NOTICE OF CHANGE (AMENDMENTS/WITHDRAWALS) PUBLIC OFFERING OF CROWN PETROLEUM AND NATURAL GAS RIGHTS 2011 SEPTEMBER 07 2011 August 03 Christine Rudland - Manager EDMONTON, Alberta P&NG Sales and Registrations LEASE SCHEDULE PETROLEUM AND NATURAL GAS LEASES 2011, SEPTEMBER 07 LEASE HECTARES LAND DESCRIPTION ----- -------- ---------------- THE FOLLOWING PARCEL(S) SHOULD READ AS FOLLOWS --- NORTHERN REGION --- A0157 128 (ADM001902) (CRG000401) 5-08-089: 16S PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE BLUESKY-BULLHEAD (DRRZD 21) ------------------------------------------------------------------------------------- A0162 256 (ADM002001) (CRG000401) 5-01-092: 19 PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- A0163 1024 (ADM002001) (CRG000401) TRACT ONE 5-02-092: 29;30E;31E;32 PETROLEUM AND NATURAL GAS TRACT TWO 5-02-092: 30W;31W PETROLEUM AND NATURAL GAS TO THE BASE OF THE NISKU FM (DRRZD 23) PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE KEG RIVER FM (DRRZD 64) ------------------------------------------------------------------------------------- A0164 256 (ADM002001) (CRG000401) 5-02-093: 31 PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- A0165 192 (ADM002001) (CRG000401) 5-04-094: 27N,SE PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- A0166 64 (ADM002001) (CRG000401) 5-04-095: 2NW PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- A0167 192 (ADM002001) (CRG000401) 5-04-096: 33N,SE PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- A0168 256 (CRG000801) 6-10-096: 21 PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE TRIASSIC SYSTEM (DRRZD 214) ------------------------------------------------------------------------------------- A0169 192 (CRG000801) 6-08-097: 35N,SE PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE TRIASSIC SYSTEM (DRRZD 214) ------------------------------------------------------------------------------------- A0170 256 (CRG000801) 6-09-098: 13 PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- A0176 256 (CRG000801) TRACT ONE 6-06-119: 5N,SW PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE SULPHUR POINT FM (DRRZD 43) TRACT TWO 6-06-119: 5SE PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE MUSKEG FM (DRRZD 44) ------------------------------------------------------------------------------------- END LICENCE SCHEDULE PETROLEUM AND NATURAL GAS LICENCES 2011, SEPTEMBER 07 LICENCE HECTARES LAND DESCRIPTION ------- -------- ---------------- THE FOLLOWING PARCEL(S) SHOULD READ AS FOLLOWS --- NORTHERN REGION --- B0191 256 (CRG000701) (SIP000601) 5-25-062: 25 PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- B0208 1536 (CRG000401) TRACT ONE 5-03-074: 5-7 5-04-074: 1;12 PETROLEUM AND NATURAL GAS TRACT TWO 5-04-074: 13 PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE MANNVILLE GRP (DRRZD 4) ------------------------------------------------------------------------------------- B0213 2560 (CRG000401) 5-04-075: 4-9 5-05-075: 1;12;13;24 PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- B0214 2304 (CRG000401) 5-04-075: 16-18;20;21;28;29;32;33 PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- B0215 1280 (CRG000401) 5-04-075: 19;30;31 5-05-075: 25;36 PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- B0220 2816 (ADM002001) (CRG000401) TRACT ONE 5-04-076: 2-10;15 PETROLEUM AND NATURAL GAS TRACT TWO 5-04-076: 14 PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE MANNVILLE GRP (DRRZD 4) ------------------------------------------------------------------------------------- B0227 1280 (ADM002001) (CRG000401) TRACT ONE 5-04-077: 14-16;23 PETROLEUM AND NATURAL GAS TRACT TWO 5-04-077: 22 PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE BANFF FM (DRRZD 255) ------------------------------------------------------------------------------------- B0228 1536 (ADM002001) (CRG000401) TRACT ONE 5-04-077: 19;28-30 PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE MANNVILLE GRP (DRRZD 4) TRACT TWO 5-04-077: 20;21 PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE BANFF FM (DRRZD 255) ------------------------------------------------------------------------------------- B0234 1536 (ADM002001) (CRG000401) 5-05-094: 20;21;28;29;32;33 PETROLEUM AND NATURAL GAS ------------------------------------------------------------------------------------- B0236 3072 (CRG000801) TRACT ONE 6-06-105: 21-23;26-28;33-35 PETROLEUM AND NATURAL GAS TRACT TWO 6-06-105: 24 PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE BLUESKY-BULLHEAD (DRRZD 21) TRACT THREE 6-06-105: 25;36 PETROLEUM AND NATURAL GAS BELOW THE BASE OF THE BANFF FM (DRRZD 255) ------------------------------------------------------------------------------------- END APPENDIX 2 DEEPER RIGHTS REVERSION ZONE DESIGNATIONS APPLICABLE TO THE 2011, SEPTEMBER 07 PUBLIC OFFERING NOTICE DRRZD: 4 ZONE: 2480 MANNVILLE GRP INTERVAL: 2,557.00 - 2,985.00 FEET KEY WELL: 00/06-16-041-08W4/0 LOG TYPE: INDUCTION ELECTRICAL ------------------------------------------------------------------------------------- DRRZD: 21 ZONE: 3052 BLUESKY-BULLHEAD INTERVAL: 2,754.00 - 3,043.00 FEET KEY WELL: 00/10-32-081-01W6/0 LOG TYPE: DUAL INDUCTION SPHERICALLY FOCUSED ------------------------------------------------------------------------------------- DRRZD: 23 ZONE: 6960 NISKU FM INTERVAL: 5,023.00 - 5,190.00 FEET KEY WELL: 00/06-24-050-26W4/0 LOG TYPE: DUAL INDUCTION-LATEROLOG ------------------------------------------------------------------------------------- DRRZD: 43 ZONE: 7675 SULPHUR POINT FM INTERVAL: 5,408.00 - 5,482.00 FEET KEY WELL: 02/07-18-109-07W6/0 LOG TYPE: FORMATION DENSITY ------------------------------------------------------------------------------------- DRRZD: 44 ZONE: 7685 MUSKEG FM INTERVAL: 6,079.00 - 6,664.00 FEET KEY WELL: 00/02-08-110-08W6/0 LOG TYPE: FORMATION DENSITY ------------------------------------------------------------------------------------- DRRZD: 64 ZONE: 7721 KEG RIVER FM INTERVAL: 4,133.00 - 4,312.00 FEET KEY WELL: 00/07-28-091-03W5/0 LOG TYPE: LATEROLOG ------------------------------------------------------------------------------------- DRRZD: 214 ZONE: 5000 TRIASSIC SYSTEM INTERVAL: 993.00 - 1,074.70 METRES KEY WELL: 00/06-09-100-12W6/0 LOG TYPE: DUAL INDUCTION SFL ------------------------------------------------------------------------------------- DRRZD: 255 ZONE: 6440 BANFF FM INTERVAL: 2,690.00 - 2,892.00 METRES KEY WELL: 00/01-18-066-26W5/0 LOG TYPE: BOREHOLE COMPENSATED SONIC ------------------------------------------------------------------------------------- END APPENDIX 3 ADDENDA AND CONTACTS APPLICABLE TO THE 2011, SEPTEMBER 07 PUBLIC OFFERING NOTICE ADM001902 LEASE A0157 ALL LAND(S) IS/ARE WITHIN AN OIL SANDS AREA AS DESIGNATED BY THE ENERGY RESOURCES CONSERVATION BOARD (ERCB). SOLUTION GAS IS EXPRESSLY EXCLUDED FROM THE PETROLEUM AND NATURAL GAS RIGHTS GRANTED UNDER CROWN AGREEMENTS ISSUED IN RESPECT OF OIL SANDS AREAS. MOREOVER, PRODUCTION OF GAS FROM THE LAND(S) IN THIS AGREEMENT MAY BE DISALLOWED OR PRECLUDED BY ORDER OF THE ERCB OR OTHERWISE, ON THE GROUNDS THAT SUCH PRODUCTION MAY DETRIMENTALLY AFFECT THE RECOVERABILITY OF OIL SANDS FROM THOSE LANDS. BY ACCEPTING THIS AGREEMENT FOR THE PETROLEUM AND NATURAL GAS RIGHTS IN THESE LANDS, THE LESSEE/ LICENSEE HEREBY ACKNOWLEDGES ALL OF THE ABOVE, AND THAT PRODUCTION OF GAS FROM THE LANDS IN THIS AGREEMENT MAY BY ORDER OF THE ERCB OR OTHERWISE BE PRECLUDED OR DISALLOWED, AND HEREBY WAIVES ANY RECOURSE, ACTION, CAUSE OF ACTION OR CLAIM THAT THE LESSEE/LICENSEE MAY HAVE AGAINST THE CROWN IN RIGHT OF ALBERTA AS A RESULT OF OR IN RELATION TO ITS INABILITY FOR ANY OF THE ABOVE REASONS OR FOR ANY OTHER REASON WHATSOEVER TO PRODUCE GAS FROM THE LANDS IN THIS AGREEMENT. FOR THE DEFINITION OF SOLUTION GAS AND OTHER RELEVANT INFORMATION, PLEASE REFER TO INFORMATION LETTER 99-38. FOR CURRENT POLICY ON NATURAL GAS PRODUCTION IN THE OIL SANDS ZONES IDENTIFIED WITHIN OIL SANDS AREAS, PLEASE REFER TO AEUB INTERIM DIRECTIVE 99-01. SURFACE ACCESS IS NOT AFFECTED FOR FURTHER INFORMATION, PLEASE CONTACT: CHRIS RUDLAND MANAGER, SALES AND REGISTRATIONS ALBERTA DEPARTMENT OF ENERGY 9945 108 ST EDMONTON AB T5K 2G6 (780) 422-9426 ------------------------------------------------------------------------------------- ADM002001 LEASE A0162 LEASE A0163 LEASE A0164 LEASE A0165 LEASE A0166 LEASE A0167 LICENCE B0220 LICENCE B0227 LICENCE B0228 LICENCE B0234 ALL LAND(S) IS/ARE WITHIN AN OIL SANDS AREA AS DESIGNATED BY THE ENERGY RESOURCES CONSERVATION BOARD (ERCB). SOLUTION GAS IS EXPRESSLY EXCLUDED FROM THE PETROLEUM AND NATURAL GAS RIGHTS GRANTED UNDER CROWN AGREEMENTS ISSUED IN RESPECT OF OIL SANDS AREAS. MOREOVER, PRODUCTION OF GAS FROM THE LAND(S) IN THIS AGREEMENT MAY BE DISALLOWED OR PRECLUDED BY ORDER OF THE ERCB OR OTHERWISE, ON THE GROUNDS THAT SUCH PRODUCTION MAY DETRIMENTALLY AFFECT THE RECOVERABILITY OF OIL SANDS FROM THOSE LANDS. BY ACCEPTING THIS AGREEMENT FOR THE PETROLEUM AND NATURAL GAS RIGHTS IN THESE LANDS, THE LESSEE/ LICENSEE HEREBY ACKNOWLEDGES