***The      securities to which this agreement relate have not been registered under the      United States Securities Act of 1933, as amended, any U.S. state securities      laws, any applicable Canadian securities laws, or any securities laws of any      other jurisdiction and may not be offered or resold in the United States or      in      Canada without registration under such applicable U.S. or Canadian securities      laws, unless an exemption from registration is available and only upon the      holder thereof first having obtained the written opinion of counsel to the      Company, or other counsel acceptable to the Company, that the proposed      disposition is consistent with all applicable provisions of such Act as well      as      any other applicable securities law.***

**PRIVATE      PLACEMENT SUBSCRIPTION AGREEMENT**

**Details      of      Subscription:**

|   | a. | Class                A warrant – $0.70  per                share |
|--------|----|----------------------------------------------------------------------------------|

|   | b. | Class                B warrant – $0.74 per share |
|--------|----|--------------------------------------------------------|

| **Number                of Units to be purchased:**                                                                         |   |   | Units  |
|-----------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|
| **Total                Subscription Price:**        ($0.64                per Unit) | $      |   |   |

| **Name                of Subscriber:** |   |                                                    |
|----------------------------------------|--------|---------------------------------------------------------|
| **Address:**                           |   |                                                    |
|                                   |   | (Street                Address)                    |
|                                   |   | (City                and Province)                 |
|                                   |   | (Country                and Postal or Zip Code)    |
|                                   |   | (Contact                Name)                      |
|                                   |   | (Contact’s                Telephone Number)  |
|                                   |   | (Contact’s                e-mail Address)         |

----

|                                                                              |   |                                                                      |
|-----------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------|
| Signature                of Subscriber (if an individual)     | Per:   | Name                of Subscriber (if not an individual)                  |
| Name                of Subscriber (if an individual)                              |   | (signature                of authorized representative)                   |
|                                                                              |   | Name                and Title of Authorized                Representative |

**ACCEPTANCE**

**AMERICAN      GOLDFIELDS INC.**

** By:   ________________________**

----

**SCHEDULE      I**

**CONFIRMATION      OF RELATIONSHIP**

*Capital      Raising Exemptions*

*initial      one or more as appropriate*

| _____ | (a) | a                director, senior officer or control person of the Company, or of                an                affiliate of the Company; |
|-------|-----|----------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (b) | a                spouse, parent, grandparent, brother, sister or child of a director,                senior officer or control person of the Company, or of an affiliate                of the                company; |
|-------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (c) | a                close personal friend of a director, senior officer or control person                of                the Company, or of an affiliate of the                Company; |
|-------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (d) | a                close business associate of a director, senior officer or control                person                of the Company, or of an affiliate of the                Company; |
|-------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (e) | a                person or company that is wholly-owned by any combination of persons                or                companies described in paragraphs (a) to                (d), |
|-------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | and                if (b), (c), (d) or (e) is initialed the director, senior officer                or                control person is: |
|--------|------------------------------------------------------------------------------------------------------------------------------------------|

|   | ________________________________________ |
|--------|------------------------------------------|

|   | (*Print                name of director, senior officer or control                person*) |
|--------|--------------------------------------------------------------------------------------------|

|   | a. | “close                business associate” means an individual who has had sufficient prior                business dealings with the director, senior officer or control person                to                be in a position to assess the capabilities and trustworthiness of                the                director, senior officer or control                person. |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | A                casual business associate or a person introduced or solicited for                the                purpose of purchasing securities is not a close business                associate.  An individual is not a close business associate                solely because the individual is a client or former client.  For                example, an individual is not a close business associate of a registrant                or former registrant solely because the individual is a client or                former                client of that registrant or former                registrant. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | b. | “close                personal friend” means an individual who has known the director, senior                officer or control person for a sufficient period of time to be in                a                position to assess the capabilities and trustworthiness of the director,                senior officer or control person. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the                individual is a member of the same organization, association or religious                group, or |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | · | the                individual is a client or former                client. |
|--------|--------|----------------------------------------------------------------------------|

