Document:

EX-10.8

 Exhibit 10.8 

PORTIONS OF THIS EXHIBIT HAVE BEEN OMITTED PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT FILED WITH THE SECURITIES AND EXCHANGE COMMISSION. THE OMISSIONS
HAVE BEEN INDICATED BY ASTERISKS (“[***]”), AND THE OMITTED TEXT HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION. 

Execution Copy 
 NOBLE ENERGY
MEDITERRANEAN LTD. 
 DELEK DRILLING LIMITED PARTNERSHIP 

ISRAMCO NEGEV 2 LIMITED PARTNERSHIP 

AVNER OIL EXPLORATION LIMITED PARTNERSHIP 

DOR GAS EXPLORATION LIMITED PARTNERSHIP 

and 
 OPC ROTEM LTD.

 GAS SALE AND 

PURCHASE AGREEMENT 

DATED November 25, 2012 

 INDEX 
  

							
	Article	  	Title	  	Page	 
			
	 1
	  	Definitions	  	 	5	  
			
	 2
	  	Period of Agreement and Commissioning	  	 	17	  
			
	 3
	  	Agreement for Sale and Purchase	  	 	35	  
			
	 4
	  	Warranties Covenants and Taxes	  	 	36	  
			
	 5
	  	Sellers’ Rights, Commingling and Unitization	  	 	43	  
			
	 6
	  	Quantities and Nominations	  	 	44	  
			
	 7
	  	Facilities	  	 	50	  
			
	 8
	  	Exchange of Information	  	 	51	  
			
	 9
	  	Take or Pay	  	 	55	  
			
	 10
	  	Price and Price Adjustment	  	 	60	  
			
	 11
	  	Billing and Payment	  	 	67	  
			
	 12
	  	Quality	  	 	74	  
			
	 13
	  	Delivery Point	  	 	76	  
			
	 14
	  	Pressure	  	 	77	  
			
	 15
	  	Measurement	  	 	78	  
			
	 16
	  	Force Majeure	  	 	79	  
			
	 17
	  	Default	  	 	83	  
			
	 18
	  	Assignment and Security Interests	  	 	88	  
			
	 19
	  	Governing Law and Dispute Resolution	  	 	93	  
			
	 20
	  	Security and Credit Cover	  	 	102	  
			
	 21
	  	Gas Agreements with [***]	  	 	104	  
			
	 22
	  	Relationship and Sellers’ Coordinator	  	 	105	  
			
	 23
	  	Miscellaneous Provisions	  	 	108	  

  
 2 

 Schedule 
  

	1.	Buyer’s Site 

  

	2.	Seller’s Percentages 

  

	3.	[***] 

  

	4.	List of Existing Agreements 

  

	5.	Form of Bank Guarantee 

  

	6.	Form of [***] 

  

	7.	Form of Letter of Credit 

  

	8.	Specification 

  
 3 

 THIS AGREEMENT is signed in Tel-Aviv, Israel on the
25th day of November 2012 BETWEEN 
  

	(1)	Noble Energy Mediterranean Ltd., a Cayman Islands company that has limited liability, having its principal place of business at 12 Abba Eban Boulevard, Herzlia, 46725 Israel (“Noble”);

 Isramco Negev 2 Limited Partnership, an Israeli limited partnership having its principal place of business at 8
Granit Street, Petach Tikva, 49222, Israel (“Isramco”); 
 Delek Drilling Limited Partnership, an Israeli limited
partnership having its principal place of business at 12 Abba Eban Boulevard, Herzlia, 46725, Israel (“Delek Drilling”); 

Avner Oil Exploration Limited Partnership, an Israeli limited partnership having its principal place of business at 12 Abba Eban
Boulevard, Herzlia, 46725 Israel (“Avner”); and 
 Dor Gas Exploration Limited Partnership, an Israeli limited
partnership having its principal place of business at France Building, Europark, P.O.B 10, Yakum, 60972, Israel (“Dor”); 

(each a “Seller” and together the “Sellers”) of the one part; and 

 

	(2)	O.P.C. Rotem Ltd., an Israeli limited liability company having its principal place of business at 19 Ha’arbaa St., Tel Aviv, Israel (the “Buyer”) of the other part. 

The Sellers on the one part and the Buyer on the other part are a “Party” to this Agreement and the Sellers and the Buyer are collectively
“Parties” to this Agreement. 
 WHEREAS 

The Sellers desire to sell to the Buyer and the Buyer desires to buy from the Sellers at the Delivery Point Natural Gas during the Contract Period upon and
subject to the terms and conditions herein contained. 

  
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 NOW IT IS HEREBY AGREED AS FOLLOWS: 

 

	1.	Definitions 

  

	 	1.1	Defined Terms 

 Except where the context otherwise indicates or requires the following
terms in this Agreement shall have the following meanings: 
  

	 	1.1.1	“Adjusted Annual Contract Quantity” or “Adjusted ACQ” has the meaning set out in 9.1.2. 

  

	 	1.1.2	“Affected Party” has the meaning set out in Article 16.7. 

  

	 	1.1.3	“Affiliate” means a company, partnership or other legal entity, which controls, is controlled by, or which is controlled by an entity that controls, any of the Sellers or the Buyer. Control means the
ownership, directly or indirectly, of more than fifty percent (50%) of the equity rights and/or the voting rights, and/or the power to appoint more than half of the directors, in a company, partnership or other legal entity. [***]. With respect
to any of the Sellers that are limited partnerships, Affiliates shall include the general partner of such limited partnership, and any company, partnership or other legal entity, which controls, or which is controlled by an entity that controls the
general partner. 

  

	 	1.1.4	“Allocation Order” has the meaning set out in Article 6.3.3. 

  

	 	1.1.5	“Annual Contract Quantity” or “ACQ” has the meaning set out in Article 6.1. 

  

	 	1.1.6	“Annual Reconciliation Statement” has the meaning set out in Article 11.2.1. 

  

	 	1.1.7	“Annual Take or Pay Quantity” has the meaning set out in Article 9.3.1. 

  

	 	1.1.8	“Anti-Trust Consent” means an approval of a restrictive arrangement (as such term is defined in the Israel Restrictive Trade Practices Law 1988), to be granted by the appropriate court or an exemption
from the approval of a restrictive arrangement to be granted by the Anti-Trust Commissioner under the Israel Restrictive Trade Practices Law 1988, such consent or approval to be final and unconditional or, if not, then subject to conditions which
have been agreed to by the Party or Parties to whom such conditions apply. 

  
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	 	1.1.9	“Arbitration” has the meaning set out in Article 19.2.2. 

  

	 	1.1.10	“Availability Date” has the meaning set out in Article 2.2. 

  

	 	1.1.11	“Bar” means pressure equal to one hundred thousand (100,000) Pascals (Pascal: as defined in ISO 1000:1991 as modified in 1998). 

 

	 	1.1.12	“BTU” means an amount of heat equal to one thousand and fifty-five decimal zero six (1,055.06) Joules (Joules: as defined in ISO 1000:1991 as modified in 1998). 

 

	 	1.1.13	“Business Day” means any day on which banks are open for business in Israel. 

  

	 	1.1.14	“Buyer’s Facilities” means the combined cycle gas turbine power plant with an installed capacity of approximately 440 MW to be constructed by the Buyer at the Buyer’s Site and all facilities
and equipment required to be installed by or on behalf of the Buyer and its Affiliates for the purposes of enabling the Buyer to receive at Buyer’s Site Specification Gas to be delivered under this Agreement at the Delivery Point, but excluding
the Downstream System. 

  

	 	1.1.15	“Buyer’s Site” means the Buyer’s Site identified in part 1 of Schedule 1 hereto. 

  

	 	1.1.16	“Calendar Quarter” means a period of three (3) consecutive calendar months beginning on January 1, April 1, July 1, or October 1. 

 

	 	1.1.17	“Calendar Year” means a period beginning at 0600 on the first day of January in any calendar year and ending at 0600 on the first day of January of the next succeeding calendar year. 

 

	 	1.1.18	“Carry Forward” has the meaning set out in Article 9.2.1. 

  

	 	1.1.19	“Carry Forward Aggregate” has the meaning set out in Article 9.2.2. 

  

	 	1.1.20	“Charged Assets” has the meaning set out in Article 18.4.3. 

  

	 	1.1.21	“Commencement Date” means the first Day immediately following the last day of the Commissioning Period. 

  

	 	1.1.22	“Commissioning Period” has the meaning set out in Article 2.4.1. 

  

	 	1.1.23	 “Consequential Loss” means any damages, costs, or liabilities, or any losses or deferments of revenue, profit, opportunity or use,
regardless of cause or arising, 

  
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which are not immediately and directly caused by the relevant act or omission, including: (a) any indirect damage, cost, or liability arising out of any delay, reduction or loss of ability
to produce, store, transport, process or dispose of Gas or any products derived from Gas; (b) any indirect damage, cost, or liability associated with business interruption or increased cost of working during business interruption, (c) the
incremental costs of alternative fuels and the incremental cost of overhead expenses incurred; (d) any indirect, special or punitive damages and penalties of any kind; and (e) any loss or deferment of revenue, profit, opportunity, bargain,
contract, expectation or opportunity. 

  

	 	1.1.24	“Contract Adjustment” has the meaning set out in Article 2.10. 

  

	 	1.1.25	“Contract Price” has the meaning set out in Article 10.1.1. 

  

	 	1.1.26	“Contract Period” means the period mentioned in Article 2.1.1. 

  

	 	1.1.27	“Contract Year” means the following periods (as applicable): 

  

	 	(a)	the period beginning at 0600 on the Commencement Date and ending at 0600 on the earlier of the (i) immediately following first day of January and (ii) the Interim Period Commencement Date (if applicable);

  

	 	(b)	the period beginning at 0600 on the first day of January immediately after the Commencement Date (provided the Interim Period Commencement Date did not occur during the first Contract Year) and ending at 0600 on the
first day of January in the immediately succeeding Year and thereafter during the Contract Period any successive period of twelve (12) consecutive Months commencing at 0600 on the first day of January in each Year except for the Year in which
the Interim Period Commencement Date occurs (if applicable) or the Contract Period ends; 

  

	 	(c)	in the year in which the Interim Period Commencement Date occurs (if applicable), the period beginning at 0600 on the first day of January and ending at 0600 on the Interim Period Commencement Date; 

 

	 	(d)	 in the year in which the Interim Period End Date occurs (if applicable), the period beginning at 0600 on the Day immediately after the Interim Period
End Date and ending at 0600 on the immediately following first 

  
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day of January and thereafter during the Contract Period any successive period of twelve (12) consecutive Months commencing at 0600 on the first day of January in each Year except for the
Year in which the Contract Period ends; and 

  

	 	(e)	in the Year in which the Contract Period ends, the period beginning at 0600 on the first day of January and ending at 0600 on the last Day of the Contract Period. 

 

	 	1.1.28	“Credit Cover” means any of the following forms of guarantee: (i) a bank guarantee (substantially in the form set out in Schedule 5); or (ii) [***]; or (iii) a Letter
of Credit (substantially in the form set out in Schedule 7) issued by a non-Israeli Bank whose international Credit Rating is not less than S&P’s rating group “A+” and Moody’s rating “A1”.

  

	 	1.1.29	“Credit Rating” means in respect of an entity the corporate credit rating given to that entity by Standard & Poor’s Maalot, a subsidiary of Standard and Poor’s, a Division of the
McGraw-Hill Companies, Inc. or its successor (“S&P”) or Midroog Ltd. a subsidiary of Moody’s Investors Service, Inc. or its successor (“Moody’s”). 

 

	 	1.1.30	“Cubic Meter” or “m3” means when applied to gas that quantity of gas which at fifteen (15) degrees Celsius and at an absolute
pressure of one decimal zero one three two five (1.01325) Bar and the gas being free of water vapor, occupies the volume of one (1) cubic meter, being a meter as defined in ISO 1000: 1981(E). 

 

	 	1.1.31	“Daily Delivery Tolerance” has the meaning set out in Article 6.4. 

  

	 	1.1.32	“Day” means a period of twenty-four (24) hours beginning at 0600 on any day and ending at 0600 on the following day. 

 

	 	1.1.33	“Daily Contract Quantity” or “DCQ” has the meaning set out in Article 6.2. 

  
 8 

	 	1.1.34	“Delivery Point” has the meaning set out in Article 13.1.1. 

  

	 	1.1.35	“Delivery Pressure” has the meaning set out in Article 14.1. 

  

	 	1.1.36	“Disclosed Information” has the meaning set out in Article 8.3.1. 

  

	 	1.1.37	“Dispute” has the meaning set out in Article 19.2. 

  

	 	1.1.38	“Distribution Network Consumers” means any: (i) gas consumers that are connected to the Distribution Network (“Reshet Haluka”) as such term is defined in section 2 of the Natural
Gas Sector Law, 5762-2002; and (ii) any gas marketer for resale to such consumers. 

  

	 	1.1.39	“Downstream System” means the pipelines, installations, the pressure reduction and metering system adjacent to Buyer’s Facilities and all other facilities owned and/or operated by the Transporter
at or downstream of the Delivery Point, necessary for the transportation of Specification Gas from the Delivery Point to Buyer’s Facilities. 

  

	 	1.1.40	“Effective Date” means the date of signature of this Agreement. 

  

	 	1.1.41	“Existing Agreements” means the gas sale and purchase agreements listed in Schedule 4. 

  

	 	1.1.42	“Expansion Conditions” has the meaning set out in Article 2.7.3. 

  

	 	1.1.43	“Expansion Date” means the date on which the Expansion Project is completed. 

  

	 	1.1.44	“Expansion Project” means the construction and installation by or on behalf of the Sellers of additional facilities including gas storage facilities in the Yam-Tethys Reservoir, with the aim to enable
delivery of Gas from the Reservoir to the Ashdod Delivery Point or at the Sellers’ discretion another Delivery Point (if any) that the Sellers may select, at peak rates of at least [***] MMBTU per Hour in a reliable and consistent manner. It is
clarified that the Expansion Project will not include the installation of additional pipelines from the Tamar field or an increase of the maximum rate of production from the Reservoir to more than [***] MMBTU per Day. Upon completion, the
Sellers’ Facilities will include the Expansion Project. 

  
 9 

	 	1.1.45	“Expert” means any Person appointed from time to time under and subject to the provisions of Article 19.3. 

  

	 	1.1.46	“Expert Determination” has the meaning set out in Article 19.2.1. 

  

	 	1.1.47	“Extended Contract Period” has the meaning set out in Article 2.1.2. 

  

	 	1.1.48	“First Period” means the period commencing on the Commencement Date and ending on the earlier of: (i) the last Day of the Contract Period; or (ii) in the event that the Reduction Notice is
delivered in accordance with Article 2.8, the Day immediately prior to the commencement of the Second Period. 

  

	 	1.1.49	“First Shortfall Gas” has the meaning set out in Article 17.1.1. 

  

	 	1.1.50	“First Shortfall Aggregate” has the meaning set out in Article 17.2.1. 

  

	 	1.1.51	“First Shortfall Price” has the meaning set out in Article 10.2.4(a). 

  

	 	1.1.52	“Floor Price” has the meaning set out in Article 10.2.3. 

  

	 	1.1.53	“Force Majeure” has the meaning set out in Article 16.1. 

  

	 	1.1.54	“Gas” means either or both of Natural Gas and Specification Gas as the context may permit or require. 

  

	 	1.1.55	“Gauge” means the pressure in excess of one decimal zero one three two five (1.01325) Bar (which is one (1) standard atmosphere). 

 

	 	1.1.56	“GTA” means the gas transmission agreement dated July 13, 2010 by and between the Buyer and the Transporter for the transport of the Gas to be supplied by the Sellers hereunder from the Delivery
Point to the Buyer’s Site. 

  

	 	1.1.57	“Higher Heating Value” or “HHV” means the superior (higher) real calorific value calculated as described in ISO: 6976:1995 (E) of one Cubic Meter of Natural Gas at the reference
condition of 15/15 Degrees Celsius and 1.01325 Bar (a) for the actual natural gas in the real state. 

  

	 	1.1.58	“Hour” means a period of sixty (60) minutes beginning on the hour. 

  

	 	1.1.59	“Indicator” has the meaning set out in Article 10.1.2. 

  

	 	1.1.60	“Interim Period” has the meaning set out in Article 2.6.1. 

  
 10 

	 	1.1.61	“Interim Period Commencement Date” means the date on which Dalia Power Energies Ltd. commences its hot commissioning using Gas purchased from the Sellers pursuant to the gas sale and purchase agreement
dated January 8, 2012 by and between the Sellers and Dalia Power Energies Ltd., or any such later date, upon which the Sellers advise the Buyer that the aggregate nominations of the buyers under the Existing Agreements and Sellers’
Additional Agreements will exceed the Maximum Hourly Peak Capacity. 

  

	 	1.1.62	“Interim Period End Date” means the earlier of: (i) the Expansion Date; or (ii) the date which the Sellers will advise the Buyer that the Sellers’ Facilities are capable of supplying the
Buyer’s Proper Nominations under this Agreement on a firm non-interruptible basis. 

  

	 	1.1.63	“Late Availability Date” has the meaning set out in Article 2.3.1. 

  

	 	1.1.64	“LCIA” means the London Court of International Arbitration. 

  

	 	1.1.65	“LIBOR” means London Interbank Offered Rate for thirty (30) day maturities, for US Dollar deposits as published on the first banking day following any relevant due date for payment under this
Agreement by the Wall Street Journal or if not so published, then by the Financial Times of London. 

  

	 	1.1.66	“Maintenance” has the meaning set out in Article 6.7.1. 

  

	 	1.1.67	“Maintenance Period” has the meaning set out in Article 6.7.1. 

  

	 	1.1.68	“Make-Up Aggregate” has the meaning set out in Article 9.3.4. 

  

	 	1.1.69	“Maximum Hourly Peak Capacity” means [***] MMBTU per Hour. 

  

	 	1.1.70	“Minimum Bill Quantity” or “MBQ” has the meaning set out in Article 9.1.3. 

  

	 	1.1.71	“MMBTU” means one million (1,000,000) BTUs. 

  

	 	1.1.72	“Month” means a period beginning at 0600 on the first day of any calendar month and ending at 0600 on the first day of the next succeeding calendar month. 

 

	 	1.1.73	[***]. 

  

	 	1.1.74	“Monthly Statement” has the meaning set out in Article 11.1. 

  
 11 

	 	1.1.75	“Natural Gas” means any hydrocarbons (or mixture of hydrocarbons and other gases consisting primarily of methane) which at fifteen (15) Degrees Celsius and atmospheric pressure are or is in the
gaseous state. 

  

	 	1.1.76	“Net Annual TOP Quantity” has the meaning set out in Article 9.3.2. 

  

	 	1.1.77	“New Taxes” has the meaning set out in Article 4.3.3(c). 

  

	 	1.1.78	“Off-Spec Gas” means Natural Gas that does not conform to the Specification. 

  

	 	1.1.79	“Permitted Delivery Reduction” has the meaning set out in Article 2.6.5. 

  

	 	1.1.80	“Person” means any person, firm, partnership, association, company, body corporate, or individual. 

  

	 	1.1.81	“Petroleum Law” means the Israel Petroleum Law 5712-1952. 

  

	 	1.1.82	“Price Control Event” means the issuance, imposition or enactment of any regulation, order, or other statutorily binding action pursuant to the Israeli Prices of Commodities and Services (Supervision)
Law, 5756-1996 or to any other similar law or regulation, that results in the reduction of the amount to be received by the Sellers for Gas to be delivered to the Buyer pursuant to this Agreement. 

 

	 	1.1.83	“Price Period” means each calendar Month during the Contract Period. 

  

	 	1.1.84	“Proper Nomination” has the meaning set out in Article 6.6.1. 

  

	 	1.1.85	“Properly Nominated” has the meaning set out in Article 6.6.1. 

  

	 	1.1.86	“Provisional Contract Price” has the meaning set out in Article 10.5.1(a). 

  

	 	1.1.87	“Reasonable and Prudent Operator” means a Person seeking in good faith to perform its contractual obligations and in so doing and in the general conduct of its undertaking exercising that degree of
skill, diligence, prudence and foresight which would reasonably and ordinarily be expected from a skilled and experienced operator complying with the applicable law and industry standards engaged in the same type of undertaking under the same or
similar circumstances and conditions. 

  

	 	1.1.88	“Reduction Notice” has the meaning set out in Article 2.8.2. 

  
 12 

	 	1.1.89	“Reduction Option” has the meaning set out in Article 2.8.1. 

  

	 	1.1.90	“Reduction Ratio” or “RR” has the meaning set out in Article 2.8.3(e). 

  

	 	1.1.91	“Representative Rate” means the representative rate of exchange of the New Israeli Shekel against the US Dollar, as published by the Bank of Israel from time to time. 

 

	 	1.1.92	“Reservoir” means that reservoir (currently known as the Tamar field) covered by the Sellers’ Petroleum Rights. 

 

	 	1.1.93	“Second Period” means the period commencing on the first (1st) anniversary of the date on which the Reduction Notice was delivered and ending on
the last Day of the Contract Period. 

  

	 	1.1.94	“Sanction” has the meaning set out in Article 2.7. 

  

	 	1.1.95	“Second Shortfall Gas” has the meaning set out in Article 17.1.1. 

  

	 	1.1.96	“Second Shortfall Aggregate” has the meaning set out in Article 17.2.1. 

  

	 	1.1.97	“Second Shortfall Price” has the meaning set out in Article 10.2.4(b). 

  

	 	1.1.98	“Sellers’ Additional Agreements” means any gas sale and purchase agreements (including this Agreement) entered into by the Sellers from time to time which are not Existing Agreements, for the
supply of Gas through the Sellers’ Facilities to customers in Israel, provided that during the Interim Period the Sellers’ firm commitment to supply Gas pursuant to the Sellers’ Additional Agreements will not in the aggregate exceed
[***] MMBTU per Hour. 

  

	 	1.1.99	“Sellers’ Coordinator” has the meaning set out in Article 22.2.1. 

  

	 	1.1.100	“Sellers’ Facilities” means such platforms, wells, pipelines, installations and other equipment installed, owned or operated by or on behalf of the Sellers as are necessary from time to time to
produce, process, transport and deliver Specification Gas from the Reservoir at the Delivery Point pursuant to this Agreement, directly or through the Yam Tethys Facilities. 

 

	 	1.1.101	“Sellers’ Interest” means the aggregate total of the Seller’s Percentages. 

  

	 	1.1.102	“Seller’s Lenders” has the meaning set out in Article 18.4. 

  
 13 

	 	1.1.103	“Sellers’ Petroleum Rights” mean the Petroleum Lease I/12 “Tamar” granted on December 2, 2009 pursuant to section 26 of the Petroleum Law, 5712-1952. 

 

	 	1.1.104	“Seller’s Percentage” means the respective interests of each of the Sellers, as set out in Schedule 2. 

 

	 	1.1.105	“Shortfall Aggregate” has the meaning set out in Article 17.2.1. 

  

	 	1.1.106	“Shortfall Gas” has the meaning set out in Article 17.1 and shall also include the term “Shortfall”. 

  

	 	1.1.107	“Shortfall Price” means the First Shortfall Price or the Second Shortfall Price, as applicable. 

  

	 	1.1.108	“Specification” has the meaning set out in Article 12.1. 

  

	 	1.1.109	“Specification Gas” means Natural Gas that complies with the Specification. 

  

	 	1.1.110	“Take or Pay Adjustment” has the meaning set out in Article 2.7.15. 

  

	 	1.1.111	“Total Contract Quantity” or “TCQ” means a quantity of Gas equal to three hundred and eighty million (380,000,000) MMBTU, or the quantity calculated in accordance with Article 2.8.3.

  

	 	1.1.112	“Transfer” has the meaning set out in Article 18.2. 

  

	 	1.1.113	“Transporter” means the Person granted the license to transport Gas from the Delivery Point to Buyer’s Facilities, currently Israel Natural Gas Lines Ltd. 

 

	 	1.1.114	“Week” means a period of seven (7) days beginning at 0600 on a Sunday and ending at 0600 on the following Sunday. 

 

	 	1.1.115	“Willful Misconduct” means any act or failure to act (whether sole, joint or concurrent) by any Person, which was intended to cause, directly or indirectly, harmful consequences to another Person.

  

	 	1.1.116	“Yam-Tethys Facilities” means any platforms, wells, pipelines, installations and other equipment, owned, installed or operated by or on behalf of the Yam-Tethys Partners to the extent such are used from
time to time to produce, process, transport and deliver for or on behalf of the Sellers, Gas from the Reservoir via the area of the Ashkelon I/10 Lease to the Delivery Point in Ashdod pursuant to this Agreement. 

  
 14 

	 	1.1.117	“Yam-Tethys Partners” means the owners of interests in the Ashkelon I/10 Lease. 

  

	 	1.1.118	“Yam-Tethys Reservoir” means the Gas reservoir located in the Ashkelon I/10 Lease. 

  

	 	1.1.119	“Year” means a period beginning at 0600 on any day of a calendar year and ending at 0600 on the same day of the next succeeding calendar year. 

 

	 	1.2	Interpretation 

 In this Agreement, Article headings and the index are inserted
for convenience only and do not affect the interpretation of this Agreement; and unless the context indicates a contrary intention: 
  

	 	1.2.1	the term “Agreement” includes the Schedules to this Agreement and any amendments to this Agreement; 

  

	 	1.2.2	the terms and conditions set forth in this Agreement shall apply to all Schedules, unless otherwise specifically stated; the provisions of this Agreement and any Schedule shall be interpreted by the Parties so as to
avoid any conflict between them; however, in the event that such a conflict cannot be avoided, the provisions of this Agreement shall prevail; 

  

	 	1.2.3	references to Articles or Schedules shall be deemed to be references to Articles of or Schedules to this Agreement; 

  

	 	1.2.4	the singular shall be deemed to include the plural and vice versa except with respect to the Sellers or to a Seller; 

  

	 	1.2.5	references in this Agreement to any law, decree or statutory provision shall be deemed to include references to any regulations and orders made thereunder; 

 

	 	1.2.6	references in this Agreement to any law shall include references to such law as it may, after the Effective Date, from time to time be amended, supplemented or re-enacted; 

 

	 	1.2.7	references to time shall be construed as a reference to whatever time shall be statutorily in force in Israel; 

  
 15 

	 	1.2.8	the words and phrases “other”, “including” and “in particular” shall not limit the generality of any preceding words or be construed as being limited to the same class as the preceding
words where a wider construction is possible; 

  

	 	1.2.9	where a word or phrase is defined, its other grammatical forms shall have corresponding meanings; 

  

	 	1.2.10	references to “writing” include any mode of representing or reproducing words, numbers, symbols or drawing in a visible form and includes by facsimile or by electronic mail; 

 

	 	1.2.11	references to any decision, determination, election, discretion or act of the Sellers under this Agreement, mean any decision, determination, election, discretion or act exercised or made unanimously or carried out
jointly by the Sellers or, if applicable, by the Sellers’ Coordinator on behalf of all Sellers; 

  

	 	1.2.12	for the purposes of this Agreement, the energy content of Gas delivered hereunder shall be calculated in accordance with its Higher Heating Value; 

 

	 	1.2.13	the words “will” and “shall” shall be construed to have the same meaning and effect. 

  
 16 

	2.	Period of Agreement and Commissioning 

  

	 	2.1	Commencement and Period 

  

	 	2.1.1	This Agreement shall come into force on the Effective Date and, subject to the provisions of Article 2.1.3, shall continue until the earlier of: (a) the sixteenth
(16th) anniversary of the Commencement Date; and (b) the Day on which the Sellers shall have delivered to Buyer an aggregate quantity of Gas equal to the Total Contract Quantity; unless
terminated earlier by either Party in accordance with the terms of this Agreement or extended in accordance with the provisions of Articles 2.1.2 or 9.4.6(a) (“Contract Period”). 

 

	 	2.1.2	In the event that by the fifteenth (15th) anniversary of the Commencement Date the Buyer has not taken a quantity of Gas equal to [***] MMBTU then either Party
may, by written notice to be given to the other Party within thirty (30) days after such date, extend the Contract Period by an additional period commencing on the sixteenth
(16th) anniversary of the Commencement Date and ending on the earlier of: (i) the eighteenth (18th) anniversary of the
Commencement Date; and (ii) the date by which the Buyer will have taken from the Sellers under this Agreement an aggregate quantity of Gas equal to the Total Contract Quantity (the period from the sixteenth (16th) anniversary of the Commencement Date and until such later date being herein called the “Extended Contract Period”). During the Extended Contract Period, the provisions of this
Agreement (including, inter alia, the provisions of Article 9) shall continue to apply. 

  

	 	2.1.3	This Agreement is conditional on the Sellers and Buyer obtaining the Anti-Trust Consent. 

  

	 	2.1.4	 The Sellers and the Buyer together shall diligently pursue the application for the Anti-Trust Consent and shall take such reasonable steps as may be
necessary to procure receipt thereof as soon as possible but in any event within ninety (90) days from the Effective Date. The Parties shall keep each other informed as to progress made towards obtaining the Anti-Trust Consent and shall
co-operate with each other and provide reasonable assistance to each other 

  
 17 

	 	
to obtain the Anti-Trust Consent. If the Anti-Trust Consent is not obtained within ninety (90) days from the Effective Date, either Party may, provided that it has complied with its
obligations under this Article 2.1.4, terminate this Agreement on not less than sixty (60) days prior written notice, and upon the expiration of such notice period this Agreement will terminate, except if, before the specified termination
date, the Anti-Trust Consent is obtained. 

  

	 	2.2	Availability Date 

 The “Availability Date” means the date on which all
works at the Sellers’ Facilities are completed to the extent required to enable the Sellers to deliver at the Delivery Point Specification Gas in such quantities as shall enable the testing and commissioning of Sellers’ Facilities. 

 

	 	2.3	Consequences of Delays in Availability Date 

  

	 	2.3.1	In the event that by August 1, 2013 (the “Late Availability Date”) the Availability Date has not occurred (except to the extent such delay was caused by an event of Force Majeure), then Sellers
shall be liable for Shortfall Gas and the provisions of Articles 17.1 and 17.2 shall apply, subject to the Sellers’ limitation of liability as set out in Article 17.3.5. 

 

	 	2.3.2	In the event that the delay referred to in Article 2.3.1 continues for a period of six (6) Months from August 1, 2013 (except to the extent such delay was caused by an event of Force Majeure), then at any time
after such date, the Buyer may terminate this Agreement, at the Buyer’s sole discretion, on not less than sixty (60) days prior written notice to the Sellers, and upon the expiration of such notice period this Agreement will terminate,
except if, before the specified termination date, the Availability Date has occurred. 

  

	 	2.3.3	Without derogating from the provisions of Article 2.10, if a Price Control Event occurs at any time prior to: 

  

	 	(a)	the Availability Date, then the Sellers, at their sole and absolute discretion, shall be entitled to postpone the occurrence of the Late Availability Date by a period of three (3) months; or 

 

	 	(b)	the Expansion Date, then the Sellers, at their sole and absolute discretion, shall be entitled to elect not to carry out or complete the Expansion Project, without any liability to the Buyer. 

  
 18 

	 	2.3.4	In the event that the Sellers notify the Buyer that the Sellers have postponed the occurrence of the Late Availability Date pursuant to Article 2.3.3(a), and at any time after such notice the Sellers supply Gas from the
Reservoir to any other customer in Israel prior to the occurrence of the Late Availability Date, then the Availability Date shall be deemed to have occurred, the postponement invoked by the Sellers shall be automatically rescinded and the Sellers
shall be obligated to supply Gas to the Buyer in accordance with the terms of this Agreement. 

  

	 	2.3.5	In the event that the Sellers notify the Buyer they have elected not to carry out or complete the Expansion Project pursuant to Article 2.3.3(b), the Buyer shall be entitled within one hundred and eighty
(180) days from the date of such notice, to terminate this Agreement, by not less than twelve (12) Months prior written notice to the Sellers, provided however, that if prior to the specified termination date, Sellers notify the Buyer that
they have elected to continue the Expansion Project, the Buyer’s termination notice shall automatically be rescinded, unless prior to such Sellers’ notice the Buyer had already signed a gas sale and purchase agreement with another Gas
supplier in relation to the quantities of gas contemplated in this Agreement. 

  

	 	2.3.6	On termination of this Agreement under this Article 2.3, the Parties shall be discharged from any further obligations or liabilities under this Agreement, except for any liability and amounts owing which have
accrued up to the date of termination in accordance with the provisions of this Article 2.3. 

  

	 	2.4	Commissioning Period 

  

	 	2.4.1	The Commissioning Period shall be a period commencing on the Availability Date and ending on the earlier of: (i) the date upon which the Buyer and the Sellers complete the commissioning of their respective
facilities; and (ii) [***] days following the Availability Date. During such period (the “Commissioning Period”) the Sellers and the Buyer (in liaison with the Transporter) shall in cooperation with each other carry out
commissioning activities of their respective facilities. 

