Document:

EXECUTIVE
      EMPLOYMENT AGREEMENT

     

    THIS
      AGREEMENT
      made
      effective as of the ____ day of August, 2006.

     

    BETWEEN:

     

    CANWEST
      PETROLEUM CORPORATION,
      a body
      corporate incorporated under the laws of the State of Colorado (hereinafter
      called the "Corporation")

     

    -
      and
      -

     

    ERRIN
      KIMBALL,
      an
      individual resident in Edmonton, Alberta (hereinafter called the
      "Executive")

     

    WHEREAS
      the
      Corporation wishes to employ the
      Executive as the Vice President, Exploration of the Corporation pursuant
      to the terms of this Agreement;

     

    AND
      WHEREAS
      the
      Executive wishes to accept employment
      with the Corporation as the Vice President, Exploration of
      the
      Corporation pursuant to the terms of this Agreement;

     

    NOW
      THEREFORE
      in
      consideration of the employment of the Executive by the Corporation, and for
      other good and valuable consideration, the receipt and sufficiency of which
      is
      hereby acknowledged, the Parties agree as follows:

     

     

    ARTICLE
      I

    DEFINITIONS
      AND INTERPRETATION

     

     

    1.1 In
      this
      Agreement, the following terms shall have the following meanings:

     

    
      	 	
              (a)

            	
              "Act"
                means the Business
                Corporations Act (Alberta),
                as amended;

            

    

     

    
      	 	
              (b)

            	
              "affiliated"
                has the meaning set out in the Act, and an "affiliate" means one
                of two or
                more affiliated bodies corporate;

            

    

     

    
      	 	
              (c)

            	
              "Agreement"
                means this Executive Employment
                Agreement;

            

    

     

    
      	 	
              (d)

            	
              "Base
                Fee" means the amount paid to the Executive annually by the Corporation
                pursuant to Article 5.1;

            

    

     

    
      	 	
              (e)

            	
              "Board
                of Directors" means the board of directors of the
                Corporation;

            

    

     

    
      	 	
              (f)

            	
              "Business"
                means the business of the
                Corporation;

            

    

     

    
      	 	
              (g)

            	
              "Cause"
                means any reason which would entitle the Corporation to terminate
                the
                Executive's employment without notice or payment in lieu of notice
                at
                common law, or under the provisions of any other applicable law or
                regulation and includes, without limiting the generality of the
                foregoing:

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

     

    
      	 	
              (i)

            	
              fraud,
                misappropriation of the Corporation's property or funds, embezzlement,
                malfeasance, misfeasance or nonfeasance in office which is willfully
                or
                grossly negligent on the part of the Executive;

            

    

     

    
      	 	
              (ii)

            	
              the
                willful allowance by the Executive of his duty to the Corporation
                and his
                personal interests to come in conflict in a material way in relation
                to
                any transaction or matter that is of a substantial nature;
                or

            

    

     

    
      	 	
              (iii)

            	
              the
                material breach by the Executive of any of his covenants or obligations
                under this Agreement including, without limitation, any non-competition,
                non-solicitation or confidentiality covenants with the
                Corporation;

            

    

     

     

    
      	 	
              (h)

            	
              "Change
                of Control" means the occurrence of any of the
                following:

            

    

     

    
      	 	
              (i)

            	
              the
                acquisition, by whatever means, by a person (or two or more persons
                who in
                such acquisition have acted jointly or in concert or intend to exercise
                jointly or in concert any voting rights attaching to the securities
                acquired), directly or indirectly, of the beneficial ownership of
                such
                number of voting securities or rights to voting securities of the
                Corporation, which together with such person's then owned voting
                securities and rights to voting securities, if any, represent (assuming
                the full exercise of such rights to voting securities) more than
                30% of
                the combined voting power of the Corporation's then outstanding voting
                securities and such person's previously owned rights to voting securities;
                or

            

    

     

    
      	 	
              (ii)

            	
              the
                amalgamation, consolidation or merger of the Corporation with any
                other
                corporation pursuant to which the shareholders of the Corporation
                immediately prior to such transaction do not own voting securities
                of the
                successor or continuing corporation which would entitle them to cast
                more
                than 30% of the votes attaching to shares in the capital of the successor
                or continuing corporation which might be cast to elect directors
                of that
                corporation; or

            

    

     

    
      	 	
              (iii)

            	
              the
                election at a meeting of the Corporation's shareholders, as directors
                of
                the Corporation, of a number of persons, who were not included in
                the
                slate for election as directors proposed to the Corporation's shareholders
                by the Corporation's prior Board of Directors, and who would represent
                a
                majority of the Board of Directors, or the appointment as directors
                of the
                Corporation, of a number of persons which would represent a majority
                of
                the Board of Directors, nominated by any holder of voting shares
                of the
                Corporation or by any group of holders of voting shares of the Corporation
                acting jointly or in concert and not approved by the Corporation's
                prior
                Board of Directors;

            

    

     

    
      	 	
              (i)

            	
              "Company
                Property" includes any and all proprietary technology, financial,
                operating and training information, all works of expression and any
                copyrights in such works, current or potential business contacts
                and
                contract development information, patentable inventions, discoveries
                or
                trade secrets, and any materials, tools, equipment, devices, records,
                files, data, tapes, computer programs, computer disks, software,
                communications, letters, proposals, memoranda, lists, drawings,
                blueprints, correspondence, specifications or any other documents
                or
                property belonging to the Corporation or any Related
                Corporations;

            

    

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    

     

    
      	 	
              (j)

            	
              "Confidential
                Information" means any information of a confidential nature which
                relates
                to the Business of the Corporation or any Related Corporation, including,
                without limiting the generality of the foregoing, trade secrets,
                technical
                information, marketing strategies, sales and pricing policies, financial
                information, business, marketing or technical plans, programs, methods,
                techniques, concepts, formulas, documentation, intellectual property,
                software, industrial designs, products, geophysical studies and data,
                strategic studies, engineering information, customer and supplier
                lists,
                shareholder data and personnel information. Notwithstanding the foregoing,
                Confidential Information shall not include any information
                which:

            

    

     

     

    
      	 	
              (i)

            	
              was
                in the possession of or known to the Executive prior to joining the
                Corporation or any Related Corporation, without any obligation to
                keep it
                confidential, before it was disclosed to the Executive by the Corporation;
                or

            

    

     

    
      	 	
              (ii)

            	
              is
                or becomes public knowledge through no fault of the Executive;
                or

            

    

     

    
      	 	
              (iii)

            	
              is
                independently developed by the Executive outside the scope of his
                employment with the Corporation; or

            

    

     

    
      	 	
              (iv)

            	
              is
                disclosed by the Corporation or any Related Corporation, to another
                Person
                without any restriction on its use or disclosure;
                or

            

    

     

    
      	 	
              (v)

            	
              is
                or becomes lawfully available to the Executive from a source other
                than
                the Corporation;

            

    

     

    
      	 	
              (k)

            	
              "Effective
                Date" means the date of this Agreement, unless otherwise noted herein
                or
                agreed to by the Parties;

            

    

     

    
      	 	
              (l)

            	
              "Monthly
                Base Fee" means the annual Base Fee paid to the Executive, divided
                by
                12;

            

    

     

    
      	 	
              (m)

            	
              "Notice"
                means any notice given by one Party to the other Party in accordance
                with
                the provisions hereof;

            

    

     

    
      	 	
              (n)

            	
              "Notice
                Period" shall be 18 months plus one month for each completed year
                of
                employment by the Executive (which for the purposes of this Agreement
                shall be calculated from July 1, 2005), up to a maximum aggregate
                of 24
                months;

            

    

     

    
      	 	
              (o)

            	
              "Party"
                means one or other of the Executive and the Corporation, and "Parties"
                means the Executive and the
                Corporation;

            

    

     

    
      	 	
              (p)

            	
              "Permanent
                Disability" means a mental or physical disability whereby the Executive:
                

            

    

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    

     

    
      	 	
              (i)

            	
              is
                unable, due to illness, disease, mental or physical disability or
                similar
                cause, to fulfill his obligations as an officer of the Corporation
                for any
                consecutive 6 month period, or for any period of 12 or more months
                (whether consecutive or not) in any consecutive 24 month period;
                or

            

    

     

    
      	 	
              (ii)

            	
              is
                declared by a Court of competent jurisdiction to be mentally incompetent
                or incapable of managing his
                affairs;

            

    

     

    
      	 	
              (q)

            	
              "Person"
                includes an individual, partnership, association, body corporate,
                trustee,
                executor, administrator or legal representative, and "Persons" means
                a
                group of more than one Person;

            

    

     

    
      	 	
              (r)

            	
              "Related
                Corporation" means any subsidiary, parent company, division, affiliate,
                predecessor or successor of the
                Corporation;

            

    

     

    
      	 	
              (s)

            	
              "Term"
                means the period during which this Agreement remains in force pursuant
                to
                Article III;

            

    

     

    
      	 	
              (t)

            	
              "Termination
                Date" means the last day actively worked by the Executive for the
                Corporation; and

            

    

     

    
      	 	
              (u)

            	
              "Triggering
                Events" means any one or more of the
                following:

            

    

     

    
      	 	
              (i)

            	
              a
                material change (other than those which are clearly consistent with
                a
                promotion) in the services, position or duties of the Executive with
                the
                Corporation, responsibilities (including, without limitation, the
                office
                to which the Executive reports and the personnel which report to
                the
                Executive), title or office, which includes any removal of the Executive
                from or any failure to re-elect or re-appoint the Executive to any
                such
                positions or offices, without the prior consent of the
                Executive;

            

    

     

    
      	 	
              (ii)

            	
              the
                assignment by the Corporation to the Executive of any duties which
                are
                inconsistent with the Executive’s position, duties and responsibilities
                within the Corporation, without the prior consent of the
                Executive;

            

    

     

    
      	 	
              (iii)

            	
              any
                failure by the Corporation to continue in effect any material benefit,
                bonus, profit sharing, incentive, remuneration or compensation plan,
                stock
                ownership, stock option or stock purchase plan, pension plan or retirement
                plan in which the Executive is participating or entitled to participate
                or
                the Corporation taking any action or failing to take any action that
                would
                adversely affect the Executive's participation in or reduce his rights
                or
                benefits under or pursuant to any such plan, without in any of the
                foregoing events providing alternative rights or benefits of reasonably
                equivalent or greater value, or the Corporation failing to increase
                or
                improve such rights or benefits on a basis consistent with practices
                in
                effect with respect to the other senior executives of the
                Corporation;

            

    

     

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    

     

    
      	 	
              (iv)

            	
              the
                Corporation relocating the Executive to any place other than Calgary,
                Alberta without the consent of the Executive, except for required
                travel
                on the Corporation's business to an extent substantially consistent
                with
                the Executive's current duties and
                obligations;

            

    

     

    
      	 	
              (v)

            	
              the
                sale, lease or transfer by the Corporation of all or substantially
                all of
                the assets of the Corporation to any Person other than a Related
                Corporation; 

            

    

     

    
      	 	
              (vi)

            	
              approval
                by the shareholders of the Corporation of the liquidation, dissolution
                or
                winding-up of the Corporation; 

            

    

     

    
      	 	
              (vii)

            	
              any
                breach by the Corporation of any provision of this Agreement which
                is not
                rectified in all material respects within a reasonable period of
                time
                after notice of such breach has been provided by the Executive to
                the
                Corporation; 

            

    

     

    
      	 	
              (viii)

            	
              the
                failure of Christopher H. Hopkins to hold a seat on the board of
                directors
                of the Corporation for any reason whatsoever, other than a voluntary
                resignation by Mr. Hopkins; or

            

    

     

    
      	 	
              (ix)

            	
              the
                failure by the Corporation to obtain, in a form satisfactory to the
                Executive, an effective assumption of his obligations under this
                Agreement
                by any successor to the
                Corporation.

            

    

     

    1.2 The
      headings in this Agreement are inserted for convenience and ease of reference
      only, and shall not affect the construction or interpretation of this
      Agreement.

     

    1.3 All
      words
      in this Agreement importing the singular number include the plural, and vice
      versa. All words importing gender include the masculine, feminine and neuter
      genders.

     

    1.4 All
      monetary amounts are in Canadian dollars.

     

    1.5 The
      word
      "including", when following any general statement or term, is not to be
      construed as limiting the general statement or term to the specific items or
      matters set forth or to similar items or matters, but rather as permitting
      the
      general statement or term to refer to all other items or matters that could
      reasonably fall within its broadest possible scope.

     

    1.6 A
      reference to a statute includes all regulations made thereunder, all amendments
      to the statute or regulations in force from time to time, and any statute or
      regulation that supplements or supersedes such statute or
      regulations.

     

    1.7 A
      reference to an entity includes any successor to that entity.

     

    1.8 A
      reference to "approval", "authorization" or "consent’ means written approval,
      authorization or consent.

     

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

     

    1.9 A
      reference to an Article is to an Article of this Agreement and the reference
      to
      a Section followed by a number or some combination of numbers and letters refers
      to the section, paragraph, subparagraph, clause or subclause of this Agreement
      so designated.

     

     

    ARTICLE
      II

    EMPLOYMENT
      OF EXECUTIVE 

     

     

    2.1 The
      Corporation agrees to employ
      the Executive as the Vice President, Exploration of the Corporation and the
      Executive agrees to accept such employment in accordance with the terms and
      conditions of this Agreement. 

     

    2.2 The
      Parties agree that the relationship between the Corporation and the Executive
      is
      that of employer and employee.

     

     

    ARTICLE
      III

    TERM
      OF AGREEMENT

     

     

    3.1 The
      Term
      of this Agreement shall be for an indefinite period commencing on the Effective
      Date, unless earlier terminated by the Corporation or the Executive pursuant
      to
      the terms and conditions of this Agreement. 

