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INSTRUMENT PREPARED BY ORDER RECORDED UNDER CODE VIRGINIA GAS AND OIL OF VIRGINIA SECTION 41 L36126 VIRGINIA: BEFORE THE VIRGINIA GAS AND OIL BOARD EQT Production Company ) ) ) ) POOLING OF INTERESTS IN A 58.77 ) ACRE SQUARE DRILLING UNIT ) DESCRIBED IN EXHIBIT A HERETO ) LOCATED IN THE NORA COAL BED GAS ) FIELD AND SERVED BY WELL NO. ) VCI-539490 (herein "Subject Drilling) Unit" ) PURSUANT TO VA. CODE ) 55 45.1-361.21 AND 45.1-361.22, ) FOR THE PRODUCTION OF OCCLUDED ) NATURAL GAS PRODUCED FROM COALBEDS ) AND ROCK STRATA ASSOCIATED ) THEREWITH (herein "Coalbed Methane ) Gas" or "Gas") ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) APPLICANT: RELIEF SOUGHT: LEGAL DESCRIPTION SUBJECT DRILLING UNIT SERVED BY WELL NUMBERED VCI-539490 (herein "Well" ) TO BE DRILLED IN THE LOCATION DEPICTED ON EXHIBIT A HERETO, Range Resources-Pine Mountain Inc. Tract T2-42 Prater QUADRANGLE Prater MAGISTERIAL DISTRICT Buchanan COUNTY, VIRGINIA (the "Subject Lands" are more particularly described on Exhibit A, attached hereto and made a part hereof) VIRGINIA GAS AND OIL BOARD DOCKET NO. VGOB-10/06/15-2734 REPORT OF THE BOARD FINDINGS AND ORDER 1. Hearinq Date and Place: This matter came on for hearing before the Virginia Gas and Oil Board (hereafter "Board" ) at 9:00 a.m. on July 20, 2010, Conference Center at the Russell County Facility, Lebanon, Virginia. 2. Appearances: James E. Kaiser of Wilhoit and Kaiser, appeared for the Applicant; and Sharon B. Pigeon, Assistant Attorney General, was present to advise the Board.

BY VIRGINIA fileinstrument prepared by order recorded under code virginia gas and oil of virginia section 41l36126 virginia: before the virginia gas and oil board eqt production company)

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Page 1: BY VIRGINIA fileinstrument prepared by order recorded under code virginia gas and oil of virginia section 41l36126 virginia: before the virginia gas and oil board eqt production company)

INSTRUMENT PREPARED BY ORDER RECORDED UNDER CODEVIRGINIA GAS AND OIL OF VIRGINIA SECTION 41L36126

VIRGINIA:BEFORE THE VIRGINIA GAS AND OIL BOARD

EQT Production Company )

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POOLING OF INTERESTS IN A 58.77 )

ACRE SQUARE DRILLING UNIT )

DESCRIBED IN EXHIBIT A HERETO )

LOCATED IN THE NORA COAL BED GAS )

FIELD AND SERVED BY WELL NO. )VCI-539490 (herein "Subject Drilling)Unit" ) PURSUANT TO VA. CODE )

55 45.1-361.21 AND 45.1-361.22, )

FOR THE PRODUCTION OF OCCLUDED )NATURAL GAS PRODUCED FROM COALBEDS )AND ROCK STRATA ASSOCIATED )THEREWITH (herein "Coalbed Methane )

Gas" or "Gas") )

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APPLICANT:

RELIEF SOUGHT:

LEGAL DESCRIPTION

SUBJECT DRILLING UNIT SERVED BY WELL NUMBEREDVCI-539490 (herein "Well" ) TO BE DRILLED INTHE LOCATION DEPICTED ON EXHIBIT A HERETO,Range Resources-Pine Mountain Inc.Tract T2-42Prater QUADRANGLEPrater MAGISTERIAL DISTRICTBuchanan COUNTY, VIRGINIA(the "Subject Lands" are moreparticularly described on Exhibit A,attached hereto and made a part hereof)

VIRGINIA GASAND OIL BOARD

DOCKET NO.VGOB-10/06/15-2734

REPORT OF THE BOARD

FINDINGS AND ORDER

1. Hearinq Date and Place: This matter came on for hearing beforethe Virginia Gas and Oil Board (hereafter "Board" ) at 9:00 a.m. on July 20,2010, Conference Center at the Russell County Facility, Lebanon, Virginia.

2. Appearances: James E. Kaiser of Wilhoit and Kaiser, appeared forthe Applicant; and Sharon B. Pigeon, Assistant Attorney General, was presentto advise the Board.

