EXHIBIT 10.1

                    AGREEMENT TO PURCHASE OIL AND GAS LEASES

THIS AGREEMENT ("the Agreement"),  dated the 25th, of June, 2008, is made by and
among James Fitzsimons,  an individual  (hereinafter  "Fitzsimons" or "Seller"),
CH4 Energy, Inc., a Nevada corporation, (hereinafter "CH4") and CH4 Energy, LLC,
an Oklahoma limited liability company (hereinafter "Subsidiary"),  (collectively
hereinafter "the Parties").

WHEREAS,  Fitzsimons is the beneficial owner of certain oil and gas leases which
are  particularly  described in Exhibit 1 attached hereto ("the Leases") located
in Section 13 Township 11 North, Range 11 East, Okfuskee County,  Oklahoma;  and
Sections  2, 3, 4, 5, 6, 8, 9, 10,  11,  12, 15, 16, 17, 18, 19, 20, 21, 22, 26,
27, 28, 34 and 36 Township 11 North,  Range 12 East,  Okmulgee County,  Oklahoma
(hereinafter referred to as "the Prospect"), and

WHEREAS,  the  Leases  are  currently  held in  trust  by  Frontier  Land,  Inc.
("Frontier") for the benefit of Fitzsimons (the "Beneficial Owner"); and

WHEREAS,  Fitzsimons  wishes to convey 100% of his right,  title and interest in
the Leases to CH4 Energy,  LLC upon the terms and  conditions  set forth herein;
and

WHEREAS, CH4 Energy, LLC is a wholly owned subsidiary of CH4 Energy, Inc.; and

WHEREAS,  CH4 Energy, Inc. and CH4 Energy, LLC wish to purchase said leases upon
the terms and conditions set forth herein;

NOW THEREFORE in  consideration  of the mutual  covenants  and other  agreements
contained in this Agreement, the Parties hereby agree as follows;

I) PURCHASE OF LEASE INTERESTS

     Fitzsimons does hereby sell, assign, transfer, and convey to Subsidiary all
     of Fitzsimons' right, title, and interest in the Leases.

II) CONSIDERATION

     In  consideration  for the Leases,  CH4 and  Subsidiary  agree to reimburse
     Fitzsimons  the total  Prospect  costs as charged by Frontier up to May 31,
     2008  in the sum of  $521,500  (the  "Consideration")  to be  delivered  to
     Fitzsimons on or before June 25, 2008 ("the "Closing") as follows:

     A.   CH4 shall  issue to  Fitzsimons  2,538,000  (post  reverse  split (1))
          shares of CH4's  common  stock,  which  shall have an agreed  value of
          $63,450; and

     B.   CH4 shall  issue a note  payable  to  Fitzsimons  in the amount of the
          difference   between  the  Consideration  and  $63,450,   such  amount
          currently  estimated at  $458,050,  payable upon demand and bearing an
          interest rate of 9.5% per annum as described  fully in Promissory Note
          1, attached hereto as Exhibit 2. Promissory Note 1 shall be secured by
          the Leases.

----------
1.   On June 17, 2008,  the  Company's  Directors  approved a 1:25 reverse stock
     split  ("Reverse  Split") of the Company's  Common Stock. A Majority of the
     Stockholders approved the Reverse Stock Split by written consent in lieu of
     a  meeting  on  June  17,  2008  in  accordance  with  the  Nevada  General
     Corporation Law.
<PAGE>
III) SELLER'S REPRESENTATIONS AND WARRANTIES

     Seller represents and warrants as follows:

     A.   Seller  makes no warranty of title with respect to the land covered by
          the Prospect Leases.

     B.   The rights and interest  conveyed to the Subsidiary by this instrument
          are free and clear of all liens,  charges, and encumbrances created by
          Seller;

     C.   The Leases are held in the name of Frontier as trustee for the benefit
          of Seller.

     D.   Seller has the right to make the transfer and  conveyance  effectuated
          by this instrument;

     E.   No default or defaults have been declared under the Leases; and

     F.   The Leases are in good standing and in full force and effect.

IV) CH4'S WARRANTIES

     CH4 represents and warrants as follows:

     A.   CH4 is a corporation  duly organized and validly  existing and in good
          standing  under the laws of the State of Nevada.  It has all requisite
          corporate  power and  authority  to carry on its business as now being
          conducted,  to enter into this  Agreement and to carry out and perform
          the terms and provisions of this Agreement;

     B.   The execution,  delivery and performance of this Agreement by CH4 will
          not (i) result in a violation of the CH4's  Articles of  Incorporation
          or the By-laws or (ii)  conflict  with or  constitute a default (or an
          event  which  with  notice  or  lapse of time or both  would  become a
          default)   under,  or  give  to  others  any  rights  of  termination,
          amendment,  acceleration or cancellation of, any agreement,  indenture
          or instrument to which the CH4 is a party;

     C.   Mr. Larry Sostad is the duly elected and serving  President of CH4 and
          has been duly empowered to execute this Agreement,  and any amendments
          and notifications hereby, by and on behalf of CH4.

