Document:

Filed by Automated Filing Services Inc. (604) 609-0244 - Zoolink Corp. - Exhibit 10.1

 EQUITY LINE OF CREDIT AGREEMENT

      AGREEMENT dated as of
  the 28th day of July 2003 (the “Agreement”) between CORNELL
  CAPITAL PARTNERS, LP, a Delaware limited partnership (the “Investor”),
  and ZOOLINK CORP., a corporation organized and existing under the laws
  of the State of Nevada (the “Company”). 

      WHEREAS, the parties
  desire that, upon the terms and subject to the conditions contained herein,
  the Company shall issue and sell to the Investor, from time to time as provided
  herein, and the Investor shall purchase from the Company up to Five Million
  Dollars ($5,000,000) of the Company’s common stock, par value $0.001 per
  share (the “Common Stock”); and 

      WHEREAS, such investments
  will be made in reliance upon the provisions of Regulation D (“Regulation
  D”) of the Securities Act of 1933, as amended, and the regulations promulgated
  thereunder (the “Securities Act”), and or upon such other exemption
  from the registration requirements of the Securities Act as may be available
  with respect to any or all of the investments to be made hereunder. 

      WHEREAS, the Company
  has engaged Katalyst Securities LLC to act as the Company’s exclusive placement
  agent in connection with the sale of the Company’s Common Stock to the
  Investor hereunder pursuant to the Placement Agent Agreement dated the date
  hereof by and among the Company, the Placement Agent and the Investor (the “Placement
  Agent Agreement”). 

      NOW, THEREFORE,
  the parties hereto agree as follows: 

 ARTICLE I.

  Certain Definitions

      Section 1.1. “Advance”
  shall mean the portion of the Commitment Amount requested by the Company in
  the Advance Notice. 

      Section 1.2. “Advance
  Date” shall mean the date Butler Gonzalez LLP Escrow Account is in
  receipt of the funds from the Investor and Butler Gonzalez LLP, as the Investor’s
  Counsel, is in possession of free trading shares from the Company and therefore
  an Advance by the Investor to the Company can be made and Butler Gonzalez LLP
  can release the free trading shares to the Investor. No Advance Date shall be
  less than six (6) Trading days after an Advance Notice Date. 

      Section 1.3. “Advance
  Notice” shall mean a written notice to the Investor setting forth the
  Advance amount that the Company requests from the Investor and the Advance Date.

      Section 1.4. “Advance
  Notice Date” shall mean each date the Company delivers to the Investor
  an Advance Notice requiring the Investor to advance funds to the Company, subject
  to the terms of this Agreement. No Advance Notice Date shall be less than six
  (6) Trading days after the prior Advance Notice Date. 

      Section 1.5. “Bid Price”
  shall mean, on any date, the closing bid price (as reported by Bloomberg L.P.)
  of the Common Stock on the Principal Market or if the Common Stock is not traded
  on a Principal Market, the highest reported bid price for the Common Stock,
  as furnished by the National Association of Securities Dealers, Inc. 

      Section 1.6. “Closing”
  shall mean one of the closings of a purchase and sale of Common Stock pursuant
  to Section 2.3. 

      Section 1.7. “Commitment
  Amount” shall mean the aggregate amount of up to Five Million Dollars
  ($5,000,000) which the Investor has agreed to provide to the Company in order
  to purchase the Company’s Common Stock pursuant to the terms and conditions
  of this Agreement. 

      Section 1.8. “Commitment
  Period” shall mean the period commencing on the earlier to occur of
  (i) the Effective Date, or (ii) such earlier date as the Company and the Investor
  may mutually agree in writing, and expiring on the earliest to occur of (x)
  the date on which the Investor shall have made payment of Advances pursuant
  to this Agreement in the aggregate amount of Five Million Dollars ($5,000,000),
  (y) the date this Agreement is terminated pursuant to Section 2.5, or (z) the
  date occurring twenty-four (24) months after the Effective Date. 

      Section 1.9. “Common
  Stock” shall mean the Company’s common stock, par value $0.001
  per share. 

      Section 1.10. “Condition
  Satisfaction Date” shall have the meaning set forth in Section 7.2.

      Section 1.11. “Damages”
  shall mean any loss, claim, damage, liability, costs and expenses (including,
  without limitation, reasonable attorney’s fees and disbursements and costs
  and expenses of expert witnesses and investigation). 

      Section 1.12. “Effective
  Date” shall mean the date on which the SEC first declares effective
  a Registration Statement registering the resale of the Registrable Securities
  as set forth in Section 7.2(a). 

      Section 1.13. “Escrow
  Agreement” shall mean the escrow agreement among the Company, the Investor,
  and Butler Gonzalez LLP dated the date hereof. 

      Section 1.14. “Exchange
  Act” shall mean the Securities Exchange Act of 1934, as amended, and
  the rules and regulations promulgated thereunder. 

      Section 1.15. “Material
  Adverse Effect” shall mean any condition, circumstance, or situation
  that would prohibit or otherwise materially interfere with the ability of the
  Company to enter into and perform any of its obligations under this Agreement
  or the Registration Rights Agreement in any material respect. 

      Section 1.16. “Market
  Price” shall mean the average of the five (5) daily VWAPs of the Company’s
  Common Stock during the Pricing Period. 

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      Section 1.17. “Maximum
  Advance Amount” shall be Seventy Five Thousand Dollars ($75,000) per
  Advance Notice up to a maximum of Two Hundred Twenty Five Thousand Dollars ($225,000)
  in any thirty day (30) calendar period. 

      Section 1.18 “NASD”
  shall mean the National Association of Securities Dealers, Inc. 

      Section 1.19 “Person”
  shall mean an individual, a corporation, a partnership, an association, a trust
  or other entity or organization, including a government or political subdivision
  or an agency or instrumentality thereof. 

      Section 1.20 “Placement
  Agent” shall mean Katalyst Securities, LLC a registered broker-dealer.

      Section 1.21 “Pricing
  Period” shall mean the five (5) consecutive Trading Days after the
  Advance Notice Date. 

      Section 1.22 “Principal
  Market” shall mean the Nasdaq National Market, the Nasdaq SmallCap
  Market, the American Stock Exchange, the OTC Bulletin Board or the New York
  Stock Exchange, whichever is at the time the principal trading exchange or market
  for the Common Stock. 

      Section 1.23 “Purchase
  Price” shall be set at ninety five percent (95%) of the Market Price
  during the Pricing Period. 

      Section 1.24 “Registrable
  Securities” shall mean the shares of Common Stock to be issued hereunder
  (i) in respect of which the Registration Statement has not been declared effective
  by the SEC, (ii) which have not been sold under circumstances meeting all of
  the applicable conditions of Rule 144 (or any similar provision then in force)
  under the Securities Act (“Rule 144”) or (iii) which have not
  been otherwise transferred to a holder who may trade such shares without restriction
  under the Securities Act, and the Company has delivered a new certificate or
  other evidence of ownership for such securities not bearing a restrictive legend.

      Section 1.26 “Registration
  Rights Agreement” shall mean the Registration Rights Agreement dated
  the date hereof, regarding the filing of the Registration Statement for the
  resale of the Registrable Securities, entered into between the Company and the
  Investor. 

      Section 1.27 “Registration
  Statement” shall mean a registration statement on Form S-1 or SB-2
  (if use of such form is then available to the Company pursuant to the rules
  of the SEC and, if not, on such other form promulgated by the SEC for which
  the Company then qualifies and which counsel for the Company shall deem appropriate,
  and which form shall be available for the resale of the Registrable Securities
  to be registered thereunder in accordance with the provisions of this Agreement
  and the Registration Rights Agreement, and in accordance with the intended method
  of distribution of such securities), for the registration of the resale by the
  Investor of the Registrable Securities under the Securities Act. 

      Section 1.28 “Regulation
  D” shall have the meaning set forth in the recitals of this Agreement.

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      Section 1.29 “SEC”
  shall mean the Securities and Exchange Commission. 

      Section 1.30 “Securities
  Act” shall have the meaning set forth in the recitals of this Agreement.

      Section 1.31 “SEC Documents”
  shall mean Annual Reports on Form 10-KSB, Quarterly Reports on Form 10-QSB,
  Current Reports on Form 8-K and Proxy Statements of the Company as supplemented
  to the date hereof, filed by the Company for a period of at least twelve (12)
  months immediately preceding the date hereof or the Advance Date, as the case
  may be, until such time as the Company no longer has an obligation to maintain
  the effectiveness of a Registration Statement as set forth in the Registration
  Rights Agreement. 

      Section 1.32 “Trading
  Day” shall mean any day during which the New York Stock Exchange shall
  be open for business. 

      Section 1.33 “VWAP”
  shall mean the volume weighted average price of the Company’s Common Stock
  as reported by Bloomberg, L.P. 

 ARTICLE II.  

  Advances  

      Section 2.1. Investments. 

           (a)
  Advances. Upon the terms and conditions set forth herein (including,
  without limitation, the provisions of Article VII hereof), on any Advance Notice
  Date the Company may request an Advance by the Investor by the delivery of an
  Advance Notice. The number of shares of Common Stock that the Investor shall
  receive for each Advance shall be determined by dividing the amount of the Advance
  by the Purchase Price. No fractional shares shall be issued. Fractional shares
  shall be rounded to the next higher whole number of shares. The aggregate maximum
  amount of all Advances that the Investor shall be obligated to make under this
  Agreement shall not exceed the Commitment Amount. 

      Section 2.2. Mechanics.

           (a)
  Advance Notice. At any time during the Commitment Period, the Company
  may deliver an Advance Notice to the Investor, subject to the conditions set
  forth in Section 7.2; provided, however, the amount for each Advance as designated
  by the Company in the applicable Advance Notice, shall not be more than the
  Maximum Advance Amount. The aggregate amount of the Advances pursuant to this
  Agreement shall not exceed the Commitment Amount. The Company acknowledges that
  the Investor may sell shares of the Company’s Common Stock corresponding
  with a particular Advance Notice on the day the Advance Notice is received by
  the Investor. There will be a minimum of six (6) Trading Days between each Advance
  Notice Date. 

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           (b)
  Date of Delivery of Advance Notice. An Advance Notice shall be deemed
  delivered on (i) the Trading Day it is received by facsimile or otherwise by
  the Investor if such notice is received prior to 12:00 noon Eastern Time, or
  (ii) the immediately succeeding Trading Day if it is received by facsimile or
  otherwise after 12:00 noon Eastern Time on a Trading Day or at any time on a
  day which is not a Trading Day. No Advance Notice may be deemed delivered, on
  a day that is not a Trading Day. 

           (c)
  Pre-Closing Share Credit. Within two (2) business days after the Advance
  Notice Date, the Company shall credit shares of the Company’s Common Stock
  to the Investor’s balance account with The Depository Trust Company through
  its Deposit Withdrawal At Custodian system, in an amount equal to the amount
  of the requested Advance divided by the closing Bid Price of the Company’s
  Common Stock as of the Advance Notice Date multiplied by one point one (1.1).
  Any adjustments to the number of shares to be delivered to the Investor at the
  Closing as a result of fluctuations in the closing Bid Price of the Company’s
  Common Stock shall be made as of the date of the Closing. Any excess shares
  shall be credited to the next Advance or returned to the Company. In no event
  shall the number of shares issuable to the Investor pursuant to an Advance cause
  the Investor to own in excess of nine and 9/10 percent (9.9%) of the then outstanding
  Common Stock of the Company. 

           (d)
  Hardship. In the event the Investor sells the Company’s Common Stock
  pursuant to subsection (c) above and the Company fails to perform its obligations
  as mandated in Section 2.5 and 2.2 (c), and specifically fails to provide the
  Investor with the shares of Common Stock for the applicable Advance, the Company
  acknowledges that the Investor shall suffer financial hardship and therefore
  shall be liable for any and all losses, commissions, fees, or financial hardship
  caused to the Investor. 

      Section 2.3. Closings.
  On each Advance Date, which shall be six (6) Trading Days after an Advance Notice
  Date, (i) the Company shall deliver to the Investor’s Counsel, as defined
  pursuant to the Escrow Agreement, shares of the Company’s Common Stock,
  representing the amount of the Advance by the Investor pursuant to Section 2.1
  herein, registered in the name of the Investor which shall be delivered to the
  Investor, or otherwise in accordance with the Escrow Agreement and (ii) the
  Investor shall deliver to Butler Gonzalez LLP (the “Escrow Agent”)
  the amount of the Advance specified in the Advance Notice by wire transfer of
  immediately available funds which shall be delivered to the Company, or otherwise
  in accordance with the Escrow Agreement. In addition, on or prior to the Advance
  Date, each of the Company and the Investor shall deliver to the other through
  the Investor’s Counsel all documents, instruments and writings required
  to be delivered by either of them pursuant to this Agreement in order to implement
  and effect the transactions contemplated herein. Payment of funds to the Company
  and delivery of the Company’s Common Stock to the Investor shall occur
  in accordance with the conditions set forth above and those contained in the
  Escrow Agreement; provided, however, that to the extent the Company
  has not paid the fees, expenses, and disbursements of the Investor and the Investor’s
  counsel in accordance with Section 12.4, the amount of such fees, expenses,
  and disbursements may be deducted by the Investor (and shall be paid to the
  relevant party) from the amount of the Advance with no reduction in the amount
  of shares of the Company’s Common Stock to be delivered on such Advance
  Date. 

