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COURT FILE NUMBER 1201 15737 OF
CLERK'S STAMP COURT FILE NUMBER 1201 15737 COURT COURT OF QUEEN'S BENCH OF ALBERTA JUDICIAL CENTRE CALGARY APPLICANT IN THE MATTER OF THE COMPANIES' CREDITORS ARRANGEMENT ACT, R.S.C, 1985, c. C-36, AS AMENDED AND IN THE MATTER OF THE BUSINESS CORPORATIONS ACT, R.S.A. 2000, c, B-9 AND IN THE MATTER OF FAIRWEST ENERGY CORPORATION. DOCUMENT NINTH REPORT OF THE MONITOR PRICEWATERHOUSECOOPERS INC. ADDRESS FOR SERVICE AND CONTACT INFORMATION OF PARTY FILING THIS DOCUMENT BENNETT JONES LLP Barristers and Solicitors #4500, 855 — 2" Street S.W. Calgary, Alberta T2P 4K7 Attention: Chris Simard Telephone No.: 403-298-4485 Fax No.: 403-265-7219 Client File No.: INTRODUCTION 1) On December 12, 2012, FairWest Energy Corporation (the "Applicant" or "FEC" or the "Company") applied to this Court for an order under the Companies' Creditors Arrangement Act (the "CCAA"). This Honourable Court made an order on that day granting the relief requested by the Applicant(the "Initial Order"), including: a) an interim stay of proceedings and restraint of certain rights and remedies against the Applicant until and including January 11, 2013, or such later date as this Court may by subsequent order direct(the "Stay Period"); b) a declaration that the Applicant is a company to which the CCAA applies, and authorizing the Applicant to file with the Court, on a date to be set upon further application to this Honourable Court, a Plan of Compromise or Arrangement under the CCAA (the "Plan"); and c) the appointment of PricewaterhouseCoopers Inc. as an officer of the Court to monitor the business and affairs of the Applicant(the "Monitor"). 2) Paragraph 24(b) of the Initial Order directs the Monitor to: "report to this Court at such times and intervals as the Monitor may deem appropriate with respect to matters relating to the Property, the Business, and such other matters as may be relevant to the proceedings herein and immediately report to the Court if in the opinion of the Monitor there is a material adverse change in the financial circumstances of the Applicant." 3) On May 28, 2013 this Honourable Court Ordered that (the "May 28 Order") Marion Mackie, previously the Chief Financial Officer, be appointed the Chief Restructuring Officer (the "CRO")of FEC. The CRO was appointed as an officer of this Honourable Court and was responsible for carrying on the Company's operations and perforining other duties deemed necessary by this Honourable Court. 4) Also, pursuant to the May 28 Order, the powers of the Monitor were enhanced to perform the following duties: a) Select the successful bid (the "Successful Bid") if the Board of Directors do not approve the Successful Bid before resigning or being removed; and b) Oversee and facilitate the completion ofthe transaction contemplated by the Successful Bid. 5) This Honourable Court has issued multiple extensions of the Stay Period since the date of the Initial Order. On July 16, 2013 this Honourable Court issued an order extending the Stay Period to September 30, 2013, 6) On September 27, 2013, this Honourable Court issued an order (the "September 27 Order") that: a) did not extend the Stay Period beyond September 30, 2013; b) discharged Marion Mackie and relieved her of all her duties as CRO of FEC effective September 30, 2013; c) authorized Veracity Energy Services Ltd. ("Veracity"), as an agent of FEC, to shut-in all oil and gas wells operated by FEC in accordance with good and prudent oilfield practice; and d) expanded the powers of the Monitor to include: i) taking possession and control of the books, records, data, including data in electronic form and other documents of FEC (the "Books and Records") and making arrangements to store the Books and Records on terms satisfactory to the Monitor for a period of not less than six months from the date of the September 27 Order, after which the Monitor may abandon the Books and Records; ii) receiving and collecting all monies and accounts then owed or thereafter owing to FEC (the "Receipts"); iii) paying on behalf of FEC all reasonable costs and expenses associated with the collection of the Receipts; iv) distributing the Receipts held from time to time to repay SGI, the DIP Lender, in respect of the indebtedness outstanding under the DIP Facility, in such amounts and on such terms as the Monitor determines appropriate; 3 v) executing, assigning, issuing and endorsing documents of whatever nature in respect of the Business and any of the Property, whether in the Monitor's name or in the name and on behalf of FEC, for any purpose expressly contemplated by the September 27 Order; and vi) performing such other duties or taking any steps reasonably incidental to the exercise of the powers and obligations conferred upon the Monitor by the September 27 Order or any other Order of this Honourable Court in these proceedings. 7) This constitutes the Monitor's Ninth Report (the "Ninth Report') to this Honourable Court contemplated by such provision of the Initial Order. Updates of the proceedings as well as the Monitor's Report will be posted on the Monitor's website, www.pwc.com/car-fec. 8) It is recommended that this report be read in conjunction with the Monitor's prior reports. Capitalized words in this Ninth Report not otherwise defined carry the same meaning as in the prior reports. 9) Certain information contained in this report is based on information obtained from the Applicant's books and records and discussions with management and staff. The Monitor has not independently verified the accuracy or completeness of such information; accordingly the Monitor does not express an opinion thereon. UPDATE ON THE ADMINISTRATIVE ACTIVITIES OF THE APPLICANT AND THE MONITOR 10)On September 30, 2013, FEC terminated all of its employees and vacated its leased office premises. 11)Also on September 30, 2013, the Monitor took possession of the FEC Books and Records and has since taken control of the FEC Bank Account. The Monitor has been making payment on behalf of FEC for all reasonable costs and expenses associated with the collection of the Receipts. 4 12)The Monitor made arrangements with certain former FEC contractors to facilitate the production accounting and notifications required to effect receipt of September 2013 production proceeds (the "September Revenues"). As at the date of this report, gross September Revenues in the amount of approximately $138,784 have been received. 13)The Monitor has been advised that approximately $19,500 in proceeds from the sale of the September natural gas will be held by FEC's gas marketer pending any future pipeline adjustments. Once the 13 month adjustment period has lapsed, these proceeds, net of any adjustments, will be released. 14)The Monitor is working with the FEC contractors to determine the net amount of the September Revenues that are due to FEC's joint interest partners. 15)Since FEC no longer has any office or employees, the Monitor has and continues to act as a contact point and facilitator of communications regarding the settlement of various matters for the numerous parties affected by the September 27 Order including the Alberta Energy Regulator("AER") and FEC's joint interest partners. OPERATIONAL MATTERS 16)On September 30, 2013, Veracity oversaw the process of performing a basic shut-in of all wells operated by FEC (the "Shut-in Date). This basic shut-in cost approximately $3,700 and included: a) using gas already in the system to blow out the lines to clean them as much as possible before closing the valves; b) where possible, removal of water from lines and well head infrastructure; c) closure of valves and removal offlow-lines on each well; and d) turning off the breakers for all pumps. 5 17)On October 7, 2013, the Monitor's counsel was contacted by counsel to AER raising a concern with the shut-in procedure performed by Veracity on a number of FEC wells where the attached pipelines had relatively high water content. The AER expressed concern that these pipelines might burst if there is an early freeze. 18)Subsequently, the AER clarified that there were four 100% FEC owned pipelines (the "FEC Pipelines") that it had expected would have been purged in accordance with 032 of the Pipeline Rules. 