Document:

Unassociated Document

    SUBSCRIPTION
      FOR UNITS

    

    (Part
      5
      Accredited Investor Exemption Pursuant to “National Instrument 45-106
      -
      Prospectus and Registration Exemptions”
-
      

    Alberta
      and British Columbia Residents Only)

    

    

    TO:  Deep
      Well Oil & Gas, Inc. (the "Corporation")

    510
      Royal Bank Building

    10117
      Jasper Avenue, AB T5J 1W8

    

    The
      undersigned subscriber (the “Subscriber”) acknowledges that the Corporation is
      proceeding with an Offering of 8,333,333 units (“Units”) at a price of US$0.60
      per Unit for gross proceeds of US$5,000,000. Each Unit is comprised of one
      (1)
      common share (“Common Share”), one (1) Common Share purchase warrant (“Whole
      Warrant”) and another twelve one-hundredths (0.12) Common Share purchase warrant
      (“Special Warrant”). Each Whole Warrant entitles the holder to purchase one (1)
      Common Share at a price of US$0.90 for a period of three years from the Closing
      Date. Each Special Warrant entitles the holder to purchase a Common Share at
      a
      price of US $1.20 for a period of five years from the Closing Date. The
      undersigned Subscriber hereby tenders to the Corporation this subscription
      offer
      which, upon acceptance by the Corporation, will constitute an agreement of
      the
      Subscriber to subscribe for, take up, purchase and pay for and, on the part
      of
      the Corporation, to issue and sell to the Subscriber, the number of Units set
      out below on the terms and subject to the conditions set out in this
      Subscription Agreement. Until the Closing of the Offering, all subscription
      funds shall be held in a non-interest bearing account of the Corporation. Upon
      Closing of the Offering, all of the subscription proceeds (net of expenses
      thereon) will be released to the Corporation. In the event the Offering does
      not
      close, any and all subscription proceeds will be returned to subscribers without
      interest, deduction or penalty. The Subscriber hereby acknowledges and agrees
      that the terms and conditions contained in the attached Schedule “A” form part
      of this Subscription Agreement and are incorporated herein by
      reference.

    
       

      
        	 	 	 	Number
                of
                Units: 
	Name
                of
                Subscriber - please print 	 	 	 
	 	 	 
	
                By:

              	 	 
	
                Authorized
                  Signature

              	 	 	 
	 	 	
                 Aggregate
                  Subscription Price (No. of Units X US$0.60 per
                  Unit):

              
	
                Official
                  Capacity or Title - please print

              	 	 	 
	 	 	 	
                 No.
                  of Common Shares Currently Held (excluding Common
                  Shares

              
	
                (Please
                  print name of individual whose signature appears

              	 	
                 comprising
                  the Units subscribed for herein):

              
	
                above
                  if different than the name of the Subscriber
                  printed

              	 	 
	
                above.)

              	 	 	 
	 	 	 
	 	 	 	 
	
                Subscriber's
                  Address

              	 	 	
                 Register
                  the Units as set forth below:

              
	 	 	 	 
	 	 	 	
                 Name

              
	 	 	 	 
	
                Facsimile
                  Number

              	 	 	
                 Address

              
	 	 	 	 
	
                Telephone
                  Number

              	
                E-Mail
                  Address

              	 	
                 Address

              

      

    

     

    

    ACCEPTANCE:
      The
      Corporation hereby accepts the above subscription as of this _______ day of
      ____________________, __________ and the Corporation represents and warrants
      to
      the Subscriber that the representations and warranties made by the Corporation
      are true and correct in all material respects as in all material respects as
      of
      this date and that the Subscriber is entitled to rely thereon.

     

     

    
      	 	 	
              DEEP
                WELL OIL & GAS, INC.

            
	 	 	 
	 	 	
              By:
                

            

    

     

     

    This
      is the first page of an agreement comprised of 9 pages (not including
      Exhibits).

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    SCHEDULE
      “A” -TERMS AND CONDITIONS OF SUBSCRIPTION FOR

     

    UNITS
      OF DEEP WELL OIL & GAS, INC.

     

    Definitions

     

    In
      this
      Subscription Agreement:

     

    	(a)  	
            “Closing”
              or “Closing
              Date”
              means the closing of the Offering initially expected to occur on or
              about
              July
              4, 2007
              or
              such other date or dates as may be determined by the Corporation in
              its
              sole discretion and such other subsequent closings as may be required
              to
              complete the Offering;

          

     

    	(b)  	
            “Common
              Share” means
              a common share in the capital stock of the
              Corporation;

          

     

    	(c)  	
            “Corporation”
              means Deep Well Oil & Gas, Inc.;

          

     

    	(d)  	
            “NI
              45-102” means
              National Instrument 45-102 - Resale
              of Securities; 

          

     

    	(e)  	
            “NI
              45-106” means
              National Instrument 45-106 - Prospectus
              and Registration Exemptions; 

          

     

    	(f)  	
            “Offering”
              means the offering of Units by the Corporation at US$0.60 per
              Unit;

          

     

    	(g)  	
            “Securities”
              means the Units, the Common Shares and the Warrants comprising the
              Units,
              and the Warrant Shares;

          

     

    	(h)  	
            Special Warrant”
              means a Common Share purchase warrant of the Corporation in which one
              (1)
              whole warrant entitles the holder to purchase one (1) Common Share
              of the
              Corporation at a price of US$1.20 for a period of five (5) years from
              the
              Closing Date

          

     

    	(i)  	
            “Subscriber”
              means the person or company identified as the Subscriber on the face
              page
              of this Subscription Agreement;

          

     

    	(j)  	
            “Subscription
              Agreement”
              means this agreement, together with the exhibits attached hereto, as
              amended or supplemented from time to
              time;

          

     

    	(k)  	
            “Subscription
              Price”
              means the aggregate subscription price paid by the Subscriber, being
              the
              number of Units subscribed for multiplied by US$0.60 per
              Unit;

          

     

    	(l)  	
            “Unit”
              means a unit consisting of one (1) Common Share and one (1) Common
              Share
              purchase warrant of the Corporation;

          

     

    	(m)  	
            “Whole Warrant”
              means a Common Share purchase warrant of the Corporation in which one
              (1)
              whole warrant entitles the holder to purchase one (1) Common Share
              of the
              Corporation at a price of US$0.90 for a period of three (3) years from
              the
              Closing Date; and

          

     

    	(n)  	
            “Warrant
              Share”
              means a Common Share issuable upon exercise of a
              Warrant.

          

     

    Terms
      of the Offering

     

    1.  The
      Subscriber hereby confirms its subscription for and agrees to take up the Units
      as provided for on the initial page of this Subscription Agreement and delivers
      herewith a certified cheque or bank draft payable to the Corporation in the
      amount of the Subscription Price and authorizes the Corporation to release
      the
      said funds for use by the Corporation on Closing against delivery to the
      Subscriber of duly issued certificates representing the Common Shares and
      Warrants comprising the Units subscribed for herein.

     

    2.  The
      Subscriber acknowledges that the Units subscribed for hereunder consist of
      a
      sale by the Corporation of 8,333,333 Units of the Corporation at a subscription
      price of US$0.60 per Unit.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

      

        APPENDIX
          "A"

        to
          Exhibit 1 

         

      

    

    3.  The
      Subscriber acknowledges that if the Offering does not close on any subscriptions
      received, the amounts received for subscriptions will be promptly returned
      by
      the Corporation to subscribers without interest, deduction or penalty. The
      Units
      offered are subject to acceptance by the Corporation and to rejection or
      allotment by the Corporation in whole or in part and the Corporation reserves
      the right to discontinue the Offering at any time without notice.

     

    4.  The
      Subscriber acknowledges that this Subscription Agreement and the Exhibits hereto
      require the Subscriber to provide certain personal information to the
      Corporation. Such information is being collected by the Corporation for the
      purposes of completing the Offering, which includes, without limitation,
      determining the Subscriber's eligibility to purchase the Units under applicable
      securities legislation, preparing and registering certificates representing
      Units to be issued to the Subscriber and completing filings required by any
      stock exchange or securities regulatory authority. The Subscriber's personal
      information may be disclosed by the Corporation to: (a) stock exchanges or
      securities regulatory authorities, (b) the Corporation's registrar and
      transfer agent, and (c) any of the other parties involved in the Offering,
      including legal counsel and may be included in record books in connection with
      the Offering. By executing this Subscription Agreement, the Subscriber is deemed
      to be consenting to the foregoing collection, use and disclosure of the
      Subscriber's personal information. The Subscriber also consents to the filing
      of
      copies or originals of any of the Subscriber's documents described in
      Section 11
      hereof
      as may be required to be filed with any stock exchange or securities regulatory
      authority in connection with the transactions contemplated hereby.

     

    5.  THE
      SUBSCRIBER FURTHER ACKNOWLEDGES THAT AN INVESTMENT IN THE UNITS MUST BE
      CONSIDERED SPECULATIVE AND IS SUBJECT TO A NUMBER OF RISK FACTORS. THE
      SUBSCRIBER COVENANTS AND AGREES TO COMPLY WITH NI 45-106, NI 45-102 AND ANY
      OTHER APPLICABLE SECURITIES LEGISLATION, RULES, REGULATIONS, ORDERS OR POLICIES
      CONCERNING THE PURCHASE, HOLDING OF, AND RESALE OF THE SECURITIES. THE
      SECURITIES ARE SUBJECT TO RESALE RESTRICTIONS AND WILL BEAR A LEGEND TO THAT
      EFFECT.

     

    6.  In
      addition to one manually signed, completed copy of this Subscription Agreement,
      the Subscriber will execute and deliver to the Corporation all other
      documentation as may be required by applicable securities legislation, rules,
      policy statements, and orders, including NI 45-106, to permit the issue and
      sale of the Units. The Subscriber acknowledges and agrees that any such
      documentation, when executed and delivered by the Subscriber, will form part
      of
      and will be incorporated into this Subscription Agreement with the same effect
      as if each constituted a representation and warranty or covenant of the
      Subscriber hereunder in favour of the Corporation, and the Subscriber consents
      to the filing of such documents and/or information contained in such documents
      as may be required to be filed with any securities or the regulatory authority
      in connection with the transactions contemplated hereby.

