Document:

Cooperation
Agreement

 

This
Cooperation Agreement is entered on this day of June 25, 2014 between Petrosonic Energy Inc, (“Petrosonic”) and
Western Research Institute of Wyoming, USA (“WRI”)., whereby the parties would contribute certain assets, services,
and respective know how to test, validate and commercialize Petrosonic’s Sonoprocess TM and other applications of its sonicator
related technologies in the market place. In addition, WRI will also assist Petrosonic in communicating with institutional investors
and industry parties to promote the technology and its benefits to the industry, as well as, assist the company in seeking governmental
funding to build a commercial plant.

 

Furthermore,
Petrosonic is proposing to have a new sonication pilot test facility built at WRI’s facilities. The pilot will be capable
of handling any source of heavy crude and any solvent as light as propane. An existing sonicator will be provided by Petrosonic.
The rest of the process capability will need to be designed and implemented from feed stock receiving and handling, solvent and
crude premixing, Asphaltenes and DAO separation, solvent removal from the products as required, and product handling for shipment
to a 3rd Party for analysis. Appropriate piping, valves, instrumentation, controls, data logging and various other requirements
will be necessary to satisfy the objectives of the new propane sonication pilot. Integration with the sonicator will be included
in the scope to ensure complete process assembly and reliable operation. A suitable building with appropriate noise abatement,
all utilities and operators will be required.

 

The
propane sonication pilot will be based upon batch operation for each defined sonication test and will not require solvent recovery
and recycling.

 

The
primary objectives of this new sonication pilot is to generate Asphaltenes and Deasphalted Oil products of a quality such that
the results from 3rd Party analysis can be reliably used to:

 

	●		Demonstrate
                                         the capabilities and benefits of sonication to clients,
	 	 	 
	●		Serve
                                         as part of the design basis for commercial scale engineering design; and,
	 	 	 
	●		Generate
                                         economic feasibility studies.

 

The
objectives in more detail would be to design and operate the pilot in a manner to ensure given test parameters (time under sonication
in the sonication chamber, solvent to crude ratio, flow rate, sonication temperature and pressure) as well as process control
and functional purpose (separation of Asphaltenes from the DAO, and, separation of solvent from Asphaltenes and DAO) are conducted
to the quality and reliability that would maximize accuracy and minimize error with respect to the primary objectives.

 

WRI
proposes to convert existing laboratory space to accommodate the laboratory equipment envisioned for the Petrosonic pilot. Petrosonic
designated representatives, and Petrosonic potential clients will have full access to the site during this project and afterwards
for routine tests. Petrosonic and Petrosonic designated representatives will have the permission to take and use photos of the
test equipment. All such visitors will be escorted by a WRI employee. Following constitutes a front-end engineering proposal for
the facility, see Figure 1.

 

 

 

    	 

    	 

    

 

 

Figure
1. Western Research Institute site map.

 

FEED
Phase Budget

 

The
cost of the proposed work, including the final design and operations review, will be $61,149. The FEED phase will take 6 to 8
weeks to complete, and will culminate in final budget and timeline estimates for the EPC phase. At the end of the FEED phase,
WRI will facilitate the design and operations review in conjunction with GLE and Petrosonic. The labor cost of the design and
operations review is included in the FEED phase budget.

 

EPC
Phase Project Budget

 

The
main purpose of the FEED phase of work is to develop an appropriate design for the EPC phase of work. The FEED phase of work will
be undertaken concurrently by WRI, GLE, and Petrosonic. As such, any budget estimate for the EPC phase of work will be highly
dependent on the work completed during the FEED phase.

 

At
this stage of work, it is not possible to develop an appropriate budget for the EPC phase with any reliability. Given previous
work at WRI, and the estimated process equipment and labor that will be needed, a very rough estimate of the EPC
budget is about $650,000.

 

    	 

    	 

    

 

EPC
Phase Project Schedule 

 

Consideration
of the scope of the project as it relates to similar pilot scale plants built and operated by WRI, it is estimated that the EPC
phase and initial start-up would take 24 weeks, provided the sonication equipment is delivered in timely manner and in adequately
operational condition. WRI understands that some electrical modification to the sonication skid may be necessary to ensure that
the equipment conforms to hazardous location electrical standards. A preliminary EPC project timeline is given in the following
chart.

