DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

  66676   TRACT  1                                                     1038
          --------
          TWP 082 RGE 16 W6M SEC 20-22 26

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          PARCEL OVERLAPS CROWN LAND LOCATED WITHIN THE TREATY 
          #8 AREA AND THE PROVINCE STRONGLY ENCOURAGES EARLY 
          PRE-APPLICATION ENGAGEMENT WITH THE RELEVANT FIRST 
          NATIONS; PLEASE CONTACT THE OIL AND GAS COMMISSION FOR 
          GUIDANCE. PARCEL WAS REFERRED TO THE FOLLOWING FIRST 
          NATION(S) FOR REVIEW AND COMMENT (NOTE THAT SUBSEQUENT 
          CONSULTATION WITH FIRST NATIONS, NOT NECESSARILY 
          LIMITED TO THOSE LISTED BELOW, MAY BE REQUIRED PRIOR 
          TO ACTIVITIES BEING AUTHORIZED ON CROWN LAND):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HORSE LAKE FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - FISHING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          PARCEL LOCATED WITHIN SPECIAL MANAGEMENT ZONE. 
          PRE-ASSESSMENTS AND MITIGATION STRATEGIES MAY BE 
          REQUIRED. REFER TO FORT ST. JOHN LRMP.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - PROPOSED UNGULATE WINTER RANGE
          - BLUE OR RED LISTED SPECIES


                                   PAGE     1
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          - VISUAL QUALITY OBJECTIVES
          - FISH AND WILDLIFE MANAGEMENT RESERVE
          - NOTATION OF INTEREST - ENVIRONMENT, CONSERVATION AND 
          RECREATION
          - UREP RESERVE (USE, RECREATION AND ENJOYMENT OF THE 
          PUBLIC)
          - MINERAL, COAL AND/OR PLACER RESERVES
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          RECORDED AND POTENTIAL ARCHAEOLOGICAL SITES EXIST; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1802005

---------------------------------------------------------------------------

  66677   TRACT  1                                                      257
          --------
          TWP 082 RGE 17 W6M SEC 29

          INC : PETROLEUM AND NATURAL GAS

          BELOW BASE OF 42012 CADOMIN-DUNLEVY-NIKANASSIN

          42012 CADOMIN-DUNLEVY-NIKANASSIN ZONE DEFINED IN THE 
          INTERVAL 3898.9'-4378.2' ON THE BHC SONIC LOG OF THE 
          WELL W.A. 3148 7-27-81-18 W6M

          PARCEL OVERLAPS CROWN LAND LOCATED WITHIN THE TREATY 
          #8 AREA AND THE PROVINCE STRONGLY ENCOURAGES EARLY 
          PRE-APPLICATION ENGAGEMENT WITH THE RELEVANT FIRST 
          NATIONS; PLEASE CONTACT THE OIL AND GAS COMMISSION FOR 
          GUIDANCE. PARCEL WAS REFERRED TO THE FOLLOWING FIRST 
          NATION(S) FOR REVIEW AND COMMENT (NOTE THAT SUBSEQUENT 
          CONSULTATION WITH FIRST NATIONS, NOT NECESSARILY 


                                   PAGE     2
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          LIMITED TO THOSE LISTED BELOW, MAY BE REQUIRED PRIOR 
          TO ACTIVITIES BEING AUTHORIZED ON CROWN LAND):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HORSE LAKE FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - FISHING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          DISTRICT OF TAYLOR REQUESTS CONSULTATION PRIOR TO 
          UNDERTAKING ANY EXPLORATION AND DEVELOPMENT 
          ACTIVITIES.
          THE DISTRICT OF TAYLOR REQUESTS CONSULTATION ON 
          EMERGENCY RESPONSE PRIOR TO THE DEVELOPMENT OF 
          EMERGENCY PLANS. EMERGENCY PLANS MUST BE SUBMITTED TO 
          TAYLOR FIRE DEPARTMENT PRIOR TO DRILLING ACTIVITIES.
          PARCEL IS LOCATED WITHIN HORN RIVER, MONTNEY OR 
          CORDOVA EMBAYMENT BOUNDARIES IN WHICH SHALE GAS 
          RECOVERY AND TECHNOLOGY IS ANTICIPATED; PARTICIPATION 
          IN A WATER OR ACCESS PLANNING PROCESS WITH OTHER 
          TENURE HOLDERS MAY BE REQUIRED TO COORDINATE 
          ACTIVITIES, EXPLORATION AND DEVELOPMENT.
          PARCEL LOCATED WITHIN SPECIAL MANAGEMENT ZONE. 
          PRE-ASSESSMENTS AND MITIGATION STRATEGIES MAY BE 
          REQUIRED. REFER TO FORT ST. JOHN LRMP.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - PROPOSED UNGULATE WINTER RANGE
          - BLUE OR RED LISTED SPECIES
          - SLOPE STABILITY
          - VISUAL QUALITY OBJECTIVES


                                   PAGE     3
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          - QUARRY, SAND AND GRAVEL RESERVE
          - NOTATION OF INTEREST - ENVIRONMENT, CONSERVATION AND 
          RECREATION
          - UREP RESERVE (USE, RECREATION AND ENJOYMENT OF THE 
          PUBLIC)
          - MINERAL, COAL AND/OR PLACER RESERVES
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          RECORDED AND POTENTIAL ARCHAEOLOGICAL SITES EXIST; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1802007