     

     

    ARTICLE
      IV

    DUTIES
      OF EXECUTIVE

     

    4.1 The
      Executive shall, during the Term:

     

    
      	 	
              (a)

            	
              perform
                the duties and responsibilities of the Vice President, Exploration,
                including all those duties and responsibilities customarily performed
                by a
                person holding the same or an equivalent position, or performing
                duties
                similar to those to be performed by the Executive, in corporations
                of a
                similar size to the Corporation, in a similar Business to that of
                the
                Corporation in Canada and publicly traded on a recognized senior
                stock
                exchange, as well as such other related duties and responsibilities
                as may
                be assigned to the Executive by the Board of Directors of the Corporation
                from time to time, provided that such other related duties and
                responsibilities are consistent with the Executive's duties as the
                Vice
                President, Exploration;

            

    

     

    
      	 	
              (b)

            	
              accept
                such other office or offices to which he may be elected or appointed
                by
                the Board of Directors of the Corporation in addition to that of
                the Vice
                President, Exploration, provided that performance of the duties and
                responsibilities associated with such office or offices shall be
                consistent with the duties provided for in Article 4.1(a);
                

            

    

     

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    

     

    
      	 	
              (c)

            	
              devote
                the majority of his working time, attention, efforts and skill to
                the
                performance of his duties and responsibilities as set out herein,
                and
                truly and faithfully serve the best interests of the Corporation
                at all
                times. In particular, and without limiting the generality of the
                foregoing, the Executive shall not engage in any personal activities
                or
                any employment, consulting work, trade or other business activity
                on his
                own account or on behalf of any other Person, or as a material investor
                or
                shareholder of any other business or Person that competes, conflicts
                or
                interferes with the Business or the performance of the Executive's
                duties
                under this Agreement in any way, whether directly or indirectly.
                It shall
                not be a violation of this Article 4.1(c) for the Executive to engage
                in a
                voluntary activity or other public service which does not interfere
                with
                the Executive's duties under this Agreement;
                and

            

    

     

    
      	 	
              (d)

            	
              notwithstanding
                paragraph 4.1(c), the Corporation agrees that the Executive may be
                a
                member of the board of directors of other companies provided that
                the
                holding of such position would not be in direct conflict with the
                Business
                and provided that the Board of Directors of the Corporation has granted
                prior approval to such position. 

            

    

     

     

    ARTICLE
      V

    BASE
      FEE

     

     

    5.1 During
      the Term of this Agreement, the Corporation shall pay to the Executive a fee
      of
      $250,000 per annum (the "Base Fee"), less required statutory deductions, payable
      in equal semi-monthly installments or as otherwise determined by the
      Corporation. The Executive's Base Fee will be reviewed by the Board of Directors
      of the Corporation from time to time, and may be increased (but not decreased)
      at the sole discretion of the Board of Directors, based upon such factors as
      the
      Board of Directors in its sole discretion determines are relevant, which factors
      may include the performance of the Corporation and the employment compensation
      arrangements of other corporations carrying on a similar business and of a
      similar size to the Corporation in Canada.

     

    5.2 The
      Corporation shall reimburse the Executive for all reasonable out-of-pocket
      expenses incurred in the performance of his duties and in accordance with the
      applicable policies and procedures of the Corporation, as may be amended by
      the
      Corporation at its sole discretion from time to time. All payments or
      reimbursements of expenses shall be subject to the submission by the Executive
      of appropriate vouchers, bills and receipts. 

     

     

    ARTICLE
      VI

    INCENTIVE
      PAYMENTS

     

    6.1 The
      Executive shall be entitled to participate in the Corporation's long and short
      term incentive plans (including stock option plans) and bonuses from time to
      time, in amounts and on such terms and conditions as may be determined by the
      Board of Directors of the Corporation at its sole discretion. Any such
      participation by the Executive shall be subject to the terms and conditions
      of
      the relevant plan of the Corporation, as may be amended by the Board of
      Directors of the Corporation at its sole discretion from time to time, and
      by
      the terms and conditions of any applicable agreement between the Executive
      and
      the Corporation made pursuant to such plan. 

     

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

     

    ARTICLE
      VII

    BENEFITS

     

    7.1 The
      Executive shall be entitled to participate in all of the employment benefits
      provided by the Corporation for its senior executive employees ("Benefits"),
      subject to the terms and conditions of the applicable benefit plans established
      by the Corporation, as may reasonably amended by the Corporation from time
      to
      time.

     

    7.2 The
      Executive shall be entitled to the use of a vehicle provided by the Corporation.
      In the event that a vehicle is not made available to the Executive, the
      Executive shall be entitled to a vehicle allowance in the amount of $1,500
      per
      month.

     

     

    ARTICLE
      VIII

    VACATION

     

    8.1 The
      Executive shall be entitled to an annual paid vacation of 30 business days.
      Vacation may be taken in such a manner and at such times as the Executive and
      the Corporation mutually agree. In the event that the Executive is unable to
      take the entitled vacation time, the Corporation and the Executive shall
      negotiate a suitable arrangement to compensate the Executive.

     

     

    ARTICLE
      IX

    TERMINATION
      BY CORPORATION

     

    9.1 Subject
      to Section 9.3, the Corporation shall be entitled to terminate this Agreement
      and the Executive's employment at any time, for any reason, upon written Notice
      to the Executive, in which case the Corporation shall provide the Executive
      with
      the following (subject to the conditions set out in Article 9.2):

     

    
      	 	
              (a)

            	
              a
                lump sum equal to the Monthly Base Fee as at the Termination Date,
                multiplied by the number of months in the Notice
                Period;

            

    

     

    
      	 	
              (b)

            	
              a
                lump sum equal to the value of the Executive's Benefits (which value
                shall
                be deemed to be the monthly cost to the Corporation excluding GST
                and
                similar taxes), multiplied by the number of months in the Notice
                Period;
                and

            

    

     

    
      	 	
              (c)

            	
              a
                further lump sum equal to the Executive's average annual bonuses
                during
                the last three fiscal years preceding the Termination Date (or, if
                the
                Executive has been employed for less than three fiscal years, then
                for the
                period of employment preceding the Termination Date), divided by
                12 and
                multiplied by the number of months in the Notice
                Period.

            

    

     

    Payment
      of the amounts set out in this Article 9.1 shall represent full and final
      settlement of any claims by the Executive against the Corporation or any Related
      Corporation, arising out of or in any way connected to the Executive's
      employment with the Corporation or any Related Corporation, or the termination
      of such employment, whether at common law or under the provision of any statute
      or regulation, or pursuant to the terms of any agreement between the
      Parties.

     

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

     

    9.2 Payment
      of the amounts set out in Article 9.1 shall be subject to the following
      conditions:

     

    
      	 	
              (a)

            	
              the
                prior execution by the Executive of a settlement agreement and release
                and
                indemnity in favour of the Corporation and any Related Corporations,
                in a
                form reasonably acceptable to the
                Corporation;

            

    

     

    
      	 	
              (b)

            	
              any
                withholdings or deductions required by law to be made by the Corporation;
                and 

            

    

     

    
      	 	
              (c)

            	
              the
                Executive's right to receive payment under Article 9.1 shall not
                be
                subject to any duty to mitigate, nor affected by any actual mitigation
                by
                the Executive.

            

    

     

     

    9.3 The
      Corporation shall be entitled to terminate this Agreement and the Executive's
      employment with the Corporation at any time, without notice, pay in lieu of
      notice or any other form of severance or termination pay, for
      Cause.

     

    9.4 Notwithstanding
      any other term or provision of this Article 9, upon termination of the
      Executive’s employment by the Corporation for any reason, the Executive shall
      receive any Base Fee and Benefits earned up to the Termination
      Date.

     

     

    ARTICLE
      X

    TERMINATION
      BY EXECUTIVE

     

    10.1 The
      Executive may terminate this Agreement and his employment with the Corporation
      by providing 60 days' prior written Notice to the Corporation. Upon termination
      of his employment pursuant to this Article 10.1, the Executive shall not be
      entitled to receive any notice or pay in lieu of notice, or any other form
      of
      severance or termination pay pursuant to this or any other agreement between
      the
      Parties.

     

    10.2 Notwithstanding
      the provision in Article 10.1, the Executive may terminate his employment with
      the Corporation and receive the payments set out in Article 10.3, upon the
      occurrence of either a Change of Control or a Triggering Event, and subject
      to
      the conditions set out in Article 10.4.

     

    10.3 Upon
      the
      occurrence of either a Change of Control or a Triggering Event, and subject
      to
      the conditions set out in Article 10.4, the Executive shall receive the
      following:

     

    
      	 	
              (a)

            	
              a
                lump sum equal to the Monthly Base Fee as at the Termination Date,
                multiplied by the number of months in the Notice
                Period;

            

    

     

    
      	 	
              (b)

            	
              a
                lump sum equal to the value of the Executive's Benefits (which value
                shall
                be deemed to be the monthly cost to the Corporation excluding GST
                and
                similar taxes), multiplied by the number of months in the Notice
                Period;
                and

            

    

     

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

     

     

    
      	 	
              (c)

            	
              a
                further lump sum equal to the Executive's average annual bonuses
                during
                the last three fiscal years preceding the Termination Date (or, if
                the
                Executive has been employed for less than three fiscal years, then
                for the
                period of employment preceding the Termination Date), divided by
                12 and
                multiplied by the number of months in the Notice
                Period.

            

    

     

    Payment
      of the amounts set out in this Article 10.3 shall represent full and final
      settlement of any claims by the Executive against the Corporation or any Related
      Corporation, arising out of or in any way connected to the Executive's
      employment with the Corporation or any Related Corporation, or the termination
      of such employment, whether at common law or under the provision of any statute
      or regulation, or pursuant to the terms of any agreement between the
      Parties.

     

    10.4 Payment
      of the amounts set out in Article 10.3 shall be subject to the following terms
      and conditions:

     

    
      	 	
              (a)

            	
              the
                prior execution by the Executive of a settlement agreement and release
                and
                indemnity in favour of the Corporation and any Related Corporations,
                in a
                form reasonably acceptable to the Corporation;

            

    

     

    
      	 	
              (b)

            	
              the
                tendering by the Executive of his resignation from any position he
                may
                hold as an officer or a director of the Corporation and any Related
                Corporations;

            

    

     

    
      	 	
              (c)

            	
              any
                withholdings or deductions required by law to be made by the Corporation
                by law; 

            

    

     

    
      	 	
              (d)

            	
              the
                Executive's right to receive the payments under Article 10.3 shall
                not be
                subject to any duty to mitigate, nor affected by any actual mitigation
                by
                the Executive; and

            

    

     

    
      	 	
              (e)

            	
              the
                receipt by the Corporation of written notice from the Executive,
                within 60
                days of the occurrence of a Change of Control or a Triggering Event,
                as
                the case may be, setting out the basis on which the Executive believes
                that a Change of Control or a Triggering Event as the case may be,
                has
                occurred.

            

    

     

     

    10.5 The
      Executive covenants and agrees to provide his full cooperation and assistance,
      in connection with the termination of his employment upon a Triggering Event,
      to
      transfer his duties and responsibilities to a replacement.

     

    10.6 Notwithstanding
      any other term or provision of this Article 10, upon termination of the
      Executive’s employment by the Executive for any reason, the Executive shall
      receive any Base Fee and Benefits earned up to the Termination
      Date.

     

    10.7 Payment
      under Article 10 shall be made on the later of the date which is 30 calendar
      days after receipt by the Corporation of the Notice referred to herein and
      the
      date which is 60 calendar days after the effective date of the Change of Control
      or Triggering Event, as the case may be.

     

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

     

     

     

    ARTICLE
      XI

    TERMINATION
      UPON DEATH OR PERMANENT DISABILITY

     

     

    11.1 This
      Agreement shall automatically terminate upon the death of the
      Executive.

     

    11.2 In
      the
      event that the Executive shall suffer a Permanent Disability, the Corporation
      may terminate this Agreement and the Executive's employment by providing at
      least 30 days prior written Notice to the Executive. Upon termination of the
      Executive's employment pursuant to this Article 11.2, the Corporation shall
      have
      no further obligation to the Executive, with the exception that the Executive
      shall continue to be entitled to such insurance benefits as may be provided
      under any long term disability insurance plan, and to any benefit or entitlement
      arising from any pension plan of the Corporation.

     

     

    ARTICLE
      XII

    STOCK
      OPTIONS

     

     

    12.1 Upon
      the
      termination of the Executive for Cause under Section 9.3 or if the Executive
      terminates this Agreement pursuant to Section 10.1, only those stock options
      and
      other incentive interests held by the Executive (including, for the purposes
      hereof, those stock options and other incentive interests granted to the
      Executive by a Related Corporation) that are vested at such Termination Date
      may
      be exercised by the Executive in accordance with the terms of the relevant
      agreement, stock option plan or other incentive plans of the Corporation in
      effect at the time, as applicable, and the Executive shall have no claim to
      the
      acceleration of vesting or the exercise on any stock options and other incentive
      interests which are not fully vested as at such Termination Date other than
      under the terms of the relevant agreement, stock option plan or other incentive
      plans of the Corporation in effect at the time, as applicable. All such
      remaining unvested stock options and other incentive interests shall terminate,
      be null and void and of no further force and effect notwithstanding the terms
      of
      the relevant agreement, stock option plan or other incentive plans of the
      Corporation in effect at the time, as applicable.

     

    12.2 Upon
      termination of the Executive by reason of death or Permanent Disability, only
      those stock options and other incentive interests held by the Executive
      (including, for the purposes hereof, those stock options and other incentive
      interests granted to the Executive by a Related Corporation) which are vested
      at
      such Termination Date may be exercised by the Executive pursuant to the terms
      of
      the relevant agreement, stock option plan or other incentive plans of the
      Corporation in effect at the time, as applicable, and the Executive shall have
      no claim to the acceleration of vesting or to the exercise of any stock options
      which are not fully vested as at such Termination Date, other than under the
      terms of the relevant agreement, stock option plan or other incentive plans
      of
      the Corporation in effect at the time, as applicable. All such remaining
      unvested stock options and other incentive interests shall terminate, be null
      and void and of no further force and effect notwithstanding the terms of the
      relevant agreement, stock option plan or other incentive plans of the
      Corporation in effect at the time, as applicable.

     

    12.3 Upon
      termination of the Executive for any reason other than Cause, voluntary
      termination by the Executive, death or Permanent Disability, all stock options
      and other incentive interests held by the Executive (including, for the purposes
      hereof, those stock options and other incentive interests granted to the
      Executive by a Related Corporation) shall vest immediately and may be exercised
      pursuant to the terms of the relevant agreement, stock option plan or other
      incentive plans of the Corporation in effect at the time, as
      applicable.

     

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

     

     

     

    12.4 Notwithstanding
      subsections 12.2 and 12.3 hereof, the provisions of the Corporation's stock
      option plan, the provisions of any stock option agreement entered into between
      the Corporation (including a Related Corporation) and the Executive, and the
      provisions of any other incentive plan of the Corporation in effect at the
      time,
      the Parties agree that upon termination of the Executive pursuant to Sections
      9.1, 10.2, 11.1 or 11.2 hereof, the applicable vested stock options and other
      incentive interests may be exercised by the Executive until the earlier of
      (i)
      the original date of expiry of the stock options and other incentive interests,
      as the case may be; and (ii) two years after the Termination Date. All stock
      options and other incentive interests which remain unexercised after this time
      period shall terminate, be null and void and of no further force and effect
      notwithstanding the terms of the relevant agreement, stock option plan or other
      incentive plans of the Corporation in effect at the time, as
      applicable.