     D.   All  corporate  action  required to be taken by CH4 to enter into this
          Agreement has been taken.

V) SUBSIDIARY'S WARRANTIES

     CH4, LLC represents and warrants as follows:

     A.   CH4 Energy,  LLC is a limited  liability  company duly  organized  and
          validly  existing and in good standing  under the laws of the State of
          Oklahoma.  It has all requisite corporate power and authority to carry
          on its business as now being  conducted,  to enter into this Agreement
          and to  carry  out  and  perform  the  terms  and  provisions  of this
          Agreement;

     B.   CH4 Energy, LLC is a wholly owned subsidiary of CH4;

     C.   The  execution,  delivery  and  performance  of this  Agreement by the
          Subsidiary  will not (i)  result in a  violation  of the  Subsidiary's
          Articles  of  Incorporation  or the By-laws or (ii)  conflict  with or
          constitute  a default  (or an event which with notice or lapse of time
          or both would become a default) under, or give to others any rights of

                                       2
<PAGE>
          termination,   amendment,   acceleration  or   cancellation   of,  any
          agreement, indenture or instrument to which the Subsidiary is a party;

     D.   Mr.  Larry  Sostad is the duly  elected and serving  President  of the
          Subsidiary and has been duly empowered to execute this Agreement,  and
          any  amendments  and  notifications  hereby,  by and on  behalf of the
          Subsidiary.

     E.   All corporate  action  required to be taken by the Subsidiary to enter
          into this Agreement has been taken.

VI) ONGOING OBLIGATIONS TO FRONTIER FOR ADDITIONAL LEASES

     CH4 and the Subsidiary  undertake to pay all outstanding  costs and fees of
     Frontier  and all future  costs and fees of Frontier  relating  both to the
     Prospect and to the  acquisition of leases within the Prospect by Frontier.
     To assist finance this  obligation,  Fitzsimons is providing CH4 an interim
     loan of $116,000.  CH4 shall execute a Promissory Note for the repayment of
     the $116,000.  The Promissory Note shall be: secured by the Leases, payable
     upon demand and bear an interest rate of 9.5% per annum as described  fully
     in Promissory Note 2, attached hereto as Exhibit 3.

VII) FURTHER ASSURANCES

     Each party shall do and  perform,  or cause to be done and  performed,  all
     such further acts and things,  and shall execute and deliver all such other
     agreements, certificates, instruments and documents, as the other party may
     reasonably  request  in order to carry out the intent  and  accomplish  the
     purposes  of  the  Agreement  and  the  consummation  of  the  transactions
     contemplated hereby.

VIII) NOTICES

     All  notices,  consents,  waivers,  and  other  communications  under  this
     Agreement  must be in  writing  and will be deemed to have been duly  given
     when (a) delivered by hand (with written  confirmation of receipt),  or (b)
     when  received  by  the  addressee,  if  sent  by a  nationally  recognized
     overnight  delivery  service  (receipt  requested),  in  each  case  to the
     appropriate  addresses  set forth  below (or to such other  addresses  as a
     party may designate by notice to the other parties):

     To the Seller:                    James Fitzsimons
                                       Selnaustrasse 3
                                       8001 Zurich
                                       Switzerland

     To CH4 Energy, Inc:               CH4 Energy, Inc.
                                       4370 La Jolla Village Drive, Ste 670
                                       San Diego, CA  92122
                                       604-904-2432

     With a Courtesy Copy to:          Karen Batcher
                                       Batcher & Zarcone, LLP
                                       4190 Bonita Rd., Suite 205
                                       Bonita, California, 91902
                                       619-475-7882
                                       619-789-6262

     To CH4 Energy, LLC:               CH4 Energy, LLC
                                       4370 La Jolla Village Drive, Ste 670
                                       San Diego, CA  92122
                                       604-904-2432

                                       3
<PAGE>
     With a Courtesy Copy to:          Karen Batcher
                                       Batcher & Zarcone, LLP
                                       4190 Bonita Rd., Suite 205
                                       Bonita, California, 91902
                                       619-475-7882
                                       619-789-6262

     Any Party may change its  address  for the  purpose  of this  paragraph  by
     giving  written  notice of that  change to the  other  Party in the  manner
     provided in this paragraph.

