EXCLUSIVE LICENSEFORADDITONALTERRITORES
PURCHASE ORDERFORPROTOTYPE
THIS AGREEMENTmadeasofthe31stofAugust2014.
BETWEEN:
ME RESOURCECORP.,acorporationincorporatedunderthelawsofthe ProvinceofBritishColumbiaandhavingitsheadofficeatSuite900 555 Burrard Street, Vancouver, British Columbia,Canada V7X1M8.
(hereinafter called"MEC")
OF THEFIRSTPART
AND
WELL POWERINC.,acompanyincorporatedunderthelawsofthe NEVADA,andhavingitshead officeatSuite#910,11111KatyFreeway Houston,Texas 77079
(hereinafter calledthe"WPI")
OF THESECONDPART
WHEREASMECisthedeveloperandmanufactureroftheproductslistedanddescribed intechnicaldetailintheExclusiveLicense and Distribution Agreementdated January 22, 2014.("ExclusiveLicense")
WHEREAS,MECandWPIunderstandthatpriorto exclusivitybeinggrantedtoWPI,afull-scalepilotprojectwillhavetobeestablishedwithintheprescribed Territory,at asite determined by WPIand agreedupon byall parties.
WHEREAS,WPIhasobtainedfromMECtheexclusiverighttodistributeanddeploy theProductsinTexasandfirstrightofrefusal to oiland gasproducers, operators, and serviceproviders (hereto after referredtoasthe"Territory") on theterms and subjectto theconditionscontained intheExclusiveLicense.
And WHEREAS,WPIwishesto extenditsLicensetoAdditionalTerritoryofMontana; andwishes toissueapurchaseorderforone Micro Refinery TestUnitsonthe termsand subjecttothe conditionscontainedhereinset out.
NOW THEREFORETHISAGREEMENTWITNESSESthatinconsiderationofthe respective covenantsandagreementsofthepartiescontainedherein,thesumofone dollar nowpaidby eachpartyheretoto eachof theother partieshereto, and other good andvaluableconsideration (the receipt and sufficiency of whichherebyacknowledgedby eachoftheparties hereto), itisagreed as follows:
1. Appointmentof Additional Territory
| 1.1. | MEC appointsWPIasitsexclusivedistributor intheadditionalterritory of Montana("Additional Territory")fortheProductsupon the termsand conditions herein setout;andon the terms and subjectto the conditions contained in the Exclusive License. |
| 1.2. | The WPIherebyacceptsitsappointment asitsexclusivedistributorintheAdditionalTerritoryandagrees topurchasetheProductsfromMECuponthe terms andconditionsherein set out;andon theterms and subject tothe conditions contained in the ExclusiveLicense. |
2. AdditionalTerritory Fee
| 2.1 | A $250,000non-refundablelicensepaymentfortheexclusivedistributionrightstodistributeordeploytheProductsintheAdditionalTerritory, except as hereinprovided. The paymentwillbeinvoicedandduein 60days. This fee willbeused towardstheengineering anddevelopment ofa Territory specificfull-scalepilotproject and only after the successfuloperation of this pilot project, willtheexclusivelicensebegranted. WPI understandsthe Products are in the earlystage of development andprototype needstobe developedspecifically foroperationineach Territory;and MEC cannot concisely design and willnotbeliableforany specificdeliverables of the Micro RefineryUnits. |
| 2.2 | These AdditionalTerritorieswillbeconsideredasanamendment tothe originalTerritoryofTexasandwillbeconsideredunderthesameterms and subjecttothesameconditionsas thedefinition ofTerritorycontained inthe Exclusive License. |
3. PurchaseOrder foraPrototypeMicroRefineryUnit
| 2.1 | WPI specifiesthis agreementasapurchaseorderforaPrototypeMicro RefineryUnit.Thisunitwillbeskidmounted(transportable)andhavethe ability to process a maximum of 100MCF/dayof natural gasinto stableliquid hydrocarbons and fuel qualitygas tobeused to producepowerfrom external natural gas power generators.ThisPrototypeMicroRefineryUnitwillbe developedinto a full-scalepilot project andwill beused for research and development purposes. |
| 2.2 | The totalpriceforthisPrototypeMicroRefineryUnitwillbeUSD$1,200,000 witha30%Depositdueuponacceptanceofthepurchaseorderandissuance ofinvoice. |
GENERAL CONTRACTPROVISIONS
| 3.1 | Allnotices,requests,demands,purchaseordersorothercommunications(collectively,"Notices")bythetermshereofrequiredorpermittedtobegivenbyone party toany otherparty, ortoany other person shall be given in writingby personaldeliveryor byregisteredmail, postage prepaid, and by facsimiletransmissionto suchother partyasfollows: |
(a) ToMECat: ME ResourceCorp.
Suite 900,555BurrardStreet,
Vancouver,BritishColumbia,CanadaV7X1M8
Tel: (604)8937033
Fax: (604)6922801
(b) ToWPIat: WellPowerInc.
