Document:

Filed by Automated Filing Services Inc. (604) 609-0244 - Sutcliffe Resources Ltd. - Exhibit 4e

PURCHASE AGREEMENT

THIS AGREEMENT made as of the 29th day of September, 2005

BETWEEN

GAMBIER MINING CORP.
620 –
800 Pender St. W 
Vancouver, B.C. 

(hereinafter called “Gambier ”)

OF THE FIRST PART

AND

SUTCLIFFE RESOURCES LTD., a
company duly
 incorporated under the laws of the Province of British Columbia
having its office 
at: 420 – 625 Howe St. Vancouver, British Columbia, V6C
2T6

(hereinafter called “Sutcliffe”)

OF THE SECOND PART

WHEREAS:

A.) Gambier is the sole and beneficial owner of certain
recorded mineral claims known as the Beale Lake Area mineral claims situated in
the Liard Mining Division northern British Columbia, which mineral claims are
more particularly described in Schedule "A" attached hereto and forming part
hereof (hereinafter together with any form of successor or substitute mineral
tenure called the "Claims");

B.) The parties now wish to enter into an agreement granting to
Sutcliffe, the exclusive right to acquire 100% of the right, title and interest
in and to the Claims on the terms and conditions hereinafter set forth.

          NOW
  THEREFORE THIS AGREEMENT WITNESSETH that in consideration of the premises
  and the mutual promises, covenants and agreements herein contained, the parties
  hereto agree as follows:

1. INTERPRETATION

In this Agreement:

a.) "Effective Date" means the fifth (5th) business day
following the date of notification by the Regulatory Authorities having
jurisdiction of completion of the filing of this agreement.

b.) "Mineral Products" means the products derived from
operating the Claims as a mine.

c.) "Net Smelter Returns" means the proceeds received from any
smelter or other purchaser from the sale of any ores, concentrates or minerals
produced from the Claims after deducting from such proceeds the following
charges only to the extent that they are not deducted by the smelter or other
purchaser in computing the proceeds: 

1

          (i)
  the cost of transportation of the ores, concentrates or minerals from the Claims
  to such smelter or other purchaser, including related transport;

          (ii)
  smelting and refining charges including penalties;

          (iii)
  marketing costs.

d.) "Operating the Claims as a mine" or "Operation of the
Claims as a mine" means any or all of the mining, milling, smelting, refining or
other recovery of ores, minerals, metals or concentrates or values thereof,
derived from the Claims.

e.) "Royalty" means the royalty to be paid by Sutcliffe to
Gambier pursuant to Subsection 7. 1.

f.) "Shares" means the 2,500,000 (two million five hundred
thousand) common shares without par value in the capital stock of Sutcliffe to
be allotted and issued to Gambier pursuant to Subsection 3. 1 and 8. 1.

2. REPRESENTATIONS AND WARRANTIES

2.1 Sutcliffe represents and warrants to Gambier that:

a.) it is a body corporate duly incorporated, organized and
validly subsisting under the laws of its incorporating jurisdiction;

b.) it has full power and authority to carry on its business
and to enter into this Agreement and any agreement or instrument referred to or
contemplated by this Agreement;

c.) neither the execution and delivery of this Agreement nor
any of the agreements referred to herein or contemplated hereby, nor the
consummation of the transactions hereby contemplated will conflict with, result
in the breach of or accelerate the performance required by any agreement to
which either is a party; and

d.) the execution and delivery of this Agreement and the
agreements contemplated hereby will not violate or result in the breach of the
laws of any jurisdiction applicable or pertaining thereto or of either of their
constating documents.

2.2 Gambier represents and warrants to Sutcliffe that:

a.) The Claims have been duly and validly staked and recorded,
are accurately described in Schedule "A", are presently in good standing under
the laws of the jurisdiction in which it is located and, except as set forth
herein, are free and clear of all liens, charges and encumbrances;

b.) Gambier is sole owner of an undivided 100% beneficial
interest in and to the Claims and has the exclusive right to enter into this
Agreement and has all necessary authority to dispose of a 100% interest in and
to the Claims in accordance with the terms of this Agreement;

c.) Gambier is not in breach of any law, ordinance, statute,
regulation, by-law, order or decree of any kind whatsoever, including without
limitation environmental ones, which would adversely 

2

affect Gambier ’s ability to grant Sutcliffe an interest in the
Claims or to explore, develop, or otherwise exploit the Claims;

d.) No person, firm or corporation, other than Gambier , is
entitled to any royalty or other payment in the nature of rent or royalty on any
minerals, ores, minerals or concentrates or any other such products removed from
the Claims, other than the Royalty or a portion of the Royalty described in
Section 7 of this Agreement;

e.) Neither the execution and delivery of this Agreement nor
any of the agreements referred to herein or contemplated hereby, nor the
consummation of the transactions hereby contemplated will conflict with, result
in the breach of or accelerate the performance required by any agreement to
which Gambier is a party or by which he is bound;

f) The execution and delivery of this Agreement and the
agreements contemplated hereby will not violate or result in the breach of the
laws of any jurisdiction applicable or pertaining thereto.

