JOVIAN
                                  PETROLEUM CORPORATION

        MASTER
        SERVICE CONTRACT

        FOR
        OPERATIONS & MAINTENANCE SERVICES

         

        CLIENT:

        ROCKDALE
        RESOURCES CORPORATION

         

        Field:

        Minerva-Rockdale
        (Noack) Field



 



    	 



    	 



    

 




JOVIAN
PETROLEUM CORPORATION


MASTER
SERVICE CONTRACT


FOR
OPERATIONS & MAINTENANCE SERVICES


 


Date:
December 15th, 2014


 


Release
for Services Requested by:David Baker


 


Agreement
dated December 15, 2014 by and between JOVIAN PETROLEUM CORPORATION (“JOVIAN”) and ROCKDALE RESOURCES CORPORATION.
(“Company”)


 


RECITIALS:



 


		A.	JOVIAN
                                         is engaged in the business of operating onshore oil and gas production facility ("Production
                                         Facility") in the State of Texas, ___________County.



B.     
Company presently owns and operates one Production Facility.


		C.	The
                                         parties desire to establish standard terms under which JOVIAN will operate Production



Facility
designated by Company.


		D.	The
                                         consideration for each party to enter into the Agreement is not independent but is made
                                         up of the benefits accruing to each under the terms of the Agreement.






E.      
Company will be the Operator of record


 


AGREEMENT:


 


		1.	Identification
                                         of Facility: JOVIAN shall provide operations services for the Company’s
                                         Production Facility called Minerva-Rockdale, also known as the Noack Lease (“Production
                                         Facility”) further described in Work Release attached hereto as Exhibit A. Exhibit
                                         A shall stipulate the precise location of the facility.



 


		2.	Services
                                         to be Performed: JOVIAN shall provide all field operations and field related
                                         accounting services ("the Services") reasonably and necessarily to operate
                                         the Production Facility described in Exhibit A, including all Services set forth in Exhibit
                                         A.



 


		3.	Supplies:
                                         Supplies shall include those provided by JOVIAN reasonably necessary to perform
                                         the Services. JOVIAN does not warranty any supplies provided to perform the Services.



 


		4.	Compensation:
                                         As compensation for the Services and supplies to be provided by JOVIAN, Company
                                         shall pay JOVIAN the amounts set forth in Exhibit A.



 


		5.	Payment
                                         Terms: JOVIAN shall submit to Company monthly invoices for Services, supplies
                                         and all other items. Invoices are due and payable in full, within thirty (30) days from
                                         the date of the invoice. If any invoice, or any portion thereof, is not paid in full
                                         on or before the due date, then Company shall also pay JOVIAN interest on the unpaid
                                         balance at the rate of one and one half (1.5%) percent per month, or the maximum rate
                                         allowed by law, for each day that the invoice remains unpaid.



 



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		6.	Insurance
                                         coverages: With respect to each Production Facility subject to this Agreement,
                                         JOVIAN shall procure, and at all times maintain in force and effect, policies of insurance
                                         providing the coverages set forth in Exhibit B hereto. Prior to commencement of any Services
                                         on a Production Facility, JOVIAN shall deliver to Company certificates of insurance evidencing
                                         that all such insurance policies and coverages are in force and effect with respect to
                                         such Production Facility. In addition, the Company shall confirm that the Production
                                         facility are insured under the Company’s policy.






 


		7.	Indemnification:



Indemnification
for Work governed by the State of Texas


 


