Document:

Echo Automotive, Inc.: Exhibit 10.2 - Filed by newsfilecorp.com

Form of Secured Convertible Promissory Note

THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT
OF 1933, AS AMENDED, NOR UNDER ANY STATE SECURITIES LAW AND MAY NOT BE PLEDGED,
SOLD, ASSIGNED OR TRANSFERRED UNLESS (I) A REGISTRATION STATEMENT WITH RESPECT
THERETO IS EFFECTIVE UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), AND ANY APPLICABLE STATE
SECURITIES LAW REQUIREMENTS HAVE BEEN MET OR (II) EXEMPTIONS FROM THE
REGISTRATION REQUIREMENTS UNDER THE SECURITIES ACT AND THE REGISTRATION OR
QUALIFICATION REQUIREMENTS OF APPLICABLE STATE SECURITIES LAWS ARE
AVAILABLE.

$1,500,000.00

ECHO AUTOMOTIVE, INC.

SECURED CONVERTIBLE PROMISSORY NOTE

May __, 2013

     Echo Automotive, Inc. a Nevada
corporation (the "Company"), the principal office of which is located at
16000 N. 80th Street, Suite E, Scottsdale, Arizona 85260, for value
received hereby promises to pay to United Fleet Financing LLC (the
"Holder"), or its registered assigns, the sum of One Million Five Hundred
Thousand Dollars and No Cents ($1,500,000.00), or such lesser amount as shall
then be outstanding hereunder. The principal amount hereof shall be funded by
Holder in several installments of One Hundred Sixty-Six Thousand Dollars and No
Cents ($166,000.00) on the date hereof and each month thereafter as set forth in
Schedule 1. Any unpaid accrued interest hereon, as set forth below, shall be due
and payable on each annual anniversary date of funding, or (ii) when declared
due and payable by the Holder upon the occurrence of an Event of Default (as
defined below). Payment for all principal amounts due hereunder shall be made by
mail to the registered address of the Holder at the end of the five (5) year
term unless accelerated for an event of default. This Secured Convertible
Promissory Note (“Note”) is one in a series of Notes issued by the
Company pursuant to that certain Financing and Security Agreement, dated as of
May 20, 2013, by and among the Company, Holder and certain other persons (the
“Financing and Security Agreement”). To the extent of any conflict
between the Financing and Security Agreement and this Note, the term of the Note
shall prevail and supersede in material respects.

     The following is a statement of
the rights of the Holder of this Note and the conditions to which this Note is
subject, and to which the Holder hereof, by the acceptance of this Note,
agrees:

     1. Definitions. As used in
this Note, the following terms, unless the context otherwise requires, have the
following meanings:

          (i)
"Company" includes any corporation which shall succeed to or assume the
obligations of the Company under this Note.

          (ii)
"Holder," when the context refers to a holder of this Note, shall mean
any person who shall at the time be the registered holder of this Note.

     2. Interest. Upon the
maturity of this Note, the Company shall pay interest at the rate of eight
percent (8.0%) per annum (the "Initial Interest Rate") on the principal
outstanding during the period beginning on the date of issuance of this Note and
ending on the date that the principal amount of this Note becomes due and
payable. In the event that the principal amount of this Note is not paid in full
when such amount becomes due and payable, interest at the rate equal to the
lesser of (a) the Initial Interest Rate plus five percent (5.0%) or (b) the
highest rate then permitted by law shall continue to accrue on the balance of
any unpaid principal until such balance is paid.

     3. Events of Default. If
any of the events specified in this Section 3 shall occur (herein
individually referred to as an "Event of Default"), the Holder of this
Note may, so long as such condition exists, declare the entire principal and
unpaid accrued interest hereon immediately due and payable, by notice in writing
to the Company:

     (i)
failure by the Company to make any payment under this Note of the principal or
unpaid accrued interest of this Note when due and payable if such failure is not
cured by the Company within ten (10) days after the Holder has given the Company
written notice of such default; or

     (ii)
failure of the Company to perform any other covenant contained herein or in any
other Loan Document (as defined in the Loan and Security Agreement), if the same
has continued for thirty (30) days after written notice specifying such failure
has been delivered to the Company by Holder; or

     (iii) an
Event of Default occurs on any of the other Notes and such default is not cured
within any applicable cure period in such Note; or

     (iv) the
institution by the Company of proceedings to be adjudicated as bankrupt or
insolvent, or the consent by it to institution of bankruptcy or insolvency
proceedings against it or the filing by it of a petition or answer or consent
seeking reorganization or release under the federal Bankruptcy Act, or any other
applicable federal or state law, or the consent by it to the filing of any such
petition or the appointment of a receiver, liquidator, assignee, trustee, or
other similar official of the Company, or of any substantial part of its
property, or the making by it of an assignment for the benefit of creditors, or
the taking of corporate action by the Company in furtherance of any such action;
or

     (v) if,
within sixty (60) days after the commencement of an action against the Company
(and service of process in connection therewith on the Company) seeking any
bankruptcy, insolvency, reorganization, liquidation, dissolution, or similar
relief under any present or future statute, law, or regulation, such action
shall not have been resolved in favor of the Company or all orders or
proceedings thereunder affecting the operations or the business of the Company
stayed, or if the stay of any such order or proceeding shall thereafter be set
aside, or if, within sixty (60) days after the appointment without the consent
or acquiescence of the Company of any trustee, receiver, or liquidator of the
Company or of all or any substantial part of the properties of the Company, such
appointment shall not have been vacated; or

     (vi) any
declared default of the Company under any Senior Indebtedness (as defined below)
that gives the holder thereof the right to accelerate such Senior Indebtedness,
and such Senior Indebtedness is in fact accelerated by the holder.