  
 19 

	 	2.4.2	During the Commissioning Period, the Sellers shall use reasonable endeavors to make available for delivery Specification Gas nominated by Buyer in such quantities and at such rates as may reasonably be requested by
Buyer to carry out the commissioning and testing of the Buyer’s Facilities and the relevant parts of the Downstream System. 

  

	 	2.4.3	The Parties shall use reasonable endeavors: 

  

	 	(a)	to co-ordinate their activities in relation to the commissioning of the facilities to the intended effect that, to the extent practicable, the Sellers’ Facilities, the relevant parts of the Downstream System and
the Buyer’s Facilities will be commissioned during the Commissioning Period; and 

  

	 	(b)	to facilitate generally the commissioning of each other’s facilities and equipment. 

  

	 	2.5	Information and Inspection 

  

	 	2.5.1	Within thirty (30) days after the Effective Date and at least once in every three (3) month period thereafter until the Availability Date, the Sellers and the Buyer shall meet and: 

 

	 	(a)	the Sellers shall report on and the Parties shall discuss the state of progress of the Sellers’ Facilities and the plans for the development and commissioning of such facilities; 

 

	 	(b)	the Buyer shall report on and the Parties shall discuss the state of progress of the Buyer’s Facilities and the plans for the development and commissioning of such facilities; and 

 

	 	(c)	the Sellers will as soon as possible notify the Buyer of any material change in progress and of any material delay which they become aware of that might cause a delay in the Availability Date. 

 

	 	2.5.2	 On the request of Sellers, the Buyer shall allow for the inspection of the progress of the construction and installation of the Buyer’s
Facilities, upon reasonable advance request by the Sellers, such inspection to occur during 

  
 20 

	 	
normal working hours and provided Sellers comply with Buyer’s standard safety and security procedures. The inspection shall be coordinated between the Parties and shall be at Sellers’
risk and cost. 

  

	 	2.5.3	On the request of the Buyer, the Sellers shall allow for the inspection of the progress of the construction and installation of the Sellers’ Facilities, upon reasonable advance request by the Buyer, such inspection
to occur during normal working hours and provided Buyer complies with Sellers’ standard safety and security procedures. The inspection shall be coordinated between the Parties and shall be at Buyer’s risk and cost. 

 

	 	2.5.4	It is acknowledged and agreed that nothing in this Article 2.5 shall oblige either Party to do or omit to do anything which would: 

  

	 	(a)	breach or otherwise adversely affect any bona fide commitment of confidentiality owed to any Person; or 

  

	 	(b)	procure or allow any rights of access or inspection in excess of or contrary to such rights as may be legally available to and exercisable by one Party in favor of the other. 

 

	 	2.6	Interim Period 

 Subject to applicable law and unless otherwise instructed by any
governmental body having authority in relation to the supply of Gas under this Agreement (including any Allocation Order): 
  

	 	2.6.1	During the period commencing on the Interim Period Commencement Date and ending on the Interim Period End Date (the “Interim Period”), the supply by the Sellers of Gas to the Buyer under this Agreement
shall be subject to the obligation of the Sellers (and the Yam-Tethys Partners as applicable) to supply Gas pursuant to the Existing Agreements in accordance with this Article 2.6. 

 

	 	2.6.2	For each Day of the Interim Period the allocation of Gas available for delivery from the Reservoir through the Sellers’ Facilities to customers in Israel shall be made as follows: 

 

	 	(a)	 in the event that the aggregate nominations for any Hour of such Day made by the buyers under the Existing Agreements and the buyers under

  
 21 

	 	
the Sellers’ Additional Agreements (including Buyer’s Proper Nominations under this Agreement) do not exceed the Maximum Hourly Peak Capacity, the Sellers shall make available for
delivery to the Buyer the quantity Properly Nominated by the Buyer for such Hour (calculated as one twenty-fourth (1/24) of the Buyer’s Proper Nomination for such Day); 

 

	 	(b)	in the event that the aggregate nominations for any Hour of such Day made by the buyers under the Existing Agreements and the buyers under the Sellers’ Additional Agreements (including Buyer’s Proper
Nominations under this Agreement) exceed the Maximum Hourly Peak Capacity, the Sellers shall deliver Gas as required to meet in full the nominations of the buyers under the Existing Agreements, in priority to delivering Gas to the Buyer under this
Agreement and to other buyers under the other Sellers’ Additional Agreements; and 

  

	 	(c)	from the remaining quantity of Gas available for delivery by the Sellers for any Hour of such Day (if any) after allocating the quantities pursuant to Article 2.6.2(b), the Sellers shall make available for delivery to
the Buyer a quantity of Gas to be calculated based on the ratio between: (i) the Buyer’s Proper Nomination for such Hour (calculated as one twenty-fourth (1/24) of the Buyer’s Proper Nomination for such Day) under this Agreement;
and (ii) the total cumulative nominations for such Hour made to the Sellers by all the buyers under the Sellers’ Additional Agreements (including the Buyer); 

 

	 	(d)	the supply of Gas by the Sellers on any Hour of such Day to other customers in Israel under any spot sales or gas sale agreements (which are not Existing Agreements or Sellers’ Additional Agreements), shall be
effected only after the obligation of the Sellers (and the Yam-Tethys Partners as applicable) to supply Gas under the Existing Agreements and under the Sellers’ Additional Agreements is complied with in full. 

  
 22 

	 	2.6.3	In relation to the supply of Gas by the Sellers to customers in Israel during the Interim Period, and unless otherwise agreed with the Buyer, the Sellers shall not: 

 

	 	(a)	add any new gas sale and purchase agreements to the list of Existing Agreements; 

  

	 	(b)	add any new gas sale and purchase agreements to the Sellers’ Additional Agreements, except if such new agreements fall within the maximum permitted hourly quantity of the Sellers’ Additional Agreements
pursuant to Article 1.1.99; 

  

	 	(c)	deliver, pursuant to the Existing Agreements and the Sellers’ Additional Agreements, quantities in excess of the daily or hourly quantities they are required to deliver thereunder, except if the delivery of such
excess quantities during the Interim Period will be subordinate to the Proper Nominations of the Buyer; 

  

	 	(d)	amend the Existing Agreements by increasing the daily or hourly quantities that the buyers under the Existing Agreements may nominate, except if the delivery of such additional quantities during the Interim Period will
be subordinate to the Proper Nominations of the Buyer; or 

  

	 	(e)	amend the Sellers’ Additional Agreements by increasing the daily or hourly quantities that the buyers under the Sellers’ Additional Agreements may nominate except if such additional quantities fall within the
maximum permitted hourly quantity of the Sellers’ Additional Agreements pursuant to Article 1.1.99 or if the delivery of such additional quantities during the Interim Period will be subordinate to the Proper Nominations of the Buyer.

  

	 	2.6.4	For the avoidance of doubt it is hereby clarified that any Existing Agreement may be amended by extending the duration or increasing the total contract quantity of such agreement, provided however that during the
Interim Period the daily or hourly quantity under an Existing Agreement of any buyer shall not be increased above the levels prior to such amendment (without duplication). 

  
 23 

	 	2.6.5	Until the Interim Period End Date, the Sellers shall have no liability to the Buyer for any portion of the Buyer’s Proper Nomination that the Sellers did not deliver to the Buyer when allocating deliveries in
accordance with the provisions of Article 2.6.2(c) (such quantities shall hereinafter be referred to as “Permitted Delivery Reduction”). 

  

	 	2.6.6	Notwithstanding Article 2.6.5, in the event of Shortfall Gas during the Interim Period the following provisions shall apply: 

  

	 	(a)	[***], there shall be no Permitted Delivery Reductions and the provisions of Articles 17.1-17.2 shall apply; 

  

	 	(b)	[***], the Permitted Delivery Reduction shall apply and the portion of the Buyer’s Proper Nomination that was not tendered for delivery less the Permitted Delivery Reduction will constitute Shortfall Gas and the
provisions of Articles 17.1-17.2 shall apply. 

  

	 	2.6.7	[***], and on such Day the Sellers have not made such quantities available for delivery to the Buyer then the provisions of Articles 17.1-17.2 shall apply. 

 

	 	2.6.8	At the Buyer’s request, the Sellers will provide the Buyer a written certificate duly signed by an officer of the Sellers’ Coordinator on behalf of all the Sellers, confirming that the allocation of Gas was
made in accordance with the provisions of this Article 2.6. 

  

	 	2.6.9	In the event that the Buyer disputes the Sellers’ confirmation as to the allocation of Gas with respect to any Day during the Interim Period, the Buyer may, by written notice to the Sellers, require the matter to
be referred for determination by the Expert pursuant to Article 19.3, such Expert to be an independent, certified public accountant. The Expert determination shall be made, if any, once for any Calendar Quarter during the Interim Period.

  
 24 

	 	2.6.10	The Expert shall review the relevant information and records of the Sellers for the sole purpose of verifying the Sellers’ confirmation in relation to the allocation of Gas during the relevant period. The Sellers
shall make available to the Expert details of the daily and hourly quantities that each buyer is entitled to nominate under the Existing Agreements and the Sellers’ Additional Agreements, and such other information as may be reasonably be
required by the Expert for the purposes of this determination, provided however, that all information, data or documentation disclosed or delivered to the Expert in consequence of or in connection with the Expert’s appointment hereunder, shall
be treated as confidential and shall not be disclosed or delivered to the Buyer or any other third party in any circumstances, unless such disclosure is required by a competent authority or for the purpose of a Dispute under this Agreement.

  

	 	2.6.11	In the event that the Expert determines that the quantity of Gas actually allocated to the Buyer during such period is less than [***] of the quantity of Gas that was due to the Buyer pursuant to Article 2.6, then
the Sellers shall bear and pay the costs and expenses of such Expert Determination, notwithstanding the provisions of Article 19.3.3(c) and the provisions of Articles 17.1-17.2 shall apply to such under-delivery. 

 

	 	2.6.12	In the event that the Expert determines that the quantity of Gas actually allocated to the Buyer during such period is [***] or more of the quantity of Gas due to the Buyer pursuant to Article 2.6, then Buyer
shall bear and pay the costs and expenses of such Expert Determination, notwithstanding the provisions of Article 19.3.3(c). 

  

	 	2.7	The Expansion Project 

  

	 	2.7.1	 In the event the Sellers Sanction the Expansion Project by April 30, 2013 they shall so notify the Buyer and shall employ reasonable endeavors to
implement the Expansion Project in accordance with the provisions of this Article 2.7. For the purposes of this Article 2.7 “Sanction” means the approval by the Sellers, in accordance with the terms of the joint operating agreement
between the 

  
 25 

	 	
Sellers relating to Sellers’ Petroleum Rights, of the program and budget for the Expansion Project. It is clarified that in the event the Sellers do not Sanction the Expansion Project, the
Sellers will not be required to carry out the Expansion Project. 

  

	 	2.7.2	The Sellers shall keep the Buyer informed on a periodical basis as to the progress of the Expansion Project, including the estimated timetable for its completion. 

 

	 	2.7.3	The Expansion Project shall be subject to the satisfaction of the following conditions (the “Expansion Conditions”): 

 

	 	(a)	the receipt by the Sellers of all the regulatory approvals that are required (if required) in relation to the Expansion Project, from the Natural Gas Authority, Minister of Energy and Water Resources, the Petroleum
Commissioner, including any approvals required for the installation and operation of storage facilities in the Yam-Tethys Reservoir, and other significant regulatory approvals identified by the Sellers during the course of the approval of the
Expansion Project, in a form and on terms reasonably acceptable to the Sellers (excluding building permits); and 

  

	 	(b)	land on shore in Israel to the extent required for the construction of the facilities contemplated in the Expansion Project, shall be made available to the Sellers on terms reasonably acceptable to the Sellers.

  

	 	2.7.4	Sellers shall employ reasonable endeavors to procure that the Expansion Conditions are satisfied as soon as possible but in any event before April 30, 2013. The Sellers shall keep the Buyer informed on a periodical
basis as to progress made towards achieving the Expansion Conditions. 

  

	 	2.7.5	In the event that the Sellers Sanction the Expansion Project by April 30, 2013, however, the Expansion Conditions have not been satisfied by such date, the Sellers may notify the Buyer that the Sanction is subject
to the Expansion Conditions. 

  

	 	2.7.6	 In the event that (i) the Sellers did not Sanction the Expansion Project by April 30, 2013; or (ii) the Sellers Sanctioned the
Expansion Project but the Expansion 

  
 26 

	 	
Conditions were not satisfied or waived by the Sellers by July 31, 2013; the Buyer shall be entitled within one hundred and eighty (180) Days from such date to terminate this Agreement,
by not less than twelve (12) Months prior written notice to the Sellers, provided however, that if prior to the specified termination date, the Sellers notify the Buyer that the Sellers have Sanctioned the Expansion Project and that the
Expansion Conditions are satisfied or waived by the Sellers, the Buyer’s termination notice shall automatically be rescinded, unless prior to the date of Sellers’ notice the Buyer had already signed a gas sale and purchase agreement with
another Gas supplier in relation to the quantities of gas contemplated in this Agreement. 

  

	 	2.7.7	In the event that following the Buyer’s termination notice under Article 2.7.6 the Sellers Sanction the Expansion Project, and the Expansion Date has not occurred within thirty six (36) Months from the date on
which the Expansion Conditions have been satisfied or waived by the Sellers (except to the extent such delay was caused by an event of Force Majeure) Sellers shall be liable for Shortfall Gas, and the provisions of Articles 17.1 - 17.2 shall apply,
subject to the Sellers’ limitation of liability as set out in Article 17.3.6. 

  

	 	2.7.8	It is hereby clarified that in the event that the Sellers are delivering Gas from the Reservoir to the Ashdod Delivery Point or any other Delivery Point, at peak rates of at least [***] MMBTU per Hour in a reliable
and consistent manner, by any means other than those contemplated in the Expansion Project, then in such circumstances the Expansion Date shall be deemed to have occurred as of such date. 

 

	 	2.7.9	In the event that the Sellers Sanction the Expansion Project but the Expansion Date has not occurred within thirty six (36) Months from the date on which the Expansion Conditions have been satisfied or waived by
the Sellers (except to the extent such delay was caused by an event of Force Majeure) Sellers shall be liable for Shortfall Gas, and the provisions of Articles 17.1 - 17.2 shall apply, subject to the Sellers’ limitation of liability as set out
in Article 17.3.6. 

  

	 	2.7.10	 In the event that the Sellers Sanction the Expansion Project but the Expansion Date has not occurred within forty eight (48) Months from the date
the 

  
 27 

	 	
Expansion Conditions have been satisfied or waived by the Sellers (except to the extent such delay was caused by an event of Force Majeure), then the Buyer shall be entitled within one hundred
and eighty (180) days from such date to terminate this Agreement, by prior written notice to the Sellers of not less than twelve (12) Months and not more than twenty (24) Months, provided however, that if prior to the specified
termination date, the Interim Period End Date occurs, the Buyer’s termination notice shall automatically be rescinded, unless prior to the Interim Period End Date the Buyer had already signed a gas sale and purchase agreement with another Gas
supplier in relation to the quantities of gas contemplated in this Agreement. 

  

	 	2.7.11	If the Delivery Point for the Expansion Project is not the Ashdod Delivery Point, the Sellers shall provide written notice to the Buyer and shall specify in such notice the selected Delivery Point and the estimated
timetable for the completion of the Expansion Project in such circumstances. In the event that the Sellers notify the Buyer that the Expansion Date with respect to such selected Delivery Point shall not occur within forty eight (48) Months from
the date the Expansion Conditions have been satisfied, the Buyer shall be entitled within twelve (12) Months from the date of such notice to terminate this Agreement, by not less than twelve (12) Months prior written notice to the Sellers,
provided however, that if prior to the specified termination date, the Sellers notify the Buyer that the Expansion Date is expected to occur within forty eight (48) Months from the date the Expansion Conditions have been satisfied, the
Buyer’s termination notice shall automatically be rescinded, unless prior to the date of such notice the Buyer had already signed a gas sale and purchase agreement with another Gas supplier in relation to the quantities of gas contemplated in
this Agreement. 

  

	 	2.7.12	In the event that the Delivery Point for the Expansion Project is not the Ashdod Delivery Point and the Agreement was not terminated in accordance with Article 2.7.11, but the Expansion Date has not occurred within the
time period stipulated in the Sellers’ notice of the Delivery Point pursuant to Article 2.7.9 (except to the extent such delay was caused by an event of Force Majeure) Sellers shall be liable for Shortfall Gas, and the provisions of Articles
17.1 - 17.2 shall apply, subject to the Sellers’ limitation of liability as set out in Article 17.3.6. 

  
 28 

	 	2.7.13	It is agreed that any failure or delay in obtaining any building permits or other approvals that may be required for the construction and operation of the facilities contemplated in the Expansion Project, which failure
or delay could not have been prevented or overcome by the exercise by the Sellers of the standard of a Reasonable and Prudent Operator, will constitute an event of Force Majeure and the provisions of Article 16 will apply. 

 

	 	2.7.14	For the avoidance of doubt it is hereby clarified that the Interim Period is not included in the definition of Contract Year and therefore: 

 

	 	(a)	during the Interim Period the provisions regarding of Articles 9.1-9.4 shall be suspended and shall not apply until the Interim Period End Date; 

 

	 	(b)	any Make-Up or Carry Forward Aggregate existing on the Interim Period Commencement Date shall stand to the credit of the Buyer following the Interim Period End Date (e.g. if on December 31, 2014, the Buyer is
entitled to Carry Forward Aggregate in respect of 2014 and the Interim Period commences in 2015 and ends in 2016, the calculation of the Contract Years in which the Make-Up or Carry Forward Aggregate may be used shall resume as of 2017); and

  

	 	(c)	during the Interim Period the Buyer shall be entitled to [***]. 

  

	 	2.7.15	Notwithstanding the provisions of Article 2.7.14, in the event that the Interim Period continues after [***] and the Buyer did not terminate this Agreement in the circumstances of Article 2.7.6, 2.7.10 or 2.7.11, then
the Sellers may, by a written notice to the Buyer, request that the provisions of Article 9 (Take or Pay) shall apply for the period commencing on such date until the end of the Contract Period, subject to an adjustment of the MBQ in accordance with
the Sellers’ ability to deliver Gas on a firm basis during the remaining Contract Period (“Take or Pay Adjustment”). If within ninety (90) Days of Sellers’ notice, the Parties fail to agree on the Take or Pay
Adjustment, then either Party shall be entitled to terminate this Agreement by a ninety (90) Days prior written notice to the other Party. 

  
 29 

	 	2.8	The Second Period 

  

	 	2.8.1	The Buyer will have the right to reduce the DCQ, ACQ and TCQ by serving on the Sellers the Reduction Notice in accordance with this Article 2.8 (the “Reduction Option”). 

 

	 	2.8.2	The exercise of the Reduction Option will be made by written notice to be delivered by the Buyer to the Sellers (the “Reduction Notice”): 

 

	 	(a)	no earlier than the fourth (4th) anniversary of the Commencement Date or January 1, 2018 (whichever is later); and 

 

	 	(b)	no later than the seventh (7th) anniversary of the Commencement Date; or December 31, 2020 (whichever is later). 

 

	 	2.8.3	During the Second Period the DCQ, ACQ and TCQ shall be as follows: 

  

	 	(a)	DCQ = ADQ x 0.5/0.6 

 Where: 

DCQ means the Daily Contract Quantity (DCQ) for the Second Period; 

ADQ means the average daily Gas consumption of the Buyer pursuant to this Agreement during the thirty six (36) Months preceding the Month
in which the Reduction Notice was delivered to the Sellers, calculated as follows: 
 ADQ =
SCQ/1,095 
 Where SCQ means (i) the
cumulative quantity of Gas delivered by the Sellers to the Buyer pursuant to this Agreement during the thirty six (36) Month period preceding the Month in which the Reduction Notice was delivered to the Sellers, plus (ii) all quantities
that the Sellers did not deliver to the Buyer due to Force Majeure causing a material reduction of the quantities delivered to the Buyer; less (iii) any quantity of Gas that was delivered to the Buyer by the Sellers and sold or otherwise
transferred during such period in accordance with Article 3.2. 

  
 30 

	 	(b)	The ACQ during the Second Period will be calculated by reference to the new DCQ calculated in accordance with Article 2.8.3(a). 

  

	 	(c)	The TCQ shall be reduced by an amount calculated as follows: 

 RTCQ = RD x (DCQ – RDCQ)

 Where RTCQ is the amount by which the TCQ will be reduced; 

RD means the number of Days from the first Day of the Second Period until the sixteenth
(16th) anniversary of the Commencement Date; 
 DCQ means the Daily Contract
Quantity (DCQ) for the First Period (referred to in Article 6.2.2); 
 RDCQ means the revised DCQ calculated in accordance with Article
2.8.3(a). 
  

	 	(d)	The quantities referred to in Articles 9.2.2 and 9.3.4 will be reduced in accordance with the Reduction Ratio. 

  

	 	(e)	“RR” or “Reduction Ratio” means the ratio between the DCQ in the Second Period calculated in accordance with Article 2.8.3(a) and the DCQ for the First Period (referred to in
Article 6.2.2). 

  

	 	2.8.4	In the event the Buyer does not deliver to the Sellers the Reduction Notice during the period specified in Article 2.8.2, the Reduction Option shall terminate and the DCQ, ACQ and TCQ (including the quantities specified
in Article 2.8.3(d)) will not be reduced or amended in accordance with this Article 2.8. 

  

	 	2.9	Termination 

  

	 	2.9.1	Without prejudice to any other rights that the Sellers may have under this Agreement or pursuant to applicable law, the Sellers may terminate this Agreement by giving the Buyer not less than ninety (90) Days prior
written notice, in the following circumstances, unless such act, failure or circumstance is remedied or cured within such notice period (in addition to the notice periods listed below): 

 

	 	(a)	the Buyer fails to provide or renew the Credit Cover, or fails to replenish the amount secured under such Credit Cover in accordance with the requirements of Article 20; and 

 

	 	(b)	in the event of a breach by the Buyer of any of its material representations, warranties, covenants or obligations contained in this Agreement, which shall not have been cured within ninety (90) Days after written
notice thereof shall have been received by the Buyer. 

  
 31 

	 	2.9.2	Without prejudice to any other rights that the Buyer may have under this Agreement or pursuant to applicable law, the Buyer may terminate this Agreement by giving the Sellers not less than ninety (90) Days prior
written notice in the following circumstances, unless such act, failure or circumstance is remedied or cured within such notice period (in addition to the notice periods listed below): 

 

	 	(a)	the Sellers fail to pay to the Buyer the amount specified in Article 17.2.5 within ninety (90) Days after written notice thereof shall have been received by the Sellers from the Buyer; and 

 

	 	(b)	in the event of a breach by any of the Sellers of any of their material representations, warranties, covenants or obligations contained in this Agreement, which shall not have been cured within ninety (90) Days
after written notice thereof shall have been received by the Sellers. 

  

	 	2.9.3	If the Sellers are unable to deliver on a permanent basis a material part of the Specification Gas Properly Nominated by the Buyer and if in such circumstances the Buyer will have the right to terminate this Agreement,
the Buyer may at its discretion elect to terminate this Agreement only with respect to the quantities the Sellers are unable to supply or in its entirety. 

  

	 	2.9.4	Without derogating from the specific termination events specified in this Article 2.9, the Sellers and the Buyer agree that they will not exercise any termination rights under this Agreement or law, except in relation
to significant breaches of a material provision of this Agreement. 

  
 32 

	 	2.9.5	Any termination of this Agreement shall not affect any rights or obligations, which may have accrued prior to such termination. 

  

	 	2.9.6	Any notice of termination of this Agreement by the Sellers shall be given by the Sellers to the Buyer as a single notice binding on all the Sellers on the same terms and being expressed to terminate this Agreement in
respect of each of the Seller’s Percentages and in respect of the Sellers’ Interest. 

  

	 	2.9.7	Any notice of termination of this Agreement by the Buyer shall be given by the Buyer to the Sellers jointly binding on all the Sellers on the same terms and being expressed to terminate this Agreement in respect of the
Sellers’ Interest and in respect of each of the Sellers in relation to its respective Seller’s Percentage, except that in circumstances where the grounds for any such notice of termination are applicable to any one or more of the Sellers,
but not all the Sellers, then such notice shall not have effect if, before its expiry, the Seller (or Sellers) in respect of which such notice has been served shall have signed an agreement or deed providing for the transfer of the relevant
Seller’s Percentage or as the case may be respective Seller’s Percentage under this Agreement to another Seller or Sellers, or to other transferees, subject to and in compliance with the provisions of Article 18 or if the Sellers agree to
continue to supply Buyer’s Proper Nominations. 

  

	 	2.10	Contract Adjustment 

  

	 	2.10.1	If at any time following the Effective Date a Price Control Event occurs, the Sellers may, at their sole and absolute discretion, within twelve (12) months from such occurrence, by written notice to the Buyer,
request a review and a reasonable and appropriate adjustment of the relevant term or terms of this Agreement in a way that preserves the commercial balance of the Parties pursuant to this Agreement as at the date prior to such Price Control Event
(the “Contract Adjustment”). For the avoidance of doubt, [***]. 

  

	 	2.10.2	 Within thirty (30) Days after the Sellers request for a Contract Adjustment, the Buyer and the Sellers shall meet and negotiate in good faith the
Contract 

  
 33 

	 	
Adjustment, it being agreed that each Party will be allowed to present all arguments and matters that it deems necessary in relation to such proposed adjustment (if any). 

 

	 	2.10.3	If within sixty (60) Days of Sellers’ request, the Parties fail to agree on a Contract Adjustment, the matter shall (at the request of either Party) be referred to Arbitration pursuant to Article 19.4.

  

	 	2.10.4	Upon the determination of any Contract Adjustment (if applicable) as agreed to by the Parties or as determined (if at all) in the Arbitration, and subject to the provisions of Article 2.9.5, any such adjustment shall
apply and come into force and effect as of the date of the Price Control Event subject to the provisions of Article 2.10.5. In the event that either Party believes that the Arbitration award contradicts or is in violation of applicable law, then
such Party shall be entitled to forthwith apply to a competent court to request the annulment of the award (including against the enforceability of the award until final judgment is given). 

 

	 	2.10.5	For the avoidance of doubt it is hereby clarified that this Article 2.10 is subject to applicable Law, and that any Contract Adjustment pursuant to this Article 2.10 shall not be made in such a manner as shall cause a
breach or violation of the applicable Law. 

  
 34 

	3.	Agreement for Sale and Purchase 

  

	 	3.1	Agreement 

 Subject to the terms of this Agreement, the Sellers agree to deliver and
sell and the Buyer agrees to take and pay for or, if not taken, pay for Gas, in such quantities, at such times and in such manner as shall be provided for in this Agreement. 
  

	 	3.2	Uses 

 The Buyer shall use the Gas purchased under this Agreement solely for consumption
by the Buyer and its Affiliates in the Buyer’s Facilities and will not resell or otherwise transfer it to others, except as detailed in Articles 3.2.1-3.2.2 below: 
  

	 	3.2.1	Buyer will be entitled in any Year to resell a quantity of Gas not exceeding fifteen percent (15%) of the applicable ACQ to Distribution Network Consumers; 

 

	 	3.2.2	Buyer may [***]; 

  

	 	3.2.3	If so required pursuant to the terms of article [***]. At the request of the Sellers, the Buyer will provide the Sellers with [***]. 

  
 35 

	4.	Warranties Covenants and Taxes 

  

	 	4.1	Sellers’ Warranties and Covenants 

  

	 	4.1.1	Without prejudice to any obligation of the Sellers under this Agreement, each of the Sellers (as to its Seller’s Percentage) warrants and represents to the Buyer as of the Effective Date, as follows:

  

	 	(a)	Title to all Specification Gas sold and delivered by such Seller under this Agreement shall, upon delivery, be free from all liens, charges, encumbrances and adverse interests of any and every kind arising by, through
or under such Seller; 

  

	 	(b)	It is duly organized and validly existing under the laws of the jurisdiction of its formation and it has the legal right, power and authority to conduct its business and execute and deliver this Agreement and observe
and perform its obligations under this Agreement; 

  

	 	(c)	The entry by it into and performance of this Agreement is within its power and has been duly authorized by all necessary action on its part and shall not breach any law or determination or provision applicable to its
governing documents; 

  

	 	(d)	This Agreement constitutes a legal, valid and binding act and obligation enforceable against such Seller in accordance with the terms of this Agreement; 

 

	 	(e)	The execution, delivery, and performance by such Seller of this Agreement and the consummation of the transaction contemplated by this Agreement do not and will not (with the giving of notice or the passage of time or
both): (i) conflict with the charter documents of such Seller, (ii) violate any provision of any law, rule, or regulation applicable to such Seller, (iii) violate any order, judgment, or decree applicable to such Seller, or
(iv) conflict with, or result in a breach or default under, any agreement or other instrument to which such Seller is a party or by which it may be bound; 

  
 36 

	 	(f)	There is no claim filed, action, lawsuit, arbitration, proceeding, or investigation pending or, to the knowledge of such Seller, threatened against such Seller which might bring into question the validity of this
Agreement or the consummation of the transaction contemplated by this Agreement; and 

  

	 	(g)	 The Seller nor any director, officer, employee or subsidiary company of such Seller has not made, offered, or authorized and will not make, offer, or
authorize with respect to the matters which are the subject of this Agreement, any payment, gift, promise or other advantage, whether directly or through any other person or entity, to or for the use or benefit of any public official (i.e. any
person holding a legislative, administrative or judicial office, including any person employed by or acting on behalf of a public agency, a public enterprise or a public international organization) or any political party or political party official
or candidate for office, where such payment, gift, promise or advantage would violate (i) the applicable laws of Israel or the United States of America (including, without limitation, the Foreign Corrupt Practices Act of 1977, as amended,
U.S.C. §78dd-1, et seq.); (ii) the principles described in the Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, signed in Paris on December 17, 1997, which entered into force on
February 15, 1999, and the Convention’s Commentaries; or (iii) the principles described in the United Nations Convention Against Corruption, which entered into force on December 14, 2005. Each Seller shall defend, indemnify and
hold the other Parties harmless from and against any and all claims, damages, losses, penalties, costs and expenses arising from or related to, any breach by such Seller of such warranty. Such indemnity obligation shall survive termination or
expiration of this Agreement. For the purposes of the above warranty, each Seller shall in good time (i) respond in reasonable detail to any notice from any other Party reasonably connected with the above-stated warranty; (ii) furnish
applicable documentary support for such response upon request from such other 

  
 37 

	 	
Party; (iii) maintain adequate internal controls, properly record and report all transactions; and (iv) comply with the laws applicable to it. Each Seller acknowledges and confirms
that: (i) each Party must rely on the other Parties’ system of internal controls, and on the adequacy of full disclosure of the facts, and of financial and other data regarding action undertaken under this Agreement; (ii) No Party is
in any way authorized to take any action on behalf of another Party that would result in an inadequate or inaccurate recording and reporting of assets, liabilities or any other transaction, or which would put such Party in violation of its
obligations under the laws applicable to the operations under this Agreement. 

  

	 	4.1.2	Each of the Sellers (as to its Seller’s Percentage) covenants with the Buyer to use reasonable endeavors to obtain and maintain all licenses, permits, consents and approvals required from time to time during the
Contract Period to permit the performance of its obligations hereunder. 

