum, there
are no persons with registration or other similar rights to have any securities registered
by the Company or any of the Subsidiaries under the Securities Act arising by operation of
Applicable Law, under the Certificate of Incorporation or Bylaws of the Company or, to our
knowledge, under any agreement to which the Company is a party or to which its property is
subject, other than pursuant to the Registration Rights Agreement; and

     (n) Assuming the accuracy of the representations and warranties of the Purchasers
contained in the Subscription Agreements, the Company is not, nor upon the sale of the
Shares as contemplated in the Purchase/Placement Agreement will be, in violation of the
foreign ownership restrictions contemplated by the Foreign Dredge Act of 1906, 46 U.S.C.
section 55109, as amended, the Merchant Marine Act of 1920, 46 U.S.C. section 55101, et
seq., as amended, or the U.S. vessel documentation laws set forth in 46 U.S.C. section
12101, et seq., as amended.

     II. The opinions set forth above are subject in all respects to the following:

     1. In rendering the opinions expressed in paragraphs (a), (f) and
(g) above with respect to the good standing and foreign qualification of the Company
and the Subsidiaries, we have relied solely on certificates of public officials, which
certificates are being delivered to you on the date hereof.

B-6

 

     2. In rendering the opinions expressed in paragraphs (c) and (h) above
to the effect that securities are fully paid, we have relied upon a certificate of an
officer of the Company with respect to the full payment of consideration by the stockholders
for the issued and outstanding capital stock of the Company and by the Company or another
Subsidiary for the equity interests in the applicable Subsidiaries.

     3. In rendering the opinion expressed in paragraph (e) above concerning the
absence of a breach of contract, we have made no examination of, and express no opinion with
respect to, any financial, accounting or similar covenant or provision contained in any
agreement or instrument set forth on Annex A.

     4. The opinions expressed herein are limited to matters arising under the laws of the
State of Texas, the Delaware General Corporation Law and the federal laws of the United
States of America, in each case as currently in effect (the “Applicable Law”).
“Governmental Approval” means any consent, approval, license, authorization or validation
of, or filing, recording or registration with, any Governmental Authority pursuant to any
Applicable Law. “Governmental Authority” means any United States federal or State of Texas
governmental body or authority. We express no opinion herein as to any laws other than the
Applicable Law (subject to the limitations set forth below), and we express no opinion with
respect to the application or effect of any other laws.

     5. To the extent that any opinion herein relates to compliance with law (including
Applicable Law) or Governmental Approvals, our opinion is limited to laws, rules and
regulations which in our experience are normally applicable to transactions of the type
provided for in the Purchase/Placement Agreement and does not include, and we express no
opinion with regard to, and the term “Applicable Law” shall not include, (a) antitrust or
trade regulation laws, (b) tax laws, rules and regulations, (c) environmental, laws, rules
and regulations, (d) zoning, land use and other laws, rules and regulations of local
jurisdictions, (e) labor, employee rights and benefits, including the Employment Retirement
Security Act of 1974, as amended, (f) SBIA Laws, or (g) state or federal securities laws
(except to the limited extent stated in paragraphs (i) and (j) above).

     We express no opinion as to any matter other than as expressly set forth above, and no opinion
on any other matter may be inferred or implied herefrom. The opinions expressed herein are given
as of the date hereof, and we undertake no, and hereby disclaim any, obligation to advise you of
any change in any matter set forth herein.

     We are furnishing this opinion letter to you solely for your benefit in connection with the
purchase by you as initial purchaser and the placement by you as Placement Agent of the Shares
pursuant to the Purchase/Placement Agreement. This opinion letter may not be relied upon by any
other person or for any other purpose or circulated, quoted or otherwise referred to without our
prior written consent.

Very truly yours,

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ANNEX A

1. Loan Agreement.

2. General Agreement of Indemnity dated October 29, 2004 entered into by the Company, Orion Marine
Group, Inc., Orion Construction, L.P., King Fisher Marine Service LP, Misener Marine Construction,
Inc., OCGP, LLC, OCLP, LLC, KFMSGP, LLC and KFMSLP, LLC in favor of Liberty Mutual Insurance
Company on behalf of itself and any other company that is part of or added to the Liberty Mutual
Group, severally not jointly, and for which Liberty Mutual Surety underwrites surety business.

