Document:

JOINT VENTURE AGREEMENT

                                     AMONG:

                              TRIPLE 7 ENERGY INC.,

                       WEST PEAK VENTURES OF CANADA LTD.,

                               DR. MICHAEL RANGER

                   (collectively the "TRIPLE 7 JOINT VENTURE")

                                     - and -

                   TOWNSHIP PETROLEUM CORPORATION ("Township")

                    CANWEST PETROLEUM CORPORATION ("CanWest")

                            Dated as of June 1, 2005

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                               TABLE OF CONTENTS
                                                                          Page
ARTICLE 1             INTERPRETATION........................................1

         1.1      Definitions...............................................1

         1.2      Schedules.................................................5

         1.3      Headings..................................................5

         1.4      Currency..................................................5

ARTICLE 2             FORMATION OF THE JOINT VENTURE........................5

         2.1      Formation.................................................5

         2.2      Maintenance of Documents of Title.........................6

         2.3      Representations and Warranties............................6

ARTICLE 3             PURPOSE OF THE JOINT VENTURE..........................7

         3.1      Purpose of Joint Venture..................................7

ARTICLE 4             BIDDING ON POSTED LANDS...............................8

         4.1      Inclusion in Alberta Crown Sale...........................8

         4.2      Bid Recommendation........................................8

         4.3      Bid Determination.........................................8

         4.4      Engagement of Pioneer.....................................8

         4.5      Payment of Crown Rental and Pioneer Fees..................8

         4.6      Return of Unused Initial Funding..........................8

         4.7      Land held in Trust........................................8

ARTICLE 5             OWNERSHIP OF ACQUIRED LANDS...........................9

         5.1      Ownership.................................................9

         5.2      Issuance of Shares........................................9

         5.3      Ongoing Fees..............................................9

         5.4      Registration and Piggy Back Rights........................9

         5.5      Anniversary Date Payments.................................9

         5.6      Allocation of Payments...................................10

         5.7      Annual Reports...........................................10

         5.8      Access to Data...........................................10

ARTICLE 6             GRANT OF ROYALTY.....................................10

         6.1      Grant of Royalty.........................................10

ARTICLE 7             COMMERCIAL PROJECT...................................11

         7.1      Independent Engineering Study............................11

         7.2      Commercial Projects......................................11

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                               TABLE OF CONTENTS
                                  (continued)
                                                                          Page
         7.3      Commercial Payments......................................11

         7.4      Equal Payments...........................................11

ARTICLE 8             AREA OF EXCLUSION....................................11

         8.1      Acquisition..............................................11

         8.2      Acquisition Notice.......................................12

         8.3      Surrender of Area of Exclusion Lands.....................12

ARTICLE 9             FORCE MAJEURE........................................12

         9.1      Effect of Force Majeure..................................12

ARTICLE 10            DISPUTE RESOLUTION...................................13

         10.1     Definitions..............................................13

         10.2     Disputes Initially Referred To Mediation.................13

         10.3     Arbitration Proceedings..................................13

         10.4     Rules....................................................13

         10.5     Location of and Representation at Mediation and
                  Arbitration..............................................14

         10.6     Interim Relief...........................................14

ARTICLE 11            DISPOSITION OF INTERESTS.............................14

         11.1     No Transfers.............................................14

         11.2     Recognition Upon Assignment..............................14

         11.3     Effect of Assignment.....................................14

ARTICLE 12            TERM.................................................15

         12.1     Term.....................................................15

ARTICLE 13            CONFIDENTIALITY......................................15

         13.1     Confidential Information.................................15

         13.2     Public Disclosure........................................16

         13.3     Press Releases...........................................16

         13.4     Other Agreements.........................................17

ARTICLE 14            DEFAULT AND REMEDIES.................................17

         14.1     Default..................................................17

         14.2     Remedies.................................................17

                                      -ii-

<PAGE>
                               TABLE OF CONTENTS
                                  (continued)

                                                                          Page
ARTICLE 15            GENERAL PROVISIONS...................................18

         15.1     Notices..................................................18

         15.2     Entire Agreement.........................................19

         15.3     Waiver...................................................19

         15.4     Severability.............................................19

         15.5     Governing Law............................................19

         15.6     No Partnership...........................................19

         15.7     Further Assurances.......................................20

         15.8     Successors and Assigns...................................20

Schedule "A" -       Royalty Procedure

                                     -iii-
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                             JOINT VENTURE AGREEMENT

      THIS JOINT VENTURE AGREEMENT entered into as of the 1st day of June, 2005.

AMONG:

            TRIPLE 7 ENERGY INC. ("Triple 7"), WEST PEAK VENTURES OF CANADA LTD.
            ("West Peak"), and DR. MICHAEL RANGER ("Ranger") (collectively the
            "Triple 7 Joint Venture")

                                                               OF THE FIRST PART

                                     - and -

            TOWNSHIP PETROLEUM CORPORATION, a corporation, organized under the
            laws of the Province of Alberta (hereinafter referred to as
            "Township"), and

            CANWEST PETROLEUM CORPORATION ("CanWest"), a corporation organized
            under the laws of the State of Colorado,

                                                              OF THE SECOND PART

      WHEREAS the Triple 7 Joint Venture, Township and CanWest wish to enter
into a joint venture to, among other things, acquire, develop and produce oil
sands deposits located in the Athabasca Oil Sands region of Alberta.

      NOW, THEREFORE, THIS AGREEMENT WITNESSETH THAT in consideration of the
premises and of the mutual covenants and agreements hereinafter set forth, the
Parties hereto covenant and agree as follows:

                                    ARTICLE 1
                                 INTERPRETATION

1.1 Definitions

In this Agreement, the expressions following shall have the following meanings:

      "Acceptance Period" has the meaning ascribed to that term in Article 10
      hereof.

      "Acquired Lands" means those parcels of Posted Lands purchased by Township
      at the Alberta Crown Sale, any Area of Exclusion Lands or any other Oil
      Sands Interests which Township acquires pursuant to the terms of this
      Agreement.

      "Agreement", "this Agreement", "herein", "hereof", "hereunder" mean or
      refer to this Agreement and any amendments thereto.

<PAGE>

      "Alberta Crown Sale" means the August 24, 2005 Alberta Crown sale of
      petroleum and natural gas rights at which the Posted Lands are to be
      included.

      "Anniversary Date" means August 31, 2006 and each August 31 thereafter
      until the termination or expiration of this Agreement.

      "Area of Exclusion Lands" has the meaning ascribed that term in Article 8
      hereof.

      "Business Day" means any day other than a Saturday, Sunday or statutory
      holiday in the Province of Alberta.

      "Commercial Payment" means a payment which Township shall pay to the
      Triple 7 Joint Venture at the time which it elects to commence
      construction of a commercial project on a parcel of the Acquired lands,
      which payment shall be $6,000,000 CDN.

      "Crude Bitumen" means a naturally occurring viscous mixture, mainly of
      hydrocarbons heavier than pentane, that may contain sulphur compounds and
      that, in its naturally occurring viscous state, will not flow to a well;

      "Day" means a period commencing at 8:00 a.m. on any calendar day and
      ending at 8:00 a.m. on the immediately next succeeding calendar day or
      such other time as may be set by the Management Committee.

      "Defaulting Party" has the meaning ascribed to that term in Article 14.

      "Documents of Title" means the documents by virtue of which Township is
      entitled to drill for, win, take or remove Oil Sands Products and all
      renewals or extensions thereof or further documents of title issued
      pursuant thereto.

      "Effective Date" means the date of execution of this Agreement.

      "Event of Default" has the meaning ascribed to that term in Article 14.

      "Event of Insolvency" means, with respect to a Party:

            (a)   a court having jurisdiction has entered a decree or order
                  adjudging that Party bankrupt or insolvent under applicable
                  bankruptcy or insolvency laws;

            (b)   bankruptcy, insolvency or receivership proceedings shall have
                  been instituted against that Party with its consent, or
                  without its consent and such proceedings have not been
                  discharged within thirty (30) Days;

            (c)   that Party shall apply for or consent to the appointment of a
                  receiver, a trustee in bankruptcy or a liquidator, of itself
                  or of all or a substantial part of its assets;

                                      -2-
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            (d)   proceedings under the Companies Creditors Arrangement Act
                  (Canada) or any equivalent legislation, or under any analogous
                  statute of any other jurisdiction to which that Party is
                  subject, are commenced in respect of that Party and not
                  discharged within ninety (90) Days; or

            (e)   that Party makes a proposal to its creditors under the
                  Bankruptcy and Insolvency Act (Canada) or any equivalent
                  legislation, or under any analogous statute of any other
                  jurisdiction to which that Party is subject.

      "Force Majeure" means any event or occurrence which is beyond the
      reasonable control of the Party affected thereby, provided such event or
      occurrence is not due to the affected Party's sole negligence, and may
      include but is not limited to:

            (a)   floods, earthquakes, storms, lightning, fires, epidemics,
                  wars, explosions, riots, acts of public enemy, acts of civil
                  or military authority, civil disturbances, disobedience,
                  blockades, strikes, lockouts, or other similar events;

            (b)   accidents, vandalism, sabotage, ruptures, and breakage of or
                  damage to any facilities, machinery or equipment; and

            (c)   inability to obtain or the curtailment of supplies of any
                  materials or equipment, shortage of labour and government
                  restraint, action, delay or inaction, material changes to or
                  application of the Regulations or other lawful requirements of
                  governmental bodies or agencies.

            provided that lack of finances will not be considered an event or
            occurrence outside of a Party's control.

      "Initial Funding" means an amount estimated to be $4,000,000 USD, which
      shall be used for the acquisition of the Acquired Lands, the payment of
      the first year's rentals for the Acquired Lands and the fees charged by
      Pioneer to acquire the Acquired Lands.

      "Lenders" means any Person or Persons providing debt financing or debt
      refinancing to a Party in connection with this joint venture.

      "Offer Notice" has the meaning ascribed to that term in Article 10 hereof.

      "Offer Purchase Notice" has the meaning ascribed to that term in Article
      10 hereof.

      "Offered Rights" has the meaning ascribed to that term in Article 10
      hereof.

      "Offeror" has the meaning ascribed to that term in Article 10 hereof.

      "Oil Sands" means

            (a)   sands and other rock materials containing Crude Bitumen,

                                      -3-
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            (b)   the Crude Bitumen contained in those sands and other rock
                  materials, and

            (c)   any other mineral substances, other than natural gas, in
                  association with that Crude Bitumen or those sands and other
                  rock materials;

      "Oil Sands Interests" means the rights, however derived, to explore for,
      drill for, win, take, remove or share in Crude Bitumen and includes a
      working interest, royalty interest or other arrangement of whatever kind.

      "Oil Sands Products" means any products obtained by (i) processing Oil
      Sands, or producing from Oils Sands; Crude Bitumen or derivatives of Crude
      Bitumen, or (ii) by reprocessing a product referred to in subsection (i),
      and includes any products obtained by any subsequent reprocessing of the
      products;

      "Parcel Maintenance Payment" means the payment to be made by Township to
      the Triple 7 Joint Venture on the 3rd, 4th and 5th Anniversary Dates as
      more particularly set forth in Section 5.5 hereof.

      "Parties" means all those Persons who become parties to this Agreement
      which initially are the Triple 7 Joint Venture, Township and CanWest, and
      "Party" means any one of them.

      "Person" means any individual, corporation, partnership, joint venture,
      trust, government or governmental body or other incorporated or
      unincorporated entity.

      "Pioneer" means Pioneer Land Services Ltd., carrying on business under the
      firm name and style of Pioneer Land & Environmental Services.

      "Pioneer Agreement" means the agreement between Pioneer and Township dated
      [Note to Draft: Insert date]

      "Positive Feasibility Study" means an independent engineering report which
      has been generated at the direction of Township and which determines that
      the construction of a commercial project for production of Crude Bitumen,
      whether in situ or mining, from one or more of the Acquired Lands is
      economic.

      "Posted Lands" means the parcels of oil sands rights which the Triple 7
      Joint Venture, and Township have agreed to post for sale.

      "Prime Rate" means the prime rate for Canadian dollar commercial loans
      made by the Royal Bank of Canada as that rate is in effect at the time of
      determination and as that rate may be adjusted from time to time
      thereafter.

      "Proposed Disposition" has the meaning ascribed to that term in Article 10
      hereof.

      "Regulations" means all statutes, laws, rules, orders, directions and
      regulations in effect from time to time and made by governments or
      governmental boards or agencies having jurisdiction over the operations
      conducted pursuant to this Agreement.

                                      -4-
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      "Royalty" means the non-convertible royalty granted by Township to the
      Royalty Owners pursuant to this Agreement and calculated on Oil Sands
      Products produced from the Royalty Lands, and paid in accordance with the
      provisions of the Royalty Procedure.

      "Royalty Lands" means the Acquired Lands, which become subject to this
      Agreement.

      "Royalty Owner(s)" means each of Triple 7, West Peak, and Ranger.

      "Royalty Procedure" means the procedure attached hereto as Schedule "A"
      which sets forth the terms and conditions of the Royalty.

1.2 Schedules

The following schedule is attached hereto and made a part hereof:

      Schedule "A" - Royalty Procedure

            Appendix "A" - Royalty Lands

            Appendix "B" - Assignment Procedure

1.3 Headings

The headings used throughout this Agreement are solely for the convenience of
the Parties and are not to be used as an aid in the interpretation of this
Agreement. "Section", "Article" or "Schedule" followed by a number or a letter
means or refers to the specified section, article or schedules to this
Agreement. This Agreement is to be read with all changes of gender or number
required by the context.

1.4 Currency

Unless other wise indicated, all references to dollar amounts contained in this
Agreement shall be in Canadian funds.

                                    ARTICLE 2
                         FORMATION OF THE JOINT VENTURE

2.1 Formation

Triple 7, West Peak, Ranger and Township hereby form the joint venture in
accordance with the laws of the Province of Alberta for the purposes set forth
in Section 3.1.

2.2 Maintenance of Documents of Title

Except as otherwise provided herein Township shall comply with, or cause to be
complied with, all terms and conditions of the Documents of Title including the
payment of rentals, and the performances of all things necessary to maintain the
Documents of Title in good standing and in full force and effect.

                                      -5-
<PAGE>

2.3 Representations and Warranties

Triple 7 Energy Inc. represents, warrants, covenants and agrees with Township
that it:

      (a)   is a corporation incorporated under the laws of the Province of
            Alberta and is validly subsisting under the laws of the Province of
            Alberta;

      (b)   is not a "non-resident" of Canada for the purposes of the Tax Act;
            [Note to Draft: Confirm with Brent Walter] and

      (c)   has the capacity and corporate authority to enter into this
            Agreement and to perform its obligations under this Agreement, and
            such obligations do not conflict with nor do they result in a breach
            of any of its constating documents, by-laws or any agreement by
            which it is bound.

West Peak Ventures represents, warrants, covenants and agrees with Township that
it:

      (a)   is a corporation incorporated under the laws of Canada and is
            validly subsisting under the laws of Canada, and is
            extra-provincially registered in Alberta;

      (b)   is not a "non-resident" of Canada for the purposes of the Tax Act;
            and

      (c)   has the capacity and corporate authority to enter into this
            Agreement and to perform its obligations under this Agreement, and
            such obligations do not conflict with nor do they result in a breach
            of any of its constating documents, by-laws or any agreement by
            which it is bound.

Dr. Ranger represents, warrants, covenants and agrees with Township that he is:

      (a)   acting in his personal capacity;

      (b)   has sought and obtained independent legal advice concerning this
            Agreement, and his obligations and rights hereunder; and

      (c)   is not prevented from entering into this Agreement by any previous
            or current agreements with any other third parties by which he is
            bound.

Township represents, warrants, covenants and agrees with the Triple 7 Joint
Venture that:

      (a)   it is a corporation incorporated under the laws of the Province of
            Alberta, and is subsisting under the laws of the Province of
            Alberta;

      (b)   is not a "non-resident" of Canada for the purposes of the Tax Act;
            and

      (c)   it has the capacity and authority to enter into this Agreement and
            to perform its obligations under this Agreement and such obligations
            do not conflict with its constating documents or any agreement by
            which it is bound.

CanWest represents, warrants, covenants and agrees with the Triple 7 Joint
Venture that:

                                      -6-
<PAGE>

      (a)   it is a corporation incorporated under the laws of the State of
            Colorado, and is subsisting under the laws of the State of Colorado;
            and

      (b)   it has the capacity and authority to enter into this Agreement and
            to perform its obligations under this Agreement and such obligations
            do not conflict with its constating documents or any agreement by
            which it is bound.