---------------------------------------------------------------------------

  66678   TRACT  1                                                      781
          --------
          TWP 083 RGE 16 W6M SEC 11 15 21

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          PARCEL OVERLAPS CROWN LAND LOCATED WITHIN THE TREATY 
          #8 AREA AND THE PROVINCE STRONGLY ENCOURAGES EARLY 
          PRE-APPLICATION ENGAGEMENT WITH THE RELEVANT FIRST 
          NATIONS; PLEASE CONTACT THE OIL AND GAS COMMISSION FOR 
          GUIDANCE. PARCEL WAS REFERRED TO THE FOLLOWING FIRST 
          NATION(S) FOR REVIEW AND COMMENT (NOTE THAT SUBSEQUENT 
          CONSULTATION WITH FIRST NATIONS, NOT NECESSARILY 
          LIMITED TO THOSE LISTED BELOW, MAY BE REQUIRED PRIOR 
          TO ACTIVITIES BEING AUTHORIZED ON CROWN LAND):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HORSE LAKE FIRST NATION


                                   PAGE     4
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - FISHING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - PROPOSED UNGULATE WINTER RANGE
          - SHARP-TAILED GROUSE LEKS
          - AGRICULTURE LEASE
          - FISH AND WILDLIFE MANAGEMENT RESERVE
          - MINERAL, COAL AND/OR PLACER RESERVES
          - FOREST ACT TENURE(S)
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          RECORDED AND POTENTIAL ARCHAEOLOGICAL SITES EXIST; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.





                                   PAGE     5
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1802009

---------------------------------------------------------------------------

  66679   TRACT  1                                                      528
          --------
          TWP 083 RGE 15 W6M SEC 33

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          TRACT  2
          --------
          TWP 083 RGE 15 W6M SEC 30

          INC : PETROLEUM AND NATURAL GAS

          BELOW BASE OF 34010 ARTEX-HALFWAY-DOIG

          34010 ARTEX-HALFWAY-DOIG (BASE 'A' MARKER TO BASE DOIG 
          PHOSPHATE) ZONE IDENTIFIED IN THE INTERVAL 
          1468.0M-1633.9M ON THE BOREHOLE COMPENSATED SONIC LOG 
          OF THE WELL W.A. 16491 11-17-83-16 W6M

          PARCEL LOCATED WITHIN TREATY 8 AREA AND WAS REFERRED 
          TO THE FOLLOWING FIRST NATION(S) FOR REVIEW AND 
          COMMENT (NOTE THAT SUBSEQUENT CONSULTATION WITH FIRST 
          NATIONS, NOT NECESSARILY LIMITED TO THOSE LISTED 
          BELOW, MAY BE REQUIRED PRIOR TO ACTIVITIES BEING 
          AUTHORIZED):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HORSE LAKE FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 


                                   PAGE     6
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - FISHING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1802010

---------------------------------------------------------------------------

  66680   TRACT  1                                                      777
          --------
          TWP 083 RGE 16 W6M SEC 33 34
          TWP 084 RGE 16 W6M SEC 4

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          PARCEL LOCATED WITHIN TREATY 8 AREA AND WAS REFERRED 
          TO THE FOLLOWING FIRST NATION(S) FOR REVIEW AND 
          COMMENT (NOTE THAT SUBSEQUENT CONSULTATION WITH FIRST 
          NATIONS, NOT NECESSARILY LIMITED TO THOSE LISTED 
          BELOW, MAY BE REQUIRED PRIOR TO ACTIVITIES BEING 
          AUTHORIZED):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HORSE LAKE FIRST NATION


                                   PAGE     7
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - FISHING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - PROPOSED UNGULATE WINTER RANGE
          - SHARP-TAILED GROUSE LEKS
          - FISH AND WILDLIFE MANAGEMENT RESERVE
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.








                                   PAGE     8
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1802011

---------------------------------------------------------------------------

  66681   TRACT  1                                                      518
          --------
          TWP 084 RGE 16 W6M SEC 5 8NE 8S

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          TRACT  2
          --------
          TWP 084 RGE 16 W6M SEC 8NW

          INC : PETROLEUM AND NATURAL GAS

          BELOW BASE OF 36002 CHARLIE LAKE (EXCL. BELOW 'A' 
          MARKER)

          36002 CHARLIE LAKE (EXCLUDING BELOW 'A' MARKER) ZONE 
          DEFINED IN THE INTERVAL 5001.2'-5970.7' ON THE GAMMA 
          RAY NEUTRON LOG OF THE WELL W.A. 238 C-53-D/094-B-09

          PARCEL LOCATED WITHIN TREATY 8 AREA AND WAS REFERRED 
          TO THE FOLLOWING FIRST NATION(S) FOR REVIEW AND 
          COMMENT (NOTE THAT SUBSEQUENT CONSULTATION WITH FIRST 
          NATIONS, NOT NECESSARILY LIMITED TO THOSE LISTED 
          BELOW, MAY BE REQUIRED PRIOR TO ACTIVITIES BEING 
          AUTHORIZED):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HORSE LAKE FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 


                                   PAGE     9
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - FISHING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - PROPOSED UNGULATE WINTER RANGE
          - FISH AND WILDLIFE MANAGEMENT RESERVE
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1802012

---------------------------------------------------------------------------

  66682   TRACT  1                                                      520
          --------
          TWP 083 RGE 17 W6M SEC 22

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          TRACT  2
          --------
          TWP 083 RGE 17 W6M SEC 14


