Document:

Exhibit

Exhibit 10.1

THIRD AMENDMENT TO
AMENDED AND RESTATED CREDIT AGREEMENT

This Third Amendment to Amended and Restated Credit Agreement (this “Third Amendment”) is entered into as of April 15, 2016 (the “Third Amendment Effective Date”), by and among Denbury Resources Inc., a Delaware corporation (“Borrower”), JPMorgan Chase Bank, N.A., as Administrative Agent (“Administrative Agent”), and the financial institutions party hereto as Lenders (hereinafter collectively referred to as the “Executing Lenders”, and each individually, an “Executing Lender”).

W I T N E S S E T H

WHEREAS, Borrower, Administrative Agent, the other agents party thereto and Lenders are parties to that certain Amended and Restated Credit Agreement dated as of December 9, 2014 (as amended, supplemented or otherwise modified prior to the date hereof, the “Credit Agreement”; unless otherwise defined herein, all terms used herein with their initial letter capitalized shall have the meaning given such terms in the Credit Agreement, including, to the extent applicable, after giving effect to the amendments set forth in Section 1 of this Third Amendment);

WHEREAS, pursuant to the Credit Agreement, Lenders have extended credit in the form of Loans to Borrower and provided certain other credit accommodations to Borrower;

WHEREAS, Borrower has requested that Lenders amend certain provisions contained in the Credit Agreement as more specifically provided for herein; and

WHEREAS, subject to and upon the terms and conditions set forth herein, Executing Lenders have agreed to enter into this Third Amendment to amend certain provisions of the Credit Agreement as more specifically provided for herein.

NOW THEREFORE, for and in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged and confessed, Borrower, Administrative Agent and Executing Lenders hereby agree as follows:

Section 1.Amendments to Credit Agreement.  In reliance on the representations, warranties, covenants and agreements contained in this Third Amendment, and subject to the satisfaction or waiver of the conditions precedent set forth in Section 4 hereof, the Credit Agreement shall be amended effective as of the Third Amendment Effective Date in the manner provided in this Section 1.

1.1Additional Definitions.  Section 1.1 of the Credit Agreement shall be amended to add thereto in alphabetical order the following definitions, which shall read in full as follows:

“Bail-In Action” shall mean the exercise of any Write-Down and Conversion Powers by the applicable EEA Resolution Authority in respect of any liability of an EEA Financial Institution.

“Bail-In Legislation” shall mean, with respect to any EEA Member Country implementing Article 55 of Directive 2014/59/EU of the European Parliament and of the Council of the European Union, the implementing law for such EEA Member Country from time to time which is described in the EU Bail-In Legislation Schedule.

“EEA Financial Institution” shall mean (a) any institution or investment firm established in any EEA Member Country which is subject to the supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country which is a parent of an institution described in clause (a) of this definition, or (c) any institution established in an EEA Member Country which is a subsidiary of an institution described in clauses (a) or (b) of this definition and is subject to consolidated supervision with its parent. 

“EEA Member Country” shall mean any of the member states of the European Union, Iceland, Liechtenstein, and Norway.

- 1 -

“EEA Resolution Authority” shall mean any public administrative authority or any Person entrusted with public administrative authority of any EEA Member Country (including any delegee) having responsibility for the resolution of any EEA Financial Institution.

“EU Bail-In Legislation Schedule” shall mean the EU Bail-In Legislation Schedule published by the Loan Market Association (or any successor Person), as in effect from time to time.

“Intercreditor Agreement” shall mean each intercreditor agreement entered into among the Borrower, the Administrative Agent and the applicable lender, holder, agent, collateral agent, trustee or other representative of the lenders or holders of any Permitted Junior Lien Debt which shall be in form and substance satisfactory to the Administrative Agent and the Majority Lenders in their sole discretion, in each case, as the same may be amended, modified, supplemented or restated from time to time in accordance with the terms thereof.

“Permitted Junior Lien Debt” shall mean Indebtedness issued or incurred by the Borrower or a Guarantor that (a) shall be secured solely by Liens on property or assets (whether real, personal, or mixed, tangible or intangible) upon which there exists first priority Liens (subject only to Permitted Liens) in favor of the Administrative Agent and which Liens are at all times subject to the terms and conditions of an Intercreditor Agreement, (b) shall not mature prior to the date that is 91 days following the Maturity Date (as such term is defined herein at the time of the incurrence of such Indebtedness); and (c) the covenants (other than financial covenants, for which the proviso in this clause (c) applies), events of default, guarantees and other terms of such Indebtedness (other than interest rate, fees, funding discounts and redemption or prepayment premiums determined by the Borrower to be “market” rates, fees, discounts and premiums at the time of issuance or incurrence of any such Indebtedness), taken as a whole, are determined by the Borrower to be “market” terms on the date of issuance or incurrence and in any event are not, in the aggregate, materially more restrictive on the Borrower and its Restricted Subsidiaries than the terms of this Agreement as in effect at the time of such issuance or incurrence; provided, that a certificate of an Authorized Officer of the Borrower delivered to the Administrative Agent at least five Business Days prior to the execution of the definitive financing documentation governing such Indebtedness, together with a reasonably detailed description of the material terms and conditions of such Indebtedness or drafts of the documentation relating thereto, stating that the Borrower has determined in good faith that such terms and conditions satisfy the foregoing requirements of this clause (c) shall be conclusive evidence that such terms and conditions satisfy such foregoing requirements; provided, that, in no event shall documentation related to such Indebtedness contain financial covenants requiring the maintenance or incurrence testing of any ratio or amount that are more onerous or restrictive to the Borrower than those contained in this Agreement (other than (i) an asset coverage test that is customary for similar junior lien term loans of like tenor and amount and (ii) covenants that require the achievement of a financial performance standard solely as a condition to taking specified voluntary actions).

“Permitted Junior Lien Debt Documents” shall mean each credit agreement, loan agreement, promissory note, indenture or other agreement governing Permitted Junior Lien Debt, all guarantees of Permitted Junior Lien Debt and all notes, security agreements, pledge agreements, collateral assignments, mortgages, control agreements or other grants of or transfers for security, and any other agreements, documents or instruments executed and delivered by any Credit Party in connection with, or pursuant to, the issuance or incurrence of Permitted Junior Lien Debt. 

“Permitted Junior Lien Debt Principal Amount” shall mean, at any time, the aggregate principal amount of all Permitted Junior Lien Debt issued or incurred at such time, which for the avoidance of doubt shall expressly exclude (a) the amount of any paid in kind interest added to the principal amount of any Permitted Junior Lien Debt following its issuance and (b) the positive difference, if any, between the carrying amount of any Permitted Junior Lien Debt and the principal amount at issuance of such Permitted Junior Lien Debt as a result of the application of ASC 470-60 as of any date of determination.

“Third Amendment” shall mean that certain Third Amendment to Amended and Restated Credit Agreement dated as of the Third Amendment Effective Date among the Borrower, the Guarantors, the Administrative Agent and the Lenders party thereto.

“Third Amendment Effective Date” shall mean April 15, 2016.

- 2 -

“Write-Down and Conversion Powers” shall mean, with respect to any EEA Resolution Authority, the write-down and conversion powers of such EEA Resolution Authority from time to time under the Bail-In Legislation for the applicable EEA Member Country, which write-down and conversion powers are described in the EU Bail-In Legislation Schedule.

1.2Restatement of Definitions. The definitions of “Collateral Coverage Minimum”, “Commitment”, “Consolidated Interest Charges”, “Consolidated Total Debt”, “Credit Documents” and “Subordinated Indebtedness” contained in Section 1.1 of the Credit Agreement shall be amended and restated to read in full as follows:

“Collateral Coverage Minimum” shall mean, at any time, an amount of Mortgaged Properties having a PV-9 value equal to 90% of the PV-9 of all Borrowing Base Properties at such time; provided that during any Investment Grade Period, the Collateral Coverage Minimum shall mean an amount of Mortgaged Properties having a PV-9 value equal to $0.

“Commitment” shall mean, (a) with respect to each Lender that is a Lender on the Third Amendment Effective Date, the amount set forth opposite such Lender’s name on Schedule 1.1(a) as such Lender’s “Commitment” (as amended by any Incremental Agreement) and (b) in the case of any Lender that becomes a Lender after the Third Amendment Effective Date, (i) the amount specified as such Lender’s “Commitment” in the Assignment and Acceptance pursuant to which such Lender assumed a portion of the Total Commitment or (ii) the amount specified in Schedule 1.1(a) as amended by any Incremental Agreement; in each case, as the same may be changed from time to time pursuant to terms of this Agreement.  The aggregate amount of the Commitments as of the Third Amendment Effective Date is $1,050,000,000.

“Consolidated Interest Charges” shall mean, for any period, without duplication, for the Borrower and its Restricted Subsidiaries on a consolidated basis, the sum of (a) all interest expense of the Borrower and its Restricted Subsidiaries for such period in connection with borrowed money (including capitalized interest) or in connection with the deferred purchase price of assets, in each case to the extent treated as interest in accordance with GAAP (but excluding amortization of debt discount and issuance cost, any write-off of debt issuance cost and any paid in kind interest added to the principal amount of any related Indebtedness following its issuance), (b) interest expense (imputed or otherwise) attributable to Capitalized Lease Obligations of the Borrower and its Restricted Subsidiaries for such period, (c) surety bond fees and related expenses of the Borrower and its Restricted Subsidiaries for such period in connection with financing activities, and (d) any cash interest paid in connection with the issuance or incurrence of any new Indebtedness permitted hereunder to the extent that, pursuant to ASC 470-60, such payments are not accounted for as interest expense.

“Consolidated Total Debt” shall mean, as of any date of determination, (a) all Indebtedness of the types described in clauses (a) and (b) (other than intercompany Indebtedness owing to the Borrower or any Restricted Subsidiary), clause (d) (but only to the extent of any unreimbursed drawings under any letter of credit), clause (e) (but only to the extent of any amounts that are assumed by the Borrower and/or a Restricted Subsidiary) and clauses (f) through (h) of the definition thereof, in each case actually owing by the Borrower and/or the Restricted Subsidiaries on such date and to the extent appearing on the balance sheet of the Borrower determined on a consolidated basis in accordance with GAAP (provided that the amount of any Capitalized Lease Obligations or any such Indebtedness issued at a discount to its face value shall be determined in accordance with GAAP) minus (b) (i) the aggregate cash and Permitted Investments (in each case, free and clear of all Liens, other than Permitted Liens and other nonconsensual Liens permitted by Section 10.2 and Liens permitted by Sections 10.2(a), (h), (i) and (l) and clauses (i) and (ii) of Section 10.2(n)) included in the cash and cash equivalents accounts listed on the consolidated balance sheet of the Borrower and the Restricted Subsidiaries at such date and (ii) all obligations (1) existing on the Closing Date and (2) of a similar nature to those existing on the Closing Date, in each case, arising as a result of the Genesis VPP Transactions.  Notwithstanding anything else herein to the contrary, as of any date of determination, if the carrying amount of any Indebtedness described in clause (a) of this definition of “Consolidated Total Debt” differs from the principal amount of such Indebtedness as a result of the application of ASC 470-60, then the principal amount of such Indebtedness as of such date shall be deemed to be the amount of such Indebtedness as of such date for purposes of the above calculation of Consolidated Total Debt.

