Document:

Exhibit
      10.9

    

    ASSUMPTION
      OF LIABILITIES AND INDEMNITY AGREEMENT made as of February 28,
      2005

    

    BETWEEN:

    

    DEEP
      WELL OIL & GAS, INC.,
      a
      Nevada corporation extra-provincially registered In Alberta and NORTHERN
      ALBERTA OIL LTD.,
      an
      Alberta corporation (collectively, “Deep Well”)

    

    AND

    

    SURGE
      GLOBAL ENERGY (CANADA), LTD., an
      Alberta corporation (“Surge”)

    

    WHEREAS:

    

    
      	1.	
              Pursuant
                to the Royalty Agreement (“Royalty Agreement”) dated December 12, 2003
                between Mikwec Energy Canada Ltd. (now Northern Alberta Oil Ltd.
                by name
                change) and Nearshore Petroleum Corporation (“Nearshore”), Nearshore was
                granted a 6.5% gross overriding royalty on petroleum and natural
                gas
                rights (including oil sands rights) in Townships 91 and 92, Ranges
                12 and
                13, W5M (the “GORR”);

            

    

    

    
      	2.	
              Deep
                Well as farmor and Sure, as farmee entered into a Farmout Agreement
                dated
                February 25, 2005 (“Farmout Agreement”) pursuant to which Surge will have
                the right to earn a 40% undivided interest in some of all the Farmout
                Lands;

            

    

    

    
      	3.	
              The
                Farmout Lands are encumbered by the
                GORR;

            

    

    

    
      	
              4.

            	
              The
                interests that are earned by Surge under the Farmout Agreement
                (“Earned
                Interests”)
                will be encumbered by the GORR (which is not acceptable to Surge);
                and

            

    

    

    
      	
              5.

            	
              In
                order to induce Surge to enter into the Farmout Agreement and to
                drill
                wells thereunder, Deep Well has agreed to be responsible for and
                to assume
                the obligation to pay the GORR as it pertains to the Earned Interests,
                and
                the parties are entering into this Agreement to confirm those
                arrangements.

            

    

    

    In
      consideration of the foregoing, the sum of ten ($10) dollars paid by Surge
      to
      Deep Well, Surge’s agreement to enter into the Farmout Agreement, and other good
      and valuable consideration (the receipt and adequacy of which is hereby
      acknowledged by Deep Well for all purposes whatsoever), the parties agree as
      follows:

    

    
      	1.	
              Capitalized
                terms used in this Agreement but not defined herein shall have the
                meanings given to those terms in the Farmout
                Agreement.

            

    

    

    
      	2.	
              Deep
                Well is solely responsible for and shall timely pay (at its sole
                cost and
                expense) the GORR and perform all other obligations of any kind or
                nature
                whatsoever arising under the Royalty Agreement, in each case as they
                pertain to the Earned Interests. It is the intentions of the parties
                that
                Surge shall have no obligation or liability under any circumstances
                whatsoever to pay the GORR, perform any obligation under the Royalty
                Agreement or deal with any person(s) entitled to the GORR. Without
                limiting the generality of the foregoing, if any owner of an interest
                in
                the GORR elects to take its royalty share of production in kind,
                Deep Well
                will provide that “in kind” production from is own production or from some
                other source.

            

    

    
      
        
        

      

      
        
        

        
          

        

      

       

    

    

    
      	
              3.

            	
              Deep
                Well shall indemnify and save harmless Surge and each of its Affiliates
                and each of their respective directors, officers, employees, agents
                and
                representatives (collectively, the “Indemnified
                Persons”)
                from and against any and all claims and demands made by any person(s)
                claiming to have an interest in or rights under the GORR or the Royalty
                Agreement and for any and all direct costs, damages and expenses
                whatsoever which any Indemnified Person may suffer, sustain, pay
                or incur
                in connection with any claim(s) by any person(s) in respect of the
                GORR or
                the Royalty Agreement (including, without limitation, Surge’s reasonable
                legal costs on a solicitor and its own client
                basis).

            

    

    

    
      	
              4.