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      Section 2.4. Termination
  of Investment. The obligation of the Investor to make an Advance to the
  Company pursuant to this Agreement shall terminate permanently (including with
  respect to an Advance Date that has not yet occurred) in the event that (i)
  there shall occur any stop order or suspension of the effectiveness of the Registration
  Statement for an aggregate of fifty (50) Trading Days, other than due to the
  acts of the Investor, during the Commitment Period, and (ii) the Company shall
  at any time fail materially to comply with the requirements of Article VI and
  such failure is not cured within thirty (30) days after receipt of written notice
  from the Investor, provided, however, that this termination provision
  shall not apply to any period commencing upon the filing of a post-effective
  amendment to such Registration Statement and ending upon the date on which such
  post effective amendment is declared effective by the SEC.. 

      Section 2.5. Agreement to
  Advance Funds. 

           (a)
  The Investor agrees to advance the amount specified in the Advance Notice to
  the Company after the completion of each of the following conditions and the
  other conditions set forth in this Agreement: 

                (i)
  the execution and delivery by the Company, and the Investor, of this Agreement,
  and the Exhibits hereto; 

                (ii)
  Investor’s Counsel shall have received the shares of Common Stock applicable
  to the Advance in accordance with Section 2.2(c) hereof; 

                (iii)
  the Company’s Registration Statement with respect to the resale of the
  Registrable Securities in accordance with the terms of the Registration Rights
  Agreement shall have been declared effective by the SEC; 

                (iv)
  the Company shall have obtained all material permits and qualifications required
  by any applicable state for the offer and sale of the Registrable Securities,
  or shall have the availability of exemptions therefrom. The sale and issuance
  of the Registrable Securities shall be legally permitted by all laws and regulations
  to which the Company is subject; 

                (v)
  the Company shall have filed with the Commission in a timely manner all reports,
  notices and other documents required of a “reporting company” under
  the Exchange Act and applicable Commission regulations; 

                (vi)
  the fees as set forth in Section 12.4 below shall have been paid or can be withheld
  as provided in Section 2.3; and 

                (vii)
  the conditions set forth in Section 7.2 shall have been satisfied. 

                (viii)
  The Company shall have provided to the Investor an acknowledgement, from Morgan
  & Company, Chartered Accountants as to its ability to provide all consents
  required in order to file a registration statement in connection with this transaction;

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      Section 2.6. Lock Up Period.

                (i)
  During the Commitment Period, the Company shall not without ten (10) business
  days prior written notice to the Investor, issue or sell (i) any Common Stock
  or Preferred Stock without consideration or for a consideration per share less
  than the Bid Price on the date of issuance or (ii) issue or sell any warrant,
  option, right, contract, call, or other security or instrument granting the
  holder thereof the right to acquire Common Stock without consideration or for
  a consideration per share less than the Bid Price on the date of issuance. 

                (ii)
  On the date hereof, the Company shall obtain from each officer and director
  a lock-up agreement, as defined below, in the form annexed hereto as Schedule
  2.6(b) agreeing to only sell in compliance with the volume limitation of Rule
  144. 

 ARTICLE III.  

  Representations and Warranties of Investor  

     Investor hereby represents and warrants to, and agrees with, the Company that the following are true and as of the date hereof and as of each Advance Date:

      Section 3.1. Organization
  and Authorization. The Investor is duly incorporated or organized and validly
  existing in the jurisdiction of its incorporation or organization and has all
  requisite power and authority to purchase and hold the securities issuable hereunder.
  The decision to invest and the execution and delivery of this Agreement by such
  Investor, the performance by such Investor of its obligations hereunder and
  the consummation by such Investor of the transactions contemplated hereby have
  been duly authorized and requires no other proceedings on the part of the Investor.
  The undersigned has the right, power and authority to execute and deliver this
  Agreement and all other instruments (including, without limitations, the Registration
  Rights Agreement), on behalf of the Investor. This Agreement has been duly executed
  and delivered by the Investor and, assuming the execution and delivery hereof
  and acceptance thereof by the Company, will constitute the legal, valid and
  binding obligations of the Investor, enforceable against the Investor in accordance
  with its terms. 

      Section 3.2. Evaluation of
  Risks. The Investor has such knowledge and experience in financial tax and
  business matters as to be capable of evaluating the merits and risks of, and
  bearing the economic risks entailed by, an investment in the Company and of
  protecting its interests in connection with this transaction. It recognizes
  that its investment in the Company involves a high degree of risk. 

      Section 3.3. No Legal Advice
  From the Company. The Investor acknowledges that it had the opportunity
  to review this Agreement and the transactions contemplated by this Agreement
  with his or its own legal counsel and investment and tax advisors. The Investor
  is relying solely on such counsel and advisors and not on any statements or
  representations of the Company or any of its representatives or agents for legal,
  tax or investment advice with respect to this investment, the transactions contemplated
  by this Agreement or the securities laws of any jurisdiction. 

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      Section 3.4. Investment Purpose.
  The securities are being purchased by the Investor for its own account, for
  investment and without any view to the distribution, assignment or resale to
  others or fractionalization in whole or in part. The Investor agrees not to
  assign or in any way transfer the Investor’s rights to the securities or
  any interest therein and acknowledges that the Company will not recognize any
  purported assignment or transfer except in accordance with applicable Federal
  and state securities laws. No other person has or will have a direct or indirect
  beneficial interest in the securities. The Investor agrees not to sell, hypothecate
  or otherwise transfer the Investor’s securities unless the securities are
  registered under Federal and applicable state securities laws or unless, in
  the opinion of counsel satisfactory to the Company, an exemption from such laws
  is available. 

      Section 3.5. Accredited Investor.
  The Investor is an “Accredited Investor” as that term is defined in
  Rule 501(a)(3) of Regulation D of the Securities Act. 

      Section 3.6. Information.
  The Investor and its advisors (and its counsel), if any, have been furnished
  with all materials relating to the business, finances and operations of the
  Company and information it deemed material to making an informed investment
  decision. The Investor and its advisors, if any, have been afforded the opportunity
  to ask questions of the Company and its management. Neither such inquiries nor
  any other due diligence investigations conducted by such Investor or its advisors,
  if any, or its representatives shall modify, amend or affect the Investor’s
  right to rely on the Company’s representations and warranties contained
  in this Agreement. The Investor understands that its investment involves a high
  degree of risk. The Investor is in a position regarding the Company, which,
  based upon employment, family relationship or economic bargaining power, enabled
  and enables such Investor to obtain information from the Company in order to
  evaluate the merits and risks of this investment. The Investor has sought such
  accounting, legal and tax advice, as it has considered necessary to make an
  informed investment decision with respect to this transaction. 

      Section 3.7. Receipt of Documents.
  The Investor and its counsel have received and read in their entirety: (i) this
  Agreement and the Exhibits annexed hereto; (ii) all due diligence and other
  information necessary to verify the accuracy and completeness of such representations,
  warranties and covenants; (iii) the Company’s Form 10-KSB for the year
  ended year ended June 30, 2002 and Form 10-QSB for the periods ended September
  30, 2002; December 31, 2002; and March 31, 2003; and (iv) answers to all questions
  the Investor submitted to the Company regarding an investment in the Company;
  and the Investor has relied on the information contained therein and has not
  been furnished any other documents, literature, memorandum or prospectus. 

      Section 3.8. Registration
  Rights Agreement and Escrow Agreement. The parties have entered into the
  Registration Rights Agreement and the Escrow Agreement, each dated the date
  hereof. 

      Section 3.9. No General Solicitation.
  Neither the Company, nor any of its affiliates, nor any person acting on its
  or their behalf, has engaged in any form of general solicitation or general
  advertising (within the meaning of Regulation D under the Securities Act) in
  connection with the offer or sale of the shares of Common Stock offered hereby.

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      Section 3.10. Not an Affiliate.
  The Investor is not an officer, director or a person that directly, or indirectly
  through one or more intermediaries, controls or is controlled by, or is under
  common control with the Company or any “Affiliate” of the Company
  (as that term is defined in Rule 405 of the Securities Act). Neither the Investor
  nor its Affiliates has an open short position in the Common Stock of the Company,
  and the Investor agrees that it will not, and that it will cause its Affiliates
  not to, engage in any short sales of or hedging transactions with respect to
  the Common Stock, provided that the Company acknowledges and agrees that
  upon receipt of an Advance Notice the Investor will sell the Shares to be issued
  to the Investor pursuant to the Advance Notice, even if the Shares have not
  been delivered to the Investor. 

 ARTICLE IV.

  Representations and Warranties of the Company  

      Except as stated below, on the
  disclosure schedules attached hereto or in the SEC Documents (as defined herein),
  the Company hereby represents and warrants to, and covenants with, the Investor
  that the following are true and correct as of the date hereof: 

      Section 4.1. Organization
  and Qualification. The Company is duly incorporated or organized and validly
  existing in the jurisdiction of its incorporation or organization and has all
  requisite power and authority corporate power to own its properties and to carry
  on its business as now being conducted. Each of the Company and its subsidiaries
  is duly qualified as a foreign corporation to do business and is in good standing
  in every jurisdiction in which the nature of the business conducted by it makes
  such qualification necessary, except to the extent that the failure to be so
  qualified or be in good standing would not have a Material Adverse Effect on
  the Company and its subsidiaries taken as a whole. 

      Section 4.2. Authorization,
  Enforcement, Compliance with Other Instruments. (i) The Company has the
  requisite corporate power and authority to enter into and perform this Agreement,
  the Registration Rights Agreement, the Escrow Agreement, the Placement Agent
  Agreement and any related agreements, in accordance with the terms hereof and
  thereof, (ii) the execution and delivery of this Agreement, the Registration
  Rights Agreement, the Escrow Agreement, the Placement Agent Agreement and any
  related agreements by the Company and the consummation by it of the transactions
  contemplated hereby and thereby, have been duly authorized by the Company’s
  Board of Directors and no further consent or authorization is required by the
  Company, its Board of Directors or its stockholders, (iii) this Agreement, the
  Registration Rights Agreement, the Escrow Agreement, the Placement Agent Agreement
  and any related agreements have been duly executed and delivered by the Company,
  (iv) this Agreement, the Registration Rights Agreement, the Escrow Agreement,
  the Placement Agent Agreement and assuming the execution and delivery thereof
  and acceptance by the Investor and any related agreements constitute the valid
  and binding obligations of the Company enforceable against the Company in accordance
  with their terms, except as such enforceability may be limited by general principles
  of equity or applicable bankruptcy, insolvency, reorganization, moratorium,
  liquidation or similar laws relating to, or affecting generally, the enforcement
  of creditors’ rights and remedies. 

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      Section 4.3. Capitalization.
  As of the date hereof, the authorized capital stock of the Company consists
  of 100,000,000 shares of Common Stock, par value $0.001 per share, and no shares
  of Preferred Stock of which 19,168,707 shares of Common Stock were issued and
  outstanding . All of such outstanding shares have been validly issued and are
  fully paid and nonassessable. Except as disclosed in the SEC Documents, no shares
  of Common Stock are subject to preemptive rights or any other similar rights
  or any liens or encumbrances suffered or permitted by the Company. Except as
  disclosed in the SEC Documents, as of the date hereof, (i) there are no outstanding
  options, warrants, scrip, rights to subscribe to, calls or commitments of any
  character whatsoever relating to, or securities or rights convertible into,
  any shares of capital stock of the Company or any of its subsidiaries, or contracts,
  commitments, understandings or arrangements by which the Company or any of its
  subsidiaries is or may become bound to issue additional shares of capital stock
  of the Company or any of its subsidiaries or options, warrants, scrip, rights
  to subscribe to, calls or commitments of any character whatsoever relating to,
  or securities or rights convertible into, any shares of capital stock of the
  Company or any of its subsidiaries, (ii) there are no outstanding debt securities
  (iii) except for a registration statement on Form S-8 there are no outstanding
  registration statements and there are no outstanding comment letters from the
  SEC or any other regulatory agency and (iv) there are no agreements or arrangements
  under which the Company or any of its subsidiaries is obligated to register
  the sale of any of their securities under the Securities Act (except pursuant
  to the Registration Rights Agreement). There are no securities or instruments
  containing anti-dilution or similar provisions that will be triggered by this
  Agreement or any related agreement or the consummation of the transactions described
  herein or therein. The Company has furnished to the Investor true and correct
  copies of the Company’s Certificate of Incorporation, as amended and as
  in effect on the date hereof (the “Certificate of Incorporation”),
  and the Company’s By-laws, as in effect on the date hereof (the “By-laws”),
  and the terms of all securities convertible into or exercisable for Common Stock
  and the material rights of the holders thereof in respect thereto. 