                                   PAGE    10
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------


          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          EXC : NATURAL GAS

          DOWN TO BASE OF 31501 BASAL MONTNEY LAG-BELLOY-TAYLOR 
          FLAT

          31501 BASAL MONTNEY LAG-BELLOY-TAYLOR FLAT ZONE 
          DEFINED IN THE INTERVAL 7039'-8053.8' MD ON THE SONIC 
          LOG-GAMMA RAY-CALIPER LOG OF THE WELL W.A. 1355 
          10-26-81-16 W6M

          PARCEL LOCATED WITHIN TREATY 8 AREA AND WAS REFERRED 
          TO THE FOLLOWING FIRST NATION(S) FOR REVIEW AND 
          COMMENT (NOTE THAT SUBSEQUENT CONSULTATION WITH FIRST 
          NATIONS, NOT NECESSARILY LIMITED TO THOSE LISTED 
          BELOW, MAY BE REQUIRED PRIOR TO ACTIVITIES BEING 
          AUTHORIZED):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HORSE LAKE FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - FISHING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          DISTRICT OF TAYLOR REQUESTS CONSULTATION PRIOR TO 
          UNDERTAKING ANY EXPLORATION AND DEVELOPMENT 
          ACTIVITIES.
          THE DISTRICT OF TAYLOR REQUESTS CONSULTATION ON 
          EMERGENCY RESPONSE PRIOR TO THE DEVELOPMENT OF 
          EMERGENCY PLANS. EMERGENCY PLANS MUST BE SUBMITTED TO 


                                   PAGE    11
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          TAYLOR FIRE DEPARTMENT PRIOR TO DRILLING ACTIVITIES.
          PARCEL IS LOCATED WITHIN HORN RIVER, MONTNEY OR 
          CORDOVA EMBAYMENT BOUNDARIES IN WHICH SHALE GAS 
          RECOVERY AND TECHNOLOGY IS ANTICIPATED; PARTICIPATION 
          IN A WATER OR ACCESS PLANNING PROCESS WITH OTHER 
          TENURE HOLDERS MAY BE REQUIRED TO COORDINATE 
          ACTIVITIES, EXPLORATION AND DEVELOPMENT.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - BLUE OR RED LISTED SPECIES
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1802013

---------------------------------------------------------------------------

  66683   TRACT  1                                                     1042
          --------
          TWP 083 RGE 17 W6M SEC 30
          TWP 083 RGE 18 W6M SEC 24E

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          TRACT  2
          --------
          TWP 083 RGE 18 W6M SEC 24W



                                   PAGE    12
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          INC : PETROLEUM AND NATURAL GAS

          BELOW BASE OF 36003 CHARLIE LAKE (EXCL. BELOW 'A' 
          MARKER)

          36003 CHARLIE LAKE (EXCLUDING BELOW 'A' MARKER) ZONE 
          DEFINED IN THE INTERVAL 3879.6'-4929.8' ON THE 
          SIMULTANEOUS GAMMA RAY NEUTRON LOG OF THE WELL W.A. 
          376 11-23-81-22 W6M

  66683   TRACT  3
          --------
          TWP 083 RGE 18 W6M SEC 25 26

          INC : PETROLEUM AND NATURAL GAS

          BELOW BASE OF 34010 ARTEX-HALFWAY-DOIG

          34010 ARTEX-HALFWAY-DOIG (BASE 'A' MARKER TO BASE DOIG 
          PHOSPHATE) ZONE IDENTIFIED IN THE INTERVAL 
          1468.0M-1633.9M ON THE BOREHOLE COMPENSATED SONIC LOG 
          OF THE WELL W.A. 16491 11-17-83-16 W6M

          PARCEL LOCATED WITHIN TREATY 8 AREA AND WAS REFERRED 
          TO THE FOLLOWING FIRST NATION(S) FOR REVIEW AND 
          COMMENT (NOTE THAT SUBSEQUENT CONSULTATION WITH FIRST 
          NATIONS, NOT NECESSARILY LIMITED TO THOSE LISTED 
          BELOW, MAY BE REQUIRED PRIOR TO ACTIVITIES BEING 
          AUTHORIZED):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HORSE LAKE FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - FISHING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:


                                   PAGE    13
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          PARCEL OVERLAPS A SCHOOL AND RESIDENTIAL AREA. ACCESS 
          RESTRICTIONS MAY APPLY; CONTACT BC OIL AND GAS 
          COMMISSION FOR MORE INFORMATION.
          PARCEL IS LOCATED NEAR COMMUNITY WATER SOURCE. THE 
          CITY OF FORT ST. JOHN REQUESTS ENGAGEMENT TO DISCUSS 
          EXPLORATION AND DEVELOPMENT PLANS PRIOR TO 
          ON-THE-GROUND ACTIVITIES.
          DISTRICT OF TAYLOR REQUESTS CONSULTATION PRIOR TO 
          UNDERTAKING ANY EXPLORATION AND DEVELOPMENT 
          ACTIVITIES.
          THE DISTRICT OF TAYLOR REQUESTS CONSULTATION ON 
          EMERGENCY RESPONSE PRIOR TO THE DEVELOPMENT OF 
          EMERGENCY PLANS. EMERGENCY PLANS MUST BE SUBMITTED TO 
          TAYLOR FIRE DEPARTMENT PRIOR TO DRILLING ACTIVITIES.
          PARCEL IS LOCATED WITHIN HORN RIVER, MONTNEY OR 
          CORDOVA EMBAYMENT BOUNDARIES IN WHICH SHALE GAS 
          RECOVERY AND TECHNOLOGY IS ANTICIPATED; PARTICIPATION 
          IN A WATER OR ACCESS PLANNING PROCESS WITH OTHER 
          TENURE HOLDERS MAY BE REQUIRED TO COORDINATE 
          ACTIVITIES, EXPLORATION AND DEVELOPMENT.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - BLUE OR RED LISTED SPECIES
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.