 

 

Figure
2. EPC Phase Preliminary Timeline

 

WRI’s
staff in the Energy/Production and Generation division is currently operating with sufficient resources to dedicate several
senior and junior level engineering professionals to the Petrosonic project as needed. WRI anticipates having resources available
to diligently complete the FEED and EPC phases, on time, during the next twelve months. Beyond this time frame WRI will make all
reasonable efforts to adhere to any time frames and schedules within our control, including hiring or reallocation of additional
support to ensure project timelines are maintained.

 

WRI
adheres to firm policies and procedures for transparent project management. It is assumed that a traditional project management
approach would be followed for the FEED phase. As such the initiation stage would develop the preliminary scope of work, followed
by a detailed design of a project management plan including tasks and activities. Execution of the developed work scope and activities
is strictly monitored to ensure timelines and budgets are adhered to. In the occurrence of any unforeseen events causing budgetary
or timeline extensions, WRI policy is to work closely with clients, during the entire project, to ensure acceptable solutions
are developed and maintained. Considering the EPC phase and plant operations phase is related to a research project WRI employs
a similar project management approach with emphasis on critical path management to mitigate unforeseen challenges with operations
and equipment. Therefore, it is critical that WRI work closely with the client during these phases to provide a transparent approach
to dealing the inevitable difficulties of a research project.

 

    	 

    	 

    

 

Typical
Test Run

 

Given
the process conditions listed in the draft scope of work, a semi-batch installation is proposed to complete the desired testing.
The inlet feed systems will be designed and built for continuous flow, and the outlet product collection systems will be designed
for batch operation and manual sample collection. By designing the inlet systems for continuous flow, appropriate sample volumes
can be collected from the proposed sonication reactor without the need for multiple operational runs for each sample. A basic
process flow diagram is given in the following figure detailing the first working design.

 

 

Figure
3: Initial System Design

 

    	 

    	 

    

 

During a
typical operational run, the following steps are proposed:

 

	 	1.	Seal
    and leak-check the system with pressurized nitrogen
	 	 	 
	 	 	a.	Repair
    any leaks and repeat as necessary
	 	 	 	 
	 	2.	Pressurize the system to test pressure with nitrogen gas
	 	 	 	 
	 	 	a.	Note:
    initial pressurization will prevent propane vaporization at the start of testing
	 	 	 	 
	 	3.	Configure
    the sonicator outlet valve to deliver liquid product to the waste product collection vessel
	 	 	 
	 	4.	Start
    propane (solvent) injection at the desired flow rate.
	 	 	 
	 	5.	Start
    heavy oil injection at the desired flow rate
	 	 	 
	 	 	a.	Note:
    both solvent and oil flow rates will be controlled through a PID loop in the PLC
	 	 	 	 
	 	6.	Hold
    at steady state flow conditions until the sonicator is full of mixed oil and solvent
	 	 	 
	 	7.	Activate
    the sonicator and adjust it to the desired power and frequency level
	 	 	 
	 	8.	Hold
    flow conditions, with the product entering the waste collection vessel, for a duration of 2-3 residence times.
	 	 	 
	 	9.	Once
    product sonication is ensured (2-3 residence times), switch the 3-way product valve to begin collecting the test sample.
	 	 	 
	 	10.	Hold
    flow conditions, with the product entering the spec product collection vessel, until 150% of the desired product is collected.
	 	 	 
	 	11.	Switch
    the product collection valve back to the waste product collection.
	 	 	 
	 	12.	Stop
    heavy oil and propane flow
	 	 	 
	 	13.	Begin
    de-pressurizing the product collection vessels through the back pressure control valve
	 	 	 
	 	 	a.	The
    rate of de-pressurization will be controlled through the PLC to minimize mixing in the spec product collection vessel
	 	 	 	 
	 	14.	Collect
    DAO and asphaltene products once all solvent is vented
	 	 	 
	 	 	a.	By
    running the system long enough, i.e. production of 150% of the desired product volume, sample separation will be much easier.
    Product at the DAO/asphaltene interface can be discarded
	 	 	 	 
	 	15.	Clean
    the system and reset for the next run

 

A typical
test run can be completed once every 2-days. One day will be used for system testing, and the alternate day will be used for a
complete system cleaning. During the FEED phase, process design steps will be undertaken to attempt to reduce the time required
for setup and cleaning between tests.

