Document:

Dated:
      __________,
      2006

     

    NEITHER
      THIS DEBENTURE NOR THE SECURITIES INTO WHICH THIS DEBENTURE IS CONVERTIBLE
      HAVE
      BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES
      COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER
      THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
      ACT”),
      AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE
      REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE
      EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION
      REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE
      SECURITIES LAWS.

     

    
      	No. CCP-4	
              $3,500,000

            

    

     

    OPEN
      ENERGY CORPORATION (F/K/A BARNABUS ENERGY, INC.)

     

    Secured
      Convertible Debenture

     

    Due
      __________, 2009

     

    This
      Secured Convertible Debenture (the “Debenture”)
      is
      issued by OPEN
      ENERGY CORPORATION (F/K/A BARNABUS ENERGY, INC.), a
      Nevada
      corporation (the “Obligor”),
      to
CORNELL
      CAPITAL PARTNERS, LP
      (the
“Holder”),
      pursuant to that certain Securities Purchase Agreement (the “Securities
      Purchase Agreement”)
      dated
      March 30, 2006. 

     

    FOR
      VALUE RECEIVED,
      the
      Obligor hereby promises to pay to the Holder or its successors and assigns
      the
      principal sum of Three Million Five Hundred Thousand Dollars ($3,500,000)
      together with accrued but unpaid interest on or before _________, 2009 (the
      “Maturity
      Date”)
      in
      accordance with the following terms:

     

    Interest.
      Interest shall accrue on the outstanding principal balance hereof at an annual
      rate equal to five percent (5%). Interest shall be calculated on the basis
      of a
      365-day year and the actual number of days elapsed, to the extent permitted
      by
      applicable law. Interest hereunder will be paid to the Holder or its assignee
      (as defined in Section
      5)
      in
      whose name this Debenture is registered on the records of the Obligor regarding
      registration and transfers of Debentures (the “Debenture
      Register”).

     

    Right
      of Redemption.
      The
      Obligor at its option shall have the right, with three (3) business days advance
      written notice (the “Redemption
      Notice”),
      to
      redeem a portion or all amounts outstanding under this Debenture prior to the
      Maturity Date provided that the Closing Bid Price of the of the Obligor’s Common
      Stock, as reported by Bloomberg, LP, is less than the Fixed Conversion Price
      at
      the time of the Redemption Notice. The Obligor shall pay an amount equal to
      (i)
      the principal amount being redeemed, plus (ii) a redemption premium
      (“Redemption
      Premium”)
      equal
      to twenty percent (20%) of the principal amount being redeemed, plus (iii)
      accrued interest, (collectively referred to as the “Redemption
      Amount”).
      The
      Obligor shall deliver to the Holder the Redemption Amount on the third
      (3rd)
      business day after the Redemption Notice. 

     

    
      
        
        

      

      
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    Notwithstanding
      the foregoing in the event that the Obligor has elected to redeem a portion
      of
      the outstanding principal amount and accrued interest under this Debenture
      the
      Holder shall be permitted to convert all or any portion of this Debenture during
      such three business day period. 

     

    Security
      Agreements.
      This
      Debenture is secured by a Pledge and Escrow Agreement (the “Pledge
      Agreement”)
      dated
      March 31, 2006 among the Obligor, the Holder, the Escrow Agent, a Security
      Agreement (the “Security
      Agreement”)
      dated
      March 31, 2006 between the Obligor and the Holder and Subsidiary Security
      Agreements (collectively referred to as the “Subsidiary
      Security Agreement”)
      dated
      March 31, 2006 between 2093603 Ontario, Inc. and Barnabus/CRE Acquisition Corp
      and the Holder.

     

    This
      Debenture is subject to the following additional provisions:

     

    Section
      1.    This
      Debenture is exchangeable for an equal aggregate principal amount of Debentures
      of different authorized denominations, as requested by the Holder surrendering
      the same. No service charge will be made for such registration of transfer
      or
      exchange.

     

    Section
      2.    Events
      of Default.

     

    (a)    An
      “Event
      of Default”,
      wherever used herein, means any one of the following events (whatever the reason
      and whether it shall be voluntary or involuntary or effected by operation of
      law
      or pursuant to any judgment, decree or order of any court, or any order, rule
      or
      regulation of any administrative or governmental body):

     

    (i)    Any
      default in the payment of the principal of, interest on or other charges in
      respect of this Debenture, free of any claim of subordination, as and when
      the
      same shall become due and payable (whether on a Conversion Date or the Maturity
      Date or by acceleration or otherwise);

     

    (ii)   The
      Obligor shall fail to observe or perform in any material respect any other
      material covenant, agreement or warranty contained in, or otherwise commit
      any
      breach or default of any material provision of this Debenture (except as may
      be
      covered by Section
      2(a)(i)
      hereof)
      or any Transaction Document (as defined in Section
      5)
      which
      is not cured with in ten (10) business days following the receipt of notice
      of
      such failure, breach or default; 

     

    (iii)         The
      Obligor or any subsidiary of the Obligor shall commence any proceeding, or
      there
      shall be commenced against the Obligor or any subsidiary of the Obligor any
      proceeding under any applicable bankruptcy or insolvency laws as now or
      hereafter in effect or any successor thereto, or the Obligor or any subsidiary
      of the Obligor commences any other proceeding under any reorganization,
      arrangement, adjustment of debt, relief of debtors, dissolution, insolvency
      or
      liquidation or similar law of any jurisdiction whether now or hereafter in
      effect relating to the Obligor or any subsidiary of the Obligor or there is
      commenced against the Obligor or any subsidiary of the Obligor any such
      bankruptcy, insolvency or other proceeding which remains undismissed for a
      period of 61 days; or the Obligor or any subsidiary of the Obligor is
      adjudicated insolvent or bankrupt; or any order of relief or other order
      approving any such case or proceeding is entered; or the Obligor or any
      subsidiary of the Obligor suffers any appointment of any custodian, private
      or
      court appointed receiver or the like for it or any substantial part of its
      property which continues undischarged or unstayed for a period of seventy five
      (75) days; or the Obligor or any subsidiary of the Obligor makes a general
      assignment for the benefit of creditors; or the Obligor or any subsidiary of
      the
      Obligor shall fail to pay, or shall state that it is unable to pay, or shall
      be
      unable to pay, its debts generally as they become due; or the Obligor or any
      subsidiary of the Obligor shall call a meeting of its creditors with a view
      to
      arranging a composition, adjustment or restructuring of any material portion
      of
      its debts; or the Obligor or any subsidiary of the Obligor shall by any act
      or
      failure to act expressly indicate its consent to, approval of or acquiescence
      in
      any of the foregoing; or any corporate or other action is taken by the Obligor
      or any subsidiary of the Obligor for the purpose of effecting any of the
      foregoing;

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    (iv)   The
      Obligor or any subsidiary of the Obligor shall default in any of its obligations
      under any other debenture or any mortgage, credit agreement or other facility,
      indenture agreement, factoring agreement or other instrument under which there
      may be issued, or by which there may be secured or evidenced any indebtedness
      for borrowed money or money due under any long term leasing or factoring
      arrangement of the Obligor or any subsidiary of the Obligor in an amount
      exceeding $100,000, whether such indebtedness now exists or shall hereafter
      be
      created and such default shall result in such indebtedness becoming or being
      declared due and payable prior to the date on which it would otherwise become
      due and payable;