      Section 4.4. No Conflict.
  The execution, delivery and performance of this Agreement by the Company and
  the consummation by the Company of the transactions contemplated hereby will
  not (i) result in a violation of the Certificate of Incorporation, any certificate
  of designations of any outstanding series of preferred stock of the Company
  or By-laws or (ii) conflict with or constitute a default (or an event which
  with notice or lapse of time or both would become a default) under, or give
  to others any rights of termination, amendment, acceleration or cancellation
  of, any agreement, indenture or instrument to which the Company or any of its
  subsidiaries is a party, or result in a violation of any law, rule, regulation,
  order, judgment or decree (including federal and state securities laws and regulations
  and the rules and regulations of the Principal Market on which the Common Stock
  is quoted) applicable to the Company or any of its subsidiaries or by which
  any material property or asset of the Company or any of its subsidiaries is
  bound or affected and which would cause a Material Adverse Effect. Except as
  disclosed in the SEC Documents, neither the Company nor its subsidiaries is
  in violation of any term of or in default under its Certificate of Incorporation
  or By-laws or their organizational charter or by-laws, respectively, or any
  material contract, agreement, mortgage, indebtedness, indenture, instrument,
  judgment, decree or order or any statute, rule or regulation applicable to the
  Company or its subsidiaries. The business of the Company and its subsidiaries
  is not being conducted in violation of any material law, ordinance, regulation
  of any governmental entity. Except as specifically contemplated by this Agreement
  and as required under the Securities Act and any applicable state securities
  laws, the Company is not required to obtain any consent, 

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 authorization or order of, or make any filing or registration
  with, any court or governmental agency in order for it to execute, deliver or
  perform any of its obligations under or contemplated by this Agreement or the
  Registration Rights Agreement in accordance with the terms hereof or thereof.
  All consents, authorizations, orders, filings and registrations which the Company
  is required to obtain pursuant to the preceding sentence have been obtained
  or effected on or prior to the date hereof. The Company and its subsidiaries
  are unaware of any fact or circumstance which might give rise to any of the
  foregoing. 

      Section 4.5. SEC Documents;
  Financial Statements. Since December 30, 1999, the Company has filed all
  reports, schedules, forms, statements and other documents required to be filed
  by it with the SEC under of the Exchange Act. The Company has delivered to the
  Investor or its representatives, or made available through the SEC’s website
  at http://www.sec.gov, true and complete copies of the SEC Documents. As of
  their respective dates, the financial statements of the Company disclosed in
  the SEC Documents (the “Financial Statements”) complied as
  to form in all material respects with applicable accounting requirements and
  the published rules and regulations of the SEC with respect thereto. Such financial
  statements have been prepared in accordance with generally accepted accounting
  principles, consistently applied, during the periods involved (except (i) as
  may be otherwise indicated in such financial statements or the notes thereto,
  or (ii) in the case of unaudited interim statements, to the extent they may
  exclude footnotes or may be condensed or summary statements) and, fairly present
  in all material respects the financial position of the Company as of the dates
  thereof and the results of its operations and cash flows for the periods then
  ended (subject, in the case of unaudited statements, to normal year-end audit
  adjustments). No other information provided by or on behalf of the Company to
  the Investor which is not included in the SEC Documents contains any untrue
  statement of a material fact or omits to state any material fact necessary in
  order to make the statements therein, in the light of the circumstances under
  which they were made, not misleading. 

      Section 4.6. 10b-5. The
  SEC Documents do not include any untrue statements of material fact, nor do
  they omit to state any material fact required to be stated therein necessary
  to make the statements made, in light of the circumstances under which they
  were made, not misleading. 

      Section 4.7. No Default.
  Except as disclosed in the SEC Documents, the Company is not in default in the
  performance or observance of any material obligation, agreement, covenant or
  condition contained in any indenture, mortgage, deed of trust or other material
  instrument or agreement to which it is a party or by which it is or its property
  is bound and neither the execution, nor the delivery by the Company, nor the
  performance by the Company of its obligations under this Agreement or any of
  the exhibits or attachments hereto will conflict with or result in the breach
  or violation of any of the terms or provisions of, or constitute a default or
  result in the creation or imposition of any lien or charge on any assets or
  properties of the Company under its Certificate of Incorporation, By-Laws, any
  material indenture, mortgage, deed of trust or other material agreement applicable
  to the Company or instrument to which the Company is a party or by which it
  is bound, or any statute, or any decree, judgment, order, rules or regulation
  of any court or governmental agency or body having jurisdiction over the Company
  or its properties, in each case which default, lien or charge is likely to cause
  a Material Adverse Effect on the Company’s business or financial condition.
  The Company further represents that, 

11

 at the Closing and upon issuance and delivery of an Advance
  Notice, it is able to pay all of its debts and obligations as they become due
  in the ordinary course of business. 

      Section 4.8. Absence of Events
  of Default. Except for matters described in the SEC Documents and/or this
  Agreement, no Event of Default, as defined in the respective agreement to which
  the Company is a party, and no event which, with the giving of notice or the
  passage of time or both, would become an Event of Default (as so defined), has
  occurred and is continuing, which would have a Material Adverse Effect on the
  Company’s business, properties, prospects, financial condition or results
  of operations. 

      Section 4.9. Intellectual
  Property Rights. The Company and its subsidiaries own or possess adequate
  rights or licenses to use all material trademarks, trade names, service marks,
  service mark registrations, service names, patents, patent rights, copyrights,
  inventions, licenses, approvals, governmental authorizations, trade secrets
  and rights necessary to conduct their respective businesses as now conducted.
  The Company and its subsidiaries do not have any knowledge of any infringement
  by the Company or its subsidiaries of trademark, trade name rights, patents,
  patent rights, copyrights, inventions, licenses, service names, service marks,
  service mark registrations, trade secret or other similar rights of others,
  and, to the knowledge of the Company, there is no claim, action or proceeding
  being made or brought against, or to the Company’s knowledge, being threatened
  against, the Company or its subsidiaries regarding trademark, trade name, patents,
  patent rights, invention, copyright, license, service names, service marks,
  service mark registrations, trade secret or other infringement; and the Company
  and its subsidiaries are unaware of any facts or circumstances which might give
  rise to any of the foregoing. 

      Section 4.10. Employee Relations.
  Neither the Company nor any of its subsidiaries is involved in any labor dispute
  nor, to the knowledge of the Company or any of its subsidiaries, is any such
  dispute threatened. None of the Company’s or its subsidiaries’ employees
  is a member of a union and the Company and its subsidiaries believe that their
  relations with their employees are good. 

      Section 4.11. Environmental
  Laws. The Company and its subsidiaries are (i) in compliance with any and
  all applicable material foreign, federal, state and local laws and regulations
  relating to the protection of human health and safety, the environment or hazardous
  or toxic substances or wastes, pollutants or contaminants (“Environmental
  Laws”), (ii) have received all permits, licenses or other approvals
  required of them under applicable Environmental Laws to conduct their respective
  businesses and (iii) are in compliance with all terms and conditions of any
  such permit, license or approval. 

      Section 4.12. Title.
  Except as set forth in the SEC Documents, the Company has good and marketable
  title to its properties and material assets owned by it, free and clear of any
  pledge, lien, security interest, encumbrance, claim or equitable interest other
  than such as are not material to the business of the Company. Any real property
  and facilities held under lease by the Company and its subsidiaries are held
  by them under valid, subsisting and enforceable leases with such exceptions
  as are not material and do not interfere with the use made and proposed to be
  made of such property and buildings by the Company and its subsidiaries. 

12

      Section 4.13. Insurance.
  The Company and each of its subsidiaries are insured by insurers of recognized
  financial responsibility against such losses and risks and in such amounts as
  management of the Company believes to be prudent and customary in the businesses
  in which the Company and its subsidiaries are engaged. Neither the Company nor
  any such subsidiary has been refused any insurance coverage sought or applied
  for and neither the Company nor any such subsidiary has any reason to believe
  that it will not be able to renew its existing insurance coverage as and when
  such coverage expires or to obtain similar coverage from similar insurers as
  may be necessary to continue its business at a cost that would not materially
  and adversely affect the condition, financial or otherwise, or the earnings,
  business or operations of the Company and its subsidiaries, taken as a whole.

      Section 4.14. Regulatory
  Permits. The Company and its subsidiaries possess all material certificates,
  authorizations and permits issued by the appropriate federal, state or foreign
  regulatory authorities necessary to conduct their respective businesses, and
  neither the Company nor any such subsidiary has received any notice of proceedings
  relating to the revocation or modification of any such certificate, authorization
  or permit. 

      Section 4.15. Internal Accounting
  Controls. The Company and each of its subsidiaries maintain a system of
  internal accounting controls sufficient to provide reasonable assurance that
  (i) transactions are executed in accordance with management’s general or
  specific authorizations, (ii) transactions are recorded as necessary to permit
  preparation of financial statements in conformity with generally accepted accounting
  principles and to maintain asset accountability, (iii) access to assets is permitted
  only in accordance with management’s general or specific authorization
  and (iv) the recorded accountability for assets is compared with the existing
  assets at reasonable intervals and appropriate action is taken with respect
  to any differences. 

      Section 4.16. No Material
  Adverse Breaches, etc. Except as set forth in the SEC Documents, neither
  the Company nor any of its subsidiaries is subject to any charter, corporate
  or other legal restriction, or any judgment, decree, order, rule or regulation
  which in the judgment of the Company’s officers has or is expected in the
  future to have a Material Adverse Effect on the business, properties, operations,
  financial condition, results of operations or prospects of the Company or its
  subsidiaries. Except as set forth in the SEC Documents, neither the Company
  nor any of its subsidiaries is in breach of any contract or agreement which
  breach, in the judgment of the Company’s officers, has or is expected to
  have a Material Adverse Effect on the business, properties, operations, financial
  condition, results of operations or prospects of the Company or its subsidiaries.

      Section 4.17. Absence of
  Litigation. Except as set forth in the SEC Documents, there is no action,
  suit, proceeding, inquiry or investigation before or by any court, public board,
  government agency, self-regulatory organization or body pending against or affecting
  the Company, the Common Stock or any of the Company’s subsidiaries, wherein
  an unfavorable decision, ruling or finding would (i) have a Material Adverse
  Effect on the transactions contemplated hereby (ii) adversely affect the validity
  or enforceability of, or the authority or ability of the Company to perform
  its obligations under, this Agreement or any of the documents contemplated herein,
  or (iii) except as expressly disclosed in the SEC Documents, have a Material
  Adverse Effect on the business, operations, properties, financial condition
  or results of operation of the Company and its subsidiaries taken as a whole.

13

      Section 4.18. Subsidiaries.
  Except as disclosed in the SEC Documents and i3Data Centres, Ltd., as disclosed
  to the Investor, the Company does not presently own or control, directly or
  indirectly, any interest in any other corporation, partnership, association
  or other business entity. 

      Section 4.19. Tax Status.
  The Company and each of its subsidiaries has made or filed all federal and state
  income and all other tax returns, reports and declarations required by any jurisdiction
  to which it is subject and (unless and only to the extent that the Company and
  each of its subsidiaries has set aside on its books provisions reasonably adequate
  for the payment of all unpaid and unreported taxes) has paid all taxes and other
  governmental assessments and charges that are material in amount, shown or determined
  to be due on such returns, reports and declarations, except those being contested
  in good faith and has set aside on its books provision reasonably adequate for
  the payment of all taxes for periods subsequent to the periods to which such
  returns, reports or declarations apply. There are no unpaid taxes in any material
  amount claimed to be due by the taxing authority of any jurisdiction, and the
  officers of the Company know of no basis for any such claim. 

      Section 4.20. Certain Transactions.
  Except as set forth in the SEC Documents none of the officers, directors, or
  employees of the Company is presently a party to any transaction with the Company
  (other than for services as employees, officers and directors), including any
  contract, agreement or other arrangement providing for the furnishing of services
  to or by, providing for rental of real or personal property to or from, or otherwise
  requiring payments to or from any officer, director or such employee or, to
  the knowledge of the Company, any corporation, partnership, trust or other entity
  in which any officer, director, or any such employee has a substantial interest
  or is an officer, director, trustee or partner. 

      Section 4.21. Fees and Rights
  of First Refusal. Except as set forth in the SEC Documents, the Company
  is not obligated to offer the securities offered hereunder on a right of first
  refusal basis or otherwise to any third parties including, but not limited to,
  current or former shareholders of the Company, underwriters, brokers, agents
  or other third parties. 

      Section 4.22. Use of Proceeds.
  The Company represents that the net proceeds from this offering will be used
  for general corporate purposes. However, in no event shall the net proceeds
  from this offering be used by the Company for the payment (or loaned to any
  such person for the payment) of any judgment, or other liability, incurred by
  any executive officer, officer, director or employee of the Company, except
  for any liability owed to such person for services rendered, or if any judgment
  or other liability is incurred by such person originating from services rendered
  to the Company, or the Company has indemnified such person from liability. 

      Section 4.23. Further Representation
  and Warranties of the Company. For so long as any securities issuable hereunder
  held by the Investor remain outstanding, the Company acknowledges, represents,
  warrants and agrees that it will maintain the listing of its Common Stock on
  the Principal Market. 

      Section 4.24. Opinion of
  Counsel. Investor shall receive an opinion letter from Morton & Company
  Barristers & Solicitors, counsel to the Company on the date hereof. 

14

      Section 4.25. Opinion of
  Counsel. The Company will obtain for the Investor, at the Company’s
  expense, any and all opinions of counsel which may be reasonably required in
  order to sell the securities issuable hereunder without restriction. 

      Section 4.26. Dilution.
  The Company is aware and acknowledges that issuance of shares of the Company’s
  Common Stock under this Agreement could cause dilution to existing shareholders
  and could significantly increase the outstanding number of shares of Common
  Stock. 

 ARTICLE V.

  Indemnification

      The Investor and the Company represent to the
  other the following with respect to itself: 

      Section 5.1. Indemnification. 

