Document:

Exhibit 10.2

    EXHIBIT
      10.2

    

    PURCHASE
      AND SALE AGREEMENT

    

    

    This
      Purchase and Sale Agreement (this “Agreement”)
      is
      made and entered into this 18th day of June, 2007, but shall be effective as
      of
      7:00 a.m. Central Standard Time on the 1st
      day of
      June, 2007 (the “Effective
      Time”),
      by
      and between Miss-Lou Petroleum LLC, a Louisiana limited liability company,
      whose
      address is 225 North Columbia Street, Covington, Louisiana 70433 (hereinafter
      referred to as “Miss-Lou”
or
      “Seller”)
      and
      Affiliated Holdings, Inc., a Texas corporation, whose address is 5075 Westheimer
      Road, Suite 975, Houston, Texas 77056 (hereinafter referred to as “Affiliated”
or
      “Buyer”)(sometimes
      herein Seller and Buyer are collectively called the “Parties”
and,
      individually, called a “Party”).
      

    

    RECITALS

    

    Whereas,
      pursuant to that certain Act of Sale and Assignment, dated effective as of
      August 1, 2003, recorded in Conveyance Book 946, Page 704, under File No. 598664
      of the records of Jefferson Davis Parish, Louisiana (the “Prior
      Act of Sale
      and Assignment”),
      Plymouth Resource Group II, Inc. (“Plymouth”)
      conveyed to Miss-Lou an undivided fifty percent (50%) interest in and
      to:

    

    (a) The
      oil,
      gas and mineral leases and other mineral rights and interests described in
      Exhibit
      A-l,
      together with an undivided fifty percent (50%) interest in and to the rights
      of
      Plymouth in respect of any pooled, communitized or unitized acreage of which
      any
      such interest is a part (collectively, the “Leasehold
      Interests”);
      

    

    (b) The
      wells
      described in Exhibit
      A-2
      (the
“Wells”);
      and

    

    (c) The
      immovable property described in Exhibit
      A-3
      (the
“Land”);

    

    Whereas,
      such undivided interests in and to the Leasehold Interests, the Wells, and
      the
      Land are: (i) to Seller’s knowledge the same undivided interests in and to the
      properties described in the Prior Act of Sale and Assignment; and (ii) referred
      to hereafter as the “Subject
      Properties”);

    

    Whereas,
      together with the Subject Properties, Seller desires to sell to Buyer, and
      Buyer
      desires to purchase from Seller, the following:

    

    (a) All
      of
      Seller’s right, title, and interest in and to all of the immovable, movable and
      mixed property of Seller, or in which Seller owns an interest, that is
      attributable or allocable to the Leasehold Interests and used or held for use
      in
      connection with the exploration, development, operation or maintenance of any
      of
      the Leasehold Interests or the production, treatment, measurement, storage,
      gathering, transportation or marketing of oil, gas or other hydrocarbons
      attributable to the Leasehold Interests (or the interests of others therein),
      including, without limitation: (i) all wells, platforms, equipment and
      facilities that, as of the Effective Time were used or held for use in
      connection with the exploration, development, operation or maintenance of any
      Leasehold Interests or the production, treatment, measurement, storage,
      gathering, transportation or marketing of oil, gas or other hydrocarbons
      attributable to the Leasehold Interests, including, without limitation, the
      Wells (including saltwater disposal wells, if any), well equipment, casing,
      tanks, gas separation and field processing units, portable and permanent well
      test equipment, buildings, tubing, pumps, motors, fixtures, machinery,
      materials, supplies, inventory, telephone and communication equipment, computing
      equipment and other equipment, pipelines, gathering systems, power lines,
      telephone and telegraph lines, roads, vehicles, gas processing plants and other
      property used in the operation thereof: (ii) all oil and gas and other
      hydrocarbon volumes produced on or after the Effective Time; and (iii) all
      other
      rights, privileges, benefits, powers, and appurtenances conferred upon Seller
      or
      the owner and holder of the Leasehold Interests, including, without limitation,
      all rights, privileges, benefits and powers of Seller with respect to the use
      and occupation of the surface of, and subsurface depths under, the land covered
      by each Leasehold Interest, which may be necessary, convenient or incidental
      to
      the possession and enjoyment of such Leasehold Interest (collectively, the
      “Related
      Property”); 

     

    (b) All
      of
      Seller’s right, title, and interest in and to all original files, records, data,
      information and documentation of Seller (or if originals are not available,
      copies of such items) pertaining to or evidencing Seller’s use, ownership or
      operation of any of the assets, or the maintenance or operation thereof, or
      to
      any units in which any of the Leasehold Interests may be included or to the
      producing, treating, measuring, processing, storing, gathering, transporting
      or
      marketing of oil and gas attributable to the Leasehold Interests or such units
      and water, brine or other minerals and products produced in association
      therewith, including, without limitation, lease files, land files, well files,
      production sales agreement files, division order files, title opinions and
      abstracts, legal records (excluding any records or information the disclosure
      of
      which would result in the waiver of an attorney-client privilege), tax records,
      financial and accounting records, governmental, tribal and regulatory filings
      and permits, environmental records, and, except to the extent the transfer
      thereof may not be made without violating applicable contractual restrictions,
      geological and geophysical data, seismic records, production reports, maps,
      and
      computer software (collectively, the “Records”);

     

    (c) All
      rights of Seller in and to those instruments and agreements listed on
Exhibit
      A-l
      hereto,
      the other instruments and agreements under which Seller’s interests in the
      Leasehold Interests arise, and all other agreements and contractual rights,
      easements, rights-of-way, servitudes, and other rights, privileges, and benefits
      to the extent relating to the Leasehold Interests, the Wells, the Land, and
      the
      Records, including, without limitation, all rights of Seller in, to and under
      or
      derived from all production sales contracts, operating agreements, pooling,
      unitization or communitization agreements, purchase, exchange or processing
      agreements, production handling agreements, surface leases, easements or
      rights-of-way, farmout or farmin agreements, dry hole or bottom hole
      contribution agreements, seismic agreements, permits, licenses, options, orders
      and all other contracts, agreements and instruments relating to the exploration
      for, or the development, production, storage, gathering, treatment,
      transportation, processing, or sale or disposal of oil, gas, other hydrocarbons,
      other minerals, water, brine or other substances from any Leasehold Interest
      or
      any units of which they are a part (collectively, the “Rights”)( the
      Subject Properties, the Related Property, the Records, and the Rights are herein
      collectively called the “Assets”);
      and

    

    Whereas,
      Seller desires to sell to Buyer, and Buyer desires to purchase from Seller,
      the
      Assets on the terms and conditions set forth in this Agreement.

    

    NOW,
      THEREFORE, for and in consideration of the premises and of the mutual covenants
      and agreements contained herein, on the Closing Date (as such term is defined
      hereinafter), but effective as of the Effective Time, Seller agrees to sell
      and
      convey to Buyer, and Buyer agrees to purchase and pay for, the Assets, pursuant
      to the following terms and conditions:

    

    
      	 	
              (1)

            	
              PURCHASE
                PRICE.
                The purchase price for the sale of the Assets by Seller to Buyer
                is FIVE
                HUNDRED AND NO/100 DOLLARS ($500,000) (the “Purchase
                Price”),
                to which amount shall be applied a deposit that has been paid by
                Buyer to
                Seller, the receipt of such deposit and full acquittance therefor
                are
                hereby acknowledged by Seller, in the amount of SEVEN THOUSAND FIVE
                HUNDRED AND NO/100 DOLLARS ($7,500), and shall be payable to Seller
                by
                Buyer as set forth hereinafter. 

            

    

    

    
      	 	
              (2)

            	
              DUE
                DILIGENCE.
                Prior to Closing, as that term is defined hereinafter, Seller will
                provide
                access to Buyer to all contract and title information pertaining
                to the
                Assets available in Seller’s files. Prior to Closing, Buyer will cause the
                appropriate public records to be examined in order to assess Seller’s
                title to the Subject Properties. In the event a significant title
                defect
                is discovered prior to Closing which, in Buyer’s opinion, cannot be cured
                within sixty (60) days from the discovery thereof, Seller and Buyer
                shall
                endeavor to reach a mutually acceptable understanding in writing
                with
                respect thereto, failing which Buyer may terminate its obligation
                to
                purchase the Assets pursuant to Section (20) and, upon such termination,
                Seller’s obligation to sell the Assets shall terminate, and neither Party
                shall have any other obligations with respect to the matters set
                forth in
                this Agreement.

            

    

    

    
      	 	
              (3)

            	
              FORM
                OF ASSIGNMENT.
                At
                Closing, Seller and Buyer shall execute, acknowledge, and deliver
                to each
                other the Assignment and Bill of Sale in the form attached hereto
                and
                identified as Exhibit
                B
                (the “Assignment”).
                In the Assignment, Seller shall bind itself and its respective successors
                and assigns to warrant title to the Assets unto Buyer, its successors
                and
                assigns, against every person whomsoever lawfully claiming or to
                claim the
                same or any part thereof by, through and under Seller, but not otherwise,
                and with full substitution and subrogation of Buyer in and to: (i)
                all
                warranties of title heretofore made by Seller’s predecessors in title in
                respect of the Assets; and (ii) all rights and actions which Seller
                has or
                may have against all preceding owners and
                vendors.