     

    (v)    The
      Common Stock shall cease to be quoted for trading or listing for trading on
      either the Nasdaq OTC Bulletin Board (“OTC”),
      or if
      then listed on Nasdaq Capital Market, New York Stock Exchange, American Stock
      Exchange or the Nasdaq National Market (each, a “Subsequent
      Market”)
      shall
      cease to be quoted for trading or listing on such Subsequent Market and shall
      not again be quoted or listed for trading thereon within five (5) Trading Days
      of such delisting;

     

    (vi)   The
      Obligor or any subsidiary of the Obligor shall be a party to any Change of
      Control Transaction (as defined in Section
      5);
      

     

    (vii)         
      The
      Obligor shall fail to file the Underlying Shares Registration Statement (as
      defined in Section
      5)
      with
      the Commission (as defined in Section
      5),
      or the
      Underlying Shares Registration Statement shall not have been declared effective
      by the Commission, in each case within ten (10) calendar days immediately
      following the expiration of the applicable respective time periods set forth
      in
      the Investor Registration Rights Agreement (“Registration
      Rights Agreement”)
      of
      even date herewith between the Obligor and the Holder;

     

    (viii)        
      Other
      than a Blackout Period as defined in Section 3(e) of the Investor’s Registration
      Rights Agreement, if the effectiveness of the Underlying Shares Registration
      Statement lapses for any reason or the Holder shall not be permitted to resell
      the shares of Common Stock underlying this Debenture under the Underlying Shares
      Registration Statement, in either case, for more than five (5) consecutive
      Trading Days or an aggregate of eight (8) Trading Days (which need not be
      consecutive Trading Days); provided, however, that such five (5) and eight
      (8)
      Trading Day periods shall be tolled for up to forty five (45) additional
      calendar days in the event that any required amendment of the Registration
      Statement is subject to SEC review;

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    (ix)    The
      Obligor shall fail for any reason to deliver Common Stock certificates to a
      Holder prior to the seventh (7th)
      Trading
      Day after a Conversion Date or the Obligor shall provide notice to the Holder,
      including by way of public announcement, at any time, of its intention not
      to
      comply with requests for conversions of this Debenture in accordance with the
      terms hereof; 

     

    (x)    The
      Obligor shall fail for any reason to deliver the payment in cash pursuant to
      a
      Buy-In (as defined herein) within five (5) business days after notice is
      delivered hereunder. 

     

    (b)    During
      the time that any portion of this Debenture is outstanding, if any Event of
      Default has occurred and is continuing which is not cured within the time
      prescribed, the full principal amount of this Debenture, together with interest
      and other amounts owing in respect thereof, to the date of acceleration shall
      become at the Holder's election, immediately due and payable in cash,
provided
      however,
      the
      Holder may request (but shall have no obligation to request) payment of such
      amounts in Common Stock of the Obligor which
      Common Stock shall be valued at a price equal to the volume weighted average
      price of the Common Stock on the date due .
      In
      addition to any other remedies, the Holder shall have the right (but not the
      obligation) to convert this Debenture at any time after (x) an Event of Default
      or (y) the Maturity Date at the Conversion Price then in-effect. The Holder
      need
      not provide and the Obligor hereby waives any presentment, demand, protest
      or
      other notice of any kind, and the Holder may immediately and without expiration
      of any grace period enforce any and all of its rights and remedies hereunder
      and
      all other remedies available to it under applicable law. Such declaration may
      be
      rescinded and annulled by Holder at any time prior to payment hereunder. No
      such
      rescission or annulment shall affect any subsequent Event of Default or impair
      any right consequent thereon. Upon an Event of Default, notwithstanding any
      other provision of this Debenture or any Transaction Document, the Holder shall
      have no obligation to comply with or adhere to any limitations, if any, on
      the
      conversion of this Debenture or the sale of the Underlying Shares other
      than limitations imposed by applicable federal and state securities
      laws.
      

     

    Section
      3.    Conversion.

     

    (a)    Conversion
      at Option of Holder.

     

    (i)    This
      Debenture (including all principal and accrued and unpaid interest) shall be
      convertible into shares of Common Stock at the option of the Holder, in whole
      or
      in part at any time and from time to time, after the Original Issue Date (as
      defined in Section
      5)
      (subject to the limitations on conversion set forth in Section
      3(b)
      hereof).
      The number of shares of Common Stock issuable upon a conversion hereunder equals
      the quotient obtained by dividing (x) the outstanding amount of this Debenture
      to be converted by (y) the Conversion Price (as defined in Section
      3(c)(i)).
      The
      Obligor shall deliver Common Stock certificates to the Holder prior to the
      Fifth
      (5th)
      Trading
      Day after a Conversion Date.

     

    
      
        
        

      

      
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    (ii)    Notwithstanding
      anything to the contrary contained herein, if on any Conversion Date: (1) the
      number of shares of Common Stock at the time authorized, unissued and unreserved
      for all purposes, or held as treasury stock, is insufficient to pay principal
      and interest hereunder in shares of Common Stock; (2) the Common Stock is not
      listed or quoted for trading on the OTC or on a Subsequent Market; (3) the
      Obligor has failed to timely satisfy its conversion; or (4) the issuance of
      such
      shares of Common Stock would result in a violation of Section
      3(b),
      and the
      Holder is unable to sell shares of the Company’s Common Stock as a result of a
      halt in the trading of the Obligor’s Common Stock on the OTC or Subsequent
      Market, or the existence of an Event of Default under Section 2, then, at the
      option of the Holder, the Obligor, in lieu of delivering shares of Common Stock
      pursuant to Section
      3(a)(i),
      shall
      deliver, within three (3) Trading Days of each applicable Conversion Date,
      an
      amount in cash equal to the product of the outstanding principal amount to
      be
      converted plus any interest due thereon divided by the Conversion Price, chosen
      by the Holder, and multiplied by the highest closing price of the stock from
      date of the Conversion Notice (as defined below) until the date that such cash
      payment is made.

     

    Further,
      if the Obligor shall not have delivered any cash due in respect of conversion
      of
      this Debenture or as payment of interest thereon by the fifth (5th)
      Trading
      Day after the Conversion Date, the Holder may, by notice to the Obligor, require
      the Obligor to issue shares of Common Stock pursuant to Section
      3(c),
      except
      that for such purpose the Conversion Price applicable thereto shall be the
      lesser of the Conversion Price on the Conversion Date and the Conversion Price
      on the date of such Holder demand. Any such shares will be subject to the
      provisions of this Section.

     

    (iii)   The
      Holder shall effect conversions by delivering to the Obligor a completed notice
      in the form attached hereto as Exhibit A (a “Conversion
      Notice”).
      The
      date on which a Conversion Notice is delivered is the “Conversion
      Date.”
Unless
      the Holder is converting the entire principal amount outstanding under this
      Debenture, the Holder is not required to physically surrender this Debenture
      to
      the Obligor in order to effect conversions. Conversions hereunder shall have
      the
      effect of lowering the outstanding principal amount of this Debenture plus
      all
      accrued and unpaid interest thereon in an amount equal to the applicable
      conversion. The Holder and the Obligor shall maintain records showing the
      principal amount converted and the date of such conversions. In the event of
      any
      dispute or discrepancy, the records of the Holder shall be controlling and
      determinative in the absence of manifest error.