“Credit Documents” shall mean this Agreement, the First Amendment, the Second Amendment, the Third Amendment, the Guarantee, the Security Documents, any Intercreditor Agreement and any promissory 

- 3 -

notes issued by the Borrower under this Agreement and any other agreements executed by Credit Parties in connection with this Agreement and expressly identified as “Credit Documents” therein.

“Subordinated Indebtedness” shall mean the collective reference to any Indebtedness of any Credit Party that is (a) subordinated in right and time of payment to the Obligations and containing such other terms and conditions, in each case as are satisfactory to the Administrative Agent or (b) Permitted Junior Lien Debt.

1.3Amendments to Definitions.

(a)The definition of “Applicable Equity Amount” contained in Section 1.1 of the Credit Agreement is hereby amended by deleting the reference to “Section 10.7(a)(i)(C)” contained therein and inserting in lieu thereof a reference to “Section 10.7(a)(i)(A)(3)”.

(b)The definition of “Change of Control” contained in Section 1.1 of the Credit Agreement is hereby amended by (i) adding “the Permitted Junior Lien Debt Documents,” immediately after the reference to “under and as defined in” contained in clause (c) of such definition and (ii) adding “the Permitted Junior Lien Debt,” immediately after the reference to “all or any portion of” contained in clause (c) of such definition.

(c)The definition of “Excess Cash” contained in Section 1.1 of the Credit Agreement is hereby amended by (i) deleting the reference to “Section 10.7(a)(iii)” contained therein and inserting in lieu thereof a reference to “Section 10.7(a)(i)(C) or Section 10.7(a)(i)(D)” and (ii) deleting the reference to “the 30th day” contained therein and inserting in lieu thereof a reference to “the 30th day or the 121st day (solely with respect to amounts being held for use pursuant to Section 10.7(a)(i)(D))”.

(d)The definition of “Lender Default” contained in Section 1.1 of the Credit Agreement is hereby amended by adding a new clause (f) immediately prior to the “.” at the end thereof, which clause (f) shall read in full as follows:  

, or (f) a Lender has become the subject of a Bail-In Action

(e)The definition of “Letter of Credit Commitment” contained in Section 1.1 of the Credit Agreement is hereby amended by deleting the reference to “$50,000,000” contained therein and inserting in lieu thereof a reference to “$100,000,000”.

1.4Amendment to Section 10.1.  Section 10.1 of the Credit Agreement is hereby amended by (a) deleting the “and” at the end of clause (y)(vi) thereof, (b) replacing the “.” at the end of clause (z) thereof with “; and” and (c) adding a new clause (aa) at the end thereof which clause (aa) shall read in full as follows:

(aa)    Indebtedness in respect of Permitted Junior Lien Debt (including any Guarantee Obligations thereunder) and any fees, underwriting discounts, premiums and other costs and expenses incurred in connection with the foregoing and any Permitted Refinancing Indebtedness issued or incurred in exchange for, or the net proceeds of which are used to purchase, refinance or replace such Indebtedness; provided, that:

(i)     the Permitted Junior Lien Debt Principal Amount may not exceed $1,000,000,000 outstanding at any one time;

(ii)     except as provided in clause (2) below, such Indebtedness shall be issued in exchange for, or the net proceeds of which are used to purchase, refinance or replace (A) Senior Subordinated Notes or (B) Permitted Additional Debt comprised of unsecured senior subordinated or unsecured subordinated Indebtedness, in each case, as permitted under Section 10.7(a)(i); provided, that (1) nothing in this clause (ii) shall prohibit the incurrence of Permitted Refinancing Indebtedness as permitted under Section 10.7(a)(ii) and (2) proceeds of such Indebtedness in a Permitted Junior Lien Debt Principal Amount not to exceed $300,000,000 in the aggregate may be used by the Credit Parties for general corporate purposes and other purposes not prohibited hereunder; 

(iii)    such Indebtedness shall not require any prepayments of the Permitted Junior Lien Debt Principal Amount prior to the scheduled maturity date of such Indebtedness (other than as a result of an event of default or customary change in control put or asset sale put; provided, that any such mandatory prepayment or redemption requirement in connection with asset sales is subject to any prepayment obligations in connection therewith that the Borrower has under this Agreement); and

- 4 -

(iv)    immediately after giving effect to the incurrence of such Indebtedness and use thereof, (A) the Borrower shall be in pro forma compliance with each of the Financial Performance Covenants set forth in Section 10.11 (calculated after giving pro forma effect to any applicable refinancing or other exchange of Senior Subordinated Notes or Permitted Additional Debt) and (B) no Default, Event of Default or Borrowing Base Deficiency then exists or would result therefrom. 

1.5Amendment to Section 10.2.  Section 10.2 of the Credit Agreement is hereby amended by (a) deleting the “and” at the end of clause (z) thereof, (b) replacing the “.” at the end of clause (aa) thereof with “; and” and (c) adding a new clause (ab) at the end thereof which clause (ab) shall read in full as follows:

(ab)    Liens on Collateral securing Permitted Junior Lien Debt, provided that, pursuant to an Intercreditor Agreement, such Liens are junior to the Liens in favor of the Administrative Agent securing the Indebtedness.

1.6Amendments to Section 10.7 of the Credit Agreement.  

(a)Section 10.7(a) of the Credit Agreement is hereby amended and restated in its entirety to read in full as follows:

(a)    (i) The Borrower will not, and will not permit any Restricted Subsidiary to, exchange, prepay, repurchase or redeem or otherwise defease (x) the Senior Subordinated Notes or (y) any Permitted Additional Debt comprised of unsecured senior subordinated or unsecured subordinated Indebtedness (it being understood that payments of regularly scheduled cash interest and any AHYDO Payments in respect of the Senior Subordinated Notes or such Permitted Additional Debt shall be permitted); provided, however, that the Borrower or any Subsidiary may exchange, prepay, repurchase, redeem or defease the Senior Subordinated Notes or any such Permitted Additional Debt (A) (1) with the proceeds of any Permitted Refinancing Indebtedness (or with any Permitted Refinancing Indebtedness that is otherwise issued in exchange for such Senior Subordinated Notes or such Permitted Additional Debt), (2) with the proceeds of any Permitted Additional Debt (or with Permitted Additional Debt that is otherwise issued in exchange for such Senior Subordinated Notes or such Permitted Additional Debt) or (3) with the proceeds from the issuance of Stock by the Borrower, in each case, so long as such exchange, prepayment, repurchase, redemption or defeasance occurs within 90 days following the Borrower’s or such other Restricted Subsidiary’s incurrence or issuance of such Permitted Refinancing Indebtedness, Permitted Additional Debt or Stock, as applicable, (B) by converting the Senior Subordinated Notes or any such Permitted Additional Debt to Stock or exchanging the Senior Subordinated Notes or any such Permitted Additional Debt for Stock (in each case other than Disqualified Stock) of the Borrower or any of its direct or indirect parent, (C) so long as, immediately after giving pro forma effect to such exchange, prepayment, repurchase, redemption or defeasance, (1) no Event of Default has occurred and is continuing, (2) the Available Commitment is not less than 20% of the then effective Loan Limit, and (3) the sum of all exchanges, prepayments, repurchases, redemptions or defeasements made on or after the Second Amendment Effective Date pursuant to this Section 10.7(a)(i)(C) is not greater than $225,000,000, or (D) with the proceeds from any Permitted Junior Lien Debt (or with Permitted Junior Lien Debt that is otherwise issued in exchange for such Senior Subordinated Notes or such Permitted Additional Debt), so long as such exchange, prepayment, repurchase, redemption or defeasance occurs within 120 days following the Borrower’s or such other Restricted Subsidiary’s incurrence of such Permitted Junior Lien Debt.

(ii)    The Borrower will not, and will not permit any Restricted Subsidiary to, exchange, prepay, repurchase or redeem or otherwise defease any Permitted Junior Lien Debt; provided, however, that the Borrower or any Subsidiary may exchange, prepay, repurchase, redeem or defease the Permitted Junior Lien Debt (A) (1) with the proceeds of any Permitted Refinancing Indebtedness (or with any Permitted Refinancing Indebtedness that is otherwise issued in exchange for such Permitted Junior Lien Debt), (2) with the proceeds of any Permitted Additional Debt (or with Permitted Additional Debt that is otherwise issued in exchange for such Permitted Junior Lien Debt) or (3) with the proceeds from the issuance of Stock by the Borrower, in each case, so long as such exchange, prepayment, repurchase, redemption or defeasance occurs within 90 days following the Borrower’s or such other Restricted Subsidiary’s incurrence or issuance of such Permitted Refinancing Indebtedness, Permitted Additional Debt or Stock, as applicable, or (B) by converting Permitted Junior Lien Debt to Stock or exchanging Permitted Junior Lien Debt for Stock (in each case other than Disqualified Stock) of the Borrower or any of its direct or indirect parent.

- 5 -

(b)Section 10.7 of the Credit Agreement is hereby amended by (i) deleting the “and” at the end of clause (b) thereof, (ii) renumbering clause (c) thereof to be clause (d) thereof and (iii) adding a new clause (c) thereto which shall read in full as follows:

(c)    The Borrower will not amend or modify the Permitted Junior Lien Debt Documents with respect to any Permitted Junior Lien Debt, except to the extent that any such amendment or modification would (i) not be adverse to the Lenders in any material respect, (ii) not cause such Indebtedness to not comply with the definition of “Permitted Junior Lien Debt” herein and (iii) comply with the terms of the applicable Intercreditor Agreement; and

1.7Amendment to Section 12 of the Credit Agreement.  Section 12 of the Credit Agreement is hereby amended by adding a new Section 12.14 at the end thereof which shall read in full as follows:

12.14.    Intercreditor Agreements.

(a)    Subject to Section 12.14(c), each of the Lenders, the Letter of Credit Issuer and the other Secured Parties hereby irrevocably authorizes and directs the Administrative Agent to execute and deliver, in each case on behalf of such Secured Party and without any further consent, authorization or other action by such Secured Party, (i) from time to time upon the request of the Borrower, in connection with the establishment, incurrence, amendment or refinancing of any Permitted Junior Lien Debt, any Intercreditor Agreement (which, for the avoidance of doubt, shall be in form and substance satisfactory to the Administrative Agent and the Majority Lenders in their sole discretion) and (ii) any documents relating thereto.

(b)    Each of the Lenders, the Letter of Credit Issuer and the other Secured Parties hereby irrevocably (i) consents to the treatment of Liens to be provided for under the Intercreditor Agreement, (ii) agrees that, upon the execution and delivery thereof, such Secured Party will be bound by the provisions of any Intercreditor Agreement as if it were a signatory thereto and will take no actions contrary to the provisions of any Intercreditor Agreement, (iii) agrees that no Secured Party shall have any right of action whatsoever against the Administrative Agent as a result of any action taken by the Administrative Agent pursuant to this Section or in accordance with the terms of any Intercreditor Agreement and (iv) authorizes and directs the Administrative Agent to carry out the provisions and intent of any Intercreditor Agreement.