2.3 The representations and warranties hereinbefore set out are
conditions on which the parties have relied in entering into this Agreement and
will survive the acquisition of any interest in the Claims by Sutcliffe and each
party will indemnify and save the other harmless from all loss, damage, costs,
actions and suits arising out of or in connection with any breach or any
representation, warranty, covenant, agreement or condition made by the other
party and contained in this Agreement.

3. PURCHASE AGREEMENT

3.1 Gambier hereby gives and grants to Sutcliffe the sole and
exclusive right to acquire, subject only to the right of Gambier to receive the
Royalty, 100% of the right, title and interest in and to the Claims in
accordance with the terms of this Agreement for and in consideration of Two
Hundred Thousand dollars ($200,000) and of Two Million Five Hundred Thousand
(2,500,000) Shares to be allotted and issued and certificates therefore
delivered as set forth in Section 5. 1, and making the payments set forth in
Section 5. 1 (b).

4. RIGHT OF ENTRY

4.1 During the currency of this Agreement, Sutcliffe, its
employees, agents and independent contractors, will have the sole and exclusive
right and option to: a.) enter upon the Claims;

b.) have exclusive and quiet possession thereof;

c.) do such prospecting, exploration, development or other
mining work thereon and thereunder as Sutcliffe in its sole discretion may
consider advisable;

d.) bring and erect upon the Claims such Facilities as
Sutcliffe, may consider advisable.

3

5. TERMINATION

5.1 Subject to Section 8, this Agreement will terminate:

a.) on the Effective Date, unless on or before that date,
Sutcliffe has allotted, issued, and delivered to Gambier certificates
representing Two Million Five Hundred Thousand (2,500,000) Shares registered in
the name of Gambier;

b.) on the Effective Date, unless Sutcliffe has paid to Gambier
the sum of Two Hundred Thousand dollars ($200,000)which consists of $50,000 in
property payment and $150,000 to cover the first year’s exploration work which
has been completed;

6. COVENANTS OF GAMBIER 

6.1 During the currency of this Agreement, Gambier will:

a.) not do any act or thing which would or might in any way
adversely affect the rights of Sutcliffe hereunder;

b.) make available to Sutcliffe and its representatives all
records and files relating to the Claims and permit Sutcliffe and its
representatives at its own expense to take abstracts therefrom and make copies
thereof; and

c.) promptly provide Sutcliffe with any and all notices and
correspondence from government agencies in respect of the Claims.

7. ROYALTY

7.1 During the currency of this Agreement, Sutcliffe will pay
to Gambier an annual royalty equal to 2.0% (two percent) of Net Smelter Returns
(“NSR”) on any production of metals from the Claims.

7.2 Payment of the Royalty will be made quarterly within 30
days after the end of each yearly quarter based upon a year commencing on the I
st day of October and expiring on the 30th day of September, in any year in
which production occurs. Within 60 days after the end of each year for which the
Royalty is payable, the records relating to the calculation of NSR or GORR for
such year will be audited by Sutcliffe and any adjustments in the payment of the
Royalty will be made forthwith after completion of the audit. All payments of
the Royalty for a year will be deemed final and in full satisfaction of all
obligations of Sutcliffe in respect thereof if such payments or calculations
thereof are not disputed by Gambier within 60 days after receipt by Gambier of
the said audited statement. Sutcliffe will maintain accurate records relevant to
the determination of NSR and Gambier , or his authorized agent, shall be
permitted the right to examine such records at all reasonable times.

7.3 The determination of NSR royalty hereunder is based on the
premise that production will be developed solely on the Claims except that
Sutcliffe will have the right to commingle ore mined from the Claims with ore
mined and produced from other properties provided Sutcliffe will adopt and
employ reasonable practices and procedures for weighing, sampling and assaying,
in order to determine the amounts of products derived from, or attributable to
ore mined and produced from the Claims. Sutcliffe, will maintain accurate
records of the results of such sampling, weighing and analysis with respect to
any ore mined and produced from the Claims. Gambier or his authorized agents
will be 

4

permitted the right to examine at all reasonable times such
records pertaining to commingling of ores or to the calculation of NSR.