     

     

    ARTICLE
      XIII

    CONFIDENTIAL
      INFORMATION AND NON-COMPETITION 

     

     

    13.1 The
      Executive acknowledges and agrees that in performing the duties and
      responsibilities of his employment pursuant to this Agreement, he will occupy
      a
      position of high fiduciary trust and confidence with the Corporation, pursuant
      to which he will develop and acquire wide experience and knowledge with respect
      to all aspects of the Business carried on by the Corporation and its Related
      Corporations, and the manner in which such Business is conducted. It is the
      express intent and agreement of the Executive and the Corporation that such
      knowledge and experience shall be used solely and exclusively in furtherance
      of
      the Business interests of the Corporation and its Related Corporations, and
      not
      in any manner detrimental to them. The Executive therefore agrees that, so
      long
      as he is engaged by the Corporation pursuant to this Agreement, he shall not
      engage in any practice or business that competes with the Business of the
      Corporation or its Related Corporations. It shall not be considered a violation
      of this Section 13.1 for the Executive to be involved as an investor or
      shareholder in securities issued by corporations that compete directly or
      indirectly with the Business, provided that such investment does not constitute
      more than 5% of the outstanding securities of a business or corporation whose
      shares trade on a recognized stock exchange.

     

    13.2 The
      Executive agrees that during the Term, and following the termination of the
      Executive's employment for any reason, he shall treat confidentially all
      Confidential Information belonging to the Corporation or its Related
      Corporations, and shall not use or disclose the Confidential Information to
      any
      unauthorized persons, except with the prior express written consent of the
      Corporation, or otherwise as required by law.

     

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

     

    13.3 The
      Executive further acknowledges and agrees that pursuant to the terms of this
      Agreement, it will acquire Company Property which is and shall remain the sole
      and exclusive property of the Corporation. Upon termination of the Executive's
      employment and this Agreement for any reason, the Executive shall return to
      the
      Corporation all Company Property, together with any copies or reproductions
      thereof, which may have come into the Executive's possession during the course
      of or pursuant to this Agreement, and shall delete or destroy all computer
      files
      on its personal computer which may contain any Confidential Information
      belonging to the Corporation, or its Related Corporations.

     

    13.4 Notwithstanding
      the provision of 13.3 and 13.4, the Executive shall be permitted to disclose
      Confidential Information as required by law, regulation, government body or
      authority or by court order.

     

    13.5 The
      Executive acknowledges and agrees that the Corporation would suffer irreparable
      harm in the event that any Confidential Information or other knowledge and
      experience acquired by the Executive in relation to the business of the
      Corporation were disclosed to a competitor of the Corporation or used for a
      competitive purpose for a reasonable period of time following the termination
      of
      his employment. Accordingly, the Executive agrees that in the event his
      employment with the Corporation is terminated for Cause by the Corporation,
      or
      in the event that the Executive voluntarily resigns his employment with the
      Corporation, neither he nor any employee or agent of the Executive shall, for
      a
      period of four (4) months from the Termination Date:

     

    
      	 	
              (a)

            	
              be
                engaged, either directly or indirectly in any manner including, without
                limitation, as an officer, director, shareholder, owner, partner,
                member,
                joint venturer, employee, independent contractor, consultant, advisor
                or
                sales representative, in any business or enterprise which competes
                with
                the Business of the Corporation or any Related Corporation, as such
                business was conducted as of the Termination Date, with the exception
                that
                the Executive may be involved as an investor or shareholder in securities
                issued by corporations that compete directly or indirectly with the
                Business, provided that such investment does not constitute more
                than 5%
                of the outstanding securities of a business or corporation whose
                shares
                trade on a recognized stock
                exchange;

            

    

     

    
      	 	
              (b)

            	
              solicit,
                entice or attempt to solicit or entice, either directly or indirectly,
                any
                customer or prospective customer of the Corporation or any Related
                Corporation as at the Termination Date, to become a customer of any
                business or enterprise which competes with the Corporation or any
                Related
                Corporation for any business as such business was conducted by the
                Corporation or any Related Corporation as at the Termination Date;
                or

            

    

     

    
      	 	
              (c)

            	
              solicit
                or entice, or attempt to solicit or entice, either directly or indirectly,
                any employee of the Corporation or any Related Corporation as at
                the
                Termination Date, to become employed by or connected with any business
                or
                enterprise which competes with the Corporation or any Related Corporation
                for any business as such business was conducted by the Corporation
                or any
                Related Corporation as at the Termination Date.

            

    

     

    The
      restrictions set out in this Section 13.5 shall apply only within North America
      or to any business that directly relates to North America.

     

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

    

     

    13.6 The
      Executive acknowledges and agrees that the Corporation will suffer harm in
      the
      event that the Executive breaches any of the obligations under this Article
      13,
      and that monetary damages would be difficult to quantify and may be inadequate
      to compensate the Corporation for such a breach. Accordingly, the Executive
      agrees that in the event of a breach or a threatened breach by the Executive
      of
      any of the provisions of this Article 13, the Corporation shall be entitled
      to
      seek, in addition to any other rights, remedies or damages available to the
      Corporation at law or in equity, an interim and permanent injunction, in order
      to prevent or restrain any such breach or threatened breach by the
      Executive.

     

    13.7 The
      Executive hereby agrees that all restrictions contained in this Article
      13 are
      reasonable and necessary to protect the legitimate proprietary interests of
      the
      Corporation, and will not unduly restrict his ability to secure comparable
      alternative employment following the termination of his employment for any
      reason. If any covenant or provision of this Article 13 is determined to be
      void
      or unenforceable in whole or in part, for any reason, it shall be deemed not
      to
      affect or impair the validity of any other covenant or provision of this
      Agreement, which shall remain in full force and effect.

     

    13.8 The
      provisions of this Article 13 shall remain in full force and effect
      notwithstanding the termination of this Agreement for any reason.

     

     

    ARTICLE
      XIV

    INDEMNIFICATION

     

     

    14.1 The
      Corporation covenants, both during and after the Executive's term of service,
      to
      indemnify and hold harmless the Executive and his heirs and legal
      representatives, to the maximum extent permitted by Colorado law or other law
      to
      which the Corporation is subject (provided that the Executive acted honestly
      and
      in good faith with a view to the best interests of the Corporation and, in
      the
      case of a criminal or administrative action or proceeding that is enforced
      by
      monetary penalty, the Executive had reasonable grounds for believing that his
      conduct was lawful), from and against:

     

    
      	 	
              (a)

            	
              all
                costs, charges, liabilities and expenses whatsoever that the Executive
                may
                sustain or incur in or about or in relation to any action, suit or
                proceeding that is brought, commenced or prosecuted against the Executive
                for or in respect of any act, deed, matter or thing whatever made,
                done or
                permitted or not made, done or permitted by the Executive in or about
                the
                execution of his duties as a director or officer of the Corporation
                or its
                subsidiaries; and

            

    

     

    
      	 	
              (b)

            	
              all
                other costs, charges, liabilities and expenses that the Executive
                may
                sustain or incur (including, without limitation, all income tax,
                sales tax
                and excise tax liabilities resulting from any payment made pursuant
                to
                this indemnity) in or about or in relation to the affairs of the
                Corporation or its subsidiaries or his position as a director or
                officer
                of the Corporation or its
                subsidiaries.

            

    

     

    14.2 The
      Corporation further agrees that any costs, charges and expenses referred to
      in
      paragraph 14.1(a) above shall be paid in advance of the final disposition of
      any
      such action or proceeding upon receipt by the Corporation of a written
      undertaking by the Executive to repay such amount if it shall ultimately be
      determined that the Executive is not entitled to be indemnified in accordance
      with the terms and conditions of this Indemnity and Colorado law.

     

    
      
         

      

      
        14

        
          

        

      

      
         

      

    

     

    14.3 The
      Corporation further agrees, both during and after the Executive's term of
      service, to use its reasonable best efforts to obtain any approval or approvals
      necessary for such indemnification and to co-operate with the Executive and
      to
      provide the Executive with access to any evidence which the Corporation may
      have
      or control, which would enable the Executive to make application or obtain
      any
      approval or approvals necessary for such indemnification.

     

    14.4 The
      Corporation shall maintain a directors and officers insurance policy in such
      amounts as may be customary for corporations of a similar size and business
      and
      risk profile as the Corporation in Canada, and the Executive shall be entitled
      to the benefit of such insurance policy during the Term of the Agreement and
      for
      so long after termination of the Agreement for any reason as may be agreed
      to by
      the parties acting reasonably, for the purpose of providing continued insurance
      coverage for the benefit of the Executive for all acts or omissions covered
      by
      Article 14 that occur prior to the Termination Date.

     

    14.5 The
      provisions of this Article 14 shall remain in full force and effect
      notwithstanding the termination of this Agreement for any reason.

     

     

    ARTICLE
      XV

    NOTICES

     

     

    15.1 Any
      Notice required to be given hereunder may be provided by personal delivery,
      by
      registered mail or by facsimile to the Parties hereto at the following
      addresses:

     

    To
      the
      Corporation:

     

    CanWest
      Petroleum Corporation

    Suite
      205, 707 - 7th
      Avenue
      S.W.

    Calgary,
      Alberta T2P 3H6

     

    Attention: Chairman
      of the Board

     

    Fax: (403)
      263-9812

    

     

    To
      the
      Executive:

     

    Errin
      Kimball

    10224
      -
      50th
      Street

    Edmonton,
      Alberta T6A 2B9

    

    e-mail:
      ekimball@oilsandsquest.com

    
      
         

      

      
        15

        
          

        

      

      
         

      

    

    

    

    Any
      Notice, direction or other instrument shall, if delivered, be deemed to have
      been given and received on the business day on which it was so delivered, and
      if
      not a business day, then on the business day next following the day of delivery,
      and, if mailed, shall be deemed to have been given and received on the fifth
      day
      following the day on which it was so mailed, and, if sent by facsimile
      transmission, shall be deemed to have been given and received on the next
      business day following the day it was sent.

     

    15.2 Either
      Party may change its address for notice in the aforesaid manner.

     

     

    ARTICLE
      XVI

    GENERAL

     

     

    16.1 This
      Agreement shall be construed and enforced in accordance with the laws of the
      Province of Alberta, and the Parties hereby attorn to the non-exclusive
      jurisdiction of Alberta Courts. Should provisions in this Agreement fail to
      comply with the applicable legislation, the Agreement shall be interpreted
      in
      accordance with those statutory requirements.

     

    16.2 This
      Agreement and any other agreements expressly incorporated by reference herein,
      constitute the entire agreement between the Parties with respect to the subject
      matter hereof, and supercede and replace any and all prior agreements,
      undertakings, representations or negotiations pertaining to the subject matter
      of this Agreement. The Parties agree that they have not relied upon any verbal
      statements, representations, warranties or undertakings in order to enter into
      this Agreement. In the event of a conflict between this Agreement and any other
      agreement expressly incorporated by reference herein, the terms of this
      Agreement shall prevail.

     

    16.3 This
      Agreement may not be amended or modified in any way except by written instrument
      signed by the Parties hereto.

     

    16.4 This
      Agreement shall enure to the benefit of and be binding upon the Parties hereto,
      together with their personal representatives, successors and permitted
      assigns.

     

    16.5 This
      Agreement is a personal services agreement and may not be assigned by either
      Party without the prior written consent of the other Party.

     

    16.6 The
      waiver by either Party of any breach of the provisions of this Agreement shall
      not operate or be construed as a waiver by that Party of any other breach of
      the
      same or any other provision of this Agreement.

     

    16.7 The
      Parties agree to execute and deliver such further and other documents, and
      perform or cause to be performed such further and other acts and things as
      may
      be necessary or desirable in order to give full force and effect to this
      Agreement.

     

    16.8 The
      Executive agrees that following the termination of the Executive's employment
      with the Corporation for any reason, the Executive shall tender his resignation
      from any position he may hold as an officer or director of the Corporation
      or
      any Related Corporation.

     

    
      
         

      

      
        16

        
          

        

      

      
         

      

    

     

    16.9 In
      the
      event of a Change of Control, the Corporation will use its reasonable commercial
      efforts to obtain and pay for directors' and officers' liability insurance
      on a
      "trailing" or "run off" basis for the Executive, covering claims made prior
      to
      or within six years from the date of the Change of Control, such insurance
      to
      provide coverage substantially equivalent in scope and coverage to that provided
      by the Corporation's directors and officers insurance policy, if any, in effect
      immediately prior to the Change of Control.

     

    16.10 The
      Corporation agrees to co-operate with the Executive, to the extent permitted
      by
      applicable tax laws, so as to permit the Executive to consider payments
      hereunder on termination of employment to be retirement benefits.

     

    16.11 Should
      any provision in this Agreement be found to be invalid, illegal or
      unenforceable, the validity, legality or enforceability of the remaining
      provisions of the Agreement shall not be affected or impaired thereby in any
      way.

     

    IN
      WITNESS WHEREOF the Parties hereto acknowledge and agree that they have read
      and
      understand the terms of this Agreement, and that they have had an opportunity
      to
      seek independent legal advice prior to entering into this Agreement, and that
      they have executed this Agreement with full force and effect from the date
      first
      written above.

     

    

     

    
      	 	 	
              CANWEST
                PETROLEUM CORPORATION

            
	 	 	 	 	 
	 	 	 	
              Per:

            	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	
              Per:

            	 
	 	 	 	 	 

    

    

    

    
      	 	 	 
	 	 	 
	 	 	 
	
              Witness

            	 	
              ERRIN
                KIMBALL

            

    

    

    
      
         

      

      
        17SUBSCRIPTION
      AGREEMENT FOR COMMON SHARES

     

    
      	
               

              INSTRUCTIONS:
                To properly complete this Subscription Agreement:

               

              (1)  All
                subscribers must complete all boxes on this face page and page 2
                to this
                face page and sign this face page.

              (2)  All
                subscribers must complete and sign Exhibit 1.

              (3)  If
                the subscriber is a
                fully managed account,
                please complete the "Name of Subscriber" below in the following format:
                "Account____ by [insert name of adviser, trust company or trust
                corporation]".

              (4)  All
                completed documents should be returned to the
                Corporation,
                at CanWest Petroleum Corporation, Suite 205,
                707 - 7th Avenue S.W.,
                Calgary, AB, T2P 3H6, Attention:
                Patti Beatch; Fax Number: (403) 269-7566; email -
                pbeatch@oilsandsquest.com no
                later than August 11, 2006.

               

              This
                agreement is comprised of 15 pages (not including the Exhibit and
                Schedule).