		1.	JOVIAN
                                         agrees to and shall INDEMNIFY, DEFEND AND HOLD HARMLESS COMPANY, including all parent,
                                         subsidiary, and affiliated companies, their officers, directors, agents, servants, and
                                         employees ("the Company Indemnified Parties") from and against all claims,
                                         demands, liabilities, causes of action, attorney's fees, expenses, and costs for alleged
                                         property damage, bodily injury, illness, death, lost profits, and other damages or injuries
                                         alleged or asserted by any agent, employee, contractor, subcontractor, invitee or licensee
                                         of JOVIAN ("JOVIAN Claimants") arising out of or in any way related to the
                                         Services provided hereunder or in any way related to the Production Facility, regardless
                                         of whether the claim is based upon contract, tort, or any statute, ordinance, rule or
                                         regulation, and REGARDLESS OF WHETHER CAUSED BY THE SOLE, JOINT, CONCURRENT, CONTRIBUTORY,
                                         OR COMPARATIVE FAULT, NEGLIGENCE, BREACH OF WARRANTY, STRICT LIABILITY, OR BREACH OF
                                         ANY LEGAL DUTY WHATSOEVER BY COMPANY OR THE COMPANY INDEMNIFIED PARTIES. It is the express
                                         intention of this Agreement that JOVIAN indemnify, hold harmless, and upon demand protect
                                         and defend, the Company Indemnified Parties for their own sole fault and the comparative
                                         fault of the Company Indemnified Parties with any other person or entity, including JOVIAN.
                                         In the event that any statute or rule of law would render void, voidable, or unenforceable
                                         any part of JOVIAN's indemnity obligation, then and only in such event, such indemnity
                                         clause or clauses shall be modified, read, construed, and enforced to the fullest extent
                                         permitted by law, and any obligation which is enforceable shall remain in full force
                                         and effect and be binding upon the parties to the Agreement.



 


		2.	Company
                                         agrees to and shall INDEMNIFY, DEFEND AND HOLD HARMLESS JOVIAN, including all parent,
                                         subsidiary, and affiliated companies, their officers, directors, agents, servants, and
                                         employees (the JOVIAN Indemnified Parties) from and against all claims, demands, liabilities,
                                         causes of action, attorney's fees, expenses, and costs for alleged property damage, bodily
                                         injury, illness, death, lost profits, and other damages or injuries alleged or asserted
                                         by any agent, employee, contractor, subcontractor, invitee or licensee of Company ("the
                                         Company Claimants"), excluding the JOVIAN Claimants, arising out of or in any way
                                         related to the Services provided hereunder or in any way related to the Production Facility,
                                         regardless of whether the claim is based upon contract, tort, or any statute, ordinance,
                                         rule or regulation, and REGARDLESS OF WHETHER CAUSED BY THE SOLE, JOINT, CONCURRENT,
                                         CONTRIBUTORY, OR COMPARATIVE FAULT, NEGLIGENCE, BREACH OF WARRANTY, STRICT LIABILITY,
                                         OR BREACH OF ANY LEGAL DUTY WHATSOEVER BY JOVIAN OR THE JOVIAN INDEMNIFIED PARTIES. It
                                         is the express intention of This Agreement that Company indemnify, hold harmless, and
                                         upon demand protect and defend, the JOVIAN Indemnified Parties for their own sole fault
                                         and the comparative fault of the JOVIAN Indemnified Parties with any other person or
                                         entity, including Company. In the event that any statute or rule of law would render
                                         void, voidable, or unenforceable any part of Company's indemnity obligation, then and
                                         only in such event, such indemnity clause or clauses shall be modified, read, construed,
                                         and enforced to the fullest extent permitted by law, and any obligation which is enforceable
                                         shall remain in full force and effect and be binding upon the parties to the Agreement.






  


		8.	Remedies
                                         for Breach:



a.    
In the event of the failure of JOVIAN to provide the Services or supplies contemplated hereunder Company may terminate this Agreement.
In no event shall JOVIAN be liable to Company for delays, curtailment of operation, process failure, loss of profits, reservoir
damage or any consequential damages.


 


b.
In the event of the failure of Company to perform its payment obligations hereunder, JOVIAN may terminate this Agreement. In no
event shall Company be liable to JOVIAN for lost profits or any consequential damages.


 



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c.
Company and JOVIAN agree that neither shall be liable to the other for:


                                     
i.        loss of or damage to the Production Facility or any other wells or equipment
being operated by JOVIAN pursuant to this Agreement,


                                    
ii.        uncontrolled well conditions (including fire, re-establishing control of the well,
clean-up, and removing resulting pollution or contamination),


                                   
iii.        injury to or death of third parties arising out of an uncontrolled well, or


                                   
iv.        damage to underground formations, suffered as a result of any act done or omitted
in good faith in the performance of this Agreement unless such loss, condition, or damage is caused by the gross negligence or
willful misconduct of the acting or omitting party.