|   | c. | “company”                means any corporation, incorporated association, incorporated syndicate                or                other incorporated organization. |
|--------|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | d. | “person”                means and individual, partnership, unincorporated association,                unincorporated syndicate, unincorporated organization, trust, trustee,                executor, administrator or other legal                representative. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | e. | “spouse”means,                in relation to an                individual, another individual to whom that individual is married,                or                another individual of the opposite sex or the same sex with whom                that                individual is living in a conjugal relationship outside                marriage. |
|--------|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Please                print name and individual whose signature appears above, if different                name                of purchaser printed above. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | **SCHEDULE                II** |
|--------|--------------------------------|

|   | **ACCREDITED                INVESTOR CONFIRMATION** |
|--------|-----------------------------------------------------|

|   | (For                accredited investors resident in British Columbia or                Alberta) |
|--------|--------------------------------------------------------------------------------------------------|

*Capital Raising Exemptions*
*initial as appropriate*

| _____ | (a) | a                Canadian financial institution, or an authorized foreign bank listed                in                Schedule III of the *Bank Act*                (Canada); |
|-------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (b) | the                Business Development Bank of Canada incorporated under the *Business                Development Bank of Canada Act*                (Canada); |
|-------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (c) | an                association under the *Cooperative Credit Associations Act*                (Canada) located in Canada; |
|-------|-----|--------------------------------------------------------------------------------------------------------------------------|

| _____ | (d) | a                subsidiary of any person or company referred to in paragraphs (a)                to (c),                if the person or company owns all of the voting securities of the                subsidiary, except the voting securities required by law to be owned                by                directors of that subsidiary; |
|-------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (e) | a                person or company registered under the securities legislation of                British                Columbia or Alberta, or under the securities legislation of another                jurisdiction of Canada, as an adviser or dealer, other than a limited                market dealer registered under the *Securities Act*                (Ontario); |
|-------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (f) | an                individual registered or formerly registered under the securities                legislation of British Columbia or Alberta, or under the securities                legislation of another jurisdiction of Canada, as a representative                of a                person or company referred to in paragraph                (e); |
|-------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (g) | the                government of Canada or a province, or any crown corporation or agency                of                the government of Canada or a                province; |
|-------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (h) | a                municipality, public board or commission in                Canada; |
|-------|-----|-------------------------------------------------------------------------------------|

| _____ | (i) | any                national, federal, state, provincial, territorial or municipal government                of or in any foreign jurisdiction, or any agency of that                government; |
|-------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (j) | a                pension fund that is regulated by either the Office of the Superintendent                of Financial Institutions (Canada) or a provincial pension commission                or                similar regulatory authority; |
|-------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| _____ | (k) | a                registered charity under the *Income Tax Act*                (Canada) |
|-------|-----|----------------------------------------------------------------------------------------|

| _____ | (l) | an                individual who, either alone or jointly with a spouse, beneficially                owns,                directly or indirectly, financial assets having an aggregate realizable                value that before taxes, but net of any related liabilities, exceeds                CDN$1,000,000; |
|-------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (m) | an                individual whose net income before taxes exceeded CDN$200,000 in                each of                the two most recent years or whose net income before taxes combined                with                that of a spouse exceeded CDN$300,000 in each of the two most recent                years                and who, in either case, reasonably expects to exceed that net income                level in the current year; |
|-------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (n) | a                corporation, limited partnership, limited liability partnership,                trust or                estate, other than a mutual fund or non-redeemable investment fund,                that                had net assets of at least CDN$ 5,000,000 as shown on its most recently                prepared financial statements; |
|-------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (o) | a                mutual fund or non-redeemable investment fund that, in British Columbia                or                Alberta, distributes its securities only to persons or companies                that are                accredited investors; |
|-------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (p) | a                mutual fund or non-redeemable investment fund that, in British Columbia                or                Alberta, distributes its securities under a prospectus for which                the                British Columbia or Alberta Securities Commission, as the case may                be, has                issued a receipt; |
|-------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (q) | an                entity organized in a foreign jurisdiction that is analogous to any                of the                entities referred to in paragraphs (a) through (e) and paragraph                (j) in                form and function; or |
|-------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| _____ | (r) | a                person or company in respect of which all of the owners of interests,                direct or indirect, legal or beneficial, are persons or companies                that are                accredited investors. |
|-------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | a. | “company”                means any corporation, incorporated association, incorporated syndicate                or                other incorporated                organization. |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | b. | “entity”                means a company, syndicate, partnership, trust or incorporated                organization. |
|--------|----|---------------------------------------------------------------------------------------------------------------------------------|