                                   PAGE    14
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1802014

---------------------------------------------------------------------------

  66684   TRACT  1                                                      521
          --------
          TWP 082 RGE 15 W6M SEC 10

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          TRACT  2
          --------
          TWP 082 RGE 15 W6M SEC 3

          INC : PETROLEUM AND NATURAL GAS

          BELOW BASE OF 44009 BLUESKY-GETHING

          44009 BLUESKY-GETHING ZONE DEFINED IN THE INTERVAL 
          3585'-4036.4' ON THE BHC ACOUSTILOG LOG OF THE WELL 
          W.A. 3998 7-30-81-15 W6M

          PARCEL OVERLAPS CROWN LAND LOCATED WITHIN THE TREATY 
          #8 AREA AND THE PROVINCE STRONGLY ENCOURAGES EARLY 
          PRE-APPLICATION ENGAGEMENT WITH THE RELEVANT FIRST 
          NATIONS; PLEASE CONTACT THE OIL AND GAS COMMISSION FOR 
          GUIDANCE. PARCEL WAS REFERRED TO THE FOLLOWING FIRST 
          NATION(S) FOR REVIEW AND COMMENT (NOTE THAT SUBSEQUENT 
          CONSULTATION WITH FIRST NATIONS, NOT NECESSARILY 
          LIMITED TO THOSE LISTED BELOW, MAY BE REQUIRED PRIOR 
          TO ACTIVITIES BEING AUTHORIZED ON CROWN LAND):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - MCLEOD LAKE INDIAN BAND
          - SAULTEAU FIRST NATIONS
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - SAULTEAU FIRST NATIONS
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 


                                   PAGE    15
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - SAULTEAU FIRST NATIONS
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - CULTURALLY SIGNIFICANT SITE(S)
          - AREAS OF CRITICAL COMMUNITY USE
          - TRADITIONAL USE AREAS
          - CULTURALLY IMPORTANT PLANTS
          - HISTORIC OR CURRENT TRAIL(S)
          - HISTORIC OR CURRENT CAMP(S)
          - HUNTING CAMP
          - HARVESTING
          - MEDICINAL PLANTS
          - FIREWOOD COLLECTION
          - CRITICAL WATERFOWL VALUES
          - WILDLIFE, VEGETATION AND CULTURAL VALUES OF A FIRST 
          NATION
          - HUNTING
          - TRAPPING
          - GATHERING
          - WILD HORSES AND HORSE RANGE INCLUDING GRAZING/HAY 
          MEADOWS
          - BERRY HARVESTING
          - MOOSE
          - DEER
          - ELK
          - FUR BEARING WILDLIFE
          - RIPARIAN HABITATS
          - WATER QUALITY AND WATERSHED VALUES
          - GROUNDWATER
          - SENSITIVE RIPARIAN HABITATS
          - STREAMS, WETLANDS, LAKES
          - WATER QUALITY
          - SURFACE WATER
          - TIMBER VALUES
          - SENSITIVE PLANTS AND ECOSYSTEMS
          - WILDLIFE AND WILDLIFE HABITAT
          - CRITICAL WATERFOWL VALUES
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - SLOPE STABILITY
          - VISUALLY SENSITIVE AREAS
          - ERODIBLE SOILS
          - UNSTABLE SOILS AND SLOPE STABILITY
          - UNSTABLE SOILS
          - GROUNDWATER