 

As written
above, a typical test will cost approximately $7,500. This includes all consumables (less the heavy oil that will be provided
by Petrosonic), supplies, materials and labor for sample shipping, and hazardous waste disposal.

 

System
Upgrades

 

The
design and construction of a semi-batch system has an additional benefit to the long-term operability of the sonication lab. Should
the system be upgraded to a continuous process, all of the front-end equipment for oil and solvent delivery will already be in
place. The waste and product collection vessels will be designed such that access flanges will be available to include continuous
collection of DAO and asphaltene product streams in the future if desired.

 

Idle
Time Cost Estimate

 

System
costs during idle time will be minimal. This will include minor charges for utilities, and a few hours per month for inspection
and maintenance as needed. This cost will be fully developed during the FEED phase, but should not exceed $1,000/month.

 

    	 

    	 

    

 

WRI
Resources

 

Personnel

 

WRI
employs a talented and diverse staff of engineers and scientists. It is assumed that the appropriate engineers will be selected,
based on their skill sets and availability, to manage and execute the project activities. During the FEED phase WRI will utilize
multiple engineers with backgrounds in process, chemical and mechanical engineering. Key personnel will be Dr. Vijay Sethi, Mr.
Beau Braunberger and Mr. Jerrod D. Isaak. Resumes are provided for key personnel in Attachment 1.

 

Relevant
Project Examples

 

The
Energy/Production and Generation division at WRI has managed, built and operated multiple research programs ranging in
size from bench scale to semi-commercial scale. A list of some relevant programs and their scales are provided in Table 2, all
of these projects were started from paper concept and completed with pilot plant/lab construction and operations. The majority
of projects and pilot plants at WRI are similar scale or larger than the Sonication Lab in question, all pilot plants are equipped
with state of the art PLC control and instrumentation as well as relevant modern equipment.

 

Table
2. List of Relevant Programs and Pilot Plants

 

	Project	 	Description
	Combustion
    Test Facility	 	300,000
    BTU/hr Scaled T-Fired PC Boiler, Complete with heat recovery surfaces, common particulate & emission control devices.
    Complete flue gas characterization capabilities.
	 	 	 
	Coal
    Gasification	 	300,000
                                         BTU/hr Fluid Bed Gasifier

        Fully
        instrumented and PLC controlled

        Full
        analytical suite installed

        10
        Ton per day Fixed Bed gasifier

        Fully
        instrumented and PLC controlled

	 	 	 
	Coal
    Upgrading and Handling	 	Bench
    Scale 400 lb/hr fluid bed Coal Dryer, Semi-Commercial 40 ton/day Fluid Bed Coal Upgrading Facility
	 	 	 
	Coal
    to Chemicals	 	500,000
    BTU/hr Coal Slagging Furnace
	 	 	 
	Catalyst
    Development	 	WRI
    patented mixed-alcohol synthesis catalyst
	 	 	 
	Liquid
    Fuel Synthesis 	 	Test
    units ranging from lab to pilot scale. Smallest units have 10 gram catalyst loading, largest have 2.5 kg loading. Production
    capability up to 2 bbl/day

 

    	 

    	 

    

 

WRI
works closely with a full suite of sub-contracting firms to ensure tasks beyond our capabilities are completed in a quality and
timely fashion. As it relates to this project, these services would include high-voltage electrical and coded pressure vessel
fabrication. All engineering such as process design, equipment specification and instrumentation engineering would be done in-house
by WRI engineering staff. Plant assembly and majority of fabrication would also be done in-house by WRI technicians and tradesman.

 

Sub-Contracted
Work

 

Given
the scope and size of the proposed testing, WRI would utilize sub contractors for electrical wiring, and ASME code vessel fabrication.
WRI maintains relationships with several local electrical contractors, and utilizes several certified fabrication shops in Wyoming
and Colorado.

 

Quotes
will be requested from several contractors in each area before proceeding; however based on past experience the expected contractors
will be:

 

	Electrical

        Trident
        Electric

        1509
        Shetland Dr.

        Laramie,
        WY 82070

        (307)
        742-9282
	ASME
                                         Code Vessels

        CVIC
        Inc.