     

    (b)    Certain
      Conversion Restrictions.

     

    (i)    A
      Holder
      may not convert this Debenture or receive shares of Common Stock as payment
      of
      interest hereunder to the extent such conversion or receipt of such interest
      payment would result in the Holder, together with any affiliate thereof,
      beneficially owning (as determined in accordance with Section 13(d) of the
      Exchange Act and the rules promulgated thereunder) in excess of 4.99% of the
      then issued and outstanding shares of Common Stock, including shares issuable
      upon conversion of, and payment of interest on, this Debenture held by such
      Holder after application of this Section. Since the Holder will not be obligated
      to report to the Obligor the number of shares of Common Stock it may hold at
      the
      time of a conversion hereunder, unless the conversion at issue would result
      in
      the issuance of shares of Common Stock in excess of 4.99% of the then
      outstanding shares of Common Stock without regard to any other shares which
      may
      be beneficially owned by the Holder or an affiliate thereof, the Holder shall
      have the authority and obligation to determine whether the restriction contained
      in this Section will limit any particular conversion hereunder and to the extent
      that the Holder determines that the limitation contained in this Section
      applies, the determination of which portion of the principal amount of this
      Debenture is convertible shall be the responsibility and obligation of the
      Holder. If the Holder has delivered a Conversion Notice for a principal amount
      of this Debenture that, without regard to any other shares that the Holder
      or
      its affiliates may beneficially own, would result in the issuance in excess
      of
      the permitted amount hereunder, the Obligor shall notify the Holder of this
      fact
      and shall honor the conversion for the maximum principal amount permitted to
      be
      converted on such Conversion Date in accordance with the periods described
      in
Section
      3(a)(i)
      and, at
      the option of the Holder, either retain any principal amount tendered for
      conversion in excess of the permitted amount hereunder for future conversions
      or
      return such excess principal amount to the Holder. The provisions of this
      Section may be waived by a Holder (but only as to itself and not to any other
      Holder) upon not less than 65 days prior notice to the Obligor. Other Holders
      shall be unaffected by any such waiver. 

     

    
      
        
        

      

      
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    (ii)    The
      Holder
      shall not convert in excess of One Million Dollars ($1,000,000) of principal
      amount of this Debenture at the Market Conversion Price in any thirty (30)
      day
      period. Notwithstanding the forgoing, this conversion restriction shall not
      apply upon the occurrence of an Event of Default or if waived in writing by
      the
      Company. 

     

    (c)    Conversion
      Price and Adjustments to Conversion Price.

     

    (i)    The
      conversion price in effect on any Conversion Date shall be equal to the lesser
      of (a) One Dollar and Fifty Cents ($1.50) (the “Fixed
      Conversion Price”)
      or (b)
      ninety five percent (95%) of the lowest Volume Weighted Average Price of
      the Common Stock during the thirty (30) trading days immediately preceding
      the
      Conversion Date as quoted by Bloomberg, LP (the “Market
      Conversion Price”).
      The
      Fixed Conversion Price and the Market Conversion Price are collectively referred
      to as the “Conversion
      Price.”
The
      Conversion Price may be adjusted pursuant to the other terms of this Debenture;
      provided,
      that,
      in no
      event shall the Conversion Price be lower than $0.05 (such floor price to be
      adjusted in the same manner that the Fixed Conversion Price is adjusted pursuant
      to Section 3(c)(ii)).

     

    (ii)    If
      the
      Obligor, at any time while this Debenture is outstanding, shall (a) pay a
      stock dividend or otherwise make a distribution or distributions on shares
      of
      its Common Stock or any other equity or equity equivalent securities payable
      in
      shares of Common Stock, (b) subdivide outstanding shares of Common Stock into
      a
      larger number of shares, (c) combine (including by way of reverse stock split)
      outstanding shares of Common Stock into a smaller number of shares, or (d)
      issue
      by reclassification of shares of the Common Stock any shares of capital stock
      of
      the Obligor, then the Fixed Conversion Price shall be multiplied by a fraction
      of which the numerator shall be the number of shares of Common Stock (excluding
      treasury shares, if any) outstanding before such event and of which the
      denominator shall be the number of shares of Common Stock outstanding after
      such
      event. Any adjustment made pursuant to this Section shall become effective
      immediately after the record date for the determination of stockholders entitled
      to receive such dividend or distribution and shall become effective immediately
      after the effective date in the case of a subdivision, combination or
      re-classification.

     

    
      
        
        

      

      
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    (iii)   If
      the
      Obligor, at any time while this Debenture is outstanding, shall issue rights,
      options or warrants to all holders of Common Stock (and not to the Holder)
      entitling them to subscribe for or purchase shares of Common Stock at a price
      per share less than the Fixed Conversion Price, then the Fixed Conversion Price
      shall be multiplied by a fraction, of which the denominator shall be the number
      of shares of the Common Stock (excluding treasury shares, if any) outstanding
      on
      the date of issuance of such rights or warrants (plus the number of additional
      shares of Common Stock offered for subscription or purchase), and of which
      the
      numerator shall be the number of shares of the Common Stock (excluding treasury
      shares, if any) outstanding on the date of issuance of such rights or warrants,
      plus the number of shares which the aggregate offering price of the total number
      of shares so offered would purchase at the Fixed Conversion Price. Such
      adjustment shall be made whenever such rights or warrants are issued, and shall
      become effective immediately after the record date for the determination of
      stockholders entitled to receive such rights, options or warrants. However,
      upon
      the expiration of any such right, option or warrant to purchase shares of the
      Common Stock the issuance of which resulted in an adjustment in the Fixed
      Conversion Price pursuant to this Section, if any such right, option or warrant
      shall expire and shall not have been exercised, the Fixed Conversion Price
      shall
      immediately upon such expiration be recomputed and effective immediately upon
      such expiration be increased to the price which it would have been (but
      reflecting any other adjustments in the Fixed Conversion Price made pursuant
      to
      the provisions of this Section after the issuance of such rights or warrants)
      had the adjustment of the Fixed Conversion Price made upon the issuance of
      such
      rights, options or warrants been made on the basis of offering for subscription
      or purchase only that number of shares of the Common Stock actually purchased
      upon the exercise of such rights, options or warrants actually
      exercised.

     

    (iv)   If
      the
      Obligor or any subsidiary thereof, as applicable, at any time while this
      Debenture is outstanding, shall issue shares of Common Stock or rights,
      warrants, options or other securities or debt that are convertible into or
      exchangeable for shares of Common Stock (“Common
      Stock Equivalents”),
      other
      than Exempted Issuances,
      entitling
      any Person to acquire shares of Common Stock, at a price per share less than
      the
      Fixed Conversion Price (if the holder of the Common Stock or Common Stock
      Equivalent so issued shall at any time, whether by operation of purchase price
      adjustments, reset provisions, floating conversion, exercise or exchange prices
      or otherwise, or due to warrants, options or rights per share which is issued
      in
      connection with such issuance, be entitled to receive shares of Common Stock
      at
      a price per share which is less than the Fixed Conversion Price, such issuance
      shall be deemed to have occurred for less than the Fixed Conversion Price),
      then, at the sole option of the Holder, the Fixed Conversion Price shall be
      adjusted to mirror the conversion, exchange or purchase price for such Common
      Stock or Common Stock Equivalents (including any reset provisions thereof)
      at
      issue. Such adjustment shall be made whenever such Common Stock or Common Stock
      Equivalents are issued. The Obligor shall notify the Holder in writing, no
      later
      than one (1) business day following the issuance of any Common Stock or Common
      Stock Equivalent subject to this Section, indicating therein the applicable
      issuance price, or of applicable reset price, exchange price, conversion price
      and other pricing terms.

