Document:

SEPARATION
      AND RELEASE AGREEMENT

    

    THIS
      SEPARATION AND RELEASE AGREEMENT (the “Agreement”) is entered into, effective as
      of the last date written below, by and among RICHARD T. HINES (“Director”), RTH
      CONSULTING INC. (“RTH”), and TECHNOCONCEPTS INC. (the “Company”).

    

    WHEREAS,
      Director is the principal of RTH; and

    

    WHEREAS,
      Director and the Company have had a business relationship wherein Director
      has
      been a director (but not an employee) of the Company and RTH provided consulting
      services to the Company; and

    

    WHEREAS,
      Director and RTH have disclosed all material facts with respect to their
      consulting agreement with the Company and with any entity which the Company
      has
      contacted regarding a business relationship, and the Company’s board has
      reviewed all information and ratified and approved such disclosed
      self-interested transactions of Director; and

    

    WHEREAS,
      the consulting agreement between RTH and the Company expired by its own terms
      on
      January 31, 2006; and

    

    WHEREAS,
      amounts are owing to RTH pursuant to the consulting agreement between RTH and
      the Company, but such amounts are in dispute; and

    

    WHEREAS,
      Director wishes to resign amicably from the Company as described herein;
      and

    

    WHEREAS,
      Director, RTH, and the Company wish to end their relationship with all actual
      and potential disputes between them completely and amicably resolved, so that
      there are no disagreements among them:

    

    NOW,
      THEREFORE, in consideration of the mutual covenants contained herein, and in
      consideration of the amounts to be paid by the Company to Director under this
      Agreement, amounts which are disputed by the Company, Director and the Company
      hereby agree as follows:

    

    1.  Resignation
      from Company.
      Director hereby resigns from the Company and shall no longer serve as a director
      of the Company as of the date written below (the “Separation Date”).

    

    2.  Payment
      by Company.
      On the
      Separation Date, the Company shall pay to Director the sum of $108,691.35 by
      certified check or wire transfer.

    

    3.  Stock
      Options.
      The
      Company granted to the Director the vested right to purchase 90,000 shares
      of
      common stock of the Company for an aggregate exercise price of $291,900,
      pursuant to the Company’s 2005 Equity Incentive Plan and the Notice of Stock
      Option Grant dated November 2, 2005 (the “Option Grant”). Such
      right shall remain exercisable in accordance with and subject to the terms
      and
      provisions of the Option Grant and the associated Option Agreement (including
      but not limited to terms relating early expiration following termination of
      employment and/or consulting relationship - the Separation Date shall be
      considered to be the termination date).
      Such
      options shall be subject to the U.S. tax laws. Director acknowledges and agrees
      that he must consult with his own tax advisor or attorney regarding the
      appropriate tax treatment for all of his nonqualified stock options and that
      he
      is not depending on any employee of the Company to provide such advice.

     

    
      
        Separation
          and Release Agreement - Page 1 of 7

      

      
        
        

        
          

        

      

      
         

      

    

    

    4.  Tax
      Liability.
      Director shall be responsible for all tax liability associated with any
      consideration paid pursuant to this Agreement and stock options granted to
      him
      by the Company.

    

    5.  Non-Competition.
      As
      consideration for the payment made pursuant to Section 3 and in order to protect
      the Company’s trade secret and other “confidential information” of the Company
      as described below in Section 7, during a period of one (1) year from the
      Separation Date, Director and RTH shall not, other than with the prior written
      consent of the Board of Directors of the Company, engage, directly or
      indirectly, in any other business activity (whether or not pursued for pecuniary
      advantage) with any company currently commercializing multi-band multi-mode
      RF
      transceiver technology; provided that Director or RTH may own less than two
      percent of the outstanding securities of any such publicly traded competing
      corporation.

    

    6.  Nonsolicitation.
      During
      a period of two (2) years after the Separation Date, without written permission
      from the Company, Director and RTH will not directly or indirectly engage,
      or
      participate in the solicitations of any employee or consultant of the Company
      to
      leave the Company for any reason or to devote less than all of any such
      employee’s efforts to the affairs of the Company.

    

    7.  Nondisclosure.
      During
      the term of this Agreement and thereafter, Director and RTH shall not, without
      the prior written consent of management of the Company, disclose or use for
      any
      purpose confidential information or proprietary data of the Company, except
      as
      required by applicable law or legal process; provided, however, that
“confidential information” shall not include any information known generally to
      the public or ascertainable from public or published information (other than
      as
      a result of unauthorized disclosure by Director or RTH) or any information
      of a
      type not otherwise considered confidential by persons engaged in the same
      business or a business similar to that conducted by the Company. Director and
      RTH agree to deliver to the Company on or before the Separation Date, or at
      any
      other time that the Company may request, all memoranda, notes, plans, records,
      reports and other documents (and copies thereof) relating to the business of
      the
      Company which he may then possess or have under his control (with the exception
      of Director’s list of industry and business contacts, which the Company
      acknowledges shall be retained by Director). 

    

    8.  Nondisparagement.
      The
      parties further agree that from and after the execution of this agreement,
      none
      of the parties will make or publish any statement, written or oral, materially
      disparaging the reputation of any of the other parties or of any of its present
      or future officers, shareholders, subsidiaries or affiliates, or any of such
      parties' respective businesses or products. 

    

    9.  Disclosure.
      Director acknowledges that he is familiar with Item 5.02 of Form 8-K under
      the
      Securities Exchange Act of 1934 (“Item 5.05”) entitled “Departure of Directors
      or Principal Officers; Election of Directors; Appointment of Principal
      Officers.” Director further acknowledges that his resignation is not “because of
      a disagreement with the Registrant” as that phrase is used in Item 5.02 and that
      Director has not and will not furnish the Company with any written
      correspondence as described in Paragraph (a)(2) of Item 5.02. Director
      acknowledges that the Company will file a Form 8-K disclosing Director’s
      resignation, with the following language: “On [date], Richard T. Hines resigned
      as a director of the Company.” Director hereby states that he agrees with such
      disclosure, he has been provided an opportunity by the Company to furnish it
      with a letter stating whether he agrees with the Company's disclosures in
      response to Item 5.02, and he will not furnish the Company with such
      letter.

     

    
      
        Separation
          and Release Agreement - Page 2 of 7

      

      
        
        

        
          

        

      

      
         

      

    

    

    10.  Mutual
      Release.
      Director and RTH acknowledge that the consideration described herein is given
      in
      exchange for their signing this Agreement, and their entitlement to such amounts
      are disputed by the Company. Director and RTH agree that the consideration
      is in
      full satisfaction of any claims, liabilities, demands or causes of action,
      known
      or unknown and he hereby release and forever discharge the Company and each
      of
      its past and present directors, managers, officers, shareholders, agents,
      consultants, advisers, employees, attorneys, servants, parents, subsidiaries,
      employee benefit plans, predecessors, successors and assigns, and each of them
      separately and collectively (the “Releasees”) from any and all claims, liens,
      demands, causes of action, obligations, damages and liabilities of any nature
      whatsoever, known or unknown, that they ever had, now have or may hereafter
      claim to have against the Releasees. The release includes, but is not limited
      to:

    

    (a)
      any
      and all claims arising out of or in connection with the consulting work
      performed by Director and/or RTH, including (but not limited to) claims for
      compensation and/or for a share of any profits or ownership interests in any
      business relationships or other opportunities that may result from or in
      connection with any introductions or other connections made by or through
      Director and/or RTH for or on behalf of the Company;

    

    (b)
      any
      and all claims relating to mental, physical or emotional injuries sustained
      from
      invasion of privacy, to defamation, to interference with prospective economic
      advantage, to intentional or negligent infliction of emotional distress, to
      Director’s engagement or nonengagement by the Company as a consultant or as a
      director, to the termination of his consultancy and directorship, to any status,
      term or condition in such employment, or to any physical or mental harm or
      distress from such engagement or from termination of such
      engagement;

    

    (c)
      any
      and all claims under California or other applicable statutory or decisional
      law
      pertaining to wrongful discharge, discrimination, retaliation or breach of
      contract or breach of public policy;

    

    (d)
      any
      and all claims for costs, expenses or attorneys’ fees; and

    

    (e)
      any
      and all claims relating to the tax obligation for which Director may become
      liable as a result of this Agreement.

    

    The
      Company hereby releases and forever discharges Director, RTH, and each of their
      predecessors, successors, representatives and assigns from any and all claims,
      liens, demands, causes of action, obligations, damages and liabilities of any
      nature whatsoever, known or unknown, that the Company ever had, now has or
      may
      hereafter claim to have against Director or RTH. 

     

    
      
        Separation
          and Release Agreement - Page 3 of 7

      

      
        
        

        
          

        

      

      
         

      

    

    

    Notwithstanding
      the foregoing, execution of this Agreement does not bar any claims for breach
      of
      this Agreement.

    

    11.  Waiver.
      The
      parties expressly waive all rights under Section 1542 of the Civil Code of
      California which provides:

    

    “A
      general release does not extend to claims which the creditor does not know
      or
      suspect to exist in his favor at the time of executing the release, which if
      known by him must have materially affected his settlement with the
      debtor.”

    

    The
      parties agree that the possibility that such unknown claims exist was taken
      into
      account in determining the amount of consideration to be paid for the giving
      of
      this Agreement.

    

    12.  Covenant
      Not To Sue.
      Each
      party covenants and agrees that such party will never, individually or with
      any
      person or in any way, commence or aid in any way, except as required by due
      legal process, prosecute or cause or permit to be commenced or prosecuted,
      any
      action or other proceeding based upon any claim which is released by Section
      10
      of this Agreement. This Agreement shall be deemed breached and a cause of action
      shall be deemed to have accrued immediately upon the commencement or prosecution
      of any action or proceeding contrary to this Agreement.

    

    In
      the
      event of any breach of this Section 12, the non-breaching party shall be
      entitled to recover not only the amount of judgment which may be awarded against
      such releasee, but also all such other damages, costs and expenses as may be
      incurred by such releasee, including court costs, attorneys’ fees and all costs
      and expenses, taxable or otherwise, in preparing the defense of or defending
      against, or seeking or obtaining an abatement of or injunction against, any
      action or proceeding brought in violation of this Section 12 and in prosecuting
      any claim, counterclaim or cross-claim based hereon.

    

    13.  No
      Assignment; Authority.
      The
      parties represent and warrant that no other person had or has or claims any
      interest in the claims referred to in Section 10 above; that they have the
      sole
      right and exclusive authority to execute this Agreement; that they have the
      sole
      right to receive the consideration paid therefor; and that they have not sold,
      assigned, transferred, conveyed or otherwise disposed of any claim or demand
      relating to any matter covered by this Agreement.

    

    14.  No
      Admission.
      The
      parties acknowledge that the payment of consideration, referred to herein,
      is
      made solely for the purpose of purchasing peace and eliminating possible
      involvement in protracted litigation based upon disputed claims that the other
      could make and does not constitute an admission or concession of any liability
      on account of any of said claims, liability for which is expressly denied by
      all
      releasees.

     

    
      
        Separation
          and Release Agreement - Page 4 of 7

      

      
        
        

        
          

        

      

      
         

      

    

    

    15.  Indemnification.
      Notwithstanding his separation from the Company, Director shall continue to
      be
      entitled to indemnification in accordance with the Certificate of Incorporation
      (as amended) and the Bylaws of the Company in effect, as well as any contractual
      indemnification agreements between Director and the Company. Director shall
      remain covered under the Company’s directors and officers insurance policy for
      as long as any such policy covers any other Company executive with respect
      to
      acts occurring prior to termination of Director’s service as a director of the
      Company.

    

    16.  Miscellaneous
      Provisions.

    

    (a) Notice.
      Notices
      and all other communications contemplated by this Agreement shall be in writing
      and shall be deemed to have been duly given when personally delivered or when
      mailed by U.S. certified mail, return receipt requested and postage prepaid.
      In
      the case of Director and RTH, mailed notices shall be addressed to them at
      the
      address from which he most recently communicated to the Company in writing.
      In
      the case of the Company, mailed notices shall be addressed to its corporate
      headquarters, and all notices shall be directed to the attention of its
      CEO.

    

    (b) Waiver.
      No
      provision of this Agreement shall be modified, waived or discharged unless
      the
      modification, waiver or discharge is agreed to in writing and signed by
      Director, RTH, and by an authorized officer of the Company. No waiver by either
      party of any breach of, or of compliance with, any condition or provision of
      this Agreement by the other party shall be considered a waiver of any other
      condition or provision or of the same condition or provision at another
      time.

    

    (c) Whole
      Agreement.
      No
      agreements (including any employment agreement), representations or
      understandings (whether oral or written and whether express or implied) which
      are not expressly set forth in this Agreement have been made or entered into
      by
      either party with respect to the subject matter hereof.

    

    (d) Choice
      of Law.
      The
      validity, interpretation, construction and performance of this Agreement shall
      be governed by the laws of the State of California (other than choice-of-law
      provisions). Captions are for reference only and shall not be used to interpret
      this Agreement.

    

    (e) Disputes.
      The
      parties agree that any and all disputes, claims or controversies arising out
      of
      or relating to this Agreement shall be submitted to JAMS/Endispute or a similar
      dispute resolution service (as may be agreed by the parties), for mediation
      in
      Los Angeles, California, and if the matter is not resolved through mediation,
      then it shall be submitted to JAMS/Endispute, or its successor, for final and
      binding arbitration in Los Angeles, California. 

    

    (i) Mediation.
      Either
      party may commence mediation by providing to JAMS/Endispute and the other party
      a written request for mediation, setting forth the subject of the dispute and
      the relief requested. The mediation will be conducted in accordance with the
      provisions of JAMS/Endispute's "Employment Mediation/Arbitration Rules" in
      effect at the time of filing of the demand for arbitration. The parties will
      cooperate with JAMS/Endispute and with one another in selecting a mediator
      from
      JAMS/Endispute's panel of neutrals, and in scheduling the mediation proceedings.
      The parties covenant that they will participate in the mediation in good faith,
      and that they will share equally in its costs. All offers, promises, conduct
      and
      statements, whether oral or written, made in the course of the mediation by
      any
      of the parties, their agents, employees, experts and attorneys, and by the
      mediator or any JAMS/Endispute employees, are confidential, privileged and
      inadmissible for any purpose, including impeachment, in any arbitration or
      other
      proceeding involving the parties, provided that evidence that is otherwise
      admissible or discoverable shall not be rendered inadmissible or
      non-discoverable as a result of its use in the mediation.

     

    
      
        Separation
          and Release Agreement - Page 5 of 7

      

      
        
        

        
          

        

      

      
         

      

    

    

    (ii) Arbitration.
      Either
      party may initiate arbitration with respect to the matters submitted to
      mediation by filing a written demand for arbitration at any time following
      the
      initial mediation session or 45 days after the date of filing the written
      request for mediation, whichever occurs first. The mediation may continue after
      the commencement of arbitration if the parties so desire. Unless otherwise
      agreed by the parties, the mediator shall be disqualified from serving as
      arbitrator in the case. The parties will cooperate with JAMS/Endispute and
      with
      one another in selecting an arbitrator from JAMS/Endispute's panel of neutrals,
      and in scheduling the arbitration proceedings. The parties covenant that they
      will participate in the arbitration in good faith. The Company shall bear the
      fees and costs of the arbitration proceeding, but each party shall bear its
      own
      attorneys' fees. Both parties are entitled to be represented by counsel at
      the
      arbitration hearing and the rights and remedies otherwise available to the
      parties, if established, under applicable federal, state or local law, shall
      remain available in the arbitration proceeding. The provisions of this Section
      may be enforced by any Court of competent jurisdiction, and the party seeking
      enforcement shall be entitled to an award of all costs, fees and expenses,
      including attorneys fees, to be paid by the party against whom enforcement
      is
      ordered.

    

    (iii) Waiver
      of Right to Litigate in Court.
      By
      agreeing to have all disputes, claims or controversies arising out of or
      relating to Director's employment resolved through the arbitration, Director
      acknowledges his understanding that he is giving up any rights he might possess
      to have those matters litigated in a court or jury trial, including the right
      to
      judicial discovery and appeal except to the extent that they are specifically
      required by law. Director acknowledges his understanding that if he refuses
      to
      submit a claim to arbitration after agreeing to this provision, he may be
      compelled to arbitrate under federal or state law. Director represents that
      he
      has read and understood the foregoing and agrees to submission of all disputes,
      claims or controversies arising out of or relating to this Agreement to neutral
      arbitration in accordance with this Section. Director acknowledges and
      represents that his agreement to this arbitration provision is
      voluntary.

    

    (f) Consultation
      with Counsel.
      Director acknowledges that he has been advised by and consulted with legal
      counsel prior to signing this Agreement and that he is entering into this
      Agreement knowingly and voluntarily.

    

    (g) Severability.
      The
      invalidity or unenforceability of any provision of this Agreement shall not
      affect the validity or enforceability of any other provision hereof, which
      shall
      remain in full force and effect.

     

    
      
        Separation
          and Release Agreement - Page 6 of 7

      

      
        
        

        
          

        

      

      
         

      

    

    

    (h) Assignment
      and Successors.
      Neither
      party shall assign any right or delegate any obligation hereunder without the
      other party’s written consent, and any purported assignment or delegation by a
      party hereto without the other party’s written consent shall be void. This
      Agreement shall be binding upon and inure to the benefit of the Company and
      its
      successors and Director, his heirs, executors, administrators and legal
      representatives.

    

    (i) Counterparts.
      This
      document may be executed in multiple counterparts, each of which shall be
      considered an original. Electronically and/or digitally transmitted facsimile
      signatures shall be deemed valid as originals.

    

    DIRECTOR
      AND RTH EACH ACKNOWLEDGE AND AGREE THAT THEY HAVE BEEN ADVISED THAT THIS
      AGREEMENT IS A BINDING LEGAL DOCUMENT. DIRECTOR AND RTH FURTHER AGREE THAT
      THEY
      HAVE EACH HAD ADEQUATE TIME AND A REASONABLE OPPORTUNITY TO REVIEW THE
      PROVISIONS OF THIS AGREEMENT, HAVE EACH OBTAINED LEGAL ADVICE REGARDING ALL
      ITS
      ASPECTS, AND THAT IN EXECUTING THIS AGREEMENT THEY HAVE EACH ACTED VOLUNTARILY
      AND HAVE NOT RELIED UPON ANY REPRESENTATION MADE BY THE COMPANY OR ANY OF ITS
      EMPLOYEES OR REPRESENTATIVES REGARDING THIS AGREEMENT'S SUBJECT MATTER AND/OR
      EFFECT. DIRECTOR AND RTH EACH ACKNOWLEDGE IT HAS READ AND FULLY UNDERSTANDS
      THIS
      AGREEMENT AND VOLUNTARILY AGREES TO ITS TERMS.

    

    IN
      WITNESS WHEREOF, each of the parties has executed this Agreement, in the case
      of
      the Company by its duly authorized officer.

    

    DATED:
      December 7, 2006

    

    
      	TECHNOCONCEPTS INC. 	 	
              RTH
                CONSULTING INC.

            
	 	 	 	 
	 	 	 	 
	By: 
              /s/	 	
               By:

            	/s/
	
              
                

              

              Antonio
                Turgeon, Chairman and CEO

            	 	 	
              
Richard
              T. Hines, President
	
            	 	 	
            

    
      	RICHARD T. HINES	 	 	 
	 	 	 	 
	 	 	 	 
	By: 
              /s/ 	 	 	 
	
              
                

              

              
                Richard
                  T. Hines, an individual

              

            	 	 	
            
	
            	 	 	
            

   

    
      
        Separation
          and Release Agreement - Page 7 of 7Unassociated Document

    

      PURCHASE
        AND SALE AGREEMENT

      TRINITY
        BAY,
        REDFISH
        REEF,
        FISHERS
        REEF,
        NORTH
        POINT
        BOLIVAR
        FIELDS

      IN
        GALVESTON AND CHAMBERS
        COUNTIES,
        TEXAS

    

    

    

      THIS
        AGREEMENT (the
        “Agreement”) is dated effective as of October 1, 2006, and is made by and
        between Masters
        Resources, LLC,
        and
Masters
        Oil & Gas, LLC,
        both
        Texas limited liability companies having their respective principal places
        of
        business at 9801 Westheimer, Suite 1070, Houston, Texas 77042 (collectively,
        “Masters”), and Tekoil
        & Gas Corporation,
        a
        Delaware corporation having its principal place of business at 5036 Dr. Phillips
        Blvd., Suite 232, Orlando, Florida 32819 (“Buyer”).

    

    

    The
      parties agree as follows:

    

    
      
        	1.	
                PURCHASE
                  AND SALE

              

      

    

    

    
      	1.1	
              Purchase
                and Sale of Assets

            

    

    

    Except
      for the property reserved by Masters under Section 1.2 of this Agreement, at
      the
      Closing provided for in Article 8, below (the “Closing”), Masters will sell and
      convey to Buyer, and Buyer will purchase and accept from Masters, all of
      Masters' interest in the following (collectively the “Assets”):

    

    
      	(A)  	
              the
                oil, gas and mineral interests and other real property described
                on
                Exhibit
                A
                (which is attached to and made a part of this
                Agreement);

            

    

    

    
      	(B)  	
              all
                oil and gas wells, salt water disposal wells, injection wells and
                other
                wells and pits located on or attributable to the Property (collectively
                the “Wells”), including the Wells described on Exhibit
                B;

            

    

    

    
      	(C)  	
              all
                equipment, including without limitation the workover rig, vehicles,
                crew
                boats, work barges and vessels listed on Schedule
                1.1 (C)
                which is attached to and made a part of this Agreement, and all machinery,
                flowlines, roads, gathering lines, pipelines, pole lines, appurtenances,
                materials, fixtures, improvements and other personal property located
                on,
                used in the operation of or relating to the production, treatment,
                sale or
                disposal of hydrocarbons, water or associated substances produced
                from or
                attributable to the Property (collectively the “Personal Property”); it
                should be noted that Schedule 1.1(C) includes not only machinery
                and
                equipment located on the leases and the Wells which is owned by Masters
                but also machinery and equipment which is not owned by Masters but
                is
                being used by Masters pursuant to agreements between Masters and
                the
                owners thereof, not all of which are necessarily in writing and not
                all of
                which are assignable without notice to and/or the consent of the
                owner
                thereof. With respect to the rented machinery and equipment that
                is
                located on the leases and used in connection therewith, Masters shall
                assign the same to Buyer; provided, however, that to the extent that
                any
                such assignment is in violation of an agreement between Masters and
                the
                owner of the machinery and equipment, Buyer will have to make its
                own
                arrangements with the owner of such machinery and equipment.
                

            

    

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    
      	(D)  	
              all
                hydrocarbons, including natural gas, casinghead gas, drip gasoline,
                natural gasoline, natural gas liquids, condensate products and crude
                oil,
                whether gaseous or liquid, produced from or attributable to the Property
                or Wells on or after the Effective Date, as defined in Section 1.3
                of this
                Agreement (collectively the
“Hydrocarbons”);

            

    

    

    
      	(E)  	
              To
                the extent transferable at no cost or expense to Masters and not
                in
                violation of a prior existing contractual limitation as provided
                in
                Section 1.2 (K), below, copies (or originals if Masters does not
                wish to
                retain the originals of such records) of all of Masters’ geological,
                geophysical or seismic prospect maps, electric logs, survey maps,
                geological profiles, geophysical data (including field tapes and
                all
                processed versions, synthetics, and all other forms of expression
                of
                geophysical data), and geological and geophysical interpretative
                data, to
                the extent that the foregoing relate to the Property and are in Masters’
                possession;

            

    

    

    
      	(F)  	
              all
                contracts, instruments and orders relating to the Property, Wells,
                Personal Property and Hydrocarbons (collectively the “Contracts”),
                described on Exhibit
                C
                (which
                is attached to and made a part of this Agreement);
                

            

    

    

    
      	(G)  	
              all
                files, records, information and materials relating to the Property,
                Wells,
                Personal Property, Hydrocarbons and Contracts owned by or in the
                possession of Masters which Masters is not prohibited from transferring
                to
                Buyer by law or existing contractual relationship (collectively the
                “Records”).

            

    

    

    
      	1.2	
              Exclusions

            

    

    

    Masters
      excepts
      and reserves from this Agreement and the transaction contemplated by this
      Agreement the following (collectively the “Excluded Assets”):

    

    
      	(A)  	
              The
                oil and gas properties more particularly described on the attached
                Schedule
                1.2(A) which
                is attached to and made a part of this
                Agreement;

            

    

    

    
      	(B)  	
              all
                Personal Property owned by Masters Offshore, LLC, and its surface
                facilities located in the vicinity of the Assets as depicted on the
                plat
                attached hereto as Schedule
                1.2(B) which
                is attached to and made a part of this
                Agreement;

            

    

    

    
      	(C)  	
              all
                of Masters’ reserve estimates, economic analyses, pricing forecasts, legal
                opinions (other than those related to title to any of the Properties;
                see
                Article 5, below) and other analyses relating to the Assets and all
                information relating to the Assets which Masters considers confidential
                or
                protected by attorney-client
                privilege;

            

    

    

    
      	(D)  	
              all
                rights and claims relating to the Assets, other than rights or claims
                in
                connection with gas imbalances, arising, occurring or existing in
                favor of
                Masters prior to the Effective Date, including all contract rights,
                claims, penalties, receivables, revenues, recoupment rights, recovery
                rights, accounting adjustments, mispayments, erroneous payments,
                property
                damage claims, insurance claims, indemnity claims, bond claims and
                condemnation claims;

            

    

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    
      	(E)  	
              all
                corporate, financial and tax records of Masters; provided, however,
                that
                upon request, Buyer will be entitled to receive copies of all financial
                and tax records which directly relate to the Assets and which are
                necessary for Buyer’s ownership, administration or operation of the
                Assets;

            

    

    

    
      	(F)  	
              all
                claims of Masters for refund of or loss carry forwards with respect
                to
                production, windfall profit, severance, ad valorem, income, franchise
                and
                all other taxes attributable to the Assets for all periods prior
                to the
                Effective Date;

            

    

    

    
      	(G)  	
              all
                amounts due or payable to Masters as adjustments or refunds under
                any
                contract affecting the Assets for all periods prior to the Effective
                Date;

            

    

    

    
      	(H)  	
              all
                amounts due or payable to Masters as adjustments to insurance premiums
                related to the Assets for all periods prior to the Effective
                Date;

            

    

    

    
      	(I)  	
              all
                monies, proceeds, accruals, benefits, receipts, credits, income,
                revenues,
                security or deposits attributable to the Assets prior to the Effective
                Date;

            

    

    

    
      	(J)  	
              all
                of Masters’ patents, trade secrets, copyrights, names, marks and
                logos;

            

    

    

    
      	(K)  	
              all
                computers, hardware, software and software
                licenses;

            

    

    

    
      	(L)  	
              all
                licensed raw or processed geophysical data and all interpretations
                of that
                data which Masters is prohibited from transferring to Buyer by law
                or
                existing contractual relationship; and

            

    

    

    
      	(M)  	
              the
                overriding royalties reserved by Masters as part of the consideration
                for
                the sale contemplated in this Agreement, as set forth below, and
                all
                overriding royalties held by individuals associated with Masters
                as of the
                Effective Date.

            

    

    

    
      	1.3	
              Effective
                Date

            

    

    

    The
      transaction contemplated by this Agreement will be deemed to be effective on
      October 1, 2006, at 12:00 a.m. Central Standard Time (the “Effective
      Date”).

    

    
      	1.4	
              Like-Kind
                Exchange

            

    

    

    
      	
              (A)

            	
              Masters
                may in its sole discretion dispose of the Assets, or any portion
                of the
                Assets, through a transaction that is structured to qualify as a
                like-kind
                exchange under Internal Revenue Code §
                1031, as amended. Buyer will accommodate Masters in effecting a qualifying
                like-kind exchange of the Assets. Masters may assign its rights,
                but not
                its obligations, under this Agreement, in whole or in part, to effectuate
                a like-kind exchange. In no event will any like-kind exchange delay
                the
                Closing.

            

    

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    
      	
              (B)

            	
              Buyer
                may, in its sole discretion, at or prior to Closing, create a special
                purpose entity to purchase all or any portions of the Assets. If
                Buyer
                elects to so do, Buyer may assign this Agreement in whole or in part
                to
                such special purpose entity, whereupon (1) the term “Buyer” as used in
                this Agreement shall mean such special purpose entity with the same
                force
                and effect as if that special purpose entity were named in, and a
                signatory to, this Agreement, and (2) Tekoil & Gas, Inc. shall have no
                further liability or obligation under this Agreement or any of the
                documents executed and delivered at Closing. In no event will such
                assignment delay the Closing. Appropriate documents effecting such
                assignment will be executed by Buyer, Masters and such special purpose
                entity at or prior to Closing.

            

    

    

    
      	2.	
              PURCHASE
                PRICE

            

    

    

    
      	2.1	
              Purchase
                Price

            

    

    

    The
      purchase price for the Assets will be Fifty Million Dollars ($50,000,000) (the
      “Purchase Price”). The Purchase Price will be paid by Buyer as
      follows:

    

    
      	(A)  	
              on
                or before 5:00 p.m. Central Time on the fifth day following the signing
                of
                this Agreement, Buyer will pay by Buyer’s check into an interest bearing
                account (the “Escrow Account”) at Amegy Bank National Association in the
                names of Masters and Buyer the sum of $1 million, as an earnest money
                deposit which is non-refundable, except as expressly set forth in
                this
                Agreement (the “Deposit”), which shall be distributed at the Closing or
                upon termination of this Agreement, as further set forth herein (all
                accrued interest shall be paid to the recipient of the Deposit, and
                to the
                extent that the Deposit is applied to the Purchase Price, the accrued
                interest shall be deemed to reduce the balance of the Purchase Price
                due
                at Closing); provided, however, (i) in the event the Deposit is not
                timely
                paid, Masters may, at its option, exercised by written notice delivered
                to
                Buyer on or before 12:00 noon on the next following business day
                terminate
                this Agreement, whereupon neither party shall have any further obligation
                to the other; and (ii) failure by Masters to timely deliver such
                notice of
                termination shall be irrevocably deemed a decision by Masters to
                extend
                the deadline for delivery of the Deposit for another three business
                days;

            

    

    

    
      	(B)  	
              at
                the Closing, Buyer will pay to Masters by wire transfer of the balance
                of
                the Purchase Price, as the same may be adjusted under Sections 2.1
                (A),
                2.2 and 2.3 of this Agreement, subject to any post-closing adjustments;
                and 

            

    

    

    
      	(C)  	
              the
                reservation in Masters (or the prior conveyance to its principals
                and
                employees) of an aggregate overriding royalty of 6% of 100% of the
                production from the leases and units sold to Buyer (the “ORRI”). The ORRI
                shall be proportionately reduced to the extent that the working interest
                of Masters in any lease burdened thereby to
                be conveyed to Buyer is
                less than 100% or the net revenue interest to which Masters is entitled
                on
                any lease to be conveyed to Buyer is less than 80%, i.e.
                if the working interest of Masters is 60%, not 100% (and the net
                revenue
                interest is at least 80% to the 100% working interest), then the
                ORRI in
                that lease shall be 60/100 of 6%, or 3.6%. If the net revenue interest
                is
                less than 80% to the 100% working interest, then the ORRI shall be
                reduced
                proportionately, i.e.
                if
                the net revenue interest 75%, then the ORRI shall be reduced by 75/80
                x
                6%, or 5.625%. If the working interest is less than 100% and the
                net
                revenue interest is less than 80%, then the reduction of the overriding
                royalty shall be implemented for both the working interest and the
                net
                revenue interest. In addition, upon written notice by Buyer to the
                owner
                or owners of the ORRI that they have received aggregate payments
                of
                $20,000,000 and
                Buyer’s request for assignment thereof
                (subject to the right of Masters to audit the payments aggregating
                the sum
                of $20,000,000), the owners of the ORRI shall convey to Buyer an
                undivided
                2% of 100% overriding royalty so that the owner or owners of the
                ORRI
                shall thereafter be reduced to an ORRI entitled to an aggregate of
                4% of
                100% of the production from the leases and units sold to Buyer, and
                when
                the aggregate payments on the ORRI equal $30,000,000 (but not $30
                million
                in addition to the $20 million threshold for the initial reduction
                of the
                ORRI; simply an additional $10 million after $20 million has been
                reached), upon written notice thereof to the owner or owners of the
                ORRI
                (and subject to the same right to audit in Masters), the owners of
                the
                ORRI shall convey to Buyer an additional undivided 2% of 100% overriding
                royalty so that the owner or owners of the ORRI shall thereafter
                be
                reduced to an aggregate 2% of 100% ORRI, which shall remain constant
                thereafter. The Owners of the ORRI shall be entitled, upon their
                written
                election, to be paid for their respective shares of production from
                the
                lands burdened by the ORRI directly by the purchaser of production.
                In
                addition, at the election of the owners of the ORRI, they shall be
                entitled to take the ORRI share of production in kind and to separately
                market the same; provided, however, to the extent that additional
                facilities are required for the owners of the ORRI to take their
                share of
                production in kind, the owners of the ORRI shall bear the cost and
                expense
                of installing such facilities. 

            

    

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    
      	2.2	
              Upward
                Adjustments to Purchase
                Price

            

    

    

    The
      Purchase Price will be adjusted upward by the following:

    

    
      	(A)  	
              the
                value of all oil in storage or transport as of the Effective Date
                and not
                previously sold by Masters that is produced from or attributable
                to the
                Property or Wells. The value of the oil will be calculated using
                the
                contract price in effect as of the Effective Date less applicable
                taxes
                and gravity adjustments;

            

    

    

    
      	(B)  	
              the
                amount of all capital expenditures and direct costs, including
                exploration, production, development, operating, overhead, taxes
                and other
                direct costs, relating to the Assets actually paid or incurred by
                Masters
                on or after the Effective Date;

            

    

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    
      	(C)  	
              a
                prorated amount of all prepaid costs, including prepaid utility charges
                and prepaid ad valorem, property, production, severance and other
                taxes,
                relating to the Assets paid or incurred by Masters prior to the Effective
                Date but attributable to periods on or after the Effective
                Date;

            

    

    

    
      	(D)  	
              the
                value of the underproduction of all gas attributable to the Assets
                as of
                the Effective Date. The value of the gas will be calculated using
                $5.00
                per MCF, less applicable royalties and taxes;
                and

            

    

    

    
      	(E)  	
              any
                other amount agreed upon by Masters and Buyer in
                writing.