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3. Jurisdiction and Notice: Pursuant to Va. Code %645.1-361.1 et~se ., the Board finds that it has jurisdiction over the subject matter.Based upon the evidence presented by Applicant, the Board also finds that theApplicant has (1) exercised due diligence in conducting a meaningful searchof reasonably available sources to determine the identity and whereabouts ofeach gas and oil owner, coal owner, or mineral owner and/or potential owner,i.e., person identified by Applicant as having ("Owner" ) or claiming("Claimant" ) the rights to Coalbed Methane Gas in all Pennsylvania-aged coalsfrom the top of the Raven, including all splits to the top of the green andred shales including, but not limited to: Jawbone, Greasy Creek, Unnamed A,Middle Horsepen, War Creek, Lower Horsepen, X Seam, Poca 6 Rider, Poca 5,Poca 4, Poca 2, and any other unnamed coal seams, coalbeds and rock strataassociated therewith (hereafter "Subject Formations" ) in the Subject DrillingUnit underlying and comprised of Subject Lands; (2) represented it has givennotice to those parties so identified (hereafter sometimes "person(s)"whether referring to individuals, corporations, partnerships, associations,companies, businesses, trusts, joint ventures or other legal entities)entitled by Va. Code 55 45.1-361.19 and 45.1-361.22, to notice of theapplication filed herein; and (3) that the persons set forth in Exhibit B-3hereto have been identified by Applicant as persons who may be Owners orClaimants of Coalbed Methane Gas interests in Subject Formations in theSubject Drilling Unit who have not heretofore agreed to lease or sell to theApplicant and/or voluntarily pool their Gas interests. Conflicting GasOwners/Claimants in Subject Drilling Unit are listed on Exhibit E. Further,the Board has caused notice of this hearing to be published as required byVa. Code 5 45.1-361.19.B.Whereupon, the Board hereby finds that the noticesgiven herein satisfy all statutory requirements, Board rule requirements andthe minimum standards of state due process.

4. Amendments: NONE.

5. Dismissals: NONE.

6. Relief Requested: Applicant requests (1) that pursuant to Va.Code 5 45.1-361.22, including the applicable portions of 6 45.1-361.21, theBoard pool the rights, interests and estates in and to the Gas in the SubjectDrilling Unit, including those of the Applicant and of the known and unknownpersons named in Exhibit B-3 hereto and that of their known and unknownheirs, executors, administrators, devisees, trustees, assigns and successors,both immediate and remote, for the drilling and operation, includingproduction, of Coalbed Methane Gas produced from the Subject Drilling Unitestablished for the Subject Formations underlying and comprised of theSubject Lands, (hereafter sometimes collectively identified and referred toas "well development and/or operation in the Subject Drilling Unit" ); and,(2) that the Board designate E{}T Production Company as the Unit Operator.

7. Relief Granted: The requested relief in this cause shall be andhereby is granted and: (1) pursuant to Va. Code 5 45.1-361.21.C.3,E(2TProduction Company (hereafter "Unit Operator" or "Operator" ) is designated asthe Unit Operator authorized to drill and operate the Well in SubjectDrilling Unit at the location depicted on the plat attached hereto as ExhibitA, subject to the permit provisions contained in Va. Code 6 45.1-361.27, et~se .,; to 55 4 VAC 25-150 et ~se ., Gas and Oil Regulations; to 6 4 VAC 25-160et ~se ., Virginia Gas and Oil Board Regulations and to the Nora Coal Bed Gas

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Field Rules established by the Oil and Gas Conservation Board's Order enteredMarch 26, 1989; all as amended from time to time; and (2) all the interestsand estates in and to the Gas in Subject Drilling Unit, including that of theApplicant, the Unit Operator and of the known and unknown persons listed onExhibit B-3, attached hereto and made a part hereof, and their known andunknown heirs, executors, administrators, devisees, trustees, assigns andsuccessors, both immediate and remote, be and hereby are pooled in theSubject Formations in the Subject Formation in the Subject Drilling Unitunderlying and comprised of the Subject Lands.

Pursuant to the Nora Coal Field Rules promulgated under the authorityof Va. Code 5 45.1-361,20, the Board has adopted the following method for thecalculation of production and revenue and allocation of allowable costs forthe production of Coalbed Methane Gas.