-2-

     4. Warrants. For each
installment of One Hundred Sixty-Six Thousand Dollars and No Cents
($166,000.00), Holder shall receive a five (5) year warrant to purchase 377,273
common shares of the Company at $0.65 per share.

     5. Security. The
obligations of the Company to the Holder pursuant to this Note shall be secured
by a lien on all assets of the Company, including a Pledge of the LLC’s
interests of Advanced Technical Asset Holdings LLC acquired on April 5, 2013,
which lien shall be evidenced by a security agreement. The lien in favor of
Holder shall be subordinated to any lien in favor of the holder(s) of the Senior
Indebtedness as provided in Section 4 of this Note. The Company hereby
authorizes and appoints the Holder to take all such action, including the filing
of a UCC-1 form.

     6. Conversion.

          6.1.
Voluntary Conversion. The Holder of this Note shall have the right, at
the Holder's option, to convert the entire unpaid principal amount and accrued
interest under this Note, in whole but not in part, into fully paid and
nonassessable shares of the Company’s common stock, par value $0.001 (the
“Common Stock”), at a per share conversion price equal to $0.55 per
share, subject to adjustment as provided below in Section 7 (the
“Conversion Price”).

          6.2.
Conversion Procedure. Before the Holder shall be entitled to convert this
Note into shares of Common Stock pursuant to Section 6.1, it shall (i)
surrender this Note, duly endorsed, at the principal corporate office of the
Company, (ii) deliver the Notice of Conversion set forth on Exhibit A
attached hereto by mail, postage prepaid, to the Company at its principal
corporate office, and (iii) state therein the name or names in which the
certificate or certificates for shares of Common Stock are to be issued. At its
expense, the Company shall, as soon as practicable thereafter, issue and deliver
to such Holder at the address of such Holder specified in the Notice of
Conversion a certificate or certificates for the number of shares which the
Holder shall be entitled upon such conversion (bearing such legends as are
required by applicable state and federal securities laws in the opinion of
counsel to the Company), together with any other securities and property to
which the Holder is entitled upon such conversion under the terms of this Note,
including a check payable to the Holder for any cash amounts payable as
described below in Section 6.4. Such conversion shall be deemed to have
been made immediately prior to the close of business on the date of such
surrender of this Note, and the person or persons entitled to receive the shares
of Common Stock issuable upon such conversion shall be treated for all purposes
as the record holder or holders of such shares of Common Stock as of such
date.

          6.3.
Mechanics and Effect of Conversion. No fractional shares shall be issued
upon conversion of this Note. In lieu of the Company issuing any fractional
shares to the Holder upon the conversion of this Note, the Company shall pay to
the Holder the amount of outstanding principal that is not so converted, such
payment to be made in cash. Upon conversion of this Note, the Company shall be
forever released from all its obligations and liabilities under this Note.

     7. Conversion Price
Adjustments.

          7.1.
Adjustments for Stock Splits and Subdivisions. In the event the Company
should at any time or from time to time after the date of issuance hereof fix a
record date for the effectuation of a split or subdivision of the outstanding
shares of Common Stock or the determination of holders of Common Stock entitled
to receive a dividend or other distribution payable in additional shares of
Common Stock or other securities or rights convertible into, or entitling the
holder thereof to receive directly or indirectly, additional shares of Common
Stock (hereinafter referred to as “Stock Equivalents”) without payment of
any consideration by such holder for the additional shares of Common Stock or
the Stock Equivalents (including the additional shares of Common Stock issuable
upon conversion or exercise thereof), then, as of such record date (or the date of
such dividend, distribution, split, or subdivision if no record date is fixed),
the Conversion Price of this Note shall be appropriately decreased so that the
number of shares of Common Stock issuable upon conversion of this Note shall be
increased in proportion to such increase of outstanding shares.

-3-

          7.2.
Adjustments for Reverse Stock Splits. If the number of shares of Common
Stock outstanding at any time after the date hereof is decreased by a
combination of the outstanding shares of Common Stock, then, following the
record date of such combination, the Conversion Price for this Note shall be
appropriately increased so that the number of shares of Common Stock issuable on
conversion hereof shall be decreased in proportion to such decrease in
outstanding shares.

          7.3.
Reclassification, Etc. In case of any reclassification or change of the
outstanding securities of the Company or of any reorganization of the Company
(or any other corporation the stock or securities of which are at the time
receivable upon the conversion of this Note) or any similar corporate
reorganization on or after the date hereof, or in the case the Company shall
consolidate with or merge into another corporation or convey all or
substantially all of its assets to another corporation on or after the date
hereof, then and in each such case the Holder of this Note, upon the conversion
hereof at any time after the consummation of such reclassification, change,
reorganization, consolidation, merger or conveyance, shall be entitled to
receive, in lieu of the stock or other securities and property receivable upon
the conversion hereof prior to such consummation, the stock or other securities
or property to which such Holder would have been entitled upon such consummation
if such Holder had converted this Note immediately prior thereto, all subject to
further adjustment as provided herein; and in each such case, the terms of this
Section 7.3 shall be applicable to the shares of stock or other
securities or property receivable upon the conversion of this Note after such
consummation.

