Exhibit 10.27
Second
Amendment
to
Senior
Revolving Credit Agreement
Among
Rosetta
Resources Inc.,
as Borrower,
BNP Paribas,
as Administrative Agent,
and
The Lenders Signatory
Hereto
Effective as of December 6,
2006
Second
Amendment to Senior Revolving Credit Agreement
This Second Amendment to Senior Revolving
Credit Agreement (this “ Second Amendment
”) executed effective as of the 6th of December, 2006 (the
“ Second Amendment Effective Date ”) is among
Rosetta Resources Inc
., a corporation formed under the laws of the State of Delaware
(the “ Borrower ”); each of the undersigned
guarantors (the “ Guarantors ”, and together
with the Borrower, the “ Obligors ”); each of
the Lenders that is a signatory hereto; and BNP Paribas , as administrative
agent for the Lenders (in such capacity, together with its
successors, the “ Administrative Agent
”).
Recitals
A.
The Borrower, the Administrative Agent and
the Lenders are parties to that certain Senior Revolving Credit
Agreement dated as of July 7, 2005, as amended by the First
Amendment to Senior Revolving Credit Agreement dated September 26,
2005 (the “ Credit Agreement ”), pursuant to
which the Lenders have made certain credit available to and on
behalf of the Borrower.
B.
The Borrower has requested and the Administrative Agent
and the Lenders have agreed to amend certain provisions of the
Credit Agreement.
C.
NOW, THEREFORE, in consideration of the premises and the mutual
covenants herein contained, for good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the
parties hereto agree as follows:
Section 1.
Defined Terms . Each capitalized term which is
defined in the Credit Agreement, but which is not defined in this
Second Amendment, shall have the meaning ascribed such term in the
Credit Agreement. Unless otherwise indicated, all
section references in this Second Amendment refer to the Credit
Agreement.
Section
2.
Amendments to Credit
Agreement .
2.1
Section 1.02 . The following
definitions are hereby added or amended and restated in its
entirety as follows:
“
Agreement ” means this Senior Revolving Credit
Agreement, as amended by the First Amendment to Senior Revolving
Credit Agreement, dated September 26, 2005 and the Second Amendment
to Senior Revolving Credit Agreement, dated December 6, 2006, as
the same may from time to time be further amended, modified,
supplemented or restated.
2.2
Section 9.19 . Section 9.19 is
hereby amended and restated in its entirety as follows:
Section
9.19 Swap Agreements . The Borrower
will not, and will not permit any Restricted Subsidiary to, enter
into any Swap Agreements with any Person other than (a) those Swap
Agreements required under Section 8.18; (b) Swap Agreements in
respect of commodities (including price Swap Agreements, basis
differential Swap Agreements, caps, collars, floors and other
similar agreements described in the definition of “Swap
Agreements”) (i) with an Approved Counterparty and (ii) the
notional volumes for which, (when aggregated with other commodity
Swap Agreements then in effect other than basis differential swaps
on volumes already hedged pursuant to other Swap Agreements) do not
exceed, as of the date each such Swap Agreement is executed, (A)
100% of the reasonably anticipated projected production (as shown
in the most recent Reserve Report) from proved, developed,
producing Oil and Gas Properties for each twelve month period
during which each such Swap Agreement is in effect, for the next
thirty-six months succeeding the execution of each such Swap
Agreement and 75% of the reasonably anticipated projected
production (as shown in the most recent Reserve Report) from
proved, developed, producing Oil and Gas Properties for each twelve
month period during which each such Swap Agreement is in effect,
for each twelve month period after the first thirty-six months
after each such Swap Agreement is executed and (B) 50% of the
reasonably anticipated projected production (as shown in the most
recent Reserve Report) from proved, developed, non-producing Oil
and Gas Properties for each twelve month period during which each
such Swap Agreement is in effect, for the next twenty-four months
succeeding the execution of each such Swap Agreement and 35% of the
reasonably anticipated projected production (as shown in the most
recent Reserve Report) from proved, developed, non-producing Oil
and Gas Properties for each twelve month period during which each
such Swap Agreement is in effect, for the period of twelve months
succeeding the two-year anniversary of the execution of each such
Swap Agreement, and 0% of the reasonably anticipated projected
production (as shown in the most recent