Document:

Exhibit 4.1

 

Unless this certificate is presented
by an authorized representative of The Depository Trust Company, a New York Corporation (“DTC”), to the Company or
its agent for registration of transfer, exchange, or payment, and any certificate issued is registered in the name of Cede &
Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or
to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE
OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.

 

	Certificate No.:  1	CUSIP No.:  637432NB7
	 	 
	ISIN No.: US637432NB74	 
	 	 
	PRINCIPAL AMOUNT:  $300,000,000	 
	 	 
	MATURITY DATE:  November 15, 2019	 
	 	 
	ISSUE DATE:  November 12, 2014	CERTIFICATE INTEREST RATE: 2.30%

 

2.30% COLLATERAL TRUST BOND DUE 2019

 

National Rural Utilities Cooperative Finance
Corporation, a District of Columbia cooperative association (hereinafter called the “Company”, which term includes
any successor corporation under the Indenture referred to on the reverse hereof), for value received, hereby promises to pay to
Cede & Co., or registered assigns, the principal sum of $300,000,000 on the Maturity Date set forth above; and to pay interest
thereon from the Issue Date set forth above at the Certificate Interest Rate set forth above, until the principal hereof is paid
or made available for payment.

 

Interest on the Bonds will be payable on May
15 and November 15 of each year commencing on May 15, 2015 to the persons in whose names such Bonds are registered at the close
of business on the fifteenth calendar day preceding the payment date, or if not a Business Day, the next succeeding Business Day.
Interest on the Bonds will accrue from and including the date of issue or from and including the last date in respect of which
interest has been paid, as the case may be, to, but excluding, the relevant interest payment date, date of redemption or the date
of maturity, as the case may be. Interest on the Bonds will be computed on the basis of a 360-day year of twelve 30-day months.

 

If any of the interest payment dates or the
maturity date falls on a day that is not a Business Day, the payment of interest or principal will be postponed to the next succeeding
Business Day, but the payment made on such dates will be treated as being made on the date payment was first due and the holders
of the Bonds will not be entitled to any further interest or other payments with respect to such postponements.

 

Reference is hereby made to the further provisions
of this Bond set forth on the reverse hereof which further provisions shall for all purposes have the same effect as if set forth
at this place.

 

Unless the certificate of authentication hereon
has been executed by or on behalf of U.S. Bank National Association, as Trustee under the Indenture, or its successor thereunder,
by manual signature, this Bond shall not be entitled to any benefit under such Indenture, or be valid or obligatory for any purpose.

 

    	 

    	 

    

  

IN WITNESS WHEREOF, the Company has caused
this instrument to be duly executed under its corporate seal.

 

 

	 	 	NATIONAL RURAL UTILITIES
	 	 	COOPERATIVE FINANCE CORPORATION
	 	 	 	 
	 	 	By: 	 
	 	 	 	J. Andrew Don
	 	 	 	Senior Vice President and Chief Financial Officer

 

	(Seal)	 	 
	 	 	 
	Attest:	 	 
	 	 	 
	By:	 	 	 
	 	Assistant Secretary-Treasurer	 	 

 

	Trustee’s Certificate of	 	 
	Authentication	 	 
	This is one of the Bonds	 	 
	of the series designated therein,	 	 
	described in the within-	 	 
	mentioned Indenture	 	 
	 	 	 
	Dated:	 	 

 

	By: U.S. BANK NATIONAL ASSOCIATION,	 	 
	Trustee	 	 
	 	 	 	 
	By:	 	 	 
	 	Authorized Officer	 	 

 

   

    	 

    	 

    

  

REVERSE OF BOND

 

This Bond is one of an authorized issue of
Bonds of the Company known as its “2.30% Collateral Trust Bonds due 2019”, issued and to be issued in one or more series
under, and all equally and ratably secured (except as any sinking or other fund may afford additional special security for the
Bonds of any particular series) by, an Indenture dated as of October 25, 2007 (as amended, supplemented and modified and in effect
from time to time, the “Indenture”), executed by the Company to U.S. Bank National Association, as Trustee (herein
called the “Trustee”, which term includes any successor Trustee under the Indenture), to which Indenture reference
is hereby made for a description of the nature and extent of the securities and other property assigned, pledged, transferred and
mortgaged thereunder the rights of the Holders of said Bonds and of the Trustee and of the Company in respect of such security,
and the terms upon which said Bonds are to be authenticated and delivered.

 

The principal amount of the Bonds, designated
on the face hereof as $300,000,000 may be increased from time to time pursuant to Section 2.03 of the Indenture. All Bonds need
not be issued at the same time and such series may be reopened at any time, without the consent of any Holder, for issuance of
additional Bonds. Any such additional Bonds will have the same terms and conditions and the same CUSIP number as set forth herein.
No Bonds shall be authenticated and delivered in excess of the principal amount so increased except in accordance with the Indenture.
No additional Bonds shall be authenticated and delivered unless such additional Bonds would be fungible with all Bonds for United
States federal income tax purposes.

 

The Indenture permits, with certain exceptions
as therein provided, the amendment thereof and the modification of the rights and obligations of the Company and the rights of
the Holders of the Bonds under the Indenture at any time by the Company with the consent of the Holders of not less than a majority
in aggregate principal amount of the Bonds at the time Outstanding as defined in the Indenture. The Indenture also permits, without
the consent of the holders of any Bonds, the parties to any Mortgage Notes pledged under the Indenture, and any Mortgages or Loan
Agreements pursuant to which they were issued, to modify, alter, supplement or amend such Mortgage Notes, Mortgages and Loan Agreements,
so long as thereafter such Mortgage will comply with the requirements of the Company’s standard lending practices, as such
policies may be amended from time to time. The Indenture also contains provisions permitting the Holders of specified percentages
in principal amount of the Bonds at the time Outstanding, on behalf of the Holders of all Bonds, to waive compliance by the Company
with certain provisions of the Indenture and certain past defaults under the Indenture and their consequences. Any such consent
or waiver by the Holder of this Bond shall be binding upon such Holder and upon all future Holders of this Bond and of any Bond
issued upon the transfer hereof or in exchange herefor or in lieu hereof whether or not notation of such action is made upon this
Bond.

 

As provided in the Indenture, said Bonds are
issuable in series which may vary as in said Indenture provided or permitted. This Bond is one of a series entitled 2.30% Collateral
Trust Bonds due 2019.

 

The Company may redeem
the Bonds at any time prior to October 15, 2019, in whole or in part, at a “make-whole” redemption price equal to
the greater of (1) 100% of the principal amount being redeemed or (2) the sum of the present values of the remaining scheduled
payments of the principal and interest (other than accrued interest) on the Bonds being redeemed, discounted to the redemption
date on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) at the Treasury Rate plus 12.5 basis
points for the Bonds, plus in each of (1) and (2) above, accrued and unpaid interest to, but excluding, the redemption date.