     

    Representations,
      Warranties and Covenants by Subscriber

     

    7.  The
      Subscriber represents, warrants and covenants to the Corporation (and
      acknowledges that the Corporation and its counsel are relying thereon) both
      at
      the date hereof and at the Closing Date that:

     

    	(a)  	
            the
              Subscriber has been independently advised as to restrictions with respect
              to trading in the Units imposed by applicable securities legislation,
              confirms that no representation has been made to it by or on behalf
              of the
              Corporation with respect thereto, acknowledges that it is aware of
              the
              characteristics of the Units, the risks relating to an investment therein
              and of the fact that it may not be able to resell the Securities except
              in
              accordance with limited exemptions under applicable securities legislation
              and regulatory policy, including NI 45-102 and the United States
              Securities Act of 1933, as amended (as defined below) until expiry
              of the
              applicable restricted period and compliance with the other requirements
              of
              applicable law; and the Subscriber agrees that any certificates
              representing the Securities, and all certificates issued in exchange
              therefor or in substitution thereof, will bear a legend indicating
              that
              the resale of such Securities is restricted;
              and

          

     

    	(b)  	
            the
              Subscriber has not received or been provided with, nor has it requested,
              nor does it have any need to receive, any offering memorandum, or any
              other document (other than an annual report, annual information form,
              interim report, information circular or any other continuous disclosure
              document, the content of which is prescribed by statute or regulation)
              describing the business and affairs of the Corporation which has been
              prepared for delivery to, and review by, prospective purchasers in
              order
              to assist it in making an investment decision in respect of the Units;
              and

          

     

    
      
         

      

      
         

        
          

        

      

      
         

      

      
        APPENDIX
          "A"

        to
          Exhibit 1 

         

      

    

    	(c)  	
            the
              Subscriber has been afforded the opportunity (i) to ask such questions
              as
              it deemed necessary of, and to receive answers from, representatives
              of
              the Corporation concerning the terms and conditions of the offering
              of the
              Units and (ii) to obtain such additional information which the Corporation
              possesses or can acquire without unreasonable effort or expense that
              the
              Subscriber considered necessary in connection with its decision to
              invest
              in the Units; and

          

     

    	(d)  	
            this
              Agreement is made unconditionally as a result of the Subscriber’s desire
              to participate in the future development of the Corporation;
              and

          

     

    	(e)  	
            the
              Subscriber is purchasing as principal and it knows that it is purchasing
              the Units pursuant to an exemption under NI 45-106 and, as a
              consequence, is restricted from using most of the civil remedies available
              under applicable securities legislation, may not receive information
              that
              would otherwise be required to be provided to it under applicable
              securities legislation, and the Corporation is relieved from certain
              obligations that would otherwise apply under applicable securities
              legislation; and

          

     

    	(i)  	
            if
              a resident of Alberta,
              the Subscriber is a
              resident in or otherwise subject to the applicable securities laws
              of
              Alberta and
              it is an "accredited investor" as such term is defined in NI 45-106
              promulgated under the Securities
              Act
              (Alberta) and has concurrently executed and delivered a Representation
              Letter in the form attached as Exhibit 1
              to
              this Subscription Agreement; or

          

     

    	(ii)  	
            if
              a resident of British Columbia,
              the Subscriber is a resident in or otherwise subject to the applicable
              securities laws of British Columbia and it is an "accredited investor"
              as
              such term is defined in NI 45-106 promulgated under the Securities
              Act
              (British Columbia) and has concurrently executed and delivered a
              Representation Letter in the form attached as Exhibit 1
              to
              this Subscription Agreement; and

          

     

    	(f)  	
            if
              the Subscriber is resident in any jurisdiction not referred to in
              Subsection 7(e)
              above:
              (a) the purchase of the Units does not contravene any of the applicable
              laws in the Subscriber’s jurisdiction of residence and does not trigger
              (i) any obligation to prepare and file a prospectus, an offering
              memorandum or similar document, or any other ongoing reporting
              requirements with respect to such purchase or otherwise, or (ii) any
              registration or other obligation on the part of the Corporation; (b)
              the
              sale of the Units as contemplated in the Subscription Agreement complies
              with or is exempt from applicable securities legislation of the
              Subscriber’s jurisdiction of residence and the Subscriber will provide
              such evidence of compliance with all such matters as the Corporation
              may
              request; (c) the Subscriber will comply with the provisions of Section
              5
              and Subsection 7(a) as if they were a resident of Alberta or British
              Columbia; and (d) and notwithstanding that the Subscriber is not a
              resident of Alberta or British Columbia, it is an "accredited investor"
              as
              such term is defined in NI 45-106 promulgated under the Securities
              Act
              (Alberta) and/or the Securities
              Act
              (British Columbia) and
              has concurrently executed and delivered a Representation Letter in
              the
              form attached as Exhibit 1
              to
              this Subscription Agreement; and

          

     

    	(g)  	
            no
              person has made to the Subscriber any written or oral
              representations:

          

     

    	(i)  	
            that
              any person will resell or repurchase any of the
              Securities;

          

     

    	(ii)  	
            that
              any person will refund the purchase price of any of the
              Securities;

          

     

    	(iii)  	
            as
              to the future price or value of any of the Securities;
              or

          

     

    	(iv)  	
            that
              any of the Securities will be listed and posted for trading on a stock
              exchange or that application has been made to list and post any of
              the
              Securities for trading on a stock exchange;
              and

          

     

    	(h)  	
            the
              Subscriber has no knowledge of a “material fact” or “material change” (as
              those terms are defined by applicable securities legislation) in respect
              of the affairs of the Corporation that has not been generally disclosed
              to
              the public, other than knowledge relating directly to its subscription
              for
              the Units; and

          

     

    	(i)  	
            the
              Corporation may complete additional financings in the future, and such
              future financings may have a dilutive effect on then-current security
              holders of the Corporation, including the Subscriber;
              and

          

     

    
      
         

      

      
         

        
          

        

      

      
         

      

      
        APPENDIX
          "A"

        to
          Exhibit 1 

         

      

    

    	(j)  	
            it
              is aware that the Securities have not been and will not be registered
              under the United States Securities Act of 1933, as amended (“U.S.
              Securities Act”) and that the Securities may not be offered or sold in the
              United States or to, or for the account or benefit of, a U.S. Person
              (as
              defined in Regulation S under the U.S. Securities Act) (a "U.S. Person")
              without registration under the U.S. Securities Act or compliance with
              requirements of an exemption or exclusion from registration and the
              applicable laws of all applicable states and acknowledges that the
              Corporation has no present intention of filing a registration statement
              under the U.S. Securities Act in respect of the Securities;
              and

          

     

    	(k)  	
            the
              Units have not been offered to the Subscriber in the United States;
              and

          

     

    	(l)  	
            it
              is not a U.S. Person and is not purchasing the Units on behalf of,
              or for
              the account or benefit of, a U.S. Person;
              and

          

     

    	(m)  	
            the
              Subscriber undertakes and agrees that it will not offer or sell the
              Securities in the United States unless such securities are registered
              under the U.S. Securities Act and the securities laws of all applicable
              states of the United States or an exemption or exclusion from such
              registration requirements is available, and further that it will not
              resell the Securities except in accordance with the provisions of
              applicable securities legislation, regulations, rules, policies and
              orders
              and stock exchange rules; and

          

     

    	(n)  	
            it
              will not engage in hedging transactions with regard to the Securities
              except in compliance with the U.S. Securities Act;
              and

          

     

    	(o)  	
            it
              understands and acknowledges that the Corporation must refuse to register
              any transfer of the Securities not made in accordance with an available
              exemption or exclusion from the registration requirements of the U.S.
              Securities Act or pursuant to registration under the U.S. Securities
              Act;
              and

          

     

    	(p)  	
            if
              the Subscriber is a “distributor” (as defined in Regulation S under the
              U.S. Securities Act) or is an “affiliate” (as defined in Rule 405 under
              the U.S. Securities Act) of a distributor or is acting on behalf of
              a
              distributor, (i) it agrees that it will not offer or sell the Securities
              during the one year period after the completion of the distribution
              of the
              Units (the “Distribution Compliance Period”) to a U.S. Person or for the
              account or benefit of a U.S. Person (other than a distributor), and
              (ii)
              if it sells Securities to another distributor, a dealer (as defined
              in
              Section 2(a)(12) of the U.S. Securities Act) or a person receiving
              a
              selling concession fee or other remuneration, during the Distribution
              Compliance Period, the Subscriber agrees that it will send a written
              confirmation or other notice to the purchaser stating that the purchaser
              is subject to the same restrictions on offers and sales that apply
              to a
              distributor and setting forth the restrictions on offers and sales
              of
              Securities within the United States or to, or for the account or benefit
              of, U.S. Persons; and

          

     

    	(q)  	
            the
              Subscriber understands and acknowledges that the Warrants may not be
              exercised by or on behalf of a U.S. Person unless the Warrant Shares
              issuable upon such exercise have been registered under the U.S. Securities
              Act or an exemption or exclusion from such registration is available;
              and

          

     

    	(r)  	
            the
              Subscriber understands and acknowledges that each person exercising
              a
              Warrant will be required to provide either (i) written certification
              that
              it is not a U.S. Person and the Warrant is not being exercised on behalf
              of a U.S. Person, or (ii) a written opinion of counsel, of recognized
              standing reasonably satisfactory to the Corporation, to the effect
              that
              the Warrant being exercised and the Warrant Shares issuable upon such
              exercise have been registered under the U.S. Securities Act or are
              exempt
              from registration thereunder; and

          

     

    	(s)  	
            if
              any Securities are being sold in the United States pursuant to Rule
              144
              under the U.S. Securities Act, the United States restrictive legend
              may be
              removed from the certificates representing the Securities by delivering
              to
              the Corporation a written opinion of counsel, of recognized standing
              reasonably satisfactory to the Corporation, to the effect that the
              legend
              is no longer required under applicable requirements of the U.S. Securities
              Act or state securities laws; and