19)Veracity estimated that it would cost approximately $90,000 to shut-in/purge the FEC Pipelines in accordance with s.82 of the Pipeline Rules. 20)The Monitor's counsel has communicated this cost estimate to AER's counsel and indicated that given the circumstances of FEC this cost appeared to be prohibitively high. 21)On October 28, 2013, the Monitor received a copy of the AER closure and closure/abandonment orders that were issued to FEC and copied to all joint interest partners known to AER on October 10, 2013. A copy of AER Orders is attached to this report as Appendix A. 22)The deadlines for compliance with closure orders and the closure/abandonment orders were 14 and 7 days respectively and have therefore all passed. 23)The Monitor understands that the AER is currently in the process of taking possession and control of the FEC wells and pipelines. 24)The AER has communicated to the Monitor that since the deadline for the closure orders has passed, and in accordance with its normal procedures, it is in the process of issuing abandonment orders naming FEC's joint interest partners and ordering them to abandon the properties they have a respective interest in with a 30 day deadline, failing which the responsibility for abandonment will pass to the Orphan Well Fund. The AER also indicated that should a joint interest partner be interested in assuming operatorship, the AER would be able to assist in transferring the wells after the abandonment orders have been breached. 6 25)The Monitor has been contacted by a number of FEC's joint interest partners with respect to the coordination of transfer of operatorship on certain of FEC's wells and the Monitor has put these joint interest partners in contact with AER. 26)As at the date of this report, the Monitor is not aware of any completed operatorship transfers. ROYALTY INVESTMENT LIMITED PARTNERSHIP 27)Tallinn Capital Mezzanine Limited Partnership ("Tallinn"), a secured creditor of Royalty Investment Limited Partnership ("RILP"), had originally scheduled an application to be heard on August 23, 2013 seeking orders: a) declaring that Tallinn's debenture has priority to any claims of FEC to the production revenue due to RILP; and b) directing that all amounts being held in trust by FEC's counsel, Burnett Duckworth & Palmer LLP ("BDP") in accordance with the Orders of this Honourable Court dated March 19, April 26, June 18 and September 27, 2013 (the "RILP Funds") be released to Tallinn. 28)The application was not heard as scheduled and the Monitor understands that Tallinn and the other party to this matter, Supreme Group Inc.("SGI"), FEC's DIP lender, have settled their outstanding disputes and have made an application to this Honourable Court, to be heard on November 21, 2013, for a consent order approving the terms of the settlement (the "RILP Settlement"). 29)The RILP Settlement provides for the distribution of the RILP Funds, and any further funds deposited with BDP by the Monitor, in accordance with a joint direction from Tallinn and SGI. The Monitor is unaware of any other party making a formal claim to the RILP Funds. 30)The RILP Settlement also provides for the termination of the October 5, 2010 trust agreement between FEC and RILP (the "Trust Agreement") such that RILP may deal with its 7 interests (the "RILP Interests") free and clear of the provisions of the Trust Agreement and directs the Registrar of the Alberta Land Registration District to register the RILP Interests on the properties in which it has a joint interest with FEC. The Monitor has not reviewed the RILP Interests and has not reconciled them with FEC's records. A copy of the Trust Agreement is attached to this report as Appendix B. 31)The Monitor has no objection to RILP, or to any other party whose interests are being held in trust by FEC, being permitted to deal with its interests free of its trust agreement with FEC as long as the rights of all parties who may have claims or interests in such lands, particularly those not getting notice, are not affected. ALL OF WHICH IS RESPECTFULLY SUBMITTED this 19th day of November, 2013 eeze...g_hoei&-pc--ei PRICEWATERHOUSECOOPERS Court Appointed Monitor of FairWest Energy Corporation 8 APPENDIX "A" rig Alberta Energy gulp Regulator October 10, 2013 By Email, Courier and Registered Mail Calgary Head Office Suite 1000, 250 — 5 Street SW Calgary, Alberta T2P OR4 Canada To: Fairwest Energy Corporation and Enclosed list of Addresses www,ilonca Low Risk Enforcement Closure Orders No. C 2013.55 and C 2013-56, Closure/Abandonment Order No. AD 2013-98 Noncompliance with Liability Management Program Requirements Monthly Liability Management Rating(LMR)Assessment Security Deposit Requirement Dear Sir/Madam: Enclosed for your immediate attention are Closure Orders No, C 2013-55 and C 2013-56 and Closure/Abandonment Order No. AD 2013-98 issued by the Alberta Energy Regulator(AER) ordering the immediate suspension and closure ofFairwest Energy Corporation's (Fairwest) well and facility licences as listed in Schedule A: Licensed Properties as well as the immediate suspension and abandonment of Fairwest's pipeline licences. The Closure Orders and Closure/Abandonment Order are issued as a result of Fairwest's failure to provide payment ofthe Licensee Liability Rating (LLR)security deposit, as ordered by Miscellaneous Order No. MISC 2013-32 on Juno 6, 2013. No operations will be permitted at these sites until, and unless, the AER approves that operation in writing. In an Order granted by the Court of Queen's Bench of Alberta on September 27,2013(QB Order), Fairwest's wells, facilities and pipelines were authorized to be shut-in. Further, the AER was advised by Fairwest and PrioewaterhouseCoopers Inc., Companies' Creditors Arrangement Act Monitor for Fairwest, that Fairwest has effectively ceased operations. As a result, the AER is expediting its enforcement process to allow for the appropriate abandonment or transfer of Fairwest's licences, Based on the information available to the AER on the date of the Closure Orders, any pipelines believed attached or connected to the well or facility licenses have been named in Closure/Abandonment Order No. AD 2013-98, and ordered suspended and abandoned by the Licensee in accordance with section 82(9)(g) of the Pipeline Rules within 7 days. Pursuant to sections 23,24, 25 and 26 of the Pipeline Act, Fairwest is considered responsible and financially liable for the abandonment ofits pipeline licences. As such, the Global Refer status is maintained against Fairwest in accordance with the section 22 of the Oil and Gas Conservation Act(OGCA)and Directive 019: Compliance Assurance. The Global Refer status indicates Fairwest's inability or unwillingness to comply with the requirements and will be considered by the regulator when deciding to approve or deny any pending or future applications to the AER involving Fairwest. In addition, this noncompliance has been recorded on the AER's corporate database. The Global Refer status, Miscellaneous Order No. MISC 2013-32 and Closure Orders No. C 2013-55 and C 2013-56 will remain in place against Fairwest until all ofthe following conditions have been met. 1. Fairwest submits the full security deposit amount of$4,793,400.58 to the AER, within 14 days from the issuance of the Closure Orders. This security deposit amount represents the difference between Fairwest's Deemed Liabilities and Deemed Assets determined from October 2013 LMR assessment. This amount supersedes any amount identified in previous correspondence. The security deposit payment must not be combined with any other payment made to the AER.The AER will only accept cash or a letter of credit which meet the security deposit requirements ofDirective 068: ERCB Security Deposits; and, 2. Fairwest provides a written explanation acceptable to the AER addressing the failure to respond and detailing steps to prevent future occurrences of noncompliance with the AER's Licensee Liability Rating Program requirements. Take Notice of the following: 1. Fairwest's failure to meet all of the above conditions within 14 days from the issuance of Closure Orders No, C 