            

    

    

    
      	2.3	
              Downward
                Adjustments of Purchase
                Price

            

    

    

    The
      Purchase Price will be adjusted downward by the following:

    

    
      	(A)  	
              the
                Deposit received by Masters;

            

    

    

    
      	(B)  	
              the
                proceeds received by Masters on or after the Effective Date which
                relate
                to the Assets and are attributable to periods of time from and after
                the
                Effective Date;

            

    

    

    
      	(C)  	
              a
                prorated amount of any unpaid taxes, including ad valorem, property,
                production, severance or other tax, relating to the Assets that are
                attributable to periods of time prior to the Effective Date. If the
                tax
                has not yet been assessed, the amount will be based on the taxes
                and
                assessments for the preceding tax
                year;

            

    

    

    
      	(D)  	
              an
                amount equal to the sum of all Title Defect adjustments and Environmental
                Defect adjustments under Sections 5.6 and 6.7 of this
                Agreement;

            

    

    

    
      	(E)  	
              the
                value of the overproduction of all gas attributable to the Assets
                as of
                the Effective Date. The value of the gas will be calculated using
                $5.00
                per MCF, less applicable royalties and
                taxes;

            

    

    

    
      	(F)  	
              an
                amount equal to all proceeds in or attributable to suspense accounts,
                other than amounts held by Masters as being less than the minimum
                royalty
                amount to be paid which Masters will pay prior to the Closing, relating
                to
                the Assets and held by Masters; and

            

    

    

    
      	(G)  	
              any
                other amount set out in this Agreement or as agreed upon by Masters
                and
                Buyer in writing.

            

    

    

    
      	2.4	
              Allocation
                of Purchase Price

            

    

    

    The
      Purchase Price will be allocated to the Assets as described in Exhibit
      D
      (attached and incorporated into this Agreement). The portion of the Purchase
      Price allocated to each Asset in Exhibit
      D
      will be
      referred to in this Agreement as the “Allocated Value”.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    
      	2.5	
              Wire
                Transfer

            

    

    

    All
      amounts to be paid to Masters under this Agreement will be paid by wire transfer
      to:

    

    Amegy
      Bank National Association

    ABA
      No.
      113011258

    Masters
      Resources LLC

    Account
      No. XXXXXXXX

    

    
      	3.	
              REPRESENTATIONS
                AND WARRANTIES

            

    

    

    
      	3.1	
              Masters’
                Representations and
                Warranties

            

    

    

    Masters
      represents and warrants that the following are true and correct on the date
      of
      the signing of this Agreement and will be true and correct at the
      Closing:

    

    
      	(A)  	
              Masters:

            

    

    

    
      	(i)  	
              is
                a limited liability company organized, validly existing and in good
                standing under the laws of the State of
                Texas;

            

    

    

    
      	(ii)  	
              is
                qualified to transact business in each jurisdiction where the nature
                and
                extent of its business and properties require qualification in order
                to
                perform its obligations under this Agreement;
                and

            

    

    

    
      	(iii)  	
              possesses
                all of the required power and authority to conduct its business,
                sign and
                deliver this Agreement and comply with the provisions of this
                Agreement;

            

    

    

    
      	(B)  	
              this
                Agreement and the transaction contemplated by this Agreement have
                been
                authorized by Masters and do not conflict with the provisions of
                any
                by-law or other document under which Masters is
                organized;

            

    

    

    
      	(C)  	
              this
                Agreement has been duly signed and delivered by Masters and constitutes
                a
                valid and binding obligation of Masters, enforceable against Masters
                under
                its provisions, except as enforceability may be limited by bankruptcy,
                insolvency or other laws relating to or affecting the enforcement
                of
                creditors’ rights;

            

    

    

    
      	(D)  	
              Buyer
                will have no responsibility for any brokers’ or finders’ fees incurred by
                Masters relating to this Agreement or the transaction contemplated
                by this
                Agreement; and

            

    

    

    
      	(E)  	
              There
                are no bankruptcy, reorganization or arrangement proceedings pending,
                or
                to the knowledge of Masters, threatened against
                Masters.

            

    

    

    
      	(F)  	
              The
                execution, delivery, and performance by Masters of this Agreement
                and the
                consummation of the transactions contemplated herein will not result
                in a
                material default or the creation of any lien or encumbrance or give
                rise
                to any right of termination, cancellation, or acceleration under
                any of
                the terms, conditions, or provisions of any oil and gas lease, Contract,
                note, bond, mortgage, indenture, license, or other agreement to which
                Masters is a party or by which Masters or the Assets may be bound,
                or
                violate any order, writ, injunction, judgment, decree, statute, rule,
                or
                regulation applicable to Masters or any of the
                Assets.

            

    

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    
      	(G)  	
              Except
                as set forth on Schedule 3.1(G),
                since Masters acquired its ownership of the Assets, there is no suit,
                action, claim, investigation, or inquiry by any person or entity
                or by any
                administrative agency or governmental body (including, without limitation,
                expropriation or forfeiture proceedings), and no legal, administrative,
                or
                arbitration proceedings pending, or to Masters’ knowledge, threatened
                against Masters or the Assets, or to which Masters is a party, that
                reasonably may be expected to result in the material impairment of
                Masters’ title to the Assets, hinder or impede the operation of all or any
                material portion of the Assets, or have a materially adverse effect
                upon
                the Assets or the ability of Masters to consummate the transactions
                contemplated in this Agreement.

            

    

    

    
      	(H)  	
              Except
                as listed in Schedule 3.1(H),
                or any other schedule hereto, Masters is not bound by, or subject
                to any
                agreement relating to the exploration for, production, transportation,
                treatment or processing of Hydrocarbons or the creation of any joint
                venture for such purpose relating to the Properties, pursuant to
                any
                agreement or joint venture entered into by Masters while it has held
                title
                to the Assets:

            

    

    
      	 	 

    

    
      	 	
              (i)  for
                the sale or lease of any of the Properties; for capital expenditures
                pertaining to the Properties in excess of an aggregate of $200,000;
                lease
                of machinery or equipment or other agreement pertaining to the Properties
                involving annual payments in excess of $100,000; in the form of a
                loan
                agreement, promissory note issued by it, guarantee, subordination
                or
                similar type of agreement secured by any of the
                Properties;

            

    

    
      	 	 

    

    
      	 	
              (ii)   in
                the form of a farmout agreement, exploration agreement or other agreement
                permitting any person or entity to acquire any interest in the
                Properties.

            

    

       

    
      	 	
              (I)
                

            	
              That,
                except as otherwise set forth on Schedule 3.1(I),
                none of the Properties are subject to a preferential purchase right
                or
                third party consent to assignment requirement, the satisfaction of
                which
                may be required for Masters to consummate this Agreement or to execute
                and
                deliver this Agreement and the
                Assignment.

            

    

    

    
      	 	
              (J)
                

            	
              Except
                as disclosed on Schedule
                3.1(J).Masters
                has not sold, leased, assigned, transferred, abandoned or otherwise
                directly or indirectly disposed of all or any interest in any of
                the
                Assets, forward sold production of Hydrocarbons from the Properties
                pursuant to any arrangement that does not provide for full payment
                therefor at the time of production and delivery or directly or indirectly,
                created, incurred, assumed or suffered to exist any mineral fee interests,
                overriding royalty and royalty interests, leasehold interests, interests
                in production or any other interest burdening Masters=s
                interest in Hydrocarbons produced on the Mortgaged
                Properties.

            

    

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    
      	 	
              (K)
                

            	
              Masters
                has complied in all material respects with all laws, rules, regulations,
                ordinances, codes, orders, licenses, and permits relating to the
                Assets,
                and Masters is not in receipt of any notice or complaint of violation
                of
                any laws, rules, regulations, ordinances, codes, orders, licenses,
                and
                permits relating to the Assets. Master has all governmental licenses
                and
                permits, and to Masters’ knowledge after exercising reasonable diligence,
                each of the following statements is true and accurate: Masters has
                properly made all filings, necessary or appropriate to obtain such
                licenses or permits and to own and operate the Assets as presently
                being
                owned and operated; such licenses, permits, and filings are in full
                force
                and effect; Masters has received no notices that a violation exists
                or has
                been recorded with respect to any such licenses, permits, or filings;
                and
                no proceeding is pending or threatened, which purports to challenge,
                revoke, or limit any of such licenses, permits, or
                filings.

            

    

    

    
      	 	
              (L)
                

            	
              All
                material reports, studies, written notices from government environmental
                agencies, tests, analyses, and other documents specifically addressing
                environmental matters related to Masters’
                Properties during
                the period after Masters acquired each of the Masters’ Properties, and
                which are in Masters’ possession, will be made available to Buyer for
                inspection in Masters’ offices during normal business
                hours.

            

    

    

    
      	 	
              (M)
                

            	
              To
                Masters’ knowledge after exercising reasonable diligence, Masters has
                acquired all permits, licenses, approvals and consents from appropriate
                local, tribal, state and federal governmental bodies, authorities
                and
                agencies necessary to conduct its operations in compliance with all
                applicable Environmental Laws. For purposes of this Agreement,
                "Environmental Laws" shall mean any applicable law, rule, regulation,
                order, injunction or decree of any federal, state or local governmental,
                regulatory authority, court or arbitration tribunal within the United
                States relating to pollution or protection of the environment (including
                ambient air, surface water, ground water, land surface or subsurface
                strata), including without limitation, laws relating to the spill,
                placement, leaking, release, discharge, emission, generation, treatment
                storage or disposal of toxic or hazardous substances (collectively,
                "Hazardous
                Substances").
                With respect to all Properties as to which Masters serves as the
                operator,
                except as disclosed on Schedule
                3.1(M),
                Masters has not presently incurred and none of such Properties are
                presently subject to, any material liabilities (fixed or contingent)
                relating to any suit, settlement, judgment, or claims asserted under
                the
                Environmental Laws.

            

    

    

    
      	 	
              (N)
                

            	
              The
                value of the overproduction or underproduction of all gas attributable
                to
                the Assets as of the Effective Date and as of the Closing is less
                than
                $50,000 (based upon valuation of the gas using $5.00 per MCF, less
                applicable royalties and taxes); Masters shall provide a certificate
                to
                this effect at the Closing.

            

    

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    
      	 	
              (O)

            	
              There
                are no defects or irregularities in title to the Assets which for
                a period
                of five years prior to the date of this Agreement have delayed or
                prevented Masters (or Masters’ predecessors in title, if owned by Masters
                less than said five years) from receiving its net revenue interest
                share
                of the proceeds of production or caused it to bear a share of expenses
                and
                costs greater than its working interest share from any unit or
                Well.

            

    

    

    
      	3.2	
              Buyer’s
                Representations and
                Warranties

            

    

    

    Buyer
      represents and warrants that the following are true and correct on the date
      of
      the signing of this Agreement and will be true and correct at the
      Closing:

    

    
      	(A)  	
              Buyer:

            

    

    

    
      
        	
              	(i)	
                is
                  a corporation organized, validly existing and in good standing
                  under the
                  laws of the State of Delaware ;
                  and

              

      

    

    

    
      
        	
              	(ii)	
                possesses
                  all of the required corporate power and authority to conduct its
                  business,
                  sign and deliver this Agreement and comply with the provisions
                  of this
                  Agreement;

              

      

    

    

    
      	(B)  	
              this
                Agreement and the transaction contemplated by this Agreement have
                been
                authorized by Buyer and do not conflict with the provisions of any
                governing document under which Buyer is
                organized;

            

    

    

    
      	(C)  	
              this
                Agreement has been signed and delivered by Buyer and constitutes
                a valid
                and binding obligation of Buyer, enforceable against Buyer under
                its
                provisions, except as enforceability may be limited by bankruptcy,
                insolvency or other laws relating to or affecting the enforcement
                of
                creditors’ rights;

            

    

    

    
      	(D)  	
              Buyer
                has not incurred any liability for brokers’ or finders’ fees relating to
                this Agreement or the transaction contemplated by this Agreement
                for which
                Masters will be responsible;

            

    

    

    
      	(E)  	
              There
                are no bankruptcy, reorganization or arrangement proceedings pending,
                or
                to the knowledge of Buyer, threatened against
                Buyer;

            

    

    

    
      	(F)  	
              Buyer
                currently has available all funds necessary to pay the Purchase Price
                and
                any other amounts due under this Agreement. Buyer’s ability to complete
                the transaction contemplated by this Agreement is not contingent
                upon its
                ability to obtain any financing or complete any public or private
                placement of securities prior to the Closing;
                and

            

    

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    
      	(G)  	
              Buyer
                is not purchasing the Assets for resale or distribution within the
                meaning
                of any securities law.

            

    

    

    
      	4.	
              COVENANTS
                AND AGREEMENTS

            

    

    

    
      	4.1	
              Masters’
                Covenants and Agreements

            

    

    

    Masters
      covenants and agrees with Buyer that:

    

    
      	(A)  	
              upon
                the signing of this Agreement and until 5:00 p.m. Central Standard
                Time on
                December 1, 2006 (the “Examination
                Period”),
                Masters will make available to Buyer and Buyer will have the right
                to
                inspect, during normal business hours, at Masters’ offices at 9801
                Westheimer, Suite 1070, Houston, Texas 77042,
                or other place where the Contracts and Records are kept in the ordinary
                course of business or other place as may be agreed to by the parties,
                the
                Contracts and Records. Masters will reasonably cooperate with Buyer
                during
                Buyer’s review of the Contracts and Records; provided, however, that
                Masters will not update any existing abstracts or title opinions
                relating
                to the Assets;

            

    

    

    
      	(B)  	
              during
                the Examination Period, Buyer will have the right to enter upon the
                Assets
                to conduct such investigation of the Assets that Buyer deems necessary
                for
                the preparation of any engineering or other report relating to the
                Assets
                or their physical or environmental condition; provided, however,
                that
                Buyer’s actions in so doing shall not interfere with the ongoing operation
                of the Assets, and Buyer shall not conduct any environmental investigation
                beyond a Phase I examination without Masters’ prior written consent.
                Masters will reasonably cooperate with Buyer during Buyer’s investigation
                of the Assets;
                provided, however, that Masters
                will not grant Buyer access to the Assets until Buyer provides the
                insurance coverage under Section 4.2 of this Agreement;
                and

            

    

    

    
      	(C)  	
              during
                the period subsequent to the signing of this Agreement and prior
                to the
                Closing:

            

    

    

    
      	(i)  	
              Masters
                will continue to operate and administer the Assets as a reasonably
                prudent
                operator consistent with its past practices;

            

    

    

    
      	(ii)  	
              Masters
                will not sell, lease, encumber or dispose of any Assets, other than
                the
                sale of Hydrocarbons in the ordinary course of business, except under
                existing contracts or commitments or as is otherwise customary in
                the
                ordinary course of business; 

            

    

    

    
      	(iii)  	
              Masters
                will not undertake any single operation expected to cost in excess
                of
                $200,000 without the prior written consent of Buyer, and if Masters
                intends to undertake any operation expected to cost in excess of
                $150,000
                it will provide Buyer at least ten (10) days’ written notice thereof prior
                to undertaking the intended operation, unless the operation is required
                to
                be performed sooner in order to avoid damage to the Assets or in
                order to
                take advantage of a material discount of the cost of the proposed
                operation; and 

            

    

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    
      	(iv)  	
              Masters
                will not enter into any new service contracts or other contracts
                encumbering the Assets, or any portion thereof, which will have a
                term
                that will survive the Closing (but the Parties acknowledge that it
                is in
                their respective best interests that the workover rig included in
                the
                Assets be kept actively engaged rather than idle, and Masters will
                continue its endeavors to maintain a consistent level of activity
                for this
                rig and its personnel). 

            

    

    

    
      	(D)  	
              Masters
                will protect and hold Buyer harmless from and against any final and
                non-appealable judgment rendered in that certain litigation matter
                styled
                [insert
                style of case]
                (the “Litigation”), including the costs and expenses of defending the
                same, and at the closing the sum of $1 million shall be deposited
                by
                Masters and Buyer into the Escrow Account, to guarantee the performance
                by
                Masters of this obligation so that upon the dismissal of the Litigation
                without recourse against Masters, or upon Masters’ payment of any judgment
                taken against it, or Masters’ payment in settlement of the claims against
                it arising out of the Litigation, then the portion of the Purchase
                Price
                withheld by Buyer shall be paid to Masters; and if Masters fails
                to meet
                the obligation imposed by this section of this Agreement so that
                claims
                are asserted against Buyer, then the portion of the Purchase Price
                so
                withheld by Buyer shall be paid to Buyer; provided, however, the
                payment
                to Buyer of such withheld portion of the Purchase Price shall not
                release
                or affect in any manner, the obligations of Masters set out above
                in this
                Section 4.1 (D) or the rights of Buyer to exercise such remedies
                against
                Masters as may be authorized by applicable law in the event Masters,
                or
                either of them, fail to perform their obligations set out in Section
                4.1(D).

            

    

    

    
      	(E)  	
              During
                the Examination Period Buyer shall be provided access to the field
                employees of Masters in order to develop data regarding which of
                such
                employees, if any, should be hired by Buyer following the Closing;
                provided, however, that this privilege shall not be deemed to include
                the
                office administrative or professional staff of
                Masters.

            

    

    

    
      	4.2	
              Buyer’s
                Covenants and Agreements

            

    

    

    Buyer
      covenants and agrees with Masters that:

    

    
      	(A)  	
              Buyer
                will carry all insurance required by the laws where the Assets are
                located. Buyer will also carry the
                following:

            

    

    

    
      	(i)  	
              Worker’s
                Compensation Insurance and Employer’s Liability Insurance with at least
                $1,000,000 coverage per accident;

            

    

    

    
      	(ii)  	
              Comprehensive
                General Liability Insurance with at least $1,000,000 coverage per
                accident;

            

    

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

     

    
      	(iii)  	
              Comprehensive
                Automobile Insurance and Property Damage Insurance with at least
                $1,000,000 coverage per accident;
                and

            

    

    

    
      	(iv)  	
              Excess
                Liability Insurance with at least $10,000,000 coverage per
                accident;

            

    

    

    
      	(B)  	
              Buyer
                will name Masters as an additional insured under each insurance policy
                that Buyer is required to carry under Section 4.2(A) of this Agreement;
                and

            

    

    

    
      	(C)  	
              BUYER
                WILL INDEMNIFY MASTERS, ITS OFFICERS, DIRECTORS, EMPLOYEES AND AGENTS
                AND
                HOLD THEM HARMLESS FOR ALL EXPENSES, SETTLEMENTS, JUDGMENTS, DAMAGE
                AWARDS, COURT COSTS, INTEREST AND ATTORNEY’S FEES ARISING OUT OF ANY LIEN
                OR OTHER ENCUMBRANCE FOR LABOR OR MATERIALS FURNISHED IN CONNECTION
                WITH
                ANY INVESTIGATION OR OTHER STUDY BUYER MAY CONDUCT WITH RESPECT TO
                THE
                ASSETS, OR ARISING OUT OF ANY INJURY TO OR DEATH OF ANY PERSON OR
                DAMAGE
                TO ANY PROPERTY OCCURRING IN, ON OR ABOUT THE ASSETS DURING ANY OF
                BUYER’S
                ACTIVITIES ON THE ASSETS PURSUANT TO THIS AGREEMENT WITHOUT REGARD
                TO THE
                CONTRIBUTORY NEGLIGENCE OF MASTERS OR ITS SUBCONTRACTORS, EXCEPT
                FOR THE
                GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF MASTERS OR ITS
                SUBCONTRACTORS.

            

    

    

    
      	(D)  	
              As
                of the Closing, Buyer will have made its own independent investigation
                of
                the Properties to the extent necessary to verify the truth and accuracy
                of
                the materials, documents, and other information provided to Buyer
                by
                Masters.

            

    

    

    
      	(E)  	
              As
                of the Closing, Buyer will have qualified to do business in the State
                of
                Texas as a foreign corporation.

            

    

    

    
      	(F)  	
              Buyer
                shall not endeavor to hire away any of the office administrative
                or
                professional staff of Masters.

            

    

    

    
      	5.	
              TITLE
                MATTERS; CASUALTY LOSSES

            

    

    

    Masters
      shall make available to Buyer copies of all title opinions in the possession
      of
      Masters which are related to the Properties. Buyer shall have the right to
      review the same and to utilize the same in the determination of whether any
      Title Defects, as defined below, may affect the Properties; provided, however,
      that Buyer acknowledges that it is not entitled to rely on any such opinion,
      to
      its detriment, insofar as any such reliance might otherwise serve to create
      any
      claim or cause of action in Buyer in the event that the opinion relied upon
      is
      in error.

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

    
      	5.1	
              Title
                Defect Defined

            

    

    

    “Title
      Defect” means any defect or deficiency in record title ownership of the Assets,
      except for Permitted Encumbrances as defined in Section 5.2 of this Agreement,
      which in Buyer's reasonable opinion may:

    

    
      	(A)  	
              create
                a lien, claim, encumbrance, restriction or other obligation adversely
                affecting the ownership, operation, use or enjoyment of the interest
                of
                Masters in the Assets; and

            

    

    

    
      	(B)  	
              has
                a Material Adverse Effect, as defined under this Section, on the
                ownership, operation, use or enjoyment of the Assets on or after
                the
                Effective Date. “Material
                Adverse Effect” means any fact, condition or circumstance having a value
                of greater than $100,000.

            

    

    

    
      	5.2	
              Permitted
                Encumbrances Defined

            

    

    

    “Permitted
      Encumbrance” means:

    

    
      	(A)  	
              lessor’s
                royalties, non-participating royalties, overriding royalties, division
                orders and sales contracts containing customary terms and provisions
                covering oil, gas or other associated liquefied or gaseous hydrocarbons,
                reversionary interests and similar
                burdens;

            

    

    

    
      	(B)  	
              preferential
                rights to purchase with respect to which prior to the Closing waivers
                are
                obtained from the appropriate parties or the appropriate time period
                for
                asserting those rights have expired without an exercise of those
                rights;

            

    

    

    
      	(C)  	
              third
                party consents to assignment to the extent only that such consents
                are
                customarily obtained after Closing, including rights to consent by,
                required notices to, filings with or other actions required by
                governmental entities in connection with the transaction contemplated
                by
                this Agreement;

            

    

    

    
      	(D)  	
              liens
                for taxes or assessments not yet due or delinquent, or if delinquent,
                that
                are being contested in good faith in the normal course of business
                and for
                which an appropriate reserve has been
                established;

            

    

    

    
      	(E)  	
              conventional
                rights of reassignment requiring notice to the holders of those
                rights;

            

    

    

    
      	(F)  	
              Title
                Defects that Buyer may have waived in
                writing;

            

    

    

    
      	(G)  	
              easements,
                road-use agreements, rights-of-way, servitudes, permits, surface
                leases
                and other rights with respect to surface operations as long as the
                rights
                do not have a Material Adverse Effect on the Assets and do not otherwise
                impair the ownership, operation, use or value of the Assets on or
                after
                the Effective Date;

            

    

     

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

     

    
      	(H)  	
              zoning,
                planning and environmental laws and regulations to the extent they
                are
                valid and applicable to the Assets and do not have a Material Adverse
                Effect on the Assets;

            

    

    

    
      	(I)  	
              vendors’,
                carriers’, warehousemen’s, repairmen’s, mechanics’, workmen’s,
                materialmen’s, construction and other liens arising by operation of law in
                the ordinary course of business or incident to the construction or
                improvement of any property whose underlying obligations are not
                yet
                due;

            

    

    

    
      	(J)  	
              defects,
                irregularities and deficiencies in title which in the aggregate do
                not
                have a Material Adverse Effect on the Assets and do not otherwise
                impair
                the ownership, operation, use or value of the Assets on or after
                the
                Effective Date; and

            

    

    

    
      	(K)  	
              farmouts,
                areas of mutual interest, participation agreements and other exploration
                agreements relating to the Assets.

            

    

    

    
      	5.3	
              Notice
                of Title Defect

            

    

    

    Buyer
      must notify Masters in writing (the “Notice of Title Defect”) of any matter
      Buyer reasonably considers to be a Title Defect. The Notice of Title Defect
      must
      be received by Masters by 5:00 p.m. Central Standard Time on the last day of
      the
      Examination Period (the “Title Defect Notice Date”). The Notice of Title Defect
      must include:

    

    
      	(A)  	
              a
                specific description of the matter Buyer asserts as a Title
                Defect;

            

    

    

    
      	(B)  	
              a
                specific description of the Assets affected by the Title
                Defect;

            

    

    

    
      	(C)  	
              the
                Allocated Value of the Assets affected by the Title
                Defect;

            

    

    

    
      	(D)  	
              Buyer’s
                calculation of the amount by which the Title Defect has diminished
                the
                Allocated Value of the Assets, which shall be determined by Buyer
                in good
                faith and in a commercially reasonable manner (the “Value Impairment”);
                and

            

    

    

    
      	(E)  	
              reasonable
                documentation supporting the Title
                Defect.

            

    

    

    
      	5.4	
              Waiver
                of Title Defect

            

    

    

    Buyer
      will be deemed to have waived:

    

    
      	(A)  	
              all
                Title Defects if Masters does not receive a Notice of Title Defect
                by the
                Title Defect Notice Date;

            

    

    

    
      	(B)  	
              any
                Title Defect which Buyer fails to assert in the Notice of Title Defect;
                and

            

    

    

    
      	(C)  	
              any
                Title Defect which Buyer accepts or assumes in completing the transaction
                contemplated by this Agreement.

            

    

    

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

     

    
      	5.5	
              Title
                Defect Threshold Amount

            

    

    

    Buyer
      will not be entitled to an adjustment of the Purchase Price until the aggregate
      of the Value
      Impairment of all Title
      Defects is greater than 5% of the Purchase Price (the “Title Defect Threshold
      Amount”). If the aggregate of the Value
      Impairments of all
      Title
      Defects exceed the Title Defect Threshold Amount, Buyer will be entitled to
      an
      adjustment of the Purchase Price for the entirety of the Value
      Impairments of all
      Title
      Defects. If the aggregate of the Value
      Impairments of all
      Title
      Defects are greater than 20% of the Purchase Price, Masters shall have the
      right, at its sole election, to cure the same or to terminate this Agreement
      and
      return the Deposit. In like manner, if the aggregate of the Value
      Impairments of all
      Title
      Defects are greater than 20% of the Purchase Price, Buyer shall have the right,
      at its sole election, to cause Masters to cure the same at its expense or to
      terminate this Agreement and receive a return of the Deposit.

    

    
      	5.6	
              Remedies
                for Title Defects

            

    

    

    Subject
      to Section 5.5 of this Agreement, the Assets affected by a Title Defect will
      be
      removed from the transaction contemplated by this Agreement and the Purchase
      Price will be reduced by an amount equal to the Allocated Value of those Assets
      unless prior to the Closing:

    

    
      	(A)  	
              the
                Title Defect has been cured;

            

    

    

    
      	(B)  	
              Buyer
                agrees to waive the applicable Title Defect and purchase the affected
                Assets;

            

    

    

    
      	(C)  	
              Masters
                agrees to indemnify Buyer and hold Buyer harmless for all expenses,
                settlements, judgments, court costs, interest and attorney’s fees incurred
                by Buyer as a result of the Title Defect;
                or

            

    

    

    
      	(D)  	
              Buyer
                and Masters agree to the amount Value
                Impairment of
                the affected Assets and the Purchase Price is reduced by this amount
                under
                Section 2.3 of this Agreement.

            

    

    

    
      	5.7	
              Curing
                Title Defects after
                Closing

            

    

    

    If
      any of
      the Assets are removed from the transaction contemplated by this Agreement
      in
      accordance with Section 5.6 of this Agreement, Masters will have 90 days
      following the Closing to cure the Title Defect. If the Title Defect is cured
      by
      Masters during this 90 day period, Masters will convey the affected Assets
      to
      Buyer for the amount by which the Purchase Price was reduced on account of
      the
      Title Defect. If the Title Defect is not cured within this 90 day period,
      Masters will retain the affected Assets and the parties will have no other
      obligation or liability under this Agreement with respect to those
      Assets.

     

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

    
      	5.8	
              Preferential
                Rights to Purchase

            

    

    

    The
      transaction contemplated by this Agreement may be subject to various
      preferential rights to purchase. Masters will use all reasonable efforts to
      notify all third parties with a preferential right of the transaction
      contemplated by this Agreement. If a third party exercises an applicable
      preferential right prior to the Closing or refuses to waive an applicable
      preferential right and the appropriate time period for asserting those rights
      has not expired prior to the Closing, the exercised or unwaived preferential
      right will be a Title Defect as to the affected Assets and will be subject
      to
      all provisions of this Agreement dealing with Title Defects except for Sections
      5.3, 5.4 and 5.5 of this Agreement. Buyer will reasonably cooperate with Seller
      in obtaining waivers of any preferential rights to purchase the
      Assets.

    

    
      	5.9	
              Consents
                to Assignment

            

    

    

    The
      transaction contemplated by this Agreement may be subject to various forms
      of
      consents to assignment. Masters will use all reasonable efforts to identify
      the
      appropriate parties, other than governmental entities, who have the right to
      consent to an assignment of the Assets after Closing. Masters will be
      responsible for obtaining all necessary consents prior to the Closing, except
      those consents of governmental authorities to the transfer of title to state
      leases included in the Assets that are customarily obtained after Closing.
      At
      the Closing Buyer shall provide confirmation that it has taken all reasonably
      necessary steps to comply with the requirements for it to qualify as the owner
      of leases granted by the State of Texas so that there is no impediment to its
      receiving the title to the Assets to be conveyed to it at the Closing.

    

    
      	5.10	
              Casualty
                Losses

            

    

    

    If
      subsequent to the signing of this Agreement and prior to the Closing, any
      material portion of the Assets are damaged or destroyed by fire, flood, storm
      or
      other casualty, are taken in condemnation or under the right of eminent domain
      or proceedings for those purposes are pending or threatened (collectively the
      “Casualty”), the following shall apply:

    

    
      	(A)  	
              If
                the estimated amount of the damages caused by the Casualty is less
                than
                $2.5 million, Masters agrees to make all repairs and/or replace all
                damages items so that the Assets are returned to their condition
                prior to
                the Casualty, and Buyer will purchase the Assets notwithstanding
                the
                Casualty and the Purchase Price will not be adjusted;
                or

            

    

    

    
      	(B)  	
              If
                the estimated amount of the damages caused by the Casualty exceeds
                $2.5
                million but the damages are estimated to be less than $10 million,
                then
                the Purchase Price shall be reduced by the estimated amount of the
                damages
                less any insurance proceeds actually received by Masters through
                the date
                of Closing, and Buyer will purchase the Assets notwithstanding the
                Casualty, and at the Closing Masters will pay to Buyer the aggregate
                of
                all insurance proceeds actually received by Masters through the date
                of
                Closing; Masters will not voluntarily compromise, settle or adjust
                any
                amounts payable by reason of the Casualty without first obtaining
                the
                written consent of Buyer; or

            

    

     

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

     

    
      	(C)  	
              If
                the estimated amount of the damages caused by the Casualty exceeds
                $10
                million, either of the Parties may elect to terminate this Agreement,
                in
                which event Buyer shall not be obligated to purchase and Masters
                shall not
                be obligated to sell the Assets, and the Deposit shall be returned
                to
                Buyer.

            

    

    

    For
      purposes of this Section 5.10, “estimated amount” shall mean the amount
      estimated by a third party acceptable to both Masters and Buyer.

    

    
      	5.11	
              Assumption
                of Risk of Title Defects

            

    

    

    Buyer
      acknowledges that:

    

    
      	(A)  	
              it
                has entered into this Agreement on the basis of its own investigation
                of
                the condition of the Assets; and

            

    

    

    
      	(B)  	
              at
                the Closing, BUYER WILL ACQUIRE THE ASSETS “AS IS, WHERE IS.” EXCEPT FOR
                MASTERS SPECIAL WARRANTY OF TITLE, MASTERS MAKES NO WARRANTY OR
                REPRESENTATION OF ANY KIND, INCLUDING WARRANTY OF MERCHANTABILITY
                OR
                WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE, AS TO THE ASSETS. MASTERS
                MAKES NO WARRANTY OR REPRESENTATION OF ANY KIND AS TO THE ACCURACY
                OR
                COMPLETENESS OF ANY DATA, INFORMATION OR MATERIAL FURNISHED TO BUYER
                IN
                CONNECTION WITH THE ASSETS, THE QUALITY OR QUANTITY OF HYDROCARBON
                RESERVES ATTRIBUTABLE TO THE ASSETS OR THE ABILITY OF THE ASSETS
                TO
                PRODUCE HYDROCARBONS. MASTERS MAKES NO WARRANTY OR REPRESENTATION
                OF ANY
                KIND THAT THE ASSETS ARE IN COMPLIANCE WITH THE LAWS, RULES, ORDERS
                AND
                REGULATIONS APPLICABLE TO THE
                ASSETS.

            

    

    

    
      	6.	
              ENVIRONMENTAL
                MATTERS

            

    

    

    
      	
              6.1 

            	
              Material
                Contamination Defined

            

    

    

    “Material
      Contamination” means the violation of existing federal, state or local laws,
      regulations or common law principles applicable to the environmental condition
      of the Assets which:

    

    
      	(A)  	
              if
                prosecution or clean up action was instituted by a governmental agency
                because of the violation, the prosecution would likely result in
                a
                criminal penalty, civil fine or damage assessment, or the removal
                or
                remediation of the contamination from the Assets, in an amount or
                at a
                cost greater than $50,000, based upon the estimate of a third party
                acceptable to both Masters and Buyer;
                and

            

    

    

    
      	(B)  	
              the
                contamination was not observable during Buyer’s pre-offer visits to the
                Property or pre-offer inspection of the
                Assets.

            

    

     

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

     

    
      	6.2	
              Material
                Defect Defined

            

    

    

    “Material
      Defect” means any environmental condition that if prosecution or clean up action
      was instituted by a governmental agency because of the violation, the
      prosecution would likely result in a criminal penalty, civil fine or damage
      assessment, or the removal or remediation of the contamination from the Assets,
      in an amount or at a cost greater than $50,000 on or after the Effective Date,
      based upon the estimate of a third party acceptable to both Masters and
      Buyer.

    

    
      	6.3	
              Environmental
                Defect Defined

            

    

    

    “Environmental
      Defect” means any Material Defect or Material Contamination.

    

    
      	6.4	
              Notice
                of Environmental Defect

            

    

    

    Buyer
      must notify Masters in writing (the “Notice of Environmental Defect”) of any
      matter Buyer reasonably considers to be an Environmental Defect. The Notice
      of
      Environmental Defect must be received by Masters by 5:00 p.m. Central Standard
      Time on the last day of the Examination Period (the “Environmental Defect Notice
      Date”). The Notice of Environmental Defect must include:

    

    
      	(A)  	
              a
                detailed description of the matter Buyer asserts as an Environmental
                Defect;

            

    

    

    
      	(B)  	
              a
                detailed description of the Assets that are affected by the Environmental
                Defect;

            

    

    

    
      	(C)  	
              Buyer’s
                calculation of the Material Defect or Material Contamination (the
“Value
                Impairment”). This amount is to be determined by Buyer in good faith and
                in a commercially reasonable manner;
                and

            

    

    

    
      	(D)  	
              reasonable
                supporting documentation of the Environmental
                Defect.

