----

| (a)   | the      Vendor owns and have the right to sell the Shares as the legal and      beneficial owner, free of all liens, claims, charges, restrictions on      transfer, voting agreements, voting trusts, escrow conditions and      encumbrances whatsoever; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | the      Vendor has due and sufficient right and authority to enter into this      Agreement on the terms and conditions herein set forth and all necessary      action has been taken by or on the part of the Vendor to authorize the      execution, delivery and performance of this Agreement and all other      documents contemplated hereby; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | the      Vendor acknowledges and agrees that the Purchase Shares and Warrants have      not been and will not be qualified or registered under the securities laws      of Ontario or under any federal or state laws of the United States and as      such, the Vendor may be restricted from selling or transferring such      Purchase Shares under applicablelaw; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | the      Vendor will deliver a certificate prior to closing stating its      jurisdiction of  incorporation, and that all negotiations and      other acts in furtherance of the execution and delivery of this Agreement      by the Vendor in connection with and transactions contemplated herein have      taken place and will take place solely in  Ontario; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)        | Ungava      was duly incorporated under the laws of the Province of Ontario and is in      goodstanding with respect to all statutory filings required by the      applicable corporate laws; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f)        | the      Shares have been duly and validly issued and are outstanding as fully paid      andnon-assessable shares and warrants in the capital of      Ungava; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)        | the      authorized capital of Ungava consists of unlimited number of common and      preferredsharesof which there are 90,000,000 common shares issued and      outstanding as fully paid and non-assessable and 10,000,000 warrants      exercisable at Cd $0.75 per  share; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (h)   | no      person, firm or corporation has any right, agreement or option or a right      capable of becoming a right, agreement or option, whether oral or in      writing, for the purchase of the Shares or to require Ungava to purchase,      redeem or otherwise acquire the Shares or any right capable of becoming a      right, agreement or option for the purchase, subscription or issuance of      any of the unissued shares in the capital of  Ungava; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | Ungava      has the corporate capacity and power to own the assets owned by it and to      carry on the business presently carried on by it and is duly qualified or      licensed to carry on business in all places where it presently conducts      its business; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (j)   | The      audited financial statements of Ungava for the period ended May 31, 2007,      "Ungava’s Financial Statements") which will he delivered at Closing, will      be true and correct in every material respect and present fairly the      financial position of Ungava as at the date of such statements and the      results of its operations for the period then ended in accordance with      generally accepted accounting principles on a basis consistently      applied; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (k)   | since      the date of Ungava's FinancialStatements: |
|-----------------|------------------------------------------------------|

| (i)   | there      has not been any material adverse change in the financial position or      condition of Ungava or any damage, loss or other change in circumstances      materially affecting the business or property of Ungava or its right or      capacity to carry on business, |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | Ungava      has not waived or surrendered any      right of material value, |
|------------------|----------------------------------------------------------------------------------|

| (iii)   | Ungava      has not discharged or satisfied or paid any lien or encumbrance or      obligation or liability other than current liabilities in the ordinary      course of business, |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)        | the      business of Ungava has been carried on in the ordinary course,    and |
|------------------|--------------------------------------------------------------------------------|

| (v)        | the      constating documents of Ungava have not beenamended; |
|-----------------|---------------------------------------------------------------|

| (l)         | the      only contracts, agreements or understandings to which Ungava is legally      bound and which are material to the business or financial position to      Ungava are those contracts, agreements or understandings referred to in      the Ungava financial statements or  described in Schedule "A" to      this Agreement (the "MaterialContracts'); |
|-----------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (m)   | there      are no liabilities, contingent or otherwise, of Ungava not disclosed or      reflected in Ungava's audited Financial Statements except liability      arising under the Material Contracts, and those incurred in the ordinary      course of the business of Ungava since the date of Ungava's Financial      Statement and Ungava has not guaranteed, or agreed to guarantee any debt,      liability or other obligation of any person, firm or      corporation; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (n)   | Ungava      is indebted to the Vendor in the amount of  Cd $      1,500,000  on a demand notebasis; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------|