2013-55 and C 2013-56 will result in the issuance of Abandonment Orders; 2. Based on information available to the AER on the date of the Closure Orders, the following parties listed in Schedule A: Licenced Properties will be considered responsible and financially liable for the abandonment of the subject well and facility licences pursuant to sections 27, 28,29, and 30 of the OGCA, should an Abandonment Order be issued; Please note, Fairwest remains responsible for the proper care and custody of its oil and gas properties, Questions regarding the enclosed Closure Orders or the enforcement actions outlined in this letter may be directed to the undersigned at 403-297-8592 or [email protected] Sincerely, Laura Chant, Compliance Officer Liability Management Group Field and Operations Branch Enclosure C 2013-55, C 2013-56 cc: Wainwright, Medicine Hat,Red Deer Field Centres and associated Team Lead and Assistant Team Lead,Field and Operations Branch, AER,(E-mail) [email protected], Liability Management Group (E-mail) ComplianceCoordination®aer.ca (E-mail) SCHEDULE A LICENCED PROPERTIES FAIRWEST ENERGY CORPORATION List of Wells Licences Licence No. Well Locations W 0034924 12-13-033-10W4 W 0034925 12-23-033-10W4 W 0034930 02-07-033-09W4 W 0035161 W 0041799 W 0055978 W 0060711 12-24-033-10W4 12-20-019-18W4 10-05-033-09W4 07-26-034-04W4 W 0060810 10-26-035-04W4 W 0063319 11-08-037-08W4 W 0066860 06-20-038-09W4 W 0066861 11-30-037-10W4 W 0066954 10-09-038.10W4 W 0069646 07-04-037-10W4 W 0069788 10-34-036-09W4 W 0070031 11-07-038-10W4 Working Interest Participant(s) Fairwest Energy Corporation Strike Petroleum Ltd. Fairwest Energy Corporation Strike Petroleum Ltd. Fairwest Energy Corporation Strike Petroleum Ltd, Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Tudor Corporation Ltd. Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Tudor Corporation Ltd. Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Freehold Resources Ltd. Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Fairwest Energy Coporation Addison Energy Limited Partnership NAL Resources Limited Apache Canada Ltd. Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Fairwest Energy Corporation _ — Percent Interest 50 50 50 50 50 50 100 100 100 100 42.5 57.5 3.3104 7.7243 37.8102 51.155 2,9683 6.9261 10.3334 79,7721 3,3104 7.7243 88.9653 3.3104 7,7243 88.9653 1.6552 3.8622 33.869 60.6136 3,3104 7.7243 88,9653 3.3104 7.7243 88,9653 W 0071310 07-21-037-09W4 W 0071311 06-12-037-11W4 W 0071618 06-03-037-10W4 W 0071625 07-30-037-09W4 W 0071997 11-12-037-10W4 W 0077102 16-03-028-12W4 W 0078575 06-02-028-12W4 W 0079508 06-06-033-09W4 Bonavista Energy Corporation Fairwest Energy Corporation NAL Resources Limited Zargon Oil & Gas Ltd. Addison Energy Limited Partnership Bonavista Energy Corporation Encana Corporation 2 Solara Exploration Ltd, Freehold Resources Ltd. Apache Canada Ltd. Fairwest Energy Corporation NAL Resources Limited Zargon Oil & Gas Ltd, NAL Energy (General Partner)Inc. 3 Bonavista Energy Corporation I Montana Exploration Corp. 4 Encana Corporation 2 Rife Resources Ltd. Apache Canada Ltd. Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Bonavista Energy Corporation I Fairwest Energy Corporation NAL Resources Limited Zargon Oil & Gas Ltd, Addison Energy Limited Partnership Freehold Resources Ltd, Apache Canada Ltd. Fairwest Energy Corporation Pengrowth Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Strike Petroleum Ltd. 7.9636 92.0364 1.5145 2.5833 3.5339 4.375 5.625 5.625 10.3334 25.8333 40.5766 1,3283 2.5833 3,0994 4.375 5.625 5.625 10.3334 25.8333 41.1973 3.0407 7.0949 8.149 81.7155 1,3283 2.5833 3.0994 13,5477 33,869 45.5723 25 75 100 50 50 Prior records indicate that Bonavista Petroleum Ltd, was a working interest participant. More recent records indicate that Bonavista Petroleum Ltd, amalgamated into Bonavista Energy Corporation. 2 Prior records indicate that Encana Oil & Gas Co. Ltd, was a working interest participant. More recent records indicate that Encana Oil & Gas Co. Ltd. dissolved into Encana Corporation. 3 Prior records indicate that Addison Energy Inc. was a working interest participant. More recent records indicate that Addison Energy Inc. amalgamated into NAL Energy(General Partner)Inc, 4 Prior records indicate that AltaCanada Energy Corp. was a working interest participant. More recent records indicate that AltaCanada Energy Corp. changed its name to Montana Exploration Corp. W 0082630 W 0084137 W 0091986 W 0093453 08-10-028-12W4 14-02-028.12W4 08-02-028-12W4 06-04-033-09W4 W 0109862 08-08-020-19W4 W 0128339 10-09-036-04W5 W 0142526 11-24-019-18W4 W 0145042 W 0147563 14-33-027-12W4 11-03-028-12W4 W 0150736 11-14-037-08W4 W 0152579 W 0152678 08-08-020-19W4 01-08-020-19W4 W 0153571 02-08-020-19W4 W 0161316 W 0167008 W 0176788 10-08-020-19W4 08-08.020-19W4 01-08-020-19W4 W 0222120 07-25-030-01W4 W 0225623 06-33-032-09W4 W 0225918 W 0226129 W 0226134 W 0226137 W 0226171 W 0226725 W 0227097 W 0227098 W 0227422 W 0227434 16-15-033-10W4 16-16-033-10W4 08-16-033-10W4 08-15-033-10W4 06-10-033-10W4 16-10-033-10W4 16-35-032-10W4 14-35-032.10W4 14-36-032-10W4 16-31-032-09W4 5 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Advantage Oil & Gas Ltd. Fairwest Energy Corporation Blue Storm Energy Ltd. 846246 Alberta Ltd. Enerplus Corporation s Anderson Energy Ltd. Fairwest Energy Corporation City Of Medicine Hat Desmarais Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation CountryRock Resources Ltd. Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Advantage Oil &Gas Ltd. Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Twin Butte Energy Ltd. Fairwest Energy Corporation Nuvista Energy Ltd. Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation 100 100 100 100 2.25 97.75 0.45 2.5 22 25.4 49.65 19.875 33.75 46.375 100 100 3 16 81 100 100 2.25 97.75 100 100 100 45 55 10 90 100 100 100 100 100 100 100 100 100 100 Prior records indicate that Enerplus Resources Corporation was a working interest participant. More recent records indicate that Enerplus Resources Corporation amalgamated into Enerplus Corporation. 6 Prior name of Lightstream Resources Partnership was Real Resources (Partnership) W 0227479 14-10-033-10W4 W 0227744 05-13-037-08W4 W 0228741 07-04-037-09W4 W 0228855 07-33-036-09W4 W 0228856 07.16-037-09W4 W 0228858 10-32-036-09W4 W 0229769 07-22-037-09W4 W 0230135 04-17-033-09W4 W 0231572 06-10-038-10W4 W 0231573 06-11-038-10W4 W 0231807 W 0234231 W 0234233 04-20-033-09W4 01-02-033-10W4 03-01-03110W4 W 0234828 08-32-032-09W4 W 0237788 06-08-033-09W4 W 0242314 09-14-037-08W4 W 0243416 12.13-037-08W4 W 0244371 05-20-019-18W4 W 0245353 06-14-037-08W4 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Bonavista Energy Corporation I Encana Corporation 2 Apache Canada Ltd, Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Fairwest Energy Corporation Encana Corporation 2 NAL Resources Limited Apache Canada Ltd. Fairwest Energy Corporation Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Fairwest Energy Corporation NAL Resources Limited Bonavista Energy Corporation I Addison Energy Limited Partnership Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Nuvista Energy Ltd. Fairwest Energy Corporation Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Penn West Petroleum Ltd. City Of Medicine Hat Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation 100 44.8 55.2 100 3.3104 7.7243 88.9653 1,8566 4.3321 4.375 5.625 28.4166 55.3947 3.1284 7.2995 89.5722 5.61 7.29 28.42 58.68 100 3.3104 7.7243 88.9653 2.9835 4.375 6,9616 85,6799 100 100 100 21.25 78.75 100 44,8 55.2 44.8 55,2 3.1217 8.5938 88.2846 44.8 55.2 W 0249977 13-11-037-08W4 W 0250122 09-05-033-09W4 W 0253357 13-13-037-08W4 W 0254306 09-14-037-08W4 W 0254308 09-14-037-08W4 W 0254312 12-13-037-08W4 W 0254315 09-14-037-08W4 W 0254319 09-14-037-08W4 W 0254320 09-14-037-08W4 W 0254539 12-13-037-08W4 W 0254544 16-14-037-08W4 W 0254770 13-14-037-08W4 W 0255910 16-14-037-08W4 W 0255928 13-13-037-08W4 W 0255931 13-13-037-08W4 W 0255948 13-13-037-08W4 W 0255956 13-13-037-08W4 W 0256959 12-13-037-08W4 W 0256960 13-13-037-08W4 W 0257094 W 0257104 W 0257105 W 0257144 W 0257145 06-36-032-10W4 06-15-033-10W4 14-15-033-10W4 08-02-033-10W4 08.35-032-10W4 7 Prior records indicate that First Land Traverse Energy Ltd,' Fairwest Energy Corporation Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation 25 75 100 44.8 55.2 44.8 55.2 44,8 55.2 44.8 55.2 44.8 55.2 44.8 55.2 44.8 55.2 44.8 55.2 44.8 55.2 44.8 55.2 33.13 66.87 44.8 55.2 44.8 55.2 44,8 55.2 44.8 55,2 44.8 55.2 44.8 55,2 100 100 100 100 100 Energy Ltd. was a working interest participant. More recent records indicate that First Land Energy Ltd. changed its name into Traverse Energy Ltd. W 0257147 06-02-033-10W4 W 0258129 W 0258658 W 0258661 11-29-033-10W4 14-02-033-10W4 06-35-032-10W4 W 0258731 13-13-037-08W4 W 0258755 14-13-037-08W4 W 0258757 13-14-037-08W4 W 0261060 W 0261275 10-05-033-09W4 08-02-033-09W4 W 0262577 08-04-029-03W4 W 0262589 13-14-037-08W4 W 0264031 05-05-032-09W4 W 0265872 12-14-037-08W4 W 0266167 06-02-033-10W4 W 0267030 05-33-027-12W4 W 0268021 14-04-033-09W4 W 0268023 04-04-033-09W4 W 0268263 13-14-037-08W4 W 0268961 W 0276184 W 0283064 02-33-027-12W4 03-28-027-12W4 01-17-037-08W4 W 0285047 14-13-037-08W4 W 0285048 14-13-037-08W4 W 0287232 02-21-038-09W4 W 0287693 03-17-037-08W4 Fairwest Energy Corporation Arbour Energy Inc. Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation LightstreamResources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Bellatrix Exploration Ltd, 8 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation Arbour Energy Inc. Fairwest Energy Corporation Fairwest Energy Corporation Arbour Energy Inc. Arbour Energy Inc. Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Tudor Corporation Ltd. EnCana Corporation Fairwest Energy Corporation Fairwest Energy Corporation 30 70 100 100 100 44.8 55.2 44.8 55.2 44.8 55.2 100 100 40 60 44.8 55.2 100 44.8 55.2 30 70 100 30 70 50 50 44.8 55.2 100 100 100 44,8 55.2 44.8 55.2 22.225 23.3325 54.4425 100 Ltd, was a working interest participant. More recent records indicate that Prairie Schooner Petroleum Ltd. Amalgamated into l3ellatrix Exploration Ltd. 8 Prior records indicate that Prairie Schooner Petroleum 9 W 0290837 15-14-037-08W4 W 0301912 W 0306285 03-07-029-09W4 06-07.038-10W4 W 0306653 04-26-035-04W4 W 0306659 01-26-035-04W4 W 0309094 04-12-037-10W4 W 0315325 06-08-037-08W4 W 0315326 15-08-037-08W4 W 0315327 09-26-035-04W4 W 0315328 13-26-035-04W4 W 0316174 13-20-033-10W4 W 0323559 04-01-033-11W4 W 0323693 06-12-033-10W4 W 0324194 04-36-032-11 W4 W 0326772 W 0327593 09-25-032-10W4 16-11-033-10W4 W 0330011 07-24-032-10W4 W 0330521 13-05-033.09W4 W 0331070 03-24-032-08W4 W 0332327 W 0337854 02-24-033-10W4 15-24-032-10W4 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation Tudor Corporation Ltd, Fairwest Energy Corporation Tudor Corporation Ltd. Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Apache Canada Ltd. Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Tudor Corporation Ltd. Fairwest Energy Corporation NAL Resources Limited Addison Energy Limited Partnership Tudor Corporation Ltd. Fairwest Energy Corporation Tudor Corporation Ltd. Fairwest Energy Corporation Tudor Corporation Ltd. Fairwest Energy Corporation Richdale Resources Ltd, Fairwest Energy Corporation Crescent Point Energy Corp. 9 Fairwest Energy Corporation Fairwest Energy Corporation Crescent Point Energy Corp. 9 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Strike Petroleum Ltd, Fairwest Energy Corporation Crescent Point Energy Corp. 9 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation S0 50 100 100 42.5 57.5 42.5 57.5 1.3283 3.0994 41,9861 53.5862 3.3104 7.7243 37.8102 51.155 3.3104 7.7243 37,8102 51.155 42.5 57.5 42,5 57.5 12,5 87.5 25 75 100 25 75 100 100 50 50 100 37.5 62,5 100 100 Prior records indicate that Bowview Petroleum Inc. was a working interest participant, More recent records indicate that Bowview Petroleum Inc. amalgamated into Crescent Point Energy Corp. W 0337856 07-32-032-09W4 W 0338758 W 0339996 W 0341749 W 0342419 07-09-032-09W4 12-14-033.10W4 04-35-032-09W4 10-24-033-10W4 W 0342851 08-25-032-10W4 W 0343009 W 0343592 W 0344080 W 0349988 13-03-031-05W4 13-01-031-05W4 03-13-033-10W4 05-32-031-09W4 W 0353115 12-34-029-02W4 W 0353345 08-14-033-10W4 W 0353407 05-04-032-09W4 W 0353668 05-03-030-02W4 W 0354144 07-02-030-02W4 W 0354145 02-02-030-02W4 W 0355543 11-06-030-01W4 W 0357149 06-25-030-02W4 W 0357165 01-24-030.02W4 W 0357268 13-21-028-12W4 W 0358515 01-30-030-01W4 W 0359092 W 0359659 09-22-033-10W4 10-15-031-09W4 W 0359945 07-19-032-09W4 W 0360011 01-14-032-09W4 Nuvista Energy Ltd, Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Strike Petroleum Ltd. Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Qwest Diversified Capital Corp. I° Fairwest Energy Corporation Fairwest Energy Corporation Strike Petroleum Ltd. Fairwest Energy Corporation Strike Petroleum Ltd. Canadian Natural Resources Limited Qwest Diversified Capital Corp. I° Fairwest Energy Corporation Qwest Diversified Capital Corp. I° Fairwest Energy Corporation 10 Qwest Diversified Capital Corp. Fairwest Energy Corporation Qwest Diversified Capital Corp. io Fairwest Energy Corporation Qwest Diversified Capital Corp. I° Fairwest Enemy Corporation Qwest Diversified Capital Corp, 10 Fairwest Energy Corporation Fairwest Energy Corporation Qwest Diversified Capital Corp. 10 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Canadian Natural Resources Limited Fairwest Energy Corporation Fairwest Energy Corporation Strike Petroleum Ltd. Canadian Natural Resources Limited 21.25 78.75 100 100 100 100 50 50 100 100 100 100 50 50 50 50 30 30 40 50 50 50 50 50 50 50 50 50 50 50 50 100 50 50 100 100 35 65 32.5 32.5 35 I° Prior records indicate that Blue Parrot Energy Inc. was a working interest participant. More recent records indicate that Blue Parrot Energy Inc. amalgamated into Qwest Diversified Capital Corp. W 0360188 08-27-026-12W4 W 0360506 16-28-027-12W4 W 0360516 01-04-028-12W4 W 0361003 W 0361295 05.06-032-09W4 15-33-031-09W4 W 0361352 08-12-030-02W4 W 0361425 04-25-032-10W4 W 0361700 04-07-030-01W4 W 0361747 13-09-036-04W5 W 0361757 W 0362081 W 0365794 W 0365804 W 0366362 W 0366718 W 0367502 W 0371921 09-16-030-05W4 11-36-032-10W4 16-25-029-02W4 08-36-029-02W4 12-31-029-01 W4 08-35-029-02W4 13-29-030-01W4 14-11-026-12W4 W 0380681 07-19-032-09W4 W 0380689 W 0380997 W 0380998 W 0384092 W 0384335 14-32-031-09W4 11.29-030-01 W4 11-05-032-09W4 12-16-030-05W4 05-24-032-10W4 W 0384379 01-04-032-09W4 W 0392773 W 0393042 W 0403695 W 0404048 08-19-038-09W4 09.17-038-09W4 15-33-036-10W4 07-14-037-08W4 Fairwest Energy Corporation Fairwest Energy Corporation Harvest Operations Corp, Fairwest Energy Corporation Harvest Operations Corp, Fairwest Energy Corporation Fairwest Energy Corporation Qwest Diversified Capital Corp. I° Fairwest Energy Corporation Fairwest Energy Corporation Strike Petroleum Ltd, Qwest Diversified Capital Corp. 10 Fairwest Energy Corporation Bluestorm Energy Ltd. 289090 Alberta Ltd. Mr, Don Copelend 846246 Alberta Ltd. Enerplus Corporation 5 Pengrowth Energy Corporation 11 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Canadian Natural Resources Ltd. Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Canadian Natural Resources Limited Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation 100 50 50 40 60 100 100 50 50 50 50 50 50 0.45 1,2 2 2.5 22 25,4 46.45 100 100 100 100 100 100 100 100 35 65 100 100 100 100 100 40 60 100 100 100 100 11 Prior records indicate that Trifecta Resources Corp. was a working interest participant. More recent records indicate that Trifecta Resources Corp. amalgamated into Pengrowth Energy Corporation. W 0405232 W 0413965 05-29-027-12W4 07-01-033-10W4 W 0425853 13-13-037-08W4 W 0425854 14-13-037-08W4 W 0425932 14-28-027-12W4 W 0441401 14-03-028-12W4 Fairwest Energy Corporation Fairwest Energy Corporation Penn West Petroleum Ltd. Fairwest Energy Corporation Penn West Petroleum Ltd. Fairwest Energy Corporation Harvest Operations Corp. Fairwest Energy Corporation Fairwest Energy Corporation 100 100 44.8 55.2 44.8 55.2 36 64 100 List of Facility Licences Licence No. Location F 25359 00/06-14-037-08W4 F 25972 00/13-13-037-08W4 F 26321 00/13-14-037-08W4 F 2811 F 33497 F 3681 F 38890 F 44321 F 44322 00/08-08-020-19W4 00/04-20-033-09W4 00/06-19-027-12W4 00/06-03-032-09W4 00/11-03-028-12W4 00/11-14-037-08W4 F 6007 00/09-14-037-08W4 Working Interest Participant(s) Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Lightstream Resources Partnership 6 Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest,Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Fairwest Energy Corporation Lightstream Resources Partnership 6 Percent Interest 44.8 55.2 44.8 55.2 44.8 55.2 100 100 100 100 100 100 44.8 Fairwest Energy CoToration 55.2 List of Pipeline Licences Licence Number P 12089 From Location 12-24-033-10W4 10-19-033-09W4 12-23-033-10W4 02-24-033-10W4 12.13-033-10W4 04-19-033-09W4 02-17-033-09W4 02-07-033-09W4 04-17-033-09W4 04-20-033-09W4 07-17-035-09W4 06.06-033-09W4 I 0-05-033-09W4 To Location 10-19-033-09W4 04-20.033-09W4 02-24-033-10W4 04-20-033.09W4 04-19-033-09W4 04-20.033-09W4 04-20.033-09W4 04-17-033-09W4 04-20.033-09W4 07-17-035-09W4 07-29-035-09W4 02-07-033.09W4 02-07-033-09W4 Line Number 1 2 3 4 5 6 7 8 9 10 I1 12 13 P 18298 P 23249 P 23633 P 25364 P 25986 P 26794 P 26851 P 28512 P 29310 P 33043 P 33248 P 33308 P 33891 10-18-033-09W4 06-04-033-09W4 04-20-033-09W4 08-02-033.09W4 10-24-033-10W4 04-35-032-09W4 07-14-033-10W4 10-32-032-09W4 10-10-033-09W4 03-09-033-09W4 10-09-036-04W5 06-09-027-12W4 11-06-028-12W4 08-08-020-19W4 08-08-020-19W4 01-08-020-19W4 08-08-020-19W4 01-08-020-19W4 01-08-020-19W4 08-08-020-19W4 04.08-020-19W4 08.08-020-19W4 14-33-027-12W4 11-14-037-08W4 12-20-019-18W4 07-25-030-01W4 16-15-033-10W4 06-10-033-10W4 08-10-033-10W4 08-16-033-10W4 16.16-033-10W4 16-35-032-10W4 16.31-032-09W4 06-06-033-09W4 14-35-032-10W4 03-01-033-10W4 06.35-032-10W4 08-35-032-10W4 06-02-033-10W4 08-02-033-10W4 14-02-033-10W4 06-15-033-10W4 12-14-033-10W4 07.04-037-09W4 07-33-036-09W4 04-20-033-09W4 10-05-033-09W4 04-20-033-09W4 06-04-033-09W4 07-24-033-10W4 05-02-033-09W4 12-13.033-10W4 03-09-033-09W4 03-09-033-09W4 04-20-033-09W4 10-08-036-04W5 10-07-027-12W4 06-31-027-12W4 08-08-020-19W4 08-08-020-19W4 08-08-020-19W4 01-08-020-19W4 08-08-020-19W4 01-08-020-19W4 04-08-020-19W4 14-32-019-19W4 10-08-020-19W4 16-33-027-12W4 14-14-037-08W4 07.17-019-18W4 07-25-030-01W4 12-23-033-10W4 08-10-033-10W4 16-15-033-10W4 16-16-033-10W4 16-15-033-10W4 08-10-033-10W4 16-35-032-10W4 14-31-032-09W4 16-35.032-10W4 14-36-032-10W4 08-35-032-10W4 16-35-032-10W4 07-02-033-10W4 07-02-033-10W4 14-02-033-10W4 08-15-033-10W4 09-15-033-10W4 10-22-036-09W4 08-33-036-09W4 14 16 18 19 22 21 23 1 2 3 1 1 1 1 2 3 4 5 6 2 1 1 1 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 1 2 P 35099 P 35363 P 36395 P 36915 P 36929 P 37412 P 37579 P 37937 P 38292 P 39160 P 41271 P 42783 10-34-036-09W4 07-22-037-09W4 07-21-037-09W4 07-16-037-09W4 10-32-036-09W4 06-33-032-09W4 08-32-032-09W4 06.08.033-09W4 12-13-037-08W4 13-13-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 12-13-037-08W4 12-13-037-08W4 16-14-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 16-14-037-08W4 13-13-037-08W4 12-13-037-08W4 13-13-037-08W4 14-13-037-08W4 14-13-037-08W4 14.13-037-08W4 13-11-037-08W4 03-17-037-08W4 10.26-035-04W4 06-14-037-08W4 13-14-037-08W4 13-14-037-08W4 12-14.037-08W4 09-14-037-08W4 08-10-028-12W4 01-04.028-12W4 11-29-033.10W4 05-33-027-12W4 02-33-027-12W4 03-28-027-12W4 04-04.033-09W4 02-21-038-09W4 04-26-035-04W4 08-33-036-09W4 07-04-037-09W4 13.15-037-09W4 05-15-037-09W4 07-33-036-09W4 08-32-032-09W4 06-08-033-09W4 12-13-033-10W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13.037-08W4 09-14-037-08W4 13-13-037-08W4 13.13-037-08W4 14-13-037-08W4 14-13-037-08W4 11-14-037-08W4 10-08-037-08W4 14-23-035-04W4 13-14-037-08W4 13-14-037-08W4 13-14-037-08W4 13-14-037-08W4 05-13-037-08W4 01-04-028-12W4 01-04-028-12W4 10-06.034-10W4 15-28-027-12W4 02-33-027-12W4 05-28-027-12W4 05-04.033-09W4 06-22-038-09W4 01-26-035-04W4 3 4 5 6 7 1 2 3 2 3 4 6 7 8 9 11 12 13 14 15 16 17 18 19 20 21 22 1 2 1 1 2 4 5 1 1 2 1 1 2 3 1 1 1 P 42888 P 45238 P 45279 P 45322 P 45564 P 46242 P 46692 P 46716 P 47015 P 47299 P 47477 P 47581 P 47812 P 48392 P 48393 P 48565 P 48597 04-12-037-10W4 13-26-035-04W4 03-07-029-09W4 06.12-033-10W4 02-07-033-09W4 15-24-032-10W4 04-25-032-10W4 11-36-032-10W4 07-01-033.10W4 06-08-033-09W4 08-32-032-09W4 13-05-033-09W4 07-32-032-09W4 07-09-032-09W4 08-10-032-09W4 15-12-033-10W4 03-13-033-10W4 13-01-031-05W4 01-30-033-09W4 10-24-033-10W4 11-29-033-10W4 05-04-032-09W4 01-14-032-09W4 05-05-032-09W4 05-06-032-09W4 02-06-027-12W4 08-08-027-12W4 13-16-027-12W4 08-08-027-12W4 08-17-027-12W4 10-21-027-12W4 07.35-027-13W4 06-24-027-13W4 06-18-027-12W4 06-05-028-11W4 08-12-027-13W4 05-29.027-12W4 14.28-027-12W4 16-28-027-12W4 12-34-029-02W4 02.02-030-02W4 01-24-030-02W4 11-06-030-01W4 08-35-029-02W4 16-25-029-02W4 11-12-037-10W4 10-26-035-04W4 16-06-029.09W4 07-07.033-09W4 10-18-033-09W4 02-07-033-09W4 02-25-032-10W4 09-36-032-10W4 01-01-033-10W4 12.08-033-09W4 10-32-032-09W4 13-05-033-09W4 08-32-032.09W4 06-03-032-09W4 04-10-032-09W4 06.12-033-10W4 15-12-033-10W4 11-01-031-05W4 04-20-033-09W4 07-24-033-10W4 16-19-033-10W4 06-03-032-09W4 16-11-032-09W4 05-04-032-09W4 05-05-032-09W4 06-18-027-12W4 08-08-027-12W4 08-17-027-12W4 08-17-027-12W4 06-19-027-12W4 13.16-027-12W4 01-16-026-12W4 06-19-027-12W4 06-19-027-12W4 06-19-027-12W4 14-07-027-12W4 03-29-027-12W4 11-28-027-12W4 15-28-027-12W4 11-06-030-01W4 07-02-030-02W4 01-23-030-02W4 04-14-031-02W4 11-06-030-01W4 08-36-029-02W4 2 3 1 1 2 3 4 5 6 1 1 1 1 2 3 1 2 1 1 1 1 1 2 3 4 1 2 3 4 5 6 1 2 3 4 5 6 7 1 1 2 3 4 5 6 P 49603 P 49604 P 49605 P 49790 P 49894 P 50216 P 50452 P 51028 P 53239 P 53350 P 54023 P 54027 P 54102 P 7728 11-29-030-01W4 13-29-030-01W4 06-25-030-02W4 06-09-027-12W4 08-17-027-12W4 12-15-027-12W4 12-26-027-12W4 09-23-027-12W4 07-24-032-10W4 07.19-032-09W4 11-05-032-09W4 05-24-032-10W4 01-04-032-09W4 15-33-031-09W4 15-33-031-09W4 13-09-036-04W5 13-14-037-08W4 08-19-038-09W4 06-03-037-10W4 11-12-037-10W4 07-04-037-10W4 06-14-036-10W4 15-33-036-10W4 09-14-037-08W4 11-08-037-08W4 15-08-037-08W4 06.08-037-08W4 14-03-028-12W4 11-03-028-12W4 12-14-037-08W4 02-14-037-08W4 04-20-033-09W4 01-26-030-02W4 11-29-030-01W4 03-25.030-02W4 06-09-027-12W4 08-17-027-12W4 06-09-027-12W4 05-35-027-12W4 12-26-027-12W4 15-24-032-10W4 07-24-032-10W4 05-05-032-09W4 07-24-032-10W4 05-04-032-09W4 05-04-032-09W4 01-04-032-09W4 10-08-036-04W5 09-14-037-08W4 02-21-038.09W4 06.14-036-10W4 06-03-037-10W4 06-03-037-10W4 10-01-036-10W4 07-04-037-10W4 09-14-037-08W4 11-08-037-08W4 11-08-037-08W4 11-08-037-08W4 11-03-028-12W4 06-03-028.12W4 11-14-037-08W4 11-14-037-08W4 10-17-033-09W4 04-20-033-09W4 10-20-033-09W4 7 8 9 1 2 1 1 2 1 2 3 4 5 6 7 1 2 1 1 2 3 4 5 1 1 2 3 1 1 1 2 3 4 Delivered by Courier to: President 289090 Alberta Ltd. 2100, 700 2 St SW Calgary, AB T2P 2W1 Addison Energy Limited Partnership(A1JZ) cio Pengrowth Energy Corporation (A5R5) 2100, 222 - 3 Ave SW Calgary, AB T2P OB4 President Advantage Oil & Gas Ltd.(OTD9) 700 — 400 3 Ave SW Calgary, AB T2P 4H2 President Anderson Energy Ltd.(OYOP) 2200 — 333 7 Ave SW Calgary, AB T2P 2Z1 President Apache Canada Ltd.(OJL8) 2800 — 421 7 Ave SW Calgary, AB T2P 4K9 President Bellatrix Exploration Ltd.(A5E0) 1920,800 5 Ave SW Calgary, AB T2P 3T6 President Bonavista Energy Corporation(A5RX) 1500, 525 8 Ave SW Calgary, AB T2P IG1 President Canadian Natural Resources Limited (OHE9) 2500 — 855 2 St SW Calgary, AB T2P 4J8 President Crescent Point Energy Corp.(A2J6) 2800 — 1 1 1 5 Ave SW Calgary, AB T2P 3Y6 President Desmarais Energy Corp.(OZB3) 751 815 8 Ave SW Calgary, AB T2P 3P2 President Enerplus Corporation(A5RD) 3000 — 333 7 Ave SW Calgary, AB T2P 2Z1 President Fairwest Energy Corporation(A110) 400 — 900 6 Ave SW Calgary, AB T2P 3K2 President Freehold Resources Ltd.(OWA2) 400, 144 4 Ave SW Calgary, AB T2P 3N4 President Harvest Operations Corp.(OZOH) 2100 — 330 5 Ave SW Calgary, AB T2P OL4 Lightstream Resources Partnership (A032) c/o Lightstream Capital Ltd. 2800,525 8 Ave SW Calgary, AB T2P 101 Lightstream Resources Partnership(A032) c/o Lightstream Resources Ltd.(ASEL) 2800,525 8 Ave SW Calgary, AB T2P 1G1 President Montana Exploration Corp.(0A8C) 2300— 144 4 Ave SW Calgary, AB T2P 3N4 President NAL Energy(General Partner)Inc.(A4XH) c/o Pengrowth Energy Corporation(A5R5) 2100, 222 — 3 Ave SW Calgary, AB T2P 0134 President NAL Resources Ltd.