            

    

    

    
      	 	
              (4)

            	
              WARRANTY.
                Except as to the limited warranty of title described in Section (3)
                and
                set forth in the Assignment, the Assets shall be sold without warranty
                of
                title, either express or implied, as to description, title, condition,
                quality, fitness for purpose, merchantability or completeness or
                otherwise, and with full substitution and subrogation in and to all
                rights
                and actions of warranty which Seller has or may have against all
                preceding
                owners and vendors. Further, any movable or tangible property situated
                on
                and comprising a portion of the Assets is sold on an “as is, where is”
                basis without any warranty, either express or implied, as to title,
                value,
                quality, condition or fitness for any
                purpose.

            

    

    

    
      	 	
              (5)

            	
              EXISTING
                OBLIGATIONS.
                Seller warrants that the Assets will be sold by Seller to Buyer free
                and
                clear of all liens or encumbrances of any kind or character placed
                thereon
                by or through Seller. The Assets, however, will be sold by Seller
                to Buyer
                subject to the following contracts , and the Assets shall be deemed
                to
                include all of Seller’s rights and interests (and Seller’s obligations) in
                and to such contracts on and after the Effective Time,
                to-wit:

            

    

    

    
      	 	
              (a)

            	
              Prior
                Act of Sale and Assignment, including the rights and interests expressly
                reserved therein by Plymouth; 

            

    

    

    
      	 	
              (b)

            	
              Joint
                Operating Agreement dated November 4, 2006, executed by and between
                Plymouth, as Operator, and Miss-Lou, as Non-Operator;
                

            

    

    

    
      	 	
              (c)

            	
              Letter
                Agreement - Recompletion of Empire #5 Welsh Field, Jefferson Davis
                Parish,
                Louisiana, , executed by and between Miss-Lou, EK Oil Company, Inc.
                (“EK”)
                and Bacque & Bacque, LLC (“Bacque”), as owners, and Allan Singer,
                agreed and accepted on November 22,
                2006;

            

    

    

    
      	 	
              (d)

            	
              Letter
                Agreement - Recompletion of Empire #5 Welsh Field Jefferson Davis
                Parish,
                Louisiana, executed by and between Miss-Lou, EK and Bacque, as owners,
                and
                Ronald S. D’Antoni, agreed to and accepted on November 20,
                2006;

            

    

    

    
      	 	
              (e)

            	
              Letter
                Agreement - Recompletion of Empire #5 Welsh Field Jefferson Davis
                Parish,
                Louisiana, executed by and between Miss-Lou, EK and Bacque, as owners,
                and
                Gary Brozowski, agreed to and accepted on November ___,
                2006;

            

    

    

    
      	 	
              (f)

            	
              Letter
                Agreement - Recompletion of Empire #5 Welsh Field Jefferson Davis
                Parish,
                Louisiana, executed by and between Miss-Lou, EK and Bacque, as owners,
                and
                Steven Sinek, agreed to and accepted on November 23, 2006;
                and

            

    

    

    
      	 	
              (g)

            	
              Letter
                Agreement - Plymouth Resource Group II, Inc. - Empire No. 5 Welsh
                Field,
                Jefferson Davis Parish, Louisiana, executed by and between Miss-Lou,
                EK
                and Bacque, as owners, and Boyd Byers, agreed to and accepted on
                February
                13, 2007. 

            

    

    

    
      	 	
              (6)

            	
              CONSENTS
                TO ASSIGN AND/OR PREFERENTIAL RIGHTS TO PURCHASE.
                Seller represents to Buyer that the Assets are not subject to any
                third
                party preferential rights to purchase, rights of first refusal, other
                rights of preference in favor of third persons, restrictions on
                assignment, or consents to assign except (i) to the extent applicable,
                the
                approval of the State Mineral Board of the State of Louisiana with
                respect
                to any transfer of a state lease, which governmental approval must
                be
                obtained subsequent to the execution of the Assignment and Closing,
                and
                (ii) the approval of North American Land Company, L.L.C. with respect
                to
                the North American Lease, as discussed under Section (32)
                below.

            

    

    

    
      	 	
              (7)

            	
              INDEMNIFICATION.
                If
                Closing occurs, Buyer shall assume full responsibility for the Assets
                on
                and after the Effective Time and shall fully defend, protect, indemnify
                and hold Seller, its officers, directors, employees and agents, harmless
                (and keep Seller, its officers, directors, employees and agents,
                harmless)
                from and against any and all losses, claims, demands, suits, expenses,
                including reasonable attorney’s fees, court costs and costs of
                investigation, causes of action, and any sanctions of any kind and
                character (including reasonable attorney’s fees, court costs and cost of
                investigation) which may be made or asserted by Buyer, Buyer’s assigns,
                Buyer’s employees, agents, contractors and subcontractors and employees
                thereof, or by any third persons, on account of personal injury,
                death or
                property damage, including claims for pollution, environmental damage,
                and
                regulatory compliance, any fines or penalties assessed on account
                of such
                damage and causes of action alleging statutory liability, caused
                by,
                arising out of, or in any way incidental to the ownership of or operations
                conducted on the Subject Properties on and after the Effective Time.
                Further, Buyer expressly assumes Seller’s proportionate share of all
                costs, expenses, obligations and liabilities associated with the
                proper
                plugging and abandonment and removal of all wells and facilities,
                if any,
                presently situated on the Subject
                Properties.

            

    

    

    
      	 	 	
              If
                Closing occurs, Seller
                agrees to fully defend, protect, indemnify and hold Buyer, its officers,
                directors, employees and agents, harmless (and keep Buyer, its officers,
                directors, employees and agents, harmless) from and against any and
                all
                losses, claims, demands, suits, expenses, including reasonable attorney’s
                fees, court costs and cost of investigation, causes of action, and
                any
                sanctions of any kind and character (including reasonable attorney’s fees,
                court costs and cost of investigation) which may be made or asserted
                by
                Seller, Seller’s employees, agents, contractors and subcontractors and
                employees thereof, or by any third persons, on account of personal
                injury,
                death or property damage, including claims for pollution, environmental
                damage, and regulatory compliance, any fines or penalties assessed
                on
                account of such damage and causes of action alleging statutory liability,
                caused by, arising out of or in anyway incidental to the ownership
                of, or
                operations connected on the Subject Properties for the period from
                August
                1, 2003, to the Effective Time. 

            

    

    

    
      	 	
              (8)

            	
              EXPENSES
                AND REVENUES.
                It
                is understood and agreed by and between Seller and Buyer that prior
                to the
                Effective Time, Seller shall be responsible for all costs and expenses
                attributable to the Assets and shall be entitled to all production
                and/or
                production proceeds attributable to the Assets. Further, Seller and
                Buyer
                agree that on and after the Effective Time, Buyer shall be responsible
                for
                all costs and expenses attributable to the Assets and shall be entitled
                to
                all production and/or production proceeds attributable to the Assets.
                Any
                revenues and/or expenses not properly accounted for or credited to
                the
                Parties prior to the Closing Date with respect to the Assets shall
                be the
                subject of a post-closing settlement which shall be made between
                the
                Parties within 120 days from the Closing
                Date.

            

    

    

    
      	 	
              (9)

            	
              FILING
                EXPENSES.
                Buyer,
                at its expense, shall be solely responsible for filing of the Assignment
                in the appropriate public records. Buyer shall furnish Seller with
                a copy
                of the Assignments reflecting all appropriate recordation
                references.

            

    

    

    
      	 	
              (10)

            	
              COMPLIANCE
                WITH LAWS.
                Buyer shall comply with all applicable laws, ordinances, rules and
                regulations and shall promptly obtain all permits, if any, required
                by
                public authorities in connection with the purchase of the Assets.
                Seller
                represents and warrants that, to the best of its knowledge, it has
                complied with all laws, ordinances, rules, regulations and orders
                applicable to the Assets with respect to and during the period of
                its
                ownership of the Assets.

            

    

    

    
      	 	
              (11)

            	
              NO
                BROKER FEES.
                Each Party represents and warrants to the other that no brokerage
                fee or
                commission pertaining to the transactions provided for in this Agreement
                exists. 

            

    

    

    
      	 	
              (12)

            	
              REPRESENTATIONS
                AND WARRANTIES OF SELLER.
                Seller represents and warrants to Buyer
                that:

            

    

    

    
      	 	
              (a)

            	
              Seller
                is a limited liability company duly organized, validly existing and
                in
                good standing under the laws of the State of Louisiana, Seller has
                full
                legal power, right and authority to carry on it business as same
                is now
                being conducted and has the full legal power, authority and right
                to enter
                into this Agreement and perform the transactions contemplated
                hereby.

            

    

    

    
      	 	
              (b)

            	
              The
                consummation of the transactions contemplated by this Agreement will
                not
                result in the creation or imposition of any lien, charge or other
                encumbrance upon the Assets and will not violate, nor be in conflict
                with:
                (i) any provision of Seller’s organizational papers or documents; (ii) any
                material agreement or instrument to which Seller is a party or by
                which
                Seller or any of the Assets are bound (iii) any judgment, order,
                ruling or
                decree applicable to Seller as a party in interest or any law, rule
                or
                regulation applicable to Seller.