|   | c. | “financial                assets” means cash and securities. |
|--------|----|--------------------------------------------------------------------------|

|   | d. | “mutual                fund” indicates an issuer of securities that entitle the holder to receive                on demand, or within a specified period after demand, an amount computed                by reference to the value of a proportionate interest in the whole                or in a                part of the net assets, including a separate fund or trust account,                of the                issuer of securities. |
|--------|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | e. | “non-redeemable                investment fund” means an issuer: |
|--------|----|------------------------------------------------------------------------------|

|   | i. | whose                primary purpose is to invest money provided by its security                holders; |
|--------|----|----------------------------------------------------------------------------------------------------------|

|   | ii. | that                does not invest for the purpose of exercising effective control,                seeking                to exercise effective control, or being actively involved in the                management of the issuers in which it invests, other than other mutual                funds or non-redeemable investment funds;                and |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | iii. | that                is not a mutual fund. |
|--------|------|-------------------------------------------|

|   | f. | “person”                means an individual, partnership, unincorporated association,                unincorporated syndicate, unincorporated organization, trust, trustee,                executor, administrator or other legal                representative. |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | g. | “related                liabilities” means liabilities incurred or assumed for the purpose of                financing the acquisition or ownership of financial assets and liabilities                that are secured by financial                assets. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | h. | “spouse”                means, in relation to an individual, another individual to whom that                individual is married, or another individual or the opposite sex                or the                same sex with whom that individual is living in a conjugal relationship                outside of marriage. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an                “affiliated entity” of another person or company if one is a subsidiary                entity of the other, or if both are subsidiary entities of the same                person                of company, or if each of them is controlled by the same person or                company. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | “controlled”                by a person or company if, |
|--------|--------|--------------------------------------------------------------------|

|   | a. | in                the case of a person or company, |
|--------|----|----------------------------------------------------|

|   | i. | voting                securities of the first-mentioned person or company carrying more                than 50%                of the votes for the election of directors are held, otherwise than                by way                of securities only, by or for the benefit of the other person or                company;                and |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | ii. | the                votes carried by the securities are entitled, if exercised, to elect                a                majority of the directors of the first-mentioned person or                company; |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | b. | in                the case of a partnership that does not have directors, other than                a                limited partnership, the second-mentioned person or company holds                more                than 50% of the interests in the partnership;                or |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | c. | in                the case of a limited partnership, the general partner is the                second-mentioned person or company. |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a                “subsidiary entity” of another person or company                if: |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | a. | it                is controlled by, |
|--------|----|-------------------------------------|

|   | i. | that                other, or |
|--------|----|-------------------------------|

|   | ii. | that                other and one or more persons or companies each of which’s controlled by                that other, or |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------|

|   | iii. | two                or more persons or companies, each of which is controlled by that,                or |
|--------|------|---------------------------------------------------------------------------------------------------------|

|   | b. | it                is a subsidiary entity of a person or company that is the other’s                subsidiary entity. |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------|

**DATED**

|   | Please                print name and individual whose signature appears above, if different                name                of purchaser printed above. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**DETAILS      AND CONDITIONS OF THE SUBSCRIPTION**

**1.           Description      of Securities**

**The      Securities will be subject to statutory hold periods during which they may      not      be transferred or resold.  Subscribers are advised to consult their      own legal advisers in connection with any applicable resale      restrictions.**