                                    
v.        Fines or penalties incurred as a result of facility inspections by the U. S. Minerals
Management Service or Texas Railroad Commission.


 














		10.	Force
                                         Majeure: Neither party hereto shall be liable for damage to the other for any
                                         act, omission or circumstances occasioned by or in connection with, or as a consequence
                                         of, and the obligations of the parties except for the payment of money shall be suspended
                                         during continuance of, any "force majeure" conditions, including but not limited
                                         to any acts of God, strikes, lockouts or other industrial disturbances, acts of public
                                         enemy, sabotage, wars, blockades, insurrections, riots, epidemics, lightning, landslides,
                                         earthquakes, floods, fires, arrests, restraints of rulers and peoples, civil disturbances
                                         and the binding order of any court or governmental authority which has been resisted
                                         in good faith by all reasonable legal means, or any other cause, whether of the kind
                                         herein enumerated or otherwise, not within the control of the party claiming suspension,
                                         and which, by the exercise of due diligence, such party is unable to prevent or overcome.
                                         Such causes or contingencies affecting the performance of the Agreement by the parties
                                         hereto, however, shall not relieve either party of liability in the event of its
                                         concurring negligence or in the event of its failure to use diligence to remedy the situation
                                         and remove the cause in an adequate manner and with all reasonable dispatch, nor shall
                                         such causes or contingencies affecting the performance of this Agreement relieve any
                                         party of liability unless such party shall give notice and full particulars of the same
                                         in writing or by telegram to the other party as soon as possible after the occurrence
                                         relied on, and like notice shall be given upon termination of such "force majeure"
                                         conditions.








 





		11.	Independent
                                         Contractor: JOVIAN is an independent contractor, the Company being interested
                                         only in the results obtained. This is evidenced by the Company's lack of control over
                                         the Services, JOVIAN's obligation to provide the necessary tools, supplies and materials
                                         to perform the Services, and the skill required of JOVIAN for the performance of the
                                         Services. JOVIAN acknowledges that neither they or any of their employees are employees
                                         of the Company.






 


		12.	Liens:
                                         Company shall pay promptly any and all amounts owing by it for Services and supplies
                                         provided by JOVIAN under the Agreement to prevent liens to Company's property, whether
                                         real or personal, and JOVIAN hereby indemnifies Company for any and all such claims and
                                         liens.






 


		13.	Term:
                                         This contract will continue in full force and effect for a period of 3 months
                                         from the date hereof ("the Initial Term") and thereafter from month to month
                                         until terminated under the provisions of this Agreement. After the Initial Term either
                                         party hereto may cancel this contract by giving the other party thirty (30) days written
                                         notice of such cancellation, but neither party hereto shall, by the termination of this
                                         contract, be relieved of its respective obligations and liabilities arising from or incident
                                         to work performed or Services rendered hereunder prior to the time this contract is terminated.






 


		14.	Notices:
                                         Any notice, instruction, authorization, request, demand or waiver hereunder shall
                                         be in writing, and shall be delivered either by personal delivery, by telecopy or similarfacsimile
                                         means, by certified or registered mail, return receipt requested, or by courier or delivery
                                         service, addressed to the parties hereto at the address indicated herein, or at such
                                         other address and number as a party shall have previously designated by written notice
                                         given to the other parties in the manner hereinabove set forth. Notices shall be deemed
                                         given when received, if sent by facsimile means (confirmation of such receipt by confirmed
                                         facsimile transmission being deemed receipt of communications sent by facsimile means);
                                         and when delivered and receipted for (or upon the date of attempted delivery where delivery
                                         is refused), if hand delivered, sent by express courier or delivery service, or sent
                                         by certified or registered mail, return receipt requested.






 



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Company:ROCKDALE
RESOURCES CORPORATION


____________________________________


____________________________________


 


Contractor:JOVIAN
PETROLEUM CORPORATION


710
North Post Oak Rd


Suite
555


Houston,
TX , 77024


 





		15.	Applicable
                                         Law: This Contract shall be governed by the State of Texas. In the event one
                                         or more of the provisions contained in this agreement shall be held, for any reason,
                                         to be invalid, void, illegal or unenforceable in any respect, such invalidity, voidness,
                                         illegality or unenforceability shall not affect the remaining provisions hereof, and
                                         this agreement shall remain unaffected and shall be construed as if such invalid, void,
                                         illegal or unenforceable provision never had been contained herein.