                                    ARTICLE 3
                          PURPOSE OF THE JOINT VENTURE

3.1 Purpose of Joint Venture

The joint venture is formed for the following business purposes:

      (a)   identify and post for sale at the Alberta Crown Sale the Posted
            Lands;

      (b)   agree on a bid for each parcel of the Posted Lands and to submit the
            agreed upon bids at the Alberta Crown Sale;

      (c)   to have Township acquire Oil Sands Interests located within the
            Joint Venture Area which may be agreed upon or which may be required
            by the terms of this Agreement;

      (d)   to have Township own and administer Oil Sands Interests acquired
            pursuant to this Agreement, including permits, licences, leases and
            all other types of rights and interests of every nature and
            character in connection therewith and incidental thereto;

      (e)   to have Township explore and evaluate, or cause to be explored and
            evaluated, the Acquired Lands to determine the quantity and quality
            of reserves of bitumen located on Acquired Lands;

      (f)   to have Township grant the Royalty to Triple 7, West Peak and Ranger
            with respect to the Acquired Lands; and

      (g)   to engage in any of the foregoing or related operations by itself or
            in association with others.

                                    ARTICLE 4
                             BIDDING ON POSTED LANDS

4.1 Inclusion in Alberta Crown Sale

The Parties acknowledge that the Posted Lands have been included for sale at the
Alberta Crown Sale.

                                      -7-
<PAGE>

4.2 Bid Recommendation

Triple 7, West Peak, Ranger and Township shall meet on or before July 15, 2005
to review and receive the recommendation from the Triple 7 Joint Venture and
Pioneer, with respect to the amount to be bid for each parcel of Posted Lands,
provided however that the total amount to be paid for the Posted Lands,
including the acquisition cost and first year's rental payment, shall not exceed
the Initial Funding.

4.3 Bid Determination

Township shall determine, after the meeting contemplated by Clause 4.2 is held,
in its sole discretion, the bid which is to be submitted for each parcel of
Posted Lands at the Alberta Crown Sale.

4.4 Engagement of Pioneer

Township shall engage Pioneer to provide land services and advice with respect
to the bidding on the Posted Lands and shall pay or cause to be paid, to
Pioneer, by wire transfer, the Initial Funding.

4.5 Payment of Crown Rental and Pioneer Fees

The fees for the services of Pioneer in bidding for the Acquired Lands and the
Crown rental for the first year of any oil sands licenses acquired with respect
to the Acquired Lands will be paid from the Initial Funding.

4.6 Return of Unused Initial Funding

Any portion of the Initial Funding which is not used for the acquisition of the
Posted Lands, including the amounts needed for the first year's rental and
payment to Pioneer for its services, will forthwith after the results of the
Alberta Crown Sale are finalized, be forwarded by Pioneer to Township's US
Attorney Trust Account by wire transfer, for distribution to its fundors as per
the terms of the Pioneer Agreement.

4.7 Land held in Trust

The bid for the Posted Lands shall be made in the name of Pioneer and Pioneer
shall initially hold the interest acquired in trust for Township.

                                    ARTICLE 5
                           OWNERSHIP OF ACQUIRED LANDS

5.1 Ownership

Any Acquired Lands shall be owned One Hundred Percent (100%) by Township subject
to the Royalty granted to the Triple 7 Joint Venture and the payments by
Township to the Triple 7 Joint Venture as herein set forth. Within thirty (30)
days after Township acquires Acquired Lands, or surrenders Acquired Lands, it
shall prepare a revised Appendix "A" for attachment to the Royalty Procedure
which shall list the permit, license or lease which it has acquired, the term of
the permit, license or lease and the lands and petroleum substances granted by
the document and it shall attach a copy of the revised Appendix "A" to its copy
of this Agreement and it shall forward a copy of the revised Appendix "A" to
each of the other Parties for attachment by them to their copies of this
Agreement.

                                      -8-
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5.2 Issuance of Shares

Should Township acquire one or more parcels of Acquired Lands, then CanWest
agrees that it shall pay to the Triple 7 Joint Venture $150,000 which shall be
paid by the issuance of common shares of CanWest to be priced at the closing bid
price on the day of the Alberta Crown Sale. In calculating the conversion from
US$ to CDN$ of the closing price, the cheque exchange rate posted by the Bank of
Montreal for the close of business on the day of the Alberta Crown Sale shall be
used. The common shares issued pursuant to this Section shall be issued equally
to each of Triple 7, West Peak and Ranger.

5.3 Ongoing Fees

Township shall pay to the Triple 7 Joint Venture $150,000, on the first and
second Anniversary Dates of this Agreement (provided that it still owns one or
more parcels of Acquired Lands acquired at the Alberta Crown Sale) such amount
to be paid, at Township's sole election, in cash or by the issuance of common
shares of CanWest, to be priced at the closing bid price on the applicable
Anniversary Date. In calculating the conversion from US$ to CDN$ of the closing
price, the cheque exchange rate posted by the Bank of Montreal for the close of
business on the applicable Anniversary Date shall be used. If common shares are
issued pursuant to this Section 5.3 they shall be issued equally to each of
Triple 7, West Peak and Ranger.

5.4 Registration and Piggy Back Rights

The CanWest shares to be issued pursuant to Section 5.2 or 5.3 (the "Shares")
shall have piggyback registration rights pursuant to which CanWest will register
the Shares for resale, as follows: if CanWest files a resale registration
statement on Form SB-2 after [Note to Draft: August 1, 2005 - confirm date] of
the Shares, then CanWest shall include the Shares in such registration
statement, subject to customary underwriter cutbacks and receipt by CanWest of
appropriate information and representations from holders of the Shares. This
piggyback registration right shall expire once holders of the Shares are
eligible to sell the Shares pursuant to Rule 144 under the Securities Act of
1933.

5.5 Anniversary Date Payments

On the 3rd Anniversary Date, and each subsequent Anniversary Date, Township
shall pay to the Triple 7 Joint Venture a payment equal to $450,000 CDN per
parcel of Acquired Lands which were acquired by Township at the Alberta Crown
Sale and which have not been surrendered at the applicable Anniversary Date, or
for which a Commercial Notice (as hereinafter defined) has not been issued.

5.6 Allocation of Payments

All payments which are payable to the Triple 7 Joint Venture pursuant to this
Article shall be paid equally to Triple 7, West Peak and Ranger.

                                      -9-
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5.7 Annual Reports

Within thirty (30) days of each Anniversary Date Township shall provide a report
to the Triple 7 Joint Venture which shall describe all of the operations which
have been conducted on the Acquired Lands during the preceding year, including
without limitation, a description of the seismic programs which were conducted
and evaluation wells which were drilled and details of the tests undertaken in
the evaluation and the results thereof. The report will also contain a forecast
with respect to the operations which Township envisions will take place on the
Acquired Lands during the ensuing year.

5.8 Access to Data

Triple 7, West Peak and Ranger will each have the right, at its sole discretion
and cost, with reasonable notice to Township to:

      (a)   review all raw data from the operations;

      (b)   obtain hard copies of all raw data from the operations; and

      (c)   re-process any proprietary seismic data owned or licensed by
            Township.

                                    ARTICLE 6
                                GRANT OF ROYALTY

6.1 Grant of Royalty

Township hereby grants to each Royalty Owner the Royalty on the Acquired Lands.
The Royalty will be CDN$0.03, payable to each Royalty Owner and calculated on
each barrel of Crude Bitumen produced, saved and sold from the Royalty Lands,
and governed by the Royalty Procedure, or $450,000 per parcel per year which
ever is greater.

For the purposes of this Agreement, a barrel of Crude Bitumen means an amount of
Crude Bitumen that would equal 0.159 cubic metres if such Crude Bitumen measured
in the state at which it exists in the geological formation prior to the
commencement of any recovery or conversion processes.

                                    ARTICLE 7
                               COMMERCIAL PROJECT

7.1 Independent Engineering Study

Prior to commencing the construction of a project for the production of Crude
Bitumen from a parcel of Acquired Lands, Township shall cause an independent
engineering study to be conducted and a report generated.

                                      -10-
<PAGE>

7.2 Commercial Projects

If at any time after a Positive Feasibility Study is received by Township with
respect to one or more parcels of Acquired Lands, Township wishes to construct a
commercial project for the production, treating and transportation of Crude
Bitumen from one or more parcels of Acquired Lands ("Commercial Parcel"),
Township shall deliver a written notice to the Triple 7 Joint Venture
("Commercial Notice") which notice will include:

      (a)   the description of the Commercial Parcel on which the project is to
            be constructed;

      (b)   a detailed description of the proposed commercial project and the
            production to be obtained;

      (c)   a copy of the Positive Feasibility Study; and

      (d)   an estimate of the costs and the time to construct the proposed
            commercial project.

7.3 Commercial Payments

Forthwith upon commencing construction of a commercial project on the Commercial
Parcel Township shall pay to the Triple 7 Joint Venture the Commercial Payment.

7.4 Equal Payments

Any payments to be made to the Triple 7 Joint Venture pursuant to this Article
shall be made equally to Triple 7, Township and Ranger.

                                    ARTICLE 8
                                AREA OF EXCLUSION

8.1 Acquisition

If at any time before August 31, 2016 the Triple 7 Joint Venture, or any
participant of the Triple 7 Joint Venture (the "Acquiring Party") acquires Oil
Sands Interests, fifty percent (50%) or more of the surface area of which are
located within two (2) miles of the boundary of any parcel of Acquired Lands
which were acquired at the Alberta Crown Sale (the "Area of Exclusion Lands"),
then the Acquiring Party shall offer Township the opportunity to purchase the
Area of Exclusion Lands at the price the Acquiring Party paid for such lands,
pursuant to Section 8.2 hereof.

8.2 Acquisition Notice

The Acquiring Party shall provide a notice to Township ("Acquisition Notice")
providing a description of the Area of Exclusion Lands acquired, the purchase
price and any salient terms and conditions relating to the acquisition. Township
shall have twenty (20) days from the receipt of the Acquisition Notice to elect
to purchase the Area of Exclusion Lands for the consideration paid by the
Acquiring Party. If Township does not respond to the Acquisition Notice within
twenty (20) days from the receipt of the Acquisition Notice Township shall be
deemed to have elected not to purchase the Area of Exclusion Lands. If Township
purchases the Area of Exclusion Lands then the Area of Exclusion Lands will
become Acquired Lands for the purposes of the Agreement and the Royalty will
automatically apply to the Area of Exclusion Lands, provided however that the
Area of Exclusion Lands shall not be included or considered with respect to the
payments to be made by Township pursuant to Article 5.

                                      -11-
<PAGE>

8.3 Surrender of Area of Exclusion Lands

In the event that any entire parcel of Area of Exclusion Lands is surrendered,
this Article 8 shall immediately cease to apply to such surrendered parcel.

                                    ARTICLE 9
                                  FORCE MAJEURE

9.1 Effect of Force Majeure

If by reason of Force Majeure a Party to this Agreement is unable, wholly or
partially, to perform or comply with its covenants and obligations hereunder,
then the Party so affected by Force Majeure shall be relieved of its obligations
or liability and shall suffer no prejudice for failing to perform or comply
during the continuance and to the extent of the inability so caused from and
after the happening of the event of Force Majeure, provided that the Party
invoking Force Majeure gives to each other Party prompt notice, written or oral
(but if oral, promptly confirmed in writing) of such inability and reasonably
full particulars of the cause thereof. If notice is not promptly given, then the
Party suffering the Force Majeure shall only be relieved from such performance
or compliance from and after the giving of such notice. The Party invoking Force
Majeure shall use all reasonable efforts to remedy the situation and remove, so
far as possible and with reasonable dispatch, the cause of its inability to
perform or comply, provided that settlement of strikes and other labour disputes
shall be wholly within the discretion of the Party involved and such Party shall
not be required to accede to demands of its opponents in any such strike or
labour dispute. The Party invoking Force Majeure shall give prompt notice of the
cessation of the event of Force Majeure. Notwithstanding anything contained in
this Article 9 an event of Force Majeure shall not suspend any obligation for
the payment of money under this Agreement unless the Force Majeure Event is one
which prevents the Party invoking Force Majeure from making the payment. If
payments are not made when due because an event of Force Majeure has directly
effected the power of a Party to make the payments, then the Party not making
the payments shall, at such time that the Force Majeure is corrected and the
Party recommences payment, pay interest on all of the unpaid amounts from the
date that payment was due until the date paid at the Prime Rate plus two percent
(2%) per annum.

                                   ARTICLE 10
                               DISPUTE RESOLUTION

10.1 Definitions

In this Article, in addition to all terms defined in the Agreement, the
following words and phrases shall have the following meaning namely:

                                      -12-
<PAGE>

"Dispute" means any dispute or controversy amongst any of the Parties concerning
any matter arising out of the Agreement.

10.2 Disputes Initially Referred To Mediation

The Parties will attempt to resolve any Dispute through consultation and
negotiation in good faith. If those attempts fail, a Party may, by notice to the
other Parties at any time during those negotiations, request the other Parties
to attempt to resolve that Dispute through mediation, including with that notice
sufficient detail to enable the other Parties to understand the issues that
remain in dispute. The Parties will attempt to agree on the selection of a
mediator within ten (10) days of receipt of that notice, unless a Party gives
notice to the other Parties within that period that it is not prepared to
proceed with mediation respecting that Dispute. If the Parties are proceeding
with a mediation and are unable to select a mediator within that period, any
Party may deliver a written request to the Canadian Foundation for Dispute
Resolution to select, within two (2) Business Days of the receipt of that
request, a mediator qualified by education and experience to resolve that
Dispute, and the Parties agree that the person so selected will be the mediator
for the Dispute. Unless otherwise unanimously agreed, the Parties will commence
a mediation within twenty (20) days of the selection of the mediator. The
mediation will continue until the Dispute is resolved, or a Party serves notice
to the other Parties that it wishes to terminate the mediation, or the mediator
makes a written determination that the Dispute cannot be resolved through
mediation, or sixty (60) days pass after the receipt of the original notice,
whichever occurs first. All Parties which participate in or are affected by the
mediation will each bear their own costs associated with a mediation, but will
share the common costs of a mediation equally, including, without limitation,
the cost of the mediator.

10.3 Arbitration Proceedings

In the event a Dispute has not otherwise been resolved, the Dispute shall be
submitted to binding arbitration in accordance with the provisions of this
Article.

10.4 Rules

Any such arbitration and any other arbitration the Parties agree to conduct
hereunder will be conducted under the Commercial Arbitration Rules of The
Canadian Foundation for Dispute Resolution.

10.5 Location of and Representation at Mediation and Arbitration

The place for mediation and arbitration shall be Calgary, Alberta. Any Party may
have another Party, provided that other Party agrees to same in writing,
represent its interests in the Dispute resolution.

10.6 Interim Relief

All limitation periods respecting the commencement of an action will be stayed
during the period that the Parties are attempting to resolve a Dispute. A Party
may, at any time it believes is necessary to protect its interest, seek interim
or provisional relief, in the form of a temporary restraining order, preliminary
injunction or other interim equitable relief concerning a Dispute under this
Agreement, notwithstanding anything to the contrary in the Article.

                                      -13-
<PAGE>

                                   ARTICLE 11
                            DISPOSITION OF INTERESTS

11.1 No Transfers

Except as otherwise expressly provided for herein and in the Royalty Procedure,
no Party shall sell, assign, transfer, mortgage, encumber, hypothecate, pledge
or alienate in any way all or any portion of the control or ownership of its
interest in this Agreement, the Acquired Lands or the Royalty.

11.2 Recognition Upon Assignment

Other than as required and allowed one Party to another elsewhere in this
Agreement, a Party which proposes that an assignment of its interest, or a
corresponding interest in this Agreement or the Royalty Procedure, shall be
effective against the party who is not party to the assignment (in this Section
called the "Other Party") shall serve a notice of the assignment to the Other
Party. The assignment shall not be effective until the assignor and the assignee
have entered into an agreement with the Other Party, to ensure the assumption of
and compliance with the obligations of the assignor by the assignee with respect
to the interest assigned to the assignee, provided that the Other Party shall be
deemed to have executed that agreement unless, within ninety (90) days of the
receipt of that agreement, the Other Party has advised the assignor and
assignee, by notice, that they are not prepared to execute that agreement and
the reasonable objections they have to that agreement.

The assignor shall forthwith give notice to the Parties respecting the status of
that agreement upon the earliest of execution of that agreement by the Other
Party, the receipt of notices of the Other Party that they are not prepared to
execute that agreement or the expiry of such ninety (90) day period, as the case
may be.

