Exhibit 10.1

                                OPTION AGREEMENT
          (OPTION TO ACQUIRE OIL AND GAS LEASES IN ONSHORE GULF COAST)

AMERICAN  EXPLORATION CORP., (herein called "AMERICAN") or its nominee, a Nevada
Registered  Corporation with it business offices located at 1915 27 Avenue N.E.,
Suite 110, Calgary, Alberta, T2E 7E4

                                                       (PARTY of the First Part)

AND

WESTROCK LAND CORP., (herein called "WESTROCK"),  a Texas Registered Corporation
with it business offices located at 5050 Quorum Drive, Suite 700, Dallas, Texas,
USA 75254; Ph (214) 722-6497; Fax (214) 722-6499;

                                                      (PARTY of the Second Part)

WHEREAS:

A.   American or its  nominee.  and/or its  affiliates  (in  combination  called
     "AMERICAN") desires to acquire a seventy-five (75%) NET REVENUE INTEREST in
     approximately  5,000 net acres in oil and gas  leases  (herein  called  the
     "LEASES")  in the lands  located in the  onshore  Gulf Coast  region of the
     United States,  (hereinafter referred to as the "ACQUIRED PROPERTIES") from
     Westrock.

B.   This  Option  Agreement  (the  "AGREEMENT")  is binding on both  Parties as
     provided herein.

C.   American  has  utilized  information  provided by Westrock  for purposes of
     entering in to this Agreement.

D.   This Agreement is based on the  representation by Westrock that it owns all
     rights  to all  depths  pursuant  to  the  Leases  comprising  a  total  of
     approximately  5,000 net acres  (sometimes  also referred to as net mineral
     acres herein called "NET ACRES") comprising the Acquired Properties.

E.   Westrock has disclosed and American acknowledges that it understands that a
     well must be  "SPUDDED"  (that is the commence of drilling) on the Acquired
     Properties no later than May 31, 2009.

F.   For more  particularity the Acquired  Properties are set out and located in
     the Map attached  hereto as Schedule "A", which the Parties  acknowledge is
     sufficiently particular for the purposes of this Agreement.

The  Parties  hereby  acknowledge,  promise  and  agree,  for good and  valuable
consideration  the sufficiency of which is mutually  acknowledged by the Parties
hereto, to the following:

1.   INTERPRETATION.

     THE RECITALS - are formally  relied upon by the Parties as an integral part
     of the body of this Agreement.

     THE HEADINGS - The division of this Agreement  into Articles,  Sections and
     Subsections  and the insertion of headings is for  reference  only and does
     not affect the construction or interpretation of this Agreement. References
     herein to  Articles  and  Sections  are to  Articles  and  Sections of this
     Agreement.
<PAGE>
     INTENDED MEANING - The terms "this  Agreement",  "hereof",  "hereunder" and
     similar  expressions  refer  to this  Agreement  and not to any  particular
     Article,  Section or other portion hereof, unless expressly stated to apply
     to a particular Article,  Section or other portion hereof and this includes
     any agreement,  schedule or instrument  which is  supplemental or ancillary
     hereto,   unless  something  in  the  subject  matter  or  the  context  is
     inconsistent therewith.

     GENDER,  NUMBER ENTITY - In this  Agreement,  words  importing the singular
     number  include the plural and vice versa;  words  importing the masculine,
     feminine or neuter  genders  includes  the  masculine,  feminine and neuter
     genders;   and  words   importing   persons   will   include   individuals,
     partnerships,   associations,   trusts,  unincorporated  organizations  and
     corporations;  where such importing is reasonably consistent with language,
     meaning, character and context herein.

     CURRENCY - In this  Agreement  all  references  to  currency  are in United
     States Dollars (USD$) unless expressly stated to the contrary herein.

