WESTERN GAS RESOURCES INC
EXHIBIT 10.5
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<DESCRIPTION>EXHIBIT 10.5
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<p align="right" style="margin:0in 0in .0001pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit&nbsp;10.5</font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">LETTER AMENDMENT NO. 1 TO<br>
SECOND AMENDMENT AND RESTATED MASTER SHELF AGREEMENT</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">November 21, 1997</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Prudential Insurance
Company of America</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Pruco Life Insurance Company</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">c/o Prudential Capital Group</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2200 Ross Avenue, Suite 4200E</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Dallas, Texas 75201</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Ladies and Gentlemen:</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We refer to
the Second Amended and Restated Master Shelf Agreement dated as of
December&nbsp;19, 1991 (effective as of January&nbsp;31, 1996) (the &#147;<b><font style="font-weight:bold;">Agreement</font></b>&#148;) by and among the undersigned,
Western Gas Resources,&nbsp;Inc. (the &#147;<b><font style="font-weight:bold;">Company</font></b>&#148;),
The Prudential Insurance Company of America (&#147;<b><font style="font-weight:bold;">Prudential</font></b>&#148;)
and Pruco Life Insurance Company (&#147;<b><font style="font-weight:bold;">Pruco</font></b>&#148;).
Unless otherwise defined herein, the terms defined in the Agreement shall be
used herein as therein defined.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Company
and Mountain Gas Resources,&nbsp;Inc., a wholly-owned Subsidiary of the
Company, have entered into an Option and Asset Purchase Agreement dated
November&nbsp;14, 1997 with RIS (the &#147;<b><font style="font-weight:bold;">Option
Agreement</font></b>&#148;). The Option Agreement grants RIS an option to purchase a
portion (up to 50%) of the Company&#146;s interests in Granger/Lincoln Road Complex
(such portion of such assets being the &#147;<b><font style="font-weight:bold;">Option
Assets</font></b>&#148;). The unadjusted option price of the Option Assets is
approximately $110,000,000.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Company
has requested that you amend paragraphs&nbsp;6C(4) and 6C(5)(v) relating to,
among other things, sales of assets by the Company or any Subsidiary. You have
indicated your willingness to so amend the Agreement. Accordingly, it is hereby
agreed by the parties hereto as follows:</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">I.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><b><u><font style="font-weight:bold;">Amendments to the Agreement.</font></u></b>&#160; The Agreement is, effective the date first
above written, hereby amended as follows:</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">A.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><b><font style="font-weight:bold;">Paragraph&nbsp;6C(4). Sale of Stock and Debt of
Subsidiaries.</font></b>&#160;
Paragraph&nbsp;6C(4) is hereby deleted in its entirety and replaced, in
lieu thereof, with the following:</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>


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<p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>

<p style="margin:0in 0in .0001pt 1.0in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;6C(4). <b><font style="font-weight:bold;">Sale of Stock and Debt of Subsidiaries.</font></b>&#160; (i)&nbsp;Sell or otherwise dispose of, or
part with control of, any shares of stock or Debt of any Subsidiary, except to
the Company or another Wholly Owned Subsidiary, and except that all shares of
stock and Debt of any Subsidiary at the time owned by or owed to the Company
and all Subsidiaries may be sold as an entirety for a cash consideration which
represents the fair value (as determined in good faith by the Board of
Directors of the Company) at the time of sale of the shares of stock and Debt
so sold, <u>provided</u> that (i)&nbsp;the assets of such Subsidiary together
with (ii)&nbsp;the assets of all other Subsidiaries the stock or Debt of which
was sold or otherwise disposed of in the preceding 12-month period and
(iii)&nbsp;the assets of the Company and its Subsidiaries sold, leased,
transferred or otherwise disposed of pursuant to clause&nbsp;(v) of
paragraph&nbsp;6C(5) in the preceding 12-month period (in each transaction
measured by the greater of book value or Fair Market Value), do not represent
more than 15% of Consolidated Net Tangible Assets as reflected on the most
recent annual or quarterly consolidated balance sheet, and <u>provided further</u>
that, at the time of such sale, such Subsidiary shall not own, directly or
indirectly, any shares of stock or Debt of, or any other continuing investment
in any other Subsidiary (unless all of the shares of stock and Debt of such
other Subsidiary owned, directly or indirectly, by the Company and all
Subsidiaries are simultaneously being sold as permitted by this paragraph&nbsp;6C(4)),
or any shares of stock or Debt of the Company.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)&nbsp;Notwithstanding anything else contained in this
paragraph&nbsp;6C(4), in the event that the Option (as hereinafter defined) is
exercised, then during the 12-month period following the end of the calendar
month in which the Option is exercised the Company shall be permitted to sell
or otherwise dispose of, or part with control of, any shares of stock or Debt
of any Subsidiary, <u>provided</u> that all shares of stock and Debt of any
Subsidiary at the time owned by or owed to the Company and all Subsidiaries may
be sold as an entirety for a cash consideration which represents the fair value
(as determined in good faith by the Board of Directors of the Company) at the
time of sale of the shares of stock and Debt so sold, <u>provided</u> that
(i)&nbsp;the assets of such Subsidiary together with (ii)&nbsp;the assets of
all other Subsidiaries the stock or Debt of which was sold or otherwise
disposed of in the preceding 24-month period and (iii)&nbsp;the assets of the
Company and its Subsidiaries sold, leased, transferred of</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2</font></p>