 

At any time on or after
October 15, 2019, the Company may redeem the Bonds, at its option, in whole or in part, at a redemption price equal to 100% of
the principal amount of the Bonds to be redeemed, plus accrued and unpaid interest thereon to, but excluding, the redemption date.

 

If the Company elects
to redeem less than all of the Bonds, and such Bonds are at the time represented by a global security, then the depositary will
select by lot the particular interest to be redeemed. If the Company elects to redeem less than all of the Bonds, and such Bonds
are not represented by a global security, the particular Bonds to be redeemed shall be selected by the Trustee from the outstanding
Bonds not previously called for redemption, in a manner the Trustee deems appropriate and fair.

 

Notice of any redemption
will be mailed at least 30 days but not more than 60 days before the date of redemption to each holder of the Bonds to be redeemed.
Unless the Company defaults in payment of the redemption price, on and after the date of redemption, interest will cease to accrue
on such Bonds or the portions called for redemption.

 

    	 

    	 

    

 

If an Event of Default, as defined in the
Indenture, shall occur, the principal of this Bond may become or be declared due and payable immediately, in the manner and with
the effect provided in the Indenture.

 

This Bond is transferable by the registered
owner hereof in person or by attorney authorized in writing at the office or agency of the Company in the Borough of Manhattan,
City and State of New York or any other place or places where such Bond may be paid, upon surrender of this Bond, and upon any
such transfer a new Bond for the same series, for the same aggregate principal amount, will be issued to the transferee in exchange
hereof.

 

The Bonds of this series are issuable only
as registered Bonds without coupons in minimum denominations of $2,000 and integral multiples of $1,000 in excess thereof. As provided
in, and subject to the provisions of, the Indenture, Bonds of this series are exchangeable for other Bonds of this series of any
authorized denominations, of a like aggregate principal amount, as requested by the Holder surrendering the same.

 

No service charge will be made for any such
transfer or exchange, but the Company or the Trustee may require payment of a sum sufficient to cover any tax or other governmental
charge payable in connection therewith.

 

Prior to due presentment for transfer at any
office or agency of the Company designated for such purpose, the Company, the Trustee and any agent of the Company or the Trustee
may treat the person in whose name this Bond is registered as the owner hereof for the purpose of receiving payment as herein provided
and for all other purposes whether or not this Bond be overdue, and neither the Company, the Trustee nor any such agent shall be
affected by notice to the contrary.

 

No reference herein to the Indenture and no
provision of this Bond or of the Indenture shall alter or impair the obligation of the Company, which is absolute and unconditional,
to pay the principal of, and interest on this Bond at the times, place and rate, and in the coin or currency, herein prescribed.

 

The following terms shall have the following
meanings:

 

“Business Day” means each Monday,
Tuesday, Wednesday, Thursday and Friday which is not a day on which banking institutions in the Borough of Manhattan, City and
State of New York are authorized by law to close.

 

“Comparable Treasury Issue’’
means the United States Treasury security selected by an Independent Investment Banker as having a maturity comparable to the remaining
term of the Bonds being redeemed that would be utilized, at the time of selection and in accordance with customary financial practice,
in pricing new issues of corporate debt securities of comparable maturity to the remaining term of such Bonds.

 

“Comparable Treasury Price’’
means with respect to any redemption date, (A) the average of the Reference Treasury Dealer Quotations for the redemption date,
after excluding the highest and lowest Reference Treasury Dealer Quotations for that redemption date, or (B) if the Company obtains
fewer than four Reference Treasury Dealer Quotations, the average of all the Reference Treasury Dealer Quotations obtained.

 

“Independent Investment Banker’’
means one of the Reference Treasury Dealers appointed by the trustee after consultation with the Company.

 

“Reference Treasury Dealer’’
means (1) each of Mizuho Securities USA Inc. and RBS Securities Inc., and their respective affiliates or successors; provided,
however, that if any of them ceases to be a primary U.S. Government securities dealer in the United States, the Company will appoint
another primary U.S. Government securities dealer as a substitute, (2) one primary U.S. Government securities dealer selected by
each of KeyBanc Capital Markets Inc. and U.S. Bancorp Investments, Inc. and (3) any other U.S. Government securities dealers selected
by the Company.

 

“Reference Treasury Dealer Quotations’’
means, for each Reference Treasury Dealer and any redemption date, the average, as determined by the trustee, of the bid and ask
prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to
the Trustee by the Reference Treasury Dealer at 5:00 p.m. New York City time on the third business day preceding the redemption
date for the bonds being redeemed.

 

    	 

    	 

    

 

“Treasury Rate’’ means,
for any redemption date, the rate per annum equal to the semi-annual equivalent yield to maturity of the Comparable Treasury Issue,
assuming a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable
Treasury Price for the redemption date.

 

All terms used in this Bond which are defined
in the Indenture shall have the meanings assigned to them in the Indenture.

 

    	 

    	 

    

 

ASSIGNMENT

 

For value received the undersigned sells,
assigns and transfers unto (name, address including zip code and taxpayer I.D. or Social Security number of assignee) _____________________________________________________________________________

___________________________________________________________
the within Certificate and does hereby irrevocably constitute and appoint ____________________________________

______________________________ attorney
to transfer the said Certificate on the books kept for

registration thereof with full power of
substitution on the premises.

 

	Dated: 	 	 

 

	 	 	 
	 	Signature by or on behalf of AssignorEXHIBIT 10.1

 

PURCHASE AND SALE, PETROLEUM AND NATURAL GAS CONVEYANCE AGREEMENT

 

THIS AGREEMENT made this 3rd day of November, 2014.

 

BETWEEN:

 

Tanager Energy Inc., a body corporate having an office in the City of Calgary, in the Province of Alberta (hereinafter called the “Vendor”)

 

and

 

Viking Investments Group, Inc., a body corporate having an office in the City of New York, in the State of New York, on behalf of a corporation to be incorporated (hereinafter called the “Purchaser”)

 

WHEREAS the Vendor has agreed to sell the Assets to the Purchaser and the Purchaser has agreed to purchase the Assets from the Vendor on the terms and conditions set forth herein.

 

NOW THEREFORE in consideration of the premises and the mutual covenants and warranties herein contained, the Parties agree as follows:

 

	
1.1

	
INTERPRETATION

 

	
1.2

	
In this Agreement, including the recitals and the Schedules attached hereto, the following terms shall have the following meanings:

 

	 	
(i)

	
“Abandonment and Reclamation Obligations” means all past, present and future obligations to:

 

	 	
 

	
(a)

	
abandon all Wells now or hereafter located on the Lands;

	 	
 

	
 

	 
	 	
 

	
(b)

	
close, decommission, dismantle and remove all structures, foundations, buildings, pipelines, equipment and other facilities, including all Tangibles, located on the Lands or lands pooled or unitized therewith or used in connection with or held for use in connection with the Petroleum and Natural Gas Rights; and

 

	 
	
1

	

 

restore, remediate and reclaim the surface and subsurface of the lands used in connection with the wells, structures, foundations, buildings, pipelines, equipment and other facilities described in paragraphs (a) and (b) or which are or were used to gain access thereto, including roads. 