          7.4.
Notices of Record Date, etc. In the event of:

               7.4.1
Any taking by the Company of a record of the holders of any class of securities
of the Company for the purpose of determining the holders thereof who are
entitled to receive any dividend (other than a cash dividend payable out of
earned surplus at the same rate as that of the last such cash dividend
theretofore paid) or other distribution, or any right to subscribe for, purchase
or otherwise acquire any shares of stock of any class or any other securities or
property, or to receive any other right; or

               7.4.2
Any capital reorganization of the Company, any reclassification or
recapitalization of the capital stock of the Company, or any transfer of all or
substantially all of the assets of the Company to any other person or any
consolidation or merger involving the Company; or

               7.4.3
Any voluntary or involuntary dissolution, liquidation, or winding up of the
Company,

then the Company will mail to the holder of this Note at least
ten (10) days prior to the earliest date specified therein, a notice specifying:
(i) the date on which any such record is to be taken for the purpose of such
dividend, distribution, or right, and the amount and character of such dividend,
distribution, or right; and (ii) the date on which any such reorganization,
reclassification, transfer, consolidation, merger, dissolution, liquidation, or
winding up is expected to become effective and the record date for determining
stockholders entitled to vote thereon.

          7.5.
Reservation of Stock Issuable Upon Conversion. The Company shall at all
times reserve and keep available out of its authorized but unissued shares of
Common Stock solely for the purpose of effecting the conversion of the Note such
number of its shares of Common Stock (and shares of its common stock for
issuance on conversion of such Common Stock) as shall from time to time be
sufficient to effect the conversion of the Note and of the Common Stock; and if
at any time the number of authorized but unissued shares of Common Stock (and
shares of its common stock for issuance on conversion of such Common Stock)
shall not be sufficient to effect the conversion of the entire outstanding
principal amount of this Note, in addition to such other remedies as shall be
available to the holder of this Note, the Company will use its best efforts to
take such corporate action as may, in the opinion of its counsel, be necessary
to increase its authorized but unissued shares of Common Stock or common stock,
as the case may be, to such number of shares as shall be sufficient for such
purposes.

-4-

     8. Assignment. Subject to
the restrictions on transfer described in Section 10 below, the rights
and obligations of the Company and the Holder of this Note shall be binding upon
and benefit the successors, assigns, heirs, administrators, and transferees of
the parties.

     9. Waiver and Amendment.
Any provision of this Note may be amended, waived, or modified upon the written
consent of the Company and Holder.

     10. Transfer of This Note or
Securities Issuable on Conversion Hereof. With respect to any offer, sale,
or other disposition of this Note or securities into which such Note may be
converted, the Holder will give written notice to the Company prior thereto,
describing briefly the manner thereof, together with a written opinion of such
Holder's counsel, to the effect that such offer, sale, or other distribution may
be effected without registration or qualification (under any federal or state
law then in effect). Promptly upon receiving such written notice and reasonably
satisfactory opinion, if so requested, the Company shall notify such Holder that
such Holder may sell or otherwise dispose of this Note or such securities, all
in accordance with the terms of the notice delivered to the Company. If a
determination has been made pursuant to this Section 10 that the opinion
of counsel for the Holder is not reasonably satisfactory to the Company, the
Company shall so notify the Holder promptly after such determination has been
made. Each Note thus transferred and each certificate representing the
securities thus transferred shall bear a legend as to the applicable
restrictions on transferability in order to ensure compliance with the
Securities Act, unless in the opinion of counsel for the Company such legend is
not required. The Company may issue stop transfer instructions to its transfer
agent in connection with such restrictions.

     11. Treatment of Note. To
the extent permitted by generally accepted accounting principles, the Company
will treat, account, and report the Note as debt and not equity for accounting
purposes and with respect to any returns filed with federal, state, or local tax
authorities.

     12. Notices. Any notice,
request, or other communication required or permitted hereunder shall be in
writing and shall be deemed to have been duly given on the date of service if
personally served on the party to whom such notice is to be given, on the date
of transmittal of service via telecopy to the party to whom notice is to be
given (with a confirming copy delivered within 24 hours thereafter), or on the
third day after mailing if mailed to the party to whom notice is to be given, by
first class mail, registered or certified mail, postage prepaid, or via a
recognized overnight courier providing a receipt for delivery and properly
addressed at the respective addresses of the parties as set forth herein. Any
party hereto may by notice so given change its address for future notice
hereunder.

     13. No Stockholder Rights.
Nothing contained in this Note shall be construed as conferring upon the Holder
or any other person the right to vote or to consent or to receive notice as a
stockholder in respect of meetings of stockholders for the election of directors
of the Company or any other matters or any rights whatsoever as a stockholder of
the Company; and no dividends or interest shall be payable or accrued in respect of shares of capital stock
obtainable hereunder until, and only to the extent that, this Note shall have
been converted.