            

    

    

    
      	6.5	
              Waiver
                of Environmental Defect

            

    

    

    Buyer
      will be deemed to have waived:

    

    
      	(A)  	
              all
                Environmental Defects if Masters does not receive a Notice of
                Environmental Defect by the Environmental Defect Notice
                Date;

            

    

    

    
      	(B)  	
              any
                Environmental Defect which Buyer fails to assert in the Notice of
                Environmental Defect; and

            

    

    

    
      	(C)  	
              any
                Environmental Defect which Buyer accepts or assumes in completing
                the
                transaction contemplated by this
                Agreement.

            

    

     

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

    

    
      	6.6	
              Environmental
                Defect Threshold Amount and Purchase Price Adjustment for Environmental
                Defects.

            

    

    

    Buyer
      will not be entitled to an adjustment of the Purchase Price until the aggregate
      of the Value
      Impairment attributable to the Environmental Defects
      is
      greater than 5% of the Purchase Price (the “Environmental
      Defect
      Threshold Amount”). If the aggregate of the Value
      Impairments of all Environmental
      Defects
      exceed the Environmental
      Defect
      Threshold Amount, Buyer will be entitled to an adjustment of the Purchase Price
      for the entirety of the Value
      Impairments of all Environmental
      Defects.
      If the aggregate of the Value
      Impairments of all Environmental
      Defects
      are greater than 20% of the Purchase Price, Masters shall have the right, at
      its
      sole election, to cure the same or to terminate this Agreement and return the
      Deposit. In like manner, if the aggregate of the Value
      Impairments of all Environmental
      Defects
      are greater than 20% of the Purchase Price, Buyer shall have the right, at
      its
      sole election, to cause Masters to cure the same at its expense or to terminate
      this Agreement a recover the Deposit.

    

    
      	6.7	
              Intentionally
                Deleted.

            

    

    

    
      	6.8	
              Intentionally
                Deleted.

            

    

    

    
      	6.9	
              Assumption
                of Risk of Environmental
                Defects

            

    

    

    Buyer
      acknowledges that:

    

    
      	(A)  	
              the
                Assets have been used for oil and gas drilling and producing operations,
                related oilfield operations and possibly the storage and disposal
                of waste
                materials or hazardous substances. Physical changes in the Assets
                may have
                occurred as a result of these uses. The Assets include buried pipelines
                and other buried equipment and materials. The location of these Assets
                may
                not now be within the knowledge of Masters’ current employees, easily
                determined by an examination of Masters’ records or readily apparent by a
                physical inspection of the Property. Buyer understands that Masters
                does
                not have the requisite information with which to determine the exact
                nature or condition of these Assets nor the effect any of these uses
                may
                have had on the physical condition of these
                Assets;

            

    

    

    
      	(B)  	
              it
                has entered into this Agreement on the basis of its own investigation
                of
                the physical condition of the Assets, including subsurface
                conditions;

            

    

    

    
      	(C)  	
              the
                Assets have been used in the manner and for the purposes described
                in
                Section 6.9(A) of this Agreement and that physical changes to the
                Assets
                may have occurred as a result of those
                uses;

            

    

    

    
      	(D)  	
              low
                levels of naturally occurring radioactive material (“NORM”) may be present
                in or on the Assets. NORM is a natural phenomena associated with
                many oil
                fields in the United States and throughout the world. Buyer should
                make
                its own determination as to whether NORM exists in or on the Assets;
                and

            

    

     

    
      
        
        

      

      
        20

        
          

        

      

      
        
        

      

    

     

    
      	(E)  	
              at
                the Closing, BUYER WILL ACQUIRE THE ASSETS “AS IS, WHERE IS.” BUYER WILL
                ASSUME THE RISK THAT THE ASSETS MAY CONTAIN WASTE MATERIALS, CONTAMINANTS
                OR OTHER HAZARDOUS SUBSTANCES AND THAT ADVERSE PHYSICAL CONDITIONS,
                INCLUDING THE PRESENCE OF WASTE MATERIALS, CONTAMINANTS OR OTHER
                HAZARDOUS
                SUBSTANCES OR THE PRESENCE OF UNKNOWN ABANDONED OR UNABANDONED OIL
                AND GAS
                WELLS, WATER WELLS, SUMPS OR PIPELINES OR OTHER ENVIRONMENTAL DEFECTS,
                MAY
                EXIST IN OR ON THE ASSETS WHICH WERE NOT REVEALED BY BUYER’S
                INVESTIGATION. MASTERS MAKES NO WARRANTY OR REPRESENTATION OF ANY
                KIND
                THAT THE ASSETS ARE IN COMPLIANCE WITH THE ENVIRONMENTAL LAWS, RULES,
                ORDERS AND REGULATIONS APPLICABLE TO THE ASSETS. ALL ENVIRONMENTAL
                RESPONSIBILITY AND LIABILITY RELATED TO THE ASSETS WILL BE TRANSFERRED
                FROM MASTERS TO BUYER.

            

    

    

    
      	7.	
              PRE-CLOSING
                AND CONDITIONS TO CLOSING

            

    

    

    
      	7.1	
              Preliminary
                Settlement Statement

            

    

    

    No
      later
      than five (5) days prior to the Closing, Masters will deliver to Buyer a
      preliminary settlement statement reconciling any adjustments to the Purchase
      Price. The parties will use their best efforts to agree on the preliminary
      settlement statement no later than two (2) days prior to the Closing. If the
      parties are unable to resolve any differences in the preliminary settlement
      statement, Masters’ preliminary settlement statement will be used for the
      Closing.

    

    
      	7.2	
              Masters’
                Conditions to Closing

            

    

    

    The
      obligation of Masters to proceed with the Closing is subject to the
      following:

    

    
      	(A)  	
              all
                representations and warranties made by Buyer in this Agreement will
                be
                true and correct in all material respects at the
                Closing;

            

    

    

    
      	(B)  	
              Buyer
                will have performed and satisfied all provisions of this Agreement
                required to be performed or complied with by Buyer prior to the
                Closing;

            

    

    

    
      	(C)  	
              no
                action or proceeding by or before any governmental agency will have
                been
                instituted or threatened, and not subsequently dismissed, settled
                or
                otherwise terminated, which might restrain, prohibit or invalidate
                the
                transaction contemplated by this
                Agreement;

            

    

    

    
      	(D)  	
              the
                aggregate sum of all Title Defect adjustments under Section 5.6 of
                this
                Agreement do not exceed 20% of the Purchase Price or Environmental
                Defect
                adjustments under Section 6.7(D) of this Agreement do not exceed
                20% of
                the Purchase Price or any combination of the two exceeds 20% of the
                Purchase Price; and

            

    

     

    
      
        
        

      

      
        21

        
          

        

      

      
        
        

      

    

     

    
      	(E)  	
              all
                necessary filings and notifications, if any, under the HSR Act, as
                defined
                in Section 11.4 of this Agreement, will have been made and the waiting
                period under the HSR Act will have expired or been
                terminated.

            

    

    

    
      	
              7.3 

            	
              Buyer’s
                Conditions to Closing

            

    

    

    The
      obligation of Buyer to proceed with the Closing is subject to the
      following:

    

    
      	(A)  	
              all
                representations and warranties made by Masters in this Agreement
                will be
                true and correct in all material respects at the
                Closing;

            

    

    

    
      	(B)  	
              Masters
                will have performed and satisfied all provisions of this Agreement
                required to be performed or complied with by Masters prior to the
                Closing;

            

    

    

    
      	(C)  	
              no
                action or proceeding by or before any governmental agency will have
                been
                instituted or threatened, and not subsequently dismissed, settled
                or
                otherwise terminated, which might restrain, prohibit or invalidate
                the
                transaction contemplated by this
                Agreement;

            

    

    

    
      	(D)  	
              the
                aggregate sum of all Title Defect adjustments under Section 5.6 of
                this
                Agreement and Environmental Defect adjustments under Section 6.7(D)
                of
                this Agreement do not exceed 20% of the Purchase Price;
                and

            

    

    

    
      	(E)  	
              all
                necessary filings and notifications, if any, under the HSR Act will
                have
                been made and the waiting period under the HSR Act will have expired
                or
                been terminated.

            

    

    

    
      	8.	
              CLOSING

            

    

    

    
      	
              8.1
                

            	
              Date,
                Time and Place of Closing

            

    

    

    Unless
      the parties agree otherwise in writing and subject to the provisions in this
      Agreement, the completion of the transaction contemplated by this Agreement
      (the
“Closing”) will be held on December 11, 2006, at 10:00 a.m. Central Standard
      Time (or such earlier date or time as the parties may agree). The Closing will
      be held at the offices of Masters as set forth in the opening paragraph of
      this
      Agreement. Upon the written agreement of both parties, the Closing may be
      extended until January 15, 2007, but no later. 

    

    
      	8.2	
              Masters’
                Closing Obligations

            

    

    

    At
      the
      Closing, Masters will deliver to Buyer the following:

    

    
      	(A)  	
              a
                signed and acknowledged assignment and bill of sale that is substantially
                in the same form as Exhibit
                E
                (attached and incorporated into this
                Agreement);

            

    

     

    
      
        
        

      

      
        22

        
          

        

      

      
        
        

      

    

     

    
      	(B)  	
              a
                signed and acknowledged deed that is substantially in the same form
                as
                Exhibit
                F
                (attached and incorporated into this
                Agreement);

            

    

    

    
      	(C)  	
              signed
                and acknowledged transfer orders, or signed letters in lieu of transfer
                orders, directing all purchasers of production from or attributable
                to the
                Assets to make payment to Buyer;

            

    

    

    
      	
            	(D)	
              all
                necessary change of operator forms;
                and

            

    

    

    
      	(E)  	
              all
                other documents that are reasonably necessary to convey Masters’ entire
                interest in the Assets to Buyer.

            

    

    

    
      	8.3	
              Buyer’s
                Closing Obligations

            

    

    

    At
      the
      Closing, Buyer will deliver to Masters the balance of the Purchase
      Price.

    

    
      	9.	
              POST-CLOSING
                AND OBLIGATIONS AFTER
                CLOSING

            

    

    

    
      	9.1	
              Final
                Settlement Statement

            

    

    

    No
      later
      than 180 days after the Closing, Masters will deliver to Buyer a final
      settlement statement reconciling any adjustments to the Purchase Price,
      including any outstanding joint interest billings owed by either party or its
      affiliates to the other party or its affiliates, irrespective of whether the
      billings are related to the Assets. The parties will use their best efforts
      to
      agree on the final settlement statement. If within 30 days after Buyer receives
      the final settlement statement the parties are unable to agree on the final
      accounting, then the accounting firm of Ernst & Young will make a
      determination regarding the final accounting. The determination by Ernst &
Young will be final and binding upon Masters and Buyer. Final settlement will
      be
      made no later than 15 days after the parties’ agreement on the final settlement
      statement or a final determination is rendered by Ernst & Young. The fees
      charged by Ernst & Young for services rendered under this Section will be
      paid 50% by Masters and 50% by Buyer.

    

    
      	9.2	
              Additional
                Proceeds and Expenses After Final
                Settlement

            

    

    

    After
      final settlement has been made, if additional proceeds are received by or
      expenses paid by either Masters or Buyer for or on behalf of the other which
      relate to the Assets, settlement of those proceeds or expenses will be made
      by
      invoicing the other party for the expenses paid or remitting to the other party
      any proceeds received within 30 days after receipt of the invoice or
      funds.

    

    
      	9.3	
              Transfer
                of Operations

            

    

    

    Except
      as
      provided under Section 9.4 of this Agreement, immediately after the Closing,
      Buyer will take possession of the Assets, where they are located, and assume
      operation of the Assets. Masters and Buyer will cooperate with each other and
      use all reasonable efforts to accomplish the transfer of operation of the Assets
      from Masters to Buyer. Masters will make available to Buyer for a period not
      to
      extend beyond December 31, 2006, such professional and administrative personnel
      as Buyer may request in order to assist Buyer with the transition for taking
      over operations of the Assets. Buyer agrees to compensate Masters in accordance
      with the schedule of fees and rates attached to this Agreement as Schedule
      9.3
      for the time devoted to its operations by Masters personnel. 

    

    
      
        
        

      

      
        23

        
          

        

      

      
        
        

      

    

     

    
      	9.4	
              Delivery
                of Contracts and Records

            

    

    

    Within
      five days after the Closing, Masters will deliver to Buyer, at Buyer’s expense,
      the originals of the Contracts and Records. Buyer will retain and make available
      to Masters for 7 calendar years following the Closing, in Buyer’s office during
      normal business hours, the Contracts and Records.

    

    
      	9.5	
              Recording
                and Filing

            

    

    

    Buyer
      will be solely responsible for the filing and recording of all instruments
      relating to the Assets and the filing of all necessary forms, declarations
      and
      bonds with federal and state agencies relating to its assumption of the
      operations of the Assets. Buyer will promptly provide Masters, at no cost,
      copies of the recorded instruments and approved filings.

    

    
      	
              9.6

            	
              Apportionment
                of Credits and Payment
                Obligations

            

    

    

    All
      credits and payment obligations associated with the Assets, including royalties,
      lease rentals and other forms of contractual payments, will be apportioned
      between Masters and Buyer as of the Effective Date. Masters will be responsible
      for all credits and payment obligations attributable to periods prior to the
      Effective Date and Buyer will be responsible for all credits and payment
      obligations attributable to periods on and after the Effective
      Date.

    

    
      	9.7	
              Apportionment
                of Funds of Third Parties

            

    

    

    Despite
      anything in Section 9.6 of this Agreement to the contrary, at the Closing,
      Masters will deliver to Buyer, through an adjustment of the Purchase Price
      under
      Section 2.3(F) of this Agreement, all funds representing the value or proceeds
      of production removed or sold from the Assets attributable to the interest
      of
      third parties, other than amounts held by Masters as being less than the minimum
      royalty amount to be paid which Masters will pay prior to the Closing, and
      held
      by Masters in accounts from which payments have been suspended. Buyer will
      be
      solely responsible for the proper distribution of these funds after receiving
      them from Masters, including all obligations to identify and locate the persons
      or entities entitled to the funds and to report and escheat the
      funds.

    

    
      	9.8	
              Apportionment
                of Real Estate, Personal Property and Other
                Taxes

            

    

    

    All
      real
      estate, occupation, ad valorem, personal property, excise, production,
      severance, gross receipts, conservation and other similar taxes and charges
      associated with the Assets will be apportioned between Masters and Buyer as
      of
      the Effective Date. Masters
      will pay all taxes and charges attributable to periods prior to the Effective
      Date and Buyer will pay all taxes and charges attributable to periods on and
      after the Effective Date. If
      Buyer
      pays additional taxes or charges which are assessed upon or levied against
      any
      of the Assets after the Closing with respect to any periods prior to the
      Effective Date, Masters will reimburse Buyer the amount of the additional taxes
      or charges upon presentation of a receipt, if those taxes or charges were not
      credited to Buyer in calculating adjustments to the Purchase Price under Section
      2.3 of this Agreement. If Masters elects to challenge the validity of the
      assessment or levy, Buyer will cooperate with Masters in the challenge at no
      expense to Masters.

    

    
      
        
        

      

      
        24

        
          

        

      

      
        
        

      

       

    

    
      	9.9	
              Sales,
                Use and Transfer Tax

            

    

    

    The
      Purchase Price does not include any sales, use or transfer taxes that may be
      imposed in connection with the transaction contemplated by this Agreement.
      After
      the Closing, Buyer will pay to the appropriate taxing authority all sales,
      use,
      transfer and other similar taxes and all recording and transfer fees due as
      result of Masters’ sale of the Assets to Buyer. Masters will reasonably
      cooperate with Buyer in demonstrating that the requirements for an isolated
      or
      occasional sale or any other sales tax exemption have been met.

    

    
      	9.10	
              Signs

            

    

    

    Within
      30
      days after the Closing, Buyer, at its own expense, will remove all references
      to
      Masters, including its name and logo and those of its predecessors, from all
      signs and placards on the Property which identify or indicate Masters’ prior
      ownership of the Assets.

    

    
      	9.11	
              Further
                Assurances

            

    

    

    After
      the
      Closing, Masters and Buyer will sign, acknowledge and deliver any instrument
      or
      take any other action as may be necessary to carry out their obligations under
      this Agreement.

    

    
      	9.12	
              Compliance

            

    

    

    After
      the
      Closing,
      Buyer
      will comply in all material respects with all laws, rules, regulations,
      ordinances, codes, orders, licenses, and permits relating to the Assets. Buyer
      will acquire licenses, approvals and consents from appropriate local, tribal,
      state and federal governmental bodies, authorities and agencies known to Buyer
      to be necessary to conduct its operations in compliance with all applicable
      Environmental Laws, and to Buyer’s knowledge each of the following statements
      shall be true and accurate: Buyer will have properly made all filings, necessary
      or appropriate to obtain such licenses or permits and to own and operate the
      Assets; and such licenses, permits, and filings shall be in full force and
      effect.

    

    
      	9.13	
              Indemnification
                and Assumption of
                Obligations

            

    

    

    AFTER
      THE
      CLOSING, BUYER WILL ASSUME FULL RESPONSIBILITY FOR THE ASSETS, INCLUDING ALL
      OPERATIONS, ROYALTY PAYMENTS, RENTAL PAYMENTS, SUSPENSE ACCOUNTS AND ALL
      ACCOUNTING AND REPORTING RELATING TO THE ASSETS FOR ALL PERIODS, AND WILL
      INDEMNIFY MASTERS, ITS OFFICERS, DIRECTORS, EMPLOYEES AND AGENTS AND HOLD THEM
      HARMLESS FOR ALL EXPENSES, SETTLEMENTS, JUDGMENTS, COURT COSTS, INTEREST AND
      ATTORNEY’S FEES ARISING BEFORE, ON OR AFTER THE CLOSING WHICH RELATE IN ANY WAY
      TO THE ASSETS, INCLUDING THE PLUGGING AND ABANDONMENT OF EXISTING WELLS,
      LIABILITY FOR PREVIOUSLY PLUGGED AND ABANDONED WELLS, THE RESTORATION OF THE
      SURFACE OF THE PROPERTY AS MAY BE REQUIRED UNDER ANY APPLICABLE LEASE OR AS
      MAY
      BE REQUIRED BY ANY FEDERAL, STATE OR LOCAL AGENCY AND THE REMOVAL OF OR FAILURE
      TO REMOVE ANY SUMPS, FOUNDATION, STRUCTURES OR EQUIPMENT FROM THE
      PROPERTY.

    

    
      
        
        

      

      
        25

        
          

        

      

      
        
        

      

    

     

    
      	9.14	
              Indemnification
                and Assumption of Environmental
                Risks

            

    

    

    AFTER
      THE
      CLOSING, BUYER WILL BE FULLY RESPONSIBLE FOR AND WILL INDEMNIFY MASTERS, ITS
      OFFICERS, DIRECTORS, EMPLOYEES AND AGENTS AND HOLD THEM HARMLESS FOR ALL
      EXPENSES, SETTLEMENTS, JUDGMENTS, COURT COSTS, INTEREST AND ATTORNEY’S FEES
      CAUSED BY OR ARISING OUT OF ANY CURRENT OR SUBSEQUENTLY ENACTED FEDERAL, STATE
      OR LOCAL LAW, RULE, ORDER OR REGULATION, APPLICABLE TO ANY WASTE MATERIAL OR
      HAZARDOUS SUBSTANCES ON OR INCLUDED WITH THE ASSETS OR THE PRESENCE, DISPOSAL,
      RELEASE OR THREATENED RELEASE OF ALL WASTE MATERIAL OR HAZARDOUS SUBSTANCE
      FROM
      THE ASSETS INTO THE ATMOSPHERE OR INTO OR UPON LAND OR ANY WATER COURSE OR
      BODY
      OF WATER, INCLUDING GROUND WATER, OR DISPOSAL OF ANY WASTE MATERIAL OR HAZARDOUS
      SUBSTANCES ON OR INCLUDED WITH THE ASSETS, WHETHER OR NOT ATTRIBUTABLE TO
      MASTERS’ ACTIVITIES OR OWNERSHIP OR THE ACTIVITIES OF MASTERS’ OFFICERS,
      DIRECTORS, EMPLOYEES OR AGENTS OR TO THE ACTIVITIES OF THIRD PARTIES, REGARDLESS
      OF WHETHER OR NOT MASTERS WAS OR IS AWARE OF THE ACTIVITIES, PRIOR TO, DURING
      OR
      AFTER THE PERIOD OF MASTERS’ OWNERSHIP OF THE ASSETS. THIS ASSUMPTION OF
      RESPONSIBILITY AND INDEMNIFICATION WILL APPLY TO LIABILITY FOR ANY ENVIRONMENTAL
      RESPONSE ACTIONS BROUGHT UNDER THE COMPREHENSIVE ENVIRONMENTAL RESPONSE
      COMPENSATION AND LIABILITY ACT OR ANY OTHER FEDERAL, STATE OR LOCAL
      LAW.

    

    
      	10.	
              TERMINATION
                OR BREACH OF AGREEMENT

            

    

    

    
      	10.1	
              Termination

            

    

    

    This
      Agreement and the transaction contemplated by this Agreement may be
      terminated:

    

    
      	 	
              (A)
                

            	
              by
                Masters pursuant to Section 5.5 or if any of the conditions under
                Section
                7.2 of this Agreement are not satisfied in all material respects
                or waived
                as of the Closing;

            

    

    

    
      	 	
              (B)
                

            	
              by
                Buyer if any of the conditions under Section 7.3 of this Agreement
                are not
                satisfied in all material respects or waived as of the Closing;
                or

            

    

    

    
      	
            	(C)	
              at
                any time by the written agreement of the
                parties.

            

    

     

    
      
        
        

      

      
        26

        
          

        

      

      
        
        

      

    

     

    
      	10.2	
              Liability
                Upon Termination

            

    

    

    
      	
            	(A)	
              If
                this Agreement is terminated under Section 10.1(A) of this Agreement,
                Masters will have no liability under this Agreement to Buyer, except
                as
                otherwise provided in this
                Agreement.

            

    

    

    
      	 	
              (B)
                

            	
              If
                this Agreement is terminated under Section 10.1(B) of this Agreement,
                Masters will refund the Deposit to Buyer, and Buyer will have no
                liability
                under this Agreement to Masters, except as otherwise provided in
                this
                Agreement.

            

    

    

    
      	 	
              (C)
                

            	
              If
                this Agreement is terminated under Section 10.1(C) of this Agreement,
                neither party will have any further right, duty to or claim against
                the
                other party under this Agreement, except as otherwise provided in
                this
                Agreement, and Masters shall be entitled to retain the
                Deposit.

            

    

    

    
      	10.3	
              Liquidated
                Damages

            

    

    

    IF
      THE
      TRANSACTION CONTEMPLATED BY THIS AGREEMENT IS NOT COMPLETED BY THE CLOSING
      BY
      REASON OF MATERIAL BREACH OR DEFAULT OR FAILURE TO PROCEED BY BUYER, EXCEPT
      UNDER SECTION 10.1(B) OF THIS AGREEMENT, MASTERS WILL, IN CONSIDERATION OF
      HOLDING THE ASSETS OFF THE MARKET AND REFRAINING FROM DEALING WITH OTHERS
      CONCERNING THE ASSETS AND AS LIQUIDATED DAMAGES IN LIEU OF ALL OTHER DAMAGES,
      AND AS MASTERS’ SOLE REMEDY, RETAIN THE DEPOSIT. THE EXTENT OF DAMAGES TO
      MASTERS OCCASIONED BY MATERIAL BREACH OR DEFAULT OR FAILURE TO PROCEED BY BUYER
      WILL BE IMPOSSIBLE OR EXTREMELY IMPRACTICABLE TO ASCERTAIN AND THE DEPOSIT
      IS A
      FAIR AND REASONABLE ESTIMATE OF MASTERS’ DAMAGES UNDER THE
      CIRCUMSTANCES.

    

    
      	10.4	
              No
                Limitation on Remedies

            

    

    

    Except
      as
      provided in Sections 10.2 and 10.3 of this Agreement, nothing contained in
      this
      Agreement will limit either party’s legal or equitable remedies in the event of
      a breach of this Agreement.

    

    
      	11.	
              MISCELLANEOUS
                PROVISIONS

            

    

    

    
      	
              11.1 

            	
              Costs

            

    

     

    Except
      as
      otherwise provided in this Agreement, all costs incurred by Masters or Buyer
      relating to this Agreement will be paid by the party incurring the
      debt.

    
      

      
        
          
          

        

        
          27

          
            

          

        

        
          
          

        

         

      

    

    
      	11.2	
              Notices

            

    

    

    All
      notices and communications to be given under this Agreement will be in writing
      and will be delivered in person, faxed with receipt acknowledged or mailed
      by
      certified mail, postage prepaid, to the party at the address listed below.
      Either party may, by written notice to the other party, change the address
      or
      individual to which delivery will be made under this Section.

    

      
        	 	
                Masters

              	 	
                Buyer

              
	 	
                Masters
                  Resources, LLC

              	 	
                Tekoil
                  & Gas Corporation

              
	 	
                Attn:
                  Mr. Cris Garcia

              	 	
                Attn:
                  Mr. Mark Western

              
	 	
                9801
                  Westheimer, Suite 1070

              	 	
                5036
                  Dr. Phillips Blvd., Suite 232

              
	 	
                Houston,
                  Texas 77042

              	 	
                Orlando,
                  Florida 32819

              
	 	
                Facsimile:
                  832/252-1805

              	 	
                Facsimile:
                  407/352-8709

              

      

    
      	11.3	
              Press
                Releases

            

    

    

    Except
      as
      to information required to be disclosed under the laws, rules or regulations
      of
      any governmental agency or stock exchange, prior to making any press release
      or
      other public announcement concerning this Agreement, the parties will consult
      with each other and use their best efforts to agree upon the text of the press
      release or announcement.

    

    
      	11.4	
              Antitrust
                Laws

            

    

    

    If
      this
      Agreement is subject to Title II of the Hart-Scott-Rodino Antitrust Improvement
      Act of 1976 (the “HSR Act”), as amended, or any rules or regulations promulgated
      under the HSR Act, the parties will make all filings with and provide all
      information to the Federal Trade Commission as required by the HSR Act as soon
      as practicable after signing this Agreement.

    

    
      	11.5	
              Governing
                Law

            

    

    

    This
      Agreement will be governed by the laws of the State of Texas without regard
      to
      rules concerning conflicts of law and in the event that any judicial proceeding
      is brought to interpret or enforce this Agreement, venue shall lie in Houston,
      Harris County, Texas. 

    

    
      	11.6	
              Time

            

    

    

    Time
      is
      of the essence of this Agreement.

    

    
      	
              11.7

            	
              Severability

            

    

    

    If
      any
      provision in this Agreement is held to be invalid, the invalidity of that
      provision will in no way affect any other provision in this Agreement, unless
      the invalidity materially prejudices either party in their respective rights
      and
      obligations under the valid provisions of this Agreement.

    

    
      	11.8	
              Ambiguity

            

    

    

    If
      an
      ambiguity exists in this Agreement, the ambiguity will not be construed for
      or
      against either party on the basis that the party did or did not author this
      Agreement.

    

    
      
        
        

      

      
        28

        
          

        

      

      
        
        

      

    

     

    
      	11.9	
              Waiver

            

    

    

    The
      waiver or failure of either party to enforce any provision in this Agreement
      will not be construed as a waiver of any further breach of that provision or
      of
      any other provision in this Agreement.

    

    
      	11.10	
              Survival

            

    

    

    The
      covenants, agreements, representations, guaranties and warranties contained
      in
      this Agreement will survive the Closing for a period of 180 days and will not
      be
      extinguished by the doctrine of merger.

    

    
      	11.11	
              Counterparts

            

    

    

    This
      Agreement may be signed in any number of counterparts. Each and every
      counterpart will be deemed to be one document.

    

    
      	11.12	
              Amendment

            

    

    

    This
      Agreement may be amended only by a written instrument signed by the
      parties.

    

    
      	11.13	
              Successors
                and Assigns

            

    

    

    This
      Agreement binds the parties as well as their heirs, successors and
      assigns.

    

    
      	11.14	
              Assignability

            

    

    

    Except
      as
      provided under Section 1.4 of this Agreement, neither party may transfer or
      assign this Agreement without the other party’s prior written
      consent.

    

    
      	11.15	
              Headings

            

    

    

    The
      headings used in this Agreement are for administrative convenience only and
      will
      not be used for purposes of construing this Agreement.

    

    
      	11.16	
              Entire
                Agreement

            

    

    

    This
      Agreement constitutes the complete understanding of the parties. This Agreement
      supersedes all previous representations and agreements concerning the subject
      matter of this Agreement.

    

    [REMAINDER
      OF PAGE INTENTIONALLY BLANK. SIGNATURES ARE ON FOLLOWING
      PAGE.]

    
      
        
        

      

      
        29

        
          

        

      

      
        
        

      

    

     

    
      	Signed:
              November 13th,
              2006.	 	 
	 	
              MASTERS
                RESOURCES, L.L.C.

            
	 
 	 
 	 
 
	 	By:  	/s/ John
              W. Barton
	 	
              
John
              W. Barton, Managing Member
	 	 

      	 	 	 
	 	TEKOIL
              & GAS CORPORATION
	 
 	 
 	 
 
	 	By:  	/s/ Mark
              S.
              Western
	 	
              
Mark
              Western, Chairman and CEO
	 	
            

    

    Exhibit
      A
      - The Assets

    Exhibit
      B
      - The Wells

    Exhibit
      C
      - Contracts relating to the Assets

    Exhibit
      D
      - Allocated Values of the Assets

    Exhibit
      E
      - Form of Assignment and Bill of Sale 

    Exhibit
      F
      - Form of Deed

    

    Schedule
      1.1(C) - Equipment 

    Schedule
      1.2(A) - Excluded oil and gas properties 

    Schedule
      1.2(B) - Personal Property owned by Masters Offshore, LLC

    Schedule 3.1(G)
      - Litigation 

    Schedule 3.1(H)
      - Agreements affecting the exploration and development of the
      Assets

    Schedule 3.1(I)
      - Preferential rights to purchase

    Schedule 3.1(J)
      - Burdens on production created by Masters

    Schedule 3.1(M)
      - Environmental claims

    

    
      
        
        

      

      
        30

        
          

        

      

      
        
        

      

    

    Exhibit
      “A”

    Attached
      to and made a part of Purchase and Sale Agreement dated effective October 1,
      2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
      Seller, and Tekoil 
& Gas Corporation, as
      Buyer.

    
      	 	 
	
              Trinity
                Bay, Chambers County, Texas 

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0001-000

            
	
              Lessor:
                

            	
              State
                of Texas 30081

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/11/46
                

            
	
              Recording:
                

            	
              Vol.
                99, Page 267 

            
	
              Description:
                

            	
              640
                acres being State Tract 18-19A, Galveston & Turtle Bays
                

            
	 	
              From
                surface to 8500' 

            
	
               

            	 
	
              Masters
                Lease No. 

            	
              100-0002-000

            
	
              Lessor:
                

            	
              State
                of Texas 30082

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/11/46
                

            
	
              Recording:
                

            	
              Vol.
                99, Page 271 

            
	
              Description:
                

            	
              640
                acres being State Tract 22-23A, Galveston & Turtle Bays
                

            
	 	
              From
                surface to 8500' 

            
	 	 
	
              Masters
                Lease No.

            	
              100-0003-000

            
	
              Lessor:
                

            	
              State
                of Texas 30094

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/11/46
                

            
	
              Recording:
                

            	
              Vol.
                99, Page 404 

            
	
              Description:
                

            	
              303
                acres being State Tract 21A, Galveston & Turtle Bays
                

            
	 	
              From
                surface to 8500' 

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0004-000

            
	
              Lessor:
                

            	
              State
                of Texas 33740

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48
                

            
	
              Recording:
                

            	
              Vol.
                117, Page 532 

            
	
              Description:
                

            	
              640
                acres being State Tract 14-15B, Galveston Bay 

            
	 	
              From
                surface to 8500' 

            
	 	 
	
              Masters
                Lease No.

            	
              100-0005-000

            
	
              Lessor:
                

            	
              State
                of Texas 33743

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48
                

            
	
              Recording:
                

            	
              Vol.
                117, Page 544 

            
	
              Description:
                

            	
              640
                acres being State Tract 18-19B, Galveston Bay 

            
	 	
              From
                surface to 8500' 

            
	 	 
	
              Masters
                Lease No.

            	
              100-0006-000

            
	
              Lessor:
                

            	
              State
                of Texas 33746

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48
                

            
	
              Recording:
                

            	
              Vol.
                117, Page 552 

            
	
              Description:
                

            	
              640
                acres being State Tract 22-23B, Galveston Bay 

            
	 	
              From
                surface to 8500' 

            
	 	 
	
              Masters
                Lease No.

            	
              100-0007-000

            
	
              Lessor:
                

            	
              State
                of Texas 33749

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48

            
	
              Recording:
                

            	
              Vol.
                117, Page 564 

            
	
              Description:
                

            	
              303
                acres being State Tract 25A, Galveston Bay 

            
	 	
              From
                surface to 8500' 

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

      Exhibit
        “A”

      Attached
        to and made a part of Purchase and Sale Agreement dated effective October
        1,
        2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
        Seller, and Tekoil 
& Gas Corporation, as
        Buyer.

    

     

    
      	
              Masters
                Lease No.

            	
              100-0008-000

            
	
              Lessor:
                

            	
              State
                of Texas 33750

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48

            
	
              Recording:
                

            	
              Vol.
                117, Page 568 

            
	
              Description:
                

            	
              320
                acres being State Tract 25-B, Galveston Bay 

            
	 	
              From
                surface to 8500' 

            
	 	 
	
              Masters
                Lease No.

            	
              100-0009-000

            
	
              Lessor:
                

            	
              State
                of Texas 33751

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48
                

            
	
              Recording:
                

            	
              Vol.
                117, Page 572 

            
	
              Description:
                

            	
              640
                acres being State Tract 26-27A, Galveston Bay, less 70 

            
	 	
              Acres
                being the S/2 SW/4 NW/4, NW/4 SW/4 & N/2 N/2 SW/4 SW/4 leaving 570
                acres, more or less, from surface to 8500' 

            
	 	 
	
              Masters
                Lease No.

            	
              100-0010-000

            
	
              Lessor:
                

            	
              State
                of Texas 33752

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48

            
	
              Recording:
                

            	
              Vol.
                117, Page 576 

            
	
              Description:
                

            	
              640
                acres being State Tract 26-27B, Galveston Bay, less 140

            
	 	
              Acres
                being the S/2 S/2 NE/4, N/2 SE/4 & N/2 N/2 S/2 SE/4 
                leaving
                  500 acres, more or less, from surface to 8500' 

              

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0011-000

            
	
              Lessor:
                

            	
              State
                of Texas 33753

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48
                

            
	
              Recording:
                

            	
              Vol.
                117, Page 580 

            
	
              Description:
                

            	
              454.211
                acres according to resurvey but called 540 acres 
                being
                  State Tract 28-B, Galveston Bay, from surface to 8500'
                  

              

            
	 	 
	
              Masters
                Lease No.