          

     

    	(t)  	
            if
              a corporation, partnership, unincorporated association or other entity,
              it
              has the legal capacity to enter into and be bound by this Subscription
              Agreement and further certifies that all necessary approvals of directors,
              shareholders or otherwise have been given and obtained;
              and

          

     

    
      
         

      

      
         

        
          

        

      

      
         

      

      
        APPENDIX
          "A"

        to
          Exhibit 1 

         

      

    

    	(u)  	
            if
              an individual, it is of the full age of majority and is legally competent
              to execute this Subscription Agreement and take all action pursuant
              hereto; and

          

     

    	(v)  	
            it
              acknowledges that the net subscription proceeds (gross proceeds less
              expenses, including legal fees which have not been paid by the
              Corporation), will be immediately releasable to the Corporation on
              the
              Closing Date or later closing dates, as the case may be;
              and

          

     

    	(w)  	
            this
              Subscription Agreement has been duly and validly authorized, executed
              and
              delivered by and constitutes a legal, valid, binding and enforceable
              obligation of the Subscriber; and

          

     

    	(x)  	
            the
              entering into of this Subscription Agreement and the transactions
              contemplated hereby will not result in a violation of any of the terms
              and
              provisions of any law applicable to it, or any of its constating
              documents, or of any agreement to which the Subscriber is a party or
              by
              which it is bound; and

          

     

    	(y)  	
            in
              the case of a subscription by the Subscriber for Units acting as agent
              for
              a disclosed principal, it is duly authorized to execute and deliver
              this
              Subscription Agreement and all other necessary documentation in connection
              with such subscription on behalf of such principal and this Subscription
              Agreement has been duly authorized, executed and delivered by or on
              behalf
              of, and constitutes a legal, valid and binding agreement of, such
              principal; and

          

     

    	(z)  	
            the
              Subscriber has such knowledge in financial and business affairs as
              to be
              capable of evaluating the merits and risks of the Subscriber’s investment
              and the Subscriber, or, where the Subscriber is acting as agent for
              a
              disclosed principal, each beneficial purchaser, is able to bear the
              economic risk of loss of the Subscriber’s entire investment in the Units;
              and

          

     

    	(aa)  	
            except
              for the representations and warranties made by the Corporation herein,
              it
              has relied solely upon publicly available information relating to the
              Corporation and not upon any verbal or written representation as to
              fact
              or otherwise made by or on behalf of the Corporation and acknowledges
              that
              the Corporation's counsel are acting as counsel to the Corporation
              and not
              as counsel to the Subscriber; and

          

     

    	(bb)  	
            the
              Subscriber understands that Units are being offered for sale only on
              a
              "private placement" basis and that the sale and delivery of the Units
              is
              conditional upon such sale being exempt from the requirements as to
              the
              filing of a prospectus or delivery of an offering memorandum or upon
              the
              issuance of such orders, consents or approvals as may be required to
              permit such sale without the requirement of filing a prospectus or
              delivering an offering memorandum and, as a consequence (i) it is
              restricted from using most of the civil remedies available under
              securities legislation; (ii) it may not receive information that
              would otherwise be required to be provided to it under securities
              legislation; and (iii) the Corporation is relieved from certain
              obligations that would otherwise apply under securities legislation;
              and

          

     

    	(cc)  	
            if
              required by applicable securities legislation, regulations, rules,
              policies or orders, NI 45-106, or by any securities commission, stock
              exchange or other regulatory authority, the Subscriber will execute,
              deliver, file and otherwise assist the Corporation in filing, such
              reports, undertakings and other documents with respect to the issue
              of the
              Units (including, without limitation, a completed and duly executed
              Representation Letter, attached as Exhibit 1);
              and

          

     

    	(dd)  	
            the
              Subscriber will not resell the Securities except in accordance with
              the
              provisions of applicable securities legislation and stock exchange
              rules,
              if applicable, in the future; and

          

     

    	(ee)  	
            the
              Subscriber deals at arm's length with the Corporation within the meaning
              of the Income
              Tax Act
              (Canada) and will continue to deal at arm's length with the Corporation
              at
              all times which are relevant for this Subscription Agreement;
              and

          

     

    	(ff)  	
            none
              of the funds the Subscriber is using to purchase the Units are, to
              the
              knowledge of the Subscriber, proceeds obtained or derived, directly
              or
              indirectly, as a result of illegal activities;
              and

          

     

    	(gg)  	
            the
              funds representing the total Subscription Price which will be advanced
              by
              the Subscriber to the Corporation hereunder will not represent proceeds
              of
              crime for the purposes of the Proceeds
              of Crime (Money Laundering) and Terrorist Financing Act
              (Canada) (the "PCMLA") and the Subscriber acknowledges that the
              Corporation may in the future be required by law to disclose the
              Subscriber's name and other information relating to this Subscription
              Agreement and the Subscriber's subscription hereunder, on a confidential
              basis, pursuant to the PCMLA; and

          

     

    
      
         

      

      
         

        
          

        

      

      
         

      

      
        APPENDIX
          "A"

        to
          Exhibit 1 

         

      

    

    	(hh)  	
            to
              the best of its knowledge, the subscription funds to be provided by
              the
              Subscriber (i) have not been or will not be derived from or related
              to any activity that is deemed criminal under the law of Canada, the
              United States of America, or any other jurisdiction, and (ii) are not
              being tendered on behalf of a person or entity who has not been identified
              to the Subscriber and the Subscriber shall promptly notify the Corporation
              if the Subscriber discovers that any of such representations cease
              to be
              true, and to provide the Corporation with appropriate information in
              connection therewith; and

          

     

    	(ii)  	
            the
              Subscriber acknowledges that it has been encouraged to and should obtain
              independent legal, income tax and investment advice with respect to
              its
              subscription for these Units and accordingly, has been independently
              advised as to the meanings of all terms contained herein relevant to
              the
              Subscriber for purposes of giving representations, warranties and
              covenants under this Subscription
              Agreement.

          

     

    Representations,
      Warranties and Covenants of the Corporation

     

    8.  The
      Corporation hereby represents and warrants to the Subscriber that it has been
      duly incorporated and is a valid and subsisting corporation under the laws
      of
      the State of Nevada, United States, is extra-provincially registered in the
      Province of Alberta, Canada and has full corporate power and authority to enter
      into this Subscription Agreement and to perform its obligations
      hereunder.

     

    9.  The
      Corporation hereby covenants with the Subscriber that it will take all corporate
      action required to issue to the Subscriber the Units and the Common Shares
      and
      the Warrants comprising the Units on the Closing Date.

     

    Registration
      Rights

     

    10.  If
      the
      Corporation proposes to register, pursuant to any registration rights agreement
      (a “Registration Rights Agreement”), for shareholders other than the Subscriber,
      any of its Common Shares or other equity securities (or securities convertible
      into equity securities) under the U.S. Securities Act in connection with the
      public offering of such securities solely for cash (other than a registration
      on
      Form S-8, Form S-4 or Form F-4), the Corporation will, at all such times,
      promptly give the Subscriber written notice of such proposed registration.
      Upon
      the written request of the Subscriber, given within 20 days after the mailing
      of
      such notice by the Corporation, the Corporation will, subject to the provisions
      of applicable Registration Rights Agreements, use its commercial best efforts
      to
      cause a registration statement covering all of the (i) Common Shares being
      acquired hereunder and (ii) Warrant Shares that each such holder has requested
      to be registered to become effective under the U.S. Securities Act. Only to
      the
      extent they apply to “piggy back” registrations, such registration shall also be
      subject to the other provisions of each applicable Registration Rights
      Agreement. For greater certainty, (i) such registration shall not be subject
      to
      any provisions of any Registration Rights Agreement that are applicable only
      to
“demand” registrations, and (ii) the Subscriber acknowledges that except as
      contemplated by this Section, the Corporation is under no obligation hereunder
      to register any of its securities or to complete any offering of its securities
      it proposes to make, and the Corporation will therefore incur no liability
      (including any penalties that may be incurred under a Registration Rights
      Agreement) to the Subscriber for its failure to register any of its securities
      or to complete any offering of its securities.

     

    Closing

     

    11.  The
      Subscriber agrees to deliver to the Corporation, not later than 4:30 p.m.
      (Edmonton time) on the Closing Date: (a) this duly completed and executed
      Subscription Agreement; (b) a certified cheque or bank draft payable to
      Deep Well Oil & Gas, Inc. for the Subscription Price of the Units subscribed
      for under this Subscription Agreement; (c) if the Subscriber is an
“accredited investor” in Alberta a fully completed and duly executed
      Representation Letter, attached as Exhibit
      1
      hereto;
      or (d) if the Subscriber is an “accredited investor” in British Columbia a
      fully completed and duly executed Representation Letter, attached as
Exhibit
      1
      hereto;
      or (e)
      if the Subscriber is purchasing Units pursuant to Subsection 7(f)
      a fully
      completed and duly executed Representation Letter, attached as Exhibit
      1
      hereto.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

      
        APPENDIX
          "A"

        to
          Exhibit 1 

         

      

    

    12.  The
      purchase and sale of the Units pursuant to this Subscription Agreement will
      be
      completed at the offices of the Corporation’s solicitors, Parlee
      McLaws llp,
      in
      Edmonton, Alberta on the Closing Date or such other place or time as the
      Corporation decides in its sole discretion. On the Closing Date, the Corporation
      shall receive all completed subscription agreements, including this Subscription
      Agreement, and the Subscription Price against delivery by the Corporation of
      the
      certificates representing the Units.

     

    13.  The
      Corporation shall be entitled to rely on delivery of a facsimile copy of
      executed subscriptions, and acceptance by the Corporation of such facsimile
      subscriptions shall be legally effective to create a valid and binding agreement
      between the Subscriber and the Corporation in accordance with the terms
      hereof.