     

    (v)    If
      the
      Obligor, at any time while this Debenture is outstanding, shall distribute
      to
      all holders of Common Stock (and not to the Holder) evidences of its
      indebtedness or assets or rights or warrants to subscribe for or purchase any
      security, then in each such case the Fixed Conversion Price at which this
      Debenture shall thereafter be convertible shall be determined by multiplying
      the
      Fixed Conversion Price in effect immediately prior to the record date fixed
      for
      determination of stockholders entitled to receive such distribution by a
      fraction of which the denominator shall be the Closing Bid Price determined
      as
      of the record date mentioned above, and of which the numerator shall be such
      Closing Bid Price on such record date less the then fair market value at such
      record date of the portion of such assets or evidence of indebtedness so
      distributed applicable to one outstanding share of the Common Stock as
      determined by the Board of Directors in good faith. In either case the
      adjustments shall be described in a statement provided to the Holder of the
      portion of assets or evidences of indebtedness so distributed or such
      subscription rights applicable to one share of Common Stock. Such adjustment
      shall be made whenever any such distribution is made and shall become effective
      immediately after the record date mentioned above.

     

    
      
        
        

      

      
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    (vi)    In
      case
      of any reclassification of the Common Stock or any compulsory share exchange
      pursuant to which the Common Stock is converted into other securities, cash
      or
      property, the Holder shall have the right thereafter to, at its option, (A)
      convert the then outstanding principal amount, together with all accrued but
      unpaid interest and any other amounts then owing hereunder in respect of this
      Debenture into the shares of stock and other securities, cash and property
      receivable upon or deemed to be held by holders of the Common Stock following
      such reclassification or share exchange, and the Holder of this Debenture shall
      be entitled upon such event to receive such amount of securities, cash or
      property as the shares of the Common Stock of the Obligor into which the then
      outstanding principal amount, together with all accrued but unpaid interest
      and
      any other amounts then owing hereunder in respect of this Debenture could have
      been converted immediately prior to such reclassification or share exchange
      would have been entitled, or (B) require the Obligor to prepay the outstanding
      principal amount of this Debenture, plus all interest and other amounts due
      and
      payable thereon. The entire prepayment price shall be paid in cash. This
      provision shall similarly apply to successive reclassifications or share
      exchanges.

     

    (vii)   The
      Obligor shall at all times reserve and keep available out of its authorized
      Common Stock the full number of shares of Common Stock issuable upon conversion
      of all outstanding amounts under this Debenture; and within three (3) Business
      Days following the receipt by the Obligor of a Holder's notice that such minimum
      number of Underlying Shares is not so reserved, the Obligor shall promptly
      reserve a sufficient number of shares of Common Stock to comply with such
      requirement shall
      call and hold a special meeting of its shareholders within ninety (90) days
      of
      such occurrence, for the purpose of increasing the number of shares authorized.
      The Obligor's management shall recommend to the shareholders to vote in favor
      of
      increasing the number of shares of Common Stock authorized.

     

    (viii)         
      All
      calculations under this Section
      3
      shall be
      rounded up to the nearest $0.001 or whole share.

     

    (ix)    Whenever
      the Conversion Price is adjusted pursuant to Section
      3
      hereof,
      the Obligor shall promptly mail to the Holder a notice setting forth the
      Conversion Price after such adjustment and setting forth a brief statement
      of
      the facts requiring such adjustment.

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    (x)    If
      (A)
      the Obligor shall declare a dividend (or any other distribution) on the Common
      Stock; (B) the Obligor shall declare a special nonrecurring cash dividend on
      or
      a redemption of the Common Stock; (C) the Obligor shall authorize the granting
      to all holders of the Common Stock rights or warrants to subscribe for or
      purchase any shares of capital stock of any class or of any rights; (D) the
      approval of any stockholders of the Obligor shall be required in connection
      with
      any reclassification of the Common Stock, any consolidation or merger to which
      the Obligor is a party, any sale or transfer of all or substantially all of
      the
      assets of the Obligor, of any compulsory share exchange whereby the Common
      Stock
      is converted into other securities, cash or property; or (E) the Obligor shall
      authorize the voluntary or involuntary dissolution, liquidation or winding
      up of
      the affairs of the Obligor; then, in each case, the Obligor shall cause to
      be
      filed at each office or agency maintained for the purpose of conversion of
      this
      Debenture, and shall cause to be mailed to the Holder at its last address as
      it
      shall appear upon the stock books of the Obligor, at least ten (10) calendar
      days prior to the applicable record or effective date hereinafter specified,
      a
      notice stating (x) the date on which a record is to be taken for the purpose
      of
      such dividend, distribution, redemption, rights or warrants, or if a record
      is
      not to be taken, the date as of which the holders of the Common Stock of record
      to be entitled to such dividend, distributions, redemption, rights or warrants
      are to be determined or (y) the date on which such reclassification,
      consolidation, merger, sale, transfer or share exchange is expected to become
      effective or close, and the date as of which it is expected that holders of
      the
      Common Stock of record shall be entitled to exchange their shares of the Common
      Stock for securities, cash or other property deliverable upon such
      reclassification, consolidation, merger, sale, transfer or share exchange,
      provided, that the failure to mail such notice or any defect therein or in
      the
      mailing thereof shall not affect the validity of the corporate action required
      to be specified in such notice. The Holder is entitled to convert this Debenture
      during the 20-day calendar period commencing the date of such notice to the
      effective date of the event triggering such notice.

     

    (xi)   Upon
      the
      consummation of any Change of Control Transaction (other than pursuant to clause
      (b) of the definition thereof) of the Obligor or any subsidiary of the Obligor,
      a Holder shall have the right to exercise any rights under Section
      2(b),
      if the
      Obligor fails, at the option of the Holder (A) to permit such Holder to convert
      the aggregate amount of this Debenture then outstanding into the shares of
      stock
      and other securities, cash and property receivable by holders of Common Stock
      following such merger, consolidation or sale, and such Holder shall be entitled
      upon such event or series of related events to receive such amount of
      securities, cash and property as the shares of Common Stock into which such
      aggregate principal amount of this Debenture could have been converted
      immediately prior to such merger, consolidation or sales would have been
      entitled, or (B) in the case of a merger or consolidation of the Obligor in
      which the Obligor is not the surviving entity, require the surviving entity
      to
      issue to the Holder a convertible Debenture with a principal amount equal to
      the
      aggregate principal amount of this Debenture then held by such Holder, plus
      all
      accrued and unpaid interest and other amounts owing thereon, which such newly
      issued convertible Debenture shall have terms identical (including with respect
      to conversion) to the terms of this Debenture, and shall be entitled to all
      of
      the rights and privileges of the Holder of this Debenture set forth herein
      and
      the agreements pursuant to which this Debentures were issued. In the case of
      clause (B), the conversion price applicable for the newly issued shares of
      Convertible Debentures shall be based upon the amount of securities, cash and
      property that each share of Common Stock would receive in such transaction
      and
      the Conversion Price in effect immediately prior to the effectiveness or closing
      date for such transaction. The terms of any such merger, sale or consolidation
      shall include such terms so as to continue to give the Holder the right to
      receive the securities, cash and property set forth in this Section upon any
      conversion or redemption following such event. This provision shall similarly
      apply to successive such events.