            	
              Notwithstanding
                that Surge has no obligations in respect of the GORR or the Royalty
                Agreement, if a claim by any person in respect of any unpaid GORR
                payment
                might adversely affect any of the Earned Interests, then Surge shall
                be
                entitled, but not obligated, to make payment of the GORR, subject
                always
                to all rights to pursue indemnification from Deep Well hereunder,
                at law,
                in equity or otherwise and to set-off any amounts Surge pays in respect
                of
                the GORR against any amounts otherwise due and payable by Surge to
                Deep
                Well under the Farmout Agreement or, under an Existing JOA, except
                for
                such right-off, Surge shall not have any right, interest or benefit
                in the
                GORR or Royalty Agreement
                whatsoever.

            

    

    

    
      	
              5.

            	
              Deep
                Well Oil & Gas, Inc. and Northern Alberta Oil Ltd. shall be jointly
                and severally liable for the obligations of Deep Well under this
                Agreement.

            

    

    

    
      	
              6.

            	
              Deep
                Well shall not assign this Agreement or any or all of its obligations
                under this Agreement without the prior written consent of Surge,
                which
                consent may be arbitrarily withheld. Surge may assign this Agreement,
                in
                whole or in part, to any permitted assignee of any of the Earned
                Interests.

            

    

    

    
      	7.	
              The
                obligations of Deep Well under this Agreement are absolute and shall
                not
                be lessened or modified in any respect notwithstanding any circumstances
                whatsoever including, without limitation, any past, present or future
                changes in the ownership of the
                GORR.

            

    

    

    
      	
              8.

            	
              (a)

            	
              No
                waiver by Surge of any breach (whether actual or anticipated) of
                any of
                the covenants, provisions or conditions herein contained shall take
                effect
                or be binding upon Surge unless the same is expressed in writing
                executed
                by an officer of Surge. Any waiver so given shall extend only to
                the
                particular breach so waived and shall not Limit or affect any rights
                with
                respect to any other or future breach whether of a similar or dissimilar
                nature.

            

    

    

    
      	
            	(b)	
              The
                parties acknowledge and confirm that this Agreement was negotiated
                and
                prepared by the parties with the advice of their respective legal
                counsel
                to the extent deemed necessary by each of the parties, and was not
                prepared by one party to the exclusion of the other party and,
                accordingly, should not be construed against either party by reason
                of its
                preparation, negotiation, or
                drafting.

            

    

    
      
        
        

      

      
        
        

        
          

        

      

       

    

    

    
      	
            	(c)	
              If
                any term of this Agreement is or becomes invalid, illegal or unenforceable
                in any jurisdiction, such invalidity, illegality or unenforceability
                shall
                not affect the validity, legality or enforceability of any other
                term of
                this Agreement and such invalid, illegal or unenforceable term shall
                be,
                as to such jurisdiction, severable from this
                Agreement.

            

    

    

    
      	 	
              (d)

            	
              This
                Agreement shall be conclusively deemed for all purposes whatsoever
                to be
                made under and for all purposes to be governed by and construed in
                accordance with the laws of the Province of Alberta and of Canada
                applicable therein and shall be treated in all respects as an Alberta
                law
                contract. Each party agrees that any action or proceedings with respect
                to
                this Agreement shall be brought in the courts of Alberta at
                Calgary.

            

    

    

    
      	 	
              (e)

            	
              A
                derivative of a defined term shall have a corresponding meaning
                herein.

            

    

    

    
      	 	
              (f)

            	
              No
                amendment or other variation of the provisions of this Agreement
                shall be
                binding on the parties or either of them unless it is evidenced in
                writing
                executed by an officer of that
                party.

            

    

    

    
      	 	
              (g)

            	
              Time
                shall be of the essence hereof.

            

    

    

    
      	 	
              (h)

            	
              Each
                party shall, from time to time and at all times hereafter, do all
                such
                further acts and execute and deliver all such further documents as
                may be
                reasonably required by the other party in order to perform and carry
                out
                the terms and the intent of this
                Agreement.

            

    

    

    
      	
            	(i)	
              This
                Agreement may be executed in any number of separate counterparts
                with the
                same effect as if all parties had signed the same copy of this Agreement.
                All counterparts shall be construed together and constitute one agreement.
                Each party shall be entitled to rely on the delivery of executed
                facsimile
                copies of counterpart execution pages of this Agreement and such
                facsimile
                copies shall be legally effective to create a valid and binding agreement
                between the parties.