2.   PAYMENT OF DEPOSIT AND PURCHASE PRICE.  American agrees to pay Westrock SIX
     HUNDRED  AND  TWENTY-FIVE  (USD$625.00)  DOLLARS  per Net  Acre.  The total
     purchase  price  (the  "PURCHASE  PRICE")  for  the  Acquired  Property  is
     calculated as [(5,000 Net Acres) X  (USD$625.00/Net  Acres) = THREE MILLION
     ONE HUNDRED AND  TWENTY-FIVE  THOUSAND  (USD$3,125,000)  DOLLARS.  American
     agrees to pay a 25% deposit (the "DEPOSIT") of SEVEN HUNDRED AND EIGHTY-ONE
     THOUSAND TWO HUNDRED AND FIFTY  (USD$781,250)  DOLLARS to secure the option
     (the  "OPTION")  to  purchase  the  Acquired   Property  pursuant  to  this
     Agreement.  The Deposit will be  non-refundable,  subject to the exceptions
     under Article 7 where American provides documented proof of a deficiency in
     the  Net  Acres  comprising  the  Acquired   Properties  (herein  called  a
     "MARKETABLE  TITLE  DEFICIENCY")  or where any defects or objections to the
     Lease  Documents  in  relations  exceeds ten (10)  percent of the  Acquired
     Property.  The  balance of the  Purchase  Price will be TWO  MILLION  THREE
     HUNDRED  AND   FORTY-THREE   THOUSAND   SEVEN   HUNDRED  AND   SEVENTY-FIVE
     (USD$2,343,750)  DOLLARS,  which is due and payable on or before expiration
     of the time for  completion  of due  diligence  (the  "DUE  DILIGENCE")  by
     American.  The  appropriate  assignments  will be prepared  and executed in
     regard to the Leases.

3.   OPTION PERIOD.  Westrock hereby grants American the time period between the
     date of execution of this  Agreement  and November 17, 2008 to complete its
     due diligence (herein called the "OPTION PERIOD").

4.   ASSIGNMENT.  At the date and time of  Closing,  Westrock  will  convey  the
     Acquired  Properties to American by a mutually  acceptable  assignment  and
     bill of sale,  which  will  include a special  warranty  of title,  whereby
     Westrock  expressly  limits its obligation to defending and saving harmless
     American's  right,  title and  interest in and to the  Acquired  Properties
     solely and exclusively against any third party claim made, through or under
     Westrock, but not otherwise.

5.   LIENS AND  ENCUMBRANCES.  The Acquired  Properties will be transferred from
     Westrock  to  American  free and  clear of all  liens,  mortgages,  rights,
     assignments  or  reassignment,  reversionary  rights,  calls on production,
     preferential  rights,  consents to assign,  taxes (other than those for the
     current  year),  obligations  (including  delinquent  operating  expenses),
     claims, suits, or any other encumbrances.

6.   EFFECTIVE  DATE OF CLOSING.  The  effective  date of the  conveyance of the
     Acquired  Properties  will be at 12:30 P.M. (PST) on November 17, 2008 (the
     "EFFECTIVE CLOSING DATE").  Parties will use their best efforts to complete
     the  transactions  contemplated in this Agreement and thereby "close" on or
     before November 17, 2008.

7.   CONFIRMING  DUE  DILIGENCE.  American  will conduct due  diligence  (herein
     called "Due Diligence") to confirm the title, ownership and area comprising
     the Acquired  Property,  together  with any other  matters  American  deems

                                       2
<PAGE>
     material to its  decision to exercise  the Option and purchase the Acquired
     Property. Due Diligence will include, but is not limited to, the following:

7.1  Confirmation of the  marketability of title (including  verification of the
     "held by production" or "HBP" Leases, as being in full force and effect).

7.2  If American  provides  documentary  evidence to Westrock  during the Option
     Period,  in support of its  reasonable  opinion that  Westrock does not own
     marketable title to:

     7.2.1    At least a 75% NRI in at least  5,000  Net  Acres  comprising  the
              Acquired  Properties,   then  American  will  be  deemed  to  have
              established that there is a "MARKETABLE  TITLE  DEFICIENCY" in the
              Acquired Properties.

7.3  If American can establish  with  documented  evidence there is a Marketable
     Title  Deficiency  in the Acquired  Properties;  then,  at its  discretion,
     American may terminate  this  Agreement by providing  written notice of the
     same to Westrock.

7.4  If at any time  during  the Option  Period,  American  provides  documented
     evidence of a Marketable  Title  Deficiency  in the Acquired  Properties to
     Westrock  accompanied by written notice, to Westrock,  of its intention not
     to exercise the Option on that basis, then:

     7.4.1    Neither  Party  will  have  any  further  duties,  obligations  or
              liability to the other under this Agreement;  subject to the right
              of  Westrock  to  dispute  the  claim of  American  regarding  the
              documented  evidence of Marketable Title Deficiency as provided in
              this Sub-section 7.4.

     7.4.2    Where Westrock disputes the documented evidence delivered to it by
              American   regarding  the  alleged  Marketable  Title  Deficiency,
              Westrock  will  have  Thirty  (30)  days  (the  "THIRTY  DAY REPLY
              PERIOD")  from the date of  receipt  of the  documents,  allegedly
              establishing the Marketable Title Deficiency,  to provide American
              with  documented  title evidence  refuting the alleged  Marketable
              Title Deficiency.