11.3 Effect of Assignment

      (a)   Subject to subsection (b), if an assignment is effected in the
            manner prescribed in this Article, the assignment shall be effective
            against the Other Party at the time specified in the agreement
            provided to the Other Party.

      (b)   Until the agreement provided to the Other Party has been executed,
            or deemed to have been executed by the Other Party, the assignor
            shall continue to remain liable to the Other Party for performance
            of the obligations applicable to the assigned interest under the
            Agreement. The Other Party may also rely on the assignor as being
            trustee for and authorized agent of the assignee in all matters
            relating to the assigned interest during such period.

      (c)   This Section shall in no event operate to affect or impede an
            assignment described in the Royalty Procedure.

                                      -14-
<PAGE>

                                   ARTICLE 12
                                      TERM

12.1 Term

This Agreement shall remain in full force and effect from the Effective Date and
so long as an interest is held by the Parties, or their assigns, in any Acquired
Lands pursuant to this Agreement, and so long thereafter as may be necessary to
complete final settlement of accounts among the Triple 7 Joint Venture and
Township, provided that those provisions related to audit, liability, indemnity,
disposal and salvage of material and enforcement of default shall survive for
six (6) years thereafter or such later time as may be prescribed by the
Regulations.

                                   ARTICLE 13
                                 CONFIDENTIALITY

13.1 Confidential Information

The Parties will maintain, as confidential, the terms of this Agreement and
related agreements and all data and information relating to the subject matter
hereof whether obtained before or after the date hereof (collectively
"Confidential Information"), except that such confidentiality obligation shall
not apply:

      (a)   to such Confidential Information that is in the public domain by
            reason other than the breach of this Agreement by a Party; provided
            however that specific items of information shall not be considered
            to be in the public domain merely because more general information
            is in the public domain;

      (b)   to prevent a Party from disclosing such Confidential Information to
            any technical, financial or other professional consultants or
            advisors of the Party, or third party service providers (including
            services respecting operation of the Acquired Lands and
            infrastructure services outside of this Agreement) which require
            such information to provide their services to the Party, or to a
            bank or other financial institution from which the Party obtains or
            is attempting to obtain financing;

      (c)   to prevent a Party from disclosing such Confidential Information as
            required by the laws, rules or regulations applicable to the Party,
            provided that the Party shall invoke any confidentiality protection
            permitted by such laws, rules or regulations;

      (d)   to prevent a Party from disclosing such Confidential Information to
            any co-owner of, or prospective purchaser of an interest in, the
            joint venture, or to any third party that is conducting negotiations
            directed towards a merger, amalgamation, sale of a share or similar
            transaction, provided that each such co-owner, prospective purchaser
            or third party first enters into a confidentiality agreement with
            the Party pursuant to which it agrees to be bound by confidentiality
            obligations which have the same effect as this Article 13; or

                                      -15-
<PAGE>

      (e)   to prevent a Party from disclosing such Confidential Information as
            is necessary in connection with any dispute resolution commenced
            pursuant to this Agreement or any litigation commenced in respect of
            this Agreement.

Each of the Parties agrees that it will make all reasonable efforts to limit
internal disclosure of the Confidential Information to only those of their
employees, representatives, directors, contractors or agents who will need to
have access to the same to fulfil the responsibilities and obligations of the
Parties under this Agreement. Each of the Parties agrees that it will take
reasonable precautions to ensure that any advisors, potential or actual
financiers, employees, representatives, directors, contractors or agents (and
any third parties to whom a Party discloses confidential data and information
with the written consent of the other Parties) abide by the obligations of
confidentiality hereunder. In this regard, if a Party discloses Confidential
Information to any other person as permitted hereunder, that Party shall have
the other person obligated by written agreement to confidentiality obligations
substantially similar to the confidentiality obligations of that Party under
this Agreement. Each Party individually agrees to be responsible for any breach
of this Agreement by any person to whom it has provided Confidential
Information. This Article 13 will survive the termination, lapse or expiry of
this Agreement for a period of five (5) years. In addition, any Party which
otherwise ceases to be bound by the provisions of the Agreement shall
nevertheless remain bound by the provisions of this Article with respect to
Confidential Information obtained hereunder or pursuant to this Agreement until
the earlier of the date that such information is in the public domain or the
expiration of five (5) years from the date that the Party ceased to be a Party
to this Agreement.

13.2 Public Disclosure

The Parties hereby expressly acknowledge that this Agreement will be disclosed,
and subject to description in a Form 8(k) report to be filed, to the United
States Securities and Exchange Commission and agree to such public disclosure.

13.3 Press Releases

Press releases and other public disclosure in respect of this Agreement,
excepting:

      (a)   the internal employee communications of a Party;

      (b)   releases of information required by securities regulations or
            otherwise by laws, rules or regulations that may be applicable to a
            Party; and

      (c)   releases required during a situation of emergency requiring
            immediate action by a Party;

will be made only after informing the other Parties. Where a press release or
other public disclosure is to be made pursuant to Section 13.3(b) or (c) above,
each other Party will be given where possible prior notice of such press release
or other public disclosure and a reasonable opportunity to review and comment
thereon.

                                      -16-
<PAGE>

13.4 Other Agreements

If Confidential Information is received under another agreement between all or
some of the Parties and there are confidential provisions contained therein,
those provisions shall govern that Confidential Information insofar as those
Parties are concerned.

                                   ARTICLE 14
                              DEFAULT AND REMEDIES

14.1 Default

      If    any of the following (an "Event of Default") occur in respect of a
            Party (a "Defaulting Party"):

      (a)   that Party is subject to an Event of Insolvency;

      (b)   that Party fails to pay an amount within the time prescribed in this
            Agreement;

      (c)   comply with all Regulations including, but not limited to,
            Regulations related to environmental matters. or

      (d)   that Party is otherwise in material default under this Agreement.

the Party which is not in default (the "Non-Defaulting Party") shall provide
notice to the Defaulting Party setting forth the details of the Event of Default
and requiring that the Defaulting Party remedy the Event of Default. The
Defaulting Party shall have thirty (30) days after receipt of the notice from
the Non-Defaulting Party to remedy the Event of Default or to commence and to
thereafter diligently continue to remedy the default. If the Defaulting Party
disputes that it is in default then it may refer the matter to mediation
pursuant to Article 9 and if the matter is not resolved by mediation then to
arbitration pursuant to the provisions of Article 9.

14.2 Remedies

Without limiting its other rights and remedies as contained in this Agreement,
if an Event of Default has occurred and is not remedied or being remedied by the
Defaulting Party, the Non-Defaulting Party (ies) may, at its option, exercise
the rights and remedies set forth below:

      (a)   charge the Defaulting Party interest, computed and compounded
            monthly, with respect to such unpaid amount from the day such
            payment is due until the day it is paid, at the rate of two percent
            (2%) per annum higher than the Prime Rate, regardless of whether the
            Non-Defaulting Party has notified the Defaulting Party in advance of
            its intention to charge interest with respect to such unpaid amount;

      (b)   set-off against the amount unpaid by the Defaulting Party any sums
            due or accruing to the Defaulting Party from the joint venture
            pursuant to this Agreement or any other agreement between the joint
            venture and the Defaulting Party;

                                      -17-
<PAGE>

      (c)   maintain an action or actions for such unpaid amounts and interest
            thereon on a continuing basis as such amounts are payable but not
            paid by the Defaulting Party, as if the obligation to pay such
            amounts and the interest thereon were liquidated demands due and
            payable on the relevant date such amounts were due to be paid;

      (d)   cause the Defaulting Party to surrender the applicable interest in
            the Acquired Lands to the Non-Defaulting Parties, immediately upon
            notice requesting such surrender, at no expense to the
            Non-Defaulting Parties.

                                   ARTICLE 15
                               GENERAL PROVISIONS

15.1 Notices

Any notice required or permitted to be given by any Party shall be sufficiently
given if delivered by hand, by telecopier, by prepaid courier service or by
certified or registered mail, postage prepaid and return receipt requested to
the other Parties at its address set forth below:

if to:                     Triple 7 Energy Inc.
                           c/o Proventure Law LLP
                           2, 880 16 Ave SW
                           Calgary, Alberta T2R 1J9
                           Fax: (403) 262-4860

                           if to: Dr. Michael Ranger
                           808 West Chestermere Drive,
                           Chestermere, Alberta T1X 1B6
                           Fax: (403) 235-2723

if to:                     West Peak Ventures of Canada Ltd.
                           420, 475 Howe Street
                           Vancouver, BC V6C 2B3
                           Attention: Tim Brock
                           Fax: (604) 606-7980

if to:                     Township Petroleum Corporation
                           420, 475 Howe Street
                           Vancouver, BC V6C 2B3
                           Attention: George Orr
                           Fax: (604) 606-7980

                                      -18-
<PAGE>

if to:                     CanWest Petroleum Corporation
                           206, 475 Howe Street
                           Vancouver, BC V6C 2B3
                           Attention: Thornton Donaldson
                           Fax: (604) 606-7980

or to such other address as such Party may hereafter designate by notice in
writing from time to time. Notices shall be deemed to have been given (i) upon
delivery, if delivered by hand or courier, (ii) on receipt, if mailed, and (iii)
on the next business day following receipt of an appropriate electronic
confirmation, if by telecopier.

15.2 Entire Agreement

This Agreement shall constitute the entire agreement of the Parties with respect
to the matters contained herein, and shall not be changed, modified or
discharged except by an instrument in writing executed by the Parties.

15.3 Waiver

A waiver by any Party of the strict performance by the other Parties of any
term, covenant or agreement herein contained shall not of itself constitute a
waiver of any subsequent breach of such term, covenant or agreement set out in
this Agreement.

15.4 Severability

If any term, covenant or agreement of this Agreement or the application thereof
to any Party or circumstances shall, to any extent, be invalid or unenforceable,
the remainder of this Agreement or application of such term, covenant or
agreement to a Party or circumstance other than those as to which it is held
invalid or unenforceable, shall not be affected thereby and each term, covenant
or agreement of this Agreement shall be valid and shall be enforced to the full
extent permitted by law.

15.5 Governing Law

This Agreement shall be governed by and construed in accordance with the laws of
the Province of Alberta and each of the Parties submits to the jurisdiction of
the courts of the Province of Alberta fro the interpretation and enforcement
thereof.

15.6 No Partnership

Nothing herein contained shall be read or construed as meaning a partnership or
imposing on any Party any partnership duty, obligation or liability of any kind
it being the express intention of the Parties and the respective rights,
obligations and liabilities of each of the Parties under this Agreement shall be
several and not joint or joint and several.

                                      -19-
<PAGE>

15.7 Further Assurances

Each Party shall from time to time and at all times do all such further acts and
execute and deliver all further documents as may reasonably be necessary in
order to perform and carry out the terms of this Agreement.

15.8 Successors and Assigns

This Agreement shall be binding upon and enure to the benefit of the Parties,
and their successors and permitted assigns.

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

CanWest Petroleum Corporation               Triple 7 Energy Inc.

                                            Per: _______________________________
Per: __________________________

Per: __________________________

Township Petroleum Corporation              West Peak Ventures of Canada Ltd.

                                            Per: _______________________________
Per: __________________________

Per: __________________________

-------------------------------             ------------------------------------
Witness                                     Dr. Michael Ranger

                                      -20-
<PAGE>

           Schedule  "A"  attached to and forming  part of an Agreement
           made  as of the  ______day  of  ____________,  2005  between
           Triple 7 Energy Inc., West Peak Ventures of Canada Ltd., Dr.
           Michael Ranger,  CanWest Petroleum  Corporation and Township
           Petroleum Corporation

<PAGE>

                                ROYALTY PROCEDURE

2. DEFINITIONS AND INTERPRETATION

2.1 In this Procedure, including this Section and the Appendices, unless
otherwise expressly defined herein, the following terms and expressions shall
have the meanings herein assigned thereto, namely:

      (a)   "Affiliate" means, with respect to any Party, any other Person which
            is affiliated with such Party and for the purposes of this
            Procedure:

            (i)   two Persons will be considered to be affiliated with one
                  another if one (1) of them controls the other, whether
                  directly or indirectly, or if both of them are controlled by a
                  common third Person, whether directly or indirectly;

            (ii)  one (1) Person will be considered to control another Person if
                  it has the power to direct or cause the direction of the
                  management and policies of the other Person, whether directly
                  or indirectly, through one (1) or more intermediaries or
                  otherwise, and whether by virtue of the ownership of shares or
                  other equity interests, the holding of voting rights or
                  contractual rights, or otherwise.

            (iii) two Persons will be considered to affiliated with one another
                  if one (1) of them owns more than twenty percent (20%) of the
                  other.

      (b)   "Assignment Procedure" means that certain CAPL - 1993 form of
            Assignment Procedure attached hereto as Appendix "B" and made a part
            of this Procedure.

      (c)   "Crude Bitumen" means a naturally occurring viscous mixture, mainly
            of hydrocarbons heavier than pentane, that may contain sulphur
            compounds and that, in its naturally occurring viscous state, will
            not flow to a well;

      (d)   "Documents of Title" means the documents by virtue of which Township
            is entitled to drill for, win, take or remove Oil Sands Products and
            all renewals or extensions thereof or further documents of title
            issued pursuant thereto;

      (e)   "Head Agreement" means the Agreement to which this Procedure is
            attached;

      (f)   "Leases" means the documents of title described in Part I of
            Schedule "A" to the extent that they apply to the Royalty Lands
            including any renewals, replacements or extensions thereof or
            further documents of title issued therefrom;

      (g)   "Oil Sands" means

            (i)   sands and other rock materials containing Crude Bitumen,

            (ii)  the Crude Bitumen contained in those sands and other rock
                  materials, and
            (iii) any other mineral substances, other than natural gas, in
                  association with that Crude Bitumen or those sands and other
                  rock materials;

<PAGE>
                                     - 2 -

      (h)   "Oil Sands Products" means any products obtained

            (i)   by processing Oil Sands, or producing from Oils Sands; Crude
                  Bitumen or derivatives of Crude Bitumen, or

            (ii)  by reprocessing a product referred to in subsection (i), and
                  includes any products obtained by any subsequent reprocessing
                  of the products;

      (i)   "Party" means a person, corporation, partnership or body politic
            bound by this Procedure;

      (j)   "Regulations" means all statutes, laws, rules, orders and
            regulations in effect at the relevant time and made by governmental
            authorities having jurisdiction over the Royalty Lands and to the
            operations conducted hereunder;

      (k)   "Royalty" means the non-convertible royalty granted by Township to
            the Royalty Owners pursuant to this Agreement and calculated on Oil
            Sands Products produced from the Royalty Lands in accordance with
            this Procedure;

      (l)   "Royalty Lands" means the Oil Sands Rights described in Appendix "A"
            hereto under the heading "Royalty Lands"; and

      (m)   "Royalty Owner(s)" means each of Triple 7, West Peak, and Ranger.

2.2 Whenever the singular or masculine or neuter is used in this Procedure, the
same shall be construed as meaning the plural or feminine or body politic or
corporate and vice versa as the context or reference to the Parties may require.

2.3 This Procedure and the Agreement supersede and replace all other agreements,
documents, writings and verbal understandings between the Parties hereto
relating to the Royalty, the Royalty Lands and the Leases.

2.4 If any term or condition of this Procedure conflicts with a term or
condition of the Leases, then such term or condition of the Leases shall prevail
and this Procedure shall be deemed to be amended accordingly.

2.5 Except as otherwise provided for herein, "this Procedure", "hereto",
"herein", "hereof", "hereby", "hereunder" and similar expressions refer to this
Procedure and not any particular section, clause, sub-clause, sub-section or
other portion thereof. All of the provisions of this Procedure are to be
construed as covenants as though the words importing such covenants were used in
each separate section, clause. sub-section or sub-clause hereof.

3. APPENDICES

3.1 The following appendices are attached to and made a part of this Procedure:

<PAGE>
                                     - 3 -

      (a)   Appendix "A" which describes the Royalty Lands, and the Leases; and

      (b)   Appendix "B" - 1993 CAPL form of Assignment Procedure.

4. CALCULATION OF ROYALTY

4.1 The Parties recognize that it is not possible to measure Crude Bitumen prior
to recovery and that the point of measurement and the method of calculation of
the number of barrels of Crude Bitumen produced based upon this subsection 4.1
will vary depending upon the methods of recovery and processing used. Therefore,
the Parties agree that the method of measuring and calculating the volume of
Crude Bitumen produced for the purposes of the calculation of the Royalty shall
be determined as follows:

      (a)   As soon as reasonably practicable prior to the commencement of
            production of Crude Bitumen from a parcel the Royalty Lands, and
            from time to time thereafter when appropriate based upon changes in
            recovery or production methods used on such parcel, Township will
            send a notice to the Royalty Owners setting out its proposal for
            measuring and calculating the volume of production of Crude Bitumen
            for the purposes of this Procedure that is consistent with Article 6
            of the Agreement, along with such supporting information as is
            reasonably necessary to support the Township proposal.