               

            

    

     

    TO:  CanWest
      Petroleum Corporation (the "Corporation")

    

    The
      undersigned (hereinafter referred to as the "Subscriber")
      hereby
      irrevocably subscribes for and agrees to purchase the number of common shares
      of
      the Corporation ("Common
      Shares")
      set
      forth below for the aggregate subscription price set forth below (the
      "Aggregate
      Subscription Price"),
      representing a subscription price of US$3.80 per Common Share, upon and subject
      to the adjustments, terms and conditions set forth in "Terms and Conditions
      of
      Subscription for Common Shares of CanWest Petroleum Corporation" attached hereto
      (together with the face pages and Exhibit and Schedule hereto, the "Subscription
      Agreement").

     

    
      	
               

                  ________________________________________

                  (Name
                of Subscriber - please print)

               

                  By:  _____________________________________

                  (Authorized
                Signature)

               

                  ________________________________________

                  (Official
                Capacity or Title - please print)

               

                  ________________________________________

              (Please
                print name of individual whose signature appears above if different
                than
                the name of the subscriber printed above.)

               

                  ________________________________________

                  (Subscriber's
                Address)

               

                  ________________________________________

                  (Telephone
                Number) (E-Mail
                Address)

            	 	
               

              Number
                of Common Shares:

               

            
	 
	
               

              Aggregate
                Subscription Price:

               

            
	 
	
              If
                the Subscriber is signing as agent for a principal pursuant to paragraph
                5(f), complete the following and ensure that Exhibit 1 is completed
                in respect of each such principal:

               

                  ________________________________________

                  (Name
                of Principal)

               

                  ________________________________________

                  (Principal's
                Address)

               

            
	
               

              Register
                the Common Shares as set forth below:

               

                  ________________________________________

                  (Name)

               

                  ________________________________________

                  (Account
                reference, if applicable)

               

                  ________________________________________

                  (Address)

               

            	 	
               

              Deliver
                the Common Shares as set forth below:

               

               

                  ________________________________________

                
                (Name)

               

                  ________________________________________

                  (Account
                reference, if applicable)

               

                  ________________________________________

                  (Contact
                Name)

               

                  ________________________________________

                  (Address)

               

                  ________________________________________

               

            

    

     

    (SUBSCRIBERS
      MUST ALSO COMPLETE THE SECOND PAGE OF THIS FACE PAGE)

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
               

              Subscriber's
                Present Holdings:

               

              The
                Subscriber represents that securities of the Corporation presently
                owned
                (beneficially, directly or indirectly) by the Subscriber are as follows
                (please
                indicate "nil" if you do not currently own any securities of the
                Corporation):

            
	
               

              Type
                of Securities Presently Owned

               

            	
               

              Number
                or Amount

               

            
	 	 
	 	 
	 	 

    

    

    

     

    ACCEPTANCE:
      The
      Corporation hereby accepts the subscription as set forth above on the terms
      and
      conditions contained in this Subscription Agreement.

     

     

    ________________________________________,
      2006

    

    
      	
              CANWEST
                PETROLEUM CORPORATION

               

              By:________________________________________ 

            	 	
               

              Subscription
                No:

            

    

    

    

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    TERMS
      AND CONDITIONS OF SUBSCRIPTION FOR

    COMMON
      SHARES OF CANWEST PETROLEUM CORPORATION

     

    Terms
      of the Offering

     

    1.  The
      Subscriber acknowledges (on its own behalf and, if applicable, on behalf of
      each
      person on whose behalf the Subscriber is contracting) that this subscription
      is
      subject to rejection or allotment by the Corporation in whole or in part and
      is
      effective only upon acceptance by the Corporation. If this subscription is
      rejected or allotted in whole or in part, the Subscriber acknowledges that
      the
      unused portion of the Aggregate Subscription Price will be promptly returned
      to
      the Subscriber without interest or deduction.

     

    2.  The
      Subscriber acknowledges (on its own behalf and, if applicable, on behalf of
      each
      person on whose behalf the Subscriber is contracting) that the Common Shares
      subscribed for by it hereunder form part of a larger issuance and sale by the
      Corporation of Common Shares at a subscription price of US$3.80 per Common
      Share
      for
      aggregate gross proceeds of up to approximately CDN$20,000,000 (the
      "Offering").

     

    3.  The
      Subscriber acknowledges (on its own behalf and, if applicable, on behalf of
      each
      person on whose behalf the Subscriber is contracting) that the gross proceeds
      of
      the Offering will be used by the Corporation to purchase all of the shares
      of
      Stripper Energy Services Inc. (the "Acquisition")
      which
      holds a 2.5% gross overriding royalty on certain lands in the Province of
      Saskatchewan held by Oilsands Quest Inc. ("OQI"),
      a
      subsidiary of the Corporation and for general working capital purposes.

     

    4.  The
      Corporation will use its commercially reasonable best efforts to cause: (i)
      the
      Common Shares to be included in a shelf registration statement filed with the
      U.S. Securities and Exchange Commission registering the Common Shares for resale
      by the Subscriber; and (ii) such shelf registration statement to be declared
      effective as soon as practicable, but no later than six months from the Closing
      Time (as hereinafter defined); (iii) for the Corporation to become a reporting
      issuer in Alberta by the Closing Date, or as soon thereafter as possible.

     

    Representations,
      Warranties and Covenants by Subscriber

     

    5.  The
      Subscriber (on its own behalf and, if applicable, on behalf of each person
      on
      whose behalf the Subscriber is contracting) represents, warrants and covenants
      to the Corporation and its counsel (and acknowledges that the Corporation and
      its counsel are relying thereon) both at the date hereof and at the Closing
      Time
      (as defined herein) that:

     

    
      	(a)  	
              it
                acknowledges that the Corporation is not currently a reporting issuer
                in
                any jurisdiction and that the applicable "hold period" under applicable
                securities laws will not commence to run until the Corporation becomes
                a
                reporting issuer in a jurisdiction of Canada and that it will only
                be able
                to resell the Common Shares in accordance with limited exemptions
                under
                applicable securities legislation and regulatory policy and it agrees
                that
                any certificates representing the Common Shares will bear a legend
                indicating that the resale of such securities is restricted pursuant
                to
                applicable securities legislation and acknowledges that the Corporation
                will not register any transfer of the Common Shares not made in accordance
                with Regulation S, pursuant to registration under the U.S. Securities
                Act
                and applicable state securities laws or pursuant to an available
                exemption
                from registration requirements; and

            

    

     

    
      	(b)  	
              it
                has been independently advised as to restrictions with respect to
                trading
                in the Common Shares imposed by applicable securities laws, confirms
                that
                no representation (written or oral) has been made to it by or on
                behalf of
                the Corporation with respect thereto, acknowledges that it is aware
                of the
                characteristics of the Common Shares and the risks relating to an
                investment therein; and

            

    

     

    
      	(c)  	
              it
                has not received or been provided with, nor has it requested, nor
                does it
                have any need to receive, any offering memorandum, any prospectus,
                sales
                or advertising literature, or any other document (other than an annual
                report, annual information form, interim report, information circular
                or
                any other continuous disclosure document, other than an offering
                memorandum, the content of which is prescribed by statute or regulation)
                describing or purporting to describe the business and affairs of
                the
                Corporation which has been prepared for delivery to, and review by,
                prospective purchasers in order to assist it in making an investment
                decision in respect of the Common Shares;
                and

            

    

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    
      	(d)  	
              it
                has not become aware of any advertisement in printed media of general
                and
                regular paid circulation (or other printed public media), radio,
                television or telecommunications or other form of advertisement (including
                electronic display) with respect to the distribution of the Common
                Shares;
                and

            

    

     

    
      	(e)  	
              unless
                it is purchasing under paragraph 5(f) or (g), it is purchasing the
                Common
                Shares as principal for its own account, not for the benefit of any
                other
                person, for investment only and not with a view to the resale or
                distribution of all or any of the Common Shares, it is resident in
                or
                otherwise subject to the applicable securities laws of British
                Columbia, Alberta, Saskatchewan, Manitoba or Ontario and
                it is an "accredited investor", as such term is defined in National
                Instrument 45-106 - "Prospectus and Registration Exemptions"
                ("NI
                45-106")
                promulgated under the securities legislation of all of the provinces
                of
                Canada (other than Quebec), it was not created or used solely to
                purchase
                or hold securities as an "accredited investor" as described in paragraph
                (m) of the definition of "accredited investor" in NI 45-106 and has
                concurrently
                executed and delivered a Representation Letter in the form attached
                as
                Exhibit 1 to this Subscription Agreement and has initialed in
                Appendix "A" thereto indicating that the Subscriber satisfies (and
                will satisfy at the Closing Time) one of the categories of "accredited
                investor" set forth in such definition;
                and

            

    

     

    
      	(f)  	
              if
                it is purchasing the Common Shares and is acting as agent for one
                or more
                disclosed principals, each of such principals is purchasing as principal
                for its own account, not for the benefit of any other person, for
                investment only, and not with a view to the resale or distribution
                of all
                or any of the Common Shares, and

            

    

     

    
      	(i)  	
              each
                of such principals complies with paragraph 5(e) hereof and the
                Subscriber acknowledges the Corporation is required by law to disclose
                to
                certain regulatory authorities the identity of each beneficial purchaser
                of Common Shares for whom it may be acting, it is resident in the
                jurisdiction set out as the "Subscriber's Address" and each beneficial
                purchaser is resident in the jurisdiction set out as the "Principal's
                Address"; and

            

    

     

    
      	(ii)  	
              if
                it is not an individual, it pre-existed the offering of the Common
                Shares
                and has a bona
                fide
                business purpose other than the investment in the Common Shares and
                was
                not created, formed or established solely or primarily to acquire
                securities, or to permit purchases of securities without a prospectus,
                in
                reliance on an exemption from the prospectus requirements of applicable
                securities legislation; and

            

    

     

    
      	(g)  	
              if
                it is a resident of or otherwise subject to applicable securities
                laws of
                any
                jurisdiction other than the Provinces of Alberta, British Columbia,
                Manitoba, Ontario or Saskatchewan, it
                is resident in the jurisdiction set out as the "Subscriber's address",
                it
                is an "accredited investor" as such term is defined in NI 45-106
                and
                has
                concurrently executed and delivered a Representation Letter in the
                form
                attached as Exhibit 1 to this Subscription Agreement and has initialed
                in
                Appendix "A" thereto indicating that the Subscriber satisfies (and
                will
                satisfy at the Closing Time) one of the categories of "accredited
                investor" set forth in such definition and,
                it, or any beneficial purchaser for whom it is acting, complies with
                the
                requirements of all applicable securities legislation in the jurisdiction
                of its residence and will provide such evidence of compliance with
                all
                such matters as the Corporation may request;
                and

            

    

     

    
      	(h)  	
              it
                is purchasing the Common
                Shares
                pursuant to paragraph 5(e), (f) or (g),
                and:

            

    

     

    
      	(i)  	
              the
                Common Shares have not been offered to the Subscriber in the United
                States
                and the Subscriber and the individuals making the order to purchase
                the
                Common Shares and executing and delivering this Subscription Agreement
                on
                behalf of the Subscriber were not in the United States when the order
                was
                placed and this Subscription Agreement was executed and delivered;
                and

            

    

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    
      	(ii)  	
              it
                is not a U.S. person (a "U.S.
                Person")
                (as defined in Regulation S under the United States Securities Act
                of
                1933, as amended (the "U.S.
                Securities Act"),
                which definition includes, but is not limited to, an individual resident
                in the United States, an estate or trust of which any executor or
                administrator or trustee, respectively, is a U.S. Person and any
                partnership or corporation organized or incorporated under the laws
                of the
                United States and any partnership or corporation if organized or
                incorporated under the laws of any foreign jurisdiction and formed
                by a
                U.S. Person principally for the purpose of investing in securities
                not
                registered under the U.S. Securities Act, unless it is organized
                or
                incorporated and owned by "accredited investors" (as such term is
                defined
                in Rule 501(a) of Regulation D under the U.S. Securities Act) who
                are not
                natural persons, estates or trusts) and is not purchasing the Common
                Shares on behalf of, or for the account or benefit of, a person in
                the
                United States or a U.S. Person; and

            

    

     

    
      	(i)  	
              it
                is aware that the Common Shares have not been and will not be registered
                under the U.S. Securities Act or the securities laws of any state
                and that
                these securities are not being offered or sold in the United States,
                it
                understands that the Common Shares are "restricted securities" as
                defined
                in Rule 144 under the U.S. Securities Act and agrees that if it decides
                to
                offer, sell or otherwise transfer the Common Shares, such shares
                may only
                be offered, sold or otherwise transferred in accordance with the
                provisions of Regulation S under the U.S. Securities Act, pursuant
                to
                registration under the U.S. Securities Act, or pursuant to an available
                exemption from registration under the U.S. Securities Act and applicable
                State securities laws and it agrees not to engage in hedging transactions
                with regard to the Common Shares unless in compliance with the U.S.
                Securities Act; and it acknowledges that the certificates representing
                the
                Common Shares (and all certificates issued in exchange therfor or
                in
                substitution thereof) will bear a legend to the effect that transfer
                is
                prohibited except in accordance with the provisions of Regulation
                S,
                pursuant to registration under the U.S. Securities Act, or pursuant
                to an
                available exemption from registration under the U.S. Securities Act
                and
                applicable State securities laws, and that hedging transactions involving
                the securities may not be conducted unless in compliance with the
                U.S.
                Securities Act, until such time as such legend is no longer required
                under
                applicable requirements of the U.S. Securities Act or applicable
                state
                securities laws; and

            

    

     

    
      	(j)  	
              it
                acknowledges that:

            

    

     

    
      	(i)  	
              no
                securities commission or similar regulatory authority has reviewed
                or
                passed on the merits of the Common
                Shares;
                and

            

    

     

    
      	(ii)  	
              there
                is no government or other insurance covering the Common
                Shares;
                and

            

    

     

    
      	(iii)  	
              there
                are risks associated with the purchase of the Common
                Shares;
                and

            

    

     

    
      	(iv)  	
              there
                are restrictions on the Subscriber's ability to resell the Common
                Shares
                and it is the responsibility of the Subscriber to find out what those
                restrictions are and to comply with them before selling the Common
                Shares;
                and

            

    

     

    
      	(v)  	
              the
                Corporation has advised the Subscriber that the Corporation is relying
                on
                an exemption from the requirements to provide the Subscriber with
                a
                prospectus and to sell securities through a person or company registered
                to sell securities under the Securities
                Act
                (Alberta) and other applicable securities laws and, as a consequence
                of
                acquiring securities pursuant to this exemption, certain protections,
                rights and remedies provided by the Securities
                Act
                (Alberta) and other applicable securities laws, including statutory
                rights
                of rescission or damages, will not be available to the Subscriber;
                and

            

    

     

    
      	(k)  	
              if
                a corporation, partnership, unincorporated association or other entity,
                it
                has the power, authority and legal capacity to enter into and be
                bound by
                this Subscription Agreement and take all action pursuant hereto and
                further certifies that all necessary approvals of directors, shareholders
                or otherwise have been given and obtained;
                and