     7.4.3    Where  Westrock  fails to deliver such  documented  title evidence
              establishing  it  has  good  marketable   Title  to  the  Acquired
              Properties  as it  represents  herein  within the Thirty Day Reply
              Period, it will be deemed to have accepted the American documented
              evidence   establishing  a  Marketable  Title  Deficiency  in  the
              Acquired Properties.

     7.4.4    Where either Westrock accepts the documented evidence delivered to
              it by  American  regarding  the  Marketable  Title  Deficiency  as
              accurate or fails to respond  within Thirty Day Reply Period,  the
              Agreement  is  deemed to be  terminated  and the  Deposit  will be
              returned to American on or before the expiration of the Thirty Day
              Reply Period.

     7.4.5    If   Westrock   replies  to  the   American   deficiency   related
              documentation by providing documented evidence establishing it has
              good marketable Title to the Acquired Properties within Thirty Day
              Reply  Period,  it will be deem  to  have  rejected  the  American
              documented evidence  establishing a Marketable Title Deficiency in
              the Acquired Properties, then:

     7.4.5.1  American  may accept the further  documented  evidence of Westrock
              establishing  good Marketable  Title;  reinstate the Agreement and
              readjusted the Closing Date accordingly.

     7.4.5.2  The further  documented  evidence of  Westrock  establishing  good
              Marketable  Title is accepted by American,  but the Parties do not
              agree to reinstated the Agreement, accordingly the Deposit will be
              retained by Westrock.

                                       3
<PAGE>
     7.4.5.3  American  rejects  the  further  documented  evidence  provided by
              Westrock allegedly establishing good Marketable Title; the Parties
              do not reinstate the Agreement and  accordingly  Westrock will not
              retain  the  Deposit.  Under  these  circumstances,  Westrock  and
              American  will agree on a third party (see  definition  below of a
              "THIRD  PARTY"  below) to hold the Deposit in escrow and each side
              will agree to submit the matter to a single independent arbitrator
              under  the  American  Arbitration  Association   Guidelines.   The
              Arbitration  will be  commenced  within sixty (60) days of America
              giving   written  notice  of  its   rejection.   The   Arbitration
              proceedings  will be commenced  within the legal  jurisdiction for
              hearing matters under this Agreement,  unless the parties mutually
              agree to another jurisdiction for the arbitration of this matter.

     7.4.6    Nothing in this  Agreement will require the Parties to dispute any
              other issue or matter under this Agreement by any particular  form
              of dispute  resolution,  including  arbitration.  The Parties have
              expressly  agreed to  arbitration as the  appropriate  alternative
              dispute resolution  mechanism for the determination of which Party
              is  entitled to the Deposit  under this  Sub-section  7.4. In this
              Agreement, the term "THIRD PARTY" means and includes any person or
              entity,  which  is  not a  Party  or  its  agent,  representative,
              employee, assign or affiliate.

7.5  The Due  Diligence  will further  include a review of all Lease  documents,
     lease agreements (including lease expirations,  surface access restrictions
     and drilling  commitments,  if any), unit  agreements,  and other contracts
     applicable to the Acquired Properties.

7.6  American's obligations hereunder will be subject to its reasonable approval
     of the Lease documents,  lease agreements and other material agreements (in
     combination  generally referred to as the "LEASE DOCUMENTS")  affecting the
     Acquired Properties.  Provided however, the Deposit will be non-refundable;
     except  where  during the Option  Period  American,  delivers  to  Westrock
     documented evidence  establishing that any defects or enforceability issues
     are found in a material amount of the Lease  Documents.  They Parties agree
     that where at any time over ten (10%)  percent of the  Acquired  Properties
     are affected by the Lease  Documents which are objected to by American that
     would constitute "A MATERIAL AMOUNT OF THE LEASE DOCUMENTS" as that term is
     used by the Parties in this Agreement.

7.7  Other acts of Due  Diligence  appropriate  to the  transaction  as mutually
     agreed between the Parties.

8.   COOPERATION AND  EXCLUSIVITY.  American and Westrock will cooperate in good
     faith  and  proceed  expeditiously  in the  preparation  of  all  documents
     necessary to consummate the  transaction  contemplated  by this  Agreement.
     Westrock  agrees that after  execution of this Agreement and for so long as
     it is in effect;  it will not directly or  indirectly  solicit or entertain
     any  other  offer to  acquire  the  Acquire  Properties  or enter  into any
     discussions, negotiations or agreement that provides for the acquisition of
     the Acquired Properties with any third party.