           (a)
  In consideration of the Investor’s execution and delivery of this Agreement,
  and in addition to all of the Company’s other obligations under this Agreement,
  the Company shall defend, protect, indemnify and hold harmless the Investor,
  and all of its officers, directors, partners, employees and agents (including,
  without limitation, those retained in connection with the transactions contemplated
  by this Agreement) (collectively, the “Investor Indemnitees”)
  from and against any and all actions, causes of action, suits, claims, losses,
  costs, penalties, fees, liabilities and damages, and expenses in connection
  therewith (irrespective of whether any such Investor Indemnitee is a party to
  the action for which indemnification hereunder is sought), and including reasonable
  attorneys’ fees and disbursements (the “Indemnified Liabilities”),
  incurred by the Investor Indemnitees or any of them as a result of, or arising
  out of, or relating to (a) any misrepresentation or breach of any representation
  or warranty made by the Company in this Agreement or the Registration Rights
  Agreement or any other certificate, instrument or document contemplated hereby
  or thereby, (b) any breach of any covenant, agreement or obligation of the Company
  contained in this Agreement or the Registration Rights Agreement or any other
  certificate, instrument or document contemplated hereby or thereby, or (c) any
  cause of action, suit or claim brought or made against such Investor Indemnitee
  not arising out of any action or inaction of an Investor Indemnitee, and arising
  out of or resulting from the execution, delivery, performance or enforcement
  of this Agreement or any other instrument, document or agreement executed pursuant
  hereto by any of the Investor Indemnitees. To the extent that the foregoing
  undertaking by the Company may be unenforceable for any reason, the Company
  shall make the maximum contribution to the payment and satisfaction of each
  of the Indemnified Liabilities, which is permissible under applicable law. 

           (b)
  In consideration of the Company’s execution and delivery of this Agreement,
  and in addition to all of the Investor’s other obligations under this Agreement,
  the Investor shall defend, protect, indemnify and hold harmless the Company
  and all of its officers, directors, shareholders, employees and agents (including,
  without limitation, those retained in connection with the transactions contemplated
  by this Agreement) (collectively, the “Company Indemnitees”)
  from and against any and all Indemnified Liabilities incurred by the Company

15

 Indemnitees or any of them as a result of, or arising out
  of, or relating to (a) any misrepresentation or breach of any representation
  or warranty made by the Investor in this Agreement, the Registration Rights
  Agreement, or any instrument or document contemplated hereby or thereby executed
  by the Investor, (b) any breach of any covenant, agreement or obligation of
  the Investor(s) contained in this Agreement, the Registration Rights Agreement
  or any other certificate, instrument or document contemplated hereby or thereby
  executed by the Investor, or (c) any cause of action, suit or claim brought
  or made against such Company Indemnitee based on misrepresentations or due to
  a breach by the Investor and arising out of or resulting from the execution,
  delivery, performance or enforcement of this Agreement or any other instrument,
  document or agreement executed pursuant hereto by any of the Company Indemnitees.
  To the extent that the foregoing undertaking by the Investor may be unenforceable
  for any reason, the Investor shall make the maximum contribution to the payment
  and satisfaction of each of the Indemnified Liabilities, which is permissible
  under applicable law. 

 ARTICLE VI.

  Covenants of the Company  

      Section 6.1. Registration
  Rights. The Company shall cause the Registration Rights Agreement to remain
  in full force and effect and the Company shall comply in all material respects
  with the terms thereof. 

      Section 6.2. Listing of Common
  Stock. The Company shall maintain the Common Stock’s authorization
  for quotation on the National Association of Securities Dealers Inc.’s
  Over the Counter Bulletin Board. 

      Section 6.3. Exchange Act
  Registration. The Company will cause its Common Stock to continue to be
  registered under Section 12(g) of the Exchange Act, will file in a timely manner
  all reports and other documents required of it as a reporting company under
  the Exchange Act and will not take any action or file any document (whether
  or not permitted by Exchange Act or the rules thereunder to terminate or suspend
  such registration or to terminate or suspend its reporting and filing obligations
  under said Exchange Act. 

      Section 6.4. Transfer Agent
  Instructions. Not later than two (2) business days after each Advance Notice
  Date and prior to each Closing and the effectiveness of the Registration Statement
  and resale of the Common Stock by the Investor, the Company will deliver instructions
  to its transfer agent to issue shares of Common Stock free of restrictive legends.

      Section 6.5. Corporate Existence.
  The Company will take all steps necessary to preserve and continue the corporate
  existence of the Company. 

      Section 6.6. Notice of Certain
  Events Affecting Registration; Suspension of Right to Make an Advance. The
  Company will immediately notify the Investor upon its becoming aware of the
  occurrence of any of the following events in respect of a registration statement
  or related prospectus relating to an offering of Registrable Securities: (i)
  receipt of any request for additional information by the SEC or any other Federal
  or state governmental authority during the period of effectiveness of the Registration
  Statement for amendments or supplements to the registration statement or related
  prospectus; (ii) the issuance by the SEC or any other Federal or 

16

 state governmental authority of any stop order suspending
  the effectiveness of the Registration Statement or the initiation of any proceedings
  for that purpose; (iii) receipt of any notification with respect to the suspension
  of the qualification or exemption from qualification of any of the Registrable
  Securities for sale in any jurisdiction or the initiation or threatening of
  any proceeding for such purpose; (iv) the happening of any event that makes
  any statement made in the Registration Statement or related prospectus of any
  document incorporated or deemed to be incorporated therein by reference untrue
  in any material respect or that requires the making of any changes in the Registration
  Statement, related prospectus or documents so that, in the case of the Registration
  Statement, it will not contain any untrue statement of a material fact or omit
  to state any material fact required to be stated therein or necessary to make
  the statements therein not misleading, and that in the case of the related prospectus,
  it will not contain any untrue statement of a material fact or omit to state
  any material fact required to be stated therein or necessary to make the statements
  therein, in the light of the circumstances under which they were made, not misleading;
  and (v) the Company’s reasonable determination that a post-effective amendment
  to the Registration Statement would be appropriate; and the Company will promptly
  make available to the Investor any such supplement or amendment to the related
  prospectus. The Company shall not deliver to the Investor any Advance Notice
  during the continuation of any of the foregoing events. 

      Section 6.7. Expectations
  Regarding Advance Notices. Within ten (10) days after the commencement of
  each calendar quarter occurring subsequent to the commencement of the Commitment
  Period, the Company must notify the Investor, in writing, as to its reasonable
  expectations as to the dollar amount it intends to raise during such calendar
  quarter, if any, through the issuance of Advance Notices. Such notification
  shall constitute only the Company’s good faith estimate and shall in no
  way obligate the Company to raise such amount, or any amount, or otherwise limit
  its ability to deliver Advance Notices. The failure by the Company to comply
  with this provision can be cured by the Company’s notifying the Investor,
  in writing, at any time as to its reasonable expectations with respect to the
  current calendar quarter. 

      Section 6.8. Restriction
  on Sale of Capital Stock. During the Commitment Period, the Company shall
  not, without ten (10) business days prior written notice to the Investor, issue
  or sell (i) any Common Stock or Preferred Stock without consideration or for
  a consideration per share less than the bid price of the Common Stock determined
  immediately prior to its issuance, (ii) issue or sell any Preferred Stock warrant,
  option, right, contract, call, or other security or instrument granting the
  holder thereof the right to acquire Common Stock without consideration or for
  a consideration per share less than such Common Stock’s Bid Price determined
  immediately prior to its issuance, or (iii) file any registration statement
  on Form S-8. 

      Section 6.9. Consolidation;
  Merger. The Company shall not, at any time after the date hereof, without
  ten (10) business days prior written notice to the Investor, effect any merger
  or consolidation of the Company with or into, or a transfer of all or substantially
  all the assets of the Company to another entity (a “Consolidation Event”)
  unless the resulting successor or acquiring entity (if not the Company) assumes
  by written instrument the obligation to deliver to the Investor such shares
  of stock and/or securities as the Investor is entitled to receive pursuant to
  this Agreement. 

17

      Section 6.10. Issuance of
  the Company’s Common Stock. The sale of the shares of Common Stock
  shall be made in accordance with the provisions and requirements of Regulation
  D and any applicable state securities law. 

 ARTICLE VII.

  Conditions for Advance and Conditions to Closing

      Section 7.1. Conditions Precedent
  to the Obligations of the Company. The obligation hereunder of the Company
  to issue and sell the shares of Common Stock to the Investor incident to each
  Closing is subject to the satisfaction, or waiver by the Company, at or before
  each such Closing, of each of the conditions set forth below. 

           (a)
  Accuracy of the Investor’s Representations and Warranties. The representations
  and warranties of the Investor shall be true and correct in all material respects.

           (b)
  Performance by the Investor. The Investor shall have performed, satisfied
  and complied in all respects with all covenants, agreements and conditions required
  by this Agreement and the Registration Rights Agreement to be performed, satisfied
  or complied with by the Investor at or prior to such Closing. 

      Section 7.2. Conditions Precedent
  to the Right of the Company to Deliver an Advance Notice and the Obligation
  of the Investor to Purchase Shares of Common Stock. The right of the Company
  to deliver an Advance Notice and the obligation of the Investor hereunder to
  acquire and pay for shares of the Company’s Common Stock incident to a
  Closing is subject to the fulfillment by the Company, on (i) the date of delivery
  of such Advance Notice and (ii) the applicable Advance Date (each a “Condition
  Satisfaction Date”), of each of the following conditions: 

           (a)
  Registration of the Common Stock with the SEC. The Company shall have
  filed with the SEC a Registration Statement with respect to the resale of the
  Registrable Securities in accordance with the terms of the Registration Rights
  Agreement. As set forth in the Registration Rights Agreement, the Registration
  Statement shall have previously become effective and shall remain effective
  on each Condition Satisfaction Date and (i) neither the Company nor the Investor
  shall have received notice that the SEC has issued or intends to issue a stop
  order with respect to the Registration Statement or that the SEC otherwise has
  suspended or withdrawn the effectiveness of the Registration Statement, either
  temporarily or permanently, or intends or has threatened to do so (unless the
  SEC’s concerns have been addressed and the Investor is reasonably satisfied
  that the SEC no longer is considering or intends to take such action), and (ii)
  no other suspension of the use or withdrawal of the effectiveness of the Registration
  Statement or related prospectus shall exist. The Registration Statement must
  have been declared effective by the SEC prior to the first Advance Notice Date.

           (b)
  Authority. The Company shall have obtained all permits and qualifications
  required by any applicable state in accordance with the Registration Rights
  Agreement for the offer and sale of the shares of Common Stock, or shall have
  the availability of exemptions therefrom. The sale and issuance of the shares
  of Common Stock shall be legally permitted by all laws and regulations to which
  the Company is subject. 

18

           (c)
  Fundamental Changes. There shall not exist any fundamental changes to
  the information set forth in the Registration Statement which would require
  the Company to file a post-effective amendment to the Registration Statement.

           (d)
  Performance by the Company. The Company shall have performed, satisfied
  and complied in all material respects with all covenants, agreements and conditions
  required by this Agreement (including, without limitation, the conditions specified
  in Section 2.5 hereof) and the Registration Rights Agreement to be performed,
  satisfied or complied with by the Company at or prior to each Condition Satisfaction
  Date. 

           (e)
  No Injunction. No statute, rule, regulation, executive order, decree,
  ruling or injunction shall have been enacted, entered, promulgated or endorsed
  by any court or governmental authority of competent jurisdiction that prohibits
  or directly and adversely affects any of the transactions contemplated by this
  Agreement, and no proceeding shall have been commenced that may have the effect
  of prohibiting or adversely affecting any of the transactions contemplated by
  this Agreement. 

           (f)
  No Suspension of Trading in or Delisting of Common Stock. The trading
  of the Common Stock is not suspended by the SEC or the Principal Market (if
  the Common Stock is traded on a Principal Market). The issuance of shares of
  Common Stock with respect to the applicable Closing, if any, shall not violate
  the shareholder approval requirements of the Principal Market (if the Common
  Stock is traded on a Principal Market). The Company shall not have received
  any notice threatening the continued listing of the Common Stock on the Principal
  Market (if the Common Stock is traded on a Principal Market). 

           (g)
  Maximum Advance Amount. The amount of the individual Advance requested
  by the Company does not exceed the Maximum Advance Amount. In addition, in no
  event shall the number of shares issuable to the Investor pursuant to an Advance
  cause the Investor to own in excess of nine and 9/10 percent (9.9%) of the then
  outstanding Common Stock of the Company. 

           (h)
  No Knowledge. The Company has no knowledge of any event which would be
  likely to cause such Registration Statement to be suspended or otherwise ineffective.

           (i)
  Other. On each Condition Satisfaction Date, the Investor shall have received
  the certificate executed by an officer of the Company in the form of Exhibit
  A attached hereto. 

 ARTICLE VIII.

  Due Diligence Review; Non-Disclosure of Non-Public Information  

      Section 8.1. Due Diligence
  Review. Prior to the filing of the Registration Statement the Company shall
  make available for inspection and review by the Investor, advisors to and representatives
  of the Investor, any underwriter participating in any disposition of the Registrable
  Securities on behalf of the Investor pursuant to the Registration Statement,
  any such registration statement or amendment or supplement thereto or any blue
  sky, NASD or other filing, all financial and other records, all SEC Documents
  and other filings with the SEC, and all other 

19

 corporate documents and properties of the Company as may be
  reasonably necessary for the purpose of such review, and cause the Company’s
  officers, directors and employees to supply all such information reasonably
  requested by the Investor or any such representative, advisor or underwriter
  in connection with such Registration Statement (including, without limitation,
  in response to all questions and other inquiries reasonably made or submitted
  by any of them), prior to and from time to time after the filing and effectiveness
  of the Registration Statement for the sole purpose of enabling the Investor
  and such representatives, advisors and underwriters and their respective accountants
  and attorneys to conduct initial and ongoing due diligence with respect to the
  Company and the accuracy of the Registration Statement. 