  


		16.	Audits:
                                         Company shall have the right, which shall survive termination of this Contract,
                                         to audit from time to time Contractor's financial records and books concerning the work
                                         performed hereunder for the period of twelve (12) months after completion of same.






 


		17.	Entire
                                         Agreement: This 7-page document constitutes the entire agreement of the parties
                                         with respect to the subject matter herein and supersedes any prior or contemporaneous
                                         agreements, understandings or representations relating thereto.






 





		18.	Waiver:
                                         Modification and Assignment. Any waiver, alteration or modification of any provisions
                                         of this contract shall not be valid unless in writing and signed by the parties.






 


Neither
party shall assign this Agreement without the prior written consent of the other party.


 


ROCKDALE
RESOURCES CORPORATION


 


By:
__________________________________________________


 


 


Name:
________________________________________________


 


 


Title:
_________________________________________________


 


 


JOVIAN
PETROLEUM CORPORATION


 


By:
___________________________________________________


 


 


Name:
_________________________________________________


 


 


Title:
__________________________________________________






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EXHIBIT
A


 


JOVIAN
PETROLEUM CORPORATION


WORK
RELEASE ADDENDUM


TO
MASTER SERVICES AGREEMENT


FOR
OPERATIONS & MAINTENANCE SERVICES


 


Date:December
15th, 2014


 


Release
for Services Requested by:David Baker


 


This
Work Release is subject to the terms and conditions of Master Services Agreement for Operations and Maintenance, between Jovian
Petroleum Corporation (“Contractor”) and Rockdale Resources Corporation (“Company”), effective December
15th, 2014. NOTHING CONTAINED IN THIS WORK RELEASE SHALL BE CONSTRUED AS AN AMENDMENT TO THE TERMS OF THE REFERENCED
MASTER CONTRACT.


 


Contractor:JOVIAN
PETROLEUM CORPORATION


710
North Post Oak Road


Suite
555


Houston,
TX 77024


 


Project
Identification: Minvera-Rockdale (Noack) Lease


 


Effective
Date: 12-15-2014


 


Expected
Completion Date:On-going


 


Description/Scope
of Service/Additional Terms and Conditions:


 


See
Attachments


 


		1.	Activity
                                         and Cost Responsibility of the Parties



		2.	Scope
                                         of Work 



 


The
term of this Work Release, from the effective date, will continue thereafter from month-to-month until terminated under the provisions
of the contract. Either party to the contract may cancel the contract by giving the other party thirty (30) days written notice
of such cancellation. The terms of this agreement are binding to the either party and its affiliates.


 



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Compensation:
Fixed monthly vs. Variable monthly


 


FIXED:


 








 


 


VARIABLE:


 


	Position	Call
    Out Rate
	 	 
	Field
    Supervisor	$85.00
	“A”
    Operator (as necessary)	$48.00
	“B”
    Operator (as necessary)	$42.00
	“C”
    Operator (Pumper)	$25.00
	Mechanic
    (as necessary)	$46.00
	Accounting
    (Houston Office)	$85.00
	 	 
	 	 
	 	 
	 	 
	 	 






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		a)	The
                                         Contractor Purchase Order system will be used to track and approve all costs in the field.
                                         Jovian operations personnel will complete a purchase order for any parts, materials and/or
                                         services. These purchase orders require approval of Company prior to purchase. Parts,
                                         materials or third party services, not a part of the base contract amount, will be procured
                                         by Contractor, on behalf of Company for Company’s account. Alternatively, if such
                                         parts, etc., are paid by Contractor and re-invoiced to Company, a 7.5% service charge
                                         will be applied.



 


		b)	Company
                                         reserves the right to assume cost responsibility for transportation and/or other services
                                         before the end of the term of this agreement.