3. General Agreement of Indemnity entered into by the Company, ERCON Corporation, John F. Chanslor,
Thomas J. Thomas and Irene Thomas in favor of Liberty Mutual Insurance Company on behalf of itself
and any other company that is part of or added to the Liberty Mutual Group, severally not jointly,
and for which Liberty Mutual Surety underwrites surety business.

B-8

 

EXHIBIT C

DESCRIPTION OF MATTERS TO BE OPINED TO BY VINSON & ELKINS L.L.P.

PURSUANT TO SECTION 6(c)(ii)

     The opinion to be delivered to the Company pursuant to Section 6(c)(ii) will opine favorably
as to the following matters under applicable U.S. maritime law:

     (i) that the U.S. citizen stockholder reference party to a naked total return swap should not
be deemed a non-U.S. citizen with respect to the Company’s stock, and

     (ii) that the Company’s stock held of record by a U.S. citizen stockholder party to a naked
total return swap should not be deemed to be held by a non-U.S. citizen counterparty.

     For purposes of the opinion, a naked total return swap is a total return swap, with the
following general parameters:

     (i) the reference assets of the swap are a fixed number of Shares (the “Reference Shares”);

     (ii) the contract does not contain any provisions requiring the reference party to own the
Reference Shares or to retain ownership of the Reference Shares;

     (iii) the contract does not contain any requirement for delivery of the Reference Shares at
the end of the swap period (or at any other time);

     (iv) the contract does not subject the Reference Shares to any trust or fiduciary obligations
in favor of the counter party; and

     (v) the counter party cannot exercise any voting power control, directly or indirectly,
through any contract or otherwise, over the Reference Shares.

C-1

 

EXHIBIT D

FORM OF LOCK-UP AGREEMENT

[n], 2007

Friedman, Billings, Ramsey & Co., Inc.

1001 Nineteenth Street North, 18th Floor

Arlington, Virginia 22209

Ladies and Gentlemen:

     The undersigned understands and agrees as follows:

     1. Friedman, Billings, Ramsey & Co., Inc. (“FBR”) proposes to enter into a
Purchase/Placement Agreement (the “Agreement”) with Orion Marine Group, Inc., a Delaware
corporation (the “Company”), providing for (a) the initial purchase by FBR of shares of the
Company’s common stock, $0.01 par value per share, and the resale of such shares by FBR to certain
eligible purchasers, (b) the direct sale by the Company of shares of its common stock to certain
accredited investors, and (c) an option for FBR to purchase or place additional shares of the
Company’s common stock either for resale by FBR to certain eligible purchasers or for direct sale
by the Company to certain accredited investors (all of such shares of the Company’s common stock
are collectively referred to as the “Shares” and the transactions referred to in (a), (b)
and (c) above are collectively referred to as the “Offering”), in each case, in
transactions exempt from the registration requirements of the Securities Act of 1933, as amended
(the “Securities Act”). This lock-up letter agreement (the “Lock-up Agreement”) is
being delivered to you in connection with the Offering and shall become effective only upon
consummation of the Offering.

     2. In connection with the Offering and pursuant to the terms of a registration rights
agreement to be entered into in connection with the closing of the Offering, the Company has agreed
to file with the Securities and Exchange Commission a registration statement providing for the
resale of the Shares under the Securities Act (the “Resale Registration Statement”).

     3. In order to induce FBR to act as the initial purchaser and placement agent in connection
with the Offering and in recognition of the benefit that the Offering will confer upon the
undersigned and for other good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged by the undersigned, the undersigned hereby agrees that, without the prior
written consent of FBR (which consent may be withheld or delayed in FBR’s sole discretion), he, she
or it will refrain for a period (a) beginning on the date of the Agreement and ending (and
including) the date that is 180 days after the date of the closing of the Offering, (b) from the
date the Resale Registration Statement that is filed pursuant to the registration rights agreement
is declared effective and ending (and including) the date that is 180 days after the effective date
of the Resale Registration Statement, and (c) from the date any registration statement relating to
an initial public offering of our common stock is declared effective and ending (and including) the
date that is 180 days thereafter (each a “Lock-up Period”), except as otherwise provided
herein, from (i) offering, pledging, selling, contracting to sell, selling any

D-1

 

option or contract to purchase, purchasing any option or contract to sell, granting any
option, right or warrant for the sale of, lending or otherwise disposing of or transferring,
directly or indirectly, any equity securities of the Company, or any securities convertible into or
exercisable or exchangeable for equity securities of the Company, or (ii) entering into any swap or
other arrangement that transfers to another, in whole or in part, directly or indirectly, any of
the economic consequences of ownership of any equity securities of the Company, whether any such
transaction described in clause (i) or (ii) above is to be settled by delivery of shares of the
common stock of the Company or such other securities, in cash or otherwise.