      Section 8.2. Non-Disclosure
  of Non-Public Information. 

           (a)
  The Company shall not disclose non-public information to the Investor, advisors
  to or representatives of the Investor unless prior to disclosure of such information
  the Company identifies such information as being non-public information and
  provides the Investor, such advisors and representatives with the opportunity
  to accept or refuse to accept such non-public information for review. The Company
  may, as a condition to disclosing any non-public information hereunder, require
  the Investor’s advisors and representatives to enter into a confidentiality
  agreement in form reasonably satisfactory to the Company and the Investor. 

           (b)
  Nothing herein shall require the Company to disclose non-public information
  to the Investor or its advisors or representatives, and the Company represents
  that it does not disseminate non-public information to any investors who purchase
  stock in the Company in a public offering, to money managers or to securities
  analysts, provided, however, that notwithstanding anything herein to the contrary,
  the Company will, as hereinabove provided, immediately notify the advisors and
  representatives of the Investor and, if any, underwriters, of any event or the
  existence of any circumstance (without any obligation to disclose the specific
  event or circumstance) of which it becomes aware, constituting non-public information
  (whether or not requested of the Company specifically or generally during the
  course of due diligence by such persons or entities), which, if not disclosed
  in the prospectus included in the Registration Statement would cause such prospectus
  to include a material misstatement or to omit a material fact required to be
  stated therein in order to make the statements, therein, in light of the circumstances
  in which they were made, not misleading. Nothing contained in this Section 8.2
  shall be construed to mean that such persons or entities other than the Investor
  (without the written consent of the Investor prior to disclosure of such information)
  may not obtain non-public information in the course of conducting due diligence
  in accordance with the terms of this Agreement and nothing herein shall prevent
  any such persons or entities from notifying the Company of their opinion that
  based on such due diligence by such persons or entities, that the Registration
  Statement contains an untrue statement of material fact or omits a material
  fact required to be stated in the Registration Statement or necessary to make
  the statements contained therein, in light of the circumstances in which they
  were made, not misleading. 

20

 ARTICLE IX.

  Choice of Law/Jurisdiction

      Section 9.1. Governing Law.
  This Agreement shall be governed by and interpreted in accordance with the laws
  of the State of Nevada without regard to the principles of conflict of laws.
  The parties further agree that any action between them shall be heard in Hudson
  County, New Jersey, and expressly consent to the jurisdiction and venue of the
  Superior Court of New Jersey, sitting in Hudson County, New Jersey and the United
  States District Court of New Jersey, sitting in Newark, New Jersey, for the
  adjudication of any civil action asserted pursuant to this paragraph. 

 ARTICLE X.

  Assignment; Termination

      Section 10.1. Assignment.
  Neither this Agreement nor any rights of the Company hereunder may be assigned
  to any other Person. 

      Section 10.2. Termination.
  The obligations of the Investor to make Advances under Article II hereof shall
  terminate twenty-four (24) months after the Effective Date. 

 ARTICLE XI.

  Notices

      Section 11.1. Notices.
  Any notices, consents, waivers, or other communications required or permitted
  to be given under the terms of this Agreement must be in writing and will be
  deemed to have been delivered (i) upon receipt, when delivered personally; (ii)
  upon receipt, when sent by facsimile, provided a copy is mailed by U.S. certified
  mail, return receipt requested; (iii) three (3) days after being sent by U.S.
  certified mail, return receipt requested, or (iv) one (1) day after deposit
  with a nationally recognized overnight delivery service, in each case properly
  addressed to the party to receive the same. The addresses and facsimile numbers
  for such communications shall be: 

	If to the Company, to:	Zoolink Corp.
	 	510-601 West Hastings Street
	 	Vancouver, BC Canada V6B 5A6
	 	Attention: Ali Shawkat
	 	Telephone: (604) 638-5467
	 	Facsimile: (604) 638-5468
	 	 
	With a copy to:	Morton & Company
	 	Barristers & Solicitors
	 	1200-750 West Pender Street
	 	Vancouver, BC, Canada V6C 2T8
	 	Attention: Edward J. Mayerhofer
	 	Telephone: (604) 681-1194
	 	Facsimile: (604) 681-9652

21

 

	If to the Investor(s):	Cornell Capital Partners, LP
	 	101 Hudson Street –Suite 3606
	 	Jersey City, NJ 07302
	 	Attention:	Mark Angelo
	 	 	Portfolio Manager
	 	Telephone:	(201) 985-8300
	 	Facsimile:	(201) 985-8266
	 	 	 
	With a Copy to:	Butler Gonzalez LLP
	 	1000 Stuyvesant Avenue – Suite 6
	 	Union, NJ 07083
	 	Attention:	David Gonzalez, Esq.
	 	Telephone:	(908) 810-8588
	 	Facsimile:	(908) 810-0973

 Each party shall provide five (5) days’ prior written
  notice to the other party of any change in address or facsimile number. 

 ARTICLE XII.

  Miscellaneous  

      Section 12.1. Counterparts.
  This Agreement may be executed in two or more identical counterparts, all of
  which shall be considered one and the same agreement and shall become effective
  when counterparts have been signed by each party and delivered to the other
  party. In the event any signature page is delivered by facsimile transmission,
  the party using such means of delivery shall cause four (4) additional original
  executed signature pages to be physically delivered to the other party within
  five (5) days of the execution and delivery hereof, though failure to deliver
  such copies shall not affect the validity of this Agreement. 

      Section 12.2. Entire Agreement;
  Amendments. This Agreement supersedes all other prior oral or written agreements
  between the Investor, the Company, their affiliates and persons acting on their
  behalf with respect to the matters discussed herein, and this Agreement and
  the instruments referenced herein contain the entire understanding of the parties
  with respect to the matters covered herein and therein and, except as specifically
  set forth herein or therein, neither the Company nor the Investor makes any
  representation, warranty, covenant or undertaking with respect to such matters.
  No provision of this Agreement may be waived or amended other than by an instrument
  in writing signed by the party to be charged with enforcement. 

      Section 12.3. Reporting Entity
  for the Common Stock. The reporting entity relied upon for the determination
  of the trading price or trading volume of the Common Stock on any given Trading
  Day for the purposes of this Agreement shall be Bloomberg, L.P. or any successor
  thereto. The written mutual consent of the Investor and the Company shall be
  required to employ any other reporting entity. 

22

      Section 12.4. Fees and Expenses.
  The Company hereby agrees to pay the following fees: 

           (a)
  Legal Fees. 

                (i)
  Each of the parties shall pay its own fees and expenses (including the fees
  of any attorneys, accountants, appraisers or others engaged by such party) in
  connection with this Agreement and the transactions contemplated hereby, except
  that the Company will pay to Butler Gonzalez LLP the sum of Ten Thousand Dollars
  ($10,000) for legal, administrative, and escrow fees, of which Two Thousand
  Five Hundred Dollars ($2,500) shall be paid upon the execution of this Agreement
  and Five Thousand Dollars ($5,000) shall be paid on the first to occur (i) directly
  from the gross proceeds of the first (1st) Advance hereunder or (ii)
  one hundred eighty days (180) from the date hereof and Two Thousand Five Hundred
  Dollars ($2,500) in shares of the Company’s Common Stock as described in
  Section 12.4 (a) (ii) herein. Subsequently on each advance date, the Company
  will pay Butler Gonzalez LLP, the sum of Five Hundred Dollars ($500) for legal,
  administrative and escrow fees directly out the proceeds of any Advances hereunder.

                (ii)
  Furthermore, upon the execution of this Agreement the Company shall issue to
  Butler Gonzalez LLP shares of the Company’s Common Stock in an amount equal
  to Two Thousand Five Hundred Dollars ($2,500) divided by the Closing Bid Price
  on the Closing Date (the “Investor’s Counsel’s Shares”).

                (iii)
  Fully Earned. The Investor’s Counsel’s Shares shall be deemed
  fully earned as of the date hereof. 

                (iv)
  Registration Rights. The Investor’s Counsel’s Shares shall
  be included in the shares of common stock registered under the Registration
  Rights Agreement. 

           (b)
  Commitment Fees. 

                (i)
  On each Advance Date the Company shall pay to the Investor, directly from the
  gross proceeds held in escrow, an amount equal to five percent (5%) of the amount
  of each Advance. The Company hereby agrees that if such payment, as is described
  above, is not made by the Company on the Advance Date, such payment will be
  made at the direction of the Investor as outlined and mandated by Section 2.3
  of this Agreement. 

                (ii)
  Furthermore the Company shall pay to the Investor a commitment fee of One Hundred
  Fifteen Thousand Dollars ($115,000) (the “Commitment Fee”)
  of which Forty Thousand Dollars ($40,000) shall be paid directly from the gross
  proceeds of the first (1st) Advance hereunder, Twenty Five Thousand
  Dollars ($25,000) shall be paid no later than thirty (30) days from the date
  the registration statement filed pursuant to the Registration Rights Agreement
  dated the date hereof is declared effective by the SEC, Twenty Five Thousand
  Dollars ($25,000) shall be paid no later than sixty (60) days from the date
  the registration statement filed pursuant to the Registration Rights Agreement
  dated the date hereof is declared effective by the SEC, and Twenty Five Thousand
  Dollars ($25,000) shall be paid no later than 

23

 ninety (90) days from the date the registration statement
  filed pursuant to the Registration Rights Agreement dated the date hereof is
  declared effective by the SEC. 

                (iii)
  Fully Earned. Fifty Thousand Dollars ($50,000) of the Investor’s
  Commitment Fee shall be deemed fully earned as of the date hereof and Sixty
  Five Thousand Dollars ($65,000) of the Investor’s Commitment Fee shall
  be deemed fully earned as of the date the registration statement filed pursuant
  to the Registration Rights Agreement dated the date hereof is declared effective
  by the SEC. . 

      Section 12.5. Brokerage.
  Each of the parties hereto represents that it has had no dealings in connection
  with this transaction with any finder or broker who will demand payment of any
  fee or commission from the other party. The Company on the one hand, and the
  Investor, on the other hand, agree to indemnify the other against and hold the
  other harmless from any and all liabilities to any person claiming brokerage
  commissions or finder’s fees on account of services purported to have been
  rendered on behalf of the indemnifying party in connection with this Agreement
  or the transactions contemplated hereby. 

      Section 12.6. Confidentiality.
  If for any reason the transactions contemplated by this Agreement are not consummated,
  each of the parties hereto shall keep confidential any information obtained
  from any other party (except information publicly available or in such party’s
  domain prior to the date hereof, and except as required by court order) and
  shall promptly return to the other parties all schedules, documents, instruments,
  work papers or other written information without retaining copies thereof, previously
  furnished by it as a result of this Agreement or in connection herein. 

 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

 

  

24

 IN WITNESS WHEREOF, the parties hereto have caused
  this Line of Credit Agreement to be executed by the undersigned, thereunto duly
  authorized, as of the date first set forth above. 

	 	COMPANY:
	 	ZOOLINK CORP.
	 	 
	 	By:/s/ Ali Shawkat
	 	Name: Ali Shawkat
	 	Title: President & Chief Executive Officer
	 	 
	 	INVESTOR:
	 	CORNELL CAPITAL PARTNERS, LP
	 	 
	 	By: Yorkville Advisors, LLC
	 	Its: General Partner
	 	 
	 	By:/s/ Mark Angelo
	 	Name: Mark Angelo
	 	Title: Portfolio Manager

  

25 

 EXHIBIT A 

 ADVANCE NOTICE/COMPLIANCE CERTIFICATE 

ZOOLINK CORP. 

      The undersigned, ________________________________hereby
  certifies, with respect to the sale of shares of Common Stock of ZOOLINK CORP.,
  (the “Company”), issuable in connection with this Advance Notice
  and Compliance Certificate dated ___________________ (the “Notice”),
  delivered pursuant to the Equity Line of Credit Agreement (the “Agreement”),
  as follows: 

	 	1.

        	The undersigned is the duly elected
        Acting ________________ of the Company.

         

	 	2.

        	There are no fundamental changes to
        the information set forth in the Registration Statement which would require
        the Company to file a post effective amendment to the Registration Statement.

         

	 	3.

        	The Company has performed in all material
        respects all covenants and agreements to be performed by the Company on
        or prior to the Advance Date related to the Notice and has complied in
        all material respects with all obligations and conditions contained in
        the Agreement.

         

	 	4.	The Advance requested is _____________________.

 The undersigned has executed this Certificate this ____ day of _________________
  . 

	 	ZOOLINK CORP.
	 	 
	 	By: ____________________________
	 	Name:
	 	Title:

 SCHEDULE 2.6(b) 

 ZOOLINK CORP. 

