Document:

EXHIBIT
      10.1

     

    REGISTRATION
      RIGHTS AGREEMENT

     

    This
      Registration Rights Agreement (this “Agreement”)
      is
      made and entered into as of March 31, 2008, by and among TRUE
      NORTH ENERGY CORPORATION,
      a
      Nevada corporation (the “Company”),
      and
      VALENS U.S. SPV I, LLC and VALENS OFFSHORE SPV II, CORP. (collectively, the
      “Purchasers”).

     

    This
      Agreement is made pursuant to that certain letter agreement dated March 27,
      2008, by and among the Purchasers, ICF Energy Corporation, a Texas corporation
      (“ICF”)
      and
      the Company (as amended, modified or supplemented from time to time, the
“Letter
      Agreement”),
      .

     

    The
      Company and the Purchasers hereby agree as follows:

     

    1. Definitions.
      Capitalized terms used and not otherwise defined herein that are defined in
      the
      purchase agreement shall have the meanings given such terms in the purchase
      agreement. As used in this agreement, the following terms shall have the
      following meanings:

     

    “Commission”
      means
      the Securities and Exchange Commission.

     

    “Common
      Stock”
      means
      shares of the Company’s common stock, par value $0.0001 per share.

     

    “Closing
      Shares” means
      the
      shares of Common Stock issued to the Purchasers pursuant to the Letter
      Agreement.

     

    “Demand
      Notice”
      has the
      meaning set forth in Section 2(a).

     

    “Demand
      Registration”
      has the
      meaning set forth in Section 2(a).

     

    “Effectiveness
      Date”
      means a
      date no later than thirty (30) days following the Filing Date in the event
      the
      Commission determines not to review the Registration Statement or ninety (90)
      days following the Filing Date if the Commission determines to review the
      Registration Statement. The Effectiveness date shall be extended to one hundred
      twenty (120) days following the Filing Date if the Commission issues more than
      two comment letters on the Registration Statement.

     

    “Effectiveness
      Period”
      has the
      meaning set forth in Section 2(a).

     

    “Exchange
      Act”
      means
      the Securities Exchange Act of 1934, as amended, and any successor
      statute.

     

    “Event”
      has the
      meaning set forth in Section 2(b).

     

    “Event
      Date”
      has the
      meaning set forth in Section 2(b).

     

    “Filing
      Date”
      means
      thirty (30) days following the date of a Demand Notice.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    “Holder”
      or
“Holders”
      means
      the Purchasers or any of their respective affiliates or transferees to the
      extent any of them hold Registrable Securities, other than those purchasing
      Registrable Securities in a market transaction.

     

    “Indemnified
      Party”
      has the
      meaning set forth in Section 5(c).

     

    “Indemnifying
      Party”
      has the
      meaning set forth in Section 5(c).

     

    “Note
      Amount”
      means
      $425,000.00.

     

    “Proceeding”
      means an
      action, claim, suit, investigation or proceeding (including, without limitation,
      an investigation or partial proceeding, such as a deposition), whether commenced
      or threatened.

     

    “Prospectus”
      means
      the prospectus included in a Registration Statement (including, without
      limitation, a prospectus that includes any information previously omitted from
      a
      prospectus filed as part of an effective registration statement in reliance
      upon
      Rule 430A promulgated under the Securities Act), as amended or supplemented
      by
      any prospectus supplement, with respect to the terms of the offering of any
      portion of the Registrable Securities covered by such Registration Statement,
      and all other amendments and supplements to the Prospectus, including
      post-effective amendments, and all material incorporated by reference or deemed
      to be incorporated by reference in such Prospectus.

     

    “Purchase
      Agreement”
      means
      the Securities Purchase Agreement dated September 17, 2007 by and between the
      Company, the Purchasers and ICF.

     

    “Registrable
      Securities”
      means
      the Closing Shares.

     

    “Registration
      Statement”
      means
      each registration statement required to be filed hereunder, including the
      Prospectus therein, amendments and supplements to such registration statement
      or
      Prospectus, including pre- and post-effective amendments, all exhibits thereto,
      and all material incorporated by reference or deemed to be incorporated by
      reference in such registration statement.

     

    “Rule
      144”
      means
      Rule 144 promulgated by the Commission pursuant to the Securities Act, as such
      Rule may be amended from time to time, or any similar rule or regulation
      hereafter adopted by the Commission having substantially the same effect as
      such
      Rule.

     

    “Rule
      415”
      means
      Rule 415 promulgated by the Commission pursuant to the Securities Act, as such
      Rule may be amended from time to time, or any similar rule or regulation
      hereafter adopted by the Commission having substantially the same effect as
      such
      Rule.

     

    “Securities
      Act”
      means
      the Securities Act of 1933, as amended, and any successor statute.

     

    “Trading
      Market”
      means
      any of the NASDAQ Over The Counter Bulletin Board, NASDAQ Capital Market, the
      NASDAQ Global Markets System, the American Stock Exchange or the New York Stock
      Exchange

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

     

    2. Registration.

     

    (a) In
      the
      event the Purchasers determine that they are unable to sell all of the
      Registrable Securities, for any reason, pursuant to an exemption from
      registration provided by Rule 144, then the holders of a majority-in-interest
      of
      the Registrable Securities held by the Purchasers may, at any time after sixty
      (60) days following the date of this Agreement, make a written demand for
      registration under the Securities Act of all or part of their Registrable
      Securities (a “Demand
      Notice”).
      Upon
      receipt of a Demand Notice, the Company shall, on or prior to the Filing Date,
      prepare and file with the Commission a Registration Statement covering the
      Registrable Securities for a selling stockholder resale offering to be made
      on a
      continuous basis pursuant to Rule 415 (a “Demand
      Registration.).
      Each
      Registration Statement shall be on Form S-3 (except if the Company is not then
      eligible to register for resale the Registrable Securities on Form S-3, in
      which
      case such registration shall be on another appropriate form in accordance
      herewith). The Company shall cause each Registration Statement to become
      effective and remain effective as provided herein. The Company shall use its
      best efforts to cause each Registration Statement to be declared effective
      under
      the Securities Act as promptly as possible after the filing thereof, but in
      any
      event no later than the Effectiveness Date. The Company shall use its best
      efforts to keep each Registration Statement continuously effective under the
      Securities Act until the date which is the earlier date of when (i) all
      Registrable Securities covered by such Registration Statement have been sold
      or
      (ii) all Registrable Securities covered by such Registration Statement may
      be
      sold immediately without registration under the Securities Act and without
      volume restrictions pursuant to Rule 144(b), as determined by the counsel to
      the
      Company pursuant to a written opinion letter to such effect, addressed and
      acceptable to the Company’s transfer agent and the affected Holders (each, an
“Effectiveness
      Period”).

     