            	
              100-0012-000

            
	
              Lessor:
                

            	
              State
                of Texas 33754

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48
                

            
	
              Recording:
                

            	
              Vol.
                117, Page 584 

            
	
              Description:
                

            	
              405.464
                acres according to resurvey but called 477 acres being State Tract
                29-B,
                Galveston Bay, from surface to 8500' 

            
	 	 
	
              Masters
                Lease No.

            	
              100-0013-000

            
	
              Lessor:
                

            	
              State
                of Texas 33755

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/17/48
                

            
	
              Recording:
                

            	
              Vol.
                117, Page 588 

            
	
              Description:
                

            	
              486.56
                acres according to resurvey but called 606 acres 

            
	 	
              being
                State Tract 29-32A, Galveston Bay, from surface to 8500'
                

            
	
               

            	 
	
              Masters
                Lease No.

            	
              100-0014-000

            
	
              Lessor:
                

            	
              State
                of Texas 34332

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/13/49
                

            
	
              Recording:
                

            	
              Vol.
                119, Page 616 

            
	
              Description:
                

            	
              303
                acres being State Tract 24A, Galveston Bay 

            
	 	
              From
                surface to 8500' 

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Exhibit
      “A”

    
      Attached
        to and made a part of Purchase and Sale Agreement dated effective October
        1,
        2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
        Seller, and Tekoil 
& Gas Corporation, as
        Buyer.

    

     

    
      	 	 
	
              Masters
                Lease No. 

            	
              100-0015-000

            
	
              Lessor:
                

            	
              State
                of Texas 34334

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/13/49
                

            
	
              Recording:
                

            	
              Vol.
                119, Page 612 

            
	
              Description:
                

            	
              303
                acres being State Tract 28A, Galveston Bay, 

            
	 	
              From
                surface to 8500' 

            
	
               

            	 
	
              Masters
                Lease No.

            	
              100-0016-000

            
	
              Lessor:
                

            	
              State
                of Texas 38504

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              03/12/52
                

            
	
              Recording:
                

            	
              Vol.
                142, Page 16 

            
	
              Description:
                

            	
              1198
                acres being State Tract 22-23C, Trinity Bay 

            
	 	
              From
                surface to 8500' 

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0017-000

            
	
              Lessor:
                

            	
              State
                of Texas 37662

            
	
              Lessee:
                

            	
              Union
                Oil Co of California

            
	
              Lease
                Date: 

            	
              10/10/51
                

            
	
              Recording:
                

            	
              Vol.
                141, Page 585 

            
	
              Description:
                

            	
              640
                acres being State Tract 18-19C, Trinity Bay 

            
	 	
              From
                surface to 8500' 

            
	
               

            	 
	
              Masters
                Lease No.

            	
              100-0018-000

            
	
              Lessor:
                

            	
              State
                of Texas M-44166

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              05/10/55
                

            
	
              Recording:
                

            	
              Vol.
                167, Page 388 

            
	
              Description:
                

            	
              W
                160 acres being State Tract 32-B, Trinity Bay, being that
                

            
	 	
              Portion
                included in the Trinity Bay Field Unit as established 

            
	 	
              By
                Pooling Agreement dated 10/4/57 recorded in Vol. 195, Pg 432 from
                surface
                to 8500' 

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0019-000

            
	
              Lessor:
                

            	
              State
                of Texas 48045

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/10/57
                

            
	
              Recording:
                

            	
              Vol.
                194, Page 34 

            
	
              Description:
                

            	
              W
                160 acres being the W/2 of State Tract 24-B, Trinity Bay,
                

            
	 	
              Being
                that portion included in the Trinity Bay Field Unit as 

            
	 	
              Established
                by Pooling Agreement dtd 10/4/57 recorded in Vol 195,
                Pg 432, from surface to 8500' 

            
	 	
               

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0020-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 810030

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              03/01/01
                

            
	
              Recording:
                

            	
              Vol.
                510, Page 237 

            
	 	 
	 	 
	
              Masters
                Lease No.

            	
              100-0021-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 800126

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              06/01/00
                

            
	
              Recording:
                

            	
              Vol.
                466, Page 291 

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      Exhibit
        “A”

      
        Attached
          to and made a part of Purchase and Sale Agreement dated effective October
          1,
          2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
          Seller, and Tekoil 
& Gas Corporation, as
          Buyer.

      

       

    

    
      	 	 
	
              Masters
                Lease No. 

            	
              100-0022-000

            
	
              Lessor:
                

            	
              Chambers
                -Liberty Cos Navigation District 

            
	
              Lessee:
                

            	
              Exxon
                Corporation

            
	
              Lease
                Date: 

            	
              10/21/87
                

            
	
              Recording:
                

            	
              Vol.
                28, Page 574 

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0023-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 860241

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              12/01/06
                

            
	
              Recording:
                

            	
              Vol.
                891, Page 258 

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0024-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 860176

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              09/01/06
                

            
	
              Recording:
                

            	
              Vol.
                871, Page 634 

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0025-000

            
	
              Lessor:
                

            	
              Chambers-Liberty
                Cos Navigation Dist

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              11/16/66

            
	
              Recording:
                

            	
              Vol.
                280, Page 119 

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0026-000

            
	
              Lessor:
                

            	
              Exxon
                Corporation

            
	
              Lessee:
                

            	
              Vintage
                Petroleum Inc.

            
	
              Lease
                Date: 

            	
              05/01/91

            
	
              Recording:
                

            	
              Vol.
                244, Page 588 

            
	 	 
	
              Masters
                Lease No.

            	
              100-0027-000

            
	
              Lessor:
                

            	
              Dept
                of Army Corp of Engineers 9161

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              12/03/93

            
	
              Recording:
                

            	
              unrecorded

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0028-000

            
	
              Lessor:
                

            	
              Dept
                of Army Corp of Engineers Permit W-N-243-41-3719

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              01/03/57

            
	
              Recording:
                

            	
              unrecorded

            
	 	 
	
              Masters
                Lease No.

            	
              100-0029-000

            
	
              Lessor:
                

            	
              Dept
                of Army Corp of Engineers Permit W-N-243-41-7041

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              01/03/69

            
	
              Recording:
                

            	
              unrecorded

            
	 	 
	
              Masters
                Lease No. 

            	
              100-0030-000

            
	
              Lessor:
                

            	
              Dept
                of Army Corp of Engineers Permit W-N-243-41-1466

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              03/05/51

            
	
              Recording:
                

            	
              unrecorded

            
	 	 
	
               

            	 
	
              Masters
                Lease No. 

            	
              100-0031-000

            
	
              Lessor:
                

            	
              Texas
                Petroleum Investment Co.

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              11/24/03

            
	
              Recording:
                

            	
              File
                No. 03 669 242

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      Exhibit
        “A”

      
        Attached
          to and made a part of Purchase and Sale Agreement dated effective October
          1,
          2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
          Seller, and Tekoil 
& Gas Corporation, as
          Buyer.

      

       

    

    
      	 	 
	
              Fishers
                Reef Prospect, Chambers County, Texas

            
	 	 
	
              Masters
                Lease No.

            	
              101-0001-000

            
	
              Lessor:
                

            	
              State
                of Texas M-96828

            
	
              Lessee:
                

            	
              Vintage
                Petroleum Inc.

            
	
              Lease
                Date: 

            	
              10/03/95

            
	
              Recording:
                

            	
              File
                No. 95 284 730

            
	
              Description:
                

            	
              240
                acres out of 320 acres being the NE/2 of State Tract 2-3A,
                

            
	 	
              Trinity
                Bay, as shown on the official map of Trinity Bay in 

            
	 	
              Texas
                General Land Office as follows: 80 acres being the E/2 

            
	 	
              NE/4
                limited to depths from 9350' to 10500' as shown on the 

            
	 	
              Log
                of Vintage ST Tr 1-4A well #1 located in the aerial Boundaries
                of State Tract 1-4A Unit recorded under File No. 02 551 735, Chambers
                Co.,
                TX and 160 acres being the W/2 NE/4, SE/4SW/4NW/4, SE/2NE/4NW/4,
                SE/2SW/4NE/4NW/4, E/2 NE/4NW/4 and SE/4NW/4 limited to depth from
                Frio Fmn
                to Vicksburg Fmn as seen on log of St Tr 2-3A #1 well located in
                aerial
                boundaries of State Tract 2-3A Unit recorded under File No. 98 395
                73,
                Chambers Co., TX.

            
	
            	 
	
              Masters
                Lease No.

            	
              101-0002-000

            
	
              Lessor:
                

            	
              State
                of Texas M-96829

            
	
              Lessee:
                

            	
              Vintage
                Petroleum Inc.

            
	
              Lease
                Date: 

            	
              10/03/95

            
	
              Recording:
                

            	
              File
                No. 95 284 739 

            
	
              Description:
                

            	
              280
                acres out of 320 acres being the SW/2 of State Tract 2-3A, Trinity
                Bay, as shown on the official map of Trinity Bay in Texas
                General Land Office as follows: 110 acres being the
                

            
	 	
              SE/4SE/4,
                SW/4 SE/4, S/2NE/4SE/4 and S/2N/2NE/4SE/4 

            
	 	
              Limited
                to depths below 9050’ as seen in Humble C-95 well in

            
	 	
              State
                Tract 46 as described in St Tr 46 #1 pooling agreement 

            
	 	
              Recorded
                under File No. 98 395 65; 160 acres being the 

            
	 	
              NW/4SE/4,
                E/2SW/4 and E/2W/3SW/4 limited to depths from 

            
	 	
              8950’
                to 9950’ as seen on St Tr 2-3A #1 well as described in 

            
	 	
              St
                Tr 2-3A Unit #1 recorded under File No. 98 395 73 and 

            
	 	
              10
                acres being N/2N/2NE/4SE/4 limited to depths below Frio

            
	 	
              15
                Sand located at 9040’ as shown on Humble State well No.

            
	 	
              C-12
                as described in St Tr 1-4A Unit recorded under File No.

            
	 	
              00
                467 586.

            
	 	 
	
              Masters
                Lease No.

            	
              101-0003-000

            
	
              Lessor:
                

            	
              State
                of Texas M-96830

            
	
              Lessee:
                

            	
              Vintage
                Petroleum Inc.

            
	
              Lease
                Date: 

            	
              10/03/95

            
	
              Recording:
                

            	
              File
                No. 95 284 748

            
	
              Description:
                

            	
              40
                acres out of 320 acres being the SW/2 of State Tract 6-7A,
                

            
	 	
              Trinity
                Bay, as shown on the official map of Trinity Bay in 

            
	 	
              Texas
                General Land Office as follows: SE/4SE/4 of St Tr 6-7A 

            
	 	
              Limited
                to the Frio Fmn being 9350’ to 10500’ as shown on log Of
                Vintage Pet St Tr 1-4A well No. 1 as reflected in St Tr 1-4A Unit
                Agreement dated eff 12/1/01 recorded File No. 02 551
                735.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      Exhibit
        “A”

      
        Attached
          to and made a part of Purchase and Sale Agreement dated effective October
          1,
          2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
          Seller, and Tekoil 
& Gas Corporation, as
          Buyer.

      

       

    

    
      	
              Masters
                Lease No. 

            	
              101-0004-000

            
	
              Lessor:
                

            	
              State
                of Texas M-96834

            
	
              Lessee:
                

            	
              Vintage
                Petroleum Inc.

            
	
              Lease
                Date: 

            	
              10/03/95

            
	
              Recording:
                

            	
              File
                No. 95 284 766

            
	
              Description:
                

            	
              120
                acres being the NE/4NE/4, E/2NW/4NE/4, SW/4NE/4

            
	
            	
              And
                SE/4NE/4 out of 323.4 acres being the NE/2 of State Tract 47, Trinity
                Bay,
                as shown on the official map of Trinity Bay in Texas
                General Land Office and within the aerial boundaries Of
                St Tr 46 #1 Pooling Agreement dated effective 9/15/98 Recorded
                under File No. 98 395 65 and limited to those Depths above 10400’ within
                St Tr 46 Unit.

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0005-000

            
	
              Lessor:
                

            	
              State
                of Texas M-96835

            
	
              Lessee:
                

            	
              Vintage
                Petroleum Inc.

            
	
              Lease
                Date: 

            	
              10/03/95

            
	
              Recording:
                

            	
              File
                No. 95 284 775

            
	
              Description:
                

            	
              15
                acres being the N/2NE/4NW/4SE/4 and N/2N/2NE/4SE/4 out of 323.4 acres
                being the SW/2 of State Tract 47, 

            
	 	
              Trinity
                Bay, as shown on the official map of Trinity Bay in 

            
	 	
              Texas
                General Land Office limited to the aerial boundaries

            
	 	
              Of
                St Tr 46 No. 1 Unit per Pooling Agreement dated
                effective

            
	 	
              9/15/98
                recorded under File No. 98 395 65 and only those

            
	 	
              Depths
                lying above 10400’ within St Tr 46 Unit. 

            
	 	 
	
              Masters
                Lease No.

            	
              101-0006-000

            
	
              Lessor:
                

            	
              State
                of Texas M-19755

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              02/06/36

            
	
              Recording:
                

            	
              Vol.
                52, Page 116

            
	
              Description:
                

            	
              637.1
                acres being Tract 46, Galveston Bay, as shown on the 

            
	
            	
              General
                Land Office map of Galveston, Turtle & East Bays dated December
                1935

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0007-000

            
	
              Lessor:
                

            	
              State
                of Texas M-28471

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co. 

            
	
              Lease
                Date: 

            	
              03/09/44

            
	
              Recording:
                

            	
              Vol.
                86, Page 524

            
	
              Description:
                

            	
              627.4
                acres being Tract 45, Galveston Bay, as shown on the 

            
	
            	
              General
                Land Office map of Galveston, Turtle & East Bays dated December
                1935

            
	
               

            	 
	
              Masters
                Lease No.

            	
              101-0008-000

            
	
              Lessor:
                

            	
              State
                of Texas M-30083

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/11/46

            
	
              Recording:
                

            	
              Vol.
                99, Page 275

            
	
              Description:
                

            	
              606
                acres being Tract 1-4A, Galveston Bay, as shown on the 

            
	 	
              General
                Land Office map of Galveston, Turtle & East Bays No.
                

            
	 	
              16F,
                Miscellaneous File, General Land Office.

            
	 	
               

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      Exhibit
        “A”

      
        Attached
          to and made a part of Purchase and Sale Agreement dated effective October
          1,
          2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
          Seller, and Tekoil 
& Gas Corporation, as
          Buyer.

      

       

    

    
      	
              Masters
                Lease No.

            	
              101-0009-000

            
	
              Lessor:
                

            	
              State
                of Texas M-30084

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/11/46

            
	
              Recording:
                

            	
              Vol.
                99, Page 279

            
	
              Description:
                

            	
              640
                acres being Tract 1-4B, Galveston & Turtle Bay, as shown on the map of
                Galveston, Turtle & East Bays No. 16F, Miscellaneous File, General
                Land Office

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0010-000

            
	
              Lessor:
                

            	
              State
                of Texas M-30085

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/11/46

            
	
              Recording:
                

            	
              Vol.
                99, Page 283

            
	
              Description:
                

            	
              606
                acres being Tract 5-8A, Galveston & Turtle Bay, as shown On
                map of Galveston, Turtle & East Bays No. 16F, Miscellaneous File,
                General Land Office 

            
	 	
               

            
	
              Masters
                Lease No. 

            	
              101-0011-000

            
	
              Lessor:
                

            	
              State
                of Texas M-30086

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co. 

            
	
              Lease
                Date: 

            	
              06/11/46

            
	
              Recording:
                

            	
              Vol.
                99, Page 287

            
	
              Description:
                

            	
              640
                acres being Tract 5-8B, Galveston & Turtle Bay, as shown On the map of
                Galveston, Turtle & East Bays No. 16F,

            
	 	
              Miscellaneous
                File, General Land Office.

            
	 	
               

            
	
              Masters
                Lease No. 

            	
              101-0012-000

            
	
              Lessor:
                

            	
              State
                of Texas M-30088

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              06/11/46

            
	
              Recording:
                

            	
              Vol.
                99, Page 295

            
	
              Description:
                

            	
              640
                acres being Tract 9-12B, Galveston & Turtle Bay, as shown on map of
                Galveston, Turtle & East Bays No. 16F, Miscellaneous File, General
                Land Office

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0013-000

            
	
              Lessor:
                

            	
              State
                of Texas M-44164

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              05/10/55

            
	
              Recording:
                

            	
              Vol.
                167, Page 398

            
	
              Description:
                

            	
              303
                acres out of 606 acres being the S/2 of Tract 9-12A,

            
	 	
              Trinity
                Bay, as shown on official map of Trinity Bay on 

            
	 	
              File
                in the General Land Office 

            
	 	 
	
              Masters
                Lease No.

            	
              101-0014-000

            
	
              Lessor:
                

            	
              State
                of Texas M-47494

            
	
              Lessee:
                

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date: 

            	
              12/12/56

            
	
              Recording:
                

            	
              Vol.
                189, Page 517

            
	
              Description:
                

            	
              320
                acres being the NW/2 of Tract 1-4C, Trinity Bay, as shown on the
                official
                map of Trinity Bay on file in the General 

            
	 	
              Land
                Office 

            
	
               

            	 
	
              Masters
                Lease No. 

            	
              101-0015-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 800151

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              7/01/00

            
	
              Recording:
                

            	
              File
                No. 00 466 289

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      Exhibit
        “A”

      
        Attached
          to and made a part of Purchase and Sale Agreement dated effective October
          1,
          2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
          Seller, and Tekoil 
& Gas Corporation, as
          Buyer.

      

       

    

    
      	
              Masters
                Lease No. 

            	
              101-0016-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 810029

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              04/10/91

            
	
              Recording:
                

            	
              Vol.
                474, Page 55

            
	 	 
	
              Masters
                Lease No.

            	
              101-0017-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 810039

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              04/01/01

            
	
              Recording:
                

            	
              File
                No. 01 509 385

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0018-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 810040

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              04/01/01

            
	
              Recording:
                

            	
              File
                No. 01 509 369

            
	 	 
	
              Masters
                Lease No.

            	
              101-0019-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 810041

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              05/01/01

            
	
              Recording:
                

            	
              File
                No. 01 517 70

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0020-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 820109

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              06/01/02

            
	
              Recording:
                

            	
              File
                No. 03 618 71

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0021-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 820139

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              08/01/02

            
	
              Recording:
                

            	
              File
                No. 03 618 86

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0022-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 840252

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              01/29/95

            
	
              Recording:
                

            	
              File
                No. 95 267 817

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0023-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 840255

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              01/15/95

            
	
              Recording:
                

            	
              File
                No. 95 267 849

            
	 	 
	
              Masters
                Lease No. 

            	
              101-0024-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 840256

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              01/15/95

            
	
              Recording:
                

            	
              File
                No. 95 268 1

            
	 	 
	
              Masters
                Lease No.

            	
              101-0025-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 850066

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              06/01/05

            
	
              Recording:
                

            	
              Vol.
                843, Page 129

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	
              Masters
                Lease No. 

            	
              101-0026-000

            
	
              Lessor:
                

            	
              State
                of Texas ME 850086

            
	
              Lessee:
                

            	
              Masters
                Resources LLC

            
	
              Lease
                Date: 

            	
              08/06/95

            
	
              Recording:
                

            	
              File
                No. 95 273 357 

            
	 	 
	
              Masters
                Lease No.

            	
              101-0027-000

            
	
              Lessor:

            	
              State
                of Texas ME 850226

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/01/96

            
	
              Recording:

            	
              File
                No. 96 304 580

            
	 	 
	
              Masters
                Lease No.

            	
              101-0028-000

            
	
              Lessor:

            	
              State
                of Texas ME 850228

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/01/96

            
	
              Recording:

            	
              File
                No. 96 304 610

            
	 	 
	
              Masters
                Lease No.

            	
              101-0029-000

            
	
              Lessor:

            	
              State
                of Texas ME 860242

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              11/01/96

            
	
              Recording:

            	
              File
                No. 96 304 642

            
	 	 
	
              Masters
                Lease No.

            	
              101-0030-000

            
	
              Lessor:

            	
              State
                of Texas ME 870078

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              05/01/97

            
	
              Recording:

            	
              File
                No. 97 337 450

            
	
               

            	 
	
              Masters
                Lease No.

            	
              101-0031-000

            
	
              Lessor:

            	
              State
                of Texas ME 890056

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              04/01/99

            
	
              Recording:

            	
              File
                No. 99 409 386

            
	 	 
	
              Masters
                Lease No.

            	
              101-0032-000

            
	
              Lessor:

            	
              State
                of Texas ME 980016

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/01/98

            
	
              Recording:

            	
              File
                No. 98 373 57

            
	 	 
	
              Masters
                Lease No.

            	
              101-0033-000

            
	
              Lessor:

            	
              State
                of Texas ME 980035

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              02/01/98

            
	
              Recording:

            	
              File
                No. 98 385 416

            
	 	 
	
              Masters
                Lease No.

            	
              101-0034-000

            
	
              Lessor:

            	
              State
                of Texas ME 980101

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/98

            
	
              Recording:

            	
              File
                No. 98 390 527

            
	 	 
	
              Masters
                Lease No.

            	
              101-0035-000

            
	
              Lessor:

            	
              State
                of Texas ME 20010013

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              11/01/00

            
	
              Recording:

            	
              File
                No. 01 487 789

            
	
               

            	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

      
        
           

          Exhibit
            “A”

          
            Attached
              to and made a part of Purchase and Sale Agreement dated effective October
              1,
              2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
              Seller, and Tekoil 
& Gas Corporation, as
              Buyer.

          

           

        

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              101-0036-000

            
	
              Lessor:

            	
              State
                of Texas ME 20000018

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/01/00

            
	
              Recording:

            	
              File
                No. 00 457 593

            
	 	 
	
              Masters
                Lease No.

            	
              101-0037-000

            
	
              Lessor:

            	
              State
                of Texas ME 20000047

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              05/01/00

            
	
              Recording:

            	
              File
                No. 00 462 527

            
	 	 
	
              Masters
                Lease No.

            	
              101-0038-000

            
	
              Lessor:

            	
              State
                of Texas LC 20030023

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              11/01/03

            
	
              Recording:

            	
              File
                No. 04 681 585

            
	 	 
	
              Masters
                Lease No.

            	
              101-0039-000

            
	
              Lessor:

            	
              State
                of Texas ME 840177

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/19/94

            
	
              Recording:

            	
              File
                No. 95 262 123

            
	 	 
	
              Masters
                Lease No.

            	
              101-0040-000

            
	
              Lessor:

            	
              State
                of Texas ME 830206

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/01/04

            
	
              Recording:

            	
              File
                No. 04 694 482

            
	 	 
	
              Masters
                Lease No.

            	
              101-0041-000

            
	
              Lessor:

            	
              State
                of Texas M-104268

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/19/04

            
	
              Recording:

            	
              File
                No. 04 743 301

            
	
              Description:

            	
              320
                acres, more or less being the SW/2 of Tract 6-7A, Trinity
                

            
	 	
              Bay,
                less 40 acres within boundaries of the State Tract 1-4A

            
	 	
              Unit
                being the SE/4 SE/4 of Tract 6-7A from the surface to 

            
	 	
              11060’
                as shown on the applicable official submerged area 

            
	 	
              map
                on file in the Texas General Land Office

            
	 	 
	
              RED
                FISH REEF, Chambers & Galveston Counties.,
                TX

            
	 	 
	
              Masters
                Lease No.

            	
              102-0001-000

            
	
              Lessor:

            	
              State
                of Texas 19987

            
	
              Lessee:

            	
              Humble
                Oil & Refining Company

            
	
              Lease
                Date:

            	
              03/19/36

            
	
              Recording:

            	
              Vol.
                52, Page 237

            
	
              Description:
                

            	
              640
                acres, more or less, being Tract 246, Galveston Bay

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0002-000

            
	
              Lessor:

            	
              State
                of Texas 19988

            
	
              Lessee:

            	
              Humble
                Oil & Refining Company

            
	
              Lease
                Date:

            	
              03/19/36

            
	
              Recording:

            	
              Vol.
                52, Pg 239

            
	
              Description:

            	
              320
                acres, more or less, in the SE/2 of Tract 247, Galveston
                

            
	 	
              Bay

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      
        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	
              Masters
                Lease No.

            	
              102-0003-000

            
	
              Lessor:

            	
              State
                of Texas 28498

            
	
              Lessee:

            	
              Humble
                Oil & Refining Company

            
	
              Lease
                Date:

            	
              03/09/44

            
	
              Recording:

            	
              Vol.
                86, Page 568

            
	
              Description:

            	
              640
                acres, more or less, being Tract 224, Galveston Bay 

            
	 	 
	
              Masters
                Lease No.

            	
              102-0004-000

            
	
              Lessor:

            	
              State
                of Texas 28499

            
	
              Lessee:

            	
              Humble
                Oil & Refining Company

            
	
              Lease
                Date:

            	
              03/09/44

            
	
              Recording:

            	
              Vol.
                86, Pg 571

            
	
              Description:

            	
              640
                acres , more or less, being Tract 225, Galveston Bay

            
	 	 
	
              Masters
                Lease No.

            	
              102-0005-000

            
	
              Lessor:

            	
              State
                of Texas 28500

            
	
              Lessee:

            	
              Humble
                Oil & Refining Company

            
	
              Lease
                Date:

            	
              03/09/44

            
	
              Recording:

            	
              Vol
                86, Pg 575

            
	
              Description:

            	
              320
                acres, more or less, being the NW/2 of Tract 226, 

            
	 	
              Galveston
                Bay

            
	 	 
	
              Masters
                Lease No.

            	
              102-0006-000

            
	
              Lessor:

            	
              State
                of Texas 31835

            
	
              Lessee:

            	
              Humble
                Oil & Refining Company

            
	
              Lease
                Date:

            	
              11/13/47

            
	
              Recording:

            	
              Vol
                111, Pg 43, Chambers Co, TX

            
	 	
              Book
                807, Pg 485, Galveston Co., TX

            
	
              Description:

            	
              320
                acres, more or less, being the SW/2 of Tract 200, 

            
	 	
              Galveston
                Bay, Chambers and Galveston Co. TX.

            
	 	 
	
              Masters
                Lease No.

            	
              102-0007-000

            
	
              Lessor:

            	
              State
                of Texas 35596

            
	
              Lessee:

            	
              Humble
                Oil & Refining Company

            
	
              Lease
                Date:

            	
              06/15/50

            
	
              Recording:

            	
              Vol
                131, Pg 448

            
	
              Description:

            	
              240
                acres, more or less, being the NW 160 acres and W 80 acres of Tract
                204,
                Galveston Bay

            
	 	 
	
              Masters
                Lease No.

            	
              102-0008-000

            
	
              Lessor:

            	
              State
                of Texas 46783

            
	
              Lessee:

            	
              Humble
                Oil & Refining Company

            
	
              Lease
                Date:

            	
              07/09/56

            
	
              Recording:

            	
              Vol.
                216, Pg 282, Chambers Co., TX

            
	 	
              Book
                1352, Pg 642, Galveston Co., TX

            
	
              Description:

            	
              320
                acres, more or less, being the W/2 of Tract 245, 

            
	 	
              Galveston
                Bay, Chambers and Galveston Co., TX

            
	 	 
	
              Masters
                Lease No.

            	
              102-0009-000

            
	
              Lessor:

            	
              USX
                Corporation

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/18/96

            
	
              Recording:

            	
              Vol
                292, Pg 42

            
	 	 
	
              Masters
                Lease No.

            	
              102-0010-000

            
	
              Lessor:

            	
              USX
                Corporation

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/18/96

            
	
              Recording:

            	
              Vol
                292, Pg 57

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

      
        
           

          Exhibit
            “A”

          
            Attached
              to and made a part of Purchase and Sale Agreement dated effective October
              1,
              2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
              Seller, and Tekoil 
& Gas Corporation, as
              Buyer.

          

           

        

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0011-000

            
	
              Lessor:

            	
              USX
                Corporation

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/26/98

            
	
              Recording:

            	
              Vol.
                389, Pg 655

            
	 	 
	
              Masters
                Lease No.

            	
              102-0012-000

            
	
              Lessor:

            	
              Cedar
                Crossing LP

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/00

            
	
              Recording:

            	
              Vol.
                478, Pg 261

            
	 	 
	
              Masters
                Lease No.

            	
              102-0013-000

            
	
              Lessor:

            	
              Robert
                E. Smith

            
	
              Lessee:

            	
              Vintage
                Pipeline Inc.

            
	
              Lease
                Date:

            	
              10/18/00

            
	
              Recording:

            	
              File
                No. 00 478 239

            
	 	 
	
              Masters
                Lease No.

            	
              102-0014-000

            
	
              Lessor:

            	
              Patricia
                Reed

            
	
              Lessee:

            	
              Vintage
                Pipeline Inc.

            
	
              Lease
                Date:

            	
              10/18/00

            
	
              Recording:

            	
              File
                No. 00 478 244

            
	 	 
	
              Masters
                Lease No.

            	
              102-0015-000

            
	
              Lessor:

            	
              Marie
                Pfistner Delahoussaye

            
	
              Lessee:

            	
              Vintage
                Pipeline Inc.

            
	
              Lease
                Date:

            	
              10/18/00

            
	
              Recording:

            	
              File
                No. 00 478 248

            
	 	 
	
              Masters
                Lease No.

            	
              102-0016-000

            
	
              Lessor:

            	
              Jacky
                Nebauer etux

            
	
              Lessee:

            	
              Vintage
                Pipeline Inc.

            
	
              Lease
                Date:

            	
              10/18/00

            
	
              Recording:

            	
              File
                No. 00 478 252

            
	 	 
	
              Masters
                Lease No.

            	
              102-0017-000

            
	
              Lessor:

            	
              SWF
                #4

            
	
              Lessee:

            	
              Vintage
                Pipeline Inc.

            
	
              Lease
                Date:

            	
              10/10/00

            
	
              Recording:

            	
              File
                No. 00 478 256

            
	 	 
	
              Masters
                Lease No.

            	
              102-0018-000

            
	
              Lessor:

            	
              State
                of Texas ME 820151

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/02

            
	
              Recording:

            	
              File
                No. 02 586 234

            
	 	 
	
              Masters
                Lease No.

            	
              102-0019-000

            
	
              Lessor:

            	
              State
                of Texas ME 820149

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              06/01/02

            
	
              Recording:

            	
              File
                No. 02 586 218

            
	 	 
	
              Masters
                Lease No.

            	
              102-0020-000
                

            
	
              Lessor:

            	
              State
                of Texas ME 820138

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/02

            
	
              Recording:

            	
              File
                No. 02 586 202

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      
        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0021-000

            
	
              Lessor:

            	
              State
                of Texas ME 810081

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/01

            
	
              Recording:

            	
              File
                No. 02 586 122

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0022-000

            
	
              Lessor:

            	
              State
                of Texas ME 820204

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              11/01/02

            
	
              Recording:

            	
              File
                No. 02 586 266

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0023-000

            
	
              Lessor:

            	
              State
                of Texas ME 820178

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/02

            
	
              Recording:

            	
              File
                No. 02 586 250

            
	 	 
	
              Masters
                Lease No.

            	
              102-0024-000

            
	
              Lessor:

            	
              State
                of Texas ME 810112

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/01

            
	
              Recording:

            	
              File
                No. 02 586 138

            
	 	 
	
              Masters
                Lease No.

            	
              102-0025-000

            
	
              Lessor:

            	
              State
                of Texas ME 810177

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              11/01/01

            
	
              Recording:

            	
              File
                No. 01761-0702, Galveston Co., TX

            
	 	 
	
              Masters
                Lease No.

            	
              102-0026-000

            
	
              Lessor:

            	
              State
                of Texas ME 810190

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              11/01/01

            
	
              Recording:

            	
              File
                No. 02 586 154

            
	 	 
	
              Masters
                Lease No.

            	
              102-0027-000

            
	
              Lessor:

            	
              State
                of Texas ME 820074

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/01/02

            
	
              Recording:

            	
              File
                No. 02 592 762

            
	 	 
	
              Masters
                Lease No.

            	
              102-0028-000

            
	
              Lessor:

            	
              State
                of Texas ME 820020

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/01/02

            
	
              Recording:

            	
              File
                No. 03 599 31

            
	 	 
	
              Masters
                Lease No.

            	
              102-0029-000

            
	
              Lessor:

            	
              State
                of Texas ME 820080

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              05/01/02

            
	
              Recording:

            	
              File
                No.02 586 170

            
	 	 
	
              Masters
                Lease No.

            	
              102-0030-000

            
	
              Lessor:

            	
              Jindal
                United Steel Corp.

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              05/01/01

            
	
              Recording:

            	
              unrecorded

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      
        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0031-000

            
	
              Lessor:

            	
              State
                of Texas ME 840251

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/01/05

            
	
              Recording:

            	
              Vol.
                843, Pg 94

            
	 	 
	
              Masters
                Lease No.

            	
              102-0032-000

            
	
              Lessor:

            	
              State
                of Texas ME 840253

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/20/95

            
	
              Recording:

            	
              File
                No. 95 267 841

            
	 	 
	
              Masters
                Lease No.

            	
              102-0033-000

            
	
              Lessor:

            	
              State
                of Texas ME 850002

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              02/05/95

            
	
              Recording:

            	
              File
                No. 95 268 9

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0034-000

            
	
              Lessor:

            	
              State
                of Texas ME 850003

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              02/01/05

            
	
              Recording:

            	
              Vol.
                843, Pg 111

            
	 	 
	
              Masters
                Lease No.

            	
              102-0035-000

            
	
              Lessor:

            	
              State
                of Texas ME 890026

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/01/99

            
	
              Recording:

            	
              File
                No. 99 409 383

            
	 	 
	
              Masters
                Lease No.

            	
              102-0036-000

            
	
              Lessor:

            	
              State
                of Texas ME 890132

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/99

            
	
              Recording:

            	
              File
                No. 99 424 403

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0037-000

            
	
              Lessor:

            	
              State
                of Texas ME 890127

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/99

            
	
              Recording:

            	
              File
                No. 99 424 391

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0038-000

            
	
              Lessor:

            	
              State
                of Texas ME 890129

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/99

            
	
              Recording:

            	
              File
                No. 99 424 394

            
	 	 
	
              Masters
                Lease No.

            	
              102-0039-000

            
	
              Lessor:

            	
              State
                of Texas ME 890130

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/99

            
	
              Recording:

            	
              File
                No. 99 424 397

            
	 	 
	
              Masters
                Lease No.

            	
              102-0040-000

            
	
              Lessor:

            	
              State
                of Texas ME 840002

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              02/01/04

            
	
              Recording:

            	
              File
                No. 04 717 409

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      
        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0041-00

            
	
              Lessor:

            	
              State
                of Texas ME 840001

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              02/01/04

            
	
              Recording:

            	
              File
                No. 04 717 393

            
	 	 
	
              Masters
                Lease No.