| (o)   | no      dividends or other distribution of any kind on any shares in the capital      of Ungava and no distribution of assets in any form or manner have been      made, declared or authorized since its incorporation nor will any be      declared, paid or authorized after the date hereof and up to the      Closing; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (p)   | no      payments of any kind have been made or authorized by or on behalf of      Ungava to or on behalf of the Vendors or to or on behalf of officers,      directors, shareholders or employees of Ungava or under any management      agreements with Ungava, other than in the ordinary course of      business; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (q)   | The      Vendor and Ungava through its subsidiary Ungava Minerals Exploration Inc.,      is currently involved in litigation regarding its mineral property with      James Mungall, and the University of Toronto in Ontario and in Quebec is      involved in actions regarding  the Option Agreement of January      12, 2001 with Canadian Royalties Inc., and various trespasses and other      torts regarding which full disclosure had not been made to the Purchaser,      other than that, the Vendor knows of no basis for and there are no      actions, suits, judgments, investigations or proceedings outstanding or      pending or threatened against or affecting Ungava at law or in equity or      before or by any federal, provincial, state, municipal or other      governmental department. commission, board, bureau or    agency; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (r)   | Ungava      does not have a pension plan, profit sharing plan, group insurance or      similar plans or other deferred compensation plans or any hospitalization      plan, disability plan or other employee benefit plan, program or policy      with respect to any of itsemployees; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (s)   | Ungava      has good and marketable title to all its properties and assets as      reflected in Ungava's Financial Statements and such properties and assets      are not subject to any mortgage, pledge, deed of trust, lien, conditional      sale agreement, option, encumbrance orcharge; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (t)   | at      the Closing Date, neither the Vendor nor any officers, directors or      employees of Ungava are now indebted or under obligation to Ungava on any      account whatsoever; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (u)   | all      tax returns and reports of Ungava required by law to be filed prior to the      date hereof have been or will be filed prior to the Time of Closing and      are or will be substantially true, complete and correct and all taxes and      government charges have been paid oraccrued; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | neither      this Agreement nor the performance of the transactions contemplated in      this Agreement will conflict with or result in a violation of the      incorporating documents of Ungava, any resolutions of its directors or      shareholders or of any agreement to which any of the Vendor or Ungava is a      party or any law, rule or regulation, judgment or order to which any of      them are subject and will not give any person any right to terminate or      cancel any agreement or any right enjoyed by Ungava or result in the      creation or imposition of any lien, encumbrance or restriction of any      nature whatsoever in favour of a third party upon or against the Shares or      the assets of Ungava: |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (w)   | there      are no liabilities of Ungava of any kind whatsoever, contingent or      otherwise, existing on the date hereof in respect of which Ungava or the      Purchaser may be liable on or after the completion of the transactions      contemplated by this Agreement otherthan: |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (x)   | all      material transactions of Ungava have been properly recorded in the books      and records of Ungava and the minute book of Ungava contains records of      all material contracts and meetings and proceedings of shareholders and      directors thereof; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (y)   | the      Shares are not subject to or affected by any actual or, to the      knowledge of the Vendor, pending or threatened cease trading,      compliance or denial of use of exemptions order of, or action,      investigation or proceeding by or before, any securities regulatory      authority, court, administrative agency or other tribunal;    and |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (z)   | the      Officers of Ungava are: |
|-----------------|----------------------------------|