(c)    Each of the Lenders, the Letter of Credit Issuer and the other Secured Parties hereby irrevocably further authorizes and directs the Administrative Agent to execute and deliver, in each case on behalf of such Secured Party and without any further consent, authorization or other action by such Secured Party, any amendments, supplements or other modifications of any Intercreditor Agreement that the Borrower may from time to time request (i) to give effect to any establishment, incurrence, amendment or refinancing of any Permitted Junior Lien Debt under any Permitted Refinancing Indebtedness, (ii) to confirm for any party that such Intercreditor Agreement is effective and binding upon the Administrative Agent on behalf of the Secured Parties or (iii) to effect any other amendment, supplement or modification so long as the resulting agreement would constitute an Intercreditor Agreement if executed at such time as a new agreement (including for the avoidance of doubt, that such agreement is in form and substance acceptable to the Administrative Agent and the Majority Lenders in their sole discretion).

(d)    Each of the Lenders, the Letter of Credit Issuer and the other Secured Parties hereby irrevocably further authorizes and directs the Administrative Agent to execute and deliver, in each case on behalf of such Secured Party and without any further consent, authorization or other action by such Secured Party, any amendments, supplements or other modifications of any Security Document to add or remove any legend that may be required pursuant to any Intercreditor Agreement.

(e)    The Administrative Agent shall have the benefit of the provisions of Section 12 with respect to all actions taken by it pursuant to this Section 12.14 or in accordance with the terms of any Intercreditor Agreement to the full extent thereof.

1.8Amendment to Article XIII of the Credit Agreement.  Section 13 of the Credit Agreement is hereby amended by adding a new Section 13.27 at the end thereof which Section 13.27 shall read in full as follows:

- 6 -

Section 13.27      Acknowledgement and Consent to Bail-In of EEA Financial Institutions.  Notwithstanding anything to the contrary in any Credit Document or in any other agreement, arrangement or understanding among any such parties, each party hereto acknowledges that any liability of any EEA Financial Institution arising under any Credit Document, to the extent such liability is unsecured, may be subject to the write-down and conversion powers of an EEA Resolution Authority and agrees and consents to, and acknowledges and agrees to be bound by:

(a)    the application of any Write-Down and Conversion Powers by an EEA Resolution Authority to any such liabilities arising hereunder which may be payable to it by any party hereto that is an EEA Financial Institution; and

(b)    the effects of any Bail-In Action on any such liability, including, if applicable:

(i)    a reduction in full or in part or cancellation of any such liability;

(ii)    a conversion of all, or a portion of, such liability into shares or other instruments of ownership in such EEA Financial Institution, its parent undertaking, or a bridge institution that may be issued to it or otherwise conferred on it, and that such shares or other instruments of ownership will be accepted by it in lieu of any rights with respect to any such liability under this Agreement or any other Credit Document; or

(iii)    the variation of the terms of such liability in connection with the exercise of the write-down and conversion powers of any EEA Resolution Authority.

1.9Amendment to Schedule 1.1(a) to the Credit Agreement.  Schedule 1.1(a) to the Credit Agreement is hereby replaced in its entirety with Schedule 1.1(a) attached hereto and Schedule 1.1(a) attached hereto shall be deemed to be attached as Schedule 1.1(a) to the Credit Agreement.

Section 2.Borrowing Base Redetermination.  In reliance on the representations, warranties, covenants and agreements contained in this Third Amendment, the Administrative Agent and the Lenders hereby agree that the Borrowing Base shall be redetermined to an amount equal to $1,050,000,000 effective as of the Third Amendment Effective Date.  The Borrowing Base shall remain at such level until the next Scheduled Redetermination, the next Interim Redetermination or other adjustment to the Borrowing Base thereafter, whichever occurs first pursuant to the Credit Agreement.  The redetermination of the Borrowing Base provided for in this Section 2 shall be deemed to be the Scheduled Redetermination scheduled for on or about May 1, 2016 for purposes of Section 2.14 of the Credit Agreement.

Section 3.Reduction in Total Commitments.  Pursuant to Section 4.3(c) of the Credit Agreement, the Total Commitments are hereby automatically and permanently reduced (but subject to Section 2.16 of the Credit Agreement), contemporaneously with the redetermination of the Borrowing Base contained in Section 2 hereof, to an amount equal to $1,050,000,000 effective as of the Third Amendment Effective Date.

Section 4.Conditions Precedent to Amendment.  Subject to the satisfaction (or waiver) of the following conditions, the amendments to the Credit Agreement contained in Section 1 hereof shall each be effective on the Third Amendment Effective Date:

4.1Counterparts.  Administrative Agent shall have received counterparts hereof duly executed by an Authorized Officer of each of Borrower, the Guarantors and the Required Lenders.

4.2No Default; No Borrowing Base Deficiency.  No Default or Event of Default shall have occurred which is continuing, and no Borrowing Base Deficiency shall then exist, in each case, before and after giving effect to the amendments to the Credit Agreement contained in Section 1 hereof, the redetermination of the Borrowing Base contained in Section 2 hereof and the reduction in the Total Commitments contained in Section 3 hereof.

4.3Payment of Fees.  The Administrative Agent shall have received all fees and other amounts due and payable on or prior to the Third Amendment Effective Date including, without limitation, an amendment fee for the benefit of the Executing Lenders executing this Third Amendment on or prior to the Third Amendment Effective Date in an amount for each such Executing 

- 7 -

Lender equal to 5 basis points (0.05%) of the amount of such Executing Lender’s Commitment as of the Third Amendment Effective Date after giving effect to Section 3 hereof.

4.4Other Documents.  Administrative Agent shall have been provided with such documents, instruments and agreements, and Borrower shall have taken such actions, in each case as Administrative Agent may reasonably require in connection with this Third Amendment and the transactions contemplated hereby.

Section 5.Post-Closing Covenants.

5.1The Borrower shall, and shall cause the other Credit Parties to, deliver control agreements with respect to their respective deposit accounts, securities accounts and commodities accounts in accordance with the terms of Section 4(b) of the Pledge Agreement; provided that, notwithstanding the foregoing and the requirements set forth in Section 4.1 of the Second Amendment, the Borrower and any such Credit Party shall have until the date that is 15 days following the Third Amendment Effective Date (or such longer period as the Administrative Agent may agree in its sole discretion) to deliver such control agreements.  The parties hereto hereby agree that if the Borrower or any such Credit Party is unable to deliver a control agreement with respect to any such account by such date, the Borrower shall, or shall cause such Credit Party to, close such account and provide notice to the Administrative Agent of such closure within 5 Business Days following such date, and upon delivery of such notice, Schedule 2 to the Pledge Agreement shall be automatically deemed to be amended to delete therefrom any such closed accounts without further action by the parties hereto or thereto. 

5.2Notwithstanding the requirements set forth in Section 4.2 of the Second Amendment, the Borrower shall, and shall cause its Restricted Subsidiaries to grant, within 30 days of the Third Amendment Effective Date (or such longer period as the Administrative Agent may agree in its sole discretion), to the Administrative Agent as security for the Obligations a first-priority Lien (subject to Liens permitted by Section 10.2) on additional Oil and Gas Properties not already subject to a Lien of the Security Documents such that, after giving effect thereto, the PV-9 of the Mortgaged Properties (calculated at the time of redetermination) equals or exceeds the Collateral Coverage Minimum.  All such Liens will be created and perfected by and in accordance with the provisions of the Security Documents, including, if applicable, any additional Mortgages.

5.3The Borrower’s failure to timely comply with this Section 5 (after giving effect to any applicable extensions of deadlines by the Administrative Agent to the extent permitted hereunder) shall constitute an immediate Event of Default with no notice or cure periods.

Section 6.Representations and Warranties.  To induce Executing Lenders and Administrative Agent to enter into this Third Amendment, Borrower hereby represents and warrants to Lenders and Administrative Agent as follows as of the Third Amendment Effective Date:

6.1Reaffirm Existing Representations and Warranties.  Each representation and warranty of Borrower contained in the Credit Agreement and the other Credit Documents is true and correct in all material respects (unless such representations and warranties are already qualified by materiality, Material Adverse Effect or a similar qualification in which case such representations and warranties shall be true and correct in all respects) with the same effect as though each such representation and warranty had been made on and as of the Third Amendment Effective Date (except where any such representation and warranty expressly relates to an earlier date, in which case each such representation and warranty shall have been true and correct in all material respects as of such earlier date).

6.2Due Authorization.  The execution, delivery and performance by Borrower of this Third Amendment are within Borrower’s corporate or organizational powers, have been duly authorized by all necessary action, and require no action by or in respect of, or filing with, any governmental body, agency or official.

6.3Validity and Enforceability.  This Third Amendment constitutes the valid and binding obligation of Borrower enforceable in accordance with its terms, except as (a) the enforceability thereof may be limited by bankruptcy, insolvency or similar laws affecting creditor’s rights generally, and (b) the availability of equitable remedies may be limited by equitable principles of general application.

6.4No Defense.  Borrower acknowledges that Borrower has no defense to (a) Borrower’s obligation to pay the Obligations when due, or (b) the validity, enforceability or binding effect against Borrower of the Credit Agreement or any of the other Credit Documents or any Liens intended to be created thereby.

- 8 -

Section 7.Miscellaneous.

7.1No Waivers.  No failure or delay on the part of Administrative Agent or Lenders to exercise any right or remedy under the Credit Agreement, any other Credit Documents or applicable law shall operate as a waiver thereof, nor shall any single or partial exercise of any right or remedy preclude any other or further exercise of any right or remedy, all of which are cumulative and may be exercised without notice except to the extent notice is expressly required (and has not been waived) under the Credit Agreement, the other Credit Documents and applicable law.

7.2Reaffirmation of Credit Documents. Any and all of the terms and provisions of the Credit Agreement and the other Credit Documents shall, except as amended and modified hereby, remain in full force and effect.  The amendments contemplated hereby or thereby shall not limit or impair any Liens securing the Obligations, each of which are hereby ratified, affirmed and extended to secure the Obligations.

7.3Legal Expenses.  Borrower hereby agrees to pay on demand all reasonable fees and expenses of counsel to Administrative Agent incurred by Administrative Agent in connection with the preparation, negotiation and execution of this Third Amendment and all related documents.

7.4Parties in Interest.  All of the terms and provisions of this Third Amendment shall bind and inure to the benefit of the parties hereto and their respective successors and assigns.

7.5Counterparts.  This Third Amendment may be executed in counterparts (including, without limitation, by electronic signature), and all parties need not execute the same counterpart; however, no party shall be bound by this Third Amendment until Borrower, the Guarantors and Required Lenders have executed a counterpart.  Facsimiles and counterparts executed by electronic signature (e.g., .pdf) shall be effective as originals.

7.6Complete Agreement.  THIS THIRD AMENDMENT, THE CREDIT AGREEMENT AND THE OTHER CREDIT DOCUMENTS REPRESENT THE FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR ORAL AGREEMENTS OF THE PARTIES.  THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN OR AMONG THE PARTIES.

7.7Headings.  The headings, captions and arrangements used in this Third Amendment are, unless specified otherwise, for convenience only and shall not be deemed to limit, amplify or modify the terms of this Third Amendment, nor affect the meaning thereof.

7.8Governing Law.  THIS THIRD AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

7.9Severability.  Any provision of this Third Amendment which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.

7.10Successors and Assigns.  This Third Amendment shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

[Signature pages follow.]

- 9 -

IN WITNESS WHEREOF, the parties hereto have caused this Third Amendment to be duly executed by their respective authorized officers effective as of the Third Amendment Effective Date.