     

    General

     

    14.  The
      Subscriber agrees that the representations, warranties and covenants of the
      Subscriber herein will be true and correct both as of the execution of this
      Subscription Agreement and as of the Closing Date and will survive the
      completion of the issuance of the Units. The representations, warranties and
      covenants of the Subscriber herein are made with the intent that they be relied
      upon by the Corporation and it’s counsel in determining the eligibility of a
      purchaser of Units and the Subscriber agrees to indemnify the Corporation,
      including its respective affiliates, shareholders, directors, officers,
      partners, employees, advisors and agents, against all losses, claims, costs,
      expenses and damages or liabilities which any of them may suffer or incur which
      are caused or arise from a breach thereof. The Subscriber undertakes to
      immediately notify the Corporation at 510 Royal Bank Building, 10117 Jasper
      Avenue, Edmonton, Alberta, T5J 1W8, Attention: Curtis Sparrow (Fax Number:
      (780)
      409-8146), of any change in any statement or other information relating to
      the
      Subscriber set forth herein which takes place prior to the Closing
      Date.

     

    15.  The
      obligations of the parties hereunder are subject to acceptance of the terms
      of
      the Offering by any required regulatory approvals.

     

    16.  The
      Subscriber acknowledges and agrees that all costs incurred by the Subscriber
      (including any fees and disbursements of any special counsel retained by the
      Subscriber) relating to the purchase of the Units by the Subscriber shall be
      borne by the Subscriber.

     

    17.  The
      contract arising out of this Subscription Agreement and all documents relating
      thereto shall be governed by and construed in accordance with the laws of the
      Province of Alberta and the federal laws of Canada applicable therein. The
      parties irrevocably attorn to the exclusive jurisdiction of the courts of the
      Province of Alberta.

     

    18.  Time
      shall be of the essence hereof.

     

    19.  This
      Subscription Agreement represents the entire agreement of the parties hereto
      relating to the subject matter hereof and there are no representations,
      covenants or other agreements relating to the subject matter hereof except
      as
      stated or referred to herein.

     

    20.  The
      terms
      and provisions of this Subscription Agreement shall be binding upon and enure
      to
      the benefit of the Subscriber and the Corporation and their respective heirs,
      executors, administrators, successors and assigns; provided that, except for
      the
      assignment by a Subscriber who is acting as agent to a beneficial disclosed
      purchaser and as otherwise herein provided, this Subscription Agreement shall
      not be assignable by any party without prior written consent of the other
      parties.

     

    21.  The
      Subscriber, on its own behalf and, if applicable, on behalf of others for whom
      it is contracting hereunder, agrees that this subscription is made for valuable
      consideration and may not be withdrawn, cancelled, terminated or revoked by
      the
      Subscriber, on its own behalf and, if applicable, on behalf of others for whom
      it is contracting hereunder.

     

    22.  Neither
      this Subscription Agreement nor any provision hereof shall be modified, changed,
      discharged or terminated except by an instrument in writing signed by the party
      against whom any waiver, change, discharge or termination is
      sought.

     

    23.  The
      invalidity, illegality or unenforceability of any provision of this Subscription
      Agreement shall not affect the validity, legality or enforceability of any
      other
      provision hereof.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

      
        APPENDIX
          "A"

        to
          Exhibit 1 

         

      

    

    24.  The
      Subscriber acknowledges and agrees that acceptance of this Subscription
      Agreement will be conditional, among other things, upon the sale of Units to
      the
      Subscriber being exempt from any prospectus and offering memorandum requirements
      of all applicable securities laws. The Corporation will be deemed to have
      accepted this Subscription Agreement upon the delivery on the Closing Date
      of
      the certificates representing the Units to or upon the direction of the
      Subscriber in accordance with the provisions hereof.

     

    25.  The
      headings used in this Subscription Agreement have been inserted for convenience
      of reference only and shall not affect the meaning or interpretation of this
      Subscription Agreement or any provision hereof.

     

    26.  The
      covenants, representations and warranties contained herein shall survive the
      Closing of the transactions contemplated hereby.

     

    27.  Each
      party shall from time to time do such further acts and execute and deliver
      such
      further documents as shall be reasonably required in order to fully perform
      and
      carry out the terms of this Subscription Agreement. 

     

    28.  In
      this
      Subscription Agreement, words importing the singular include the plural and
      vice
      versa and words importing persons include firms or corporations.

     

    29.  This
      Subscription Agreement may be executed in any number of counterparts with the
      same effect as if all parties to this Subscription Agreement had signed the
      same
      document and all counterparts will be construed together and constitute one
      and
      the same instrument.

     

    30.  All
      notices hereunder will be in writing and addressed to the party for whom it
      is
      intended at the address indicated herein. Either party may by notice to the
      other party change its address for service. Any notice personally delivered
      will
      be deemed to have been given or made on the date it was actually delivered,
      or
      if sent by electronic facsimile, will be deemed to have been given or made
      on
      the business day next following the date upon which it was
      transmitted.

     

    31.  In
      this
      Subscription Agreement references to "$" are to United States dollars unless
      stated otherwise.Unassociated Document

    AS
      THE CORPORATION IS NOT A REPORTING ISSUER IN ANY JURISDICTION OF CANADA, UNLESS
      PERMITTED UNDER CANADIAN SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY
      MUST NOT TRADE THE SECURITY IN CANADA AND MAY HAVE TO HOLD THE SECURITY FOR
      AN
      INDEFINITE PERIOD.

    

    NEITHER
      THESE WARRANTS NOR THE COMMON SHARES ISSUABLE UPON EXERCISE THEREOF HAVE BEEN
      REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE
      "U.S.
      SECURITIES ACT"), OR THE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES.
      THESE WARRANTS MAY NOT BE EXERCISED WITHIN THE UNITED STATES OR BY OR ON BEHALF
      OF A U.S. PERSON (AS DEFINED IN REGULATION S UNDER THE U.S. SECURITIES ACT),
      EXCEPT PURSUANT TO AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE U.S.
      SECURITIES ACT, AND EXEMPTIONS FROM APPLICABLE STATE SECURITIES LAWS, IN EACH
      CASE AFTER PROVIDING AN OPINION OF COUNSEL OR OTHER EVIDENCE SATISFACTORY TO
      THE
      CORPORATION TO SUCH EFFECT.

    

    NEITHER
      THESE WARRANTS NOR THE COMMON SHARES ISSUABLE UPON EXERCISE THEREOF MAY BE
      OFFERED, SOLD, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED OR DISPOSED OF
      EXCEPT: (A) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE U.S.
      SECURITIES ACT; (B) IN A TRANSACTION OUTSIDE THE UNITED STATES MEETING THE
      REQUIREMENTS OF RULE 904 OF REGULATION S UNDER THE U.S. SECURITIES ACT OR (C)
      IN
      A TRANSACTION EXEMPT FROM REGISTRATION UNDER THE U.S. SECURITIES ACT AND, IN
      EACH CASE, IN COMPLIANCE WITH ANY APPLICABLE STATE SECURITIES LAWS. PRIOR TO
      THE
      COMPLETION OF ANY SUCH TRANSACTION PURSUANT TO THE FOREGOING CLAUSES (B) OR
      (C),
      THE TRANSFEROR SHALL DELIVER TO THE CORPORATION A WRITTEN OPINION OF COUNSEL
      OR
      OTHER EVIDENCE SATISFACTORY TO THE CORPORATION TO THE EFFECT THAT SUCH
      TRANSACTION IS IN COMPLIANCE WITH THE REGISTRATION REQUIREMENTS OF ALL
      APPLICABLE UNITED STATES FEDERAL AND STATE SECURITIES LAWS. HEDGING TRANSACTIONS
      WITH RESPECT TO THESE WARRANTS AND THE COMMON SHARES ISSUABLE UPON EXERCISE
      THEREOF ARE PROHIBITED UNLESS THEY ARE CONDUCTED IN COMPLIANCE WITH THE U.S.
      SECURITIES ACT.

    

    This
      warrant certificate is void if not exercised on or before 5:00 p.m. (Edmonton
      time) on June 22, 2010.

    

    WARRANT
      CERTIFICATE

    DEEP
      WELL OIL & GAS, INC.

    

    (Incorporated
      under the laws of the State of Nevada and extra-provincially registered in
      the
      Province of Alberta, Canada)

    

    
      	
              WARRANT
                CERTIFICATE  

              NO. __

            	 	_____________WARRANTS, each
              entitling
              the Holder to acquire one Common Share for each Warrant represented
              hereby 
	 	 	 
	 	 	 

    

    

    THIS
      IS TO CERTIFY THAT, FOR VALUE RECEIVED

    

    Name

    Address

    

    (hereinafter
      referred to as the "Holder" or the "Warrantholder") is entitled to acquire
      for
      each Warrant represented hereby, in the manner and subject to the restrictions
      and adjustments set forth herein, at any time and from time to time until
      5:00 p.m. (Edmonton time) (the "Time of Expiry") on the Expiry Date (as
      hereinafter defined), one fully paid and non-assessable common share ("Common
      Share") of DEEP WELL OIL & GAS, INC. (the "Corporation"), at the Exercise
      Price (as hereinafter defined), subject to adjustment as herein
      provided.

     

    These
      Warrants may only be exercised at the principal office of the Corporation at
      510
      Royal Bank Building, 10117 Jasper Avenue, Edmonton, Alberta, T5J 1W8, or such
      other office as the Corporation may advise the Holder in writing. These Warrants
      are issued subject to the terms and conditions appended hereto as Schedule "A".

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    IN
      WITNESS WHEREOF, the Corporation has caused this Warrant Certificate to be
      executed by a duly authorized officer.

     

    
      	DATED this 22nd
              day of June, 2007.	 	 
	 	 	DEEP WELL OIL & GAS,
              INC. 
	 	 	 