 


		c)	Jovian
                                         strives continuously to obtain the best rates for its clients for any subcontracted services.
                                         Prices quoted in this proposal incorporate the rates currently in effect for such subcontracted
                                         services, parts and materials. From time-to-time Jovian’s subcontractors and/or
                                         vendors may increase/decrease their rates and/or surcharges, which in turn impact Jovian’s
                                         costs.



 


Jovian
will pass through such increase/decreases in costs (identified specifically as such by Jovian vendors and subcontractors on their
invoices to Jovian) and request that prices and rates contained in this Exhibit A be adjusted to reflect any rate changes and/or
surcharges imposed by its vendors and subcontractors. Any request to increase/decrease rates and/or surcharges will be thoroughly
documented.


 


		d)	Jovian
                                         shall submit monthly invoices for the “Lump Sum Rate”, quoted in this work
                                         release addendum, on the first working day of the month for the month in which the services
                                         are to be provided. Invoices for extra hours, boat usage and any other items over and
                                         above the basic scope of work, will be submitted by the fifth working day of the month
                                         in which the services were provided.



 


		e)	Invoices
                                         are due and payable in full, within thirty (30) days from the date of the invoice. If
                                         an invoice, or any portion thereof, is not paid in full on or before the due date, then
                                         Company shall also pay Jovian interest on the unpaid balance at the rate of one and one
                                         half percent (1.5%) per month, for each day that the billing remains unpaid.



 


Invoicing
Instructions:


 


Rockdale
Resources Corporation 


Attention:
Accounting Dept.


Houston,
TX 77024


 


Contractor
and Company Representative:


 


For
purposes of this Release, Company and Contractor representative for Scope of Service items are as follows:


 



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	Company	Contractor
	Rockdale
    Resources Corporation	Jovian
                                         Petroleum Corporation

        710
        North Post Oak Road, Suite 555

	Houston,
    TX 77027	Houston,
    TX 77024
	Name:
                                         David Baker

        Phone
        No.:
	Name:Zel
                                         C. Khan

        Phone
        No.:281.779.4850

	Email
    Address:	Email
    Address: zel@jovianpetroleum.com







  





	Approved
    By:	Accepted
    By:
	 	 
	 	 
	 	 
	 	 
	 	 
	Company:
    Rockdale Resources Corporation	Contractor:Jovian
    Petroleum Corporation
	Name:David
    Baker	Name:Zel
    C. Khan
	Title:President     	Title:President
	Date:	Date:







 



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Jovian
Petroleum Corporation


For


Rockdale
Resources Corporation


Scope
of Work


 


SCOPE
OF WORK


 


The
Production Facility will be operated on a 24/7 operation.


 


Management
Plan


 


Jovian
Petroleum Corporation will provide the field personnel and field accounting, together
with the necessary technical and administrative assistance required to operate and
maintain the Production Facility on behalf of Company or as directed by the Company, generally
as follows:


 


Personnel


Jovian
will provide the field personnel as
needed. Each individual assigned to the Company project has been qualified through Jovian
background checks, physical examinations (includes audiogram and a panel drug screen),
certifications (i.e. T-2, crane operator/rigger, first aid/CPR), and other factors
which may affect an individual's ability to fully perform job functions.


 


SERVICE
PROVIDED BY JOVIAN


 


Jovian
will provide personnel, supervision, and field accounting to operate the Company’s Production Facility in accordance
with all applicable government regulations, Company design criteria and good oilfield operating
practices. Jovian’s responsibilities for the operations, maintenance and supervisory services are listed in the "Activity
and Cost Responsibility" table, contained in the Commercial Section of this proposal,
and shall consist of the following, except where the Company chooses to utilized their own personnel:


 


		1.	Wells



 


		a.	Operating
                                         the equipment above (downstream of) the head flange,

                                         testing and maintenance of the
                                         surface equipment downstream of the first

                                         flowline
                                         valve downstream of the Christmas Tree choke including all rotating

                                         machinery
                                         as well as safety devices and chemical injection equipment.