      (b)   If the Royalty Owners agree with Township's proposal, they shall
            send Township notice of its acceptance within ten (10) Business Days
            after receipt thereof.

      (c)   If the Royalty Owners do not agree with Township's proposal, they
            shall send Township a notice specifying its objections to the
            Township's proposal in reasonable detail not later than ten (10)
            Business Days after receipt of Township's proposal and the Parties
            shall negotiate in good faith to agree upon a method of measuring
            and calculating the volume of production of Crude Bitumen for the
            purposes of this Procedure that is consistent with subsection 4.1
            and is appropriate in the circumstances. If the Parties are unable
            to so agree within twenty (20) days after receipt by Township of the
            Royalty Owner's notice of objection, then the Parties will engage an
            arbitrator pursuant to the dispute resolution mechanism in the
            Agreement. Each Party shall submit to such arbitrator their proposal
            respecting the method of measuring and calculating the volume of
            production and the arbitrator shall choose one of the proposals
            which shall be the method of measuring and calculating the volume of
            Crude Bitumen produced for the purposes of the calculation of the
            Royalty . The decision of such arbitrator shall be binding upon the
            Parties, and the fees and expenses of such arbitration shall be
            shared equally by the Parties.

4.2 The Royalty shall not be subject to any royalties, burdens or other
encumbrances payable by Township in respect of the Royalty Lands.

<PAGE>
                                     - 4 -

5. PAYMENT OF ROYALTY

5.1 On or before the last day of each month, Township shall pay or account to
each of the Royalty Owners its share of the Royalty:

      (a)   with respect to all Oil Sands Products other than crude oil, for
            sales or other dispositions thereof during the preceding month,
            provided that if Township is not entitled to receive the proceeds of
            sale of any petroleum substances until the month next following
            production, then the above accounting shall be made during the month
            next following the month during which Township is entitled to be
            paid, and

      (b)   with respect to crude oil, for production thereof during the
            preceding month.

5.2 Township shall forward with each payment of royalty hereunder a copy of all
reports Township is required to submit under the Regulations for the production
of such petroleum substances and a written statement showing in reasonable
detail the manner in which Township calculated that payment.

5.3 A copy of Township's governmental production statement for the month for
which the Royalty is quantified as aforesaid and also, with respect to crown
Leases, a copy of the crown royalty statement with respect to the Royalty Lands,
shall accompany each royalty statement to the Royalty Owner. Any information
contained in such governmental production statement or royalty statement need
not be repeated in Township's statement to the Royalty Owner.

5.4 Subject to the provisions of Articles 10 and 11 hereto, the Royalty Owner
may transfer or assign the Royalty in whole or part.

5.5 Township shall be responsible for all costs, taxes or assessments (excluding
income taxes) associated with the Royalty Lands.

5.6 For greater certainty if the Royalty Owner comprises more than one Party:

      (a)   information and notices to be provided to the Royalty Owner will be
            provided individually to each Royalty Owner; and

      (b)   the rights and obligations of the Royalty Owner Parties will accrue
            proportionately to the Royalty Owner Parties in the percentages set
            forth in the Head Agreement.

6. BOOKS, RECORDS AND PROPER PRACTICES

6.1 Township shall keep and maintain true and correct books, records and
accounts showing credits and charges hereunder and the kind and quantity of
Crude Bitumen produced from the Royalty Lands. Township shall, upon the request
of a Royalty Owner, make available in Alberta and there permit each Royalty
Owner, during normal business hours, to inspect such books, records and accounts
and to make extracts or copies therefrom and thereof.

<PAGE>
                                     - 5 -

6.2 Township shall conduct all operations on the Royalty Lands diligently, in a
good and workmanlike manner, in accordance with good oilfield practices and the
Regulations.

7. AUDITS

A Royalty Owner may, upon reasonable notice to Township and at the Royalty
Owners' own expense, audit the books, records and accounts of Township with
respect to the production of Crude Bitumen attributable to the Royalty Lands for
any calendar year within the twenty-four (24) month period next following the
end of such calendar year. Any claims or discrepancies described by such audit
shall be made in writing to Township within the twenty-six (26) month period
next following the end of such calendar year, and any payment made or statement
rendered by Township hereunder which is not disputed by the Royalty Owners
before the end of such period shall be deemed to be correct. To the extent
Triple 7, West Peak, Dr. Ranger and Township are unable to resolve any claims or
discrepancies disclosed by such audit within three (3) months of the Royalty
Owners' submission of the same to Township, such audit exceptions shall be
resolved pursuant to the dispute resolution provisions in the Agreement.

8. MAINTENANCE OF DOCUMENTS OF TITLE

Except as otherwise provided herein Township shall comply with all terms and
conditions of the Documents of Title including the payment of rentals, and the
performances of all things necessary to maintain the Documents of Title in good
standing and in full force and effect. Township shall not be obligated to
consult with the Royalty Owners concerning the maintenance of the Documents of
Title.

9. LIEN ON PRODUCTION

9.1 The Royalty shall be secured by a lien, first charge and security interest
(the "Lien") on the Royalty Lands.

9.2 Both the Royalty and the Lien shall be interests in the Royalty Lands and
shall run with the Royalty Lands.

9.3 The Lien shall arise forthwith upon the effective date pursuant to the
provisions hereof and, if Township fails at any time and from time to time to
pay to the Royalty Owners the Royalty as provided in this Procedure, the Royalty
Owners may, without limiting other rights hereunder, at law or in equity:

      (a)   charge Township compound interest, calculated and accrued monthly,
            with respect to such unpaid amount from the day such payment is due
            until the day it is paid, at the rate of two percent (2%) per annum
            higher than the rate designated as the prevailing prime rate for
            Canadian commercial loans by the principal chartered bank used by
            the Royalty Owners, regardless of whether the Royalty Owners have
            notified Township in advance of its intention to charge interest
            with respect to such unpaid amount. The obligation to pay interest
            is to apply until such default is rectified and shall not merge into
            a judgment for principal and interest, or either of them, and
            Township waives the application of any Regulations to the contrary
            where permitted by the Regulations; and

<PAGE>
                                     - 6 -

      (b)   give Township notice specifying the default and requiring the same
            to be remedied. If Township fails to commence and diligently pursue
            remedying the default specified therein within thirty (30) days
            following the receipt by Township of such notice, the Royalty Owners
            may, without limiting The Royalty Owners' other rights as contained
            in this Procedure or otherwise held at law or in equity:

            (i)   treat the default as an immediate and automatic assignment to
                  The Royalty Owners of the proceeds of the sale of Oil Sands
                  Products from the Royalty Lands; service of a copy of this
                  Procedure upon a purchaser of such Oil Sands Products,
                  together with written notice from the Royalty Owners, shall
                  constitute an irrevocable direction by Township to any such
                  purchaser to pay to the Royalty Owners the proceeds from any
                  sale up to the amount owed to the Royalty Owners by Township
                  hereunder (including any accrued interest with respect
                  thereto), and such purchaser is authorized by such Township to
                  rely upon the statement of the Royalty Owners as to the amount
                  so owed to it by Township; and

            (ii)  maintain an action or actions for such unpaid amounts and
                  interest thereon on a continuing basis as such amounts are
                  payable, but not paid by Township, as if the obligation to pay
                  such amounts and the interest thereon were liquidated demands
                  due and payable on the relevant date such amounts were due to
                  be paid, without any right or resort of Township to set-off or
                  counterclaim.

10. ASSIGNMENT OF INTEREST

10.1 Subject to Article 11 of this Procedure a Royalty Owner may transfer or
assign its Royalty interest in whole or in part and shall immediately give
notice to Township of the name and address for service of the transferee or
assignee. No disposition shall be binding upon Township until the provisions of
Article 11 and the Assignment Procedure have been fully complied with.

10.2 If a Royalty Owner assigns its Royalty or portion thereof to multiple
assignees so as to increase the expenses or duties of Township, Township may
require the assignees (and the assignor if it retains an interest) to appoint
one of their number as representing all of them for the purposes of this Royalty
Procedure, unless arrangements satisfactory to Township are made to compensate
Township for the increased expenses or duties.

11. RIGHT OF FIRST OFFER

11.1 The disposition by a Royalty Owner of all or any portion of its Royalty
shall be subject to a right of first offer on the terms herein set forth.

      (a)   If a Royalty Owner (for the purposes of this Article the "Offeror")
            desires to dispose (the "Proposed Disposition") of its Royalty
            hereunder (the "Offered Rights"), it shall first offer the Offered
            Rights for sale to Township in accordance with this Article.

<PAGE>
                                     - 7 -

      (b)   The Offeror shall give a written notice (the "Offer Notice") to
            Township of its intention to sell the Offered Rights. The Offer
            Notice shall set out:

            (i)   the specific interests and, if applicable, obligations of the
                  Offeror that comprise the Offered Rights; and

            (ii)  all the fundamental terms of the Proposed Disposition,
                  including, without limitation, the purchase price, the nature
                  of consideration, the time within which the Proposed
                  Disposition shall close, and any other material terms of the
                  Proposed Disposition.

11.2 Township shall have thirty (30) Business Days (the "Acceptance Period")
following receipt of the Offer Notice, to elect to purchase all (but not less
than all) of the Offered Rights upon the terms contained in the Offer Notice by
giving written notice (the "Offer Purchase Notice") to the Offeror accepting the
offer as contained in the Offer Notice.

11.3 If Township does not give the Offer Purchase Notice to the Offeror within
the Acceptance Period or it fails to close as contemplated in Section 11.5, then
the Offeror may negotiate with and sell to a bona fide third party purchaser the
Offered Rights on terms which shall not be more favourable to such purchaser in
any respect than those specified in the Offer Notice and Township shall be
deemed to have consented to such assignment of rights. If no such sale is
consummated with one hundred and twenty (120) days following the end of the
Acceptance Period, or the date on which Township failed to close as contemplated
in Section 11.5, as applicable, the rights of Township provided for in this
Article 11 shall revive in all respects. If the Offeror completes a sale of the
Offered Rights to a third party in accordance with the terms hereof, it shall
provide to Township, and shall obtain enduring covenants from such third party
purchaser prior to the completion of such sale to provide to Township, all
documentation and other information requested by Township for it to determine,
in its sole satisfaction, acting reasonably, all the terms and conditions
relating to such sale.

11.4 It shall be a condition of the closing of the Proposed Disposition to
Township for the benefit of Township, that the Offeror has good right and lawful
authority to sell the Offered Rights free and clear of all liens, encumbrances,
charges, security interests, rights, claims and of any kind whatsoever.

11.5 This Section shall not apply in the following instances, namely:

      (a)   An assignment made by way of security for the assignor's present or
            future indebtedness, or liabilities (whether contingent, direct or
            indirect and whether financial or otherwise), the issuance of the
            bonds or debentures of a corporation, or the performance of the
            obligations of the assignor as a guarantor under a guarantee,
            provided that in the event the security is enforced by sale or
            foreclosure, this Section shall apply.

      (b)   A disposition to an Affiliate of the assignor, or in consequence of
            a merger or amalgamation of the assignor with another corporation or
            pursuant to an assignment, sale or disposition made by a Party of
            all of its interest to a corporation in return for shares in that
            corporation or to a registered partnership in return for an interest
            in that partnership provided that the ultimate ownership and control
            of the interest held by the Offeror remains the same.

<PAGE>
                                     - 8 -

      (c)   An assignment from one Royalty Owner or Royalty Owners to another
            Royalty Owner or Royalty Owners.

Provided:

      (d)   If a disposition is made to an Affiliate, the Offeror shall
            nonetheless remain liable for all the obligations and liabilities of
            the Affiliate as if and as though the Offeror remained a party
            hereto.

      (e)   A Party making such a disposition pursuant to subsection (b)Error!
            Reference source not found. of this Section shall advise the other
            Parties of such disposition in a timely manner.

12. SURRENDER AND QUIT CLAIM OF ROYALTY LANDS

12.1 Not later than sixty (60) days before a rental date or other obligation
date with respect to the Royalty Lands affected (except an obligation to pay
royalty or a drilling obligation not being enforced under the Head Agreement),
Township may propose that some or all of the Royalty Lands be surrendered to the
grantor under the applicable title documents and shall give notice to such
effect to the Royalty Owners (the "Receiving Parties"), subject to Section 12.2
of this Section. Not later than thirty (30) days before the next ensuing rental
date or other obligation date under the respective title documents included in
the surrender notice, the Receiving Parties shall each give notice to all other
Parties stating whether or not they consent to the proposed surrender. Failure
to respond to such notice shall be deemed to be an election to have consented to
the surrender. Any Party giving notice of the proposed surrender or giving
notice of its consent to the proposed surrender may, by notice to the other
Parties, revoke its notice of intention, or consent to surrender at any time up
to, but not later than, thirty (30) days before the next ensuing rental date or
other obligation date under the respective title documents.

12.2 Notwithstanding the preceding Section 12.1, the Royalty Lands proposed for
surrender must be of such dimensions that the grantor of the title documents to
which such lands are subject would be obligated to accept the surrender pursuant
to the title documents, and a Party may not propose the surrender of a portion
of the Royalty Lands while an obligation exists with respect to such lands which
cannot be avoided by the surrender or quit claim of those lands to the grantor
of the title documents to which they are subject.

12.3 If the Receiving Parties consent, or are deemed to have consented, to a
surrender under Section 12.1, Township shall proceed forthwith to salvage all
salvable material, equipment upon the lands to be surrendered, and, if
applicable, any production facilities located upon the lands to be surrendered.
The Parties shall promptly execute and deliver to Township all documents
necessary to effect the surrender, which documentation shall be prepared by
Township. Township shall thereafter deliver all such documents to the grantor of
the applicable title documents in order to effect the surrender properly.

12.4 If less than all the Receiving Parties consent to the surrender then:

<PAGE>
                                     - 9 -

      (a)   effective as of 2400 hours on the day before the rental or other
            obligation referred to in Section 13.1 is required to be paid or met
            with respect to a title document included in the surrender notice,
            the Parties which elected to surrender, or consented to the
            surrender, shall assign the interest in the Royalty Lands which were
            the subject of the proposed surrender notice to the Receiving
            Parties, or Receiving Parties who do not consent to the Surrender
            (the "Retaining Parties") in proportion to the Retaining Parties
            interests in the Royalty Lands or in such proportions as the
            Retaining Parties may otherwise agree.

      (b)   Upon the assignment described in the preceding subsection, a Party
            which so assigned its interest with respect to the applicable
            portion of the Royalty Lands shall be released from all obligations
            thereafter accruing with respect to such lands. Such release shall
            not apply to any obligation which had accrued, and any environmental
            damage which had occurred, with respect to those lands or production
            facilities prior to such assignment, provided that such obligation
            shall not extend to the obligation to abandon any well on such
            lands.

13. INDEMNIFICATION

13.1 At any time a Royalty Owner holds the Royalty, Township shall indemnify the
Royalty Owner and its servants, agents, contractors and employees against all
actions, suits, claims, costs, demands and expenses (including legal fees on a
solicitor-client basis) which may be brought against or suffered by The Royalty
Owners, its servants, agents, contractors or employees or any of them or which
it or any of them may sustain, pay or incur by reason of any matter or thing
arising out of or in any way attributable to the operations carried on by or on
behalf of Township and pursuant to this Procedure relating to the Leases or the
Royalty Lands hereunder, except to the extent caused or contributed to by the
Royalty Owners or any of its servants, agents, contractors or employees.