**2.           Payment      of Subscription Price**

**3.           Documents      Required**

|   | a. | Schedule                I, a Confirmation of Relationship, if the Subscriber is a director,                senior                officers or control person of the Company or a close personal friend,                close business associate, spouse, parent, grandparent, sibling or                child of                a director, senior officer or control person of the                Company. |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | b. | Schedule                II, a British Columbia or Alberta Accredited Investor Confirmation,                if the                Subscriber is an accredited investor resident in British Columbia                or                Alberta. |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**4.           Closing**

**5.           Acknowledgements      by All Subscribers**

----

|   | (i) | The                Subscriber realizes that the basis for the exemption may not be present                if, notwithstanding such representations, the Subscriber has in mind                merely acquiring the Securities for a fixed or determinable period                in the                future, or for a market rise, or for sale if the market does not                rise.  The Subscriber does not have any such                intention; |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | The                Subscriber has the financial ability to bear the economic risk of                his                investment, has adequate means for providing for his current needs                and                personal contingencies and has no need for liquidity with respect                to his                investment in the Company; and |
|--------|------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | The                Subscriber has such knowledge and experience in financial and business                matters as to be capable of evaluating the merits and risks of the                prospective investment in the Securities.  The Subscriber also                represents it has not been organized for the purpose of acquiring                the                Securities; and |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iv) | The                Subscriber has been provided an opportunity for a reasonable period                of                time prior to the date hereof to obtain additional information concerning                the offering of the Securities, the Company and all other information                to                the extent the Company possesses such information or can acquire                it                without unreasonable effort or                expense. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (v) | The                Subscriber has carefully reviewed all of the Company’s filings under the                Securities Exchange Act of 1934, as amended (the “Exchange                Act”). |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 1. | The                Subscriber is not a U.S. Person (as defined below) and is not an                affiliate                (as defined in Rule 501(b) under the Securities Act) of the Company                and is                not acquiring the Securities for the account or benefit of a U.S.                Person.  A U.S. Person means any one of the                following: |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | ***any                natural person resident in the United States of                America;*** |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | · | ***any                partnership or corporation organized or incorporated under the laws                of the                United States of                America;*** |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | ***any                estate of which any executor or administrator is a U.S.                person;*** |
|--------|--------|---------------------------------------------------------------------------------------------------------|

|   | · | ***any                trust of which any trustee is a U.S.                person;*** |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | ***any                agency or branch of a foreign entity located in the United States                of                America;*** |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------|

|   | · | ***any                non-discretionary account or similar account (other than an estate                or                trust) held by a dealer or other fiduciary for the benefit or account                of a                U.S. person;*** |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | ***any                discretionary account or similar account (other than an estate or                trust)                held by a dealer or other fiduciary organized, incorporated or (if                an                individual) resident in the United States of America;                and*** |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | ***any                partnership or corporation                if:*** |
|--------|--------|------------------------------------------------------------------------|

----

|   | (A)                organized or incorporated under the laws of any foreign jurisdiction;                and |
|--------|-------------------------------------------------------------------------------------------------------------|

* *

----

|   | 3. | The                Subscriber will not, during the period commencing on the date of                issuance                of the Securities and ending on the first anniversary of such date,                or                such shorter period as may be permitted by Regulation S or other                applicable securities law (the “Restricted Period”), offer, sell, pledge                or otherwise transfer the Securities in the United States, or to                a U.S.                Person for the account or for the benefit of a U.S. Person, or otherwise                in a manner that is not in compliance with Regulation                S. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 4. | The                Subscriber will, after expiration of the Restricted Period, offer,                sell,                pledge or otherwise transfer the Securities only pursuant to registration                under the Securities Act or an available exemption therefrom and,                in                accordance with all applicable state and foreign securities                laws. |
|--------|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 5. | The                Subscriber was not in the United States, engaged in, and prior to                the                expiration of the Restricted Period will not engage in, any short                selling                of or any hedging transaction with respect to the Securities, including                without limitation, any put, call or other option transaction, option                writing or equity swap. |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 6. | Neither                the Subscriber nor or any person acting on his behalf has engaged,                nor                will engage, in any directed selling efforts to a U.S. Person with                respect                to the Securities and the Investor and any person acting on his behalf                have complied and will comply with the “offering restrictions”                requirements of Regulation S under the Securities                Act. |
|--------|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 7. | The                transactions contemplated by this Agreement have not been pre-arranged                with a buyer located in the United States or with a U.S. Person,                and are                not part of a plan or scheme to evade the registration requirements                of the                Securities Act. |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 8. | Neither                the Subscriber nor any person acting on his behalf has undertaken                or                carried out any activity for the purpose of, or that could reasonably                be                expected to have the effect of, conditioning the market in the United                States, its territories or possessions, for any of the                Securities.  The Subscriber agrees not to cause any                advertisement of the Securities to be published in any newspaper                or                periodical or posted in any public place and not to issue any circular                relating to the Securities, except such advertisements that include                the                statements required by Regulation S under the Securities Act, and                only                offshore and |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | not                in the U.S. or its territories, and only in compliance with any local                applicable securities laws. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------|