                                   PAGE    16
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          - WATER QUALITY AND WATERSHED VALUES
          - CUMULATIVE EFFECTS
          THE PARCEL IS LOCATED NEAR EXISTING INFRASTRUCTURE.� 
          ADDITIONAL SURFACE DISTURBANCE, INCLUDING ACCESS AND 
          WELLSITE CONSTRUCTION, �MAY BE UNNECESSARY OR 
          RESTRICTED IN ORDER TO AVOID �OR MINIMIZE CUMULATIVE 
          IMPACTS ON FIRST NATION AND ENVIRONMENTAL VALUES.
          PORTION OF THE PARCEL OVERLAPS AN AREA IDENTIFIED BY 
          THE DOIG RIVER FIRST NATION AS A COMPLEX CONSULTATION 
          ZONE. PROPOSED ACTIVITIES SPECIFICALLY WITHIN THE ZONE 
          HAVE A LONGER FIRST NATION REVIEW AND RESPONSE PERIOD, 
          CONTACT THE OIL AND GAS COMMISSION FOR FURTHER 
          INFORMATION.
          PARCEL CONTAINS OR IS NEAR RESIDENTIAL DEVELOPMENTS. 
          EXPLORATION AND DEVELOPMENT PLANS SHOULD CONSIDER 
          POTENTIAL IMPACTS ON THE COMMUNITY. ENHANCED COMMUNITY 
          ENGAGEMENT MAY BE NECESSARY.
          PARCEL IS LOCATED NEAR COMMUNITY WATER SOURCE. THE 
          CITY OF FORT ST. JOHN REQUESTS ENGAGEMENT TO DISCUSS 
          EXPLORATION AND DEVELOPMENT PLANS PRIOR TO 
          ON-THE-GROUND ACTIVITIES.
          DIRECTIONAL DRILLING ONLY WILL BE ALLOWED UNDER THE 
          PORTION OF THE PARCEL WITHIN THE PEACE RIVER CORRIDOR 
          PARK.
          PARCEL IS LOCATED WITHIN HORN RIVER, MONTNEY OR 
          CORDOVA EMBAYMENT BOUNDARIES IN WHICH SHALE GAS 
          RECOVERY AND TECHNOLOGY IS ANTICIPATED; PARTICIPATION 
          IN A WATER OR ACCESS PLANNING PROCESS WITH OTHER 
          TENURE HOLDERS MAY BE REQUIRED TO COORDINATE 
          ACTIVITIES, EXPLORATION AND DEVELOPMENT.
          THE BC OIL AND GAS COMMISSION USES AREA BASED ANALYSIS 
          (ABA) AS A TOOL IN THE APPLICATION REVIEW PROCESS; 
          THIS PARCEL OVERLAPS ABA "ENHANCED MANAGEMENT" STATUS 
          WITHIN RIPARIAN RESERVE ZONES (FOR MORE INFORMATION 
          CONTACT THE COMMISSION).
          PARCEL LOCATED WITHIN SPECIAL MANAGEMENT ZONE. 
          PRE-ASSESSMENTS AND MITIGATION STRATEGIES MAY BE 
          REQUIRED. REFER TO FORT ST. JOHN LRMP.
          PARCEL LOCATED WITHIN SPECIAL MANAGEMENT ZONE. 
          PRE-ASSESSMENTS AND MITIGATION STRATEGIES MAY BE 
          REQUIRED. REFER TO DAWSON CREEK LRMP.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - BLUE OR RED LISTED SPECIES
          - LAND ACT TENURE(S)
          - MINERAL, COAL AND/OR PLACER RESERVES
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 


                                   PAGE    17
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1409002A

---------------------------------------------------------------------------

  66685   TRACT  1                                                      523
          --------
          TWP 082 RGE 15 W6M SEC 11 12

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          PARCEL OVERLAPS CROWN LAND LOCATED WITHIN THE TREATY 
          #8 AREA AND THE PROVINCE STRONGLY ENCOURAGES EARLY 
          PRE-APPLICATION ENGAGEMENT WITH THE RELEVANT FIRST 
          NATIONS; PLEASE CONTACT THE OIL AND GAS COMMISSION FOR 
          GUIDANCE. PARCEL WAS REFERRED TO THE FOLLOWING FIRST 
          NATION(S) FOR REVIEW AND COMMENT (NOTE THAT SUBSEQUENT 
          CONSULTATION WITH FIRST NATIONS, NOT NECESSARILY 
          LIMITED TO THOSE LISTED BELOW, MAY BE REQUIRED PRIOR 
          TO ACTIVITIES BEING AUTHORIZED ON CROWN LAND):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - MCLEOD LAKE INDIAN BAND
          - SAULTEAU FIRST NATIONS
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - SAULTEAU FIRST NATIONS
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 


                                   PAGE    18
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - SAULTEAU FIRST NATIONS
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - CULTURALLY SIGNIFICANT SITE(S)
          - AREAS OF CRITICAL COMMUNITY USE
          - TRADITIONAL USE AREAS
          - CULTURALLY IMPORTANT PLANTS
          - HISTORIC OR CURRENT TRAIL(S)
          - HISTORIC OR CURRENT CAMP(S)
          - HUNTING CAMP
          - HARVESTING
          - MEDICINAL PLANTS
          - FIREWOOD COLLECTION
          - CRITICAL WATERFOWL VALUES
          - WILDLIFE, VEGETATION AND CULTURAL VALUES OF A FIRST 
          NATION
          - HUNTING
          - TRAPPING
          - GATHERING
          - WILD HORSES AND HORSE RANGE INCLUDING GRAZING/HAY 
          MEADOWS
          - BERRY HARVESTING
          - MOOSE
          - DEER
          - ELK
          - FUR BEARING WILDLIFE
          - RIPARIAN HABITATS
          - WATER QUALITY AND WATERSHED VALUES
          - GROUNDWATER
          - SENSITIVE RIPARIAN HABITATS
          - STREAMS, WETLANDS, LAKES
          - WATER QUALITY
          - SURFACE WATER
          - TIMBER VALUES
          - SENSITIVE PLANTS AND ECOSYSTEMS
          - WILDLIFE AND WILDLIFE HABITAT
          - CRITICAL WATERFOWL VALUES
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - SLOPE STABILITY
          - VISUALLY SENSITIVE AREAS
          - ERODIBLE SOILS