| (a)   | the      Purchaser is a corporation duly continued under the laws of the Province      of Ontario and, as at the Closing Date, will be in good standing with      respect to all statutory filings required by the Business Corporations Act      (Ontario); |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | on      the Closing Date the authorized capital of the Purchaser will consist of      an unlimited number of common shares without par value of which not more      than 16,820,636 common shares will be issued and outstanding on the      Closing Date as fully paid and non-assessable (including shares issuable      on or prior to the Closing Date upon the exercise of all outstanding      warrants and options of thePurchaser; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (c)   | the      common shares of the Purchase are quoted on the NASDAQ OTC Bulletin Board      in the United States and, on the Closing Date, the Purchaser will not be      in material default of any of the terms and conditions of its listing      agreement with the Exchange or of any of the policies or rules of the      Exchange; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | the      Purchaser will allot and issue the Purchase Shares, free of all liens,      claims, charges and encumbrances whatsoever, other than hold periods or      other restrictions imposed under applicable securities legislation or by      securities regulatory authorities; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | the      Purchase Shares will be issued to the Vendor on the Closing Date and will      be quoted for trading on the NASDAQ OTC Bulletin      Board: |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f)   | the      Purchaser has due and sufficient right and authority to enter into this      Agreement on the terms and conditions herein set forth and all necessary      corporate action had been taken by or on the part of the Purchaser to      authorize the execution, delivery and performance of this Agreement and      all other documents contemplatedhereby; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)   | no      person, firm or corporation has any right, agreement or option or a right      capable of becoming a right, agreement or option or any right capable of      becoming an agreement for the purchase, subscription or issuance of any of      the unissued shares in the capital of the  Purchaser; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (h)   | audited      Financial Statements of the Purchaser as at December 31, 2006 (the      "Purchaser's Financial Statements"), which are attached hereto as Schedule      "D", are true and correct in every material respect and present fairly the      financial position of the Purchaser as at the date of the Purchaser's      Financial Statements and the results of its operations for the periods      then ended in accordance with generally accepted accounting principles      applied on a basis consistent with that of the previous    year; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | since      the date of the Purchaser's Financial  Statements; |
|-----------------|---------------------------------------------------------------|

| (i)   | there      has not been any material adverse change in the financial position or      condition of the Purchaser or any damage, loss or other change in      circumstances materially affecting the business or property of the      Purchaser or its right or capacity to carry on  business, |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)  | the      Purchaser has not waived or surrendered any right of material      value, |
|------------|------------------------------------------------------------------------------------|

| (iii)   | the      Purchaser has not discharged or satisfied or paid any lien or encumbrance      or obligation or liability other than current liabilities in the ordinary      course of business, and |
|-------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)        | the      business of the Purchaser has been carried on in the ordinary      course; |
|------------------|-------------------------------------------------------------------------------------|