IX) ATTORNEY'S FEES

     Should any  litigation be commenced  between the parties to the  Agreement,
     the prevailing party in that litigation  shall be entitled,  in addition to
     such other relief as may be granted, to a reasonable sum as attorney's fees
     in the litigation, which shall be determined by the court in the litigation
     or in a separate action brought for that purpose.

X) BINDING ON HEIRS

     All of the terms  and  provisions  of this  instrument  shall  inure to the
     benefit of and shall be binding  on the heirs,  executors,  administrators,
     representatives,  successors,  and  assigns  of each of the  parties to the
     Agreement.

XI) SOLE AND ONLY AGREEMENT

     This Agreement  constitutes the sole and only agreement between the Parties
     respecting the sale and purchase of Seller's  rights under the Leases,  and
     correctly sets forth the obligations of the Parties to each other as of its
     date.  Any  agreements  or  representations  respecting  the  Agreement not
     expressly set forth in this instrument are null and void.

XII) SEVERABILITY

     If any provision of the Agreement is held invalid or  unenforceable  by any
     court of competent jurisdiction, the other provisions of the Agreement will
     remain in full  force and  effect.  Any  provision  of the  Agreement  held
     invalid or  unenforceable  only in part or degree will remain in full force
     and effect to the extent not held invalid or unenforceable.

XIII) COUNTERPARTS AND FACSIMILE SIGNATURES

     The  Agreement may be executed in one or more  counterparts,  each of which
     will be deemed to be an original  copy of the  Agreement  and all of which,
     when  taken  together,  will be  deemed  to  constitute  one  and the  same
     agreement.   Facsimile   signatures  are  acceptable  and  deemed  original
     signatures.

                                       4
<PAGE>
IN WITNESS WHEREOF, the Parties have caused the Agreement to be duly executed as
of the date first written above.

SELLER:


By: /s/ James Fitzsimons
   -------------------------------------
   James Fitzsimons

CH4 ENERGY, INC.


By: /s/ Larry Sostad
   -------------------------------------
   Larry Sostad, President

CH4 ENERGY, LLC


By: /s/ Larry Sostad
   -------------------------------------
   Larry Sostad, President