            

    

    

    
      	
            	(j)	
              This
                Agreement shall enure to the benefit of and be binding upon the parties
                hereto and their respective successors and permitted
                assigns.

            

    

    

    IN
      WITNESS WHEREOF each of the parties has caused this Agreement to be executed
      by
      its proper officers, duly authorized in that regard, to be effective as of
      the
      date first above written.

     

    
      	
              DEEP
                WELL OIL & GAS, INC.

            	
              NORTHERN
                ALBERTA OIL LTD.

            
	
               

            	
               

            
	
              Per:

            	
              /s/
                Steven Gawne

            	
              Per:

            	
              /s/
                Curtis Sparrow

            
	
              Per:

            	
              
                

              

              President
                and CEO

            	
              Per:

            	
              
                

              

              Director

            

    

    

    
      	
              SURGE
                GLOBAL ENERGY (CANADA), LTD.

            	 
	 	
               

            
	
              Per:

            	
              /s/
                Fred W. Kelly

            	 
	
              Per:

            	
              
                

              

              CEOExhibit
      10.10

    

    TERMINATION
      AGREEMENT dated for reference February 28, 2005

    

    AMONG:

    

    NEARSHORE
      PETROLEUM CORPORATION,
      an
      Alberta

    corporation
      (“Nearshore”)

    

    AND

    

    NORTHERN
      ALBERTA OIL LTD.,
      an
      Alberta corporation (“Northern”)

    

    AND

    

    SURGE
      GLOBAL ENERGY (CANADA), LTD.,
      an
      Alberta corporation (“Surge”)

    

    WHEREAS:

    

    
      	1.	
              Nearshore
                and Northern (formerly Mikwec Energy Canada Ltd. by change of name)
                are
                parties to a “Non-Disclosure/Area of Exclusion Athabasca and Sawn Lake Oil
                Sand, Alberta Agreement” (“Nearshore-Northern
                Agreement”)
                dated November 19, 2003 pursuant to which, inter
                alia, Nearshore
                is provided with the option to purchase up to 100% of any interests
                acquired by Northern within the specified of Exclusion Lands
                (“Nearshore
                Rights”);

            

    

    

    
      	
              2.

            	
              Surge
                plan entered into the Farmout Agreement dated February 25, 2005 with
                Northern and Deep Well Oil & Gas, Inc. (“Farmout
                Agreement”);

            

    

    

    
      	
              3.

            	
              The
                Farmout Agreement includes an area of mutual interest provision (“AMI”)
                and the Nearshore Rights may conflict with Surge’s rights under the AMI;
                and

            

    

    

    
      	
              4.

            	
              Nearshore
                and Northern will benefit from the execution and performance of the
                Farmout Agreement and, as a result, have agreed to terminate the
                Nearshore-Northern Agreement and to enter into this Agreement to
                confirm
                such termination to Surge.

            

    

    

    NOW
      THEREFORE, in consideration of ten ($10) USD dollars paid by Surge to each
      of
      Nearshore and Northern respectively, Surge’s agreement to enter into the Farmout
      Agreement, and other good and valuable consideration (the receipt and
      sufficiency of which is hereby acknowledged by each of the parties), the parties
      agree as follows:

    

    
      	
              1.

            	
              Nearshore
                and Northern agree with one another, and represent and warrant to
                Surge,
                that the Nearshore-Northern Agreement (including, without limitation,
                the
                Nearshore Rights) has been terminated by Nearshore and Northern effective
                as of February 17th 2005.

            

    

    

    
      	
              2.

            	
              Nearshore
                and Northern represent and warrant to each other and to Surge that
                neither
                of such parties has assigned or otherwise alienated its interests
                in the
                Nearshore-Northern Agreement and that it has all necessary power
                and
                authority to enter into this Agreement in order to terminate the
                Nearshore-Northern Agreement in accordance with the terms
                hereof.

            

    

    
      
        
        

      

      
        
        

        
          

        

      

       

    

    

    
      	
              3.

            	
              Nearshore
                confirms to Surge that it did not acquire, and it is not entitled
                to
                acquire, any interests pursuant to the Nearshore-Northern Agreement,
                and
                there are no unperformed obligations or liabilities under that
                agreement.