            

    

    

    
      	 	
              (c)

            	
              The
                execution, delivery and performance of this Agreement, the execution
                and
                delivery of the Assignment, and the transactions contemplated hereby
                are
                duly and validly authorized by all requisite company action on the
                part of
                Seller. This Agreement constitutes the legal, valid and binding obligation
                of Seller enforceable in accordance with its
                terms.

            

    

    

    
      	 	
              (d)

            	
              There
                is no suit, action, claim, investigation or inquiry by any person
                or
                entity or by any administrative agency or governmental body and there
                are
                no legal, administrative or arbitration proceedings pending or, to
                Seller’s knowledge, threatened against Seller that will have a material
                adverse effect on the use, ownership or operation of the Assets.
                

            

    

    

    

    
      	 	
              (13)

            	
              REPRESENTATIONS
                AND WARRANTIES OF BUYER.
                Buyer represents and warrants to Seller
                that:

            

    

    

    
      	 	
              (a)

            	
              Buyer
                is a corporation duly organized, validly existing and in good standing
                under the laws of the State of Texas, Buyer has full legal power,
                right
                and authority to carry on it business as same is now being conducted
                and
                has the full legal power, authority and right to enter into this
                Agreement
                and perform the transactions contemplated
                hereby.

            

    

    

    
      	 	
              (b)

            	
              The
                consummation of the transactions contemplated by this Agreement will
                not
                violate, nor be in conflict with, any provision of Buyer’s articles or
                certificate of incorporation or by-laws, any judgment, order, ruling
                or
                decree applicable to Buyer as a party in interest or any law, rule
                or
                regulation applicable to Buyer.

            

    

    

    
      	 	
              (c)

            	
              The
                execution, delivery and performance of this Agreement and the transactions
                contemplated hereby are duly and validly authorized by all requisite
                corporate action on the part of Buyer. This Agreement constitutes
                the
                legal, valid and binding obligation of Buyer enforceable in accordance
                with its terms.

            

    

    

    
      	 	
              (d)

            	
              There
                is no suit, action, claim, investigation or inquiry by any person
                or
                entity or by any administrative agency or governmental body and there
                are
                no legal, administrative or arbitration proceedings pending or, to
                Buyer’s
                knowledge, threatened against Buyer that will have a material adverse
                effect on the use, ownership or operation of the Assets.
                

            

    

     

    
      	 	
              (14)

            	
              SELLER’S
                CONDITIONS TO CLOSE.
                Seller’s obligation to consummate the transactions provided for herein is
                subject, at the option of Seller, to satisfaction or waiver on or
                prior to
                the Closing Date of each of the following
                conditions:

            

    

    

    
      	 	
              (a)

            	
              The
                representations and warranties of Buyer herein contained shall be
                true and
                correct in all material respects on the Closing Date as though made
                on and
                as of such date.

            

    

    

    
      	 	
              (b)

            	
              Buyer
                shall have performed all material obligations, covenants and agreements
                contained in this Agreement to be performed or complied with by it
                at or
                prior to Closing. 

            

    

    

    
      	 	
              (c)

            	
              No
                suit, action or other proceedings shall be pending or threatened
                that
                seeks to restrain, enjoin or otherwise prohibit the consummation
                of the
                transactions contemplated by this
                Agreement.

            

    

    

    
      	 	
              (15)

            	
              BUYER’S
                CONDITIONS TO CLOSE.
                Buyer’s obligation to consummate the transactions provided for herein is
                subject, at the option of Buyer, to satisfaction or waiver on or
                prior to
                the Closing Date of each of the following
                conditions:

            

    

    

    
      	 	
              (a)

            	
              The
                representations and warranties of Seller herein contained shall be
                true
                and correct in all material respects on the Closing Date as though
                made on
                and as of such date.

            

    

    

    
      	 	
              (b)

            	
              Seller
                shall have performed all material obligations, covenants and agreements
                contained in this Agreement to be performed or complied with by it
                at or
                prior to Closing. 

            

    

    

    
      	 	
              (c)

            	
              No
                suit, action or other proceedings shall be pending or threatened
                that
                seeks to restrain, enjoin or otherwise prohibit the consummation
                of the
                transactions contemplated by this
                Agreement.

            

    

    

    
      	 	
              (d)

            	
              Buyer
                shall have completed its title verification efforts with respect
                to
                Seller’s title to the Subject Properties and shall have verified that
                Seller owns the interests in and to the Subject Properties represented
                and
                warranted herein and such ownership is free and clear of any liens
                or
                encumbrances placed thereon by
                Seller.

            

    

    

    
      	 	
              (16)

            	
              CLOSING.
                If
                the conditions referred to in Sections (14) and (15) of this Agreement
                have been satisfied or waived in writing, consummation of the transactions
                contemplated by this Agreement (“Closing”)
                shall take place at the offices of Seller in Covington, Louisiana,
                or at
                such place and time as the Parties may mutually agree. The date on
                which
                the Closing occurs (the “Closing
                Date”)
                shall be June 18, 2007, on or before 10:30 a.m. unless an earlier
                or later
                date is mutually agreed to by the Parties.

            

    

    

    
      	 	
              (17)

            	
              CLOSING
                ACTIVITIES.
                If
                Closing occurs, at Closing (or such later date expressly set forth
                below):

            

    

    

    
      	 	
              (a)

            	
              Seller
                and Buyer shall execute multiple originals of the Assignment and
                such
                other letters or instruments, including letters in lieu of transfer
                orders, as may be necessary in order to convey the Assets to Buyer
                and
                entitle Buyer to receive all production proceeds attributable to
                the
                Subject Properties;

            

    

    

    
      	 	
              (b)

            	
              Buyer
                shall deliver to Seller the Purchase Price, subject to any adjustments
                mutually agreed to by the Parties, by wire transfer in immediately
                available funds to the bank designated in writing by Seller prior
                to
                Closing; 

            

    

    

    
      	 	
              (c)

            	
              Within
                14 days from Closing, Seller shall deliver to Buyer copies of all
                files,
                contracts and documents affecting Seller’s title to the Subject Properties
                to which Seller has access; 

            

    

    

    
      	 	
              (d)

            	
              Seller
                shall deliver to Buyer such executed forms as are required from Seller
                in
                order that Buyer may succeed Seller, if applicable, as the operator
                of the
                Subject Properties;

            

    

    

    
      	 	
              (e)

            	
              Seller
                shall execute such other instruments and take such other action as
                may be
                necessary to carry out its obligations under this Agreement;
                and

            

    

    

    (f) Buyer
      shall execute such other instruments and take such other action as may be
      necessary to carry out its obligations under this Agreement.  

    

    
      	 	
              (18)

            	
              TAXES.
                All ad valorem taxes, real property taxes, personal property taxes
                and
                similar obligations (“Property
                Taxes”)
                attributable to the Assets shall be apportioned as of the Effective
                Time
                between Seller and Buyer regardless of the date on which such taxes
                are
                assessed and/or payable. The owner of record on the assessment date
                shall
                file or cause to be filed all required reports and returns incident
                to the
                Property Taxes and shall pay or cause to be paid to the taxing authorities
                all Property Taxes relating to the tax periods during which the Effective
                Time occurs. Each Party to this Agreement shall provide the other
                Party
                with reasonable access to all relevant documents, data and other
                information (other than that which is subject to an attorney-client
                privilege) which may be required by the other Party for the purpose
                of
                preparing tax returns, filing refund claims and responding to any
                audit by
                any taxing jurisdiction. Each Party to this Agreement shall cooperate
                with
                all reasonable requests of the other Party made in connection with
                contesting the imposition of taxes. Notwithstanding anything to the
                contrary in this Agreement, neither Party to this Agreement shall
                be
                required at any time to disclose to the other Party any tax return
                or
                other confidential tax information. Except where disclosure is required
                by
                applicable law or judicial order, any information obtained by a Party
                pursuant to this Section (18) shall be kept confidential by such
                Party,
                except to the extent disclosure is required in connection with the
                filing
                of any tax returns or claims for refund or in connection with the
                conduct
                of an audit, or other proceedings in response to an audit, by a taxing
                jurisdiction.

            

    

    

    
      	 	
              (19)

            	
              TERMINATION.
                This Agreement and the transactions contemplated hereby may be terminated:
                

            

    

     

    
      	 	
              (a)

            	
              At
                any time at or prior to Closing by Buyer, in accordance with Section
                (2),
                by the delivery of written notice to
                Seller;

            

    

    

    
      	 	
              (b)

            	
              At
                any time at or prior to Closing by mutual consent of Seller and Buyer;
                or

            

    

    

    
      	 	
              (c)

            	
              At
                any time at or after June 20, 2007, by Seller or Buyer, by the delivery
                of
                written notice to the other Party, if Closing shall not have occurred
                by
                such date;

            

    

     

    provided,
      however, that no such Party may exercise any right of termination pursuant
      to
      this Section (19) if the event giving rise to such termination right shall
      be
      due to the willful failure of such Party to perform or observe in any material
      respect any of the covenants or agreements set forth herein to be performed
      or
      observed by such Party.