<PAGE>

                                  Appendix "A"

ATTACHED TO AND FORMING PART OF AN AGREEMENT MADE AS OF THE 1ST DAY OF JUNE,
2005 BETWEEN TRIPLE 7 ENERGY INC., WEST PEAK VENTURES OF CANADA LTD., DR.
MICHAEL RANGER, CANWEST PETROLEUM CORPORATION AND TOWNSHIP PETROLEUM CORPORATION

              LEASES                                              ROYALTY LANDS

<PAGE>

                                  Appendix "B"

ATTACHED TO AND FORMING PART OF AN AGREEMENT MADE AS OF THE 1ST DAY OF JUNE,
2005 BETWEEN TRIPLE 7 ENERGY INC., WEST PEAK VENTURES OF CANADA LTD., DR.
MICHAEL RANGER, CANWEST PETROLEUM CORPORATION AND TOWNSHIP PETROLEUM CORPORATION

                     1993 CAPL Form of Assignment Procedure

                                    ARTICLE I
                                   DEFINITIONS

1.01 In this Assignment Procedure, the following terms, when capitalized, shall
have the meaning assigned to each below:

      (a)   "Affiliate" - for the purposes of this Assignment Procedure, means a
            corporation or partnership that is affiliated with the party in
            respect of which the expression is being applied, and, for the
            purpose of this definition a corporation or partnership is
            affiliated with another corporation or partnership if it directly or
            indirectly controls or is controlled by that other corporation or
            partnership, and for the purpose of determining whether a
            corporation or partnership is so controlled, it shall be deemed
            that:

            (i)   a corporation is directly controlled by another corporation or
                  partnership if the shares of the corporation to which are
                  attached more than 50% of the votes that may be cast to elect
                  directors of the corporation are beneficially owned by that
                  other corporation or partnership and the votes attached to
                  those shares are sufficient, if exercised, to elect a majority
                  of the directors of the corporation;

            (ii)  a partnership is directly controlled by a corporation or other
                  partnership if that corporation or partnership beneficially
                  owns more than a 50% interest in the partnership;

            (iii) a corporation or partnership is indirectly controlled by
                  another corporation or partnership if control, as defined
                  above, is exercised through one or more other corporations or
                  partnerships.

            Where two or more corporations or partnerships are affiliated at the
            same time with the same corporation or partnership, they shall be
            deemed to be Affiliates of each other.

      (b)   "Agreement" - means the agreement to which this Assignment Procedure
            is attached and made a part.

<PAGE>
                                     - 2 -

      (c)   "Assigned Interest" - means the interest in the Agreement which is
            the subject of an assignment and which is specified in a Notice of
            Assignment, but shall not include rights of the Assignor as
            operator.

      (d)   "Assignee" - means the entity named in a Notice of Assignment as the
            Assignee.

      (e)   "Assignment and Novation Agreement" - means an agreement by all
            parties to the Agreement and a party to whom an interest in the
            Agreement has been assigned where:

            (i)   the assignee assumes the duties and obligations of the
                  assignor for the Assigned Interest; and

            (ii)  the assignor is released from its duties for the Assigned
                  Interest; and

            (iii) the assignee is substituted as a party to the Agreement in the
                  place of the assignor to the extent of the Assigned Interest.

      (f)   "Assignor" - means the party to the Agreement named in a Notice of
            Assignment as the Assignor.

      (g)   "Binding Date" - means the first day of the second calendar month
            following the month in which the Notice of Assignment is served in
            accordance with Article IV below.

      (h)   "Notice of Assignment" - means a notice in the form entitled Notice
            of Assignment attached hereto as Appendix A.

      (i)   "Third Party" - means the parties to the Agreement who are not the
            Assignor.

      (j)   "Transfer Date" - means the effective date of the transfer of the
            Assigned Interest, as specified in the Notice of Assignment.

1.02  In this Assignment Procedure, when a numbered Clause or Article is
      referred to, that Clause or Article is of this Assignment Procedure.

                                   ARTICLE II
                   APPLICATION, CONDITIONS AND FORM OF NOTICE

2.01  (a)   A Notice of Assignment issued in accordance with this Assignment
            Procedure shall be used in place of an Assignment and Novation
            Agreement for assignments where the Agreement:

            (i)   requires parties to use; or

            (ii)  entities parties to request; or

            (iii) is silent as to the right of any party to request; or

<PAGE>
                                     - 3 -

            (iv)  an Assignment and Novation Agreement.

      (b)   The Notice of Assignment shall be in the form indicated in Appendix
            A and shall be executed by the Assignor and the Assignee.

2.02  If there is a conflict between the Assignment Procedure and the provisions
      of the Agreement, the Assignment Procedure shall prevail.

2.03  If the Agreement requires each Third Party's consent to an assignment but
      does not specify a time within which each Third Party shall respond or
      shall be deemed to have responded, then consent of each Third Party to an
      assignment shall be deemed if it fails to reply within 20 days of receipt
      of a written request for consent.

2.04  (a)   If the Agreement is silent regarding rights of first refusal or
            consent from Third Party which relates to an Assigned Interest, then
            Assignor shall, by notice pursuant to Article IV:

            (i)   advise Third Party of:

                  -     its intention to make the disposition;

                  -     a description of the Assigned Interest; and

                  -     the identity of the proposed Assignee, and

            (ii)  request Third Party's written consent to such disposition,
                  which consent shall not be unreasonably withheld.

            Consent of each Third Party shall be deemed if it fails to reply to
            Assignor within 20 days of receipt of the written request for
            consent.

      (b)   Clause 2.04 (a) shall not apply in the following instances, namely:

            (i)   an assignment made by way of security for present or future
                  indebtedness, or liabilities (whether contingent, direct or
                  indirect and whether financial or otherwise), the issuance of
                  the bonds or debentures of a corporation, or the performance
                  of the obligations of a guarantor under a guarantee, provided
                  that in the event the security is enforced by a sale or
                  foreclosure, Clause 2.04(a) shall apply; or

            (ii)  an assignment to an Affiliate, or in consequence of a merger
                  or amalgamation with another corporation or pursuant to an
                  assignment made by a party of its entire interest in the
                  Agreement to a corporation in return for shares in that
                  corporation or to a registered partnership in return for an
                  interest in that partnership; or

            (iii) an assignment is required within the terms of the Agreement
                  (such as, but not limited to, abandonment, forfeiture or
                  surrender).

<PAGE>
                                     - 4 -

2.05  An assignment of an Assigned Interest shall (subject to Clause 2.06) be
      effective against Third Party on the Binding Date if:

      (a)   all prohibitions, limitations or conditions (such as, but not
            limited to, a right of first refusal or a requirement for' prior
            consent from Third Party) applying to the Assigned Interest have
            been complied with and satisfied pursuant to the Agreement, or
            waived by Third Party, including, if applicable, compliance with
            Clauses 2.03 and 2.04; and

      (b)   following compliance with Clause 2.05(a), a Notice of Assignment is
            served on Third Party in accordance with Article IV.

2.06  (a)   A Third Party who objects to the Notice of Assignment on the basis
            of a failure to comply with Clause 2.05 may, prior to the Binding
            Date, notify (pursuant to Article IV) Assignor and Third Party of
            its objections.

      (b)   If a notice of objection is served pursuant to Clause 2.06(a), the
            Notice of Assignment to which the notice of objection relates will
            be of no effect.

      (c)   If a Third Party does not object pursuant to Clause 2.06(a), the
            Notice of Assignment will be effective for purposes of Article III,
            but each Third Party will retain all other rights or remedies
            arising as a consequence of the failure of Assignor to comply with
            Clause 2.05, including (without limitation), rights to seek damages
            for breach of the Agreement and rights to seek specific performance
            of a right of first refusal.

                                   ARTICLE III
                 ASSIGNMENT, ASSUMPTION AND DISCHARGE BY NOTICE

3.01  If a Notice of Assignment has become effective in accordance with Clauses
      2.05 or 2.08, then Assignor, Assignee and Third Party shall have agreed
      that:

      (a)   Subject to Clause 3.01(d), Assignor and Assignee shall have
            acknowledged and represented that the Assignor has transferred,
            assigned and conveyed the Assigned Interest to Assignee as of the
            Transfer Date.

      (b)   Subject to Clause 3.01(d), Assignee shall replace Assignor as a
            party to the Agreement with respect to the Assigned Interest on and
            after the Transfer Date.

      (c)   Only insofar as Third Party is concerned, notwithstanding the terms
            and provisions in the "Transfer Agreement" referenced in the Notice
            of Assignment:

            (i)   Subject to Clause 3.01(d), Assignee shall assume and be bound
                  by, observe and perform all terms, obligations and provisions
                  in the Agreement with regard to the Assigned Interest at all
                  times on or after the Transfer Date,

<PAGE>
                                     - 5 -

            (ii)  Assignor shall retain and be entitled to all rights, benefits
                  and privileges under the Agreement with respect to the
                  Assigned Interest at all times prior to the Transfer Date, and

            (iii) Subject to Clause 3.01(d), Assignee shall assume and be
                  entitled to all rights, benefits and privileges under the
                  Agreement with respect to the Assigned Interest at all times
                  on and after the Transfer Date.

      (d)   In all matters relating to the Assigned Interest subsequent to the
            Transfer Date and prior to the Binding Date, Assignor acts as
            trustee for and duly authorized agent of Assignee, and Assignee, for
            the benefit of Third Party, ratifies, adopts and confirms all acts
            or omissions of the Assignor in such capacity as trustee and agent.
            Third Party agrees to recognize and accept Assignor as trustee and
            agent for Assignee.

      (e)   On and after the Transfer Date, Third Party:

            (i)   releases and discharges Assignor from the observance and
                  performance of all terms and covenants of the Agreement and
                  all obligations and liabilities which arise or occur on or
                  after the Transfer Date under the Agreement with respect to
                  the Assigned Interest; and

            (ii)  does not release and discharge Assignor from any obligation or
                  liability which had arisen or accrued prior to the Transfer
                  Date or which does not relate to the Assigned Interest.

      (f)   Subject to the terms and provisions of the "Transfer Agreement"
            referenced in the Notice of Assignment, Assignee on and after the
            Transfer Date:

            (i)   releases and discharges Assignor from the observance and
                  performance of all terms and covenants of the Agreement and
                  all obligations and liabilities which arise or occur on or
                  after the Transfer Date under the Agreement with respect to
                  the Assigned Interest; and

            (ii)  does not release and discharge Assignor from any obligation or
                  liability which had arisen or accrued prior to the Transfer
                  Date or which does not relate to the Assigned Interest.

      (g)   The address of Assignee for the purposes of the Agreement and the
            serving of notices under it shall be the address stated for Assignee
            in the Notice of Assignment.

      (h)   The Agreement shall continue in full force and effect from and after
            the Transfer Date with Assignee made a party thereto to the extent
            of the Assigned Interest, subject to Clause 3.01(d). The Agreement
            is amended as necessary to give effect to the Notice of Assignment
            and, as so amended, is ratified and confirmed by each party.

<PAGE>
                                     - 6 -

3.02  In no event shall errors, inaccuracies or misdescriptions in a Notice of
      Assignment have any effect on the Third Party or the interests of Third
      Party in the Agreement, even if Third Party has knowledge of an error,
      inaccuracy or misdescription.

3.03  Assignor and Assignee shall be solely responsible for any adjustment
      between themselves with respect to the Assigned Interest as to revenues,
      benefits, costs, obligations or indemnities which accrue prior to Binding
      Date.

                                   ARTICLE IV
                               SERVICE OF NOTICES

4.01  All notices and Notices of Assignment (herein called "notices") required
      or permitted by the terms of this Assignment Procedure shall be in
      writing, subject to the provisions of this Article. This Article applies
      only to notices served pursuant to this Assignment Procedure. Any notice
      to be given under this Assignment Procedure shall be deemed to be served
      properly if served in any of the following modes:

      (a)   personally, by delivering the notice to the party on whom it is to
            be served at that party's address for service. Personally served
            notices shall be deemed received by the addressee when actually
            delivered as aforesaid, if such delivery is during normal business
            hours, on any day other than a Saturday, Sunday or statutory
            holiday. If a notice is not delivered during normal business hours,
            such notice shall be deemed to have been received by such party at
            the commencement of the day next following the date of delivery,
            other than a Saturday, Sunday or statutory holiday; or

      (b)   by telecopier or telex (or by any other like method by which a
            written and recorded message may be sent) directed to the party on
            whom it is to be served at that party's address for service
            (however, an original executed copy of a Notice of Assignment shall
            subsequently be provided to all addressees without delay). A notice
            so served shall be deemed received by the respective addressees: (i)
            when actually received by them, if received within the normal
            business hours on any day other than a Saturday, Sunday or statutory
            holiday; or (ii) at the commencement of the next ensuing business
            day following transmission thereof if such notice is not received'
            during such normal business hours; or

      (c)   by mailing it first class (air mail if to or from a location outside
            of Canada) registered post, postage prepaid, directed to the party
            on wham it is to be served at that party's address for service.
            Notices so served shall be deemed to be received by the addressees
            at noon, local time, on the earlier of the actual date of receipt or
            the fourth (4th) day (excluding Saturdays, Sundays and statutory
            holidays) following mailing. However, if postal service is
            interrupted or operating with unusual or imminent delay, notice
            shall not be served by such means during such interruption or period
            of delay.

4.02  The addresses for service of a notice pursuant to this Assignment
      Procedure shall be as set out (and amended from time to time) in the
      Agreement.

<PAGE>
                                     - 7 -

                                                                    CAPL. - 1993

               (Appendix A to the 1993 CAPL ASSIGNMENT PROCEDURE)

                              NOTICE OF ASSIGNMENT

                 (For reference only: general land description)

WHEREAS, by agreement ('Transfer Agreement") dated ____________, (full name of
Assignor[s]), as Assignor, transferred and conveyed effective ____________
("Transfer Date') an interest in property as more fully described below to
_____________ (full name of Assignee[s]), as Assignee ; and

WHEREAS, Assignor and one or more parties ("Third Party") are subject to and
bound by that certain __________________ agreement dated _____________, made
between, by or among ___________________________________________________ as may
have been amended, affecting the land or property therein described ("Master
Agreement"); and

WHEREAS, in accordance with the terms and provisions of the Master Agreement,
Assignor and Assignee intend to serve notice to Third Party to the Master
Agreement of the transfer and conveyance as described in the Transfer Agreement.

NOW, THEREFORE, THIS NOTICE OF ASSIGNMENT WITNESSES THAT in consideration of the
mutual advantages to the parties hereto, notice is hereby given, as follows:

1.    Assignor (specify proportions if more than one Assignor):

2.    Assignee (specify proportions if more than one Assignee and include
      address for service of notice pursuant to Master Agreement):

<PAGE>
                                     - 2 -

3.    Current Third Party to Master Agreement:

4.    Assigned Interest: (Check A or B below):

      ___ A. Transfer Agreement covers _____% of Assignor's entire undivided
      right, title and interest in the Master Agreement but shall not include
      rights of the Assignor as operator("Assigned Interest"); OR

      ___ B. Transfer Agreement covers a portion of Assignor's right, title and
      interest in the Master Agreement but shall not include rights of the
      Assignor as operator ("Assigned Interest"). In the event Alternative B is
      checked, the following is the legal description of all lands and interests
      transferred and conveyed in the Transfer Agreement (attach schedule if
      more space is needed):

5.    Subject to Clause 7 of this Notice of Assignment, Assignor and Assignee,
      in accordance with the terms of the Transfer Agreement, acknowledge that :

      (i)   Assignor has transferred and conveyed the Assigned Interest to the
            Assignee as of the Transfer Date; and

      (ii)  Assignee agrees to replace Assignor, on and after the Transfer Date,
            as a party to the Master Agreement with respect to the Assigned
            Interest; and

      (iii) Assignee agrees to be bound by and observe all terms, obligations
            and provisions in the Master Agreement with respect to the Assigned
            Interest on and after the Transfer Date.

6.    Subject to the terms and provisions of the Transfer Agreement, Assignee on
      and after the Transfer Date:

      (i)   discharges and releases the Assignor from the observance and
            performance of all terms and covenants in the Master Agreement and
            any obligations and liabilities which arise or occur under the
            Master Agreement with respect to the Assigned Interest, and

<PAGE>
                                     - 3 -

      (ii)  does not release and discharge the Assignor from any obligation or
            liability which had arisen or accrued prior to the Transfer Date or
            which does not relate to the Assigned Interest.

7.    Assignee and Assignor agree that in all matters relating to the Master
      Agreement with respect to the Assigned Interest, subsequent to the
      Transfer Date and prior to the Binding Date, Assignor acts as trustee for
      and duly authorized agent of the Assignee and Assignee, for the benefit of
      the Third Party, ratifies, adopts and confirms all acts or omissions of
      the Assignor in such capacity as trustee and agent.

8.    This Notice of Assignment shall become binding on all parties to the
      Master Agreement on the first day of the second calendar month following
      the month this notice is served on Third Party in accordance with the
      terms of the Master Agreement ("Binding Date'). In addition, Assignor and
      Assignee agree that they shall be solely responsible for any adjustment
      between themselves with respect to the Assigned Interest as to revenues,
      benefits, costs, obligations or indemnities which accrue prior to the
      Binding Date.

9.    Assignor represents and certifies that this Notice of Assignment and its
      service are in compliance with all the terms and provisions of the Master
      Agreement.