            	
              102-0042-000

            
	
              Lessor:

            	
              State
                of Texas ME 840056

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              05/01/04

            
	
              Recording:

            	
              File
                No. 04 723 345

            
	 	 
	
              Masters
                Lease No.

            	
              102-0043-000

            
	
              Lessor:

            	
              State
                of Texas ME 830088

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/03

            
	
              Recording:

            	
              File
                No. 04 720 123

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0044-000

            
	
              Lessor:

            	
              State
                of Texas ME 830063

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              06/01/03

            
	
              Recording:

            	
              File
                No. 04 720 139

            
	 	 
	
              Masters
                Lease No.

            	
              102-0045-000

            
	
              Lessor:

            	
              State
                of Texas ME 840006

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/27/94

            
	
              Recording:

            	
              File
                No. 94 235 495

            
	 	 
	
              Masters
                Lease No.

            	
              102-0046-000

            
	
              Lessor:

            	
              State
                of Texas ME 840085

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              05/16/94

            
	
              Recording:

            	
              File
                No. 94 243 292

            
	 	 
	
              Masters
                Lease No.

            	
              102-0047-000

            
	
              Lessor:

            	
              State
                of Texas ME 830115

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              07/05/93

            
	
              Recording:

            	
              File
                No. 93 211 233

            
	 	 
	
              Masters
                Lease No.

            	
              102-0048-000

            
	
              Lessor:

            	
              State
                of Texas ME 830116

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              07/05/93

            
	
              Recording:

            	
              File
                No. 93 211 227

            
	 	 
	
              Masters
                Lease No.

            	
              102-0049-000

            
	
              Lessor:

            	
              State
                of Texas ME 830226

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              12/01/03

            
	
              Recording:

            	
              File
                No. 04 720 107

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0050-000

            
	
              Lessor:

            	
              State
                of Texas ME 830199

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              12/05/93

            
	
              Recording:

            	
              File
                No. 94 229 369

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      
        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0051-000

            
	
              Lessor:

            	
              State
                of Texas ME 800187

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/00

            
	
              Recording:

            	
              File
                No. 02 537 93

            
	 	 
	
              Masters
                Lease No.

            	
              102-0052-000

            
	
              Lessor:

            	
              State
                of Texas ME 950022

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/04/95

            
	
              Recording:

            	
              File
                No. 95 268 17

            
	 	 
	
              Masters
                Lease No.

            	
              102-0053-000

            
	
              Lessor:

            	
              State
                of Texas ME 890131

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/99

            
	
              Recording:

            	
              File
                No. 99 424 400

            
	 	 
	
              Masters
                Lease No.

            	
              102-0054-000

            
	
              Lessor:

            	
              State
                of Texas ME 800138

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/00

            
	
              Recording:

            	
              File
                No. 02 537 45

            
	 	 
	
              Masters
                Lease No.

            	
              102-0055-000

            
	
              Lessor:

            	
              State
                of Texas ME 800154

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/00

            
	
              Recording:

            	
              File
                No. 02 537 61

            
	 	 
	
              Masters
                Lease No.

            	
              102-0056-000

            
	
              Lessor:

            	
              State
                of Texas ME 800186

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/00

            
	
              Recording:

            	
              File
                No. 02 537 77

            
	 	 
	
              Masters
                Lease No.

            	
              102-0057-000

            
	
              Lessor:

            	
              State
                of Texas ME 800188

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/00

            
	
              Recording:

            	
              File
                No. 02 537 109

            
	 	 
	
              Masters
                Lease No.

            	
              102-0058-000

            
	
              Lessor:

            	
              State
                of Texas ME 800190

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/00

            
	
              Recording:

            	
              File
                No. 02 537 125

            
	 	 
	
              Masters
                Lease No.

            	
              102-0059-000

            
	
              Lessor:

            	
              State
                of Texas ME 800191

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/00

            
	
              Recording:

            	
              File
                No. 02 537 141

            
	 	 
	
              Masters
                Lease No.

            	
              102-0060-000

            
	
              Lessor:

            	
              State
                of Texas ME 800192

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/00

            
	
              Recording:

            	
              File
                No. 02 537 157

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      
        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	 	 
	
              Masters
                Lease No.

            	
              102-0061-000

            
	
              Lessor:

            	
              State
                of Texas ME 810075

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              06/01/01

            
	
              Recording:

            	
              File
                No. 02 543 345

            
	 	 
	
              Masters
                Lease No.

            	
              102-0062-000

            
	
              Lessor:

            	
              State
                of Texas ME 810076

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              06/01/01

            
	
              Recording:

            	
              File
                No. 02 543 365

            
	 	 
	
              Masters
                Lease No.

            	
              102-0063-000

            
	
              Lessor:

            	
              State
                of Texas ME 810077

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              06/01/01

            
	
              Recording:

            	
              File
                No. 02 543 381

            
	 	 
	
              Masters
                Lease No.

            	
              102-0064-000

            
	
              Lessor:

            	
              State
                of Texas ME 810078

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              06/01/01

            
	
              Recording:

            	
              File
                No. 02 543 399

            
	 	 
	
              Masters
                Lease No.

            	
              102-0065-000

            
	
              Lessor:

            	
              State
                of Texas ME 810080

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/01

            
	
              Recording:

            	
              File
                No. 02 568 335

            
	 	 
	
              Masters
                Lease No.

            	
              102-0066-000

            
	
              Lessor:

            	
              State
                of Texas ME 810109

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/01

            
	
              Recording:

            	
              File
                No. 02 568 380

            
	 	 
	
              Masters
                Lease No.

            	
              102-0067-000

            
	
              Lessor:

            	
              State
                of Texas ME 810110

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/01

            
	
              Recording:

            	
              File
                No. 02 568 290

            
	 	 
	
              Masters
                Lease No.

            	
              102-0068-000

            
	
              Lessor:

            	
              State
                of Texas ME 810111

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/01

            
	
              Recording:

            	
              File
                No. 02 568 320

            
	 	 
	
              Masters
                Lease No.

            	
              102-0069-000

            
	
              Lessor:

            	
              State
                of Texas ME 810152

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/01

            
	
              Recording:

            	
              File
                No. 02 568 365

            
	 	 
	
              Masters
                Lease No.

            	
              102-0070-000

            
	
              Lessor:

            	
              State
                of Texas ME 810176

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/01

            
	
              Recording:

            	
              File
                No. 02 568 350

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      
        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	 	 
	
              Masters
                Lease No.

            	
              102-0071-000

            
	
              Lessor:

            	
              State
                of Texas ME 810178

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/01

            
	
              Recording:

            	
              File
                No. 02 568 305

            
	 	 
	
              Masters
                Lease No.

            	
              102-0072-000

            
	
              Lessor:

            	
              State
                of Texas ME 820081

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              05/01/02

            
	
              Recording:

            	
              File
                No. 02 568 186

            
	 	 
	
              Masters
                Lease No.

            	
              102-0073-000

            
	
              Lessor:

            	
              State
                of Texas ME 850022

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/01/95

            
	
              Recording:

            	
              File
                No. 95 267 825

            
	
               

            	 
	
              Masters
                Lease No.

            	
              102-0074-000

            
	
              Lessor:

            	
              State
                of Texas ME 850068

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              06/17/95

            
	
              Recording:

            	
              File
                No. 95 273 350

            
	 	 
	
              Masters
                Lease No.

            	
              102-0075-000

            
	
              Lessor:

            	
              State
                of Texas ME 850225

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/01/06

            
	
              Recording:

            	
              Vol.
                843, Page 146

            
	 	 
	
              Masters
                Lease No.

            	
              102-0076-000

            
	
              Lessor:

            	
              State
                of Texas ME 850227

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/01/06

            
	
              Recording:

            	
              Vol.
                843, Page 77

            
	 	 
	
              Masters
                Lease No.

            	
              102-0077-000

            
	
              Lessor:

            	
              State
                of Texas ME 850241

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              02/01/96

            
	
              Recording:

            	
              File
                No. 96 304 625

            
	 	 
	
              Masters
                Lease No.

            	
              102-0078-000

            
	
              Lessor:

            	
              State
                of Texas ME 860111

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              07/01/06

            
	
              Recording:

            	
              Vol.
                871, Pg 651

            
	 	 
	
              Masters
                Lease No.

            	
              102-0079-000

            
	
              Lessor:

            	
              State
                of Texas ME 860293

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              02/01/97

            
	
              Recording:

            	
              File
                No. 97 337 442

            
	 	 
	
              Masters
                Lease No.

            	
              102-0080-000

            
	
              Lessor:

            	
              State
                of Texas ME 870068

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/01/97

            
	
              Recording:

            	
              File
                No. 97 337 446

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0081-000

            
	
              Lessor:

            	
              State
                of Texas ME 870069

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/01/97

            
	
              Recording:

            	
              File
                No. 97 337 448

            
	 	 
	
              Masters
                Lease No.

            	
              102-0082-000

            
	
              Lessor:

            	
              State
                of Texas ME 870088

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              05/01/97

            
	
              Recording:

            	
              File
                No. 97 337 444

            
	 	 
	
              Masters
                Lease No.

            	
              102-0083-000

            
	
              Lessor:

            	
              State
                of Texas ME 870144

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/97

            
	
              Recording:

            	
              File
                No. 97 340 736

            
	 	 
	
              Masters
                Lease No.

            	
              102-0084-000

            
	
              Lessor:

            	
              State
                of Texas ME 870190

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/97

            
	
              Recording:

            	
              File
                No. 97 347 717

            
	 	 
	
              Masters
                Lease No.

            	
              102-0085-000

            
	
              Lessor:

            	
              State
                of Texas ME 870200

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              11/01/97

            
	
              Recording:

            	
              File
                No. 97 347 720

            
	 	 
	
              Masters
                Lease No.

            	
              102-0086-000

            
	
              Lessor:

            	
              State
                of Texas ME 880036

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/01/98

            
	
              Recording:

            	
              File
                No. 98 363 549

            
	 	 
	
              Masters
                Lease No.

            	
              102-0087-000

            
	
              Lessor:

            	
              State
                of Texas ME 880100

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              08/01/98

            
	
              Recording:

            	
              File
                No. 98 386 7

            
	 	 
	
              Masters
                Lease No.

            	
              102-0088-000

            
	
              Lessor:

            	
              State
                of Texas ME 880109

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              09/01/98

            
	
              Recording:

            	
              File
                No. 98 386 9

            
	 	 
	
              Masters
                Lease No.

            	
              102-0089-000

            
	
              Lessor:

            	
              State
                of Texas SL 870156

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/31/87

            
	
              Recording:

            	
              File
                No. 87 11 408

            
	 	 
	
              Masters
                Lease No.

            	
              102-0090-000

            
	
              Lessor:

            	
              F
                I
                Fisher etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/12/41

            
	
              Recording:

            	
              Vol.
                72, Page 47

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0091-000

            
	
              Lessor:

            	
              Lizzie
                Wilburn

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              02/19/51

            
	
              Recording:

            	
              Vol.
                130, Pg 447

            
	 	 
	
              Masters
                Lease No.

            	
              102-0092-000

            
	
              Lessor:

            	
              A
                M
                Wilburn

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/14/41

            
	
              Recording:

            	
              Vol.
                72, Page 61

            
	 	 
	
              Masters
                Lease No.

            	
              102-0093-000

            
	
              Lessor:

            	
              Joe
                Syer etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              04/03/51

            
	
              Recording:

            	
              Vol.
                132, Page 172

            
	 	 
	
              Masters
                Lease No.

            	
              102-0094-000

            
	
              Lessor:

            	
              Lizzie
                Wilburn

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/18/41

            
	
              Recording:

            	
              Vol.
                72, Page 57

            
	 	 
	
              Masters
                Lease No.

            	
              102-0095-000

            
	
              Lessor:

            	
              Joe
                Syer etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/12/41

            
	
              Recording:

            	
              Vol.
                72, Page 70

            
	 	 
	
              Masters
                Lease No.

            	
              102-0096-000

            
	
              Lessor:

            	
              Kirby
                Petroleum Co.

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/16/41

            
	
              Recording:

            	
              Vol.
                72, Page 63

            
	 	 
	
              Masters
                Lease No.

            	
              102-0097-000

            
	
              Lessor:

            	
              Elizabeth
                Winfree etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/14/41

            
	
              Recording:

            	
              Vol.
                72, Page 174

            
	 	 
	
              Masters
                Lease No.

            	
              102-0098-000

            
	
              Lessor:

            	
              Charles
                T. Kilgore etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/17/41

            
	
              Recording:

            	
              Vol.
                72, Page 64

            
	 	 
	
              Masters
                Lease No.

            	
              102-0099-000

            
	
              Lessor:

            	
              Vera
                Harrold etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/25/41

            
	
              Recording:

            	
              Vol.
                72, Page 66

            
	 	 
	
              Masters
                Lease No.

            	
              102-0100-000

            
	
              Lessor:

            	
              B
                D
                Fisher etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/12/41

            
	
              Recording:

            	
              Vol.
                72, Page 65

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0101-000

            
	
              Lessor:

            	
              B
                E
                Fisher etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/13/41

            
	
              Recording:

            	
              Vol.
                72, Page 69

            
	 	 
	
              Masters
                Lease No.

            	
              102-0102-000

            
	
              Lessor:

            	
              Dr.
                John G Schilling etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              07/02/41

            
	
              Recording:

            	
              Vol.
                72, Page 71

            
	 	 
	
              Masters
                Lease No.

            	
              102-0103-000

            
	
              Lessor:

            	
              First
                National Bank of Goose Creek

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/20/41

            
	
              Recording:

            	
              Vol.
                72, Page 73

            
	 	 
	
              Masters
                Lease No.

            	
              102-0104-000

            
	
              Lessor:

            	
              Ella
                Ilfrey

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/14/41

            
	
              Recording:

            	
              Vol.
                72, Page 75

            
	 	 
	
              Masters
                Lease No.

            	
              102-0105-000

            
	
              Lessor:

            	
              Will
                Wright etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/18/41

            
	
              Recording:

            	
              Vol.
                72, Page 76

            
	 	 
	
              Masters
                Lease No.

            	
              102-0106-000

            
	
              Lessor:

            	
              O
                K
                Winfree

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/14/41

            
	
              Recording:

            	
              Vol.
                72, Page 77

            
	 	 
	
              Masters
                Lease No.

            	
              102-0107-000

            
	
              Lessor:

            	
              L
                W
                Massey etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/25/41

            
	
              Recording:

            	
              Vol.
                72, Page 78

            
	 	 
	
              Masters
                Lease No.

            	
              102-0108-000

            
	
              Lessor:

            	
              T
                F
                Casey etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/16/41

            
	
              Recording:

            	
              Vol.
                72, Page 80

            
	 	 
	
              Masters
                Lease No.

            	
              102-0109-000

            
	
              Lessor:

            	
              R
                R. Zierlein

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/16/41

            
	
              Recording:

            	
              Vol.
                72, Page 81

            
	 	 
	
              Masters
                Lease No.

            	
              102-0110-000

            
	
              Lessor:

            	
              J
                N
                Nelson etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/17/41

            
	
              Recording:

            	
              Vol.
                72, Page 82

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0111-000

            
	
              Lessor:

            	
              S
                R
                Williams etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/23/41

            
	
              Recording:

            	
              Vol.
                72, Page 83

            
	 	 
	
              Masters
                Lease No.

            	
              102-0112-000

            
	
              Lessor:

            	
              Vance
                McLean etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              07/01/41

            
	
              Recording:

            	
              Vol.
                72, Page 86

            
	 	 
	
              Masters
                Lease No.

            	
              102-0113-000

            
	
              Lessor:

            	
              J
                N
                Thornton etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/17/41

            
	
              Recording:

            	
              Vol.
                72, Page 87

            
	 	 
	
              Masters
                Lease No.

            	
              102-0114-000

            
	
              Lessor:

            	
              M
                W
                Epperson etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/14/41

            
	
              Recording:

            	
              Vol.
                72, Page 88

            
	 	 
	
              Masters
                Lease No.

            	
              102-0115-000

            
	
              Lessor:

            	
              W
                W
                Daniel etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/13/41

            
	
              Recording:

            	
              Vol.
                72, Page 91

            
	 	 
	
              Masters
                Lease No.

            	
              102-0116-000

            
	
              Lessor:

            	
              I
                R
                Williams etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/16/41

            
	
              Recording:

            	
              Vol.
                72, Page 95

            
	 	 
	
              Masters
                Lease No.

            	
              102-0117-000

            
	
              Lessor:

            	
              J
                H
                Williams etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/16/41

            
	
              Recording:

            	
              Vol.
                72, Page 96

            
	 	 
	
              Masters
                Lease No.

            	
              102-00118-000

            
	
              Lessor:

            	
              J
                H
                Williams etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              06/27/41

            
	
              Recording:

            	
              Vol.
                72, Page 97

            
	 	 
	
              Masters
                Lease No.

            	
              102-0119-000

            
	
              Lessor:

            	
              State
                of Texas Dept of Highways & Public Transportation

            
	
              Lessee:

            	
              Exxon
                Corporation

            
	
              Lease
                Date:

            	
              04/18/79

            
	
              Recording:

            	
              unrecorded

            
	 	 
	
              Masters
                Lease No.

            	
              102-0120-000

            
	
              Lessor:

            	
              Kirby
                Petroleum Co.

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              05/08/47

            
	
              Recording:

            	
              Vol.
                103, Page 34

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              102-0121-000

            
	
              Lessor:

            	
              John
                G. Schilling etux

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              09/27/48

            
	
              Recording:

            	
              Vol.
                110, Page 499

            
	 	 
	
              Masters
                Lease No.

            	
              102-0122-000

            
	
              Lessor:

            	
              Eula
                Syer etvir

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              02/14/51

            
	
              Recording:

            	
              Vol.
                130, Page 429

            
	 	 
	
              Masters
                Lease No.

            	
              102-0123-000

            
	
              Lessor:

            	
              William
                Clark Richardson etal

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              02/21/51

            
	
              Recording:

            	
              Vol.
                130, Page 587

            
	 	 
	
              Masters
                Lease No.

            	
              102-0124-000

            
	
              Lessor:

            	
              Southern
                Canal Co.

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              03/09/51

            
	
              Recording:

            	
              Vol.
                131, Page 333

            
	 	 
	
              Masters
                Lease No.

            	
              102-0125-000

            
	
              Lessor:

            	
              W
                J
                Moreau

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              07/08/54

            
	
              Recording:

            	
              Vol.
                159, Page 422

            
	 	 
	
              Masters
                Lease No.

            	
              102-0126-000

            
	
              Lessor:

            	
              State
                of Texas M-103728

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              04/06/04

            
	
              Recording:

            	
              File
                No. 05 779 431

            
	
              Description:

            	
              40
                acres, more or less, being the NW/4 of SE/4 of 

            
	 	
              SW/2
                of Tract 109, Galveston Bay, in the form of a 

            
	 	
              Square
                around wellbore bottomhole location identified

            
	 	
              By
                API #42-071-30925 and limited to depths from 

            
	 	
              Surface
                to 10,080’ only as shown on applicable 

            
	 	
              Official
                submerged area map on file in Texas General 

            
	 	
              Land
                Office.

            
	 	 
	
              Masters
                Lease No.

            	
              102-0127-000

            
	
              Lessor:

            	
              State
                of Texas M-103802

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              04/06/04

            
	
              Recording:

            	
              File
                No. 05 779 437

            
	
              Description:

            	
              40
                acres, more or less, being part of SW/2 of Tract 203, 

            
	 	
              Galveston
                Bay, in the form of a square around wellbore 

            
	 	
              Bottomhole
                located identified by API #42-071-31906 and 

            
	 	
              Limited
                to depths from surface to 13,848’ only as shown on

            
	 	
              Applicable
                official submerged area map on file in Texas 

            
	 	
              General
                Land Office.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	
              Masters
                Lease No.

            	
              102-0128-000

            
	
              Lessor:

            	
              State
                of Texas M-104722

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              01/18/05

            
	
              Recording:

            	
              File
                No. 05 769 34

            
	
              Description:

            	
              40
                acres, more or less, being the NE/2 of Tract 248, 

            
	 	
              Galveston
                Bay, in the form of a square around the 

            
	 	
              Bottomhole
                location of well no. 193 identified by 

            
	 	
              API
                #42-071-31435 and limited to depths from surface 

            
	 	
              To
                9742’ only as shown on applicable official submerged 

            
	 	
              Area
                map on file in the Texas General Land Office.

            
	 	 
	 	 
	
              Masters
                Lease No.

            	
              102-0129-000

            
	
              Lessor:

            	
              Vintage
                Petroleum Inc.

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              04/01/00

            
	
              Recording:

            	
              File
                No. 00 460 645

            
	 	 
	
              Masters
                Lease No.

            	
              102-0130-000

            
	
              Lessor:

            	
              State
                of Texas ME 860112

            
	
              Lessee:

            	
              Exxon
                Corporation

            
	
              Lease
                Date:

            	
              07/01/96

            
	
              Recording:

            	
              File
                No. 96 307 813

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              Exxon
                Corporation

            
	
              Lease
                Date:

            	
              05/01/91

            
	
              Recording:

            	
              File
                No. 95 267 584

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              Kirby
                Petroleum 

            
	
              Lease
                Date:

            	
              05/27/49

            
	
              Recording:

            	
              Vol.
                115, Page 600

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              B
                E
                Fisher etux

            
	
              Lease
                Date:

            	
              02/19/51

            
	
              Recording:

            	
              Vol.
                130, Page 526

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              R
                C
                Fisher Sr. etux

            
	
              Lease
                Date:

            	
              02/08/52

            
	
              Recording:

            	
              Vol.
                139, Page 210

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              Joshua
                W Williams etux

            
	
              Lease
                Date:

            	
              11/12/36

            
	
              Recording:

            	
              Vol.
                57, Page 36

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              A
                R
                Schearer etal

            
	
              Lease
                Date:

            	
              02/13/51

            
	
              Recording:

            	
              Vol.
                130, Page 457

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              M
                H
                Barrow etal

            
	
              Lease
                Date:

            	
              02/20/51

            
	
              Recording:

            	
              Vol.
                130, Page 457

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              R
                C
                Lawrence etal

            
	
              Lease
                Date:

            	
              02/20/84

            
	
              Recording:

            	
              Vol.
                131, Page 61

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              Texas
                Highway Dept

            
	
              Lease
                Date:

            	
              04/23/59

            
	
              Recording:

            	
              Rdxing
                Permit

            
	 	 
	
              Masters
                Lease No.

            	 
	
              Lessor:

            	
              Chambers
                County TX

            
	
              Lease
                Date:

            	
              02/28/74

            
	
              Recording:

            	
              Rdxing
                Permit

            
	 	 
	
              North
                Point Bolivar, Galveston County, Texas

            
	 	 
	
              Masters
                Lease No.

            	
              103-0001-000

            
	
              Lessor:

            	
              State
                of Texas M-62790

            
	
              Lessee:

            	
              Occidental
                Petroleum Corp. etal

            
	
              Lease
                Date:

            	
              12/03/68

            
	
              Recording:

            	
              Vol.
                1981, Page 262

            
	
              Description:

            	
              640
                acres, more or less, being State Tract 343, Galveston
                Bay,

            
	 	
              N
                Point Bolivar Field, Galveston Co., TX

            
	 	 
	
              Masters
                Lease No.

            	
              103-0002-000

            
	
              Lessor:

            	
              State
                of Texas SL20010017

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              07/01/06

            
	
              Recording:

            	
              File
                No. 2006050556

            
	 	 
	
              Masters
                Lease No.

            	
              103-0003-000

            
	
              Lessor:

            	
              State
                of Texas SL 810690

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              02/15/02

            
	
              Recording:

            	
              File
                No. 2005086265

            
	 	 
	
              Masters
                Lease No.

            	
              103-0004-000

            
	
              Lessor:

            	
              State
                of Texas SL 830006

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/03/04

            
	
              Recording:

            	
              File
                No. 2005013907

            
	 	 
	
              Masters
                Lease No.

            	
              103-0005-000

            
	
              Lessor:

            	
              Sun
                Oil Company

            
	
              Lessee:

            	
              Houston
                Oil & Minerals 

            
	
              Lease
                Date:

            	
              08/21/73

            
	
              Recording:

            	
              Vol.
                350, Page 676

            
	 	 
	
              Masters
                Lease No.

            	
              103-0006-000

            
	
              Lessor:

            	
              Sun
                Oil Company

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              08/21/73

            
	
              Recording:

            	
              Vol.
                350, Page 665

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              103-0006-001

            
	
              Lessor:

            	
              Houston
                Oil & Minerals

            
	
              Lessee:

            	
              Enserch
                Corporation

            
	
              Lease
                Date:

            	
              01/01/78

            
	
              Recording:

            	
              Vol.
                431, Page 684

            
	 	 
	
              Masters
                Lease No.

            	
              103-0007-000

            
	
              Lessor:

            	
              Sun
                Oil Company

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              08/21/73

            
	
              Recording:

            	
              Vol.
                350, Page 670

            
	 	 
	
              Masters
                Lease No.

            	
              103-0008-000

            
	
              Lessor:

            	
              City
                of Texas City etal

            
	
              Lessee:

            	
              Vintage
                Pipeline Inc.

            
	
              Lease
                Date:

            	
              01/01/98

            
	
              Recording:

            	
              unrecorded

            
	
               

            	 
	
              Masters
                Lease No.

            	
              103-0009-001

            
	
              Lessor:

            	
              Boyt
                Realty Company etal

            
	
              Lessee:

            	
              Houston
                Oil & Minerals 

            
	
              Lease
                Date:

            	
              10/12/72

            
	
              Recording:

            	
              Vol.
                2303, Page 367

            
	 	 
	
              Masters
                Lease No.

            	
              103-0010-000

            
	
              Lessor:

            	
              Verdia
                N. Johnson etal

            
	
              Lessee:

            	
              Houston
                Oil & Minerals 

            
	
              Lease
                Date:

            	
              11/15/72

            
	
              Recording:

            	
              GAC
                013871119

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-001

            
	
              Lessor:

            	
              Boyt
                Realty Company

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2748, Page 842

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-002

            
	
              Lessor:

            	
              Doyle
                McDonald

            
	
              Lessee:

            	
              Houston
                Oil & Minerals 

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 438

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-003

            
	
              Lessor:

            	
              Donald
                M Markle

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 448

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-004

            
	
              Lessor:

            	
              Warren
                Honey et ux

            
	
              Lessee:

            	
              Houston
                Oil & Minerals 

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 458

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-005

            
	
              Lessor:

            	
              Robert
                I Cohen III

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 370

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              103-0011-006

            
	
              Lessor:

            	
              Verdia
                N Johnson etal

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 417

            
	
               

            	 
	
              Masters
                Lease No.

            	
              103-0011-007

            
	
              Lessor:

            	
              Elizabeth
                J W Baker etal

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 379

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-008

            
	
              Lessor:

            	
              Mary
                C Skewes Cox

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 399

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-009

            
	
              Lessor:

            	
              Sam
                J Williams Jr etux

            
	
              Lessee:

            	
              Houston
                Oil & Minerals 

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 388

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-010

            
	
              Lessor:

            	
              E
                E
                Paramore III

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 408

            
	 	 
	
              Masters
                Lease No.

            	
              103-0011-011

            
	
              Lessor:

            	
              Theodore
                B Stubbs etal

            
	
              Lessee:

            	
              Houston
                Oil & Minerals

            
	
              Lease
                Date:

            	
              10/01/76

            
	
              Recording:

            	
              Vol.
                2820, Page 428

            
	 	 
	
              Masters
                Lease No.

            	
              103-0012-000

            
	
              Lessor:

            	
              State
                of Texas ME 800068

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              04/01/00

            
	
              Recording:

            	
              File
                No. 2004060884

            
	 	 
	
              Masters
                Lease No.

            	
              103-0013-000

            
	
              Lessor:

            	
              State
                of Texas ME 870079

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              04/01/97

            
	
              Recording:

            	
              File
                No. 011892677

            
	 	 
	
              Masters
                Lease No.

            	
              103-0014-000

            
	
              Lessor:

            	
              State
                of Texas ME 880120

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/98

            
	
              Recording:

            	
              File
                No. 013230708

            
	 	 
	
              Masters
                Lease No.

            	
              103-0015-000

            
	
              Lessor:

            	
              State
                of Texas ME 880121

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/98

            
	
              Recording:

            	
              File
                No. 012990535

            
	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	 	 
	
              Masters
                Lease No.

            	
              103-0016-000

            
	
              Lessor:

            	
              State
                of Texas ME 880122

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/98

            
	
              Recording:

            	
              File
                No. 012990538

            
	 	 
	
              Masters
                Lease No.

            	
              103-0017-000

            
	
              Lessor:

            	
              State
                of Texas ME 800066

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              04/01/00

            
	
              Recording:

            	
              File
                No. 2004060882

            
	 	 
	
              Masters
                Lease No.

            	
              103-0018-000

            
	
              Lessor:

            	
              State
                of Texas ME 800067

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              04/01/00

            
	
              Recording:

            	
              File
                No. 2004060883

            
	 	 
	
              Masters
                Lease No.

            	
              103-0019-000

            
	
              Lessor:

            	
              State
                of Texas ME 880140

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              11/01/98

            
	
              Recording:

            	
              File
                No. 013230713

            
	
               

            	 
	
              Masters
                Lease No.

            	
              103-0020-000

            
	
              Lessor:

            	
              State
                of Texas ME 890021

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              03/01/99

            
	
              Recording:

            	
              File
                No. 013931443

            
	 	 
	
              Masters
                Lease No.

            	
              103-0021-000

            
	
              Lessor:

            	
              State
                of Texas ME 890220

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/01/99

            
	
              Recording:

            	
              File
                No. 2004060881

            
	 	 
	
              Masters
                Lease No.

            	
              103-0022-000

            
	
              Lessor:

            	
              State
                of Texas M-104262

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/19/04

            
	
              Recording:

            	
              GAC
                2004082554

            
	
              Description:

            	
              210
                acres, more or less, being all of Tract 135A, Galveston

            
	 	
              Bay,
                as shown on applicable official submerged area map 

            
	 	
              on
                file in Texas General Land Office.

            
	 	 
	
              Masters
                Lease No.

            	
              103-0023-000

            
	
              Lessor:

            	
              State
                of Texas M-104264

            
	
              Lessee:

            	
              Masters
                Resources LLC

            
	
              Lease
                Date:

            	
              10/19/04

            
	
              Recording:

            	
              File
                No. 2004082555

            
	
              Description:

            	
              550
                acres, more or less, being all of Tract 342, Galveston

            
	 	
              Bay,
                as shown on applicable official submerged area map 

            
	 	
              on
                file in the Texas General Land
                Office.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	
              Masters
                Lease No.

            	
              103-0024-000

            
	
              Lessor:

            	
              State
                of Texas M-104644

            
	
              Lessee:

            	
              Erskine
                Energy Partners LP

            
	
              Lease
                Date:

            	
              01/18/05

            
	
              Recording:

            	
              File
                No. 2005024321

            
	
              Description:

            	
              350
                acres, more or less, being the North 350 acres of Tract 134-A,
                Galveston Bay, as shown on applicable official submerged area map
                on file
                in the Texas General Land Office.

            
	 	 
	
              Masters
                Lease No.

            	
              103-0025-000

            
	
              Lessor:

            	
              State
                of Texas M-104653

            
	
              Lessee:

            	
              Erskine
                Energy Partners LP

            
	
              Lease
                Date:

            	
              01/18/05

            
	
              Recording:

            	
              File
                No. 2005024320

            
	
              Description:

            	
              320
                acres, more or less, being the SW/2 of Tract 339, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	 	 
	
              Masters
                Lease No.

            	
              103-0026-000

            
	
              Lessor:

            	
              State
                of Texas M-104654

            
	
              Lessee:

            	
              Erskine
                Energy Partners LP

            
	
              Lease
                Date:

            	
              01/18/05

            
	
              Recording:

            	
              File
                No. 2005024319

            
	
              Description:

            	
              320
                acres, more or less, being the SW/2 of Tract 340, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	 	 
	
              Masters
                Lease No.

            	
              103-0027-000

            
	
              Lessor:

            	
              State
                of Texas M-104655

            
	
              Lessee:

            	
              Erskine
                Energy Partners LP

            
	
              Lease
                Date:

            	
              01/18/05

            
	
              Recording:

            	
              File
                No. 2005024318

            
	
              Description

            	
              400
                acres, more or less, being all of Tract 341, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	 	 
	
              Dorado
                Prospect, Chambers Co., TX

            
	 	 
	
              Masters
                Lease No.

            	
              110-0001-000

            
	
              Lessor:

            	
              State
                of Texas M-105424

            
	
              Lessee:

            	
              Davis
                Petroleum Corp.

            
	
              Lease
                Date:

            	
              07/19/05

            
	
              Recording:

            	
              File
                No. 05 812 564

            
	
              Description

            	
              320
                acres, more or less, being the SW/2 of Tract 204, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	 	 
	
              Masters
                Lease No.

            	
              110-0002-000

            
	
              Lessor:

            	
              State
                of Texas M-105367

            
	
              Lessee:

            	
              Davis
                Petroleum Corp.

            
	
              Lease
                Date:

            	
              07/19/05

            
	
              Recording:

            	
              File
                No. 05 812 570

            
	
              Description

            	
              320
                acres, more or less, being the SW/2 of Tract 203, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	
            	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	
              Masters
                Lease No.

            	
              110-0003-000

            
	
              Lessor:

            	
              State
                of Texas M-105366

            
	
              Lessee:

            	
              Davis
                Petroleum Corp.

            
	
              Lease
                Date:

            	
              07/19/05

            
	
              Recording:

            	
              File
                No. 05 812 576

            
	
              Description

            	
              320
                acres, more or less, being the SW/2 of Tract 202, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	
            	 
	 	 
	
              Masters
                Lease No.

            	
              110-0004-000

            
	
              Lessor:

            	
              State
                of Texas M-103023

            
	
              Lessee:

            	
              Roger
                A. Soape Inc.

            
	
              Lease
                Date:

            	
              04/15/03

            
	
              Recording:

            	
              File
                No. 03 621 266

            
	
              Description

            	
              320
                acres, more or less, being the NE/2 of Tract 132, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	
            	 
	 	 
	
              Masters
                Lease No.

            	
              110-0005-000

            
	
              Lessor:

            	
              State
                of Texas M-103024

            
	
              Lessee:

            	
              Roger
                A. Soape Inc.

            
	
              Lease
                Date:

            	
              04/15/03

            
	
              Recording:

            	
              File
                No. 03 621 260

            
	
              Description

            	
              320
                acres, more or less, being the SW/2 of Tract 132, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	
            	 
	 	 
	
              Masters
                Lease No.

            	
              110-0006-000

            
	
              Lessor:

            	
              State
                of Texas M-104641

            
	
              Lessee:

            	
              Davis
                Petroleum Corp.

            
	
              Lease
                Date:

            	
              01/18/05

            
	
              Recording:

            	
              File
                No. 05 777 3

            
	
              Description

            	
              320
                acres, more or less, being the SW/2 of Tract 113, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	
            	 
	 	 
	
              Masters
                Lease No.