    (b) If:
      (i)
      the Registration Statement is not filed on or prior to the Filing Date; (ii)
      the
      Registration Statement is not declared effective by the Commission by the
      Effectiveness Date; (iii) after the Registration Statement is filed with and
      declared effective by the Commission, the Registration Statement ceases to
      be
      effective (by suspension or otherwise) as to all Registrable Securities to
      which
      it is required to relate at any time prior to the expiration of the
      Effectiveness Period (without being succeeded immediately by an additional
      registration statement filed and declared effective) for a period of time which
      shall exceed thirty (30) days in the aggregate per year or more than twenty
      (20)
      consecutive calendar days (defined as a period of 365 days commencing on the
      date the Registration Statement is declared effective); or (iv) the Common
      Stock
      is not listed or quoted, or is suspended from trading on any Trading Market
      for
      a period of three (3) consecutive Trading Days (provided the Company shall
      not
      have been able to cure such trading suspension within thirty (30) days of the
      notice thereof or list the Common Stock on another Trading Market); (any such
      failure or breach being referred to as an “Event,”
and
      for purposes of clause (i) or (ii) the date on which such Event occurs, or
      for
      purposes of clause (iii) the date which such thirty (30) day or twenty (20)
      consecutive day period (as the case may be) is exceeded, or for purposes of
      clause (iv) the date on which such three (3) Trading Day period is exceeded,
      being referred to as “Event
      Date”),
      then
      until the applicable Event is cured, the Company shall pay to each Holder an
      amount in cash, as liquidated damages and not as a penalty, equal to one percent
      (1.0%) for each thirty (30) day period (prorated for partial periods) on a
      daily
      basis of the Note Amount; provided that, the maximum aggregate amount of
      liquidated damages that may be charged to the Company pursuant to this Section
      2(b) shall not exceed ten percent (10%) of the Note Amount. While such Event
      continues, such liquidated damages shall be paid not less often than each thirty
      (30) days. Any unpaid liquidated damages as of the date when an Event has been
      cured by the Company shall be paid within three (3) days following the date
      on
      which such Event has been cured by the Company. Notwithstanding the foregoing,
      (A) if the Commission does not declare the Registration Statement effective
      on
      or before the Effectiveness Date, or (B) if the Commission allows the
      Registration Statement to be declared effective at any time before or after
      the
      Effectiveness Date, subject to the withdrawal of certain Registrable Securities
      from the Registration Statement, and the reason for (A) or (B) is the
      Commission’s determination that (x) the offering of any of the Registrable
      Securities constitutes a primary offering of securities by the Company, (y)
      Rule
      415 may not be relied upon for the registration of the resale of any or all
      of
      the Registrable Securities, and/or (z) a Holder of any Registrable Securities
      must be named as an underwriter, the Holders understand and agree that in the
      case of (B) the Company may reduce, on a pro rata basis, the total number of
      Registrable Securities to be registered on behalf of each such Holder, and,
      in
      the case of (A) or (B), the overall limit of liquidated damages that a Holder
      shall be entitled to with respect to the Registrable Securities not registered
      for the reason set forth in (A), or so reduced on a pro rata basis as set forth
      in (B) shall be one percent (1%) for each thirty (30) day period (pro rated
      for
      partial periods) on a daily basis of the Note Amount; provided that, the maximum
      aggregate amount of liquidated damages that may be charged to the Company
      pursuant to this Section 2(b) shall not exceed ten percent (10%) of the Note
      Amount. Notwithstanding the foregoing, in the event that securities other than
      the Registrable Securities are being included in any Registration Statement
      (whether because they were listed on Schedule 7(b) or they are being permitted
      to be included by the Purchaser), the number of Registrable Securities included
      in the Registration Statement may be reduced only (i) if the Commission
      specifically indicates that a portion of the Registrable Securities being
      registered must be removed from the Registration Statement in order for the
      Commission to declare the Registration Statement effective, or (ii) (a) if
      all
      other securities included in such Registration Statement have been removed
      from
      such Registration Statement, and (b) to the extent necessary for the Commission
      to declare the registration Statement effective.

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

     

    (c)
      Within
      three (3) business days of the Effectiveness Date, the Company shall cause
      its
      counsel to issue a blanket opinion in the form attached hereto as Exhibit A,
      to
      the transfer agent stating that the shares are subject to an effective
      registration statement and can be reissued free of restrictive legend upon
      notice of a sale by the Purchaser and confirmation by the Purchaser that it
      has
      complied with the prospectus delivery requirements, provided that the Company
      has not advised the transfer agent orally or in writing that the opinion has
      been withdrawn. Copies of the blanket opinion required by this Section 2(c)
      shall be delivered to the Purchaser within the time frame set forth
      above.

     

    (d)
      The
      Company shall not be obligated to effect more than an aggregate of two (2)
      Demand Registrations under this Section 2 in respect of Registrable
      Securities.

     

    3.
      Registration
      Procedures.
      If and
      whenever the Company is required by the provisions hereof to effect a Demand
      Registration, the Company will, as expeditiously as possible:

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

     

    (a) prepare
      and file with the Commission a Registration Statement with respect to such
      Registrable Securities, respond as promptly as possible to any comments received
      from the Commission, and use its best efforts to cause such Registration
      Statement to become and remain effective for the Effectiveness Period with
      respect thereto, and promptly provide to the Purchaser copies of all filings
      and
      Commission letters of comment relating thereto;

     

    (b) prepare
      and file with the Commission such amendments and supplements to such
      Registration Statement and the Prospectus used in connection therewith as may
      be
      necessary to comply with the provisions of the Securities Act with respect
      to
      the disposition of all Registrable Securities covered by such Registration
      Statement and to keep such Registration Statement effective until the expiration
      of the Effectiveness Period applicable to such Registration
      Statement;

     

    (c) furnish
      to the Purchaser such number of copies of the Registration Statement and the
      Prospectus included therein (including each preliminary Prospectus) as the
      Purchaser reasonably may request to facilitate the public sale or disposition
      of
      the Registrable Securities covered by such Registration Statement;

     

    (d) use
      its
      best efforts to register or qualify the Purchaser’s Registrable Securities
      covered by such Registration Statement under the securities or “blue sky” laws
      of such jurisdictions within the United States as the Purchaser may reasonably
      request, provided, however, that the Company shall not for any such purpose
      be
      required to qualify generally to transact business as a foreign corporation
      in
      any jurisdiction where it is not so qualified or to consent to general service
      of process in any such jurisdiction;

     

    (e) list
      the
      Registrable Securities covered by such Registration Statement with any
      securities exchange on which the Common Stock of the Company is then
      listed;

     

    (f) immediately
      notify the Purchaser at any time when a Prospectus relating thereto is required
      to be delivered under the Securities Act, of the happening of any event of
      which
      the Company has knowledge as a result of which the Prospectus contained in
      such
      Registration Statement, as then in effect, includes an untrue statement of
      a
      material fact or omits to state a material fact required to be stated therein
      or
      necessary to make the statements therein not misleading in light of the
      circumstances then existing; and

     

    (g) make
      available for inspection by the Purchaser and any attorney, accountant or other
      agent retained by the Purchaser, all publicly available, non-confidential
      financial and other records, pertinent corporate documents and properties of
      the
      Company, and cause the Company’s officers, directors and employees to supply all
      publicly available, non-confidential information reasonably requested by the
      attorney, accountant or agent of the Purchaser.

     

    4. Registration
      Expenses.
      All
      expenses relating to the Company’s compliance with Sections 2 and 3 hereof,
      including, without limitation, all registration and filing fees, printing
      expenses, fees and disbursements of counsel and independent public accountants
      for the Company, fees and expenses (including reasonable counsel fees) incurred
      in connection with complying with state securities or “blue sky” laws, fees of
      the NASD, transfer taxes, fees of transfer agents and registrars and fees of,
      and disbursements incurred by, one counsel for the Holders, are called
“Registration Expenses”. All selling commissions applicable to the sale of
      Registrable Securities, including any fees and disbursements of any special
      counsel to the Holders beyond those included in Registration Expenses, are
      called “Selling Expenses.” The Company shall only be responsible for all
      Registration Expenses.

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

     

    5. Indemnification.

     

    (a) In
      the
      event of a registration of any Registrable Securities under the Securities
      Act
      pursuant to this Agreement, the Company will indemnify and hold harmless each
      Holder, and its officers, directors and each other person, if any, who controls
      such Holder within the meaning of the Securities Act, against any losses,
      claims, damages or liabilities, joint or several, to which such Holder, or
      such
      persons may become subject under the Securities Act or otherwise, insofar as
      such losses, claims, damages or liabilities (or actions in respect thereof)
      arise out of or are based upon any untrue statement or alleged untrue statement
      of any material fact contained in any Registration Statement under which such
      Registrable Securities were registered under the Securities Act pursuant to
      this
      Agreement, any preliminary Prospectus or final Prospectus contained therein,
      or
      any amendment or supplement thereof, or arise out of or are based upon the
      omission or alleged omission to state therein a material fact required to be
      stated therein or necessary to make the statements therein not misleading,
      and
      will reimburse such Holder, and each such person for any reasonable legal or
      other expenses incurred by them in connection with investigating or defending
      any such loss, claim, damage, liability or action; provided,
      however,
      that
      the Company will not be liable in any such case if and to the extent that any
      such loss, claim, damage or liability arises out of or is based upon an untrue
      statement or alleged untrue statement or omission or alleged omission so made
      in
      conformity with information furnished by or on behalf of the Purchaser or any
      such person in writing specifically for use in any such document.