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<p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>

<p style="margin:0in 0in .0001pt 1.0in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">pursuant to
clause&nbsp;(v) of paragraph&nbsp;6C(5) in the preceding 24-month period (in
each transaction measured by the greater of book value or Fair Market Value),
do not represent more than 25% of Consolidated Net Tangible Assets as reflected
on the most recent annual or quarterly consolidated balance sheet, and <u>provided
further</u> that, at the time of such sale, such Subsidiary shall not own,
directly or indirectly, any shares of stock or Debt of, or any other continuing
investment in, any other Subsidiary (unless all of the shares of stock and Debt
of such other Subsidiary owned, directly or indirectly, by the Company and all
Subsidiaries are simultaneously being sold as permitted by this
paragraph&nbsp;6C(4)), or any shares of stock or Debt of the Company.&#148;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">B.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><b><font style="font-weight:bold;">Paragraph&nbsp;6C(5).&#160;
Merger and Sale of Assets.</font></b> Clause&nbsp;(v) of
paragraph&nbsp;6C(5) is hereby deleted in its entirety and replaced, in lieu
thereof, with the following:</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt 1.0in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;(v)&nbsp;the
Company or any Subsidiary may sell, lease, transfer or otherwise dispose of any
of its assets to any Person, <u>provided</u>, that (a)&nbsp;such assets
together with (b)&nbsp;all other assets of the Company and its Subsidiaries
sold, leased, transferred or otherwise disposed of during the preceding
12-month period, and (c)&nbsp;the assets of all Subsidiaries the stock or Debt
of which has been sold or otherwise disposed of during the preceding 12-month
period pursuant to the first proviso of paragraph&nbsp;6C(4)(i) (in each
transaction measured by the greater of book value or Fair Market Value), do not
represent more that 15% of Consolidated Net Tangible Assets as reflected on the
most recent annual or quarterly consolidated balance sheet; <u>provided</u>  <u>further</u>,
that, in the event that the first option to purchase certain assets (the &#147;<b><font style="font-weight:bold;">Option</font></b>&#148;) from the Company or its
Subsidiaries as defined in and pursuant to that certain Option and Asset
Purchase Agreement dated November&nbsp;14, 1997, by and between Mountain Gas
Resources,&nbsp;Inc. and the Company and RIS (the &#147;<b><font style="font-weight:bold;">Option Agreement</font></b>&#148;) is exercised, then for any sales, leases,
transfers or other dispositions (including any sale pursuant to the Option
Agreement) of any of the assets of the Company or any Subsidiary during the
12-month period following the end of the calendar month in which the Option is
exercised, the Company or any Subsidiary may sell, lease, transfer or otherwise
dispose of any of its assets to any Person, <u>provided</u> that (a)&nbsp;such
assets together with (b)&nbsp;all other assets of the Company and its
Subsidiaries sold, leased, transferred or otherwise disposed of during the
preceding 24-month period, and (c)&nbsp;the assets of all Subsidiaries the
stock or Debt of which has been sold or otherwise disposed of during the</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3</font></p>