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		b.	Testing
                                         and monitoring repairs on surface safety equipment. The testing of

                                         SSSVs
                                         and advising Company is Jovian’s responsibility, but pulling and repair

                                         of
                                         SSSVs will be Company's responsibility. Jovian will not be responsible for

                                         any
                                         work conducted upstream of the first flowline valve downstream of the

                                         Christmas Tree choke.



		c.	Monitoring
                                         and testing the performance of the wells to maximize production from

                                         the
                                         wells. Monitoring and testing shall include the reading of charts and meters,

                                         recording
                                         wellhead pressures, calculating daily rates, determining specific gravity

                                         of condensate
                                         and salinity of water and recording and reporting production

                                         information
                                         to Company using the reporting system provided by Company.

                                         Jovian will make its best efforts
                                         to ensure that information recorded and

                                         reported is accurate and reported
                                         in a timely manner.



 


		2.	Production
                                         Equipment



 


		a.	Operating,
                                         testing, maintenance and repair of process equipment and associated control devices in
                                         accordance with manufacturer's recommendations. Major repairs to be performed by Company.



		b.	Monitoring,
                                         maintaining and adjustment of process pressures, liquid levels, flow

                                         rates
                                         and temperatures to deliver gas, condensate and oil to sales that meets

                                         pipeline
                                         specifications, and to discharge produced water in accordance with EPA

                                         standards.



		c.	Adjusting
                                         and repairing control devices including control valves and pressure,

                                         temperature
                                         and level controllers, sensors, switches, and pressure pilots.



		d.	Operating,
                                         testing and maintaining the equipment and controls on the

                                         dehydration systems.



 


		3.	Measurement
                                         Equipment



 


		a.	Ensuring
                                         the proper Operating, testing, maintaining and calibrating gas,

                                         condensate,
                                         oil and water measurement equipment in accordance with

                                         manufacturer's recommendations,
                                         and in accordance with Company's

                                         Hydrocarbon
                                         Measurement Standard. This may include the use of 3rd party

                                         services.



		b.	Interpreting
                                         gas meter charts and calculating gas volumes in accordance with

                                         AGA No. 3 (as amended) and liquid
                                         volumes in accordance with ASTM

                                         Standards
                                         from meter and product data. This may include the use of 3rd party

                                         services.



		c.	Adjusting,
                                         calibrating and repairing of meters and recorders to provide accurate

                                         gas
                                         and liquid volumes and rates from well tests and sales meters. Jovian will

                                         witness
                                         meter calibrations and testing performed by others to verify meter factors and
                                         volumes. These will be performed in accordance with Company's

                                         Hydrocarbon Measurement Standard.



 



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4.Mechanical
Equipment


 


a.Performing
preventive, and predictive, maintenance for all surface equipment.


		b.	Operating
                                         and maintaining gas compressors and drivers in accordance with

                                         manufacturer's
                                         recommendations, including plug and wire changes, timing

                                         adjustments,
                                         carburetor adjustments, lubes, filter changes, valve changes, and

                                         cooling water adjustments.



		c.	Monitoring
                                         and adjustment of pressures, liquid levels, flow rates and

                                         temperatures
                                         in applicable systems on compressor packages to conform with

                                         design and operating parameters.



		d.	Monitoring
                                         and maintaining control panels, logic control systems, and shutdown

                                         devices per manufacturer's and
                                         RRC’s specifications.



		e.	Operating,
                                         inspecting, and maintaining, engines (diesel and natural gas) and

                                         pumps
                                         (centrifugal and reciprocating), in accordance with manufacturer's

                                         recommendations.



		f.	Operating,
                                         inspecting and maintaining the heavy equipment in accordance with

                                         manufacturer's
                                         recommendations.



		g.	Operating,
                                         inspecting and maintaining electric generator system, including

                                         generators, switchgear, MCC.



 


5.Safety
and Safety Shutdown Equipment


 


		a.	All
                                         Jovian and subcontracted personnel will comply with applicable Federal,

                                         State laws at all times.



		b.	All
                                         Jovian employees will be trained to a Operations Level as

                                         defined by OSHA.



		c.	At
                                         least one Jovian employee will be qualified in the specific

                                         Operating
                                         Region to perform the following functions: Certified First Aid; Confined



			Space
                                         Permitting; Lock-out /Tag-out; Hot Work Permitting; Waste Manifesting;

                                         and DOT compliance.



		d.	Operating,
                                         inspecting and maintaining surface safety shutdown systems and

                                         devices, in accordance with
                                         RRC regulations.