  

	 	4.2	Buyer’s Warranties and Covenants 

  

	 	4.2.1	The Buyer warrants and represents to the Sellers as of the Effective Date, as follows: 

  

	 	(a)	It has the right for the whole of the Contract Period to purchase Specification Gas from the Sellers in accordance with the terms of this Agreement; and 

 

	 	(b)	It is duly organized and validly existing under the laws of the jurisdiction of its formation and it has the legal right, power and authority to conduct its business and execute and deliver this Agreement and observe
and perform its obligations under this Agreement; 

  

	 	(c)	Its entry into and performance of this Agreement is within its power and has been duly authorized by all necessary action on its part and shall not breach any law or determination or provision applicable to its
governing documents; 

  
 38 

	 	(d)	This Agreement constitutes a legal, valid and binding act and obligation enforceable against it in accordance with the terms of this Agreement; 

 

	 	(e)	The execution, delivery, and performance by Buyer of this Agreement and the consummation of the transaction contemplated by this Agreement do not and will not (with the giving of notice or the passage of time or both):
(i) conflict with the charter documents of Buyer, (ii) violate any provision of any law, rule, or regulation applicable to Buyer, (iii) violate any order, judgment, or decree applicable to Buyer, or (iv) conflict with, or result
in a breach or default under, any agreement or other instrument to which Buyer is a party or by which it may be bound; 

  

	 	(f)	There is no claim filed, action, lawsuit, arbitration, proceeding, or investigation pending or, to the knowledge of Buyer, threatened against Buyer which might bring into question the validity or propriety of this
Agreement or the consummation of the transaction contemplated by this Agreement; and 

  

	 	(g)	 Neither Buyer nor any director, officer, employee or subsidiary of the Buyer has made, offered, or authorized and will not make, offer, or authorize
with respect to the matters which are the subject of this Agreement, any payment, gift, promise or other advantage, whether directly or through any other person or entity, to or for the use or benefit of any public official (i.e. any person holding
a legislative, administrative or judicial office, including any person employed by or acting on behalf of a public agency, a public enterprise or a public international organization) or any political party or political party official or candidate
for office, where such payment, gift, promise or advantage would violate (i) the applicable laws of Israel or the United States of America (including, without limitation, the Foreign Corrupt Practices Act of 1977, as amended, U.S.C.
§78dd-1, et seq.); (ii) the principles described in the Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, signed in Paris on December 17, 1997, which entered into force on
February 15, 1999, and the Convention’s Commentaries; or (iii) the principles described in the 

  
 39 

	 	
United Nations Convention Against Corruption, which entered into force on December 14, 2005. The Buyer shall defend, indemnify and hold the other Parties harmless from and against any and
all claims, damages, losses, penalties, costs and expenses arising from or related to, any breach by the Buyer of such warranty. Such indemnity obligation shall survive termination or expiration of this Agreement. For the purposes of the above
warranty, the Buyer shall in good time (i) respond in reasonable detail to any notice from any other Party reasonably connected with the above-stated warranty; (ii) furnish applicable documentary support for such response upon request from
such other Party; (iii) maintain adequate internal controls, properly record and report all transactions; and (iv) comply with the laws applicable to it. Buyer acknowledges and confirms that: (i) each Party must rely on the other
Parties’ system of internal controls, and on the adequacy of full disclosure of the facts, and of financial and other data regarding action undertaken under this Agreement; (ii) No Party is in any way authorized to take any action on
behalf of another Party that would result in an inadequate or inaccurate recording and reporting of assets, liabilities or any other transaction, or which would put such Party in violation of its obligations under the laws applicable to the
operations under this Agreement. 

  

	 	4.2.2	The Buyer covenants with the Sellers that throughout the Contract Period, the Buyer shall: 

  

	 	(a)	Not agree to or (to the extent that it is within its power to prevent) permit any amendment or modification of the GTA whereby the Buyer’s ability to perform its obligations under this Agreement may be prevented or
materially adversely affected and shall observe and perform all terms thereof and exercise its rights thereunder in such manner as to secure that the terms and provisions of this Agreement shall be performed; and 

 

	 	(b)	Use reasonable endeavors to obtain and maintain all licenses, permits, consents and approvals required from time to time during the Contract Period to permit the performance of the Buyer’s obligations hereunder.

  
 40 

	 	4.3	Taxes and Royalties 

  

	 	4.3.1	Each of the Sellers as to its Seller’s Percentage shall pay or cause to be paid all royalties, taxes, duties, levies and other sums arising in respect of production, transportation, gathering, processing and
handling of Natural Gas before delivery by such Seller to the Buyer at the Delivery Point. 

  

	 	4.3.2	The Buyer shall pay or cause to be paid all taxes, duties, levies and other sums arising in respect of receipt, processing, handling and transportation of Natural Gas at or after delivery to the Buyer by each of the
Sellers at the Delivery Point. 

  

	 	4.3.3	Notwithstanding the above, the Buyer shall also bear and pay or (as the case may be) promptly reimburse each of the Sellers in respect of any: 

 

	 	(a)	Value Added Tax payable pursuant to Israeli Law in relation to Gas sold by such Seller to the Buyer under this Agreement; 

  

	 	(b)	Excise Duty payable pursuant to the Excise Law on Fuels-1958 and Purchase Tax payable pursuant to the Purchase Tax Law-1952 as applicable, and any other similar law, in relation to Gas sold by such Seller to the Buyer
under this Agreement; and 

  

	 	(c)	In the event any new taxes are levied by the authorities in Israel after the date hereof on any of the Sellers in respect of production, transportation, gathering, processing and handling of Natural Gas before delivery
by the Sellers to the Buyer at the Delivery Point (“New Taxes”), the Sellers may increase the Contract Price by up to [***] in each [***] year period to reflect the financial impact of such New Taxes. If such New Taxes are in excess
of [***] of the Contract Price in each [***] year period and the Sellers do not wish to bear the New Taxes in excess of [***] of the Contract Price, the Sellers shall so notify the Buyer and if within thirty (30) days of such notice the Parties
have not reached an agreement with respect to a price adjustment above [***], then either Party shall be entitled to terminate this Agreement by ninety (90) Day written notice to the other. 

  
 41 

	 	4.4	Indemnities and Acknowledgements 

  

	 	4.4.1	Each of the Sellers as to its Seller’s Percentage shall indemnify and hold harmless the Buyer against any and all loss, damage and expense of every kind on account of: 

 

	 	(a)	adverse claims relating to such Seller’s title to any or all Gas delivered to the Buyer hereunder; or 

  

	 	(b)	any and all royalties, taxes, duties, levies or other sums which the Sellers are obligated to bear and pay pursuant to Article 4.3.1 above. 

 

	 	4.4.2	The Buyer shall indemnify and hold harmless each of the Sellers as to its Seller’s Percentage against any and all loss, damage and expense of every kind on account of any and all taxes, duties, levies and other
sums which the Buyer is obligated to bear and pay pursuant to Articles 4.3.2-4.3.3 above. 

  

	 	4.4.3	Any indemnification payment due from one Party to the other under this Article 4.4, shall be included in the Monthly Statement, unless due to its nature it cannot be so included, in which case, the indemnification
payment shall be made within thirty (30) Days of the request of the Party entitled to be indemnified. 

  
 42 

	5.	Sellers’ Rights, Commingling and Unitization 

  

	 	5.1	Sellers’ Rights 

 Without relieving Sellers from any of their specific obligations
pursuant to this Agreement (including with respect to quantity, quality and pressure as provided in this Agreement), the Sellers shall have the right to: 
  

	 	5.1.1	Determine the manner in which they conduct their physical operations; 

  

	 	5.1.2	Supply Specification Gas for delivery under this Agreement from any source at their sole discretion, including from outside Israel; 

  

	 	5.1.3	Commingle Natural Gas produced pursuant to the Sellers’ Petroleum Rights with Natural Gas produced from any other source or sources subject specifically to the pressure and quality requirements provided in this
Agreement; 

  

	 	5.1.4	Pool, combine or unitize all or any part of the Sellers’ Interest with interests in any other licenses or leases; and 

  

	 	5.1.5	Enter into agreements to supply third parties with Natural Gas from any of its licenses and leases, (including from the Sellers’ Petroleum Rights), or elsewhere. 

  
 43 

	6.	Quantities and Nominations 

  

	 	6.1	The ACQ 

 For each Contract Year the “Annual Contract Quantity” (or
“ACQ”) shall be equal to the aggregate of the respective DCQs applicable on each Day during that Contract Year. 
  

	 	6.2	The DCQ 

 Except as otherwise provided for in this Agreement, the “Daily
Contract Quantity” or “DCQ” shall be as follows: 
  

	 	6.2.1	In respect of each Day of the Commissioning Period, the DCQ shall be zero (0). 

  

	 	6.2.2	In respect of each Day of the period commencing on the Commencement Date and ending on the last Day of the First Period, the DCQ shall be [***] MMBTU. 

 

	 	6.2.3	In respect of each Day of the Second Period (if applicable), the DCQ shall be reduced in accordance with Article 2.8. 

  

	 	6.2.4	The Buyer [***]. 

  

	 	6.3	Deliveries 

  

	 	6.3.1	In respect of each Day during the Commissioning Period, the Sellers shall use reasonable endeavors to make available for delivery at the Delivery Point the quantities of Specification Gas nominated by the Buyer up to
the DCQ specified in Article 6.2.2, in accordance with the provisions of Article 2.4. 

  

	 	6.3.2	 In respect of each Day as of the Commencement Date and until the end of the Contract Period, the Sellers shall make available for delivery at the
Delivery 

  
 44 

	 	
Point the quantities of Specification Gas Properly Nominated for delivery by the Buyer and the Buyer shall take delivery of the quantities so delivered. The Sellers will use reasonable endeavors
to deliver the Properly Nominated quantities evenly over the Day, such that the quantity delivered in each Hour shall be equal to the Properly Nominated quantity for such Day divided by twenty four (24). 

 

	 	6.3.3	Notwithstanding the aforementioned, in the event that any governmental body having authority in relation to the supply of Gas under this Agreement, issues, imposes, or enacts any decree, ruling, declaration, regulation,
order, directive, instruction or other legally binding instrument (collectively: “Allocation Order”) which affects the sale or delivery of Gas by the Sellers to the Buyer under this Agreement, then in such circumstances the
Sellers’ obligations and undertakings pursuant to this Agreement will be subject to such Allocation Order and the Sellers shall have no liability to the Buyer for complying with such Allocation Order. 

 

	 	6.4	Operational Delivery Tolerance 

 The Parties agree that the following operational
tolerance will apply in respect of deliveries that fall short of, or exceed, the quantity Properly Nominated on any Day by up to [***] (“Daily Delivery Tolerance”) but not more than [***], so that if an under-delivery does not
exceed the Daily Delivery Tolerance it shall be deemed to have been caused by Force Majeure; and if an over-delivery does not exceed the Daily Delivery Tolerance the Buyer shall be deemed to have Properly Nominated it. [***]. 

 

	 	6.5	Nomination Procedures 

  

	 	6.5.1	Not later than 14:30 hours on the Wednesday immediately preceding the beginning of each Month, the Buyer shall give notice to the Sellers of the quantity of Specification Gas it then forecasts to be required in respect
of each Day of that Month. This forecast is indicative and non-binding. 

  
 45 

	 	6.5.2	Not later than 14:30 hours on the Wednesday immediately preceding each Week, the Buyer shall give notice to the Sellers of the quantity of Specification Gas it then forecasts to be required in respect of each Day of
that Week. This forecast is indicative and non-binding. 

  

	 	6.5.3	Not later than 14:30 hours on each Day, the Buyer shall give notice to the Sellers nominating the quantity of Specification Gas it requires to be delivered at the Delivery Point in respect of the immediately following
Day. This nomination will be binding and final, subject to variations in accordance with Articles 6.5.4 and 6.5.5. 

  

	 	6.5.4	The Buyer shall be entitled by notice to the Sellers once for any Day to vary the quantities of Specification Gas so nominated pursuant to Article 6.5.3 for any such Day by the following amounts, subject to the
following notice periods: 

  

	 	(a)	Buyer shall be entitled to increase the quantity of Specification Gas nominated for such Day by not more than [***], provided that such notice is given not less than [***] Hours before the Hour from which the variation
is to commence; and 

  

	 	(b)	Buyer shall be entitled to decrease by the quantity of Specification Gas nominated for such Day by not more than [***] provided that such notice is given not less than [***] Hours before the Hour from which the
variation is to commence, 

 and provided in each case that any such variation complies with Article 6.6. 

 

	 	6.5.5	The Buyer may at any time request variations in the Proper Nomination at a shorter notice than prescribed in Article 6.5.4, provided such variation complies with Article 6.6.2 and the Sellers shall use reasonable
endeavors to comply with the variation so requested, it being specifically agreed that the Sellers’ failure to comply with the variation so requested shall not constitute Shortfall Gas. 

  
 46 

	 	6.5.6	In the event that the Buyer does not make a Proper Nomination in respect of any Day pursuant to this Article 6.5, the Buyer shall be deemed to have nominated a quantity equal to the quantity Properly Nominated in the
preceding Day. 

  

	 	6.5.7	If, during any Day a Force Majeure event occurs which results in the Sellers or Buyer being unable to make available for delivery or take Gas in accordance with a Proper Nomination, then until the cessation of the Force
Majeure: 

  

	 	(a)	Until the expiration of the period covered by a Proper Nomination that was made prior to the occurrence of the Force Majeure event, such Proper Nomination shall be in effect; and 

 

	 	(b)	Thereafter, during the continuation of the Force Majeure event, the Proper Nomination with respect to each Day shall be deemed to be a quantity equal to the applicable DCQ. 

 

	 	6.5.8	Notwithstanding the above, in the event that nomination procedures are imposed on the Parties by the Transporter which are inconsistent with the nomination procedures specified in this Article 6.5, the Parties shall
revise the nomination procedures set out in this Article 6.5 so as to make them consistent with those imposed by the Transporter provided that the Sellers shall not be required to agree to procedures which are more onerous on the Sellers than the
procedures specified in Article 6.5. In default of agreement between the Parties on such revisions, either Party may, by notice to the other, require the matter to be referred for determination by the Expert pursuant to Article 19.3.

  

	 	6.5.9	Without derogating from the provisions of this Article 6.5, during the Interim Period, the following procedures shall apply: 

  

	 	(a)	the Sellers will use reasonable endeavors to provide Buyer with prior notice of any significant expected reduction of the supply of Gas to the Buyer in accordance with the provisions of Article 2.6.2, and notice of the
quantity of Specification Gas the Sellers forecast to be available for delivery to the Buyer during any Month of the Interim Period; 

  
 47 

	 	(b)	each Day after receiving the nominations from all the buyers pursuant to the Existing Agreements and Sellers’ Additional Agreements, the Sellers shall notify the Buyer of any Hours in the immediately following Day
in which the aggregate nominations from all the buyers pursuant to the Existing Agreements and Sellers’ Additional Agreements are expected to exceed the Maximum Hourly Peak Capacity, and if so Sellers shall also inform Buyer of the quantity of
Gas that will be available for delivery to the Buyer in the immediately following Day pursuant to the Proper Nominations of the Buyer hereunder; 

  

	 	6.5.10	For the avoidance of doubt, the provisions of Article 8.1 shall apply to all forecasts and estimations provided pursuant to this Article 6.5 and shall not derogate from, nor add to, the Parties’ respective
obligations and liabilities to deliver or take quantities of Gas under this Agreement. 

  

	 	6.6	Proper Nominations 

  

	 	6.6.1	For the purposes of this Agreement, “Proper Nomination” means a nomination which has been made in accordance with the requirements of Articles 6.5.3, 6.5.4, 6.5.5 or 6.5.7 and Articles 6.6.2 and 6.6.3.
“Properly Nominated” means in relation to a quantity of Gas in respect of any Day, the Proper Nomination. 

  

	 	6.6.2	A Proper Nomination made by the Buyer in respect of any Day shall not exceed the DCQ. 

  

	 	6.6.3	All nominations or notifications of quantities of Specification Gas under this Agreement shall (except where the context otherwise requires) be made in MMBTU. 

 

	 	6.6.4	The Buyer shall take at the Delivery Point the quantities of Specification Gas Properly Nominated by the Buyer and tendered for delivery by the Sellers in respect of such Day. 

 

	 	6.6.5	Following the Expansion Date, Buyer may nominate additional volumes above the applicable DCQ and in the event that the Sellers have available uncontracted capacity in Sellers’ Facilities, Sellers may elect to
comply with such nomination of additional volumes on such terms as will be agreed by the Parties. 

  
 48 

	 	6.7	Planned Maintenance 

  

	 	6.7.1	When the Sellers are preparing to conduct maintenance, repair, modification, installation of new equipment, or replacement of Sellers’ Facilities (“Maintenance”) that would require a reduction in
the ability to deliver Specification Gas under this Agreement, the Sellers shall use reasonable endeavors to give at least sixty (60) Days prior written notice to the Buyer of the period (“Maintenance Period”) during which they
intend to conduct such Maintenance. 

  

	 	6.7.2	The Maintenance Period may not exceed [***] consecutive Days in any Year and [***] Days in aggregate in any [***] consecutive Years. It is hereby clarified that in the event that either Party conducts Maintenance for a
period that exceeds the Maintenance Period as above, then such excess Maintenance Days shall not constitute as a Maintenance Period under this Agreement. 

  

	 	6.7.3	The Maintenance notice shall specify the DCQ that Sellers’ estimate will be made available to Buyer during the Maintenance Period. 

 

	 	6.7.4	Nothing in this Agreement shall prohibit or impede Sellers or Buyer from carrying out the Maintenance or from reducing the DCQ for each Day during the Maintenance Period to the levels specified in the notice of
Maintenance. The Buyer shall make nominations in respect of any Day during the Maintenance Period by reference to such reduced DCQ. 

  
 49 

	7.	Facilities 

  

	 	7.1	Sellers’ Facilities 

 The Sellers shall throughout the Contract Period, construct,
install and maintain the Sellers’ Facilities in accordance with the standard of a Reasonable and Prudent Operator. 
  

	 	7.2	Buyer’s Facilities 

 The Buyer shall throughout the Contract Period, construct,
install and maintain the Buyer’s Facilities in accordance with the standard of a Reasonable and Prudent Operator. 

  
 50 

	8.	Exchange of Information 

  

	 	8.1	Forecasts 

  

	 	8.1.1	The Buyer shall provide to the Sellers, during each Month of September during the Contract Period: (i) a written forecast of the quantities of Specification Gas, which it reasonably expects to nominate during the
next succeeding Year; (ii) a written forecast of the quantities of Specification Gas, which it reasonably expects to nominate during each Month of the next succeeding Year; and (iii) a written program of proposed operations for each Month
during the following Year, which shall include details of any proposed Maintenance programs in accordance with Article 6.7. 

  

	 	8.1.2	During each Month of the Interim Period the Sellers shall [***] pursuant to this Agreement during the next succeeding Month. 

  

	 	8.1.3	All information, estimates and forecasts to be provided under this Agreement shall be provided in good faith, but neither Party shall be liable for the accuracy of any estimate or forecast made under this Agreement nor
shall any such forecast vary the respective rights and obligations of the Parties hereunder. 

  

	 	8.1.4	All information, estimates and forecasts given or work undertaken under this Agreement shall be at the expense of the providing Party. 

 

	 	8.1.5	It is agreed that the provisions of this Agreement granting either Party directly or indirectly, rights to receive information, access, visit, monitoring and inspection or to any other source of information, will not
grant the receiving Party access to information regarding the competitors of the receiving Party or their mode of operation. 

  

	 	8.2	Information and Access 

  

	 	8.2.1	It is acknowledged and agreed that nothing in this Article 8 shall oblige either Party to do or omit to do anything which would: 

  

	 	(a)	breach or otherwise adversely affect any bona fide commitment of confidentiality owed to any Party; or 

  

	 	(b)	procure or allow any rights of access or inspection in excess of or contrary to such rights as may be legally available to and exercisable by one Party in favor of the other. 

  
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	 	8.2.2	Notwithstanding the provisions of Article 8.3, it is agreed that all information, forecasts and estimates provided pursuant to Article 8 shall be kept confidential by the receiving Party and shall not be disclosed to
any Person without the prior written consent of the providing Party. 

  

	 	8.3	Confidentiality 

  

	 	8.3.1	The terms and conditions of this Agreement and all information disclosed hereunder (including any disclosures made during any Arbitration or Expert Determination) shall until three (3) Years after this Agreement
has terminated be treated as confidential. Except as provided in Article 8.3.2, such terms and conditions shall not be disclosed in whole or in part by either Party and such information shall not be disclosed in whole or in part by the Party
receiving the same to any other Person without the prior consent of the disclosing Party (such terms and conditions and such information being herein called “Disclosed Information”). 

The expression Disclosed Information shall not include any information which (when used or disclosed) has been made public other than through
a breach of this Agreement or has been or could have been lawfully acquired (other than pursuant to the provisions of this Article 8.3) by the Party or Person using the same or to whom disclosure is made. 

 

	 	8.3.2	Notwithstanding the provisions of Article 8.3.1, neither Party shall be required to obtain the prior consent of the other in respect of disclosure of Disclosed Information: 

 

	 	(a)	to directors or employees of a Party and of Affiliates of such Party, provided that the Buyer or the Sellers (as the case may be) shall use reasonable endeavors to ensure that such Persons keep the Disclosed Information
confidential on the same terms as are provided in this Article 8.3; 

  
 52 

	 	(b)	to Persons professionally engaged by or on behalf of such Party, provided that such Persons shall be required by such Party to undertake to keep such information confidential and be bound by confidentiality provisions
substantially the same as those contained in this Article 8.3; 

  

	 	(c)	to any government department or any governmental or regulatory agency or body having jurisdiction over such Party, including the anti-trust commissioner, the petroleum commissioner and the securities authority, but only
to the extent that such Party is legally compelled to make such disclosure; 

  

	 	(d)	to any Person to whom such disclosure is required under Israeli electricity regulations, as in force from time to time, including to the System Manager as defined under such electricity regulations and the Public
Utilities Authority – Electricity, to the extent necessary; 

  

	 	(e)	to any: (i) lending or other financial institution (including rating agencies); or (ii) to any bona fide intending assignee of the whole or any part of the rights and interests of such Party under this
Agreement but only in respect of such proposed assignment and subject to such intending assignee first agreeing with such Party to be bound by confidentiality provisions not less restrictive than those contained in this Article 8.3;

 but (in either case) only to the extent required in connection with obtaining such finance or in respect of such proposed
assignment and subject to such institution or intending assignee first agreeing with such Party to be bound by confidentiality provisions substantially the same as those contained in this Article 8.3; 

 

	 	(f)	to the extent required by any applicable laws, rules and regulations of any recognized stock exchange or to the extent required by any lawful subpoena or other process in connection with any judicial, arbitral, or
administrative proceeding; 

  

	 	(g)	to the Transporter, but only to the extent such disclosure is required; 

  
 53 

 Provided, that in respect of Articles 8.3.2(b) - 8.3.2(g) the disclosing Party: (i) shall
keep the disclosure of Disclosed Information limited to the extent reasonably necessary for the purpose for which it is disclosed, (ii) shall wherever practicable and permissible, in advance of such disclosure (or if this is not practicable or
permissible as soon as reasonably practicable or permissible thereafter), notify the other of such disclosure (and the extent thereof) and the identity of the Person(s) to whom disclosure was made, and (iii) shall so far as practicable minimize
the further disclosure of the Disclosed Information. 
  

	 	8.3.3	Subject to Article 8.3.2 above, neither the Buyer nor the Sellers shall make any public representations, statements or announcements relating to this Agreement without the prior written approval of the other, such
approval not to be unreasonably withheld. 

  
 54 

	9.	Take or Pay 

  

	 	9.1	The Adjusted ACQ and Minimum Bill Quantity 

  

	 	9.1.1	For each Contract Year, the “Adjusted Annual Contract Quantity” and the “Minimum Bill Quantity” shall be calculated in accordance with the following provisions. 

 

	 	9.1.2	The Adjusted Annual Contract Quantity (or “Adjusted ACQ”) shall be a quantity of Gas equal to the ACQ applicable for the relevant Contract Year less the sum of the following: 

 

	 	(a)	the aggregate of the quantities of Gas Properly Nominated by the Buyer for delivery during the relevant Contract Year which the Sellers did not for any reason make available for delivery (including without limitation
failure to deliver as a result of Force Majeure and Sellers’ Maintenance Periods) except any quantities that the Sellers did not deliver in the circumstances of Article 11.5.2 and any failure by the Buyer to take delivery of Gas Properly
Nominated and tendered for delivery in accordance with this Agreement; 

  

	 	(b)	the aggregate of the quantities of Gas Properly Nominated by the Buyer for delivery during the relevant Contract Year which the Buyer did not take and was excused from taking due to Off-Spec Gas; and 

 

	 	(c)	 the aggregate of the quantities of Gas Properly Nominated by the Buyer for delivery during the relevant Contract Year which the Buyer did not take:
(i) for reasons for which it was excused from liability under Article 16 (including deemed nominations under Article 6.5.7); (ii) due to [***]. For the purposes of this Article, the Daily quantities of Specification Gas that were Properly
Nominated by the Buyer during periods for which it was excused from liability as aforesaid shall be equal to [***]. The Buyer will provide Sellers notice of any 

  
 55 

	 	
[***] within seven (7) Days of its occurrence and if the Buyer fails to do so it shall not be entitled to any reduction of the ACQ in respect of any quantities of Specification Gas it could
not take due to such maintenance or curtailment. 

  

	 	9.1.3	The “Minimum Bill Quantity” (or “MBQ”) shall be a quantity of Gas equal to: 

  

	 	(a)	For all Contract Years during the First Period, [***] of the Adjusted ACQ applicable for each such Contract Year; and 

  

	 	(b)	For all Contract Years during the Second Period, [***] of the Adjusted ACQ applicable for each such Contract Year. 

  

	 	9.2	Carry Forward Aggregate 

  

	 	9.2.1	If and to the extent that in any Contract Year the aggregate of the quantities of Gas taken and paid for by the Buyer under this Agreement (excluding any quantity of Gas in respect of which the Buyer shall receive a
credit pursuant to Article 9.4) exceeds [***] of the applicable ACQ, then such amount shall be classified as “Carry Forward” in respect of such Contract Year. 

 

	 	9.2.2	Any quantity so classified as Carry Forward in respect of any Contract Year together with any Carry Forward so classified in respect of the [***] previous Contract Years shall (save to the extent of any use thereof
pursuant to Article 9.3) be known as the “Carry Forward Aggregate” in force at any time or from time to time. 

  

	 	9.3	Take or Pay 

  

	 	9.3.1	In respect of each Contract Year the amount of the Minimum Bill Quantity which has not been taken by the Buyer in such Contract Year under this Agreement shall be known as the “Annual Take or Pay
Quantity” for such Contract Year. 

  
 56 

	 	9.3.2	In respect of any Contract Year for which there arises an Annual Take or Pay Quantity, such quantity shall be reduced by a quantity of Carry Forward Aggregate not exceeding a maximum amount of [***] of the
applicable ACQ and: 

  

	 	(a)	any remaining amount of such Annual Take or Pay Quantity shall be known as the “Net Annual TOP Quantity”; and 

  

	 	(b)	such use of Carry Forward Aggregate shall be deemed to be a recovery of Carry Forward Aggregate by the Buyer to the extent of such use and the outstanding balance (if any) of Carry Forward Aggregate shall be reduced
commensurately. 

  

	 	9.3.3	In respect of any Contract Year for which there arises a Net Annual TOP Quantity, the Buyer shall make payment to the Sellers at the volume weighted arithmetic average price for the relevant Contract Year for any such
Net Annual TOP Quantity. 

  

	 	9.3.4	The Net Annual TOP Quantity in respect of such Contract Year together with the Net Annual TOP Quantity in respect of the [***] previous Contract Years not already recovered pursuant to the provisions of Article 9.4
shall be known as “Make-Up Aggregate”. 

  

	 	9.4	Recovery of Make-Up Aggregate 

  

	 	9.4.1	The Buyer shall be entitled to recover Make-Up Aggregate without additional cost in accordance with the provisions of this Article 9.4 hereinafter. In relation to each Contract Year, at the commencement of which any
Make-Up Aggregate exists, the Buyer shall receive a quantity credit (in MMBTU) in respect of any Gas taken and paid for by the Buyer in excess of the MBQ in the relevant Year up to the balance of the then outstanding Make-Up Aggregate.

  

	 	9.4.2	The quantities to be used in so reducing the Make-Up Aggregate shall be established by applying the first in first out principle to the quantities constituting the Make-Up Aggregate. 

 

	 	9.4.3	The quantity credit in respect of any Gas taken and paid for by the Buyer in excess of the MBQ and up to the balance of the then outstanding Make-Up Aggregate mentioned in Article 9.4.1, shall be converted to a monetary
credit by multiplying such quantity with the Contract Price in effect at the time Buyer recovered such Make-Up Aggregate. 

  
 57 

	 	9.4.4	The monetary credit calculated in accordance with Article 9.4.3 shall be taken into account in the Annual Reconciliation Statement in respect of such Year. 

 

	 	9.4.5	Any such credit to the Buyer shall be deemed to be a recovery of Make-Up Aggregate by the Buyer to the extent of the quantity corresponding to such credit and the outstanding balance (if any) of Make-Up Aggregate shall
be reduced commensurately. 

  

	 	9.4.6	Notwithstanding the foregoing provisions of this Article 9.4, if at what would otherwise be the end of the Contract Period there is any Make-Up Aggregate outstanding, then, at Sellers’ option, which will be
notified to Buyer by not later than one hundred and twenty (120) Days before the end of the Contract Period: 

  

	 	(a)	This Agreement shall not terminate on that date but shall continue in full force and effect for a number of Days equal to the Make-Up Aggregate divided by [***] of the DCQ in effect during the last Contract Year or
twelve (12) Months, whichever is shorter. During this period, the provisions of this Agreement will continue to apply mutatis mutandis (in order to avoid any doubt, Article 9.3 will not apply); or 

 

	 	(b)	On the last Day of the month immediately following the month in which such termination occurs the Sellers shall [***]. 

  
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	 	9.5	Assignment of [***] 

  

	 	9.5.1	The Buyer may assign: [***], subject to the following provisions: 

  

	 	(a)	the assignment will only be made with respect to [***]. 

  

	 	(b)	[***]. 

  

	 	9.5.2	It is hereby clarified that the [***] will expire at the end of the [***]. 

  
 59 

	10.	Price and Price Adjustment 

  

	 	10.1	Calculation of Contract Price 

  

	 	10.1.1	The Contract Price of Gas delivered pursuant to this Agreement (the “Contract Price”) shall be calculated in accordance with this Article 10. 

 

	 	10.1.2	The Price Formula 

 The Contract Price in New Israeli Shekels (NIS) per MMBTU for each Price
Period during the Contract Period shall be calculated in accordance with the following formula: 
 CP = [***] 

Where: 
 CP is the
Contract Price for the applicable Price Period expressed in NIS (New Israeli Shekels) per MMBTU. 
 BP is the agreed base price of
[***] per MMBTU. 
 PT is the average of the Production Cost Tariff (“Weighted Average Production Price” on Table
1-6.3 of the PUA publications) published by the Public Utilities Authority – Electricity that is in effect on the last day of the Price Period. 

PT0 is [***]; 
 NS
means the arithmetic average of the Representative Rate for all the Days of the Price Period; 
 NS0 is [***] NIS/USD; 

Indicator means PT and NS. 
  

	 	10.2	Prices 

  

	 	10.2.1	Gas delivered under the terms of this Agreement shall be paid for at the Contract Price unless specified otherwise in this Agreement. 

  
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	 	10.2.2	The Contract Price will include all the amounts due to the Sellers for delivery of the Gas and providing the associated services as described in this Agreement, including the price of the energy content of the Gas, fees
for capacity, processing, treatment, transportation, pressure reduction and measurement of the Gas prior to its delivery at the Delivery Point, and for the nomination procedures described in Article 6.5. 

 

	 	10.2.3	Notwithstanding the provisions of Article 10.1 above, the Contract Price in US Dollars calculated based on the Representative Rate as at the date of the Monthly Statement shall not be less than five U.S. Dollars and
twenty Cents (US$5.20) per MMBTU (the “Floor Price”) provided however that: 

  

	 	(a)	If at any time during the Contract Period the Contract Price calculated in accordance with Article 10.1.3 is less than five U.S. Dollars and twenty Cents (US$5.20) for a period of six (6) consecutive Months, then
the Floor Price immediately following such six month period shall be reduced to five U.S. Dollars (US$5.00); and 

  

	 	(b)	If at any time following: (i) the reduction of the Floor Price under Article 10.2.3(a); or (ii) the increase of the Floor Price under Article 10.2.3(c); the Contract Price calculated in accordance with the
formula described in Article 10.1.3 is less than five U.S. Dollars (US$5.00) for a period of six (6) consecutive Months, then the Floor Price immediately following such six (6) month period shall be reduced to four U.S. Dollars and seventy
Cents (US$4.70). 

  

	 	(c)	If at any time following the reduction of the Floor Price under Article 10.2.3(b) the Contract Price calculated in accordance with the formula described in Article 10.1.3 is equal to or more than five U.S. Dollars
(US$5.00) for a period of six (6) consecutive Months, then the Floor Price immediately following such six (6) month period shall be increased to five U.S. Dollars (US$5.00); and 

 

	 	(d)	 If at any time following: (i) the reduction of the Floor Price under Article 10.2.3(a); or (ii) the increase of the Floor Price under
Article 10.2.3(c); the Contract Price calculated in accordance with the formula described in 

  
 61 

	 	
Article 10.1.3 is equal to or more than five U.S. Dollars and twenty Cents (US$5.20) for a period of six (6) consecutive Months, then the Floor Price immediately following such six
(6) Months period shall be increased to five U.S. Dollars and twenty Cents (US$5.20). 

  

	 	(e)	The calculation of the Floor Prices as above will be based on the Representative Rate as at the date of the Monthly Statement for the relevant Price Period. 

 

	 	10.2.4	Gas delivered in reduction of the Shortfall Aggregate under the provisions of Article 17 shall be paid for at the following prices: 

  

	 	(a)	Gas delivered in reduction of the First Shortfall Aggregate under the provisions of Article 17.2.2 shall be paid for at a price (herein called the “First Shortfall Price”) that is equal to:
(i) during the period prior to [***]; (ii) during the period following the [***]; (iii) during the [***]; and (iv) during the period following the [***]. 

