Exhibit 10.1



                          INTEREST PURCHASE AGREEMENT


     THIS  INTEREST  PURCHASE AGREEMENT ("Agreement") is entered into as of this
13th  day of December, 2006, by and between Siberian Energy Group Inc., a Nevada
corporation  ("Buyer",  "SEG")  and  Key  Brokerage  LLC.,  a  Delaware  limited
liability  company  ("Seller").

                                  WITNESSETH:

     A.   Seller  is  the  sole owner of Kondaneftegaz LLC ("Kondaneftegaz")(the
"Company"),  registration  number   -  1048600002901,     8601022853,  which  is
located  in  the Khanty-Mansiysk autonomos district of western Siberia and which
was  created  in  2004 for the purpose of oil and gas exploration in the region.
Kondaneftegaz  applied  for exploration and production license on Krasnoleninski
parcel  in  the  Khanty-Mansiysk  district, which will be auctioned in the first
half  of  2007.  In  addition,  Kondaneftegaz  has  applied  for  9  parcels  in
Karabashskaia  area  of  Khanty-Mansiysk  district.

     B.   Pursuant  to  the  Option  agreement  dated  September  14,  2006  and
following  the  due diligence review by the Buyer, the Buyer desires to buy from
Seller  a 100% interest in Kondaneftegaz ("Interest") and Seller desires to sell
the  Interest  to Buyer according to the terms and subject to the conditions set
forth  in  this  Agreement.

                                     AGREEMENT
                                -------------------

     In consideration of the foregoing and the mutual promises contained herein,
the  parties  agree  as  follows:

     1.   PURCHASE  AND  SALE  OF  INTEREST.  Upon  the terms and subject to the
conditions  set forth in this Agreement, Seller hereby sells, assigns, transfers
and  conveys  the  Interest  to  Buyer,  and Buyer hereby purchases, obtains and
acquires  the  Interest  from  Seller.  Simultaneously  with the transfer of the
Interest,  the  Seller  is  transferring  the  geological information package on
Karabashki  zone  of  Khanty-Mansiysk  Autonomous  district  (Tuymen  region  of
Russian  Federation)  ("Geological  Data")  into  the  ownership  of  the Buyer.
Geological  data  to  be  transferred is listed in Appendix 1 to this Agreement.
Price  of Geological data is included in the total purchase price as per item 2.

     2.   PURCHASE  PRICE.  In  consideration  of  and in exchange for the sale,
assignment,  transfer and conveyance of the Interest and of the Geological Data,
Buyer  agrees  to issue to Seller, 1,900,000 (One million nine hundred thousand)
shares  of the common stock of Siberian Energy Group Inc., a Nevada corporation,
(the  "Stock").  On  the  Closing  Date  the  Stock shall be delivered to Seller
through  certificates,  properly  endorsed for transfer to the Seller (or as the
Seller  may  direct).

The  Stock  shall  be  non-registered  and subject to restrictions. "Restricted"
securities  have  the  meaning  as  that  term  is  defined  in  Rule 144 of the
Securities  Act  of  1933  and  may  not  be offered for sale, sold or otherwise
transferred  except  pursuant  to  a registration statement or a valid exemption
from  registration.

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     3.  CONDITIONS  AND  CLOSING

          (a)  Seller  shall  procure  that the Buyer acquires good title to the
Company's  Interests,  free  from  any  Encumbrance;

          (b)  Closing  shall  take  place  in  New  York,  NY ten Business Days
following  the  date  of this Agreement, or at such other place or on such other
date  as may be agreed between the Seller and the Buyer (the "Closing Date"). At
the Closing, Buyer shall deliver to Seller certificates evidencing the number of
shares  of  Stock  specified  in  Sections 2 hereof, and Seller shall deliver to
Buyer  an  assignment  of  the  Interest,  in  the  form  attached as Exhibit A.

           (d)  The  Seller  is  responsible  to  make the appropriate change of
ownership in the registration documents of the Company and certify the change in
the  government  registration  body  of  Russian Federation within 10 days after
closing.

     4.   ASSIGNMENT  OF THE INTEREST. From and after the Closing, all equitable
and  legal  rights,  title  and interests in and to the Interest shall be owned,
held  and  exercised  by  Buyer.

     5.   ASSIGNMENTS  OF  THE  STOCK. From and after the Closing, all equitable
and  legal rights, title and interests in and to the Stock shall be owned,  held
and  exercised  by  the  Seller.  Siberian  Energy  Group  Inc.  shall,  issue
certificates  to  the  Seller  (or  as the Seller  may direct) for the number of
shares  of  Stock  as  specified  in  Section  2  above.