            

    

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    
      	(l)  	
              if
                an individual, it is of the full age of majority and is legally competent
                to execute and deliver this Subscription Agreement and take all action
                pursuant hereto; and

            

    

     

    
      	(m)  	
              the
                entering into of this Subscription Agreement and the completion of
                the
                transactions contemplated hereby will not result in a violation of
                any of
                the terms or provisions of any law applicable to the Subscriber,
                or if the
                Subscriber is not a natural person, any of the Subscriber's constating
                documents, or any agreement to which the Subscriber is a party or
                by which
                it is bound; and

            

    

     

    
      	(n)  	
              if
                the Subscriber is a body corporate, it is duly incorporated and validly
                subsisting under the laws of its jurisdiction of incorporation;
                and

            

    

     

    
      	(o)  	
              this
                Subscription Agreement has been duly and validly authorized, executed
                and
                delivered by and constitutes a legal, valid, binding and enforceable
                obligation of the Subscriber; and

            

    

     

    
      	(p)  	
              in
                the case of a subscription by it for Common Shares acting as agent
                for a
                disclosed principal, it is duly authorized to execute and deliver
                this
                Subscription Agreement and all other necessary documentation in connection
                with such subscription on behalf of such principal and this Subscription
                Agreement has been duly authorized, executed and delivered by or
                on behalf
                of, and constitutes a legal, valid and binding agreement of, such
                principal; and

            

    

     

    
      	(q)  	
              it
                has such knowledge in financial and business affairs as to be capable
                of
                evaluating the merits and risks of its investment and is able to
                bear the
                economic risk of loss of its investments or, where it is not purchasing
                as
                principal, each beneficial purchaser is able to bear the economic
                risk of
                loss of its investment; and

            

    

     

     

    
      	(r)  	
              the
                Subscriber confirms that neither the Corporation nor any of its directors,
                employees, officers or affiliates, have made any representations
                (written
                or oral) to the Subscriber: (i) regarding the future value of the
                Common Shares; (ii) that any person will resell or repurchase the
                Common Shares; or (iii) that any person will refund the purchase
                price of the Common Shares other than as provided in this Subscription
                Agreement; and

            

    

     

    
      	(s)  	
              except
                for the representation and warranties made by the Corporation to
                the
                Subscriber herein, it has relied solely upon publicly available
                information relating to the Corporation and not upon any verbal or
                written
                representation as to fact or otherwise made by or on behalf of the
                Corporation and acknowledges that the Corporation's counsel is acting
                as
                counsel to the Corporation and not as counsel to the Subscriber;
                and

            

    

     

    
      	(t)  	
              it
                understands that the Common Shares are being offered for sale only
                on a
                "private placement" basis and that the sale and delivery of the Common
                Shares is conditional upon such sale being exempt from the requirements
                under applicable securities laws as to the filing of a prospectus
                or
                delivery of an offering memorandum or upon the issuance of such orders,
                consents or approvals as may be required to permit such sale without
                the
                requirement of filing a prospectus or delivering an offering memorandum
                and, as a consequence (i) it is restricted from using most of the
                civil
                remedies available under securities legislation; (ii) it may not
                receive
                information that would otherwise be required to be provided to it
                under
                securities legislation; and (iii) the Corporation is relieved from
                certain
                obligations that would otherwise apply under securities legislation;
                and

            

    

     

    
      	(u)  	
              if
                required by applicable securities legislation, regulations, rules,
                policies or orders or by any securities commission, stock exchange
                or
                other regulatory authority, the Subscriber will execute, deliver,
                file and
                otherwise assist the Corporation in filing such reports, undertakings
                and
                other documents with respect to the issue of the Common Shares (including,
                without limitation, a Representation Letter in the form attached
                as
                Exhibit 1); and

            

    

     

    
      	(v)  	
              it
                undertakes and agrees that it will not offer or sell the Common
                Shares
                in
                the United States unless such securities are registered under the
                U.S.
                Securities Act and the securities laws of all applicable states of
                the
                United States or an exemption from such registration requirements
                is
                available; and 

            

    

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    
      	(w)  	
              it
                will not resell the Common
                Shares
                except in accordance with the provisions of applicable securities
                legislation and stock exchange rules;
                and

            

    

     

    
      	(x)  	
              the
                acquisition of the Common Shares hereunder by the Subscriber will
                not
                result in the Subscriber becoming a "control person", as defined
                under
                applicable securities laws; and

            

    

     

    
      	(y)  	
              the
                Subscriber does not act jointly or in concert with any other person
                or
                company for the purposes of acquiring securities of the Corporation;
                and

            

    

     

    
      	(z)  	
              the
                Subscriber acknowledges that the Corporation may complete additional
                equity financings in the future which may have a dilutive effect
                on the
                Subscriber's shareholdings in the Corporation;
                and

            

    

     

    
      	(aa)  	
              the
                funds representing the Aggregate Subscription Price which will be
                advanced
                by the Subscriber hereunder will not represent proceeds of crime
                for the
                purposes of the Proceeds
                of Crime (Money Laundering) and Terrorist Financing Act
                (Canada) and the Subscriber acknowledges that the Corporation may
                in the
                future be required by law to disclose the Subscriber's name and other
                information relating to this Subscription Agreement and the Subscriber's
                subscription hereunder, on a confidential basis, pursuant to the
                Proceeds
                of Crime (Money Laundering) and Terrorist Financing Act
                (Canada) and to the best of the Subscriber's knowledge (i) none of
                the
                subscription funds to be provided by the Subscriber (A) have been
                or will
                be derived from or related to any activity that is deemed criminal
                under
                the law of Canada, the United States of America, or any other
                jurisdiction, or (B) are being tendered on behalf of a person or
                entity
                who has not been identified to the Subscriber, and (ii) it shall
                promptly
                notify the Corporation if the Subscriber discovers that any of such
                representations ceases to be true, and to provide the Corporation
                with
                appropriate information in connection therewith;
                and

            

    

     

    
      	(bb)  	
              it
                acknowledges that this Subscription Agreement and the Exhibit hereto
                require the Subscriber (or any beneficial purchaser for whom the
                Subscriber is contracting) to provide certain personal information
                to the
                Corporation. Such information is being collected by the Corporation
                for
                the purposes of completing the offering of Common Shares, which includes,
                without limitation, determining the Subscriber's (or any beneficial
                purchaser for whom the Subscriber is contracting) eligibility to
                purchase
                the Common Shares under applicable securities legislation, preparing
                and
                registering any certificates representing Common Shares to be issued
                to
                the Subscriber and completing filings required by any stock exchange
                or
                securities regulatory authority. The Subscriber's (or any beneficial
                purchaser for whom the Subscriber is contracting) personal information
                may
                be disclosed by the Corporation to: (a) stock exchanges or securities
                regulatory authorities, (b) the Corporation's registrar and transfer
                agent, and (c) any of the other parties involved in the offering,
                including legal counsel to the Corporation. By executing this Subscription
                Agreement, the Subscriber (or any beneficial purchaser for whom the
                Subscriber is contracting) consents to the foregoing collection,
                use and
                disclosure of the Subscriber's (or any beneficial purchaser for whom
                the
                Subscriber is contracting) personal information. The Subscriber (or
                any
                beneficial purchaser for whom the Subscriber is contracting) also
                consents
                to the filing of copies or originals of any of the Subscriber's (or
                any
                beneficial purchaser for whom the Subscriber is contracting) documents
                described in Section 7 below as may be required to be filed with any
                stock exchange or securities regulatory authority in connection with
                the
                transactions contemplated hereby. Without limiting the generality
                of the
                foregoing, the Subscriber (or any beneficial purchaser for whom the
                Subscriber is contracting) (if resident in the Province of Ontario)
                further acknowledges that: (a) the Corporation will deliver to the
                Ontario
                Securities Commission (the "OSC")
                the Subscriber's (or any beneficial purchaser for whom the Subscriber
                is
                contracting) full name, residential address and telephone number,
                the
                number of Common Shares purchased by the Subscriber (or any beneficial
                purchaser for whom the Subscriber is contracting) hereunder, the
                total
                purchase price paid by the Subscriber (or any beneficial purchaser
                for
                whom the Subscriber is contracting) hereunder, the exemption under
                applicable securities laws relied upon in respect of the Subscriber's
                (or
                any beneficial purchaser for whom the Subscriber is contracting)
                purchase
                of Common Shares hereunder and the date the Common Shares subscribed
                for
                hereunder were distributed to the Subscriber (or any beneficial purchaser
                for whom the Subscriber is contracting); (b) the information set
                forth in
                (a) immediately above is being collected indirectly by the OSC under
                the
                authority granted to it under securities legislation for the purposes
                of
                the administration and enforcement of the securities legislation
                of
                Ontario; and (c) the title, business address and telephone number
                of the
                public official in Ontario who can answer questions about the OSC's
                indirect collection of the information is as follows: Administrative
                Assistant to the Director of Corporate Finance, Suite 1903, Box 5520
                Queen
                Street West, Toronto, Ontario, M5H 3S8, Telephone (416) 593-8086.
                The
                Subscriber (or any beneficial purchaser for whom the Subscriber is
                contracting) (if resident in the Province of Ontario) hereby authorizes
                the indirect collection of the information set forth in (a) immediately
                above by the OSC; and

            

    

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    
      	(cc)  	
              the
                Subscriber acknowledges that it has been encouraged to obtain independent
                legal, income tax and investment advice with respect to its subscription
                for the Common Shares and accordingly, has had the opportunity to
                acquire
                an understanding of the meanings of all terms contained herein relevant
                to
                the Subscriber for purposes of giving representations, warranties
                and
                covenants under this Subscription Agreement.

            

    

     

    Representations,
      Warranties and Covenants by the Corporation

     

    6.  The
      Corporation represents, warrants and covenants to the Subscriber (and
      acknowledges that the Subscriber is relying thereon) both at the date hereof
      and
      at the Closing Time (as defined herein) that:

     

    
      	(a)  	
              the
                Corporation and each of its subsidiaries has been duly incorporated
                and is
                validly existing under the laws of the jurisdiction of its incorporation
                and has all requisite corporate capacity, power and authority to
                carry on
                its business, as now conducted and as presently proposed to be conducted
                by it, and to own its properties and
                assets;

            

    

     

    
      	(b)  	
              the
                Corporation is qualified to carry on business under the laws of each
                jurisdiction in which it carries on a material portion of its
                business;

            

    

     

    
      	(c)  	
              the
                Corporation has conducted and is conducting and will conduct its
                business
                in compliance in all material respects with all applicable laws,
                rules and
                regulations and, in particular, all applicable licensing and environmental
                legislation, regulations or by-laws or other lawful requirements
                of any
                governmental or regulatory bodies applicable to it of each jurisdiction
                in
                which it carries on a material portion of its business and holds
                all
                licences, registrations and qualifications in all jurisdictions in
                which
                it carries on a material portion of its business which are necessary
                or
                desirable to carry on the business of the Corporation as now conducted
                and
                as presently proposed to be conducted, all such licences, registrations
                or
                qualifications are valid and existing and in good standing and none
                of
                such licences, registrations or qualifications contains any burdensome
                term, provision, condition or limitation which has or is likely to
                have
                any material adverse effect on the business of the Corporation as
                now
                conducted or as proposed to be conducted, and the Corporation is
                not aware
                of any legislation, regulation, rule or lawful requirements presently
                in
                force or proposed to be brought into force which the Corporation
                anticipates the Corporation will be unable to comply with without
                materially adversely affecting the Corporation;

            

    

     

    
      	(d)  	
              the
                information and statements set forth in the audited financial statements
                of the Corporation as at and for the year ended April 30, 2006, together
                with the report of the Corporation's auditors thereon and notes thereto
                including the management's discussion and analysis of the Corporation's
                financial condition and results of operations related thereto (the
                "Financial
                Statements")
                and press releases of the Corporation subsequent to April 30, 2006
                (collectively the "Documents")
                were true, correct, and complete and did not contain any
                misrepresentation, as of the date of such information or statement,
                and
                were prepared in accordance with and complied with all applicable
                securities and corporate laws, rules, regulations, instruments, notices,
                blanket orders, statements, procedures and policies (the "Applicable
                Securities Laws");

            

    

     

    
      	(e)  	
              the
                Corporation does not have any material subsidiaries other than OQI,
                Anhydride Petroleum (USA) Inc., Township Petroleum Corporation and
                Western
                Petrochemicals Corporation, the Corporation is not "affiliated" with
                or a
                "holding corporation" of any other body corporate (within the meaning
                of
                those terms in the Business
                Corporations Act (Alberta)
                (the "ABCA")),
                nor is it a partner of any partnerships (other than participating
                in
                industry partnerships in the ordinary course of business) or limited
                partnerships, and the Corporation has no material shareholdings in
                any
                other corporation or business
                organization;

            

    

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    
      	(f)  	
              the
                minute books of the Corporation contain full, true and correct copies
                of
                the constating documents of the Corporation and contain copies of
                all
                minutes of all meetings and all consent resolutions of the directors,
                committees of directors and shareholders of the Corporation and all
                such
                meetings were duly called and properly held and all consent resolutions
                were properly adopted;

            

    

     

    
      	(g)  	
              the
                books of account and other records of the Corporation, whether of
                a
                financial or accounting nature or otherwise, have been maintained
                in
                accordance with prudent business
                practices;

            

    

     

    
      	(h)  	
              the
                Corporation has duly and timely filed, in proper form, returns in
                respect
                of taxes under the income tax legislation of the United States and
                Canada
                and any state of the United States and province or territory of Canada
                or
                any foreign country having jurisdiction over affairs of the Corporation
                for all periods in respect of which such filings have heretofore
                been
                required, if any, and all taxes shown thereon, if any, have been
                paid or
                accrued on the books of the Corporation and there are no outstanding
                agreements or waivers extending the statutory period of limitations
                applicable to any federal, state, provincial or other income tax
                return
                for any period, and all payments by the Corporation to any non-resident
                of
                the United States or Canada have been made in accordance with applicable
                legislation in respect of withholding tax; there are no assessments
                or
                reassessments respecting the Corporation pursuant to which there
                are
                amounts owing or discussions in respect thereof with any taxing authority
                and the Corporation has withheld from each payment made to any of
                its
                officers, directors, former directors and employees the amount of
                all
                taxes (including, without limitation, income tax) and other deductions
                required to be withheld therefrom and has paid the same to the proper
                tax
                or other authority within the time required under any applicable
                tax
                legislation;

            

    

     