 

	 	(b)	Gas delivered in reduction of the Second Shortfall Aggregate under the provisions of Article 17.2.2 shall be paid for at a price (herein called the “Second Shortfall Price”) that is equal to:
(i) during the period prior to the first (1st) anniversary of the Availability Date- ninety percent (90%) of the Contract Price; (ii) during the period following the first (1st) anniversary of the Availability Date until the Interim Period Commencement Date- seventy five percent (75%) of the Contract Price; (iii) during the Interim Period- ninety percent
(90%) of the Contract Price; and (iv) during the period following the Interim Period End Date - seventy five percent (75%) of the Contract Price. 

  
 62 

	 	10.3	Figures for Calculation of Indicator 

  

	 	10.3.1	All intermediate calculations to ascertain the Contract Price under this Agreement shall be made to five (5) places of decimals, without rounding and the final product shall then be rounded to the fourth decimal. A
figure of five (5) (or more) in the fifth place of decimals shall cause a rounding up of the fourth decimal. 

  

	 	10.3.2	All prices calculated in accordance with this Article 10 are exclusive of all taxes and duties, and shall be payable in accordance with Article 11. 

 

	 	10.3.3	In the application of the formula set out in Article 10.1, the latest figures for the relevant period needed to calculate an Indicator which are available on the first Day of each Price Period shall be used (whether the
same are published in final or in provisional form) and the values so obtained shall not be adjusted consequent upon such figures being subsequently published in amended form except only: 

 

	 	(a)	in those specified circumstances and in the manner set out in Articles 10.4 and 10.5; or 

  

	 	(b)	in the event that figures which are then published in provisional form are subsequently published in final form within two (2) Months after such quoted price is first quoted. 

 

	 	10.4	Unavailability or Change in Basis of or Error in Indicator 

  

	 	10.4.1	If during any Price Period in the opinion of either Party: 

  

	 	(a)	the Indicator is permanently not available (or the Parties are unable to agree whether it is only temporarily unavailable); 

  

	 	(b)	the Indicator contains an error in any of the relevant figures required to calculate such Indicator; or 

  

	 	(c)	the basis of calculation of the Indicator is so changed as to affect materially the validity of price comparison or index comparison over time; 

then either Party may, not later than the end of the relevant Price Period, give notice to the other of such opinion and the Parties shall
jointly endeavor to agree upon whether such opinion is valid and if so to agree upon an appropriate amendment to or replacement of such Indicator (or any such figure). 

  
 63 

	 	10.4.2	To the extent that the Parties have been able to agree upon an amended or replacement of the relevant Indicator (or figure), it shall be used in the calculation of the Contract Price for the relevant Price Period and
subsequent Price Periods and shall not subsequently be amended in respect of the Price Periods for which it is used, even though the relevant Indicator (or figure) subsequently becomes available or is corrected. 

 

	 	10.4.3	If the Parties are unable to agree whether the Indicator (or figure) is unavailable, is erroneous or has been changed, within ninety (90) days from the date of the notice given under Article 10.4.1, the matter
shall (at the request of either Party) be referred to Arbitration pursuant to Article 19.4. 

  

	 	10.4.4	In any Arbitration pursuant to Article 10.4: 

  

	 	(a)	If the issue referred to Arbitration is the establishment of an appropriate replacement of the Indicator pursuant to Article 10.4.1(a), the Arbitrator(s) shall determine a replacement Indicator (being an index price or
series of prices or combination of indices as close as possible in type and use to the Indicator required to be replaced, with such adjustments only thereto as may be necessary to reflect more closely the movements of such Indicator) and shall in
the same manner (if required) provide an appropriate value to be used as a substitute Indicator. 

  

	 	(b)	If it is agreed or determined that the circumstances set out in Article 10.4.1(b) have occurred, the Arbitrator(s) shall provide a determination to correct the error including a substitute Indicator, if applicable.

  

	 	(c)	If it is agreed or determined that the circumstances set out in Article 10.4.1(c) have occurred, the Arbitrator(s) shall determine such adjustments to be made to the Indicator (and if appropriate its substitute
Indicator) as may be required to restore the validity of price or index comparison over time or, if this is not possible, the Arbitrator(s) may determine an alternative Indicator together with an appropriate value to be used as its denominator in
the manner described in Article 10.4.4(a). 

  
 64 

	 	(d)	If it is determined by the Arbitrator(s) that the Indicator is only temporarily unavailable as described in Article 10.4.1(a), then Article 10.5 shall apply, if it is determined that the Indicator has not been computed
in error or has not materially changed as described in Articles 10.4.1(b) and 10.4.1(c), then the Contract Price for the Price Period in respect of which the reference to the Arbitration has been made shall be calculated in accordance with Article
10.1.3 as if no reference to the Arbitration had been made whereupon no subsequent reference to the Arbitration under Article 10.4 may be made in respect of such Price Period by such Party. 

 

	 	10.4.5	If for any of the reasons specified in Article 10.4 the Contract Price cannot be calculated when required, then a Provisional Contract Price shall be calculated in accordance with the provisions of Article 10.5.

  

	 	10.4.6	It is agreed that a change of name of the Indicator shall not in itself be taken to be a reason for reference to Arbitration as a Dispute under this Article 10.4. 

 

	 	10.5	Provisional Contract Price 

  

	 	10.5.1	If due to the unavailability of information, Sellers are unable to calculate the Indicator under Article 10.3 or if the Buyer has notified the Sellers in writing that it does not agree with the Sellers’ calculation
of the Contract Price within fourteen (14) Days of receipt of the Sellers’ calculation pursuant to Article 10.1.3, then: 

  

	 	(a)	a price (herein referred to as the “Provisional Contract Price”) shall be calculated as provided in Article 10.5.2; and 

 

	 	(b)	if for any reason the Provisional Contract Price cannot be calculated as mentioned in Article 10.5.1(a), then the Contract Price for the immediately preceding Price Period shall be used as the Provisional Contract Price
for the current Price Period; 

 and until the Contract Price can be calculated and subject to retrospective adjustment as
hereinafter provided, the Provisional Contract Price for such Price Period shall be deemed to be the Contract Price for such Price Period for all purposes of this Agreement. 

  
 65 

	 	10.5.2	The Provisional Contract Price shall be calculated in the same manner as the Contract Price pursuant to this Article 10, but using in respect of any figure used to calculate an Indicator for use in the said formula
which is not available or is the subject of dispute under this Article 10, the latest undisputed figure from the specified publication or same authority which was available prior to the disputed figure. 

 

	 	10.5.3	Once the Indicator and figures required to calculate the Contract Price for any Price Period have all become available and any dispute in respect thereof has been finally settled, the Contract Price shall be calculated
for such Price Period and shall take effect retrospectively from the commencement of such Price Period and any overpayment or underpayment hereunder made due to the application of the Provisional Contract Price shall be shown in the next Monthly
Statement following calculation of the Contract Price and shall be paid or credited with interest calculated at the rate of [***] from the date of any overpayment or underpayment to the date of credit or payment (as applicable) applying the agreed
or determined Contract Price for such Price Period. 

  
 66 

	11.	Billing and Payment 

  

	 	11.1	Monthly Statements 

  

	 	11.1.1	Not later than the tenth (10th) of each Month from the Commencement Date, the Sellers shall render to the Buyer a statement (“Monthly
Statement”) which shall show for the preceding Month, inter alia, the information specified in Article 11.1.2. 

  

	 	11.1.2	The information referred to in Article 11.1.1 is: 

  

	 	(a)	The Contract Price applicable to that Month; 

  

	 	(b)	In each Day of that Month: the quantity of Gas expressed in MMBTU (calculated in accordance with its Higher Heating Value) delivered to the Buyer at the Delivery Point and the Proper Nomination for such Day;

  

	 	(c)	Any reductions to the ACQ which are to be made in respect of any Day or Days in that Month (showing the reasons for such reductions); 

 

	 	(d)	The balance of any First Shortfall Aggregate and Second Shortfall Aggregate outstanding at the end of that Month; 

  

	 	(e)	Any sum due and owing to the Buyer under the provisions of Article 12 at the end of that Month; 

  

	 	(f)	The sum due and owing to the Sellers (obtained in accordance with all relevant provisions of this Agreement) in respect of Gas delivered hereunder at the Delivery Point during that Month showing the respective
apportionment (if applicable) of such sum at the respective prices applicable pursuant to the terms of this Agreement; 

  

	 	(g)	Any other sum or sums due and owing at the end of that Month from either Party to the other under this Agreement; 

  

	 	(h)	The net sums payable by the Buyer to each of the Sellers or by each of the Sellers to the Buyer after taking account of all the foregoing matters set out in this Article 11.1; 

 

	 	(i)	 The applicable taxes including Value Added Tax and Excise Tax, if any, that are billable to Buyer or Sellers (as applicable) pursuant to applicable

  
 67 

	 	
legislation or to this Agreement. Value Added Tax and Excise Tax (if any) will be expressed and paid by the Buyer to the Sellers in Israeli currency calculated in accordance with the
Representative Rate known on the date of the tax invoice; and 

  

	 	(j)	Any other items reasonably requested by the Buyer and approved by Sellers, such approval not to be unreasonably withheld. 

  

	 	11.2	Annual Reconciliation Statements 

  

	 	11.2.1	As soon as practicable after each Year but no more than ninety (90) Days after the end of the Year, the Sellers shall render to the Buyer a statement (herein called the “Annual Reconciliation
Statement”) which shall show for the preceding Year (inter alia) the information specified in Article 11.2.2. 

  

	 	11.2.2	The information referred to in Article 11.2.1 is: 

  

	 	(a)	The total quantity of Gas Properly Nominated by the Buyer in that Year and the total quantity of Gas expressed in MMBTU delivered hereunder to the Delivery Point in that Year; 

 

	 	(b)	The Adjusted ACQ for that Year showing in detail the reductions made from the ACQ in conformity with the terms of this Agreement to arrive at the Adjusted ACQ; 

 

	 	(c)	The quantities of Gas for which the Buyer should have paid at the prices prescribed therefore and the quantities for which it has in fact paid at such prices; 

 

	 	(d)	The balance of Make-Up Aggregate remaining at the end of that Year; 

  

	 	(e)	The balance of Carry Forward Aggregate remaining at the end of that Year; 

  

	 	(f)	The Minimum Bill Quantity, the Annual Take or Pay Quantity and the Net Annual TOP Quantity for that Year (if any); 

  

	 	(g)	All and any sums due and owing from either Party to the other in respect of that Year or any previous Year; 

  
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	 	(h)	The net sums (if any) payable by the Buyer to each of the Sellers or by each of the Sellers to the Buyer as at the end of that Year after taking account of all the foregoing matters set out in this Article 11.2.2;

  

	 	(i)	The applicable taxes including Value Added Tax and Excise Tax, if any, that are billable to Buyer or Sellers (as applicable) pursuant to applicable legislation or to this Agreement. Value Added Tax and Excise Tax (if
any) will be expressed and paid in Israeli currency calculated in accordance with the Representative Rate known on the date of the tax invoice; 

  

	 	(j)	Any amounts due to the Buyer for reimbursement of payments for Off-Spec Gas pursuant to Article 12.2; and 

  

	 	(k)	Any other items reasonably requested by the Buyer and approved by Sellers, such approval not to be unreasonably withheld. 

  

	 	11.2.3	If the Sellers have not rendered such Annual Reconciliation Statement within ninety (90) Days from the end of the relevant Year, then the Buyer shall be entitled to do so within thirty (30) Days thereafter.

  

	 	11.3	Payment Dates 

  

	 	11.3.1	By the later of thirty (30) Days after the end of each Month or twenty (20) Days after the Buyer has received the Sellers’ Monthly Statement for the preceding Month, the Buyer shall pay to each of the
Sellers, or each of the Sellers shall pay to the Buyer (as the case may be), in funds available to the recipient on the day of payment, the sum set out in such Monthly Statement. 

 

	 	11.3.2	Within thirty (30) Business Days following the receipt of the Annual Reconciliation Statement, the Buyer shall pay to each of the Sellers or each of the Sellers shall pay to the Buyer (as the case may be), in funds
available to the recipient on the day of payment, the sum (if any) set out therein for the preceding Year. 

  

	 	11.4	Payments 

  

	 	11.4.1	 Payments under this Agreement shall be made in US Dollars calculated on the Representative Rate known on the date of issuance of the Monthly Statement

  
 69 

	 	
by direct bank transfer or equivalent instantaneous transfer of funds to each of the Sellers or Buyer (as applicable) at such place in the U.S., Europe or Israel as the recipient may request or
such other place as may be agreed (such agreement not to be unreasonably withheld). 

  

	 	11.4.2	In the event any Seller requests that any payments to be made by the Buyer to such Seller hereunder be made in Israeli currency it shall submit its invoice in Israeli currency and Buyer shall comply with such request
and make such payment in Israeli currency. 

  

	 	11.4.3	If the due date as specified above is not a Business Day, then the due date shall be deferred to the next Business Day. 

  

	 	11.4.4	Subject to the timely provision to the paying Party (which for the purposes of this Article will include the Buyer or each of the Sellers, as applicable) of appropriate withholding tax exemptions approvals, all payments
made under this Agreement shall be made without withholding or deduction for, or on account of any taxes, duties, assessments or governmental charges of any nature imposed or levied by or on behalf of any authority having power to tax, unless such
withholding or deduction is required by law. For the removal of doubt it is clarified that if such appropriate withholding tax exemptions approvals are not provided, the Buyer or the Sellers (as applicable) may withhold from payments due to the
other Party, amounts as required by applicable law. 

  

	 	11.4.5	In the event that any payments due to be paid by a Party hereunder are subject to Value Added Tax under Israeli law, such Value Added Tax will be paid by such Party to the other Party in accordance with Article 11.3 at
the prevailing legal rate, against procurement of a tax invoice (heshbonit mas) as required by Israeli law. 

  

	 	11.4.6	Any other tax or payment which is to be borne or paid by either Party in accordance with Article 4.3 above, shall be paid by the relevant Party on the date for payment of Monthly Statements in which such tax or payment
was included or by not later than three (3) Business Days prior to the date on which such amount is to be transferred to the tax authorities pursuant to the applicable law, whichever is earlier. 

  
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	 	11.5	Failure to Pay 

  

	 	11.5.1	Should either the Buyer or any of the Sellers fail to make payment to the other of any sum due hereunder, interest thereon shall accrue at the rate per annum equal to [***] from the date when such payment is due
hereunder until the same is made, except with respect to amounts [***]. 

  

	 	11.5.2	In the event of failure to pay any amount when due pursuant to this Agreement, then the Party to whom such sum is due and owing may on seven (7) Business Days written notice to the other Party of the intention so
to do, suspend delivery or receipt, as the case may be, of Specification Gas hereunder except if the [***]. If such failure to pay continues for fourteen (14) Days from the applicable due date, the Party to whom the sum is due and owing may
also, on ninety (90) Days written notice to the other Party, terminate this Agreement except if the [***]. The exercise of such rights shall not constitute a waiver of, nor in any way, prejudice other remedies available to the Party to whom
such sum is due and owing. 

  

	 	11.6	Disputed Amounts 

  

	 	11.6.1	 In the event that the Buyer disputes any sum set out in any Monthly Statement or any Annual Reconciliation Statement or the Sellers dispute any sum
set out in any Annual Reconciliation Statement prepared by the Buyer in accordance with Article 11.2.3 (including, for the avoidance of doubt, any amount either Party wishes to set off from any amounts due to the other), the Party [***]

  
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hereto, and shall concurrently give written notice to the other Party of the nature and extent of such dispute. 

 

	 	11.6.2	Within fourteen (14) Days after such payment due date, the Parties shall meet to seek to resolve such dispute, but if within thirty (30) Days after such payment due date the Parties have not resolved such
dispute, then either Party may refer such dispute to Arbitration in accordance with Article 19.4. 

  

	 	11.6.3	Within seven (7) Business Days after such dispute is resolved or determined, the corresponding payment or repayment (as the case may be) due from one Party to the other shall be made together with interest at the
rate set out in Article 11.5 from the applicable due date to the date of such payment or repayment. 

  

	 	11.7	Examination 

 The Parties shall each have the right, upon reasonable notice and at
reasonable hours, to examine the books, records and charts of the other Party relevant to this Agreement to the extent necessary to verify the accuracy of any accounting statement, charge, calculation, determination or claim made pursuant to any of
the provisions of this Agreement subject to the following: 
  

	 	11.7.1	Such books, records and charts need not be preserved longer than a period of twelve (12) Months after the end of the Year to which such books records or charts refer unless they relate to an outstanding bona fide
dispute. 

  

	 	11.7.2	If any such verification involves the examination of confidential documents not solely relating to the sale of Specification Gas hereunder, the requesting Party shall have the right to require the auditors of the other
Party to provide a certified extract of the documents excluding such non-relating matters and the costs of preparing such extract shall be borne by the requesting Party unless it is established that there was an error in any such accounting
statement, charge calculation, determination or claim in an amount exceeding five percent (5%) of the total amount due in the relevant Monthly Statement in which event the cost thereof shall be borne by the other Party. 

  
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	 	11.7.3	If any such examination reveals any inaccuracy in any invoice or financial statement theretofore rendered, the Party to whom the resulting payment or repayment is due shall within seven (7) Business Days after the
date that such inaccuracy is discovered but not later than two (2) Years after the date of the relevant statement or invoice, submit to the other Party a statement showing all necessary adjustments to the former bill or financial statement.
Within fourteen (14) Business Days after the amount due is established (by agreement or determination by Arbitration in accordance with Article 19.4) the Party from whom payment is due shall make payment or repayment (in accordance, mutatis
mutandis, with the provisions of Articles 11.4 and 11.5 above) of the sum so due. 

  

	 	11.7.4	Such right to examine must be exercised within twelve (12) Months after the end of the Year to which the books, records or charts being examined refer. 

  
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	12.	Quality 

  

	 	12.1	Specification 

 Natural Gas tendered for delivery under this Agreement shall at the
Delivery Point be in accordance with the specification set out in Schedule 8 (“Specification”) and the requirements of the Transporter as in effect on the date hereof. The Parties will use reasonable endeavors to
ensure that the requirements of the Transporter are substantially similar to those set out in Schedule 4 and in particular do not exceed the range set out therein for hydrocarbon dewpoint and water dewpoint. 

 

	 	12.2	Failure to Conform 

  

	 	12.2.1	If at any time the Natural Gas tendered for delivery at the Delivery Point is Off-Spec Gas, any Party that becomes aware that such Natural Gas is Off-Spec Gas shall promptly notify the Transporter and the other Party in
accordance with Article 12.3. The Buyer shall have the right to accept or reject such Off-Spec Gas subject to the following provisions of this Article 12.2. To the extent the Buyer is notified by the Transporter that Natural Gas tendered for
delivery by the Sellers is Off-Spec Gas, the Buyer shall so notify the Sellers, provided that a bona fide failure of the Buyer to issue such notice to the Sellers shall not be deemed to a breach of this Agreement by the Buyer and shall not
impose any liability whatsoever on the Buyer. 

  

	 	12.2.2	Upon becoming aware that the Natural Gas tendered for delivery at the Delivery Point is Off-Spec Gas, the Sellers shall promptly use all reasonable endeavors to remedy such failure so as to make available Specification
Gas. 

  

	 	12.2.3	The Buyer may refuse to take all or any part of the Off-Spec Gas until the deficiency has been remedied, but any such refusal shall not constitute a waiver nor affect any other rights or remedies of the Buyer in respect
of such failure on the part of the Sellers to tender for delivery Specification Gas. 

  
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	 	12.2.4	If the Buyer takes Off-Spec Gas supplied by the Sellers without being aware that it is Off-Spec Gas, the Sellers’ sole liability to the Buyer and Buyer’s sole remedy in respect of such Off-Spec Gas will be to
reimburse Buyer for all reasonable costs and expenses that Buyer actually incurs in: 

  

	 	(a)	mitigating the damage to Buyer’s Facilities and the Downstream System; and 

  

	 	(b)	cleaning and clearing required as a direct result of the Off-Spec Gas taken, of the Buyer’s Facilities and the Downstream System and the repairing of damage to such facilities arising as a direct result of the
Off-Spec Gas taken, 

 provided however, that the Sellers’ total liability in any Year for any and all costs and expenses
with respect to the circumstances set out in Article 12.2.4, shall be limited to [***]. 
  

	 	12.2.5	If the Buyer takes Off-Spec Gas after becoming aware that it is Off-Spec Gas then the Sellers shall have no liability to the Buyer as a consequence of the Buyer taking such Off-Spec Gas. 

 

	 	12.3	Determination 

  

	 	12.3.1	Any difference between the Parties, which may arise in respect of the quality of the Natural Gas, shall (at the request of either Party) be referred to Expert Determination in accordance with Article 19.3.

  

	 	12.3.2	Any difference between the Parties, which may arise in respect of any liabilities, costs, claims and expenses incurred under Article 12.2, shall (at the request of either Party) be referred to Arbitration in accordance
with Article 19.4. 

  
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	13.	Delivery Point 

  

	 	13.1	Delivery Point 

  

	 	13.1.1	“Delivery Point” means the point at the flange between the Sellers’ Facilities and the Transporter’s receiving terminal at any entry point into the Downstream System. 

 

	 	13.1.2	Sellers will be responsible for the transportation of the Gas to the Delivery Point. Buyer will be responsible for taking delivery of the Gas at the Delivery Point and for the transportation of the Gas from the Delivery
Point to Buyer’s Facilities, and for any and all costs, tariffs, or levies arising from or applicable to the receipt and transportation of the Gas from the Delivery Point to Buyer’s Facilities, including without limitation any and all fees
and tariffs payable to the Transporter (including any and all fees and tariffs payable to the Transporter relating to any connection fees, measurement fees or any other payments of any kind due to the Transporter in connection with the delivery of
Gas hereunder). 

  

	 	13.1.3	Specification Gas to be delivered under the terms of this Agreement shall be tendered for delivery by the Sellers to the Buyer at the Delivery Point. 

 

	 	13.2	Property and Risk 

 Title to Gas and risk of loss of or damage to Gas delivered in
accordance with the terms of this Agreement shall pass from the Sellers to the Buyer at the Delivery Point and any liability in respect of such Gas shall also pass at the Delivery Point. 

  
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	14.	Pressure 

  

	 	14.1	Delivery Pressure 

  

	 	14.1.1	The “Delivery Pressure” means the pressure of the Gas at the Delivery Point specified by the Transporter as of the Effective Date at a pressure sufficient to allow Natural Gas Properly Nominated by
Buyer to enter the Downstream System, but shall not exceed a Gauge maximum pressure of eighty (80) Bar. 

  

	 	14.1.2	The Sellers shall tender for delivery Specification Gas at the Delivery Point at the Delivery Pressure. 

  

	 	14.2	Determination 

 Any difference between the Parties, which may arise in respect of the
pressure of the Natural Gas, shall (at the request of either Party) be referred to the Expert for determination in accordance with Article 19.3. 

  
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	15.	Measurement 

  

	 	15.1	General 

 Buyer and Sellers agree to determine measurement procedures in consultation
with the Transporter and application of good oil and gas industry practices. 
  

	 	15.2	Measurement in Buyer’s Facilities 

  

	 	15.2.1	The Buyer shall at its own cost install, operate and maintain, or cause to be installed, operated and maintained, suitable gas measuring devices, and any other metering devices at the Buyer’s Facilities required
for determining the quantity of the Natural Gas supplied by the Sellers to each of the Buyer’s Facilities in accordance with the measurement provisions and procedures determined by the Parties in consultation with the Transporter. Such metering
station will be located at or near the flange between the Downstream System and the Buyer’s Facilities. 

  

	 	15.2.2	Buyer shall, or if applicable, ensure that the Transporter shall, periodically calibrate, verify such measurement devices, and shall be responsible for operating the measurement devices to continuously measure and
record the quantity of Gas and in accordance with the measurement provisions set out in accordance with Article 15.2.1. 

  

	 	15.2.3	Buyer shall, or if applicable, ensure that the Transporter shall, provide the Sellers with monthly reports no later than seven (7) Days after the end of the applicable Month that will include the daily measurements
which were recorded for the relevant Month. 

  

	 	15.3	Disputes 

 In the event of any dispute concerning the subject matter of Article 15.2,
including but not limited to, disputes over the accuracy of measuring devices, their calibration, the result of a measurement, sampling, analysis, computation or method of calculation, such dispute shall be settled in good faith as mutually agreed
between the Parties and in consultation with the Transporter, if appropriate. In the absence of such agreement the dispute shall be submitted to Expert Determination pursuant to Article 19.3. 

  
 78 

	16.	Force Majeure 

  

	 	16.1	Definition 

 The expression “Force Majeure” means any event or
circumstance that is beyond the reasonable control of the Party claiming Force Majeure (acting and having acted as a Reasonable and Prudent Operator) resulting in or causing the failure of a Party to perform any one or more of its respective
obligations under this Agreement, which failure could not have been prevented or overcome by the exercise by such Party of the standard of a Reasonable and Prudent Operator, including without limitation: war (declared or undeclared), military
action, acts of terrorism, fire, storm, lightning, earthquakes, subsidence; acts or omissions of the government; breakage, or malfunction of, or accidents to machinery, pipelines or facilities; failure of the Transporter to perform due to a force
majeure event under the GTA; failure of gas supply due to well non-performance or failure, inability of Sellers to maintain deliverability, reservoir non-performance, blowouts, or any event which is beyond the Sellers’ control acting as a
Reasonable and Prudent Operator, that causes or results in a material reduction in the quantity or pressure of Gas in Sellers’ Reservoir and/or following the Interim Period End Date the Yam-Tethys Reservoir. For the avoidance of doubt it is
hereby clarified that the following events and circumstances shall not constitute a Force Majeure: changes in market conditions, including changes that directly or indirectly affect the demand for or price of Gas, electricity or any other products
manufactured or produced by the Buyer or the Sellers, including inter alia, loss of customers. 
  

	 	16.2	Payments 

 Notwithstanding anything in this Article 16 (and without prejudice to the
generality thereof) neither the Buyer nor the Sellers (as the case may be) shall as the result of Force Majeure be relieved from the duty to pay money which is due or from the liability for failing to make such payment when due. 

  
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	 	16.3	Nature of Relief 

 The Buyer or the Sellers (as the case may be) shall, subject to
Article 16.4 and Article 16.5, be relieved from the duty to perform any obligation or undertaking under this Agreement and from any liability resulting from failing to perform such obligation or undertaking, in whole or in part, as follows: 

 

	 	16.3.1	In the case of the Sellers, to the extent that by reason of Force Majeure, any Seller: 

  

	 	(a)	fails to deliver the applicable Seller’s Percentage of the quantities of Specification Gas Properly Nominated for delivery under this Agreement; 

 

	 	(b)	fails to perform any of its other obligations under this Agreement, other than obligations to pay money; or 

  

	 	(c)	is otherwise in breach of any covenant under this Agreement. 

  

	 	16.3.2	In the case of the Buyer, to the extent that by reason of Force Majeure, the Buyer: 

  

	 	(a)	fails to take delivery of Specification Gas Properly Nominated for delivery and properly tendered for delivery under this Agreement; 

 

	 	(b)	fails to perform any of its other obligations under this Agreement; other than obligations to pay money; or 

  

	 	(c)	is otherwise in breach of any covenant under this Agreement. 

  

	 	16.3.3	In the event that either the Buyer or the Sellers shall exercise their respective rights (pursuant to Article 23.1) to perform any obligations under this Agreement by procuring that such obligations are performed by a
third party, then the Buyer or the Sellers (as the case may be) shall only be entitled to be relieved from the duty to perform obligations or undertakings under this Agreement and from any liability resulting from failing to perform such obligation
or undertaking, in whole or in part, for reasons of Force Majeure to the extent that they acted as a Reasonable and Prudent Operator in appointing such third party and such third party would have been so entitled to such relief if such third party
had been the Buyer or the Sellers (as the case may be) under this Agreement. For the avoidance of doubt, any Force Majeure event relating to the Yam-Tethys Facilities, shall constitute a Force Majeure event under this Agreement provided that the
occurrence in relation to the Yam-Tethys Facilities would have entitled the Yam-Tethys Partners to such relief if the Yam-Tethys Partners had been the Sellers under this Agreement. 

  
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	 	16.4	Notice and Reports 

 As soon as reasonably possible and in no event later than seven
(7) Business Days after the occurrence of a Force Majeure event, the Party claiming relief shall notify the other Parties in writing of the occurrence of such Force Majeure event. This notification shall include reasonable details regarding the
nature and consequences of the Force Majeure event. Relief under Article 16.3 shall be effective from the beginning of the Force Majeure event. The Party claiming Force Majeure shall keep the other Parties reasonably informed regarding the steps
that it is taking to overcome the effects of the Force Majeure event and its current good faith estimate as to when it will be able to resume performance of its obligations. 
  

	 	16.5	Remedial Steps 

 As soon as practicable after the occurrence of an event of Force
Majeure, the Party claiming relief shall take all reasonable steps in the applicable circumstances to remedy the failure, inability or occurrence, but such Party claiming relief shall not be obligated to: 

 

	 	16.5.1	Incur any extraordinary costs or make more than commercially reasonable investments; 

  

	 	16.5.2	Bring into production any existing or potential reserves not already flowing under this Agreement; 

  

	 	16.5.3	Buy Gas from a third party, or respectively, to sell Gas to a third party; and 

  

	 	16.5.4	Remedy any failure of the Transporter to take delivery of, transport, or deliver Gas in satisfaction of such Party’s obligations respecting a Proper Nomination. 

 

	 	16.6	Access 

 Upon written request from the other, the Party claiming relief shall as soon as
reasonably possible to the extent it is entitled to do so give or procure access or if it is not so entitled shall use reasonable endeavors to procure access (subject in each case to operational constraints) for a reasonable number of
representatives of the other Party to examine the scene (if any) of the event or circumstance causing the failure, inability or occurrence (such access to be at the sole risk and cost of the Party seeking access). 

  
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	 	16.7	Extended Force Majeure 

 If by reason of an event of Force Majeure any Party
(“Affected Party”) is unable to perform any material obligation required to be performed under this Agreement and such inability to perform continues for a period of two hundred and seventy (270) consecutive Days from the date
of commencement of the Force Majeure event, the other Party that has not invoked the Force Majeure may terminate this Agreement by giving a ninety (90) Days prior written notice to the Affected Party and upon the expiration of such notice
period this Agreement will terminate without prejudice to any rights of the Parties that have accrued prior to such date, except if, before the specified termination date such Force Majeure event and such inability has ended. 

  
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	17.	Default 

  

	 	17.1	Shortfall Gas 

  

	 	17.1.1	With effect from the Commencement Date, if the Sellers fail in respect of any Day and/or Month to make available for delivery the quantity of Specification Gas Properly Nominated for delivery, for any reason other than
the Buyer’s failure for any reason to take Specification Gas otherwise properly tendered for delivery in accordance with this Agreement, in excess of the Daily Delivery Tolerance and/or the [***], such amount will be “Shortfall
Gas” and that part of the Shortfall Gas which (i) does not exceed [***] of the Proper Nomination in respect of that Day; or (ii) is deemed as Shortfall Gas on a monthly basis in respect of the aggregate Proper Nominations made
during a certain Month; shall be referred to herein as “First Shortfall Gas” and that part of the Shortfall Gas which exceeds [***] of the Proper Nomination in respect of that Day shall be referred to herein as “Second
Shortfall Gas”. 

  

	 	17.1.2	In order to avoid any doubt, Shortfall Gas shall not include any quantity for which the Sellers are relieved from liability in accordance with Article 16 and any Permitted Delivery Reduction pursuant to Article 2.6.5.

  

	 	17.2	Shortfall Aggregate 

  

	 	17.2.1	The total of First Shortfall Gas in respect of any Month shall be aggregated as at the end of that Month (such aggregate amount together with any additions thereto pursuant to Article 17.2.3 being herein referred to as
the “First Shortfall Aggregate”) and the total of Second Shortfall Gas in respect of any Month shall be aggregated as at the end of that Month (such aggregate amount together with any additions thereto pursuant to Article 17.2.4
being herein referred to as “Second Shortfall Aggregate”. The First Shortfall Aggregate and the Second Shortfall Aggregate are collectively referred to as the “Shortfall Aggregate”). 

 

	 	17.2.2	 The first Gas delivered after the end of that Month under this Agreement up to an amount equal to the First Shortfall Aggregate which would otherwise
be paid for by the Buyer at the Contract Price, shall be paid for at the First 

  
 83 

	 	
Shortfall Price. The next Gas delivered after the end of that Month under this Agreement up to an amount equal to the Second Shortfall Aggregate which would otherwise be paid for by the Buyer at
the Contract Price, shall be paid for at the Second Shortfall Price. The First Shortfall Aggregate and the Second Shortfall Aggregate shall be reduced by the amount of Gas which is paid for at the First Shortfall Price and Second Shortfall Price,
respectively. 