     6.   INVESTMENT  REPRESENTATIONS  OF  BUYER.  Buyer  hereby  represents and
warrants  to  the  Seller  as  follows:

          (a)  Buyer understands that the Interest in Kondaneftegaz has not been
registered  under the Securities Act of 1933 (the "1933 Act") or the laws of any
state, and the transactions contemplated hereby are being undertaken in reliance
upon  an  exemption  from  the  registration  requirements  of the 1933 Act, and
reliance  upon  such exemption is based upon Buyer's representations, warranties
and  agreements  contained  in  this  Agreement.

          (b)  Buyer  has  received  and  carefully  reviewed  all  information
necessary  to  enable Buyer to evaluate its investment in the Company. Buyer has
been  given  the opportunity to ask questions of and to receive answers from the
Company  concerning its business and the Interest, and to obtain such additional
written  information  necessary  to  verify  the  accuracy  thereof.

          (c)  Buyer  is  aware that the purchase of the Interest is speculative
and  involves  a high degree of risk. Buyer is aware that  there is no guarantee
that  Buyer  will  realize  any gain from his acquisition of the Interest. Buyer
further  understands  that Buyer could lose the entire amount of its investment.

          (d)  Buyer  understands  that  no  federal  or  state  agency or other
authority  has  made  any finding or determination regarding the fairness of the
offer,  sale  and/or  issuance of the Interest or has made any recommendation or
endorsement  thereof  or  has  passed  in  any  way  upon  this  Agreement.

<PAGE>

          (e)  Buyer:  (i)  is  acquiring  the  Interest  solely for Buyer's own
account  for  investment  purposes  only  and  not  with a view toward resale or
distribution  thereof,  in  whole  or  in  part, (ii) has no tract, undertaking,
agreement  or  arrangement,  in  existence  or  contemplated,  to  sell, pledge,
assign  or otherwise transfer the Interest to any other person, and (iii) agrees
not  to  sell  or  otherwise  transfer  the  Interest  unless  and  until  it is
subsequently  registered  under the 1933 Act and any applicable state securities
laws,  or  unless  an  exemption  from  any  such  requirement  is  available.

          (f)  Buyer  is  financially  able  to  bear  the  economic  risk of an
investment  in  the  Interest,  including  the  ability  to  hold  the  Interest
indefinitely  and  to  afford a complete loss of its investment in the Interest.
Buyer  has such knowledge and experience in financial and business matters as to
be  capable  of  evaluating  the  merits  and  risks  of  the acquisition of the
Interest.

     7.   INVESTMENT  REPRESENTATIONS  OF  SELLERS. The Seller hereby represents
and  warrants  to  Buyer  as  follows:

          (a)     Seller  has  received  and  carefully reviewed all information
necessary  to  enable Seller to evaluate the investment represented by the Stock
in  Siberian  Energy  Group  Inc.  Seller  has been given the opportunity to ask
questions  of  and to receive answers from Siberian Energy Group Inc. concerning
its  business  and  the Stock, and to obtain such additional written information
necessary  to  verify  the  accuracy  thereof.

          (b)     Seller  is  aware that the Stock is speculative and involves a
high degree of risk. Seller is aware that there is no guarantee that Seller will
realize any gain from ownership of the Stock. Seller further understands that it
could  lose  the  entire  amount  of  its  investment.

          (c)     Seller is financially able to bear  the  economic  risk  of an
investment  in  the  Stock, including the ability to hold the Stock indefinitely
and  to  afford  a  complete  loss  of  its  investment in the Stock. Seller has
knowledge  and  experience in financial and business matters as to be capable of
evaluating  the  merits  and  risk  of  the  acquisition  of  the  Stock.

          (d)     The Seller was not furnished any offering literature or
                  memorandum;

          (e)     The  Seller  recognizes that the Stock has not been registered
under the  Securities  Act of 1933, as amended ("Act"), nor under the securities
laws of any  state   and,  therefore,  cannot  be  resold  unless  resale of the
Stock is registered  under the Act or unless  an  exemption from registration is
available;  no   public agency  has passed upon the fairness of the terms of the
offering;  the  undersigned   may  not sell  the Shares without registering them
under  the  Act  and  any   applicable  state  securities laws unless exemptions
from  such  registration  requirements  are  available with  respect to any such
sale;

          (f)     The undersigned is  acquiring  the  Stock for its own account
for long-term investment and not with a view toward resale, fractionalization or
division,  or distribution thereof, and it does not presently have any reason to
anticipate  any  change  in  its  circumstances,  financial  or  otherwise,  or
particular  occasion  or  event  which  would necessitate or require its sale or
distribution  of  the  Stock.  No  one  other than the Seller has any beneficial
interest  in  said  Stock;

          (g)     The Seller acknowledges that it is  an  Accredited Investor as
defined  in  Section  501  of  Regulation D under the Securities Act of 1933, as
amended,  as  adopted  by  the  Securities  and  Exchange  Commission.