     

    (b) In
      the
      event of a registration of the Registrable Securities under the Securities
      Act
      pursuant to this Agreement, the Purchaser will indemnify and hold harmless
      the
      Company, and its officers, directors and each other person, if any, who controls
      the Company within the meaning of the Securities Act, against all losses,
      claims, damages or liabilities, joint or several, to which the Company or such
      persons may become subject under the Securities Act or otherwise, insofar as
      such losses, claims, damages or liabilities (or actions in respect thereof)
      arise out of or are based upon any untrue statement or alleged untrue statement
      of any material fact which was furnished in writing by the Purchaser to the
      Company expressly for use in (and such information is contained in) the
      Registration Statement under which such Registrable Securities were registered
      under the Securities Act pursuant to this Agreement, any preliminary Prospectus
      or final Prospectus contained therein, or any amendment or supplement thereof,
      or arise out of or are based upon the omission or alleged omission to state
      therein a material fact required to be stated therein or necessary to make
      the
      statements therein not misleading, and will reimburse the Company and each
      such
      person for any reasonable legal or other expenses incurred by them in connection
      with investigating or defending any such loss, claim, damage, liability or
      action, provided,
      however,
      that
      the Purchaser will be liable in any such case if and only to the extent that
      any
      such loss, claim, damage or liability arises out of or is based upon an untrue
      statement or alleged untrue statement or omission or alleged omission so made
      in
      conformity with information furnished in writing to the Company by or on behalf
      of the Purchaser specifically for use in any such document. Notwithstanding
      the
      provisions of this paragraph, the Purchaser shall not be required to indemnify
      any person or entity in excess of the amount of the aggregate net proceeds
      received by the Purchaser in respect of Registrable Securities in connection
      with any such registration under the Securities Act.

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

     

    (c) Promptly
      after receipt by a party entitled to claim indemnification hereunder (an
“Indemnified
      Party”)
      of
      notice of the commencement of any action, such Indemnified Party shall, if
      a
      claim for indemnification in respect thereof is to be made against a party
      hereto obligated to indemnify such Indemnified Party (an “Indemnifying
      Party”),
      notify the Indemnifying Party in writing thereof, but the omission so to notify
      the Indemnifying Party shall not relieve it from any liability which it may
      have
      to such Indemnified Party other than under this Section 5(c) and shall only
      relieve it from any liability which it may have to such Indemnified Party under
      this Section 5(c) if and to the extent the Indemnifying Party is prejudiced
      by
      such omission. In case any such action shall be brought against any Indemnified
      Party and it shall notify the Indemnifying Party of the commencement thereof,
      the Indemnifying Party shall be entitled to participate in and, to the extent
      it
      shall wish, to assume and undertake the defense thereof with counsel
      satisfactory to such Indemnified Party, and, after notice from the Indemnifying
      Party to such Indemnified Party of its election so to assume and undertake
      the
      defense thereof, the Indemnifying Party shall not be liable to such Indemnified
      Party under this Section 5(c) for any legal expenses subsequently incurred
      by
      such Indemnified Party in connection with the defense thereof; if the
      Indemnified Party retains its own counsel, then the Indemnified Party shall
      pay
      all fees, costs and expenses of such counsel, provided,
      however,
      that,
      if the defendants in any such action include both the Indemnified Party and
      the
      Indemnifying Party and the Indemnified Party shall have reasonably concluded
      that there may be reasonable defenses available to it which are different from
      or additional to those available to the Indemnifying Party or if the interests
      of the Indemnified Party reasonably may be deemed to conflict with the interests
      of the Indemnifying Party, the Indemnified Party shall have the right to select
      one separate counsel and to assume such legal defenses and otherwise to
      participate in the defense of such action, with the reasonable expenses and
      fees
      of such separate counsel and other expenses related to such participation to
      be
      reimbursed by the Indemnifying Party as incurred.

     

    (d) In
      order
      to provide for just and equitable contribution in the event of joint liability
      under the Securities Act in any case in which either (i) the Purchaser, or
      any
      officer, director or controlling person of the Purchaser, makes a claim for
      indemnification pursuant to this Section 5 but it is judicially determined
      (by
      the entry of a final judgment or decree by a court of competent jurisdiction
      and
      the expiration of time to appeal or the denial of the last right of appeal)
      that
      such indemnification may not be enforced in such case notwithstanding the fact
      that this Section 5 provides for indemnification in such case, or (ii)
      contribution under the Securities Act may be required on the part of the
      Purchaser or such officer, director or controlling person of the Purchaser
      in
      circumstances for which indemnification is provided under this Section 5; then,
      and in each such case, the Company and the Purchaser will contribute to the
      aggregate losses, claims, damages or liabilities to which they may be subject
      (after contribution from other) in such proportion so that the Purchaser is
      responsible only for the portion represented by the percentage that the public
      offering price of its securities offered by the Registration Statement bears
      to
      the public offering price of all securities offered by such Registration
      Statement, provided,
      however,
      that,
      in any such case, (A) the Purchaser will not be required to contribute any
      amount in excess of the public offering price of all such securities offered
      by
      it pursuant to such Registration Statement; and (B) no person or entity guilty
      of fraudulent misrepresentation (within the meaning of Section 10(f) of the
      Act)
      will be entitled to contribution from any person or entity who was not guilty
      of
      such fraudulent misrepresentation.

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

     

    6. Representations
      and Warranties.

     

    (a) The
      Common Stock is registered pursuant to Section 12(b) or 12(g) of the Exchange
      Act and, except with respect to certain matters which the Company has disclosed
      to the Purchaser on Schedule
      4.21
      to the
      Purchase Agreement, the Company has timely filed all proxy statements, reports,
      schedules, forms, statements and other documents required to be filed by it
      under the Exchange Act. The Company has filed (i) its Annual Report on Form
      10-K[SB] for its fiscal year most recently ended and (ii) its Quarterly Report
      on Form 10-Q[SB] for the fiscal quarters most recently ended (collectively,
      the
“SEC Reports”). Each SEC Report was, at the time of its filing, in substantial
      compliance with the requirements of its respective form and none of the SEC
      Reports, nor the financial statements (and the notes thereto) included in the
      SEC Reports, as of their respective filing dates, contained any untrue statement
      of a material fact or omitted to state a material fact required to be stated
      therein or necessary to make the statements therein, in light of the
      circumstances under which they were made, not misleading. The financial
      statements of the Company included in the SEC Reports comply as to form in
      all
      material respects with applicable accounting requirements and the published
      rules and regulations of the Commission or other applicable rules and
      regulations with respect thereto. Such financial statements have been prepared
      in accordance with generally accepted accounting principles (“GAAP”)
      applied on a consistent basis during the periods involved (except (i) as may
      be
      otherwise indicated in such financial statements or the notes thereto or (ii)
      in
      the case of unaudited interim statements, to the extent they may not include
      footnotes or may be condensed) and fairly present in all material respects
      the
      financial condition, the results of operations and the cash flows of the Company
      and its subsidiaries, on a consolidated basis, as of, and for, the periods
      presented in each such SEC Report.

     

    (b) The
      Common Stock is listed or quoted, as applicable, for trading on the NASDAQ
      Over
      The Counter Bulletin Board and satisfies all requirements for the continuation
      of such listing or quotation, as applicable, and the Company shall do all things
      necessary for the continuation of such listing or quotation, as applicable.
      The
      Company has not received any notice that its Common Stock will be delisted
      from
      or no longer be quoted on, as applicable, the NASDAQ Over The Counter Bulletin
      Board (except for prior notices which have been fully remedied) or that the
      Common Stock does not meet all requirements for the continuation of such listing
      or quotation, as applicable.

     

    (c) Neither
      the Company, nor any of its affiliates, nor any person acting on its or their
      behalf, has directly or indirectly made any offers or sales of any security
      or
      solicited any offers to buy any security under circumstances that would cause
      the offering of the Closing Shares pursuant to the Letter Agreement to be
      integrated with prior offerings by the Company for purposes of the Securities
      Act which would prevent the Company from selling the Common Stock pursuant
      to
      Rule 506 under the Securities Act, or any applicable exchange-related
      stockholder approval provisions, nor will the Company or any of its affiliates
      or subsidiaries take any action or steps that would cause the offering of the
      Common Stock to be integrated with other offerings (other than such concurrent
      offering to the Purchaser).

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

     

    (d) The
      Closing Shares are restricted securities under the Securities Act as of the
      date
      of this Agreement. The Company will not issue any stop transfer order or other
      order impeding the sale and delivery of any of the Registrable Securities at
      such time as such Registrable Securities are registered for public sale or
      an
      exemption from registration is available, except as required by federal or
      state
      securities laws.

     

    (e) Except
      for agreements made in the ordinary course of business, there is no agreement
      that has not been filed with the Commission as an exhibit to a registration
      statement or to a form required to be filed by the Company under the Exchange
      Act, the breach of which could reasonably be expected to have a material and
      adverse effect on the Company and its subsidiaries, or would prohibit or
      otherwise interfere with the ability of the Company to enter into and perform
      any of its obligations under this Agreement in any material
      respect.

     

    (f) The
      Company shall provide written notice to each Holder of (i) the occurrence of
      each Discontinuation Event (as defined below) and (ii) the declaration of
      effectiveness by the Commission of each Registration Statement required to
      be
      filed hereunder, in each case within one (1) business day of the date of each
      such occurrence and/or declaration.