            	
              110-0007-000

            
	
              Lessor:

            	
              State
                of Texas M-104823

            
	
              Lessee:

            	
              Davis
                Petroleum Corp.

            
	
              Lease
                Date:

            	
              04/05/05

            
	
              Recording:

            	
              File
                No. 05 794 279

            
	
              Description

            	
              320
                acres, more or less, being the SW/2 of Tract 133, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            
	
            	 
	 	 
	
              Masters
                Lease No.

            	
              110-0008-000

            
	
              Lessor:

            	
              State
                of Texas M-104824

            
	
              Lessee:

            	
              Davis
                Petroleum Corp.

            
	
              Lease
                Date:

            	
              04/05/05

            
	
              Recording:

            	
              File
                No. 05 794 273

            
	
              Description

            	
              320
                acres, more or less, being the NE/2 of Tract 203, Galveston
                Bay, as shown on applicable official submerged area map on file in
                the
                Texas General Land Office.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	
              CEDAR
                POINT, Chambers Co., TX

            
	 	 
	
              Lessor:

            	
              USX
                Corporation

            
	
              Lessee:

            	
              Vintage
                Petroleum Inc.

            
	
              Dated:

            	
              11/17/00

            
	
              Recorded:

            	
              File
                No. 00 480 113

            
	 	
              (Pipeline
                Easement - USX Hematite Unit #1 Well #2)

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
      
         

        Exhibit
          “A”

        
          Attached
            to and made a part of Purchase and Sale Agreement dated effective October
            1,
            2006 
by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
            Seller, and Tekoil 
& Gas Corporation, as
            Buyer.

        

         

      

    

    
      	
              FEE
                PROPERTIES 

            
	 	 
	
              Masters
                Lease No.

            	
              FEE
                -102-0001

            
	
              Lessor:

            	
              Vintage
                Petroleum 

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              12/01/02

            
	
              Recording:

            	 
	 	 
	
              Masters
                Lease No.

            	
              FEE
                -102-0002

            
	
              Lessor:

            	
              Vintage
                Petroleum 

            
	
              Lessee:

            	
              Humble
                Oil & Refining Co.

            
	
              Lease
                Date:

            	
              04/01/00

            
	
              Recording:

            	 

    

    
       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

    

    Exhibit
      "B"

    Attached
      to made a part of Purchase and Sale Agreement effective October 1,
      2006

    between
      Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
      Corporation, as buyer

    

    
      	
              Field
                Name

            	 	
              Property
                Name

            	 	
              County/Parish

            	 	
              State

            	 	
              Operator

            	 	
              GWI

            	 	
              NRI

            	 	
              Remarks

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              TRINITY
                BAY

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              22-23A
                #75D, F, H

            	 	
              75F

            	 	
              Chambers

            	 	
              TX
                

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              26-27B
                #13

            	 	
              13

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              26-27A
                #63D

            	 	
              63D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #69D

            	 	
              69D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #135

            	 	
              135

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              26-27A
                #1

            	 	
              1

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              26-27A
                #10 SWD

            	 	
              10

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              -

            	 	 
	
              25A
                #9

            	 	
              9

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              26-27B
                #120 SWD

            	 	
              120

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              -

            	 	 
	
              18-19C
                #64

            	 	
              64

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23B
                #12

            	 	
              12

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23B
                #19

            	 	
              19

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              29B
                #22

            	 	
              22

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              28B
                #28

            	 	
              28

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              25A
                #29

            	 	
              29

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              18-19B
                #32

            	 	
              32

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #34

            	 	
              34

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23B
                #35

            	 	
              35

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              18-19B
                #37

            	 	
              37

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              26-27A
                #38

            	 	
              38

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              39

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #42

            	 	
              42

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              48

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23B
                #51

            	 	
              51

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23C
                #53

            	 	
              53

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23B
                #55

            	 	
              55

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              63F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              18-19C
                #68

            	 	
              68

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              69F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              73

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              74D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              74F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              74H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23
                #75D,F,H

            	 	
              75D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #76D, F

            	 	
              76D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              "
                "

            	 	
              76F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              76H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              28A
                #78D

            	 	
              78D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 

    

     

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

    
       

      
        Exhibit
          "B"

        Attached
          to made a part of Purchase and Sale Agreement effective October 1,
          2006

        between
          Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
          Corporation, as buyer

      

    

     

    
      	 	 	
              78F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	
              
                               
                  

              

            
	 	 	
              79D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              79F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              79H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              85D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23B
                #85F

            	 	
              85F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              85H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              87D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              87F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              87H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              92

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              95D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              95H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              95J

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              100D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              100F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              105D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              105F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              106D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              106F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #108D

            	 	
              108D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              108F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              108H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              109D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              109F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              109H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              111D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              111F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              112D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              112F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              112H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              18-19B
                #113D

            	 	
              113D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              113F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              28A
                #115

            	 	
              115

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              116D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #116F

            	 	
              116F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              29-32A
                #119 SWD

            	 	
              119

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              25A
                #122

            	 	
              122

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              28B
                #123

            	 	
              123

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              28B
                #124

            	 	
              124

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #130

            	 	
              130

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #131

            	 	
              131

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 

    

     

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    
      
        

        Exhibit
          "B"

        Attached
          to made a part of Purchase and Sale Agreement effective October 1,
          2006

        between
          Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
          Corporation, as buyer

         

      

    

    
      	
              25A
                #133

            	 	
              133

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	
                          
                

            
	 	 	
              72

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              2

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              3

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              4

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              5C

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              6

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              7

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              8

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              11

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              14

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              15

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              16

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              17

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              18

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              20

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              21

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              23

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              24

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              25

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              26

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              27

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              28

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              30

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              31

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              33

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              36

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              40

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              41

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              43

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              44

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              45

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              46

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              47

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              49

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              28A
                #50

            	 	
              50

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              52

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              54

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              56

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              57

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              58

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              59

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 

    

     

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    
      
        

        Exhibit
          "B"

        Attached
          to made a part of Purchase and Sale Agreement effective October 1,
          2006

        between
          Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
          Corporation, as buyer

         

      

    

    
      	 	 	
              60

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	
                          
                

            
	 	 	
              61

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              62

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              65

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              66

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              67

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              70

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              71

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              77

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              80

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              81

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              82

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              83

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              84

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              86

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              88

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              58

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              89

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              90

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              91

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              93

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              94

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              96

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              97

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              98

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              99

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              101

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              102

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              103

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              104

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              107

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              110

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              114

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              117

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              118

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              121

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              125

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              126

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              127

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              128

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              129

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              132

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 

    

     

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    
      
        

        Exhibit
          "B"

        Attached
          to made a part of Purchase and Sale Agreement effective October 1,
          2006

        between
          Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
          Corporation, as buyer

         

      

    

    
      	 	 	
              134

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	            
	 	 	
              72

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              22-23A
                #75D, F, H

            	 	
              75-H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	 	 	
              95-F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Resources

            	 	
              1.00000000

            	 	
              0.84500000

            	 	 
	
              FISHERS
                REEF

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              FR
                State Tr 9-12A #1

            	 	
              FR
                State Tr 9-12A

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef Unit 1

            	 	
              FR
                Field UT 1 #010

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef Unit 1 #112

            	 	
              FR
                Field UT 1 #112

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Field UT 1 #089-F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Field UT 1 #012

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Field UT 1 #114

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Field UT 1 #115

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Field UT 1 #089-D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Field UT2 #070-D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Field UT 2 #067-H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Field UT 2 #068-F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fisher
                Reef ST1-4B #67D

            	 	
              FR
                Tract 1-4B #67-D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              FR
                Tract 1-4B #68-D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST 1-4B #67F

            	 	
              FR
                Tract 1-4B #67-F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST1-4B #68H

            	 	
              FR
                Tract 1-4B #68-H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST1-4B #70F

            	 	
              FR
                Tract 1-4B #70-F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST 1-4B #70H

            	 	
              FR
                Tract 1-4B #70-H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST 46 #84F

            	 	
              FR
                Tract 46 #84-F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST46 #84D

            	 	
              FR
                Tract 46 #84-D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST 46 #59D

            	 	
              FR
                Tract 46 #59-D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST 46 #59F

            	 	
              FR
                Tract 46 #59-F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST 46 #2

            	 	
              FR
                Tract 46 #02

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST 46 #51

            	 	
              FR
                Tract 46 #51

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              Fishers
                Reef ST5-8B #104

            	 	
              FR
                Tract 5-8B #104

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	 	 	 
	
              Fishers
                Reef ST9-12B #110L

            	 	
              FR
                Tract 9-12B #110-L

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	
              Fishers
                Reef ST9-12B #110U

            	 	
              FR
                Tract 9-12B #110-U

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.81666700

            	 	 
	
              Fishers
                Reef ST13-16A #1

            	 	
              FR
                Tract 13-16 A #1

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	 	 	 
	
              Fishers
                Reef ST1-4A #1

            	 	
              State
                Tract 1-4A

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              0.81250000

            	 	
              0.64829653

            	 	
              O&G
                41.25%; Res 40%

            
	
              Fishers
                Reef ST2-3A #1

            	 	
              State
                Tract 2-3A

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.75562500

            	 	 
	
              Fishers
                Reef ST46 #1

            	 	
              State
                Tract 46 #1

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              0.75000000

            	 	
              0.55842570

            	 	 
	
              Fishers
                Reef ST6-7A #1

            	 	
              State
                Tract 6-7A

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.80000000

            	 	 
	
              Fishers
                Reef ST9-12B #1

            	 	
              State
                Tract 9-12 B #1

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83215625

            	 	 
	 	 	 	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              Fishers
                Reef ST 1-4A #89D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              0.81250000

            	 	
              0.64829653

            	 	 
	 	 	
              Fishers
                Reef ST1-4B #70D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              Fishers
                Reef ST1-4B #67H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 

    

     

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    
      
        

        Exhibit
          "B"

        Attached
          to made a part of Purchase and Sale Agreement effective October 1,
          2006

        between
          Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
          Corporation, as buyer

         

      

    

    
      	 	 	
              Fishers
                Reef ST1-4B #68F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	            
              
	 	 	
              Fishers
                Reef ST 5-8A #1

            	 	
              Chambers

            	 	
              TX

            	 	
              Erskine
                Energy

            	 	
              0.17730000

            	 	
              0.13290000

            	 	
              APO
                = 31.68% WI/ 23.76% NRI

            
	 	 	
              Fishers
                Reef ST 5-8A #2

            	 	
              Chambers

            	 	
              TX

            	 	
              Erskine
                Energy

            	 	
              0.30000000

            	 	
              0.23400000

            	 	 
	 	 	
              Fishers
                Reef ST 6-7A #1

            	 	
              Chambers

            	 	
              TX

            	 	
              Erskine
                Energy

            	 	
              0.12500000

            	 	
              0.09375000

            	 	
              APO
                = 30% WI/ 22.5% NRI

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              RED
                FISH REEF

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              RFR
                Frio 4

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	
              Red
                Fish Reef Frio 4 SU 1

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              RFR
                Tract 248

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	
              Red
                Fish Reef ST 248 #3

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST248 #193

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              RFR
                Tract 223

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Red
                Fish Reef ST223 #8

            	 	
              RFR
                223, Well 8

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              RFR
                Tract 224

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Red
                Fish Reef ST224 #141L

            	 	
              RFR
                224, Well 141L

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              RFR
                224, Well 161D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              RFR
                224, Well 161H

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	
              Red
                Fish Reef ST 224 #141U

            	 	
              RFR
                224, Well 141U

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	
              Red
                Fish Reef ST224 #185

            	 	
              RFR
                224, Well 185

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	
              Red
                Fish Reef ST 224 #131

            	 	
              RFR
                224, Well 131

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST 224 #42

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST224 #24

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST224 #34

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST224 #176

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST224 #179

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST224 #178

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST224 #211

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	
              RFR
                Tract 263

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	
              Red
                Fish Reef ST 263 #47

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              RFR
                Tract 247

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Red
                Fish Reef ST247 #175L

            	 	
              RFR
                247, Well 175L

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              RFR
                247, Well 175U

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST247 #154D

            	 	
              RFR
                247, Well 154DF

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST247 #144

            	 	
              RFR
                247, Well 144

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST247 #188

            	 	
              RFR
                247, Well 188

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST247 #23

            	 	
              RFR
                247, Well 23

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST247 #199

            	 	
              RFR
                247, Well 199

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST247 #192

            	 	
              RFR
                247, Well 192

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              RFR
                247, Well 175L

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              RFR
                247, Well 23

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST247 #106 oil

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 

    

     

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    
      
        

        Exhibit
          "B"

        Attached
          to made a part of Purchase and Sale Agreement effective October 1,
          2006

        between
          Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
          Corporation, as buyer

      

    

     

    
      	 	 	
              Red
                Fish Reef ST247 #106 gas

            	 	 	 	 	 	 	 	
              1.00000000

            	 	
              0.87500000

            	 	            
              
	 	 	
              Red
                Fish Reef ST247 #119

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST247 #21

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST247 #152

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST247 #191

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST247 #198

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST247 #212

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              RFR
                Tract 225

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Red
                Fish Reef ST225 #170F

            	 	
              RFR
                225, Well 170F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              RFR
                225, Well 132

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              RFR
                225, Well 190

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST 225 #166

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST 225 #50

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST 225 #46

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST 225 #139

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST225 #73

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST225 #170D

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST225 #184 gas

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST225 #184 oil

            	 	 	 	 	 	 	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST225 #187

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              RFR
                Tract 246

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Red
                Fish Reef ST246 #2

            	 	
              RFR
                246, Well 2 

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              RFR
                246, Well 174F

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	 	 	
              0.85416700

            	 	 
	 	 	
              RFR
                246, Well 73

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	 	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST246 #181

            	 	
              RFR
                246, Well 181

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST246 #182

            	 	
              RFR
                246, Well 182

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	
              Red
                Fish Reef ST246 #213

            	 	
              RFR
                246, Well 213

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              RFR
                246, Well 182

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST246 #120

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST246 #183

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST246 #197

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST246 #194

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST246 #1

            	 	
              Chambers

            	 	
              TX

            	 	
              Palace

            	 	
              0.00000000

            	 	
              0.06416700

            	 	
              (ORRI)

            
	
              RFR
                Tract 200

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Red
                Fish Reef ST200 #195

            	 	
              RFR
                200 Well 195 gas

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              RFR
                200 Well 195 oil

            	 	 	 	 	 	 	 	
              1.00000000

            	 	
              0.85416700

            	 	 
	 	 	
              Red
                Fish Reef ST200 #186

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST200 #200

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	
              RFR
                Tract 204

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Red
                Fish Reef ST 204 #125

            	 	
              RFR
                204, Well 125, Frio 15

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 
	 	 	
              Red
                Fish Reef ST204 #196

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.87500000

            	 	 

    

     

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    
      
        

        Exhibit
          "B"

        Attached
          to made a part of Purchase and Sale Agreement effective October 1,
          2006

        between
          Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
          Corporation, as buyer

         

      

    

    
      	
              RFR
                Frio 15 GU

            	 	 	 	 	 	 	 	 	 	 	 	 	 	            
              
	 	 	
              RFR
                15 GU, Well 139, South Frio 15

            	 	
              Chambers/Galveston

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              RFR
                15 GU , Well 46, South Frio 15

            	 	
              Chambers/Galveston

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              RFR
                15 GU, Well 183, South Frio 15

            	 	
              Chambers/Galveston

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              RFR
                15 GU, Well 184, South Frio 15

            	 	
              Chambers/Galveston

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              RFR
                15 GU, Well 187, South Frio 15

            	 	
              Chambers/Galveston

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	 	 	
              RFR
                15 GU, Well 198, FB A-2, Frio 15B

            	 	
              Chambers/Galveston

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.83333333

            	 	 
	
              RFR
                Tract 199

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	
              RFR
                Tract 199 (GB)

            	 	
              Chambers/Galveston

            	 	
              TX

            	 	 	 	
              0.45750000

            	 	
              0.32025000

            	 	 
	
              Nicor-
                RFR 204

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Red
                Fish Reef ST204 #1

            	 	
              RFR
                204 #1

            	 	
              Chambers

            	 	
              TX

            	 	
              Scana
                Expl

            	 	 	 	
              0.17500000

            	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	
              State
                Tract 288 #1

            	 	
              Chambers

            	 	
              TX

            	 	
              El
                Tres Exploration

            	 	 	 	
              0.01250980

            	 	 
	 	 	
              State
                Tract 204 #1

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	
              0.85312500

            	 	 
	
              RFR
                Tract 245

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	
              Red
                Fish Reef ST245 #109

            	 	
              Chambers

            	 	
              TX

            	 	
              Masters
                Oil & Gas LLC

            	 	
              1.00000000

            	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              N
                PT BOLIVAR

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              42-30855

            	 	
              State
                Tract 343 #14

            	 	
              Galveston

            	 	
              TX

            	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.75000013

            	 	 
	
              42-30640

            	 	
              State
                Tract 343 #16

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.75000013

            	 	 
	
              42-31049

            	 	
              State
                Tract 343 #18

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.75000013

            	 	 
	
              42-30339

            	 	
              State
                Tract 343 #9

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.75000013

            	 	 
	 	 	
              State
                Tract 343 #1D

            	 	
              Galveston

            	 	
              TX

            	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.75000013

            	 	 
	
              42-31203

            	 	
              State
                Tract 343 #20

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.75000013

            	 	 
	
              42-30110

            	 	
              State
                Tract 343 #5

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.75000013

            	 	 
	
              42-30118

            	 	
              N
                Pt Bolivar ST 135A #6

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.00000000

            	 	 
	
              42-30038

            	 	
              State
                Tract 343 #1

            	 	
              SWD

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.00000000

            	 	 
	
              42-00011,42-00012

            	 	
              N
                Pt Bolivar ST 342

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.00000000

            	 	 
	
              42-00017

            	 	
              N
                Pt Bolivar Facility

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.00000000

            	 	 
	
              42-00057

            	 	
              N
                Pt Bolivar Boat Dock

            	 	
              Galveston

            	 	 	 	
              Masters
                Resources LLC

            	 	
              1.00000000

            	 	
              0.00000000

            	 	 
	 	 	
              State
                Tract 343 #1

            	 	
              Galveston

            	 	
              TX

            	 	
              Erskine
                Energy

            	 	
              0.00000000

            	 	
              0.00000000

            	 	
              APO
                only - 17.5 % WI/ 12.775% NRI

            
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              DORADO

            	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	
              State
                Tract 132 Unit

            	 	
              Chambers
                

            	 	
              TX

            	 	
              Davis
                Petroleum Corp.

            	 	
              0.05000000

            	 	
              0.03700000

            	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

    

     

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    
      
        

        Exhibit
          "B"

        Attached
          to made a part of Purchase and Sale Agreement effective October 1,
          2006

        between
          Masters Resources LLC and Masters Oil Gas LLC, Sellers and Tekoil Gas
          Corporation, as buyer

         

      

    

    
      	
              Cedar
                Pt/Hematite

            	 	 	 	 	 	 	 	 	 	 	 	 	 	
                          

            
	 	 	
              Sterling
                #1

            	 	 	 	 	 	
              Carizzo

            	 	
              0.43548387

            	 	 	 	 
	 	 	
              Sterling
                #2

            	 	 	 	 	 	
              Carizzo

            	 	 	 	 	 	 
	 	 	
              USX
                Hematite Unit #1

            	 	 	 	 	 	
              Carizzo

            	 	
              0.37500000

            	 	
              0.28549810

            	 	 
	 	 	
              US
                Hematite Unit #1 Well #2

            	 	 	 	 	 	
              Carizzo

            	 	
              0.37500000

            	 	
              0.28549810

            	 	 
	 	 	
              USX
                Hematite Unit #1 Well #4

            	 	 	 	 	 	
              Carizzo

            	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	
              Point
                Barrow SWD #1

            	 	 	 	 	 	
              Masters
                

            	 	
              1.00000000

            	 	
              0.00000000

            	 	 

    

    

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    Exhibit
      “C”

    Attached
      to and made a part of Purchase and Sale Agreement dated effective

    October
      1, 2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC,

    as
      Seller, and Tekoil & Gas Corporation, as Buyer.

    

    N
      Point Bolivar 

    

    
      	
              LC-103-0005

            	 	
              Exploration
                Agrmt & JOA dtd 12/21/04 btwn Masters Resources LLC & Erskine
                Energy LLC

            
	 	 	 
	 	 	 
	
              LC-103-0014
                

            	 	
              Barge
                Dock & Surface Use Agrmt dtd eff 9/22/06 btwn Masters Resources LLC,
                St. Mary Land & Expl Co. & Erskine Energy Partners II LP LLC
                covering barge dock facility at Goat Island, ST 342 (Expires
                9/22/2011)

            
	 	 	 
	
              GC-103-0008

            	 	
              Production
                Handling Agrmt dtd October 11, 2006 btwn St. Mary Land & Expl Co &
                Masters Resources LLC (ST 342)

            
	 	 	 
	
              Dorado

            	 	 
	 	 	 
	
              LC-110-0001

            	 	
              E/A
                & JOA dtd 4/21/05 btwn Davis Petroleum Corp. & Masters Resources
                LLC covering ST 113/132/133/203

            
	 	 	 
	
              LC-110-0004

            	 	
              JOA
                dtd 6/1/06 btwn Davis Petroleum Corp & Masters Resources LLC covering
                ST 204 Unit

            
	 	 	 
	
              Fishers
                Reef

            	 	 
	 	 	 
	
              LC-101-0016

            	 	
              Exploration
                Agreement & JOA dtd 1/31/05 btwn Masters Resources LLC & Erskine
                Energy Partners LP & Erskine Energy LLC covering State Tract 2-3A Unit
                (M-96828 & M-96829)

            
	 	 	 
	
              LC-101-0023

            	 	
              Exploration
                Agreement dtd 2/23/05 btwn Masters Resources LLC & Erskine Energy
                Partners, LP & Erskine Energy LLC Covering State Tract
                6-7A

            
	 	 	 
	
              LC-101-0024

            	 	
              Exploration
                Agreement & O/A dtd 6/30/05 btwn Masters Resources LLC & Masters
                Oil & Gas LLC & Erskine Energy Partners LP, Erskine Energy LLC
                covering State Tract 5-8A

            
	 	 	 
	 	 	
              Letter
                Agreement dtd 6/20/05 btwn Masters Resources LLC & Palace Exploration
                Co. etal

            
	 	 	 
	 	 	
              Letter
                Agreement dtd 7/11/05 btwn Masters Resources LLC, Erskine Energy
                Partners
                etal & Palace Exploration Co.

            
	 	 	 
	
              GC-101-0003

            	 	
              Gas
                Transportation Contract dated 5/22/06 between Masters Resources LLC
                and
                Erskine Energy Partners II LP

            
	 	 	
              (ST
                5-8A #1, #2, ST 6-7A #1 wells)

            
	 	 	 
	
              GC-101-0004

            	 	
              Crude
                Oil Gathering Contract dated 5/22/06 between Masters Resources LLC
                and
                Erskine Energy Partners II LP

            
	 	 	
              (ST
                5-8A #1, #2, ST 6-7A #1 wells)

            
	 	 	 
	
              Red
                Fish Reef

            	 	 
	 	 	 
	
              LC-102-0002

            	 	
              Term
                Acreage Agreement dtd 4/19/01 btwn Masters Resources LLC &
                Alcorn-Texana Resources etal

            

    

    
       

      Subject
        to one or more Amendments to Lease of varying dates providing for the addition
        to the lease of rework and/or shut-in gas well clauses.

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

      Exhibit
        “C”

      Attached
        to and made a part of Purchase and Sale Agreement dated effective

      October
        1, 2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC,

      as
        Seller, and Tekoil & Gas Corporation, as Buyer.

    

    

    Subject
      to Pooling Agreement dated 10/6/98 covering 320 acres of State Tract 2-3A -
      3A
      (State Tract 2-3A Unit #1) recorded under File No. 98 395 730, Chambers Co.,
      TX

    

    Subject
      to Pooling Agreement dated 9/15/98 covering 320 acres being 110 acres of State
      Tract 2-3A -3A, 75 acres of State Tract 46 and 135 acres of State Tract 47
      (State Tract 46 No. 1) recorded under File No. 00 453 686.

    

    Subject
      to Pooling Agreement dated 12/11/01 covering 320 acres being 76 acres out of
      State Tract 1-4A, 152 acres out of State Tract 5-8A, 80 acres out of State
      Tract
      2-3A, 90 acres out of State Tract 2-3A, 40 acres out of State Tract 6-7A (State
      Tract 1-4A Unit).

    

    Subject
      to Participation and Farmout Agreement dated 3/6/00 between Vintage Petroleum
      Inc. and Davis Petroleum Corp.

    

    Subject
      to JOA dated 6/20/00 between Vintage Petroleum Inc., Palace Exploration Co.,
      Davis Petroleum Corp., Andex Resources LLC covering land within Pooled Unit
      for
      State Tract 1-4A No. 1 well (State Tract 1-4A No. 1 well).

    

    Subject
      to JOA dated 3/6/00 between Vintage Petroleum Inc., Palace Exploration Co.,
      Davis Petroleum Corp., and Andex Resources LLC covering lands within the Pooled
      Unit for State Tract 46 No. 1 (State Tract 46 No. 1 well).

    

    Subject
      to JOA dated 9/1/00 between Vintage Petroleum Inc., Davis Petroleum Corp.,
      Andex
      Resources LLC covering 250 acres within that portion of State Tract 9-12B,
      limited from the surface of the ground down to the stratigraphic equivalent
      of
      the total depth drilled in the Initial Test, except the Unitized formations
      established by Unit Agreement for the Fishers Reef Field Unit No. 1 but
      including any wellbore interest earned therein, as more specifically identified
      and defined in those certain Participation Farmout Agreements, as amended,
      between Vintage and each of the other parties (State Tract 9-12B #1
      well).

    

    Subject
      to JOA dated 1/6/98 between Vintage Petroleum Inc. (50%) and EEX Corporation
      (50%) covering all land located on State Tract 6-7A: SW (State Tract 6-7A
      well)

    

    Subject
      to call on oil and gas production in Assignment and Bill of Sale dated 5/1/91
      and recorded under File No. 91 146 152 from Exxon Corporation to Vintage
      Petroleum Inc. whereby Exxon Corporation reserves a preferential right to
      purchase oil and gas for a term of 21 years from assignment date.

    

    Possibly
      subject to two final judgments which are as follows: 1) Final Judgment dated
      7/24/74 in the case of State of Texas et al, Plaintiff vs. Exxon Corporation,
      Defendant in the District Court of Travis County, Texas, the 53rd
      Judicial
      District, Case No. 207789 and 2) Final Judgment dated 2/23/76 in the case of
      the
      State of Texas et al, Plaintiff vs. Exxon Corporation and Sun Oil Company
      (Delaware), Defendants, in the District Court of Travis County, Texas,
      53rd
      Judicial
      District, Case No. 238904.

    

    CEDAR
      POINT/HEMATITE FIELD

    

    Subject
      to the certain Operating Agreement dated 2/15/99 by and between Vintage
      Petroleum Inc. and MCNIC O & G Properties, Inc., Carrizo O&G Inc.,
      Century Offshore Management Corp. and Yuma Exploration and Production Company,
      Inc.

    

    Subject
      to that certain Participation Agreement by and between Yuma Exploration and
      Production Company, Inc., Vintage Petroleum Inc., Carrizo Oil & Gas Inc. and
      MCNIC Oil
&
      Gas Properties, Inc. dated 4/6/98.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

      Exhibit
        “C”

      Attached
        to and made a part of Purchase and Sale Agreement dated effective

      October
        1, 2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC,

      as
        Seller, and Tekoil & Gas Corporation, as Buyer.

       

    

    POINT
      BARROW FACILITY

    

    Subject
      to Letter Agreement dated 12/19/01 between Vintage Petroleum Inc. and Masters
      Resources LLC for use of Vintage’s boat dock located at the Point Barrow
      District Office

    

    Subject
      to Saltwater Disposal Agreement dated 10/01/01 between Vintage Petroleum Inc.
      and Masters Resources LLC whereby Vintage will accept Masters’ water produced
      from Masters’ wells located in the Trinity Bay Field, Chambers Co., TX for
      disposal in its Point Barrow saltwater disposal facility located on the Point
      Barrow Facility so long as excess capacity in the Facility exists over and
      above
      that required by Vintage’s operations.

    

    Subject
      to Surface Lease and Easement dated 12/19/02 between Vintage Petroleum Inc.,
      Lessor, and Masters Resources LLC., Lessee wherein Lessor grants to Lessee
      a
      non-exclusive easement on and overt the Point Barrow Facility to Lessee for
      the
      purpose of operating and maintaining and constructing pipelines, facilities,
      power line or roads to and from the leased premises. Lessee owns equipment
      currently located on the leased premises, including 1) TB #1 - 1500 BBL -
      Bottled Gun Barrel; 2) TB #2 - 500 BBL - Settling Tank; 3)TB #3 - 1000 BBL
      -
      Sales Tank; 4) TB Heater; 5) Associated Flow lines. 

    

    Subject
      to all easements, rights of way, surface leases and all similar grants of
      surface use affecting this land whether recorded or unrecorded in addition
      to
      those specifically described in Deed and Bill of Sale dated 5/31/91 between
      Exxon Corporation, Grantor and Vintage Petroleum Inc., Grantee recorded under
      File No. 91 146 205, Chambers Co., TX.

    

    Subject
      to reservation of a 1/16th
      of
      8/8ths Non-participating Royalty Interest in favor of Estelle Ervine and J.
      E.
      Bishop, Individually and as Independent Executors of the Estate of J. E. Ervine,
      and their predecessors in interest.

    

    Subject
      to call on oil and gas production in Assignment and Bill of Sale dated 5/1/91
      and recorded under File No. 91 146 152 from Exxon Corporation to Vintage
      Petroleum Inc. whereby Exxon Corporation reserves a preferential right to
      purchase oil and gas for a term of 21 years from assignment
      date.

    

    GAS
      CONTRACTS

    

    Gas
      and
      Crude Oil Gathering, Dehydration and Delivery Agreement, as amended, dated
      5/1/00 by and between Vintage Petroleum Inc., as Shipper, and Vintage Pipeline
      Inc., as Operator.

    

    Gas
      and
      Crude Oil Gathering, Dehydration and Delivery Agreement, as amended, dated
      9/1/00 by and between Davis Petroleum Corp., as Shipper, and Vintage Pipeline
      Inc. as operator.

    

    Gas
      and
      Crude Oil Gathering, Dehydration and Delivery Agreement, as amended, dated
      9/1/00 by and between Andex Resources LLC, as Shipper, and Vintage Pipeline,
      Inc. as Operator.

    

    Gas
      and
      Crude Oil Gathering, Dehydration and Delivery Agreement dated 10/1/02 by and
      between EEX Corporation, as Shipper, and Vintage Pipeline Inc. as Operator.
      