	
			
	 
	BORROWER:

	 
	DENBURY RESOURCES INC.,

	 
	a Delaware corporation

	 
	 
	 

	 
	By:
	/s/ Mark C. Allen

	 
	Name:
	Mark C. Allen

	 
	Title:
	Senior Vice President and Chief Financial Officer

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

Each of the undersigned (i) consent and agree to this Third Amendment, and (ii) agree that the Credit Documents to which it is a party shall remain in full force and effect and shall continue to be the legal, valid and binding obligation of such Person, enforceable against it in accordance with its terms.

	
			
	 
	 

	 
	GUARANTORS:

	 
	DENBURY GATHERING & MARKETING, INC.

	 
	DENBURY HOLDINGS, INC.

	 
	DENBURY OPERATING COMPANY

	 
	DENBURY ONSHORE, LLC

	 
	DENBURY PIPELINE HOLDINGS, LLC

	 
	DENBURY AIR, LLC

	 
	DENBURY GREEN PIPELINE-TEXAS, LLC

	 
	DENBURY GULF COAST PIPELINES, LLC

	 
	GREENCORE PIPELINE COMPANY LLC

	 
	DENBURY GREEN PIPELINE-MONTANA, LLC

	 
	DENBURY GREEN PIPELINE-RILEY RIDGE, LLC

	 
	DENBURY THOMPSON PIPELINE, LLC

	 
	ENCORE PARTNERS GP HOLDINGS, LLC

	 
	PLAIN ENERGY HOLDINGS, LLC

	 
	 
	 

	 
	By:
	/s/ Mark C. Allen

	 
	Name:
	Mark C. Allen

	 
	Title:
	Senior Vice President and Chief Financial Officer

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	ADMINISTRATIVE AGENT/LENDER:

	 
	 

	 
	JPMORGAN CHASE BANK, N.A.

	 
	as Administrative Agent and a Lender

	 
	 
	 

	 
	By:
	/s/ Michele Jones

	 
	Name:
	Michele Jones

	 
	Title:
	Managing Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	LENDERS:

	 
	 

	 
	BANK OF AMERICA, N.A.,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Ronald E. McKaig

	 
	Name:
	Ronald E. McKaig

	 
	Title:
	Managing Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	WELLS FARGO BANK, NATIONAL ASSOCIATION,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ John Mammen

	 
	Name:
	John Mammen

	 
	Title:
	Vice President

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	CAPITAL ONE, NATIONAL ASSOCIATION,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ David L. Denbina, P.E. 

	 
	Name:
	David L. Denbina, P.E.

	 
	Title:
	Senior Vice President

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	CANADIAN IMPERIAL BANK OF COMMERCE, NEW YORK BRANCH,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Daria Mahoney

	 
	Name:
	Daria Mahoney

	 
	Title:
	Authorized Signatory

	 
	 
	 

	 
	By:
	/s/ Richard Antl

	 
	Name:
	Richard Antl

	 
	Title:
	Authorized Signatory

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	COMERICA BANK,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Brandon M. White

	 
	Name:
	Brandon M. White

	 
	Title:
	Vice President

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	COMPASS BANK,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Kathleen J. Bowen

	 
	Name:
	Kathleen J. Bowen

	 
	Title:
	Managing Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	CREDIT AGRICOLE CORPORATE AND INVESTMENT BANK,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Mark Roche

	 
	Name:
	Mark Roche

	 
	Title:
	Managing Director

	 
	 
	 

	 
	By:
	/s/ Michael Willis

	 
	Name:
	Michael Willis

	 
	Title:
	Managing Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Nupur Kumar

	 
	Name:
	Nupur Kumar

	 
	Title:
	Authorized Signatory

	 
	 
	 

	 
	By:
	/s/ Nicholas Goss

	 
	Name:
	Nicholas Goss

	 
	Title:
	Authorized Signatory

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	MUFG UNION BANK, N.A.,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Brian Hawk

	 
	Name:
	Brian Hawk

	 
	Title:
	Vice President

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	ROYAL BANK OF CANADA,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Jay T. Sartain 

	 
	Name:
	Jay T. Sartain

	 
	Title:
	Authorized Signatory

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	SANTANDER BANK, N.A.,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Aidan Lanigan

	 
	Name:
	Aidan Lanigan

	 
	Title:
	Senior Vice President

	 
	 
	 

	 
	By:
	/s/ Puiki Lok

	 
	Name:
	Puiki Lok

	 
	Title:
	Vice President

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	THE BANK OF NOVA SCOTIA,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Mark Sparrow

	 
	Name:
	Mark Sparrow

	 
	Title:
	Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	UBS AG, STAMFORD BRANCH,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Darlene Arias

	 
	Name:
	Darlene Arias

	 
	Title:
	Director

	 
	 
	 

	 
	By:
	/s/ Houssem Daly

	 
	Name:
	Houssem Daly

	 
	Title:
	Associate Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	ING CAPITAL LLC,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Juli Bieser

	 
	Name:
	Juli Bieser

	 
	Title:
	Managing Director

	 
	 
	 

	 
	By:
	/s/ Charles Hall

	 
	Name:
	Charles Hall

	 
	Title:
	Managing Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	SUNTRUST BANK,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ William S. Krueger

	 
	Name:
	William S. Krueger

	 
	Title:
	First Vice President

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	KEYBANK NATIONAL ASSOCIATION,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Stephen J. Jones

	 
	Name:
	Stephen J. Jones

	 
	Title:
	Senior Vice President

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	SUMITOMO MITSUI BANKING CORPORATION,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ James D. Weinstein

	 
	Name:
	James D. Weinstein

	 
	Title:
	Managing Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	FIFTH THIRD BANK,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Thomas Kleiderer

	 
	Name:
	Thomas Kleiderer

	 
	Title:
	Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	ABN AMRO CAPITAL USA LLC,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Darrell Holley

	 
	Name:
	Darrell Holley

	 
	Title:
	Managing Director

	 
	 
	 

	 
	By:
	/s/ David Montgomery

	 
	Name:
	David Montgomery

	 
	Title:
	Executive Director

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	BOKF, NA DBA BANK OF TEXAS,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Thomas E. Stelmar, Jr.

	 
	Name:
	Thomas E. Stelmar, Jr.

	 
	Title:
	Senior Vice President

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.

	
			
	 
	 

	 
	 

	 
	GOLDMAN SACHS BANK USA,

	 
	as a Lender

	 
	 
	 

	 
	By:
	/s/ Jerry Li

	 
	Name:
	Jerry Li

	 
	Title:
	Authorized Signatory

Signature Page
Third Amendment to Amended and Restated Credit Agreement
Denbury Resources Inc.Exhibit 10.1

STOCK EXCHANGE AGREEMENT

THIS STOCK EXCHANGE AGREEMENT (this "Agreement") is made and entered into this 15th day of April 2016, by and among Amazing Energy Oil and Gas, Co., a Nevada corporation (hereinafter referred to as the "Company") and Gulf South Holding, Inc., a Delaware corporation (hereinafter referred to as the "Seller") Gulf South Securities, Inc., a Delaware corporation (hereinafter referred to as "GSSI"); Jed Miesner, individually, and on behalf of Petro Pro Ltd., JLM Strategic Investments, LP, and Jed and Lesa Miesner, husband and wife (hereinafter referred to as "Miesner"); and Bories Capital, LLC (hereinafter referred to as "Bories"), on the following terms:

Premises

A.                 Seller and the Company have engaged in preliminary discussions with the intention of the Company acquiring all of the issued and outstanding shares of the common stock of Gulf South Securities, Inc., a Delaware corporation which are all owned by the Seller in exchange for restricted shares of common stock and warrants of the Company.

B.                 The Company and Seller desire to memorialize the terms of the foregoing shares and warrant exchange in this Agreement.

Agreement

BASED, upon the foregoing premises, which are incorporated herein by this reference, and for and in consideration of the mutual promises and covenants hereinafter set forth, and other good and valuable consideration the receipt and adequacy of which are hereby acknowledged, it is agreed as follows:

ARTICLE I

EXCHANGE OF STOCK AND WARRANTS

1.01            Exchange of Common Stock.  Company agrees to exchange Five Million, Three Hundred Forty-Nine Thousand, One Hundred Fifty-Three (5,349,153) restricted shares of Company's common stock (the "Shares") plus Two Million, Six Hundred Seventy-Four Thousand, Five Hundred Seventy-Six (2,674,576) stock purchase warrants (the "Warrants") of the Company in consideration for Seller transferring all right, title and interest in and to 100,000 shares of common stock (the "GSSI Shares") of Gulf South Securities, Inc., a Delaware corporation ("GSSI") which is registered with the Securities and Exchange Commission (the "SEC") and Financial Industry Regulatory Authority ("FINRA") as a broker-dealer.  The foregoing 100,000 shares of GSSI constitutes all of the authorized, issued, and outstanding shares of common stock of GSSI.  There are no other authorized, issued, or outstanding securities of GSSI.

1.02            Stock Purchase Warrant.  Each Warrant will allow the holder to purchase one share of the Company's common stock at an exercise price of One Dollar ($1.00) per share. The Warrants will have an exercise period of Three (3) years from the date of Closing. If the Warrant is not exercised during the redemption period, it will terminate.

1.03            Series A Preferred Stock.  The Company's financial statements reflect an outstanding in-debtedness owed in the approximate amount of $3,900,000.00 to entities under the common control of Jed Miesner ("Miesner").  Miesner will convert $900,000 of that debt into 9,000 restricted shares of Se-ries A Preferred Stock, the specific terms thereof will be contained in an appropriate designation filed with the Nevada Secretary of State.  The balance of the debt will remain unchanged.  The Series A Pre-ferred shares may be redeemed by the Company at any time upon payment of $100.00 per share. On the

1

JM

fifth anniversary of the Closing, any shares of Series A Preferred Stock outstanding share will, at the dis-cretion of Miesner, be convertible, for a period of three (3) years into common stock purchase warrants of the Company's common stock at an exercise price of one dollar (1.00) per share on the basis of 110 shares of common stock for each one (1) share of Series A Preferred Stock outstanding. Each share of Series A Preferred Stock will have 1,000 votes and will vote as a unit with all other shares of common and preferred stock. The Series A Preferred Stock will not accrue or paid any dividends and may not be assigned or transferred except under a plan for wealth transfer and estate planning. For each spud oil and gas well drilled by the Company with funds raised or delivered due to the efforts of the former Gulf South Officers, now Company employees, the Company will pay Miesner $10,000.00 in exchange for 100 shares of Series A Preferred Stock. In the event that the Company drills wells for its own account the Board of Directors of the Company will decide if such wells qualify for the aforementioned spud bonus.  The Company will promptly cancel any Preferred Stock purchased. As partial consideration for the fore-going, Miesner will execute a partial release of his collateralize security interest in the Company's oil and gas leaseholds.  All necessary documents releasing his collateralized security interest in the Company's oil and gas leaseholds will be delivered on Closing. In addition Miesner agrees to specifically release any liens and not hinder clean title where assignments of interests are made by the Company to the Compa-ny's contemplated drilling partnerships.