8. TRANSFER OF TITLE

8.1 On execution of this Agreement, Gambier will deliver in
trust to Sutcliffe a duly executed transfer in registerable form of 100% right,
title and interest in and to the Claims in favour of Sutcliffe which Sutcliffe
will be entitled to register against title to the Claims provided that transfer
of legal title to the Claims as set forth in this Subsection 11.1 is for
administrative convenience only and beneficial ownership of the Claims will pass
to Sutcliffe, only in accordance with the terms and conditions of this
Agreement.

9. REGISTRATION OF AGREEMENT

9.1 Notwithstanding Section 11 of this Agreement, Sutcliffe or
Gambier will have the right at any time to register this Agreement or a
Memorandum thereof against title to the Claims.

10. DISPOSITION OF CLAIM

10.1 Sutcliffe may at any time sell, transfer or otherwise
dispose of all or any portion of its interest in and to the Claims.

11. ABANDONMENT OF PROPERTY

11.1 Sutcliffe shall have the unfettered right at any time to
abandon all or any part of the Claims.

12. CONFIDENTIAL NATURE OF INFORMATION

12.1 The parties agree that all information obtained from the
work carried out hereunder and under the operation of this Agreement will be the
exclusive property of the parties and will not be used other than for the
activities contemplated hereunder except as required by law or by the rules and
regulations of any regulatory authority having jurisdiction, or with the written
consent of both parties, such consent not to be unreasonably withheld.
Notwithstanding the foregoing, it is understood and agreed that a party will not
be liable to the other party for the fraudulent or negligent disclosure of
information by any of its employees, servants or agents, provided that such
party has taken reasonable steps to ensure the preservation of the confidential
nature of such information.

13. FURTHER ASSURANCES

13.1 The parties hereto agree that they and each of them will
execute all documents and do all acts and things within their respective powers
to carry out and implement the provisions or intent of this Agreement.

14. NOTICE

14.1 Any notice, direction or other instrument required or
permitted to be given under this Agreement will be in writing and will be given
by the delivery of the same or by mailing the same by prepaid registered or
certified mail in each case addressed as follows:

a.) if to Gambier Mining Corp.

5

620 – 800 Pender St. W 
Vancouver,
B.C. V6C 2V6

a.) if to Sutcliffe Resources Ltd.,

420 – 625 Howe St., 
Vancouver, B.C. V6C 2T6

14.2 Any notice, direction or other instrument aforesaid will,
if delivered, be deemed to have been given and received on the day it was
delivered, and if mailed, be deemed to have been given and received on the tenth
business day following the day of mailing, except in the event of disruption of
postal services in which event notice will be deemed to be received only when
actually received.

14.3 Any party may at any time give to the other notice in
writing of any change of address of the party giving such notice and from and
after the giving of such notice, the address or addresses therein specified will
be deemed to be the address of such party for the purposes of giving notice
hereunder.

15. HEADINGS

15.1 The headings to the respective sections herein will not be
deemed part of this Agreement but will be regarded as having been used for
convenience only.

16. DEFAULT

16.1 If any party (a "Defaulting Party") is in default of any
requirement herein set forth, the party affected by such default will give
written notice to the Defaulting Party specifying the default and the Defaulting
Party will not lose any rights under this Agreement, and the Defaulting Party
will make all reasonable efforts to cure the default by the appropriate
performance. If the Defaulting Party fails to cure such default, the affected
party will be entitled to seek any remedy it may have on account of such
default.

17. PAYMENT

17.1 All references to monies hereunder will be in Canadian
funds except where otherwise designated. All payments to be made to any party
hereunder will be mailed or delivered to such party at its address for notice
purposes as provided herein, or for the account of such party at such bank or
banks in Canada as such party may designate from time to time by written notice.
Said bank or banks will be deemed to be the agent of the designating party for
the purpose of receiving, collecting and receipting such payment.

18. ENUREMENT

18.1 Subject to Section 13 of this Agreement, this Agreement
will enure to the benefit of and be binding upon the parties hereto and their
respective successors and permitted assigns.

19. FORCE MAJEURE

19.1 No party will be liable for its failure to perform any of
its obligations under this, Agreement due to a cause beyond its control (except
those caused by its own lack of funds) including, but not limited to acts of
God, fire, flood, explosion, strikes, lockouts or other industrial disturbances,
laws, rules and regulations or orders of any duly constituted government
authority or

6

non-availability of materials or transportation (each an
"Intervening Event").

19.2 All time limits imposed by this Agreement, other than
those imposed by Section 5, will be extended by a period equal to the period of
delay resulting from an Intervening Event described in Subsection 19.1.