     

    7. Miscellaneous.

     

    (a) Remedies.
      In the
      event of a breach by the Company or by a Holder, of any of their respective
      obligations under this Agreement, each Holder or the Company, as the case may
      be, in addition to being entitled to exercise all rights granted by law and
      under this Agreement, including recovery of damages, will be entitled to
      specific performance of its rights under this Agreement.

     

    (b) No
      Piggyback on Registrations.
      Except
      as and to the extent set forth on Schedule 7(b) hereto, neither the Company
      nor
      any of its security holders (other than the Holders in such capacity pursuant
      hereto) may include securities of the Company in any Registration Statement
      other than the Registrable Securities, and the Company shall not after the
      date
      hereof enter into any agreement providing any such right for inclusion of shares
      in the Registration Statement to any of its security holders. Except as and
      to
      the extent specified in Schedule
      7(b)
      hereto,
      the Company has not previously entered into any agreement granting any
      registration rights with respect to any of its securities to any person or
      entity other than the Purchasers that have not been fully
      satisfied.

     

    (c) Compliance.
      Each
      Holder covenants and agrees that it will comply with the prospectus delivery
      requirements of the Securities Act as applicable to it in connection with sales
      of Registrable Securities pursuant to any Registration Statement.

     

    (d) Discontinued
      Disposition.
      Each
      Holder agrees by its acquisition of such Registrable Securities that, upon
      receipt of a notice from the Company of the occurrence of a Discontinuation
      Event (as defined below), such Holder will forthwith discontinue disposition
      of
      such Registrable Securities under the applicable Registration Statement until
      such Holder’s receipt of the copies of the supplemented Prospectus and/or
      amended Registration Statement or until it is advised in writing (the
“Advice”)
      by the
      Company that the use of the applicable Prospectus may be resumed, and, in either
      case, until it has received copies of any additional or supplemental filings
      that are incorporated or deemed to be incorporated by reference in such
      Prospectus or Registration Statement. The Company may provide appropriate stop
      orders to enforce the provisions of this paragraph. For purposes of this
      Agreement, a “Discontinuation
      Event”
shall
      mean (i) when the Commission notifies the Company whether there will be a
“review” of such Registration Statement and whenever the Commission comments in
      writing on such Registration Statement (the Company shall provide true and
      complete copies thereof and all written responses thereto to each of the
      Holders); (ii) any request by the Commission or any other Federal or state
      governmental authority for amendments or supplements to such Registration
      Statement or Prospectus or for additional information; (iii) the issuance by
      the
      Commission of any stop order suspending the effectiveness of such Registration
      Statement covering any or all of the Registrable Securities or the initiation
      of
      any Proceedings for that purpose; (iv) the receipt by the Company of any
      notification with respect to the suspension of the qualification or exemption
      from qualification of any of the Registrable Securities for sale in any
      jurisdiction, or the initiation or threatening of any Proceeding for such
      purpose; and/or (v) the occurrence of any event or passage of time that makes
      the financial statements included in such Registration Statement ineligible
      for
      inclusion therein or any statement made in such Registration Statement or
      Prospectus or any document incorporated or deemed to be incorporated therein
      by
      reference untrue in any material respect or that requires any revisions to
      such
      Registration Statement, Prospectus or other documents so that, in the case
      of
      such Registration Statement or Prospectus, as the case may be, it will not
      contain any untrue statement of a material fact or omit to state any material
      fact required to be stated therein or necessary to make the statements therein,
      in light of the circumstances under which they were made, not
      misleading.

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

     

    (e) Piggy-Back
      Registrations.
      If at
      any time during any Effectiveness Period there is not an effective Registration
      Statement covering all of the Registrable Securities required to be covered
      during such Effectiveness Period and the Company shall determine to prepare
      and
      file with the Commission a registration statement relating to an offering for
      its own account or the account of others under the Securities Act of any of
      its
      equity securities, other than on Form S-4 or Form S-8 (each as promulgated
      under the Securities Act) or their then equivalents relating to equity
      securities to be issued solely in connection with any acquisition of any entity
      or business or equity securities issuable in connection with stock option or
      other employee benefit plans, then the Company shall send to each Holder written
      notice of such determination and, if within fifteen (15) days after receipt
      of
      such notice, any such Holder shall so request in writing, the Company shall
      include in such registration statement all or any part of such Registrable
      Securities such Holder requests to be registered, to the extent the Company
      may
      do so without violating registration rights of others which exist as of the
      date
      of this Agreement, subject to customary underwriter cutbacks applicable to
      all
      holders of registration rights and subject to obtaining any required consent
      of
      any selling stockholder(s) to such inclusion under such registration
      statement.

     

    (f) Amendments
      and Waivers.
      The
      provisions of this Agreement, including the provisions of this sentence, may
      not
      be amended, modified or supplemented, and waivers or consents to departures
      from
      the provisions hereof may not be given, unless the same shall be in writing
      and
      signed by the Company and the Holders of the then outstanding Registrable
      Securities. Notwithstanding the foregoing, a waiver or consent to depart from
      the provisions hereof with respect to a matter that relates exclusively to
      the
      rights of certain Holders and that does not directly or indirectly affect the
      rights of other Holders may be given by Holders of at least a majority of the
      Registrable Securities to which such waiver or consent relates; provided,
      however,
      that
      the provisions of this sentence may not be amended, modified, or supplemented
      except in accordance with the provisions of the immediately preceding
      sentence.

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

     

    (g) Notices.
      Any
      notice or request hereunder may be given to the Company or the Purchaser at
      the
      respective addresses set forth below or as may hereafter be specified in a
      notice designated as a change of address under this Section 7(g). Any notice
      or
      request hereunder shall be given by registered or certified mail, return receipt
      requested, hand delivery, overnight mail, Federal Express or other national
      overnight next day carrier (collectively, “Courier”)
      or
      telecopy (confirmed by mail). Notices and requests shall be, in the case of
      those by hand delivery, deemed to have been given when delivered to any party
      to
      whom it is addressed, in the case of those by mail or overnight mail, deemed
      to
      have been given three (3) business days after the date when deposited in the
      mail or with the overnight mail carrier, in the case of a Courier, the next
      business day following timely delivery of the package with the Courier, and,
      in
      the case of a telecopy, when confirmed. The address for such notices and
      communications shall be as follows:

    
      	
               

              If
                to the Company:

            	 	
               

              True
                North Energy Corporation 

              1400
                Woodloch Forest Drive 

              Suite
                530 

              The
                Woodlands, TX 77380 

              Attention: Chief
                Executive Officer 

              Facsimile:
                (832) 553-7244

            
	
               

              with
                a copy to:

            	 	
               

              Gordon
                Arata McCollam Duplantis & 

              Eagan,
                LLP 

              2200
                West Loop South 

              Suite
                1050 

              Houston,
                Texas 77027 

              Attention:
                J. Lanier Yeates 

              Facsimile:
                (713) 333-5501

            
	
               

              If
                to Purchaser:

            	 	
               

              To
                the address set forth under such Purchaser name on the signature
                pages
                hereto.

            
	
               

              If
                to any other Person who is then the registered
                Holder:

            	 	
               

              To
                the address of such Holder as it appears in the stock transfer books
                of
                the Company

            

    

     

    or
      such
      other address as may be designated in writing hereafter in accordance with
      this
      Section 7(g) by such Person.

     

    (h) Successors
      and Assigns.
      This
      Agreement shall inure to the benefit of and be binding upon the successors
      and
      permitted assigns of each of the parties and shall inure to the benefit of
      each
      Holder. The Company may not assign its rights or obligations hereunder without
      the prior written consent of each Holder. Each Holder may assign its respective
      rights hereunder in the manner and to the persons and entities as permitted
      under the Purchase Agreement.

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

     

    (i) Execution
      and Counterparts.
      This
      Agreement may be executed in any number of counterparts, each of which when
      so
      executed shall be deemed to be an original and, all of which taken together
      shall constitute one and the same agreement. In the event that any signature
      is
      delivered by facsimile transmission, such signature shall create a valid binding
      obligation of the party executing (or on whose behalf such signature is
      executed) the same with the same force and effect as if such facsimile signature
      were the original thereof.