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<p style="margin:0in 0in .0001pt 1.0in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">preceding
24-month period pursuant to paragraph 6C(4)(iii)(in each transaction measured
by the greater of book value or Fair Market Value), does not represent more
than 25% of Consolidated Net Tangible Assets as reflected on the most recent
annual or quarterly consolidated balance sheet.&#148;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">II.</font></b><b><font size="1" style="font-size:3.0pt;font-weight:bold;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Waivers
under the Agreement</u></b>. To the extent that granting the option to RIS
pursuant to the Option Agreement would be granting a &#147;Lien&#148; on property of the
Company and its Subsidiaries in violation of paragraph 6C(1) of the Agreement,
the Company has requested that you waive such violation. Prudential and Pruco
agree to waive any such violation of paragraph 6C(1) to the extent that
granting the option to purchase properties to RIS pursuant to the Option
Agreement constitutes a &#147;Lien&#148; provided the option granted to RIS expires, or
the option of RIS is exercised, on or before (a) July 1, 1998 with respect to
at least one-half of the Option Assets and (b) if the purchase pursuant to the
preceding clause (a) is not for the entire amount of the Option Assets, July 1,
1999 for the remaining one-half of the Option Assets.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">III.</font></b><b><font size="1" style="font-size:3.0pt;font-weight:bold;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Miscellaneous;
Effectiveness.</u></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">A.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>On
and after the effective date of this letter amendment, each reference in the
Agreement to &#147;this Agreement,&#148; &#147;hereunder,&#148; &#147;hereof,&#148; or words of like import
referring to the Agreement, and each reference in the Notes to &#147;the Agreement,&#148;
&#147;thereunder,&#148; &#147;thereof,&#148; or words of like import referring to the Agreement,
shall mean the Agreement as emended by this Letter Amendment No. 1. The
Agreement, as amended by this letter agreement, is and shall continue to be in
full force and effect and is hereby in all respects ratified and confirmed. The
execution, delivery and effectiveness of this letter amendment shall note
except as expressly provided herein, operate as a waiver of any right, power or
remedy under the Agreement nor constitute a waiver of any provision of the
Agreement.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">B.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>This
Letter Amendment No. 1 may be executed in any number of counterparts, and by
any combination of the parties hereto in separate counterparts, each of which
counterpart shall be an original and all of which taken together shall
constitute one and the same letter amendment.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">C.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>If
you agree to the terms and provisions hereof, please evidence your agreement by
executing and returning at least a counterpart of this Letter Amendment No. 1
to the Company at its address at 12200 N. Pecos Street, Denver, CO 80234,
Attention: Vice President-Finance.</p>

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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4</font></p>


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<p style="font-size:10.0pt;margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">D.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>This
Letter Amendment No. 1 shall become effective as of the date first above
written when and if (i) counterparts of this letter amendment shall have been
executed by us and you, (ii) the consent attached hereto shall have been
executed by each Guarantor, and (iii) Lance Oil &amp; Gas Company, Inc. shall
have delivered to you a Guaranty.</p>

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<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
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  <td width="52%" valign="top" style="padding:0in 0in 0in 0in;width:52.28%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="47%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:47.72%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Very truly
  yours,</font></p>
  </td>
 </tr>
 <tr>
  <td width="52%" valign="top" style="padding:0in 0in 0in 0in;width:52.28%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.72%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="44%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:44.0%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="52%" valign="top" style="padding:0in 0in 0in 0in;width:52.28%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="47%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:47.72%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">WESTERN GAS
  RESOURCES, INC.</font></p>
  </td>
 </tr>
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  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.72%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="44%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:44.0%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="52%" valign="top" style="padding:0in 0in 0in 0in;width:52.28%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.72%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="44%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:44.0%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="52%" valign="top" style="padding:0in 0in 0in 0in;width:52.28%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.72%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="28%" valign="top" style="border:none;border-bottom:solid windowtext .5pt;padding:0in 0in 0in 0in;width:28.3%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ William
  J. Krysiak</font></p>
  </td>
  <td width="15%" valign="top" style="padding:0in 0in 0in 0in;width:15.7%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="52%" valign="top" style="padding:0in 0in 0in 0in;width:52.28%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.72%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="44%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:44.0%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">William J.
  Krysiak</font></p>
  </td>
 </tr>
 <tr>
  <td width="52%" valign="top" style="padding:0in 0in 0in 0in;width:52.28%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.72%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="44%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:44.0%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Vice
  President-Finance</font></p>
  </td>
 </tr>
</table>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Agreed as of the date first
above written:</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="100%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">THE
  PRUDENTIAL INSURANCE COMPANY OF AMERICA</font></p>
  </td>
 </tr>
 <tr>
  <td width="100%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="100%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.56%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="34%" valign="top" style="border:none;border-bottom:solid windowtext .5pt;padding:0in 0in 0in 0in;width:34.42%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ RIC ABEL</font></p>
  </td>
  <td width="62%" valign="top" style="padding:0in 0in 0in 0in;width:62.02%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.56%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="96%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:96.44%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Vice
  President</font></p>
  </td>
 </tr>
 <tr>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.56%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="96%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:96.44%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="100%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">PRUCO LIFE
  INSURANCE COMPANY</font></p>
  </td>
 </tr>
 <tr>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.56%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="96%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:96.44%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.56%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="34%" valign="top" style="border:none;border-bottom:solid windowtext .5pt;padding:0in 0in 0in 0in;width:34.42%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ RIC ABEL</font></p>
  </td>
  <td width="62%" valign="top" style="padding:0in 0in 0in 0in;width:62.02%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.56%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="96%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:96.44%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Vice
  President</font></p>
  </td>
 </tr>
</table>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5</font></p>