    
      	(i)  	
              all
                filings made by the Corporation under which the Corporation has received
                or is entitled to government incentives, have been made in accordance,
                in
                all material respects, with all applicable legislation and contain
                no
                misrepresentations of material fact or omit to state any material
                fact
                which could cause any amount previously paid to the Corporation or
                previously accrued on the accounts thereof to be recovered or
                disallowed;

            

    

     

    
      	(j)  	
              except
                to the extent that any violation or other matter referred to in this
                subparagraph does not have a material adverse effect on the business,
                financial condition, assets, properties, liabilities or operations
                of the
                Corporation:

            

    

     

    
      	(i)  	
              the
                Corporation is not in violation of any applicable federal, provincial,
                state, municipal or local laws, regulations, orders, government decrees
                or
                ordinances with respect to environmental, health or safety matters
                (collectively, "Environmental
                Laws");

            

    

     

    
      	(ii)  	
              the
                Corporation has operated its business at all times and has received,
                handled, used, stored, treated, shipped and disposed of all contaminants
                without violation of Environmental
                Laws;

            

    

     

    
      	(iii)  	
              except
                as have been disclosed in the Documents, there have been no spills,
                releases, deposits or discharges of hazardous or toxic substances,
                contaminants or wastes into the earth, air or into any body of water
                or
                any municipal or other sewer or drain water systems by the Corporation
                that have not been remedied;

            

    

     

    
      	(iv)  	
              no
                orders, directions or notices have been issued and remain outstanding
                pursuant to any Environmental Laws relating to the business or assets
                of
                the Corporation;

            

    

     

    
      	(v)  	
              the
                Corporation has not failed to report to the proper federal, provincial,
                municipal or other political subdivision, government, department,
                commission, board, bureau, agency or instrumentality, domestic or
                foreign
                ("Government
                Authority")
                the occurrence of any event which is required to be so reported by
                any
                Environmental Law; and

            

    

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    
      	(vi)  	
              the
                Corporation holds, or will hold at the required time, all licences,
                permits and approvals required under any Environmental Laws in connection
                with the operation of its business and the ownership and use of its
                assets, all such licences, permits and approvals are in full force
                and
                effect, and except for notifications and conditions of general application
                to assets of the type owned by the Corporation and the Corporation
                has not
                received any notification pursuant to any Environmental Laws that
                any
                work, repairs, constructions or capital expenditures are required
                to be
                made by it as a condition of continued compliance with any Environmental
                Laws, or any licence, permit or approval issued pursuant thereto,
                or that
                any licence, permit or approval referred to above is about to be
                reviewed,
                made subject to limitation or conditions, revoked, withdrawn or
                terminated;

            

    

     

    
      	(k)  	
              any
                and all operations of the Corporation and, to the knowledge of the
                Corporation, any and all operations by third parties, on or in respect
                of
                the assets and properties of the Corporation, have been conducted
                in
                accordance with good oil and gas and mining industry practices and
                in
                material compliance with applicable laws, rules, regulations, orders
                and
                directions of governmental and other competent
                authorities;

            

    

     

    
      	(l)  	
              in
                respect of the assets and properties of the Corporation that are
                operated
                by it, if any, the Corporation holds all valid licences, permits
                and
                similar rights and privileges that are required and necessary under
                applicable law to operate the assets and properties of the Corporation
                as
                presently operated;

            

    

     

    
      	(m)  	
              the
                Corporation has full corporate capacity, power and authority to enter
                into
                this Subscription Agreement and to perform its obligations set out
                herein
                (including, without limitation, to create, issue and sell the Common
                Shares) and this Subscription Agreement will be, on the Closing Date,
                duly
                authorized, executed and delivered by the Corporation and this
                Subscription Agreement will on the Closing Date be a legal, valid
                and
                binding obligation of the Corporation enforceable against the Corporation
                in accordance with its terms, subject to laws relating to creditors'
                rights generally and except as rights to indemnity may be limited
                by
                applicable law;

            

    

     

    
      	(n)  	
              at
                the Closing Time, the Common Shares will be duly and validly created,
                authorized, allotted and reserved for issuance and, upon receipt
                of the
                purchase price therefor, will be issued as fully paid and non-assessable
                Common Shares;

            

    

     

    
      	(o)  	
              the
                Corporation is not in default or breach of, and the execution and
                delivery
                of, and the performance of and compliance with the terms of, this
                Subscription Agreement by the Corporation or any of the transactions
                contemplated hereby, does not and will not result in any breach of,
                or be
                in conflict with or constitute a default under, or create a state
                of facts
                which, after notice or lapse of time, or both, would result in a
                breach of
                or constitute a default under, any term or provision of the constating
                documents, by-laws or resolutions of the directors and shareholders
                of the
                Corporation, or any mortgage, note, indenture, contract, agreement
                (written or oral), instrument, lease or other document to which the
                Corporation is a party or by which it is bound or any judgment, decree,
                order, statute, rule or regulation applicable to the Corporation
                which
                default or breach might reasonably be expected to materially adversely
                affect the business, operations, capital or condition (financial
                or
                otherwise) of the Corporation or its properties or assets or would
                impair
                the ability of the Corporation to consummate the transactions contemplated
                hereby or to duly observe and perform its obligations contained in
                this
                Subscription Agreement;

            

    

     

    
      	(p)  	
              there
                has not been any material change in the assets, liabilities or obligations
                (absolute, accrued, contingent or otherwise) of the Corporation from
                the
                position set forth in the Documents (other than as have been disclosed
                in
                the Documents), and there has not been any material adverse change
                in the
                capital, assets, liabilities (absolute, accrued, contingent or otherwise),
                business, operations, capital or condition (financial or otherwise)
                of the
                Corporation since April 30, 2006 and since that date there have been
                no
                material facts, transactions, events or occurrences which, to the
                knowledge of the Corporation, could materially adversely affect the
                capital, assets, liabilities (absolute, accrued, contingent or otherwise),
                business, operations or condition (financial or otherwise) or results
                of
                the operations of the Corporation;

            

    

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    
      	(q)  	
              the
                Financial Statements fairly present, in all material respects and
                in
                accordance with generally accepted accounting principles in the United
                States, consistently applied, the financial position and condition,
                the
                results of the operations, cash flows and other information purported
                to
                be shown therein of the Corporation as at the dates thereof and for
                the
                periods then ended and reflect all assets, liabilities and obligations
                (absolute, accrued, contingent or otherwise) of the Corporation as
                at the
                dates thereof required to be disclosed in accordance with generally
                accepted accounting principles in the United States, and include
                all
                adjustments necessary for a fair
                presentation;

            

    

     

    
      	(r)  	
              no
                officer, director, employee or any other person not dealing at arm's
                length with the Corporation or, to the knowledge of the Corporation,
                any
                associate or affiliate of any such person, owns, has or is entitled
                to any
                royalty, net profits interest, carried interest, licensing fee or
                any
                other encumbrances or claims of any nature whatsoever which are based
                on
                the Corporation's revenues;

            

    

     

    
      	(s)  	
              there
                has not been any material disagreement with the auditors of the
                Corporation;

            

    

     

    
      	(t)  	
              the
                Corporation is not a party to or bound by any agreement of guarantee,
                indemnification (other than an indemnification of directors and officers
                in accordance with the by-laws of the Corporation and applicable
                laws,
                indemnification agreements or covenants that are entered into arising
                in
                the ordinary course of business, including operating and similar
                agreements, indemnification and contribution provisions in agency
                and
                underwriting agreements and in transfer agency agreements) or any
                other
                like commitment of the obligations, liabilities (contingent or otherwise)
                or indebtedness of any other
                person;

            

    

     

    
      	(u)  	
              other
                than as set forth in the Financial Statements, the Corporation does
                not
                have any loans or other indebtedness outstanding which have been
                made to
                or from any of its shareholders, officers, directors or employees
                or any
                other person not dealing at arm's length with the Corporation that
                are
                currently outstanding;

            

    

     

    
      	(v)  	
              there
                are no actions, suits, proceedings or inquiries in existence or,
                to the
                knowledge of the Corporation, pending or threatened against or affecting
                the Corporation at law or in equity or before or by any federal,
                provincial, municipal or other governmental department, commission,
                board,
                bureau, agency or instrumentality which in any way materially adversely
                affects, or may in any way materially adversely affect, the business,
                operations, capital or condition (financial or otherwise) or assets
                of the
                Corporation or which affects or may affect the distribution of the
                Common
                Shares or which would impair the ability of the Corporation to consummate
                the transactions contemplated hereby or to duly observe and perform
                any of
                its covenants or obligations contained in this Subscription Agreement
                and
                the Corporation is not aware of any existing ground on which such
                action,
                suit, proceeding or inquiry might by commenced with any reasonable
                likelihood of success;

            

    

     

    
      	(w)  	
              the
                authorized share capital of the Corporation consists of 260,000,000
                shares
                of common stock, par value U.S. $0.001 per share, of which 250,000,000
                are
                shares of common stock and 10,000,000 are shares of preferred
                stock;

            

    

     

    
      	(x)  	
              none
                of the directors, officers or employees of the Corporation, any person
                who
                owns, directly or indirectly, more than 10% of any class of securities
                of
                the Corporation, or any associate or affiliate of any of the foregoing,
                had or has any material interest, direct or indirect, in any material
                transaction or any proposed material transaction with the Corporation
                which, as the case may be, materially affects, is material to or
                will
                materially affect the Corporation;

            

    

     

    
      	(y)  	
              no
                securities commissions (the "Securities
                Commission")
                or similar regulatory authorities in the provinces of Alberta, British
                Columbia, Saskatchewan, Manitoba and Ontario and such other provinces
                and
                other foreign jurisdictions in which there are Subscribers which
                are
                acceptable to the Corporation (the "Selling
                Jurisdictions"),
                other securities commission or similar regulatory authority, or any
                stock
                exchange in Canada or the United States has issued any order which
                is
                currently outstanding preventing or suspending trading in any securities
                of the Corporation, no such proceeding is, to the knowledge of the
                Corporation, pending, contemplated or threatened and the Corporation
                is
                not in default of any material requirement of Applicable Securities
                Laws
                of the Selling Jurisdictions or securities laws in the United
                States;

            

    

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

    
      	(z)  	
              the
                Corporation has filed all reports required to be filed with the United
                States Securities and Exchange Commission (the "SEC")
                pursuant to Section 13 of the United States Securities Exchange Act
                of
                1934, as amended, and the Common Shares are quoted on the OTC Bulletin
                Board;

            

    

     

    
      	(aa)  	
              to
                the knowledge of the Corporation, no insider of the Corporation has
                a
                present intention to sell any securities of the Corporation held
                by
                it;

            

    

     

    
      	(bb)  	
              no
                authorization, approval or consent of any court or governmental authority
                or agency is required to be obtained by the Corporation in connection
                with
                the sale and delivery of the Common Shares except as contemplated
                hereby;

            

    

     

    
      	(cc)  	
              the
                Corporation has not incurred any obligation or liability, contingent
                or
                otherwise, or brokerage fees, finder's fees, underwriter's or agent's
                commission or other similar forms of compensation with respect to
                the
                transactions contemplated hereby;

            

    

     

    
      	(dd)  	
              the
                form and terms of definitive certificates representing the Common
                Shares
                have been duly approved and adopted by the Corporation and comply
                with all
                legal requirements relating
                thereto;

            

    

     

    
      	(ee)  	
              the
                Corporation does not have any reason to believe that the representations
                and warranties of OQI in the agreement dated June 9, 2006 between
                the
                Corporation and OQI respecting the proposed reorganization (the
                "Reorganization")
                involving the Corporation and OQI (the "Reorganization
                Agreement")
                are not true and correct as of the date hereof or that OQI is in
                breach of
                any covenants of OQI in the Reorganization Agreement except such
                as would
                not have a material adverse effect on the business, operations, capital,
                properties, assets, liabilities (absolute, accrued, contingent or
                otherwise) or results of operations of OQI or the Corporation, as
                applicable;

            

    

     

    
      	(ff)  	
              the
                representations and warranties of the Corporation in the Reorganization
                Agreement are true and correct as of the date hereof, except as such
                would
                not have a material adverse effect on the business, operations, capital,
                properties, assets, liabilities (absolute, accrued, contingent or
                otherwise), condition (financial or otherwise) or results of operations
                of
                the Corporation;

            

    

     

    
      	(gg)  	
              the
                Corporation is insured by insurers of recognized financial responsibility
                against such losses and risks and in such amounts that are customary
                in
                the business in which it is engaged; to the best of the Corporation's
                knowledge, all policies of insurance and fidelity or surety bonds
                insuring
                the Corporation or its business, assets, employees, officers and
                directors
                are in full force and effect, the Corporation is in compliance with
                the
                terms of such policies and instruments in all material respects and
                there
                are no material claims by the Corporation under any such policy or
                instrument as to which any insurance company is denying liability
                or
                defending under a reservation of rights clause; the Corporation has
                no
                reason to believe that it will not be able to renew its existing
                insurance
                coverage as and when such coverage expires or to obtain similar coverage
                from similar insurers as may be necessary to continue its business
                at a
                cost that would not have a material adverse effect on the condition
                (financial or otherwise) prospects, earnings, business or properties
                of
                the Corporation;

            

    

     

    
      	(hh)  	
              to
                the knowledge of the Corporation, none of its directors or officers
                are
                subject to an order or ruling of any securities regulatory authority
                or
                stock exchange prohibiting such individual from acting as a director
                or
                officer of a public company or of a company listed on a particular
                stock
                exchange;

            

    

     

    
      	(ii)  	
              the
                Corporation has taken or will take prior to the Closing Date all
                such
                steps as may be necessary to comply with such requirements of Applicable
                Securities Laws such that the Common Shares, may, in accordance with
                Applicable Securities Laws, be offered for sale and sold on a private
                placement basis in the Selling Jurisdictions and the Corporation
                agrees
                that it will refuse to register any transfer of the Common Shares
                not made
                in accordance with Regulation S, pursuant to registration under the
                U.S.
                Securities Act and applicable state securities laws or pursuant to
                an
                available exemption from registration
                requirements;

            

    

     

    
      	(jj)  	
              other
                than as set forth in the Corporation's disclosure documents as publicly
                filed with the United States Securities and Exchange Commission and
                available for viewing on the Electronic Data Gathering, Analysis,
                and
                Retrieval System (the "Disclosure
                Record"),
                there are no material contracts or agreements to which the Corporation
                is
                a party or by which it is bound and each of the contracts and agreements
                set forth in the Corporation's Disclosure Record constitutes a legally
                valid and binding agreement of the Corporation enforceable in accordance
                with their respective terms and, to the knowledge of the Corporation,
                no
                party thereto is in default
                thereunder;

            

    

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

    
      	(kk)  	
              except
                as set forth in the Corporation's Disclosure Record, the Corporation
                is
                not a party to any contracts of employment which may not be terminated
                on
                one month's notice or which provide for payments occurring on a change
                of
                control of the Corporation;