1.04            Series B Preferred Stock.  Seller's financial statements reflect an outstanding indebted-ness owed to Bories Capital LLC., a Louisiana Limited Liability Company ("Bories") in the amount of $5,000,000.00.  Bories will convert that indebtedness into 50,000 restricted shares of the Company's Se-ries B Preferred Stock, the specific terms thereof will be contained in an appropriate designation filed with the Nevada Secretary of State. The Company may redeem the Series B Preferred Stock at any time at $100.00 per share. On the fifth anniversary of the Closing relating to this Agreement, any shares of Series 8 Preferred Stock outstanding will be convertible, at the discretion of Bories, for a period of three years, into common stock purchase warrants of the Company with an exercise price of $1.00 per shares on the basis of 110 shares of common stock for each one (1) share of Series B Preferred Stock outstanding. The shares of Series B Preferred Stock will be non-voting, however, if voting is required under the laws of the State of Nevada for any reason, the Series B Preferred Stock will vote as a unit with all other shares of common and preferred stock. The Series B Preferred Stock will not accrue or be paid any dividends and may not be assigned or transferred except under a plan for wealth transfer and estate planning. For each spud oil and gas well drilled by the Company with funds raised or delivered due to the efforts of the for-mer Gulf South officers, now Company employees, the Company will pay Bories $10,000.00 in exchange for 100 shares of Series B Preferred Stock. In the event that the Company drills wells for its own account the Board of Directors of the Company will decide if such wells qualify for the aforementioned spud bo-nus.  The Company will promptly cancel any Preferred Stock purchased.  Bories agrees to execute any necessary documents to fulfill the obligations contained in this paragraph as to the redemption of the Pre-ferred Stock.

1.05            Closing.

	
a)

	
The exchange of the foregoing securities will take place at a closing (the "Closing"), to be held at such date, time and place at the Law Office of Conrad C. Lysiak, P.S. as determined by the Seller and the Company but in no event later than April 24, 2016.

	
b)

	
At the Closing:

	
i)

	
The Company shall deliver to the Seller the Shares and Warrants.

2

JM

	
ii)

	
The Seller shall deliver to the Company certificates for the GSSI Shares and disclosure schedules required herein at Closing, with Medallion Guaranties or other signature verifications as required by the transfer agent.

	
iii)

	
At and at any time after the Closing, the parties shall duly execute, acknowledge, and deliver all such further assignments, conveyances, in-struments and documents, and shall take such other action consistent with the terms of this Agreement to carry out the transactions contem-plated by this Agreement.

	
iv)

	
All representations, covenants and warranties of the Company and Seller contained in this Agreement shall be true and correct on and as of the closing date.

ARTICLE II

REPRESENTATIONS, COVENANTS, AND WARRANTIES

As an inducement for each party to execute this Agreement, each party represents to the other party as follows:

2.01            Private Offering.  The offer, sale, and exchange of the shares of Common Stock have not been and will not be registered with the Securities and Exchange Commission (the "Commission"). The shares of Common Stock shall be offered for sale and sold pursuant to the exemptions from the registration requirements of Section 5 of the United States Securities Act of 1933, as amended, and as such, will be deemed "restricted securities" limiting the shares ability to be resold.

2.02            Approval of Agreement.  Each party has full corporate power, authority, and legal right and has taken, or will take, all action required by law, its articles of incorporation, bylaws, and otherwise to execute and deliver this Agreement and to consummate the transactions herein contemplated including the exchange of the shares of common stock referred to herein.

2.03            Legal Right.  The performance of this Agreement and the consummation of the transactions herein contemplated will not result in a material breach or violation of any of the terms and provisions of, or constitute a default under, any statute, indenture, mortgage or other agreement or instrument to which the parties are parties thereto or by which it is bound by any order, rule or regulation directed to the parties or their affiliates by any court or governmental agency or body having jurisdiction over them; and no other consent, approval, authorization or action is required for the consummation of the transactions herein contemplated other than such as have been obtained.

2.04            Validly Issued.  The Shares and Warrants when issued by the Company, will be duly authorized, validly issued, fully paid for, and non-assessable.  The GSSI Shares have been duly authorized, validly issued, fully paid for, and are non-assessable.

2.05            Informed Decision.  Each party will have had an opportunity to consult with theirs independent legal, tax and financial advisors, and together with such advisors, have evaluated the transactions contemplated in this Agreement and have independently determined to agree to the terms and conditions of this Agreement. No representation is being or has been made by either party regarding the

3

JM

tax, financial, legal or other effects to the Seller regarding the transactions contemplated in this Agreement. The parties are familiar with and understand the business and financial condition, operations and prospects of each other are sufficiently informed and sophisticated enough to make a decision regarding the transactions contemplated by this Agreement. The Seller have reviewed the Company's filings made with the Securities and Exchange Commission that appear on the SEC website at www.sec.gov.

2.06            Exchange Entirely for Own Account.  The Shares and Warrants to be acquired by the Seller and will be acquired for investment for the Seller's own accounts, not as a nominee or agent, and not with a view to the resale or distribution of any part thereof, and the Seller has no present intention of selling, granting any participation in, or otherwise distributing the same. The Seller does not have any contract, undertaking, agreement or arrangement with any person to sell, transfer or grant participations to such person or to any third person, with respect to any of the Shares and Warrants. Except that as a part of this transaction the Shares received by the Seller shall be distributed to the Seller's Series B and Series C Preferred shareholders in exchange for their preferred shares in compliance with the appropriate securities laws.

2.07            Disclosure of Information.  The Seller has had an opportunity to discuss the Company's business, management, financial affairs and the terms and conditions of the sale of the Shares and War- rants with the Company's management and has had an opportunity to review the Company's records. The Seller is aware, through its clue diligence review of the Company that the exchange value for the Shares and Warrants bear no relationship to assets, book value or other established criteria of determining value.

2.08            Accredited Investor.  The Seller is an accredited investor as defined in Rule 501 (a) of Regulation D promulgated under the Securities Act.

2.09            Investment Experience.  The Seller has invested in securities of companies with size and structure similar to the Company and each the Seller acknowledges it is able to fend for itself, can bear the economic risk of its investment, and has such knowledge and experience in financial or business mat-ters that it is capable of evaluating the merits and risks of the investment in the Shares and Warrants and in the proposed ongoing operations of the Company.

2.10            Purchase of Shares of Common Stock. The Company and Seller agree and understand that the consummation of this Agreement including the sale of the exchange shares of common stock as contemplated hereby, constitutes the offer and sale of securities under the Securities Act and applicable state statutes. The Company and Seller agree such transactions shall be consummated in reliance on exemptions from the registration and prospectus delivery requirements of such statutes which depend, among other items, on the circumstances under which such securities are acquired.

	
(a)

	
By signing of this Agreement Seller acknowledges and makes the following representations and warranties:

	
(i)

	
That neither the SEC nor the securities commission of any state or other federal agency has made any determination as to the merits of acquiring the Shares and Warrants, and that this transaction involves certain risks.

	
(ii)

	
That Seller has received and read this Agreement and understands the risks related to the consummation of the transactions herein contemplated.

4

JM

	
(iii)

	
That Seller has such knowledge and experience in business and financial matters that it is capable of evaluating the Company's business and GSSI's business.

	
(iv)

	
That Seller has been provided with copies of all materials and information requested by it or its representatives, including any information requested to verify any information furnished (to the extent such information is available or can be obtained without unreasonable effort or expense), and the parties have been provided the opportunity for direct communication regarding the transactions contemplated hereby.

	
(v)

	
That all information which Seller has provided to the Company or their representatives concerning their suitability and intent to hold shares in Common Stock following the transactions contemplated hereby is complete, accurate, and correct.

	
(vi)

	
That Seller has not offered or sold any securities of the Company or interest in this Agreement and has no present intention of dividing the Shares or Warrants to be received or the rights under this Agreement with others or of reselling or otherwise disposing of any portion of the Shares or Warrants, either currently or after the passage of a fixed or determinable period of time or on the occurrence or nonoccurrence of any predetermined event or circumstance except as set forth in 2.06 above.

	
(vii)

	
The Seller understands that the Shares and Warrants have not been registered, but are being acquired by reason of a specific exemption under the Securities Act as well as under certain state statutes for transactions not involving any public offering and that any disposition of the Shares or Warrants may, under certain circumstances, be inconsistent with this exemption and may make Seller an "underwriter," within the meaning of the Securities Act.  It is understood that the definition of "underwriter" focuses upon the concept of "distribution" and that any subsequent disposition of the subject Shares and Warrants can only be effected in transactions which are not considered distributions.  Generally, the term "distribution" is considered synonymous with "public offering" or any other offer or sale involving general solicitation or general advertising.  Under present law, in determining whether a distribution occurs when securities are sold into the public market, under certain circumstances one must consider the availability of public information regarding the issuer, a holding period for the securities sufficient to assure that the persons desiring to sell the securities without registration first bear the economic risk of their investment, and a limitation on the number of securities which the stockholder is permitted to sell and on the manner of sale, thereby reducing the potential impact of the sale on the trading markets.  These criteria are set forth specifically in rule 144 promulgated under the Securities Act.

	
(viii)

	
Seller acknowledges that the Shares and Warrants must be held and may not be sold, transferred, or otherwise disposed of for value unless they are subsequently registered under the Securities Act or an exemption from such registration is available. The Company is not under any obligation to register the Shares and Warrants under the Securities Act, except as set forth in this Agreement.  The Company is not under any obligation to make Rule 144 available, except as may be expressly agreed to by it in writing in this Agreement, and in the event Rule 144 is not available, or some other disclosure exemption may be required before Seller can sell, transfer, or otherwise

5

JM

dispose of such shares of Common Stock without registration under the Securities Act. The Company's transfer agent will maintain a stop transfer order against the transfer of the Shares and Warrants, and the certificates representing the shares of Common Stock and Warrants will bear a legend in substantially the following form so restricting the sale of such securities:

THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT") AND ARE "RESTRICTED SECURITIES" WITHIN THE MEANING OF RULE 144 PROMULGATED UNDER THE SECURITIES ACT.  THE SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE SOLD OR TRANSFERRED WITHOUT COMPLYING WITH RULE 144 IN THE ABSENCE OF AN EFFECTIVE REGISTRATION OR OTHER COMPLIANCE UNDER THE SECURITIES ACT.

	
(ix)

	
The Company may refuse to register further transfers or resales of the Shares and Warrants in the absence of compliance with Rule 144 unless the Sellers furnish the Company with a "no-action" or interpretive letter from the SEC or an opinion of counsel reasonably acceptable to the Company stating that the transfer is proper.  Further, unless such letter or opinion states that the Shares and Warrants are free of any restrictions under the Securities Act, the Company may refuse to transfer the Shares and Warrants to any transferee who does not furnish in writing to the Company the same representations and agree to the same conditions with respect to such Shares and Warrants as set forth herein.  The Company may also refuse to transfer the Shares and Warrants if any circumstances are present reasonably indicating that the transferee's representations are not accurate.  Except as said transfer may occur by operation of law.

	
(b)

	
In connection with the transaction contemplated by this Agreement, the Company and Sellers shall each file, with the assistance of the others and their respective legal counsels, such notices, applications, reports, or other instruments as may be deemed by them to be necessary or appropriate in an effort to document reliance on such exemptions, and the appropriate regulatory authority in the states where Seller reside unless an exemption requiring no filing is available in such jurisdictions, all to the extent and in the manner as may be deemed by such parties to be appropriate.

	
(c)

	
In order to more fully document reliance on the exemptions as provided herein, the Company and Seller shall execute and deliver to the other, at or prior to the closing, such further letters of representation, acknowledgment, suitability, or the like as the Company or Seller and their counsels may reasonably request in connection with reliance on exemptions from registration under such securities laws including but not limited to an investment letter.