 

	 	
(ii)

	
“Additional Indemnitees” means, with respect to any Person to which an indemnity is granted pursuant to this Agreement, its Affiliates and the respective directors, officers, servants, agents, advisors and employees of that Person and its Affiliates.

	 	
 

	 
	 	
(iii)

	
“AFEs” means authorities for expenditure, cash calls and operations notices issued under Title Documents authorizing expenditures and similar items and approved mail ballots, if any.

	 	
 

	 
	 	
(iv)

	
“Affiliates” means any Person which controls or is controlled by a Party to this Agreement, or which controls or is controlled by a Person which controls such Party; for the purpose of this definition “control” and, “controlled by” means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of another Person, whether through the ownership of voting securities or by contract, partnership agreement, trust arrangement or other means, either directly or indirectly, that results in control in fact, provided that direct or indirect ownership of shares of a corporation carrying not less than fifty (50%) percent of the voting rights shall constitute control of such corporation.

	 	
 

	 
	 	
(v)

	
“Agreement” means this document, together with all Schedules attached hereto.

	 	
 

	 
	 	
(vi)

	
“Assets” means an undivided 50% interest of the Vendor’s interest in all the Petroleum and Natural Gas Rights, Tangibles, Proprietary Seismic Data, and the Miscellaneous Interests.

	 	
 

	 
	 	
(vii)

	
“Claims” means any claim, demand, action, lawsuit, proceeding, arbitration, administrative proceeding or governmental proceeding or investigation.

	 	
 

	 
	 	
(viii)

	
“Closing” means the exchange of Conveyance Documents on the Closing Date, the delivery by the Purchaser to the Vendor of the Purchase Price and the transfer of the Assets by the Vendor to the Purchaser.

	 	
 

	 
	 	
(ix)

	
“Closing Date” means November 3, 2014 at 10 a.m. Calgary time, or such other date and time mutually agreed to by the Parties in writing.

	 	
 

	 
	 	
(x)

	
“Conveyance Documents” means this Agreement and all specific assignments, novation agreements, trust agreements and other instruments required to convey the Assets to the Purchaser.

	 	
 

	 
	 	
(xi)

	
“Effective Date” means November 3, 2014.

	 	
 

	 
	 	
(xii)

	
“Environmental Liabilities” means any and all environmental damage, contamination, or other environmental problems pertaining to or caused by the Assets or the Lands or operations thereon or related thereto, however and by whomsoever caused, and whether caused by a breach of the Regulations or otherwise, which occur or arise in whole or in part prior to, at or subsequent to Closing, and regardless of whether or not a reclamation certificate has been issued. Without limiting the generality of the foregoing, such environmental damage or contamination or other environmental problems shall include those arising from or related to: (i) surface, underground, air, ground water, surface water or marine environment contamination; (ii) Abandonment and Reclamation Obligations; (iii) the restoration, cleanup or reclamation of or failure to restore, cleanup or reclaim any part of the Assets; (iv) the breach of applicable Regulations in effect at any time; (v) the removal of or failure to remove foundations, structures or equipment; (vi) the release, spill, escape or emissions of toxic, hazardous or oilfield waste substances; and (vii) Losses suffered by Third Parties as a result of any of the occurrences in Subsections (i) through (vi) of this definition.

	 	
 

	 
	 	
(xiii)

	
“GST” means the goods and services tax administered pursuant to the Excise Tax Act (Canada), 1985, R.S.C., c.E-15, as amended and the regulations thereunder or under any successor or parallel federal or provincial legislation that imposes a tax on the recipient of goods and services.

	 	
 

	 
	 	
(xiv)

	
“Governmental Authority” means any government, regulatory or administrative authority, government department, agency, commission, board or tribunal or court having jurisdiction on behalf of any nation, province or state or subdivision thereof or any municipality, district or subdivision thereof.

	 	
 

	 
	 	
(xv)

	
“Lands” means the lands set forth and described in Schedule “A” and rights pertaining to the Petroleum Substances underlying those lands insofar as they are granted by the Title Documents.

 

	 
	
2

	

 

	 	
(xvi)

	
“Leases” means all leases, licences, permits and other documents of title by virtue of which the holder thereof is entitled to drill for, win, take, own or remove Petroleum Substances within, upon or under the Lands, or lands with which the Lands are pooled or unitized including the Leases set forth and described in Schedule “A”, by virtue of which the holder thereof is deemed to be entitled to a share of Petroleum Substances removed from the Lands, or lands with which the Lands are pooled or unitized, and includes, if applicable, all renewals and extensions of such documents and all documents issued in substitution therefor but only insofar as the same relate to the Lands.

	 	
 

	 
	 	
(xvii)

	
“Losses” means all actions, causes of action, losses, costs, claims, damages, penalties, fines, assessments, charges, expenses or other liabilities whatsoever, whether contractual or tortious, and whether accrued, actual, contingent, latent or otherwise, which are suffered, sustained, or incurred by a Person, directly or indirectly, and includes reasonable legal fees and other professional fees and disbursements on a full indemnity basis, but notwithstanding the foregoing shall not include any liability for indirect or consequential damages including, without limitation, business loss, loss of profit, economic loss, punitive damages, or income tax liabilities.

	 	
 

	 
	 	
(xviii)

	
“Market Price” has the meaning set out in the policies of the TSX Venture Exchange;

	 	
 

	 
	 	
(xix)

	
“Miscellaneous Interests” means the Vendor’s interest in and to all property, assets and rights other than the Petroleum and Natural Gas Rights and the Tangibles, to the extent such property, assets and rights pertain to the Petroleum and Natural Gas Rights or the Tangibles, or any rights relating thereto, including, without restricting the generality of the foregoing, the Vendor’s interest in all contracts, agreements and documents relating directly to the Petroleum and Natural Gas Rights. The Miscellaneous Interests, however, shall not include the Vendor’s economic evaluations, geophysical data or any other contracts, documents or data to the extent that they pertain to the Vendor’s proprietary technology or interpretations.

	 	
 

	 
	 	
(xx)

	
“Notice of Claim” means a notice by Vendor or Purchaser, as applicable, on behalf of itself or one or more Additional Indemnitees (if applicable) of a claim for Losses pursuant to Article 5, together with detailed particulars as to the nature and amount of the claim and the basis which it is sought.

	 	
 

	 
	 	
(xxi)

	
“Party” means a person, partnership, corporation or legal entity which is bound by this Agreement.