        6719
        W Yellowstone Hwy

        Casper,
        WY 82604

        (307)
        237-6139

 

Assurance/Insurance
and Warranties

 

WRI
carries general liability, umbrella liability, environmental impact liability, and workers compensation insurance. The details
of the policies, less the workers compensation policy, are provided in attachment 2. Considering the research nature of our work,
WRI does not guarantee any performance capabilities or results of a research related pilot plant. WRI does guarantee
that the workmanship of WRI staff and hired sub-contractors will be high quality and conform to all applicable standards, codes
and regulations. WRI has intensive experience in working with reputable equipment providers/fabricators, as it relates to shop
inspections WRI conducts a meet-and-greet as well as shop inspection of any new fabricator of key equipment such as pressure vessels.
However, considering the equipment associated with the Sonication lab WRI does not expect to go outside of our current approved
equipment providers and licensed fabricators. WRI follows strict safety practices and procedures to ensure the safety of our staff
and visitors. All pilot plants and new processes receive a through HAZOP review and we ensure that the design and operation of
any new facility includes typical safety procedures and practices such as emergency shut offs, pressure relief devices, proper
ventilation and isolation of hazardous equipment and operations. These practices are followed and included from project initiation
through completion of all testing.

 

	Petrosonic
    Energy, Inc.	 	Western
    Research Institute
	 	 	 	 	 
	Signature:	/s/Art
    Agolli	 	Signature:	/s/Rebecca
    Fischer for Donald W. Collins, CEO
	Name:	Art
    Agolli	 	Name:	Rebecca
    Fischer
	Title:	CEO	 	Title:	Controller
	 	 	 	 	 
	Date:	8-14-2014	 	Date:	8-14-2014

 

    	 

    	 

    

  

ATTACHMENT
1: KEY PERSONNEL

 

    	 

    	 

    

 

ATTACHMENT
2: INSURANCEA.C. Simmonds and Sons Inc 10-Q 

Exhibit 10.6

 

SHARE PURCHASE AGREEMENT

 

THIS AGREEMENT made the 14th day of April, 2014

 

B E T W E E N:

 

VERTILITY OIL & GAS CORPORATION, a corporation incorporated
pursuant to the laws of the Province of Ontario (hereinafter called “Vertility”)

 

-and-

 

RABEA ALLOS, an individual and resident of Ontario (herein after the “Vendor”)

 

-and-

 

BLVD HOLDINGS, INC. a corporation incorporated
pursuant to the laws of the State of Nevada (hereinafter called “the Purchaser”)

 

WHEREAS the Vendor is the sole shareholder of
Vertility;

 

WHEREAS the Vendor, Vertility Oil & Gas
Corporation and the Purchaser have agreed to sell and transfer all shares of Vertility Oil & Gas Corporation to the Purchaser,
and the Purchaser has agreed to purchase the Shares from the Vendor for the consideration set out herein;

 

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

 

Article
1 - INTERPRETATION

 

		1.01	Definitions

 

In this Agreement, unless something in the subject
matter or context is inconsistent therewith:

 

		(a)	“Agreement” means this agreement and all amendments made hereto by written agreement between Vertility Oil &
Gas Corporation and the Purchaser;

 

		(b)	“Business Day” means a day other than a Saturday, Sunday or statutory holiday in Ontario;

 

		(c)	“Closing” and “Time of Closing” means 10:00 a.m. (Toronto time) on the Closing Date;

 

		(d)	“Closing Date” means the date the Purchaser issues all common shares of the Purchaser contemplated in Section 2.01
to the persons as described in Schedule “A”;

 

		(e)	“Purchase Price” has the meaning set out in Section 2.01;

 

		(f)	“Shares” means all shares whatsoever of Vertility Oil & Gas Corporation;

 

		(g)	“Vendor” means Rabea Allos.

 

    	 

    	 

    

  

		1.02	Headings

 

The division of this Agreement into Articles and
Sections and the insertion of headings are for convenience of reference only and shall not affect the construction or interpretation
of this Agreement. The terms “this Agreement”, “hereof”, “hereunder” and similar expressions
refer to this Agreement and not to any particular Article, Section or other portion hereof and include any agreement supplemental
hereto. Unless something in the subject matter or context is inconsistent therewith, references herein to Articles and Sections
are to Articles and Sections of this Agreement.