(OTM9) 600 — 550 6 Ave SW Calgary, AB T2P 0S2 President NuVista Energy Ltd.(AOA7) 3500 — 700 2 St SW Calgary, AB T2P 2W2 President Pengrowth Energy Corporation(A5R5) 2100,222 3 Ave SW Calgary, AB T2P OB4 President Penn West Petroleum Ltd.(OBP8) 200 — 207 9 Ave SW Calgary, AB T2P 1K3 President Rife Resources Ltd.(ODZ7) 400, 144 4 Ave SW Calgary, AB T2P 3N4 President Qwest Diversified Capital Corp.(A6KG) 200 816 7 Ave SW Calgary, AB T2P 1A1 President Solara Exploration Ltd.(0Z3K) c/o FTI Consulting Canada Inc, 1000, 888 — 3 St SW Calgary, AB T2P 5C5 President Strike Petroleum Ltd.(A21X) c/o Fairwest Energy Corporation 800,407 2 St SW Calgary, AB T2P 2Y3 President Traverse Energy Ltd.(0F9L) 780 — 839 5 Ave SW Calgary, AB T2P 3C8 President Zargon Oil & Gas Ltd.(OMP9) 700,333 5 Ave SW Calgary, AB T2P 3B6 Delivered by Registered Mall to: President 846246 Alberta Ltd.(A232) 35 Westridge Cres SW Calgary, AB T3H 5C9 President Arbour Energy Inc. 333,440 — 10816 MacLeod Trail Calgary, AB T2J 5N8 President Blue Storm Energy Ltd.(0E2H) 600, 12220 Stony Plain Road Edmonton, AB T5N 3Y4 Mr, Gerry Labas Chief Operating Officer— Energy Services City of Medicine Hat(0150) 580 First Street SE Medicine Hat, AB TIA 8E6 President Country Rock Resources Ltd.(A2BY) 203 Heritage Place SW Calgary, AB T3Z 3P3 President EnCana Corporation (0026) Box 2850,500 Centre St SE Calgary, AB T2P 2S5 President Richdale Resources Ltd,(OMP8) 2500, 10155 — 102 St Edmonton, AB T5J 4G8 President Tudor Corporation Ltd.(03L9) Unit E, 2121 - 39 Ave NE Calgary, AB T2E 6R7 President Twin Butte Energy Ltd.(A23L) 410 — 396 11 Ave SW Calgary, AB T2R OLS Mr. Don Copeland 1202 600 Princeton Way SW Calgary, AB T2P 5N4 Delivered by E-mail to: Rick Osuna,ricktosuna ca.pwc.com PROVINCE OF ALBERTA ALBERTA ENERGY REGULATOR OIL AND GAS CONSERVATION ACT ORDER NO.C 2013.55 AN ORDER RESPECTING THE CLOSURE OF WELLS LICENSED TO FAIRWEST ENERGY CORPORATION WHEREAS Fairwest Energy Corporation (Licensee) is the licensee of the wells outlined in Clause 1; WHEREAS under section 1.100(2) of the Oil and Gas Conservation Rules(OGCR),the Licensee was required to provide a security deposit to the Alberta Energy Regulator(AER); WHEREAS the AER has issued Miscellaneous Order No. Misc 2013-32, which ordered the Licensee to provide a security deposit as required under the OGCR; WHEREAS the Licensee has failed to provide the security deposit as required; THEREFORE,under section 27 of the 011 and Gas Conservation Act, RSA 2000, c. 0-6(OGCA),the AER hereby orders as follows: 1. The following well licences are suspended: Licence No. Well Locations W 0034924 12-13-033-10W4 W 0034925 12-23-033-10W4 W 0034930 02-07-033-09W4 W 0035161 W 0041799 W 0055978 W 0060711 W 0060810 W 0063319 W 0066860 W 0066861 W 0066954 W 0069646 W 0069788 W 0070031 W 0071310 W 0071311 W 0071618 W 0071625 W 0071997 W 0077102 W 0078575 12-24-033-10W4 12-20.019-18W4 10.05-033-09W4 07-26-034-04W4 10-26-035-04W4 11-08-037-08W4 06-20-038-09W4 11-30-037-10W4 10-09-038-10W4 07-04-037-10W4 10.34-036-09W4 11-07-038-10W4 07-21-037-09W4 06-12-037.11W4 06.03-037-10W4 07-30-037-09W4 11-12-037-10W4 16-03-028-12W4 06-02-028-12W4 W 0079508 06-06-033.09W4 W 0082630 08-10-028-12W4 W 0084137 W 0091986 W 0093453 W 0109862 W 0128339 14-02-028-12W4 08-02-028-12W4 06-04-033-09W4 08-08-020-19W4 10-09-036-04W5 W 0142526 11-24-019-18W4 W 0145042 W 0147563 14-33-027-12W4 11-03-028-12W4 W 0150736 11-14-037-08W4 W 0152579 W 01526'78 08-08-020-19W4 01-08-020-19W4 W 0153571 02-08-020-19W4 W 0161316 W 0167008 W 0176788 10-08-020-19W4 08-08-020-19W4 01-08-020-19W4 W 0222120 07-25-030-01W4 W 0225623 06-33-032-09W4 W 0225918 W 0226129 W 0226134 W 0226137 W 0226171 W 0226725 W 0227097 W 0227098 W 0227422 W 0227434 W 0227479 16-15-033-10W4 16-16-033-10W4 08-16.033-10W4 08-15-033-10W4 06-10-033-10W4 16-10-033.10W4 16-35-032-10W4 14-35-032-10W4 14-36-032-10W4 16-31-032-09W4 14-10-033-10W4 W 0227744 05-13-037-08W4 W 0228741 W 0228855 W 0228856 W 0228858 W 0229769 W 0230135 W 0231572 W 0231573 W 0231807 W 0234231 W 0234233 07-04-037-09W4 07-33-036-09W4 07-16-037-09W4 10-32-036-09W4 07-22-037-09W4 04-17-033-09W4 06-10-038-10W4 06-11-038-10W4 04-20-033-09W4 01-02-033-10W4 03-01-033-10W4 W 0234828 08-32-032-09W4 W 0237788 W 0242314 06-08-033-09W4 09-14-037.08W4 W 0243416 12-13-037-08W4 W 0244371 05-20-019-18W4 W 0245353 06-14-037-08W4 W 0249977 13-11-037-08W4 W 0250122 09-05-033-09W4 W 0253357 13-13-037-08W4 W 0254306 09-14-037-08W4 W 0254308 09-14-037-08W4 W 0254312 12-13-037-08W4 W 0254315 09-14-037-08W4 W 0254319 09-14-037-08W4 W 0254320 09-14-037-08W4 W 0254539 12-13-037-08W4 W 0254544 16-14-037-08W4 W 0254770 13-14-037-08W4 W 0255910 16-14-037-08W4 W 0255928 13-13-037.08W4 W 0255931 13-13-037-08W4 W 0255948 13-13-037-08W4 W 0255956 13-13-037-08W4 W 0256959 12-13-037-08W4 W 0256960 13-13-037-08W4 W 0257094 W 0257104 W 0257105 W 0257144 W 0257145 06-36-032.10W4 06-15-033-10W4 14-15-033-10W4 08-02-033-10W4 08-35-032-10W4 W 0257147 06-02-033-10W4 W 0258129 W 0258658 W 0258661 11-29-033-10W4 14-02-033-10W4 06-35-032-10W4 W 0258731 13-13-037-08W4 W 0258755 14-13.037-08W4 W 0258757 13-14-037-08W4 W 0261060 W 0261275 10-05-033-09W4 08-02-033-09W4 W 0262577 08-04-029-03W4 W 0262589 13-14-037-08W4 W 0264031 05-05-032-09W4 W 0265872 12-14-037-08W4 W 0266167 06-02-033-10W4 W 0267030 05.33-027-12W4 W 0268021 14-04-033-09W4 W 0268023 04-04-033-09W4 W 0268263 13-14-037-08W4 W 0268961 W 0276184 W 0283064 02-33-027-12W4 03-28-027-12W4 01-17-037-08W4 W 0285047 14-13-037-08W4 W 0285048 14-13-037-08W4 W 0287232 02-21-038-09W4 W 0287693 03-17-037-08W4 W 0290837 15-14-037-08W4 W 0301912 W 0306285 03-07-029-09W4 06-07.038-10W4 W 0306653 04-26-035-04W4 W 0306659 01-26-035-04W4 W 0309094 04-12-037-10W4 W 0315325 06-08-037-08W4 W 0315326 15-08-037-08W4 W 0315327 09-26-035-04W4 W 0315328 13-26-035-04W4 W 0316174 13-20-033-10W4 W 0323559 04-01-033-11W4 W 0323693 06-12-033.10W4 W 0324194 04-36-032-11W4 W 0326772 W 0327593 09-25-032-10W4 16-11-033-10W4 W 0330011 07-24-032-10W4 W 0330521 13-05-033-09W4 W 0331070 03-24-032-08W4 W 0332327 W 0337854 02-24-033-10W4 15-24-032-10W4 W 0337856 07-32-032-09W4 W 0338758 W 0339996 W 0341749 W 0342419 07-09-032-09W4 12-14-033-10W4 04-35-032-09W4 10-24-033.10W4 W 0342851 08-25-032-10W4 W 0343009 W 0343592 W 0344080 W 0349988 13-03-031-05W4 13-01-031-05W4 03.13-033-10W4 05.32-031-09W4 W 0353115 12-34-029-02W4 W 0353345 08-14-033-10W4 W 0353407 05-04.032-09W4 W 0353668 05-03-030-02W4 W 0354144 07-02-030-02W4 W 0354145 02-02-030-02W4 W 0355543 11-06-030-01W4 W 0357149 06-25-030-02W4 W 0357165 01.24-030-02W4 W 0357268 13-21-028-12W4 W 0358515 01-30-030-01W4 W 0359092 W 0359659 09-22-033-10W4 10.15-031-09W4 W 0359945 07-19-032-09W4 W 0360011 01-14-032-09W4 W 0360188 08-27-026-12W4 W 0360506 16-28-027-12W4 W 0360516 01-04-028-12W4 W 0361003 W 0361295 W 0361352 W 0361425 W 0361700 W 0361747 W 0361757 W 0362081 W 0365794 W 0365804 W 0366362 W 0366718 W 0367502 W 0371921 05-06-032-09W4 15-33-031-09W4 08-12-030-02W4 04-25-032-10W4 04-07-030-01W4 13-09-036-04W5 09-16-030-05W4 11-36-032-10W4 16-25-029-02W4 08-36-029.02W4 12-31-029-01W4 08-35-029-02W4 13-29-030-01W4 14-11-026-12W4 W 0380681 07-19-032.09W4 W 0380689 W 0380997 W 0380998 W 0384092 W 0384335 14-32-031-09W4 11-29-030-01W4 11-05-032-09W4 12-16.030-05W4 05-24-032-10W4 W 0384379 01-04-032-09W4 W 0392773 W 0393042 W 0403695 W 0404048 W 0405232 W 0413965 08-19-038-09W4 09-17-038-09W4 15-33-036-10W4 07-14-037-08W4 05-29-027-12W4 07-01-033-10W4 W 0425853 13-13-037-08W4 W 0425854 14-13-037.08W4 W 0425932 14-28-027-12W4 W 0441401 14-03-028-12W4 2. The wells shall be shut down effective immediately and shall remain shutdown until the AER rescinds this Order in writing. 3. Under section 101 of the OGCA,for the purposes of carrying out the activities contemplated in Clause 1, the Licensee is entitled to have access to and may enter on the land and any structures on the land concerned. 