      The undersigned hereby agrees
  that for a period commencing on the date hereof and expiring on the termination
  of the Agreement dated ________________ between ZOOLINK CORP., (the “Company”),
  and Cornell Capital Partners, LP, (the “Investor”) (the “Lock-up
  Period”), he, she or it will not, directly or indirectly, without the prior
  written consent of the Investor, issue, offer, agree or offer to sell, sell,
  grant an option for the purchase or sale of, transfer, pledge, assign, hypothecate,
  distribute or otherwise encumber or dispose of except pursuant to Rule 144 of
  the General Rules and Regulations under the Securities Act of 1933, any securities
  of the Company, including common stock or options, rights, warrants or other
  securities underlying, convertible into, exchangeable or exercisable for or
  evidencing any right to purchase or subscribe for any common stock (whether
  or not beneficially owned by the undersigned), or any beneficial interest therein
  (collectively, the “Securities”). 

      In order to enable the aforesaid
  covenants to be enforced, the undersigned hereby consents to the placing of
  legends and/or stop-transfer orders with the transfer agent of the Company’s
  securities with respect to any of the Securities registered in the name of the
  undersigned or beneficially owned by the undersigned, and the undersigned hereby
  confirms the undersigned’s investment in the Company. 

 Dated: _______________ , 2003 

	 	 Signature 
	 	 
	 	_______________________________
	 	Address:________________________
	 	 
	 	City, State, Zip Code:_______________
	 	 
	 	_______________________________
	 	Print Social Security Number
	 	or Taxpayer I.D. NumberFiled by Automated Filing Services Inc. (604) 609-0244 - Zoolink Corp. - Exhibit 10.2

PLACEMENT AGENT AGREEMENT

 Dated as of: July 28, 2003

 Katalyst Securities, LLC

  405 Lexington Avenue, 48th Floor 

  New York, New York 10174 

Ladies and Gentlemen:

      The undersigned, Zoolink Corp.,
  a Nevada corporation (the “Company”), hereby agrees with Katalyst
  Securities, LLC, a New York Limited Liability Company (the “Placement
  Agent”), and Cornell Capital Partners, LP, a Delaware Limited Partnership
  (the “Investor”), as follows: 

      1. Offering. The Company
  hereby engages the Placement Agent to act as its exclusive placement agent in
  connection with the Equity Line of Credit Agreement dated the date hereof, (the
  “Equity Line of Credit Agreement”) pursuant to which the Company
  shall issue and sell to the Investor, from time to time, and the Investor shall
  purchase from the Company (the “Offering”) up to Five Million
  Dollars ($5,000,000) of the Company’s common stock (the “Commitment
  Amount”), par value $0.001 per share (the “Common Stock”),
  at price per share equal to the Purchase Price, as that term is defined in the
  Equity Line of Credit Agreement. Pursuant to the terms hereof, the Placement
  Agent shall render consulting services to the Company with respect to the Equity
  Line of Credit Agreement and shall be available for consultation in connection
  with the advances to be requested by the Company pursuant to the Equity Line
  of Credit Agreement 

      All capitalized terms used herein
  and not otherwise defined herein shall have the same meaning ascribed to them
  as in the Equity Line of Credit Agreement. The Investor will be granted certain
  registration rights with respect to the Common Stock as more fully set forth
  in the Registration Rights Agreement between the Company and the Investor dated
  the date hereof (the “Registration Rights Agreement”). The
  documents to be executed and delivered in connection with the Offering, including,
  but not limited, to this Agreement, the Equity Line of Credit Agreement, the
  Registration Rights Agreement, and the Escrow Agreement dated the date hereof
  (the “Escrow Agreement”), are referred to sometimes hereinafter
  collectively as the “Offering Materials.” The Company’s
  Common Stock is sometimes referred to hereinafter as the “Securities.”
  The Placement Agent shall not be obligated to sell any Securities.” 

      2.  Compensation.

           A.
  Upon the execution of this Agreement the Company shall issue to the Placement
  Agent or its designee shares of the Company’s Common Stock in an amount
  equal to Ten Thousand Dollars ($10,000) divided by the Closing Bid Price of
  the Company’s Common Stock on the date hereof (collectively, the “Placement
  Agent’s Shares ”). The Placement Agent shall be entitled to “piggy-back”
  registration rights triggered upon registration of any shares of 

 Common Stock by the Investor with respect to the Placement
  Agent’s Shares pursuant to the Registration Rights Agreement dated the
  date hereof. 

      3.  Representations,
  Warranties and Covenants of the Placement Agent. 

      A. The Placement Agent represents,
  warrants and covenants as follows: 

                (i)
  The Placement Agent has the necessary power to enter into this Agreement and
  to consummate the transactions contemplated hereby. 

                (ii)
  The execution and delivery by the Placement Agent of this Agreement and the
  consummation of the transactions contemplated herein will not result in any
  violation of, or be in conflict with, or constitute a default under, any agreement
  or instrument to which the Placement Agent is a party or by which the Placement
  Agent or its properties are bound, or any judgment, decree, order or, to the
  Placement Agent’s knowledge, any statute, rule or regulation applicable
  to the Placement Agent. This Agreement when executed and delivered by the Placement
  Agent, will constitute the legal, valid and binding obligations of the Placement
  Agent, enforceable in accordance with their respective terms, except to the
  extent that (a) the enforceability hereof or thereof may be limited by bankruptcy,
  insolvency, reorganization, moratorium or similar laws from time to time in
  effect and affecting the rights of creditors generally, (b) the enforceability
  hereof or thereof is subject to general principles of equity, or (c) the indemnification
  provisions hereof or thereof may be held to be in violation of public policy.

                (iii)
  Upon receipt and execution of this Agreement the Placement Agent will promptly
  forward copies of this Agreement to the Company or its counsel and the Investor
  or its counsel. 

                (iv)
  The Placement Agent will not intentionally take any action that it reasonably
  believes would cause the Offering to violate the provisions of the Securities
  Act of 1933, as amended (the “1933 Act”), the Securities Exchange
  Act of 1934 (the “1934 Act”), the respective rules and regulations
  promulgated there under (the “Rules and Regulations”) or applicable
  “Blue Sky” laws of any state or jurisdiction. 

                (v)
  The Placement Agent will use all reasonable efforts to determine (a) whether
  the Investor is an Accredited Investor and (b) that any information furnished
  by the Investor is true and accurate. The Placement Agent shall have no obligation
  to insure that (x) any check, note, draft or other means of payment for the
  Common Stock will be honored, paid or enforceable against the Investor in accordance
  with its terms, or (y) subject to the performance of the Placement Agent’s
  obligations and the accuracy of the Placement Agent’s representations and
  warranties hereunder, (1) the Offering is exempt from the registration requirements
  of the 1933 Act or any applicable state “Blue Sky” law or (2) the
  Investor is an Accredited Investor. 

                (vi)
  The Placement Agent is a member of the National Association of Securities Dealers,
  Inc., and is a broker-dealer registered as such under the 1934 Act and under
  the securities laws of the states in which the Securities will be offered or
  sold by the Placement Agent unless an exemption for such state registration
  is available to the Placement Agent. The 

2

 Placement Agent is in compliance with all material rules and
  regulations applicable to the Placement Agent generally and applicable to the
  Placement Agent’s participation in the Offering. 

      4.  Representations
  and Warranties of the Company. 

          A.
  The Company represents and warrants as follows: 

                (i)
  The execution, delivery and performance of each of this Agreement, the Equity
  Line of Credit Agreement, the Escrow Agreement, and the Registration Rights
  Agreement has been or will be duly and validly authorized by the Company and
  is, or with respect to this Agreement, the Equity Line of Credit Agreement,
  the Escrow Agreement, and the Registration Rights Agreement will be, a valid
  and binding agreement of the Company, enforceable in accordance with its respective
  terms, except to the extent that (a) the enforceability hereof or thereof may
  be limited by bankruptcy, insolvency, reorganization, moratorium or similar
  laws from time to time in effect and affecting the rights of creditors generally,
  (b) the enforceability hereof or thereof is subject to general principles of
  equity or (c) the indemnification provisions hereof or thereof may be held to
  be in violation of public policy. The Securities to be issued pursuant to the
  transactions contemplated by this Agreement and the Equity Line of Credit Agreement
  have been duly authorized and, when issued and paid for in accordance with (x)
  this Agreement, the Equity Line of Agreement and the certificates/instruments
  representing such Securities, (y) will be valid and binding obligations of the
  Company, enforceable in accordance with their respective terms, except to the
  extent that (1) the enforceability thereof may be limited by bankruptcy, insolvency,
  reorganization, moratorium or similar laws from time to time in effect and affecting
  the rights of creditors generally, and (2) the enforceability thereof is subject
  to general principles of equity. All corporate action required to be taken for
  the authorization, issuance and sale of the Securities has been duly and validly
  taken by the Company. 

                (ii)
  The Company has a duly authorized, issued and outstanding capitalization as
  set forth herein and in the Equity Line of Credit Agreement. The Company is
  not a party to or bound by any instrument, agreement or other arrangement providing
  for it to issue any capital stock, rights, warrants, options or other securities,
  except for this Agreement, the agreements described herein and as described
  in the Equity Line of Credit Agreement, dated the date hereof and the agreements
  described therein. All issued and outstanding securities of the Company, have
  been duly authorized and validly issued and are fully paid and non-assessable;
  the holders thereof have no rights of rescission or preemptive rights with respect
  thereto and are not subject to personal liability solely by reason of being
  security holders; and none of such securities were issued in violation of the
  preemptive rights of any holders of any security of the Company. As of the date
  hereof, the authorized capital stock of the Company consists of 100,000,000
  shares of Common Stock, par value $0.001 per share and no shares of Preferred
  Stock of which 19,168,707 shares of Common Stock were issued and outstanding
  as of the date thereof. 

                (iii)
  The Common Stock to be issued in accordance with this Agreement and the Equity
  Line of Credit Agreement has been duly authorized and when issued and paid for
  in accordance with this Agreement, the Equity Line of Credit Agreement and the
  certificates/instruments representing such Common Stock, will be validly issued,
  fully-paid and 

3

 non-assessable; the holders thereof will not be subject to
  personal liability solely by reason of being such holders; such Securities are
  not and will not be subject to the preemptive rights of any holder of any security
  of the Company. 

                (iv)
  The Company has good and marketable title to, or valid and enforceable leasehold
  estates in, all items of real and personal property necessary to conduct its
  business (including, without limitation, any real or personal property stated
  in the Offering Materials to be owned or leased by the Company), free and clear
  of all liens, encumbrances, claims, security interests and defects of any material
  nature whatsoever, other than those set forth in the Offering Materials and
  liens for taxes not yet due and payable. 

                (v)
  There is no litigation or governmental proceeding pending or, to the best of
  the Company’s knowledge, threatened against, or involving the properties
  or business of the Company, except as set forth in the Offering Materials. 

                (vi)
  The Company has been duly organized and is validly existing as a corporation
  in good standing under the laws of the State of Nevada. Except as set forth
  in the Offering Materials, the Company does not own or control, directly or
  indirectly, an interest in any other corporation, partnership, trust, joint
  venture or other business entity. The Company is duly qualified or licensed
  and in good standing as a foreign corporation in each jurisdiction in which
  the character of its operations requires such qualification or licensing and
  where failure to so qualify would have a material adverse effect on the Company.
  The Company has all requisite corporate power and authority, and all material
  and necessary authorizations, approvals, orders, licenses, certificates and
  permits of and from all governmental regulatory officials and bodies (domestic
  and foreign) to conduct its businesses (and proposed business) as described
  in the Offering Materials. Any disclosures in the Offering Materials concerning
  the effects of foreign, federal, state and local regulation on the Company’s
  businesses as currently conducted and as contemplated are correct in all material
  respects and do not omit to state a material fact. The Company has all corporate
  power and authority to enter into this Agreement, the Equity Line of Credit
  Agreement, the Registration Rights Agreement, and the Escrow Agreement, to carry
  out the provisions and conditions hereof and thereof, and all consents, authorizations,
  approvals and orders required in connection herewith and therewith have been
  obtained. No consent, authorization or order of, and no filing with, any court,
  government agency or other body is required by the Company for the issuance
  of the Securities or execution and delivery of the Offering Materials except
  for applicable federal and state securities laws. The Company, since its inception,
  has not incurred any liability arising under or as a result of the application
  of any of the provisions of the 1933 Act, the 1934 Act or the Rules and Regulations.

                (vii)
  There has been no material adverse change in the condition or prospects of the
  Company, financial or otherwise, from the latest dates as of which such condition
  or prospects, respectively, are set forth in the Offering Materials, and the
  outstanding debt, the property and the business of the Company conform in all
  material respects to the descriptions thereof contained in the Offering Materials.