 

		1.03	Extended Meanings

 

In this Agreement words importing the singular
number only shall include the plural and vice versa, words importing the masculine gender shall include the feminine and
neuter genders and vice versa and words importing persons shall include individuals, partnerships, associations, trusts,
unincorporated organizations and corporations.

 

		1.04	Currency

 

All references to currency herein are to lawful
money of United States unless otherwise specified.

 

Article
2 - PURCHASE AND SALE

 

		2.01	Purchase and Sale and Purchase Price

 

(1)         The Vendor shall sell its Shares
in Vertility to the Purchaser and the Purchaser shall purchase the Shares of Vertility from the Vendor.

 

(2)         In consideration for subparagraph
2.01(1) above, the Purchaser shall issue a total of seven million two hundred thousand (7,200,000) common shares of the Purchaser
to the listed individuals as indicated in Schedule “A”.

 

		2.02	Closing

 

The sale and purchase of the Shares shall be completed
at the Time of Closing at the offices of the Purchaser, Suite 102, 3565 King Road, King City, Ontario L7B 1M3.

 

Article
3 - REPRESENTATIONS AND WARRANTIES

 

		3.01	Vendor’s Representations and Warranties

 

The Vendor represents and warrants to the Purchaser,
which representations and warranties shall survive Closing by one year, that:

 

		(a)	Vertility is a corporation duly incorporated, organized and subsisting under the laws of Ontario as a private company as that
term is defined in the Securities Act (Ontario) with the corporate power to own its assets and to carry on its business and has
made all necessary filings under all applicable corporate, securities and taxation laws or any other laws to which the corporation
is subject;

 

		(b)	The Vendor is the sole owner of the Shares and the Shares are free and clear of all liens, charges, encumbrances and any other
rights of others;

 

    	 

    	 

    

  

		(c)	there are no undisclosed outstanding orders, notices or similar requirements relating to Vertility or any member thereof issued
by any building, environmental, fire, health, labour or police authorities or from any other federal, provincial or municipal authority
and there are no matters under discussion with any such authorities relating to orders, notices or similar requirements;

 

		(d)	no dividends have been declared or paid on or in respect of the Shares and no other distribution on any of its securities or
shares has been made by Vertility or any member thereof or paid by Vertility or any member thereof have been duly and validly declared
or paid;

 

		(e)	the Vendor, Vertility and each member thereof does not have any undisclosed liability, obligation or commitment for the payment
of income taxes, corporation taxes or any other taxes or duties of whatever nature or kind, or interest or penalties with respect
thereto, except such as are disclosed in their financial statements, or such taxes or duties not yet due as have arisen in the
usual and ordinary course of business and for which adequate provision in the accounts of Vertility or any member thereof has been
made, and Vertility or any member thereof is not in arrears with respect to any required withholdings or instalment payments of
any tax or duty of any kind and has not filed any waiver for a taxation year of Vertility or any member thereof under the Income
Tax Act (Canada) or any other legislation imposing tax on Vertility or any member thereof;

 

		(f)	the Vendor and no member of Vertility is a party to any contract or commitment outside the usual and ordinary course of business;
and none is a party to or bound by any contract or commitment to pay any royalty, licence fee or management fee;

 

		(g)	there are no actions, suits or proceedings (whether or not purportedly on behalf of Vertility or any member thereof) pending
or threatened against or materially adversely affecting, or which could materially adversely affect, Vertility or any member thereof;

 

		(h)	all trade marks, trade names, patents and copyrights, both domestic and foreign, related to, used in or required for the proper
carrying on of Vertility or any member thereof’s business are validly and beneficially owned by Vertility or any member thereof
with the sole and exclusive right to use the same and are in good standing and duly registered in all appropriate offices to preserve
the right thereof and thereto, and none are beneficially owned directly or indirectly by either of the Vendor or related persons;

 

		(i)	the conduct of Vertility or any member thereof does not infringe upon the trade marks, trade names, patents or copyrights,
domestic or foreign, of any other person; and

 

		(j)	the Vendor is not a non-resident person within the meaning of section 116 of the Income Tax Act (Canada).

 

		(k)	the covenants of the Vendor set forth in this Agreement shall survive the completion of the sale and purchase of the Shares
herein provided for and, notwithstanding such completion, shall
continue in full force and effect for the benefit of the Purchaser in accordance with the terms thereof.

