**AGREEMENT AND        CONVEYANCE OP NET PROFITS INTEREST**

THIS AGREEMENT AND CONVEYANCE        is by and between MANUFACTURED METHANE CORPORATION, a Tennessee Corporation, as GRANTOR and        HOACTZIN PARTNERS, LP as GRANTEE. Capitalized terms used but not defined herein shall have        the meaning ascribed to them under that certain Kansas Ten Well Drilling Program of even        date herewith.

In consideration of Grantee's        subscription for interests in that certain Kansas Ten Well Drilling Program conveyed by the        Company as of the date hereof(        the "DrillingProgram")and other good and valuable        consideration and the further consideration of the mutual promises and agreements contained        herein, Grantor hereby grants, sells, and conveys to Grantee a "Net Profits Interest" which        shall consist of an interest equal to seventy five percent (75%) of the Net Profits        (defined below) received by Grantor from that certain methane extraction project at the        Carter Valley landfill owned by Allied Waste Industries in Church Hill, Hawkins County,        Tennessee in which Grantor is engaged and has contracted with the landfill owner for the        construction of facilities necessary for extraction of merchantable methane gas as a        substitute for natural gas (the "Project"). The interest conveyed hereby shall be due and        payable monthly by Grantor to Grantee in cash, commencing upon commercial operations of the        Project and shall continue for the remaining life of the Project; provided, however that        Grantee's Net Profits Interest shall be reduced to seven and one half percent (7.5%) of the        Net Profits received by Grantor at such time that the sum of (i) the net revenues from. all        drilled Program Wells (net of both operating expenses and management fees) received by        Grantee under the Drilling Program and (ii) receipts from the Grantee's Net Profits        Interest exceeds the sum of (i) one hundred thirty five and 47 hundredths percent        (135.47%)*of****the***Purchase Price of the Units        purclmsed by Grantee under the Drilling Program and (ii) the amount of any further funding        provided by Grantee for operating or capital expenses, plugging and abandonment costs, or        in any other respect in relation to the Program Wells or the Project. For purposes of the        calculation set forth in this paragraph, Grantor shall maintain a reasonable reserve for        reasonably foreseeable future expenses related to the Project. Grantor does not become a        party to, or a third party beneficiary of, any of such other agreements by the operation of        this provision.

In connection with the        conveyance made herein as described above, the parties agree as follows:

1. "Net Profits" shall mean        the gross sales price received by Grantor for all volumes of methane gas actually produced        and sold by Grantor from the Project, less the royalty paid by Grantor to the property        owner, less the expenses incurred by Grantor in operating the mechanical equipment required        at the Project (but excluding capital expenditures) and all associated out of pocket costs        or expenses including: utilities; maintenance; salaries of persons required for Project        operation (excluding however any allocation of general corporate overhead or salaries); gas        analysis or quality testing costs charged by third parties for Project*gas or project*facilities such as pipe        metallurgical testing if any; property taxes

whether real or personal        assessed to the Project by any taxing authority; and salestaxes if any are applicable.        For the determination of Net Profits of the Project, any taxes assessed against the        pipeline system of Tengasco Pipeline Corporation or pipeline tariffs charged by Tengasco        Pipeline Corporation for transportation ofProject**gas**shall not be deducted from        gas sales proceeds in determining the Net Profits conveyed hereby,

|  | 2.      | Failure by                    Grantor to make the payments contemplated Hereunder shall constitute a breach                    of this Agreement and of the Kansas Ten Well Drilling Program of even date                    herewith, and Grantee shall be entitled to any and all remedies available at                    law or equity, including specific performance. |
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|  | 3.      | The grant                    evidenced hereby shall not be deemed to establish or constitute a partnership                    or joint venture between Grantor and Grantee. |
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|  | 4.      | This Agreement                    shall be governed by and construed in accordance with the laws of the State of                    Tennessee. Any provision of this Agreement that may be unenforceable or invalid                    under any law shall be ineffective to the extent of such unenforceability or                    invalidity without affecting the enforceability or validity of any other                    provision hereof. |
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|  | 5.      | Any notice                    required to be given to any person shall be deemed sufficient if mailed,                    postage prepaid, to such person's address as follows, unless other                    addressis                    furnished to the other party at any time for thepur                    pose                    of receiving notices hereunder: |
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Manufactured Methane        Corporation10215        Technology Drive, Suite 301Knoxville, TN        37932

Hoactzin Partners, LPP.O. Box 16867

Fernandina Beach, FL        32035

|  | 8.      | This Agreement                    may not be assigned without the written consent of the other party, provided                    that the Grantor's consent to an assignment by Grantee of its interests shall                    not be unreasonably withheld. The provisions of this Agreementare binding on                    any assigns and successors of the assigning party. |
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|  | 9.      | The Parties                    hereby irrevocably consent and submit to the exclusive jurisdiction of, and                    exclusive venue in, the United States federal courts and thecourts of the                    State of Tennessee in Knoxville, Tennessee, in connection with any action or                    proceeding arising out of or relating to this Agreement and Conveyance or any                    document or instrument delivered pursuant hereto. |
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|  | 8.      | 10.                    Notwithstanding anything to the contrary, in no event shall the amount taken,                    reserved or paid, charged or agreed to be paid, for the use, forbearance or                    detention of money advanced pursuant hereto or pursuant to any other document                    executed in connection herewith, exceed the maximum rate allowedby Tennessee law.                    If any one or more of the provisions contained herein, or the application                    thereof in any                    cir                    cumstance, is held invalid, illegal or unenforceable in any respect for any                    reason, the validity, legality and enforceability of any other provisions                    hereof shall not be in any way impaired,unless the                    provisions held invalid, illegal or unenforceable shall substantially impair                    the benefits of the remaining provisions hereof. |
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The parties hereto agree that        each of them shall execute such documents and perform such further acts (including, without        limitation, obtaining any consents, exemptions, authorizations or other actions by, or        giving any notices to, or making any filings with, any governmental authority or any other        person) as may be reasonably required or appropriate to carry out or to perform the        provisions of this        Agr        eement.         

SIGNED AND EFFECTIVE this the        17th day of September, 2007. MANUFACTURED METHANE CORPORTION

By: s/Cary V.        Sorensen

Cary V. Sorensen, President

HOACTZIN PARTNERS, LP        By: Dolphin Advisors, LLC, its managing general partner By: Dolphin Management Inc., its        managing member

By: s/Peter E. Salas        Title: President

By:             Name: Peter E. SalasTitle: President