                (viii)
  Except as set forth in the Offering Materials, the Company is not in breach
  of, or in default under, any term or provision of any material indenture, mortgage,
  deed of trust, lease, note, loan or Equity Line of Credit Agreement or any other
  material agreement or 

4

 instrument evidencing an obligation for borrowed money, or
  any other material agreement or instrument to which it is a party or by which
  it or any of its properties may be bound or affected. The Company is not in
  violation of any provision of its charter or by-laws or in violation of any
  franchise, license, permit, judgment, decree or order, or in violation of any
  material statute, rule or regulation. Neither the execution and delivery of
  the Offering Materials nor the issuance and sale or delivery of the Securities,
  nor the consummation of any of the transactions contemplated in the Offering
  Materials nor the compliance by the Company with the terms and provisions hereof
  or thereof, has conflicted with or will conflict with, or has resulted in or
  will result in a breach of, any of the terms and provisions of, or has constituted
  or will constitute a default under, or has resulted in or will result in the
  creation or imposition of any lien, charge or encumbrance upon any property
  or assets of the Company or pursuant to the terms of any indenture, mortgage,
  deed of trust, note, loan or any other agreement or instrument evidencing an
  obligation for borrowed money, or any other agreement or instrument to which
  the Company may be bound or to which any of the property or assets of the Company
  is subject except (a) where such default, lien, charge or encumbrance would
  not have a material adverse effect on the Company and (b) as described in the
  Offering Materials; nor will such action result in any violation of the provisions
  of the charter or the by-laws of the Company or, assuming the due performance
  by the Placement Agent of its obligations hereunder, any material statute or
  any material order, rule or regulation applicable to the Company of any court
  or of any foreign, federal, state or other regulatory authority or other government
  body having jurisdiction over the Company. 

                (ix)
  Subsequent to the dates as of which information is given in the Offering Materials,
  and except as may otherwise be indicated or contemplated herein or therein and
  the securities offered pursuant to the Securities Purchase Agreement dated the
  date hereof, the Company has not (a) issued any securities or incurred any liability
  or obligation, direct or contingent, for borrowed money, or (b) entered into
  any transaction other than in the ordinary course of business, or (c) declared
  or paid any dividend or made any other distribution on or in respect of its
  capital stock. Except as described in the Offering Materials, the Company has
  no outstanding obligations to any officer or director of the Company. 

                (x)
  There are no claims for services in the nature of a finder’s or origination
  fee with respect to the sale of the Common Stock or any other arrangements,
  agreements or understandings that may affect the Placement Agent's compensation,
  as determined by the National Association of Securities Dealers, Inc. 

5

                (xi)
  The Company owns or possesses, free and clear of all liens or encumbrances and
  rights thereto or therein by third parties, the requisite licenses or other
  rights to use all trademarks, service marks, copyrights, service names, trade
  names, patents, patent applications and licenses necessary to conduct its business
  (including, without limitation, any such licenses or rights described in the
  Offering Materials as being owned or possessed by the Company) and, except as
  set forth in the Offering Materials, there is no claim or action by any person
  pertaining to, or proceeding, pending or threatened, which challenges the exclusive
  rights of the Company with respect to any trademarks, service marks, copyrights,
  service names, trade names, patents, patent applications and licenses used in
  the conduct of the Company’s businesses (including, without limitation,
  any such licenses or rights described in the Offering Materials as being owned
  or possessed by the Company) except any claim or action that would not have
  a material adverse effect on the Company; the Company’s current products,
  services or processes do not infringe or will not infringe on the patents currently
  held by any third party. 

                (xii)
  Except as described in the Offering Materials, the Company is not under any
  obligation to pay royalties or fees of any kind whatsoever to any third party
  with respect to any trademarks, service marks, copyrights, service names, trade
  names, patents, patent applications, licenses or technology it has developed,
  uses, employs or intends to use or employ, other than to their respective licensors.

                (xiii)
  Subject to the performance by the Placement Agent of its obligations hereunder
  and the offer and sale of the Securities comply, and will continue to comply
  in all material respects with the requirements of Rule 506 of Regulation D promulgated
  by the SEC pursuant to the 1933 Act and any other applicable federal and state
  laws, rules, regulations and executive orders. Neither the Offering Materials
  nor any amendment or supplement thereto nor any documents prepared by the Company
  in connection with the Offering will contain any untrue statement of a material
  fact or omit to state any material fact required to be stated therein or necessary
  to make the statements therein, in light of the circumstances under which they
  were made, not misleading. All statements of material facts in the Offering
  Materials are true and correct as of the date of the Offering Materials. 

                (xiv)
  All material taxes which are due and payable from the Company have been paid
  in full or adequate provision has been made for such taxes on the books of the
  Company except for those taxes disputed in good faith the Company does not have
  any tax deficiency or claim outstanding assessed or proposed against it. 

                (xv)
  None of the Company nor any of its officers, directors, employees or agents,
  nor any other person acting on behalf of the Company, has, directly or indirectly,
  given or agreed to give any money, gift or similar benefit (other than legal
  price concessions to customers in the ordinary course of business) to any customer,
  supplier, employee or agent of a customer or supplier, or official or employee
  of any governmental agency or instrumentality of any government (domestic or
  foreign) or any political party or candidate for office (domestic or foreign)
  or other person who is or may be in a position to help or hinder the business
  of the Company (or assist it in connection with any actual or proposed transaction)
  which (A) might subject the Company to any damage or penalty in any civil, criminal
  or governmental litigation or proceeding, or (B) if not given in the past, might
  have had a materially adverse effect on the assets, business or operations of
  the Company as reflected in any of the financial statements 

6

 contained in the Offering Materials, or (C) if not continued
  in the future, might adversely affect the assets, business, operations or prospects
  of the Company in the future. 

           5. 
  Representations, Warranties and Covenants of the Investor. A. The Investor
  represents, warrants and covenants as follows: 

                (i)
  The Investor has the necessary power to enter into this Agreement and to consummate
  the transactions contemplated hereby. 

                (ii)
  The execution and delivery by the Investor of this Agreement and the consummation
  of the transactions contemplated herein will not result in any violation of,
  or be in conflict with, or constitute a default under, any agreement or instrument
  to which the Investor is a party or by which the Investor or its properties
  are bound, or any judgment, decree, order or, to the Investor’s knowledge,
  any statute, rule or regulation applicable to the Investor. This Agreement when
  executed and delivered by the Investor, will constitute the legal, valid and
  binding obligations of the Investor, enforceable in accordance with their respective
  terms, except to the extent that (a) the enforceability hereof or thereof may
  be limited by bankruptcy, insolvency, reorganization, moratorium or similar
  laws from time to time in effect and affecting the rights of creditors generally,
  (b) the enforceability hereof or thereof is subject to general principles of
  equity, or (c) the indemnification provisions hereof or thereof may be held
  to be in violation of public policy. 

                (iii)
  The Investor will promptly forward copies of any and all due diligence questionnaires
  compiled by the Investor to the Placement Agent. 

      6.  Certain Covenants
  and Agreements of the Company. 

      The Company covenants and agrees
  at its expense and without any expense to the Placement Agent as follows: 

           A.
  To advise the Placement Agent of any material adverse change in the Company’s
  financial condition, prospects or business or of any development materially
  affecting the Company or rendering untrue or misleading any material statement
  in the Offering Materials occurring at any time as soon as the Company is either
  informed or becomes aware thereof. 

           B.
  To use its commercially reasonable efforts to cause the Common Stock issuable
  in connection with the Equity Line of Credit to be qualified or registered for
  sale on terms consistent with those stated in the Registration Rights Agreement
  and under the securities laws of such jurisdictions as the Placement Agent and
  the Investor shall reasonably request. Qualification, registration and exemption
  charges and fees shall be at the sole cost and expense of the Company. 

           C.
  Upon written request, to provide and continue to provide the Placement Agent
  and the Investor copies of all quarterly financial statements and audited annual
  financial statements prepared by or on behalf of the Company, other reports
  prepared by or on behalf of the Company for public disclosure and all documents
  delivered to the Company’s stockholders. 

7

           D.
  To deliver, during the registration period of the Equity Line Credit Agreement,
  to the Placement Agent upon the Placement Agent’s request, within forty
  five (45) days, a statement of its income for each such quarterly period, and
  its balance sheet and a statement of changes in stockholders’ equity as
  of the end of such quarterly period, all in reasonable detail, certified by
  its principal financial or accounting officer; (ii) within ninety (90) days
  after the close of each fiscal year, its balance sheet as of the close of such
  fiscal year, together with a statement of income, a statement of changes in
  stockholders’ equity and a statement of cash flow for such fiscal year,
  such balance sheet, statement of income, statement of changes in stockholders’
  equity and statement of cash flow to be in reasonable detail and accompanied
  by a copy of the certificate or report thereon of independent auditors if audited
  financial statements are prepared; and (iii) a copy of all documents, reports
  and information furnished to its stockholders at the time that such documents,
  reports and information are furnished to its stockholders. 

           E.
  To comply with the terms of the Offering Materials. 

           F.
  To ensure that any transactions between or among the Company, or any of its
  officers, directors and affiliates be on terms and conditions that are no less
  favorable to the Company, than the terms and conditions that would be available
  in an “arm’s length” transaction with an independent third party.

      7.  Indemnification.

           A.
  The Company hereby agrees that it will indemnify and hold the Placement Agent
  and each officer, director, shareholder, employee or representative of the Placement
  Agent and each person controlling, controlled by or under common control with
  the Placement Agent within the meaning of Section 15 of the 1933 Act or Section
  20 of the 1934 Act or the SEC’s Rules and Regulations promulgated thereunder
  (the “Rules and Regulations”), harmless from and against any and all
  loss, claim, damage, liability, cost or expense whatsoever (including, but not
  limited to, any and all reasonable legal fees and other expenses and disbursements
  incurred in connection with investigating, preparing to defend or defending
  any action, suit or proceeding, including any inquiry or investigation, commenced
  or threatened, or any claim whatsoever or in appearing or preparing for appearance
  as a witness in any action, suit or proceeding, including any inquiry, investigation
  or pretrial proceeding such as a deposition) to which the Placement Agent or
  such indemnified person of the Placement Agent may become subject under the
  1933 Act, the 1934 Act, the Rules and Regulations, or any other federal or state
  law or regulation, common law or otherwise, arising out of or based upon (i)
  any untrue statement or alleged untrue statement of a material fact contained
  in (a) Section 4 of this Agreement, (b) the Offering Materials (except those
  written statements relating to the Placement Agent given by an indemnified person
  for inclusion therein), (c) any application or other document or written communication
  executed by the Company or based upon written information furnished by the Company
  filed in any jurisdiction in order to qualify the Common Stock under the securities
  laws thereof, or any state securities commission or agency; (ii) the omission
  or alleged omission from documents described in clauses (a), (b) or (c) above
  of a material fact required to be stated therein or necessary to make the statements
  therein not misleading; or (iii) the breach of any representation, warranty,
  covenant or agreement made by the Company in this Agreement. The Company further
  agrees that upon demand by an indemnified person, at any time or from time to

8

 time, it will promptly reimburse such indemnified person for
  any loss, claim, damage, liability, cost or expense actually and reasonably
  paid by the indemnified person as to which the Company has indemnified such
  person pursuant hereto. Notwithstanding the foregoing provisions of this Paragraph
  7(A), any such payment or reimbursement by the Company of fees, expenses or
  disbursements incurred by an indemnified person in any proceeding in which a
  final judgment by a court of competent jurisdiction (after all appeals or the
  expiration of time to appeal) is entered against the Placement Agent or such
  indemnified person based upon specific finding of fact that the Placement Agent
  or such indemnified person’s gross negligence or willful misfeasance will
  be promptly repaid to the Company. 

           B.
  The Placement Agent hereby agrees that it will indemnify and hold the Company
  and each officer, director, shareholder, employee or representative of the Company,
  and each person controlling, controlled by or under common control with the
  Company within the meaning of Section 15 of the 1933 Act or Section 20 of the
  1934 Act or the Rules and Regulations, harmless from and against any and all
  loss, claim, damage, liability, cost or expense whatsoever (including, but not
  limited to, any and all reasonable legal fees and other expenses and disbursements
  incurred in connection with investigating, preparing to defend or defending
  any action, suit or proceeding, including any inquiry or investigation, commenced
  or threatened, or any claim whatsoever or in appearing or preparing for appearance
  as a witness in any action, suit or proceeding, including any inquiry, investigation
  or pretrial proceeding such as a deposition) to which the Company or such indemnified
  person of the Company may become subject under the 1933 Act, the 1934 Act, the
  Rules and Regulations, or any other federal or state law or regulation, common
  law or otherwise, arising out of or based upon (i) the conduct of the Placement
  Agent or its officers, employees or representatives in its acting as Placement
  Agent for the Offering, (ii) the material breach of any representation, warranty,
  covenant or agreement made by the Placement Agent in this Agreement or (iii)
  any false or misleading information provided to the Company by one of the Placement
  Agent’s indemnified persons. 

           C.
  The Investor hereby agrees that it will indemnify and hold the Placement Agent
  and each officer, director, shareholder, employee or representative of the Placement
  Agent, and each person controlling, controlled by or under common control with
  the Placement Agent within the meaning of Section 15 of the 1933 Act or Section
  20 of the 1934 Act or the Rules and Regulations, harmless from and against any
  and all loss, claim, damage, liability, cost or expense whatsoever (including,
  but not limited to, any and all reasonable legal fees and other expenses and
  disbursements incurred in connection with investigating, preparing to defend
  or defending any action, suit or proceeding, including any inquiry or investigation,
  commenced or threatened, or any claim whatsoever or in appearing or preparing
  for appearance as a witness in any action, suit or proceeding, including any
  inquiry, investigation or pretrial proceeding such as a deposition) to which
  the Placement Agent or such indemnified person of the Placement Agent may become
  subject under the 1933 Act, the 1934 Act, the Rules and Regulations, or any
  other federal or state law or regulation, common law or otherwise, arising out
  of or based upon (i) the conduct of the Investor or its officers, employees
  or representatives in its acting as the Investor for the Offering, (ii) the
  material breach of any representation, warranty, covenant or agreement made
  by the Investor in the Offering Materials or (iii) any false or misleading information
  provided to the Placement Agent by one of the Investor’s indemnified persons.