For Frac Well Gas. — Gas shall be produced from and allocated to onlythe 58.77 acre drilling unit in which the well is located according tothe undivided interests of each Owner/Claimant within the unit, whichundivided interest shall be the ratio (expressed as a percentage) thatthe amount of mineral acreage within each separate tract that is withinthe Subject Drilling Unit, when platted on the surface, bears to thetotal mineral acreage, when platted on the surface, contained withinthe entire 58.77 acre drilling unit in the manner set forth in the NoraField Rules.

8. Election and Election Period: In the event any Owner or Claimantnamed in Exhibit B-3 has not reached a voluntary agreement to share in theoperation of the Well to be located in Subject Drilling Unit, at a rate ofpayment mutually agreed to by said Gas Owner or Claimant and the Applicant orthe Unit Operator, then such person may elect one of the options set forth inParagraph 9 below and must give written notice of his election of the optionselected under Paragraph 9 herein to the designated Unit Operator at theaddress shown below within thirty (30) days from the date of receipt of acopy of this Order. A timely election shall be deemed to have been made if,on or before the last day of said 30-day period, such electing person hasdelivered his written election to the designated Unit Operator at the addressshown below or has duly postmarked and placed his written election in firstclass United States mail, postage prepaid, addressed to the Unit Operator atthe address shown below.

9. Election Options:

9.1 Option 1 — To Participate In The Development and Operation of theDrilling Unit: Any Gas Owner or Claimant named in Exhibit B-3who has not reached a voluntary agreement with the Applicant orUnit Operator may elect to participate in the Well developmentand operation in the Subject Drilling Unit (hereafter"Participating Operator" ) by agreeing to pay the estimate of suchParticipating Operator's proportionate part of the actual andreasonable costs, including a reasonable supervision fee, of theWell development and operation in the Subject Drilling Unit, asmore particularly set forth in Virginia Gas and Oil BoardRegulation 4 VAC 25-160-100 (herein "Completed for ProductionCosts" ). Further, a Participating Operator agrees to pay the

Page 4: BY VIRGINIA fileinstrument prepared by order recorded under code virginia gas and oil of virginia section 41l36126 virginia: before the virginia gas and oil board eqt production company)

estimate of such Participating Operator's proportionate part ofthe Estimated, Completed-for-Production Costs as set forth belowto the Unit Operator within forty-five (45) days from the laterof the date of mailing or the date of recording of this Order.The estimated Completed-for-Production Costs for the SubjectDrilling Unit are as follows:

Completed-for-Production Costs: $295,598.00

Any gas owner and/or claimants named in Exhibit B-3, who electthis option (Option 1) understand and agree that their initialpayment under this option is for their proportionate share of theApplicant's estimate of actual costs and expenses. It is alsounderstood by all persons electing this option that they areagreeing to pay their proportionate share of the actual costs andexpenses as determined by the operator named in this Board Order.

A Participating Operator's proportionate cost hereunder shall bethe result obtained by multiplying the Participating Operator's"Interest within Unit" as set forth herein in the attachedExhibit B-3 times the Estimated Completed-for-Production Costsset forth above. Provided, however, that in the event aParticipating Operator elects to participate and fails or refusesto pay the estimate of his proportionate part of the Estimated,Completed-for-Production Costs as set forth above, all within thetime set forth herein and in the manner prescribed in Paragraph 8

of this Order, then such Participating Operator shall be deemed. to have elected not to participate and to have elected

compensation in lieu of participation pursuant to Paragraph 9.2herein.

9.2 Option 2 — To Receive A Cash Bonus Consideration: In lieu ofparticipating in the Well development and operation in SubjectDrilling Unit under Paragraph 9.1 above, any Gas Owner orClaimant named in Exhibit B-3 hereto who has not reached avoluntary agreement with the Unit Operator may elect to accept acash bonus consideration of 55.00 per net mineral acre owned bysuch person, commencing upon entry of this Order and continuingannually until commencement of production from Subject DrillingUnit, and thereafter a royalty of 1/8th of 8/Sths [twelve andone-half percent (12.5%)) of the net proceeds received by theUnit Operator for the sale of the Gas produced from any Welldevelopment and operation covered by this Order multiplied bythat person's Interest Within Unit as set forth in Exhibit B-3[for purposes of this Order, net proceeds shall be actualproceeds received less post-production costs incurred downstreamof the wellhead, including, but not limited to, gathering,compression, treating, transportation and marketing costs,whether performed by Unit Operator or a third person] as fair,reasonable and EQT compensation to be paid to said Gas Owner orClaimant. The initial cash bonus shall become due and owing whenso elected and shall be tendered, paid or escrowed within onehundred twenty (120) days of recording of this Order.Thereafter, annual cash bonuses, if any, shall become due and

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owing on each anniversary of the date of recording of this orderin the event production from Subject Drilling Unit has nottheretofore commenced, and once due, shall be tendered, paid orescrowed within sixty (60) days of said anniversary date. Oncethe initial cash bonus and the annual cash bonuses, if any, areso paid or escrowed, said payment(s) shall be satisfaction infull for the right, interests, and claims of such electing personin and to the Gas produced from Subject Formation in the SubjectLands, except, however, for the 1/8th royalties due hereunder.