                                   PAGE    19
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          - UNSTABLE SOILS AND SLOPE STABILITY
          - UNSTABLE SOILS
          - GROUNDWATER
          - WATER QUALITY AND WATERSHED VALUES
          - CUMULATIVE EFFECTS
          THE PARCEL IS LOCATED NEAR EXISTING INFRASTRUCTURE.� 
          ADDITIONAL SURFACE DISTURBANCE, INCLUDING ACCESS AND 
          WELLSITE CONSTRUCTION, �MAY BE UNNECESSARY OR 
          RESTRICTED IN ORDER TO AVOID �OR MINIMIZE CUMULATIVE 
          IMPACTS ON FIRST NATION AND ENVIRONMENTAL VALUES.
          PORTION OF THE PARCEL OVERLAPS AN AREA IDENTIFIED BY 
          THE DOIG RIVER FIRST NATION AS A COMPLEX CONSULTATION 
          ZONE. PROPOSED ACTIVITIES SPECIFICALLY WITHIN THE ZONE 
          HAVE A LONGER FIRST NATION REVIEW AND RESPONSE PERIOD, 
          CONTACT THE OIL AND GAS COMMISSION FOR FURTHER 
          INFORMATION.
          PARCEL CONTAINS OR IS NEAR RESIDENTIAL DEVELOPMENTS. 
          EXPLORATION AND DEVELOPMENT PLANS SHOULD CONSIDER 
          POTENTIAL IMPACTS ON THE COMMUNITY. ENHANCED COMMUNITY 
          ENGAGEMENT MAY BE NECESSARY.
          PARCEL IS LOCATED NEAR COMMUNITY WATER SOURCE. THE 
          CITY OF FORT ST. JOHN REQUESTS ENGAGEMENT TO DISCUSS 
          EXPLORATION AND DEVELOPMENT PLANS PRIOR TO 
          ON-THE-GROUND ACTIVITIES.
          DIRECTIONAL DRILLING ONLY WILL BE ALLOWED UNDER THE 
          PORTION OF THE PARCEL WITHIN THE PEACE RIVER CORRIDOR 
          PARK.
          PARCEL IS LOCATED WITHIN HORN RIVER, MONTNEY OR 
          CORDOVA EMBAYMENT BOUNDARIES IN WHICH SHALE GAS 
          RECOVERY AND TECHNOLOGY IS ANTICIPATED; PARTICIPATION 
          IN A WATER OR ACCESS PLANNING PROCESS WITH OTHER 
          TENURE HOLDERS MAY BE REQUIRED TO COORDINATE 
          ACTIVITIES, EXPLORATION AND DEVELOPMENT.
          THE BC OIL AND GAS COMMISSION USES AREA BASED ANALYSIS 
          (ABA) AS A TOOL IN THE APPLICATION REVIEW PROCESS; 
          THIS PARCEL OVERLAPS ABA "ENHANCED MANAGEMENT" STATUS 
          WITHIN RIPARIAN RESERVE ZONES (FOR MORE INFORMATION 
          CONTACT THE COMMISSION).
          PARCEL LOCATED WITHIN SPECIAL MANAGEMENT ZONE. 
          PRE-ASSESSMENTS AND MITIGATION STRATEGIES MAY BE 
          REQUIRED. REFER TO FORT ST. JOHN LRMP.
          PARCEL LOCATED WITHIN SPECIAL MANAGEMENT ZONE. 
          PRE-ASSESSMENTS AND MITIGATION STRATEGIES MAY BE 
          REQUIRED. REFER TO DAWSON CREEK LRMP.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - BLUE OR RED LISTED SPECIES
          - LAND ACT TENURE(S)


                                   PAGE    20
DRILLING LICENCE
----------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          - MINERAL, COAL AND/OR PLACER RESERVES
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :    3  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $3.50

          NO FURTHER TRACTS                      REF.NO. 1409002B

---------------------------------------------------------------------------




























                                   PAGE    21
PETROLEUM AND NATURAL GAS LEASE
-------------------------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

  66686   TRACT  1                                                      262
          --------
          TWP 084 RGE 21 W6M SEC 27

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          PARCEL LOCATED WITHIN TREATY 8 AREA AND WAS REFERRED 
          TO THE FOLLOWING FIRST NATION(S) FOR REVIEW AND 
          COMMENT (NOTE THAT SUBSEQUENT CONSULTATION WITH FIRST 
          NATIONS, NOT NECESSARILY LIMITED TO THOSE LISTED 
          BELOW, MAY BE REQUIRED PRIOR TO ACTIVITIES BEING 
          AUTHORIZED):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - HALFWAY RIVER FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - HALFWAY RIVER FIRST NATION
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - HALFWAY RIVER FIRST NATION
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HISTORIC AND CURRENT TRANSPORTATION CORRIDORS (LAND 
          AND WATER)
          - WILDLIFE VALUES
          - GRAVESITES IN AREA
          - CULTURALLY SIGNIFICANT SITE(S)
          - HUNTING
          - HARVESTING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - SURFACE WATER
          - STREAMS, WETLANDS, LAKES
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          PARCEL IS LOCATED NEAR COMMUNITY WATER SOURCE. THE 
          CITY OF FORT ST. JOHN REQUESTS ENGAGEMENT TO DISCUSS 
          EXPLORATION AND DEVELOPMENT PLANS PRIOR TO 
          ON-THE-GROUND ACTIVITIES.


                                   PAGE    22
PETROLEUM AND NATURAL GAS LEASE
-------------------------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          PARCEL IS LOCATED WITHIN HORN RIVER, MONTNEY OR 
          CORDOVA EMBAYMENT BOUNDARIES IN WHICH SHALE GAS 
          RECOVERY AND TECHNOLOGY IS ANTICIPATED; PARTICIPATION 
          IN A WATER OR ACCESS PLANNING PROCESS WITH OTHER 
          TENURE HOLDERS MAY BE REQUIRED TO COORDINATE 
          ACTIVITIES, EXPLORATION AND DEVELOPMENT.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - BLUE OR RED LISTED SPECIES
          COAL TENURE MAY CURRENTLY EXIST OR IN THE FUTURE BE 
          ISSUED IN THIS LOCATION, UNDER THE PROVISIONS OF THE 
          COAL ACT, SBC2004, C. 15 AS AMENDED FROM TIME TO TIME, 
          OR ANY FORMER COAL ACT.  BEFORE COMMENCING ANY 
          EXPLORATION OR DEVELOPMENT WORK ON THE LOCATION, 
          REASONABLE EFFORTS MUST BE MADE TO NEGOTIATE A 
          COMPATIBLE EXPLORATION AND DEVELOPMENT PROGRAM WITH 
          THE HOLDER OF COAL TENURE OVER THE LOCATION AS 
          SPECIFIED IN INFORMATION LETTER TITLES-05-02 OR AS 
          AMENDED.
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :    5  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $7.50