                                       5
<PAGE>
                                                                       EXHIBIT 1

                                     LEASES
                                  PAGE 1 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-011E,13
LOVE FAMILY TRUST, HENRY THOM        1         9/10/07      9/10/10      3/16ths
CONNELL TRUST, BARBARA LYTAL         1         9/10/07      9/10/10      3/16ths
LOVE TRUST, JOHN F                   1         9/10/07      9/10/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 2 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,02
WYNNE TRUST, DIANE & JOHN          1.1         12/4/07      12/4/10      3/16ths
WYNNE TRUST, J.BRYCE               1.1         12/4/07      12/4/10      3/16ths
WYNNE TRUST, DIANE & JOHN          1.2         12/4/07      12/4/10      3/16ths
WYNNE TRUST, J.BRYCE               1.2         12/4/07      12/4/10      3/16ths
GRAY, HELEN LACKEY                 2          12/15/07     12/15/10      3/16ths
HUNTER, OPAL R                     2          12/13/07     12/13/10      3/16ths
LACKEY III, WILLIAM SANFORD        2          12/18/07     12/18/10      3/16ths
SAULS, CATHERINE LACKEY            2          12/15/07     12/15/10      3/16ths
DAVIS, MADALYN LACKEY              2          12/15/07     12/15/10      3/16ths
SMITH, BETTY SUE LACKEY            2          12/13/07     12/13/10      3/16ths
ANTHIS LAND COMPANY, LLC           3          02/13/08     02/13/11      3/16ths
BURNS FAMILY TRUST                 3          02/12/08     02/12/11      3/16ths
HIGGS TRUST, LOUIS D. & JOAN       3          02/12/08     02/12/11      3/16ths
MAYNARD, BABRBARA
WRIGHT                             3          12/23/07     12/23/10      3/16ths
RICHARDS, JACQUELYN CAYWOOD        5          04/11/08     04/11/11      3/16ths
AGEE, GEORGE F                    11          01/04/08     01/04/11      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 3 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,03
SARBER, PATRICIA ANN SANDFORD        1        08/23/07     08/23/10      3/16ths
SARBER, PATRICIA ANN SANDFORD        1        08/23/07     08/23/10      3/16ths
DAVIS, MADALYN LACKEY                2        08/23/07     08/23/10      3/16ths
GRAY, HELEN LACKEY                   2        08/23/07     08/23/10      3/16ths
HAVERCAMP, RICHARD P                 2        09/09/07     09/09/10      3/16ths
KIRK, TERRY E                        2        08/31/07     08/31/10      3/16ths
SAULS, CATHERINE LACKEY              2        08/23/07     08/23/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 4 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,04
CONNELL TRUST, BARBARA LYTAL         1        09/10/07     09/10/10      3/16ths
LOVE TRUST, JOHN F                   1        09/10/07     09/10/10      3/16ths
LOVE FAMILY TRUST, HENRY THOM        1        09/10/07     09/10/10      3/16ths
MCKAY, FRANK                         2        08/20/07     08/20/10      3/16ths
PINE PROPERTIES, INC                 2        01/17/08     01/17/10      3/16ths
BLACKBIRD TRUST, DAISY               4        04/07/08     04/07/10      3/16ths
FIRST UNITED PRESBYTERIAN CHURCH     4        10/04/07     10/04/10      3/16ths
BLACKBIRD TRUST, DAISY               5        04/07/08     04/07/10      3/16ths
DUNN, CYNTHIA MARIE                  5        04/07/08     04/07/10      3/16ths
DUNN, RICHARD DANIEL                 5        04/07/08     04/07/10      3/16ths
FIRST UNITED PRESBYTERIAN CHURCH     5        10/04/07     10/04/10      3/16ths
GOUGH, PATRICIA ELLEN                5        04/07/08     04/07/10      3/16ths
RIKER, AMY LOUISE                    5        04/07/08     04/07/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 5 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,05
THOMAS, LINDA PHILLIPS               1        09/17/07     09/17/10      3/16ths
APPLEGATE, BETTY                     1        10/11/07     10/11/10      3/16ths
DILLON, GAIL M                       1        08/20/07     08/20/10      3/16ths
ELLIS, HELEN ELIZABETH               1        09/20/07     09/20/10      3/16ths
HUNTER, OPAL R                       1        08/20/07     08/20/10      3/16ths
LUCAS, WILLIAM C                     1        09/20/07     09/20/10      3/16ths
MARLER, WILLIAM JOE                  1        09/18/07     09/18/10      3/16ths
KIRBY MINERALS                       2        09/07/07     09/07/10      3/16ths
HAVERCAMP, RICHARD P                 2        08/31/07     08/31/10      3/16ths
KIRK, TERRY E                        2        08/31/07     08/31/10      3/16ths