    

    
      	 	
              (20)

            	
              EFFECT
                OF TERMINATION.
                If this Agreement is terminated pursuant to Section (19), this Agreement
                shall become void and of no further force or effect (except for the
                provisions of Sections (21) through (32), which shall survive such
                termination and continue in full force and effect); provided, however,
                that, if either Party is in default of its obligations under this
                Agreement at the time this Agreement is so terminated, such defaulting
                Party shall continue to be liable to the other Party for damages
                (but in
                no event for specific performance) in respect of such default and
                such
                liability shall not be affected by such termination.
                

            

    

    

    
      	 	
              (21)

            	
              GOVERNING
                LAW.
                THIS AGREEMENT AND ALL INSTRUMENTS EXECUTED IN ACCORDANCE WITH IT
                SHALL BE
                GOVERNED BY AND INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE STATE
                OF
                LOUISIANA, WITHOUT REGARD TO CONFLICT OF LAW RULES THAT WOULD DIRECT
                APPLICATION OF THE LAWS OF ANOTHER JURISDICTION, EXCEPT TO THE EXTENT
                THAT
                IT IS MANDATORY THAT THE LAW OF SOME OTHER JURISDICTION, WHEREIN
                THE
                ASSETS ARE LOCATED, SHALL APPLY.
                The laws of the state wherein the Leasehold Interests are located
                shall
                control as to all matters pertaining to title and to the evaluation
                of
                encumbrances placed upon such Leasehold Interests pursuant to Section
                (5)
                herein. 

            

    

    

    
      	 	
              (22)

            	
              ENTIRE
                AGREEMENT.
                This
                Agreement, including all Exhibits attached hereto and made a part
                hereof
                constitute the entire agreement between the Parties with respect
                to the
                subject matter hereof and thereof and supersede all prior agreements,
                understandings, negotiations and discussions, whether oral or written,
                of
                the Parties with respect to same (including, without limitation,
                the
                Binding Letter of Intent executed by the Parties and dated April
                2, 2007).
                No supplement, amendment, alteration, modification, waiver or termination
                of this Agreement shall be binding unless executed in writing by
                the
                Parties. 

            

    

    

    
      	 	
              (23)

            	
              NO
                WAIVER.
                No
                waiver of any of the provisions of this Agreement shall be deemed
                or shall
                constitute a waiver of any other provisions hereof (whether or not
                similar), nor shall such waiver constitute a continuing waiver unless
                otherwise expressly provided. 

            

    

    

    
      	 	
              (24)

            	
              CAPTIONS.
                The
                captions in this Agreement are for convenience only and shall not
                be
                considered a part of or affect the construction or interpretation
                of any
                provision of this Agreement.

            

    

    

    
      	 	
              (25)

            	
              SUCCESSORS
                AND ASSIGNS.
                This
                Agreement shall be binding upon Seller and Buyer and upon their respective
                successors, assigns, and legal representatives.

            

    

    

    
      	 	
              (26)

            	
              NOTICES.
                Any
                notice provided or permitted to be given under this Agreement shall
                be in
                writing, and may be served by personal delivery or by depositing
                same in
                the mail, addressed to the Party to be notified, postage prepaid,
                and
                registered or certified with a return receipt requested. Notice deposited
                in the mail in the manner hereinabove described shall be deemed to
                have
                been given and received on the date of the delivery as shown on the
                return
                receipt. Notice served in any other manner shall be deemed to have
                been
                given and received only if and when actually received by the addressee,
                except that notice given by telecopier shall be deemed given and
                received
                upon receipt only if received during normal business hours and if
                received
                other than during normal business hours shall be deemed received
                as of the
                opening of business on the next Business Day(such term means a day,
                other
                than a Saturday or Sunday, on which commercial banks are open for
                business
                with the public in Houston, Texas). For purposes of notice, the addresses
                of the parties shall be as follows:

            

    

     

    For
      Seller:

     

    Miss-Lou
      Petroleum LLC

    225
      North
      Columbia Street   

    Covington,
      Louisiana 70433   

    Attn:
      Ruben A. Shealy

    Telecopy
      No.: 985/871-5199

     

    For
      Buyer:

     

    Affiliated
      Holdings, Inc.

    5075
      Westheimer Road, Suite 975

    Houston,
      Texas 77056

    Attn:
      Kevan Casey, President

    Telecopy
      No.: 713/402-6799

     

    Each
      Party shall have the right, upon giving 10 days’ prior notice to the other in
      the manner hereinabove provided, to change its address for purposes of notice.
      

     

    
      	 	
              (27)

            	
              EXPENSES.
                Except
                as otherwise provided herein, each Party shall be solely responsible
                for
                all expenses incurred by such Party in connection with the transactions
                contemplated by this Agreement (including, without limitation, fees
                and
                expenses of its own counsel and consultants).

            

    

     

    
      	 	
              (28)

            	
              PUBLICITY.
                With
                regard to all publicity and other releases issued at or prior to
                Closing
                concerning this Agreement and the transactions contemplated hereby,
                neither Party shall issue any publicity or other release without
                the prior
                written consent of the other Party, except as required by applicable
                law
                or the applicable rules or regulations of any governmental body or
                stock
                exchange. 

            

    

     

    
      	 	
              (29)

            	
              NO
                THIRD-PARTY BENEFICIARY.
                Except
                as expressly provided herein, this Agreement is not intended to create,
                nor shall it be construed to create, any rights in any third party
                under
                doctrines concerning third-party beneficiaries.

            

    

     

    
      	 	
              (30)

            	
              LIMITATION
                OF DAMAGES.
                Notwithstanding
                any other provision of this Agreement (or any other agreement related
                hereto) to the contrary, in no event shall either Party be liable
                to the
                other or entitled to recover incidental, consequential, special,
                indirect,
                multiple, statutory, exemplary or punitive damages.
                

            

    

     

    
      	 	
              (31)

            	
              SURVIVAL.
                The
                warranties, covenants and obligations of the Parties under this Agreement
                shall survive the Closing. The limited warranty of title in the Assignment
                shall survive closing and shall not expire. The representations of
                the
                Parties made in this Agreement shall survive the Closing except that
                the
                representation of Seller set forth and contained in Section (6) shall
                survive Closing but thereafter terminate at the expiration of four
                (4)
                years after Closing. The limitation of damages contained in Section
                (30)
                shall survive Closing and shall not expire.

            

    

     

    
      	 	
              (32)

            	
              NORTH
                AMERICAN LAND COMPANY, L.L.C. OIL AND GAS LEASE.
                Reference is hereby made for all purposes to the Oil and Gas Lease
                identified under item 10. on Exhibit A-1 (the “North
                American Lease”).
                Notwithstanding anything to the contrary set forth in this Agreement,
                Seller currently is entitled to an assignment from Plymouth Resources
                Group, II, Inc. (“Plymouth”)
                of an undivided 50% working interest in and to the North American
                Lease.
                If Closing occurs, Buyer will be entitled to obtain directly from
                Plymouth
                an assignment of such undivided 50% working interest in and to the
                North
                American Lease. To the extent any transfer pursuant to this Agreement
                or
                the planned assignment from Plymouth to Buyer requires the consent
                or
                approval of the Lessor to the North American Lease, obtaining such
                consent
                or approval will not be the responsibility of
                Seller.

            

    

    

    
      	 	
              (33)

            	
              COUNTERPARTS;
                EXHIBITS.
                This
                Agreement may be executed in one or more counterparts, each of which
                shall
                be deemed an original, but all of which together shall constitute
                one and
                the same instrument. All Exhibits attached hereto are hereby made
                a part
                of this Agreement and incorporated herein by this
                reference.

            

    

    

    

    

    [remainder
      of this page intentionally left blank]

    
      
        

        --

        

         

      

      
         

        
          

        

      

      
         

      

    

    

    IN
      WITNESS WHEREOF, this
      Agreement is executed by the undersigned, duly authorized representatives of
      each of the Parties on the date first above written. 

    

    “SELLER”

    

    WITNESSES:     Miss-Lou
      Petroleum LLC

    

    

    ________________________   By:
      /s/  Ruben A. Shealy

                        Ruben
      A. Shealy

    ________________________    Managing
      Member

    (Printed
      Name of Witness)

    

     

    

     

    (Printed
      Name of Witness)

    

    

    “BUYER”

    

    WITNESSES:     Affiliated
      Holdings, Inc.

    

    

    _________________________   By: 
      /s/  Kevan Casey

                        Kevan
      Casey

    _________________________    President

    (Printed
      Name of Witness) 

    

     

    

     

    (Printed
      Name of Witness)

    

    

    

    

    

    
      
        
          

          --

          

        

         

      

      
         

        
          

        

      

      
         

        
          

        

      

    

    

    Exhibit
      A-1

    

    to

    Purchase
      and Sale Agreement

    dated
      effective June 1, 2007

    between

    Miss-Lou
      Petroleum LLC and Affiliated Holdings, Inc.