19.3 A party relying on the provisions of Subsection 19.1 of
this Agreement will take all reasonable steps to eliminate an Intervening Event
and, if possible, will perform its obligations under this Agreement as tar as
practical, but nothing herein will require such party to settle or adjust any
labour dispute or to question or to test the validity of any law, rule,
regulation or order of any duly constituted governmental authority or to
complete its obligations under this agreement if an Intervening Event renders
completion impossible.

20. ENTIRE AGREEMENT

20.1 This Agreement constitutes the entire agreement between
the parties and replaces and supersedes all prior agreements, memoranda,
correspondence, communications, negotiations and representations, whether verbal
or written, express or implied, statutory or otherwise between the parties with
respect to the subject matter herein.

21. TIME OF ESSENCE

21.1 Time will be of the essence of this Agreement.

22. ENFORCEMENT OF AGREEMENT

22.1 The covenants, promises, terms and conditions contained
herein will be binding upon the parties jointly and severally and may be
enforced by each against the other inter se.

IN WITNESS WHEREOF the parties hereto have executed this
Agreement as of the day and year first above written.

	GAMBIER MINING CORP. 	SUTCLIFFE RESOURCES LTD. 
	 	 
	/s/ George Nicholson 	/s/ Laurence Stephenson 
	 	 
	#620-800 West Pender Street 	#420-625 Howe Street 
	 	 
	Vancouver, B.C. V6C 2V6 	Vancouver, B.C. V6C 2T6

          This
  is Schedule “A” to an Agreement made as of the 29th day of September
  2005, between Gambier and SUTCLIFFE

  	Tenure 

        Number 	Claim
        

        Name 

        	Owner
        

        Number 	Map
        

        Number 	Work
        

        Recorded 

        To 	Status
        

        

        	Mining
        

        Division 

        	Area
        

        

        
	402182 	SPIKE 1 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	18 un 
	402183 	SPIKE 2 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	18 un 
	402184 	SPIKE 3 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	18 un 
	402185 	SPIKE 4 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	18 un 
	402213 	LMC 1 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402214 	LMC 2 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402215 	LMC 3 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402216 	LMC 4 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402225 	MMM 9 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	18 un 
	402226 	MMM 10 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	18 un 
	402227 	MMM 11 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	12 un 
	402228 	MMM 12 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	12 un 
	402229 	ROSE 1 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402230 	ROSE 2 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402231 	ROSE 3 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402232 	ROSE 4 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402233 	ROSE 5 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	20 un 
	402234 	ROSE 6 	114655 	104I086 		Good Standing 2006.7.21 	09 LIARD 	18 un 
	402235 	ROSE 7 	114655 	104I086 	  	Good Standing 2006.7.21 	09 LIARD 	16 un 
	402236 	ROSE 8 	114655 	104I086 	 	Good Standing 2006.7.21 	09 LIARD 	4 un 
	402237 	ROSE 9 	114655 	104I086 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402238 	ROSE 10 	114655 	104I086 	 	Good Standing 2006.7.21 	09 LIARD 	4 un 
	402239 	ROSE 11 	114655 	104I086 	 	Good Standing 2006.7.21 	09 LIARD 	4 un 

8

  	Tenure 

        Number 	Claim
        

        Name 

        	Owner
        

        Number 	Map
        

        Number 	Work
        

        Recorded 

        To 	Status
        

        

        	Mining
        

        Division 

        	Area
        

        

        
	402195	BPS 5	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402196 	BPS 6	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402197 	BPS 7	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	8 un 
	402198 	BPS 8	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402199 	BPS 9	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402200 	BPS 10	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	18 un 
	402201 	BPS 11	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	18 un 
	402217 	MMM 1 	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402218 	MMM 2 	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402219 	MMM 3 	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402220 	MMM 4 	114655 	104I085 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 

 