| (j)        | there      are no liabilities, contingent or otherwise, of the Purchaser not      disclosed or reflected in the Purchaser's Financial Statements except      those incurred in the ordinary course of the business of the Purchaser,      since the date of the Purchaser's Financial Statements which in the      aggregate do not exceed Cd$ 20,000. and the Purchaser has not guaranteed,      or agreed to guarantee any debt, liability or other obligation of any      person, firm or corporation; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (k)        | no      dividends or other distribution on any shares in the capital of the      Purchaser have been made, declared or authorized since its incorporation      nor will any be declared, paid or authorized after the date hereof and up      to the Closing and no distribution of assets in any form or manner has      been made since the incorporation of the Purchaser nor will any be made      after the date hereof and up to theClosing; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (l)   | no      payments of any kind have been made or authorized by or on behalf of the      Purchaser or to or on behalf of officers, directors, shareholders or      employees of the Purchaser or under any management agreements with the      Purchaser, other than in the ordinary course of  business; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (m)   | the      Purchaser does not have any contracts, agreements, undertakings or      arrangement, whether oral, written, or implied with employees, lessees,      licensees, managers, accountants, suppliers, agents, distributors,      officers, lawyers, or others which cannot be terminated without penalty on      not more than one month's notice; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (n)   | there      is no basis for and      there are no actions, suits, judgments, investigations or proceedings      outstanding or pending or threatened against or affecting the Purchaser at      law or in equity or before or by any federal, provincial, state, municipal      or other governmental department, commission, board. bureau or      agency; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (o)   | there      are no pensions, profit sharing, group insurance or similar plans or other      deferred compensation plans affecting the  Purchaser; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (p)   | the      Purchaser has good and marketable title to all its properties and assets      and such properties and assets are not subject to any mortgage, pledge,      deed of trust, lien, conditional sale agreement, encumbrance or      charge; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (q)   | the      Purchaser does not have any subsidiaries, or any interest in or title to      any properties or assets other than those disclosed in the Purchaser's      Financial Statements and there are no liabilities of the Purchaser of any      kind whatsoever, contingent or otherwise, existing on the date hereof in      respect of any interests in properties or assets which have been sold,      transferred or otherwise disposed of by the  Purchaser: |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (r)   | no      officers, directors or employees of the Purchaser are now indebted or      under obligation to the Purchaser on any account whatsoever, other than in      the ordinary course of business; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (s)   | all      tax returns and reports of the Purchaser required by law to he filed prior      to the date hereof have been or will be filed prior to the Time of Closing      and are or will be substantially true, complete and correct and all taxes      and government charges have been paid or  accrued; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (t)   | neither      this Agreement nor the performance of the transactions contemplated in      this Agreement will conflict with or result in a violation of the      incorporating documents of the Purchaser, any resolutions of its directors      or shareholders or of any agreement to which the Purchaser is a party or      any law, rule or regulation, judgment or order to which the Purchaser is      subject and will not give any person any right to terminate or cancel any      agreement or any right enjoyed by the Purchaser or result in the creation      or imposition of any lien, encumbrance or restriction of any nature      whatsoever in favour of a third party upon or against the Shares or the      assets of the Purchaser; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (u)   | the      Purchaser has not retained, employed or introduced any broker, finder or      other person who would be entitled to a brokerage commission or finder's      fee arising out of the transactions contemplated  herein; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | there      are no liabilities of the Purchaser of any kind whatsoever, contingent or      otherwise, existing on the date hereof in respect of which the Purchaser      may be liable on or after the completion of the transactions contemplated      by this Agreement other than: |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | liabilities      disclosed or referred to in this Agreement,and |
|-----------------|-----------------------------------------------------------------|

| (ii)   | liabilities      incurred in the ordinary course of business, none of which is materially      adverse to the business, operations, affairs or financial condition of the      Purchaser; |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|        (w)  | the      Purchaser is not a reporting issuer in any Canadian jurisdiction. The      Purchaser is a reporting company registered with the U.S. Securities and      Exchange Commission under Section 12 of the 1934 Securities Exchange Act      and, as of the Closing Date, will not be in default of any of the      requirements of applicable securities  legislation; |
|-----------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (x)   | the      Directors and Officers of the Purchaserare: |
|-----------------|------------------------------------------------------|

| (y)   | the shares      in the capital of the Purchaser are not subject      to or affected by any actual or, to the knowledge of the Purchaser,      pending or threatened cease trading, compliance or denial of use of      exemptions order of, or action, investigation or proceeding by or before,      any securities regulatory authority, court, administrative agency or other      tribunal. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 4.1 | General - The obligations of      the Vendor and the Purchaser under this Agreement are subject      to: |
|-----|----------------------------------------------------------------------------------------------------------|

| (a)   | directors      of the Purchaser passing resolutions prior to the Closing Date necessary      to approve: |
|-----------------|----------------------------------------------------------------------------------------------------------|

| (b)   | the      Purchaser not having a material working capital deficiency or any material      short or long term debt; and |
|-----------------|-----------------------------------------------------------------------------------------------------------------------|