	
(d)

	
The Company and Seller acknowledge that the basis for relying on exemptions from registration or qualifications are factual, depending on the conduct of the various parties, and that no legal opinion or other assurance will be required or given to the effect that the transactions contemplated hereby are in fact exempt from registration or qualification.

2.11            Compliance with Rule 144.

6

JM

	
(a)

	
The Company will use its best efforts to at all times satisfy the requirements of Rule 144 promulgated under the Securities Act so that the Seller can sell the Shares and Warrants. This covenant shall survive the closing of this Agreement.

	
(b)

	
Upon being informed in writing by Seller that it intends to sell any shares under Rule 144 promulgated under the Securities Act (including any rule adopted in substitution or replacement thereof), the Company will certify in writing to Seller that it is compliance with Rule 144 to the extent that it can in order to enable the Seller to sell the Shares and the Warrants

	
(c)

	
If any certificate representing any such restricted stock is presented to the Company's transfer agent for registration or transfer in connection with any sales theretofore made under Rule 144, provided such certificate is duly endorsed for transfer by the appropriate person(s) or accompanied by a separate stock power duly executed by the appropriate person(s) in each case with reasonable assurances that such endorsements are genuine and effective, and is accompanied by an opinion of counsel satisfactory to the Company and its counsel that such transfer has complied with the requirements of Rule 144, as the case may be, the Company will promptly instruct its transfer agent to register such transfer and to issue one or more new certificates representing such shares to the transferee and, if appropriate under the provisions of Rule 144, as the case may be, free of any stop transfer order or restrictive legend.

2.14            Public Statements.  Subject to their respective legal obligations (including requirements of stock exchanges and other similar regulatory bodies), the Company and Seller shall consult with one another, and use reasonable best efforts to agree upon the text of any press release, before issuing any such press release or otherwise making public statements with respect to the transactions and in making any filing with any federal or state governmental or regulatory agency or with any securities exchange with respect thereto.

2.15            No Representation Regarding Tax Treatment.  No representation or warranty is being made by any party to any other regarding the treatment of this transaction for federal or state income taxa-tion.  Each party has relied exclusively on its own legal, accounting, and other tax adviser regarding the treatment of this transaction for federal and state income taxes and on no representation, warranty, or as-surance from any other party or such other party's legal, accounting, or other adviser.

2.16            Board of Directors of the Company.  After the Company has acquired GSSI, the Compa-ny will call a special meeting of shareholders and Miesner will cause the following persons to be elected to the Company's board of directors: Jed Miesner, Bob Manning, Tony Alford, Darrell Carey, Stephen Salgado, Art Seligman, Reese Pinney, Tim Flanagan, and Bobby Bories.

2.17            Officers of the Company.  After the Company has acquired GSSI, the Company's board of directors then elected will cause the appointment of the following: Art Seligman, CEO; Tim Flanagan, President; Stephen Salgado, secretary/comptroller; Bobby Bories, treasurer; Dan Denton, CFO; and, Reese Pinney, COO.

2.18            Acquisition of Jilpetco.  The Company will acquire all of the issued and outstanding shares of common stock of Jilpetco, Inc., a Texas corporation owned by Miesner, the Company's presi-dent, in consideration of $500,000.00. The Company and GSSI will work jointly in an attempt to raise funds for the acquisition aforesaid, but will not be a condition to the acquisition.

7

JM

2.19            Employment Agreements.  Based upon the demonstrated ability of Art Seligman, Tim Flanagan, Reese Pinney, and Robert Bories for raising corporate capital, as well as partner-ship funding, and based on their committing to working with the company to raise a minimum of $3,000,000 in capital, included but not limited to drilling or corporate capital, during the calendar year of 2016 the Company will enter into employment agreements with each individual for a minimum of one (1) year. The employment agreements will be effective April 1, 2016.  The agreements shall contain the maximum non-competition provisions provided under Nevada law, but will in no way attempt to force a breach of their fiduciary responsibility to prior drilling pro-grams, for which they are corporate general partners or their responsibilities to the shareholders of the Seller.  Salaries, bonus awards, and other compensation will be established by the Compa-ny's Compensation Committee which will be composed of Bob Manning, Tony Alford, Art Seligman and Tim Flanagan for the initial term of their employment agreement, on a month by month evaluation including but not limited to common stock participation based upon collective performance measurements.  This is separate and apart from each of the aforementioned individ-ual employee's ability to earn up to a maximum of 5% of the Company's outstanding shares based upon the number of outstanding common shares immediately following closing, estimated to be 58,840,681.  The board will make its best efforts to achieve the goal of providing each in-dividual with shares awarded that will allow the employee to earn at most 5% of the estimated 58,840,681 shares. . The parties acknowledge that currently the Company has insufficient cash to pay salaries and that the Company will begin salaries when it is determined by the compensation committee that it is prudent to do so.  The Seller and GSSI will deliver, on closing, such acknowledgement signed individually by each respective employee.  In the event that the officers listed above collectively raise $50 million in capital, the stock awards will be recognized at a cap of 20% for all the above officers combined.  On April 1 of each year, stock awards will be given proportionate to the capital raised during the previous calendar year, not to exceed the 20% cap that they are eligible to receive being based upon 58,840,681 shares.  For example should the capital raised be $5 million during the period ending April 1, 2017 the stock award will be 1,176,814, (10% of the total 11,768,136 shares available) which will be distributed evenly, 294,204 among the 4 aforementioned employees.  The employment agreements will be agreed upon and executed prior to closing or after closing where an appropriate escrow arrangement is utilized.

2.20            Continuation of Businesses.  Seller will continue as an operating business following the acquisition of GSSI by the Company, however, Seller will not compete with the Company or GSSI in any manner whatsoever, and will not be affiliated with any entities or persons who compete with GSSI or the Company in any manner.  GSSI will only offer securities for third parties subject to written approval of the board of directors of the Company.  However, notwithstanding any provisions of this Agreement to the contrary, the Seller, and its officers and directors, will continue to discharge its duty and responsibili-ties to Seller 's shareholders and as a general partner in all existing limited partnership in which it is affili-ated.

2.21            Change of Name.  The Company will change its name to Amazing Energy Gulf South, Inc. and will conduct business as "AGS Energy."

8

JM

ARTICLE III

REPRESENTATIONS AND WARRANTIES OF GSSI

Except as set forth in the GSSI Disclosure Schedule GSSI represent and warrant to Company as follows:

3.1               Organization and Standing.  GSSI is a corporation duly organized, validly existing and in good standing under the laws of the State of Delaware and has all requisite corporate power to carry on its business as it is now being conducted and is duly qualified to do business as a foreign corporation and is in good standing in each jurisdiction where such qualification is necessary under applicable law except where the failure to qualify (individually or in the aggregate) will not have any material adverse effect on the business or prospects of GSSI.

3.2               Capitalization.

	
(a)

	
GSSI has authorized capital of $10,000 comprised of 1,000,000 authorized shares of common stock, par value $0.01 per share, 100,000 of which are issued and outstanding and all of which are owned by the Seller.  GSSI has no authorized shares of preferred stock.  All of such shares of capital stock are issued and outstanding are duly authorized, validly issued and outstanding, fully paid and non-assessable, and were not issued in violation of any laws.  There are no subscriptions, warrants, rights or calls or other commitments or agreements to which GSSI is a party or by which it is bound, pursuant to which GSSI is or may be required to issue or deliver securities of any class.  There are no outstanding se-curities convertible or exchangeable, actually or contingently, into common stock or any other securities of GSSI.

	
(b)

	
All outstanding shares of GSSI common stock have been issued and granted in compliance with all applicable securities laws and other applicable legal requirements.

	
(c)

	
Seller has good and marketable title to all of the GSSI Shares, free and clear of all liens, claims and encumbrances of any third persons.

3.3               Subsidiaries.  GSSI does not own any subsidiary corporations.

3.4               Authority.  Seller's Board of Directors has determined that the Exchange is fair to and in the best interests of Seller's stock holders. The execution, delivery and performance by Seller of this Agreement has been duly authorized by all necessary action on the part of Seller.  Seller has the absolute and unrestricted right, power and authority to perform its obligations under this Agreement.  This Agree-ment constitutes, and all other agreements contemplated hereby will constitute, when executed and deliv-ered by Seller in accordance herewith, the valid and binding obligations of Seller, enforceable in accord-ance with their respective terms.

3.5               Assets.  Assets of GSSI are set forth in the GSSI Disclosure Schedule.

3.6               Contracts and Other Commitments.  Except as set forth in the GSSI Disclosure Schedule, GSSI is not a party to any contracts or agreements.

3.7               Litigation.  There is no claim, action, proceeding, or investigation pending or, to its knowledge, threatened against or affecting GSSI before or by any court, arbitrator or governmental agen-cy or authority which, in its reasonable judgment, could have a material adverse effect on the operations

 

9

JM

or prospects of GSSI.  There are no decrees, injunctions or orders of any court, governmental department, agency or arbitration outstanding against GSSI or asserted against GSSI that has not been paid.

3.8               Taxes. For purposes of this Agreement, (A) "Tax" (and, with correlative meaning, "Tax-es") shall mean any federal, state, local or foreign income, alternative or add-on minimum, business, em-ployment, franchise, occupancy, payroll, property, sales, transfer, use, value added, with holding or other tax, levy, impost, fee, imposition, assessment or similar charge together with any related addition to tax, interest, penalty or fine thereon; and (B) "Returns" shall mean all returns (including, without limitation, information returns and other material information), reports and forms relating to Taxes.

	
(a)

	
GSSI has duly filed all Returns and paid all Taxes.  GSSI will pay in full or has ade-quately reserved against all Taxes otherwise assessed against it through the Closing Date.

	
(b)

	
GSSI is not a party to any pending action or proceeding by any governmental au-thority for the assessment of any Tax, and, to the knowledge of GSSI, no claim for assessment or collection of any Tax related to GSSI has been asserted against GSSI that has not been paid.  There are no Tax liens upon the assets of GSSI.  There is no valid basis, to GSSI's knowledge, for any assessment, deficiency, notice, 30-day let-ter or similar intention to assess any Tax to be issued to GSSI by any governmental authority.

3.9               Compliance with Laws and Regulations.  GSSI has complied and is presently complying, in all material respects, with all laws, rules, regulations, orders and requirements (federal, state and local and foreign) applicable to it in all jurisdictions where the business of GSSI is conducted or to which GSSI is subject, including but not limited to all SEC and FINRA regulations.  GSSI has not made any misrepre-sentation nor has omitted any material facts in any of its filings with the SEC or FINRA.  The parties acknowledge that following the execution of this agreement the operation of GSSI as a FINRA broker dealer is subject to FINRA review and acceptance of an amended Form BD as well as a Continuing Member Application.  Seller and GSSI make no representations as to the acceptance by FINRA of these filings or any possible action that FINRA may require of GSSI to continue as a member of FINRA as a broker dealer.

3.10            Hazardous Materials.  To the knowledge of GSSI, GSSI has not violated, or received any written notice from any governmental authority with respect to the violation of any law, rule, regulation or ordinance pertaining to the use, maintenance, storage, transportation or disposal of "Hazardous Materi-als."  As used herein, the term "Hazardous Materials" means any substance now or hereafter designated pursuant to Section 307(a) and 311 (b)(2)(A) of the Federal Clean Water Act, 33 USC §§ 1317(a), 1321 (b)(2)(A), Section 112 of the Federal Clean Air Act, 42 USC § 3412, Section 3001 of the Federal Resource Conservation and Recovery Act, 42 USC § 6921, Section 7 of the Federal Toxic Substances Control Act, 15 USC § 2606, or Section 101 (14) and Section 102 of the Comprehensive Environmental Response, Compensation and Liability Act, 42 USC§§ 9601(14), 9602.