  

	 	17.2.3	To the extent that at the end of any Month the First Shortfall Aggregate exceeds the amount of Gas delivered in the next succeeding Month and paid for at the First Shortfall Price, the balance shall be carried forward
and be added to the First Shortfall Aggregate for the next succeeding Month or Months (as the case may require). 

  

	 	17.2.4	To the extent that at the end of any Month the Second Shortfall Aggregate exceeds the amount of Gas delivered in the next succeeding Month and paid for at the Second Shortfall Price, the balance shall be carried forward
and be added to the Second Shortfall Aggregate for the next succeeding Month or Months (as the case may require). 

  

	 	17.2.5	If the aggregate money value of: 

  

	 	(a)	the product of the First Shortfall Aggregate and the difference between the First Shortfall Price and the Contract Price; or 

  

	 	(b)	the product of the Second Shortfall Aggregate and the difference between the Second Shortfall Price and the Contract Price; 

(as calculated in accordance with the applicable Shortfall Price under Article 10.2.4 or Article 17.3.4), exceeds [***]. 

  
 84 

	 	17.2.6	If at what would otherwise be the end of the Contract Period there is any quantity of [***], at Buyer’s option, which will be notified to the Sellers by not later than one hundred and twenty (120) Days before
the end of the Contract Period: 

  

	 	(a)	subject to the limitations of liability under Articles 17.3.5, 17.3.6 and 17.3.7 (as applicable), the Sellers shall [***] at the end of such final Contract Year; or 

 

	 	(b)	this Agreement shall not terminate on that date but shall continue in full force and effect for a number of Days equal to [***]. 

  

	 	17.3	Limitations of Liability 

  

	 	17.3.1	The payment by the Buyer to the Sellers for a quantity of Gas equal to the Minimum Bill Quantity for a Contract Year shall be the Sellers’ exclusive remedy and be the limit of all and any liability of the Buyer and
shall be in full satisfaction of all rights, costs, claims, and damages (whether direct, indirect, consequential or otherwise and howsoever arising) in respect of any failure to take the Minimum Bill Quantity in that Contract Year, including as a
result of Article 7.2, other than any termination right accruing to the Sellers under this Agreement or pursuant to applicable law, or the right of the Sellers to specific performance. 

 

	 	17.3.2	The Buyer shall not be liable to the Sellers and the Sellers shall not be liable to the Buyer for any Consequential Loss. 

  

	 	17.3.3	To the extent any damages are required to be paid hereunder are liquidated, the Parties hereby acknowledge and agree that the liquidated damages constitute an adequate compensation and shall be the exclusive remedy in
such circumstances. 

  

	 	17.3.4	 The delivery by the Sellers of a quantity of Gas to be paid for by the Buyer at the First Shortfall Price or Second Shortfall Price, as the case may
be, or payments made according to the provisions of Articles 17.2.5 or 17.2.6 (if 

  
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applicable) shall be the Buyer’s exclusive remedy (other than any termination right accruing to the Buyer under this Agreement or pursuant to applicable law, or the right of the Buyer to
specific performance) and the limit of all and any liability of the Sellers and shall be in full satisfaction of all rights, costs, claims, and damages (whether direct, indirect, consequential or otherwise and howsoever arising) in respect of
Sellers’ failure to deliver Properly Nominated Gas to the Buyer, including as a result of a breach of Article 7.1, except that [***] of the Contract Price. 

  

	 	17.3.5	In respect of Sellers’ failure to deliver Gas in the circumstances of Article 2.3.1, (i) the delivery by the Sellers of a quantity of Gas to be paid for by the Buyer at the applicable Shortfall Price up to an
aggregate money value (as calculated in accordance with Article 17.2.5) equal to [***] (ii) or the payment of the amount of up to [***] in accordance with Article 17.2.5 or Article 17.2.6; (or a combination of (i) and (ii) above up to
a total aggregate money value equal to [***] shall be the exclusive remedy and the limit of all and any liability of the Sellers and shall be in full satisfaction of all rights, costs, claims, and damages (whether direct, indirect, consequential or
otherwise and howsoever arising) in respect of Sellers’ failure to deliver Gas in the circumstances of Article 2.3.1. 

  

	 	17.3.6	 In respect of Sellers’ failure to deliver Gas in the circumstances of Article 2.7.7, 2.7.9 and 2.7.12, (i) the delivery by the Sellers of a
quantity of Gas to be paid for by the Buyer at the applicable Shortfall Price up to an aggregate money value (as calculated in accordance with Article 17.2.5) equal to [***] or (ii) the payment of the amount of up to [***] in accordance with
Article 17.2.5 or Article 17.2.6, (or a combination of (i) and (ii) above up to a total aggregate money value equal to or the payment of the amount of up to [***] 

  
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shall be the exclusive remedy and the limit of all and any liability of the Sellers and shall be in full satisfaction of all rights, costs, claims, and damages (whether direct, indirect,
consequential or otherwise and howsoever arising) in respect of Sellers’ failure to deliver Gas in the circumstances of Article 2.7.7, Article 2.7.9 and Article 2.7.12. 

 

	 	17.3.7	Notwithstanding anything to the contrary in this Agreement, Sellers’ total liability in respect of Sellers’ failure to deliver Properly Nominated Gas to the Buyer pursuant to this Agreement, including as a
result of a breach of Articles 4, 6.3.2, 7.1 and 12, and all other breaches of any or all of their undertakings and obligations under this Agreement, shall not exceed a total amount equal to [***] for the whole Contract Period, excluding any amount
paid under Article 17.3.5 and Article 17.3.6. The limitation of liability under this Article 17.3.7 shall not apply to the aggregate money value of any Gas delivered by the Sellers in reduction of the First Shortfall Aggregate and the Second
Shortfall Aggregate in accordance with Article 17.2.2, however such limitation shall apply to any and all amounts paid in accordance with Articles 17.2.5 - 17.2.6 (excluding any amount paid pursuant to Article 17.3.5 and Article 17.3.6).

  

	 	17.3.8	Notwithstanding anything to the contrary in this Agreement, Buyer’s total liability for any breach of any or all of their undertakings and obligations under this Agreement including as a result of a breach of
Articles 4 and 7.2, shall not exceed for the whole Contract Period a total amount equal to [***]. This limitation of liability shall not apply to payments due on Gas delivered to the Buyer under this Agreement, and to amounts due pursuant to Article
9. 

  

	 	17.3.9	In the event either Party incurs damages to which it is entitled for compensation by the other Party under this Agreement, and such damages exceed the limitations of liability set in Articles 17.3.5 - 17.3.8, then, the
Party that has incurred the damages may, within twelve (12) Months of the occurrence of the excess damages, terminate this Agreement by written notice to the other Party, unless the other Party has agreed to compensate the Party for any such
excess damages. 

  

	 	17.3.10	The Parties hereby acknowledge that the limitations of liability or exclusive remedies stipulated in Articles 17.3.4 - 17.3.8 shall not be construed as allowing a Party to intentionally and continuously breach its
material undertakings hereunder with the intention of commercial gain. 

  
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	18.	Assignment and Security Interests 

  

	 	18.1	General 

  

	 	18.1.1	For the purposes of this Article 18, the expression “Party” means the Buyer of the one part and each of the Sellers of the other part, as appropriate. 

 

	 	18.1.2	No Party shall assign or transfer its rights and/or obligations under this Agreement or any part thereof except in accordance with the provisions of this Article 18. Any assignment or transfer made without fulfilling
the provisions of this Article 18 shall be of no effect. 

  

	 	18.2	Transfer to Affiliates or Among Sellers 

  

	 	18.2.1	The Buyer and each of the Sellers may assign or transfer all or any portion of its rights and obligations under this Agreement (in this Article 18 “transfer”) to an Affiliate without the consent of the other
Party, subject to the following: 

  

	 	(a)	Prior to such transfer, the transferring Party shall provide to the other Party details of the rights and obligations to be transferred and the name of the Affiliate (or if a transfer between Sellers, the name of the
Seller to which the interest is to be transferred); and 

  

	 	(b)	At the time of such transfer, the transferee shall undertake to observe and perform the obligations under this Agreement transferred to it; and 

 

	 	(c)	Within seven (7) Days after such transfer, the transferring Party shall give to the other Party notice of such transfer together with documentation regarding fulfillment of the provisions of Article 18.2.1(a) and
18.2.1(b) above. 

  

	 	18.2.2	It is agreed that in the event of a transfer in accordance with the provisions of Article 18.2.1 above, the transferring Party shall remain fully liable to the other Party for the performance by the transferee of its
obligations and discharge of its liabilities under this Agreement, except where the transferee has fulfilled the additional provisions of Article 18.3.1, in which case the transferring Party will be relieved of liability upon fulfillment of such
provisions. 

  

	 	18.2.3	 The provisions of Article 18.2.1 and 18.2.2 above will also apply to the transfer of rights and obligations from any of the Sellers to another Seller,
except that, 

  
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in the event of a transfer from any of the Sellers to another Seller, the transferring Seller will be relieved from liability to the Buyer for the performance of its obligations and discharge of
its liabilities under this Agreement. 

  

	 	18.3	Transfer Generally 

  

	 	18.3.1	Any transfer by the Buyer, or by each of the Sellers to a third party (other than to an Affiliate or among Sellers as set out in Article 18.2), may only be made if the transferring Party shall: 

 

	 	(a)	reasonably satisfy the other Party that such proposed transferee has the financial and the technical status and ability to observe and perform the obligations to be transferred (regardless of any comparison with the
corresponding status and ability of the transferring Party), and the Party wishing to transfer has given notice to that effect to the other and with such notice has given any necessary information to show such financial and technical status and
ability of the proposed transferee. In such event, unless the Party to whom the notice has been given has within thirty (30) Days given notice that it is not satisfied (stating the reasons therefore), it shall be deemed to be satisfied. Where
the transferring Party is the Buyer, the transfer will be subject to (i) the provision by the transferee to the Sellers of appropriate financial securities or guarantees and appropriate technical assurances in connection with such transfer to
the Sellers’ full satisfaction; and (ii) that the transfer be made together with a transfer to the transferee of the Buyer’s Facilities; 

  

	 	(b)	provide to the other Party, details of the rights and obligations to be transferred; 

  

	 	(c)	in the event of a transfer by the Buyer, provide to the Sellers a new Credit Cover to replace the Credit Cover provided pursuant to Article 20, in respect of the obligations to be transferred to the proposed transferee
in the same terms (mutatis mutandis) as the existing Credit Cover; and 

  

	 	(d)	 obligate the transferee to observe and perform all the obligations of this Agreement transferred to it, including in the case of a transfer by a

  
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Seller, the obligation by the transferee to assume liability (commensurate with the interest transferred) in respect of all and any Make-Up Aggregate, Carry Forward Aggregate and Shortfall
Aggregates accrued at the effective date of such transfer. 

  

	 	18.3.2	With effect from the effective date of a transfer pursuant to this Article 18.3, the transferring Party shall, to the extent that it has transferred its obligations under this Agreement, be relieved from its obligations
hereunder, but (except for the obligations assumed by the transferee of a Seller pursuant to Article 18.3.1(d)) no such transfer shall operate to relieve the transferring Party of any liability accrued under or pursuant to the terms of this
Agreement prior to the effective date of such transfer. 

  

	 	18.3.3	Within seven (7) Days after such transfer, the transferring Party, jointly with the transferee, shall give to the other Party written notice of such transfer. 

 

	 	18.4	Security for Sellers’ Financing 

  

	 	18.4.1	Notwithstanding the foregoing, a Seller may at any time (upon giving the Buyer not less than thirty (30) Days prior written notice thereof) assign its rights to the receipt of any monies due or to become due to it
from the Buyer under this Agreement to or in favor of banks, bona fide financial entities or other lenders (individually and collectively referred to as “Seller’s Lenders”) as security for any financing or otherwise.

  

	 	18.4.2	The authority given by the Seller to the Buyer (consequent upon an assignment which has been made under the provisions of Article 18.4.1) to make payment of monies due hereunder to the Seller’s Lenders may be
revoked by a notice given to the Buyer by the Seller which complies with the provisions of Article 11.4 and which expressly revokes such authority. 

  

	 	18.4.3	Notwithstanding the foregoing, a Seller may at any time (upon giving the Buyer not less than thirty (30) day prior written notice thereof) create, subject to the terms of this Article 18.4.3, any security over all
or any of its rights under this Agreement, (the “Charged Assets”) (except for the creation of security in respect of its rights hereunder to receive monies in respect of which rights the terms of Article 18.4.1 apply in relation to
creation of security), the Sellers’ Interest, the Seller’s Percentage and/or its interest in the Sellers’ Facilities in favor of Seller’s Lenders as security for any financing. 

  
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	 	18.4.4	The Buyer agrees, if required by any Seller’s Lender, to provide Seller’s Lenders with acknowledgments evidencing its consent to creating a security interest over the Charged Assets including by way of
assignment of this Agreement, and which shall include reasonable terms and conditions customary for an acknowledgement of this type, regarding the right of the Seller’s Lenders to assume the obligations of the Sellers hereunder or to assign or
transfer these obligations to a third party nominated by the Seller’s Lenders in accordance with the provisions of Article 18, to require the Buyer to make any payments due to a Seller pursuant to this Agreement directly into a collateral
security account maintained by or on behalf of the Seller’s Lenders and to provide notice to such parties and a reasonable opportunity for such parties to remedy the event giving rise to a right of termination prior to exercising any such
right. 

  

	 	18.5	Security for Buyer’s Financing 

  

	 	18.5.1	Notwithstanding the foregoing Buyer may at any time (upon giving the Sellers not less than thirty (30) Days prior written notice thereof) assign its rights to the receipt of any monies due or to become due from the
Sellers to it under this Agreement to or in favor of banks, bona fide financial entities or other lenders (individually and collectively referred to as “Buyer’s Lenders”) as security for any financing or otherwise.

  

	 	18.5.2	The authority given by the Buyer to the Sellers (consequent upon an assignment which has been made under the provisions of Article 18.5.1) to make payment of monies due hereunder to the Buyer’s Lenders may be
revoked by a notice given to the Sellers by the Buyer which complies with the provisions of Article 11.4 and which expressly revokes such authority. 

  

	 	18.5.3	Notwithstanding the foregoing, Buyer may at any time (upon giving the Sellers not less than thirty (30) Day prior written notice thereof) create, subject to the terms of this Article 18.5.3, any security over all
or any of its rights under this Agreement in favor of Buyer’s Lenders as security for any financing. 

  
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	 	18.5.4	The Sellers agree, if required by any Buyer’s Lender, to provide Buyer’s Lender with acknowledgments evidencing its consent to creating a security interest over the Buyer’s rights under this Agreement
including by way of assignment of this Agreement, and which shall include reasonable terms and conditions customary for an acknowledgement of this type, regarding the right of the Buyer’s Lenders to assume the obligations of the Buyer hereunder
or to assign or transfer these obligations to a third party nominated by the Buyer’s Lenders in accordance with the provisions of Article 18, to require the Seller to make any payments due to the Buyer pursuant to this Agreement directly into a
collateral security account maintained by or on behalf of the Buyer’s Lenders and to provide notice to such parties and a reasonable opportunity for such parties to remedy the event giving rise to a right of termination prior to exercising any
such right. 

  
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	19.	Governing Law and Dispute Resolution 

  

	 	19.1	Governing Law 

 This Agreement (and any Dispute hereunder) shall be governed by and
construed in accordance with the substantive laws of the State of Israel. In resolving any Dispute, the Expert or the arbitrator(s) shall take into account international petroleum industry practices insofar as they are not inconsistent with the law
of Israel. 
  

	 	19.2	Dispute Resolution 

 Any dispute, claim, or controversy arising out of or relating to
this Agreement, including without limitation any issue regarding the existence, validity, enforceability, interpretation, application, performance, breach, formation or termination of this Agreement or any provisions of this Agreement (each a
“Dispute”), shall be resolved exclusively and finally in accordance with the provisions of this Article 19. 
  

	 	19.2.1	Disputes that are to be submitted to Expert Determination in accordance with Articles 6.5.8, 12.3.1 and 15.3 shall be resolved by Expert Determination in accordance with the provisions of Article 19.3 (“Expert
Determination”); and 

  

	 	19.2.2	Any Dispute (other than those referred to in Article 19.2.1 but including any Dispute regarding the conduct, interpretation, enforcement or application of the Expert Determination), shall be resolved by Arbitration in
accordance with the provisions of Article 19.4 (“Arbitration”). 

  

	 	19.3	Expert Determination 

  

	 	19.3.1	Procedure for Appointment 

 The procedure for the appointment of the Expert shall be as
follows: 
  

	 	(a)	The Party initiating Expert Determination shall give written notice to that effect to the other Party and with such notice shall give specific details of the Dispute to be resolved by the Expert. 

 

	 	(b)	The Parties shall endeavor to agree on a Person to act as the Expert to whom the Dispute shall be referred for Determination. 

  

	 	(c)	 If within fourteen (14) Days from the delivery of the notice initiating the Expert Determination, the Parties have failed to agree upon the
Expert to 

  
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be appointed pursuant to Article 19.3.1(b), then the LCIA shall serve as appointing authority to appoint the Expert. Either Party may submit a written application to the LCIA, with a copy to the
other Party, detailing the nature of the Dispute and the issues to be determined, setting out any matters the applicant may wish to bring to the attention of the LCIA for the purposes of making the appointment. Within ten (10) Days of the
submission of the Application to the LCIA, the other Party shall submit to the LCIA a reply to the Application. Within fourteen (14) Days from the time of the reply to the application, the LCIA shall appoint a person to act as Expert, and in so
doing the LCIA may take such independent advice as it thinks fit. 

  

	 	(d)	The Expert Determination shall be administered by the LCIA, which shall act as appointing authority and determine any challenges brought to the Expert. The LCIA’s charges shall be in accordance with its schedule of
arbitration fees and costs (Schedule of Fees) as in effect at the time the Expert Determination proceeding is initiated. 

  

	 	(e)	Prior to his appointment, the Expert shall provide the LCIA with a resumé of his experience, qualifications, and prior and present professional positions; shall agree in writing to a fee rate in accordance with
the LCIA Schedule of Costs as then in effect; and shall sign a declaration to the effect that there are no circumstances known to him likely to give rise to any reasonable doubt regarding his independence and impartiality. The expert shall undertake
a continuing obligation to disclose to the LCIA and the Parties any circumstances which may give rise to any reasonable doubt regarding his independence and impartiality after his appointment and before the conclusion of the Expert Determination.

  

	 	(f)	 If circumstances exist giving rise to justifiable doubts about the Expert’s independence or impartiality, a Party may challenge the appointment
or continued service of the Expert by giving written notice to the LCIA within fourteen (14) days of the appointment or within fourteen (14) Days of the challenging Party becoming aware of the circumstances

  
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giving rise to such doubts. Unless the challenged Expert withdraws or the other Parties agree to the challenge, the LCIA shall, within fourteen (14) Days, decide the challenge. If the
challenge is sustained, the LCIA shall thereafter appoint a replacement Expert. 

  

	 	(g)	If the Expert is either unwilling or unable to accept such appointment or has not confirmed his willingness and ability to accept such appointment within the said period of fourteen (14) Days, then either Party may
request the LCIA to appoint another Person as the Expert and the process shall be repeated until an Expert is found who accepts appointment. 

  

	 	(h)	The Parties shall cooperate with each other to ensure that the terms and conditions of the contract of appointment of the Expert are agreed with such Person as soon as possible. 

 

	 	19.3.2	Nature of Proceeding, Qualifications, and Confidentiality 

  

	 	(a)	The Expert shall act as an expert and not as an arbitrator. The law relating to arbitration shall not apply to the Expert or his determination or the procedure by which he reaches his determination. 

 

	 	(b)	The Expert Determination proceedings shall be conducted in the English language. 

  

	 	(c)	The failure of any Party to participate in the Expert Determination or to comply with any of the requirements of this Article shall not prevent the Expert Determination from proceeding or impair the validity and
enforceability of the Expert Determination. 

  

	 	(d)	The determination of the Expert shall be final and binding upon the Parties, save in the event of fraud or manifest error. 

  

	 	(e)	No Person shall be appointed as the Expert unless such Person shall be qualified by education, experience, and training to determine the Dispute. 

 

	 	(f)	No Person shall be appointed as the Expert who at the time of appointment is (or within two (2) Years before such appointment has been) a director, office holder or an employee of, or directly or indirectly
retained as consultant to, either Party or any Affiliate of either Party or is the holder of shares directly or indirectly in a Party. 

  
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	 	(g)	Any Person appointed as the Expert shall not be entitled to act as the Expert and shall promptly resign, if, at the time of the appointment or at any time before giving any determination under such appointment, such
Person has or may have some interest or duty which materially conflicts or may materially conflict with such Person’s function under such appointment. 

  

	 	(h)	All information, data or documentation disclosed or delivered to the Expert in consequence of or in connection with the Expert’s appointment hereunder, shall be treated as confidential. Except for disclosure to
technical or professional advisors under Article 19.3.3(a)(ii), the Expert shall not disclose to any Person any such information, data or documentation and all such information data and documentation shall remain the property of the Party disclosing
or delivering the same and all copies thereof shall be returned on completion of the Expert’s work. 

  

	 	(i)	Copies of all submissions and communications shall be provided to the LCIA, and once appointed, to the Expert, and to all other Parties. 

 

	 	(j)	The terms of appointment of the Expert shall contain an obligation on the part of the Expert to comply with such obligations as aforesaid. 

 

	 	19.3.3	Terms of Reference of the Expert 

  

	 	(a)	The terms of reference of the Expert shall contain (inter alia) provisions that: 

  

	 	(i)	the Expert shall not later than twenty-one (21) Days after his appointment call the Parties to a meeting in Israel or such other place as the Parties may agree at which he shall raise any matters requiring
clarification (whether arising out of his contract of appointment, the Dispute, or otherwise) and lay down the timetable and procedural rules to be applied, which timetable and rules shall not be inconsistent with the terms of this Article;

  
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	 	(ii)	the Parties shall be entitled and required to supply data, documentation, and information and make written submissions to the Expert as the Expert deems necessary and appropriate for determining the Dispute;

  

	 	(iii)	the Expert shall be entitled to obtain such independent professional and/or technical advice as he may reasonably require; 

  

	 	(iv)	any and all communications between and submissions made by either of the Parties and the Expert shall be made in English in writing and a copy thereof provided simultaneously to the other Party. The Expert shall not
engage in any ex parte communications with any of the Parties. No meeting between the Expert and the Parties or either of them shall take place unless both Parties have a reasonable opportunity to attend any such meeting; 

 

	 	(v)	the Expert may adopt such procedures and may conduct the Expert determination in such manner as he deems appropriate, consistent with the provisions of this Article. The Expert may hold an evidentiary hearing and
require the Parties to attend and present evidence if he deems it reasonably necessary for the determination of the Dispute; 

  

	 	(vi)	the Expert shall issue his final Determination within ninety (90) Days of his appointment, or as soon thereafter as reasonably practicable or the Parties may agree in writing. The Expert’s Determination shall
be in writing and shall state the reasons therefore. The Expert shall provide to the Parties a draft of his proposed Determination in respect of which both Parties shall be entitled to respond and make representations to the Expert within twenty-one
(21) Days after receipt of the draft Determination; and 

  

	 	(vii)	as soon as possible after the twenty-one (21) Days period referred to in Article 19.3.3(a)(v), the Expert shall issue his final Determination. 

  
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	 	(b)	If the Expert fails or refuses to comply with the terms of reference or to timely issue the Determination, then the Dispute shall be submitted to Arbitration as provided in Article 19.4. 

 

	 	(c)	Each Party shall bear the costs of providing all data, information and submissions given by it and the costs and expenses of all witnesses and Persons retained by it. The costs and expenses of the Expert and any
independent advisers to the Expert shall be borne in the manner determined by the Expert and, failing such determination, one half by the Buyer and one half by the Sellers. 

 

	 	19.4	Arbitration 

  

	 	19.4.1	Except as referred to an Expert as set forth in Articles 19.2 and 19.3, any Dispute shall be referred to and finally and exclusively resolved by Arbitration in accordance with this Article 19.4. 

 

	 	19.4.2	Disputes relating to matters with an amount in controversy of less than [***] shall be determined by a single arbitrator, in accordance with the Rules of Arbitration of the LCIA. The seat of the Arbitration shall be Tel
Aviv, Israel. If the Parties do not agree that the amount in controversy does not exceed [***], or if the Dispute involves a claim for relief other than monetary relief, then the Arbitration shall be heard and determined by a tribunal of three
(3) arbitrators in accordance with the provisions of Article 19.4.3. 

  

	 	19.4.3	Disputes relating to matters with an amount in controversy of [***] or more shall be heard and determined by a tribunal of three (3) arbitrators. The Arbitration shall be conducted pursuant to the LCIA Rules. The
seat of Arbitration shall be London, England. 

  

	 	19.4.4	With respect to any Dispute, the amount in controversy shall be based upon the amount claimed in the proceeding in all claims and counterclaims in the aggregate, exclusive of interest or attorneys’ fees, and
including the actual or potential value to the Parties of any matters for which a declaration of the meaning, effect, or application of any terms, rights, or obligations arising out of or relating to this Agreement is requested, or for which other
non-monetary relief is sought. 

  
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	 	19.4.5	If a single arbitrator is to determine the Dispute, the Parties shall endeavor to agree on the arbitrator. If the Parties are unable to agree on the arbitrator within thirty (30) Days of the date for the
Respondent’s Response to the request for Arbitration, then the arbitrator shall be appointed by the LCIA in accordance with its Rules. The arbitrator shall be qualified by experience and education to determine matters in the nature of the
Dispute. 

  

	 	19.4.6	If the Dispute is to be determined by a tribunal of three (3) arbitrators, the Claimant(s) and Respondent(s) shall each nominate a person to serve as arbitrator as provided in the LCIA Rules. The two arbitrators so
appointed and confirmed shall, within thirty (30) Days of their confirmation or such other time as the Parties may agree in writing, nominate a third person as arbitrator, who upon confirmation shall serve as the Chair of the Tribunal. In the
event the two arbitrators so appointed and confirmed do not agree within the specified time on the nomination of a third arbitrator, a third arbitrator shall be nominated and appointed in accordance with the LCIA Rules. The arbitrators so appointed
shall be qualified by education and experience to determine matters in the nature of the Dispute. 

  

	 	19.4.7	No person shall be appointed as an arbitrator under this Agreement if at the time of appointment he is (or within three (3) Years before such appointment has been) a director, office holder, or an employee of, or
directly or indirectly retained as consultant to, either Party or any Affiliate of either Party or is the holder of shares directly or indirectly in a Party. 

  

	 	19.4.8	Any person appointed as an arbitrator shall not be entitled to act as an arbitrator if, at the time of the appointment or at any time before giving the award under the Arbitration, such person has or may have some
interest or duty which materially conflicts or may materially conflict with his function under such appointment. 

  
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	 	19.4.9	The Arbitration proceedings shall be held as promptly as possible at such place in Israel or England (as applicable) (or other place agreed to by both Parties) and at such time as the arbitrator(s) shall determine.

  

	 	19.4.10	The Parties hereby waive any reference to the courts under Sections 45 and 69 of the Arbitration Act 1996, and under sections 21(a) and 29(b) of the Israeli Arbitration Law – 1968 and the first supplement thereto.

  

	 	19.4.11	All Arbitration proceedings shall be conducted in and all awards rendered in the English language. 

  

	 	19.4.12	The arbitrator(s) shall be bound by the substantive laws of the State of Israel however they shall not be bound by the rules of evidence and civil procedure. The arbitrators shall not act as amiable compositeur or ex
aequo et bono. 

  

	 	19.4.13	The award shall be final and binding upon the Parties, and shall be without right of appeal. Judgment on the award may be entered in any court having jurisdiction. 

 

	 	19.4.14	The arbitral tribunal has the power and authority to award actual money damages, and to award declaratory, injunctive, or mandatory relief, including ordering specific performance. Any award of monetary damages shall be
made in U.S. Dollars, and shall include interest thereon from the date of breach until paid. The arbitrators shall have no power to award, and the award shall not include consequential, punitive, or other special damages. 

 

	 	19.4.15	The fees of the arbitrator(s) and costs incidental to Arbitration proceedings, including legal expenses of the Parties, shall be borne in accordance with the determination of the arbitrator(s). 

 

	 	19.4.16	Any Arbitration rendered pursuant to this Article 19.4 is an international arbitration for the purposes of Israeli law, English law, United States law, and the New York Convention on the on the Recognition and
Enforcement of Foreign Arbitral Awards, 1958. 

  

	 	19.4.17	This Article constitutes an arbitration agreement between the Parties as defined in the Israeli Arbitration Law- 1968. 

  
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	 	19.5	Jurisdiction 

  

	 	19.5.1	Subject to the above mentioned dispute resolution mechanism and the arbitration provisions set forth above in this Article: (i) in the event that the seat of the Arbitration is Tel Aviv, Israel - exclusive
jurisdiction in respect of any matter relating to this Agreement shall be exclusively vested in the competent courts of Tel Aviv – Jaffa; and (ii) in the event that the seat of the Arbitration is London, England - exclusive jurisdiction in
respect of any matter relating to this Agreement shall be exclusively vested in the competent courts of London, England. 

  
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	20.	Security and Credit Cover 

  

	 	20.1	The Credit Cover 

  

	 	20.1.1	Following the occurrence of any of the following events: (i) Buyer’s rating is less than S&P’s rating A+ or Moody’s rating A1; (ii) Buyer ceases to be rated by either of these agencies; or
(iii) Buyer fails to meet its payment obligations in accordance with Article 11 in respect of any amounts which it owes to the Sellers under this Agreement, but in no event prior to the Availability Date or the Late Availability date (if
applicable), Buyer will provide and maintain for the benefit of the Sellers, (to each Seller in accordance with the Seller’s Percentage) Credit Cover for the period from the Month immediately following the Month in which such event has occurred
until December 31 of that Year, and thereafter during the remaining Contract Period, within thirty (30) Days before the first day of each Contract Year for the duration of the following Contract Year. 

 

	 	20.1.2	Notwithstanding Article 20.1.1, in the event that a Credit Cover has been provided due to Buyer’s failure to maintain the credit rating levels specified in Article 20.1.1(i) or 20.1.1(ii), and the Buyer thereafter
attains a Credit Rating which meets such levels (or higher), then Credit Cover shall not be required for the period during which the credit rating meets the levels required under Article 20.1.1(i) and the Credit Cover shall be returned to the Buyer
within fourteen (14) Days following the Buyer’s request. 

  

	 	20.1.3	The Credit Cover shall be in a total amount in U.S. Dollars equal to [***]. During the Second Period the Credit Cover shall be reduced in accordance with the Reduction Ratio. 

 

	 	20.1.4	In the event the Credit Cover provided by Buyer is a [***] of the Credit Cover amount pursuant to Article 20.1.3. 

  
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	 	20.2	Draw Down on the Credit Cover 

  

	 	20.2.1	In the event of failure by the Buyer to pay any payment due pursuant to this Agreement for seven (7) Business Days from the applicable due date, then any Seller shall be entitled to call on or draw down against its
share of any Credit Cover to the extent that, and at such time as, the Buyer has failed to meet its payment obligations in respect of any amounts which it owes to such Seller pursuant to this Agreement, by a seven (7) Days prior written notice
to the Buyer. In the event the Sellers draw down any amount under the Buyer’s Credit Cover, Buyer will within seven (7) Business Days thereafter provide the Sellers with additional Credit Cover in an amount equal to the amount that was so
drawn by the Sellers. 

  

	 	20.2.2	Notwithstanding the provisions of Article 2.9, if the Buyer has not provided any Seller with the Credit Cover within seven (7) Days after the respective date for the provision of the Credit Cover referred to in
Article 20.1.1, then the Seller may: (i) call on and draw down against the existing Credit Cover (in whole or in part) as if the Buyer had been in default in paying the Sellers any amount due under the Credit Cover; (ii) suspend delivery
of Specification Gas hereunder; and (ii) by giving the Buyer fifteen (15) Days’ notice, terminate this Agreement, provided that the Credit Cover has not been furnished by the expiry of that period. 

  
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	21.	Gas Sale and Purchase Agreements [***] 

 The Parties hereby agree that
notwithstanding the fact that on even date the Sellers have entered into Gas Sale and Purchase Agreements [***]. 