     

    (j) Governing
      Law, Jurisdiction and Waiver of Jury Trial.
      THIS
      AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH
      THE
      LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS MADE AND PERFORMED IN
      SUCH
      STATE, WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAW. The Company hereby
      consents and agrees that the state or federal courts located in the County
      of
      New York, State of New York shall have exclusion jurisdiction to hear and
      determine any Proceeding between the Company, on the one hand, and the
      Purchaser, on the other hand, pertaining to this Agreement or to any matter
      arising out of or related to this Agreement; provided,
      that
      the Purchaser and the Company acknowledge that any appeals from those courts
      may
      have to be heard by a court located outside of the County of New York, State
      of
      New York, and further provided,
      that
      nothing in this Agreement shall be deemed or operate to preclude the Purchaser
      from bringing a Proceeding in any other jurisdiction to collect the obligations,
      to realize on the Collateral or any other security for the obligations, or
      to
      enforce a judgment or other court order in favor of the Purchaser. The Company
      expressly submits and consents in advance to such jurisdiction in any Proceeding
      commenced in any such court, and the Company hereby waives any objection which
      it may have based upon lack of personal jurisdiction, improper venue or
forum
      non conveniens.
      The
      Company hereby waives personal service of the summons, complaint and other
      process issued in any such Proceeding and agrees that service of such summons,
      complaint and other process may be made by registered or certified mail
      addressed to the Company at the address set forth in Section 7(g) and that
      service so made shall be deemed completed upon the earlier of the Company’s
      actual receipt thereof or three (3) days after deposit in the U.S. mails, proper
      postage prepaid. The parties hereto desire that their disputes be resolved
      by a
      judge applying such applicable laws. Therefore, to achieve the best combination
      of the benefits of the judicial system and of arbitration, the parties hereto
      waive all rights to trial by jury in any Proceeding brought to resolve any
      dispute, whether arising in contract, tort, or otherwise between the Purchaser
      and/or the Company arising out of, connected with, related or incidental to
      the
      relationship established between them in connection with this Agreement. If
      either party hereto shall commence a Proceeding to enforce any provisions of
      this Agreement, the Purchase Agreement or any other Related Agreement, then
      the
      prevailing party in such Proceeding shall be reimbursed by the other party
      for
      its reasonable attorneys’ fees and other costs and expenses incurred with the
      investigation, preparation and prosecution of such Proceeding.

     

    (k) Cumulative
      Remedies.
      The
      remedies provided herein are cumulative and not exclusive of any remedies
      provided by law.

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

     

    (l) Severability.
      If any
      term, provision, covenant or restriction of this Agreement is held by a court
      of
      competent jurisdiction to be invalid, illegal, void or unenforceable, the
      remainder of the terms, provisions, covenants and restrictions set forth herein
      shall remain in full force and effect and shall in no way be affected, impaired
      or invalidated, and the parties hereto shall use their reasonable efforts to
      find and employ an alternative means to achieve the same or substantially the
      same result as that contemplated by such term, provision, covenant or
      restriction. It is hereby stipulated and declared to be the intention of the
      parties that they would have executed the remaining terms, provisions, covenants
      and restrictions without including any of such that may be hereafter declared
      invalid, illegal, void or unenforceable.

     

    (m) Headings.
      The
      headings in this Agreement are for convenience of reference only and shall
      not
      limit or otherwise affect the meaning hereof.

     

    [Balance
      of page intentionally left blank; signature page follows]

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

     

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

     

    
      	
              TRUE
                NORTH ENERGY CORPORATION

            
	 
	
              By:

            	
              /s/
                John I. Folnovic

            
	 	
              Name:
                John I. Folnovic

            
	 	
              Title:
                President and Chief Executive Officer

            
	 	 
	
              VALENS
                U.S. SPV I, LLC

            
	 
	
              By:

            	
              Valens
                Capital Management, LLC, as 

              investment
                manager

            
	 	 	 
	 	
              By:

            	
              /s/
                Patrick Regan

            
	 	 	
              Name:
                Patrick Regan

            
	 	 	
              Title:
                Authorized Signatory

            
	 	 	 
	
              Address
                for Notices:

            
	 
	
              c/o
                Valens Capital Management, LLC

            
	
              335
                Madison Avenue, 10th Floor

            
	
              New
                York, NY 10017

            
	
              Attention:
                Portfolio Services

            
	
              Facsimile:
                (212) 581-5037

            
	 
	
              VALENS
                OFFSHORE SPV II, CORP.

            
	 
	
              By:

            	
              Valens
                Capital Management, LLC, as 

              investment
                manager

            
	 	 
	 	
              By:

            	
              /s/
                Patrick Regan

            
	 	 	
              Name:
                Patrick Regan

            
	 	 	
              Title:
                Authorized Signatory

            
	 
	
              Address
                for Notices:

            
	
              c/o
                Valens Capital Management, LLC

            
	
              335
                Madison Avenue, 10th Floor

            
	
              New
                York, NY 10017

            
	
              Attention:
                Portfolio Services

            
	
              Facsimile:
                (212) 581-5037

            

    

    

      SIGNATURE
        PAGE TO

      TRUE
        NORTH REGISTRATION 

      RIGHTS
        AGREEMENT

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    EXHIBIT
      A

     

    ____________,
      200___

     

    Empire
      Stock Transfer Inc.

    2470
      St.
      Rose Pkwy, Suite 304

    Henderson,
      NV 89074

     

    
      	 	
              Re:

            	
              True
                North Energy Corporation 

              Registration
                Statement on Form [S-3]

            

    

     

    Ladies
      and Gentlemen:

     

    As
      counsel to True North Energy Corporation, a Nevada corporation (the
“Company”),
      we
      have been requested to render our opinion to you in connection with the resale
      by the individuals or entitles listed on Schedule
      A
      attached
      hereto (the “Selling
      Stockholders”),
      of an
      aggregate of __________ shares (the “Shares”)
      of the
      Company’s Common Stock.

     

    A
      Registration Statement on Form [S-3]
      under
      the Securities Act of 1933, as amended (the “Act”),
      with
      respect to the resale of the Shares was declared effective by the Securities
      and
      Exchange Commission on [date].
      Enclosed is the Prospectus dated [date].
      We
      understand that the Shares are to be offered and sold in the manner described
      in
      the Prospectus.

     

    Based
      upon the foregoing, upon request by the Selling Stockholders at any time while
      the registration statement remains effective, it is our opinion that the Shares
      have been registered for resale under the Act and new certificates evidencing
      the Shares upon their transfer or re-registration by the Selling Stockholders
      may be issued without restrictive legend. We will advise you if the registration
      statement is not available or effective at any point in the future.

     

    Very
      truly yours,

     

    [Company
      counsel]

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Schedule
      A to Exhibit A

     

    
      	
               

              Selling
                Stockholder

            	 	
              R/N/O

            	 	
              Shares
                

              Being
                Offered

            
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    SCHEDULE
      7(b)

     

    1.
      Pursuant to that certain promissory note of the Company in the principal amount
      of $125,000 made payable to Uphill Limited Liability Company, Steven J. Revenig,
      Trustee (“Uphill”)
      dated
      August 20, 2007, Uphill received 50,000 shares of the Company’s restricted
      Common Stock with respect to which Uphill has piggyback registration
      rights.

     

    2.
      Pursuant to that certain promissory note of the Company in the principal amount
      of $125,000 made payable to T. Swanson, Inc. (“Swanson”)
      dated
      August 20, 2007, Swanson received 50,000 shares of the Company’s restricted
      Common Stock with respect to which Swanson has piggyback registration
      rights.

     

    3.
      If the
      Powder River Consummation takes place, the Sellers in that transaction will
      have
      piggyback registration rights with respect to the shares of Common Stock issued
      to them in that transaction.

     

    4.
      Prime
      Natural Resources, Inc. will be granted piggyback registration rights with
      respect to the shares of the Company’s Common Stock issued to it in connection
      with the purchase of assets pursuant to the Purchase and Sale Agreement by
      and
      between Prime Natural Resources, Inc. and ICF.

     

    5.
      Following closing of the transactions contemplated by the Purchase Agreement,
      Energy Capital Solutions, L.P. (“ECS”) will be granted a warrant for the
      purchase of 300,000 shares of the common stock of TNEC. ECS will have piggyback
      registration rights in regard to the shares of common stock purchased upon
      exercise of the warrant. 

     

    6.
      The
      ECS Agreement described on Schedule 4.6, Item 3 of the Disclosure Schedules
      to
      the Purchase Agreement, provides for issuance of warrants of common stock of
      TNEC to ECS upon the successful completion of a Private Placement (as defined
      therein). Such warrants will contain provisions which will require, under
      certain circumstances, TNEC to grant registration rights in the event a public
      offering of TNEC’s common stock is filed with the SEC, subject to customary
      restrictions and conditions. 