    

    Oil,
      Gas and Mineral Leases

    

    	1.  	
            Lease
              for Oil, Gas and Other Liquid or Gaseous Minerals, dated January 14,
              1991,
              effective January 14, 1991, by the State of Louisiana, as Lessor, in
              favor
              of Baca Petroleum Corp., as Lessee, recorded in Volume 734 at Page
              304
              under Entry No. 498732 of the Conveyance Records of Jefferson Davis
              Parish, Louisiana. (State Lease No.
              13944)

          

    

    	2.  	
            Oil,
              Gas and Mineral Lease dated October 1, 1990, effective October 1, 1990,
              by
              Welsh Oil Land & Development Company, Inc., as Lessor, in favor of
              Baca Petroleum Corp., as Lessee, recorded in Volume 734 at Page 376
              under
              Entry No. 498757 of the Conveyance Records of Jefferson Davis Parish,
              Louisiana.

          

    

    	3.  	
            Oil,
              Gas and Mineral Lease dated December 17, 1993, effective September
              18,
              1991, by M W Petroleum Corporation, as Lessor, in favor of Baca Petroleum
              Corporation, as Lessee, a Declaration of Oil and Gas Lease being recorded
              in Volume 836 at Page 617 under Entry No. 54218 of the Conveyance Records
              of Jefferson Davis Parish, Louisiana.

          

    

    	4.  	
            Oil,
              Gas and Mineral Lease dated October 31, 2002, effective October 31,
              2002,
              by John Ennis Sorrels, Jr., Trustee, as Lessor, in favor of EK Oil
              Co., as
              Lessee, recorded in Volume 945 at Page 771 under Entry No. 598155 of
              the
              Conveyance Records of Jefferson Davis Parish,
              Louisiana.

          

    

    	5.  	
            Oil,
              Gas and Mineral Lease dated October 31, 2002, effective October 31,
              2002,
              by Gwin Sorrels Jones, as Lessor, in favor of EK Oil Co., as Lessee,
              recorded in Volume 945 at Page 775 under Entry No. 598156 of the
              Conveyance Records of Jefferson Davis Parish,
              Louisiana.

          

    

    	6.  	
            Oil,
              Gas and Mineral Lease dated October 31, 2002, effective October 31,
              2002,
              by John E. Dees, Jr., as Lessor, in favor of EK Oil Co., as Lessee,
              recorded in Volume 945 at Page 780 under Entry No. 598157 of the
              Conveyance Records of Jefferson Davis Parish,
              Louisiana.

          

    

    	7.  	
            Oil,
              Gas and Mineral Lease dated October 31, 2002, effective October 31,
              2002,
              by Nancy Dees Dixon, as Lessor, in favor of EK Oil Co., as Lessee,
              recorded in Volume 945 at Page 784 under Entry No. 598158 of the
              Conveyance Records of Jefferson Davis Parish, Louisiana.
              

          

    

    	8.  	
            Oil,
              Gas and Mineral Lease dated October 31, 2002, effective October 31,
              2002,
              by Susan Dees, as Lessor, in favor of EK Oil Co., as Lessee, recorded
              in
              Volume 945 at Page 788 under Entry No. 598159 of the Conveyance Records
              of
              Jefferson Davis Parish, Louisiana. 

          

    

    	9.  	
            Oil,
              Gas and Mineral Lease dated October 31, 2002, effective October 31,
              2002,
              by Elizabeth Dees Pulley, as Lessor, in favor of EK Oil Co., as Lessee,
              recorded in Volume 945 at Page 792 under Entry No. 598160 of the
              Conveyance Records of Jefferson Davis Parish, Louisiana.
              

          

    

    	10.  	
            Oil
              and Gas Lease dated July 20, 2006, effective July 20, 2006, by North
              American Land Company, L. L. C., as Lessor, in favor of Plymouth Resources
              Group, II, Inc., as Lessee, a Memorandum of which is recorded in Volume
              987 at Page 15 under Entry No. 621315 of the Conveyance Records of
              Jefferson Davis Parish, Louisiana. 

          

    

    

    

    

    
      
        
          

          Ex.
            A-1

        

         

      

      
         

        
          

        

      

      
         

        
          

        

      

    

    

    Exhibit
      A-2

    

    to

    Purchase
      and Sale Agreement

    dated
      effective June 1, 2007

    between

    Miss-Lou
      Petroleum LLC and Affiliated Holdings, Inc.

    

    Wells

    

    

    

    
      	
              Well
                Name

            	
              Serial
                No.

            	
              WI

            	
              NRI

            
	 	 	 	 
	
              Cris
                H 1 RD SUA; SL 13944 

            	
              213584

            	
              50.00%

            	
              37.75%

            
	
              Dees,
                et al #6-D

            	
              148368

            	
              50.00%

            	
              37.50%

            
	
              Dees,
                et al #3-D

            	
              114794

            	
              50.00%

            	
              37.50%

            
	
              Dees,
                et al, #6

            	
              147849

            	
              50.00%

            	
              37.50%

            
	
              Dees,
                et al SWD #3

            	
              113870

            	
              50.00%

            	
              37.50%

            
	
              Empire
                Land #1

            	
              211615

            	
              50.00%

            	
              37.50%

            
	
              Empire
                Land #2

            	
              211764

            	
              50.00%

            	
              37.50%

            
	
              Empire
                Land #3

            	
              213346

            	
              50.00%

            	
              37.50%

            
	
              Farmers
                Oil Fee # 7

            	
              107776

            	
              50.00%

            	
              37.50%

            
	
              Farmers
                Oil Fee # 7-D

            	
              108821

            	
              50.00%

            	
              37.50%

            
	
              Farmers
                Oil Fee #10

            	
              155343

            	
              50.00%

            	
              37.50%

            
	
              Farmers
                Oil Fee #10-D

            	
              156461

            	
              50.00%

            	
              37.50%

            
	
              Farmers
                Oil Fee #11

            	
              186796

            	
              50.00%

            	
              37.50%

            
	
              Farmers
                Oil Fee #2

            	
              102835

            	
              50.00%

            	
              37.50%

            
	
              Farmers
                Oil Fee #4

            	
              104974

            	
              50.00%

            	
              37.50%

            
	
              Farmer’s
                Oil Fee #8

            	
              125640

            	
              50.00%

            	
              37.50%

            
	
              Gulf
                Tabor #5 SWD

            	
              38727

            	
              50.00%

            	
              37.50%

            
	
              T.
                A. Dees #5

            	
              137982

            	
              50.00%

            	
              37.50%

            

    

    

    

    

    

    
      
        
          

          Ex.
            A-2

        

         

      

      
         

        
          

        

      

      
         

        
          

        

      

    

    Exhibit
      A-3

    

    to

    Purchase
      and Sale Agreement

    dated
      effective June 1, 2007

    between

    Miss-Lou
      Petroleum LLC and Affiliated Holdings, Inc.

    

    

    Lands

    Jefferson
      Davis Parish, Louisiana

    

    Township
      9 South, Range 5 West

    

    Tract
      1: Approximately
      139 acres of land, more or less, in Section 27, Township 9 South, Range 5 West,
      in Welsh, Jefferson Davis Parish, Louisiana, more fully described as
      follows:

    

    A. The
      following lots of the Norman C. Craig Subdivision in the Northeast Quarter
      (NE/4) of Section 27, T9S-R5W as follows:

    

    Block
      5: Lots
      7
      through 12

    Block
      6: Lots
      1
      through 12 (All)

    Block
      7: Lots
      1
      through 12 (All)

    Block
      8: Lots
      1
      through 12 (All)

    Block
      9: Lots
      1
      through 12 (All)

    Block
      10: Lots
      1
      through 12 (All)

    Block
      13: Lots
      1
      through 12 (All)

    Block
      14: Lots
      1
      through 12 (All)

    Block
      15: Lots
      1
      through 12 (All)

    

    B.  The
      North
      Half (N/2) of Lot 10 and all of Lots 11, 12, 13, 14, 15 & 16 of Stephens,
      Matthews, Dwiggins and Carrs (S.M.D.C.) Subdivision in the Northwest Quarter
      (NW/4) of Section 27, T9S-R5W; and

    

    C.  That
      portion of the Southeast Quarter (SE/4) of Section 27, T9S-R5W, lying north
      of
      the Louisiana Western Railway Company, railroad right-of-way, extending West
      from the East boundary line of said Southeast quarter of the west line thereof,
      containing nineteen acres, more or less;

    

    Tract
      2: Lots
      51
& 73 of Block A of the Colorado & Texas Oil Company Subdivision in the
      North Half of Southeast Quarter (N/2 SE/4) of Section 21, T9S-R5W; and Lot
      1 of
      Block 5 and Lot 10 of Block 6 of the E. S. Woods Subdivision in the South Half
      of Southeast Quarter (S/2 SE/4) of Section 21, T9S-R5W, situated in Jefferson
      Davis Parish, Louisiana.