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    (d)    Other
      Provisions.

     

    (i)    The
      Obligor covenants that it will at all times reserve and keep available out
      of
      its authorized and unissued shares of Common Stock solely for the purpose of
      issuance upon conversion of this Debenture and payment of interest on this
      Debenture, each as herein provided, free from preemptive rights or any other
      actual contingent purchase rights of persons other than the Holder, not less
      than such number of shares of the Common Stock as shall (subject to any
      additional requirements of the Obligor as to reservation of such shares or
      shareholder approval of the issuance of such shares set forth in this Debenture)
      be issuable (taking into account the adjustments and restrictions of
Sections
      2(b) and 3(c))
      upon
      the conversion of the outstanding principal amount of this Debenture and payment
      of interest hereunder. The Obligor covenants that all shares of Common Stock
      that shall be so issuable shall, upon issue, be duly and validly authorized,
      issued and fully paid, nonassessable and, if the Underlying Shares Registration
      Statement has been declared effective under the Securities Act, registered
      for
      public sale in accordance with such Underlying Shares Registration
      Statement.

     

    (ii)   Upon
      a
      conversion hereunder the Obligor shall not be required to issue stock
      certificates representing fractions of shares of the Common Stock, but may
      if
      otherwise permitted, make a cash payment in respect of any final fraction of
      a
      share based on the Closing Bid Price at such time. If the Obligor elects not,
      or
      is unable, to make such a cash payment, the Holder shall be entitled to receive,
      in lieu of the final fraction of a share, one whole share of Common
      Stock.

     

    (iii)         
      The
      issuance of certificates for shares of the Common Stock on conversion of this
      Debenture shall be made without charge to the Holder thereof for any documentary
      stamp or similar taxes that may be payable in respect of the issue or delivery
      of such certificate, provided that the Obligor shall not be required to pay
      any
      tax that may be payable in respect of any transfer involved in the issuance
      and
      delivery of any such certificate upon conversion in a name other than that
      of
      the Holder of such Debenture so converted and the Obligor shall not be required
      to issue or deliver such certificates unless or until the person or persons
      requesting the issuance thereof shall have paid to the Obligor the amount of
      such tax or shall have established to the satisfaction of the Obligor that
      such
      tax has been paid.

     

    (iv)   Nothing
      herein shall limit a Holder's right to pursue actual damages or declare an
      Event
      of Default pursuant to Section
      2
      herein
      for the Obligor 's failure to deliver certificates representing shares of Common
      Stock upon conversion within the period specified herein and such Holder shall
      have the right to pursue all remedies available to it at law or in equity
      including, without limitation, a decree of specific performance and/or
      injunctive relief, in each case without the need to post a bond or provide
      other
      security. The exercise of any such rights shall not prohibit the Holder from
      seeking to enforce damages pursuant to any other Section hereof or under
      applicable law. 

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

     

    (v)    In
      addition to any other rights available to the Holder, if the Obligor fails
      to
      deliver to the Holder such certificate or certificates pursuant to Section
      3(a)(i) by
      the
      fifth (5th)
      Trading
      Day after the Conversion Date, and if after such fifth (5th)
      Trading
      Day the Holder purchases (in an open market transaction or otherwise) Common
      Stock to deliver in satisfaction of a sale by such Holder of the Underlying
      Shares which the Holder anticipated receiving upon such conversion (a
“Buy-In”),
      then
      the Obligor shall (A) pay in cash to the Holder (in addition to any remedies
      available to or elected by the Holder) the amount by which (x) the Holder's
      total purchase price (including brokerage commissions, if any) for the Common
      Stock so purchased exceeds (y) the product of (1) the aggregate number of shares
      of Common Stock that such Holder anticipated receiving from the conversion
      at
      issue multiplied by (2) the market price of the Common Stock at the time of
      the
      sale giving rise to such purchase obligation and (B) at the option of the
      Holder, either reissue a Debenture in the principal amount equal to the
      principal amount of the attempted conversion or deliver to the Holder the number
      of shares of Common Stock that would have been issued had the Obligor timely
      complied with its delivery requirements under Section
      3(a)(i).
      For
      example, if the Holder purchases Common Stock having a total purchase price
      of
      $11,000 to cover a Buy-In with respect to an attempted conversion of Debentures
      with respect to which the market price of the Underlying Shares on the date
      of
      conversion was a total of $10,000 under clause (A) of the immediately preceding
      sentence, the Obligor shall be required to pay the Holder $1,000. The Holder
      shall provide the Obligor written notice indicating the amounts payable to
      the
      Holder in respect of the Buy-In.

     

    Section
      4.    Notices.     Any
      notices, consents, waivers or other communications required or permitted to
      be
      given under the terms hereof must be in writing and will be deemed to have
      been
      delivered: (i) upon receipt, when delivered personally; (ii) upon receipt,
      when
      sent by facsimile (provided confirmation of transmission is mechanically or
      electronically generated and kept on file by the sending party); or (iii) one
      (1) trading day after deposit with a nationally recognized overnight delivery
      service, in each case properly addressed to the party to receive the same.
      The
      addresses and facsimile numbers for such communications shall be:

    

    

    
      	
              If
                to the Company, to:

            	
              Open
                Energy Corporation (f/k/a Barnabus Energy, Inc.)

            
	 	
              514
                Via de la Valle - Suite 200

            
	 	
              Solana
                Beach, Ca 92075

            
	 	
              Attention:
                David Saltman 

            
	 	
              Telephone: (858)
                794-8800

            
	 	
              Facsimile: (858)
                794-8811

            
	 	 
	
              With
                a copy to: 

            	
              Sheppard,
                Mullin, Richter & Hampton LLP

            
	 	
              12544
                High Bluff Drive, Suite 300

            
	 	
              San
                Diego, CA 92130

            
	 	
              Attention:
                John D. Tishler, Esq.

            
	 	
              Telephone: (858)
                720-8943

            
	 	
              Facsimile: (858)
                847-4871

            
	 	 
	
              If
                to the Holder:

            	
              Cornell
                Capital Partners, LP

            
	 	
              101
                Hudson Street, Suite 3700

            
	 	
              Jersey
                City, NJ 07303

            
	 	
              Attention: Mark
                Angelo

            
	 	
              Telephone: (201)
                985-8300

            

    

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    
      	
              With
                a copy to:

            	
              David
                Gonzalez, Esq. 