| (c)   | the      existing directors, officers and employees (if any) of the Purchaser      resigning seriatim at a directors meeting and in writing with such written      resignations to be in a form acceptable to Ungava and specifically to      include a general release of the Purchaser and, prior to such director's      serial resignations, the directors shall have elected replacement      directors to the board of directors of the Purchaser as nominated by      Ungava. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | the      representations and warranties of the Purchaser being true and correct as      of theClosing Date and the Purchaser shall provide the Vendor with such      written assurancesand releases from third parties as the Vendor may      require; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | all      of the covenants and agreements of the Purchaser to be observed and      performed on or before the Closing Date pursuant to the terms hereof will      have been duly observed and performed;and |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | all      governmental, administrative and other approvals or consent, including the      approval of the securities regulatory authorities having jurisdiction,      required in connection with the transactions provided for in this      Agreement having been obtained. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | the      representations and warranties of the Vendor being true and correct as of      the ClosingDate and the Vendor shall provide the Purchaser with such      assurances and releases fromthird parties as the Purchaser may      require; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)        | all      of the covenants and agreements of the Vendor to be observed and performed      on orbefore the Closing Date pursuant to the terms hereof will have been      duly observed andperformed; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)        | all      governmental, administrative and other approvals or consent, including the      approval ofthe securities regulatory authorities having jurisdiction,      required in connection with thetransactions provided for in this Agreement      have been obtained; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)        | the      Vendor shall grant the Purchaser Five Million (5,000,000) common share      purchase warrants each good to purchase a Vendor common share at the price      of $0.75 until August 31, 2012. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.5 | Waiver      by Purchaser -      The conditions set forth in section 4.4 of this Agreement are for      the exclusive benefit of the Purchaser and the Purchaser may waive the      conditions in whole or in part by delivering to the Vendor, at or before      the Time of Closing, a written waiver to that effect stated to made      pursuant to this section and executed by the  Purchaser. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | the      conditions specified in section 4.1 hereof are not satisfied on or before      the Closing Date; |
|-----------------|-----------------------------------------------------------------------------------------------------------|

| (b)   | any      of the representations or warranties contained in Parts 2 and 3 of the      Agreement are found to be materially untrue and such defect is not remedied within      30 days of notification of such defect to the satisfaction of the party      who has notified the other of the material defect;  or |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | the      Purchaser and the Vendor mutually agree to terminate this Agreement; and      in such event, this Agreement will be terminated and be ofno force and      effect other      than the obligations under Part 8 which shall survive such      termination. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (a)   | it      will use all reasonable efforts to forthwith obtain all consents,      approvals, releases, assurances, or waivers that may be necessary or      desirable in connection with the transactions contemplated      hereby; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | up      to and including the Closing or the termination of this Agreement,      thePurchaser will not, without the written consent of the      Vendor: |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------|

|        (i)   | declare      or pay any dividend, or make any distribution of its properties or assets      ofits shareholders, or purchase or retire any of' its    shares; |
|-----------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

|        (ii)   | allot      or issue, or enter into any agreement for the allotment or issuance of, or      grant anyother rights to acquire, shares in its capital stock or      securities, convertible intoexchangeable for, or which otherwise carry the      right to acquire, directly or indirectly, any shares in its      capital; |
|------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | sell      all or any material part of its assets, or agree to do or perform any act      or enter into any transaction or negotiation which could reasonably he      expected to interfere with or be contemplated by this Agreement, or which      would render inaccurate any of the representations and warranties set      forth in section 3 of this Agreement;or |
|-------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | merge,      amalgamate or consolidate into or with any entity. or enter into any other      corporate reorganization; provided however that the provisions hereof      shall not preclude either of the parties hereto, pending the Closing or      the termination of this Agreement, whichever shall first occur, from      carrying on their respective business in the normal course      thereof; |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | it      will disclose and provide to designated representatives of the Vendor      copies of all of its material contracts, as soon as practicable;      and |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | it      will use all reasonable efforts to obtain and to cause Ungava to obtain      all consents, approvals, releases, assurances, or waivers that may be      necessary or desirable in connection with the transactions contemplated      hereby; and |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | the      Vendor will not, without the written consent of the Purchaser, cause      Ungava to: |
|-----------------|-----------------------------------------------------------------------------------------------|