	 	
 

	 
	 	
(xxii)

	
“Permitted Encumbrances” means, with respect to the Assets:

 

	 	 	
(a)

	
easements, rights of way, servitudes and other similar rights in land (including rights of way and servitudes for highways and other roads, railways, sewers, drains, gas and oil pipelines, gas and water mains, electric light, power, telephone, telegraph or cable television conduits, poles, towers, wires and cables) which do not materially impair the use of the Assets affected thereby;

	 	 	
 

	 
	 	 	
(b)

	
the rights reserved to or vested in any Governmental Authority by the terms of any leases, licence, franchise, grant or permit or by any statutory provision, to terminate any such leases, licence, franchise, grant, permit or authorization or to require annual or other periodic payments as a condition of the continuance thereof;

	 	 	
 

	 
	 	 	
(c)

	
rights of general application reserved to or vested in any Governmental Authority to levy taxes on Petroleum Substances produced from the Lands or any of them or the revenue therefrom;

	 	 	
 

	 
	 	 	
(d)

	
requirements imposed under the Regulations concerning rates of production from operations in respect of any of the Assets and which are generally applicable to the oil and gas industry including any order or directive of a Governmental Authority, whether before or after the Effective Date, to limit or shut-in production from the Assets;

 

	 
	
3

	

 

	 	 	
(e)

	
the terms and conditions of production sales contracts, transportation agreements, processing obligations, and all other agreements (if any) for the sale, transportation or processing of Petroleum Substances produced from the Lands that are terminable upon 30 days notice or less, and which are disclosed on Schedule “D”;

	 	 	
 

	 
	 	 	
(f)

	
the terms and conditions of the Title Documents, provided that they would otherwise qualify as a Permitted Encumbrance pursuant to another subclause of this definition or are disclosed in any Schedule hereto;

	 	 	
 

	 
	 	 	
(g)

	
the overriding royalties, net profits interests or other encumbrances or interests applicable to the Petroleum and Natural Gas Rights set forth on Schedule “A”;

	 	 	
 

	 
	 	 	
(h)

	
any existing potential alteration of Vendor's interest in the Assets because of payout conversion or farmin, farmout or other such agreements and which are disclosed on Schedule “A”;

	 	 	
 

	 
	 	 	
(i)

	
Rights of First Refusal which are disclosed on Schedule “A”;

	 	 	
 

	 
	 	 	
(j)

	
any penalty or forfeiture that applies to the Assets at the Effective Date because of Vendor's election not to participate in a particular operation and which is disclosed on Schedule “A” or Schedule “D”;

	 	 	
 

	 
	 	 	
(k)

	
liens or security incurred, created or granted in the ordinary course of business or imposed by Regulations, to a public utility or Governmental Authority in connection with the Assets or operations thereon for the payment of taxes, assessments and governmental charges which are not due at Closing, or the validity of which is being diligently contested in good faith by or on behalf of Vendor;

	 	 	
 

	 
	 	 	
(l)

	
liens (including processors', operators' and similar liens) incurred or created in the ordinary course of business as security in favour of the Person conducting the development or operation of the Assets for Vendor's proportionate share of the costs and expenses of such development or operation which are not due at Closing, or the validity of which is being diligently contested in good faith by or on behalf of Vendor;

	 	 	
 

	 
	 	 	
(m)

	
mechanics', builders' or materialman's liens in respect of services rendered or goods supplied, but only insofar as such liens relate to goods or services for which payment is not due at Closing, or the validity of which is being diligently contested in good faith by or on behalf of Vendor;

	 	 	
 

	 
	 	 	
(n)

	
statutory exceptions to title, and the reservations, limitations, provisos and conditions in any original grants from the Crown of any of the Assets or interests therein;

	 	 	
 

	 
	 	 	
 

	 
	 	 	
(o)

	
any security held by, or granted by, through or under a Third Party in respect of or encumbering that Third Party's interest at the Closing Date in and to the Assets or any part or portion thereof; and

	 	 	
 

	 
	 	 	
(p)

	
the terms and conditions of any trust or silent partner obligations set forth on Schedule “A”.

 

	 
	
4

	

 

	 	
(xxiii)

	
“Person” means an individual, a partnership, a corporation, a trust, an unincorporated organization, a union, a join venture, a Governmental Authority and the heirs, executors, administrators or other legal representatives thereof.

	 	
 

	 
	 	
(xxiv)

	
“Petroleum and Natural Gas Rights” means all rights to and in respect of the Title Documents insofar as the Title Documents pertain to:

 

	 	 	
(a)

	
the Lands described in Schedule “A” in respect of any Title Document;

	 	 	
 

	 
	 	 	
(b)

	
the Petroleum Substances described in Schedule “A” in respect of any Title Document; and

	 	 	
 

	 
	 	 	
(c)

	
the zones and formations described in Schedule “A” in respect of any Title Document.

 

	 	
(xxv)

	
“Petroleum Substances” means petroleum, natural gas, sulphur and every other mineral or substance, or any of them, the right to explore for which, or an interest in which, is granted pursuant to the Title Documents, insofar only as they pertain to the Lands.

	 	
 

	 
	 	
(xxvi)

	
“Proprietary Seismic” means the entire proprietary interest of Vendor in and to the seismic lines set out on Schedule “C” that are owned in their entirety, legally and beneficially, by the Vendor.

	 	
 

	 
	 	
(xxvii)

	
“Purchase Agreement Default” means any material misrepresentation or breach of warranty made by a Party, or the failure of a Party to perform or observe in any material respect any of the covenants or agreements to be performed by such Party under this Agreement or any agreement or other certificate or instrument delivered in connection herewith.

	 	
 

	 
	 	
(xxviii)

	
“Purchase Price” means the amount payable by the Purchaser to the Vendor pursuant to Clause 2.01.

	 	
 

	 
	 	
(xxix)

	
“Regulations” means all statutes, laws, rules, orders and regulations in effect from time to time and made by governments or governmental boards or agencies having jurisdiction over the Assets or the Parties.

	 	
 

	 
	 	
(xxx)

	
“Rights of First Refusal” means a right of first refusal, pre-emptive right of purchase or similar right whereby any Third Party has the right to acquire or purchase all or a portion of the Assets as a consequence of the Parties entering into this Agreement or the transaction to be effected by this Agreement.

	 	
 

	 
	 	
(xxxi)

	
“Tanager Shares” means common shares in the capital of the Vendor;

	 	
 

	 
	 	
(xxxii)

	
“Tangibles” means the entire legal and beneficial right, title and interest of Vendor in and to all tangible depreciable property used or intended for use in connection with production, gathering, storage, processing, transmission, measurement, treatment or other operations respecting the Lands or lands pooled or unitized therewith including, without limitation, the Wells, Well equipment, oil batteries, wellheads, pipelines, pipeline connections, meters, motors, treaters, dehydrators, scrubbers, separators, pumps, tanks, boilers, communication equipment, and safety and environmental protection equipment, if any, relating to a Well.

	 	
 

	 
	 	
(xxxiii)

	
“Third Party” means any Person other than the Parties, to the extent of their roles in this Agreement as Vendor and Purchaser.