 

    	 

    	 

    

  

		3.02	Purchaser’s Representations and Warranties

 

The Purchaser represents and warrants to the Vendor,
which representations and warranties shall survive Closing by one year, that:

 

		(a)	the Purchaser is a corporation duly incorporated, organized and subsisting under the laws of the Laws of Nevada; and,

 

		(b)	the Purchaser has good and sufficient power, authority and right to enter into and deliver this Agreement and to complete the
transactions to be completed by the Purchaser contemplated hereby.

 

Article
4 - COVENANTS

 

		4.01	Taxes

 

The Purchaser does not assume and shall not be
liable for any taxes under the Income Tax Act (Canada) or any other taxes whatsoever which may be or become payable by the
Vendor including, without limiting the generality of the foregoing, any taxes resulting from or arising as a consequence of the
sale by the Vendor to the Purchaser of the Shares herein contemplated, and the Vendor shall indemnify and save harmless the Purchaser
from and against all such taxes.

 

		4.02	Covenants of the Vendor

 

(1)         The Vendor shall indemnify and
save harmless the Purchaser, Vertility or any member thereof and the officers and directors of Vertility or any member thereof
from and against all liabilities (whether accrued, actual, contingent or otherwise), claims and demands whatsoever including, without
limiting the generality of the foregoing, liabilities, claims and demands for income, sales, excise or other taxes, of or in connection
with Vertility or any member thereof existing or incurred before the Closing Date which are not disclosed in the financial statements,
have not arisen in the usual and ordinary course of Vertility or any member thereof’s business or have arisen in the usual
and ordinary course of Vertility or any member thereof’s business before the Closing Date.

 

(2)         The Vendor shall ensure that the
representations and warranties of the Vendor set out in Section 3.01 over which the Vendor has reasonable control are true and
correct at the Time of Closing and that the conditions of closing for the benefit of the Purchaser set out in Section 5.01(1) over
which the Vendor has reasonable control have been performed or complied with by the Time of Closing.

 

(3)         The Vendor shall indemnify and
save harmless the Purchaser from and against all losses, damages or expenses directly or indirectly suffered by the Purchaser resulting
from any breach of any covenant of the Vendor contained in this Agreement or from any inaccuracy or misrepresentation in any representation
or warranty set forth in Section 3.01.

 

    	 

    	 

    

  

		4.03	Covenants of the Purchaser

 

(1)         The Purchaser shall ensure that
the representations and warranties of the Purchaser set out in Section 3.02 over which the Purchaser has reasonable control are
true and correct at the Time of Closing and that the conditions of closing for the benefit of the Vendor set out in Section 5.02(1)
over which the Purchaser has reasonable control have been performed or complied with by the Time of Closing.

 

(2)         The Purchaser shall indemnify and
save harmless the Vendor from and against all losses, damages or expenses directly or indirectly suffered by the Vendor resulting
from any breach of any covenant of the Purchaser contained in this Agreement or from any inaccuracy or misrepresentation in any
representation or warranty set forth in Section 3.02.

 

Article
5 - CONDITIONS

 

		5.01	Conditions for the Benefit of the Purchaser

 

(1)         The closing of the transactions
contemplated herein is subject to the following conditions which are for the exclusive benefit of the Purchaser to be performed
or complied with at or prior to the Time of Closing:

 

		(a)	the representations and warranties of the Vendor set forth in Section 3.01 shall be true and correct at the Time of Closing
with the same force and effect as if made at and as of such time;

 

		(b)	the Vendor shall have performed or complied with all of the terms, covenants and conditions of this Agreement to be performed
or complied with by the Vendor at or prior to the Time of Closing;

 

		(c)	all directors and officers of Vertility or any member thereof specified by the Purchaser shall resign;

 

		(d)	the Vendor and all directors, officers of Vertility or any member thereof shall release Vertility or any member thereof from
any and all possible claims against Vertility or any member thereof arising from any act, matter or thing arising at or prior to
the Time of Closing;

 

		(e)	there shall be a non-competition agreement entered into between the Purchaser, Vertility or any member thereof and the Vendor.