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		e.	Operating,
                                         inspecting, and maintaining safety equipment including fire fighting,

                                         life
                                         saving, gas and H2S detection equipment, survival capsules, navigation-aids,

                                         and alarm systems in accordance
                                         with RRC regulations and

                                         manufactures recommendations.



		f.	Briefing
                                         all personnel on all the emergency fire and alarm

                                         procedures. All persons entering
                                         the Facility must have Jovian’s written permission,

                                         except for Company's employees.



g.
Notifying Company immediately of any observed hazardous conditions.

h. Reporting monthly to Company matters that
may constitute a hazard.

i.
Conducting safety meetings including fire and abandon drills.


j.
Training all personnel and conducting all drills as set forth in the approved emergency
evacuation plan for the facility.


 


6.
Utilities and Quarters


 


		a.	Operating,
                                         inspecting and maintaining utilities systems servicing each facility in

                                         accordance
                                         with manufacturer's recommendations. Utilities systems include the

                                         electrical,
                                         diesel, salt water, fresh water (cold and hot), instrument air, starting

                                         air, sewage, air-conditioning,
                                         refrigeration and high-pressure wash-down

                                         systems.



		b.	Performing
                                         housekeeping duties in a manner which ensures a clean, safe work

                                         environment.



 


7.Structural


 


		a.	Keeping
                                         equipment clean in a manner, which is in compliance with

                                         RRC or other applicable government
                                         regulations.



		b.	Sandblasting
                                         and major painting projects will be Company's responsibility.



 



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8.Administration


 


		a.	Ordering,
                                         receiving and verifying receipt of all replacement parts, spare parts,

                                         tools
                                         and supplies needed to operate and maintain the Facility and

                                         well
                                         as defined herein. A field order system will be used for all material and

                                         service orders. At commencement
                                         of the work, one complete set of

                                         vendor/manufacturer
                                         data books for all equipment installed on the facilities will

                                         be provided by Company.



		b.	Verifying
                                         receipt of services performed by other contractors, and materials / supplies delivered
                                         to platforms.



		c.	Maintaining
                                         a record of all equipment and personnel movements onto and off

                                         using a visitor log.



d.Operating
communication equipment in accordance with applicable regulations.


e.Coordinating
basic transportation.


		f.	Securing
                                         all loose materials and equipment, evacuating all personnel 

                                         and
                                         preparing for return after storm passing in accordance with

                                         Company
                                         evacuation procedures.



 


9.Reporting


 


		a.	Preparing,
                                         transmitting and filing weekly and monthly, production, safety, maintenance and cost
                                         control information and reports to
                                         Company.



		b.	Reporting
                                         weekly by email or telephone to Company designated

                                         production
                                         personnel on current activities and schedule.



		c.	Reporting
                                         significant product sales information to pipeline companies,

                                         purchasers
                                         and other producers as authorized by Company. This includes

                                         reporting
                                         immediately any significant gas production rate changes to Company's

                                         Producer Services Manager.



		d.	Reporting
                                         immediately to Company any significant

                                         well,
                                         equipment, safety, production, regulatory or logistical problem along with

                                         findings and follow up action
                                         plans.



e.Coordinating,
monitoring and reporting the activities of all third-party contractors.


		f.	Collecting
                                         water samples for analysis of hydrocarbon content and toxicity.

                                         Sampling
                                         shall be conducted per state and federal guidelines.



		g.	Implementing
                                         chemical injection programs as agreed with Company for oil, water
                                         and gas treatment to control corrosion and emulsion.







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10.Parts,
Materials and Consumables


 


		a.	An
                                         inventory of parts, materials and consumables ("Original Inventory") shall
                                         be

                                         compiled
                                         within 45-days after the effective date of the contract. The Original

                                         Inventory shall be verified
                                         by the Company.



		b.	Upon
                                         termination of the Services, Jovian will return to Company the Original Inventory and
                                         the Company will return to Jovian or pay an equivalent value of the Original Inventory
                                         that is the property of Jovian. 



 



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