            

    

     

    
      	(ll)  	
              the
                Corporation adopted a shareholder rights plan in March 2006 and reserved
                250,000 shares of Series A Junior Participating Preferred Stock.
                Pursuant
                to the Reorganization Agreement, approximately 73,901,500 Common
                Shares
                will be issuable (on a fully-diluted basis, subject to adjustment
                in
                certain circumstances) upon exchange of the exchangeable shares issued
                to
                OQI shareholders;

            

    

     

    
      	(mm)  	
              neither
                the Corporation nor any of its shareholders is a party to any unanimous
                shareholders agreement, pooling agreement, voting trust or other
                similar
                type of arrangements in respect of outstanding securities of the
                Corporation other than the Voting and Exchange Trust Agreement
                contemplated by the Reorganization
                Agreement;

            

    

     

    
      	(nn)  	
              the
                closing of the Reorganization is scheduled to take place on or prior
                to
                5:00 p.m. (Calgary time) on August 14, 2006, and to the knowledge
                of the
                Corporation no event has occurred or condition exists which may prevent
                the Reorganization from being completed pursuant to and in accordance
                with
                the terms and conditions of the Reorganization Agreement;
                and

            

    

     

    
      	(oo)  	
              the
                obligations of the Subscribers hereunder shall be conditional upon
                the
                Subscribers receiving, and the Subscribers shall have the right on
                the
                Closing Date to withdraw all Subscription Agreements delivered and
                not
                previously withdrawn by Subscribers unless the Subscribers receive,
                on the
                Closing Date a legal opinion of the Corporation's counsel addressed
                to the
                Subscribers, in form and substance satisfactory to the Subscribers
                relating to the offering, issuance and sale of the Common Shares,
                including, without limitation, the matters set forth in Schedule
                "A" and
                as to all other legal matters, including compliance with Applicable
                Securities Laws of the Selling Jurisdictions in Canada in which Common
                Shares were sold, in any way connected with the offering, issuance,
                sale
                and delivery of the Common Shares, it being understood that such
                counsel
                may rely on the opinions of local counsel acceptable to them as to
                matters
                governed by the laws of jurisdictions other than the jurisdictions
                of
                residence of such counsel and on certificates of officers of the
                Corporation, public officials and the auditors of the Corporation
                as to
                relevant matters of fact.

            

    

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

    Closing

     

    7.  The
      Subscriber agrees to deliver to CanWest Petroleum Corporation, 205, 707 - 7th
      Avenue S.W., Calgary, Alberta, T2P 3H6, Attention: Patti Beatch not later than
      4:00 p.m. (Calgary time) on August 11, 2006: (a) this duly completed and
      executed Subscription Agreement; (b)  a fully executed and completed
      Representation Letter in the form of Exhibit 1;
      and
      (c) a certified cheque or bank draft payable to the Corporation for the
      Aggregate Subscription Price or payment of the same amount in such other manner
      as is acceptable to the Corporation, including by wire transfer as provided
      below. The Subscriber may pay the Aggregate Subscription Price in Canadian
      currency, converted using the “noon spot rate” for currency exchange as quoted
      by the Bank of Canada in Ottawa, Ontario, at or near 12:00 noon (Ottawa time),
      on such business day immediately preceding the payment, or using such other
      currency exchange rate agreed to in writing between the Subscriber and the
      Corporation. The Subscriber may also pay the Aggregate Subscription Price by
      way
      of wire transfer to Macleod Dixon llp,
      the
      Corporation's counsel, at the coordinates set out in Schedule "B".

     

    8.  The
      sale
      of the Common Shares pursuant to this Subscription Agreement will be completed
      at the offices of Macleod Dixon llp,
      the
      Corporation's counsel, in Calgary, Alberta at 1:00 p.m. (Calgary time) or
      such other time as the Corporation may agree (the "Closing
      Time")
      on
      August 14, 2006 or such other date as the Corporation may agree (the
      "Closing
      Date").
      At
      the Closing Time, the Subscriber shall deliver to the Corporation this
      Subscription Agreement, and the aggregate subscription amount against delivery
      by the Corporation of the certificate representing the Common
      Shares.

     

    9.  The
      Corporation shall be entitled to rely on delivery of a facsimile copy of
      executed subscriptions, and acceptance by the Corporation of such facsimile
      subscriptions shall be legally effective to create a valid and binding agreement
      between the Subscriber and the Corporation in accordance with the terms hereof.
      In addition, this Subscription Agreement may be executed in counterparts, each
      of which shall be deemed to be an original and all of which shall constitute
      one
      and the same document.

     

    General

     

    10.  The
      Subscriber agrees that the representations, warranties and covenants of the
      Subscriber herein will be true and correct both as of the execution of this
      Subscription Agreement and as of the Closing Time and will survive the
      completion of the issuance of the Common Shares. The representations, warranties
      and covenants of the Subscriber herein are made with the intent that they be
      relied upon by the Corporation and its counsel in determining the eligibility
      of
      a purchaser of Common Shares and the Subscriber (on its own behalf and, if
      applicable, on behalf of each person on whose behalf the Subscriber is
      contracting) agrees to indemnify and hold harmless the Corporation and
      its
      affiliates, shareholders, directors, officers, partners, employees, legal
      counsel and agents,
      from and
      against all losses, claims, costs, expenses and damages or liabilities
      whatsoever which any of them may suffer or incur which are caused or arise
      from
      a breach thereof. The Subscriber undertakes to immediately notify the
      Corporation at CanWest Petroleum Corporation, 205, 707 - 7th Avenue S.W.,
      Calgary, AB, T2P 3H6, Attention:
      T. Murray Wilson (Fax Number: (403) 
      269-7566),
      of any
      change in any statement or other information relating to the Subscriber set
      forth herein which takes place prior to the Closing Time.

     

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

     

    12.  The
      obligations of the parties hereunder are subject to all required regulatory
      approvals being obtained.

     

    13.  The
      Subscriber acknowledges that it has consented to and requested that all
      documents evidencing or relating in any way to the sale of the Common Shares
      be
      drawn up in the English language only. Le
      soussigné reconna t par les présentes avoir consenti et exigé que tous les
      documents faisant foi ou se repportant de quelque manière à la vente de ces
      actions soient rédigés en anglais seulement.

     

    14.  The
      contract arising out of this Subscription Agreement and all documents relating
      thereto shall be governed by and construed in accordance with the laws of the
      Province of Alberta and the federal laws of Canada applicable therein. The
      parties irrevocably attorn to the exclusive jurisdiction of the courts of the
      Province of Alberta. Time shall be of the essence hereof.

     

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

    15.  This
      Subscription Agreement represents the entire agreement of the parties hereto
      relating to the subject matter hereof and there are no representations,
      covenants or other agreements relating to the subject matter hereof except
      as
      stated or referred to herein. 

     

    16.  The
      terms
      and provisions of this Subscription Agreement shall be binding upon and enure
      to
      the benefit of the Subscriber and the Corporation and their respective heirs,
      executors, administrators, successors and assigns; provided that, except for
      the
      assignment by a Subscriber who is acting as nominee or agent to the beneficial
      owner and as otherwise herein provided, this Subscription Agreement shall not
      be
      assignable by any party without prior written consent of the other parties.
      

     

    17.  The
      Subscriber, on its own behalf and, if applicable, on behalf of others for whom
      it is contracting hereunder, agrees that this subscription is made for valuable
      consideration and may not be withdrawn, cancelled, terminated or revoked by
      the
      Subscriber, on its own behalf and, if applicable, on behalf of others for whom
      it is contracting hereunder.

     

    18.  Neither
      this Subscription Agreement nor any provision hereof shall be modified, changed,
      discharged or terminated except by an instrument in writing signed by the party
      against whom any waiver, change, discharge or termination is
      sought.

     

    19.  The
      invalidity, illegality or unenforceability of any provision of this Subscription
      Agreement shall not affect the validity, legality or enforceability of any
      other
      provision hereof.

     

    20.  The
      headings used in this Subscription Agreement have been inserted for convenience
      of reference only and shall not affect the meaning or interpretation of this
      Subscription Agreement or any provision hereof.

     

    21.  The
      covenants, representations and warranties contained herein shall survive the
      closing of the transactions contemplated hereby. In this Subscription Agreement
      (including attachments), references to "$" are to Canadian dollars.

     

     

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

    EXHIBIT
      1

     

    REPRESENTATION
      LETTER

     

    

    (ALL
      SUBSCRIBERS MUST COMPLETE THIS EXHIBIT 1)

    

    TO: CanWest
      Petroleum Corporation (the "Corporation")

     

    In
      connection with the purchase of common shares of the Corporation ("Common
      Shares")
      by the
      undersigned subscriber or, if applicable, the disclosed principal on whose
      behalf the undersigned is purchasing as agent (the "Subscriber"
      for the
      purposes of this Exhibit 1), the Subscriber hereby represents, warrants,
      covenants and certifies to the Corporation that:

     

    1.  The
      Subscriber is resident in one of the Provinces of British Columbia, Alberta,
      Saskatchewan, Manitoba or Ontario or is otherwise subject to applicable
      securities laws of one of the Provinces of British Columbia, Alberta,
      Saskatchewan, Manitoba or Ontario;

     

    2.  The
      Subscriber is purchasing the Common Shares as principal (NOTE: For this purpose,
      a trust company or trust corporation described in paragraph (p) in Appendix
      "A"
      to this Representation Letter (other than a trust company or trust corporation
      registered under the laws of Prince Edward Island that is not registered or
      authorized under the Trust
      and Loan Companies Act
      (Canada)
      or under comparable legislation in another jurisdiction of Canada) and a person
      described in paragraph (q) in Appendix "A" to this Representation Letter is
      deemed to be purchasing as principal);

     

    3.  The
      Subscriber is (and will be at the Closing Time) an "accredited investor" within
      the meaning of National Instrument 45-106 entitled "Prospectus and Registration
      Exemptions" by virtue of satisfying the indicated criterion as set out in
      Appendix "A" to this Representation Letter; and

     

    4.  Upon
      execution of this Exhibit 1 by or on behalf of the Subscriber, this
      Exhibit 1 shall be incorporated into and form a part of the Subscription
      Agreement to which this Exhibit is attached.

     

    Dated:
      _________________________, 2006

     

                                 
      ________________________________________

    Print
      name of Subscriber, or person signing as agent on

    behalf
      of
      Subscriber

    

        By:________________________________________

    Signature

     

         
      ________________________________________

    Print
      name of Signatory (if different from Subscriber or agent, as
      applicable)

    

                                       
      ________________________________________

    Title

    

     

    *
      If
      the Subscriber is a
      fully managed account,
      please complete in the following format: "Account____ by [insert name of
      adviser, trust company or trust corporation]"

     

    

    **
      PLEASE INITIAL THE APPLICABLE PROVISION IN APPENDIX "A" ON THE FOLLOWING PAGES
      **

    

    

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

    APPENDIX
      "A"

     

    TO
      EXHIBIT 1

    

     

    NOTE:
      THE INVESTOR MUST INITIAL BESIDE THE APPLICABLE PORTION OF THE DEFINITION
      BELOW.

     

    Accredited
      Investor
      -
      (defined in National Instrument 45-106) means:

     

    
      	  ___________	
              a
                Canadian financial institution, or a Schedule III bank; or

               

            
	  ___________	
              the
                Business Development Bank of Canada incorporated under the Business
                Development Bank of Canada Act
                (Canada); or

               

            
	  ___________	
              a
                subsidiary of any person referred to in paragraphs (a) or (b), if
                the
                person owns all of the voting securities of the subsidiary, except
                the
                voting securities required by law to be owned by directors of that
                subsidiary; or

               

            
	  ___________	
              a
                person registered under the securities legislation of a jurisdiction
                of
                Canada as an adviser or dealer, other than a person registered solely
                as a
                limited market dealer under one or both of the Securities
                Act
                (Ontario) or the Securities
                Act
                (Newfoundland and Labrador); or

               

            
	  ___________	
              an
                individual registered or formerly registered under the securities
                legislation of a jurisdiction of Canada as a representative of a
                person
                referred to in paragraph (d); or

               

            
	  ___________	
              the
                Government of Canada or a jurisdiction of Canada, or any crown
                corporation, agency or wholly owned entity of the Government of Canada
                or
                a jurisdiction of Canada; or

               

            
	  ___________	
              a
                municipality, public board or commission in Canada and a metropolitan
                community, school board, the Comite de gestion de la taxe scolaire
                de
                l'ile de Montreal or an intermuncipal management board in Quebec;
                or

               

            
	  ___________	
              any
                national, federal, state, provincial, territorial or municipal government
                of or in any foreign jurisdiction, or any agency of that government;
                or

               

            
	  ___________	
              a
                pension fund that is regulated by either the Office of the Superintendent
                of Financial Institutions (Canada) or a pension commission or similar
                regulatory authority of a jurisdiction of Canada; or

               

            
	  ___________	
              an
                individual who, either alone or with a spouse, beneficially owns,
                directly
                or indirectly, financial assets having an aggregate realizable value
                that
                before taxes, but net of any related liabilities, exceeds $1,000,000;
                or

               

              **Note:
                if individual accredited investors wish to purchase through wholly-owned
                holding companies or similar entities, such purchasing entities must
                qualify under (t) below, which must be initialed.

            
	  ___________	
              an
                individual whose net income before taxes exceeded $200,000 in each
                of the
                2 most recent calendar years or whose net income before taxes combined
                with that of a spouse exceeded $300,000 in each of the 2 most recent
                calendar years and who, in either case, reasonably expects to exceed
                that
                net income level in the current calendar year; or

               

              **Note:
                if individual accredited investors wish to purchase through wholly-owned
                holding companies or similar entities, such purchasing entities must
                qualify under (t) below, which must be initialed.

            
	  ___________	
              an
                individual who, either alone or with a spouse, has net assets of
                at least
                $5,000,000; or

               

              **Note:
                if individual accredited investors wish to purchase through wholly-owned
                holding companies or similar entities, such purchasing entities must
                qualify under (t) below, which must be initialed.