 

		(f)	the Purchaser shall have obtained a notice from the Minister under the Investment Canada Act (Canada) that he is satisfied,
or deemed to be satisfied, that the transactions contemplated herein are likely to be of net benefit to Canada;

 

		(g)	the Purchaser shall have given the requisite notice of the proposed transaction under the Competition Act (Canada) and
any waiting periods prescribed thereunder shall have expired; and

 

		(h)	the form and legality of all matters incidental to the sale by the Vendor and the purchase by the Purchaser of the Shares shall
be subject to the approval of the Purchaser’s counsel.

 

    	 

    	 

    

  

(2)         In case any term or covenant of
the Vendor or condition to be performed or complied with for the benefit of the Purchaser at or prior to the Time of Closing shall
not have been performed or complied with at or prior to the Time of Closing, the Purchaser may, without limiting any other right
that the Purchaser may have, at its sole option, either:

 

		(a)	rescind this Agreement by notice to the Vendor, and in such event the Purchaser shall be released from all obligations hereunder;
or

 

		(b)	waive compliance with any such term, covenant or condition in whole or in part on such terms as may be agreed upon without
prejudice to any of its rights of rescission in the event of non-performance of any other term, covenant or condition in whole
or in part;

 

and, if the Purchaser rescinds this Agreement pursuant to Section
5.01(2)(a) and the term, covenant or condition for which the Purchaser has rescinded this Agreement was one that the Vendor had
covenanted, pursuant to Section 4.02(2), to ensure had been performed or complied with, the Vendor shall be liable to the Purchaser
for any losses, damages or expenses incurred by the Purchaser as a result of such breach.

 

		5.02	Conditions for the Benefit of the Vendor

 

		(1)	The sale by the Vendor and the purchase by the Purchaser of the Shares is subject to the following conditions which are for
the exclusive benefit of the Vendor to be performed or complied with at or prior to the Time of Closing:

 

		(a)	the representations and warranties of the Purchaser set forth in Section 3.03 shall be true and correct at the Time of Closing
with the same force and effect as if made at and as of such time;

 

		(b)	the Purchaser shall have performed or complied with all of the terms, covenants and conditions of this Agreement to be performed
or complied with by the Purchaser at or prior to the Time of Closing;

 

		(c)	the Vendor shall be furnished with such certificates, affidavits or statutory declarations of the Purchaser or of officers
of the Purchaser as the Vendor or the Vendor’s counsel may reasonably think necessary in order to establish that the terms,
covenants and conditions contained in this Agreement to have been performed or complied with by the Purchaser at or prior to the
Time of Closing have been performed and complied with and that the representations and warranties of the Purchaser herein given
are true and correct at the Time of Closing;

 

		(d)	employment contracts on terms reasonable in the industry, including the usual car allowances, benefits, non-competition and
non-solicitation provisions, shall be reached as set out below:

 

	Name	 	Office	 	Term
	Rabea Allos	 	President of Vertility	 	5 years
	Michael Grieco	 	Vice President of Vertility	 	5 years

  

    	 

    	 

    

 

Article
6 - GENERAL

 

		6.01	Further Assurances

 

Each of the Vendor and the Purchaser shall from
time to time execute and deliver all such further documents and instruments and do all acts and things as the other party may,
either before or after the Closing Date, reasonably require to effectively carry out or better evidence or perfect the full intent
and meaning of this Agreement.

 

		6.02	Time of the Essence

 

Time shall be of the essence of this Agreement.

 

		6.03	Commissions

 

The Vendor shall indemnify and save harmless the
Purchaser from and against any claims whatsoever for any commission or other remuneration payable or alleged to be payable to any
person in respect of the sale and purchase of the Shares, whether such person purports to act or have acted for the Vendor or the
Purchaser in connection with the sale of the Shares.

 

		6.04	Legal Fees

 

Each of the parties hereto shall pay their respective
legal and accounting costs and expenses incurred in connection with the preparation, execution and delivery of this Agreement and
all documents and instruments executed pursuant hereto and any other costs and expenses whatsoever and howsoever incurred.

 

		6.05	Public Announcements

 

No public announcement or press release concerning
the sale and purchase of the Shares shall be made by the Vendor or the Purchaser without the prior consent and joint approval of
the Vendor and the Purchaser.