	 	 	Per:  

    

     

     

     

    

    (See
      terms and conditions attached hereto)

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    SCHEDULE
      "A"

    

    TERMS
      AND CONDITIONS FOR WARRANT

    

    ARTICLE 1  

     

    INTERPRETATION

    

    	1.1  	
            Definitions

          

     

    In
      these
      Terms and Conditions, unless there is something in the subject matter or context
      inconsistent therewith:

    

    	(a)  	
            "Common
              Shares" means the common shares in the capital of the
              Corporation;

          

     

    	(b)  	
            "Corporation"
              means Deep Well Oil & Gas, Inc.;

          

     

    	(c)  	
            "Current
              Market Price" of the Common Shares at any date means the simple average
              of
              the closing price per share for the Common Shares for any 10 consecutive
              trading days selected by the Corporation commencing not more than 45
              trading days before such date on the stock exchange on which the Common
              Shares are listed or, if such Common Shares are not listed on a stock
              exchange, such over-the-counter market on which the Common Shares are
              quoted or trade (provided that if on any day in such period no closing
              price per share for the Common Shares is reported on by such exchange
              or
              over-the-counter market for such day, the average of the reported closing
              bid and asked prices on such exchange or over-the-counter market on
              such
              day shall be deemed to be the closing price per share for the Common
              Shares for such day) of if the Common Shares are not listed or quoted
              on
              any stock exchange or over-the-counter market, a price determined by
              the
              board of directors of the Corporation acting
              reasonably;

          

     

    	(d)  	
            "Dividend
              Paid in the Ordinary Course" means a dividend declared payable on the
              Common Shares in any four consecutive quarters of the Corporation,
              whether
              in (1) cash, (2) securities of the Corporation, including rights, options
              or warrants (other than rights, options or warrants referred to in
              subsection 4.2(b))
              to purchase any securities of the Corporation or property or other
              assets
              of the Corporation, or (3) property or other assets of the Corporation,
              to
              the extent that the amount or value of such dividend together with
              the
              amount or value of all other dividends theretofore paid during such
              financial year (any such securities, property or other assets so
              distributed to be valued at the fair market value of such securities,
              property or other assets, as the case may be, as determined by the
              Corporation, which determination shall be conclusive, provided that,
              for
              the purposes of this definition, the fair market value of any Common
              Share
              distributed by way of dividend shall be conclusively determined by
              reference to the Current Market Price per Common Share on the date
              prior
              to the declaration of such dividend) does not exceed the greater
              of:

          

     

    	(i)  	
            150%
              of the aggregate amount and/or value of dividends declared payable
              by the
              Corporation on the Common Shares in the period of four consecutive
              financial quarters ended immediately prior to the first day of such
              financial year; and

          

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	(ii)  	
            100%
              of the consolidated net income of the Corporation before extraordinary
              items (but after dividends payable on all shares ranking prior to or
              on a
              parity with respect to the payment of dividends with the Common Shares)
              in
              respect of the period of four consecutive financial quarters ended
              immediately prior to the first day of the current financial quarter
              (such
              consolidated net income, extraordinary items and dividends to be shown
              in
              the audited consolidated financial statements of the Corporation for
              such
              period of four consecutive financial quarters or if there are no audited
              consolidated financial statements for such period, computed in accordance
              with generally accepted accounting principles, consistent with those
              applied in the preparation of the most recent audited consolidated
              financial statements of the Corporation);

          

     

    	(e)  	
            "Exercise
              Price" means the price of US$0.90 per Common Share (subject to adjustment
              in certain events);

          

     

    	(f)  	
            "Expiry
              Date" means the 22nd
              day of June, 2010;

          

     

    	(g)  	
            "herein",
              "hereby" and similar expressions refer to these Terms and Conditions
              as
              the same may be amended or modified from time to time; and the expression
              "Article" and "Section" followed by a number refer to the specified
              Article or Section of these Terms and
              Conditions;

          

     

    	(h)  	
            "person"
              means an individual, corporation, partnership, trustee or any
              unincorporated organization and words importing persons have a similar
              meaning;

          

     

    	(i)  	
            "Time
              of Expiry" means 5:00 p.m. (Edmonton time) on the Expiry
              Date;

          

     

    	(j)  	
            "Warrant"
              means the warrant to acquire Common Shares evidenced by the Warrant
              Certificate issued to the Holder; and

          

     

    	(k)  	
            "Warrant
              Certificate" means the certificate to which these Terms and Conditions
              are
              attached.

          

     

    	1.2  	
            Gender

          

     

    Words
      importing the singular number include the plural and vice versa and words
      importing the masculine gender include the feminine and neuter
      genders.

    

    	1.3  	
            Interpretation
              Not Affected by Headings

          

     

    The
      division of these Terms and Conditions into Articles, Sections and Subsections
      and the insertion of headings are for convenience of reference only and shall
      not affect the construction or interpretation thereof.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	1.4  	
            Applicable
              Law

          

     

    The
      terms
      hereof and of the Warrant shall be construed in accordance with the laws of
      the
      Province of Alberta and the laws of Canada applicable thereto.

    

    ARTICLE 2  

     

    ISSUE
      OF WARRANT

    

    	2.1  	
            Issue
              of Warrants

          

     

    That
      number of Warrants set out on the Warrant Certificate are hereby created and
      authorized to be issued.

    

    	2.2  	
            Additional
              Warrants

          

     

    Subject
      to any other written agreement between the Corporation and the Warrantholder,
      the Corporation may at any time and from time to time undertake further equity
      or debt financing and may issue additional securities of any kind including
      Common Shares, warrants or grant options or similar rights to purchase Common
      Shares to any person.

    

    	2.3  	
            Issue
              in Substitution for Lost Warrants

          

     

    If
      the
      Warrant Certificate becomes mutilated, lost, destroyed or stolen:

    

    	(a)  	
            the
              Corporation shall, subject to subsection 2.3(b)
              hereof, issue and deliver a new Warrant Certificate of like date and
              tenor
              as the one mutilated, lost, destroyed or stolen, in exchange for and
              in
              place of and upon cancellation of such mutilated, lost, destroyed or
              stolen Warrant Certificate; and

          

     

    	(b)  	
            the
              Holder shall bear the cost of the issue of a new Warrant Certificate
              hereunder and in the case of the mutilation, loss, destruction or theft
              of
              the Warrant Certificate, shall, as a condition precedent to the issuance
              of a new Warrant Certificate, furnish to the Corporation such evidence
              of
              mutilation, loss, destruction, or theft as shall be satisfactory to
              the
              Corporation in its sole discretion and, if required by the Corporation,
              an
              indemnity in an amount and form satisfactory to the Corporation, in
              its
              discretion, and shall pay the reasonable charges of the Corporation
              in
              connection therewith.

          

     

    	2.4  	
            Warrantholder
              Not a Shareholder

          

     

    The
      Warrant Certificate shall not constitute the Holder a shareholder of the
      Corporation, nor entitle it to any right or interest in respect thereof except
      as may be expressly provided in the Warrant Certificate. The Corporation may
      deem and treat the Holder of the Warrant Certificate as the absolute owner
      thereof for all purposes and the Corporation shall not be affected by any notice
      to the contrary.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	2.5  	
            Register
              of Warrants 

          

     

    At
      all
      times while Warrants are outstanding, the Corporation shall maintain a register
      of all holders of Warrants on which shall be entered the names, latest known
      addresses of all holders and if available, the telecopier numbers of such
      holders and particulars of the Warrants held by them and a register of transfers
      in which shall be entered the particulars of all transfers of Warrants, such
      registers to be kept by and at the office of the Corporation.

     

    	2.6  	
            Transfer

          

     

    Warrants
      may only be transferred on the register of the Corporation by the Holder thereof
      or its legal representatives or its attorney duly appointed by an instrument
      in
      writing in form and execution satisfactory to the Corporation in accordance
      with
      applicable laws. The Warrants and the Common Shares issuable thereunder are
      and
      may continue to be subject to resale restrictions and hold periods, and holders
      should consult their legal advisors in respect of the same. Such transfer will
      be effected upon surrender to the Corporation of this Warrant Certificate for
      cancellation and the duly completed and executed Transfer Form attached hereto
      as Appendix
      1
      and upon
      compliance, to the reasonable satisfaction of the Corporation,
      with:

    

    	(a)  	
            the
              conditions herein;

          

     

    	(b)  	
            such
              reasonable requirements as the Corporation may require;
              and

          

     

    	(c)  	
            all
              applicable securities legislation and requirements of regulatory
              authorities and all stock exchanges upon which the Common Shares are
              listed from time to time, as applicable.

          

     

    	2.7  	
            Default
              on Issuance of Common Shares

          

     

    Notwithstanding
      anything contained in this Warrant Certificate, if for any reason, other than
      the failure or default of the Holder of the Warrants, the Corporation is unable
      to issue and deliver the Common Shares as contemplated within this Warrant
      Certificate to the Holder upon the proper exercise by the Holder of the right
      to
      purchase any of the Common Shares covered by this Warrant Certificate, the
      corporation, at the option of the Holder, must pay to the Holder, in cash,
      an
      amount equal to the difference between the Exercise Price and the Current Market
      Price of the Common Shares on the Exercise Date, for each Common Share that
      is
      not delivered, in complete satisfaction of its obligations with respect to
      the
      particular Warrant for which the Common Share was not issued.