    

    Being
      the
      same lands as those acquired by Plymouth Resource Group, II, Inc., from Victory
      Financial Group, Inc. on October 1, 2002, recorded in Book 938, at Page 695,
      under Entry No. 593841 of the Conveyance Records of Jefferson Davis Parish,
      Louisiana; and partially assigned by Plymouth Resource Group, II, Inc. to
      Miss-Lou Petroleum, LLC, on August 1, 2003, recorded in Book 946, at Page 704,
      under Entry No. 598664 of the Conveyance Records of Jefferson Davis Parish,
      Louisiana.

    

    

    

    
      
        
          

          Ex.
            A-3

        

         

      

      
         

        
          

        

      

      
         

        
          

        

      

    

    

    

    Exhibit
      B

    

    ACT
      OF SALE AND ASSIGNMENT

    

    

    STATE
      OF LOUISIANA

    

    PARISH
      OF JEFFERSON DAVIS

    

    

    This
      Act
      of Sale and Assignment (this “Assignment”)
      is
      made and entered into effective as of June 1, 2007 (“Effective
      Time”),
      by
      and between Miss-Lou Petroleum LLC, a Louisiana limited liability company,
      whose
      address is 225 North Columbia Street, Covington, Louisiana 70433 (“Seller”),
      and
      Affiliated Holdings, Inc., a Texas corporation, whose address is 5075 Westheimer
      Road, Suite 975, Houston, Texas 77056 (“Buyer”)(sometimes
      herein Seller and Buyer are collectively called the “Parties”
and,
      individually, called a “Party”).

    

    1.

    

    Reference
      is hereby made for all purposes to that certain Act of Sale and Assignment,
      dated effective as of August 1, 2003, recorded in Conveyance Book 946, Page
      __,
      under File No. 598664, of the records of Jefferson Davis Parish, Louisiana
      (the
“Prior
      Act of Sale and Assignment”),
      executed by Plymouth Resource Group II, Inc. (“Plymouth”)
      in
      favor of Seller, whereby Plymouth conveyed to Seller:

    

    (a) An
      undivided fifty percent (50%) interest in and to the oil, gas and mineral leases
      and other mineral rights and interests described in the attached Exhibit
      A-l,
      together with an undivided fifty percent (50%) interest Plymouth’s rights in
      respect of any pooled, communitized or unitized acreage of which any such
      interest is a part (collectively, the “Leasehold
      Interests”);
      

    

    (b) An
      undivided fifty percent (50%) interest in and to the wells described in the
      attached Exhibit
      A-2
      (the
“Wells”);
      and

    

    (c) An
      undivided fifty percent (50%) interest in and to the immovable property
      described in the attached Exhibit
      A-3
      (the
“Land”).

    

    Such
      undivided interests in and to the Leasehold Interests, the Wells, and the Land
      are: (i) the same undivided interests in and to the properties described in
      the
      Prior Act of Sale and Assignment; and (ii) referred to hereafter as the
“Subject
      Properties”).

    

    2.

    

    NOW,
      THEREFORE,
      for and
      in consideration of the sum of ONE THOUSAND AND NO/100 DOLLARS (($1,000),
      together with other good and valuable consideration, paid by Buyer to Seller,
      the receipt and adequacy of which are hereby acknowledged by Seller, Seller
      does
      hereby and by these presents sell, assign, convey and transfer to Buyer,
      effective, however, as of the Effective Time: 

    

    (a) 
      all of
      its right, title and interest in and to the Subject Properties and in and to
      the
      Prior Act of Sale and Assignment;. 

    

    (b) All
      of
      Seller’s right, title, and interest in and to all of the immovable, movable and
      mixed property of Seller, or in which Seller owns an interest, that is
      attributable or allocable to the Leasehold Interests and used or held for use
      in
      connection with the exploration, development, operation or maintenance of any
      of
      the Leasehold Interests or the production, treatment, measurement, storage,
      gathering, transportation or marketing of oil, gas or other hydrocarbons
      attributable to the Leasehold Interests (or the interests of others therein),
      including, without limitation: (i) all wells, platforms, equipment and
      facilities that, as of the Effective Time were used or held for use in
      connection with the exploration, development, operation or maintenance of any
      Leasehold Interests or the production, treatment, measurement, storage,
      gathering, transportation or marketing of oil, gas or other hydrocarbons
      attributable to the Leasehold Interests, including, without limitation, the
      Wells (including saltwater disposal wells, if any), well equipment, casing,
      tanks, gas separation and field processing units, portable and permanent well
      test equipment, buildings, tubing, pumps, motors, fixtures, machinery,
      materials, supplies, inventory, telephone and communication equipment, computing
      equipment and other equipment, pipelines, gathering systems, power lines,
      telephone and telegraph lines, roads, vehicles, gas processing plants and other
      property used in the operation thereof: (ii) all oil and gas and other
      hydrocarbon volumes produced on or after the Effective Time; and (iii) all
      other
      rights, privileges, benefits, powers, and appurtenances conferred upon Seller
      or
      the owner and holder of the Leasehold Interests, including, without limitation,
      all rights, privileges, benefits and powers of Seller with respect to the use
      and occupation of the surface of, and subsurface depths under, the land covered
      by each Leasehold Interest, which may be necessary, convenient or incidental
      to
      the possession and enjoyment of such Leasehold Interest (collectively, the
      “Related
      Property”); 

    

    (c) All
      of
      Seller’s right, title, and interest in and to all original files, records, data,
      information and documentation of Seller (or if originals are not available,
      copies of such items) pertaining to or evidencing Seller’s use, ownership or
      operation of any of the assets, or the maintenance or operation thereof, or
      to
      any units in which any of the Leasehold Interests may be included or to the
      producing, treating, measuring, processing, storing, gathering, transporting
      or
      marketing of oil and gas attributable to the Leasehold Interests or such units
      and water, brine or other minerals and products produced in association
      therewith, including, without limitation, lease files, land files, well files,
      production sales agreement files, division order files, title opinions and
      abstracts, legal records (excluding any records or information the disclosure
      of
      which would result in the waiver of an attorney-client privilege), tax records,
      financial and accounting records, governmental, tribal and regulatory filings
      and permits, environmental records, and, except to the extent the transfer
      thereof may not be made without violating applicable contractual restrictions,
      geological and geophysical data, seismic records, production reports, maps,
      and
      computer software (collectively, the “Records”);
      and

    

    (d) All
      rights of Seller in and to those instruments and agreements listed on
Exhibit
      A-l
      hereto
      and in Section 4 of this Agreement, the other instruments and agreements under
      which Seller’s interests in the Leasehold Interests arise, and all other
      agreements and contractual rights, easements, rights-of-way, servitudes, and
      other rights, privileges, and benefits to the extent relating to the Leasehold
      Interests, the Wells, the Land, and the Records, including, without limitation,
      all rights of Seller in, to and under or derived from all production sales
      contracts, operating agreements, pooling, unitization or communitization
      agreements, purchase, exchange or processing agreements, production handling
      agreements, surface leases, easements or rights-of-way, farmout or farmin
      agreements, dry hole or bottom hole contribution agreements, seismic agreements,
      permits, licenses, options, orders and all other contracts, agreements and
      instruments relating to the exploration for, or the development, production,
      storage, gathering, treatment, transportation, processing, or sale or disposal
      of oil, gas, other hydrocarbons, other minerals, water, brine or other
      substances from any Leasehold Interest or any units of which they are a part
      (collectively, the “Rights”)
      (the
      Subject Properties, the Related Property, the Records, and the Rights are herein
      collectively called the “Assets”).

    

    TO
      HAVE
      AND TO HOLD the Assets unto Buyer and its successors and assigns forever, and,
      and this Assignment is made with full rights of substitution and subrogation
      of
      Buyer in and to all indemnifications, covenants, and warranties by others
      heretofore given or made with respect to the Assets, subject to the following
      terms and conditions:

    

    

    (a) Except
      with respect to matters to which this Assignment is made subject, Seller does
      hereby bind itself and its successors and assigns to WARRANT AND FOREVER DEFEND
      the interests in and to the Assets as set forth on Exhibits A-1 and A-2 against
      every person whomsoever lawfully claiming the same or any part thereof by,
      through, or under Seller, but not otherwise, and does otherwise bind itself
      and
      its successors and assigns to WARRANT AND FOREVER DEFEND all and singular title
      to the Assets unto Buyer, its successors and assigns, against every person
      whomsoever lawfully claiming the same or any part thereof by, through or under
      Seller, but not otherwise; and

    

    

    (b) The
      Assets are free and clear of liens, encumbrances, obligations, or defects which
      arise as a result of actions taken (or effective) or omitted at or prior to
      the
      execution of this Assignment by through or under Seller, and (A) are otherwise
      subject only to contractually binding arrangements which are conventional,
      which
      are customarily experienced in the oil and gas industry, and (B) are not subject
      to any matters which will result in a breach of any representation or warranty
      of Seller made in this Assignment or to be contained in any documents to be
      delivered by Seller and connected with this Assignment.

    

    3.

    

    This
      Assignment is expressly made subject to the terms and provisions of that certain
      Purchase and Sale Agreement dated June 18, 2007, executed by and between Seller
      and Buyer, and all of its terms and provisions are incorporated into this
      Assignment by reference thereto. In the event of a conflict between the terms
      and provisions of the aforementioned Purchase and Sale Agreement and this
      Assignment, the terms and provisions of the Purchase and Sale Agreement shall
      control.