-5-

     14. Governing Law. This
Note, the entire relationship of the parties hereto, and any litigation between
the parties (whether grounded in contract, tort, statute, law or equity) shall
be interpreted, construed, and enforced in accordance with the laws of the state
of Arizona, without regard to its choice of law principles.

     15. Heading; References.
All headings used herein are used for convenience only and shall not be used to
construe or interpret this Note. Except where otherwise indicated, all
references herein to Sections refer to Sections hereof.

[REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK]

-6-

     IN WITNESS WHEREOF, the Company
has caused this Note to be issued as of the day and year first above
written.

	 	ECHO AUTOMOTIVE,
      INC. 
	 	 	  
	 	 	  
	 	By: 	
	 	 	Dan Kennedy, Chief Executive Officer
  

	Name of Holder: 	United Fleet Financing LLC 
	  	  
	Address: 	c/o Kevin Easler 
	  	19936 N. 101st Place 
	  	Scottsdale, AZ 85255 

-7-

EXHIBIT A

NOTICE OF CONVERSION

(To Be Signed Only Upon Conversion of Note)

     The undersigned, the holder of
the foregoing Note, hereby surrenders such Note for conversion into shares of
Common Stock of Echo Automotive, Inc. to the extent of $__________ unpaid
principal amount of such Note, and requests that the certificates for such
shares be issued in the name of, and delivered to, _____________ , whose address
is ______________________

Dated:______________________

	 	(Signature must conform in all respects to
      name of 
	 	holder as specified on the face of the Note)
    
	 	  
	 	  
	 	  
	 	(Address) 

A-1

SCHEDULE 1

Payment Schedule Table

	1 	6/15/13 	$166,000.00 
	2 	7/15/13 	$166,000.00 
	3 	7/30/13 	$166,000.00 
	4 	8/1/13 	$166,000.00 
	5 	9/1/13 	$166,000.00 
	6 	10/1/13 	$166,000.00 
	7 	11/1/13 	$166,000.00 
	8 	12/1/13 	$166,000.00 
	9 	1/1/14 	$172,000.00 

Schedule 1Blue Sky Petroleum Inc. - Exhibit 10.1 - Filed by newsfilecorp.com

THIS SUBSCRIPTION AGREEMENT RELATES TO AN OFFERING OF
SECURITIES IN AN OFFSHORE TRANSACTION TO PERSONS WHO ARE NOT U.S. PERSONS (AS
DEFINED HEREIN) PURSUANT TO REGULATION S UNDER THE UNITED STATES SECURITIES ACT
OF 1933, AS AMENDED (THE “1933 ACT”). 

NONE OF THE SECURITIES TO WHICH THIS SUBSCRIPTION AGREEMENT
(THE “SUBSCRIPTION AGREEMENT”) RELATES HAVE BEEN REGISTERED UNDER THE UNITED
STATES SECURITIES ACT OF 1933 (THE “1933 ACT”), OR ANY U.S. STATE SECURITIES
LAWS, AND, UNLESS SO REGISTERED, NONE MAY BE OFFERED OR SOLD, DIRECTLY OR
INDIRECTLY, IN THE UNITED STATES OR TO U.S. PERSONS (AS DEFINED HEREIN) EXCEPT
IN ACCORDANCE WITH THE PROVISIONS OF REGULATION S UNDER THE 1933 ACT, PURSUANT
TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE 1933 ACT, OR PURSUANT TO AN
AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION
REQUIREMENTS OF THE 1933 ACT AND IN EACH CASE ONLY IN ACCORDANCE WITH APPLICABLE
STATE SECURITIES LAWS. IN ADDITION, HEDGING TRANSACTIONS INVOLVING THE
SECURITIES MAY NOT BE CONDUCTED UNLESS IN COMPLIANCE WITH THE 1933 ACT. 

SUBSCRIPTION AGREEMENT – DEBT SETTLEMENT 
(Offshore
Subscribers) 

	TO: 	BLUE SKY PETROLEUM INC. (the
      “Company”) 

Purchase of Shares 

WHEREAS: 

A.                    
Patrick Laferriere (the “Subscriber”) wishes to subscribe for 286,667 common
shares in the capital stock of our Company (the “Shares”), at a deemed price of
$0.30 per Share, for an aggregate cost of $86,000 (the “Subscription
Proceeds”);

B.                    
The Company is indebted to the Subscriber in the amount of $86,000 (the
"Indebtedness”);

C.                   
 In lieu of receiving cash as payment of the Indebtedness and accrued and
unpaid interest, the Subscriber has agreed to accept the Shares as payment of
the Indebtedness and accrued and unpaid interest pursuant to the terms and
conditions set forth in this Agreement; and 

D.                   
 In lieu of receiving cash in payment of the Subscription Proceeds, the
Company is willing to apply the Indebtedness in payment of the Subscription
Proceeds. 