            
	 	
              101
                Hudson Street - Suite 3700

            
	 	
              Jersey
                City, NJ 07302

            
	 	
              Telephone: (201)
                985-8300

            
	 	
              Facsimile: (201)
                985-8266

            
	 	 

    

    

    or
      at
      such other address and/or facsimile number and/or to the attention of such
      other
      person as the recipient party has specified by written notice given to each
      other party three (3) business days prior to the effectiveness of such change.
      Written confirmation of receipt (i) given by the recipient of such notice,
      consent, waiver or other communication, (ii) mechanically or electronically
      generated by the sender's facsimile machine containing the time, date, recipient
      facsimile number and an image of the first page of such transmission or (iii)
      provided by a nationally recognized overnight delivery service, shall be
      rebuttable evidence of personal service, receipt by facsimile or receipt from
      a
      nationally recognized overnight delivery service in accordance with clause
      (i),
      (ii) or (iii) above, respectively.

     

    Section
      5.    Definitions.
      For the
      purposes hereof, the following terms shall have the following
      meanings:

     

    “Business
      Day”
means
      any day except Saturday, Sunday and any day which shall be a federal legal
      holiday in the United States or a day on which banking institutions are
      authorized or required by law or other government action to close.

     

    “Change
      of Control Transaction”
means,
      other than the
      acquisitions of Connect Renewable Energy, Inc. and Solar Roofing Systems, Inc.
      and related transactions, respectively, by
      the
      Obligor or any subsidiary, the
      occurrence of (a) an acquisition after the date hereof by an individual or
      legal
      entity or “group” (as described in Rule 13d-5(b)(1) promulgated under the
      Exchange Act) of effective control (whether through legal or beneficial
      ownership of capital stock of the Obligor, by contract or otherwise) of in
      excess of fifty percent (50%) of the voting securities of the Obligor (except
      that the acquisition of voting securities by the Holder shall not constitute
      a
      Change of Control Transaction for purposes hereof), (b) a replacement at one
      time or over time of more than one-half of the members of the board of directors
      of the Obligor which is not approved by a majority of those individuals who
      are
      members of the board of directors on the date hereof (or by those individuals
      who are serving as members of the board of directors on any date whose
      nomination to the board of directors was approved by a majority of the members
      of the board of directors who are members on the date hereof), (c) the merger,
      consolidation of the Obligor with another person, following which the holders
      of
      the outstanding voting securities of the Obligor immediately prior to such
      transaction hold less that fifty percent (50%) of the outstanding voting
      securities of the surviving or successor entity ommediately following the
      consummation of such transaction (d) the sale of fifty percent (50%) or more
      of
      the assets of the Obligor or any subsidiary of the Obligor in one or a series
      of
      related transactions with or into another entity, or (e) the execution by the
      Obligor of an agreement to which the Obligor is a party or by which it is bound,
      providing for any of the events set forth above in (a), (b), (c), (d),
      (e).

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

     

    “Closing
      Bid Price”
means
      the price per share in the last reported trade of the Common Stock on the OTC
      or
      on the exchange which the Common Stock is then listed as quoted by Bloomberg,
      LP.

     

    “Commission”
means
      the Securities and Exchange Commission.

     

    “Common
      Stock”
means
      the common stock, par value $0.001, of the Obligor and stock of any other class
      into which such shares may hereafter be changed or reclassified.

     

    “Conversion
      Date”
shall
      mean the date upon which the Holder gives the Obligor notice of their intention
      to effectuate a conversion of this Debenture into shares of the Company’s Common
      Stock as outlined herein.

     

    “Designated
      Senior Indebtedness”
shall
      mean one (1) or more senior loans (revolving or otherwise), for purposes other
      than to raise equity capital, from one (1) or more financial institutions to
      the
      Obligor and/or its subsidiaries in connection with commercial credit
      arrangements, equipment financings, commercial property lease transactions
      or
      similar transactions, the principal amount of which does not exceed $5,000,000
      in the aggregate.

     

    “Exchange
      Act”
means
      the Securities Exchange Act of 1934, as amended.

     

    “Exempted
      Issuances”
shall
      mean issuances by the Obligor or its subsidiaries of (1)  shares of Common
      Stock or rights,
      warrants, options or other securities or debt that are convertible into or
      exchangeable for shares of Common Stock (“Common
      Stock Equivalents”) issued to financial institutions or lessors in connection
      with commercial credit arrangements, equipment financings, commercial property
      lease transactions or similar transactions; (2) Common Stock Equivalents of
      the Company disclosed on the Disclosure Schedule attached hereto issued prior
      to, and outstanding on, the Initial Closing Date and Common Stock issuable
      on
      exercise or conversion of such Common Stock Equivalents, provided such Common
      Stock Equivalents are not materially amended after the Initial Closing Date;
      (3)  securities to an entity which is not an “Affiliate” of the Company (as
      defined in Rule 144 of the Securities Act) as a component of any business
      relationship with such entity for the purpose of (x) joint venture,
      technology licensing, or development activities, (y) distribution, supply
      or manufacture of the Company’s products or services, or (z) any other
      arrangement involving corporate partners that are primarily for purposes other
      than to raise equity capital; (4) securities as consideration for a merger
      or consolidation or the acquisition of a business, product, license, or other
      assets of another person or entity which is not an “Affiliate” of the Company;
      (5) any issuance as a result of any stock split or stock dividend applicable
      to
      all holders of Common Stock; (6), Common Stock or Common Stock Equivalents
      issued for compensatory purposes pursuant to any of the Company's equity
      compensation plans, or as inducement grants to directors and officers in
      accordance with Section 4(k) of the Securities Purchase Agreement; (7) issuances
      of securities in connection with the transactions pursuant to or contemplated
      by
      the Solar Purchase Agreement or the CRE Merger Agreement; and (8) shares of
      Common Stock issued upon conversion of, or as interest or liquidated damages
      in
      respect of, Convertible Debentures, or upon exercise of the Warrants issued
      pursuant to the Securities Purchase Agreement.

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

     

    “Original
      Issue Date”
shall
      mean the date of the first issuance of this Debenture regardless of the number
      of transfers and regardless of the number of instruments, which may be issued
      to
      evidence such Debenture.

     

    “Person”
means
      a
      corporation, an association, a partnership, organization, a business, an
      individual, a government or political subdivision thereof or a governmental
      agency.

     

    “Securities
      Act”
means
      the Securities Act of 1933, as amended, and the rules and regulations
      promulgated thereunder.

     

    “Trading
      Day”
means
      a
      day on which the shares of Common Stock are quoted on the OTC or quoted or
      traded on such Subsequent Market on which the shares of Common Stock are then
      quoted or listed; provided, that in the event that the shares of Common Stock
      are not listed or quoted, then Trading Day shall mean a Business
      Day.

     

    “Transaction
      Documents”
means
      the Securities Purchase Agreement or any other agreement delivered in connection
      with the Securities Purchase Agreement, including, without limitation, the
      Insider Pledge Agreement, the Irrevocable Transfer Agent Instructions, the
      Registration Rights Agreement, the Security Agreement and the Subsidiary
      Security Agreement.

     

    “Underlying
      Shares”
means
      the shares of Common Stock issuable upon conversion of this Debenture or as
      payment of interest in accordance with the terms hereof.

     

    “Underlying
      Shares Registration Statement”
means
      a
      registration statement meeting the requirements set forth in the Registration
      Rights Agreement, covering among other things the resale of the Underlying
      Shares and naming the Holder as a “selling stockholder” thereunder.