Subject to a final legal determination of ownership, the electionmade under this Paragraph 9.2, when so made, shall besatisfaction in full for the right, interests, and claims of suchelecting person in any well development and operation coveredhereby and such electing person shall be deemed to have andhereby does assign its right, interests, and claims in and to theGas produced from Subject Formation in the Subject Drilling Unitto the Applicant.

9.3. Option 3 — To Share In The Development And Operation As A Non-Participatinu Person On A Carried Basis And To ReceiveConsideration In Lieu Of Cash: In lieu of participating in theWell development and operation of Subject Drilling Unit underParagraph 9.1 above and in lieu of receiving a cash bonusconsideration under Paragraph 9.2 above, any Gas Owner orClaimant named in Exhibit B-3 who has not reached a voluntaryagreement with the Unit Operator may elect to share in the welldevelopment and operation in Subject Drilling Unit on a carriedbasis (as a "Carried Well Operator" ) so that the proportionatepart of the Completed-for-Production Costs hereby allocable tosuch Carried Well Operator's interest is charged against suchCarried Well Operator's share of production from Subject DrillingUnit. Such Carried Well Operator's rights, interests, and claimsin and to the Gas in Subject Drilling Unit shall be deemed andhereby are assigned to the Unit Operator until the proceeds fromthe sale of such Carried Well Operator's share of production fromSubject Drilling Unit (exclusive of any royalty, excess oroverriding royalty, or other non-operating or non cost-bearingburden reserved in any lease, assignment thereof or agreementrelating thereto covering such interest) equals three hundredpercent (300%) for a leased interest or two hundred percent(200%) for an unleased interest (whichever is applicable) of suchCarried Well Operator's share of the Completed-for-ProductionCosts allocable to the interest of such Carried Well Operator.Any Gas Owner and/or Claimant named in Exhibit B-3 who electsthis option (Option 3) understands and agrees that Completed-for-Production Costs are the Operator's actual costs for welldevelopment and operation. When the Unit Operator recoups andrecovers from such Carried Well Operator's assigned interest theamounts provided for above, then, the assigned interest of suchCarried Well Operator shall automatically revert back to suchCarried Well Operator, and from and after such reversion, suchCarried Well Operator shall be treated as if it had participatedinitially under Paragraph 9.1 above; and thereafter, such

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participating person shall be charged with and shall pay hisproportionate part of all further costs of such well developmentand operation.

Subject to a final legal determination of ownership, the electionmade under this Paragraph 9.3, when so made, shall besatisfaction in full for the right, interests, and claims of suchelecting person in any Well development and operation coveredhereby and such electing person shall be deemed to have andhereby does assign his right, interests, and claims in and to theGas produced from Subject Formation in the Subject Drilling Unitto the Applicant for the period of time during which its interestis carried as above provided prior to its reversion back to suchelecting person.

10. Failure to Properly Elect: In the event a person named inExhibit B-3 hereto has not reached a voluntary agreement with theApplicant or Unit Operator and fails to elect within the time, inthe manner, and in accordance with the terms of this Order, one ofthe alternatives set forth in Paragraph 9 above for which hisinterest qualifies, then such person shall be deemed to have electednot to participate in the proposed Well development and operation inSubject Drilling Unit and shall be deemed, subject to any finallegal determination of ownership, to have elected to accept assatisfaction in full for such person's right, interests, and claimsin and to the Gas the consideration provided in Paragraph 9.2 abovefor which its interest qualifies, and shall be deemed to have leasedand/or assigned his right, interests, and claims in and to said Gasproduced from Subject Formation in Subject Drilling Unit to the UnitOperator. Persons who fail to properly elect shall be deemed tohave accepted the compensation and terms set forth herein atParagraph 9.2 in satisfaction in full for the right, interests, andclaims of such person in and to the Gas produced from SubjectFormation underlying Subject Lands.