NOW THEREFORE THIS AGREEMENT witnesses that, for good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, the parties hereto agree as follows: 

1.                    
Subscription 

1.1                  
On the basis of the representations and warranties and subject to the terms and
conditions set forth herein and, as applicable, in the Canadian Questionnaire
attached hereto incorporated herein as Appendix I, the Subscriber hereby
irrevocably subscribes for and agrees to purchase 286,667 shares (collectively,
the “Shares” or the “Securities”) of the Company’s common stock
(the “Common Stock”), par value US$0.001 at a purchase price per Share of
US$0.30 (the subscription and agreement to purchase being the
“Subscription”), for an aggregate purchase price of US$86,000 (the
“Subscription Proceeds”). 

- 2 - 

1.2                  
On the basis of the representations and warranties and subject to the terms and
conditions set forth herein, the Company hereby irrevocably agrees to sell the
Shares to the Subscriber. 

1.3                  
Subject to the terms hereof, the Subscription will be effective upon its
acceptance by the Company. 

2.                    
Payment 

2.1                  
The Company acknowledges that: 

	 	(a) 	
      the balance currently due from the Company to the
      Subscriber pursuant to the Indebtedness is an aggregate amount of $86,000
      (the “Indebtedness”); and

	 	 	 
	 	(b) 	
      the Company and the Subscriber agree to apply the entire
      amount of the Indebtedness and any accrued and unpaid interest in payment
      of the Subscription Proceeds and, upon delivery of a signed copy of this
      Subscription Agreement to the Subscriber together with a certificate
      evidencing the Shares registered as provided in this Subscription
      Agreement (the “Share Certificate”), the Indebtedness shall be
      fully paid (and the date of repayment shall be the date that the Share
      Certificate is issued).

3.                    
Release 

3.1                  
The Subscriber hereby agrees that upon delivery of the Shares by the Company in
accordance with the provisions of this Agreement, the Indebtedness and any
accrued and unpaid interest will be fully satisfied and extinguished, and the
Subscriber will remise, release and forever discharge the Company and its
respective directors, officers, employees, successors, solicitors, agents and
assigns from any and all obligations relating to the Indebtedness and any
accrued and unpaid interest. 

4.                    
Documents Required from Subscriber 

4.1                  
The Subscriber must complete, sign and return to the Company prior to the
Closing Date one executed copy of this Subscription Agreement. 

4.2                  
The Subscriber shall complete, sign and return to the Company without undue
delay, on request by the Company, any additional documents, questionnaires,
notices and undertakings as may be required by regulatory authorities, the OTC
Bulletin Board and applicable law. 

5.                   
 Closing 

5.1                  
The sale of the Shares shall be completed (the “Closing”) at such date as
the parties may agree upon (the “Closing Date”). 

6.                    
Acknowledgements of Subscriber 

6.1                  
The Subscriber acknowledges and agrees that: 

	 	(a) 	
      none of the Securities have been or will be registered
      under the 1933 Act, or under any state securities or “blue sky” laws of
      any state of the United States, and, unless so registered, may not be
      offered or sold in the United States or, directly or indirectly, to U.S.
      Persons, as that term is defined in Regulation S under the 1933 Act
      (“Regulation S”), except in accordance with the provisions of
      Regulation S, pursuant to an effective registration statement under the
      1933 Act, or pursuant to an exemption from, or in a transaction not
      subject to, the registration requirements of the 1933 Act and in each case
      only in accordance with applicable state securities
laws;

- 3 - 

	 	(b) 	
      the Company has not undertaken, and will have no
      obligation, to register any of the Securities under the 1933 Act or any
      other securities legislation;

	 	 	 	 
	 	(c) 	
      the decision to execute this Subscription Agreement and
      purchase the Shares agreed to be purchased hereunder has not been based
      upon any oral or written representation as to fact or otherwise made by or
      on behalf of the Company and such decision is based entirely upon a review
      of this Subscription Agreement and any public information which has been
      filed by the Company with the Securities and Exchange Commission
      (“SEC”) in compliance, or intended compliance, with applicable
      securities legislation;

	 	 	 	 
	 	(d) 	
      the Subscriber has been advised to consult the
      Subscriber’s own legal, tax and other advisors with respect to the merits
      and risks of an investment in the Securities and with respect to
      applicable resale restrictions, and it is solely responsible (and the
      Company is not in any way responsible) for compliance with:

	 	 	 	 
	 		(i) 	
      any applicable laws of the jurisdiction in which the
      Subscriber is resident in connection with the distribution of the
      Securities hereunder, and

	 	 	 	 
	 		(ii) 	
      applicable resale restrictions;

	 	 	 	 
	 	(e) 	
      none of the Securities are listed on any stock exchange
      or automated dealer quotation system and no representation has been made
      to the Subscriber that any of the Securities will become listed on any
      stock exchange or automated dealer quotation system, except that currently
      certain market makers make market in the common shares of the Company on
      the OTC Bulletin Board operated by the Financial Industry Regulatory
      Authority (“FINRA”);

	 	 	 	 
	 	(f) 	
      none of the Securities may be offered or sold by the
      Subscriber to a U.S. Person (as defined in Section 7.2, below, or for the
      account or benefit of a U.S. Person (other than a distributor) prior to
      the end of the Distribution Compliance Period (as defined
  herein);

	 	 	 	 
	 	(g) 	
      neither the SEC nor any other securities commission or
      similar regulatory authority has reviewed or passed on the merits of the
      Securities;