| (i)   | declare      or pay any dividend, or make any distribution of Ungava's properties of      assets to its shareholders, or purchase or retire any of its      shares; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | allot      or issue or enter into any agreement for the allotment or issuance of, or      grant any other rights to acquire, shares in the capital stock of Ungava      or securities, convertible into exchangeable for, or which otherwise carry      the right to acquire, directly or indirectly, any shares in its capital,      other than as the Purchaser and the Vendor agree in    writing; |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (iii)   | sell      all or any part of the assets of Ungava or agree to do or perform any act      or enter into any transaction or negotiation which could reasonably he      expected to interfere with or be contemplated by this Agreement, or which      would render inaccurate any of the representations and warranties set      forth in section 3 of this Agreement;or |
|-------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | merge,      amalgamate or consolidate into or with any entity, or enter into any other      corporate reorganization; provided however that the provisions hereof      shall not preclude either of the parties hereto or Ungava, pending the      Closing or the termination of this Agreement, whichever shall first occur,      from carrying on their respective business in the normal course      thereof; |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | the      Vendors will cause Ungava to disclose and provide copies of all of its      material contracts to representatives of the Purchaser as soon as      practicable; and |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | the      Vendor will not, without the prior written consent of an authorized      representative of the Purchaser, use the Purchaser’s name in any press      release or other public disclosure statement, unless otherwise required to      do so by law or a regulatory authority having  jurisdiction. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.1 | Place      and Time -      The sale and purchase of the Shares and the issuance of the      Purchase Shares and the other transactions contemplated by this Agreement      will take place as soon as possible at a closing (the "Closing") at the      office of the Purchaser, Suite 2907, 2045 Lakeshore Blvd. West, Toronto,      Ontario, to he held on a date (the "Closing Date" or "Date      of Closing") not later than 10 days from the date of this agreement.      Closing shall not occur held until the Purchaser’s SEC Form 8K disclosure      documents are complete and ready for filing with the  SEC. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.2 | Documents      Delivered by Vendor - On the Closing Date      the Vendor will deliver or cause to be delivered to the      Purchaser: |
|-----|---------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | certified      copies of resolutions of the directors of the Vendor and Ungava consenting      to the transfer of the Shares from the Vendor to the      Purchaser; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | certificates      representing the Shares registered in the names of the Vendor, duly      endorsed for transfer to the Purchaser or irrevocable stock powers      transferring the Shares to thePurchaser; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   |  certificates      representing the Shares registered in the name of the      Purchaser; |
|-----------------|-----------------------------------------------------------------------------------------------|

| (d)   | the      Vendor’s common share purchase warrant certificate in favour of the      Purchaser; |
|-----------------|----------------------------------------------------------------------------------------------------|

| (e)   |  certificate      on behalf of the Vendor, from a responsible Officer of the Vendor,      certifying, as of the Date of Closing, that the representations and      warranties of the Vendor set forth in this Agreement are true and correct      as of the date of this Agreement and will he true and correct as of the      Date of Closing as if made by the Vendor on the Closing    Date; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (f)   | an      opinion of counsel to the Vendor and Ungava dated as of the Closing Date,      addressed to the Purchaser and its counsel, in form and substance      satisfactory to the Purchaser, acting reasonable, and including the      following: |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | the      due incorporation, existence and standing of Ungava and its qualification      to carry on business; |
|-----------------|---------------------------------------------------------------------------------------------------------------|

| (ii)        | the      authorized and issued capital of Ungava; |
|------------------|---------------------------------------------------|

| (iii)   | that      the Shares have been duly authorized and issued and are fully paid and      non-assessable: |
|-------------------|-------------------------------------------------------------------------------------------------------|