4. Under section 47 of the OCGA, no person may enter on, carry out operations at or remove any equipment, installation or material situated on the sites of the wells,facilities and pipelines that form the subject of this order, unless authorized in writing by the AER and any actions taken in the absence ofsuch authorization shall be considered in violation of this Order and may pose a public safety risk. 5. The AER may amend this Order on any term or condition it may specify. MADE at the City of Calgary, in the Province of Alberta, this day of October, 2013. ALBERTA ENERGY REGULATOR PROVINCE OF ALBERTA ALBERTA ENERGY REGULATOR OIL AND GAS CONSERVATION ACT ORDER NO.C 2013-56 AN ORDER RESPECTING THE CLOSURE OF FACILITIES LICENSED TO FAIRWEST ENERGY CORPORATION WHEREAS Fairwest Energy Corporation (Licensee) is the licensee of the facilities outlined in Clause 1; WHEREAS under section 1.100(2) of the 011 and Gas Conservation Rules(OGCR),the Licensee was required to provide a security deposit to the Alberta Energy Regulator(AER); WHEREAS the AER has issued Miscellaneous Order No. MISC 2013-32, which ordered the Licensee to provide a security deposit as required under the OGCR; WHEREAS the Licensee has failed to provide the security deposit as required; THEREFORE,under section 27 of the Oil and Gas Conservation Act,RSA 2000, c. 0-6(OGCA),the AER hereby orders as follows: 1. The following facility licences are suspended: Licence No. Location F 25359 00/06-14-037-08W4 F 25972 00/13-13-037-08W4 F 26321 00/13-14-037-08W4 F 2811 F 33497 F 3681 F 38890 F 44321 F 44322 00/08-08-020-19W4 00/04-20-033-09W4 00/06-19.027-12W4 00/06-03-032-09W4 00/11-03-028-12W4 00/11-14-037-08W4 F 6007 00/09-14-037-08W4 2. The facilities shall be shut down effective immediately and shall remain shutdown until the AER rescinds this Order in writing. 3. Under section 47 of the OCGA, no person may enter on, carry out operations at or remove any equipment, installation or material situated on the sites ofthe wells, facilities and pipelines that form the subject of this order, unless authorized in writing by the AER and any actions taken in the absence of such authorization shall be considered in violation of this Order and may pose a public safety risk. 4. The AER may amend this Order on any term or condition it may specify. MADE at the City of Calgary, in the Province of Alberta, this di day of October,2013. ALBERTA ENERGY REGULATOR PROVINCE OF ALBERTA ALBERTA ENERGY REGULATOR PIPELINE ACT ORDER NO. AD 2013-98 AN ORDER RESPECTING THE CLOSURE AND ABANDONMENT OF A PIPELINE LICENSED TO FAIRWEST ENERGY CORPORATION WHEREAS Fairwest Energy Corporation (Licensee) is the licensee of a pipelines attached to wells that have been ordered suspended by the Alberta Energy Regulator(AER). THEREFORE,under section 23 of the Pipeline Act, RSA 2000, c, P-15(PA),the AER hereby orders as follows: 1, The pipeline licence and its respective pipeline segments,referenced in Clause 2, are suspended, effective immediately. 2, The Licensee shall on or before October 20, 2013, abandon the following pipeline licences and applicable pipeline segments in accordance with the requirements of the AER: Licence Number P 12089 P 18298 P 23249 P 23633 P 25364 P 25986 From Location 12-24-033-10W4 10-19-033.09W4 12-23-033-10W4 02-24-033.10W4 12-13-033.10W4 04-19-033-09W4 02-17-033-09W4 02-07-033-09W4 04-17-033-09W4 04-20-033-09W4 07-17-035-09W4 06-06-033-09W4 10-05-033-09W4 10-18-033-09W4 06-04-033-09W4 04.20-033-09W4 08.02-033-09W4 10-24-033.10W4 04-35-032-09W4 07-14-033-10W4 10-32-032-09W4 10-10-033-09W4 03-09-033-09W4 10-09-036-04W5 06-09-027-12W4 11-06-028-12W4 08-08-020-19W4 To Location 10-19-033-09W4 04.20-033-09W4 02-24-033-10W4 04-20-033-09W4 04-19-033-09W4 04-20.033-09W4 04-20-033-09W4 04-17.033-09W4 04-20-033-09W4 07.17-035-09W4 07.29-035-09W4 02-07-033-09W4 02-07-033-09W4 04-20-033-09W4 10-05-033-09W4 04-20-033-09W4 06-04-033-09W4 07-24-033.10W4 05-02.033-09W4 12-13-033-10W4 03-09-033-09W4 03-09-033-09W4 04-20-033-09W4 10-08-036.04W5 1.0-07-027-12W4 06-31.027-12W4 08-08-020-19W4 Line Number 1 2 4 5 6 7 8 9 10 11 12 13 14 16 18 19 22 21 23 1 2 3 1 1 1 1 P 26794 P 26851 P 28512 P 29310 P 33043 P 33248 P 33308 P 33891 P 35099 P 35363 08-08-020-19W4 01-08-020-19W4 08-08-020-19W4 01-08-020-19W4 01-08-020-19W4 08-08-020-19W4 04-08-020-19W4 08-08-020-19W4 14-33-027-12W4 11-14-037-08W4 12-20-019-18W4 07-25-030-01W4 16-15-033-10W4 06-10-033-10W4 08-10-033-10W4 08-16-033-10W4 16-16-033-10W4 16-35-032-10W4 16-31-032-09W4 06-06-033-09W4 14-35-032-10W4 03-01-033-10W4 06-35-032-10W4 08-35-032-10W4 06-02-033-10W4 08-02-033-10W4 14-02-033-10W4 06-15-033-10W4 12-14-033-10W4 07-04-037-09W4 07-33-036-09W4 10-34-036-09W4 07-22-037-09W4 07-21-037-09W4 07-16-037-09W4 10-32-036-09W4 06-33-032-09W4 08-32-032.09W4 06-08-033-09W4 12-13-037-08W4 13-13-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 12-13-037-08W4 12-13-037-08W4 16-14-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 08-08-020-19W4 08-08-020-19W4 01-08-020-19W4 08-08-020-19W4 01-08-020-19W4 04-08-020-19W4 14-32-019-19W4 10-08-020-19W4 16-33-027-12W4 14-14-037-08W4 07-17-019-18W4 07-25-030-01W4 12-23.033-10W4 08-10-033-10W4 16-15-033-10W4 16-16-033-10W4 16-15-033-10W4 08-10-033-10W4 16-35-032-10W4 14-31-032-09W4 16-35-032-10W4 14-36-032-10W4 08-35-032-10W4 16-35-032-10W4 07-02-033-10W4 07-02-033-10W4 14-02-033-10W4 08-15-033-10W4 09-15-033-10W4 10-22-036-09W4 08-33-036-09W4 08-33-036.09W4 07-04-037-09W4 13-15-037-09W4 05-15-037-09W4 07-33-036-09W4 08-32.032-09W4 06-08.033-09W4 12-13-033-10W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037.08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 09-14-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 13-13-037-08W4 2 3 4 5 6 1 2 1 1 1 1 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 1 2 3 4 5 6 7 1 2 3 1 2 3 4 6 7 8 9 11 12 13 14 15 P 36395 P 36915 P 36929 P 37412 P 37579 P 37937 P 38292 P 39160 P 41271 P 42783 P 42888 P 45238 P 45279 P 45322 P 45564 P 46242 P 46692 P 46716 P 47015 P 47299 P 47477 P 47581 P 47812 P 48392 16-14-037-08W4 13-13-037-08W4 12-13.037-08W4 13-13-037-08W4 14-13-037-08W4 14-13.037-08W4 14-13-037-08W4 13-11-037-08W4 03-17-037-08W4 10-26-035.04W4 06-14-037-08W4 13-14-037.08W4 13-14-037-08W4 12-14-037-08W4 09-14.037-08W4 08-10-028-12W4 01-04-028-12W4 11-29-033-10W4 05-33-027-12W4 02-33-027-12W4 03-28-027-12W4 04-04-033-09W4 02-21-038-09W4 04-26-035-04W4 04-12-037-10W4 13-26-035-04W4 03-07-029-09W4 06-12-033-10W4 02-07-033-09W4 15.24-032-10W4 04-25-032-10W4 11-36-032-10W4 07-01-033-10W4 06-08-033-09W4 08-32-032-09W4 13-05-033-09W4 07-32.032-09W4 07-09-032-09W4 08-10-032-09W4 15-12-033-10W4 03-13-033-10W4 13-01-031-05W4 01-30-033-09W4 10-24-033-10W4 11-29-033-10W4 05-04-032-09W4 01-14-032-09W4 05-05-032.09W4 05-06-032-09W4 02-06-027-12W4 08-08-027-12W4 13-16-027-12W4 13-13-037-08W4 13-13-037-08W4 09-14-037.08W4 13-13-037-08W4 13-13.037-08W4 14-13-037-08W4 14-13-037-08W4 11-14-037-08W4 10-08-037-08W4 14-23-035-04W4 13-14.037-08W4 13-14-037-08W4 13-14-037-08W4 13-14-037-08W4 05-13-037-08W4 01.04-028-12W4 01-04-028-12W4 10-06-034-10W4 15-28-027-12W4 02-33-027-12W4 05-28-027-12W4 05-04-033-09W4 06-22.038-09W4 01-26-035-04W4 11-12-037-10W4 10-26-035-04W4 16.06-029-09W4 07-07-033-09W4 10-18-033-09W4 02-07-033-09W4 02-25-032-10W4 09-36-032-10W4 01-01-033-10W4 12-08-033-09W4 10-32.032-09W4 13-05-033-09W4 08-32-032-09W4 06-03-032-09W4 04-10-032-09W4 06-12-033-10W4 15-12-033-10W4 11-01-031-05W4 04-20.033-09W4 07-24-033-10W4 16-19-033-10W4 06-03-032-09W4 16-11-032-09W4 05-04-032-09W4 05-05-032-09W4 06-18-027-12W4 08-08-027-12W4 08-17-027-12W4 16 17 18 19 2 21 22 1 2 1 1 2 4 5 1 1 2 1 1 2 3 1 1 1 2 3 1 1 2 3 4 5 6 1 1 1 1 2 3 1 2 1 1 1 1 2 3 4 1 2 3 P 48393 P 48565 P 48597 P 49603 P 49604 P 49605 P 49790 1 P 49894 P 50216 P 50452 P 51028 P 53239 P 53350 P 54023 P 54027 P 54102 P 7728 08-08-027-12W4 08-17-027-12W4 10-21-027-12W4 07-35-027-13W4 06-24-027-13W4 06-18-027-12W4 06-05-028-11W4 08-12-027-13W4 05-29-027-12W4 14-28-027-12W4 16-28.027-12W4 12-34.029-02W4 02.02-030-02W4 01-24-030-02W4 11-06-030-01W4 08-35-029-02W4 16-25-029-02W4 11-29-030-01W4 13-29-030-01W4 06-25-030-02W4 06-09.027-12W4 08-17-027-12W4 12-15.027-12W4 12-26-027-12W4 09-23-027-12W4 07,24-032.10W4 07-19-032-09W4 11-05-032-09W4 05-24-032-10W4 01-04-032-09W4 15-33-031-09W4 15-33-031-09W4 13-09-036.04W5 13-14-037-08W4 08.19-038-09W4 06-03-037-10W4 11-12-037-10W4 07-04-037.10W4 06-14-036-10W4 15-33-036-10W4 09-14-037-08W4 11.08-037-08W4 15-08-037-08W4 06-08.037.08W4 14-03-028.12W4 11-03-028-12W4 12-14-037-08W4 02-14-037-08W4 04-20-033-09W4 08-17-027-12W4 06-19-027-12W4 13-16-027-12W4 01-16-026-12W4 06-19-027-12W4 06-19-027-12W4 06-19-027-12W4 14-07-027-12W4 03-29-027-12W4 11-28-027-12W4 15-28-027-12W4 11-06-030-01W4 07-02-030-02W4 01-23-030-02W4 04-14-031-02W4 11-06-030-01W4 08-36-029-02W4 01-26-030-02W4 11-29-030.01W4 03-25-030-02W4 06-09-027-12W4 08-17-027-12W4 06-09-027-12W4 05-35-027-12W4 12-26-027-12W4 15-24-032-10W4 07-24-032-10W4 05-05-032-09W4 07-24-032.10W4 05-04-032-09W4 05-04-032-09W4 01-04-032-09W4 10-08-036-04W5 09-14-037-08W4 02-21.038-09W4 06-14-036-10W4 06-03-037-10W4 06-03-037-10W4 10-01-036-10W4 07-04-037-10W4 09-14-037-08W4 11-08-037-08W4 11-08.037-08W4 11-08-037-08W4 11-03-028-12W4 06-03-028-12W4 11.14-037-08W4 11-14-037-08W4 10-17-033-09W4 04-20-033-09W4 10-20-033-09W4 4 5 6 1 2 3 4 5 6 7 1 1 2 3 4 5 6 7 8 9 1 2 1 2 1 2 3 4 5 6 7 1 2 1 1 2 3 4 5 1 1 2 3 1 1 2 3 4 3. The Licensee shall submit all applicable documentation confirming completion of abandonment operations and surface equipment removal operations by the date specified in Clause 2. 