     

    Section
      6.    Except
      as
      expressly provided herein, no provision of this Debenture shall alter or impair
      the obligations of the Obligor, which are absolute and unconditional, to pay
      the
      principal of, interest and other charges (if any) on, this Debenture at the
      time, place, and rate, and in the coin or currency, herein prescribed. This
      Debenture is a direct obligation of the Obligor. This Debenture ranks pari
      passu
      with all other Debentures now or hereafter issued under the terms set forth
      herein. As long as this Debenture is outstanding, the Obligor shall not and
      shall cause their subsidiaries not to, without the consent of the Holder, (i)
      amend its certificate of incorporation, bylaws or other charter documents so
      as
      to adversely affect any rights of the Holder; (ii) repay, repurchase or offer
      to
      repay, repurchase or otherwise acquire shares of its Common Stock or other
      equity securities other than as to the Underlying Shares to the extent permitted
      or required under the Transaction Documents or repurchases of securities issued
      to employees, officers or directors pursuant to the Company’s equity
      compensation plans from time to time; or (iii) enter into any agreement with
      respect to any of the foregoing. 

     

    Section
      7.    This
      Debenture shall not entitle the Holder to any of the rights of a stockholder
      of
      the Obligor, including without limitation, the right to vote, to receive
      dividends and other distributions, or to receive any notice of, or to attend,
      meetings of stockholders or any other proceedings of the Obligor, unless and
      to
      the extent converted into shares of Common Stock in accordance with the terms
      hereof.

     

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

     

    Section
      8.    If
      this
      Debenture is mutilated, lost, stolen or destroyed, the Obligor shall execute
      and
      deliver, in exchange and substitution for and upon cancellation of the mutilated
      Debenture, or in lieu of or in substitution for a lost, stolen or destroyed
      Debenture, a new Debenture for the principal amount of this Debenture so
      mutilated, lost, stolen or destroyed but only upon receipt of evidence of such
      loss, theft or destruction of such Debenture, and of the ownership hereof,
      and
      indemnity, if requested, all reasonably satisfactory to the
      Obligor.

     

    Section
      9.    No
      indebtedness of the Obligor is senior to this Debenture in right of payment,
      whether with respect to interest, damages or upon liquidation or dissolution
      or
      otherwise. Without the Holder’s consent, the Obligor will not and will not
      permit any of their subsidiaries to, directly or indirectly, enter into, create,
      incur, assume or suffer to exist any indebtedness of any kind, on or with
      respect to any of its property or assets now owned or hereafter acquired or
      any
      interest therein or any income or profits there from that is senior in any
      respect to the obligations of the Obligor under this Debenture other than
      Designated Senior Indebtedness. Upon the reasonable request of the Obligor,
      the
      Holder agrees to execute and deliver subordination and/or intercreditor
      agreements in the forms requested from time to time by the holders of the
      Designated Senior Indebtedness.

     

    Section
      10.        
      This
      Debenture shall be governed by and construed in accordance with the laws of
      the
      State of New Jersey, without giving effect to conflicts of laws thereof. Each
      of
      the parties consents to the jurisdiction of the Superior Courts of the State
      of
      New Jersey sitting in Hudson County, New Jersey and the U.S. District Court
      for the District of New Jersey sitting in Newark, New Jersey in connection
      with
      any dispute arising under this Debenture and hereby waives, to the maximum
      extent permitted by law, any objection, including any objection based on
forum non conveniens
      to the
      bringing of any such proceeding in such jurisdictions. 

     

    Section
      11.         
      If
      the
      Obligor fails to strictly comply with the terms of this Debenture, then the
      Obligor shall reimburse the Holder promptly for all fees, costs and expenses,
      including, without limitation, attorneys’ fees and expenses incurred by the
      Holder in any action in connection with this Debenture, including, without
      limitation, those incurred: (i) during any workout, attempted workout, and/or
      in
      connection with the rendering of legal advice as to the Holder’s rights,
      remedies and obligations, (ii) collecting any sums which become due to the
      Holder, (iii) defending or prosecuting any proceeding or any counterclaim to
      any
      proceeding or appeal; or (iv) the protection, preservation or enforcement of
      any
      rights or remedies of the Holder.

     

    Section
      12.         
      Any
      waiver by the Holder of a breach of any provision of this Debenture shall not
      operate as or be construed to be a waiver of any other breach of such provision
      or of any breach of any other provision of this Debenture. The failure of the
      Holder to insist upon strict adherence to any term of this Debenture on one
      or
      more occasions shall not be considered a waiver or deprive that party of the
      right thereafter to insist upon strict adherence to that term or any other
      term
      of this Debenture. Any waiver must be in writing.

     

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

     

    Section
      13.    If
      any
      provision of this Debenture is invalid, illegal or unenforceable, the balance
      of
      this Debenture shall remain in effect, and if any provision is inapplicable
      to
      any person or circumstance, it shall nevertheless remain applicable to all
      other
      persons and circumstances. If it shall be found that any interest or other
      amount deemed interest due hereunder shall violate applicable laws governing
      usury, the applicable rate of interest due hereunder shall automatically be
      lowered to equal the maximum permitted rate of interest. The Obligor covenants
      (to the extent that it may lawfully do so) that it shall not at any time insist
      upon, plead, or in any manner whatsoever claim or take the benefit or advantage
      of, any stay, extension or usury law or other law which would prohibit or
      forgive the Obligor from paying all or any portion of the principal of or
      interest on this Debenture as contemplated herein, wherever enacted, now or
      at
      any time hereafter in force, or which may affect the covenants or the
      performance of this indenture, and the Obligor (to the extent it may lawfully
      do
      so) hereby expressly waives all benefits or advantage of any such law, and
      covenants that it will not, by resort to any such law, hinder, delay or impeded
      the execution of any power herein granted to the Holder, but will suffer and
      permit the execution of every such as though no such law has been
      enacted.

     

    Section
      14.    Whenever
      any payment or other obligation hereunder shall be due on a day other than
      a
      Business Day, such payment shall be made on the next succeeding Business
      Day.

     

    Section
      15.    THE
      PARTIES HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE THE RIGHT ANY
      OF
      THEM MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON
      OR
      ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY TRANSACTION
      DOCUMENT OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL
      OR WRITTEN) OR ACTIONS OF ANY PARTY. THIS PROVISION IS A MATERIAL INDUCEMENT
      FOR
      THE PARTIES’ ACCEPTANCE OF THIS AGREEMENT.

     

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        16

        
          

        

      

      
        
        

      

    

     

    IN
      WITNESS WHEREOF,
      the
      Obligor has caused this Secured Convertible Debenture to be duly executed by
      a
      duly authorized officer as of the date set forth above.

     

    
      	 	
              OPEN
                ENERGY CORPORATION (F/K/A BARNABUS ENERGY, INC.)
                

            
	 	 
	 	
              By:
                __________________________      

            
	 	
              Name:
                David Saltman

            
	 	
              Title:
                Chief Executive Officer

            

    

    

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      “A”

     

     

    NOTICE
      OF CONVERSION

     

     

    (To
      be executed by the Holder in order to convert the
      Debenture)

     

    

    
      	
              TO:

            	 

    

    

    The
      undersigned hereby irrevocably elects to convert $
      ___________________________ 
      of the
      principal amount of the above Debenture into Shares of Common Stock of Open
      Energy Corporation (f/k/a Barnabus Energy, Inc.), according to the conditions
      stated therein, as of the Conversion Date written below.