COUNTRY VIOLET, LLC                  2        01/01/08     01/01/11      3/16ths
BADGER ROYALTY COMPANY               3        01/31/08     01/31/11      3/16ths
DANGOTT TRUST, ALICE BADGER          3        01/31/08     01/31/11      3/16ths
DANGOTT TRUST, LAURA JOAN            3        01/31/08     01/31/11      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 6 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,06
CARDINAL ROYALTY COMPANY, LLC        1        09/09/07     09/09/10      3/16ths
TWIN RIVERS, INC                     1        10/01/07     10/01/10      3/16ths
WAYNE TRUST, DIANE R                 1        11/19/07     11/19/10      3/16ths
WAYNE TRUST, J BRYCE                 1        11/19/07     11/19/10      3/16ths
ZIROLI, PATTI A                      1        02/04/08     02/04/11      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 7 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,08
LOFTIS, WILLIAM M                    10       11/7/07       11/7/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 8 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,09
WAYNE TRUST, DIANE & JOHN            1        10/18/07     10/18/10      3/16ths
WAYNE TRUST, BRYCE                   1        10/18/07     10/18/10      3/16ths
WAYNE TRUST, DIANE & JOHN            2        10/18/07     10/18/10      3/16ths
WAYNE TRUST, BRYCE                   2        10/18/07     10/18/10      3/16ths
GREENE, IRENE IRMA                   3        02/01/08     02/01/11      3/16ths
KIRBY MINERALS                       7        09/07/07     09/07/10      3/16ths
KIRBY MINERALS                       8        09/07/07     09/07/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 9 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,10
CALABRESE, DONNA JO                   1      10/26/07      10/26/10      3/16ths
DANIEL, BEVERLY SANDLIN               1      10/11/07      10/11/10      3/16ths
KELLY TRUST, MARY JANE                1      10/24/07      10/24/10      3/16ths
SANDLIN, JANE ANN MCCULLOUGH          1      10/16/07      10/16/10      3/16ths
VENUTI, NORMAN                        1      10/26/07      10/26/10      3/16ths
GORIN, MELINDA SANDLIN                1      10/02/07      10/02/10      3/16ths
SANDLIN TRUST, JAN K                  1      10/12/07      10/12/10      3/16ths
WYNNE TRUST, DIANE R                  2      10/18/07      10/18/10      3/16ths
WAYNE TRUST, J. BRYCE                 2      10/18/07      10/18/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 10 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,11
EPISCOPAL, ROYALTY COMPANY            1      12/03/07      12/03/10      3/16ths
WYNNE TRUST, DIANE R                  1      11/19/07      11/19/10      3/16ths
WYNNE TRUST, J. BRYCE                 1      11/19/07      11/19/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 11 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,12
WYNNE TRUST, DIANE & JOHN             1      12/04/07      12/04/10      3/16ths
WYNNE TRUST, J. BRYCE                 1      12/04/07      12/04/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 12 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,15
CITY OF HASKELL, OKLAHOMA             3      02/09/07      02/09/10      3/16ths
MUSKOGEE GENERAL HOSPITAL             3      01/09/08      01/09/11      3/16ths
SHOOPMAN, ALICE                       8      01/25/08      01/25/11      3/16ths
SPIVEY, BARBARA A                     8      01/25/08      01/25/11      3/16ths
WOOLVERTON, DAVID ALLAN               8      01/25/08      01/25/11      3/16ths
PREFONTAINE, WYN HUDSON              11      01/13/08      01/13/11      3/16ths
SCHAEFER, RAE HUDSON                 11      12/03/07      12/03/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 13 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,16
GABLE, MELINDA                        1      03/27/07      03/27/10      3/16ths
LEWIS, ANN SULLINS                    1      12/29/06      12/29/09      3/16ths
SULLINS, CATHY                        1      03/30/07      03/30/10      3/16ths
WYNNE TRUST, DIANE R. & JOHN          1      10/18/07      10/18/10      3/16ths
WYNNE TRUST, J. BRYCE                 1      10/18/07      10/18/10      3/16ths
DECKER TRUST, J.J                     2      04/03/07      04/03/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 14 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,17
HEATHCOAT, LEE ELLEN                 1       03/14/08       03/14/11     3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 15 OF 24