    
      
        

        Ex.
          B

         

      

      
         

        
          

        

      

      
         

      

    

    

    4.

    

    This
      Assignment is expressly made subject to the following contracts or
      agreements:

    

    (a)  The
      Prior
      Act of Sale and Assignment;

    

    (b)  Joint
      Operating Agreement dated November 4, 2006, executed by and between Plymouth,
      as
      Operator, and Seller, as Non-Operator; 

    

    (c) Letter
      Agreement - Recompletion of Empire #5 Welsh Field, Jefferson Davis Parish,
      Louisiana, , executed by and between Miss-Lou, EK Oil Company, Inc. (“EK”) and
      Bacque & Bacque, LLC (“Bacque”), as owners, and Allan Singer, agreed and
      accepted on November 22, 2006;

    

    (d) Letter
      Agreement - Recompletion of Empire #5 Welsh Field Jefferson Davis Parish,
      Louisiana, executed by and between Miss-Lou, EK and Bacque, as owners, and
      Ronald S. D’Antoni, agreed to and accepted on November 20, 2006;

    

    (e) Letter
      Agreement - Recompletion of Empire #5 Welsh Field Jefferson Davis Parish,
      Louisiana, executed by and between Miss-Lou, EK and Bacque, as owners, and
      Gary
      Brozowski, agreed to and accepted on November ___, 2006;

    

    (f) Letter
      Agreement - Recompletion of Empire #5 Welsh Field Jefferson Davis Parish,
      Louisiana, executed by and between Miss-Lou, EK and Bacque, as owners, and
      Steven Sinek, agreed to and accepted on November 23, 2006; and

    

    (g) Letter
      Agreement - Plymouth Resource Group II, Inc. - Empire No. 5 Welsh Field,
      Jefferson Davis Parish, Louisiana, executed by and between Miss-Lou, EK and
      Bacque, as owners, and Boyd Byers, agreed to and accepted on February 13,
      2007.

    

    5.

    

    This
      Assignment shall be binding upon Seller and Buyer and upon their respective
      successors, assigns, and legal representatives and may be executed in any number
      of counterparts.

    

    6.

    

    Seller
      agrees to deliver or cause to be delivered to Buyer any additional instrument
      that Buyer may reasonably request for the purpose of carrying out the intent
      of
      this Assignment. 

    

    7.

    

    The
      references herein to liens, encumbrances, burdens, defects and other matters
      are
      for the purpose of defining the nature and extent of Seller’s warranty and shall
      not be deemed to ratify or create any rights in third parties. Neither this
      Assignment nor any other agreement contemplated hereby shall be deemed to confer
      upon any person not a party hereto or thereto any rights or remedies hereunder
      or thereunder.

    

    8.

    

    THIS
      ASSIGNMENT SHALL BE GOVERNED BY AND INTERPRETED IN ACCORDANCE WITH THE LAWS
      OF
      THE STATE OF LOUISIANA.

    

    IN
      WITNESS WHEREOF,
      Seller
      and Buyer have executed this Assignment effective for all purpose as of the
      Effective Time, in the presence of the undersigned competent witnesses.

    

    SELLER

    

    WITNESSES:     Miss-Lou
      Petroleum LLC

    

    ________________________   By:
      /s/  Ruben A. Shealy

                        Ruben
      A. Shealy

    ________________________    Managing
      Member

    (Printed
      Name of Witness)

    

     

    

     

    (Printed
      Name of Witness)

    BUYER

    

    WITNESSES:     Affiliated
      Holdings, Inc.

    

    _________________________   By:
      /s/  Kevan Casey

                        Kevan
      Casey

    _________________________    President

    (Printed
      Name of Witness) 

    

     

    

     

    (Printed
      Name of Witness)

    
      
        

        Ex.
          B

         

      

      
         

        
          

        

      

      
         

      

    

    

    ACKNOWLEDGMENT

    

    STATE
      OF LOUISIANA

    

    PARISH
      OF ST. TAMMANY

    

    On
      this
      __ day of June, 2007, before me, the undersigned Notary Public, personally
      came
      and appeared Ruben A. Shealy, to me personally known, who, being by me duly
      sworn, did say he is the Managing Member of Miss-Lou Petroleum LLC, and that
      the
      foregoing instrument was signed on behalf of said limited liability company
      by
      authority of its Articles of Organization for the purposes and consideration
      therein expressed, and he did declare and acknowledge the foregoing instrument
      to be his free act and deed and the free act and deed of said limited liability
      company.

    

     

    Notary
      Public

    State
      of
      Louisiana

    Notary
      Name:       

    Notary
      I.D. or La Bar No.:     

    My
      Commission Expires:     

    

    

    ACKNOWLEDGMENT

    

    STATE
      OF TEXAS

    

    COUNTY
      HARRIS

    

    On
      this
      __ day of June, 2007, before me, the undersigned Notary Public, personally
      came
      and appeared Kevan Casey, to me personally known, who, being by me duly sworn,
      did say he is the President of Affiliated Holdings, Inc., and that the foregoing
      instrument was signed on behalf of said corporation by authority of its Board
      of
      Directors for the purposes and consideration therein expressed, and he did
      declare and acknowledge the foregoing instrument to be his free act and deed
      and
      the free act and deed of said corporation.

    

    _________________________  _____ 

    Notary
      Public

    State
      of
      

    Notary
      Name:       

    Notary
      I.D. or Bar No.:     

    My
      Commission Expires:Filed by Bowne Pure Compliance

 

EXHIBIT 10.1

CONSOLIDATED GRAPHICS, INC.

LONG-TERM INCENTIVE PLAN, AS AMENDED

RESTRICTED STOCK UNIT AGREEMENT

For [Executive]

This Restricted Stock Unit Agreement (“Agreement”) is executed and made effective as of [Date]
(“Grant Date”) by and between Consolidated Graphics, Inc. (“Company”) and [Executive]
(“Executive”). Any capitalized term used but not defined herein shall have the meaning given such
term in the Consolidated Graphics, Inc. Long-Term Incentive Plan, as amended (“Plan”).

1. Grant of Restricted Stock Units. Pursuant to the Plan, Executive is hereby awarded
restricted stock units covering [number of] shares of Common Stock (“RS Units”). On any day, the
value of an RS Unit shall equal the Fair Market Value of a share of Common Stock of the Company.
All of the RS Units shall be subject to the prohibition on the transfer of the RS Units and the
obligations to forfeit the RS Units to the Company (“Forfeiture Obligations”), as set forth in
Section 4 of this Agreement. The number of any then-outstanding RS Units shall be adjusted
pro-rata for any stock dividend, split or reverse-split enacted by the Company subsequent to the
Grant Date.

2. Effect of the Plan. The RS Units awarded to Executive are subject to all of the terms and
conditions of the Plan, which terms and conditions are incorporated herein for all purposes, and of
this Agreement, together with all rules and determinations from time to time issued by the Board of
Directors of the Company (“Board”) and/or the Compensation Committee of the Board (“Committee”)
pursuant to the Plan which are either (i) mandated by law or applicable statute, (ii) not adverse
to Executive (by reference to the applicable provisions as of the Grant Date) or (iii) consented to
by Executive.

3. Vesting of RS Units. Pursuant to the provisions of paragraph (c) of Section 4 below, the
RS Units shall be deemed to vest ratably in equal increments on each [Calendar day] date following
the Grant Date through [Date].

4. Restrictions. Executive hereby accepts the award of the RS Units and agrees with respect
thereto as follows:

(a) No Transfer. Unless otherwise determined by the Committee, the RS Units shall not
be sold, assigned, pledged, exchanged, hypothecated or otherwise transferred except by will
or the laws of descent and distribution. Any attempted assignment of an RS Unit in
violation of this Agreement shall be null and void. The Company shall not be required to
honor the transfer of any RS Units that have been sold or otherwise transferred in violation
of any of the provisions of this Agreement or the Plan.

 

 

 

(b) Forfeiture Obligations. [Except as otherwise provided in Executive’s employment
agreement dated [Date] (the “Employment Agreement” or Executive’s change in control
agreement dated [Date], (the “Change in Control Agreement” and together with the Employment
Agreement, the “Executive Agreements”)], if Executive’s employment with the Company
terminates before all RS Units have vested, Executive (or Executive’s estate, as applicable)
shall, for no consideration, forfeit to the Company all RS Units that have not vested as of
the date of such termination.

(c) Lapse of Forfeiture Obligations/Vesting. [Except as otherwise provided in the
Executive Agreements], if Executive provides continuous service to the Company until
[calendar day] of the calendar year immediately preceding the [first, et al.] anniversary of
the Grant Date, the Forfeiture Obligations will lapse with respect to, and Executive shall
be deemed to be vested in, [cumulative % by vesting period], respectively, of the RS Units.
In each case, the number of RS Units with respect to which the Forfeiture Obligations will
lapse and be deemed to be vested as a result will, as necessary, be rounded up to the next
whole RS Unit.