  
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	22.	Relationship and Sellers’ Coordinator 

  

	 	22.1	Relationship of Sellers 

  

	 	22.1.1	The Sellers are acting jointly in relation to matters such as the development of the reservoirs in Sellers’ Petroleum Rights, the Sellers’ Facilities and the production, transportation and delivery of
Specification Gas under this Agreement (and acting through the Sellers’ Coordinator in the circumstances set out in Article 22.2), but it is acknowledged by the Buyer (notwithstanding that this Agreement is entered into by all the Sellers with
the Buyer) that nothing in this Agreement shall be deemed to constitute as between the Sellers any joint liability and each of the Sellers shall be liable to the Buyer only in respect of its Seller’s Percentage of such liability of the Sellers
as may arise under this Agreement. 

  

	 	22.1.2	Notwithstanding that the Buyer may make nominations for the delivery of Specification Gas under this Agreement in an aggregate nomination in a single notice delivered to the Sellers’ Coordinator pursuant to Article
22.2.1, the quantity deemed to have been nominated for delivery by each Seller shall be its respective Seller’s Percentage of the aggregate quantity so nominated. 

 

	 	22.1.3	The quantity of Specification Gas deemed to have been delivered at the Delivery Point by each of the Sellers in respect of each Day shall be its respective Seller’s Percentage of the aggregate quantity of
Specification Gas delivered by the Sellers at the Delivery Point in response to the Buyer’s nomination. To the extent that such aggregate quantity falls short of the Proper Nomination, such Shortfall shall be attributed to each of the Sellers
in proportion to its respective Seller’s Percentage. 

  

	 	22.2	Sellers’ Coordinator 

  

	 	22.2.1	 The Sellers hereby appoint Noble Energy Mediterranean Ltd. as their representative (herein called the “Sellers’ Coordinator”,
which expression shall include any successor appointed as provided herein) who shall be authorized to and shall act as the representative for the Sellers under this Agreement for the following purposes (provided that the authority hereby given to
the Sellers’ Coordinator relating to the giving of notices, nominations, 

  
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statements and estimates shall not preclude the Sellers from giving any notices, nominations, statements and estimates which are within the scope of such authority): 

 

	 	(a)	the giving and receiving of all notices, nominations, estimates, and requests, provided that such authority shall not extend to a notice of termination of this Agreement; 

 

	 	(b)	the giving and receiving of all financial and other statements, reports and information hereunder; 

  

	 	(c)	the making and witnessing of the measurement and testing of Specification Gas delivered to the Buyer under this Agreement and of the Measurement Equipment and adjustments to such equipment; and 

 

	 	(d)	the settling with the Buyer of all disputes or differences between the Parties hereunder: 

  

	 	(i)	in relation to the applicable DCQ; and/or 

  

	 	(ii)	arising under Article 14.2 or in relation to the volume and/or Higher Heating Value of Gas delivered in any Day to the Buyer hereunder; and/or 

 

	 	(iii)	arising under Article 12; and/or 

  

	 	(iv)	as to whether the Sellers are entitled to relief under Article 16 in respect of any under-delivery of Gas to the Buyer in any Day. 

  

	 	22.2.2	The Sellers agree that the Buyer shall be entitled to act upon any or all acts or things done or performed or nominations, notices or statements given or received or agreements made from time to time in respect of the
above matters or within the scope of its authority by the Sellers’ Coordinator as fully and effectively as though the Sellers had themselves done or performed the same. 

 

	 	22.2.3	The Sellers may at any time change the Sellers’ Coordinator by written notice to the Buyer, signed by all the Sellers, provided that at all times during the Contract Period a Sellers’ Coordinator is appointed.
The Sellers shall notify the Buyer reasonable time in advance of any change of the Sellers’ Coordinator. 

  
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	 	22.2.4	In the event that the Buyer considers the Sellers to be in breach of this Agreement as a result of an alleged failure of the Sellers’ Coordinator to perform its duties described in this Agreement, the Buyer shall
give the Sellers notice thereof and also give the Sellers a period of thirty (30) days to enable the Sellers to rectify or cause to be rectified the alleged breach before the Buyer institutes any legal proceedings in respect thereof.

  

	 	22.2.5	In the event of a contradiction between any notice, nomination statement, estimate or request (for the purposes of this Article 22.2.5, a “Notice”) of the Sellers’ Coordinator and a Notice of any
of the Sellers (explicitly acting in their capacity as Sellers), that of the respective Seller shall prevail and be binding upon the Sellers, and the Buyer shall be entitled to rely upon it for all intents and purposes. Where there is a
contradiction between two or more Notices issued by different Sellers, the Notice of the Seller whose Notice was last received by the Buyer shall prevail and be binding upon the Sellers, and the Buyer shall be entitled to rely upon it for all
intents and purposes. 

  
 107 

	23.	Miscellaneous Provisions 

  

	 	23.1	Performance of Obligations 

 Each Party shall be entitled to perform any of its
obligations under this Agreement by procuring that such obligations are performed on its behalf by a third party, but such Party shall remain responsible to the other for the due performance of such obligations and for any failure or non-performance
of such third party or any operator agents contractors or employees of such third party, as if such Party itself had failed to fulfill the relevant obligations. 
  

	 	23.2	Waiver 

 No waiver by any Party of any default or defaults by the other in the
performance of any of the provisions of this Agreement shall operate or be construed as a waiver of any other or further default or defaults, whether of a like or different character. 

 

	 	23.3	Successors 

 This Agreement shall bind and inure to the benefit of the Buyer and each of
the Sellers and their respective successors and permitted assigns. 
  

	 	23.4	Notices 

  

	 	23.4.1	Any notice to be given by one Party to another under this Agreement shall be in writing and shall be delivered by hand to the Party in question or sent to such Party by registered delivery, letter or facsimile or
electronic transmission addressed to that Party at such address (or as the case may be, such facsimile transmission number or electronic mail address) as the Party in question may from time to time designate by written notice. 

 

	 	23.4.2	Until such notice shall be given, the addresses of the Parties shall be those which appear in this Agreement. 

  

	 	23.4.3	All notices delivered by recorded delivery or hand or sent by facsimile or electronic transmission shall be deemed to be effective when received at the recipient’s address as aforesaid. 

 

	 	23.4.4	Any notice (other than routine notices and communications) given by facsimile or electronic transmission shall, unless already acknowledged, be subsequently confirmed by letter sent by registered delivery or delivered
by hand, but without prejudice to the validity of the original notice, if received. 

  
 108 

	 	23.5	Counterparts 

 This Agreement may be executed in any number of counterparts and each
such counterpart shall be deemed an original Agreement for all purposes; provided that no Party shall be bound to this Agreement unless and until all Parties have executed a counterpart. 

 

	 	23.6	No Third Party Beneficiaries 

 The interpretation of this Agreement shall exclude any
rights under legislative provisions or court made law conferring rights under a contract to Persons not a party to that contract. 
  

	 	23.7	Severability 

 If any provision of this Agreement is finally determined to be illegal,
invalid, void or unenforceable under applicable Law, then such provision shall be deemed to be deleted and the remaining provisions of this Agreement shall continue in full force and effect and if necessary, be so amended as shall be necessary to
give effect to the spirit and intent of this Agreement to the extent possible. 
  

	 	23.8	Entirety 

 This Agreement shall constitute the entire agreement between the Parties as
to the matters addressed herein and shall supersede and take the place of all documents, minutes of meetings, letters or notes which may be in existence at the date hereof, and of all written or oral statements, representations and warranties which
may have been made by or on behalf of the Parties as to such matters. 
  

	 	23.9	Survival 

 The provisions of Articles 8.3, 11 (to the extent necessary to finalize
accounts) and 19 shall survive the termination of this Agreement. 
  

	 	23.10	Amendments 

 No amendment to this Agreement shall be valid unless duly executed by all
the Parties. 
 [the remainder of this page intentionally left blank] 

  
 109 

 IN WITNESS of their agreement, each of the Parties has caused its respective duly authorized
representatives to sign this instrument in Tel-Aviv Israel, on the 25th day of November 2012. 
  

									
	O.P.C. ROTEM LTD.	 		 	NOBLE ENERGY MEDITERRANEAN LTD.
					
	Name:	 	 Giora Almogy
	 		 	Name:	 	Lawson Freeman
	Title:	 	 Chief Executive Officer
	 		 	Title:	 	Vice President
	               /s/ Giora
Almogy
	 		 	               /s/ Lawson
Freeman

					
	Name:	 	 Assad Joubran
	 		 		 	
	Title:	 	 VP
	 		 		 	
	               /s/ Assad
Joubran
	 		 		 	
			
	AVNER OIL EXPLORATION LIMITED PARTNERSHIP	 		 	DELEK DRILLING LIMITED PARTNERSHIP
			
	Avner Oil and Gas Limited, General Partner	 		 	Delek Drilling Management (1993) Ltd., General Partner
					
	Name:	 	Gideon Tadmor	 		 	Name:	 	Gideon Tadmor
	Title:	 	CEO and Director	 		 	Title:	 	Chairman
	               /s/ Gideon
Tadmor
	 		 	               /s/ Gideon
Tadmor

					
	Name:	 	Yossi Gvura	 		 	Name:	 	Yossi Abu
		 		 		 	Title:	 	CEO
	               /s/ Yossi
Gvura
	 		 	               /s/ Yossi
Abu

			
	ISRAMCO NEGEV-2 LIMITED PARTNERSHIP	 		 	DOR GAS EXPLORATION LIMITED PARTNERSHIP
			
	Isramco Oil and Gas Ltd., General Partner	 		 	Alon Gas Exploration Management Ltd. General Partner
					
	Name:	 	Eran Saar	 		 	Name:	 	Zvi Greenfeld
	Title:	 	CEO	 		 		 	
	               /s/ Eran
Saar
	 		 	               /s/ Zvi
Greenfeld

  
 110 

 SCHEDULE 1 

Buyer’s Site 
 Buyer’s Power
Plant in the Rotem Industrial Zone. 

  
 111 

 SCHEDULE 2 

Seller’s Percentage 
  

					
	 Noble Energy Mediterranean Ltd.
	  	 	36.000	% 
		
	 Delek Drilling Limited Partnership
	  	 	15.625	% 
		
	 Avner Oil Exploration Limited Partnership
	  	 	15.625	% 
		
	 Isramco Negev-2 Limited Partnership
	  	 	28.750	% 
		
	 Dor Gas Exploration Limited Partnership
	  	 	4.000	% 
		  	  
	  
	 
		
	 Total
	  	 	100.000	% 

  
 112 

 SCHEDULE 3 

[***] 

  
 113 

 SCHEDULE 4 

List of Existing Agreements 

YT Contracts 
 [***] 

Tamar Contracts 
 [***]

  

	[***]	

  
 114 

 SCHEDULE 5 

Form of Bank Guarantee 

        (bank)         

        (date) 
  

	
	 [Insert Name of Seller]

	
	  

 Gentlemen: 

Bank Guarantee No.                 

 

	1.	At the request of [insert name of Buyer] (“Debtor”) we hereby unconditionally and irrevocably guarantee the payment to [Insert Name of Seller] (“the Seller”) of all
amounts which the Debtor owes or may owe to the Seller pursuant to the Gas Sale and Purchase Agreement dated                      between the Debtor,
the Seller and others (“GSPA”), up to the total sum of [insert Amount] in the aggregate (“Guarantee Amount”). 

  

	2.	Accordingly, we hereby undertake to pay the Seller within seven (7) banking days any amount, not exceeding in the aggregate the Guarantee Amount, which the Seller claims from us from time to time, but prior to the
Expiry Time, by written demand (“Payment Demand”). Except for the Payment Demand, the Seller will not be required to provide any proof or other justification to its claim hereunder or to substantiate its demand in any way nor will
it be required to first seek payment of the amount claimed from the Debtor or any other person. 

 Sellers’ demand for
payment may also be made by way of authenticated swift sent on Sellers’ behalf by Sellers’ bankers quoting the full wording of Sellers’ demand and statement. 
  

	3.	This Guarantee is not assignable or transferable. 

  

	4.	This Guarantee shall be governed by Israeli Law and the courts of Israel shall have exclusive jurisdiction in all matters arising therefrom. 

 

	5.	 This Guarantee shall remain in force from the date hereof until noon on [            
20    ] (“Expiry Time”), whereupon this Guarantee shall expire and become null and void and have no further force or 

  
 115 

	 	
effect whether or not this instrument has been returned to us for cancellation. Any Payment Demand must be delivered to us at the above address of our branch, by not later than the Expiry Time.
Any Payment Demand submitted to us after the Expiry Time will not be entertained. 

 IN WITNESS WHEREOF, Signed in
                     this      day of          in the year
         

        (bank)         

  
 116 

 SCHEDULE 6 

Form of [***] 

(date)             

To: 
 [insert name of
Seller] 
 Whereas on             2012, OPC Rotem
Ltd. (“the Debtor”) has entered into a Gas Sale and Purchase Agreement with the Sellers (hereinafter: “the GSPA”) pursuant to which it has undertaken to [***] 

  
 117 

 IN WITNESS WHEREOF, Signed in              this
     day of              in the year         . 

  
 118 

 SCHEDULE 7 

Form of Letter of Credit 
 SAMPLE

     [Insert Name of Seller]             

(full address) 
 DEAR SIRS, 

RE: IRREVOCABLE STANDBY LETTER OF CREDIT NO. (insert number) 

AT THE REQUEST OF [insert name of Buyer]. (“DEBTOR”) WE, (full name and address of issuing bank), HEREBY ISSUE OUR IRREVOCABLE STANDBY
LETTER OF CREDIT NO.                 IN YOUR FAVOR TO GUARANTEE THE PAYMENT TO
                    (“THE SELLER”) OF ALL AMOUNTS WHICH THE DEBTOR OWES OR MAY OWE TO THE SELLER PURSUANT TO THE GAS SALE AND PURCHASE
AGREEMENT DATED             BETWEEN THE DEBTOR, THE SELLER AND OTHERS (“GSPA”), UP TO THE TOTAL SUM OF [USD
            ] (US DOLLARS         MILLION) IN THE AGGREGATE (“GUARANTEE AMOUNT”). 

ACCORDINGLY, WE (full name of issuing bank), HEREBY UNDERTAKE TO PAY THE SELLER WITHIN SEVEN (7) BANKING DAYS ANY AMOUNT, NOT EXCEEDING IN THE
AGGREGATE THE GUARANTEE AMOUNT, WHICH THE SELLER CLAIMS FROM US FROM TIME TO TIME, BUT PRIOR TO THE EXPIRY DATE, BY WRITTEN DEMAND (“PAYMENT DEMAND”). 

THE ABOVE NOTWITHSTANDING, SELLERS’ DEMAND(S) UNDER THIS STANDBY LETTER OF CREDIT MAY ALSO BE MADE BY AUTHENTICATED SWIFT SENT ON SELLERS’ BEHALF BY
SELLERS’ BANKERS IN ISRAEL, QUOTING THE FULL WORDING OF SELLERS’ DEMAND AND STATEMENT. THE ABOVE MENTIONED AUTHENTICATED SWIFT WILL BE CONSIDERED AS A STANDBY LETTER OF CREDIT. 

EXCEPT FOR THE PAYMENT DEMAND THE SELLER WILL NOT BE REQUIRED TO PROVIDE ANY PROOF OR OTHER JUSTIFICATION TO ITS CLAIM HEREUNDER OR TO SUBSTANTIATE ITS DEMAND
IN ANY WAY NOR WILL IT BE REQUIRED TO FIRST SEEK PAYMENT OF THE AMOUNT CLAIMED FROM THE DEBTOR OR ANY OTHER PERSON. 
 THIS STANDBY LETTER OF CREDIT IS
NEITHER ASSIGNABLE NOR TRANSFERABLE. 

  
 119 

 THIS STANDBY LETTER OF CREDIT IS AVAILABLE WITH US AND SHALL REMAIN IN FORCE FROM THE DATE HEREOF UNTIL NOON ON
(insert validity date) (“EXPIRY DATE”), WHEREUPON THIS STANDBY LETTER OF CREDIT SHALL EXPIRE AND BECOME NULL AND VOID AND HAVE NO FURTHER FORCE OR EFFECT WHETHER OR NOT THIS INSTRUMENT HAS BEEN RETURNED TO US FOR CANCELLATION. ANY
PAYMENT DEMAND MUST BE DELIVERED TO US AT THE ABOVE ADDRESS OF OUR BRANCH, BY NOT LATER THAN THE EXPIRY DATE. ANY PAYMENT DEMAND SUBMITTED TO US AFTER THE EXPIRY DATE WILL NOT BE ENTERTAINED. 

THIS STANDBY LETTER OF CREDIT IS SUBJECT TO UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS (2007 REVISION) INTERNATIONAL CHAMBER OF COMMERCE PUBLICATION
NO. 600. 
 THIS MESSAGE IS THE ONLY OPERATIVE INSTRUMENT, NO MAIL CONFIRMATION WILL FOLLOW. 

MESSRS 
 [THE GUARANTOR] 

 
  

  
 120 

 SCHEDULE 8 

Specification 
 Natural Gas
tendered for delivery under this Agreement shall at the Delivery Point comply with the following requirements and the requirements of the Transporter as at the date of this Agreement. 

 

	1.	Gas made available for transport shall be free from odors, foreign materials, dust or other solid and liquids, waxes, gums and gum forming constituents. The Sellers shall furnish, install, maintain and operate such
drips, separators, heaters and other devices as the Seller may deem necessary or desirable to effect compliance with this requirement 

  

	2.	For the avoidance of doubt, it is agreed that the Sellers may (acting as a Reasonable and Prudent Operator) inject substances while processing the Natural Gas provided that the Sellers are able to and do, in fact,
remove all of such substances prior to the Delivery Point until the gas meets the current specification. 

  

	3.	Without prejudice to the generality of the provisions of Paragraph 1 & 2 above, gas at the Delivery Point shall conform to the parameters of Table 1. 

 

	4.	Sampling: Sampling of natural gas for continuous automatic and periodic laboratory analysis shall be in accordance with ISO 10715. 

No material may be added to the stream being tested which will alter the tests results or cause the test to be non-representative of the
moisture or liquefiable hydrocarbon content of the stream being tested. 
  

	5.	Gas Chromatography, Energy Calculations & Reports: Natural gas composition shall be continuously monitored using a gas-chromatograph measuring up to at least C6-plus and compatible with ISO 6974-5. Gas analysis
shall be used for further calculations of gas mixture molecular weight, Higher Heating value, density, compressibility, energy & Wobbe Index at reference conditions and at actual line conditions (according to relevancy). Physical properties
used to configure chromatographs and perform calorific value and relative density calculations shall be derived from the latest version of GPA Standard 2145/ISO 6976 

Gas analysis shall be used for further calculations at the Metering Line Flow Computer: 

 

	 	•	 	Gas density at Standard Conditions shall be calculated in accordance with AGA Report No.8:1994/ISO-12213-1:1997 

  

	 	•	 	Gas density at Line Conditions shall be calculated in accordance with AGA Report No.8:1994/ISO-12213-1:1997 

  

	6.	The heating value of C6 shall be applied for all C6-plus compounds as long as laboratory measurements justify this simplicity. The Buyer shall be notified at any change. 

  
 121 

	7.	Calorific value in MJ/m3 units shall be reported to the 2nd decimal. A factor of 1055.056 MJ/MMBTU shall be used for unit conversion (AGA Report No. 8 & GPA 2172). Values in MMBTU/m3 shall be reported to the
5th decimal figure. (Wobbe index shall be reported accordingly). Compression factor, density and relative density shall be reported (If required) to the 4th decimal figure. 

 

	8.	Average values of continuously measured parameters in Table 1 shall be reported daily. Intermittent measurements shall be reported after completion. 

  
 122 

 Table 1: Parameters limits 
  

							
	 Parameter
	  	 Requirement
	  	 Units
	  	 Methods &
Remarks

	 Water Dew Point (WDP)
 At any pressure up
to and including 80 bar (g)
	  	£ 0 (Zero)	  	( oC )	  	(a)
				
	 Hydrocarbon Dew Point (HCDP)
 At any
pressure up to and including 80 bar(g)
	  	£ 5	  	( oC )	  	(b)
				
	Total Sulphur (as S)	  	< 100	  	(ppm Weight)	  	(c)
				
	Hydrogen Sulphide (as H2S)	  	< 5	  	(ppm Volume)	  	(d)
				
	Carbon Dioxide	  	£ 3.0	  	(Mole percent)	  	(e)
				
	Total Inerts [N2+CO2+Ar]	  	£ 5.0	  	(Mole percent)	  	(f)
				
	Oxygen	  	£ 0.01	  	(Mole percent)	  	(g)
				
	Methane	  	3 92	  	(Mole percent)	  	(h)
				
	Glycol	  	No free liquid to be present in gas at Delivery Point	  	—  	  	(i)
				
	Methanol	  	£ 100	  	(ppm volume)	  	(j)

  
 123 

 Table 1 (cont.): Parameters limits 

 

							
	 Parameter
	  	 Requirement
	  	 Units
	  	 Methods &
Remarks

	 Higher Heating Value
 @ 15/15 oC & 101.325 Kpa
	  	0.03460 - 0.03950	  	MMBTU/Cubic Meter	  	(k)
				
	 Wobbe Index
 @ 15/15 oC & 101.325 Kpa
	  	0.04620 - 0.05090	  	MMBTU/Cubic Meter	  	(l)
				
	Supplied gas temperature	  	5 – 38	  	( oC )	  	—  
				
	Pressure	  	 60-80

maximum pressure not exceeding 80 bar at the Delivery Point.
	  	bar(a)	  	—  

  
 124 

 Methods & Remarks 

a) Water Dew Point (WDP) 
 Moisture shall be measured
continuously according to ASTM D 5454 - using a water concentration analyzer. The sensor should operate at a fixed controlled temperature greater than the maximum gas stream temperature. The gas sample stream should operate at a controlled
pressure no greater than 3 bar (g). Calculation of WDP from the measured water concentration shall be based on equations (or commercial calculators) which produce results that are in agreement with the data given in table C.1 of appendix C to ISO
18543:2004; Natural gas — Correlation between water content and water dew point. Direct measurement of WDP according to ISO 6327-1981 (E) is permitted. Manual measurement according to ASTM D 1142 (chilled mirror) shall be
the reference method. 
 b) Hydrocarbon Dew Point (HCDP) 

HCDP shall be measured continuously by a chilled mirror instrument working in pressure ranges of 28 ± 3 bar(g), capable of measuring HCDP up to +20 deg
C. Manual measurement according to ASTM D 1142 shall be the reference method. 
 Gas chromatographic laboratory analysis complying with ISO
23874 (and measuring until C12) may serve for research purposes. 
 c) Total Sulfur and
Sulfur species. 
 Total Sulfur shall be analyzed quarterly in a certified laboratory during the first year of supply. Sulfur species concentrations
shall be identified and compared with the concentration of total sulfur. After typical values are determined and no corrosive sulfur is present - then the frequency can be lowered (twice a year in the second year and annually afterwards). 

If, however, concentrations greater than 6 mg/m3 of COS or RHS or any corrosive sulfur species (as S) shall be found at any time then total Sulfur shall be
measured continuously using an ASTM standard (ASTM D7493 or ASTM D7165 – 10). 
 A full laboratory Sulfur species analysis shall be performed with any
significant change of gas quality. 
 d) Hydrogen Sulphide 

H2S shall be continuously monitored by automatic instruments complying with ASTM D4084 (Lead acetate reaction rate method).  

e, f & g) Oxygen and Total Inerts (N2+CO2+Ar) 
 N2,
O2, Ar & CO2 shall be continuously measured by a GC with a lower detection limit not greater 0.005 % mole, using Helium as a carrier and a suitable column to split N2 and O2. 

  
 125 

 The limiting value for Oxygen in Table 1 is required during normal operations. Higher values are allowed during
commissioning of new pipelines. 
 h) Methane 
 Methane
(and all typical natural gas components) shall be continuously monitored by GC according to ISO 6974-5. The limiting values of Table 1 are valid for the normal routine. 

i) Glycol 
 No free liquid glycol shall be detected while
determining the water and/or hydrocarbon dew point using the Bureau of Mines/chilled mirror device. 
 j) Methanol 

Analysis for methanol content will only be required during periods when methanol is being injected for operational reasons. Buyer will be advised when used.
Methanol content will be determined using a mutually agreed procedure. 
 k) Higher Heating Value 

Higher Heating Value - means the superior calorific value calculated as described in ISO: 6976:1995 (E) of one Cubic Meter of
Natural Gas at the reference condition of 15/15 Degrees Celsius and 1.01325 Bar(a) for the actual natural gas in the real state. Full precision, definitive mode shall be used. 

l) Wobbe Index 
 Wobbe Index shall be calculated according
to ISO: 6976:1995 (E) at the reference condition of 15/15 Degrees Celsius and 1.01325 Bar (a) for the actual natural gas in the real state. ] 

  
 126Exhibit

Exhibit 10.1

EXECUTION VERSION

THIS AMENDED AND RESTATED ASSET MANAGEMENT AGREEMENT (the “Agreement”), dated as of October 31, 2015, is entered into by and between NORTHSTAR REALTY FINANCE CORP., a Maryland corporation (“NRF”), and NSAM J-NRF LTD, a Jersey limited company (“Asset Manager”).  Each capitalized term used in this Agreement shall have the meaning ascribed to such term in Schedule A.  
RECITALS
WHEREAS, on June 30, 2014 (the “Initial Effective Date”), in connection with the spin-off of NRF’s asset management business, NRF retained Asset Manager as its exclusive provider of management and related services on the terms and conditions set forth in the Asset Management Agreement, dated as of June 30, 2014, between NRF and Asset Manager (the “Original Management Agreement”); and
WHEREAS, NRF has announced a spin-off of its European real estate business to NorthStar Realty Europe Corp. (“NRE”) and, immediately upon the distribution effectuating the spin-off, NRF and Asset Manager desire to amend and restate the Original Management Agreement on the terms and conditions hereinafter set forth.
NOW, THEREFORE, in consideration of the premises and for other good and valuable consideration, the receipt of which is hereby acknowledged, the parties hereby agree as follows:
1.Duties of Asset Manager.
(a)    NRF hereby appoints Asset Manager as of the Effective Time to continue to act as its asset manager and attorney-in-fact under the terms of this Agreement.  Asset Manager shall provide, either directly or through its Affiliates (“Affiliated Entities”) or, to the extent permitted under this Agreement through third parties, acquisition, disposition, financing, portfolio management, property management, construction, development, stockholder services, communication, offering, corporate governance, overhead and other administrative services, such as accounting and investor relations, to NRF and its subsidiaries and other similar services as may be agreed to from time to time by the parties in writing (the services to be provided, collectively referred to as the “Services”), including those described on Exhibit A annexed hereto, subject to, in all cases and in every respect, the supervision and management of the board of directors of NRF (the “Board of Directors”) for the period and upon the terms herein set forth, and, without limitation, in accordance with (i) the investment objectives, policies and restrictions from time to time set forth by the Board of Directors and (ii) all applicable federal, state and local laws, rules and regulations.  Notwithstanding the foregoing, Asset Manager acknowledges and agrees that NRF will operate its loan origination business for Debt Assets (“Debt Origination Business”) independently of Asset Manager, except and to the extent set forth in the services agreement relating to NRF’s Debt Origination Business entered into between NRF and an Affiliate of Asset Manager on or around the Initial Effective Date. Asset Manager shall perform the Services during the term and subject to the provisions of this Agreement, either directly or by engaging Affiliated Entities, including but not limited to United States-based Affiliates, or by engaging third parties to the extent permitted herein.  Notwithstanding anything to the 

1

contrary contained herein, Asset Manager (i) may not delegate to an unaffiliated third party the responsibility for providing acquisition, disposition, asset management or financing services, without the prior consent of NRF, which consent shall not be unreasonably withheld, conditioned or delayed and (ii) may delegate all other Services without the consent of NRF.  Asset Manager shall be responsible for overseeing the Services which it is permitted to delegate hereunder.  The parties understand and agree that it is anticipated that NRF may, in its discretion, continue to enter into joint venture and partnership arrangements with third parties pursuant to which the joint venturer or partner would perform various Services to NRF or the joint venture or partnership and receive certain fees in connection therewith, with any such arrangements being consented to by Asset Manager, in its sole discretion.
(b)    Asset Manager hereby accepts such appointment and agrees, during the term hereof, to render the Services described herein for the compensation provided herein.
(c)    Asset Manager shall for all purposes herein be deemed to be an independent contractor and, except as expressly authorized herein or expressly provided for in investment guidelines approved by the Board of Directors or otherwise approved by the Board of Directors, Asset Manager shall have no authority to act for or represent NRF or any subsidiary in any way or otherwise be deemed an agent of NRF or any subsidiary. 
(d)    Asset Manager shall keep and preserve for the period required by NRF (unless otherwise required or appropriate under applicable law, rule or regulation) any books and records relevant to the provision of its Services to NRF; shall maintain all books and records with respect to NRF’s and any subsidiary’s transactions; and shall render to NRF such periodic and special reports as NRF may reasonably request.  Asset Manager agrees that all records that it maintains for NRF and any subsidiary are the property of NRF and/or such subsidiary and will surrender promptly to NRF any such records upon NRF’s request, provided that Asset Manager may retain a copy of such records.
2.    Devotion of Time; Additional Activities.
(a)    Asset Manager and its Affiliated Entities may in their sole discretion contract with or be engaged by other parties to provide the same or substantially similar services as set forth herein without notice to or consent of NRF.  
(b)    Asset Manager and its Affiliated Entities will provide NRF with appropriate personnel and will provide NRF with executive management team members upon request.  Neither Asset Manager nor any of its Affiliated Entities is obligated to dedicate any of its personnel exclusively to NRF, nor is Asset Manager or any of its Affiliated Entities or any of their personnel obligated to dedicate any specific portion of its or their time to NRF.