     

    7.
      Pursuant to that Consulting Agreement between Prime Natural Resources, Inc.
      ("Prime") and the Company, dated as of December 21, 2007, Prime has received,
      and will receive, an issuance of $45,000 in common stock of the Company for
      each
      calendar year quarterly period (i.e., the three months ending December 31,
      2007,
      March 31, 2008 and June 30, 2008). Prime has "piggyback" rights pursuant to
      which Prime may request that the Company include the stock on any registration
      statement filed with the Securities and Exchange Commission to register other
      common stock of the Company (other than a registration on Form S-4 or S-8,
      or
      any successor or other forms promulgated for similar purposes).EXHIBIT
      10.2

    FUNDS
      ESCROW AGREEMENT

    

    This
      Agreement (this “Agreement”) is dated as of the 31st day of March, 2008 among
      True North Energy Corporation, a Nevada corporation (“TNEC”), ICF Energy
      Corporation, a Texas corporation (“ICF”; and together with TNEC, the “Companies”
and each a “Company”), Valens U.S. SPV I, LLC, a Delaware limited liability
      company (“Valens U.S.”), Valens Offshore SPV II, Corp, a Delaware corporation
      (“Valens Offshore”; and together with Valens U.S., collectively, the
“Purchasers” and each a “Purchaser”), and Loeb & Loeb LLP (the “Escrow
      Agent”):

    

    W
      I T N E S S E T H:

    

    WHEREAS,
      the Purchasers have advised the Escrow Agent that (a) the Companies, the
      Purchasers and Valens U.S., as agent for the Purchasers have entered into a
      Letter Agreement (the “Letter Agreement”), (b) each Company has issued Amended
      and Restated Secured Term Notes (the “Term Notes”) pursuant to the Letter
      Agreement and (c) TNEC and each Purchaser has entered into a Registration Rights
      Agreement covering the registration of such Company’s common stock (the
“Registration Rights Agreement”);

    

    WHEREAS,
      the Companies and the Purchasers wish to deliver to the Escrow Agent copies
      of
      the Documents (as hereafter defined) and, following the satisfaction of all
      closing conditions relating to the Documents, the Purchasers to deliver the
      Escrowed Payment (as hereafter defined), in each case, to be held and released
      by Escrow Agent in accordance with the terms and conditions of this Agreement;
      and

    

    WHEREAS,
      the Escrow Agent is willing to serve as escrow agent pursuant to the terms
      and
      conditions of this Agreement;

    

    NOW
      THEREFORE, the parties agree as follows:

     

    ARTICLE
      I

    

    INTERPRETATION

    

    1.1. Definitions.
      Whenever used in this Agreement, the following terms shall have the meanings
      set
      forth below.

    

    (a) “Agreement”
      means this Agreement, as amended, modified and/or supplemented from time to
      time
      by written agreement among the parties hereto.

     

    (b) “Disbursement
      Letter” means that certain letter delivered to the Escrow Agent by the
      Companies, acceptable in form and substance to each Purchaser, setting forth
      wire instructions and amounts to be funded at the closing of the transactions
      contemplated by the Letter Agreement and the Registration Rights
      Agreement.

     

    (c) “Documents”
      means copies of the Disbursement Letter, the Letter Agreement, the Term Notes
      and the Registration Rights Agreement.

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    (d) “Escrowed
      Payment” means $425,000.

     

    (e) “Purchaser
      Payments” means the payments to be paid to each Purchaser, as set forth on
      Schedule A hereto.

     

    (f) “VCM
      Payment” means the payment to be paid to Valens Capital Management, LLC, the
      fund manager, as set forth on Schedule A hereto.

     

    1.2. Entire
      Agreement.
      This
      Agreement constitutes the entire agreement among the parties hereto with respect
      to the arrangement with the Escrow Agent and supersedes all prior agreements,
      understandings, negotiations and discussions of the parties, whether oral or
      written with respect to the arrangement with the Escrow Agent. There are no
      warranties, representations and other agreements made by the parties in
      connection with the arrangement with the Escrow Agent except as specifically
      set
      forth in this Agreement.

     

    1.3. Extended
      Meanings.
      In this
      Agreement words importing the singular number include the plural and vice versa;
      words importing the masculine gender include the feminine and neuter genders.
      The word “person” includes an individual, body corporate, partnership, trustee
      or trust or unincorporated association, executor, administrator or legal
      representative.

     

    1.4. Waivers
      and Amendments.
      This
      Agreement may be amended, modified, superseded, cancelled, renewed or extended,
      and the terms and conditions hereof may be waived, in each case only by a
      written instrument signed by all parties hereto, or, in the case of a waiver,
      by
      the party waiving compliance. Except as expressly stated herein, no delay on
      the
      part of any party in exercising any right, power or privilege hereunder shall
      operate as a waiver thereof, nor shall any waiver on the part of any party
      of
      any right, power or privilege hereunder preclude any other or future exercise
      of
      any other right, power or privilege hereunder.

     

    1.5. Headings.
      The
      division of this Agreement into articles, sections, subsections and paragraphs
      and the insertion of headings are for convenience of reference only and shall
      not affect the construction or interpretation of this Agreement.

     

    1.6. Law
      Governing this Agreement; Consent to Jurisdiction.
      THIS
      AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF
      THE
      STATE OF NEW YORK WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAWS. With
      respect to any suit, action or proceeding relating to this Agreement or to
      the
      transactions contemplated hereby (“Proceedings”), each party hereto irrevocably
      submits to the exclusive jurisdiction of the courts of the County of New York,
      State of New York and the United States District court located in the county
      of
      New York in the State of New York. Each party hereto hereby irrevocably and
      unconditionally (a) waives trial by jury in any Proceeding relating to this
      Agreement and for any related counterclaim and (b) waives any objection which
      it
      may have at any time to the laying of venue of any Proceeding brought in any
      such court, waives any claim that such Proceedings have been brought in an
      inconvenient forum and further waives the right to object, with respect to
      such
      Proceedings, that such court does not have jurisdiction over such party. As
      between either or both of the Companies, on the one hand, and any Purchaser,
      on
      the other, the prevailing party shall be entitled to recover from the other
      party its reasonable attorneys’ fees and costs. In the event that any provision
      of this Agreement is determined by a court of competent jurisdiction to be
      invalid or unenforceable, then the remainder of this Agreement shall not be
      affected and shall remain in full force and effect.

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    

    1.7. Construction.
      Each
      party acknowledges that its legal counsel participated in the preparation of
      this Agreement and, therefore, stipulates that the rule of construction that
      ambiguities are to be resolved against the drafting party shall not be applied
      in the interpretation of this Agreement to favor any party against the
      other.

     

     

    ARTICLE
      II

    

    APPOINTMENT
      OF AND DELIVERIES TO THE ESCROW AGENT

     

    2.1. Appointment.
      Each Company and each Purchaser hereby irrevocably designate and appoint the
      Escrow Agent as their escrow agent for the purposes set forth herein, and the
      Escrow Agent by its execution and delivery of this Agreement hereby accepts
      such
      appointment under the terms and conditions set forth herein.

     

    2.2. Copies
      of
      Documents to Escrow Agent. On or about the date hereof, each Purchaser and
      each
      Company shall deliver to the Escrow Agent copies of the Documents executed
      by
      such parties.

     

    2.3. Delivery
      of Escrowed Payment to Escrow Agent. Following the satisfaction of all closing
      conditions relating to the Documents (other than the funding of the Escrowed
      Payment), the Purchasers shall deliver to the Escrow Agent the Escrowed Payment.
      At such time, the Escrow Agent shall hold the Escrowed Payment as agent for
      the
      Companies, subject to the terms and conditions of this Agreement.

     

    2.4. Intention
      to Create Escrow Over the Escrowed Payment. Each Purchaser and each Company
      intend that the Escrowed Payment shall be held in escrow by the Escrow Agent
      and
      released from escrow by the Escrow Agent only in accordance with the terms
      and
      conditions of this Agreement.

     

     

    ARTICLE
      III

    

    RELEASE
      OF ESCROW

     

    3.1. Release
      of Escrow.
      Subject
      to the provisions of Section 4.2, the Escrow Agent shall release the Escrowed
      Payment from escrow as follows:

    

    (a) Upon
      receipt by the Escrow Agent of (i) oral instructions from David Grin and/or
      Eugene Grin (each of whom is a director of each Purchaser) consenting to the
      release of the Escrowed Payment from escrow in accordance with the Disbursement
      Letter following the Escrow Agent’s receipt of the Escrowed Payment, (ii) the
      Disbursement Letter, and (iii) the Escrowed Payment, the Escrowed Payment shall
      promptly be disbursed in accordance with the Disbursement Letter. The
      Disbursement Letter shall include, without limitation, Escrow Agent’s
      authorization to retain from the Escrowed Payment Escrow Agent’s fee for acting
      as Escrow Agent hereunder, and (A) the VCM Payment for delivery to Valens
      Capital Management, LLC and (B) the Purchaser Payments for delivery to each
      Purchaser, both in accordance with the Disbursement Letter.