3.11            No Breaches.  The making and performance of this Agreement will not (i) conflict with or violate the Articles of Incorporation or the Bylaws of GSSI, (ii) violate any laws, ordinances, rules, or regulations, or any order, writ, injunction or decree to which GSSI is a party or by which GSSI or any of its businesses, or operations may be bound or affected or (iii) result in any breach or termination of, or constitute a default under, or constitute an event which, with notice or lapse of time, or both, would be-come a default under, or result in the creation of any encumbrance upon any material asset of GSSI under,

10

JM

or create any rights of termination, cancellation or acceleration in any person under, any contract.

3.12            Employees.  GSSI does not have any employees that are represented by any labor union or collective bargaining unit.  Nor does GSSI have any employment agreements or compensation plans which are in effect with anyone.

3.13            Financial Statements.  Within the required time frame following Closing, GSSI will pre-pare and deliver the appropriate financial statements as required by the Securities and Exchange Commis-sion rules.

3.14            Absence of Certain Changes or Events.  Except as set forth in the GSSI Disclosure Schedule, since January 31, 2016 (the "Balance Sheet Dates"), there has not been:

(a)            any material adverse change in the financial condition, properties, assets, liabili-ties or business of GSSI;

(b)            any material damage, destruction or loss of any material properties of GSSI, whether or not covered by insurance;

(c)            any material adverse change in the manner in which the business of GSSI and has been conducted;

(d)            any material adverse change in the treatment and protection of trade secrets or other confidential information of GSSI; and

(e)            any occurrence not included in paragraphs (a) through (d) of this Section 3.14 which has resulted, or which GSSI has reason to believe, might be expected to result in, a material ad-verse change in the business or prospects of GSSI.

3.15            Government Licenses, Permits, Authorizations.  GSSI has all governmental licenses, per-mits, authorizations and approvals necessary for the conduct of its business as currently conducted ("Li-censes and Permits").  All such Licenses and Permits are in full force and effect, and no proceedings for the suspension or cancellation of any thereof is pending or, to the knowledge of GSSI, threatened.

3.16            Employee Benefit Plans.

(a)            GSSI has no bonus, material deferred compensation, material incentive compen-sation, stock purchase, stock option, severance pay, termination pay, hospitalization, medical, insurance, supplemental unemployment benefits, profit-sharing, pension or retirement plans.

(b)            GSSI has not maintained, sponsored or contributed to, any employee pension benefit plan (as defined in Section 3(2) of the Employee Retirement Income Security Act of 1974, as amended ("ERISA")) or any similar pension benefit plan under the laws of any foreign jurisdiction.

(c)            Except as set forth in the GSSI Disclosure Schedule, neither the execution, deliv-ery or performance of this Agreement, nor the consummation of the Exchange or any of the other transac-tions contemplated by this Agreement, will result in any bonus, golden parachute, severance or other payment or obligation to any current or former employee or director of any of GSSI, or result in any ac-celeration of the time of payment, provision or vesting of any such benefits.

11

JM

3.17            Business Locations.  Other than as set forth in the GSSI Disclosure Schedule, GSSI does not own or lease any real or personal property in any state or country other than it leases office space at 3206 50th Street Court, Gig Harbor, Washington 98335.

3.18            Intellectual Property.  GSSI owns no intellectual property of any kind.  GSSI is not cur-rently in receipt of any notice of any violation or infringements of, and is not knowingly violating or in-fringing, or to the best of its knowledge has not violated or infringed the rights of others in any trademark, trade name, service mark, copyright, patent, trade secret, know-how or other intangible asset.

3.19            Governmental Approvals.  Except as set forth in the GSSI Disclosure Schedule, no au-thorization, license, permit, franchise, approval, order or consent of, and no registration, declaration or filing by GSSI or the Seller with, any governmental authority, domestic or foreign, federal, state or local, is required in connection with the Seller's execution, delivery and performance of this Agreement.  Except as set forth in the GSSI Disclosure Schedule, no consents of any other parties are required to be received by or on the part of Seller or GSSI to enable Seller or GSSI to enter into and carry out this Agreement except as outlined in 3.09 above.

3.20            Transactions with Affiliates.  Except as set forth in the GSSI Disclosure Schedule, GSSI is not indebted for money borrowed, either directly or indirectly, from any of its officers, directors, or any Affiliate (as defined below), in any amount whatsoever; nor are any of its officers, directors, or Affiliates indebted for money borrowed from GSSI; nor are there any transactions of a continuing nature between GSSI and any of its officers, directors, or Affiliates not subject to cancellation which will continue be-yond the Closing Date, including, without limitation, use of the assets of GSSI for personal benefit with or without adequate compensation.  For purposes of this Agreement, the term (i)"Affiliate" shall mean any person that, directly or indirectly, through one or more intermediaries, controls or is controlled by, or is under common control with, the person specified.  As used in the foregoing definition, the term (ii) "con-trol "shall mean the power through the ownership of voting securities, contract or otherwise to direct the affairs of another person and (iii) "person" shall mean an individual, firm, trust, association, corporation, partnership, government (whether federal, state, local or other political subdivision, or any agency or bu-reau of any of them) or other entity.

3.21            No Distributions.  GSSI has not made nor has any intention of making any distribution or payment to any of its shareholders with respect to any of its shares prior to the Closing Date.

3.22            Liabilities.  GSSI has no material direct or indirect indebtedness, liability, claim, loss, damage, deficiency, obligation or responsibility, fixed or unfixed, choate or inchoate, liquidated or unliquidated, secured or unsecured, accrued, absolute, contingent or otherwise ("Liabilities"), whether or not of a kind required by generally accepted accounting principles to be set forth on a financial statement, other than (i) Liabilities fully and adequately reflected or reserved against on the GSSI Balance Sheet, (ii) Liabilities incurred since the Balance Sheet Date in the ordinary course of the business of GSSI, or (iii) Liabilities otherwise disclosed in this Agreement, including the exhibits hereto and GSSI Disclosure Schedule.

3.23            Accounts Receivable.  GSSI has no accounts receivables other than as disclosed in the GSSI Disclosure Schedule.

3.24            Insurance and Bonds.  GSSI has no insurance policies in effect or any outstanding bonds

12

JM

in effect other than as contained in the GSSI Disclosure Schedule.

3.25            Principal GSSI Shareholder Representations and Warranties.  Seller represents and war-rants that it has the absolute and unrestricted right, power, authority, and capacity to execute and deliver this Agreement and the other Closing Documents to which it is a party and to perform his obligations un-der this Agreement and the other Closing Documents to which he is a party, and it has good and marketa-ble title to all of the outstanding GSSI Shares, free and clear of all liens, claims and encumbrances of any third persons.

3.26            No Omissions or Untrue Statements.  The Seller and GSSI represent and warrant that they have not made any untrue statement of a material fact, or omitted or will omit to state a material fact necessary to make the statements contained herein not misleading as of the date hereof and as of the Clos-ing Date and fully indemnifies the Company and their respective employees against any harm, including attorney's fees that may arise as a consequence.

ARTICLE IV

REPRESENTATIONS AND WARRANTIES OF THE COMPANY

Except as set forth in the COMPANY Disclosure Schedule (which incorporates all the reports of the COMPANY filed with the United States Securities and Exchange Commission) the COMPANY rep-resents and warrants to SELLERS and GSSI as follows:

4.1               Organization and Standing.  The COMPANY is a corporation duly organized, validly ex-isting and in good standing under the laws of the State of Nevada.  The COMPANY has all requisite cor-porate power to carry on its business as it is now being conducted and is duly qualified to do business as a foreign corporation and is in good standing in each jurisdiction where such qualification is necessary un-der applicable law except where the failure to qualify (individually or in the aggregate) will not have any material adverse effect on the business or prospects of the COMPANY.  The copies of the Articles of In-corporation and Bylaws of the COMPANY, as amended to date, which have been delivered to SELLERS and GSSI, are true and complete copies of these documents as now in effect.

  

4.2               Taxes.  For purposes of this Agreement, (A) "Tax" (and, with correlative meaning, "Tax-es") shall mean any federal, state, local or foreign income, alternative or add-on minimum, business, em-ployment, franchise, occupancy, payroll, property, sales, transfer, use, value added, withholding or other tax, levy, impost, fee, imposition, assessment or similar charge together with any related addition to tax, interest, penalty or fine thereon; and (B) "Returns" shall mean all returns (including, without limitation, information returns and other material information), reports and forms relating to Taxes.

	
i)

	
The COMPANY has filed all Tax returns.  The COMPANY will pay in full or has adequately reserved against all Taxes otherwise assessed against it through the Clos-ing Date.

	
ii)

	
The COMPANY is not a party to any pending action or proceeding by any govern-mental authority for the assessment of any Tax, and, to the knowledge of the COM-PANY, no claim for assessment or collection of any Tax related to the COMPANY has been asserted against the COMPANY that has not been paid.  There are no Tax liens upon the assets of the COMPANY.  There is no valid basis, to the COMPANY's knowledge, for any assessment, deficiency, notice, 30-day letter or similar intention to assess any Tax to be issued to the COMPANY by any governmental authority.

13

JM

4.3               Compliance with Laws and Regulations.  The COMPANY has complied and is presently complying, in all material respects, with all laws, rules, regulations, orders and requirements (federal, state and local and foreign) applicable to it in all jurisdictions where the business of the COMPANY is conducted or to which the COMPANY is subject, including all requisite filings with the SEC.  The COM-PANY has not made any misrepresentation nor has omitted any material facts in any of its SEC filings to date.

4.4               Hazardous Materials.  To the knowledge of the COM PANY, the COMPANY has not vio-lated, or received any written notice from any governmental authority with respect to the violation of any law, rule, regulation or ordinance pertaining to the use, maintenance, storage, transportation or disposal of "Hazardous Materials."  As used herein, the term "Hazardous Materials" means any substance now or hereafter designated pursuant to Section 307(a) and 311 (b)(2)(A) of the Federal Clean Water Act, 33 USC §§ 1317(a), 1321 (b)(2)(A), Section 112 of the Federal Clean Air Act, 42 USC § 3412, Section 3001 of the Federal Resource Conservation and Recovery Act, 42 USC § 6921, Section 7 of the Federal Toxic Substances Control Act, 15 USC § 2606, or Section 101(14) and Section 102 of the Comprehensive Envi-ronmental Response, Compensation and Liability Act, 42 USC §§ 9601 (14), 9602.

4.5               No Breaches.  The making and performance of this Agreement will not (i) conflict with or violate the Articles of Incorporation or the Bylaws of the COMPANY, (ii) violate any laws, ordinances, rules, or regulations, or any order, writ, injunction or decree to which the COMPANY is a party or by which the COMPANY or any of its businesses, or operations may be bound or affected or (iii) result in any breach or termination of, or constitute a default under, or constitute an event which, with notice or lapse of time, or both, would become a default under, or result in the creation of any encumbrance upon any material asset of the COMPANY under, or create any rights of termination, cancellation or accelera-tion in any person under, any contract.

4.6               Employees.  The COMPANY has does not have any employees that are represented by any labor union or collective bargaining unit.  Nor does the COMPANY have any employment agree-ments or compensation plans which are in effect with anyone.