     

    ARTICLE 3  

     

    EXERCISE
      OF THE WARRANT

     

    3.1  No
      Registration under U.S. Securities Act

     

    The
      Warrants may not be exercised within the United States, or by or on behalf
      of a
“U.S. Person” (as defined in Regulation S under the United States Securities Act
      of 1933, as amended (the “U.S. Securities Act”)), nor will certificates
      representing Common Shares issuable upon exercise of the Warrants be delivered
      in the United States, except pursuant to an exemption from the registration
      requirements of the U.S. Securities Act and exemptions from applicable state
      securities laws. Any person who proposes to exercise a Warrant shall provide
      to
      the Corporation, as contemplated in Appendix
      2,
      either
      (i) written certification that, among other things, the Warrant is not being
      exercised within the United States or by or on behalf of a U.S. Person, (ii)
      a
      written opinion of counsel or other evidence satisfactory to the Corporation
      to
      the effect that the issuance of Common Shares upon exercise of such Warrant
      is
      not required to be registered under the U.S. Securities Act and applicable
      state
      securities laws or (iii) written confirmation by the person exercising the
      Warrant that it is the original purchaser thereof and reaffirming, as of the
      date of such exercise, the representations, warranties made by it in the
      subscription agreement pursuant to which it purchased the Warrant. Common Shares
      issuable upon exercise of Warrants by a person in the United States or by or
      on
      behalf of a U.S. Person may, if so determined by the Corporation in its sole
      discretion, bear a legend restricting transfer.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	3.2  	
            Method
              of Exercise of The Warrant

          

     

    The
      Holder may exercise the right hereby conferred on the Holder to acquire Common
      Shares (subject to the provisions of this Article 3) by:

     

    	(a)  	
            duly
              completing and executing the Warrant Exercise Form attached hereto
              as
              Appendix 2;
              and

          

     

    	(b)  	
            certifying
              that the Holder or (if different) the recipient of the Common Shares
              to be
              issued upon exercise of the Warrant either: (i) is not (a) a "U.S.
              Person", (b) exercising the Warrant(s) on behalf of a "U.S. Person",
              and
              (c) in the United States at the time that the Warrant(s) are exercised
              and
              did not execute or deliver the Warrant Exercise Form in the United
              States;
              or (ii) at or prior to the time of such exercise, has delivered to
              the
              Corporation a written opinion of counsel or other evidence satisfactory
              to
              the Corporation to the effect that the issuance of Common Shares upon
              such
              exercise is not required to be registered under the U.S. Securities
              Act
              and applicable state securities laws; or (iii) is the original purchaser
              of the Warrants and confirms as of the date of such exercise, the
              representations, warranties and agreements made by it in the subscription
              agreement pursuant to which the Warrant was purchased by it;
              and

          

     

    	(c)  	
            surrendering
              this certificate, together with the Holder’s certified cheque or a bank
              draft, money order or wire transfer in the full amount of the total
              aggregate Exercise Price of the Common Shares being purchased, together
              with the duly completed and executed Warrant Exercise Form, to the
              Corporation at its offices,

          

     

    at
      any
      time up until the Time of Expiry. This Warrant Certificate shall be deemed
      to be
      surrendered only upon personal delivery thereof to, or if sent by mail or other
      means of transmission, upon actual receipt thereof by, the Corporation at its
      offices.

    

    	3.3  	
            Effect
              of Exercise of the Warrant

          

     

    	(a)  	
            Upon
              surrender and payment as aforesaid the Common Shares so subscribed
              for
              shall be issued as fully paid and non-assessable shares, free from
              all
              liens, charges and encumbrances and the Holder shall become the Holder
              of
              record of such Common Shares on the date of such surrender and
              payment;

          

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	(b)  	
            Within
              ten (10) business days after surrender and payment as aforesaid, the
              Corporation shall forthwith cause the issuance of and mail to the Holder
              a
              certificate for the Common Shares purchased as
              aforesaid;

          

     

    	(c)  	
            Notwithstanding
              anything herein contained including any adjustment provided for in
              Article 4,
              the Corporation shall not be required, upon the exercise of any Warrants,
              to issue fractions of Common Shares or to distribute certificates which
              evidence fractional Common Shares. Any fractional Common Shares that
              would
              otherwise be issuable upon the exercise of Warrants shall be cancelled
              by
              the Corporation without compensation to the Holder thereof;
              and

          

     

    	(d)  	
            Notwithstanding
              anything herein contained, no Common Shares will be issued pursuant
              to the
              exercise of any Warrant if the issuance of such Common Shares would
              constitute a violation of the securities laws of any applicable
              jurisdiction or the requirements of any applicable stock exchange,
              and
              without limiting the generality of the foregoing, in the event that
              any of
              the Warrants are exercised prior to expiry of any hold period or other
              resale restriction placed thereon by such laws or requirements, the
              certificates evidencing the Common Shares thereby issued will bear
              such
              legend as is required under applicable securities laws and that, in
              the
              opinion of legal counsel to the Corporation, is necessary in order
              to
              avoid a violation of any such laws or requirements.

          

     

    	3.4  	
            Subscription
              for Less than Entitlement

          

     

    The
      Holder may subscribe for and purchase a number of Common Shares less than the
      number which it is entitled to purchase pursuant to the surrendered Warrant
      Certificate. In the event of any purchase of a number of Common Shares less
      than
      the number which can be purchased pursuant to the Warrant Certificate, the
      Corporation shall forthwith issue and deliver to the Holder a new Warrant
      Certificate containing the same terms and conditions as disclosed herein to
      purchase that number of Common Shares with respect to which such partial
      exercise did not apply.

    

    	3.5  	
            Resale
              Restrictions

          

     

    As
      the
      Corporation is not a reporting issuer in any jurisdiction of Canada, unless
      permitted under Canadian securities legislation, the Holder of this security
      must not trade the security in Canada and may have to hold the security for
      an
      indefinite period.

     

    	3.6  	
            Expiration
              of the Warrant

          

     

    After
      the
      Time of Expiry, all rights hereunder shall wholly cease and terminate and the
      Warrant Certificate and the Warrants shall be void and of no further force
      and
      effect.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    ARTICLE 4

     

    ADJUSTMENTS

    

    	4.1  	
            Adjustment
              of Number of Common Shares

          

     

    The
      acquisition rights in effect at any date attaching to the Warrants shall be
      subject to adjustment from time to time as follows:

    

    	(a)  	
            If
              and whenever at any time after the date hereof and prior to the Time
              of
              Expiry, any adjustment in the Exercise Price or in the calculation
              thereof
              pursuant to Section 4.2
              shall occur as a result of:

          

     

    	(i)  	
            an
              event referred to in subsection 4.2(a);

          

     

    	(ii)  	
            the
              fixing by the Corporation of a record date for an event referred to
              in
              subsection 4.2(b);
              or

          

     

    	(iii)  	
            the
              fixing by the Corporation of a record date for an event referred to
              in
              subsection 4.2(c)
              if
              such event constitutes the issue or distribution to the holders of
              all or
              substantially all of its outstanding Common Shares
              of:

          

     

    	(A)  	
            Common
              Shares, or

          

     

    	(B)  	
            securities
              exchangeable for or convertible into Common Shares at less than the
              Current Market Price of the Common Shares on such record date,
              or

          

     

    	(C)  	
            rights,
              options or warrants to acquire Common Shares at an exercise, exchange
              or
              conversion price per Common Share less than the Current Market Price
              of
              the Common Shares on such record date,

          

     

    the
      number of Common Shares obtainable upon the subsequent exercise of the Warrant
      shall be adjusted simultaneously with the adjustment in the Exercise Price
      pursuant to Section 4.2
      by
      multiplying the number of Common Shares theretofore obtainable on the exercise
      thereof immediately prior to such adjustment by a fraction of which the
      numerator shall be the total number of Common Shares outstanding immediately
      after such date and the denominator shall be the total number of Common Shares
      outstanding immediately prior to such date. To the extent that any adjustment
      in
      subscription rights occurs pursuant to this subsection 4.1(a)
      as a
      result of the distribution of securities convertible into or exchangeable for
      Common Shares referred to in subsection 4.2(a)
      or as a
      result of the fixing by the Corporation of a record date for the distribution
      of
      rights, options or warrants referred to in subsection 4.2(b),
      the
      number of Common Shares purchasable upon exercise of a Warrant shall be
      readjusted immediately after the expiration of any relevant exchange, conversion
      or exercise right to the number of Common Shares which would be purchasable
      based upon the
      number of Common Shares actually issued and remaining issuable immediately
      after
      such expiration, and shall be further readjusted in such manner upon expiration
      of any further such right. To the extent that any such adjustment in
      subscription rights occurs pursuant to this subsection 4.1(a)
      as a
      result of the fixing by the Corporation of a record date for the distribution
      referred to in subsection 4.2(c)
      of
      rights, options or warrants or exchangeable or convertible securities, the
      number of Common Shares purchasable upon exercise of a Warrant shall be
      readjusted immediately after the expiration of any relevant exchange, conversion
      or exercise right to the number which would be purchasable pursuant to this
      subsection 4.1(a)
      if the
      fair market value of such rights, options or warrants or other exchangeable
      or
      convertible securities had been determined for the purposes of the adjustment
      pursuant to this subsection 4.1(a)
      on the
      basis of the number of Common Shares issued and remaining issuable immediately
      after such expiration, and shall be further readjusted in such manner upon
      expiration of any further right.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	(b)  	
            If
              and whenever at any time after the date hereof and prior to the Time
              of
              Expiry there is a reclassification of the Common Shares or a capital
              reorganization of the Corporation other than as described in subsection
              4.2(a)
              or
              a consolidation, amalgamation or merger of the Corporation (including,
              without limitation, by way of plan of arrangement) with or into any
              other
              body corporate, trust, partnership or other entity, or a sale or
              conveyance of the property and assets of the Corporation as an entirety
              or
              substantially as an entirety to any other body corporate, trust,
              partnership or other entity, any Warrantholder who has not exercised
              his
              right of acquisition prior to the effective date of such reclassification,
              reorganization, consolidation, amalgamation, merger, sale or conveyance,
              upon the exercise of such right thereafter, shall be entitled to receive
              and shall accept, in lieu of the number of Common Shares then sought
              to be
              acquired by it, the kind and number of shares or other securities or
              property of the Corporation or of the body corporate, trust, partnership
              or other entity resulting from such reclassification, reorganization,
              consolidation, amalgamation or merger, or to which such sale or conveyance
              may be made, as the case may be, that such Holder would have been entitled
              to receive as a result of such reclassification, reorganization,
              consolidation, amalgamation, merger, sale or conveyance, if, on the
              record
              date or the effective date thereof, as the case may be, the Warrantholder
              had been the registered Holder of the number of Common Shares to which
              the
              Holder was theretofore entitled upon exercise. If determined appropriate
              by the board of directors of the Corporation to give effect to or to
              evidence the provisions of this subsection 4.1(b),
              the Corporation, its successor, or such purchasing body corporate,
              partnership, trust or other entity, as the case may be, shall prior to or
              contemporaneously with any such reclassification, reorganization,
              consolidation, amalgamation, merger, sale or conveyance, enter into
              an
              agreement or new Warrant Certificate which shall provide, to the extent
              possible, for the application of the provisions set forth in this Warrant
              Certificate with respect to the rights and interests thereafter of
              the
              Warrantholder to the end that the provisions set forth in this Warrant
              shall thereafter correspondingly be made applicable, as nearly as may
              reasonably be, with respect to any shares, other securities or property
              to
              which a Warrantholder is entitled on the exercise of its acquisition
              rights thereafter and upon entering into such new Warrant Certificate
              or
              agreement, the Corporation shall cease to have any obligations (including
              the obligation to issue any Common Shares) hereunder and the Holder
              shall
              cease to have any rights hereunder. Any Warrant Certificate or agreement
              entered into pursuant to the provisions of this subsection 4.1(b)
              shall be an agreement entered into pursuant to the provisions of
              Article 6.
              Any Warrant Certificate or agreement entered into between the Corporation,
              any successor to the Corporation or such purchasing body corporate,
              partnership, trust or other entity shall provide for adjustments which
              shall be as nearly equivalent as may be practicable to the adjustments
              provided in this Article 4
              and which shall apply to successive reclassifications, reorganizations,
              consolidations, amalgamations, mergers, sales or
              conveyances.