	 	
 

	 
	 	
(xxxiv)

	
“Title Documents” means the unit agreements, leases, licenses, permits and other documents of title set forth and described in Schedule “A”, by virtue of which the holder thereof is entitled to drill for, win, take, own or remove the Petroleum Substances within, upon or under the Lands or by virtue of which the holder thereof is deemed to be entitled to a share of Petroleum Substances removed from the Lands or any lands with which the Lands are pooled or unitized and includes, if applicable, all renewals and extensions of such documents and all documents issued in substitution thereof.

	 	
 

	 
	 	
(xxxv)

	
“Well” means all well(s) (including all associated well events) which have been, are or may be used in connection with the Petroleum and Natural Gas Rights, including without limitation producing, shut-in, suspended, abandoned, water source, water disposal and water injection wells and the wells set out in Schedule “B”.

 

	 
	
5

	

 

	
1.3

	
The following Schedules are attached to and made a part of this Agreement:

 

	
 

	
Schedule “A” – Property Report

	
 

	 
	
 

	
Schedule “B” - Wells

	
 

	 
	
 

	
Schedule “C” - Proprietary Seismic Data

	
 

	 
	
 

	
Schedule “D” - Disclosure Statement

 

	
1.4

	
The headings in this Agreement are inserted for convenience of reference only and shall not be used in any way in construing or interpreting any provision hereof.

	
 

	 
	
1.5

	
Whenever the singular or masculine or neuter is used in this Agreement or in Schedules, it shall be interpreted as meaning the plural or feminine or body politic or corporate, and vice versa, as the context requires.

	
 

	 
	
1.6

	
All references to dollars, currency or “$” shall refer to Canadian dollars.

	
 

	 
	
1.7

	
If there is any conflict or inconsistency between a provision of the body of this Agreement and that of a Schedule or other Conveyance Document, the provision of the body of this Agreement shall prevail. If any term or condition of this Agreement conflicts with a term or condition of the Title Document or the Regulations, the term or condition of such Title Document or the Regulations shall prevail, and this Agreement shall be deemed to be amended to the extent required to eliminate any such conflict.

	
 

	 
	
1.8

	
Where a representation or warranty in this Agreement is made on the basis of the knowledge or awareness of the Vendor, such knowledge or awareness consists only of the actual knowledge or awareness, without inquiry, of the officers of the Vendor who are primarily responsible for the matters in question and does not include knowledge or awareness of any other Person or Persons.

	
 

	 
	
2.1

	
SALE, BUY BACK AND OPERATOR

	
 

	 
	
2.2

	
The Vendor hereby sells, assigns, transfers, conveys and sets over unto the Purchaser, and the Purchaser hereby purchases and accepts from the Vendor, the Vendors’ entire right, title, estate and interest (whether absolute or contingent, legal or beneficial) in and to the Assets, subject to the conditions of and upon the terms of this Agreement.

	
 

	 
	
2.3

	
The Purchase Price shall be four hundred thousand (CDN$400,000) Canadian Dollars, inclusive of GST, payable by the Purchaser as follows: (i) as to $340,000, by payment of such amount to the Vendor via wire transfer on the Closing Date; and (ii) as to the balance, by payment of such amount to the Vendor via wire transfer on or before November 30th, 2014. Notwithstanding Viking Investments Group, Inc. (“Viking”) is entering into this Agreement on behalf of a corporation to be incorporated, Viking hereby guarantees the performance of the Purchaser’s payment obligation to the Vendor pursuant to this Section 2.02.

	
 

	 
	
2.4

	
The Purchase Price shall be allocated among the Assets and paid to the Vendor as follows:

 

	 
	
6

	

 

	
To Petroleum and Natural Gas Rights (80%):

	 	
$

	
360,000

	 
	
Tangibles (10% less $1.00)

	 	
$

	
39,999

	 
	
To Miscellaneous Interests:

	 	
$

	
1

	 
	
Total Amount Payable to Vendor:

	 	
$

	
400,000

	 

 

	 	
The Vendor agrees that the Purchase Price shall be used solely in connection with the activation and operation of the Wells.

	 	 
	 	
The Parties agree that the value of the interest of Vendor in and to the Tangibles and in and to the Miscellaneous Interests is thirty-nine thousand nine-hundred ninety-nine ($39,999) Dollars and One ($1.00) Dollar, respectively. At Closing, Vendor shall be solely responsible for all sales taxes, transfer taxes, fees, charges, levies or similar assessments which may be imposed by any Governmental Authority and pertaining to the sale of the Assets or to the circulation and registration of the Conveyance Documents and shall remit any such amounts to the applicable Governmental Authority according to Regulation. Accordingly, after Closing, Vendor shall be responsible for, and shall indemnify and save Purchaser harmless in respect of all such GST, other taxes, transfer taxes, fees, charges, levies or similar assessments imposed by any Governmental Authorities in respect of the transactions contemplated by this Agreement, including any interest and penalties levied or imposed in connection therewith, which are in excess of the amounts collected by Vendor from Purchaser in this regard at Closing.

 

	
2.5

	
The Vendor shall provide at Closing any and all Conveyance Documents or other further assurances as the Purchaser may reasonably require in order to acquire the Vendor’s interest in the Assets. The Vendor shall not be required to have such documents signed by Third Parties at or before the Closing Date but shall cooperate with the Purchaser as reasonably required to secure execution of such documents by such Third Parties thereafter.

	
 

	 
	
2.6

	
The parties agree that the Vendor will be the operator of the Assets and in that regard, the parties will enter into an Operating Agreement pursuant to the applicable CAPL Operating Procedure.

	
 

	 
	
3.1

	
ADJUSTMENTS

	
 

	 
	
3.2

	
The Vendor and the Purchaser shall adjust and apportion benefits and obligations of every kind and nature accruing, payable, paid, receivable or received with respect to the Assets, as of the Effective Date, in accordance with generally accepted accounting principles. All such benefits and obligations accruing up to and including the Effective Date shall be for the Vendor's account and all those accruing after the Effective Date shall be for the Purchaser's account. A final statement of adjustments will be provided by the Vendor within 90 days of the Closing Date and payment of any amounts due or receivable within 30 days of providing such statement.