	 	 	 	 
	 	(h) 	
      no documents in connection with the sale of the Shares
      hereunder have been reviewed by the SEC or any state securities
      administrators;

	 	 	 	 
	 	(i) 	
      the Subscriber is purchasing the Securities pursuant to
      an exemption from the registration and the prospectus requirements of
      applicable securities legislation on the basis that the Subscriber is not
      a resident of United States and, as a consequence:

	 	 	 	 
	 		(i) 	
      is restricted from using most of the civil remedies
      available under U.S. securities legislation,

	 	 	 	 
	 		(ii) 	
      may not receive information that would otherwise be
      required to be provided under U.S. securities legislation, and

	 	 	 	 
	 		(iii) 	
      the Company is relieved from certain obligations that
      would otherwise apply under U.S. securities legislation;

	 	 	 	 
	 	(j) 	
      the statutory and regulatory basis for the exemption
      claimed for the offer and sale of the Securities, although in technical
      compliance with Regulation S, would not be available if the offering is
      part of a plan or scheme to evade the registration provisions of the 1933
      Act; and

	 	 	 	 
	 	(k) 	
      this Subscription Agreement is not enforceable by the
      Subscriber unless it has been accepted by the
Company.

- 4 - 

7.                    
Representations, Warranties and Covenants of the Subscriber

7.1                  
The Subscriber hereby represents and warrants to and covenants with the Company
(which representations, warranties and covenants shall survive the Closing)
that: 

	 	(a) 	
      the Subscriber is not a U.S. Person;

	 	 	 
	 	(b) 	
      the Subscriber is not acquiring the Securities for the
      account or benefit of, directly or indirectly, any U.S. Person;

	 	 	 
	 	(c) 	
      the Subscriber is resident in the jurisdiction set out
      under the heading “Name and Address of Subscriber” on the signature page
      of this Subscription Agreement and the sale of the Securities to the
      Subscriber as contemplated in this Subscription Agreement complies with or
      is exempt from the applicable securities legislation of the jurisdiction
      of residence of the Subscriber;

	 	 	 
	 	(d) 	
      the Subscriber has the legal capacity and competence to
      enter into and execute this Subscription Agreement and to take all actions
      required pursuant hereto and, if the Subscriber is a corporation, it is
      duly incorporated and validly subsisting under the laws of its
      jurisdiction of incorporation and all necessary approvals by its
      directors, shareholders and others have been obtained to authorize
      execution and performance of this Subscription Agreement on behalf of the
      Subscriber;

	 	 	 
	 	(e) 	
      if the Subscriber is a corporation or other entity, the
      entering into of this Subscription Agreement and the transactions
      contemplated hereby do not and will not result in the violation of any of
      the terms and provisions of any law applicable to, or the constating
      documents of, the Subscriber or of any agreement, written or oral, to
      which the Subscriber may be a party or by which the Subscriber is or may
      be bound;

	 	 	 
	 	(f) 	
      the Subscriber is acquiring the Securities as principal
      for its own account for investment purposes only and not for the account
      of any other person and not for distribution, assignment or resale to
      others, and no other person has a direct or indirect beneficial interest
      in such Securities, and it has not subdivided its interest in the
      Securities with any other person;

	 	 	 
	 	(g) 	
      the Subscriber is outside the United States when
      receiving and executing this Subscription Agreement and is acquiring the
      Securities as principal for the Subscriber’s own account for investment
      purposes only, and not with a view to, or for, resale, distribution or
      fractionalisation thereof, in whole or in part, and no other person has a
      direct or indirect beneficial interest in the Securities;

	 	 	 
	 	(h) 	
      the Subscriber is aware that an investment in the Company
      is speculative and involves certain risks, including the possible loss of
      the entire investment and it has carefully read and considered the matters
      set forth under the heading “Risk Factors” appearing in the Company’s
      Forms 10-K, 10-Q, 8-K and any other filings filed with the SEC;

	 	 	 
	 	(i) 	
      the Subscriber (i) has adequate net worth and means of
      providing for its current financial needs and possible personal
      contingencies, (ii) has no need for liquidity in this investment, and
      (iii) is able to bear the economic risks of an investment in the
      Securities for an indefinite period of time;

	 	 	 
	 	(j) 	
      the Subscriber is not an underwriter of, or dealer in,
      the common shares of the Company, nor is the Subscriber participating,
      pursuant to a contractual agreement or otherwise, in the distribution of
      any of the Securities;

	 	 	 
	 	(k) 	
      the Subscriber understands and agrees that none of the
      Securities have been or will be registered under the 1933 Act or under any
      state securities or “blue sky” laws of any state of the United States and,
      unless so registered, may not be offered or sold in the United States or
      directly or indirectly to U.S. Persons, except in accordance with the
      provisions of Regulation S (“Regulation “S” promulgated under the 1933 Act, pursuant to an
      effective registration statement under the 1933 Act, or pursuant to an
      exemption from, or in a transaction not subject to, the registration
      requirements of the 1933 Act and in each case only in accordance with
applicable state securities laws;