2

3.    Payment and Reimbursement of Costs and Expenses.  
(a)     In addition to the compensation paid to Asset Manager pursuant to Section 4 below, NRF shall pay for all of its own direct and indirect costs and expenses.  Without limiting the foregoing, NRF shall pay or, if applicable, reimburse Asset Manager or its Affiliated Entities, and retain all responsibility for costs and expenses relating to NRF or any of its subsidiaries (even if paid or incurred by Asset Manager or its Affiliated Entities) including, among other things:
(i)    organization and corporate governance; 
(ii)     fees, costs and expenses paid to third party vendors or Affiliated Entities whose services it is customary for asset managers to retain, including lawyers, accountants, brokers, investment bankers, transfer agents, administrators, custodians and other consultants, advisors and agents; 
(iii)    fees, and direct and indirect costs and expenses of its officers, employees and directors as well as of its partners and joint venturers, if and as applicable;
(iv)     fees, costs and expenses paid to third parties or Affiliated Entities to which Asset Manager and the Affiliated Entities are permitted to delegate their responsibilities for certain Services hereunder or under the Affiliated Agreements, as the case may be,  provided that such fees, costs and expenses are reasonable and customary;  
(v)    offerings of equity or other securities; 
(vi)     federal, state and foreign registration fees; 
(vii)    costs and expenses of registering, selling and listing the capital stock or other securities on any securities exchange; 
(viii)    federal, state, local and foreign taxes; 
(ix)    costs and expenses of preparing and filing reports or other documents required by the SEC or any other regulator or any other cost and expense of compliance with federal, state or foreign securities laws, or any other applicable law, rule or regulation; 
(x)    costs and expenses of any reports, proxy statements or other communications to stockholders, including printing costs and expenses; 
(xi)    insurance premiums;
(xii)    costs and expenses of administration, including printing, mailing, telephone, copying, secretarial and other staff, auditors and outside legal costs and expenses; and 

3

(xiii)    all other fees, costs and expenses (i) consented to by NRF or (ii) incurred by NRF in connection with administering and operating the business of NRF or any of its subsidiaries.
(b)    In addition to the above NRF costs and expenses, NRF shall, in Asset Manager’s discretion, reimburse Asset Manager on a quarterly basis for additional costs and expenses incurred by Asset Manager or its Affiliated Entities related to its or their asset management business during such period for an amount (to the extent such amount is above zero dollars) not to exceed the following: (i) 20% of the combined total amount of:  (a) NRF’s general and administrative expenses as reported for the calendar quarter on its consolidated financial statements prepared in accordance with U.S. GAAP excluding (1) equity-based compensation expenses, (2) non-recurring expenses, (3) compensation payable pursuant to Section 4 or any cash paid in settlement of securities pursuant to Section 3(c)(i) below in the event NRF common stock is not available for issuance under NRF’s equity compensation plan and (4) any allocation of expenses from Asset Manager or its Affiliated Entities (“NRF G&A”), (b) SpinCo G&A and (c) Asset Manager’s and its Affiliated Entities’ general and administrative expenses as reported for the calendar  quarter on its consolidated financial statements prepared in accordance with U.S. GAAP, excluding equity-based compensation expenses and adding back any such expenses that are allocated to any other company, fund or vehicle managed by the NSAM Managers; less (ii) the sum of the NRF G&A and SpinCo G&A (such amount being, the “Maximum Allocable G&A”).  NRF shall not be required to reimburse Asset Manager pursuant to this Section 3(b) for any portion of the Maximum Allocable G&A for which Asset Manager or its Affiliated Entities receives reimbursement from a SpinCo pursuant to a SpinCo Asset Management Agreement.  For the avoidance of doubt, NRF agrees and acknowledges that, subject to the limits set forth in this Section 3(b) and the limits set forth in any SpinCo Asset Management Agreement, Asset Manager shall have complete discretion in determining the amount of the Maximum Allocable G&A for which each of NRF and any SpinCo are respectively responsible.  In addition, NRF shall pay or, if applicable, reimburse Asset Manager or its Affiliated Entities, and retain all responsibility for all other NRF costs and expenses that are not included in general and administrative expenses as reported on the consolidated financial statements of NRF.    
(c)    In addition, NRF shall pay or directly reimburse Asset Manager for:
(i)    (A) 50% (or such lesser percentage that the Compensation Committee of the Board of Directors (the “NSAM Compensation Committee”) of Asset Manager’s parent, NorthStar Asset Management Group Inc. (“NSAM”) determines in its discretion), of the aggregate amount of all long-term bonuses or other compensation that the NSAM Compensation Committee determines shall be paid and/or settled in the form of equity and/or equity-based compensation (i.e., phantom equity or restricted stock units (“RSUs”)) to executives, employees, service providers and staff of Asset Manager (or NSAM or its subsidiaries) for each year during the term of this Agreement (the “Equity Compensation” for such year) less (B) the portion of the Equity Compensation for such year that is allocated to any SpinCo pursuant to any SpinCo Asset Management Agreement (the difference of (A) less 

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(B) being referred to as the “NRF Equity Compensation” for such year).  The NRF Equity Compensation may, at the discretion of the NSAM Compensation Committee be granted in shares of NRF restricted stock, RSUs, long-term incentive plan (“LTIP”) units or other applicable form of equity or other stock-based award, provided that if at any time, a sufficient number of shares of NRF common stock are not available for issuance under NRF’s equity compensation plan (as in effect from time-to-time), the NRF Equity Compensation shall be paid in the form of RSUs, LTIP units or such other securities that may be settled by NRF in cash.  The NRF Equity Compensation for a particular year shall be valued on the same basis as the NSAM Compensation Committee has determined to value the corresponding equity compensation for such year of Asset Manager (or NSAM or its other subsidiaries) awarded to its or its Affiliated Entities’ executives, employees, service providers and staff, and shall provide for such terms and conditions as specified by the NSAM Compensation Committee (or members of management of NSAM to whom such authority is delegated). The NRF Equity Compensation for each year shall be allocated on an individual-by-individual and award-by-award basis at the discretion of the NSAM Compensation Committee (or members of management of NSAM to whom such authority is delegated) and, as long as the aggregate amount of NRF Equity Compensation for such year does not exceed the limits set forth herein, the proportion of any particular individual’s Equity Compensation for such year that constitutes NRF Equity Compensation may be greater or less than 50%. For avoidance of doubt, NRF agrees and acknowledges that, subject to the limit set forth above and the limits set forth in any SpinCo Asset Management Agreement, Asset Manager and the NSAM Compensation Committee shall have complete discretion in determining the amount of Equity Compensation each year that is paid directly or reimbursed by each of NRF and any SpinCo; and
(ii)    such portion of any severance paid by Asset Manager or its Affiliated Entities pursuant to the terms of any employment, consulting or similar service agreement(s) in effect between such party on the one hand, and any executive, employee or other service provider of Asset Manager or its Affiliated Entities (including executives of NSAM) on the other hand, including, without limitation, the Executive Employment Agreement by and between NSAM and each of David T. Hamamoto, Albert Tylis, Daniel R. Gilbert, Debra A. Hess and Ronald J. Lieberman (each, a “Service Agreement”) that corresponds to or is attributable to (A) the NRF Equity Compensation, (B) any cash and/or equity compensation paid directly by NRF or its subsidiaries to any such individual as an employee or other service provider of NRF and (C) any amounts paid to any such individual by Asset Manager or its Affiliated Entities that NRF is obligated to reimburse Asset Manager pursuant to this Agreement; provided that the terms of such Service Agreement related to such severance payments apply in the same manner to compensation described in clauses (A) to (C) above as they do to other similar types of compensation payable by Asset Manager or its Affiliated Entities.
(d)    In the event (i) there is a change of control at NSAM that results in the acceleration of the vesting of performance-based NRF equity awards granted in accordance 

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with Section 3(c)(i) above (“NRF Accelerated Performance Awards”), (ii) the NRF Accelerated Performance Awards were awarded for the 2015 compensation plan year or thereafter, and (iii) the NRF Accelerated Performance Awards are not reflected in NRF’s Weighted Average Shares outstanding immediately prior to such change of control, Asset Manager or its Affiliates shall be obligated to pay NRF, within 30 days of the happening of the event constituting the change of control and vesting of the NRF Accelerated Performance Awards, an amount in cash equal to the fair market value of the NRF Accelerated Performance Awards at the time of the change of control.
(e)    Costs and expenses incurred or paid by Asset Manager or its Affiliated Entities on behalf of NRF and/or any of its subsidiaries reimbursable pursuant to this Section 3 shall be reimbursed in cash no less than quarterly to Asset Manager.  Asset Manager shall prepare a statement documenting the relevant costs and expenses no less than quarterly and shall deliver such statement to NRF within thirty (30) days after the end of each applicable month or quarter, or as soon as practical, as Asset Manager may determine.  The NRF Equity Compensation shall be paid or issued (as applicable) directly to the applicable executive, employee or other service provider of Asset Manager or its Affiliated Entities, as designated by the NSAM Compensation Committee in its discretion (or members of management of NSAM to whom such authority is delegated).  The portion of any severance reimbursable pursuant to this Section 3 shall be directly payable by NRF when due provided notice of such payment obligation has been provided.  
4.    Compensation of Asset Manager.
(a)    NRF agrees to pay, and Asset Manager agrees to accept, the following fees as compensation for the Services provided by Asset Manager hereunder, whether directly, through Affiliated Entities or through permitted third parties:  
(i)    an annual base management fee, calculated and payable quarterly in arrears in cash, equal to the sum of: 
(A)    Eighty six million dollars ($86,000,000.00);
(B)    an additional annual base management fee calculated and payable quarterly in arrears in cash, equal to the greater of: (a) an annual fee of ten million dollars ($10,000,000.00); or (b) for the applicable quarter, the portion of distributable cash flow from NRF’s (or its subsidiaries’) equity interest related to the RXR Asset Management Fee business.  The percentage of NRF distributable cash flow related to the RXR Asset Management Fee business will be calculated as a percentage of the gross RXR Asset Management Fees over the total revenue (net of all investment related costs and expenses excluding non-cash and corporate level costs and expenses) generated by RXR Realty LLC (together with its Affiliates, successors and assigns) for the applicable period;

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(C)    an additional annual base management fee calculated and payable quarterly in arrears in cash, equal to the greater of: (a) an annual fee of ten million dollars ($10,000,000.00); or (b) for the applicable quarter, the portion of distributable cash flow from NRF's (or its subsidiaries’) equity interest related to Aerium; and
(D)    an additional annual base management fee, calculated and payable quarterly in arrears in cash, equal to one and one-half percent (1.5%) per annum of the sum of (a) the cumulative net proceeds of all common and preferred equity issued by NRF after December 10, 2013; (b) any NRF equity issued in exchange or conversion of exchangeable notes based on the stock price at the date of issuance; (c) any other issuances of common, preferred, or other forms of NRF equity, including but not limited to units in NorthStar Realty Finance Limited Partnership, a Delaware limited partnership (the “Operating Partnership”), (excluding units issued (i) to NRF and (ii) as equity based compensation, but including issuances related to an acquisition, investment, joint-venture or partnership); and (d) any cumulative CAD in excess of cumulative distributions paid on common stock, Operating Partnership units or other equity awards beginning the first full quarter following the Initial Effective Date through the most recently completed calendar quarter.  For purposes of this clause (C) all issuances shall be allocated on a daily weighted average basis during the fiscal quarter of issuances; and 
(ii)    an incentive management fee (“Incentive Fee”) calculated and payable with respect to each calendar quarter (or part thereof that this Agreement is in effect) in arrears in cash in an amount, not less than zero, equal to: (A) the product of (a) 15% and (b) CAD before Incentive Fee is paid, divided by the Weighted Average Shares outstanding for the calendar quarter, of any amount in excess of $0.680 per share and up to $0.780 per share, plus (B) the product of (a) 25% and (b) CAD before Incentive Fee is paid, divided by the Weighted Average Shares outstanding for the calendar quarter, of any amount in excess of $0.780 per share, (C) multiplied by the Weighted Average Shares outstanding for the calendar quarter.  
The parties understand and agree that the minimum fees payable pursuant to clauses (i)(B) and (i)(C) of this Section 4(a) shall continue irrespective of whether NRF continues to own an interest in RXR Realty LLC or Aerium, as the case may be. 
(b)    If NRF at any time subdivides (by any stock split, stock dividend, reclassification, recapitalization or other similar transaction) its common stock into a greater number of shares from and after the Effective Time, the $0.680 per share and $0.780 per share thresholds set forth in Section 4(a)(ii) shall be proportionately decreased.  If NRF at any time combines (by reverse stock split, reclassification, recapitalization or other similar transaction) its common stock into a smaller number of shares from and after the Effective Time, such thresholds shall be proportionately increased.  For purposes of clarity, it is understood and agreed that the per share thresholds referenced above have taken into account 

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the 1-for-2 reverse stock split NRF is effectuating in connection with the spin-off of NRE, with a record date of October 22, 2015, and no further adjustments shall be made as a result of such reverse stock split.   
(c)    Base management fees shall be payable in arrears in cash, in quarterly installments commencing with the quarter in which this Agreement is executed.  If applicable, the initial and final installments of base management fees shall be pro-rated based on the number of days during the initial and final quarter, respectively, that this Agreement is in effect.  Asset Manager shall calculate each quarterly installment of base management fees, and deliver such calculation to NRF, as soon as practicable but not earlier than five (5) Business Days prior and not later than twenty (20) days following the last day of each calendar quarter.  The foregoing calculation by Asset Manager may be an estimated amount, provided that any differences between such estimated amount and the actual amount due are trued-up no later than (i) with respect to each calendar quarter, forty-five (45) days after the last day of such calendar quarter or (ii) the date on which NRF’s quarterly or annual financial statements are filed with the SEC, whichever is later.  NRF shall pay Asset Manager each installment of base management fees within three (3) Business Days after the date of delivery of such computations to NRF.
(d)    The Incentive Fee is payable in cash in arrears in quarterly installments continuing in the quarter in which this Agreement is executed.  Asset Manager shall compute each quarterly installment of the Incentive Fee within twenty (20) days after the end of the calendar quarter with respect to which such installment is payable, or as soon as practical.  The foregoing calculation by Asset Manager may be an estimated amount, provided that any differences between such estimated amount and the actual amount due are trued-up no later than (i) with respect to each calendar quarter, forty-five (45) days after the last day of such calendar quarter or (ii) the date on which NRF’s quarterly or annual financial statements are filed with the SEC, whichever is later.  NRF shall pay Asset Manager each installment of the Incentive Fee within three (3) Business Days after the date of delivery of such computation to NRF.
(e)    To the extent NRF, acting through its audit committee or otherwise, adjusts the manner in which it calculates CAD or Weighted Average Shares for NRF reporting purposes in a manner that deviates from the definitions set forth in Schedule A and such adjustment does not result in an adverse impact on the Incentive Fee payable to NSAM, as determined by NSAM in its sole discretion, then NSAM may elect to use the updated CAD or Weighted Average Shares reported by NRF for purposes of calculating the Incentive Fee.  Conversely, to the extent any such adjustment by NRF to the manner in which CAD or Weighted Average Shares is calculated for NRF reporting purposes results in an adverse impact on the Incentive Fee payable to NSAM, as determined by NSAM in its sole discretion, then NSAM may elect not to use the updated CAD or Weighted Average Shares reported by NRF for purposes of calculating the Incentive Fee.
5.    Limited Power of Attorney

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(a)    NRF does hereby constitute and appoint Asset Manager, in performing its duties under this Agreement, and its successors and assigns, and the officers of the foregoing, as NRF’s true and lawful attorney-in-fact, with full power of substitution, in NRF’s name, place and stead, to (i) negotiate, make, execute, sign, acknowledge, swear to, deliver, record and file any agreements, documents or instruments which may be considered necessary or desirable by Asset Manager to carry out fully the provisions of this Agreement and (ii) to perform all other acts contemplated by this Agreement or necessary, advisable or convenient to the day-to-day operations of NRF (subject at all times, however, to each and all of the limitations and stipulations set forth herein).
(b)    Because this limited power of attorney shall be deemed to be coupled with an interest, it shall be irrevocable and survive and not be affected by NRF’s insolvency or dissolution.  However, this limited power of attorney will become revocable upon the expiration of such interest and, therefore, this limited power of attorney will terminate upon termination of this Agreement in accordance with Section 12 of this Agreement.
(c)    Nothing herein is meant or shall be claimed, by either party, to confer upon Asset Manager custody, possession or control of or over any of NRF’s assets.
6.    Regulatory Matters.  Asset Manager agrees that at all times it will use commercially reasonable efforts to be in compliance in all material respects with all applicable federal, state, foreign, local and territorial laws governing its operations and investments.  
7.    Additional Undertakings; Exclusivity.
		
	(a)
	Asset Manager and its Affiliated Entities may engage in any other business or render similar or different services to others including, without limitation, the direct or indirect sponsorship or management of other investment based accounts or commingled pools of capital, however structured, having investment objectives the same, similar or dissimilar to those of NRF or its subsidiaries, and nothing in this Agreement shall limit or restrict the right of any director, officer, employee, partner, manager or member of Asset Manager or of its Affiliated Entities to engage in any other business or to devote his or her time and attention in part to any other business, whether of a similar or dissimilar nature, or to receive any fees or compensation in connection therewith. Asset Manager assumes no responsibility under this Agreement other than to provide or cause to be provided the Services called for hereunder.  It is understood that directors, officers, employees, partners, managers, members and shareholders of NRF or any of its subsidiaries are or may become interested in Asset Manager and its Affiliates, as directors, officers, employees, partners, managers, members, stockholders, or otherwise, and that Asset Manager and directors, officers, employees, partners, managers, members and stockholders of Asset Manager and its Affiliates are or may become similarly interested in NRF or any of its subsidiaries as directors, officers, employees, partners, managers, members, 

9

shareholders or otherwise, and persons shall be permitted to hold positions with both NRF, Asset Manager and/or Affiliates of either or both.  
(b)    During the term of this Agreement, (i) Asset Manager and its Affiliated Entities shall be the exclusive provider of Services to NRF and its subsidiaries, other than services provided to NRF and/or its subsidiaries by (x) their own officers, directors, partners, employees and agents related to the Debt Origination Business (collectively, “NRF Employees”), as well as any partner or joint venture approved by NRF, on the one hand, and Asset Manager or its Affiliated Entities, on the other hand, in every case in the sole discretion of Asset Manager and its Affiliated Entities, (y) any third parties that were providing such services as of the date of the Original Agreement or any third parties with respect to which Asset Manager has granted its consent as of the date hereof and (z) any third party or Affiliated Entity delegates of Asset Manager as Asset Manager may appoint from time to time in accordance with the terms of this Agreement and (ii) NRF and its subsidiaries shall not employ or contract with any other third party (other than NRF Employees related to the Debt Origination Business) to provide the same or substantially similar services as provided by Asset Manager and its Affiliated Entities without the prior written consent of Asset Manager, which may be withheld by Asset Manager in its sole discretion.  
(c)    If NRF spins-off any assets or entities in the future, NRF agrees to cause the resulting entity or entities to enter into a substantially similar asset management agreement with Asset Manager or an Affiliated Entity providing for both a base management fee and an Incentive Fee, in each case as determined in Asset Manager’s discretion taking into account the nature of the assets involved, the primary services of Asset Manager expected to be utilized by the new company and the expenses associated with managing the new company on a standalone basis.  The parties understand and agree that the aggregate base management fee in place immediately after any such spin-off will not be less than the aggregate base management fee in place at NRF immediately prior to such spin-off.  Furthermore, the Incentive Fee shall be adjusted for NRF and established for the newly created entity at the discretion of Asset Manager in a manner reasonably consistent with the Incentive Fee description provided herein, with consideration of the factors described above.  In addition, the reimbursement of NRF G&A as provided herein shall also be adjusted for NRF and established for the newly created entity at the discretion of Asset Manager in a manner reasonably consistent with the reimbursement provisions provided herein, with consideration of the factors described above.
(d)    To the extent NRF engages in crowd funding activities on its own behalf or on behalf of others, it will negotiate in good faith with Asset Manager to utilize the services of Asset Manager and its Affiliated Entities and to pay Asset Manager competitive compensation for its services, as may be mutually agreed to by the parties.  
8.    Limitation of Liability of Asset Manager; Indemnification.   
(a)    Asset Manager, its Affiliated Entities and their directors, officers, employees, partners, managers, members, controlling persons, and any other person affiliated with Asset 

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Manager and/or its Affiliated Entities (each of whom shall be deemed a third party beneficiary hereof) (collectively, the “Indemnified Parties”) shall not be liable to NRF, its directors, officers, employees, partners, managers, members, controlling persons and any other person or entity affiliated with NRF (collectively, “NRF Parties”) for any action taken or omitted to be taken by the Indemnified Parties in connection with the performance of the Services and of any of Asset Manager’s duties or obligations under this Agreement or otherwise as an asset manager of NRF or any of its subsidiaries, with respect to the receipt of compensation for Services, and NRF shall indemnify, defend and protect Indemnified Parties and hold them harmless from and against all damages, liabilities, costs and expenses (including reasonable attorneys’ fees and amounts reasonably paid in settlement) incurred by the Indemnified Parties in or by reason of any pending, threatened or completed action, suit, investigation or other proceeding (including an action or suit by or in the right of NRF, its shareholders or its subsidiaries) arising out of, in connection with or otherwise based upon the performance of any of Asset Manager’s duties or obligations under this Agreement or otherwise as an asset manager of NRF or any of its subsidiaries.  Notwithstanding the preceding sentence, nothing contained herein shall protect or be deemed to protect the Indemnified Parties against, or entitle or be deemed to entitle the Indemnified Parties to indemnification in respect of any liability to NRF, its shareholders or the NRF Parties, to which the Indemnified Parties would otherwise be subject by reason of gross negligence, willful misfeasance or bad faith in the performance of their duties.   
(b)    In the event that any Indemnified Party receives notice of commencement of any suit, action, proceeding or investigation in connection with any matter arising out of or in connection with such Indemnified Party’s duties hereunder (or under the Affiliated Agreements, as the case may be), such Indemnified Party will promptly notify NRF of the commencement thereof; provided, however, that failure to give such notice shall not relieve NRF of its obligations under this Section 8, except to the extent it shall have been materially prejudiced by such failure and then only to the extent of such prejudice.  In case any such action is brought against any Indemnified Party, and it notifies NRF of the commencement thereof, NRF will be entitled to, to the extent it may wish, jointly with any of the NRF Parties similarly notified, to participate in the defense thereof, with separate counsel.  Such participation shall not relieve NRF of the obligation to reimburse the Indemnified Party for reasonable legal and other costs and expenses incurred by such Indemnified Party in defending itself.  NRF shall not be liable to any such Indemnified Party on account of any settlement of any claim or action effected without the consent of NRF.  NRF may not unreasonably withhold or deny its consent to any settlement of any claim, suit, action, proceeding or investigation which may be covered hereunder.    
(c)    In the event that any Indemnified Party becomes involved in any capacity in any suit, action, proceeding or investigation in connection with any matter arising out of or in connection with its duties hereunder (or under the Affiliated Agreements, as the case may be), NRF will periodically reimburse such Indemnified Party for its reasonable legal and other costs and expenses (including the cost and expense of any investigation and preparation) incurred in connection therewith, no later than 30 days after receiving evidence of such costs and expenses; provided, however, that prior to any such advancement of costs and expenses (i) such Indemnified Party shall provide NRF with an undertaking to promptly 

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repay NRF the amount of any such costs and expenses paid to it if it shall ultimately be determined that such Indemnified Party is not entitled to be indemnified by NRF as herein provided in connection with such suit, action, proceeding or investigation, and (ii) the Indemnified Party shall provide NRF with a written affirmation that such Indemnified Party in good faith believes that it has met the standard of conduct necessary for indemnification hereunder.
9.    Duties With Respect to Investment Opportunities.     
(a)    NRF shall be obligated, as part of the consideration for the Services being provided by Asset Manager and its Affiliated Entities, to make available to Asset Manager (for allocation among the NSAM Managers and Affiliated Entities) all investment opportunities for the acquisition or origination of Real Estate Assets (“Investment Opportunities”) that are presented to, or sourced by, employees of NRF or its subsidiaries, or of which any employee of NRF or its subsidiaries becomes aware. 
(b)    With respect to all Debt Assets which it sources and makes available to Asset Manager (for allocation among the NSAM Managers and Affiliated Entities) under clause (a) above, NRF will be entitled to fair and reasonable compensation for its services in connection with such Debt Assets, except that nothing herein shall be construed as entitling NRF to receive any portion of any acquisition fees received by any of the NSAM Managers from any of their respective Managed Entities.  
(c)    Asset Manager shall form an investment committee (the “Investment Committee”) that shall review the Investment Opportunities and use its commercially reasonable efforts to fairly allocate such Investment Opportunities among Affiliated Entities and among the NSAM Managers, including Asset Manager, for the benefit of Managed Entities, including NRF.  The Investment Committee will allocate Investment Opportunities in accordance with an allocation policy, set forth on Exhibit B, established by Asset Manager and adopted by each of the NSAM Managers.  Changes to the allocation policy that could adversely impact the allocation of Investment Opportunities to NRF in any material respect may be proposed by Asset Manager and must be approved by the Board of Directors.    
(d)    It is further acknowledged by NRF that the decision of how any potential Investment Opportunities should be allocated may in many cases be a matter of highly subjective judgment which will be made by the Investment Committee in its sole discretion. Asset Manager may from time to time increase or decrease the number of members of the Investment Committee, or replace members of the Investment Committee, in its sole discretion.  It is further acknowledged by NRF that certain types of Investment Opportunities may not enter the allocation process because of special or unique circumstances related to the Real Estate Asset or the seller of the Real Estate Asset, among other things, that in the judgment of the Investment Committee do not fall within the investment objectives or mandate of any particular Managed Entity, including NRF or another Affiliated Entity.  In these cases, the investment may be made by another Managed Entity or by Asset Manager or one of its Affiliated Entities without NRF having an opportunity to make such investment.

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10.    No Joint Venture.  Nothing in this Agreement shall be construed to make NRF and Asset Manager or any of its Affiliated Entities partners or joint venturers or impose any liability as such on any of them.
11.    Term.  Subject to Section 12, this Agreement shall be in effect from the Effective Time through the twentieth anniversary of the Initial Effective Date (the “Initial Term”) and shall be automatically renewed for an additional twenty-year term on each anniversary of such twentieth anniversary date (each, a “Renewal Term”).
12.    Termination for Cause.
(a)    NRF may terminate this Agreement, effective upon 60 days’ prior written notice of termination from the Board of Directors to Asset Manager if (i) Asset Manager engages in any act of fraud, misappropriation of funds, or embezzlement against NRF or any of its subsidiaries; (ii) Asset Manager breaches, in bad faith, any provision of this Agreement or there is an event of gross negligence on the part of Asset Manager in the performance of its duties under this Agreement and, in each case, if it has a Material Adverse Effect on NRF and, with respect to a breach in bad faith or gross negligence, if the effects of such breach in bad faith or gross negligence can be reversed, such effects are not reversed within a period of 60 days of Asset Manager’s receipt of the written notice (or 90 days if Asset Manager takes steps to reverse such effects within 30 days of written notice); (iii) there is a commencement of any proceeding relating to Asset Manager’s bankruptcy or insolvency, including an order for relief in an involuntary bankruptcy case or Asset Manager authorizing or filing a voluntary bankruptcy petition that is not dismissed in 60 days; (iv) there is a dissolution of Asset Manager; or (v) unless the Board of Directors determines that qualification for taxation as a REIT under the U.S. federal income tax laws is no longer desirable, there is a determination by a court of competent jurisdiction, in a non-appealable binding order, or the Internal Revenue Service, in a closing agreement made under section 7121 of the Code, that a provision of this Agreement caused or will cause NRF to fail to satisfy a requirement for qualification as a REIT and, within 60 days of such determination, Asset Manager has not agreed to amend or modify this Agreement in a manner that would allow NRF to qualify as a REIT.  Notwithstanding the foregoing, if Asset Manager assigns the Agreement to an Affiliate or a permitted assignee, the events in (iii) and (iv) with respect to such assignee shall not constitute grounds for termination by NRF.  
(b)    Asset Manager may terminate this Agreement effective upon 60 days’ prior written notice of termination to NRF in the event that NRF shall default in the performance or observance of any material term, condition or covenant contained in this Agreement and such default shall continue for a period of 60 days (or 90 days if NRF takes steps to cure such breach within 30 days of the written notice) after written notice thereof is received by NRF specifying such default and requesting that the same be remedied in such 60-day period.  In the event that this Agreement is terminated pursuant to this Section 12(b), Asset Manager shall be entitled to any and all damages and legal remedies arising from or in connection with such default including, but not limited to, direct, indirect, special, consequential, speculative and punitive damages, as well as lost future profits and business in the future.  

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13.    Action Upon Termination.  From and after the effective date of termination of this Agreement, pursuant to Section 12 of this Agreement, Asset Manager shall not be entitled to compensation for further services under this Agreement, but shall be paid all compensation accruing to the date of termination.  Upon such termination, Asset Manager shall deliver to the Board of Directors all property and documents of NRF and its subsidiaries then in the custody of Asset Manager and Asset Manager shall cooperate with NRF, at NRF’s cost and expense, to provide an orderly transition of its advisory and asset management functions.  
14.    Bank Accounts.  Asset Manager may establish and maintain one or more bank accounts in the name of NRF or its subsidiaries and may collect and deposit into any such account or accounts, and disburse from any such account or accounts, any money on behalf of NRF or its subsidiaries, under such terms and conditions as the Board of Directors may approve, provided that no funds shall be commingled with the funds of Asset Manager.  Asset Manager shall from time to time render appropriate accountings of such collections and payments to the Board of Directors and the independent auditors of NRF.  Any such bank shall be a “qualified custodian” as defined in Rule 206(4)-2 under the Advisers Act.
15.    Other Services.  If (i) NRF requests that Asset Manager or any officer or employee thereof render services for NRF other than as set forth in this Agreement; or (ii) there are changes to the regulatory environment in which Asset Manager or NRF operates that would increase significantly the level of services performed such that the costs and expenses borne by Asset Manager for which Asset Manager is not entitled to separate reimbursement for personnel and related employment direct costs and expenses and overhead under Section 3 of this Agreement would increase significantly, such services shall be separately compensated at such rates and in such amounts as are reasonably agreed by Asset Manager and NRF.   
16.    Assignment. 
(a)    The Agreement may not be assigned (within the meaning of the Investment Advisers Act of 1940, as amended (the “Advisers Act”)) without the consent of the parties hereto.  
(b)    Notwithstanding the foregoing, to the extent either party proposes, or any action is taken by either party that could be deemed an assignment of this Agreement as defined under the Advisers Act (an “Advisers Act Assignment”), both parties agree to consider such assignment in good faith and to not unreasonably withhold, condition or delay such consent.  The parties would anticipate that consent would be granted in the event of a proposed Advisers Act Assignment to a party with expertise in commercial real estate and, together with its Affiliates, over $10 billion of assets under management.  Both parties acknowledge that time is of the essence with respect to the consideration of any Advisers Act Assignment and each party shall: (a) respond to the party seeking consent of such assignment within 10 days of notification of an Advisers Act Assignment (the “Notification Period”) by the party seeking consent thereto; and (b) provide such consent or set forth the reasons why such consent shall not be given.  To the extent the party whose consent is sought with respect to any Advisers Act Assignment fails to respond to the party seeking consent for said Advisers Act Assignment within the Notification Period, the consent of the party 

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failing to respond shall be deemed to have been granted.  The parties understand and agree that the terms of this Section 16(b) are material terms hereof and the Asset Manager would not have entered into this Agreement but for the benefit of such provisions.    
(c)    Asset Manager may, at no additional cost or expense to NRF, obtain information and assistance for the account of NRF, without NRF’s consent.  Such assistance may include the hiring of one or more entities, including Affiliated Entities, to provide sub-advisory services.  A sub-adviser shall have all of the rights and powers of Asset Manager set forth in this Agreement, and Asset Manager shall be as fully responsible to NRF’s accounts for the acts and omissions of the sub-adviser as it is for its own acts and omissions.
(d)    Notwithstanding the foregoing or anything else contained herein to the contrary, to the maximum extent permitted by applicable law, rules and regulations, in connection with any merger, sale of all or substantially all of the assets, change of control, reorganization, consolidation or any similar transaction of either party hereto, directly or indirectly, the surviving entity will succeed to the terms of this Agreement.
17.    Representations and Warranties.
(a)    NRF hereby makes the following representations and warranties to Asset Manager, all of which shall survive the execution and delivery of this Agreement:
(i)    NRF is a corporation duly organized, validly existing and in good standing under the laws of the State of Maryland.  NRF has all power and authority required to execute and deliver this Agreement and to perform all its duties and obligations hereunder; 
(ii)    The execution, delivery, and performance of this Agreement by NRF have been duly authorized by all necessary action on the part of the NRF;
(iii)    This Agreement constitutes a legal, valid, and binding agreement of NRF enforceable against NRF in accordance with its terms, except as limited by bankruptcy, insolvency, receivership and similar laws from time to time in effect and general principles of equity, including, without limitation, those relating to the availability of specific performance; and
(iv)    NRF is a publicly traded company with over $10.0 billion of assets as of the date hereof and is entering into this Agreement with the approval of its Board of Directors, including a majority of its disinterested directors, and with full knowledge and understanding of the consequences of its execution and believes that it is receiving full and valuable consideration hereunder and that it is in its best interests to enter into this Agreement. 
(b)    Asset Manager hereby makes the following representations and warranties to NRF, all of which shall survive the execution and delivery of this Agreement:

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(i)    Asset Manager is a limited company duly organized, validly existing and in good standing under the laws of Jersey.  Asset Manager has all power and authority required to execute and deliver this Agreement and to perform all its duties and obligations hereunder, subject only to its qualifying to do business and obtaining all requisite permits and licenses required as a result of or relating to the nature or location of any of the assets or properties of NRF (which it shall do promptly after being required to do so);
(ii)    The execution, delivery, and performance of this Agreement by Asset Manager have been duly authorized by all necessary action on the part of Asset Manager;
(iii)    This Agreement constitutes a legal, valid, and binding agreement of Asset Manager enforceable against Asset Manager in accordance with its terms, except as limited by bankruptcy, insolvency, receivership and similar laws from time to time in effect and general principles of equity, including, without limitation, those relating to the availability of specific performance; and
(c)    Each party will promptly inform the other party if any of the representations herein ceases to be true.
18.    Additional Covenants of Asset Manager.   
(a)    Asset Manager agrees to provide the Services hereunder in such a manner as to seek to avoid causing NRF to fail to qualify for taxation as a REIT under the U.S. federal income tax laws, unless the Board of Directors determines that such qualification is no longer desirable.   In the event that the provision of Services hereunder would cause NRF to fail to qualify for taxation as a REIT, such Services shall be modified to the extent reasonably practical and only to the minimum extent necessary to preserve provision of the Services and qualification as a REIT, in all cases, unless the Board of Directors determine that such qualification is no longer necessary.  
(b)    Asset Manager agrees to provide the services hereunder in such a manner as to seek to avoid causing NRF to be required to register as an investment company under the Investment Company Act of 1940, as amended.  
(c)    Asset Manager agrees and acknowledges that it is providing the Services hereunder subject to the direction, supervision, oversight and control of the Board of Directors. 
19.    Additional Covenants of NRF.  
(a)    NRF hereby agrees that, in consideration of the Services to be provided hereunder, for so long as this Agreement is in effect, Asset Manager or one of its Affiliates (including NSAM) shall have the right to (a) designate one (1) individual to serve as a non-voting observer of the Board of Directors and each committee thereof (the “Observer”), (b) remove such individual as the Observer at any time and (c) appoint a successor to such 

16

Observer in the event that the current Observer resigns or is removed by Asset Manager or its Affiliate as the Observer.  In the event that the individual designated by Asset Manager or one of its Affiliates to serve as the Observer is unable to attend any meeting of the Board of Directors or any committee thereof for any reason, Asset Manager or its Affiliate, as the case may be, shall be permitted to designate another individual to serve as the Observer at such meeting.  NRF further covenants and agrees to provide the Observer with copies of all notices, written correspondence, board materials and other documents provided to the Board of Directors and each committee thereof at substantially the same time as provided to the Board of Directors or the members of the relevant committee thereof; provided, that NRF reserves the right to withhold any information and to exclude such Observer from any meeting or portion thereof if a conflict of interest exists because the Board of Directors plans to discuss a matter involving Asset Manager or its Affiliates, on the one hand, and NRF or its Affiliates, on the other hand, or if access to such information or attendance at such meeting would reasonably likely adversely affect the attorney-client privilege between NRF and its counsel or result in the disclosure of trade secrets. 
(b)    NRF hereby further agrees that, in consideration of the Services to be provided hereunder, for so long as this Agreement is in effect, NRF will provide distribution support for, and enter into a distribution support agreement with, any public non-traded vehicles sponsored by NSAM, which would include purchasing up to an aggregate of $10,000,000 in shares of common stock in such public non-traded vehicle; provided, however, that (i) any distribution support obligations undertaken by NRF do not differ materially from NRF’s past practices of providing distribution support to the NorthStar Non-Traded REITs and (ii) NRF shall not be required to enter into more than five (5) distribution support agreements during any twelve (12) month period.  
(c)    NRF hereby further agrees that it will not directly or indirectly enter into a merger, sale of all or substantially all of its assets, change of control, reorganization, consolidation or any similar transaction, unless the party assuming control or otherwise entering into the transaction with NRF or its Affiliates agrees in writing, in a form satisfactory to the Asset Manager, to succeed to this Agreement and otherwise assume the obligations and liabilities under this Agreement.
20.    Confidentiality.  Each party, on behalf of itself and its Affiliates, shall keep confidential any and all information obtained by it in connection with this Agreement and provision of the Services and shall not disclose any such information (or use the same except in furtherance of its duties and obligations under this Agreement) to unaffiliated third parties, except: (i) with the prior written consent of the board of directors of the applicable party; (ii) to legal counsel, accountants and other professional advisors; (iii) to appraisers, financing sources and others in the ordinary course of business; (iv) to third parties who agree to keep such information confidential by contract or by professional or ethical duty and who need to know such information to perform services or to evaluate a prospective transaction; (v) to governmental officials having jurisdiction over the applicable party; (vi) in connection with any governmental or regulatory filings of the applicable party, or disclosure or presentations to such party’s investors; (vii) as required by law or legal process to which a party or any person to whom disclosure is permitted hereunder is subject; or (viii) to the extent such information is otherwise publicly available through the actions of a person other than 

17

the party not resulting from the party’s violation of this Section  20.  The provisions of this Section  20 shall survive the expiration or earlier termination of this Agreement for a period of one year.
21.    Use of Name.  NRF agrees that Asset Manager and its Affiliated Entities may identify NRF by name in its or their current client list.  Such list may be disclosed to third parties.
22.    Notices.   Any notice under this Agreement shall be given in writing, addressed and delivered or mailed, postage prepaid, to the addresses set forth herein (or such other address as a party may identify to the other party from time to time).  All notices shall be effective upon receipt.    
	