          NO FURTHER TRACTS                      REF.NO. 1802015

---------------------------------------------------------------------------

  66687   TRACT  1                                                      559
          --------
          NTS 094-H-05 BLK A UNITS 51 61
          NTS 094-H-06 BLK D UNITS 60 70

          INC : PETROLEUM AND NATURAL GAS

          ALL ZONES

          TRACT  2
          --------
          NTS 094-H-05 BLK A UNITS 52 53 62 63

          INC : PETROLEUM AND NATURAL GAS


                                   PAGE    23
PETROLEUM AND NATURAL GAS LEASE
-------------------------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------


          BELOW BASE OF 38001 PARDONET-BALDONNEL

          38001 PARDONET-BALDONNEL ZONE DEFINED IN THE INTERVAL 
          5115.1'-5261.2' ON THE SONIC LOG WITH GAMMA RAY AND 
          CALIPER LOG OF THE WELL W.A. 757 C-54-H/94-G-02

          PARCEL OVERLAPS CROWN LAND LOCATED WITHIN THE TREATY 
          #8 AREA AND THE PROVINCE STRONGLY ENCOURAGES EARLY 
          PRE-APPLICATION ENGAGEMENT WITH THE RELEVANT FIRST 
          NATIONS; PLEASE CONTACT THE OIL AND GAS COMMISSION FOR 
          GUIDANCE. PARCEL WAS REFERRED TO THE FOLLOWING FIRST 
          NATION(S) FOR REVIEW AND COMMENT (NOTE THAT SUBSEQUENT 
          CONSULTATION WITH FIRST NATIONS, NOT NECESSARILY 
          LIMITED TO THOSE LISTED BELOW, MAY BE REQUIRED PRIOR 
          TO ACTIVITIES BEING AUTHORIZED ON CROWN LAND):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          PARCEL IS LOCATED WITHIN HORN RIVER, MONTNEY OR 
          CORDOVA EMBAYMENT BOUNDARIES IN WHICH SHALE GAS 
          RECOVERY AND TECHNOLOGY IS ANTICIPATED; PARTICIPATION 
          IN A WATER OR ACCESS PLANNING PROCESS WITH OTHER 
          TENURE HOLDERS MAY BE REQUIRED TO COORDINATE 
          ACTIVITIES, EXPLORATION AND DEVELOPMENT.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - BLUE OR RED LISTED SPECIES
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 


                                   PAGE    24
PETROLEUM AND NATURAL GAS LEASE
-------------------------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :   10  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $7.50

          NO FURTHER TRACTS                      REF.NO. 1802017

---------------------------------------------------------------------------

  66688   TRACT  1                                                      559
          --------
          NTS 094-H-05 BLK A UNITS 54 55 64 65 74 75 84 85

          INC : PETROLEUM AND NATURAL GAS

          BELOW BASE OF 38001 PARDONET-BALDONNEL

          38001 PARDONET-BALDONNEL ZONE DEFINED IN THE INTERVAL 
          5115.1'-5261.2' ON THE SONIC LOG WITH GAMMA RAY AND 
          CALIPER LOG OF THE WELL W.A. 757 C-54-H/94-G-02

          PARCEL OVERLAPS CROWN LAND LOCATED WITHIN THE TREATY 
          #8 AREA AND THE PROVINCE STRONGLY ENCOURAGES EARLY 
          PRE-APPLICATION ENGAGEMENT WITH THE RELEVANT FIRST 
          NATIONS; PLEASE CONTACT THE OIL AND GAS COMMISSION FOR 
          GUIDANCE. PARCEL WAS REFERRED TO THE FOLLOWING FIRST 
          NATION(S) FOR REVIEW AND COMMENT (NOTE THAT SUBSEQUENT 
          CONSULTATION WITH FIRST NATIONS, NOT NECESSARILY 
          LIMITED TO THOSE LISTED BELOW, MAY BE REQUIRED PRIOR 
          TO ACTIVITIES BEING AUTHORIZED ON CROWN LAND):
          - BLUEBERRY RIVER FIRST NATIONS
          - DOIG RIVER FIRST NATION
          - WEST MOBERLY FIRST NATIONS
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - DENE THA' FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - DOIG RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 