11. Default BV Participating Person: In the event a person named inExhibit 8-3 elects to participate under Paragraph 9.1, but fails or refusesto pay, to secure the payment or to make an arrangement with the UnitOperator for the payment of such person's proportionate part of the estimatedCompleted-for-Production costs as set forth herein, all within the time andin the manner as prescribed in this Order, then such person shall be deemedto have withdrawn his election to participate and shall be deemed to haveelected to accept as satisfaction in full for such person's right, interests,and claims in and to the Gas the consideration provided in Paragraph 9.2above for which his interest qualifies depending on the excess burdensattached to such interest. Whereupon, any cash bonus consideration due as aresult of such deemed election shall be tendered, paid or escrowed by UnitOperator within one hundred twenty (120) days after the last day on whichsuch defaulting person under this Order should have paid his proportionatepart of such cost or should have made satisfactory arrangements for thepayment thereof. When such cash bonus consideration is paid or escrowed, itshall be satisfaction in full for the right, interests, and claims of suchperson in and to the Gas underlying Subject Drilling Unit in the SubjectLands covered hereby, except, however, for any I/8th royalties which would

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become due pursuant to Paragraph 9.2 hereof.

12. Assignment of Interest: In the event a person named in ExhibitB-3 is unable to reach a voluntary agreement to share in the Welldevelopment and operation in Subject Drilling Unit at a rate of paymentagreed to mutually by said Gas Owner or Claimant and the Unit Operator, andsaid person elects or fails to elect to do other than participate underParagraph 9.1 above in the Well development and operation in Subject DrillingUnit, then such person shall be deemed to have and shall have assigned untoUnit Operator such person's right, interests, and claims in and to said Well,in Subject Formations in Subject Drilling Unit, and other share in and to Gasproduction to which such person may be entitled by reason of any election ordeemed election hereunder in accordance with the provisions of this Ordergoverning said elections.

13. Unit Operator (or Operator): EQT Production Company shall be andhereby is designated as Unit Operator authorized to drill and operate theWell(s) in Sub3ect Formations in Subject Drilling Unit, all subject to thepermit provisions contained in Va. Code 66 45.1-361.27 et ~se .; 66 4 VAC 25-150 et ~se ., Gas and Oil Regulations; 66 4 VAC 25-160 et ~se ., Virginia Gasand Oil Board Regulations; Oil and Gas Conservation Board ("OGCB") Orderestablishing the Mora Coal Bed Gas Field Rules entered March 26, 1989; all asamended from time to time, and all elections required by this Order shall becommunicated to Unit Operator in writing at the address shown below:

EQT Production CompanyP.O. Box 23536Pittsburgh, PA 15222Attn: Eristic Shannon end/or Alma Tolman

14. Commencement of Operations: Unit Operator shall commence orcause to commence operations for the drilling of the Well within SubjectDrilling Unit within seven hundred thirty (730) days from the date of thisOrder, and shall prosecute the same with due diligence. If the Unit Operatorhas not so commenced and/or prosecuted, then this order shall terminate,except for any cash sums then payable hereunder; otherwise, unless soonerterminated by Order of the Board, this Order shall expire at 12:00 p.m. onthe date on which the well covered by this Order is permanently abandoned andplugged. However, in the even at an appeal is taken from this Order, thenthe time between the filing of the Petition for Appeal and the Final Order ofthe Circuit Court shall be excluded in calculating the two-year periodreferenced herein.

15. Operator's Lien: Unit Operator, in addition to the other rightsafforded hereunder, shall have a lien and a right of set off on the Gasestates, rights, and interests owned by any person subject hereto who electsto participate under Paragraph 9.1 in the Subject Drilling Unit to the extentthat costs incurred in the drilling or operation on the Subject Drilling Unitare a charge against such person's interest. Such liens and right of set offshall be separable as to each separate person and shall remain liens untilthe Unit Operator drilling or operating the Well(s) has been paid the fullamounts due under the terms of this Order.