      IN WITNESS WHEREOF this Notice of Assignment has been duly executed by the
      Assignor and Assignee on the date indicated for each below:

Assignor                                     Assignee

Per:                                         Per:
      ------------------------------               ---------------------------

Per:                                         Per:
      ------------------------------               ---------------------------

Date:                                        Date:
       -----------------------------                --------------------------

<PAGE>
                                     - 4 -

           (This Schedule consists of ____ pages including this page)EXHIBIT
      4.4

     

    THE
      REGISTERED HOLDER OF THIS PURCHASE OPTION BY ITS ACCEPTANCE HEREOF, AGREES
      THAT
      IT WILL NOT SELL, TRANSFER OR ASSIGN THIS PURCHASE OPTION EXCEPT AS HEREIN
      PROVIDED AND THE REGISTERED HOLDER OF THIS PURCHASE OPTION AGREES THAT IT WILL
      NOT SELL, TRANSFER, ASSIGN, PLEDGE OR HYPOTHECATE THIS PURCHASE OPTION FOR
      A
      PERIOD OF ONE YEAR FOLLOWING THE EFFECTIVE DATE (DEFINED BELOW) TO ANYONE OTHER
      THAN (I) JESUP & LAMONT SECURITIES CORPORATION. (“JESUP
      & LAMONT”)
      OR AN
      UNDERWRITER OR A SELECTED DEALER IN CONNECTION WITH THE OFFERING, OR (II) A
      BONA
      FIDE OFFICER OR PARTNER OF JESUP & LAMONT OR OF ANY SUCH UNDERWRITER OR
      SELECTED DEALER.

     

    THIS
      PURCHASE OPTION IS NOT EXERCISABLE PRIOR TO THE LATER OF THE CONSUMMATION BY
      EVEREST ACQUISITION CORPORATION (“COMPANY”)
      OF A
      MERGER, CAPITAL STOCK EXCHANGE, ASSET ACQUISITION OR OTHER SIMILAR BUSINESS
      COMBINATION (“BUSINESS
      COMBINATION”)(AS
      DESCRIBED MORE FULLY IN THE COMPANY’S REGISTRATION STATEMENT (DEFINED HEREIN))
      OR _____________, 2006. VOID AFTER 5:00 P.M. NEW YORK CITY LOCAL TIME,
      ___________, 2010.

     

    UNIT
      PURCHASE OPTION

     

    FOR
      THE
      PURCHASE OF

     

    800,000
      UNITS

     

    OF

     

    EVEREST
      ACQUISITION CORPORATION

     

    1.    Purchase
      Option.

     

    THIS
      CERTIFIES THAT, in consideration of $100.00 duly paid by or on behalf of Jesup
      & Lamont (“Holder”),
      as
      registered owner of this Purchase Option, to Everest Acquisition Corporation
      (“Company”),
      Holder is entitled, at any time or from time to time upon the later of the
      consummation of a Business Combination or _________, 2006 (“Commencement
      Date”),
      and
      at or before 5:00 p.m., New York City local time, _____________, 2010
      (“Expiration
      Date”),
      but
      not thereafter, to subscribe for, purchase and receive, in whole or in part,
      up
      to Eight Hundred Thousand (800,000) units (“Units”)
      of the
      Company, each Unit consisting of one share of common stock of the Company,
      par
      value $.0001 per share (“Common
      Stock”),
      and
      two warrants (“Warrant(s)”)
      expiring four years from the effective date (“Effective Date”) of the
      registration statement (“Registration
      Statement”)
      pursuant to which Units are offered for sale to the public (“Offering”).
      Each
      Warrant is the same as the warrants included in the Units being registered
      for
      sale to the public by way of the Registration Statement (“Public
      Warrants”)
      except
      that the Warrants have an exercise price of $6.25 per share. If the Expiration
      Date is a day on which banking institutions are authorized by law to close,
      then
      this Purchase Option may be exercised on the next succeeding day which is not
      such a day in accordance with the terms herein. During the period ending on
      the
      Expiration Date, the Company agrees not to take any action that would terminate
      the Purchase Option. This Purchase Option is initially exercisable at $7.50
      per
      Unit so purchased; provided, however, that upon the occurrence of any of the
      events specified in Section 6 hereof, the rights granted by this Purchase
      Option, including the exercise price per Unit and the number of Units (and
      shares of Common Stock and Warrants) to be received upon such exercise, shall
      be
      adjusted as therein specified. The term “Exercise Price” shall mean the initial
      exercise price or the adjusted exercise price, depending on the
      context.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    2.    Exercise.

     

    2.1    Exercise
      Form.
      In
      order to exercise this Purchase Option, the exercise form attached hereto must
      be duly executed and completed and delivered to the Company, together with
      this
      Purchase Option and payment of the Exercise Price for the Units being purchased
      payable in cash or by certified check or official bank check. If the
      subscription rights represented hereby shall not be exercised at or before
      5:00
      p.m., New York City local time, on the Expiration Date this Purchase Option
      shall become and be void without further force or effect, and all rights
      represented hereby shall cease and expire.

     

    2.2    Legend.
      Each
      certificate for the securities purchased under this Purchase Option shall bear
      a
      legend as follows unless such securities have been registered under the
      Securities Act of 1933, as amended (“Act”):

     

    “The
      securities represented by this certificate have not been registered under the
      Securities Act of 1933, as amended (“Act”) or applicable state law. The
      securities may not be offered for sale, sold or otherwise transferred except
      pursuant to an effective registration statement under the Act, or pursuant
      to an
      exemption from registration under the Act and applicable state
      law.”

     

    3.    Transfer.

     

    3.1    General
      Restrictions.
      The
      registered Holder of this Purchase Option, by its acceptance hereof, agrees
      that
      it will not sell, transfer, assign, pledge or hypothecate this Purchase Option
      for a period of one year following the Effective Date to anyone other than
      (i)
      Jesup & Lamont or an underwriter or a selected dealer in connection with the
      Offering, or (ii) a bona fide officer or partner of Jesup & Lamont or of any
      such underwriter or selected dealer. On and after the first anniversary of
      the
      Effective Date, transfers to others may be made subject to compliance with
      or
      exemptions from applicable securities laws. In order to make any permitted
      assignment, the Holder must deliver to the Company the assignment form attached
      hereto duly executed and completed, together with the Purchase Option and
      payment of all transfer taxes, if any, payable in connection therewith. The
      Company shall within five business days transfer this Purchase Option on the
      books of the Company and shall execute and deliver a new Purchase Option or
      Purchase Options of like tenor to the appropriate assignee(s) expressly
      evidencing the right to purchase the aggregate number of Units purchasable
      hereunder or such portion of such number as shall be contemplated by any such
      assignment.

     

    3.2    Restrictions
      Imposed by the Act.
      The
      securities evidenced by this Purchase Option shall not be transferred unless
      and
      until (i) the Company has received the opinion of counsel for the Holder that
      the securities may be transferred pursuant to an exemption from registration
      under the Act and applicable state securities laws, the availability of which
      is
      established to the reasonable satisfaction of the Company (the Company hereby
      agreeing that the opinion of Thelen Reid & Priest, LLP shall be deemed
      satisfactory evidence of the availability of an exemption), or (ii) a
      registration statement or a post-effective amendment to the Registration
      Statement relating to such securities has been filed by the Company and declared
      effective by the Securities and Exchange Commission (the “Commission”)
      and
      compliance with applicable state securities law has been
      established.

     

    
      
        
        

      

      
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    4.    New
      Purchase Options to be Issued.

     

    4.1    Partial
      Exercise or Transfer.
      Subject
      to the restrictions in Section 3 hereof, this Purchase Option may be exercised
      or assigned in whole or in part. In the event of the exercise or assignment
      hereof in part only, upon surrender of this Purchase Option for cancellation,
      together with the duly executed exercise or assignment form and funds sufficient
      to pay any Exercise Price and/or transfer tax, the Company shall cause to be
      delivered to the Holder without charge a new Purchase Option of like tenor
      to
      this Purchase Option in the name of the Holder evidencing the right of the
      Holder to purchase the number of Units purchasable hereunder as to which this
      Purchase Option has not been exercised or assigned.

     

    4.2    Lost
      Certificate.
      Upon
      receipt by the Company of evidence satisfactory to it of the loss, theft,
      destruction or mutilation of this Purchase Option and of reasonably satisfactory
      indemnification or the posting of a bond, the Company shall execute and deliver
      a new Purchase Option of like tenor and date. Any such new Purchase Option
      executed and delivered as a result of such loss, theft, mutilation or
      destruction shall constitute a substitute contractual obligation on the part
      of
      the Company.

     

    5.    Registration
      Rights.

     

    5.1    Demand
      Registration.

     

    5.1.1    Grant
      of Right.
      The
      Company, upon written demand (“Initial
      Demand Notice”)
      of the
      Holder(s) of at least 51% of the Purchase Options and/or the underlying Units
      and/or the underlying securities (“Majority
      Holders”),
      agrees to register (the “Demand
      Registration”)
      under
      the Act on one occasion, all or any portion of the Purchase Options requested
      by
      the Majority Holders in the Initial Demand Notice and all of the securities
      underlying such Purchase Options, including the Units, Common Stock, the
      Warrants and the Common Stock underlying the Warrants (collectively, the
“Registrable
      Securities”).
      On
      such occasion, the Company will file a registration statement or a
      post-effective amendment to the Registration Statement covering the Registrable
      Securities within sixty days after receipt of the Initial Demand Notice and
      use
      its best efforts to have such registration statement or post-effective amendment
      declared effective as soon as possible thereafter. The demand for registration
      may be made at any time during a period of five years beginning on the Effective
      Date. The Initial Demand Notice shall specify the number of shares of
      Registrable Securities proposed to be sold and the intended method(s) of
      distribution thereof. The Company will notify all holders of the Purchase
      Options and/or Registrable Securities of the demand within ten days from the
      date of the receipt of any such Initial Demand Notice. Each holder of
      Registrable Securities who wishes to include all or a portion of such holder’s
      Registrable Securities in the Demand Registration (each such holder including
      shares of Registrable Securities in such registration, a “Demanding
      Holder”)
      shall
      so notify the Company within fifteen (15) days after the receipt by the holder
      of the notice from the Company. Upon any such request, the Demanding Holders
      shall be entitled to have their Registrable Securities included in the Demand
      Registration, subject to Section 5.1.4.

     

    
      
        
        

      

      
        -3-

        
          

        

      

      
        
        

      

    

    5.1.2    Effective
      Registration.
      A
      registration will not count as a Demand Registration until the registration
      statement filed with the Commission with respect to such Demand Registration
      has
      been declared effective and the Company has complied with all of its obligations
      under this Agreement with respect thereto; provided, however, that if, after
      such registration statement has been declared effective, the offering of
      Registrable Securities pursuant to a Demand Registration is interfered with
      by
      any stop order or injunction of the Commission or any other governmental agency
      or court, the registration statement with respect to such Demand Registration
      will be deemed not to have been declared effective, unless and until, (i) such
      stop order or injunction is removed, rescinded or otherwise terminated, and
      (ii)
      a majority-in-interest of the Demanding Holders thereafter elect to continue
      the
      offering.

     

    5.1.3    Underwritten
      Offering.
      If the
      Majority Holders so elect and such holders so advise the Company as part of
      the
      Initial Demand Notice, the offering of such Registrable Securities pursuant
      to
      such Demand Registration shall be in the form of an underwritten offering.
      In
      such event, the right of any holder to include its Registrable Securities in
      such registration shall be conditioned upon such holder’s participation in such
      underwriting and the inclusion of such holder’s Registrable Securities in the
      underwriting to the extent provided herein. All Demanding Holders proposing
      to
      distribute their securities through such underwriting shall enter into an
      underwriting agreement in customary form with the underwriter or underwriters
      selected for such underwriting by the Majority Holders.

     

    5.1.4    Reduction
      of Offering.
      If the
      managing underwriter or underwriters for a Demand Registration that is to be
      an
      underwritten offering advises the Company and the Demanding Holders in writing
      that the dollar amount or number of shares of Registrable Securities which
      the
      Demanding Holders desire to sell, taken together with all other shares of Common
      Stock or other securities which the Company desires to sell and the shares
      of
      Common Stock, if any, as to which registration has been requested pursuant
      to
      written contractual piggy-back registration rights held by other stockholders
      of
      the Company who desire to sell, exceeds the maximum dollar amount or maximum
      number of shares that can be sold in such offering without adversely affecting
      the proposed offering price, the timing, the distribution method, or the
      probability of success of such offering (such maximum dollar amount or maximum
      number of shares, as applicable, the “Maximum
      Number of Shares”),
      then
      the Company shall include in such registration: (i) first, the Registrable
      Securities as to which Demand Registration has been requested by the Demanding
      Holders (pro rata in accordance with the number of shares that each such Person
      has requested be included in such registration, regardless of the number of
      shares held by each such Person (such proportion is referred to herein as
      "Pro
      Rata"))
      that
      can be sold without exceeding the Maximum Number of Shares; (ii) second, to
      the
      extent that the Maximum Number of Shares has not been reached under the
      foregoing clause (i), the shares of Common Stock or other securities that the
      Company desires to sell that can be sold without exceeding the Maximum Number
      of
      Shares; (iii) third, to the extent that the Maximum Number of 

     

    
      
        
        

      

      
        -4-

        
          

        

      

      
        
        

      

    

    Shares
      has not been reached under the foregoing clauses (i) and (ii), the shares of
      Common Stock or other securities registrable pursuant to the terms of the
      Registration Rights Agreement between the Company and the initial investors
      in
      the Company, dated as of ________, 2005 (the “Registration
      Rights Agreement”
      and
      such registrable securities, the "Investor
      Securities")
      as to
      which "piggy-back" registration has been requested by the holders thereof,
      Pro
      Rata, that can be sold without exceeding the Maximum Number of Shares; and
      (iv)
      fourth, to the extent that the Maximum Number of Shares have not been reached
      under the foregoing clauses (i), (ii), and (iii), the shares of Common Stock
      or
      other securities for the account of other persons that the Company is obligated
      to register pursuant to written contractual arrangements with such persons
      and
      that can be sold without exceeding the Maximum Number of Shares.

     

    5.1.5    Withdrawal.
      If a
      majority-in-interest of the Demanding Holders disapprove of the terms of any
      underwriting or are not entitled to include all of their Registrable Securities
      in any offering, such majority-in-interest of the Demanding Holders may elect
      to
      withdraw from such offering by giving written notice to the Company and the
      underwriter or underwriters of their request to withdraw prior to the
      effectiveness of the registration statement filed with the Commission with
      respect to such Demand Registration. If the majority-in-interest of the
      Demanding Holders withdraws from a proposed offering relating to a Demand
      Registration, then such registration shall not count as a Demand Registration
      provided for in Section 5.1.

     

    5.1.6    Terms.
      The
      Company shall bear all fees and expenses attendant to registering the
      Registrable Securities, including the expenses of any legal counsel selected
      by
      the Holders to represent them in connection with the sale of the Registrable
      Securities, but the Holders shall pay any and all underwriting commissions.
      The
      Company agrees to use its reasonable best efforts to qualify or register the
      Registrable Securities in such States as are reasonably requested by the
      Majority Holder(s); provided, however, that in no event shall the Company be
      required to register the Registrable Securities in a State in which such
      registration would cause (i) the Company to be obligated to qualify to do
      business in such State, or would subject the Company to taxation as a foreign
      corporation doing business in such jurisdiction or (ii) the principal
      stockholders of the Company to be obligated to escrow their shares of capital
      stock of the Company. The Company shall cause any registration statement or
      post-effective amendment filed pursuant to the demand rights granted under
      Section 5.1.1 to remain effective for a period of nine consecutive months from
      the effective date of such registration statement or post-effective
      amendment.

     

    5.2    “Piggy-Back”
      Registration.