                                   PAGE    25
PETROLEUM AND NATURAL GAS LEASE
-------------------------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - UNCONVENTIONAL OIL AND GAS DEVELOPMENT
          - CUMULATIVE EFFECTS
          PARCEL IS LOCATED WITHIN HORN RIVER, MONTNEY OR 
          CORDOVA EMBAYMENT BOUNDARIES IN WHICH SHALE GAS 
          RECOVERY AND TECHNOLOGY IS ANTICIPATED; PARTICIPATION 
          IN A WATER OR ACCESS PLANNING PROCESS WITH OTHER 
          TENURE HOLDERS MAY BE REQUIRED TO COORDINATE 
          ACTIVITIES, EXPLORATION AND DEVELOPMENT.
          ACCESS AND CONSTRUCTION RESTRICTIONS MAY APPLY. PRIOR 
          TO ON-THE-GROUND ACTIVITY, CONTACT THE APPROPRIATE 
          PROVINCIAL MINISTRY FOR APPLICABLE MANAGEMENT AND 
          PROTECTION MEASURES TO MINIMIZE DISTURBANCE AND 
          ADDRESS THE FOLLOWING (NOT LIMITED TO):
          - BLUE OR RED LISTED SPECIES
          PARCEL WITHIN OR PARTIALLY WITHIN THE AGRICULTURAL 
          LAND RESERVE; RESTORATION OF SURFACE SOIL ON DISTURBED 
          AREAS REQUIRED. PRECAUTIONS REQUIRED TO PREVENT THE 
          INTRODUCTION OR SPREAD OF WEEDS AND PLANT DISEASES.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :   10  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $7.50

          NO FURTHER TRACTS                      REF.NO. 1802018

---------------------------------------------------------------------------

  66689   TRACT  1                                                      280
          --------
          NTS 094-H-04 BLK J UNITS 100
          NTS 094-H-04 BLK K UNITS 91
          NTS 094-H-05 BLK B UNITS 10
          NTS 094-H-05 BLK C UNITS 1

          INC : PETROLEUM AND NATURAL GAS

          BELOW BASE OF 43002 BLUESKY-GETHING-DUNLEVY

          43002 BLUESKY-GETHING-DUNLEVY ZONE DEFINED IN THE 
          INTERVAL 4191.2'-4350.1' ON THE SIMULTANEOUS 
          CN/FD/SAND MTX LOG OF THE WELL W.A. 4097 
          A-47-D/94-H-05

          PARCEL OVERLAPS CROWN LAND LOCATED WITHIN THE TREATY 
          #8 AREA AND THE PROVINCE STRONGLY ENCOURAGES EARLY 


                                   PAGE    26
PETROLEUM AND NATURAL GAS LEASE
-------------------------------

PARCEL    LEGAL DESCRIPTION                                            HA  
-------   -------------------------------------------------------    ------

          PRE-APPLICATION ENGAGEMENT WITH THE RELEVANT FIRST 
          NATIONS; PLEASE CONTACT THE OIL AND GAS COMMISSION FOR 
          GUIDANCE. PARCEL WAS REFERRED TO THE FOLLOWING FIRST 
          NATION(S) FOR REVIEW AND COMMENT (NOTE THAT SUBSEQUENT 
          CONSULTATION WITH FIRST NATIONS, NOT NECESSARILY 
          LIMITED TO THOSE LISTED BELOW, MAY BE REQUIRED PRIOR 
          TO ACTIVITIES BEING AUTHORIZED ON CROWN LAND):
          - BLUEBERRY RIVER FIRST NATIONS
          - PROPHET RIVER FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE ADVISED THAT 
          THE AREA IS USED FOR PRACTISING THEIR TREATY RIGHTS:
          - BLUEBERRY RIVER FIRST NATIONS
          - PROPHET RIVER FIRST NATION
          THE FOLLOWING FIRST NATION(S) HAS/HAVE REQUESTED EARLY 
          ENGAGEMENT, PRIOR TO SUBMITTING AN APPLICATION TO THE 
          OIL AND GAS COMMISSION, TO PROVIDE THE PROPONENT WITH 
          THE OPPORTUNITY TO DISCUSS FIRST NATION(S) INTERESTS 
          (ASSESSMENTS; MONITORING STUDIES; AND MITIGATION, 
          MANAGEMENT AND/OR RECLAMATION PLANS MAY BE REQUESTED):
          - PROPHET RIVER FIRST NATION
          ACCESS, EXPLORATION AND CONSTRUCTION RESTRICTIONS MAY 
          APPLY TO PROTECT ACTIVITIES AND INTERESTS IDENTIFIED 
          IN THE AREA BY ONE OR MORE FIRST NATIONS. THESE 
          INCLUDE BUT ARE NOT LIMITED TO:
          - HUNTING
          - TRAPPING
          - MOUNTAIN GOAT
          - MOUNTAIN SHEEP
          - CARIBOU
          CONCERNS AND ISSUES IN THE AREA IDENTIFIED BY ONE OR 
          MORE FIRST NATIONS INCLUDE:
          - CUMULATIVE EFFECTS
          PARCEL OVERLAPS TRAPLINE REGISTERED TO FIRST NATION 
          COMMUNITY MEMBER
          PARCEL LOCATED WITHIN SPECIAL MANAGEMENT ZONE. 
          PRE-ASSESSMENTS AND MITIGATION STRATEGIES MAY BE 
          REQUIRED. REFER TO FORT ST. JOHN LRMP.
          POTENTIAL FOR ARCHAEOLOGICAL RESOURCES EXISTS; 
          ARCHAEOLOGICAL IMPACT ASSESSMENT MAY BE REQUIRED.

          TERM           :   10  YEARS
          FEES           :     $500.00
          RENT PER HA    :       $7.50

          NO FURTHER TRACTS                      REF.NO. 1411021

---------------------------------------------------------------------------






                                   PAGE    27



                       Parcels Offered and Hectares Summary


                                   No. Offered         Hectares
                                   -----------         --------

            Permits                          0                0
            Drilling Licences               10             6505
            Leases                           4             1660

            Grand Total                     14             8165














































