EXHIBIT 10(qq) AMENDMENT NO. 1 TO AMENDED AND RESTATED CREDIT AGREEMENT AMENDMENT dated as of February 16, 1995 among AMERICAN EXPLORATION COMPANY (the "Borrower"), the BANKS listed on the signature pages hereof (the "Banks"), MORGAN GUARANTY TRUST COMPANY OF NEW YORK, as Agent (the "Agent"), and BANK OF MONTREAL, as Co-Agent (the "Co-Agent"). W I T N E S S E T H : WHEREAS, the Borrower, the Banks, the Agent and the Co-Agent have heretofore entered into an Amended and Restated Credit Agreement dated as of December 21, 1994 (the "Agreement"); and WHEREAS, the parties hereto desire to amend certain provisions of the Agreement in the manner set forth below. NOW, THEREFORE, the parties hereto agree as follows: SECTION 1. DEFINITIONS; REFERENCES. Unless otherwise specifically defined herein, each term used herein which is defined in the Agreement shall have the meaning assigned to such term in the Agreement. Each reference to "hereof", "hereunder", "herein" and "hereby" and each other similar reference and each reference to "this Agreement" and each other similar reference contained in the Agreement shall from and after the date hereof refer to the Agreement as amended hereby. SECTION 2. AMENDMENT OF SECTION 2.14 OF THE AGREEMENT. The first paragraph of Section 2.14 of the Agreement is amended to delete the second sentence in its entirety. In addition, the first sentence of Section 2.14 of the Agreement is amended to read as follows: During the period from and after February 16, 1995 and until the next redetermination of the Borrowing 1 Base, the amount of the Borrowing Base shall be $65,000,000. SECTION 3. GOVERNING LAW. This Amendment shall be governed by and construed in accordance with the laws of the State of New York. SECTION 4. COUNTERPARTS; EFFECTIVENESS. This Amendment may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument. This Amendment shall become effective when the Agent shall have received duly executed counterparts hereof signed by the Borrower, each of the Banks and each of the Co-Agents (or, in the case of any party as to which an executed counterpart shall not have been received, the Agent shall have received telegraphic, telex or other written confirmation from such party of execution of a counterpart hereof by such party). 2 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed as of the date first above written. AMERICAN EXPLORATION COMPANY By /S/ JOHN M. HOGAN Title: Senior Vice President & Chief Financial Officer 1331 Lamar, Suite 900 Houston, Texas 77010 Telecopy number: (713) 756-6007 MORGAN GUARANTY TRUST COMPANY OF NEW YORK By /S/ PHILIP W. MCNEAL Title: Vice President BANK OF MONTREAL, as a Bank and as a Co-Agent By /S/ ROBERT L. ROBERTS Title: Director, U.S. Corporate Banking BANQUE PARIBAS By /S/ BRIAN MALONE Title: Vice President By /S/ MEI WAN TONG Title: Group Vice President 3 MORGAN GUARANTY TRUST COMPANY OF NEW YORK, as Agent By /S/ PHILIP W. MCNEAL Title: Vice President 60 Wall Street New York, New York 10260-0060 Telex number: 177615 Telecopy number: (212) 837-5335 4