<div style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">

<hr size="2" width="100%" noshade color="gray" align="left">

</font></div>

<font size="2" face="Times New Roman" style="font-size:10.0pt;">
<!-- ZEQ.=1,SEQ=5,EFW="2129998",CP="WESTERN GAS RESOURCES INC",DN="2",CHK=463560,FOLIO='5',FILE="DISK043:[04DEN9.04DEN1339.EDGAR]EX10-5_1339.CHC",USER="JCRATER",CD='Mar  5 01:49 2004' -->
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<p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CONSENT TO AMENDMENT</font></b></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Each of the
undersigned is a Guarantor (&#147;<b><font style="font-weight:bold;">Guarantor</font></b>&#148;
and, collectively, &#147;<b><font style="font-weight:bold;">Guarantors</font></b>&#148;)
under separate guaranties (each being a &#147;<b><font style="font-weight:bold;">Guaranty</font></b>&#148;)
in favor of The Prudential Insurance Company of America (&#147;<b><font style="font-weight:bold;">Prudential</font></b>&#148;) , for itself and on behalf of
affiliates of Prudential with respect to the obligations of Western Gas
Resources, Inc. (the &#147;<b><font style="font-weight:bold;">Company</font></b>&#148;)
under that certain Second Amended and Restated Master Shelf Agreement dated as
of December 19, 1991 (effective as of January 31, 1996) (the &#147;<b><font style="font-weight:bold;">Agreement</font></b>&#148;). The terms used herein have the
meaning specified in each Guaranty unless otherwise defined herein. Prudential,
Pruco Life Insurance Company and the Company are entering into that certain
Letter Amendment No. 1 dated as of November 21, 1997 to the Agreement to which
this consent is attached (&#147;<b><font style="font-weight:bold;">Letter Amendment
No. 1</font></b>&#148;). Each of the undersigned hereby consents to Letter Amendment
No. 1 and each hereby confirms and agrees that its Guaranty is, and shall
continue to be, in full force and effect and is hereby confirmed and ratified
in all respects except that, upon the effectiveness of, and on and after the
dated of this consent, all references in the Guaranty of the undersigned to the
&#147;Shelf Agreement,&#148; &#147;thereunder,&#148; &#147;thereof,&#148; or words of like import referring to
the Shelf Agreement shall mean the Agreement as amended by the Letter Amendment
No. 1.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Dated as of
November 21, 1997.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">LANCE OIL &amp; GAS COMPANY,
INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">MGTC, INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">MIGC, INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">MOUNTAIN GAS RESOURCES, INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">PINNACLE GAS TREATING, INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">WESTERN GAS RESOURCES STORAGE,
INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">WESTERN GAS RESOURCES - TEXAS,
INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">WESTERN GAS RESOURCES OKLAHOMA,
INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">WESTERN POWER SERVICES, INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">WGR CANADA, INC.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.56%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="30%" valign="top" style="border:none;border-bottom:solid windowtext .5pt;padding:0in 0in 0in 0in;width:30.88%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ William
  J. Krysiak</font></p>
  </td>
  <td width="65%" valign="top" style="padding:0in 0in 0in 0in;width:65.56%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.56%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="96%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:96.44%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">William J.
  Krysiak, as Vice President-<br>
  Finance of each of the above-named companies.</font></p>
  </td>
 </tr>
</table>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>


<div style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">

<hr size="2" width="100%" noshade color="gray" align="left">

</font></div>

</div>


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