| (iv)   | all      necessary steps and proceedings have been taken in connection with the      execution, delivery and performance of this Agreement and the transactions      contemplated herein; and |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | that      the Shares have been issued in compliance with applicable securities laws      in Canada, the United States and that the distribution of the Purchase      Shares hereunder does not amount to a distribution, directly or      indirectly, under applicable U.S. securities laws, or to the extent it      may, such distributions has been carried out in compliance with such laws;      and |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)        | consents      to act or other documents as may he required in connection with the      appointment of any nominee of Ungava to the board of directors of the      Purchaser. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.2.1 | Documents      Delivered by Purchaser - On the Closing Date,      the Purchaser will deliver or cause to be delivered to the      Vendor: |
|-------|-------------------------------------------------------------------------------------------------------------------------------------------|

| (a) | a      certified copy of the resolution of the directors of the Purchaser      approving this Agreement and the transactions contemplated by this      Agreement: |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | a      certified copy of the resolutions of the directors of the Purchaser      approving the issuance of the Purchase Shares to the    Vendor; |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------|

| (c) | copies      of the Certificates representing the Purchase Shares in the names of the      Vendor: |
|-----|---------------------------------------------------------------------------------------------------|

| (d) | a      certificate of the president of the Purchaser certifying, as of the Date      of Closing, that the representations and warranties of the Purchaser set      forth in this Agreement are true and correct as of the date of this      Agreement and will be true and correct as of the date of Closing as if      made by the Purchaser on the ClosingDate: |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | written      resignations and general releases of the existing directors and officers      of thePurchaser; |
|-----------------|-------------------------------------------------------------------------------------------------------------|

----

| (f)   | a      certified copy of the minutes of a directors meeting at which nominees of      the Vendor are appointed, to the board of directors of the      Purchaser; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)   | an      opinion of counsel to the Purchaser, dated as of the Closing Date, and      addressed to the Vendor and their counsel, in form and substance      satisfactory to the Vendor acting reasonably, including the      following: |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (h)   | the      due incorporation, valid existence and standing of the Purchaser and its      qualification to carry on business; |
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|   | (ii)       the      authorized and issued capital of thePurchaser; |
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|   | (iii)       all      necessary steps and proceedings have been taken in connection with the      execution, delivery and performance of this Agreement and the transactions      contemplated herein; and |
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|   | (iv)      the      due issuance of the Purchase Shares as fully paid and non-assessable and      having been issued in accordance with applicable securities      laws. |
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|   | Legend. The Buyer agrees to the      imprinting of the following legend on any certificatesrepresenting the Shares:      “THESE SECURITIES HAVE NOT BEEN REGISTERED WITH THE SECURITIES AND      EXCHANGE COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE      UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS      AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR      SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE      SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A      TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE      SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS.      THESE SECURITIES ARE “RESTRICTED SECURITIES” WITHIN THE MEANING   OF      RULE 144(3) OF THE SECURITIES ACT AND MAY NOT BE RESOLD PUBLICLY UNDER      RULE 144 UNTIL CERTAIN HOLDING PERIOD REQUIREMENTS ARE    MET.” |
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| (a) | the      fact or existence of this Agreement or discussions and/or negotiations      between them involving, inter alia, possible business      transactions, |
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| (b) | the      substance or content of thosediscussions; |
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| (c) | the      possible terms and conditions of any proposed  transaction, |
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| (d)   | any      statements or representations (whether verbal or written) made by either      in the course of or in connection with those discussions  or |
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| (e) | any      written material generated by or on behalf of any party and such contacts,      other than such disclosure as may he required under applicable securities      legislation or regulations, pursuant to any order of a court or on a "need      to know" basis to each of the parties' respective professional      advisors. |
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| 10.5    Severability - If any      one or more of the provisions contained in this Agreement should be      invalid, illegal or unenforceable in any respect in any jurisdiction, the      validity, legality and enforceability of such provision or provisions will      not in any way be affected or impaired thereby in any other jurisdiction      and the validity, legality and enforceability of the remaining provisions      contained herein will not in any way he affected or impaired thereby,      unless in either case as a result of such determination this Agreement      would fail in its essentialpurpose. |
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| 10.6     Assignment - This      Agreement is not transferable or assignable without the written consent of      the other parties. |
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