<PAGE>

     8.   CONDITIONS  TO  OBLIGATIONS  OF  BUYER.  The  obligation  of  Buyer to
consummate  the  transactions  contemplated  by this Agreement is subject to the
fulfillment  of  each  of  the  following  conditions:

          (a)  On  the  Closing  Date,  Seller  shall  be  the  sole  legal  and
beneficial  owner  of  the  Interest,  free  and  clear  of  all  claims, liens,
mortgages,  charges, security interests, encumbrances and other restrictions and
limitations  of  any  kind  and  nature  whatsoever.

          (b)  By  the  Closing  Date,  any  and  all  necessary  consents,
authorizations, orders or approvals for transfer of the Interest shall have been
obtained.

          (c)  Neither  the  execution  or  delivery  of  this Agreement nor the
performance  of  its  obligations  hereunder  will  conflict with or result in a
breach  of  or  constitute  a  default  under or result in the creation of or an
imposition  of  a  lien  upon  any  of the properties or assets of Seller or any
agreement too which Seller may be a party or by which its property or assets may
be  subject.


     9.   CONDITIONS  TO  OBLIGATIONS  OF  SELLER.  The  obligation of Seller to
consummate  the  transactions  contemplated  by this Agreement is subject to the
fulfillment  of  each  of  the  following  conditions:

          (a)  On the Closing Date, Buyer shall be the sole legal and beneficial
owner  of  the  Stock,  free  and  clear of all claims, liens, charges, security
interest,  encumbrances  and  other  restrictions and limitations of any kind or
nature  whatsoever.

          (b)  On  the  Closing  Date,  any  and  all  necessary  consents,
authorizations,  orders  or  approvals for transfer of the Stock shall have been
obtained.

          (c)  Neither  the  execution  or  delivery  of  this Agreement nor the
performance of its obligation hereunder will conflict with or result in a breach
of  or  constitute a default under or result in the creation of or an imposition
of  a  lien  upon  any  of the properties or assets of Buyer or any agreement to
which  Buyer  may  be a party or by which its property or assets may be subject.


         10.  MISCELLANEOUS.

          (a)  This  Agreement  represents  the  entire  agreement  between  the
parties  hereto  with  respect  to  the  transactions  contemplated  hereby  and
supersedes  all  prior agreements with respect thereto, whether written or oral.

          (b)  This  Agreement  shall be governed by and construed in accordance
with  the  laws  of  the  State  of  New  York, without regard, however, to such
jurisdiction's  principles  of  conflict  of  laws.

          (c)  This  Agreement may be executed in counterpart originals, each of
which  shall  be  an  original,  but  all  of  which  shall  constitute only one
Agreement. A facsimile signature of any party will be binding on that party, and
any  facsimile  communication  shall  be  immediately  followed  by  a hard copy
containing  such  signature.


     [REMAINDER OF PAGE LEFT INTENTIONALLY BLANK.  SIGNATURE PAGE FOLLOWS.]

<PAGE>

IN  WITNESS  WHEREOF,  the  parties  hereto have executed this Interest Purchase
Agreement  as  of  the  day  and  year  first  written  above.


                BUYER


                SIBERIAN  ENERGY  GROUP  INC.,
                a  Nevada  corporation
                address:  275  Madison  Ave,  6th Floor,
                New  York,  NY  10016

                By:/s/ David Zaikin
                   ---------------------------------------------
                   David  Zaikin,  CEO and Chairman of the Board



                SELLER:

                KEY  BROKERAGE  LLC.,
                a  Delaware  limited  liability  company
                address:  1201-762  Orange  Street, Wilmington,
                New  Castle  district,  Delaware


                By:/s/ Vladimr Kvitko
                   -------------------------------
                   Vladimr  Kvitko,  President

<PAGE>

                                     EXHIBIT  A



                         ASSIGNMENT  OF  MEMBERSHIP  INTEREST


     FOR VALUE RECEIVED, Key Brokerage LLC, a Delaware limited liability company
("Assignor"),  herewith sells, assigns, transfers and conveys to Siberian Energy
Group  Inc.  a Nevada corporation ("Assignee"), the Assignor's rights, title and
interests  as  member  of  and in Kondaneftegaz LLC, a Russian limited liability
company (the "Company"), which shall comprise one hundred percent (100%) capital
and profits interest in the Company, including 100% share in the charter capital
in  amount of 10,000 Russian rubles, 100% share of net assets and profits of the
Company,  distributions  and  liquidation  rights  in the Company and voting and
management  rights  and  powers  in  the  Company  in proportion to the assigned
interest  in  the  Company.