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16. Escrow Provisions:

The Applicant represented to the Board that there aze unknown or unlocatableclaimants in Subject Drilling Unit whose payments are subject to theprovisions of Paragraph 16.1 hereof in Tract(s) 1 of the Subject DrillingUnit; and, the Unit Operator has represented to the Board that there azeconflicting claimants in 1ract(s) 1 of the Subject Drilling Unit whosepayments are subject to the provisions of Paragraph 16.2 hereof. Therefore,by this Order, the Escrow Agent named herein or any successor named by theBoard, is required to establish an interest-bearing escrow account forTract(s) 1 of the Subject Drilling Unit (herein "Escrow Account" ), and toreceive and account to the Board pursuant to its agreement for the escrowedfunds hereafter described in Paragraphs 16.1 and 16.2:

First Bank & Trust CompanyTrust DivisionP.O. Box 3860Kingsport, TN 37664Attn: Debbie Davis

16.1. Escrow Provisions For Unknown or Unlocatable Persons: If anypayment of bonus, royalty payment or other payment due and owingunder this Order cannot be made because the person entitledthereto cannot be located or is unknown, then such cash bonus,royalty payment, or other payment shall not be commingled withany funds of the Unit Operator and, pursuant to Va. Code 6 45.1-361.21.D, said sums shall be deposited by the Unit Operator intothe Escrow Account, commencing within one hundred twenty (120)days of recording of this Order, and continuing thereafter on amonthly basis with each deposit to be made, by use of a reportformat approved by the Inspector, by a date which is no laterthan sixty (60) days after the last day of the month beingreported and/or for which funds are being deposited. Such fundsshall be held for the exclusive use of, and sole benefit of theperson entitled thereto until such funds can be paid to suchperson(s) or until the Escrow Agent relinquishes such funds asrequired by law or pursuant to Order of the Board in accordancewith Va. Code 5 45.1-361.21.D.

16.2 Escrow Provisions For Conflicting Claimants: If any payment ofbonus, royalty payment, proceeds in excess of ongoing operationalexpenses, or other payment due and owing under this Order cannot bemade because the person entitled thereto cannot be made certain dueto conflicting claims of ownership and/or a defect or cloud on thetitle, then such cash bonus, royalty payment, proceeds in excess ofongoing operational expenses, or other payment, together withParticipating Operator's Proportionate Costs paid to Unit Operatorpursuant to Paragraph 9.1 hereof, if any, (1) shall not becommingled with any funds of the Unit Operator; and (2) shall,pursuant to Va. Code 55 45.1-361.22.A.2, 45.1-361.22.A.3 and 45.1-361.22.A.4, be deposited by the Operator into the Escrow Accountwithin one hundred twenty (120) days of recording of this Order, andcontinuing thereafter on a monthly basis with each deposit to bemade by a date which is no later than sixty (60) days after .the last

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day of the month being reported and/or for which funds are subjectto deposit. Such funds shall be held for the exclusive use of, andsole benefit of, the person entitled thereto until such funds can bepaid to such person(s) or until the Escrow Agent relinquishes suchfunds as required by law or pursuant to Order of the Board.

17. Special Findings: The Board specifically and specially finds:

17.1. Applicant is EQT Production Company. Applicant is duly authorizedand qualified to transact business in the Commonwealth of Virginia;

17.2. Applicant EQT Production Company has made a delegation ofauthority to EQT Production Company to explore, develop and maintainthe properties and assets of Applicant, now owned or hereafteracquired, and EQT Production Company has accepted this delegation ofauthority and agreed to explore, develop and maintain thoseproperties and assets, and has consented to serve as Coalbed MethaneGas Unit Operator for Subject Drilling Unit and to faithfullydischarge the duties imposed upon it as Unit Operator by statute andregulations;

17.3. Applicant EQT Production Company is an operator in theCommonwealth of Virginia, and has satisfied the Board's requirementsfor operations in Virginia;

17.4 Applicant EQT Production Company claims ownership of gas leases,Coalbed Methane Gas leases, and/or coal leases representing 0.00%percent of the oil and gas interest/claims in and to Coalbed MethaneGas and 94.69% percent of the coal interest/claims in and to CoalbedMethane Gas in Subject Drilling Unit; and, Applicant claims theright to explore for, develop and produce Coalbed Methane Gas fromSubject Formations in Subject Drilling Unit in Buchanan County,Virginia, which Subject Lands are more particularly described inExhibit A;

17.5. The estimated total production from Subject Drilling Unit is 300FB4CG. The estimated amount of reserves from the Subject DrillingUnit is 300 394CG;

17.6 Set forth in Exhibit B-3, is the name and last known address ofeach Owner or Claimant identified by the Applicant as having orclaiming an interest in the Coalbed Methane Gas in Subject Formationin Subject Drilling Unit underlying and comprised of Subject Lands,who has not, in writing, leased to the Applicant or the UnitOperator or agreed to voluntarily pool his interests in SubjectDrilling Unit for its development. The interests of the Respondentslisted in Exhibit B-3 comprise 100% percent of the oil and gasinterests/claims in and to Coalbed Methane Gas and 5.31% percent ofthe coal interests/claims in and to Coalbed Methane Gas in SubjectDrilling Unit;