|   | 9. | Each                certificate representing the Securities shall be endorsed with the                following legends, in addition to any other legend required to be                placed                thereon by applicable federal or state securities                laws: |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 10. | The                Subscriber consents to the Company making a notation on its records                or                giving instructions to any transfer agent of the Company in order                to                implement the restrictions on transfer of the Securities set forth                herein. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Securities Act*

----

**7.           Representations      and Warranties of the Company**

|   | a. | The                Company  is a valid and subsisting corporation duly                incorporated, continued or amalgamated and in good standing under                the laws                of the State of Nevada; |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | b. | The                Company has complied and will comply with all applicable corporate                and                securities laws and regulations in connection with the offer, sale                and                issuance of the Securities; |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | c. | The                filings made by the Company with the Securities and Exchange Commission                (the “SEC Documents”) and the representations contained in this Agreement                are accurate in all material respects and omit no fact, the omission                of                which would make such representations misleading in light of the                circumstances in which such representation was                made; |
|--------|----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | d. | The                issuance and sale of the Securities by the Company does not and will                not                conflict with and does not and will not result in a breach of any                of the                terms, conditions or provisions of its constituent documents or any                agreement or instrument to which the Company is a                party; |
|--------|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | e. | The                Agreement has been duly authorized by all necessary corporate action                on                the part of the Company and, subject to acceptance by the Company,                constitutes a valid obligation of the Company legally binding upon                it and                enforceable in accordance with its                terms; |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | f. | The                issuance of the Shares and Warrants, at the time of their issue,                will have                been approved by all requisite corporate action and, upon issue and                delivery, will be validly issued, fully paid and non-assessable.                The                Warrant Shares to be issued upon the due exercise of the Warrants                are                reserved for issuance and, upon exercise of the Warrants in accordance                with its terms, will be validly issued, fully paid and                non-assessable; |
|--------|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | g. | The                Company is not a party to any actions, suits or proceedings which                could                materially affect its business or financial condition, and, as at                the date                hereof, no such actions, suits or proceedings have been threatened                or, to                the best of the Company’s knowledge, are pending, except as disclosed in                the SEC Documents; and |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | h. | No                other ceasing or suspending trading in the Securities nor prohibiting                sale                of the Securities has been issued to and is outstanding against the                Company or its directors, officers or promoters and to the best of                the                Company’s knowledge no investigations of proceedings for such purposes are                pending or threatened. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**8.           Legending      of Securities**

----

**9.           Costs**

**10.           Governing      Law**

**11.           Survival**

**12.           Assignment**

**13.           Execution**

**14.           Severability**

**15.           Entire      Agreement**

----

**16.           Notice**

|   | a. | Mailed                shall be deemed to have been received on the fifth business day following                its mailing; |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------|

|   | b. | Telecopied                shall be deemed to have been received on the business day following                the                date of transmission; and |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | c. | Delivered                shall be deemed to have been received on the date of                delivery. |
|--------|----|--------------------------------------------------------------------------------------------------------|

**17.           Binding      Effect**

**19.           Further      Assurances**

**20.           Pronouns.**

----

----

**ACCEPTANCE**

|   | Please                print name and individual whose signature appears above, if different                name                of purchaser printed above. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|