          

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	4.2  	
            Adjustment
              of
              Exercise Price

          

     

    The
      Exercise Price in effect at any date attaching to the Warrants shall be subject
      to adjustment from time to time as follows:

    

    	(a)  	
            If
              and whenever after the date hereof and at any time prior to the Time
              of
              Expiry, the Corporation shall:

          

     

    	(i)  	
            subdivide,
              divide or change its outstanding Common Shares into a greater number
              of
              Common Shares;

          

     

    	(ii)  	
            consolidate,
              reduce or combine its outstanding Common Shares into a lesser number
              of
              Common Shares;

          

     

    	(iii)  	
            make
              any distribution, other than by way of Dividend Paid in the Ordinary
              Course, to the holders of all or substantially all of the outstanding
              Common Shares payable in Common Shares;

          

     

    
      	 	
              the
                Exercise Price in effect on the effective date of such events referred
                to
                in subsections 4.2(a)(i),
                4.2(a)(ii),
                or 4.2(a)(iii)
                shall be adjusted to equal the price determined by multiplying the
                Exercise Price in effect immediately prior to such effective date
                by a
                fraction of which the numerator shall be the total number of Common
                Shares
                outstanding immediately prior to such date and the denominator shall
                be
                the total number of Common Shares immediately after such date. Such
                adjustment shall be made successively whenever any event referred
                to in
                this subsection 4.2(a)
                shall occur.

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	(b)  	
            If
              and whenever at any time after the date hereof, the Corporation shall
              fix
              a record date which is prior to the Time of Expiry for the issue of
              rights, options or warrants to all or substantially all the holders
              of
              outstanding Common Shares under which such holders are entitled during
              a
              period expiring not more than sixty (60) days after the record date
              for
              such issue to subscribe for or purchase Common Shares, or securities
              convertible into or exchangeable for Common Shares, at a price per
              Common
              Share or having a conversion or exchange price per Common Share less
              than
              the Current Market Price per Common Share on such record date, the
              Exercise Price shall be adjusted immediately after such record date
              so
              that it shall equal the price determined by multiplying the Exercise
              Price
              in effect on such record date by a fraction of which the numerator
              shall
              be the total number of Common Shares outstanding on such record date
              plus
              a number of Common Shares equal to the number arrived at by dividing
              the
              aggregate price of the total number of additional Common Shares offered
              for subscription or purchase, or the aggregate conversion or exchange
              price of the convertible securities so offered, by such Current Market
              Price per Common Share, and of which the denominator shall be the total
              number of Common Shares outstanding on such record date plus the total
              number of additional Common Shares offered for subscription or purchase
              (or into which the convertible securities so offered are convertible
              or
              exchangeable). If by the terms of the rights, options or warrants referred
              to in this subsection 4.2(b),
              there is more than one purchase, conversion or exchange price per Common
              Share, the aggregate price of the total number of additional Common
              Shares
              offered for subscription or purchase, or the aggregate conversion or
              exchange price of the convertible securities so offered, shall be
              calculated for purposes of the adjustment on the basis of the lowest
              purchase, conversion or exchange price per Common Share, as the case
              may
              be. Any Common Shares owned by or held for the account of the Corporation
              or any subsidiary of the Corporation shall be deemed not to be outstanding
              for the purpose of any such computation. To the extent that any adjustment
              in Exercise Price occurs pursuant to this subsection 4.2(b)
              as
              a result of the fixing by the Corporation of a record date for the
              distribution of rights, options or warrants referred to in this subsection
              4.2(b),
              the Exercise Price shall be readjusted immediately after the expiration
              of
              any relevant exchange, conversion or exercise right to the Exercise
              Price
              which would then be in effect based upon the number of Common Shares
              actually issued and remaining issuable after such expiration, and shall
              be
              further readjusted in such manner upon expiration of any further such
              right.

          

     

    	(c)  	
            If
              and whenever at any time prior to the Time of Expiry, the Corporation
              shall fix a record date which is prior to the Time of Expiry for the
              issue
              or distribution to all or substantially all the holders of its outstanding
              Common Shares of:

          

     

    	(i)  	
            shares
              of any class other than Common Shares (excluding Dividends Paid in
              the
              Ordinary Course);

          

     

    	(ii)  	
            rights,
              options or warrants (excluding those referred to in subsection
              4.2(b));

          

     

    	(iii)  	
            evidences
              of its indebtedness; or

          

     

    	(iv)  	
            any
              other property or assets (excluding Dividends Paid in the Ordinary
              Course);

          

     

    then,
      and
      in each such case, the Exercise Price shall be adjusted immediately after such
      record date so that it shall equal the price determined by multiplying the
      Exercise Price in effect on such record date by a fraction, of which the
      numerator shall be the total number of Common Shares outstanding on such record
      date multiplied by the Current Market Price on such record date, less the
      aggregate fair market value (as determined by the Corporation, which
      determination shall be conclusive) of such shares, rights, options, warrants,
      evidences of indebtedness or assets so issued or distributed, and of which
      the
      denominator shall be the total number of Common Shares outstanding on such
      record date multiplied by such Current Market Price, and any Common Shares
      owned
      by or held for the account of the Corporation or any subsidiary of the
      Corporation shall be deemed not to be outstanding for the purpose of any such
      computation. Such adjustment shall be made successively whenever such a record
      date is fixed, and to the extent that such distribution is not so made, the
      Exercise Price shall then be readjusted to the Exercise Price which would then
      be in effect if such record date had not been fixed or to the Exercise Price
      which would then be in effect based upon such shares, rights, options, warrants,
      evidences of indebtedness or assets actually distributed, as the case may
      be.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	4.3  	
            General
              Adjustments

          

     

    	(a)  	
            If
              necessary, appropriate adjustments shall be made in the application
              of the
              provisions set forth in this Article 4
              with respect to the rights and interests thereafter of the holders
              of
              Warrants to the end that the provisions set forth in this Article 4
              shall thereafter correspondingly be made applicable as nearly as may
              reasonably be possible in relation to any shares or other securities
              or
              property thereafter deliverable upon the exercise of any Warrant. Any
              such
              adjustments shall be made by and set forth in an amendment to this
              Warrant
              Certificate hereto approved by the directors of the Corporation and
              shall
              for all purposes conclusively be deemed to
              be
              an appropriate adjustment.

          

     

    	(b)  	
            If
              any case in which this Article 4
              shall require that an adjustment shall become effective immediately
              after
              a record date for an event referred to herein, the Corporation may
              defer,
              until the occurrence of such event, issuing to the Holder of any Warrant
              exercised after such event the additional Common Shares issuable upon
              such
              conversion by reason of the adjustment required by such event before
              giving effect to such adjustment; provided, however, that the Corporation
              shall deliver to such Holder an appropriate instrument evidencing such
              Holder's right to receive such additional Common Shares upon the
              occurrence of the event requiring such adjustment and the right to
              receive
              any distributions made on such additional Common Shares declared in
              favour
              of holders of record of Common Shares on and after the relevant date
              of
              exercise or such later date as such Holder would, but for the provisions
              of this subsection 4.3(b),
              have become the Holder of record of such additional Common Shares as
              a
              result of the exercise of the Warrants.

          

     

    	(c)  	
            No
              adjustment in the Exercise Price or in the number of shares to be issued
              pursuant to the exercise of the Warrants shall be required unless such
              adjustment would result in a change of at least 1% in the Exercise
              Price
              then in effect or unless the number of shares to be issued would change
              by
              at least 1/100th of a share, provided, however, that any adjustments
              which, except for the provisions of this subsection 4.3(c)
              would otherwise have been required to be made, shall be carried forward
              and taken into account in any subsequent
              adjustment.

          

     

    	(d)  	
            The
              adjustments provided for in this Article 4
              in
              the Exercise Price and in the number and classes of shares which are
              to be
              received on the exercise of Warrants are cumulative. After any adjustment
              pursuant to this Section, the term "Common Shares" where used in this
              Warrant shall be interpreted to mean the shares or other securities
              or
              property of the Corporation which, as a result of all prior adjustments
              pursuant to this Section, the Warrantholder is entitled to receive
              upon
              the exercise of his Warrant, and the number of Common Shares indicated
              in
              any subscription made pursuant to a Warrant shall be interpreted to
              mean
              the number and kind of securities or property which, as a result of
              all
              prior adjustments pursuant to this Article 4,
              a
              Warrantholder is entitled to receive upon the full exercise of a Warrant
              entitling the Holder thereof to purchase the number of Common Shares
              so
              indicated.