9

	Tenure 

      Number	Claim
      

      Name 	Owner
      

      Number 	Map
      

      Number 	Work
      

      Recorded 

      To 	Status
      	Mining
      Division 	Area
      
	402191 	BPS 1 	114655 	104I095 		Good Standing 2006.7.21 	09 LIARD 	18 un 
	402192 	BPS 2 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402193 	BPS 3 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402194 	BPS 4 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402202 	GMI 1 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402203 	GMI 2 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402204 	GMI 3 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402205 	GMI 4 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402206 	GMI 5 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402207 	GMI 6 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	20 un 
	402208  	GMI 7	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD	20 un 
	402209 	GMI 8 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	12 un 
	402210 	GMI 9 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	12 un 
	402211 	GMI 10 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	16 un 
	402212 	GMI 11 	114655 	104I095 	 	Good Standing 2006.7.21 	09 LIARD 	16 un 
	330062 	NIZI 1 	101585 	104I096 	 	Good Standing 2007.08.13 	09 LIARD 	18 un 
	330063 	NIZI 2 	101585 	104I096 	  	Good Standing 2007.08.13 	09 LIARD 	10 un 
	402221 	MMM 5 	114655 	104I096 	  	Good Standing 2006.7.21 	09 LIARD 	16 un 
	402222 	MMM 6 	114655 	104I096 	 	Good Standing 2006.7.21 	09 LIARD 	16 un 
	402223 	MMM 7 	114655 	104I096 	 	Good Standing 2006.7.21 	09 LIARD 	12 un 
	402224 	MMM 8 	114655 	104I096 	 	Good Standing 2006.7.21 	09 LIARD 	12 un 

10Filed by Automated Filing Services Inc. (604) 609-0244 - FC Financial Services Inc. - Exhibit 10.9

	No. «CertNo» 	U.S. $«Number» 

FC FINANCIAL SERVICES INC.

  (Incorporated under the laws of the State of Nevada)

8% CONVERTIBLE NOTE 

  DUE JUNE 30, 2009

(BEING ONE OF A SERIES OF CONVERTIBLE NOTES APPROVED BY RESOLUTION
  

  OF THE DIRECTORS OF THE CORPORATION DATED JUNE 26, 2006, 

  AND SUBJECT TO THE TERMS AND CONDITIONS (THE “TERMS”) THEREOF.)

     FOR VALUE RECEIVED, FC FINANCIAL
  SERVICES INC. (herein referred to as the 

  “Corporation”) promises to pay to:

«Name_of_Subscriber_»

  «Address_of_Subscriber» 

or any subsequent registered holder hereof (the “Holder”),
  the principal sum of

 $«Number»

on or prior to June 30, 2009 (the “Maturity Date”),
  and to pay interest on the principal sum outstanding on June 30 of each year
  commencing on June 30, 2007, at the rate of 8% per annum subject to adjustment
  for any part period in accordance with the Terms of this Note. Such interest
  shall be paid in United States currency or common shares in accordance with
  the Terms of this Note, to the person and at the address in whose name this
  Note is registered on the records of the Corporation regarding registration
  and transfers of the Notes (the “Note Register”) on the business day
  immediately preceding the payment date. The principal of this Note is payable,
  if converted in shares of common stock, or if not converted, in such coin or
  currency of the United States of America as at the time of payment is legal
  tender for payment of public and private debts, to the person and at the address
  in whose name this Note is registered on the Note Register on the business day
  immediately preceding the payment date. The forwarding of such payment shall
  constitute a payment hereunder and shall satisfy and discharge the liability
  for principal on this Note to the extent of the sum or common stock of the Corporation
  so paid.

Notwithstanding any other provision of this Note the Holder shall
  not be entitled to convert this Note to acquire beneficial ownership of more
  than 4.99% of the outstanding common stock of the Corporation.

          THIS
  NOTE is one of a duly authorized issue of Notes of the Corporation, designated
  as its 8% Convertible Notes due June 30, 2009 (the “Notes”).

          THIS
  NOTE is subject to the terms and conditions established by Resolutions of
  the Directors of the Corporation dated June 26, 2006 creating the series of
  Notes, which are incorporated herein by reference, and available for inspection
  at the head office of the Corporation at 110 Jardin Drive, Suite 13, Concord,
  Ontario, Canada L4K 2T7.

          IN
  WITNESS WHEREOF, the Corporation has caused this instrument to be duly executed
  by an officer thereunto duly authorized.

	 	FC FINANCIAL SERVICES INC. 
	 	  
	 	  
	 By:       	
	 	Taras Chebountchak, President 

TERMS AND CONDITIONS OF 8% CONVERTIBLE NOTES DUE JUNE 30,
2009 
APPROVED BY RESOLUTION OF THE BOARD OF DIRECTORS DATED JUNE 26, 2006
OF

FC FINANCIAL SERVICES INC.
(the
“Corporation”)

Section
1.           Note
Denominations. The Notes are initially issuable in denominations of at least
One Thousand ($1,000 US) and integral multiples of $1.00 US in excess thereof.
Upon conversion of a portion, but less than all, of a Note in accordance with
the terms hereof, a new note or notes may be issued to the Holder in a
denomination equal to the exact amount of the unconverted portion of the
Note.