     

    (b) Upon
      receipt by the Escrow Agent of a final and non-appealable judgment, order,
      decree or award of a court of competent jurisdiction (a “Court Order”) relating
      to the Escrowed Payment, the Escrow Agent shall remit the Escrowed Payment
      in
      accordance with the Court Order. Any Court Order shall be accompanied by an
      opinion of counsel for the party presenting the Court Order to the Escrow Agent
      (which opinion shall be reasonably satisfactory to the Escrow Agent) to the
      effect that the court issuing the Court Order is a court of competent
      jurisdiction and that the Court Order is final and
      non-appealable.

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

     

    3.2. Acknowledgement
      of Companies and Purchasers; Disputes.
      Each
      Company and each Purchaser acknowledge that the only terms and conditions upon
      which the Escrowed Payment are to be released from escrow are as set forth
      in
      Sections 3 and 4 of this Agreement. Each Company and each Purchaser reaffirm
      their agreement to abide by the terms and conditions of this Agreement with
      respect to the release of the Escrowed Payment. Any dispute with respect to
      the
      release of the Escrowed Payment shall be resolved pursuant to Section 4.2 or
      by
      written agreement among the Companies and the Purchasers.

     

     

    ARTICLE
      IV

    

    CONCERNING
      THE ESCROW AGENT

     

    4.1. Duties
      and Responsibilities of the Escrow Agent.
      The
      Escrow Agent’s duties and responsibilities shall be subject to the following
      terms and conditions:

     

    (a) Each
      Purchaser and each Company acknowledge and agree that the Escrow Agent (i)
      shall
      not be required to inquire into whether any Purchaser, either Company or any
      other party is entitled to receipt of any Document or all or any portion of
      the
      Escrowed Payment; (ii) shall not be called upon to construe or review any
      Document or any other document, instrument or agreement entered into in
      connection therewith; (iii) shall be obligated only for the performance of
      such
      duties as are specifically assumed by the Escrow Agent pursuant to this
      Agreement; (iv) may rely on and shall be protected in acting or refraining
      from
      acting upon any written notice, instruction, instrument, statement, request
      or
      document furnished to it hereunder and believed by the Escrow Agent in good
      faith to be genuine and to have been signed or presented by the proper person
      or
      party, without being required to determine the authenticity or correctness
      of
      any fact stated therein or the propriety or validity or the service thereof;
      (v)
      may assume that any person purporting to give notice or make any statement
      or
      execute any document in connection with the provisions hereof has been duly
      authorized to do so; (vi) shall not be responsible for the identity, authority
      or rights of any person, firm or company executing or delivering or purporting
      to execute or deliver this Agreement or any Document or any funds deposited
      hereunder or any endorsement thereon or assignment thereof; (vii) shall not
      be
      under any duty to give the property held by Escrow Agent hereunder any greater
      degree of care than Escrow Agent gives its own similar property; and (viii)
      may
      consult counsel satisfactory to Escrow Agent (including, without limitation,
      Loeb & Loeb LLP or such other counsel of Escrow Agent’s choosing), the
      opinion of such counsel to be full and complete authorization and protection
      in
      respect of any action taken, suffered or omitted by Escrow Agent hereunder
      in
      good faith and in accordance with the opinion of such counsel.

     

    (b) Each
      Purchaser and each Company acknowledge that the Escrow Agent is acting solely
      as
      a stakeholder at their request and that the Escrow Agent shall not be liable
      for
      any action taken by Escrow Agent in good faith and believed by Escrow Agent
      to
      be authorized or within the rights or powers conferred upon Escrow Agent by
      this
      Agreement. Each Purchaser and the Companies hereby, jointly and severally,
      indemnify and hold harmless the Escrow Agent and any of Escrow Agent’s partners,
      employees, agents and representatives from and against any and all actions
      taken
      or omitted to be taken by Escrow Agent or any of them hereunder and any and
      all
      claims, losses, liabilities, costs, damages and expenses suffered and/or
      incurred by the Escrow Agent arising in any manner whatsoever out of the
      transactions contemplated by this Agreement and/or any transaction related
      in
      any way hereto, including the fees of outside counsel and other costs and
      expenses of defending itself against any claims, losses, liabilities, costs,
      damages and expenses arising in any manner whatsoever out the transactions
      contemplated by this Agreement and/or any transaction related in any way hereto,
      except for such claims, losses, liabilities, costs, damages and expenses
      incurred by reason of the Escrow Agent’s gross negligence or willful misconduct.
      The Escrow Agent shall owe a duty only to the Purchasers and the Companies
      under
      this Agreement and to no other person.

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    (c) The
      Purchasers and the Companies shall jointly and severally reimburse the Escrow
      Agent for its reasonable out-of-pocket expenses (including counsel fees (which
      counsel may be Loeb & Loeb LLP or such other counsel of the Escrow Agent’s
      choosing) incurred in connection with the performance of its duties and
      responsibilities hereunder, which shall be (subject to Section 4.1(b))
      $1,500.

     

    (d) The
      Escrow Agent may at any time resign as Escrow Agent hereunder by giving five
      (5)
      business days prior written notice of resignation to the Purchasers and the
      Companies. Prior to the effective date of resignation as specified in such
      notice, the Purchasers and the Companies will issue to the Escrow Agent a joint
      instruction authorizing delivery of the Documents and the Escrowed Payment
      to a
      substitute Escrow Agent selected by the Purchasers and the Companies. If no
      successor Escrow Agent is named by the Purchasers and the Companies, the Escrow
      Agent may apply to a court of competent jurisdiction in the State of New York
      for appointment of a successor Escrow Agent, and deposit the Documents and
      the
      Escrowed Payment with the clerk of any such court, and/or otherwise commence
      an
      interpleader or similar action for a determination of where to deposit the
      same.

     

    (e) The
      Escrow Agent does not have and will not have any interest in the Documents
      and
      the Escrowed Payment, but is serving only as escrow agent, having only
      possession thereof.

     

    (f) The
      Escrow Agent shall not be liable for any action taken or omitted by it in good
      faith and reasonably believed by it to be authorized hereby or within the rights
      or powers conferred upon it hereunder, nor for action taken or omitted by it
      in
      good faith, and in accordance with advice of counsel (which counsel may be
      Loeb
& Loeb LLP or such other counsel of the Escrow Agent’s choosing), and shall
      not be liable for any mistake of fact or error of judgment or for any acts
      or
      omissions of any kind except to the extent any such liability arose from its
      own
      willful misconduct or gross negligence.

     

    (g) This
      Agreement sets forth exclusively the duties of the Escrow Agent with respect
      to
      any and all matters pertinent thereto and no implied duties or obligations
      shall
      be read into this Agreement.

     

    (h) The
      Escrow Agent shall be permitted to act as counsel for any Purchaser or either
      or
      both of the Companies, as the case may be, in any dispute as to the disposition
      of the Documents and the Escrowed Payment, in any other dispute between any
      Purchaser and either or both of the Companies, whether or not the Escrow Agent
      is then holding the Documents and/or the Escrowed Payment and continues to
      act
      as the Escrow Agent hereunder.

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    (i) The
      provisions of this Section 4.1 shall survive the resignation of the Escrow
      Agent
      or the termination of this Agreement.

     

    4.2. Dispute
      Resolution; Judgments.
      Resolution of disputes arising under this Agreement shall be subject to the
      following terms and conditions:

     

    (a) If
      any
      dispute shall arise with respect to the delivery, ownership, right of possession
      or disposition of the Documents and/or the Escrowed Payment, or if the Escrow
      Agent shall in good faith be uncertain as to its duties or rights hereunder,
      the
      Escrow Agent shall be authorized, without liability to anyone, to (i) refrain
      from taking any action other than to continue to hold the Documents and the
      Escrowed Payment pending receipt of a joint instruction from the Purchasers
      and
      the Companies, (ii) commence an interpleader or similar action, suit or
      proceeding for the resolution of any such dispute; and/or (iii) deposit the
      Documents and the Escrowed Payment with any court of competent jurisdiction
      in
      the State of New York, in which event the Escrow Agent shall give written notice
      thereof to the Purchasers and the Companies and shall thereupon be relieved
      and
      discharged from all further obligations pursuant to this Agreement. The Escrow
      Agent may, but shall be under no duty to, institute or defend any legal
      proceedings which relate to the Documents and the Escrowed Payment. The Escrow
      Agent shall have the right to retain counsel if it becomes involved in any
      disagreement, dispute or litigation on account of this Agreement or otherwise
      determines that it is necessary to consult counsel which such counsel may be
      Loeb & Loeb LLP or such other counsel of the Escrow Agent’s
      choosing.