ALL OF THE ABOVE, AND THAT PRODUCTION OF GAS FROM THE LANDS IN THIS AGREEMENT MAY BY ORDER OF THE ERCB OR OTHERWISE BE PRECLUDED OR DISALLOWED, AND HEREBY WAIVES ANY RECOURSE, ACTION, CAUSE OF ACTION OR CLAIM THAT THE LESSEE/LICENSEE MAY HAVE AGAINST THE CROWN IN RIGHT OF ALBERTA AS A RESULT OF OR IN RELATION TO ITS INABILITY FOR ANY OF THE ABOVE REASONS OR FOR ANY OTHER REASON WHATSOEVER TO PRODUCE GAS FROM THE LANDS IN THIS AGREEMENT. FOR THE DEFINITION OF SOLUTION GAS AND OTHER RELEVANT INFORMATION, PLEASE REFER TO INFORMATION LETTER 99-38. FOR CURRENT POLICY ON NATURAL GAS PRODUCTION IN THE OIL SANDS ZONES IDENTIFIED WITHIN OIL SANDS AREAS, PLEASE REFER TO AEUB INTERIM DIRECTIVE 99-01. SURFACE ACCESS IS NOT AFFECTED FOR FURTHER INFORMATION, PLEASE CONTACT: CHRIS RUDLAND MANAGER, SALES AND REGISTRATIONS ALBERTA DEPARTMENT OF ENERGY 9945 108 ST EDMONTON AB T5K 2G6 (780) 422-9426 ------------------------------------------------------------------------------------- CRG000401 LAND DESCRIPTION LEASE A0157 LEASE A0162 LEASE A0163 LEASE A0164 LEASE A0165 LEASE A0166 LEASE A0167 LICENCE B0208 5-03-074: 5SW;6S 5-04-074: 1SE LICENCE B0213 5-04-075: 4N;5-9 5-05-075: 1;12;13;24 LICENCE B0214 LICENCE B0215 LICENCE B0220 5-04-076: 2S,NW;3-6;7S;8S;9S LICENCE B0227 5-04-077: 16NW;22N LICENCE B0228 5-04-077: 19-21;28-30 LICENCE B0234 5-05-094: 20;21;28;29SE;33SE IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: THERESE YACYSHYN OPERATIONS SECTION HEAD HIGH PRAIRIE OFFICE - LAND USE AREA -LANDS DIVISION DEPT. OF SUSTAINABLE RESOURCE DEV PO BOX 149 HIGH PRAIRIE AB T0G 1E0 (780) 523-6524 ------------------------------------------------------------------------------------- CRG000701 LICENCE B0191 ALL LAND(S) IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: EUGENE BARANSKI LAND USE STRATEGIST GRANDE PRAIRIE OFFICE - LAND USE AREA-LANDS DIVISION DEPT. OF SUSTAINABLE RESOURCE DEV PO BOX 899 VALLEYVIEW AB T0H 3N0 (780) 524-3567 ------------------------------------------------------------------------------------- CRG000801 LAND DESCRIPTION LEASE A0168 LEASE A0169 LEASE A0170 LEASE A0176 LICENCE B0236 6-06-105: 21W;28W;33SW IS/ARE WITHIN AN IMPORTANT CARIBOU RANGE. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE MOYLES SENIOR WILDLIFE BIOLOGIST PEACE RIVER OFFICE - FISH AND WILDLIFE DEPT. OF SUSTAINABLE RESOURCE DEV 9621 96 AVE PO BAG 900 26 PEACE RIVER AB T8S 1T4 (780) 624-6405 ------------------------------------------------------------------------------------- SIP000601 LICENCE B0191 ALL LAND(S) IS/ARE WITHIN THE BERLAND SMOKY INDUSTRIAL ACCESS CORRIDOR PLAN (2008) AND IS SUBJECT TO ASRD INFORMATION LETTER 2008-05. SURFACE ACCESS IS SUBJECT TO SPECIFIC RESTRICTIONS FOR FURTHER INFORMATION, PLEASE CONTACT: DAVE HUGELSCHAFFER SECTION HEAD EDSON OFFICE - LAND USE AREA-LANDS DIVISION DEPT. OF SUSTAINABLE RESOURCE DEV 111 54 ST SUITE 203 EDSON AB T7E 1T2 (780) 865-8267 ------------------------------------------------------------------------------------- END