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17.7 Applicant's evidence established that the fair, reasonable andequitable compensation to be paid to any person in lieu of theright to participate in the Wells are those options provided inParagraph 9 above;

17.8 The relief requested and granted is just and reasonable, issupported by substantial evidence and will afford each personlisted and named in Exhibit B-3 hereto the opportunity to recoveror receive, without unnecessary expense, such person's just andfair share of the production from Subject Drilling Unit. Thegranting of the Application and relief requested therein willensure to the extent possible the greatest ultimate recovery ofCoalbed Methane Gas, prevent or assist in preventing the varioustypes of waste prohibited by statute and protect or assist inprotecting the correlative rights of all persons in the subjectcommon sources of supply in the Subject Lands. Therefore, theBoard is entering an Order granting the relief herein set forth.

18. Nailing Of Order And Filing Of Affidavit: Applicant or itsAttorney shall file an affidavit with the Secretary of the Board within sixty(60) days after the date of recording of this Order stating that a true andcorrect copy of said Order was mailed within seven (7) days from the date ofits receipt by Unit Operator to each Respondent named in Exhibit B-3 pooledby this Order and whose address is known.

19. Availability of Unit Records: The Director shall provide allpersons not subject to a lease with reasonable access to all records forSubject Drilling Unit which is submitted by the Unit Operator to saidDirector and/or his Inspector(s).

20. Conclusion: Therefore, the requested relief and all terms andprovisions set forth above be and hereby are granted and IT IS SO ORDERED.

21. Appeals: Appeals of this Order are governed by the provisions ofVa. Code Ann. 9 45.1-361.9 which provides that any order or decision of theBoard may be appealed to the appropriate circuit court.

22. Effective Date: This Order shall be effective as of the date ofthe Board's approval of this Application, which is set forth at Paragraph 1above.

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DONE AND EXECUTED this ~ day ofof the Virginia Gas and Oil Board. /

2010, by a majority

ChairmangBradfdy C. Lambert

DONE AND PERFORMED this ~ day of &n (3, 2010, by Order ofthis Board.

Virginia Gas and Oil Board

STATE OF VIRGINIA )COUNTY OF RUSSELL )

g y"zsfAcknowledged on this ~ day of g ~~WW,2010, personally

before me a notary public in and for the Commonwealth of Virginia, appearedBradley C. Lambert, being duly sworn did depose and say that he is Chairmanof the Virginia Gas and Oil Board, and David Asbury Jr., being duly sworn diddepose and say that he is Principal Executive to the Staff of the VirginiaGas and Oil Board, that they executed the same and was authorized to do so.

JM~ ~g174394

My commission expires: September 30, 2013.

11

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Well Coordinates: (Geognrphic f/27)57. /8092/F -82. /5 5

t84'ease

No. 996899 y 72-42AB Nicho/w et ol.2 06822 Acne

Ferne/toad Fund IV, L.P. —svrtoceAC/N LLC —a+IAloha Land k Revenue LLC —cool hwseeI/Beg LLC —coolDfbkensrm-Russsg Coal Company LLC - coal htsseeRange /tesources-Pine Meuntvdh, Inc. —oil (CBM)un/easedGaNie Fribnd Trustee of the Estate of resow Pop/or Lumber Co. — Vos (CBM)Gos 55.65 Ac. 94.69$

Loti(ude 5r /0'0"

0/

VC-556627

CBMVCI-

Note I: The boundary lines shown hereon are basedan deeds, plots ond mops of record and do notdepict o cunent boundary survey. The propertyownership information was provided by EDT,Production Company.

Note 2 The well will be drilled within 10'fthe permitted coordinates.

I—500'— c:

O

n.,

wI

N 03'/5' ~o Ql

192.97'—

S 2/r05'257.4/

I

.I

IP I

I

I

/Veil Coordinates: (VA St. Plane S. Zone,I Z NAD 85)

N 5602,785./0 E 1041868122'/Veil Coordinates: (VA St. Plane S. Zone,NAD 27 Calculated from NAD 85)N 52/,905.86 E 955.695.22

Well elevotion determined by CPSsurvey from NARN Monument P-424 Area of Unit = 58.77 Ac.