     This  Assignment of Interest in the Company is made, delivered and shall be
effective  on the date hereof in accordance with and in complete satisfaction of
the  requirements  of  the  Charter  of  Kondaneftegaz  LLC  of  26 April, 2005.

     IN  WITNESS  WHEREOF,  Assignor has executed this Assignment by and through
its  members  this  ___  day  of  December,  2006.


                 KEY  BROKERAGE  LLC.,
                 a  Delaware  limited  liability  company
                 address:  1201-762  Orange  Street, Wilmington,
                 New  Castle  district,  Delaware


                By:
                   -------------------------------
                   Vladimir  Kvitko,  President

<PAGE>

                                                                      APPENDIX 1

                                              To the Interest Purchase Agreement

List of Geological information on Karabashki zone of Khanty-Mansi Autonomous
area (Tuymen region of Russian Federation).

No.    Item
---    ----
1.     Description  of  11  deposits  and areas adjacent to the license areas of
       Karabashskaya  zone.

2.     Well  logs  (1:500  scale)  over  11  deposits  (11  wells).

3.     Stratigraphic  division  with  identification  of  stages,  formations,
       subformations,  members  (approximately  350  wells).

4.     Oil  analyses  (approximately  50  analyses).

5.     Gas  analyses  (approximately  50  analyses).

6.     Characteristics  of  pay zone parameters of deposits (7 pages of computer
       typed  text).

7.     Distribution  of  hydrocarbon  accumulations,  oil  and gas plays over 11
       deposits  (areas)  (table,  2  pages).

8.     Time  seismic  sections  of  the  deposits.

9.     Fragments of regional seismic lines in the region of the license areas (4
       fragments).

10.    Structural  maps  of  the deposits along the seismic horizon B (Bazhenov
       formation)  (11  maps).

11.    General  map  of the region of the license area location (1 map, 1:1 000
       000  scale).

12.    The  State  Committee of the RSFSR on Geology and Subsoil Utilization
       'Ural Regional  Geological Committee 'Uralgeologia'. Bazhenov Geophysical
       Expedition.  "Report  on  Results of Geodetic Surveys, Carried out by
       Severouralskaya Crew  along  the  Regional  Lines  P-14  and Kotliyskiy
       in Tyumen and Sverdlovsk Regions  in  1990-1992". Scale 1:200 000,
       P-41-VII, VIII, XIX, XXV in four books and  2  folders,  settlement
       Sheelit,  1992.

13.    Bliznetsov  M.T.,  Zerchaninova  L.A. and others.  "Report  on Results of
       Regional  Seismic  Surveys  along  Lines  3,  5,  99,  100  in Kondinskiy
       Administrative  Region   of   the Khanty-Mansi  Autonomous  Area  of  the
       Tyumen  region  in  1998-2000",  enclosed:   193  pages,  62  figures, 11
       tables,  31  pages  of  graphical  enclosure,  bibliography   40   pages.
       Bazhenov   Geophysical   expedition,   P-41-XXXIV",  P-41-XXXV,  0-41-IV,
       0-41-V.

14.    The  Khanty-Mansi  Autonomous  Area,  the  Tyumen  region,  Bazhenov
       Geophysical  Expedition  "Report  on  Results of Regional Seismic Surveys
       along Lines 5, 99a, 101 (South of Shaimskaya Zone) in Kondinskiy
       Administrative Region of the Khanty-Mansi Autonomous Area of the Tyumen
       Region in 2000-2001" Uralskaya crew  No.12  (1  book,  1  folder)
       Zarechny,  2001.

15.    Bazhenov  Geophysical  Expedition "Brief Informational Geological Report
       on  Main  Results and Volumes of Works, Carried out during 9 Months of
       2006 over the  Object 'Seismic Surveys along Fragments of Regional
       Seismic Lines No.98 and No.11  in  Trans-Ural  Part  of  West-Siberian
       Oil-and-gas  Province".

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