     

    
      	
              Conversion
                Date:

            	 
	
              Applicable
                Conversion Price:

            	 
	
              Signature:

            	 
	
              Name:

            	 
	
              Address:

            	 
	
              Amount
                to be converted:

            	
              $          

            
	
              Amount
                of Debenture unconverted:

            	
              $          

            
	
              Conversion
                Price per share: 

            	
              $          

            
	
              Number
                of shares of Common Stock to be issued:

            	 
	
              Please
                issue the shares of Common Stock in the following name and to the
                following address:

            	 
	
              Issue
                to:

            	 
	
              Authorized
                Signature:

            	 
	
              Name:

            	 
	
              Title:

            	 
	
              Phone
                Number:

            	 
	
              Broker
                DTC Participant Code:

            	 
	
              Account
                Number:AMENDMENT
      NO. 1 TO

     

    EMPLOYMENT
      AGREEMENT

     

    THIS
      AMENDMENT NO. 1 TO EMPLOYMENT AGREEMENT is made and entered into as of March
      15,
      2006, by and between Barnabus Energy, Inc. (incorporated as Barnabus Enterprises
      Ltd.), a Nevada corporation (hereinafter called the “Corporation”), and Cheryl
      J. Bostater (hereinafter called the “Executive”). The Amendment No. 1 has been
      clarified pursuant to resolutions of the Board of Directors of the Company
      dated
      July 24, 2006.

     

    WITNESSETH:

     

    WHEREAS
      the Corporation and the Executive have entered into that certain Employment
      Agreement dated as of November 1, 2005 (the “Agreement”) and now wish to amend
      such Agreement;

     

    NOW
      THEREFORE in consideration of the mutual promises, covenants, representations
      and warranties contained herein, and other good and valuable consideration
      the
      receipt and sufficiency of which is hereby acknowledged, the Parties hereto
      agree to amend (this “Amendment”) the Agreement as follows:

     

    1.    Equity
      Compensation.
      Section
      3(c) of the Agreement is hereby deleted in its entirety and replaced with the
      provision set forth below:

     

    (c)    Stock
      Grant.
      On
      March 15, 2006, the Corporation shall issue to Executive one million four
      hundred seven thousand eight hundred five (1,407,805) shares (the “Stock Grant”)
      of the Corporation’s common stock. The Stock Grant shall vest in accordance with
      the provisions set forth on Exhibit A. The Stock Grant shall be duly authorized,
      legally issued, fully paid and non-assessable. If the Corporation terminates
      this Agreement for Cause pursuant to Section 5(a) hereof, or if the Executive
      terminates this Agreement other than for Good Reason pursuant to Section 5(c)
      hereof, then the Executive shall be deemed to have forfeited all of the Stock
      Grant that has not vested in accordance with Exhibit A at the time of such
      termination, and the Executive shall deliver certificates representing such
      forfeited shares to the Corporation promptly after such
      termination.

     

    2.    Option
      Revocation.
      All
      options previously issued to the Executive pursuant to Section 3(c) of the
      Agreement shall be cancelled and revoked and shall be of no further force and
      effect.

     

    3.    Other.
      Except
      for the changes made by this Amendment, the original Agreement shall remain
      in
      full force and effect. Capitalized terms used but not defined herein shall
      have
      the meanings given to them in the Agreement.

     

    IN
      WITNESS WHEREOF, the Corporation and the Executive have executed this Amendment
      on the day and year first above written.

     

    
      	
               

            	
               

            	
               

            
	
               

            	
              BARNABUS
                ENERGY, INC.

            
	
               

               

            	
               

               

            	
               

               

            
	
               

            	
              By:  

            	
              /s/
David
                Saltman

            
	
               

            	
               

            	
              
                

              

              David
                Saltman, Chief Executive Officer

            
	
               

            	
               

            	
               

            
	
               

            	
               

            	
               

            
	
               

            	
              By: 

            	
              /s/
Cheryl 
Bostater

            
	
               

            	
              
                
 Cheryl
                J. Bostater

            
	
               

            	
               

            

    

     

    
      
        
        

      

      
        -1-

        
          

        

      

      
        
        

      

    

     

    
      	 

    

     

    EXHIBIT
      A

    STOCK
      GRANT VESTING PROVISIONS

    

    Provided
      that the Agreement has not earlier been terminated, the Stock Grant shall vest
      as set forth in the following table:

    

    
      	
              Date
                of 

              Vesting

            	
               

            	
              Stock
                

              Vesting
                on Date

            	
               

            	
              Aggregate
                Stock Vested 

              Through
                Date

            	
               

            	
              Stock
                Remaining 

              Unvested

            
	
               

            	
               

            	
               

            	
               

            	
               

            	
               

            	
              1,407,805

            
	
              March
                15, 2006

            	
               

            	
              117,317

            	
               

            	
              117,317

            	
               

            	
              1,290,488

            
	
              March
                31, 2006

            	
               

            	
              117,317

            	
               

            	
              234,634

            	
               

            	
              1,173,171

            
	
              June
                30, 2006

            	
               

            	
              117,317

            	
               

            	
              351,951

            	
               

            	
              1,055,854

            
	
              September
                30, 2006

            	
               

            	
              117,317

            	
               

            	
              469,268

            	
               

            	
              938,537

            
	
              December
                31, 2006

            	
               

            	
              117,317

            	
               

            	
              586,585

            	
               

            	
              821,220

            
	
              March
                31, 2007

            	
               

            	
              117,317

            	
               

            	
              703,902

            	
               

            	
              703,903

            
	
              June
                30, 2007

            	
               

            	
              117,317

            	
               

            	
              821,219

            	
               

            	
              586,586

            
	
              September
                30, 2007

            	
               

            	
              117,317

            	
               

            	
              938,536

            	
               

            	
              469,269

            
	
              December
                31, 2007

            	
               

            	
              117,317

            	
               

            	
              1,055,853

            	
               

            	
              351,952

            
	
              March
                31, 2008

            	
               

            	
              117,317

            	
               

            	
              1,173,170

            	
               

            	
              234,635

            
	
              June
                30, 2008

            	
               

            	
              117,317

            	
               

            	
              1,290,487

            	
               

            	
              117,318

            
	
              September
                30, 2008

            	
               

            	
              117,318

            	
               

            	
              1,407,805

            	
               

            	
              0

            

    

    

    In
      addition to the foregoing vesting milestones, all unvested shares of stock
      vest
      immediately upon (i) a termination of this Agreement due to the death or
      disability of the Executive in accordance with Section 7(a) of the Agreement,
      or
      (ii) a termination of this Agreement by the Corporation other than for Cause
      pursuant to Section 7(b), or (iii) a termination by the Executive for Good
      Reason pursuant to Section 7(c) or (iv) upon a Change of Control as that term
      is
      defined in Section 7(c).

    

    All
      share
      amounts in this Exhibit A shall be adjusted for stock splits, consolidations,
      reorganizations and similar transactions. All section references herein are
      to
      sections of the Agreement.

    

    
      
        
        

      

      
        -2-

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