(d) No Rights of a Stockholder. Other than the rights provided in this Agreement,
Executive shall not have any rights of a stockholder of the Company until such RS Units have
vested and the related shares of Common Stock of the Company have been issued pursuant to
the terms of this Agreement.

(e) Issuance of Common Stock. The Company will issue to Executive the shares of Common
Stock underlying the vested RS Units on the date determined pursuant to the provisions of
Section [9] below. Evidence of the issuance of the Common Stock pursuant to this Agreement
may be accomplished in such manner as the Company or its authorized representatives shall
deem appropriate, including without limitation electronic registration, book-entry
registration or issuance of a certificate or certificates in the name of Executive or in the
name of such other party or parties as the Company and its authorized representatives shall
deem appropriate. If the Common Stock issued pursuant to this Agreement [(including the
Executive Agreements)] remains subject to any additional restrictions, the Company and its
authorized representatives shall be entitled to take such actions as reasonably necessary to
ensure that Executive is prohibited from entering into any transaction which would violate
any such restrictions, until such restrictions lapse.

5. Community Interest of Spouse. The community interest, if any, of any spouse of Executive
in any of the RS Units shall be subject to all of the terms, conditions and restrictions of this
Agreement and the Plan, and shall be forfeited and surrendered to the Company upon the occurrence
of any of the events requiring Executive’s interest in such RS Units to be so forfeited and
surrendered pursuant to this Agreement.

6. Binding Effect. This Agreement shall be binding upon and inure to the benefit of any
successors to the Company and all persons lawfully claiming under Executive.

7. [Executive Agreements. Notwithstanding any language in this Agreement to the contrary, to
the extent of any conflict between this Agreement and the Executive Agreements,
the terms of the Executive Agreements shall control (except with respect to the provisions of
Section 9 below which shall control).]

 

2

 

8. Required Withholding. The Executive acknowledges that the lapse of forfeiture
obligations/vesting of the RS Units as set forth in paragraph (c) of Section 4 and the issuance of
Common Stock by the Company pursuant to paragraph (e) of Section 4 above (either or both being a
“Withholding Event”) shall be subject to the satisfaction of all applicable federal, state and
local income and employment tax withholding requirements (“Required Withholding”). By execution of
this Agreement, Executive shall be deemed to have authorized the Company to withhold from the
Common Stock issued pursuant to this Agreement [(and including the Executive Agreements)], the
shares of Common Stock necessary to satisfy Executive’s Required Withholding, if any. The amount
of the Required Withholding and the number of shares of Common Stock required to satisfy
Executive’s Required Withholding, if any, as well as the amount reflected on tax reports filed by
the Company, shall be based on the closing price of the Common Stock on the day that a Withholding
Event occurs. Notwithstanding the foregoing, the Company shall give notice to the Executive of the
amount of Required Withholding in connection with each Withholding Event and Executive shall have
the option to satisfy Executive’s Required Withholding by making payment of cash to the Company
within five (5) business days of receiving such notice. The obligations of the Company under this
Agreement shall be conditioned on such satisfaction of the Required Withholding by Executive.

9. Date of Issuance of Common Stock. The Company will issue to Executive the shares of Common
Stock underlying the vested RS Units on the date elected by Executive on the Election Agreement
attached hereto as Exhibit A or, if no such Election Agreement is attached hereto, on the earliest
of the following dates: (i) the Executive’s [separation from service with the Company]
[“Termination Date,” as such term is currently defined in the Employment Agreement (excluding,
however, clause
 _____ 
from such definition);] [(ii) a “Change in Control,” as such term is currently
defined in the Change in Control Agreement (excluding, however, clauses
 _____ 
and
 _____ 
from such
definition);] or (iii) the [calendar date] (or if [calendar date] shall fall on a Saturday, Sunday
or federal holiday, the first business day thereafter) next following the end of the calendar year
in which the Forfeiture Obligations lapse pursuant to paragraph (c) of Section 4 [(or otherwise are
vested pursuant to the terms of the Executive Agreements)]. Notwithstanding the foregoing, if
Executive is a “specified employee” (as defined in Internal Revenue Code Section 409A(a)(B)(i)) any
issuance of the Common Stock on account of a separation from service with the Company (other than
death) shall be delayed until the date that is six (6) months after the date of the Executive’s
separation from service or, if earlier, the date of Executive’s death during such six (6)-month
period.

10. Tax Consequences. Executive acknowledges that the tax consequences associated with the
award of RS Units and the issuance of Common Stock by the Company to the Executive pursuant to this
Agreement are complex and that the Company has urged Executive to review the federal, state and
local tax consequences thereof with Executive’s own tax advisors. Executive is relying solely on
such advisors and not on any statements or representations of the Company or any of its agents.
Executive understands that Executive (and not the Company) is responsible for Executive’s tax
liability arising as a result of this Agreement [(including the Executive Agreements, as
applicable] and including any such liability arising under Section 409A of the Internal Revenue
Code).

[signature pages follow]

 

3

 

IN WITNESS WHEREOF, the Company has caused this Agreement to be duly executed by an authorized
officer and Executive has executed this Agreement, all as of the date first above written.

	 	 	 	 	 
	 	 	CONSOLIDATED GRAPHICS, INC.
	 
	 	 	 	 
	 

	 	By:	 	 
	 

	 	 	 	 
	 

	 	Name:	 	 
	 

	 	Title:	 	 

 

Signature Page 1 of 2

 

EXECUTIVE ACKNOWLEDGES AND AGREES THAT THE RS UNITS SUBJECT TO THIS AWARD SHALL REMAIN SUBJECT TO
THE FORFEITURE OBLIGATIONS PROVIDED FOR IN THIS AGREEMENT AND THE FORFEITURE OBLIGATIONS SHALL
LAPSE, IF AT ALL, ONLY DURING THE PERIOD OF EXECUTIVE’S SERVICE TO THE COMPANY OR AS OTHERWISE
PROVIDED IN THIS AGREEMENT [OR THE EXECUTIVE AGREEMENTS, AS APPLICABLE] AND NOT THROUGH THE ACT OF
BEING GRANTED THE RS UNITS. EXECUTIVE FURTHER ACKNOWLEDGES AND AGREES THAT NOTHING IN THIS
AGREEMENT OR THE PLAN SHALL CONFER UPON EXECUTIVE ANY RIGHT WITH RESPECT TO FUTURE AWARDS OR
CONTINUATION OF EXECUTIVE’S SERVICE TO THE COMPANY. Executive acknowledges receipt of a copy of
the Plan, represents that Executive is familiar with the terms and provisions thereof, and hereby
accepts the Restricted Stock Unit Award subject to all of the terms and provisions hereof and
thereof. Executive has reviewed this Agreement and the Plan in their entirety, has had an
opportunity to obtain the advice of counsel before executing this Agreement, and fully understands
all provisions of this Agreement and the Plan.

	 	 	 
	 

	 	EXECUTIVE
	 
	 	 
	 
	 	 
	 

	 	 
	 

	 	[Name]
	 
	 	 
	 

	 	Address:
	 
	 	 
	 

	 	 
	 
	 	 
	 

	 	 

 

Signature Page 2 of 2

 

Exhibit A

Election Agreement

I, [Executive], hereby elect to receive and the Company agrees to issue the shares of Common
Stock underlying the vested RS Units granted hereunder on the earliest of the following dates:

	 	 	 	 	 	 	 
	 

	 	o
	 	(i)
	 	my [separation from service with the Company] [Termination Date (as defined in
Paragraph 9 of this Agreement)]; (I understand that if I am a “specified employee”
(as defined in Paragraph 9 of this Agreement, any issuance of the Common Stock on
account of my separation from service (other than death), shall be delayed until the
date that is six (6) months after such separation from service or, if earlier, the date
of my death during such six (6)-month period.)
	 

	 	 	 	 	 	 
	 

	 	o
	 	(ii)
	 	[a Change in Control (as defined in Paragraph 9 of this Agreement)
	 

	 	 	 	 	 	 
	 

	 	o
	 	(iii)]
	 	          , 2   (insert a specified date).

I acknowledge that if I fail to execute this Agreement by [date of agreement], I will receive
the Common Stock on the date specified in Paragraph 9 of this Agreement. I further acknowledge
that I have read Paragraph 10 of this Agreement and I understand that I am responsible for any tax
liability arising under this Agreement, including any liability under Section 409A of the Internal
Revenue Code.

	 	 	 
	 

	 	 
	 

	 	Executive
	 
	 	 
	 

	 	 
	 

	 	Date

	 	 	 
	STATE OF [TEXAS]

	 	§ 
	 

	 	§ 
	COUNTY OF           

	 	§ 

BEFORE ME, the undersigned, a Notary Public in and for said County and State, on this
 _____ 

day of
 _____ 
,
 _____ 
, personally appeared [Executive], to me known to be the identical
person who subscribed his name to the foregoing instrument and acknowledged to me that he executed
the same as his free and voluntary act and deed for the uses and purposes therein set forth.

GIVEN UNDER MY HAND AND SEAL OF OFFICE, the day and year last above written.

	 	 	 
	 

	 	 
	My Commission Expires:

	 	Notary Public in and for the State of [Texas]

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