WELL LOCATION PLAT (Nore Grid AM —79)

IVell Coordinates: (Clinchfield Coal Co)N 22,204.25 E 67, /58.45

COMPANY EOT Production Comoanv WELL NAME AND NUMBER VC/ —5.39490TRACT NO. Leo" m. 906889 . T2-42 ELEVATION 1-949-41'UADRANG E praterCOUNTY Buchanan DISTRICT prater SCALE 1" = 400'ATE 5-07-20/0This Plat is a new plat ~; an updated plat; or a final location plat

+ Denotes the location of a well on United States topographic Maps, scale I to24,0DD, latitude and longitude lines being represented by border lines as shown.

Qo "c"""'"--'""'"""1=.- Licensed Land Surveyor

Form DGO-GO —7

Page 13: BY VIRGINIA fileinstrument prepared by order recorded under code virginia gas and oil of virginia section 41l36126 virginia: before the virginia gas and oil board eqt production company)

EXHIBIT wB-3w

VCI-539490

TRISECT LESSORLEASESTATUS

INTERESTWITHIN

@NIT

GROSSACREAGE

ININIT

Gas Esbrts Onlv

1 Gellis Friend, Trustee of the Estate ofYellow Poplar Lumber CompanyUnknown

Unleased 94.690000% 55.6500

2 Levisa Coal Companyoro John C. Irvin

4710 Huntsrwood GirdsRichmond, TX 77469

CNX Gss Company, LesseeP. O. Box 947Blue0ald, VA 24605

Leased to 5 310000%CNX Gas Company

3.1200

TOTAL UNLEABED 100.000000%

Page 1 of 1

Page 14: BY VIRGINIA fileinstrument prepared by order recorded under code virginia gas and oil of virginia section 41l36126 virginia: before the virginia gas and oil board eqt production company)

EXHIBIT "B-3wVCI-539490

LESSORLEASESTATUS

INTERESTWITHIN

~N

GROSSACREAGE

~IN

1 Gellis Friend, Trustee of the Esmte ofYellow Poplar Lumber CompanyUnknown

Gss Estate Onlv

Unleased 94.690000'/o 55.6500

2 Levine Coal Companyofo John C. Irvln

4710 Hunterwood GirdsRlohmond, TX 77469

CNX Gas Company, LesseeP. O. Box 947Bluelleld, VA 24605

TOTAL UNLEABED

Leased to 5.310000'yoCNX Gas Company

3.1200

Page 1 of 1

Page 15: BY VIRGINIA fileinstrument prepared by order recorded under code virginia gas and oil of virginia section 41l36126 virginia: before the virginia gas and oil board eqt production company)

EXHIBIT wEw

VCI-539490

TRLEASESTATUS

INTERESTWITHIN

IINIT

GROSSACREAGE

ININNIT

Gas Estate Onlv

1 Gellis Friend, Trustee of the Estate of Unleased 94.690000% 55.6500Yellow Poplar Lumber CompanyUnknown

TOTAL

1 Range Resources Jvins Mountain, inc.ATTN: Jeny GranthamP.O. Eox2136Ablngdon, VA 24212

TOTAL

Coal Estele Onlv

Leased 94.690000% 55.6500906889/T2-42

INBTRUNENT IIIOI3003ii3RECOROEI3 IN THE CLERKrB OFFICE OF

BUCHANAN COUNTY ONNR/EIIBER I71 20II3 AT 0":3IPII

BEVERLY B. TILLERt CLERKRECOROEI3 BY: I2I2B

Page 1 of 1

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Transaction Submitted Page 1 of 1

Unauthorized attempts to modify any information stored on this system, to defeat or circumvent securityfeatures

or to utilize this system for other than its intended purposes are prohibited and may result in criminalprosecution.

Large File Transfer pilot for the VITA Enterprise Applications DivisionNotice: This system is intended for non-sensitive data transfers.NEW: Sbtfe Emrslovees must reaister below to send flies.

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Haay, Sharon (DMME)

From:Sent:To:Subject:

VITASHARE System [vitasharevita. virginia.gov]Wednesday, June 27, 2012 4:11 PMHagy, Sharon (DMME)New Transaction H4Q2HOEGYQ001951

Transaction details for Sharon Hagy(user shagy 1)

3ob Id: H4Q2HOEGYQBBI951

Date: Wed, 3un 27, at 16:18

Transaction Details:

Acknowledge Security Policy: I understand that this system is not intended for sensitivedata.Recipient's Email example- user1avireinia.eov, user2igvlreinia.eov: sersgwilhoitandkaiser.cornMessage - Describe file attachment: Per your request... Susan I had sent this order out onDec. 18, 2818. Let me know if you llave a problem downloading the file. Thanks, SharonNotify me when the file is downloaded?: YesPin: 894845

Files2734 Pooling-original.tif

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