     

    (b) The
      Escrow Agent is hereby expressly authorized to comply with and obey any Court
      Order. In case the Escrow Agent obeys or complies with a Court Order, the Escrow
      Agent shall not be liable to any Purchaser, either Company or to any other
      person, firm, company or entity by reason of such compliance.

     

     

    ARTICLE
      V

     

    GENERAL
      MATTERS

     

    5.1. Termination.
      This
      escrow shall terminate upon disbursement of the Escrowed Payment in accordance
      with the terms of this Agreement or earlier upon the agreement in writing of
      the
      Purchasers and the Companies or resignation of the Escrow Agent in accordance
      with the terms hereof.

     

    5.2. Notices.
      All
      notices, requests, demands and other communications required or permitted
      hereunder shall be in writing and shall be deemed to have been duly given one
      (1) day after being sent by telecopy (with copy delivered by overnight courier,
      regular or certified mail):

     

    
      	
              (a)

            	
              If
                to the Companies, to:

            	
              c/o
                True North Energy Corporation

            
	 	 	
              1400
                Woodloch Forest Drive

            
	 	 	
              Suite
                530

            
	 	 	
              The
                Woodlands, Texas 773802

            
	 	 	
              Fax:
                (823) 553-7244

            
	 	 	
              Attention:
                Chief Executive Officer

            

    

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    

    
      	 	
              With
                a copy to:

            	
              Gordon
                Arata McCollam Duplantis

            
	 	 	
              &
                Eagan, LLP

            
	 	 	
              2200
                West Loop South, Suite 1050

            
	 	 	
              Houston,
                Texas 77027

            
	 	 	
              Fax:
                (713) 333-5501

            
	 	 	
              Attention:
                J. Lanier Yeates

            
	 	 	 
	
              (b)

            	
              If
                to the Purchasers, to:

            	
              c/o
                Valens Capital Management, LLC

            
	 	 	
              335
                Madison Avenue, 10th Floor

            
	 	 	
              New
                York, New York 10017

            
	 	 	
              Attention:
                Portfolio Services

            
	 	 	
              Facsimile:
                212-581-5037

            
	 	 	 
	
              (c)

            	
              If
                to the Escrow Agent, to:

            	
              Loeb
                & Loeb LLP

            
	 	 	
              345
                Park Avenue

            
	 	 	
              New
                York, New York 10154

            
	 	 	
              Fax:
                (212) 407-4990

            
	 	 	
              Attention:
                Scott J. Giordano, Esq.

            

    

    

    or
      to
      such other address as any of them shall give to the others by notice made
      pursuant to this Section 5.2.

    

    5.3. Interest.
      The
      Escrowed Payment shall not be held in an interest bearing account nor will
      interest be payable in connection therewith.

     

    5.4. Assignment;
      Binding Agreement.
      Neither
      this Agreement nor any right or obligation hereunder shall be assignable by
      any
      party without the prior written consent of the other parties hereto. This
      Agreement shall inure to the benefit of and be binding upon the parties hereto
      and their respective legal representatives, successors and assigns.

     

    5.5. Invalidity.
      In the
      event that any one or more of the provisions contained herein, or the
      application thereof in any circumstance, is held invalid, illegal, or
      unenforceable in any respect for any reason, the validity, legality and
      enforceability of any such provision in every other respect and of the remaining
      provisions contained herein shall not be in any way impaired thereby, it being
      intended that all of the rights and privileges of the parties hereto shall
      be
      enforceable to the fullest extent permitted by law.

     

    5.6. Counterparts/Execution.
      This
      Agreement may be executed in any number of counterparts and by different
      signatories hereto on separate counterparts, each of which, when so executed,
      shall be deemed an original, but all such counterparts shall constitute but
      one
      and the same agreement. This Agreement may be executed by facsimile
      transmission.

     

    [Signatures
      appear on the following pages]

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    

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

    

    
      	
              COMPANIES:

            
	 
	
              TRUE
                NORTH ENERGY CORPORATION

            
	 
	
              By:

            	
              /s/
                John I. Folnovic

            
	 	
              Name:

            	
              John
                I. Folnovic

            
	 	
              Title:

            	
              President
                and Chief

            
	 	 	
              Executive
                Officer

            
	 	 	 
	
              ICF
                ENERGY CORPORATION

            
	 
	
              By:

            	/s/
              John I. Folnovic
	 	
              Name:

            	
              John
                I. Folnovic

            
	 	
              Title:

            	
              President
                and Chief

            
	 	 	
              Executive
                Officer

            
	 	 	 
	
              PURCHASERS:

            
	 
	
              VALENS
                U.S. SPV I, LLC

            
	 
	
              By:

            	
              Valens
                Capital Management, LLC,

            
	 	
              its
                investment manager

            
	 	 	 
	 	
              By:

            	
              /s/
                Patrick Regan

            
	 	 	
              Name:
                Patrick Regan

            
	 	 	
              Title:
                Authorized Signatory

            
	 
	
              VALENS
                OFFSHORE SPV II, CORP.

            
	 
	
              By:

            	
              Valens
                Capital Management, LLC,

            
	 	
              its
                investment manager

            
	 	 	 
	 	
              By:

            	
              /s/
                Patrick Regan

            
	 	 	
              Name:
                Patrick Regan

            
	 	 	
              Title:
                Authorized Signatory

            

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    
      	
              ESCROW
                AGENT:

            
	 
	
              LOEB
                & LOEB LLP

            
	 
	 	
              By:

            	
              /s.
                Scott J. Giordano

            
	 	
              Name:
                

            	
              Scott
                J. Giordano

            
	 	
              Title:
                

            	
              Partner

            

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    SCHEDULE
      A TO FUNDS ESCROW AGREEMENT

    

      
        	
                PURCHASERS

              	 	
                PRINCIPAL
                  NOTE AMOUNTS

              
	
                VALENS
                  U.S. SPV I, LLC

                c/o
                  Valens Capital Management, LLC

                335
                  Madison Avenue, 10th Floor

                New
                  York, New York 10017

                Fax: 212-581-5037

              	 	
                Amended
                  and Restated Secured Term Note in an aggregate principal amount
                  of
                  $[    ]

              
	
                VALENS
                  OFFSHORE SPV II, CORP.

                c/o
                  Valens Capital Management, LLC

                335
                  Madison Avenue, 10th Floor

                New
                  York, New York 10017

                Fax: 212-581-5037

              	 	
                Amended
                  and Restated Secured Term Note in an aggregate principal amount
                  of
                  $[    ]

              
	
                TOTAL

              	 	
                $[    ]

              

      

      

      
        	
                PURCHASERS

              	 	
                PURCHASER
                  PAYMENTS

              
	
                VALENS
                  U.S. SPV I, LLC

                c/o
                  Valens Capital Management, LLC

                335
                  Madison Avenue, 10th Floor

                New
                  York, New York 10017

                Fax: 212-581-5037

              	 	
                Aggregate
                  payments payable in connection with investment by Valens U.S. SPV
                  I, LLC
                  ($4,000).

              
	
                VALENS
                  OFFSHORE SPV II, CORP.

                c/o
                  Valens Capital Management, LLC

                335
                  Madison Avenue, 10th Floor

                New
                  York, New York 10017

                Fax: 212-581-5037

              	 	
                Aggregate
                  payments payable in connection with investment by Valens Offshore
                  SPV II,
                  Corp. ($4,000)

              
	
                TOTAL

              	 	
                $8,000

              

      

      

      
        	
                FUND
                  MANAGER

              	 	
                VCM
                  PAYMENT

              
	
                VALENS
                  CAPITAL MANAGEMENT, L.L.C.

                335
                  MADISON AVENUE, 10TH
                  FLOOR

                NEW
                  YORK, NEW YORK 10017

                FAX:
                  212-581-5037

              	 	
                Payment
                  payable in connection with investment by Valens U.S. SPV I, LLC
                  and Valens
                  Offshore SPV II, Corp. for each of which Valens Capital Management,
                  L.L.C.
                  is the investment manager.

              
	
                TOTAL

              	 	
                $6,000

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00140-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00140-of-00352.parquet"}]]