- 5 - 

	 	(l) 	
      the Subscriber understands and agrees that offers and
      sales of any of the Securities prior to the expiration of a restricted
      period after the date of original issuance of the Securities (such period
      hereinafter referred to as the “Distribution Compliance Period”)
      shall only be made in compliance with the safe harbor provisions set forth
      in Regulation S, pursuant to the registration provisions of the 1933 Act
      or an exemption therefrom, and that all offers and sales after the
      Distribution Compliance Period shall be made only in compliance with the
      registration provisions of the 1933 Act or an exemption therefrom and in
      each case only in accordance with applicable state securities
  laws;

	 	 	 	 
	 	(m) 	
      the Subscriber has not acquired the Securities as a
      result of, and it covenants that it will not itself engage in, any
      “directed selling efforts” (as defined in Regulation S) in the United
      States in respect of any of the Securities which would include any
      activities undertaken for the purpose of, or that could reasonably be
      expected to have the effect of, conditioning the market in the United
      States for the resale of any of the Securities; provided, however, that
      the Subscriber may sell or otherwise dispose of any of the Securities
      pursuant to registration of any of the Securities pursuant to the 1933 Act
      and any applicable state securities laws or under an exemption from such
      registration requirements and as otherwise provided herein;

	 	 	 	 
	 	(n) 	
      the Subscriber agrees not to engage in any hedging
      transactions involving any of the Securities unless such transactions are
      in compliance with the provisions of the 1933 Act and in each case only in
      accordance with applicable state securities laws;

	 	 	 	 
	 	(o) 	
      the Subscriber will indemnify the Company against, and
      will hold the Company and, where applicable, its respective directors,
      officers, employees, agents, advisors and shareholders harmless from, any
      and all loss, liability, claim, damage and expense whatsoever (including,
      but not limited to, any and all fees, costs and expenses whatsoever
      reasonably incurred in investigating, preparing or defending against any
      claim, lawsuit, administrative proceeding or investigation whether
      commenced or threatened) arising out of or based upon any representation
      or warranty of the Subscriber contained herein or in any document
      furnished by the Subscriber to the Company in connection herewith being
      untrue in any material respect or any breach or failure by the Subscriber
      to comply with any covenant or agreement made by the Subscriber to the
      Company in connection therewith;

	 	 	 	 
	 	(p) 	
      the Subscriber is not aware of any advertisement of any
      of the Securities and is not acquiring the Securities as a result of any
      form of general solicitation or general advertising including
      advertisements, articles, notices or other communications published in any
      newspaper, magazine or similar media or broadcast over radio or
      television, or any seminar or meeting whose attendees have been invited by
      general solicitation or general advertising; and

	 	 	 	 
	 	(q) 	
      no person has made to the Subscriber any written or oral
      representations:

	 	 	 	 
	 		(i) 	
      that any person will resell or repurchase any of the
      Securities,

	 	 	 	 
	 		(ii) 	
      that any person will refund the purchase price of any of
      the Securities,

	 	 	 	 
	 		(iii) 	
      as to the future price or value of any of the Securities,
      or

	 	 	 	 
	 		(iv) 	
      that any of the Securities will be listed and posted for
      trading on any stock exchange or automated dealer quotation system or that
      application has been made to list and post any of the Securities of the
      Company on any stock exchange or automated dealer
  quotation system, except that currently the
Company’s common shares are quoted on the over-the-counter market operated by
the Over-The-Counter Bulletin Board operated by FINRA.

- 6 - 

7.2                  
In this Subscription Agreement, the term “U.S. Person” shall have the meaning
ascribed thereto in Regulation S. 

8.                    
Representations and Warranties will be Relied Upon by the Company

8.1                  
The Subscriber acknowledges that the representations and warranties contained
herein are made by it with the intention that such representations and
warranties may be relied upon by the Company and its legal counsel in
determining the Subscriber’s eligibility to purchase the Securities under
applicable securities legislation. The Subscriber further agrees that by
accepting delivery of the certificates representing the Shares, it will be
representing and warranting that the representations and warranties contained
herein are true and correct as at the Closing Date with the same force and
effect as if they had been made by the Subscriber on the date of this
Subscription Agreement and that they will survive the purchase by the Subscriber
of the Shares and will continue in full force and effect notwithstanding any
subsequent disposition by the Subscriber thereof. 

9.                    
Resale Restrictions 

9.1                  
The Subscriber acknowledges that any resale of any of the Shares will be subject
to resale restrictions contained in the securities legislation applicable to
each Subscriber or proposed transferee. The Subscriber acknowledges that the
Securities have not been registered under the 1933 Act or the securities laws of
any state of the United States and that none of the Securities may be offered or
sold in the United States unless registered in accordance with United States
federal securities laws and all applicable state securities laws or exemptions
from such registration requirements are available. 

9.2                  
The Subscriber acknowledges that restrictions on the transfer, sale or other
subsequent disposition of the Securities by the Subscriber may be imposed by
securities laws in addition to any restrictions referred to in Section 9.1
above, and, in particular, the Subscriber acknowledges and agrees that none of
the Securities may be offered or sold to a U.S. Person or for the account or
benefit of a U.S. Person (other than a distributor) prior to the end of the
Distribution Compliance Period. 