	
 

	 
	
4.1

	
REPRESENTATIONS AND WARRANTIES

	
 

	 
	
4.2

	
The Purchaser acknowledges that, except as provided herein, it is purchasing the Vendor's interest in and to the Assets on an “as is, where is” basis, without representation and warranty and without reliance on any information provided to or on behalf of the Purchaser by the Vendor or any Third Party, whether verbal or in writing, except that and subject in all instances to Permitted Encumbrances, and as disclosed in Schedule “D”, and that the Vendor makes only the following representations and warranties to the Purchaser:

 

	 
	
7

	

 

	 	
(i)

	
It is a corporation, duly organized, valid, subsisting and registered under the laws of the Province of Alberta and is authorized to carry on business in the jurisdiction where the Lands are located;

	 	
 

	 
	 	
(ii)

	
It has the requisite capacity, power and authority to execute this Agreement and the Conveyance Documents and to perform the obligations to which it thereby becomes subject;

	 	
 

	 
	 	
(iii)

	
The execution and delivery of this Agreement and the completion of the sale of the Assets in accordance with the terms of this Agreement are not and will not be in violation or breach of, or be in conflict with:

 

	 	 	
(a)

	
any term or provision of its constating or other governing documents;

	 	 	
 

	 
	 	 	
(b)

	
any agreement, instrument, permit or authority to which it is a party or by which it is bound; or

	 	 	
 

	 
	 	 	
(c)

	
the Regulations or any judicial order, award, judgment or decree applicable to it or the Assets;

 

	 	
(iv)

	
It has taken all actions necessary to authorize the execution and delivery of this Agreement. This Agreement has been validly executed and delivered, and this Agreement and all other documents executed and delivered on its behalf hereunder shall constitute valid and binding obligations of the Vendor enforceable against the Vendor in accordance with their respective terms and conditions, subject to the qualification that such enforceability may be subject to:

 

	 	 	
(a)

	
bankruptcy, insolvency, fraudulent preference, fraudulent transfer, moratorium, reorganization or other laws affecting creditor’s rights generally; and

	 	 	
 

	 
	 	 	
(b)

	
general principles of equity (regardless of whether such enforceability is considered in a proceeding at equity or law);

 

	 	
(v)

	
The Vendor is not a non-resident of Canada within the meaning of the Income Tax Act (Canada);

	 	
 

	 
	 	
(vi)

	
The Purchaser shall not have any responsibility for any obligation or liability, contingent or otherwise, for brokers’ or finders’ fees, if any, incurred by the Vendor with respect to the transactions herein;

	 	
 

	 
	 	
(vii)

	
There are no unsatisfied judgments or Claims outstanding, or to the knowledge of the Vendor threatened, against or with respect to the Assets or the interest of the Vendor therein, and the Vendor is not aware of any particular circumstance which the Vendor reasonably believes will give rise to such a Claim;

	 	
 

	 
	 	
(viii)

	
The Vendor has no knowledge of any default or notice of default with respect to the Assets which have not been remedied;

	 	
 

	 
	 	
(ix)

	
None of the interests in the Assets are subject to any Rights of First Refusal;

	 	
 

	 
	 	
(x)

	
Although it does not warrant title to the Assets, Vendor represents and warrants that except for the Permitted Encumbrances:

 

	 
	
8

	

 

	 	 	
(a)

	
at the Closing Date, it will not have assigned, mortgaged, charged, granted a security interest, or in any way alienated or encumbered all or any portion of its interest in the Assets, and the Assets will be free and clear of all liens, encumbrances, mortgages, charges, security interests and adverse claims created by through or under Vendor, except in either case where Vendor has delivered to Purchaser a registrable discharge or “no interest letter” prior to or at Closing;

	 	 	
 

	 
	 	 	
(b)

	
there are no take-or-pay obligations applicable to the Assets for which Purchaser will have any responsibility; and

	 	 	
 

	 
	 	 	
(c)

	
none of the Petroleum and Natural Gas Rights are subject to reduction or conversion to an interest of any other size or nature by reference to payout of any Well or otherwise except as noted in Schedule “A”;

 

	 	
(xi)

	
The Petroleum and Natural Gas Rights are not subject to any gas balancing agreements or any agreements for the sale of Petroleum Substances which the Purchaser is required to assume which are not terminable on thirty (30) days’ notice or less (without an early termination penalty or other cost);

	 	
 

	 
	 	
(xii)

	
To the knowledge of the Vendor, it has not withheld from the Purchaser any document which would affect the title of the Vendor to the Assets, including, without limitation, any document relating to liens, charges, encumbrances, securities and adverse claims;

	 	
 

	 
	 	
(xiii)

	
With respect to those Assets for which Vendor is operator, the Vendor will continue to operate the Assets and Wells in accordance with good oilfield practice until the Effective Date;

	 	
 

	 
	 	
(xiv)

	
To the knowledge of the Vendor, the Assets have been operated in accordance with Regulations presently in effect which apply to the environment;

	 	
 

	 
	 	
(xv)

	
To the knowledge of the Vendor, there are no AFE’s pursuant to which expenditures are to be made, or thereafter may become due in respect of the Assets or operations in respect thereof, other than as specifically disclosed in Schedule “D”, or those to which the Purchaser has given its written consent; and

	 	
 

	 
	 	
(xvi)

	
To the Vendor’s knowledge, it has not received any notice or orders from any Governmental Authority in respect of:

	 	
 

	 
	 	
(a)

	
any environmental matter relating to the Assets; or

	 	
 

	 
	 	
(b)

	
any Environmental Liabilities; that has not been complied with in all material respects.

	 	
 

	 
	 	
4.3

	
The Purchaser represents and warrants to the Vendor that:

 

	 
	
9

	

 

	 	
(i)

	
It is a corporation, duly organized, valid, subsisting and registered under the laws of the State of Nevada and is authorized to carry on business in the jurisdiction where the Lands are located;

	 	
 

	 
	 	
(ii)

	
It has the requisite capacity, power and authority to execute this Agreement and the Conveyance Documents, and to perform the obligations to which it thereby becomes subject;

	 	
 

	 
	 	
(iii)

	
The execution and delivery of this Agreement and the completion of the purchase of the Assets in accordance with the terms of this Agreement are not and will not be in violation or breach of, or be in conflict with:

 

	 	 	
(a)

	
any term or provision of the constating or other governing documents of the Purchaser; or

	 	 	
 

	 
	 	 	
(b)

	
the Regulations or any judicial order, award, judgment or decree applicable to the Purchaser;

 

	 	
(iv)

	
It has taken all actions necessary to authorize the execution and delivery of this Agreement. This Agreement has been validly executed and delivered, and this Agreement and all other documents executed and delivered on its behalf hereunder shall constitute valid and binding obligations of the Purchaser enforceable against the Purchaser in accordance with their respective terms and conditions, subject to the qualification that such enforceability may be subject to:

 

	 	 	
(a)

	
bankruptcy, insolvency, fraudulent preference, fraudulent transfer, moratorium, reorganization or other laws affecting creditor’s rights generally; and

	 	 	
 

	 
	 	 	
(b)

	
general principles of equity (regardless of whether such enforceability is considered in a proceeding at equity or law);

 

	 	
(v)

	
The Purchaser has not incurred any obligation or liability, contingent or otherwise, for brokers’ or finders’ fees with respect to the transactions herein for which the Vendor shall have any responsibility; and

 

	
4.

	
4 Each Party acknowledges that the other may rely on the representations and warranties made by such Party pursuant to Clause 4.01 or 4.02, as the case may be. The representations and warranties of both the Vendor and the Purchaser shall continue to be in full force and effect and shall survive the Closing Date for a period of one year for the benefit of the Party for which such representations and warranties were made. In the absence of fraud, however, no claim or action shall be commenced with respect to a breach of any such representation or warranty unless, within such period, written notice specifying such breach in reasonable detail has been provided to the Party which made such representation or warranty.