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Exhibit
      D

     

    

      
        	
                SEQ
                  #

              	 	
                Res
                  Cat

              	 	
                Field

              	 	
                Lease

              	 	
                RESERVOIR

              	 	
                WI

              	 	
                NRI

              	 	
                Gross
                  Oil MBBL

              	 	
                Gross
                  Gas MMCF

              	 	
                Net
                  Oil MBBL

              	 	
                Net
                  Gas MMCF

              	 	
                Net
                  MMCFE

              	 	
                Allocation
                  per Well

              
	
                370

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 01-4A #12 (BP01)

              	 	
                FRIO
                  13

              	 	
                1.0

              	 	
                0.8

              	 	
                20.1

              	 	
                804.1

              	 	
                16.8

              	 	
                670.1

              	 	
                770.6

              	 	
                $
                  

              	
                392,791

              
	
                374

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 01-4B #68H (BP01)

              	 	
                FRIO
                  10B

              	 	
                1.0

              	 	
                0.8

              	 	
                13.6

              	 	
                400.0

              	 	
                11.3

              	 	
                333.3

              	 	
                401.3

              	 	
                $
                  

              	
                204,562

              
	
                389

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 09-12B #112 (BP01)

              	 	
                FRIO
                  6C

              	 	
                1.0

              	 	
                0.8

              	 	
                16.2

              	 	
                523.4

              	 	
                13.5

              	 	
                436.2

              	 	
                517.3

              	 	
                $
                  

              	
                263,670

              
	
                391

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 01-4A #89F (BP02)

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.8

              	 	
                7.5

              	 	
                160.0

              	 	
                6.3

              	 	
                133.3

              	 	
                170.9

              	 	
                $
                  

              	
                87,132

              
	
                510

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 05-8A #01 (BP01)

              	 	
                FRIO
                  17

              	 	
                0.2

              	 	
                0.1

              	 	
                11.4

              	 	
                1136.0

              	 	
                1.7

              	 	
                166.5

              	 	
                176.5

              	 	
                $
                  

              	
                89,962

              
	
                511

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 05-8A #01 (BP02)

              	 	
                FRIO
                  15

              	 	
                0.2

              	 	
                0.1

              	 	
                6.8

              	 	
                682.0

              	 	
                1.6

              	 	
                159.0

              	 	
                168.5

              	 	
                $
                  

              	
                85,884

              
	
                521

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 06-7A #01 (BP-01)

              	 	
                FRIO
                  13

              	 	
                0.1

              	 	
                0.1

              	 	
                5.5

              	 	
                547.1

              	 	
                0.5

              	 	
                51.3

              	 	
                54.4

              	 	
                $
                  

              	
                27,714

              
	
                522

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 05-8A #02 (BP01)

              	 	
                TEX
                  2 UPPER

              	 	
                0.3

              	 	
                0.2

              	 	
                56.5

              	 	
                941.1

              	 	
                12.7

              	 	
                211.8

              	 	
                288.0

              	 	
                $
                  

              	
                146,788

              
	
                523

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 05-8A #02 (BP02)

              	 	
                FRIO
                  17

              	 	
                0.3

              	 	
                0.2

              	 	
                1.5

              	 	
                153.4

              	 	
                0.3

              	 	
                34.5

              	 	
                36.6

              	 	
                $
                  

              	
                18,647

              
	
                427

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                POINT
                  BOLIVAR NORTH

              	 	
                STATE
                  TRACT 343 #014 (BP01)

              	 	
                S-2

              	 	
                1.0

              	 	
                0.8

              	 	
                2.1

              	 	
                106.0

              	 	
                1.6

              	 	
                79.5

              	 	
                89.0

              	 	
                $
                  

              	
                45,384

              
	
                515

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                POINT
                  BOLIVAR NORTH

              	 	
                STATE
                  TRACT 343 #014 (BP02)

              	 	
                R-4
                  SAND

              	 	
                1.0

              	 	
                0.8

              	 	
                1.3

              	 	
                129.0

              	 	
                1.0

              	 	
                96.8

              	 	
                102.6

              	 	
                $
                  

              	
                52,273

              
	
                516

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                POINT
                  BOLIVAR NORTH

              	 	
                STATE
                  TRACT 343 #014 (BP03)

              	 	
                R-3
                  LOWER SAND

              	 	
                1.0

              	 	
                0.8

              	 	
                3.0

              	 	
                298.3

              	 	
                2.2

              	 	
                223.7

              	 	
                237.1

              	 	
                $
                  

              	
                120,857

              
	
                147

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 186 (BP01)

              	 	
                FRIO
                  4

              	 	
                1.0

              	 	
                0.9

              	 	
                26.8

              	 	
                1030.0

              	 	
                23.4

              	 	
                901.2

              	 	
                1041.8

              	 	
                $
                  

              	
                531,037

              
	
                182

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 200

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.9

              	 	
                21.6

              	 	
                451.0

              	 	
                18.9

              	 	
                394.6

              	 	
                508.0

              	 	
                $
                  

              	
                258,953

              
	
                203

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 001

              	 	
                MIOCENE
                  2900

              	 	
                1.0

              	 	
                0.9

              	 	
                19.0

              	 	
                633.0

              	 	
                16.2

              	 	
                540.7

              	 	
                638.0

              	 	
                $
                  

              	
                325,200

              
	
                205

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 021 (BP02)

              	 	
                FRIO
                  1 & 1B

              	 	
                1.0

              	 	
                0.9

              	 	
                39.4

              	 	
                960.0

              	 	
                33.6

              	 	
                820.0

              	 	
                1021.7

              	 	
                $
                  

              	
                520,780

              
	
                206

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 021 (BP01)

              	 	
                FRIO
                  2A

              	 	
                1.0

              	 	
                0.9

              	 	
                49.9

              	 	
                768.0

              	 	
                42.6

              	 	
                656.0

              	 	
                911.8

              	 	
                $
                  

              	
                464,773

              
	
                215

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 207 (BP01)

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                4.0

              	 	
                960.0

              	 	
                3.4

              	 	
                820.0

              	 	
                840.5

              	 	
                $
                  

              	
                428,410

              
	
                217

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 174D (BP01)

              	 	
                FB
                  B-4 FRIO 6

              	 	
                1.0

              	 	
                0.9

              	 	
                29.8

              	 	
                960.0

              	 	
                25.4

              	 	
                820.0

              	 	
                972.5

              	 	
                $
                  

              	
                495,702

              
	
                218

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 181 (BP01)

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.9

              	 	
                46.1

              	 	
                960.0

              	 	
                39.4

              	 	
                820.0

              	 	
                1056.2

              	 	
                $
                  

              	
                538,334

              
	
                221

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 181 (BP02)

              	 	
                FRIO
                  1A

              	 	
                1.0

              	 	
                0.9

              	 	
                15.7

              	 	
                383.0

              	 	
                13.4

              	 	
                327.1

              	 	
                407.6

              	 	
                $
                  

              	
                207,769

              
	
                223

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 023 (BP01)

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.9

              	 	
                28.2

              	 	
                828.0

              	 	
                24.0

              	 	
                707.2

              	 	
                851.5

              	 	
                $
                  

              	
                434,032

              
	
                224

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 106 (BP01)

              	 	
                FRIO
                  1B

              	 	
                1.0

              	 	
                0.9

              	 	
                15.5

              	 	
                378.0

              	 	
                13.2

              	 	
                330.8

              	 	
                410.2

              	 	
                $
                  

              	
                209,071

              
	
                225

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 106 (BP02)

              	 	
                MIOCENE
                  3400

              	 	
                1.0

              	 	
                0.9

              	 	
                2.0

              	 	
                200.0

              	 	
                1.7

              	 	
                175.0

              	 	
                185.2

              	 	
                $
                  

              	
                94,423

              
	
                233

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 175-L (BP01)

              	 	
                FRIO
                  3

              	 	
                1.0

              	 	
                0.9

              	 	
                20.0

              	 	
                14.0

              	 	
                17.1

              	 	
                12.0

              	 	
                114.5

              	 	
                $
                  

              	
                58,340

              
	
                234

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 175-L (BP02)

              	 	
                FRIO
                  2A

              	 	
                1.0

              	 	
                0.9

              	 	
                3.8

              	 	
                384.0

              	 	
                3.3

              	 	
                328.0

              	 	
                347.7

              	 	
                $
                  

              	
                177,216

              
	
                272

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 174D (BP02)

              	 	
                FRIO
                  1A

              	 	
                1.0

              	 	
                0.9

              	 	
                30.0

              	 	
                21.0

              	 	
                25.6

              	 	
                17.9

              	 	
                171.7

              	 	
                $
                  

              	
                87,511

              
	
                274

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 212 (BP01)

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.9

              	 	
                64.3

              	 	
                45.0

              	 	
                54.9

              	 	
                38.4

              	 	
                368.0

              	 	
                $
                  

              	
                187,564

              
	
                494

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 192 (BP01)

              	 	
                FRIO
                  11A

              	 	
                1.0

              	 	
                0.9

              	 	
                27.5

              	 	
                640.0

              	 	
                23.5

              	 	
                546.7

              	 	
                687.7

              	 	
                $
                  

              	
                350,530

              
	
                496

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 212 (BP02)

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                13.1

              	 	
                320.0

              	 	
                11.2

              	 	
                273.3

              	 	
                340.6

              	 	
                $
                  

              	
                173,593

              
	
                506

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 146

              	 	
                MIOCENE
                  3400 C

              	 	
                1.0

              	 	
                0.9

              	 	
                4.3

              	 	
                423.0

              	 	
                3.8

              	 	
                370.1

              	 	
                392.7

              	 	
                $
                  

              	
                200,163

              
	
                415

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 053 (BP1)

              	 	
                FRIO
                  F-3

              	 	
                1.0

              	 	
                0.8

              	 	
                4.7

              	 	
                233.0

              	 	
                3.9

              	 	
                196.9

              	 	
                220.5

              	 	
                $
                  

              	
                112,396

              
	
                418

              	 	
                PROVED
                  BEHIND PIPE

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 135 (BP01)

              	 	
                F-5

              	 	
                1.0

              	 	
                0.8

              	 	
                4.5

              	 	
                225.0

              	 	
                3.8

              	 	
                190.1

              	 	
                212.9

              	 	
                $
                  

              	
                108,537

              
	
                306

              	 	
                PROVED
                  PRODUCING

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 46 #115

              	 	
                FRIO
                  8

              	 	
                1.0

              	 	
                0.8

              	 	
                95.6

              	 	
                295.4

              	 	
                79.7

              	 	
                246.2

              	 	
                724.2

              	 	
                $
                  

              	
                3,549,125

              
	
                343

              	 	
                PROVED
                  PRODUCING

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 02-3A #001

              	 	
                9800

              	 	
                1.0

              	 	
                0.8

              	 	
                11.0

              	 	
                22.0

              	 	
                8.3

              	 	
                16.6

              	 	
                66.5

              	 	
                $
                  

              	
                325,982

              
	
                450

              	 	
                PROVED
                  PRODUCING

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 46 #010

              	 	
                FRIO
                  8

              	 	
                1.0

              	 	
                0.8

              	 	
                0.0

              	 	
                26.5

              	 	
                0.0

              	 	
                22.1

              	 	
                22.1

              	 	
                $
                  

              	
                108,315

              
	
                476

              	 	
                PROVED
                  PRODUCING

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 46 #051

              	 	
                FRIO
                  6C

              	 	
                1.0

              	 	
                0.8

              	 	
                0.5

              	 	
                13.9

              	 	
                0.4

              	 	
                11.6

              	 	
                13.8

              	 	
                $
                  

              	
                67,816

              
	
                478

              	 	
                PROVED
                  PRODUCING

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 09-12B #001

              	 	
                FRIO
                  13

              	 	
                1.0

              	 	
                0.8

              	 	
                0.0

              	 	
                54.3

              	 	
                0.0

              	 	
                45.2

              	 	
                45.2

              	 	
                $
                  

              	
                221,457

              
	
                509

              	 	
                PROVED
                  PRODUCING

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 05-8A #01

              	 	
                TEX
                  2 UPPER

              	 	
                0.2

              	 	
                0.1

              	 	
                41.2

              	 	
                686.0

              	 	
                5.5

              	 	
                91.2

              	 	
                124.0

              	 	
                $
                  

              	
                607,677

              
	
                518

              	 	
                PROVED
                  PRODUCING

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 05-8A #02

              	 	
                TEX
                  2 MIDDLE

              	 	
                0.3

              	 	
                0.2

              	 	
                33.5

              	 	
                559.0

              	 	
                7.5

              	 	
                125.8

              	 	
                171.0

              	 	
                $
                  

              	
                838,276

              
	
                519

              	 	
                PROVED
                  PRODUCING

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 06-7A #01

              	 	
                FRIO
                  17

              	 	
                0.1

              	 	
                0.1

              	 	
                7.2

              	 	
                715.8

              	 	
                0.7

              	 	
                67.1

              	 	
                71.1

              	 	
                $
                  

              	
                348,608

              
	
                296

              	 	
                PROVED
                  PRODUCING

              	 	
                POINT
                  BOLIVAR NORTH

              	 	
                STATE
                  TRACT 343 #009

              	 	
                S-2
                  B2

              	 	
                1.0

              	 	
                0.8

              	 	
                9.8

              	 	
                0.0

              	 	
                7.3

              	 	
                0.0

              	 	
                44.0

              	 	
                $
                  

              	
                215,593

              
	
                425

              	 	
                PROVED
                  PRODUCING

              	 	
                POINT
                  BOLIVAR NORTH

              	 	
                STATE
                  TRACT 343 #014

              	 	
                S-4A
                  LWR

              	 	
                1.0

              	 	
                0.8

              	 	
                1.8

              	 	
                88.0

              	 	
                1.3

              	 	
                66.0

              	 	
                73.9

              	 	
                $
                  

              	
                362,282

              
	
                1

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 139

              	 	
                FRIO
                  15

              	 	
                1.0

              	 	
                0.9

              	 	
                20.4

              	 	
                305.7

              	 	
                17.4

              	 	
                261.1

              	 	
                365.5

              	 	
                $
                  

              	
                1,791,388

              
	
                8

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 198 (GBS 247)

              	 	
                FB
                  A
                  FRIO 10 STRAY

              	 	
                1.0

              	 	
                0.9

              	 	
                0.5

              	 	
                112.9

              	 	
                0.4

              	 	
                96.5

              	 	
                98.8

              	 	
                $
                  

              	
                484,156

              
	
                13

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 175-L

              	 	
                FB
                  B-1 FRIO 9

              	 	
                1.0

              	 	
                0.9

              	 	
                0.2

              	 	
                4.7

              	 	
                0.1

              	 	
                4.0

              	 	
                4.8

              	 	
                $
                  

              	
                23,713

              
	
                14

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 141U

              	 	
                FB
                  A-2 FRIO 19

              	 	
                1.0

              	 	
                0.9

              	 	
                1.0

              	 	
                212.5

              	 	
                0.9

              	 	
                185.9

              	 	
                191.3

              	 	
                $
                  

              	
                937,611

              
	
                21

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 176

              	 	
                FB
                  A-3 FRIO 6

              	 	
                1.0

              	 	
                0.9

              	 	
                1.9

              	 	
                12.0

              	 	
                1.7

              	 	
                10.5

              	 	
                20.5

              	 	
                $
                  

              	
                100,710

              
	
                22

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 120

              	 	
                FRIO
                  25-A

              	 	
                1.0

              	 	
                0.9

              	 	
                22.7

              	 	
                113.7

              	 	
                19.4

              	 	
                97.1

              	 	
                213.7

              	 	
                $
                  

              	
                1,047,135

              
	
                27

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 023

              	 	
                FB
                  B-1 FRIO 11B

              	 	
                1.0

              	 	
                0.9

              	 	
                2.1

              	 	
                415.9

              	 	
                1.8

              	 	
                355.3

              	 	
                365.9

              	 	
                $
                  

              	
                1,793,391

              
	
                90

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 050

              	 	
                FB
                  B-2B FRIO 5

              	 	
                1.0

              	 	
                0.9

              	 	
                1.5

              	 	
                31.7

              	 	
                1.3

              	 	
                27.1

              	 	
                34.6

              	 	
                $
                  

              	
                169,611

              
	
                173

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 185

              	 	
                FRIO
                  16 & 17

              	 	
                1.0

              	 	
                0.9

              	 	
                0.0

              	 	
                0.0

              	 	
                0.0

              	 	
                0.0

              	 	
                0.0

              	 	
                $
                  

              	
                0

              
	
                207

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 187

              	 	
                FRIO
                  15B

              	 	
                1.0

              	 	
                0.9

              	 	
                31.9

              	 	
                768.0

              	 	
                27.2

              	 	
                656.0

              	 	
                819.5

              	 	
                $
                  

              	
                4,016,312

              
	
                245

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 188

              	 	
                AB-4

              	 	
                1.0

              	 	
                0.9

              	 	
                2.9

              	 	
                98.8

              	 	
                2.5

              	 	
                84.4

              	 	
                99.2

              	 	
                $
                  

              	
                486,269

              
	
                256

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 179

              	 	
                FRIO
                  4

              	 	
                1.0

              	 	
                0.9

              	 	
                0.1

              	 	
                6.1

              	 	
                0.1

              	 	
                5.3

              	 	
                6.0

              	 	
                $
                  

              	
                29,426

              
	
                275

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 195

              	 	
                FRIO
                  12

              	 	
                1.0

              	 	
                0.9

              	 	
                4.1

              	 	
                33.8

              	 	
                3.5

              	 	
                29.5

              	 	
                50.4

              	 	
                $
                  

              	
                246,934

              
	
                454

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 001

              	 	
                AB
                  8

              	 	
                0.0

              	 	
                0.1

              	 	
                10.2

              	 	
                1052.6

              	 	
                0.7

              	 	
                67.5

              	 	
                71.5

              	 	
                $
                  

              	
                350,315

              
	
                467

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 132 #001

              	 	
                FRIO
                  19

              	 	
                0.1

              	 	
                0.0

              	 	
                165.9

              	 	
                3770.5

              	 	
                6.1

              	 	
                139.5

              	 	
                176.3

              	 	
                $
                  

              	
                864,230

              
	
                471

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 182

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.9

              	 	
                1.3

              	 	
                22.7

              	 	
                1.1

              	 	
                19.4

              	 	
                26.3

              	 	
                $
                  

              	
                128,828

              
	
                473

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 106

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                2.7

              	 	
                293.5

              	 	
                2.3

              	 	
                256.8

              	 	
                270.8

              	 	
                $
                  

              	
                1,327,382

              
	
                505

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 132

              	 	
                MIOCENE
                  3400 C

              	 	
                1.0

              	 	
                0.9

              	 	
                0.0

              	 	
                357.6

              	 	
                0.0

              	 	
                305.5

              	 	
                305.5

              	 	
                $
                  

              	
                1,497,186

              
	
                520

              	 	
                PROVED
                  PRODUCING

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 183

              	 	
                FRIO
                  2-A

              	 	
                1.0

              	 	
                0.9

              	 	
                30.3

              	 	
                45.5

              	 	
                25.9

              	 	
                38.9

              	 	
                194.3

              	 	
                $
                  

              	
                952,348

              
	
                280

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 001

              	 	
                F-12

              	 	
                1.0

              	 	
                0.8

              	 	
                46.5

              	 	
                0.0

              	 	
                39.3

              	 	
                0.0

              	 	
                235.6

              	 	
                $
                  

              	
                1,154,841

              
	
                282

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 135

              	 	
                FRIO
                  7

              	 	
                1.0

              	 	
                0.8

              	 	
                94.6

              	 	
                0.0

              	 	
                79.9

              	 	
                0.0

              	 	
                479.7

              	 	
                $
                  

              	
                2,350,982

              
	
                285

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 012

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.8

              	 	
                60.6

              	 	
                0.0

              	 	
                51.2

              	 	
                0.0

              	 	
                307.1

              	 	
                $
                  

              	
                1,505,137

              
	
                286

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 038

              	 	
                FRIO
                  5 CENTRAL

              	 	
                1.0

              	 	
                0.8

              	 	
                5.8

              	 	
                0.0

              	 	
                4.9

              	 	
                0.0

              	 	
                29.5

              	 	
                $
                  

              	
                144,562

              
	
                287

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 032

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.8

              	 	
                14.4

              	 	
                0.0

              	 	
                12.2

              	 	
                0.0

              	 	
                72.9

              	 	
                $
                  

              	
                357,313

              
	
                290

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 037

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.8

              	 	
                19.6

              	 	
                0.0

              	 	
                16.6

              	 	
                0.0

              	 	
                99.4

              	 	
                $
                  

              	
                486,944

              
	
                292

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 064

              	 	
                FRIO
                  6 WEST

              	 	
                1.0

              	 	
                0.8

              	 	
                41.5

              	 	
                0.0

              	 	
                35.0

              	 	
                0.0

              	 	
                210.2

              	 	
                $
                  

              	
                1,030,071

              
	
                293

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 130

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.8

              	 	
                46.1

              	 	
                0.0

              	 	
                39.0

              	 	
                0.0

              	 	
                233.8

              	 	
                $
                  

              	
                1,145,915

              
	
                294

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 013

              	 	
                FRIO
                  7

              	 	
                1.0

              	 	
                0.8

              	 	
                121.8

              	 	
                0.0

              	 	
                103.0

              	 	
                0.0

              	 	
                617.7

              	 	
                $
                  

              	
                3,027,565

              
	
                295

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 063D

              	 	
                FRIO
                  7

              	 	
                1.0

              	 	
                0.8

              	 	
                9.3

              	 	
                0.0

              	 	
                7.8

              	 	
                0.0

              	 	
                47.0

              	 	
                $
                  

              	
                230,563

              
	
                381

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 068

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.8

              	 	
                17.4

              	 	
                0.0

              	 	
                14.7

              	 	
                0.0

              	 	
                88.2

              	 	
                $
                  

              	
                432,314

              
	
                384

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 122

              	 	
                F-12

              	 	
                1.0

              	 	
                0.8

              	 	
                12.7

              	 	
                0.0

              	 	
                10.8

              	 	
                0.0

              	 	
                64.6

              	 	
                $
                  

              	
                316,432

              
	
                419

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 075F

              	 	
                FRIO
                  12

              	 	
                1.0

              	 	
                0.8

              	 	
                23.7

              	 	
                0.0

              	 	
                20.0

              	 	
                0.0

              	 	
                120.0

              	 	
                $
                  

              	
                588,033

              
	
                444

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 051

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.8

              	 	
                8.3

              	 	
                0.0

              	 	
                7.0

              	 	
                0.0

              	 	
                42.0

              	 	
                $
                  

              	
                205,935

              
	
                445

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 035

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.8

              	 	
                79.9

              	 	
                0.0

              	 	
                67.5

              	 	
                0.0

              	 	
                405.1

              	 	
                $
                  

              	
                1,985,619

              
	
                460

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 124

              	 	 	 	
                1.0

              	 	
                0.8

              	 	
                18.6

              	 	
                0.0

              	 	
                15.7

              	 	
                0.0

              	 	
                94.5

              	 	
                $
                  

              	
                463,120

              
	
                462

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 133

              	 	 	 	
                1.0

              	 	
                0.8

              	 	
                28.3

              	 	
                0.0

              	 	
                24.0

              	 	
                0.0

              	 	
                143.7

              	 	
                $
                  

              	
                704,324

              
	
                500

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 028

              	 	 	 	
                1.0

              	 	
                0.8

              	 	
                35.0

              	 	
                0.0

              	 	
                29.5

              	 	
                0.0

              	 	
                177.3

              	 	
                $
                  

              	
                868,915

              
	
                501

              	 	
                PROVED
                  PRODUCING

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 029

              	 	 	 	
                1.0

              	 	
                0.8

              	 	
                4.4

              	 	
                0.0

              	 	
                3.7

              	 	
                0.0

              	 	
                22.3

              	 	
                $
                  

              	
                109,342

              
	
                371

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 01-4A ACW #01L

              	 	
                FRIO
                  7 & 8

              	 	
                0.8

              	 	
                0.6

              	 	
                27.1

              	 	
                589.0

              	 	
                17.6

              	 	
                381.8

              	 	
                487.2

              	 	
                $
                  

              	
                22,728

              
	
                373

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 01-4A ACW #01U

              	 	
                FRIO
                  6A & C

              	 	
                0.8

              	 	
                0.6

              	 	
                120.0

              	 	
                84.0

              	 	
                77.8

              	 	
                54.5

              	 	
                521.2

              	 	
                $
                  

              	
                24,313

              
	
                385

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 02-3A ACW #04U

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.8

              	 	
                80.0

              	 	
                56.0

              	 	
                60.5

              	 	
                42.3

              	 	
                405.0

              	 	
                $
                  

              	
                18,892

              
	
                394

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 46 ACW #05U

              	 	
                FRIO
                  15

              	 	
                1.0

              	 	
                0.8

              	 	
                160.0

              	 	
                112.0

              	 	
                133.3

              	 	
                93.3

              	 	
                893.3

              	 	
                $
                  

              	
                41,670

              
	
                396

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 46 ACW #08L

              	 	
                FRIO
                  13A

              	 	
                1.0

              	 	
                0.8

              	 	
                316.9

              	 	
                221.9

              	 	
                264.1

              	 	
                184.9

              	 	
                1769.6

              	 	
                $
                  

              	
                82,545

              
	
                401

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 46 ACW #08U

              	 	
                FRIO
                  4

              	 	
                1.0

              	 	
                0.8

              	 	
                201.0

              	 	
                140.7

              	 	
                167.5

              	 	
                117.2

              	 	
                1122.2

              	 	
                $
                  

              	
                52,348

              
	
                405

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 46 ACW #09L

              	 	
                FRIO
                  7

              	 	
                1.0

              	 	
                0.8

              	 	
                24.0

              	 	
                612.0

              	 	
                20.0

              	 	
                510.0

              	 	
                630.0

              	 	
                $
                  

              	
                29,387

              
	
                410

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 01-4B ACW #02

              	 	
                FRIO
                  4A

              	 	
                1.0

              	 	
                0.8

              	 	
                99.8

              	 	
                1366.5

              	 	
                83.1

              	 	
                1138.8

              	 	
                1637.5

              	 	
                $
                  

              	
                76,384

              
	
                412

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                FISHERS
                  REEF

              	 	
                STATE
                  TRACT 02-3A ACW #04L

              	 	
                FRIO
                  10B

              	 	
                1.0

              	 	
                0.8

              	 	
                10.9

              	 	
                321.6

              	 	
                8.3

              	 	
                243.0

              	 	
                292.6

              	 	
                $
                  

              	
                13,648

              
	
                96

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #12L

              	 	
                FRIO
                  13

              	 	
                1.0

              	 	
                0.9

              	 	
                108.0

              	 	
                480.0

              	 	
                94.5

              	 	
                420.0

              	 	
                987.0

              	 	
                $
                  

              	
                46,039

              
	
                141

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #12U

              	 	
                FRIO
                  10-A

              	 	
                1.0

              	 	
                0.9

              	 	
                32.6

              	 	
                960.0

              	 	
                28.6

              	 	
                840.0

              	 	
                1011.4

              	 	
                $
                  

              	
                47,176

              
	
                142

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #13L

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.9

              	 	
                6.9

              	 	
                322.0

              	 	
                6.0

              	 	
                281.8

              	 	
                317.9

              	 	
                $
                  

              	
                14,831

              
	
                145

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #01L

              	 	
                FRIO
                  26 STRINGER

              	 	
                1.0

              	 	
                0.9

              	 	
                73.0

              	 	
                2160.0

              	 	
                62.4

              	 	
                1890.0

              	 	
                2264.1

              	 	
                $
                  

              	
                105,612

              
	
                146

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #13U

              	 	
                FRIO
                  6

              	 	
                1.0

              	 	
                0.9

              	 	
                33.5

              	 	
                3.1

              	 	
                29.3

              	 	
                2.7

              	 	
                178.5

              	 	
                $
                  

              	
                8,328

              
	
                148

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #01U

              	 	
                FRIO
                  22

              	 	
                1.0

              	 	
                0.9

              	 	
                20.0

              	 	
                576.0

              	 	
                17.1

              	 	
                504.0

              	 	
                606.5

              	 	
                $
                  

              	
                28,291

              
	
                151

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #03L

              	 	
                FRIO
                  12

              	 	
                1.0

              	 	
                0.9

              	 	
                78.6

              	 	
                660.0

              	 	
                67.1

              	 	
                577.5

              	 	
                980.3

              	 	
                $
                  

              	
                45,728

              
	
                152

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #03U

              	 	
                FRIO
                  11A_11B

              	 	
                1.0

              	 	
                0.9

              	 	
                26.0

              	 	
                600.0

              	 	
                22.2

              	 	
                525.0

              	 	
                658.3

              	 	
                $
                  

              	
                30,705

              
	
                166

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #15L

              	 	
                FRIO
                  4

              	 	
                1.0

              	 	
                0.9

              	 	
                70.3

              	 	
                963.0

              	 	
                61.5

              	 	
                842.6

              	 	
                1211.7

              	 	
                $
                  

              	
                56,520

              
	
                167

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #15U

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                39.4

              	 	
                960.0

              	 	
                34.4

              	 	
                840.0

              	 	
                1046.6

              	 	
                $
                  

              	
                48,821

              
	
                169

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #19L

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                24.0

              	 	
                576.0

              	 	
                21.0

              	 	
                504.0

              	 	
                630.0

              	 	
                $
                  

              	
                29,387

              
	
                170

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #19U

              	 	
                MIOCENE
                  3400

              	 	
                1.0

              	 	
                0.9

              	 	
                22.0

              	 	
                480.0

              	 	
                19.2

              	 	
                420.0

              	 	
                535.5

              	 	
                $
                  

              	
                24,979

              
	
                174

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #23U

              	 	
                MIOCENE
                  3400

              	 	
                1.0

              	 	
                0.9

              	 	
                3.6

              	 	
                360.0

              	 	
                3.2

              	 	
                315.0

              	 	
                333.9

              	 	
                $
                  

              	
                15,575

              
	
                175

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #21L

              	 	
                FRIO
                  12

              	 	
                1.0

              	 	
                0.9

              	 	
                7.2

              	 	
                452.0

              	 	
                6.3

              	 	
                395.5

              	 	
                433.2

              	 	
                $
                  

              	
                20,208

              
	
                176

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #21U

              	 	
                FRIO
                  11

              	 	
                1.0

              	 	
                0.9

              	 	
                24.8

              	 	
                576.0

              	 	
                21.7

              	 	
                504.0

              	 	
                634.0

              	 	
                $
                  

              	
                29,575

              
	
                177

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #22L

              	 	
                FRIO
                  10

              	 	
                1.0

              	 	
                0.9

              	 	
                16.4

              	 	
                482.0

              	 	
                14.3

              	 	
                421.8

              	 	
                507.8

              	 	
                $
                  

              	
                23,686

              
	
                178

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #22U

              	 	
                FRIO
                  6

              	 	
                1.0

              	 	
                0.9

              	 	
                11.0

              	 	
                360.0

              	 	
                9.6

              	 	
                315.0

              	 	
                372.7

              	 	
                $
                  

              	
                17,387

              
	
                179

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #23L

              	 	
                FRIO
                  4

              	 	
                1.0

              	 	
                0.9

              	 	
                26.3

              	 	
                360.0

              	 	
                23.0

              	 	
                315.0

              	 	
                453.0

              	 	
                $
                  

              	
                21,129

              
	
                185

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 ACW #05L

              	 	
                FRIO
                  12

              	 	
                1.0

              	 	
                0.9

              	 	
                15.4

              	 	
                960.0

              	 	
                13.1

              	 	
                820.0

              	 	
                898.7

              	 	
                $
                  

              	
                41,921

              
	
                186

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 ACW #05U

              	 	
                FRIO
                  11B

              	 	
                1.0

              	 	
                0.9

              	 	
                41.3

              	 	
                960.0

              	 	
                35.3

              	 	
                820.0

              	 	
                1031.6

              	 	
                $
                  

              	
                48,118

              
	
                189

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 ACW #07L

              	 	
                FRIO
                  10A

              	 	
                1.0

              	 	
                0.9

              	 	
                29.0

              	 	
                840.0

              	 	
                24.8

              	 	
                717.5

              	 	
                866.1

              	 	
                $
                  

              	
                40,401

              
	
                190

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 ACW #07U

              	 	
                FRIO
                  7

              	 	
                1.0

              	 	
                0.9

              	 	
                10.0

              	 	
                300.0

              	 	
                8.5

              	 	
                256.3

              	 	
                307.5

              	 	
                $
                  

              	
                14,344

              
	
                198

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 ACW #24L

              	 	
                FRIO
                  11A_11B

              	 	
                1.0

              	 	
                0.9

              	 	
                72.0

              	 	
                1728.0

              	 	
                61.5

              	 	
                1476.0

              	 	
                1845.0

              	 	
                $
                  

              	
                86,063

              
	
                209

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 ACW #26L

              	 	
                FRIO
                  10B

              	 	
                1.0

              	 	
                0.9

              	 	
                33.0

              	 	
                960.0

              	 	
                28.2

              	 	
                820.0

              	 	
                989.1

              	 	
                $
                  

              	
                46,139

              
	
                210

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 225 ACW #26U

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                60.0

              	 	
                42.0

              	 	
                51.3

              	 	
                35.9

              	 	
                343.4

              	 	
                $
                  

              	
                16,017

              
	
                212

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #30U

              	 	
                FRIO
                  6

              	 	
                1.0

              	 	
                0.9

              	 	
                84.0

              	 	
                50.4

              	 	
                71.8

              	 	
                43.1

              	 	
                473.6

              	 	
                $
                  

              	
                22,089

              
	
                219

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #27L

              	 	
                FRIO
                  7

              	 	
                1.0

              	 	
                0.9

              	 	
                49.9

              	 	
                768.0

              	 	
                42.6

              	 	
                656.0

              	 	
                911.8

              	 	
                $
                  

              	
                42,533

              
	
                220

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #27U

              	 	
                FRIO
                  4

              	 	
                1.0

              	 	
                0.9

              	 	
                56.4

              	 	
                772.0

              	 	
                48.1

              	 	
                659.4

              	 	
                948.2

              	 	
                $
                  

              	
                44,231

              
	
                226

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #10L

              	 	
                FRIO
                  15

              	 	
                1.0

              	 	
                0.9

              	 	
                54.0

              	 	
                1285.0

              	 	
                46.1

              	 	
                1097.6

              	 	
                1374.4

              	 	
                $
                  

              	
                64,108

              
	
                227

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #10U

              	 	
                FRIO
                  5

              	 	
                1.0

              	 	
                0.9

              	 	
                50.0

              	 	
                960.0

              	 	
                42.7

              	 	
                820.0

              	 	
                1076.3

              	 	
                $
                  

              	
                50,203

              
	
                239

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #33L

              	 	
                FRIO
                  1A

              	 	
                1.0

              	 	
                0.9

              	 	
                27.0

              	 	
                640.0

              	 	
                23.1

              	 	
                546.7

              	 	
                685.0

              	 	
                $
                  

              	
                31,954

              
	
                248

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #28L

              	 	
                FRIO
                  23

              	 	
                1.0

              	 	
                0.9

              	 	
                18.2

              	 	
                1820.0

              	 	
                15.5

              	 	
                1554.6

              	 	
                1647.9

              	 	
                $
                  

              	
                76,866

              
	
                249

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #28U

              	 	
                FRIO
                  22C

              	 	
                1.0

              	 	
                0.9

              	 	
                6.4

              	 	
                640.0

              	 	
                5.5

              	 	
                546.7

              	 	
                579.5

              	 	
                $
                  

              	
                27,030

              
	
                250

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #29L

              	 	
                FRIO
                  22B

              	 	
                1.0

              	 	
                0.9

              	 	
                6.4

              	 	
                640.0

              	 	
                5.5

              	 	
                546.7

              	 	
                579.5

              	 	
                $
                  

              	
                27,030

              
	
                251

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #29U

              	 	
                FRIO
                  22A

              	 	
                1.0

              	 	
                0.9

              	 	
                6.4

              	 	
                640.0

              	 	
                5.5

              	 	
                546.7

              	 	
                579.5

              	 	
                $
                  

              	
                27,030

              
	
                252

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #30L

              	 	
                FRIO
                  22

              	 	
                1.0

              	 	
                0.9

              	 	
                45.9

              	 	
                1286.0

              	 	
                39.2

              	 	
                1098.5

              	 	
                1333.8

              	 	
                $
                  

              	
                62,218

              
	
                257

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #16U

              	 	
                FRIO
                  1-B & 1-C

              	 	
                1.0

              	 	
                0.9

              	 	
                35.0

              	 	
                835.0

              	 	
                30.6

              	 	
                730.6

              	 	
                914.4

              	 	
                $
                  

              	
                42,652

              
	
                258

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #17L

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                40.0

              	 	
                965.0

              	 	
                35.0

              	 	
                844.4

              	 	
                1054.4

              	 	
                $
                  

              	
                49,182

              
	
                259

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #18L

              	 	
                MIOCENE
                  3300

              	 	
                1.0

              	 	
                0.9

              	 	
                10.3

              	 	
                240.0

              	 	
                9.0

              	 	
                210.0

              	 	
                264.1

              	 	
                $
                  

              	
                12,321

              
	
                260

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 224 ACW #18U

              	 	
                MIOCENE
                  3000

              	 	
                1.0

              	 	
                0.9

              	 	
                18.0

              	 	
                600.0

              	 	
                15.8

              	 	
                525.0

              	 	
                619.5

              	 	
                $
                  

              	
                28,897

              
	
                265

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #35L

              	 	
                FRIO
                  10B

              	 	
                1.0

              	 	
                0.9

              	 	
                39.4

              	 	
                1157.8

              	 	
                33.6

              	 	
                988.9

              	 	
                1190.7

              	 	
                $
                  

              	
                55,539

              
	
                266

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #35U (BP-02)

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                30.2

              	 	
                755.7

              	 	
                25.8

              	 	
                645.5

              	 	
                800.4

              	 	
                $
                  

              	
                37,336

              
	
                268

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #34L

              	 	
                FRIO
                  4

              	 	
                1.0

              	 	
                0.9

              	 	
                40.0

              	 	
                8.5

              	 	
                35.0

              	 	
                7.4

              	 	
                217.4

              	 	
                $
                  

              	
                10,142

              
	
                269

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 200 ACW #34U

              	 	
                FRIO
                  1

              	 	
                1.0

              	 	
                0.9

              	 	
                40.0

              	 	
                8.5

              	 	
                35.0

              	 	
                7.4

              	 	
                217.4

              	 	
                $
                  

              	
                10,142

              
	
                271

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 ACW #33U

              	 	
                FRIO
                  9

              	 	
                1.0

              	 	
                0.9

              	 	
                156.0

              	 	
                93.6

              	 	
                133.3

              	 	
                80.0

              	 	
                879.5

              	 	
                $
                  

              	
                41,023

              
	
                430

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 247 119 OFFSET

              	 	
                FRIO
                  15-B

              	 	
                1.0

              	 	
                0.9

              	 	
                54.0

              	 	
                1286.0

              	 	
                46.1

              	 	
                1098.5

              	 	
                1375.3

              	 	
                $
                  

              	
                64,151

              
	
                446

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #36U

              	 	
                FRIO
                  10B

              	 	
                1.0

              	 	
                0.9

              	 	
                16.8

              	 	
                1419.7

              	 	
                14.3

              	 	
                1212.7

              	 	
                1298.7

              	 	
                $
                  

              	
                60,579

              
	
                447

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #36L

              	 	
                FRIO
                  15B

              	 	
                1.0

              	 	
                0.9

              	 	
                39.5

              	 	
                965.0

              	 	
                33.7

              	 	
                824.3

              	 	
                1026.7

              	 	
                $
                  

              	
                47,892

              
	
                485

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #35L (BP-01)

              	 	
                FRIO
                  4

              	 	
                1.0

              	 	
                0.9

              	 	
                56.1

              	 	
                768.0

              	 	
                47.9

              	 	
                656.0

              	 	
                943.3

              	 	
                $
                  

              	
                44,002

              
	
                486

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #35U

              	 	
                FRIO
                  10A

              	 	
                1.0

              	 	
                0.9

              	 	
                26.2

              	 	
                772.0

              	 	
                22.4

              	 	
                659.4

              	 	
                793.9

              	 	
                $
                  

              	
                37,034

              
	
                487

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #40L

              	 	
                FRIO
                  17

              	 	
                1.0

              	 	
                0.9

              	 	
                44.4

              	 	
                1479.4

              	 	
                37.9

              	 	
                1263.6

              	 	
                1491.1

              	 	
                $
                  

              	
                69,552

              
	
                488

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #40U

              	 	
                FRIO
                  15B

              	 	
                1.0

              	 	
                0.9

              	 	
                39.6

              	 	
                964.8

              	 	
                33.8

              	 	
                824.1

              	 	
                1026.8

              	 	
                $
                  

              	
                47,897

              
	
                489

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 246 ACW #40L (BP-01)

              	 	
                FRIO
                  13

              	 	
                1.0

              	 	
                0.9

              	 	
                43.7

              	 	
                1286.4

              	 	
                37.4

              	 	
                1098.8

              	 	
                1323.0

              	 	
                $
                  

              	
                61,710

              
	
                526

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                RED
                  FISH REEF

              	 	
                STATE
                  TRACT 204 002 LOC

              	 	
                FRIO
                  15

              	 	
                0.1

              	 	
                0.0

              	 	
                21.6

              	 	
                2160.0

              	 	
                0.8

              	 	
                79.9

              	 	
                84.7

              	 	
                $
                  

              	
                3,952

              
	
                420

              	 	
                PROVED
                  UNDEVELOPED

              	 	
                TRINITY
                  BAY

              	 	
                TRINITY
                  BAY ST UNIT #1 025A

              	 	
                F12
                  & F9

              	 	
                1.0

              	 	
                0.8

              	 	
                15.7

              	 	
                713.0

              	 	
                13.3

              	 	
                602.5

              	 	
                682.0

              	 	
                $
                  

              	
                31,813

              
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
                76471.3

              	 	
                $
                  

              	
                50,000,000

              

      

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      E

    

    Attached
      to and made a part of Purchase and Sale Agreement dated effective October 1,
      2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
      Seller, and Tekoil & Gas Corporation, as Buyer.