                                    Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,18
CHAMBLESS, WILLIAM EUGENE             1      02/01/08      02/01/11      3/16ths
HICKMAN, BILL                         1      12/14/07      12/14/10      3/16ths
HICKMAN, HARVEY RAY                   1      12/05/07      12/05/10      3/16ths
MOSCO, SHIRLEY FAYE                   1      12/05/07      12/05/10      3/16ths
REID, PAT                             1      12/05/07      12/05/10      3/16ths
SANDLIN, HELEN LADON                  1      01/05/08      01/05/11      3/16ths
WOOD, HAROLD                          5      01/09/08      01/09/11      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 16 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,19
WYNNE TRUST, DIANE R                1        11/19/07      11/19/10      3/16ths
WYNNE TRUST, J. BRYCE               1        11/19/07      11/19/10      3/16ths
WYNNE TRUST, DIANE R                2        11/19/07      11/19/10      3/16ths
WYNNE TRUST, J. BRYCE               2        11/19/07      11/19/10      3/16ths
KIRBY MINERALS                      2        09/07/07      09/07/10      3/16ths
TWIN RIVERS, INC                    3.1      11/01/07      11/01/10      3/16ths
CARDINAL ROYALTY COMPANY, LLC       3.1      12/20/07      12/20/10      3/16ths
WYNNE TRUST, DEBRA ANN              3.1      12/03/07      12/03/10      3/16ths
WYNNE TRUST, DIANE R                3.1      11/19/07      11/19/10      3/16ths
WYNNE, JENNIFER LEE                 3.1      12/03/07      12/03/10      3/16ths
TWIN RIVERS, INC                    3.2      11/01/07      11/01/10      3/16ths
CARDINAL ROYALTY COMPANY, LLC       3.2      12/20/07      12/20/10      3/16ths
WYNNE TRUST, DEBRA ANN              3.2      12/03/07      12/03/10      3/16ths
WYNNE TRUST, DIANE R                3.2      11/19/07      11/19/10      3/16ths
WYNNE, JENNIFER LEE                 3.2      12/03/07      12/03/10      3/16ths
KERSHAW TRUST, LAURA JEAN           4        10/31/07      10/31/10      1/4th
KERSHAW TRUST, MARY E               4        10/31/07      10/31/10      3/16ths
WYNNE TRUST, DIANE R                4        11/19/07      11/19/10      3/16ths
WYNNE TRUST, J. BRYCE               4        11/19/07      11/19/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 17 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,20
WYNNE TRUST, DEBRA ANN                1      12/03/07      12/03/10      3/16ths
WYNNE TRUST, DIANE & JOHN             1      10/18/07      10/18/10      3/16ths
WYNNE, JENNIFER LEE                   1      12/03/07      12/03/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 18 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,21
LLANES, KRISTY                        1      01/26/07      01/26/10      3/16ths
MILLER-BARR, DAUN                     1      01/26/07      01/26/10      3/16ths
BIRGE, DEBORAH                        1      11/13/06      11/13/09      3/16ths
PANOS, WILLIAM                        1      11/13/06      11/13/09      3/16ths
VASSILOPOULOS FAMILY TRUST,           1      10/11/06      10/11/09      3/16ths
WOOLLEY, F.B                          1      10/02/06      10/02/09      3/16ths
ZAEMES, MARY                          1      09/22/06      09/22/09      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 19 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,22
MEYERS, ROBERT                       10      02/22/07      02/22/10      3/16ths
SPELIGENE, CHRISTOPHER V             10      10/12/06      10/12/06      3/16ths
MEYERS, ROBERT                       11      02/22/07      02/22/10      3/16ths
SPELIGENE TRUST, JEFFREY P           11      10/12/06      10/12/06      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 20 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,26
AMERCAN EXCHANGE BANK                 1      12/15/07      12/15/10      3/16ths
WYNNE TRUST, DIANE R. & JOHN          1      10/18/07      10/18/10      3/16ths
WYNNE TRUST, J. BRYCE                 1      10/18/07      10/18/10      3/16ths
WYNNE TRUST, DIANE R. & JOHN          3      10/18/07      10/18/10      3/16ths
WYNNE TRUST, J. BRYCE                 3      10/18/07      10/18/10      3/16ths
HAWKINS, KELLY RAY                    4      10/09/07      10/09/10      3/16ths
HAWKINS, KELLY RAY                    5      10/09/07      10/09/10      3/16ths
GRIM, JAMES M                         6      10/17/07      10/17/10      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 21 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,27
CONNELL TRUST, BARBARA LYTAL          1      01/22/07      01/22/10      3/16ths
LOVE TRUST, JOHN F                    1      01/22/07      01/22/10      3/16ths
LOVE FAMILY TRUST, HENRY              1      01/19/07      01/19/10      3/16ths
COLEMAN, MARJORIE                     5      09/27/06      09/27/09      3/16ths
JEWELL TRUST, LA JUNTA                5      12/13/06      12/13/09      3/16ths
JEWELL, SUSAN BRENE                   5      01/12/07      01/12/10      3/16ths
JEWELL, TOM C                         5      01/11/07      01/11/10      3/16ths
COLEMAN, MARJORIE                     6      09/27/06      09/27/09      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 22 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,28
HRONEK, PATTI KEFFALAS                2       01/17/07     01/17/10      3/16ths
KEFFALAS, JOHN E                      2       02/02/07     02/02/10      3/16ths
KEFFALAS, TIMOTHY E                   2       01/03/07     01/03/10      3/16ths
LAWLESS, DELTON S                     2       12/15/06     12/15/09      3/16ths
SKARLIS, THEODORA                     2       01/10/07     01/10/10      3/16ths
WARD FAMILY TRUST,                    2       12/15/06     12/15/09      3/16ths
WARD, KEITH J                         2       12/15/06     12/15/09      3/16ths
DWIGGINS TRUST,                       3       02/14/07     02/14/10      3/16ths
HRONEK, PATTI KEFFALAS                3       01/17/07     01/17/10      3/16ths
KEFFALAS, JOHN E                      3       02/02/07     02/02/10      3/16ths
KEFFALAS, TIMOTHY E                   3       01/03/07     01/03/10      3/16ths
LAWLESS, DELTON S                     3       12/15/06     12/15/09      3/16ths
SKARLIS, THEODORA                     3       01/10/07     01/10/10      3/16ths
WARD FAMILY TRUST,                    3       12/15/06     12/15/09      3/16ths
WARD, KEITH J                         3       12/15/06     12/15/09      3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 23 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,34
HG JENKINS TRUST                      1       05/31/08      05/31/11     3/16ths