            

    

    

    
      	
              4.

            	
              Nearshore
                and Northern intend that Surge will rely on this Agreement in order
                to
                enter into the Farmout Agreement.

            

    

    

    
      	5.	
              Nearshore
                forever releases and discharges Northern and Surge from any and all
                claims
                of any kind that Nearshore may have, or have had, against Northern
                or
                Surge in relation to the Nearshore - Northern
                Agreement.

            

    

    

    
      	
              6.

            	
              (a)

            	
              No
                waiver by Surge of any breach (whether actual or anticipated) of
                any of
                the covenants, provisions or conditions herein contained shall take
                effect
                or be binding upon Surge unless the same is expressed in writing
                executed
                by an officer of Surge. Any waiver so given shall extend only to
                the
                particular breach so waived and shall not limit or affect any rights
                with
                respect to any other or future breach whether of a similar or dissimilar
                nature.

            

    

    

    
      	 	
              (b)

            	
              The
                parties acknowledge and confirm that this Agreement was negotiated
                and
                prepared by the parties with the advice of their respective legal
                counsel
                to the extent deemed necessary by each of the parties, and was not
                prepared by one party to the exclusion of any other party and,
                accordingly, should not be construed against either party by reason
                of its
                preparation, negotiation, or
                drafting.

            

    

    

    
      	 	
              (c)

            	
              If
                any term of this Agreement is or becomes invalid, illegal or unenforceable
                in any jurisdiction, such invalidity, illegality or unenforceability
                shall
                not affect the validity, legality or enforceability of any other
                term of
                this Agreement and such invalid, illegal or unenforceable term shall
                be,
                as to such jurisdiction, severable from this
                Agreement.

            

    

    

    
      	 	
              (d)

            	
              This
                Agreement shall be conclusively deemed for all purposes whatsoever
                to be
                made under and for all purposes to be governed by and construed in
                accordance with the laws of the Province of Alberta and of Canada
                applicable therein and shall be treated in all respects as an Alberta
                law
                contract. Each party agrees that any action or proceedings with respect
                to
                this Agreement shall be brought in the courts of Alberta at
                Calgary.

            

    

    

    
      	 	
              (e)

            	
              No
                amendment or other variation of the provisions of this Agreement
                shall be
                binding on the parties or any of them unless it is evidenced in writing
                executed by an officer of that
                party.

            

    

    

    
      	 	
              (t)

            	
              Each
                party shall, from time to time and at all times hereafter, do all
                such
                further acts and execute and deliver all such further documents as
                may be
                reasonably required by another party in order to perform and carry
                out the
                terms and the intent of this
                Agreement.

            

    

    

    
      	 	
              (g)

            	
              This
                Agreement may be executed in any number of separate counterparts
                with the
                same effect as if all parties had signed the same copy of this Agreement.
                All counterparts shall be construed together and constitute one agreement.
                Each party shall be entitled to rely on the delivery of executed
                facsimile
                copies of counterpart execution pages of this Agreement and such
                facsimile
                copies shall be legally effective to create a valid and binding agreement
                among the parties.

            

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	 	
              (h)

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

            

    

    

    IN
      WITNESS WHEREOF each of the parties has caused this Agreement to be executed
      by
      its proper officers, duly authorized in that regard, to be effective as of
      the
      date first above written.

     

    
      	 	 	 
	 	
              NEARSHORE
                PETROLEUM CORPORATION

            
	 
 	 
 	 
 
	
            	
              Per:  

            	
              /s/
                Steven Gawne

            
	 	
              Per:

            	
              

              President

            

    

     

    
      	 	 	 
	 	
              NORTHERN
                ALBERTA OIL LTD.

            
	 
 	 
 	 
 
	
            	
              Per:  

            	
              /s/
                Curtis Sparrow

            
	 	
              Per:

            	
              

              Director

            

    

     

    
      	 	 	 
	 	
              SURGE
                GLOBAL ENERGY (CANADA), LTD.

            
	 
 	 
 	 
 
	
            	
              Per:  

            	
              /s/
                Fred W. Kelly

            
	 	
              Per: 

            	
              

              CEO

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00117-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00117-of-00352.parquet"}]]