9.   ACCESS TO DATA.  Westrock agrees to provide American  reasonable  access in
     Westrock's  office to the books and records of Westrock  pertaining  to the
     Acquired Properties promptly after execution of this Agreement.

10.  CONFIDENTIALITY.  It is  understood  and agreed  that the  contents of this
     Agreement,  all Lease  Documents  or related  data,  test  results,  sample
     analysis,  and similar  information,  whether in  documented  or electronic
     formats, which are delivered and exchanged by and between the Parties, will
     deemed to be confidential  information  ("CONFIDENTIAL  INFORMATION").  All
     Confidential  Information as defined herein  including  documents marked or
     described as confidential will remain confidential  between Parties and not
     disclosed to Third Parties  except with the express  written  permission of
     the  disclosing   party  to  the  receiving  party  of  such   Confidential

                                       4
<PAGE>
     Information.  A receiving party may disclose Confidential  Information to a
     Third Party under this Agreement  where such Third Party has a confidential
     relationship   with  Westrock  or  American.   Provided  further  that  any
     disclosure of Confidential  Information by a Party to a Third Party must be
     limited to only  instances  where  there is a need for such Third  Party to
     know and that  Third  Party  has  agreed  is bound by this  confidentiality
     obligation.

11.  PUBLIC  ANNOUNCEMENTS.  Any public announcement of the proposed transaction
     by either party shall be approved in advance by the other party.

12.  NOTICES.  All notices  regarding  this  Agreement will be in writing to the
     addresses of the Parties as they appear at the beginning of this  Agreement
     or to the addresses their  respective legal advisors where disclosed by the
     Parties to each other in writing.

12.1 All notices will be in written or electronic  form and deemed  delivered as
     follows:

     12.1.1   Three days after posting by prepaid registered mail

     12.1.2   On the date of receipt by facsimile transmission, proof of receipt
              will be the fax confirmation printout received as the sender's fax
              transmission sheet.

     12.1.3   On the date of receipt of an email by the recipient

     12.1.4   On the date of delivery by hand or courier.

12.2 All notices given in written or electronic form are delivered  according to
     the terms and  conditions  for notice under this Agreement when sent to the
     Addresses set out at the head of this Agreement.

13.  COUNTERPARTS; ELECTRONICALLY AND FACSIMILE TRANSMISSION OF EXECUTED COPIES.
     The Parties deem each duly executed  counterpart  to be an original and all
     of which form the same document.

13.1 Each duly executed  counterpart in combination with the other  counterparts
     constitutes a duly executed Agreement.

13.2 The duly executed counterparts of this Agreement may be facsimile copies or
     electronically  duplicated copies and a facsimile or electronically scanned
     copy of the signed in  counterparts  is  sufficient to constitute a binding
     contract.

13.3 Where a Party expressly  insists on the delivery of an originally  executed
     copy of a Counterpart the other Party's compliance with this requirement is
     in addition to, but in no way  derogates  from the valid,  enforceable  and
     binding effect of this Agreement.  The Agreement is valid,  enforceable and
     binding  immediately  upon  delivery of a duly signed  counterpart  of this
     Agreement by facsimile or electronic delivery pursuant to Sub-sections 13.1
     and 13.2 hereof.

14.  GOVERNING LAW AND JURISDICTION. Unless the Parties agree to the contrary in
     writing,  this  Agreement  is subject to the laws of the State of Texas and
     the jurisdiction of any court,  arbitrator other tribunal competent to hear
     matters in dispute under this Agreement. The Parties each promise and agree
     to  attorn  to the  jurisdiction  of  Texas as a form  convenience  to hear
     matters and disputes  hereunder.  The Parties may only commence  proceeding
     hereunder in another jurisdiction upon mutual written agreement.

15.  EXPENSES.  Each Party will pay its own expenses and costs incidental to the
     negotiation and completion of the transaction,  and related Closing matters
     including legal and accounting fees.

                                       5
<PAGE>
     Both  parties  agree to the terms and  provisions  set forth in this Option
     Agreement;

AGREED TO AND ACCEPTED THIS ____ DAY OF OCTOBER, 2008

AMERICAN EXPLORATION CORP.


By: /s/ Steve Harding
   ---------------------------------
   Steve Harding, CEO

WESTROCK LAND CORP.

By: /s/ Gary Powers
   ---------------------------------
   Gary Powers, President


                                       6