Section
2.           Interest
Payments. The Corporation may, at its option, elect to pay interest by the
issuance of common shares of the Corporation (“Shares”), the number of Shares to
be determined by dividing the amount of the interest payment by the number which
is 90% of the average market price of the Corporation’s common shares for the 10
trading days immediately prior to the interest payment date. The amount of
interest payable in respect of any Note for any payment period shall be reduced
proportionately in the event the Note shall not be outstanding for the entire
payment period as a result of its issuance after June 30, 2007, or its
conversion prior to the end of any payment period.

Section
3.           Sale, Transfer
or Exchange. The Notes and any Shares issued upon conversion of the Notes or
as payment of interest on the Notes (the Note Shares”) will be issued to the
Holder pursuant to Regulation S of the Securities Act of 1933 (the “Securities
Act”) on the representations of the Holder in favor of the Corporation. Neither
the Notes nor the Note Shares may be sold, transferred, pledged or hypothecated
in the absence of an effective registration statement under the Securities Act
relating to such securities or an opinion of counsel reasonably satisfactory to
the Corporation that registration is not required under the Securities Act. Each
certificate for the Notes and the Note Shares shall contain a legend on the face
thereof, in form and substance satisfactory to counsel for the Corporation,
setting forth the restrictions on transfer contained in these terms and
conditions. By acceptance of any certificate representing the Notes, the Holder
acknowledges and agrees that:

	 	(1) 	
      The Holder will only sell the Notes and the Note Shares
      only in accordance with the provisions of Regulation S of the Securities
      Act, pursuant to registration under the Securities Act, or pursuant to an
      available exemption from registration pursuant to the Securities
    Act;

	 	 	 
	 	(2) 	
      The Corporation will refuse to register any transfer of
      the Notes and the Note Shares not made in accordance with the provisions
      of Regulation S of the Securities Act, pursuant to registration under the
      Securities Act, or pursuant to an available exemption from
      registration;

	 	 	 
	 	(3) 	
      The Holder will not engage in hedging transactions except
      in accordance with the Securities Act;

	 	 	 
	 	(4) 	
      The Holder does not have beneficial ownership of more
      than 4.99% of the outstanding Shares of the Corporation and after
      acquiring the Note Shares will not have beneficial ownership of more than
      4.99% of the outstanding Shares of the Corporation.

	 	 	 
	 	(5) 	
      The Holder is not entitled to any registration rights
      with respect to the Notes and the Note Shares.

All certificates representing the Notes and the Note Shares
will be endorsed with the following legend:

  “NEITHER THESE SECURITIES, THE SECURITIES ISSUABLE
    UPON CONVERSION HEREOF OR THE SECURITIES ISSUED AS PAYMENT OF INTEREST HEREON
    HAVE BEEN REGISTERED WITH THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION
    OR THE SECURITIES COMMISSION OF ANY STATE OR PROVINCE OR UNDER THE SECURITIES
    ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). THE SECURITIES ARE
    RESTRICTED AND MAY NOT BE OFFERED, RESOLD, PLEDGED OR TRANSFERRED EXCEPT AS
    PERMITTED UNDER THE SECURITIES ACT OR OTHER APPLICABLE SECURITIES LAWS PURSUANT
    TO AN EFFECTIVE REGISTRATION STATEMENT OR AN EXEMPTION FROM SUCH REGISTRATION
    REQUIREMENTS. HEDGING TRANSACTIONS INVOLVING THE SECURITIES MAY NOT BE CONDUCTED
    UNLESS IN COMPLIANCE WITH THE SECURITIES ACT.”

In addition, the Holder will comply with all other applicable
securities legislation in addition to the Securities Act to which the Holder is
subject in selling or transferring any Notes or Note Shares and the Corporation
may refuse to register any sale or transfer not in compliance with such other
securities legislation.

Any Holder of a Note, by acceptance thereof, agrees to the
representations, warranties and covenants herein.

Prior to due presentment to the Corporation for transfer of a
Note, the Corporation and any agent of the Corporation may treat the person in
whose name the Note is duly registered on the Corporation’s Note 

1

Register as the owner hereof for the purpose of receiving
payment as herein provided and for all other purposes, whether or not the Note
be overdue, and neither the Corporation nor any such agent shall be affected by
notice to the contrary.

Section
4.           Conversion.
The Record Holders of a Note shall have conversion rights as follows (the
‘Conversion Rights’):

               (a)
Right to Convert; Conversion Price. The record Holder of a Note shall be
entitled, at any time, at the office of the Corporation, to convert all or any
portion of the Note held by such Holder into that number of fully-paid and
non-assessable shares of Common Stock as shall be equal to the Principal Amount
to be converted at the price of $1.00 per share (the “Conversion Price”).