9

           D.
  The Placement Agent hereby agrees that it will indemnify and hold the Investor
  and each officer, director, shareholder, employee or representative of the Investor,
  and each person controlling, controlled by or under common control with the
  Investor within the meaning of Section 15 of the 1933 Act or Section 20 of the
  1934 Act or the Rules and Regulations, harmless from and against any and all
  loss, claim, damage, liability, cost or expense whatsoever (including, but not
  limited to, any and all reasonable legal fees and other expenses and disbursements
  incurred in connection with investigating, preparing to defend or defending
  any action, suit or proceeding, including any inquiry or investigation, commenced
  or threatened, or any claim whatsoever or in appearing or preparing for appearance
  as a witness in any action, suit or proceeding, including any inquiry, investigation
  or pretrial proceeding such as a deposition) to which the Investor or such indemnified
  person of the Investor may become subject under the 1933 Act, the 1934 Act,
  the Rules and Regulations, or any other federal or state law or regulation,
  common law or otherwise, arising out of or based upon (i) the conduct of the
  Placement Agent or its officers, employees or representatives in its acting
  as the Placement Agent for the Offering, (ii) the material breach of any representation,
  warranty, covenant or agreement made by the Placement Agent in this Agreement
  or (iii) any false or misleading information provided to the Investor by one
  of the Placement Agent’s indemnified persons. 

           E.
  Promptly after receipt by an indemnified party of notice of commencement of
  any action covered by Section 7(A), (B), (C) or (D), the party to be indemnified
  shall, within five (5) business days, notify the indemnifying party of the commencement
  thereof; the omission by one (1) indemnified party to so notify the indemnifying
  party shall not relieve the indemnifying party of its obligation to indemnify
  any other indemnified party that has given such notice and shall not relieve
  the indemnifying party of any liability outside of this indemnification if not
  materially prejudiced thereby. In the event that any action is brought against
  the indemnified party, the indemnifying party will be entitled to participate
  therein and, to the extent it may desire, to assume and control the defense
  thereof with counsel chosen by it which is reasonably acceptable to the indemnified
  party. After notice from the indemnifying party to such indemnified party of
  its election to so assume the defense thereof, the indemnifying party will not
  be liable to such indemnified party under such Section 7(A), (B), (C), or (D)
  for any legal or other expenses subsequently incurred by such indemnified party
  in connection with the defense thereof, but the indemnified party may, at its
  own expense, participate in such defense by counsel chosen by it, without, however,
  impairing the indemnifying party’s control of the defense. Subject to the
  proviso of this sentence and notwithstanding any other statement to the contrary
  contained herein, the indemnified party or parties shall have the right to choose
  its or their own counsel and control the defense of any action, all at the expense
  of the indemnifying party if, (i) the employment of such counsel shall have
  been authorized in writing by the indemnifying party in connection with the
  defense of such action at the expense of the indemnifying party, or (ii) the
  indemnifying party shall not have employed counsel reasonably satisfactory to
  such indemnified party to have charge of the defense of such action within a
  reasonable time after notice of commencement of the action, or (iii) such indemnified
  party or parties shall have reasonably concluded that there may be defenses
  available to it or them which are different from or additional to those available
  to one or all of the indemnifying parties (in which case the indemnifying parties
  shall not have the right to direct the defense of such action on behalf of the
  indemnified party or parties), in any of which events such fees and expenses
  of one additional counsel shall be borne by the indemnifying party; provided,
  however, that the indemnifying party shall not, in connection with any one 

10

 action or separate but substantially similar or related actions
  in the same jurisdiction arising out of the same general allegations or circumstance,
  be liable for the reasonable fees and expenses of more than one separate firm
  of attorneys at any time for all such indemnified parties. No settlement of
  any action or proceeding against an indemnified party shall be made without
  the consent of the indemnifying party. 

           F.
  In order to provide for just and equitable contribution in circumstances in
  which the indemnification provided for in Section 7(A) or 7(B) is due in accordance
  with its terms but is for any reason held by a court to be unavailable on grounds
  of policy or otherwise, the Company and the Placement Agent shall contribute
  to the aggregate losses, claims, damages and liabilities (including legal or
  other expenses reasonably incurred in connection with the investigation or defense
  of same) which the other may incur in such proportion so that the Placement
  Agent shall be responsible for such percent of the aggregate of such losses,
  claims, damages and liabilities as shall equal the percentage of the gross proceeds
  paid to the Placement Agent and the Company shall be responsible for the balance;
  provided, however, that no person guilty of fraudulent misrepresentation within
  the meaning of Section 11(f) of the 1933 Act shall be entitled to contribution
  from any person who was not guilty of such fraudulent misrepresentation. For
  purposes of this Section 7(F), any person controlling, controlled by or under
  common control with the Placement Agent, or any partner, director, officer,
  employee, representative or any agent of any thereof, shall have the same rights
  to contribution as the Placement Agent and each person controlling, controlled
  by or under common control with the Company within the meaning of Section 15
  of the 1933 Act or Section 20 of the 1934 Act and each officer of the Company
  and each director of the Company shall have the same rights to contribution
  as the Company. Any party entitled to contribution will, promptly after receipt
  of notice of commencement of any action, suit or proceeding against such party
  in respect of which a claim for contribution may be made against the other party
  under this Section 7(D), notify such party from whom contribution may be sought,
  but the omission to so notify such party shall not relieve the party from whom
  contribution may be sought from any obligation they may have hereunder or otherwise
  if the party from whom contribution may be sought is not materially prejudiced
  thereby. 

           G.
  The indemnity and contribution agreements contained in this Section 7 shall
  remain operative and in full force and effect regardless of any investigation
  made by or on behalf of any indemnified person or any termination of this Agreement.

      8.  Payment of Expenses.

      The Company hereby agrees to
  bear all of the reasonable expenses in connection with the Offering, including,
  but not limited to the following: filing fees, printing and duplicating costs,
  advertisements, postage and mailing expenses with respect to the transmission
  of Offering Materials, registrar and transfer agent fees, escrow agent fees
  and expenses, fees of the Company’s accountants, issue and transfer taxes,
  if any. 

      9.  Conditions of Closing.

      The Closing shall be held at
  the offices of the Investor or its counsel. The obligations of the Placement
  Agent hereunder shall be subject to the continuing accuracy of the representations

11

 and warranties of the Company herein as of the date hereof
  and as of the Date of Closing (the “Closing Date”) with respect
  to the Company as if it had been made on and as of such Closing Date; the accuracy
  on and as of the Closing Date of the statements of the officers of the Company
  made pursuant to the provisions hereof; and the performance by the Company on
  and as of the Closing Date of its covenants and obligations hereunder and to
  the following further conditions: 

           A.
  Upon the effectiveness of a registration statement covering the Equity Line
  of Credit Agreement, the Placement Agent shall receive the opinion of Counsel
  to the Company, dated as of the date thereof, which opinion shall be in form
  and substance reasonably satisfactory to the Investor, their counsel and the
  Placement Agent. 

           B.
  At or prior to the Closing, the Placement Agent shall have been furnished such
  documents, certificates and opinions as it may reasonably require for the purpose
  of enabling them to review or pass upon the matters referred to in this Agreement
  and the Offering Materials, or in order to evidence the accuracy, completeness
  or satisfaction of any of the representations, warranties or conditions herein
  contained. 

           C.
  At and prior to the Closing, (i) there shall have been no material adverse change
  nor development involving a prospective change in the condition or prospects
  or the business activities, financial or otherwise, of the Company from the
  latest dates as of which such condition is set forth in the Offering Materials;
  (ii) there shall have been no transaction, not in the ordinary course of business
  except the transactions pursuant to the Securities Purchase Agreement entered
  into by the Company on the date hereof which has not been disclosed in the Offering
  Materials or to the Placement Agent in writing; (iii) except as set forth in
  the Offering Materials, the Company shall not be in default under any provision
  of any instrument relating to any outstanding indebtedness for which a waiver
  or extension has not been otherwise received; (iv) except as set forth in the
  Offering Materials, the Company shall not have issued any securities (other
  than those to be issued as provided in the Offering Materials) or declared or
  paid any dividend or made any distribution of its capital stock of any class
  and there shall not have been any change in the indebtedness (long or short
  term) or liabilities or obligations of the Company (contingent or otherwise)
  and trade payable debt; (v) no material amount of the assets of the Company
  shall have been pledged or mortgaged, except as indicated in the Offering Materials;
  and (v) no action, suit or proceeding, at law or in equity, against the Company
  or affecting any of its properties or businesses shall be pending or threatened
  before or by any court or federal or state commission, board or other administrative
  agency, domestic or foreign, wherein an unfavorable decision, ruling or finding
  could materially adversely affect the businesses, prospects or financial condition
  or income of the Company, except as set forth in the Offering Materials. 

           D.
  At Closing, the Placement Agent shall receive a certificate of the Company signed
  by an executive officer and chief financial officer, dated as of the applicable
  Closing, to the effect that the conditions set forth in subparagraph (C) above
  have been satisfied and that, as of the applicable closing, the representations
  and warranties of the Company set forth herein are true and correct. 

12

      10. Termination. 

      This Agreement shall be co-terminus
  with, and terminate upon the same terms and conditions as those set forth in,
  the Equity Line of Credit Agreement. The rights of the Investor and the obligations
  of the Company under the Registration Rights Agreement, and the rights of the
  Placement Agent and the obligations of the Company shall survive the termination
  of this Agreement unabridged. 

      11. Miscellaneous. 

           A.
  This Agreement may be executed in any number of counterparts, each of which
  shall be deemed to be an original, but all which shall be deemed to be one and
  the same instrument. 

           B.
  Any notice required or permitted to be given hereunder shall be given in writing
  and shall be deemed effective when deposited in the United States mail, postage
  prepaid, or when received if personally delivered or faxed (upon confirmation
  of receipt received by the sending party), addressed as follows: 

	If to Placement Agent, to:	Katalyst Securities, LLC
	 	405 Lexington Avenue – 48th Floor
	 	New York, New York 10174
	 	Attention: John Fitzgerald
	 	Telephone: (484) 530-1750
	 	Facsimile: (347) 402-7943
	 	 
	If to the Company, to:	Zoolink Corp.
	 	510-601 West Hastings Street
	 	Vancouver, BC Canada V6B 5A6
	 	Attention: Ali Shawkat
	 	Telephone: (604) 638-5467
	 	Facsimile: (604) 638-5468
	 	 
	With a copy to:	Morton & Company
	 	Barristers & Solicitors
	 	1200-750 West Pender Street
	 	Vancouver, BC, Canada V6C 2T8
	 	Attention: Edward J. Mayerhofer
	 	Telephone: (604) 681-1194
	 	Facsimile: (604) 681-9652

13

 

	If to the Investor:	Cornell Capital Partners, LP
	 	101 Hudson Street – Suite 3606
	 	Jersey City, New Jersey 07302
	 	Attention:	Mark A. Angelo
	 	 	Portfolio Manager
	 	Telephone:	(201) 985-8300
	 	Facsimile:	(201) 985-8266
	 	 	 
	With Copies to:	Butler Gonzalez LLP
	 	1000 Stuyvesant Avenue – Suite No. 6
	 	Union, New Jersey 07083
	 	Attention:	David Gonzalez, Esq.
	 	Telephone:	(908) 810-8588
	 	Facsimile:	(908) 810-0973

or to such other address of which written notice is given to the others.

           C.
  This Agreement shall be governed by and construed in all respects under the
  laws of the State of Nevada, without reference to its conflict of laws rules
  or principles. Any suit, action, proceeding or litigation arising out of or
  relating to this Agreement shall be brought and prosecuted in such federal or
  state court or courts located within the State of New York as provided by law.
  The parties hereby irrevocably and unconditionally consent to the jurisdiction
  of each such court or courts located within the State of New York and to service
  of process by registered or certified mail, return receipt requested, or by
  any other manner provided by applicable law, and hereby irrevocably and unconditionally
  waive any right to claim that any suit, action, proceeding or litigation so
  commenced has been commenced in an inconvenient forum. 

           D.
  This Agreement and the other agreements referenced herein contain the entire
  understanding between the parties hereto and may not be modified or amended
  except by a writing duly signed by the party against whom enforcement of the
  modification or amendment is sought. 

           E.
  If any provision of this Agreement shall be held to be invalid or unenforceable,
  such invalidity or unenforceability shall not affect any other provision of
  this Agreement. 

 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

 

  

14

 IN WITNESS WHEREOF, the parties hereto have executed this Agreement
  as of the date first written above. 

	 	COMPANY:
	 	ZOOLINK CORP.
	 	 
	 	By:/s/ Ali Shawkat
	 	Name: Ali Shawkat
	 	Title: President & Chief Executive Officer
	 	 
	 	PLACEMENT AGENT:
	 	KATALYST SECURITIES, LLC
	 	 
	 	By:/s/ John Fitzgerald
	 	Name: John Fitzgerald
	 	Title: President
	 	 
	 	INVESTOR:
	 	CORNELL CAPITAL PARTNERS, LP
	 	 
	 	By: Yorkville Advisors, LLC
	 	Its: General Partner
	 	 
	 	By: /s/ Mark A. Angelo
	 	Name: Mark A. Angelo
	 	Title: Portfolio Manager

15

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