C/o: CaneandClark
3273 WarmSpringsRd.
Las Vegas,NV89120
Tel: 702.312.6255
Fax: 702.944.7100
or atsuchother addressasmaybegivenbysuchpersontotheother partiesheretoinwritingfromtimetotime.Ifanyparty bound hereby or any permitted transferee ofshareshereunder shallnothave given the parties hereto notice settingforth an addressforthe giving ofNotices, the Notice forsuch personshall bedeemedto have beenproperly given if givenin accordancewiththe terms hereof asifgivento thetransferor(s) of suchshares.
All suchNoticesshallbedeemed tohavebeenreceivedwhendeliveredor transmitted,or,ifmailed,48hours after 12:01 a.m.on the day following theday ofthemailing thereof. IfanyNotice shallhave been mailed and ifregularmail serviceshallbe interrupted by strikes or otherirregularities, such Noticeshall bedeemed to have been received 48hours after 12:01 a.m. on the dayfollowing theresumption ofnormal mailservice, provided that during the periodthat regular mail service shallbe interrupted all Notices shallbegiven by personaldelivery orby facsimile transmission.
| 3.2 | The partiesshallsignsuchfurtherandotherdocuments,cause such meetingstobeheld,resolutionspassedandby-lawsenacted,exercise their coteand influence, doand performand causeto bedone andperformed suchfurtherandotheracts andthingsas may benecessary ordesirable in orderto givefull effectto thisAgreement and everypart thereof. |
| 3.3 | This Agreementmaybeexecutedinseveralcounterparts,eachofwhichso executedshallbedeemedtobeanoriginaland suchcounterpartstogethershallbe but one and thesameinstrument. |
| 3.4 | Time shallbeoftheessenceofthisAgreementandoreveryparthereof andnoextensionsorvariationofthisAgreementshall deploy asawaiver ofthis provision. |
| 3.5 | This AgreementconstitutestheentireAgreementbetweenthepartieswith respecttoallofthe mattershereinanditsexecutionhasnotbeen induced by,nor doanyof theparties relyupon orregard asmaterial, any representations or writingswhatever notincorporated hereinandmadea parthereof andmay notbeamendedormodified inanyrespect exceptby written instrument signedbythe partieshereto.TheSchedulesreferred to herein are incorporated hereinbyreference andform part of the Agreement. |
| 3.6 | This Agreementshallensuretothe benefitofandbebindinguponthe partiesandtheirrespectiveheirs,executors, administrators, successors, legalrepresentativesandpermitted assigns. |
| 3.7 | Unless otherwiseprovidedforherein,allmonetaryamountsreferredto hereinshallrefertothelawfulmoneyofCanada. |
| 3.8 | The divisionofthis Agreementintoarticlesandsectionsisfor convenienceofreferenceonlyandshallnotaffectthe interpretation or construction of thisAgreement. |
| 3.9 | This Agreementshallbegovernedbyand construed inaccordancewith thelawsoftheProvinceofBritishColumbiaandthefederallawsof Canada applicable therein and each of theparties heretoagreesirrevocably to conform tothenon-exclusive jurisdiction of the Courts ofsuch Province. |
| 3.10 | In thisAgreement,wordsimportingthesingularnumbershallincludethe pluralandviceversa,andwordsimportingtheuseofanygendershall include themasculine, feminine andneuter genders andthe word "person" shallincludean individual,a trust, a partnership, a bodycorporate, an associationorotherincorporatedor unincorporatedorganization or entity. |
| 3.11 | When calculatingtheperiodoftimewithinwhichorfollowingwhichany actistobedoneorsteptakenpursuant to thisAgreement, the date which is the reference date in calculating such period shallbe excluded.Ifthelast dayofsuchperiod isnot aBusiness Day, then the time period in question shall endonthefirstbusiness dayfollowing suchnon-business day. |
| 3.12 | Any referencesintheAgreementtoanylaw,by-law,rule,regulation, orderoractofanygovernment,governmentalbodyorotherregulatorybodyshall be construedas a reference theretoasamended or re-enacted fromtime to timeoras a reference to any successorthereto. |
| 3.13 | IfanyArticle,SectionoranyportionofanySection ofthisAgreementisdeterminedtobeunenforceable orinvalidfor anyreasonwhatsoeverthat unenforceability or invalidityshall notaffect the enforceability or validity oftheremainingportions of this Agreement and such unenforceable or invalid Article, Sectionor portionthereofshall beseveredfrom the remainderofthis Agreement. |
| 3.14 | In theeventofconflictbetweenoneoranyportionofanySectionofthese TermsandConditionsandofthetermsofanyprevious agreements, the provisions of these Terms and Conditionsshall prevail. |
| 3.15 | The partiesheretoagreethatthisAgreementmaybetransmittedbyfacsimileorsuchsimilardeviseandthereproductionofsignaturesby facsimileorsuchsimilardevice willbe treated asbindingas if original andeachpartyheretoundertakestoprovideeach and everyotherparty hereto withacopyof the Agreement bearing original signaturesforthwith upon demand. |
IN WITNESSWHEREOFthepartieshavedulyexecutedthisDistributionAgreement asofthedatefirstabovewritten.
| ME ResourceCorp. |
| |
| Per:/s/ N S Jagpal |
| Navachand Jagpal |
| |
| Well Power, Inc. |
| |
| Per:/s/ Dan Patience |
| Dan Patience |