          

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	(e)  	
            All
              securities and property which a Warrantholder is at the time in question
              entitled to receive on the full exercise of his Warrant, whether or
              not as
              a result of adjustments made pursuant to this Section, shall, for the
              purposes of the interpretation of this Warrant be deemed to be securities
              and property which such Warrantholder is entitled to purchase pursuant
              to
              such Warrant.

          

     

    	4.4  	
            Notice
              of Adjustment

          

     

    Whenever
      the number of Common Shares purchasable upon the exercise of each Warrant or
      the
      Exercise Price of such Common Shares is adjusted, as herein provided, the
      Corporation shall promptly send to the Warrantholder by first class mail,
      postage prepaid, notice of such adjustment or adjustments.

     

    ARTICLE 5  

     

    COVENANTS
      BY THE CORPORATION

    

    	5.1  	
            Covenants
              by the Corporation

          

     

    The
      Corporation hereby covenants and agrees as follows:

    

    	(a)  	
            it
              will at all times maintain its corporate existence and will carry on
              its
              business as currently carried on;

          

     

    	(b)  	
            it
              will reserve and there will remain unissued out of its authorized capital
              a sufficient number of Common Shares to satisfy the rights of acquisition
              provided for in the Warrant Certificate;
              and

          

     

    	(c)  	
            all
              Common Shares issued upon exercise of the right to purchase provided
              for
              herein shall, upon payment of the Exercise Price therefor, be issued
              as
              fully paid and non-assessable shares.

          

     

    ARTICLE 6  

     

    MERGER
      AND SUCCESSORS

    

    	6.1  	
            Corporation
              May Consolidate, etc. on Certain Terms

          

     

    Nothing
      herein contained shall prevent any consolidation, reorganization, amalgamation,
      arrangement or merger of the Corporation with or into any other body corporate,
      trust, partnership or other entity, or a conveyance or transfer of all or
      substantially all the properties and assets of the Corporation as an entirety
      or
      substantially as an entirety to any other body corporate, trust, partnership
      or
      other entity lawfully entitled to acquire and operate same, provided, however,
      that the other body corporate, trust, partnership or other entity formed by
      such
      reorganization, consolidation, amalgamation, arrangement or merger or which
      acquires by conveyance or transfer all or substantially all the properties
      and
      assets of the Corporation shall, simultaneously with such reorganization,
      consolidation, amalgamation, arrangement, merger, conveyance or transfer, assume
      the due and punctual performance and observance of all the covenants and
      conditions hereof to be performed or observed by the Corporation.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	6.2  	
            Successor
              Corporation Substituted

          

     

    In
      case
      the Corporation, pursuant to Section 6.1,
      shall
      be reorganized, consolidated, amalgamated, arranged, or merged with or into
      any
      other body corporate, trust, partnership or other entity, or shall convey or
      transfer all or substantially all of its properties and assets as an entirety
      or
      substantially as an entirety to any other body corporate, trust, partnership
      or
      other entity, the successor formed by such reorganization, consolidation,
      amalgamation, arrangement or merger or into which the Corporation shall have
      been reorganized, consolidated, amalgamated, arranged or merged or which shall
      have received a conveyance or transfer as aforesaid, shall succeed to and be
      substituted for the Corporation hereunder and such changes in phraseology and
      form (but not in substance) may be made in the Warrant Certificate and herein
      as
      may be appropriate in view of such reorganization, consolidation, amalgamation,
      arrangement, merger, conveyance or transfer.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

      APPENDIX
        1

       

      TRANSFER
        FORM

    

    

    FOR
      VALUE
      RECEIVED, the undersigned hereby sells, assigns and transfers to
      _____________________________________, __________________ Warrants of
Deep
      Well Oil & Gas, Inc. registered
      in the name of the undersigned on the records of Deep
      Well Oil & Gas, Inc. represented
      by the Warrant Certificate attached hereto and irrevocably appoints Deep
      Well Oil & Gas, Inc. the
      attorney of the undersigned to transfer the said securities on the books or
      register with full power of substitution. 

    

    DATED
      the
      ______ day of ________________, 200__.

     

    
      	 	 	 
	Signature Guaranteed 	 	Signature of
              Holder 

    

     

     

    Instructions:

    

    
      	
              1.

            	
              The
                signature of the Holder must be the signature of the person appearing
                on
                the face of this Certificate.

            

    

    

    
      	
              2.

            	
              If
                the Transfer Form is signed by a trustee, executor, administrator,
                curator, guardian, attorney, officer of a corporation or any person
                acting
                in a judiciary or representative capacity, the certificate must be
                accompanied by evidence of authority to sign satisfactory to the
                Corporation.

            

    

    

    
      	
              3.

            	
              The
                signature on the Transfer Form must be guaranteed by an authorized
                officer
                of a chartered bank, trust Corporation or an investment dealer who
                is a
                member of a recognized stock
                exchange.

            

    

    

    
      	
              4.

            	
              Warrants
                shall only be transferable in accordance with applicable laws. The
                Warrants and the Common Shares issuable thereunder are subject to
                resale
                restrictions and hold periods which will prevent the Holder, except
                in
                very limited circumstances from trading such securities. Holders
                should
                consult their legal advisors in this
                regard.

            

    

    
           

      
        
           

        

        
           

          
            

          

        

        
           

        

      

    

    

      APPENDIX
        2

    WARRANT
      EXERCISE FORM

    

    TO: Deep
      Well
      Oil & Gas, Inc.

    

    The
      undersigned Holder of the within Warrant(s) hereby subscribes for
      _______________ Common Shares of Deep Well Oil & Gas, Inc. (the
      "Corporation") (or such number of Common Shares or other securities or property
      to which such exercise entitles the undersigned in lieu thereof or in addition
      thereto under the provisions of the Warrant Certificate) pursuant to the within
      Warrant(s) at US$0.90 per share (or the adjusted dollar amount per share at
      which the undersigned is entitled to purchase such shares under the provisions
      of the Warrant(s) subscribed for above) prior to 5:00 p.m. (Edmonton time)
      on
      the Expiry Date on the terms specified in the said Warrant Certificate, which
      certificate is surrendered to the Corporation and which will, upon the issuance
      of the Common Shares referred to above and the issuance of a new Warrant for
      any
      outstanding rights of the surrendered Warrant, be null and void. The undersigned
      also encloses herewith a certified cheque, bank draft or money order or has
      transmitted good same day funds by wire or other similar transfer, in lawful
      money of the United States, payable to or to the order of Deep Well Oil &
Gas, Inc. in payment of the exercise price.

    

    In
      order
      to exercise any Warrants represented by this certificate, the person exercising
      Warrant(s) must check one of the following:

     

    [PLEASE
      CHECK ONE]

     

    	o  	
            The
              undersigned Holder (i) at the time of exercise of these Warrants is
              not in
              the United States; (ii) is not a "U.S. person" as defined in Regulation
              S
              under the United States Securities Act of 1933, as amended (the "U.S.
              Securities Act"), and is not exercising these Warrants on behalf of
              a
              "U.S. person"; (iii) did not acquire the Warrants in the United States;
              (iv) did not execute or deliver this Warrant Exercise Form in the United
              States; or

          

    	 	 

    	o  	
            The
              undersigned certifies that an exemption from registration under the
              U.S.
              Securities Act and any applicable state securities laws is available,
              and
              attached hereto is an opinion of counsel to such effect, it being
              understood that any opinion of counsel tendered in connection with
              the
              exercise of these Warrants must be in form and substance satisfactory
              to
              the Corporation; or

          

    	 	 

    	o  	
            The
              undersigned certifies that the undersigned is the original purchaser
              of
              the Warrant(s) being exercised and confirms as of the date hereof,
              the
              representations, warranties and agreements made by the undersigned
              in the
              subscription agreement pursuant to which such Warrant(s) was acquired
              by
              it.

          

    

    The
      undersigned directs that the said Common Shares hereby exercised, be issued
      and
      delivered as follows:

    

      
        	
                Name
                  in full

              	 	
                Address(es)
                  (Include Postal Code)

              	
                 

              	
                #
                  of Common Shares

              
	
                 

              	 	 	 	 

      

    (Please
      print full name in which certificates are to be issued. If any of the securities
      are to be issued to a person or persons other than the undersigned, the
      undersigned Holder must pay to the Corporation all requisite taxes or other
      governmental charges.)

    

      
        	
                DATED
                  this

              	
                 day
                  of        ,
                  200    .

              	
                 

              	
                 

              
	 	 	 
	 	 	 
	
                Witness

              	 	
                 Signature
                  of Warrantholder (or its representative if
                  not an individual).

              
	 	 	 	 
	
                Print
                  name and address of Warrantholder in full

              	 	 
	 	 	 
	
                Name:

              	 	
                 Address:

              
	 	 	 
	
                Title
                  of person signing on behalf of Holder (if subscriber is not an
                  individual):

              	 	 
	 	 	 
	 	 	 
	 	 	
                 Signature
                  Guaranteed

              

      

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    	1.  	
            If
              the Warrant Exercise Form indicates that Common Shares are to be issued
              to
              a person or persons other than the registered Holder of the certificate,
              the signature of such Holder of the Warrant Exercise Form must be
              guaranteed by an authorized officer of a chartered bank, trust corporation
              or an investment dealer who is a member of a recognized stock
              exchange.

          

     

    	2.  	
            If
              the Warrant Exercise Form is signed by a trustee, executor, administrator,
              curator, guardian, attorney, officer of a corporation or any person
              acting
              in a judiciary or representative capacity, the certificate must be
              accompanied by evidence of authority to sign satisfactory to the
              Corporation.

          

     

    	3.  	
            If
              the registered Holder exercises its right to receive Common Shares
              prior
              to expiry of any hold period or other resale restriction placed on
              the
              Warrants by the securities laws of any applicable jurisdiction or the
              requirements of any applicable stock exchange, the certificates evidencing
              the Common Shares thereby issued will bear such legend as is required
              under applicable securities laws and that, in the opinion of legal
              counsel
              to the Corporation, be necessary in order to avoid a violation of any
              such
              laws or
              requirements.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00125-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00125-of-00352.parquet"}]]