				
	If to NRF:
	 
	NorthStar Realty Finance Corp.

	 
	 
	399 Park Avenue

	 
	 
	18th Floor

	 
	 
	New York, New York 10022

	 
	 
	Attention:  General Counsel

	
				
	If to Asset Manager:
	 
	NSAM J-NRF Ltd

	 
	 
	c/o NSAM Luxembourg S.à r.l.

	 
	 
	6ème étage, 6A route de Trèves  

	 
	 
	L-2633 Senningerberg  

	 
	 
	Grand-Duchy of Luxembourg 

	 
	 
	Attention: General Counsel

                                    
23.    Amendments.  This Agreement may be amended or modified only by mutual consent of the parties in writing.
24.    Entire Agreement; Governing Law.  This Agreement contains the entire agreement of the parties and supersedes all prior agreements, understandings and arrangements with respect to the subject matter hereof.  This Agreement shall be construed in accordance with the laws of the State of New York.
25.    Severability.  Each provision of this Agreement shall be considered separate from the others and, if for any reason, any provision or its application is determined by a court of competent jurisdiction to be invalid, illegal or unenforceable, then such invalid, illegal or unenforceable provision shall not impair the operation of or affect any other provisions of this Agreement, and either (a) such invalid, illegal or unenforceable provision shall be construed and enforced to the maximum extent legally permissible or (b) the parties shall substitute for the invalid, illegal or unenforceable provision a valid, legal and enforceable provision with a substantially similar effect and intent.  
26.    Force Majeure.  No party to this Agreement will be responsible for nonperformance resulting from acts beyond the reasonable control of such party; provided that such party uses commercially reasonable efforts to avoid or remove such causes of nonperformance and continues performance under this Agreement with reasonable dispatch as soon as such causes are removed.  

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27.    Waiver.   Neither the failure nor any delay on the part of a party to exercise any right, remedy, power or privilege under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, power or privilege preclude any other or further exercise of the same or of any other right, remedy, power or privilege, nor shall any waiver of any right, remedy, power or privilege with respect to any occurrence be construed as a waiver of such right, remedy, power or privilege with respect to any other occurrence.  No waiver shall be effective unless it is in writing and is signed by the party asserted to have granted such waiver.   
28.    Counterparts.  This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original as against any party whose signature appears thereon, and all of which shall together constitute one and the same instrument.  This Agreement shall become binding when one or more counterparts hereof, individually or taken together, shall bear the signatures of all of the parties reflected hereon as the signatories.  
29.    Headings.  The section headings contained in this Agreement are inserted for convenience only, and shall not affect in any way, the meaning or interpretation of this Agreement.  
30.    Binding Effect; Benefit.  This Agreement and all terms, provisions and conditions hereof shall be binding upon the parties hereto, and shall inure to the benefit of the parties hereto and to their respective successors and assigns. 
31.    Miscellaneous.  It is understood that certain provisions of this Agreement may serve to limit the potential liability of Asset Manager.  NRF has had the opportunity to consult with Asset Manager as well as, if desired, its professional advisors and legal counsel as to the effect of these provisions.  It is further understood that certain applicable laws including, but not limited to, the Advisers Act may impose liability or allow for legal remedies even where Asset Manager has acted in good faith and that the rights under those laws may be non-waivable.  Nothing in this Agreement shall, in any way, constitute a waiver or limitation of any rights which may not be limited or waived in accordance with applicable law.  
32.    Arbitration.  Notwithstanding anything herein to the contrary, including the parties’ submission to jurisdiction of the courts of the State of New York pursuant to Section 33,  any dispute, claim or controversy arising out of or relating to this Agreement or the breach, termination, enforcement, interpretation or validity thereof, including the determination of the scope or applicability of this agreement to arbitrate, shall be determined by arbitration in the New York offices of the American Arbitration Association (“AAA”) before three (3) qualified arbitrators, one (1) selected by each party and one (1) selected by both parties.  The arbitration shall be administered by AAA under its Commercial Arbitration Rules and Mediation Procedures (the “Rules”) in accordance with the expedited procedures in those Rules.  Judgment on the arbitration award may be entered in any state or federal court sitting in New York, New York or in any other applicable court.  This Section 32 shall not preclude the parties from seeking provisional remedies in aid of arbitration from a court of appropriate jurisdiction.  In the event that this Agreement is terminated pursuant to this Section 32, Asset Manager shall be entitled to any and all damages and legal remedies arising from or in connection with such default including, but not limited to, direct, indirect, special, consequential, speculative and punitive damages, as well as lost profits and business in the future.

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(a)    Any arbitration arising out of or related to this Agreement shall be conducted in accordance with the expedited procedures set forth in the Rules as those Rules exist at the Effective Time.
(b)    The parties agree that they will give conclusive effect to the arbitrators’ determination and award and that judgment thereon may be entered in any court having jurisdiction.
(c)    The arbitrators may issue awards for all damages and legal remedies arising from or in connection with such default including, but not limited to, direct, indirect, special, consequential, speculative and punitive damages, as well as lost profits and business in the future.
(d)    Any party may, without inconsistency with this arbitration provision, apply to any state or federal court sitting in New York, New York and seek interim provisional, injunctive or other equitable relief until the arbitration award is rendered or the controversy is otherwise resolved.
(e)    The arbitration will be conducted in the English language.  The arbitrators shall decide the dispute in accordance with the law of New York.  The arbitration provisions contained herein are self-executing and will remain in full force and effect after expiration or termination of this Agreement.
(f)    The costs and expenses of the arbitration shall be funded fifty percent (50%) by the claimant and the remaining fifty percent (50%) shall be split equally among the respondent(s).  All parties shall bear their own attorneys’ fees during the arbitration.  The prevailing party on substantially all of its claims shall be repaid all of such costs and expenses by the non-prevailing party within ten (10) days after receiving notice of the arbitrator’s decision.
33.    Submission to Jurisdiction; Consent to Service of Process.  Subject to Section 32 hereof, the parties hereto hereby irrevocably submit to the exclusive jurisdiction of and consent to service of process and venue in the state and federal courts in the County of New York, State of New York in any dispute, claim, controversy, action, suit or proceeding between the parties arising out of this Agreement which are permitted to be filed or determined in such court.  Subject to Section 32 hereof, the parties hereby irrevocably waive, to the fullest extent permitted by applicable law, any objection which they may now or hereafter have to the laying of venue of any such dispute brought in such court or any defense of inconvenient forum for the maintenance of such dispute.  The parties agree that process may be served in any action, suit or proceeding by mailing copies thereof by registered or certified mail (or its equivalent) postage prepaid, to the party’s address set forth in Section 22 of this Agreement or to such other address to which the party shall have given written notice to the other party. The parties agree that such service shall be deemed in every respect effective service of process upon such party in any such action, suit or proceeding and shall, to the fullest extent permitted by law, be taken and held to be valid personal service upon and personal delivery to such party.  Nothing in this Section 33 shall affect the right of the parties to serve process in any manner permitted by law.   

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IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date first written above by their duly authorized representatives.
	
		
	NORTHSTAR REALTY FINANCE CORP.

	 
	 

	By:
	/s/ Ronald J. Lieberman

	Name:
	Ronald J. Lieberman

	Title:
	Executive Vice President and General Counsel

	
		
	NSAM J-NRF LTD

	 
	 

	 
	 

	By:
	/s/ Daniel R. Gilbert

	Name:
	Daniel R. Gilbert

	Title:
	Director

SCHEDULE A
For purposes of this Agreement, the following terms shall have the definitions indicated below:  
“AAA” has the meaning set forth in Section 32.
“Advisers Act” has the meaning set forth in Section 16(a).
“Advisers Act Assignment” has the meaning set forth in Section 16(b).
“Aerium” means Aerium Advisors S.à r.l., a private limited liability company (société responsibilité anonyme) incorporated and existing under the laws of Luxembourg, and Aeriance Holding  S.à r.l., a private limited liability company (société responsibilité anonyme), incorporated and existing under the laws of Luxembourg (together with their respective subsidiaries, successors or assigns).
“Affiliate” means, with respect to a Person, any other Person that either directly or indirectly controls, is controlled by or is under common control with the first Person.  The term "control" means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether through the ownership of voting interests, by contract or otherwise.  For the avoidance of doubt, for purposes of this Agreement, none of the Managed Entities shall be considered an Affiliate of NSAM Parent or its Affiliates.  
“Affiliated Agreements” means any agreement entered into by an Affiliated Entity with respect to duties that are permitted to be delegated by Asset Manager under this Agreement.  
“Affiliated Entities” has the meaning set forth in Section 1(a).
“Agreement” has the meaning set forth in the preamble.
“Asset Manager” has the meaning set forth in the preamble.
“Board of Directors” has the meaning set forth in Section 1(a).
“Business Day” means any day, other than a Saturday or Sunday, that is neither a legal holiday nor a day on which banking institutions in New York City are authorized or required by law, regulation or executive order to close.
“Cash Available for Distribution” or “CAD” shall mean net income (loss) attributable to common stockholders in NRF, adjusted by adding (or subtracting) non-controlling interests, if any, and the following items: depreciation and amortization items, including depreciation and amortization, straight-line rental income or expense (excluding amortization of rent free periods), amortization of above/below market leases, amortization of deferred financing costs, amortization of discount on financings and other and equity-based compensation; cash flow related to CDO equity interests; accretion of consolidated 

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CDO bond discounts; non-cash net interest income in consolidated CDOs; unrealized gain (loss) from the change in fair value; realized gain (loss) on investments and other, excluding accelerated amortization related to sales of CDO bonds or other investments; provision for loan losses, net; impairment on depreciable property; bad debt expense; deferred tax benefit (expense); acquisition gains or losses; distributions and adjustments related to joint venture partners; transaction costs; foreign currency gains (losses); impairment on goodwill and other intangible assets; gains (losses) on sales; and one-time events pursuant to changes in U.S. GAAP and certain other non-recurring items.  For example, CAD has been adjusted to exclude non-recurring gain (loss) from deconsolidation of certain CDOs. These items, if applicable, include any adjustments for unconsolidated ventures.  The definition of CAD may be adjusted from time to time for NRF reporting purposes in the discretion of NRF, acting through its audit committee or otherwise.  “CDO” means collateralized debt obligations.
“Charter” has the meaning set forth in Exhibit A.
“CMBS” means commercial mortgage-backed securities.
“Code” means the U.S. Internal Revenue Code of 1986, as amended from time to time, or any successor statute.
“Debt Assets” means the following asset classes: (A) first mortgage loans, (B) subordinate mortgage interests, (C) mezzanine loans and (D) preferred equity investments, in each case relating to commercial real estate.
“Debt Origination Business” has the meaning set forth in Section 1(a).
“Effective Time” means 11:59 p.m. on October 31, 2015 or such other time as the distribution effectuating NRF’s spin-off of NRE is completed.
“Equity Compensation” has the meaning set forth in Section 3(c)(i). 
“FINRA” means the Financial Industry Regulatory Authority, Inc.
“GAAP” means U.S. generally accepted accounting principles, consistently applied.
“Incentive Fee” has the meaning set forth in Section 4(a)(ii).  
“Indemnified Parties” has the meaning set forth in Section 8(a).
“Initial Effective Date” has the meaning set forth in the first “whereas” clause. 
“Initial Term” has the meaning set forth in Section 11.
“Investment Committee” has the meaning set forth in Section 9(c).
“Investment Opportunities” has the meaning set forth in Section 9(a).

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“LTIP” has the meaning set forth in Section 3(c)(i).
“Managed Entities” means NRF and all other entities that have entered into an asset management agreement or a similar investment advisory contract with NSAM or one or more of its subsidiaries.
“Material Adverse Effect” means a material adverse effect on the business, results of operations, financial condition and assets of NRF and its subsidiaries, taken as a whole. The parties understand and agree that the following, either alone or in combination, shall be excluded from consideration when evaluating the existence of a Material Adverse Effect: (i) changes or effects in the general economic conditions; (ii) changes or effects in general market conditions, including the securities, credit, currency, interest rate or financial markets; (iii) fluctuations in the market value of common stock (or other debt or equity securities) on the New York Stock Exchange, any other market or otherwise; (iv) changes in GAAP; (v) changes or effects, including legal, tax or regulatory changes, that generally affect the industry in which NRF operates; (vi) any failure by NRF to meet internal projections, plans or forecasts for any period; (vii) changes or effects that directly arise out of or are directly attributable to the negotiation, execution, public announcement or performance of this Agreement or the compliance with the provisions hereof; (viii) changes or effects that arise out of or are attributable to the commencement, occurrence, continuation or intensification of any war, sabotage, armed hostilities or acts of terrorism; and (ix) the effects of earthquakes, hurricanes or other natural disasters.  
“Maximum Allocable G&A” has the meaning set forth in Section 3(b). 
“NorthStar Non-Traded REITs” means NorthStar Real Estate Income Trust, Inc., NorthStar Healthcare Income, Inc. and NorthStar Real Estate Income II, Inc.
“Notification Period” has the meaning set forth in Section 16(b).
“NRE” has the meaning set forth in the preamble.
“NRF” has the meaning set forth in the preamble.
“NRF Employees” has the meaning set forth in Section 7(b).
“NRF Equity Compensation” has the meaning set forth in Section 3(c)(i).
“NRF G&A” has the meaning set forth in Section 3(b).
“NRF Parties” has the meaning set forth in Section 8(a).
“NRF Accelerated Performance Awards” has the meaning set forth in Section 3(d). 
“NSAM” has the meaning set forth in Section 3(c)(i).
“NSAM Compensation Committee” has the meaning set forth in Section 3(c)(i).

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“NSAM Managers” means Asset Manager and any of its Affiliated Entities that serve as asset managers to one or more Managed Entities.
“Observer” has the meaning set forth in Section 19(a).
“Operating Partnership” has the meaning set forth in Section 4(a)(i)(D).
“Person” means any individual, partnership, corporation, limited liability company, trust or other entity.
“Real Estate Assets” means the following asset classes:  (A) first mortgage loans, (B) subordinate mortgage interests, (C) mezzanine loans, (D) preferred equity investments relating to commercial real estate, (E) credit tenant leases and term loans relating to commercial real estate, (F) manufactured housing communities, (G) healthcare real estate, including but not limited to independent living, assisted living and skilled nursing facilities, (H) net lease properties relating to commercial real estate, including office, retail and industrial facilities, (I) multifamily and other similar real estate assets, (J) hotels, (K) other commercial properties, (L) land, (M) indirect interests in commercial real estate through investments in private equity real estate funds and non-traded real estate investment trusts and other entities holding interests in real estate, (N) commercial real estate securities including CMBS and third–party CDO notes and (O) any other real estate or real estate related assets or investments as may be agreed to by the parties.
“REIT” means any entity that has elected to be treated as a real estate investment trust for U.S. federal income tax purposes.
“Renewal Term” has the meaning set forth in Section 11.
“RSUs” has the meaning set forth in Section 3(c)(i).
“Rules” has the meaning set forth in Section 32.
“RXR Asset Management Fee” shall mean asset management fees, non-traded REIT and similar sponsored vehicle fees and compensation, property management fees, leasing commissions, construction and development fees, incentive fees, promotes and profits interest, and any other fee related revenue of RXR Realty LLC and its Affiliates (as well as their respective successors and assigns).  
“SEC” means the United States Securities and Exchange Commission.
“Service Agreement” has the meaning set forth in Section 3(c)(ii).
“Services” has the meaning set forth in Section 1(a).
“SpinCo” means each entity that separates from NRF via spin-off or other transaction after the Initial Effective Date and enters into a SpinCo Asset Management Agreement, including, but not limited to, NRE, as well as each entity that separates from an entity 

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previously separated from NRF via spin-off or other transaction and that also enters into a SpinCo Asset Management Agreement.
“SpinCo Asset Management Agreement” means an asset management agreement between a SpinCo and an Affiliate of NSAM that is similar in scope, term and compensation to this Agreement, except as may otherwise be agreed upon by NSAM or its Affiliates.   
“SpinCo G&A” means the aggregate general and administrative expenses as reported for the calendar quarter on each SpinCo’s consolidated financial statements prepared in accordance with U.S. GAAP, excluding, for each SpinCo, (1) equity-based compensation expenses, (2) non-recurring expenses, (3) compensation, or cash paid in settlement of securities, in the event common stock is not available for issuance under the applicable SpinCo equity compensation plan, payable pursuant to the provisions of the SpinCo Asset Management Agreement comparable to Section 4 and Section 3(c)(i), respectively, of the this Agreement and (4) any allocation of expenses from NSAM Managers or their Affiliated Entities.
“Weighted Average Shares” shall mean, for the applicable period, the number of shares of common stock and LTIPs, or other equity-based awards, excluding restricted stock units, or any other equity based awards that are subject to performance metrics that are not currently achieved, outstanding on a daily weighted average basis during such period.  This calculation is intended to result in the identical number of weighted average shares that NRF uses in calculating its reported CAD per share for the applicable calendar quarter, in connection with calculating and reporting CAD for such applicable period. 

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EXHIBIT A
DUTIES OF ASSET MANAGER
Asset Manager is responsible, either directly or, to the extent permitted under the Agreement and as determined to be appropriate by Asset Manager, by engaging Affiliated Entities or third parties, for managing, operating, directing and supervising the operations and administration of NRF, its subsidiaries and the Real Estate Assets (other than with respect to NRF’s Debt Origination Business), subject in all circumstances and in every respect to the direction, supervision, oversight and control of the Board of Directors.  Asset Manager undertakes to use its commercially reasonable efforts to implement its allocation policy and present to NRF and its subsidiaries potential suitable Investment Opportunities consistent with the investment objectives and policies of NRF and its subsidiaries, as determined and adopted from time to time by the Board of Directors, after taking into consideration the Investment Opportunities sourced by and allocated to NRF pursuant to Section 9 hereof.  Asset Manager will make investment decisions on behalf of NRF, subject to the limitations in the articles of incorporation of NRF, as amended from time to time (hereinafter the “Charter”).  Subject to the limitations set forth in this Agreement, and the continuing and exclusive authority of the Board of Directors over the management of NRF, Asset Manager may, either directly or, to the extent permitted under the Agreement and as determined to be appropriate by Asset Manager, by engaging Affiliated Entities or third parties, perform the following duties, as may be applicable as determined by Asset Manager:
1.Acquisition Services.  
(i)    Serve as NRF’s investment and financial advisor and obtain certain market research and economic and statistical data in connection with NRF’s Real Estate Assets and investment objectives and policies;
(ii)    Monitor NRF’s investments in Real Estate Assets and the nature and timing of changes therein and the manner of implementing such changes (including through the sale or purchase of Real Estate Assets); 
(iii)    Review all Investment Opportunities sourced by NRF and referred to Asset Manager pursuant to Section 9 hereof, and allocate those opportunities among Affiliated Entities and among the NSAM Managers, including Asset Manager, for the acquisition or origination by one or more Managed Entities, including NRF, in accordance with Asset Manager’s allocation policy, as such may be modified or amended form time to time, and in a fair and reasonable manner; 
(iv)     (a) locate, analyze and select potential Real Estate Assets compatible with its obligations pursuant to Section 9 hereof and the investment objectives and policies of NRF; (b) structure and negotiate the terms and conditions of transactions pursuant to which investment in the Real Estate Assets will be made; and (c) acquire Real Estate Assets on behalf of NRF and its subsidiaries;
(v)    Perform or oversee the due diligence process related to prospective Real Estate Assets;

A-1

(vi)    Prepare reports regarding prospective investments, which include recommendations and supporting documentation necessary for the Board of Directors to evaluate the prospective investments;
(vii)    Obtain reports (which may be prepared by Asset Manager or its Affiliated Entities), where appropriate, concerning the value of prospective Real Estate Assets of NRF; 
(viii)    Negotiate and execute approved transactions related to Real Estate Assets and other transactions; and
(ix)    Create or arrange for the creation of special purpose vehicles and make such investments in Real Estate Assets through such special purpose vehicles on behalf of NRF when necessary or advisable. 
2.    Asset Management Services.  
(i)    Investigate, select, and, on behalf of NRF, engage and conduct business with such persons as Asset Manager or its Affiliated Entities deem necessary to the proper performance of its obligations hereunder or under the Affiliated Agreements, including but not limited to consultants, accountants, lenders, technical advisors, attorneys, brokers, underwriters, corporate fiduciaries, escrow agents, depositaries, trust companies, title companies, custodians, agents for collection, insurers, insurance agents, developers, construction companies, property managers and any and all persons acting in any other capacity deemed by Asset Manager or its Affiliated Entities necessary or desirable for the performance of any of the foregoing services;
(ii)    Monitor applicable markets and obtain reports (which may be prepared by Asset Manager or its Affiliated Entities) where appropriate, concerning the value of the Real Estate Assets of NRF;
(iii)    Monitor and evaluate the performance of the Real Estate Assets of NRF, provide daily management services to NRF and perform and supervise the various management and operational functions related to NRF’s Real Estate Assets;
(iv)    Formulate and oversee the implementation of strategies for the administration, promotion, management, operation, maintenance, improvement, financing and refinancing, marketing, leasing and disposition of Real Estate Assets on an overall portfolio basis;
(v)    Engage and oversee the performance by the property managers of their duties, including collection and proper deposits of rental payments and payment of property costs and expenses and maintenance; 
(vi)    Conduct periodic on-site property visits to some or all (as Asset Manager or its Affiliated Entities deem reasonably necessary) of the Real Estate Assets to inspect the physical condition of the Real Estate Assets and to evaluate the performance of the property managers;

A-2

(vii)    Review, analyze and comment upon the operating budgets, capital budgets and leasing plans prepared and submitted by each property manager and aggregate these property budgets into NRF’s overall budget;
(viii)    Coordinate and manage relationships between NRF and any joint venture partners; and
(ix)    Provide financial and operational planning services and investment portfolio management functions.
3.    Accounting and Other Administrative Services.  
(i)    Manage and perform the various administrative functions necessary for the management of the day-to-day operations of NRF;
(ii)    From time-to-time, or at any time reasonably requested by the Board of Directors, make reports to the Board of Directors on Asset Manager’s  performance of Services to NRF under the Agreement;
(iii)    Make reports to the Board of Directors, at least annually, of the Real Estate Assets that have been purchased by NRF; 
(iv)    Coordinate with NRF’s independent auditors to prepare and deliver to NRF’s audit committee an annual report covering Asset Manager’s compliance with certain material aspects of this Agreement;
(v)    Provide or arrange for administrative services and items, legal and other services, office space, office furnishings and equipment, technology, insurance, human resources, payroll, benefits and other personnel and overhead items necessary and incidental to NRF’s business and operations; 
(vi)    Provide financial and operational planning services and portfolio management functions;
(vii)    Maintain accounting data and any other information concerning the activities of NRF as shall be needed to prepare and file all periodic financial reports and returns required to be filed with the SEC and any other regulatory agency, including annual financial statements;
(viii)    Maintain all appropriate books and records of NRF and its subsidiaries in accordance with U.S. GAAP;
(ix)    Oversee tax and compliance services and risk management services and coordinate with appropriate parties, including independent accountants and other consultants, on related tax matters;
(x)    Supervise the performance of such ministerial and administrative functions as may be necessary in connection with the daily operations of NRF;

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(xi)    Provide NRF with all necessary cash management services for NRF, its subsidiaries and for their properties;
(xii)    Manage and coordinate with the transfer agent the distribution process and payments to stockholders;
(xiii)    Consult with the officers of NRF and the Board of Directors, and assist in evaluating and obtaining adequate insurance coverage based upon risk management determinations;
(xiv)    Provide the officers of NRF and the Board of Directors with timely updates related to the overall regulatory environment affecting NRF, as well as managing compliance with such matters;
(xv)    Consult with the officers of NRF and the Board of Directors relating to the corporate governance structure and appropriate policies and procedures related thereto;
(xvi)    Oversee all reporting, record keeping, internal controls and similar matters in a manner to allow NRF to comply with applicable law, including the Sarbanes-Oxley Act of 2002; and
(xvii)    Prepare annual overall operating budgets for NRF, which shall be submitted to the Board of Directors for its approval.
4.    Stockholder Services.  
(i)    Manage communications with stockholders, including answering phone calls, preparing and sending written and electronic reports and other communications; and
(ii)    Establish systems to assist in providing stockholder support and services.
5.    Financing Services.  
(i)    Identify and evaluate potential financing and refinancing sources, engaging a broker if necessary;
(ii)    Negotiate terms, arrange and execute financing agreements;
(iii)    Manage relationships between NRF and  its lenders; and
(iv)    Monitor and oversee the service of NRF’s debt facilities and other borrowings.
6.    Disposition Services.  
(i)    Consult with the Board of Directors and provide assistance with the evaluation and approval of potential asset dispositions, sales or other liquidity events; and

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(ii)    Structure and negotiate the terms and conditions of transactions pursuant to which Real Estate Assets may be sold.
7.    Offering Services.
(i)    Oversee the preparation and execution of public and private offerings of equity and debt, determination of the specific terms of the securities to be offered by NRF or its subsidiaries, preparation of all offering and related documents and obtaining all required regulatory approvals of such documents;
(ii)    Identify and negotiate with underwriting firms; 
(iii)    Coordinate the due diligence process relating to participating underwriting firms and their review of any registration statement and/or other offering and NRF documents;  
(iv)    Coordinate the preparation of and approve investor reports and other materials contemplated to be used in the offerings; 
(v)    Negotiate and coordinate with the transfer agent; and 
(vi)    Perform all other services related to any offering, other than services that (a) are to be performed by the underwriters, (b) NRF elects to perform directly or (c) would require Asset Manager to register as a broker-dealer with the SEC, FINRA or any state.  
8.    Property Management Services. 
(i)    Manage, operate, lease and maintain all properties or hire third parties or Affiliated Entities to do the same;
(ii)    Employ and/or oversee a sufficient number of capable personnel to enable it to properly manage, operate, lease and maintain the properties; and 
(iii)    Prepare operating and capital budgets, marketing programs and leasing guidelines. 

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EXHIBIT B
ALLOCATION OF INVESTMENT OPPORTUNITIES 
NorthStar Realty Finance Corp. (“NRF”) is externally managed by NSAM J-NRF Ltd, a Jersey limited company (the “Asset Manager”) and an affiliate of NorthStar Asset Management Group Inc. (“NSAM”), pursuant to that certain Amended and Restated Asset Management Agreement (the “Agreement”), dated as of October 31, 2015, by and between NRF and the Asset Manager.  This allocation policy supersedes and replaces any allocation policy previously adopted by the Asset Manager and approved by the NRF board of directors.  
NRF’s investment strategy may be similar to that of, and may overlap with, the investment strategies of other companies, funds or vehicles (collectively with NRF, the “Managed Entities”) managed, advised or sub-advised by the Asset Manager and its affiliated advisers and sub-advisers (collectively, as the context may warrant, the “NSAM Group”).  Certain of the Managed Entities and other companies, funds or vehicles may be co-sponsored, co-branded or co-founded by, or subject to a strategic relationship between, NSAM or one of its affiliates, on the one hand, and a strategic or joint venture partner of NSAM, on the other (collectively, “Strategic Vehicles”).  Therefore, many investment opportunities sourced by the NSAM Group or its strategic or joint venture partners that are suitable for NRF may also be suitable for other Managed Entities and/or Strategic Vehicles.  
Each investment opportunity sourced by the NSAM Group will be allocated to one or more of the Managed Entities, including NRF or, as applicable, affiliates of NSAM (“Affiliated Entities”) or Strategic Vehicles, for which the NSAM Group determines, in its sole discretion, the investment opportunity is most suitable.  When determining the entity for which an investment opportunity would be the most suitable, the factors that the NSAM Group may consider include, without limitation, the following:
		
	(i)
	investment objectives, strategy and criteria; 

		
	(ii)
	cash requirements; 

		
	(iii)
	effect of the investment on the diversification of the portfolio, including by geography, size of investment, type of investment and risk of investment; 

		
	(iv)
	leverage policy and the availability of financing for the investment by each entity; 

		
	(v)
	anticipated cash flow of the asset to be acquired; 

		
	(vi)
	income tax effects of the purchase; 

		
	(vii)
	the size of the investment; 

		
	(viii)
	the amount of funds available; 

		
	(ix)
	cost of capital; 

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	(x)
	risk return profiles; 

		
	(xi)
	targeted distribution rates; 

		
	(xii)
	anticipated future pipeline of suitable investments; 

		
	(xiii)
	the expected holding period of the investment and the remaining term of the Managed Entity, or itself, if applicable;

		
	(xiv)
	affiliate and/or related party considerations; and

		
	(xv)
	whether a Strategic Vehicle has received a Special Allocation (as defined below).  

If, after consideration of the relevant factors, the NSAM Group determines that an investment is equally suitable for multiple Managed Entities, including NRF, Strategic Vehicles or Affiliated Entities, the investment will be allocated for acquisition or origination by one or more of the Managed Entities, including NRF, Strategic Vehicles or Affiliated Entities, as applicable, on a rotating basis. If, after an investment has been allocated to NRF or any other Managed Entity, Strategic Vehicle or Affiliated Entity, a subsequent event or development, such as delays in structuring or closing on the investment, makes it, in the opinion of the NSAM Group, more appropriate for a different entity to fund the investment, the NSAM Group may determine to place the investment with the more appropriate Managed Entity, Strategic Vehicle or Affiliated Entity while still giving credit to the original allocation. In certain situations, the NSAM Group may determine to allow more than one Managed Entity, including NRF, Strategic Vehicle and/or Affiliated Entity, to co-invest in a particular investment.  In addition, Strategic Vehicles may receive special allocations of investment opportunities that are initially presented to the NSAM Group by the applicable strategic or joint venture partner (each, a “Special Allocation”).  In discharging its duties under this allocation policy, Asset Manager endeavors to allocate all investment opportunities among the Managed Entities, Strategic Vehicles and Affiliated Entities in a manner that is fair and equitable over time.

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