            
	  ___________	
              a
                person, other than an individual or investment fund, that has net
                assets
                of at least $5,000,000 as shown on its most recently prepared financial
                statements; or

               

            

    

     

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

    
      	  ___________	
              an
                investment fund that distributes or has distributed its securities
                only
                to:

               

              (i)
                a person that is or was an accredited investor at the time of the
                distribution,

               

              (ii)
                a person that acquires or acquired securities in the circumstances
                referred to in sections 2.10 [Minimum
                amount investment],
                and 2.19 [Additional
                investment in investment funds],
                or

               

              (iii)
                a person described in paragraph (i) or (ii) that acquires or acquired
                securities under section 2.18 [Investment
                fund reinvestment];
                or

               

            
	  ___________	
              an
                investment fund that distributes or has distributed securities under
                a
                prospectus in a jurisdiction of Canada for which the regulator or,
                in
                Quebec, the securities regulatory authority, has issued a receipt;
                or

               

            
	  ___________	
              a
                trust company or trust corporation registered or authorized to carry
                on
                business under the Trust
                and Loan Companies Act
                (Canada) or under comparable legislation in a jurisdiction of Canada
                or a
                foreign jurisdiction, acting on behalf of a fully managed account
                managed
                by the trust company or trust corporation, as the case may be;
                or

               

            
	  ___________	
              a
                person acting on behalf of a fully managed account managed by that
                person,
                if that person:

               

              (i)
                is registered or authorized to carry on business as an adviser or
                the
                equivalent under the securities legislation of a jurisdiction of
                Canada or
                a foreign jurisdiction, and

               

              (ii)
                in Ontario, is purchasing a security that is not a security of an
                investment fund; or

               

            
	  ___________	
              a
                registered charity under the Income
                Tax Act
                (Canada) that, in regard to the trade, has obtained advice from an
                eligibility adviser or an adviser registered under the securities
                legislation of the jurisdiction of the registered charity to give
                advice
                on the securities being traded; or

               

            
	  ___________	
              an
                entity organized in a foreign jurisdiction that is analogous to any
                of the
                entities referred to in paragraphs (a) to (d) or paragraph (i) in
                form and
                function; or

               

            
	  ___________	
              a
                person in respect of which all of the owners of interests, direct,
                indirect or beneficial, except the voting securities required by
                law to be
                owned by directors, are persons that are accredited
                investors;

               

            
	  ___________	
              an
                investment fund that is advised by a person registered as an adviser
                or a
                person that is exempt from registration as an adviser; or

               

            
	  ___________	
              a
                person that is recognized or designated by the securities regulatory
                authority or, except in Ontario and Quebec, the regulator as:

               

              (i)
                an accredited investor, or

               

              (ii)
                an exempt purchaser in Alberta or British Columbia after National
                Instrument 45-106 came into force.

            

    

    For
      the purposes hereof:

     

    an
      issuer
      is an "affiliate"
      of
      another issuer if

     

    (a)    one
      of
      them is the subsidiary of the other, or

     

    (b)    each
      of
      them is controlled by the same person;

     

    "bank"
      means a
      bank named in Schedule I or II of the Bank
      Act
      (Canada);

     

    "beneficial
      ownership"
      of
      securities by a person has the meaning given thereto under securities laws
      of
      the applicable province of Canada;

     

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

    "Canadian
      financial institution"
      means

     

    
      	 	
              (a)

            	
              an
                association governed by the Cooperative
                Credit Associations Act
                (Canada) or a central cooperative credit society for which an order
                has
                been made under section 473(1) of that Act,
                or

            

    

     

    
      	 	
              (b)

            	
              a
                bank, loan corporation, trust company, trust corporation, insurance
                company, treasury branch, credit union, caisse populaire, financial
                services cooperative, or league that, in each case, is authorized
                by an
                enactment of Canada or a jurisdiction of Canada to carry on business
                in
                Canada or a jurisdiction in Canada;

            

    

     

    a
      person
      (first person) is considered to "control"
      another
      person (second person) if

     

    
      	 	
              (a)

            	
              the
                first person, directly or indirectly, beneficially owns or exercises
                control or direction over securities of the second person carrying
                votes
                which, if exercised, would entitle the first person to elect a majority
                of
                the directors of the second person, unless that first person holds
                the
                voting securities only to secure an
                obligation,

            

    

     

    
      	 	
              (b)

            	
              the
                second person is a partnership, other than a limited partnership,
                and
                first person holds more than 50% of the interests of the partnership,
                or

            

    

     

    
      	 	
              (c)

            	
              the
                second person is a limited partnership and the general partner of
                the
                limited partnership is the first
                person;

            

    

     

    "director"
      means

     

    
      	 	
              (a)

            	
              a
                member of the board of directors of a company or an individual who
                performs similar functions for a company,
                and

            

    

     

    
      	 	
              (b)

            	
              with
                respect to a person that is not a company, an individual who performs
                functions similar to those of a director of a
                company;

            

    

     

    "financial
      assets"
      means

     

    (a)    cash,

     

    (b)    securities,
      or

     

    
      	 	
              (c)

            	
              a
                contract of insurance, a deposit or an evidence of a deposit that
                is not a
                security for the purposes of securities
                legislation;

            

    

     

    "foreign
      jurisdiction"
      means a
      country other than Canada or a political subdivision of a country other than
      Canada;

     

    "fully
      managed account"
      means
      an account of a client for which a person makes the investment decisions if
      that
      person has full discretion to trade in securities for the account without
      requiring the client's express consent to a transaction;

     

    "investment
      fund"
      means a
      mutual fund or non-redeemable investment fund, and, for greater certainty,
      in
      British Columbia includes an employee venture capital corporation that does
      not
      have a restricted constitution , and is registered under Part 2 of the
Employee
      Investment Act
      (British
      Columbia), R.S.B.C. 1996 c. 112, and whose business objective is making multiple
      investments and a venture capital corporation registered under Part 1 of the
      Small
      Business Venture Capital Act
      (British
      Columbia), R.S.B.C. 1996 c.429 whose business objective is making multiple
      investments;

     

    "jurisdiction"
      means a
      province or territory of Canada except when used in the term "foreign
      jurisdiction";

     

    "individual"
      means a
      natural person, but does not include

     

    
      	 	
              (a)

            	
              a
                partnership, unincorporated association, unincorporated syndicate,
                unincorporated organization or a trust,
                or

            

    

     

    
      	 	
              (b)

            	
              a
                natural person in the person's capacity as trustee, executor,
                administrator or other legal
                representative;

            

    

     

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

    

    "mutual
      fund"
      includes an issuer of securities that entitles the holder to receive on demand,
      or within a specified period after demand, an amount computed by reference
      to
      the value of a proportionate interest in the whole or in part of the net assets,
      including a separate fund or trust account, of the issuer of the securities,
      and, for the purposes of British Columbia securities law, also
      includes

     

    
      	 	
              (a)

            	
              an
                issuer described in an order that the British Columbia Securities
                Commission may make pursuant to section 3.2 of the Securities
                Act (British
                Columbia); and

            

    

     

    
      	 	
              (b)

            	
              an
                issuer that is in a class of prescribed issuers,
                

            

    

     

    but
      does
      not include an issuer, or a class of issuers, described in an order that the
      British Columbia Securities Commission may make under section 3.1 of the
Securities
      Act (British
      Columbia);

     

    "non-redeemable
      investment fund"
      means
      an issuer,

     

    (a)    whose
      primary purpose is to invest money provided by its securityholders,

     

    (b)    that
      does
      not invest,

     

    
      	 	
              (A)

            	
              for
                the purpose of exercising or seeking to exercise control of an issuer,
                other than an issuer that is a mutual fund or a nonredeemable investment
                fund, or

            

    

     

    
      	 	
              (B)

            	
              for
                the purpose of being actively involved in the management of any issuer
                in
                which it invests, other than an issuer that is a mutual fund or a
                non-redeemable investment fund, and

            

    

     

    (c)    that
      is
      not a mutual fund;

     

    "person"
      includes 

     

    (a)    an
      individual,

     

    (b)    a
      corporation,

     

    
      	 	
              (c)

            	
              a
                partnership, trust, fund and an association, syndicate, organization
                or
                other organized group of persons, whether incorporated or not,
                and

            

    

     

    
      	 	
              (d)

            	
              an
                individual or other person in that person’s capacity as a trustee,
                executor, administrator or personal or other legal
                representative;

            

    

     

    "regulator"
      means,
      for the local jurisdiction, the Executive Director or Director as defined under
      securities legislation of the local jurisdiction;

     

    "related
      entity"
      means,
      for an issuer, a person that controls or is controlled by the issuer or that
      is
      controlled by the same person that controls the issuer;

     

    "related
      liabilities"
      means:

     

    
      	 	
              (a)

            	
              liabilities
                incurred or assumed for the purpose of financing the acquisition
                or
                ownership of financial assets; or

            

    

     

    (b)    liabilities
      that are secured by financial assets;

     

    "Schedule
      III bank"
      means
      an authorized foreign bank named in Schedule III of the
      Bank
      Act
      (Canada);

     

    "securities
      legislation"
      means
      the securities act, regulations, rules, blanket rulings and orders of the
      applicable province of Canada;

     

    "securities
      regulatory authority"
      means
      the securities commission or similar authority of the applicable province of
      Canada;

     

    
      
        
        

      

      
        20

        
          

        

      

      
        
        

      

    

    "spouse"
      means
      an individual who,

     

    
      	 	
              (a)

            	
              is
                married to another individual and is not living separate and apart
                within
                the meaning of the Divorce
                Act (Canada),
                from the other individual,

            

    

     

    
      	 	
              (b)

            	
              is
                living with another individual in a marriage-like relationship, including
                a marriage-like relationship between individuals of the same gender,
                or

            

    

     

    
      	 	
              (c)

            	
              in
                Alberta, is an individual referred to in paragraph (a) or (b), or
                is an
                adult interdependent partner within the meaning of the Adult
                Interdependent Relationships Act (Alberta);

            

    

     

    "subsidiary"
      means
      an issuer that is controlled directly or indirectly by another issuer and
      includes a subsidiary of that subsidiary; and

     

    "voting
      security"
      means
      any security which:

     

    (a)    is
      not a
      debt security; and

     

    
      	 	
              (b)

            	
              carries
                a voting right either under all circumstances or under some contingency
                that has occurred and is
                continuing.

            

    

     

    
      
        
        

      

      
        21

        
          

        

      

      
        
        

      

    

    

    SCHEDULE
      "A"

     

    1.  The
      Corporation has been duly incorporated under the laws of Colorado, is a
      corporation existing under the laws of Colorado, and has not been dissolved.
      The
      Corporation has all requisite corporate power and capacity to carry on its
      business as now conducted by it and to own its properties and assets, and is
      qualified to carry on business in British Columbia and Alberta.

     

    2.  The
      Corporation has full corporate power and authority to enter into the
      Subscription Agreements and the Subscription Agreements have been duly
      authorized, executed and delivered by the Corporation and constitute legal,
      valid and binding obligations of the Corporation enforceable against the
      Corporation in accordance with their terms, subject to laws relating to
      creditors rights generally and except as rights to indemnity may be limited
      by
      applicable laws.

     

    3.  The
      execution and delivery of the Subscription Agreements and the fulfillment of
      the
      terms thereof by the Corporation, and the performance of and compliance with
      the
      terms of the Subscription Agreements by the Corporation, do not and will not
      result in a breach of, or constitute a default under, and do not and will not
      create a state of facts which, after notice or lapse of time or both, will
      result in a breach of or constitute a default under: 

     

    
      	(a)  	
              any
                applicable laws of the Province of Alberta or the federal laws of
                Canada
                applicable therein; 

            

    

     

    
      	(b)  	
              any
                term or provision of the articles or by-laws of the Corporation;
                

            

    

     

    
      	(c)  	
              any
                resolutions of the directors (or any committee thereof) or the
                shareholders of the Corporation; 

            

    

     

    
      	(d)  	
              of
                which counsel is aware, any mortgage, note, indenture, contract,
                agreement
                (written or oral), instrument, lease or other document to which the
                Corporation is a party or by which the Corporation is bound as at
                the
                Closing Date; or

            

    

     

    
      	(e)  	
              of
                which counsel is aware, any judgment, decree or order, of any court,
                governmental agency or body or regulatory authority having jurisdiction
                over the Corporation or its properties or
                assets,

            

    

     

    which
      default or breach might reasonably be expected to materially adversely affect
      the business, operations, capital or condition (financial or otherwise) of
      the
      Corporation or its properties or assets.

     

    4.  The
      Common Shares have been reserved and allotted for issuance and have been validly
      issued as fully paid and non-assessable Common Shares.

     

    5.  The
      form
      of the definitive Common Share certificates have been approved by the board
      of
      directors of the Corporation and comply with all legal requirements relating
      thereto.

     

    6.  The
      offering, issuance and sale of the Common Shares by the Corporation to
      Subscribers in the Selling Jurisdictions in accordance with and pursuant to
      the
      Subscription Agreements is exempt from the prospectus and registration
      requirements of Applicable Securities Laws and no documents are required to
      be
      filed, proceedings taken or approvals, permits, consents or authorizations
      of
      regulatory authorities in the Selling Jurisdictions obtained under Applicable
      Securities Laws to permit such offering, issuance, sale and delivery, other
      than
      the execution and filing by or on behalf of the Corporation of reports of the
      trade required to be filed under Applicable Securities Laws, together with
      the
      requisite filing fees.

     

    7.  The
      first
      trade of the Common Shares is exempt from the prospectus requirements of
      Applicable Securities Laws, and no documents are required to be filed,
      proceedings taken or approvals, permits, consents, orders or authorizations
      of
      regulatory authorities required to be obtained under the Applicable Securities
      Laws in connection with the first trade by the Subscribers in each of the
      Selling Jurisdictions of the Common Shares through registrants registered under
      the Applicable Securities Laws of such Selling Jurisdiction who have complied
      with such Applicable Securities Laws or in circumstances in which there is
      an
      exemption from the registration requirements of the Applicable Securities Laws
      of such Selling Jurisdiction, subject to certain qualifications.

     

    8.  The
      authorized and issued capital of the Corporation.

     

    
      
        
        

      

      22

      
        

      

    

    
      
      

    

    SCHEDULE
      "B"

     

    

     

    CanWest
      Petroleum Corporation Wire Transfer Instructions:

    

    
      	
              Canadian
                Currency:

            	
              US
                Currency:

            
	
               

              Macleod
                Dixon LLP

              TD
                Canada Trust

              340
                - 5th Avenue SW

              Calgary,
                Alberta

               

              Transit
                #: 80609-004

              Account
                #: 0805-0637591

               

              SWIFT:
                TDOMCATTTOR 

               

               

               

              Ref:
                Please provide Macleod Dixon LLP file number 251838 when wiring
                funds

            	
               

              Macleod
                Dixon LLP

              TD
                Canada Trust

              340
                - 5th Avenue SW

              Calgary,
                Alberta

               

              Transit
                #: 80609-004

              Account
                #: 0805-7301780

               

              ABA#:
                026-009-593

              Bank
                of America, New York

               

               

              Ref:
                Please provide Macleod Dixon LLP file number 251838 when wiring
                funds

            

    

    

    Please
      contact Rashi Sengar at Macleod Dixon llp
      with any
      questions (403) 267-8241.

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