<PAGE>
                                EXHIBIT 1, CONT.
                                     LEASES
                                  PAGE 24 OF 24

                                   Tract       Lease
         Lessor                    Number       Date        Expires      Royalty
         ------                    ------       ----        -------      -------

       011N-012E,36
HACKBARTH-OKLAHOMA TRUST, P         1.1      01/31/08      01/31/11      3/16ths
HACKBARTH-OKLAHOMA TRUST, P         1.2      01/31/08      01/31/11      3/16ths
SMITH, DONALD L                       9      02/06/08      02/06/11      3/16ths

<PAGE>
                                    EXHIBIT 2

                               PROMISSORY NOTE - 1

This  Promissory  Note  ("Note") is made on this 25th day of June,  2008, by and
between  CH4 Energy,  Inc.,  a Nevada  corporation  ("CH4" or  "Borrower"),  CH4
Energy,  LLC, an Oklahoma limited  liability  company  ("Subsidiary),  and James
Fitzsimons,  an individual ("Fitzsimons" or "Holder") (collectively  hereinafter
the "Parties") in return for valuable consideration received CH4 promises to pay
to James  Fitzsimons  the sum of Four  Hundred  Fifty-Eight  Thousand  and Fifty
Dollars  ($458,050),  together with interest thereon at the rate of nine and one
half percent (9.5%) per annum under the following terms and conditions:

     1.   PAYABLE ON DEMAND.  The entire unpaid  principal and accrued  interest
          thereon, if any, shall become immediately due and payable on demand by
          the Holder of this Note.

     2.   SECURITY.  CH4 and the Subsidiary  agree that the total amount of this
          Note, less the amount of any payments to Fitzsimons,  shall be secured
          by the Subsidiary's  interest in Oil and Gas Lease Interests  acquired
          as a result of the  Agreement to Purchase Oil and Gas Lease  Interests
          dated June 25, 2008 between the Parties.

     3.   LATE FEES. In the event that a payment due under this Note is not made
          within twenty (20) days of the Demand for Payment,  the Borrower shall
          pay an additional late fee in the amount of $[AMOUNT].

     4.   PLACE OF PAYMENT.  All  payments  due under this note shall be made at
          [address or bank wiring info for James], or at such other place as the
          holder of this Note may designate in writing.

     5.   PREPAYMENT.  This Note may be  prepaid in whole or in part at any time
          without premium or penalty.  All prepayments shall first be applied to
          interest,  and  then to  principal  payments  in the  order  of  their
          maturity.

     6.   DEFAULT.  In the  event of  default,  CH4  agrees to pay all costs and
          expenses  incurred by the Lender,  including all  reasonable  attorney
          fees (including both hourly and contingent  attorney fees as permitted
          by law) for the  collection of this Note upon  default,  and including
          reasonable  collection  charges  (including,   where  consistent  with
          industry  practices,  a collection  charge set as a percentage  of the
          outstanding  balance of this Note) should  collection be referred to a
          collection agency.

     7.   ACCELERATION  OF DEBT. In the event that CH4 or Subsidiary seek relief
          under the  Bankruptcy  Code,  or suffers an  involuntary  petition  in
          bankruptcy or  receivership  not vacated  within thirty (30) days, the
          entire balance of this Note and any interest  accrued thereon shall be
          immediately due and payable,  without presentment,  demand, protest or
          any notice of any kind,  all of which are hereby  expressly  waived by
          the Borrower.

     8.   MODIFICATION.  No  modification  or waiver of any of the terms of this
          Agreement shall be allowed unless by written  agreement signed by both
          parties.  No waiver of any breach or default hereunder shall be deemed
          a waiver of any  subsequent  breach or  default of the same or similar
          nature.

     9.   TRANSFER OF THE NOTE.  CH4 and  Subsidiary  hereby waive any notice of
          the transfer of this Note by the Lender or by any subsequent holder of
          this Note.  CH4 and  Subsidiary  agree to remain bound by the terms of
<PAGE>
          this Note subsequent to any transfer, and agree that the terms of this
          Note may be fully enforced by any subsequent holder of this Note.

     10.  SEVERABILITY OF PROVISIONS. In the event that any portion of this Note
          is deemed  unenforceable,  all  other  provisions  of this Note  shall
          remain in full force and effect.

     11.  CHOICE  OF LAW.  This  Promissory  Note  shall  be  governed  by,  and
          construed  in  accordance  with,  the  laws of State  of  Nevada.  The
          Borrower hereby consents to the jurisdiction of any court of the State
          of Nevada,  or any U.S.  District  Court within the State of Nevada in
          any action or proceeding arising out of or relating to this Promissory
          Note,  agrees  that  all  claims  in  respect  of any such  action  or
          proceeding  may be heard and  determined  in such court and waives the
          defense of inconvenient forum to the maintenance of any such action or
          proceeding.

IN WITNESS WHEREOF,  the Borrower has caused this Promissory Note to be executed
and delivered by its duly authorized  officer, as of the day and year and at the
place first above written.

BORROWER:

CH4 ENERGY, INC.