10.                  
Acknowledgement and Waiver 

10.1                
The Subscriber has acknowledged that the decision to purchase the Securities was
solely made on the basis of information available to the Subscriber on the EDGAR
database maintained by the SEC at www.sec.gov.
The Subscriber hereby waives, to the fullest extent permitted by law,
any rights of withdrawal, rescission or compensation for damages to which the
Subscriber might be entitled in connection with the distribution of the
Securities. 

11.                  
Legending of Subject Securities 

11.1                 The
Subscriber hereby acknowledges that that upon the issuance thereof, and until
such time as the same is no longer required under the applicable securities laws
and regulations, the certificates representing any of the Securities will bear a
legend in substantially the following form: 

“THESE SECURITIES WERE ISSUED IN AN
OFFSHORE TRANSACTION TO PERSONS WHO ARE NOT U.S. PERSONS (AS DEFINED HEREIN)
PURSUANT TO REGULATION S UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS
AMENDED (THE “1933 ACT”). ACCORDINGLY, NONE OF THE SECURITIES TO WHICH THIS
CERTIFICATE RELATES HAVE BEEN REGISTERED UNDER THE 1933 ACT, OR ANY U.S. STATE
SECURITIES LAWS, AND, UNLESS SO REGISTERED, NONE MAY BE OFFERED OR SOLD IN THE
UNITED STATES OR, DIRECTLY OR INDIRECTLY, TO U.S. PERSONS (AS DEFINED HEREIN)
EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT OR PURSUANT TO AN
EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION
REQUIREMENTS OF THE 1933 ACT AND IN EACH CASE ONLY IN ACCORDANCE WITH APPLICABLE
STATE SECURITIES LAWS. IN ADDITION, HEDGING TRANSACTIONS INVOLVING THE
SECURITIES MAY NOT BE CONDUCTED UNLESS IN ACCORDANCE WITH THE 1933 ACT.” 

- 7 - 

11.2                 The
Subscriber hereby acknowledges and agrees to the Company making a notation on
its records or giving instructions to the registrar and transfer agent of the
Company in order to implement the restrictions on transfer set forth and
described in this Subscription Agreement. 

12.                  
Costs 

12.1                 The
Subscriber acknowledges and agrees that all costs and expenses incurred by the
Subscriber (including any fees and disbursements of any special counsel retained
by the Subscriber) relating to the purchase of the Shares shall be borne by the
Subscriber. 

13.                  
Governing Law 

13.1                 This
Subscription Agreement is governed by the laws of the State of Oklahoma and the
laws applicable therein. 

14.                  
Survival 

14.1                 This
Subscription Agreement, including without limitation the representations,
warranties and covenants contained herein, shall survive and continue in full
force and effect and be binding upon the parties hereto notwithstanding the
completion of the purchase of the Securities by the Subscriber pursuant hereto.

15.                  
Assignment 

15.1                 This
Subscription Agreement is not transferable or assignable. 

16.                  
Severability 

16.1                 The
invalidity or unenforceability of any particular provision of this Subscription
Agreement shall not affect or limit the validity or enforceability of the
remaining provisions of this Subscription Agreement. 

17.                  
Entire Agreement 

17.1                 Except
as expressly provided in this Subscription Agreement and in the agreements,
instruments and other documents contemplated or provided for herein, this
Subscription Agreement contains the entire agreement between the parties with
respect to the sale of the Securities and there are no other terms, conditions,
representations or warranties, whether expressed, implied, oral or written, by
statute or common law, by the Company or by anyone else. 

18.                  
Notices 

18.1                 All
notices and other communications hereunder shall be in writing and shall be
deemed to have been duly given if mailed or transmitted by any standard form of
telecommunication.

19.                  
Counterparts and Electronic Means 

19.1                 This
Subscription Agreement may be executed in any number of counterparts, each of
which, when so executed and delivered, shall constitute an original and all of
which together shall constitute one instrument. Delivery of an executed copy of
this Subscription Agreement by electronic facsimile transmission or other means
of electronic communication capable of producing a printed copy will be deemed
to be execution and delivery of this Subscription Agreement as of the date
hereinafter set forth. 

- 8 - 

20.                  
Delivery Instructions 

20.1                 The
Subscriber hereby directs the Company to deliver the Share Certificate issued
pursuant to this Subscription Agreement to: 

20.2                
The Subscriber hereby directs the Company to cause the Share Certificate issued
pursuant to this Subscription Agreement to be registered on the books of the
Company as follows: 

20.3                 The
undersigned hereby acknowledges that it will deliver to the Company all such
additional completed forms in respect of the Subscriber’s purchase of the
Securities as may be required for filing with the appropriate securities
commissions and regulatory authorities. 

IN WITNESS WHEREOF the Subscriber has duly executed this
Subscription Agreement as of the date of acceptance by the Company. 

 

	 	 
	 	PATRICK LAFERRIERE 
	 	823 Ontario St. 
	 	Sudbury, Ontario, Canada P3L 4L1

- 9 - 

A C C E P T A N C E 

The above-mentioned Subscription Agreement in respect of the
Shares is hereby accepted by Blue Sky Petroleum Inc. 

DATED at as of the day of _______________, 2013. 

BLUE SKY PETROLEUM INC. 

 

 

	Per: 	 	 
	 	Authorized Signatory

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