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LOAN AGREEMENT

between

EDI Exploration Drilling International Holding GmbH
represented by the managing director Günter Thiemann Goethestrasse
59, 45721 Haltern am See

- in the following referred to as
lender -

and

EDI Exploration Drilling International GmbH represented by
the managing director Rainer Rotthäuser Goethestrasse 59, 45721 Haltern
am See

- in the following referred to as
borrower -

§ 1 Granting of loan

|1. | The lender grants the borrower a loan in the amount
    of
|-- | ----------------------------------------------------------

Euro 35,000.00 (in words: Euro thirty-five thousand)

|2. | The loan will be paid out by transfer into the borrowers
      account at the National-Bank, branch code 360 200 30, account 110
    5167.
|-- | -------------------------------------------------------------------------------------------------------------------------------------------

§ 2 Interest, term and repayment of loan

|1. | The annual interest payable on the loan shall be 5.0
      %.          
|-- | -----------------------------------------------------------------------
|   |                                                                        
|2. | The term of the loan shall be 12 months, ending on
      31/08/2008.   
|   |                                                                        
|3. | The loan shall be repaid on 31/08/2008 into the lenders
      account.

§ 3 Early repayment

The borrower is entitled to repay the loan including
accumulated interest in one lump sum at any time, including before the end of
the term of the loan. A prepayment penalty shall not be due.

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§ 4 Extraordinary right of cancellation

The lender is entitled to recall the loan effective
immediately, if the borrowers financial circumstances deteriorate considerably,
thus putting the claim of repayment at risk.

§ 5 Securities

The borrower irrevocably transfers all of his claims as
managing director or shareholder (salary claims, profit distributions, new
shares issued, profit and loss transfers, liquidation proceeds, etc.) to the
lender.

§ 6 Supplementary agreements, amendments, severability,
executed copies

|1. | There are no supplementary agreements. Amendments,
      additions as well as deletions of individual provisions of this agreement
      must be made in writing in order to be effective.                                                                                                                                                  
|-- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                             
|2. | Should individual provisions of this agreement be
      invalid, the remainder of the agreement shall not be affected. In this
      case, the parties to the agreement are required to assume that a
      replacement provision has been agreed to, which fulfils the economic
      purpose of the invalid provision as much as possible.
|   |                                                                                                                                                                                                                                                                                                                                             
|3. | This contract shall be issued in duplicate. The lender
      and the borrower shall each receive a copy signed by both parties to the
      agreement.                                                                                                                                                                                      

|Haltern, August 30, 2007                            |                                               
|--------------------------------------------------- | ----------------------------------------------
|                                                    |                                               
|                                                    |                                               
|                                                    |                                               
|Signature                                           |                                               
|______________________________________________      | ______________________________________________
|EDI Exploration Drilling International Holding GmbH | EDI Exploration Drilling International GmbH   
|Managing director, Günter Thiemann                  | Managing director, Rainer Rotthäuser          
|- Lender -                                          | - Borrower -                                  

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