     

    5.2.1    Piggy-Back
      Rights.
      If at
      any time during the seven year period commencing on the Effective Date the
      Company proposes to file a registration statement under the Act with respect
      to
      an offering of equity securities, or securities or other obligations exercisable
      or exchangeable for, or convertible into, equity securities, by the Company
      for
      its own account or for stockholders of the Company for their account (or by
      the
      Company and by stockholders of the Company including, without limitation,
      pursuant to Section 5.1), other than a registration statement (i) filed in
      connection with any employee stock option or other benefit plan, (ii) for an
      exchange offer or offering of securities solely to the Company’s existing
      stockholders, (iii) for an offering of debt that is convertible into equity
      securities of the Company or (iv) for a dividend reinvestment plan, then the
      Company shall (x) give written notice of such proposed filing to the holders
      of

     

    
      
        
        

      

      
        -5-

        
          

        

      

      
        
        

      

    

    Registrable
      Securities as soon as practicable but in no event less than ten (10) days before
      the anticipated filing date, which notice shall describe the amount and type
      of
      securities to be included in such offering, the intended method(s) of
      distribution, and the name of the proposed managing underwriter or underwriters,
      if any, of the offering, and (y) offer to the holders of Registrable Securities
      in such notice the opportunity to register the sale of such number of shares
      of
      Registrable Securities as such holders may request in writing within five (5)
      days following receipt of such notice (a “Piggy-Back
      Registration”).
      The
      Company shall cause such Registrable Securities to be included in such
      registration and shall use its best efforts to cause the managing underwriter
      or
      underwriters of a proposed underwritten offering to permit the Registrable
      Securities requested to be included in a Piggy-Back Registration on the same
      terms and conditions as any similar securities of the Company and to permit
      the
      sale or other disposition of such Registrable Securities in accordance with
      the
      intended method(s) of distribution thereof. All holders of Registrable
      Securities proposing to distribute their securities through a Piggy-Back
      Registration that involves an underwriter or underwriters shall enter into
      an
      underwriting agreement in customary form with the underwriter or underwriters
      selected for such Piggy-Back Registration.

     

    5.2.2    Reduction
      of Offering.
      If the
      managing underwriter or underwriters for a Piggy-Back Registration that is
      to be
      an underwritten offering advises the Company and the holders of Registrable
      Securities in writing that the dollar amount or number of shares of Common
      Stock
      which the Company desires to sell, taken together with shares of Common Stock,
      if any, as to which registration has been demanded pursuant to written
      contractual arrangements with persons other than the holders of Registrable
      Securities hereunder, the Registrable Securities as to which registration has
      been requested under this Section 5.2, and the shares of Common Stock, if any,
      as to which registration has been requested pursuant to the written contractual
      piggy-back registration rights of other stockholders of the Company, exceeds
      the
      Maximum Number of Shares, then the Company shall include in any such
      registration:

     

    (a)    If
      the
      registration is undertaken for the Company’s account: (A) first, the shares of
      Common Stock or other securities that the Company desires to sell that can
      be
      sold without exceeding the Maximum Number of Shares; (B) second, to the extent
      that the Maximum Number of Shares has not been reached under the foregoing
      clause (A), the shares of Common Stock or other securities, if any, comprised
      of
      Registrable Securities and Investor Securities, as to which registration has
      been requested pursuant to the applicable written contractual piggy-back
      registration rights of such security holders, Pro Rata, that can be sold without
      exceeding the Maximum Number of Shares; and (C) third, to the extent that the
      Maximum Number of shares has not been reached under the foregoing clauses (A)
      and (B), the shares of Common Stock or other securities for the account of
      other
      persons that the Company is obligated to register pursuant to written
      contractual piggy-back registration rights with such persons and that can be
      sold without exceeding the Maximum Number of Shares; 

     

    (b)    If
      the
      registration is a “demand” registration undertaken at the demand of holders of
      Investor Securities, (A) first, the shares of Common Stock or other securities
      for the account of the demanding persons, Pro Rata, that can be sold without
      exceeding the Maximum Number of Shares; (B) second, to the extent that the
      Maximum Number of Shares has not been reached under the foregoing clause (A),
      the shares of Common Stock or other securities that the Company desires to
      sell
      that can be sold without exceeding the Maximum Number of Shares; (C) third,
      to
      the extent that the Maximum Number of Shares has not been reached under the
      foregoing clauses (A) and (B), the shares of Registrable Securities, Pro Rata,
      as to which registration has been requested pursuant to the terms hereof, that
      can be sold without exceeding the Maximum Number of Shares; and (D) fourth,
      to
      the extent that the Maximum Number of Shares has not been reached under the
      foregoing clauses (A), (B) and (C), the shares of Common Stock or other
      securities for the account of other persons that the Company is obligated to
      register pursuant to written contractual arrangements with such persons, that
      can be sold without exceeding the Maximum Number of Shares; and

     

    
      
        
        

      

      
        -6-

        
          

        

      

      
        
        

      

    

    (c)    If
      the
      registration is a “demand” registration undertaken at the demand of persons
      other than either the holders of Registrable Securities or of Investor
      Securities, (A) first, the shares of Common Stock or other securities for the
      account of the demanding persons that can be sold without exceeding the Maximum
      Number of Shares; (B) second, to the extent that the Maximum Number of Shares
      has not been reached under the foregoing clause (A), the shares of Common Stock
      or other securities that the Company desires to sell that can be sold without
      exceeding the Maximum Number of Shares; (C) third, to the extent that the
      Maximum Number of Shares has not been reached under the foregoing clauses (A)
      and (B), collectively the shares of Common Stock or other securities comprised
      of Registrable Securities and Investor Securities, Pro Rata, as to which
      registration has been requested pursuant to the terms hereof and of the
      Registration Rights Agreement, as applicable, that can be sold without exceeding
      the Maximum Number of Shares; and (D) fourth, to the extent that the Maximum
      Number of Shares has not been reached under the foregoing clauses (A), (B)
      and
      (C), the shares of Common Stock or other securities for the account of other
      persons that the Company is obligated to register pursuant to written
      contractual arrangements with such persons, that can be sold without exceeding
      the Maximum Number of Shares.

     

    5.2.3    Withdrawal.
      Any
      holder of Registrable Securities may elect to withdraw such holder’s request for
      inclusion of Registrable Securities in any Piggy-Back Registration by giving
      written notice to the Company of such request to withdraw prior to the
      effectiveness of the registration statement. The Company (whether on its own
      determination or as the result of a withdrawal by persons making a demand
      pursuant to written contractual obligations) may withdraw a registration
      statement at any time prior to the effectiveness of the registration statement.
      Notwithstanding any such withdrawal, the Company shall pay all expenses incurred
      by the holders of Registrable Securities in connection with such Piggy-Back
      Registration as provided in Section 5.2.4.

     

    5.2.4    Terms.
      The
      Company shall bear all fees and expenses attendant to registering the
      Registrable Securities, including the expenses of any legal counsel selected
      by
      the Holders to represent them in connection with the sale of the Registrable
      Securities but the Holders shall pay any and all underwriting commissions
      related to the Registrable Securities. In the event of such a proposed
      registration, the Company shall furnish the then Holders of outstanding
      Registrable Securities with not less than fifteen days written notice prior
      to
      the proposed date of filing of such registration statement. Such notice to
      the
      Holders shall continue to be given for each applicable registration statement
      filed (during the period in which the Purchase Option is exercisable) by the
      Company until such time as all of the Registrable Securities have been
      registered and sold. The holders of the Registrable Securities shall exercise
      the “piggy-back” rights provided for herein by giving written notice, within ten
      days of the receipt of the Company’s notice of its intention to file a
      registration statement. The Company shall cause any registration statement
      filed
      pursuant to the above “piggyback” rights to remain effective for at least nine
      months from the date that the Holders of the Registrable Securities are first
      given the opportunity to sell all of such securities.

     

    
      
        
        

      

      
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    5.3    Damages.
      Should
      the registration or the effectiveness thereof required by Sections 5.1 and
      5.2
      hereof be delayed by the Company or the Company otherwise fails to comply with
      such provisions, the Company shall, in addition to any other equitable or other
      relief available to the Holder(s), be liable for any and all incidental, special
      and consequential damages sustained by the Holder(s), including, but not limited
      to, the loss of any profits that might have been received by the holder upon
      the
      sale of shares of Common Stock or Warrants (and shares of Common Stock
      underlying the Warrants) underlying this Purchase Option.

     

    5.4    General
      Terms.

     

    5.4.1    Indemnification.
      The
      Company shall indemnify the Holder(s) of the Registrable Securities to be sold
      pursuant to any registration statement hereunder and each person, if any, who
      controls such Holders within the meaning of Section 15 of the Act or Section
      20(a) of the Securities Exchange Act of 1934, as amended (“Exchange
      Act”),
      against all loss, claim, damage, expense or liability (including all reasonable
      attorneys’ fees and other expenses reasonably incurred in investigating,
      preparing or defending against litigation, commenced or threatened, or any
      claim
      whatsoever whether arising out of any action between the underwriter and the
      Company or between the underwriter and any third party or otherwise) to which
      any of them may become subject under the Act, the Exchange Act or otherwise,
      arising from such registration statement but only to the same extent and with
      the same effect as the provisions pursuant to which the Company has agreed
      to
      indemnify the underwriters contained in Section 5 of the Underwriting Agreement
      between the Company, Jesup & Lamont and the other underwriters named therein
      dated the Effective Date. The Holder(s) of the Registrable Securities to be
      sold
      pursuant to such registration statement, and their successors and assigns,
      shall
      severally, and not jointly, indemnify the Company, its officers and directors
      and each person, if any, who controls the Company within the meaning of Section
      15 of the Act or Section 20(a) of the Exchange Act, against all loss, claim,
      damage, expense or liability (including all reasonable attorneys’ fees and other
      expenses reasonably incurred in investigating, preparing or defending against
      any claim whatsoever) to which they may become subject under the Act, the
      Exchange Act or otherwise, arising from information furnished by or on behalf
      of
      such Holders, or their successors or assigns, in writing, for specific inclusion
      in such registration statement to the same extent and with the same effect
      as
      the provisions contained in Section 5 of the Underwriting Agreement pursuant
      to
      which the underwriters have agreed to indemnify the Company.

     

    5.4.2    Exercise
      of Purchase Options.
      Nothing
      contained in this Purchase Option shall be construed as requiring the Holder(s)
      to exercise their Purchase Options or Warrants underlying such Purchase Options
      prior to or after the initial filing of any registration statement or the
      effectiveness thereof.

     

    
      
        
        

      

      
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    5.4.3    Documents
      Delivered to Holders.
      The
      Company shall furnish Jesup & Lamont, as representative of the Holders
      participating in any of the foregoing offerings, a signed counterpart, addressed
      to the participating Holders, of (i) an opinion of counsel to the Company,
      dated
      the effective date of such registration statement (and, if such registration
      includes an underwritten public offering, an opinion dated the date of the
      closing under any underwriting agreement related thereto), and (ii) a “cold
      comfort” letter dated the effective date of such registration statement (and, if
      such registration includes an underwritten public offering, a letter dated
      the
      date of the closing under the underwriting agreement) signed by the independent
      public accountants who have issued a report on the Company’s financial
      statements included in such registration statement, in each case covering
      substantially the same matters with respect to such registration statement
      (and
      the prospectus included therein) and, in the case of such accountants’ letter,
      with respect to events subsequent to the date of such financial statements,
      as
      are customarily covered in opinions of issuer’s counsel and in accountants’
      letters delivered to underwriters in underwritten public offerings of
      securities. The Company shall also deliver promptly to Jesup & Lamont, as
      representative of the Holders participating in the offering, the correspondence
      and memoranda described below and copies of all correspondence between the
      Commission and the Company, its counsel or auditors and all memoranda relating
      to discussions with the Commission or its staff with respect to the registration
      statement and permit Jesup & Lamont, as representative of the Holders, to do
      such investigation, upon reasonable advance notice, with respect to information
      contained in or omitted from the registration statement as it deems reasonably
      necessary to comply with applicable securities laws or rules of the National
      Association of Securities Dealers, Inc. (“NASD”).
      Such
      investigation shall include access to books, records and properties and
      opportunities to discuss the business of the Company with its officers and
      independent auditors, all to such reasonable extent and at such reasonable
      times
      and as often as Jesup & Lamont, as representative of the Holders, shall
      reasonably request. The Company shall not be required to disclose any
      confidential information or other records to Jesup & Lamont, as
      representative of the Holders, or to any other person, until and unless such
      persons shall have entered into reasonable confidentiality agreements (in form
      and substance reasonably satisfactory to the Company), with the Company with
      respect thereto.

     

    5.4.4    Underwriting
      Agreement.
      The
      Company shall enter into an underwriting agreement with the managing
      underwriter(s), if any, selected by any Holders whose Registrable Securities
      are
      being registered pursuant to this Section 5, which managing underwriter shall
      be
      reasonably acceptable to the Company. Such agreement shall be reasonably
      satisfactory in form and substance to the Company, each Holder and such managing
      underwriters, and shall contain such representations, warranties and covenants
      by the Company and such other terms as are customarily contained in agreements
      of that type used by the managing underwriter. The Holders shall be parties
      to
      any underwriting agreement relating to an underwritten sale of their Registrable
      Securities and may, at their option, require that any or all the
      representations, warranties and covenants of the Company to or for the benefit
      of such underwriters shall also be made to and for the benefit of such Holders.
      Such Holders shall not be required to make any representations or warranties
      to
      or agreements with the Company or the underwriters except as they may relate
      to
      such Holders and their intended methods of distribution. Such Holders, however,
      shall agree to such covenants and indemnification and contribution obligations
      for selling stockholders as are customarily contained in agreements of that
      type
      used by the managing underwriter. Further, such Holders shall execute
      appropriate custody agreements and otherwise cooperate fully in the preparation
      of the registration statement and other documents relating to any offering
      in
      which they include securities pursuant to this Section 5. Each Holder shall
      also
      furnish to the Company such information regarding itself, the Registrable
      Securities held by it, and the intended method of disposition of such securities
      as shall be reasonably required to effect the registration of the Registrable
      Securities.

     

    
      
        
        

      

      
        -9-

        
          

        

      

      
        
        

      

    

    5.4.5    Rule
      144 Sale.
      Notwithstanding anything contained in this Section 5 to the contrary, the
      Company shall have no obligation pursuant to Sections 5.1 or 5.2 for the
      registration of Registrable Securities held by any Holder (i) where such Holder
      would then be entitled to sell under Rule 144 within any three-month period
      (or
      such other period prescribed under Rule 144 as may be provided by amendment
      thereof) all of the Registrable Securities then held by such Holder, and (ii)
      where the number of Registrable Securities held by such Holder is within the
      volume limitations under paragraph (e) of Rule 144 (calculated as if such Holder
      were an affiliate within the meaning of Rule 144).

     

    5.4.6    Supplemental
      Prospectus.
      Each
      Holder agrees, that upon receipt of any notice from the Company of the happening
      of any event as a result of which the prospectus included in the Registration
      Statement, as then in effect, includes an untrue statement of a material fact
      or
      omits to state a material fact required to be stated therein or necessary to
      make the statements therein not misleading in light of the circumstances then
      existing, such Holder will immediately discontinue disposition of Registrable
      Securities pursuant to the Registration Statement covering such Registrable
      Securities until such Holder’s receipt of the copies of a supplemental or
      amended prospectus, and, if so desired by the Company, such Holder shall deliver
      to the Company (at the expense of the Company) or destroy (and deliver to the
      Company a certificate of such destruction) all copies, other than permanent
      file
      copies then in such Holder’s possession, of the prospectus covering such
      Registrable Securities current at the time of receipt of such
      notice.

     

    6.    Adjustments.

     

    6.1    Adjustments
      to Exercise Price and Number of Securities.
      The
      Exercise Price and the number of Units underlying the Purchase Option shall
      be
      subject to adjustment from time to time as hereinafter set forth:

     

    6.1.1    Stock
      Dividends - Split-Ups.
      If
      after the date hereof, and subject to the provisions of Section 6.3 below,
      the
      number of outstanding shares of Common Stock is increased by a stock dividend
      payable in shares of Common Stock or by a split-up of shares of Common Stock
      or
      other similar event, then, on the effective date thereof, the number of shares
      of Common Stock underlying each of the Units purchasable hereunder shall be
      increased in proportion to such increase in outstanding shares. In such case,
      the number of shares of Common Stock, and the exercise price applicable thereto,
      underlying the Warrants underlying each of the Units purchasable hereunder
      shall
      be adjusted in accordance with the terms of the Warrants. For example, if the
      Company declares a two-for-one stock dividend and at the time of such dividend
      this Purchase Option is for the purchase of one Unit at $6.00 per whole Unit
      (each Warrant underlying the Units is exercisable for $5.00 per share), upon
      effectiveness of the dividend, this Purchase Option will be adjusted to allow
      for the purchase of one Unit at $6.00 per Unit, each Unit entitling the holder
      to receive two shares of Common Stock and four Warrants (each Warrant
      exercisable for $2.50 per share).