               (b)
Mechanics of Conversion. In order to convert the Notes into full shares
of Common Stock, the Holder shall deliver a copy of the fully executed notice of
conversion in the form on the rear of the certificate evidencing the Note
(‘Notice of Conversion’) to the Corporation at the office of the Corporation
which notice shall specify the amount of the Note to be converted (together with
a copy of the first page of each Note to be converted) prior to Midnight,
Pacific time (the ‘Conversion Notice Deadline’) on the date of Conversion
specified on the Notice of Conversion and (ii) surrender the original Note(s);
provided, however, that the Corporation shall not be obligated to issue
certificates evidencing the shares of Common Stock issuable upon such conversion
unless either the original Notes are delivered to the Corporation as provided
above, or the Holder notifies the Corporation that such Note(s) have been lost,
stolen or destroyed. In the case of a dispute as the calculation of the
Conversion Price, the Corporation’s calculation shall be deemed conclusive
absent manifest error.

                         (i)
Lost or Stolen Notes. Upon receipt by the Corporation of evidence of the
loss, theft, destruction or mutilation of a Note, and (in the case of loss,
theft or destruction) indemnity or security reasonably satisfactory to the
Corporation, and upon surrender and cancellation of the Note, if mutilated, the
Corporation shall execute and deliver new Note(s) of like tenor and date.

                         (ii)
Delivery of Common Stock upon Conversion. The Corporation shall issue and
use its best efforts to deliver within a reasonable time after delivery to the
Corporation of a Note and Notice of Conversion, or after provision for security
or indemnification required by (i) above, to such Holder of the Note at the
address of the Holder on the books of the Corporation, a certificate for the
number of shares of Common Stock to which the Holder shall be entitled as
aforesaid.

                         (iii)
No Fractional Shares. No fractional shares of Common Stock shall be issued
upon conversion of a Note. If any conversion of the Note would create a
fractional share of Common Stock or a right to acquire a fractional share of
Common Stock, a cash adjustment will be made for the fractional interest.

                         (iv)
Date of Conversion. The date of which conversion occurs (the ‘Date of
Conversion’) shall be deemed to be the date set forth in such Notice of
Conversion, provided that the copy of the Notice of Conversion is delivered or
faxed to the Corporation before midnight, Pacific time, on the Date of
Conversion, and (ii) that the original Notes to be converted are surrendered,
and received by the Corporation within five business days from the Date of
Conversion. The person or persons entitled to receive the shares of common Stock
issuable upon such conversion shall be treated for all purposes as the record
holder or holders of such shares of Common Stock on such date. If the original
Notes to be converted are not received by the Transfer Agent or the Corporation
within five business days after the Date of Conversion or if the facsimile of
the Notice of Conversion is not received by the Corporation or its designated
transfer agent prior to the Conversion Notice Deadline, the Notice of
Conversion, at the Corporation’s option, may be declared null and void.

               (c)
Reservation of Stock Issuable Upon Conversion. The Corporation shall at
all times reserve and keep available out of its authorized but unissued shares
of Common Stock, solely for the purpose of effecting the conversion of the
Notes, such number of its shares of Common Stock as shall from time to time be
sufficient to effect the conversion of all then outstanding Notes; and if at any
time the number of authorized but unissued shares of Common Stock shall not be
sufficient to effect the conversion of all then outstanding Notes, the
Corporation will immediately take such corporate action as may be necessary to
increase its authorized but unissued shares of Common Stock to such number of
shares as shall be sufficient for such purpose.

              
(d) Adjustment to Conversion Price.

                         (i)
Adjustment Due to Stock Split, Stock Dividend, Etc. If at any time when the
Notes are issued and outstanding, the number of outstanding shares of Common
Stock is increased by a stock split, stock dividend, or other similar event, the
Fixed Conversion Price shall be proportionately reduced, or if the number of
outstanding shares of Common Stock is decreased by a combination or
reclassification of shares, or other similar event, the Fixed Conversion Price
share be proportionately increased.

                         (ii)
Adjustment Due to Merger, Consolidation, Etc. If at any time when the Notes
are issued and outstanding, there shall be any merger, amalgamation,
consolidation, exchange of shares, recapitalization, reorganization, or other
similar event, as a result of which shares of Common Stock of the Corporation
shall be changed into the same or a different number of shares of another class
or classes of stock or securities of the company or another entity, then the
Holders of the Notes shall thereafter have the right to receive upon conversion
of the Notes, upon the basis and upon the terms and conditions specified 

2

herein and in lieu of the shares of Common Stock immediately
theretofore issuable upon conversion, such stock and/or securities which the
Holder would have been entitled to receive in such transaction had the Notes
been converted immediately prior to such transaction, and in any such case
appropriate provisions shall be made with respect to the rights and interest of
the Holders of the Notes to the end that the provisions hereof (including,
without limitation, provisions for adjustment of the Fixed Conversion Price and
of the number of shares issuable upon conversion of the Notes shall thereafter
be applicable, as nearly as may be practicable in relation to any securities
thereafter deliverable upon the exercise hereof. 