By: /s/ Larry Sostad
   -----------------------------------
   Larry Sostad, President

CH4 ENERGY, LLC


By: /s/ Larry Sostad
   -----------------------------------
   Larry Sostad, President
<PAGE>
                                    EXHIBIT 3

                               PROMISSORY NOTE - 2

This  Promissory  Note  ("Note") is made on this 25th day of June,  2008, by and
between  CH4 Energy,  Inc.,  a Nevada  corporation  ("CH4" or  "Borrower"),  CH4
Energy,  LLC, an Oklahoma limited  liability  company  ("Subsidiary),  and James
Fitzsimons,  an individual ("Fitzsimons" or "Holder") (collectively  hereinafter
the "Parties") in return for valuable consideration received CH4 promises to pay
to James Fitzsimons the sum of One Hundred Sixteenth Thousand and no/100 Dollars
($116,000),  together  with  interest  thereon  at the rate of nine and one half
percent (9.5%) per annum under the following terms and conditions:

     1.   PAYABLE ON DEMAND.  The entire unpaid  principal and accrued  interest
          thereon, if any, shall become immediately due and payable on demand by
          the Holder of this Note.

     2.   SECURITY.  CH4 and the Subsidiary  agree that the total amount of this
          Note, less the amount of any payments to Fitzsimons,  shall be secured
          by the Subsidiary's  interest in Oil and Gas Lease Interests  acquired
          as a result of the  Agreement to Purchase Oil and Gas Lease  Interests
          dated June 25, 2008 between the Parties.

     3.   LATE FEES. In the event that a payment due under this Note is not made
          within twenty (20) days of the Demand for Payment,  the Borrower shall
          pay an additional late fee in the amount of $[AMOUNT].

     4.   PLACE OF PAYMENT.  All  payments  due under this note shall be made at
          [address or bank wiring info for James], or at such other place as the
          holder of this Note may designate in writing.

     5.   PREPAYMENT.  This Note may be  prepaid in whole or in part at any time
          without premium or penalty.  All prepayments shall first be applied to
          interest,  and  then to  principal  payments  in the  order  of  their
          maturity.

     6.   DEFAULT.  In the  event of  default,  CH4  agrees to pay all costs and
          expenses  incurred by the Lender,  including all  reasonable  attorney
          fees (including both hourly and contingent  attorney fees as permitted
          by law) for the  collection of this Note upon  default,  and including
          reasonable  collection  charges  (including,   where  consistent  with
          industry  practices,  a collection  charge set as a percentage  of the
          outstanding  balance of this Note) should  collection be referred to a
          collection agency.

     7.   ACCELERATION  OF DEBT. In the event that CH4 or Subsidiary seek relief
          under the  Bankruptcy  Code,  or suffers an  involuntary  petition  in
          bankruptcy or  receivership  not vacated  within thirty (30) days, the
          entire balance of this Note and any interest  accrued thereon shall be
          immediately due and payable,  without presentment,  demand, protest or
          any notice of any kind,  all of which are hereby  expressly  waived by
          the Borrower.

     8.   MODIFICATION.  No  modification  or waiver of any of the terms of this
          Agreement shall be allowed unless by written  agreement signed by both
          parties.  No waiver of any breach or default hereunder shall be deemed
          a waiver of any  subsequent  breach or  default of the same or similar
          nature.
<PAGE>
     9.   TRANSFER OF THE NOTE.  CH4 and  Subsidiary  hereby waive any notice of
          the transfer of this Note by the Lender or by any subsequent holder of
          this Note.  CH4 and  Subsidiary  agree to remain bound by the terms of
          this Note subsequent to any transfer, and agree that the terms of this
          Note may be fully enforced by any subsequent holder of this Note.

     10   SEVERABILITY OF PROVISIONS. In the event that any portion of this Note
          is deemed  unenforceable,  all  other  provisions  of this Note  shall
          remain in full force and effect.

     11.  CHOICE  OF LAW.  This  Promissory  Note  shall  be  governed  by,  and
          construed  in  accordance  with,  the  laws of State  of  Nevada.  The
          Borrower hereby consents to the jurisdiction of any court of the State
          of Nevada,  or any U.S.  District  Court within the State of Nevada in
          any action or proceeding arising out of or relating to this Promissory
          Note,  agrees  that  all  claims  in  respect  of any such  action  or
          proceeding  may be heard and  determined  in such court and waives the
          defense of inconvenient forum to the maintenance of any such action or
          proceeding.

IN WITNESS WHEREOF,  the Borrower has caused this Promissory Note to be executed
and delivered by its duly authorized  officer, as of the day and year and at the
place first above written.

BORROWER:

CH4 ENERGY, INC.


By: /s/ Larry Sostad
   -----------------------------------
   Larry Sostad, President

CH4 ENERGY, LLC


By: /s/ Larry Sostad
   -----------------------------------
   Larry Sostad, President