4.7               Financial Statements.  Year-end audited financial statements and unaudited quarterly stub financial statements are available online at www.sec.gov (collectively the "Financial Statements").  The Financial Statements present fairly, in all material respects, the financial position on the dates thereof and results of operations of the COMPANY for the periods indicated, prepared in accordance with generally accepted accounting principles ("GAAP"), consistently applied.  There are no assets of the COMPANY the value of which is materially overstated in said balance sheets.

4.8               Absence of Certain Changes or Events.  Except as set forth in the COMPANY Disclosure Schedule, since January 31, 2016 (the "Balance Sheet Dates"), there has not been:

(a)            any material adverse change in the financial condition, properties, assets, liabili-ties or business of the COM PANY;

(b)            any material damage, destruction or loss of any material properties of the COM-PANY, whether or not covered by insurance;

(c)            any material adverse change in the manner in which the business of the COM-PANY and has been conducted ;

14

JM

(d)            any material adverse change in the treatment and protection of trade secrets or other confidential information of the COMPANY; and

(e)            any occurrence not included in paragraphs (a) through (d) of this Section 4.8 which has resulted, or which the COMPANY has reason to believe, might be expected to result in, a ma-terial adverse change in the business or prospects of the COMPANY.

4.9               Government Licenses. Permits, Authorizations.  The COMPANY has all governmental licenses, permits, authorizations and approvals necessary for the conduct of its business as currently con-ducted ("Licenses and Permits").  All such Licenses and Permits are in full force and effect, and no pro-ceedings for the suspension or cancellation of any thereof is pending or, to the knowledge of the COM-PANY, threatened.

4.10            Employee Benefit Plans.

(a)            The COMPANY has no bonus, material deferred compensation, material incen-tive compensation, stock purchase, stock option, severance pay, termination pay, hospitalization, medical, insurance, supplemental unemployment benefits, profit-sharing, pension or retirement plan.

(b)            The COMPANY has not maintained, sponsored or contributed to, any employee pension benefit plan (as defined in Section 3(2) of the Employee Retirement Income Security Act of 1974, as amended ("ERISA")) or any similar pension benefit plan under the laws of any foreign jurisdic-tion.

(c)            Except as set forth in the COMPANY Disclosure Schedule, neither the execu-tion, delivery or performance of this Agreement, nor the consummation of the Agreement or any of the other transactions contemplated by this Agreement, will result in any bonus, golden parachute, severance or other payment or obligation to any current or former employee or director of any of the COMPANY, or result in any acceleration of the time of payment, provision or vesting of any such benefits.

4.11            Business Locations.  Other than as set forth in the COMPANY Disclosure Schedule, the COMPANY does not own or lease any real or persona l property in any state or country.

4.12            Intellectual Property.  The COMPANY owns no intellectual property of any kind.  The COMPANY is not currently in receipt of any notice of any violation or infringements of, and is not know-ingly violating or infringing, or to the best of its knowledge has not violated or infringed the rights of oth-ers in any trademark, trade name, service mark, copyright, patent, trade secret, know-how or other intan-gible asset.

4.13            Governmental Approvals.  Except as set forth in the COMPANY Disclosure Schedule, no authorization, license, permit, franchise, approval, order or consent of, and no registration, declaration or filing by the COMPANY with, any governmental authority, domestic or foreign, federal, state or local, is required in connection with the COMPANY's execution, delivery and performance of this Agreement.  Except as set forth in the COMPANY Disclosure Schedule, no consents of any other parties are required to be received by or on the part of the COMPANY to enable the COMPANY to enter into and carry out this Agreement.

4.13            Transactions with Affiliates.  Except as set forth in the COMPANY Disclosure Schedule,

15

JM

The COMPANY is not indebted for money borrowed, either directly or indirectly, from any of its offic-ers, directors, or any Affiliate (as defined below), in any amount whatsoever; nor are any of its officers, directors, or Affiliates indebted for money borrowed from the COMPANY; nor are there any transactions of a continuing nature between the COMPANY and any of its officers, directors, or Affiliates not subject to cancellation which will continue beyond the Closing Date, including, without limitation, use of the as-sets of the COMPANY for personal benefit with or without adequate compensation.  For purposes of this Agreement, the term (i)"Affiliate" shall mean any person that, directly or indirectly, through one or more intermediaries, controls or is controlled by, or is under common control with, the person specified.  As used in the foregoing definition, the term (ii) "control" shall mean the power through the ownership of voting securities, contract or otherwise to direct the affairs of another person and (iii) "person" shall mean an individual, firm, trust, association, corporation, partnership, government (whether federal, state, local or other political subdivision, or any agency or bureau of any of them) or other entity.

4.15            No Distributions.  The COMPANY has not made nor has any intention of making any distribution or payment to any of its shareholders with respect to any of its shares prior to the Closing Date.

4.16            Liabilities.  The COMPANY has no material direct or indirect indebtedness, liability, claim, loss, damage, deficiency, obligation or responsibility, fixed or unfixed, choate or inchoate, liqui-dated or unliquidated, secured or unsecured, accrued, absolute, contingent or otherwise ("Liabilities"), whether or not of a kind required by generally accepted accounting principles to be set forth on a financial statement, other than (i) Liabilities fully and adequately reflected or reserved against on the COMPANY Balance Sheet, (ii) Liabilities incurred since the Balance Sheet Date in the ordinary course of the business of the COMPANY, or (iii) Liabilities otherwise disclosed in this Agreement, including the exhibits hereto and the COMPANY Disclosure Schedule.

4.17            Accounts Receivable.  The COMPANY has no accounts receivables other than as dis-closed in the COMPANY Disclosure Schedule.

4.18            Insurance.  The COMPANY has no insurance policies in effect.

4.19            Principal COMPANY Shareholder Representations and Warranties.  THE PRINCIPAL COMPANY SHAREHOLDER represents and warrants that he has the absolute and unrestricted right, power, authority, and capacity to execute and deliver this Agreement and the other Closing Documents to which he is a party and to perform his obligations under this Agreement and the other Closing Documents to which he is a party, and he has good and marketable title to all of the COMPANY Shares listed in Ex-hibit A hereto, free and clear of all liens, claims and encumbrances of any third persons.

4.20            No Omissions or Untrue Statements.  To the best of each party's knowledge no represen-tation or warranty made by the COMPANY or the PRINCIPAL COMPANY SHAREHOLDER to SELLERS and GSSI in this Agreement, the COMPANY Disclosure Schedule or in any certificate of a COMPANY officer required to be delivered to SELLERS pursuant to the terms of this Agreement, con-tains or will contain any untrue statement of a material fact, or omits or will omit to state a material fact necessary to make the statements contained herein or therein not misleading as of the date hereof and as of the Closing Date.

16

JM

ARTICLE V

MISCELLANEOUS

5.1               Attorney's Fees.  After the closing and in the event that any party institutes any action or suit to enforce this Agreement or to secure relief from any default hereunder or breach hereof, the breaching party or parties shall reimburse the non-breaching party or parties for all costs, including reasonable attorneys' fees, incurred in connection therewith and in enforcing or collecting any judgment rendered therein.  Each party is responsible for their own attorney's fees in the closing of this transaction.

5.2               Entire Agreement.  This Agreement represents the entire agreement between the parties relating to the subject matter hereof.  All previous agreements between the parties, whether written or oral, have been merged into this Agreement.  This Agreement completely expresses the agreement of the parties relating to the subject matter hereof.

5.3               Survival; Termination.  The representations, warranties, and covenants of the respective parties shall survive the closing and the consummation of the transactions herein contemplated for a period of six months from the closing, unless otherwise provided herein.

5.4               Counterparts.  This Agreement may be executed in multiple counterparts, each of which shall be deemed an original and all of which taken together shall be but a single instrument.

5.5               Amendment or Waiver.  Every right and remedy provided herein shall be cumulative with every other right and remedy, whether conferred herein, at law, or in equity, and such remedies may be enforced concurrently, and no waiver by any party of the performance of any obligation by the other shall be construed as a waiver of the same or any other default then, theretofore, or thereafter occurring or existing.  At any time prior to the closing, this Agreement may be amended by a writing signed by all parties hereto, with respect to any of the terms contained herein, and any term or condition of this Agreement may be waived or the time for performance thereof may be extended by a writing signed by the party or parties for whose benefit the provision is intended.

5.6               Binding Effect.  This Agreement shall inure to the benefit of and be binding upon the Company and Seller and their successors.  Nothing expressed in this Agreement is intended to give any person other than the persons mentioned in the preceding sentence any legal or equitable right, remedy or claim under this Agreement.

5.7               Severability.  Every provision of this Agreement is intended to be severable.  If any term or provision hereof is illegal or invalid for any reason whatsoever, such illegality or invalidity shall not affect the validity of the remainder hereof.

5.8               Captions.  The captions or headings in this Agreement are inserted for convenience and identification only and are not intended to describe, interpret, define, or limit the scope, extent, or intent of this Agreement or any provisions hereof.

5.9               Applicable Law.  The Company and Seller hereby agree this Agreement shall be governed by and construed and enforced under and in accordance with the laws of the state of Texas and all subject matter and in persona jurisdiction shall be the state courts of Texas and as such the Company and Sellers irrevocably and unconditionally consent to submit to the exclusive jurisdiction of the courts of the State of Texas and of the United States of America located in Potter county Texas for any actions,

17

JM

Suits or proceedings arising out of or relating to this Agreement and the Company and Buyer agree not to commence any action, suite or proceedings relating thereto except in such courts.

                        IN WITNESS WHEREOF, the corporate parties hereto have caused this Agreement to be executed by their respective officers, hereunto duly authorized, as of the date first above written.

	 	
COMPANY

	 	 
	 	
AMAZING ENERGY OIL AND GAS, CO.

	 	 	 
	 	 	 
	 	
BY:

	
JED MIESNER

	 	 	
Jed Miesner, President

	 	 	 
	 	 	 
	 	
SELLER

	 	
GULF SOUTH HOLDING, INC.

	 	 	 
	 	 	 
	 	
BY:

	
ART SELIGMAN

	 	 	
Art Seligman, President

	 	 	 
	 	 	 
	 	
GSSI

	 	
GULF SOUTH SECURITIES, INC.

	 	 	 
	 	 	 
	 	
BY:

	
TIMOTHY J. FLANAGAN

	 	 	
Timothy J. Flanagan, President

	 	 	 
	 	
MIESNER

	 	 	 
	 	 	 
	 	
JED MIESNER

	 	
Jed Miesner, on behalf of Petro Pro Ltd., JLM Strategic

	 	
Investments, LP, and Jed and Lesa Miesner

	 	 	 
	 	 	 
	 	
BORIES

	 	
BORIES CAPITAL, LLC.

	 	 	 
	 	 	 
	 	
BY:

	
ROBERT A. BORIES

	 	 	
Robert A. Bories, Managing Member

18

JM

GSSI Disclosure Schedule

The parties acknowledge that following the execution of this agreement the operation of GSSI as a FINRA broker dealer is subject to FINRA review and acceptance of an amended Form BD as well as a Continuing Member Application.  Seller and GSSI make no representations as to the acceptance by FINRA of these filings or any possible action that FINRA may require of GSSI to continue as a member of FINRA as a broker dealer.

19

JM

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00257-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00257-of-00352.parquet"}]]