     

    
      
        
        

      

      
        -10-

        
          

        

      

      
        
        

      

    

    6.1.2    Aggregation
      of Shares.
      If
      after the date hereof, and subject to the provisions of Section 6.3, the number
      of outstanding shares of Common Stock is decreased by a consolidation,
      combination or reclassification of shares of Common Stock or other similar
      event, then, on the effective date thereof, the number of shares of Common
      Stock
      underlying each of the Units purchasable hereunder shall be decreased in
      proportion to such decrease in outstanding shares. In such case, the number
      of
      shares of Common Stock, and the exercise price applicable thereto, underlying
      the Warrants underlying each of the Units purchasable hereunder shall be
      adjusted in accordance with the terms of the Warrants.

     

    6.1.3    Replacement
      of Securities upon Reorganization, etc.
      In case
      of any reclassification or reorganization of the outstanding shares of Common
      Stock other than a change covered by Section 6.1.1 or 6.1.2 hereof or that
      solely affects the par value of such shares of Common Stock, or in the case
      of
      any merger or consolidation of the Company with or into another corporation
      (other than a consolidation or merger in which the Company is the continuing
      corporation and that does not result in any reclassification or reorganization
      of the outstanding shares of Common Stock), or in the case of any sale or
      conveyance to another corporation or entity of the property of the Company
      as an
      entirety or substantially as an entirety in connection with which the Company
      is
      dissolved, the Holder of this Purchase Option shall have the right thereafter
      (until the expiration of the right of exercise of this Purchase Option) to
      receive upon the exercise hereof, for the same aggregate Exercise Price payable
      hereunder immediately prior to such event, the kind and amount of shares of
      stock or other securities or property (including cash) receivable upon such
      reclassification, reorganization, merger or consolidation, or upon a dissolution
      following any such sale or transfer, by a Holder of the number of shares of
      Common Stock of the Company obtainable upon exercise of this Purchase Option
      and
      the underlying Warrants immediately prior to such event; and if any
      reclassification also results in a change in shares of Common Stock covered
      by
      Section 6.1.1 or 6.1.2, then such adjustment shall be made pursuant to Sections
      6.1.1, 6.1.2 and this Section 6.1.3. The provisions of this Section 6.1.3 shall
      similarly apply to successive reclassifications, reorganizations, mergers or
      consolidations, sales or other transfers.

     

    6.1.4    Changes
      in Form of Purchase Option.
      This
      form of Purchase Option need not be changed because of any change pursuant
      to
      this Section, and Purchase Options issued after such change may state the same
      Exercise Price and the same number of Units as are stated in the Purchase
      Options initially issued pursuant to this Agreement. The acceptance by any
      Holder of the issuance of new Purchase Options reflecting a required or
      permissive change shall not be deemed to waive any rights to an adjustment
      occurring after the Commencement Date or the computation thereof.

     

    6.2    Substitute
      Purchase Option.
      In case
      of any consolidation of the Company with, or merger of the Company with, or
      merger of the Company into, another corporation (other than a consolidation
      or
      merger which does not result in any reclassification or change of the
      outstanding Common Stock), the corporation formed by such consolidation or
      merger shall execute and deliver to the Holder a supplemental Purchase Option
      providing that the holder of each Purchase Option then outstanding or to be
      outstanding shall have the right thereafter (until the stated expiration of
      such
      Purchase Option) to receive, upon exercise of such Purchase Option, the kind
      and
      amount of shares of stock and other securities and property receivable upon
      such
      consolidation or merger, by a holder of the number of shares of Common Stock
      of
      the Company for which such Purchase Option might have been exercised immediately
      prior to such consolidation, merger, sale or transfer. Such supplemental
      Purchase Option shall provide for adjustments which shall be identical to the
      adjustments provided in Section 6.1. The above provision of this Section shall
      similarly apply to successive consolidations or mergers.

     

    
      
        
        

      

      
        -11-

        
          

        

      

      
        
        

      

    

    6.3    Elimination
      of Fractional Interests.
      The
      Company shall not be required to issue certificates representing fractions
      of
      shares of Common Stock or Warrants upon the exercise of the Purchase Option,
      nor
      shall it be required to issue scrip or pay cash in lieu of any fractional
      interests, it being the intent of the parties that all fractional interests
      shall be eliminated by rounding any fraction up to the nearest whole number
      of
      Warrants, shares of Common Stock or other securities, properties or
      rights.

     

    7.    Reservation
      and Listing.
      The
      Company shall at all times reserve and keep available out of its authorized
      shares of Common Stock, solely for the purpose of issuance upon exercise of
      the
      Purchase Options or the Warrants underlying the Purchase Option, such number
      of
      shares of Common Stock or other securities, properties or rights as shall be
      issuable upon the exercise thereof. The Company covenants and agrees that,
      upon
      exercise of the Purchase Options and payment of the Exercise Price therefor,
      all
      shares of Common Stock and other securities issuable upon such exercise shall
      be
      duly and validly issued, fully paid and non-assessable and not subject to
      preemptive rights of any stockholder. The Company further covenants and agrees
      that upon exercise of the Warrants underlying the Purchase Options and payment
      of the respective Warrant exercise price therefor, all shares of Common Stock
      and other securities issuable upon such exercise shall be duly and validly
      issued, fully paid and non-assessable and not subject to preemptive rights
      of
      any stockholder. As long as the Purchase Options shall be outstanding, the
      Company shall use its best efforts to cause all (i) Units and shares of Common
      Stock issuable upon exercise of the Purchase Options, (ii) Warrants issuable
      upon exercise of the Purchase Options and (iii) shares of Common Stock issuable
      upon exercise of the Warrants included in the Units issuable upon exercise
      of
      the Purchase Option to be listed (subject to official notice of issuance) on
      all
      securities exchanges (or, if applicable on the Nasdaq National Market, SmallCap
      Market, OTC Bulletin Board or any successor trading market) on which the Units,
      the Common Stock or the Public Warrants issued to the public in connection
      herewith may then be listed and/or quoted.

     

    8.    Certain
      Notice Requirements.

     

    8.1    Holder’s
      Right to Receive Notice.
      Nothing
      herein shall be construed as conferring upon the Holders the right to vote
      or
      consent as a stockholder for the election of directors or any other matter,
      or
      as having any rights whatsoever as a stockholder of the Company. If, however,
      at
      any time prior to the expiration of the Purchase Options and their exercise,
      any
      of the events described in Section 8.2 shall occur, then, in one or more of
      said
      events, the Company shall give written notice of such event at least fifteen
      days prior to the date fixed as a record date or the date of closing the
      transfer books for the determination of the stockholders entitled to such
      dividend, distribution, conversion or exchange of securities or subscription
      rights, or entitled to vote on such proposed dissolution, liquidation, winding
      up or sale. Such notice shall specify such record date or the date of the
      closing of the transfer books, as the case may be. Notwithstanding the
      foregoing, the Company shall deliver to each Holder a copy of each notice given
      to the other stockholders of the Company at the same time and in the same manner
      that such notice is given to the stockholders.

     

    
      
        
        

      

      
        -12-

        
          

        

      

      
        
        

      

    

    8.2    Events
      Requiring Notice.
      The
      Company shall be required to give the notice described in this Section 8 upon
      one or more of the following events: (i) if the Company shall take a record
      of
      the holders of its shares of Common Stock for the purpose of entitling them
      to
      receive a dividend or distribution payable otherwise than in cash, or a cash
      dividend or distribution payable otherwise than out of retained earnings, as
      indicated by the accounting treatment of such dividend or distribution on the
      books of the Company, or (ii) the Company shall offer to all the holders of
      its
      Common Stock any additional shares of capital stock of the Company or securities
      convertible into or exchangeable for shares of capital stock of the Company,
      or
      any option, right or warrant to subscribe therefor, or (iii) a dissolution,
      liquidation or winding up of the Company (other than in connection with a
      consolidation or merger) or a sale of all or substantially all of its property,
      assets and business shall be proposed.

     

    8.3    Notice
      of Change in Exercise Price.
      The
      Company shall, promptly after an event requiring a change in the Exercise Price
      pursuant to Section 6 hereof, send notice to the Holders of such event and
      change (“Price
      Notice”).
      The
      Price Notice shall describe the event causing the change and the method of
      calculating same and shall be certified as being true and accurate by the
      Company’s President and Chief Financial Officer.

     

    8.4    Transmittal
      of Notices.
      All
      notices, requests, consents and other communications under this Purchase Option
      shall be in writing and shall be deemed to have been duly made when hand
      delivered, or mailed by express mail or private courier service: (i) if to
      the
      registered Holder of the Purchase Option, to the address of such Holder as
      shown
      on the books of the Company, or (ii) if to the Company, to the following address
      or to such other address as the Company may designate by notice to the
      Holders:

     

    Everest
      Acquisition Corporation

    15/F,
      The
      Hong Kong Club Building

    3A
      Chater
      Road Central

    Hong
      Kong

    Attn: Ashok
      S.
      Kothari, Chief Executive Officer

     

    9.    Miscellaneous.

     

    9.1    Amendments.
      The
      Company and Jesup & Lamont may from time to time supplement or amend this
      Purchase Option without the approval of any of the Holders in order to cure
      any
      ambiguity, to correct or supplement any provision contained herein that may
      be
      defective or inconsistent with any other provisions herein, or to make any
      other
      provisions in regard to matters or questions arising hereunder that the Company
      and Jesup & Lamont may deem necessary or desirable and that the Company and
      Jesup & Lamont deem shall not adversely affect the interest of the Holders.
      All other modifications or amendments shall require the written consent of
      and
      be signed by the party against whom enforcement of the modification or amendment
      is sought.

     

    
      
        
        

      

      
        -13-

        
          

        

      

      
        
        

      

    

    9.2    Headings.
      The
      headings contained herein are for the sole purpose of convenience of reference,
      and shall not in any way limit or affect the meaning or interpretation of any
      of
      the terms or provisions of this Purchase Option.

     

    10.    Entire
      Agreement.
      This
      Purchase Option (together with the other agreements and documents being
      delivered pursuant to or in connection with this Purchase Option) constitutes
      the entire agreement of the parties hereto with respect to the subject matter
      hereof, and supersedes all prior agreements and understandings of the parties,
      oral and written, with respect to the subject matter hereof.

     

    10.1    Binding
      Effect.
      This
      Purchase Option shall inure solely to the benefit of and shall be binding upon,
      the Holder and the Company and their permitted assignees, respective successors,
      legal representatives and assigns, and no other person shall have or be
      construed to have any legal or equitable right, remedy or claim under or in
      respect of or by virtue of this Purchase Option or any provisions herein
      contained.

     

    10.2    Governing
      Law; Submission to Jurisdiction.
      This
      Purchase Option shall be governed by and construed and enforced in accordance
      with the laws of the State of New York, without giving effect to conflict of
      laws. The Company hereby agrees that any action, proceeding or claim against
      it
      arising out of, or relating in any way to this Purchase Option shall be brought
      and enforced in the courts of the State of New York or of the United States
      of
      America for the Southern District of New York, and irrevocably submits to such
      jurisdiction, which jurisdiction shall be exclusive. The Company hereby waives
      any objection to such exclusive jurisdiction and that such courts represent
      an
      inconvenient forum. Any process or summons to be served upon the Company may
      be
      served by transmitting a copy thereof by registered or certified mail, return
      receipt requested, postage prepaid, addressed to it at the address set forth
      in
      Section 8 hereof. Such mailing shall be deemed personal service and shall be
      legal and binding upon the Company in any action, proceeding or claim. The
      Company and the Holder agree that the prevailing party(ies) in any such action
      shall be entitled to recover from the other party(ies) all of its reasonable
      attorneys’ fees and expenses relating to such action or proceeding and/or
      incurred in connection with the preparation therefor.

     

    10.3    Waiver,
      Etc.
      The
      failure of the Company or the Holder to at any time enforce any of the
      provisions of this Purchase Option shall not be deemed or construed to be a
      waiver of any such provision, nor to in any way affect the validity of this
      Purchase Option or any provision hereof or the right of the Company or any
      Holder to thereafter enforce each and every provision of this Purchase Option.
      No waiver of any breach, non-compliance or non- fulfillment of any of the
      provisions of this Purchase Option shall be effective unless set forth in a
      written instrument executed by the party or parties against whom or which
      enforcement of such waiver is sought; and no waiver of any such breach,
      non-compliance or non- fulfillment shall be construed or deemed to be a waiver
      of any other or subsequent breach or non-compliance.

     

    10.4    Execution
      in Counterparts.
      This
      Purchase Option may be executed in one or more counterparts, and by the
      different parties hereto in separate counterparts, each of which shall be deemed
      to be an original, but all of which taken together shall constitute one and
      the
      same agreement, and shall become effective when one or more counterparts has
      been signed by each of the parties hereto and delivered to each of the other
      parties hereto.

     

    
      
        
        

      

      
        -14-

        
          

        

      

      
        
        

      

    

    10.5    Exchange
      Agreement.
      As a
      condition of the Holder’s receipt and acceptance of this Purchase Option, Holder
      agrees that, at any time prior to the complete exercise of this Purchase Option
      by Holder, if the Company and Jesup & Lamont enter into an agreement
      (“Exchange
      Agreement”)
      pursuant to which they agree that all outstanding Purchase Options will be
      exchanged for securities or cash or a combination of both, then Holder shall
      agree to such exchange and become a party to the Exchange
      Agreement.

     

    IN
      WITNESS WHEREOF, the Company has caused this Purchase Option to be signed by
      its
      duly authorized officer as of the ____ day of __________, 2005.

     

    EVEREST
      ACQUISITION CORPORATION

     

     

    By:____________________________

    Name:
      Ashok S. Kothari

    Title:
      Chief Executive Officer

     

     

     

    

    
      
        
        

      

      
        -15-

        
          

        

      

      
        
        

      

    

    Form
      to
      be used to exercise Purchase Option:

     

    Everest
      Acquisition Corporation

    15/F,
      The
      Hong Kong Club Building

    3A
      Chater
      Road Central

    Hong
      Kong

    Attn: Ashok
      S.
      Kothari, Chief Executive Officer

     

    Date:_________________,
      200__

     

    The
      undersigned hereby elects irrevocably to exercise all or a portion of the within
      Purchase Option and to purchase ____ Units of Everest Acquisition Corporation
      and hereby makes payment of $____________ (at the rate of $_________ per Unit)
      in payment of the Exercise Price pursuant thereto. Please issue the Common
      Stock
      and Warrants as to which this Purchase Option is exercised in accordance with
      the instructions given below.

     

     

    
      
        

      

    

    Signature

     

     

    
      
        

      

    

    Signature
      Guaranteed

     

     

    INSTRUCTIONS
      FOR REGISTRATION OF SECURITIES

     

    Name
      

     

    (Print
      in
      Block Letters)

     

    Address
      

     

    NOTICE:
      THE SIGNATURE TO THIS FORM MUST CORRESPOND WITH THE NAME AS WRITTEN UPON THE
      FACE OF THE WITHIN PURCHASE OPTION IN EVERY PARTICULAR WITHOUT ALTERATION OR
      ENLARGEMENT OR ANY CHANGE WHATSOEVER, AND MUST BE GUARANTEED BY A BANK, OTHER
      THAN A SAVINGS BANK, OR BY A TRUST COMPANY OR BY A FIRM HAVING MEMBERSHIP ON
      A
      REGISTERED NATIONAL SECURITIES EXCHANGE.

     

    

    
      
        
        

      

      
        -16-

        
          

        

      

      
        
        

      

    

    Form
      to
      be used to assign Purchase Option:

     

    ASSIGNMENT

     

    (To
      be
      executed by the registered Holder to effect a transfer of the within Purchase
      Option):

     

    FOR
      VALUE
      RECEIVED,______________________________________________ does hereby sell, assign
      and transfer unto___________________________________________ the right to
      purchase __________ Units of Everest Acquisition Corporation (“Company”)
      evidenced by the within Purchase Option and does hereby authorize the Company
      to
      transfer such right on the books of the Company.

     

    Dated:___________________,
      200_

     

    
      
        

      

    

    Signature

     

     

    
      
        

      

    

    Signature
      Guaranteed

     

     

    NOTICE:
      THE SIGNATURE TO THIS FORM MUST CORRESPOND WITH THE NAME AS WRITTEN UPON THE
      FACE OF THE WITHIN PURCHASE OPTION IN EVERY PARTICULAR WITHOUT ALTERATION OR
      ENLARGEMENT OR ANY CHANGE WHATSOEVER, AND MUST BE GUARANTEED BY A BANK, OTHER
      THAN A SAVINGS BANK, OR BY A TRUST COMPANY OR BY A FIRM HAVING MEMBERSHIP ON
      A
      REGISTERED NATIONAL SECURITIES EXCHANGE.

     

     

    
      
        
        

      

      -17-

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