4. Under section 28 of the PA,for the purposes of carrying out the activities contemplated in Clause 2, the Licensee is entitled to have access to and may enter on the land and any structures on the land concerned. 5. The AER may amend this Order on any term or condition it may specify. MADE at the City of Calgary, in the Province of Alberta, this day of October, 2013,. ALBERTA ENERGY REGULATOR APPENDIX "B" 4. TRUST AGREEDILENT T1118 AGREEMENT dated the e day of October, 20'10 BETWEEN: FAIRWEST ENERGY CORPORATION a body corporate, having.an office in the City of Calgery, In the'PrOvince Of Alberta (hereinafter referred to as 4FEC's or the "Trustee) end ROYALTY INVESTMENTS LIMITED PARTNERSHIP, by its General Partner, 1399418 ALBERTA LTD., a body eorporate, havine an office In the City of Calgary, In the Province of Alberta • (hereinafter referred to es "RILP" or the "Beneficiary") WEREAŠ pursuant to elx Individual Petroleum, Naturet GCS and. General Rights Conveyance:agreements detect October, 2010 and effective October 1, 2010 ("Conveyance Agreements') a More partictrlarly set forth and described in Schedule W Attached to and made a part hereof; 131LF acquiredointerests which were previously held in trust by FEC; AND VITHEREAS both. Parties hereto no agree to terminate any and all existing trust Agreements as -they'. may have applied to the interests conveyed from the Conveyance Agreements; AND wf1g1EA8 .the Trustee, FEC has 'agreed to hold legal title to the Assets covered underthe ConVeyance Agreements,.subjeotto the terms and conditions hereinafter set forth. NOW THEREFORE, In consideration of the premises,and the mutual: covenants and conditiOns contained herein, the parties. hereto agree as follows; 1. The foregelng recitals are true end correot in all respects: 2. The. Trustee shall hold the Beneficiary's interest In trust for the Beneficiary effective Weber 1, 2010. • 3. The Trustee shall not do or cause anYthing. to be clone whereby the interest of the BenefiCiary.is impaired, assigned, transferred'or encumbered, or In any manner dealt with without.the prier consent ofthe Beneficiary, Trust Agretiniqnt - FtIPLP and FEC Final C040 DOC -2 4. The Beneficiary shall: (e) be liable 46 the.Trustee for all losses, cats, damages and expenses whatsoever Which the Trustee may suffer, sustain, pay or Ineue and (b) Indemnify and save harmlesei the Trustee, its agents, servants, employees, consultants and contractors against all. aetio.ns, demands, claims, costs; losses, expenses and damage which may be brought against, Incurred by or eufferred by the Iterate°, or Its agents, •servants, employees, consultants and contractors or which they may suStain, pay or incur by reason of or which may be.attributable, to the Trustee holding. the Interest In trust on behalf Of the .13eneficlary, provided that the Trustee has In all respetits acted in goodfaith and in a prudent manner and has not been negfigentin the performance of its duties. 6, The Trustee does not purport to: hold in trust for the Beneficiary any better title to the .interest than was conveyed under the Conveyance Agreements and the parties' hereto agree that the Trustee neither expresses nor hellos by these presents to Warrant or guarantee title to the interest, Schedule"A" le attached hereto by the parties for reference only, and sets forth the Petroleum and .Natural Gas Conveyances to which the Intereet relates. 6. • Each of the parties hereto shall, from time to time •and at 'all times hereafter, do such further acte and execute and deliver all 43uoh further deeds and documents as shall be reasonably required In order to fully establish the interests of the parties hereto. 7. The terms, covenants and conditions of this Trust Agreement shall be binding upon and shall .enure to the benefit of the parties hereto, and their respective successors and assigns. • ø. This Trust Agreement shall remain in full force and effect for so long as the interest or any .part thereof is held in trest by the Trustee for the Beneficiary end, thereafter until all accounts between the Trustee and the Beneficiary have been settled, This Trust Agreerneht shall be construed' in accordance with the laws of the Province of Alberta, dnel each party accepts the Jurisdiction of the courts of the Province of Alberta and all court's of appeal therefrom. 10, This Trust Agreement may be executed In Separate eounterparte, and all of the executed counterparts together constitute one agree.ment acid shelf have the same force and effect as if all the parties executing such counterparts had executed the same agreement. TruaAgreement R1PLP and PEO Final 06406,DOC -3IN WITNESS WHEREOF the Parties horete have exeouted this Trust Agnsement øs of the day andyear firt °boye ~en, PAIRWE.:ST ENERGY CORPORATION (Tnistee) ROYALTY INVESTMENTS LIMITED PARTNERBHIP, by Ite Gørler rtner, l941(5 ALBERTA LTD. (130110MOrY) / Per: i '4.4 Ls Vice Pitsident, Land Per: Vem Fauth President This lø the exeoution page to a Trust Agreernent dated:October 5, 2010, between FaIrWiut Erw3rgy Ctrporatlon and Royaltylnvestm.ents Unted Partnership, Trust Agreernent - RIKP Snø.FEC Final CO400,DQC SCHEDULE "A" Attached to and forming part of a Trust Agreement dated the 5'day of October,200 between FaIrWest Energy Corporation arid Royalty Investmen% Limited Partnership, by its General Partner, 1399416 Alberta Ltd, file "conveyance AgrOements" Petroleum, Natural Gas and General Rights Conveyance dated October 6, 2010 between ALTAEAST PRODUCTION LIMITED PARTNERSHIP, by its.goneral partner, ALTAEAST OIL .GAS INC,as'Vendor' and ROYALTY-INVESTMENTS LIMITED PARTNERSHIP, by Its general partner, 1390415 ALBERTA • LTD. as'Purchaser' Petroleum, Natural Oes•and General Rights Conveyance dated .October', 2010 between BATTLE Rivpi PRODUCTION LIMITED PARTNERSHIP, by Its general partnor,BAME RIVER OIL & GAS INC, as 'Vendor' and ROYALTY INVESTMENTS LIMITED PARTNERSHIP, by Its general partner, 1399416 ALBERTA LTD, es'Purchaser'. Petroleum, Natural Gas and General Rights Conveyance dated October 5,2010 between GARRINGTON LIMITED PARTNERSHIP, by Its general partner,°ARRINGTON PRODUCTION CORPORATION,ae 'Vendor' and ROYALTY INVESTMENTS LIMITED PARTNERSHIP, by its general partner,'1399416 ALBERTA LTD:as'Purchaser' Petroleum, Natural Gas and General Rights Conveyance dated October 6, 2010 between NEUTRAL CREEK LIMITED PARTINIERSHIP, bylts general partner, NEUTRAL.CREEK CORPORATION, as 'Vendor'and ROYALTY INVESTMENTS LIMITED PARTNERSHIP, by Its general partner, 1099416. ALBERTA L1'D. as'Purchaser' Petroleum,'Natural Gas and General Rights Conveyance dated October 5f 2010 between PETRO'VEST EXPLORATION & PRODUCTION CORPORATION,as'Vendor' and ROYALTY INVESTMENTS LIMITED PARTNERSHIP, by Its general partner, 1399415 ALBERTA LTD, as 'Purehaser' Petroleum, Natural Gas and General Rights Conveyance dated October 6, 2010 between STRATEGIC PRODUCTION LIMITED,PARTNERSHIP, by its general partner, STRATEGIC OIL & OAS PRODUCTION INC., as'Vendor' and ROYALTY INVESTMENTS LIMITED PARTNERSHIP, by Its general partner, 1399416 ALBERTA LTD. as'Purohaser 'Met Agreement•RIPLP and KO Final 0040-0 DOO