Glossary of Terms

In this report, unless the context otherwise requires, the following terms shall have the indicated meanings. A reference to an agreement means the agreement as it may be amended, supplemented or restated from time to time.

A-E F-I J-N O-S T-Z Abbreviations & Conversions

T

"Tertiary Sandstones" means sandstones which were deposited during a geologic time period ranging from 2 to 63 million years ago.

"TSX" means the Toronto Stock Exchange.

U

"U.S. GAAP" means the accounting principles generally accepted in the United States.

W

"Wilson Well " means the Wilson No. 1 well located at the Madisonville Field.

"Working Interest" means the percentage of undivided interest held by a party in the oil and/or natural gas or mineral lease granted by the mineral owner, which interest gives the holder the right to “work” the property (lease) to explore for, develop, produce and market the leased substances.