Section
5.           Events of
Default and Notices Thereof. The term ‘Event of Default’ includes any one of
the following; (i) failure of the Corporation to pay interest for 45 days or
principal when due; (ii) failure of the Corporation to perform any other
covenant herein for 45 days after notice; (iii) default by the Corporation with
respect to its obligations to pay principal of or interest on certain other
indebtedness aggregating more than $1,500,000 or the acceleration of such
indebtedness under the terms of the instruments evidencing such indebtedness;
and (iv) events of bankruptcy or insolvency of the Corporation.

In case an event of Default (other than an Event of Default
resulting from bankruptcy or insolvency) shall occur and be continuing for a
period of 45 days from the date that an Event of Default is deemed to have
occurred, the holders of a least 25% in aggregate principal amount of the Notes
then outstanding may by notice in the writing to the Corporation declare all
unpaid principal and accrued interest on the Notes then outstanding to be due
and payable immediately.

Section
6.           Modification
and Waiver. Modification and amendment of the Notes may be made by the
Corporation with the consent of the holders of not less than a majority in
principal amount of the outstanding Notes, provided that no such modification or
amendment may, without the consent of the holder of each Note affected thereby
(i) change the stated maturity of the principal of or any installment of
interest on any Note, (ii) reduce the principal of, or the rate of interest on,
any Note, (iii) change the currency of payment of principal of or interest on
any Note, (iv) reduce the above-stated percentage of holders of Notes necessary
to modify or amend the Notes or (v) modify any of the foregoing provisions or
reduce the percentage of outstanding Notes necessary to waive any covenant or
past default. Holders of not less than a majority in principal amount of the
outstanding Notes may waive any covenant or past defaults. (See ‘Events of
Default and Notice Thereof’) An amendment to the Notes may not adversely affect
the rights under the subordination provisions of the holders of any issue of
Senior Indebtedness without the consent of such holders.

Section
7.           No Voting
Rights. The Notes shall not entitle the Holders thereof to any of the rights
of a stockholder of the Corporation, including without limitation, the right to
vote, to receive dividends and other distributions, or to receive any notice of,
or to attend meetings of stockholders or any other proceedings of the
Corporation.

Section
8.           Governing Law.
The Notes shall be governed by and construed in accordance with the laws of
the State of Nevada, U.S.A. without giving effect to the principles of conflicts
of laws, except for matters arising under the Securities Act or the Securities
Exchange Act of 1934, as amended, which matters shall be governed by and
construed in accordance with such laws or matters relating to realization on the
security which shall be governed by the laws of the jurisdiction under which
such security is located.

Section
9.           Business Day
Definition. For purposes hereof, the term ‘business day’ shall mean any day
on which banks are generally open for business in the State of Nevada, USA and
excluding any Saturday and Sunday.

Section
10.           Notices.
Any notice or other communication required or permitted to be given
hereunder shall be given as provided herein or delivered against receipt if to
(i) the Corporation at 110 Jardin Drive, Suite 13, Concord, Ontario, Canada L4K
2T7, fax number (905) 761-1095 and (ii) the Holder of a Note, to such holder at
its last address as shown on the Note Register (or to such other address as the
party shall have furnished in writing as its new address to be entered on the
Note Register (which address must include a telecopy number in accordance with
the provisions of this Section 12). Any notice or other communication needs to
be made by facsimile and delivery shall be deemed give, except as otherwise
required herein, at the time of transmission of said facsimile. Any notice given
on a day that is not a business day shall be effective upon the next business
day.

Section
11.           Waiver of any
Breach to be in Writing. Any waiver by the Corporation or the Holder of a
Note of a breach of any provision of the Note shall not operate as, or be
construed to be a waiver of any other breach of such provision or of any breach
of any other provision of the Note. The failure of the Corporation or the Holder
hereof to insist upon strict adherence to any term of the Note on one or more
occasions shall not be considered a waiver or deprive that party of the right
thereafter to insist upon strict adherence to that term or any other term of the
Note. Any waiver must be in writing.

Section
12.           Unenforceable
Provisions. If any provision of a Note is invalid, illegal or unenforceable,
the balance of the Note shall remain in effect, and if any provision is
inapplicable to any person or circumstance, it shall nevertheless remain
applicable to all other persons and circumstances.

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