	
 

	 
	
5.1

	
LIABILITY AND INDEMNIFICATION

	
 

	 
	
5.2

	
The Purchaser shall:

 

	 	
(i)

	
be liable to the Vendor and its Additional Indemnitees for all Losses whatsoever which any one or more of them may suffer, sustain, pay or incur; and

	 	
 

	 
	 	
(ii)

	
indemnify and save harmless the Vendor and its Additional Indemnitees from and against all Claims and Losses whatsoever which may be brought against or suffered by any one or more of them or which any one or more of them may sustain, pay or incur, as a direct result of any act, omission, circumstance or other matter arising out of, resulting from, attributable to or connected with any Purchase Agreement Default made by Purchaser. Viking hereby guarantees the performance of the Purchaser’s obligations under this section 5.01.

 

	 
	
10

	

 

	
5.3

	
Subject to Clause 5.01, the Vendor shall:

 

	 	
(i)

	
be liable to the Purchaser and its Additional Indemnitees for all Losses whatsoever which any one or more of them may suffer, sustain, pay or incur; and

	 	
 

	 
	 	
(ii)

	
indemnify and save harmless the Purchaser and its Additional Indemnitees from and against all Claims and Losses whatsoever which may be brought against or suffered by any one or more of them or which any one or more of them they may sustain, pay or incur,

 

	
 

	
as a direct result of any act, omission, circumstance or other matter arising out of, resulting from, attributable to or connected with any Purchase Agreement Default made by Vendor.

 

	
5.4

	
Purchaser and its Additional Indemnitees shall have no remedy or cause of action for a Purchase Agreement Default by Vendor in respect of any act, omission, circumstance or other matter actually known to any of the Purchaser, its Additional Indemnitees, its Affiliates or their respective directors, officers, servants, agents or employees as at the Closing Date.

	
 

	 
	
5.5

	
Any claim or cause of action based on, arising out of or relating in any way to any of the transactions contemplated under this Agreement must be brought by the applicable Party in accordance with the provisions and limitations of this Agreement, whether such claim arises out of any contract, tort or otherwise. For greater certainty, each of the Parties acknowledge that after Closing, the remedies set forth in the indemnity provisions of this Agreement are the sole and exclusive remedies of the Parties with respect to the transactions contemplated by this Agreement.

	
 

	 
	
6.1

	
POST CLOSING OBLIGATIONS

	
 

	 
	
6.2

	
After Closing, until the Purchaser becomes the recognized holder of the Assets in the place of the Vendor, the Vendor shall, to the extent that the Purchaser is not recognized:

 

	 	
(i)

	
in a timely manner deliver to the Purchaser all third party notices and communications received by the Vendor for the Assets;

	 	
 

	 
	 	
(ii)

	
in a timely manner deliver to third parties all notices and communications as the Purchaser may reasonably request and all monies and other items the Purchaser reasonably provides for the Assets;

	 	
 

	 
	 	
(iii)

	
as agent of the Purchaser, do and perform all acts and things, and execute and deliver all agreements, notices and other documents and instruments, that the Purchaser reasonably requests for the purpose of facilitating the exercise of rights incidental to the ownership of the Assets; and

	 	
 

	 
	 	
(iv)

	
not initiate any operation in respect of the Assets.

 

	 
	
11

	

 

	
6.3

	
After Closing, the Vendor may retain or subsequently obtain from the Purchaser copies of any of the documents comprised in Miscellaneous Interests that it considers necessary to enable it to comply with any Regulations or the requirements of any authority or to conduct audits relating to the period prior to the Effective Date.

	
 

	 
	
7.1

	
NOTICES

	
 

	 
	
7.2

	
Notwithstanding anything to the contrary contained herein, all notices required or permitted hereunder shall be in writing. Any notice to be given hereunder shall be deemed to be served properly if served in any of the following modes:

 

	 	
(i)

	
personally, by delivering the notice to the Party on which it is to be served at that Party’s address for service. Personally served notices shall be deemed to be received by the addressee when actually delivered as aforesaid, provided that such delivery shall be during normal business hours on any day other than a Saturday, Sunday or statutory holiday in Alberta. If a notice is not delivered on such a day or is delivered after the addressee’s normal business hours, such notice shall be deemed to have been received by such Party at the commencement of the addressee’s first business day next following the time of the delivery; or

	 	
 

	 
	 	
(ii)

	
by facsimile (“fax”) or e-mail directed to the Party on which it is to be served at the Party’s address for service. A notice so served shall be deemed to be received by the addressee when actually received by it, if received within normal business hours on any day other than a Saturday, Sunday or statutory holiday in Alberta or at the commencement of the next ensuing business day following transmission if such notice is not received during such normal business hours; or

	 	
 

	 
	 	
(iii)

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

 

	
7.3

	
The address for service of notices hereunder of each of the Parties shall be as follows:

 

	
VENDOR:

	
PURCHASER:

	
Tanager Energy Inc.

	
Viking Investments Group, Inc.

	
3056 - 40 Ave S

	
1330 Avenue of the Americas, Suite 23A

	
Lethbridge, AB T1K 6Z9

	
New York, NY 10019

	
Fax:

	
(646) 356 7034

	
E-Mail:john@tanagerenergy.com

	
E-Mail: 

tsimeo@vikinginvestments.com

jdoris@vikinginvestments.com

	
Attention: President

	
Attention: President

 

	 	
A Party may change its address for service by notice to the other Party, and such changed address for service thereafter shall be effective for all purposes of the Agreement.

 

	 
	
12

	

 

	
8.1

	
GENERAL 

	
 

	 
	
8.2

	
At the Closing Date and thereafter as may be necessary, the Parties shall execute, acknowledge and deliver such instruments and take such other actions as may be reasonably necessary to fulfill their respective obligations under this Agreement.

	
 

	 
	
8.3

	
This Agreement shall be governed by, construed and enforced in accordance with the laws in effect in the Province of Alberta and the applicable laws of Canada. Each Party irrevocably attorns and submits to the exclusive jurisdiction of the courts of the Province of Alberta and all courts of appeal therefrom.

	
 

	 
	
8.3

	
No waiver by any Party of any breach (whether actual or anticipated) of any of the terms, conditions, representations or warranties contained herein shall take effect or be binding upon the Party unless the waiver is expressed in writing under the authority of the Party. Any waiver so given shall extend only to the particular breach so waived and shall not limit or affect any rights with respect to any other or future breach.

	
 

	 
	
8.4

	
This Agreement may be executed and delivered in separate counterparts and delivered by one Party to the other by facsimile or .pdf, each of which when so executed and delivered shall be deemed an original and all such executed counterparts shall together constitute one and the same agreement. If this Agreement is delivered by facsimile or pdf, the Party so delivering this Agreement shall within a reasonable time after such delivery deliver an original executed copy to the other.

	
 

	 
	
8.5

	
Time shall be of the essence in this Agreement.