          Notwithstanding the foregoing, subject to applicable securities laws and the restrictions
contained in the Company’s charter, the undersigned may transfer any securities of the Company
(including, without limitation, common stock) as follows: (i) pursuant to the exercise and issuance
of options; (ii) as a bona fide gift or gifts, provided that the donee or donees thereof agree in
writing to be bound by the restrictions set forth herein; (iii) to any trust for the direct or
indirect benefit of the undersigned or the immediate family of the undersigned, provided that the
trustee of the trust agrees in writing to be bound by the restrictions set forth herein; (iv) as a
distribution to the beneficial owners of the undersigned, provided that such beneficial owners
agree in writing to be bound by the restrictions set forth herein; (v) as required under any of the
Company’s benefit plans; (vi) as required by participants in the Company’s benefit plans to
reimburse or pay U.S. federal income tax and withholding obligations in connection with the vesting
of restricted common stock grants; (vii) as collateral for any bona fide loan, provided that the
lender agrees in writing to be bound by the restrictions set forth herein; (viii) with respect to
sales of securities acquired after the initial closing of the Offering in the open market; (ix) to
third parties as consideration for acquisitions, provided that such third parties agree in writing
to be bound by the restrictions set forth herein; (x) in connection with awards under the Company’s
benefit plans; (xi) pursuant to an initial public offering of the Company’s common stock; and (xii)
to other executive officers and directors and shareholders of the Company. For purposes of this
agreement, “immediate family” shall mean any relationship by blood, marriage or adoption, not more
remote than first cousin.

          For the avoidance of doubt, nothing shall prevent the undersigned from, or restrict the
ability of the undersigned to, (i) purchase the Company’s common stock on the open market or (ii)
exercise any options or other convertible securities granted under any benefit plan of the Company.

     4. The undersigned hereby authorizes the Company during any Lock-up Period to cause any
transfer agent for the securities covered by this Lock-up Agreement (the “Relevant
Securities”) to decline to transfer, and to note stop transfer restrictions on the stock
register and other records relating to, Relevant Securities for which the undersigned is the record
holder and, in the case of Relevant Securities for which the undersigned is the beneficial but not
the record holder, agrees during any Lock-up Period to cause the record holder to cause the
relevant transfer agent to decline to transfer, and to note stop transfer restrictions on the stock
register and other records relating to, such Relevant Securities. The undersigned hereby further
agrees that, without the prior written consent of FBR, during any Lock-up Period the undersigned
(x) will not file or participate in the filing with the Securities and Exchange Commission of any
registration statement, or circulate or participate in the circulation of any preliminary or final
prospectus or other disclosure document with respect to any proposed offering or sale of a Relevant
Security

D-2

 

and (y) will not exercise any rights the undersigned may have to require registration with the
Securities and Exchange Commission of any proposed offering or sale of a Relevant Security.

     5. The undersigned acknowledges that FBR is relying on the agreements of the undersigned set
forth herein in making its decision to enter into the Agreement and to continue its efforts in
connection with the Offering.

     6. This Lock-up Agreement shall be governed by and construed in accordance with the laws of
the State of New York without regard to principles of conflict of laws.

     7. This Lock-up Agreement may be executed in one or more counterparts and delivered by
facsimile, each of which shall be deemed to be an original but all of which shall constitute one
and the same agreement.

     The undersigned hereby represents and warrants that the undersigned has full power and
authority to enter into this Lock-up Agreement and that this Lock-up Agreement constitutes the
legal, valid and binding obligation of the undersigned, enforceable in accordance with its terms.
Upon request, the undersigned will execute any additional documents reasonably necessary in
connection with enforcement hereof. Any obligations of the undersigned shall be binding upon the
successors and assigns of the undersigned from the date first above written.

[SIGNATURE PAGE FOLLOWS]

D-3

 

     IN WITNESS WHEREOF, the undersigned has executed this Lock-up Agreement, or caused this
Lock-up Agreement to be executed, as of the date first written above.

	 	 	 	 	 
	 

	 	Very truly yours,	 	 
	 
	 	 	 	 
	 

	 	 

Name:
	 	 
	 

	 	Title:	 	 
	 
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

Address
	 	 

D-4

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