 

		6.06	Benefit of the Agreement

 

This Agreement shall enure to the benefit of and
be binding upon the respective heirs, executors, administrators, successors and permitted assigns of the parties hereto.

 

		6.07	Entire Agreement

 

This Agreement constitutes the entire agreement
between the parties hereto with respect to the subject matter hereof and cancels and supersedes any prior understandings and agreements
between the parties hereto with respect thereto. There are no representations, warranties, terms, conditions, undertakings or collateral
agreements, express, implied or statutory, between the parties other than as expressly set forth in this Agreement.

 

		6.08	Amendments and Waiver

 

No modification of or amendment to this Agreement
shall be valid or binding unless set forth in writing and duly executed by both of the parties hereto and no waiver of any breach
of any term or provision of this Agreement shall be effective or binding unless made in writing and signed by the party purporting
to give the same and, unless otherwise provided, shall be limited to the specific breach waived.

 

    	 

    	 

    

 

		6.09	Assignment

 

This Agreement may not be assigned by the Vendor
without the written consent of the Purchaser but may be assigned by the Purchaser without the consent of the Vendor to an affiliate
of the Purchaser, provided that such affiliate enters into a written agreement with the Vendor to be bound by the provisions of
this Agreement in all respects and to the same extent as the Purchaser is bound and provided that the Purchaser shall continue
to be bound by all the obligations hereunder as if such assignment had not occurred and perform such obligations to the extent
that such affiliate fails to do so.

 

		6.10	Notices

 

Any demand, notice or other communication to be
given in connection with this Agreement shall be given in writing and shall be given by personal delivery, by registered mail or
by electronic means of communication addressed to the recipient as follows:

 

To the Vendor:

56 Nappa St.

Richmond Hill, ON L4B 3T9

Attention: Rabea Allos

 

To the Purchaser:

3565 King Road, Unit 102 

King City, ON L7B 1M3

[Fax No.]: 905-833-9847

Attention: John G. Simmonds

 

or to such other address, individual or electronic communication
number as may be designated by notice given by either party to the other. Any demand, notice or other communication given by personal
delivery shall be conclusively deemed to have been given on the day of actual delivery thereof and, if given by registered mail,
on the 5th Business Day following the deposit thereof in the mail and, if given by electronic communication, on the day of transmittal
thereof if given during the normal business hours of the recipient and on the Business Day during which such normal business hours
next occur if not given during such hours on any day. If the party giving any demand, notice or other communication knows or ought
reasonably to know of any difficulties with the postal system which might affect the delivery of mail, any such demand, notice
or other communication shall not be mailed but shall be given by personal delivery or by electronic communication.

 

    	 

    	 

    

 

		6.11	Independent Legal Advice

 

Each of the parties hereto acknowledges that
he or she has obtained independent legal advice in connection with the negotiation and execution of this Agreement or, having
been advised to do so, has declined to obtain independent legal advice, and further acknowledges and agrees that he has read,
understands, and agrees to be bound by all of the terms and conditions contained herein.

 

		6.12	Governing Law

 

This Agreement shall be governed by and construed
in accordance with the laws of the Province of Ontario and the laws of Canada applicable therein.

 

		6.13	Attornment

 

For the purpose of all legal proceedings this
Agreement shall be deemed to have been performed in the Province of Ontario and the courts of the Province of Ontario shall have
jurisdiction to entertain any action arising under this Agreement. The Vendor and the Purchaser each hereby attorns to the jurisdiction
of the courts of the Province of Ontario.

 

IN WITNESS WHEREOF the parties
have executed this Agreement

 

SIGNED, SEALED AND DELIVERED

 

In the presence of:

 

	/s/ Carrie Weiler	 	/s/ Rabea Allos	 	April 14, 2014
	Witness	 	VERTILITY OIL & GAS CORPORATION	 	 
	 	 	I have authority to bind the corporation	 	 
	 	 	 	 	 
	/s/ Carrie Weiler	 	/s/ Rabea Allos	 	April 14, 2014
	Witness	 	RABEA ALLOS	 	 
	 	 	 	 	 
	/s/ Carrie Weiler	 	/s/ John G. Simmonds	 	April 14, 2014
	Witness	 	BLVD HOLDINGS, INC.	 	 
	 	 	I have authority to bind the corporation

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00234-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00234-of-00352.parquet"}]]