	
 

	 
	
8.6

	
This Agreement may be amended only by written instrument executed by the Vendor and the Purchaser.

	
 

	 
	
8.7

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

	
 

	 
	
8.8

	
This Agreement may not be assigned by a Party without the prior written consent of the other Party, which consent may be unreasonably or arbitrarily withheld.

	
 

	 
	
8.9

	
The provisions contained in any and all documents and agreements collateral hereto shall at all times be read subject to the provisions of this Agreement and, in the event of conflict, the provisions of this Agreement shall prevail. This Agreement shall not be varied in its terms or amended by oral agreement or by representations or otherwise other than by an instrument in writing dated subsequent to the date hereof, executed by a duly authorized representative of each Party. This Agreement supersedes all other agreements , documents, writings and verbal understandings among the Parties relating to the subject matter hereof and expresses the entire agreement of the Parties with respect to the subject matter hereof.

 

IN WITNESS WHEREOF the Parties have duly executed this Agreement.

 

 

	
Tanager Energy Inc.

	
 

	Viking Investments Group, Inc.
	
 

	
 

	 
	
Per: /s/ John Squarek

	
 

	
Per:  /s/ Tom Simeo

	
Authorized Signatory

	
 

	
Authorized Signatory

	
President & CEO

	
 

	
Chairman

 

This is the execution page to that certain Purchase and Sale, Petroleum and Natural Gas Conveyance Agreement dated October 31st, 2014 between Tanager Energy Inc. as Vendor and Viking Investments Group, Inc., on behalf of a corporation to be incorporated, as Purchaser

 

	 
	
13

	

 

SCHEDULE “A”

 

Attached to and made a part of a Purchase and Sale, Petroleum and Natural Gas Conveyance Agreement dated November 3, 2014 between Tanager Energy Inc. and Viking Investments Group, Inc. on behalf of a corporation to be incorporated

 

	
Title Document

	
Lands

	
Vendor’s
Interest

	
Encumbrances

	
Cr. P&NG Lease 0485040076

	
Twp. 39, Rge. 26 W4M: N&SE 22

 

PNG in the Leduc

	
50%

	
Cr. S/S LOR

 

3% GOR payable to Conserve Oil Corporation

 

2% GOR (payable until

$150,000 received; then GOR is cancelled); payable to Conserve Oil Corporation

	
Fr. P&NG Lease dated April 1, 2014

 

Lessor: Lorraine Alice Hanson, as Life Estate Interest Holder and Shelley Rue, Sharon Krushel, Harlan Hanson and Terry Hydomako, as Remaindermen (as to each a 1/16 interest)

	
Twp. 39, Rge. 26 W4M: SE 27

 

All PNG

	
50%

	
FH 12.5% LOR

 

2% GOR payable to 1271632 Alberta Ltd.

	
Fr. P&NG Lease dated May 1, 2014

 

Lessor: Marie Patricia Hanson-Kentwell (as to a 1/12 interest)

	
Twp. 39, Rge. 26 W4M: SE 27

 

All PNG

	
50%

	
FH 12.5% LOR

 

2% GOR payable to 1271632 Alberta Ltd.

	
Fr. P&NG Lease dated May 1, 2014

 

Lessor: Barbara Ellen Hanson (as to a 1/12 interest)

	
Twp. 39, Rge. 26 W4M: SE 27

 

All PNG

	
50%

	
FH 12.5% LOR

 

2% GOR payable to 1271632 Alberta Ltd.

	
Fr. P&NG Lease dated May 1, 2014

 

Lessor: Howard Jean Hanson Jr. (as to a 1/12 interest)

	
Twp. 39, Rge. 26 W4M: SE 27

 

All PNG

	
50%

	
FH 12.5% LOR

 

2% GOR payable to 1271632 Alberta Ltd.

	
Fr. P&NG Lease dated May 1, 2014

 

Lessor: Juanita Westwood et al (as to a 1/4 interest)

	
Twp. 39, Rge. 26 W4M: SE 27

 

All PNG

	
50%

	
FH 12.5% LOR

 

2% GOR payable to 1271632 Alberta Ltd.

	
Fr. P&NG Lease dated May 1, 2014

Lessor: Louwayne Jeanette Hanson (as to a 1/4 interest)

	
Twp. 39, Rge. 26 W4M: SE 27

 

All PNG

	
 

50%

	
FH 12.5% LOR

 

2% GOR payable to 1271632 Alberta Ltd.

 

	 
	
14

	

 

SCHEDULE “B”

 

Attached to and made a part of a Purchase and Sale, Petroleum and Natural Gas Conveyance Agreement dated November 3, 2014 between Tanager Energy Inc. and Viking Investments Group, Inc. on behalf of a corporation to be incorporated

 

Wells

 

	
100/07-22-039-26W4/2

	
Oil

	
Horizontal

	
LDUC

	
100/10-22-039-26W4/0

	
Oil

	
Vertical

	
LDUC

	
102/10-22-039-26W4/0

	
Oil

	
Dir/Dev

	
LDUC

	
100/14-22-039-26W4/2

	
Oil

	
Horizontal

	
LDUC

	
100/15-22-039-26W4/0

	
Oil

	
Horizontal

	
LDUC

	
1D0/15-22-039-26W4/0

	
Oil

	
Vertical

	
LDUC

	
102/1-27-039-26W4/3

	
Oil

	
Vertical

	
LDUC

	
 

	
 

	
 

	
 

		
Water

	
 

	
 

	
100/02-27-039-26W4/0

	
Injection

	
Dir/Dev

	
LDUC

 

Only the well license pertaining to the well 1D0/15-22-039-26 W4M (licence W0134941) has been transferred to the Vendor from COGI Limited Partnership. The remainder of the Wells remain in the name of the current operator and are subject to the Contract Wells/Facilities Operating Agreement until the Vendor can take assignment of all Wells and facilities. The Vendor has until December 31, 2014 to accept transfer of the all the Wells and facility licences from COGI Limited Partnership or it is required to pay a penalty fee of $150,000.00 to COGI Limited Partnership.

 

	 
	
15

	

 

SCHEDULE “C”

 

Attached to and made a part of a Purchase and Sale, Petroleum and Natural Gas Conveyance Agreement dated November 3, 2014 between Tanager Energy Inc. and Viking Investments Group, Inc. on behalf of a corporation to be incorporated

 

Proprietary Seismic Data

 

N/A

 

 

	 
	
16

	

 

SCHEDULE “D”

 

Attached to and made a part of a Purchase and Sale, Petroleum and Natural Gas Conveyance Agreement dated November 3, 2014 between Tanager Energy Inc. and Viking Investments Group, Inc. on behalf of a corporation to be incorporated

 

Disclosure Schedule

 

Purchaser acknowledges that the wells are or may be subject to surface casing vent flows.

 

A Section 18 Notice has been issued respecting P&NG Lease 0485040076 and COGI Limited Partnership is responsible for submission of any continuation requests to Alberta Energy prior to June 18, 2015.

 

 

17

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