    

    ASSIGNMENT
      AND BILL OF SALE

    

    
      	
              STATE
                OF TEXAS

            	
              §

            
	 	
              §

            
	
              COUNTIES
                OF CHAMBERS

            	
              §

            
	
              AND
                GALVESTON

            	
              §

            

    

     

    In
      consideration of
      Ten
      Dollars ($10.00) and other good and valuable consideration, the receipt and
      sufficiency of which are acknowledged, and subject to the other provisions
      in
      this Assignment, Masters
      Resources, L.L.C.,
      and
Masters
      Oil & Gas, L.L.C., each
      a
      Texas limited liability company having its principal place of business at 9801
      Westheimer, Suite 1070, Houston, Texas 77042 (collectively, “Assignor”), assigns
      to Tekoil
      & Gas Corporation,
      a
      Delaware corporation having its principal place of business at 5036 Dr. Phillips
      Blvd., Suite 232, Orlando, Florida 32819 (“Assignee”),
      all of the interest of both Assignor entities in and to the
      following:

    

    
      	·  	
              the
                oil, gas and mineral leases and other real property described on
                Exhibit A
                attached to and made a part of this Assignment (the “Property”);
                

            

    

    

    
      	·  	
              all
                oil and gas wells, salt water disposal wells, injection wells and
                other
                wells and pits located on or attributable to the Property (collectively
                the “Wells”), including the Wells described on Exhibit B attached
                to and made a part of this Assignment;

            

    

    

    
      	·  	
              all
                equipment, including without limitation the workover rig, vehicles,
                crew
                boats, work barges and vessels listed on Exhibit B-1 which is attached
                to
                and made a part of this Assignment, and all machinery, flowlines,
                roads,
                gathering lines, pipelines, pole lines, appurtenances, materials,
                fixtures, improvements and other personal property located on, used
                in the
                operation of or relating to the production, treatment, sale or disposal
                of
                hydrocarbons, water or associated substances produced from or attributable
                to the Property (collectively the “Personal Property”);
                

            

    

    

    
      	·  	
              all
                hydrocarbons, including natural gas, casing head gas, drip gasoline,
                natural gasoline, natural gas liquids, condensate products and crude
                oil,
                whether gaseous or liquid, produced from or attributable to the Property
                or Wells on or after the Effective Date, as defined below (collectively
                the “Hydrocarbons”);

            

    

    

    
      	·  	
              all
                contracts, instruments and orders relating to the Property, Wells,
                Personal Property and Hydrocarbons (collectively the “Contracts”),
                including the Contracts described on Exhibit C attached
                to and made a part of this Assignment;
                and

            

    

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    
      	·  	
              all
                files, records, information and materials relating to the Property,
                Wells,
                Personal Property, Hydrocarbons and Contracts owned by or in the
                possession of Assignor which Assignor is not prohibited from transferring
                to Assignee by law or existing contractual relationship (collectively
                the
                “Records”).

            

    

    

    The
      Property, Wells, Personal Property, Hydrocarbons, Contracts and Records are
      collectively referred to as the “Assets;” provided, however, that Assignor
reserves
      and there shall be excluded from this Assignment the following:

    

    
      	(A)  	
              The
                oil and gas properties more particularly described on the attached
                Schedule
                1.2(A) which
                is attached to and made a part of this Assignment;

            

    

    

    
      	(B)  	
              all
                Personal Property owned by Masters Offshore, LLC, and its surface
                facilities located in the vicinity of the Assets as depicted on the
                attached Schedule
                1.2(B) which
                is attached to and made a part of this Assignment;

            

    

    

    
      	(C)  	
              all
                of Assignor’s reserve estimates, economic analyses, pricing forecasts,
                legal opinions (other than those related to title to any of the
                Properties) and other analyses relating to the Assets and all information
                relating to the Assets which Assignor considers confidential or protected
                by attorney-client privilege;

            

    

    

    
      	(D)  	
              all
                rights and claims relating to the Assets, other than rights or claims
                in
                connection with gas imbalances, arising, occurring or existing in
                favor of
                Assignor prior to the Effective Date, including all contract rights,
                claims, penalties, receivables, revenues, recoupment rights, recovery
                rights, accounting adjustments, mispayments, erroneous payments,
                property
                damage claims, insurance claims, indemnity claims, bond claims and
                condemnation claims;

            

    

    

    
      	(E)  	
              all
                corporate, financial and tax records of Assignor;
                provided, however, that upon request, Assignee
                will be entitled to receive copies of all financial and tax records
                which
                directly relate to the Assets and which are necessary for Assignee’s
                ownership, administration or operation of the
                Assets;

            

    

    

    
      	(F)  	
              all
                claims of Assignor
                for refund of or loss carry forwards with respect to production,
                windfall
                profit, severance, ad valorem, income, franchise and all other taxes
                attributable to the Assets for all periods prior to the Effective
                Date;

            

    

    

    
      	(G)  	
              all
                amounts due or payable to Assignor as adjustments or refunds under
                any
                contract affecting the Assets for all periods prior to the Effective
                Date;

            

    

    

    
      	(H)  	
              all
                amounts due or payable to Assignor
                as
                adjustments to insurance premiums related to the Assets for all periods
                prior to the Effective Date;

            

    

    

    
      	(I)  	
              all
                monies, proceeds, accruals, benefits, receipts, credits, income,
                revenues,
                security or deposits attributable to the Assets prior to the Effective
                Date;

            

    

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    
      	(J)  	
              all
                of Assignor’s patents, trade secrets, copyrights, names, marks and
                logos;

            

    

    

    
      	(K)  	
              all
                computers, hardware, software and software
                licenses;

            

    

    

    
      	(L)  	
              all
                licensed raw or processed geophysical data and all interpretations
                of that
                data which Assignor is prohibited from transferring to Assignee by
                law or
                existing contractual relationship; and

            

    

    

    
      	(M)  	
              the
                overriding royalties reserved by Assignor as part of the consideration
                for
                the sale contemplated in this Assignment, as set forth below, and
                all
                overriding royalties held by individuals associated with Assignor
                as of
                the Effective Date.

            

    

    

    This
      Assignment from Assignor to Assignee is expressly made subject to the following
      ("Existing Burdens"):

    

    
      	
            	a)	
              a
                proportionate part of the covenants, provisions, royalties and terms
                of
                the leases included in the Assets; 

            

    

    

    
      	 	
              b)

            	
              the
                terms and conditions of all existing orders, rules and regulations
                and
                ordinances of federal, state and other governmental agencies having
                jurisdiction; 

            

    

    

    
      	
            	c)	
              a
                proportionate part of all overriding royalty interests, restrictions,
                exceptions, reservations, burdens, encumbrances, conditions, limitations,
                interests, instruments, agreements and other matters, if any, which
                are of
                record in the state and county above named and which burden or affect
                the
                properties, rights or interests herein
                assigned;

            

    

    

    
      	 	
              (d)

            	
              the
                prior reservation in or conveyance to Assignor, or others as directed
                by
                Assignor, of an overriding royalty interest in the production from
                or
                allocable to each of the Leases equal to six percent (6%) of 8/8ths
                of the
                oil, gas, distillate, condensate, casinghead gas and other liquid
                and
                vaporous hydrocarbons (collectively, "Hydrocarbons"), produced and
                saved
                or produced and allocable to and sold from any of the Leases under
                the
                terms of any of the Leases, as more particularly provided in the
                assignment or assignments of the overriding royalties to Assignor
                or its
                assignees.

            

    

    

    TO
      HAVE
      AND TO HOLD, all and singular, the Assets unto Assignee and Assignee's
      successors in title and assigns forever. This Assignment is made without
      warranty of any kind, either express or implied. The reference herein to the
      Existing Burdens is for the purposes of protecting Assignor on Assignor's
      warranties, and shall not create, nor constitute a recognition of, any rights
      in
      third parties. This Assignment, in respect of the Personal
      Property, Hydrocarbons, Contracts and Records,
      is made
      without warranty or covenants, express or implied, and, in respect of the
Personal
      Property, the
      IMPLIED
      WARRANTY OF MERCHANTABILITY AND THE IMPLIED WARRANTY OF FITNESS FOR A PARTICULAR
      PURPOSE ARE HEREBY EXPRESSLY NEGATED.
      This
      Assignment is made with full substitution and subrogation of Assignee in and
      to
      all covenants, indemnities, representations and warranties by others heretofore
      given or made with respect to the Subject Properties or any part
      thereof.

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

       

    

    The
      term
      "oil, gas and mineral lease" as used in this Assignment and in Exhibit A hereto
      includes in addition to oil, gas and mineral leases, oil and gas leases, oil,
      gas and sulphur leases, other mineral leases, co-lessor's agreements, lease
      ratifications and extensions and subleases of any of the foregoing, as
      appropriate.

    

    All
      of
      the terms, provisions, covenants and agreements herein contained shall extend
      to
      and be binding upon the parties hereto, and their respective successors in
      title
      and assigns.

    

    Assignor
      agrees to execute, to acknowledge and to deliver to Assignee any additional
      instruments, notices, division orders, transfer orders and other documents
      and
      to do any other acts and things which may be necessary to more fully and
      effectively assign and convey to Assignee and Assignee's successors in title
      and
      assigns the Properties intended to be assigned hereby.

    

    This
      Assignment is effective October
      1, 2006, at 12:00 a.m. Central Standard Time (the
      “Effective Date”), and is subject to the following provisions:

    

    
      	1.  	
              No
                Warranties or Representations.
                Assignor makes no warranty or representation of any kind as to the
                accuracy or completeness of any data, information or material furnished
                to
                Assignee in connection with the Assets, the quality or quantity of
                hydrocarbon reserves attributable to the Assets or the ability of
                the
                Assets to produce hydrocarbons. Assignee has inspected the Assets
                and is
                satisfied with their physical and environmental condition, both surface
                and subsurface. Assignee accepts the Assets in an “As Is, Where Is”
                condition.

            

    

    

    
      	2.  	
              Assumption
                of Duties and Obligations.
                As
                of the Effective Date, Assignee will assume all duties and obligations
                of
                Assignor with respect to the Assets, including any request or order
                to
                plug, re-plug or abandon any Well, remove any Well or appurtenance,
                or
                take any clean-up or remediation action with respect to the
                Assets.

            

    

    

    
      	3.  	
              Indemnity.
                Assignee will indemnify Assignor and hold Assignor harmless for all
                expenses, settlements, judgments, court costs, interest and attorney’s
                fees incurred as a result of any litigation or threat of litigation
                relating to this Assignment, the Assets or any prior or future operations
                on, of or with respect to the
                Assets.

            

    

    

    
      	4.  	
              Taxes
                / Fees.
                Assignee will pay all transactional taxes, including sales, use,
                lease and
                ad valorem taxes, and all recording fees due as a result of this
                Assignment.

            

    

    

    
      	5.  	
              Other
                Agreements. This
                Assignment is made subject to the Purchase and Sale Agreement, between
                Assignor and Assignee, dated October  __,
                2006.

            

    

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    
      	6.  	
              Effect
                of Assignment and Bill of Sale.
                This Assignment shall be binding upon the parties as well as their
                respective successors and assigns.

            

    

     

    
      	
              Signed:
                November __,
                2006.

               

              ASSIGNOR:

              

              MASTERS
                RESOURCES, L.L.C. 

            	 	 	 

              MASTERS
                OIL & GAS, L.L.C.

            
	 	 	 	 	 
	 	 	 	 	 
	By:	 	 	By:	 
	 	
              

              Name: Richard
                H. Lee

              Title: Managing
                Member

            	 	 	
              

              Name: Richard
                H. Lee

              Title: Managing
                Member

            
	 	
               

            	 	 	 

    

     

    
      	ASSIGNEE:	 	 	 
	 	 	 	 
	TEKOIL & GAS
              CORPORATION	 	 	 
	 	 	 	 
	 	 	 	 
	By:	 	 	 	
            
	 	
              

              Name: Mark
                Western  

              Title: Chairman
                and CEO

            	 	 	
            
	 	 	 	 	 
	 	 	 	 	 
	 	
              THE
                STATE OF
                TEXAS             

              
                                            

              

              COUNTY
                OF
                HARRIS                    

            	
              §

              §

              §

            	 	 

    

     

    This
      instrument was acknowledged before me this __
      day of
      October, 2006, by Richard H. Lee, Managing Member of each of Masters Resources,
      L.L.C., and of Masters Oil & Gas, L.L.C., each a Texas limited liability
      company.

    
      	 	 	 
	[Stamp] 	 
	 
 	 
 	 
 
	 	  	
            
	 	
              

              Notary
                Public in and for the State of Texas

            
	 	 
	
              THE
                STATE OF
                TEXAS                                                    
                

               

              COUNTY
                OF
                HARRIS                                                        
                

            	§
              
              §

              §

            

    

     

    This
      instrument was acknowledged before me this _ 
      day of
      October, 2006, by Mark Western, Chairman and CEO of Tekoil & Gas
      Corporation, a Delaware corporation. 

    
      	 	 	 
	 	 
	[Seal]
 	 
 	 
 
	 	  	 
	 	
              
Notary
              Public in and for the State of Texas
	 	 

    

    

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    Schedule
      1.1 (C)

    

    Attached
      to and made a part of Purchase and Sale Agreement dated effective October 1,
      2006 from Masters Resources LLC and Masters Oil & Gas LLC, as Sellers and
      Tekoil &Gas Corporation, as Buyer

    

    PERSONAL
      PROPERTY

    (OWNED)

    

    
      	
              Equipment/Vessel

            	
               

            	
              ID
                No.

            	
               

            	
              Location

            	
               

            	
              Year
                Built

            	
               

            	
              Length

            	
               

            	
              Depth

            	
               

            	
              Width

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Masters
                Rig #1

              (Slotted
                Key Way Barge

            	 	
              No
                Hull #

            	 	 	 	
              2005

            	 	
              200’

            	 	
              3’

            	 	
              53’

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Generator

            	 	
              Inline
                6 Cyl Detroit 200 HP

            	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Generator

            	 	
              Kubota
                2 Cyl 20 HP

            	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Rig

            	 	
              12V
                71 Detroit 450 HP

            	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Pump

            	 	
              8V
                71 Detroit 300 HP

            	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Mixing
                Pump

            	 	
              Inline
                4 Cyl CAT 100 HP

            	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Blending
                Pump

            	 	
              Inline
                4 CYl Deutz 50 HP

            	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Manitowoc
                (30 ton) Crane

            	 	
              Inline
                4 Cycl Detroit 150 HP

            	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Miss
                Tracy

            	 	
              LAFCO1224

            	 	
              Oak
                Island

            	 	
              1974

            	 	
              29’

            	 	
              3”

            	 	
              10”

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Miss
                Susie

            	 	
              JBC19893G495

            	 	 	 	
              1994

            	 	
              18’

            	 	
              1”

            	 	
              6”

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Miss
                Rhea

            	 	
              1138953

            	 	
              Oak
                Island

            	 	
              1972

            	 	
              39’

            	 	
              6.5”

            	 	
              14”

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Airboat

            	 	
              MPH00196B494

            	 	
              Oak
                Island

            	 	
              1994

            	 	
              15’

            	 	
              0

            	 	
              8”

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Kabota
                Tractor 8200

            	 	 	 	
              Pt.
                Barrow

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Kabota
                Tractor B21

            	 	 	 	
              Goat
                Island

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Welding
                Machines (2)

            	 	 	 	
              Oak
                Island

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Air
                Compressors (2)

            	 	 	 	
              Oak
                Island

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              1998
                Chevrolet S-10 Pickup Truck

            	 	
              1GCCS14XXW8213584

            	 	
              Pt.
                Barrow

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              2006
                Ford F150 Pickup Truck

            	 	
              1FTPW145X6KB15212

            	 	
              Pt.
                Barrow

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              2006
                Ford F350 Pickup Truck

            	 	
              1FTWW31P96ED61003

            	 	
              Pt.
                Barrow

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Cat
                398 - 

              Engine
                G398 A-51

              Compressor
                Chicago Pneumatiac Size 6FE Frame

            	 	
              73B1282P

              82210PPNt1000

               

               

            	 	
              A-Lease

            	 	 	 	 	 	 	 	 

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Schedule
      1.1 (C)

    

    Attached
      to and made a part of Purchase and Sale Agreement dated effective October 1,
      2006 from Masters Resources LLC and Masters Oil & Gas LLC, as Sellers and
      Tekoil &Gas Corporation, as Buyer

    

    PERSONAL
      PROPERTY

    (LEASED)

    

    
      	
              Equipment/Vessel

            	 	
              Location.

            	
               

            	
              Lessor/Term

            	
               

            	
              Year
                Built

            	
               

            	
              Length

            	
               

            	
              Depth

            	
               

            	
              Width

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Taylor
                Forklift

            	 	
              Oak
                Island

            	 	
              Paul’s
                Rentals

              (monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Cat.
                Forklift

            	 	
              Oak
                Island

            	 	
              Paul’s
                Rentals

              (monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Roanoke
                Forklift

            	 	
              Pt.
                Barrow

            	 	
              Paul’s
                Rentals

              (monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Carry
                Deck Crane

            	 	
              Pt.
                Barrow

            	 	
              Paul’s
                Rentals

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Mahindra
                Tractor

            	 	
              Pt.
                Barrow

            	 	
              Paul’s
                Rentals

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Case
                Tractor

            	 	
              Pt.
                Barrow

            	 	
              Paul’s
                Rentals

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Masters
                Meteor (Crew Boat)

            	 	
              Oak
                Island

            	 	
              Marine
                Transportation

              (Monthly)

            	 	
              2004

            	 	
              27’

            	 	
              48”
                

            	 	
              10”

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              M/V
                Carp (Crew Boat)

            	 	
              Oak
                Island

            	 	
              Marine
                Transportation

              (Monthly)

            	 	
              1984

            	 	
              29’

            	 	
              48”

            	 	
              10”

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Audrey
                (Crew Boat)

            	 	
              Oak
                Island

            	 	
              Marine
                Transportation

              (Monthly)

            	 	
              1971

            	 	
              28’

            	 	
              2’

            	 	
              10’4”

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Who
                Dat

            	 	
              Oak

              Island

            	 	
              Marine

              Transportation

              (Monthly)

            	 	
              1970

            	 	
              28’

            	 	
              10.8’

            	 	
              3’

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Houma
                II

            	 	
              Oak

              Island

            	 	
              CWR
                Rental

              (Monthly)

            	 	
              1995

            	 	
              32’

            	 	
              10.3’

            	 	
              .5’

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Tiger
                II (Tug Boat)

            	 	
              Oak
                Island

            	 	
              Marine
                Towing & Salvage

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Barge
                #1

            	 	
              Oak
                Island

            	 	
              Marine
                Towing & Salvage

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              American
                Crane

            	 	
              Oak
                Island

            	 	
              Marine
                Towing & Salvage

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              F-250
                (Land Gauger)

            	 	
              Pt.
                Barrow

            	 	
              Enterprise

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Cat
                3516 Compressor

            	 	
              F-Lease

            	 	
              Universal

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Waukashau
                3521

            	 	
              C-Lease

            	 	
              Hanover

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Waukashau
                7042

            	 	
              Aggie
                Junction

            	 	
              JW
                Operating

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Cat
                3516

            	 	
              Aggie
                Junction

            	 	
              JW
                Operating

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Waukashau
                F18

            	 	
              Goat
                Island

            	 	
              Hanover

              (Monthly)

            	 	 	 	 	 	 	 	 

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
              Cat
                Compressor

            	 	
              Monroe
                City

            	 	
              Delta
                Compression

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              30’
                Gooseneck

            	 	 	 	
              Monthly

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              6
                HP 33 Gallon Electric Air Compressor

            	 	 	 	
              Monthly

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              50
                KW Generator Greenpower Canopy

            	 	 	 	
              Monthly

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              16’
                Trailer

            	 	 	 	
              Paul’s
                Rentals

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              21’
                Trailer

            	 	 	 	
              Paul’s
                Rentals

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Bushhog
                10’

            	 	 	 	
              Monthly

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Case
                backhoe-580 SuperL

            	 	 	 	
              Paul’s
                Rentals

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              1979
                Galion 15 ton crane

            	 	 	 	
              Monthly

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              5000
                lb warehouse forklift

            	 	 	 	
              Paul’s
                Rentals

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              3”
                Pump

            	 	 	 	
              Paul’s
                Rentals

              (Monthly)

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              2.5
                Power Swivel

            	 	 	 	
              Monthly

            	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Schedule
      1.2 (B)

    

    Attached
      to and made a part of Purchase and Sale Agreement dated effective

    October
      1, 2006 from Masters Resources LLC and Masters Oil & Gas LLC,

    as
      Sellers and Tekoil &Gas Corporation, as Buyer

    

    EXCLUDED
      ASSETS OWNED BY MASTERS OFFSHORE LLC

    

    
      	
              Equipment/Vessel

            	 	
              ID
                No.

            	 	
              Location

            	 	
              Year
                Built

            	 	
              Length

            	 	
              Depth

            	 	
              Width

            
	 	 	 	 	 	 	 	 	 	 	 	 	 
	
              Miss
                Georgia

            	 	
              1115314

            	 	 	 	
              1976

            	 	
              32’

            	 	
              6”

            	 	
              12”

            
	
              Bad
                Dog

            	 	 	 	 	 	
              1952

            	 	
              43’

            	 	
              6.1”

            	 	
              12.3”

            
	
              Opportunity
                (Jackup)

            	 	 	 	 	 	
              1978

            	 	
              63’

            	 	
              4.8”

            	 	
              24.1”

            
	
              Welding
                Machines (7)

            	 	 	 	 	 	 	 	 	 	 	 	 
	
              Barge
                #2

            	 	
              Marine
                Towing & Salvage (Monthly)

            	 	
              Oak
                Island

            	 	 	 	 	 	 	 	 

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Schedule 3.1(G)
      –
      Litigation

    

    Attached
      to and made a part of Purchase and Sale Agreement dated effective October 1,
      2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
      Seller, and Tekoil & Gas Corporation, as Buyer.

    

    The
      following is a schedule of pending litigation in which Masters is a named
      party:

    

    
      	1.  	
              Jiva
                International, Inc. v. Ashi Energy Services LLC,
                Cause No 221687, pending in the 151st
                Judicial District Court of Harris County,
                Texas.

            

    

     

    
      	2.  	
              William
                Dehnert, Jr., et al. v. Erskine Energy LLC, et al.;
                Cause No. 06-5-8992-CV, in the 135th Judicial District Court of Goliad
                County, Texas.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Schedule
      3.1(H)

    Attached
      to and made a part of Purchase and Sale Agreement dated effective

    October
      1, 2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC,

    as
      Seller, and Tekoil & Gas Corporation, as Buyer.

    

    
      	
              N
                Point Bolivar 

            	 
	 	 
	
              LC-103-0005

            	
              Exploration
                Agrmt & JOA dtd 12/21/04 btwn Masters Resources LLC & Erskine
                Energy LLC

            
	 	 
	
              LC-103-0014
                

            	
              Barge
                Dock & Surface Use Agrmt dtd eff 9/22/06 btwn Masters Resources LLC,
                St. Mary Land & Expl Co. & Erskine Energy Partners II LP LLC
                covering barge dock facility at Goat Island, ST 342 (Expires
                9/22/2011)

            
	 	 
	
              GC-103-0008

            	
              Production
                Handling Agrmt dtd October 11, 2006 btwn St. Mary Land & Expl Co &
                Masters Resources LLC (ST 342)

            
	 	 
	
              Dorado

            	 
	 	 
	
              LC-110-0001

            	
              E/A
                & JOA dtd 4/21/05 btwn Davis Petroleum Corp. & Masters Resources
                LLC covering ST 113/132/133/203

            
	 	 
	
              LC-110-0004

            	
              JOA
                dtd 6/1/06 btwn Davis Petroleum Corp & Masters Resources LLC covering
                ST 204 Unit

            
	 	 
	
              Fishers
                Reef

            	 
	 	 
	
              LC-101-0016

            	
              Exploration
                Agreement & JOA dtd 1/31/05 btwn Masters Resources LLC & Erskine
                Energy Partners LP & Erskine Energy LLC covering State Tract 2-3A Unit
                (M-96828 & M-96829)

            
	 	 
	
              LC-101-0023

            	
              Exploration
                Agreement dtd 2/23/05 btwn Masters Resources LLC & Erskine Energy
                Partners, LP & Erskine Energy LLC Covering State Tract
                6-7A

            
	 	 
	
              LC-101-0024

            	
              Exploration
                Agreement & O/A dtd 6/30/05 btwn Masters Resources LLC & Masters
                Oil & Gas LLC & Erskine Energy Partners LP, Erskine Energy LLC
                covering State Tract 5-8A

            
	 	
              Letter
                Agreement dtd 6/20/05 btwn Masters Resources LLC & Palace Exploration
                Co. etal

            
	 	
              Letter
                Agreement dtd 7/11/05 btwn Masters Resources LLC, Erskine Energy
                Partners
                etal & Palace Exploration Co.

            
	 	 
	
              GC-101-0003

            	
              Gas
                Transportation Contract dated 5/22/06 between Masters Resources LLC
                and
                Erskine Energy Partners II LP(ST 5-8A #1, #2, ST 6-7A #1
                wells)

            
	 	 
	
              GC-101-0004

            	
              Crude
                Oil Gathering Contract dated 5/22/06 between Masters Resources LLC
                and
                Erskine Energy Partners II LP(ST 5-8A #1, #2, ST 6-7A #1
                wells)

            
	 	 
	
              Red
                Fish Reef

            	 
	 	 
	
              LC-102-0002

            	
              Term
                Acreage Agreement dtd 4/19/01 btwn Masters 

            
	 	
              Resources
                LLC & Alcorn-Texana Resources
                etal

            

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

      Schedule
        3.1(H)

      Attached
        to and made a part of Purchase and Sale Agreement dated effective

      October
        1, 2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC,

      as
        Seller, and Tekoil & Gas Corporation, as Buyer.

    

    

    Subject
      to Participation and Farmout Agreement dated 3/6/00 between Vintage Petroleum
      Inc. and Davis Petroleum Corp.

    

    Subject
      to JOA dated 6/20/00 between Vintage Petroleum Inc., Palace Exploration Co.,
      Davis Petroleum Corp., Andex Resources LLC covering land within Pooled Unit
      for
      State Tract 1-4A No. 1 well (State Tract 1-4A No. 1 well).

    

    Subject
      to JOA dated 3/6/00 between Vintage Petroleum Inc., Palace Exploration Co.,
      Davis Petroleum Corp., and Andex Resources LLC covering lands within the Pooled
      Unit for State Tract 46 No. 1 (State Tract 46 No. 1 well).

    

    Subject
      to JOA dated 9/1/00 between Vintage Petroleum Inc., Davis Petroleum Corp.,
      Andex
      Resources LLC covering 250 acres within that portion of State Tract 9-12B,
      limited from the surface of the ground down to the stratigraphic equivalent
      of
      the total depth drilled in the Initial Test, except the Unitized formations
      established by Unit Agreement for the Fishers Reef Field Unit No. 1 but
      including any wellbore interest earned therein, as more specifically identified
      and defined in those certain Participation Farmout Agreements, as amended,
      between Vintage and each of the other parties (State Tract 9-12B #1
      well).

    

    Subject
      to JOA dated 1/6/98 between Vintage Petroleum Inc. (50%) and EEX Corporation
      (50%) covering all land located on State Tract 6-7A: SW (State Tract 6-7A
      well)

    

    Subject
      to call on oil and gas production in Assignment and Bill of Sale dated 5/1/91
      and recorded under File No. 91 146 152 from Exxon Corporation to Vintage
      Petroleum Inc. whereby Exxon Corporation reserves a preferential right to
      purchase oil and gas for a term of 21 years from assignment date.

    

    CEDAR
      POINT/HEMATITE FIELD

    

    Subject
      to the certain Operating Agreement dated 2/15/99 by and between Vintage
      Petroleum Inc. and MCNIC O & G Properties, Inc., Carrizo O&G Inc.,
      Century Offshore Management Corp. and Yuma Exploration and Production Company,
      Inc.

    

    Subject
      to that certain Participation Agreement by and between Yuma Exploration and
      Production Company, Inc., Vintage Petroleum Inc., Carrizo Oil & Gas Inc. and
      MCNIC Oil
&
      Gas Properties, Inc. dated 4/6/98.

    

    POINT
      BARROW FACILITY

    

    Subject
      to Saltwater Disposal Agreement dated 10/01/01 between Vintage Petroleum Inc.
      and Masters Resources LLC whereby Vintage will accept Masters’ water produced
      from Masters’ wells located in the Trinity Bay Field, Chambers Co., TX for
      disposal in its Point Barrow saltwater disposal facility located on the Point
      Barrow Facility so long as excess capacity in the Facility exists over and
      above
      that required by Vintage’s operations.

    

    Subject
      to all easements, rights of way, surface leases and all similar grants of
      surface use affecting this land whether recorded or unrecorded in addition
      to
      those specifically described in Deed and Bill of Sale dated 5/31/91 between
      Exxon Corporation, Grantor and Vintage Petroleum Inc., Grantee recorded under
      File No. 91 146 205, Chambers Co., TX.

    

      Subject
        to call on oil and gas production in Assignment and Bill of Sale dated 5/1/91
        and recorded under File No. 91 146 152 from Exxon Corporation to Vintage
        Petroleum Inc. whereby Exxon Corporation reserves a preferential right to
        purchase oil and gas for a term of 21 years from assignment date.

       

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

      Schedule
        3.1(H)

      Attached
        to and made a part of Purchase and Sale Agreement dated effective

      October
        1, 2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC,

      as
        Seller, and Tekoil & Gas Corporation, as Buyer.

    

    

    GAS
      CONTRACTS

    

    Gas
      and
      Crude Oil Gathering, Dehydration and Delivery Agreement, as amended, dated
      5/1/00 by and between Vintage Petroleum Inc., as Shipper, and Vintage Pipeline
      Inc., as Operator.

    

    Gas
      and
      Crude Oil Gathering, Dehydration and Delivery Agreement, as amended, dated
      9/1/00 by and between Davis Petroleum Corp., as Shipper, and Vintage Pipeline
      Inc. as operator.

    

    Gas
      and
      Crude Oil Gathering, Dehydration and Delivery Agreement, as amended, dated
      9/1/00 by and between Andex Resources LLC, as Shipper, and Vintage Pipeline,
      Inc. as Operator.

    

    Gas
      and
      Crude Oil Gathering, Dehydration and Delivery Agreement dated 10/1/02 by and
      between EEX Corporation, as Shipper, and Vintage Pipeline Inc. as Operator.
      

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Schedule 3.1(I)

    Preferential
      rights to purchase 

    

    Attached
      to and made a part of Purchase and Sale Agreement dated effective October 1,
      2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
      Seller, and Tekoil & Gas Corporation, as Buyer.

     

    None.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Schedule 3.1(J)

    

    Burdens
      on production created by Masters

    

    Attached
      to and made a part of Purchase and Sale Agreement dated effective October 1,
      2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
      Seller, and Tekoil & Gas Corporation, as Buyer.

    

    Except
      for
      overriding royalties heretofore conveyed to the principals or employees of
      Masters, which are all of public record, and except for the overriding royalty
      consideration contemplated in the Purchase and Sale Agreement referenced in
      the
      caption above, none.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Schedule 3.1(M)

    

    Environmental
      claims 

    

    Attached
      to and made a part of Purchase and Sale Agreement dated effective October 1,
      2006 by and between Masters Resources LLC and Masters Oil & Gas, LLC, as
      Seller, and Tekoil & Gas Corporation, as Buyer.

    

    None.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00114-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00114-of-00352.parquet"}]]