Four Energies S-1 IPO registration

ASSET PURCHASEAGREEMENT

Between

XON Energy Resources, Inc., aTexascorporation “Buyer”

- and -

XON Resources USA, LLC, a Delaware limited liabilitycompany “Seller”

THISASSETPURCHASEAGREEMENT(Agreement)ismadeandenteredintoasofthe 21th day ofJuly,2015 between XON Energy Resources, Inc., aTexascorporation, (“Buyer”)and XON Resources USA, LLC, a Delaware limited liability company(“Seller”).

WHEREAS,SellerownsvariousassetsandrightsthatitiswillingtosellandtransfertoBuyer,including,specifically,Seller’srightsandobligationsunderthoseoilandgasleasesby and among Seller and Betty L. Wilbur dated July 29, 2014; Seller and Betty L. Wilbur datedJuly 29,2014;SellerandBettyL.WilburdatedJuly29,2014;andSellerandDonna WhiteMerkel datedOctober17,2014 (collectively,the“Leases”),andBuyerdesires topurchasethoseassets and rights, all on the terms and conditions set forth in this Agreement.

NOW,THEREFORE, the parties hereto, each in consideration of the payments andthe representations, warranties, covenants, and agreements of the other provided for orcontained herein, do hereby agree asfollows:

1.Closing: The closing date (the “Closing Date”) shall occur on such date asthe parties hereto shall mutually agree; provided, however, that the Closing Date shall not occurlater than July 24,2016

2.Transaction: Subject to the terms and conditions of this Agreement, onthe ClosingDate,theSellershallsell,transfer,convey,assignanddelivertoBuyer,andtheBuyer shall purchase, acquire, and accept from the Seller, all of its assets (the “TransferredAssets”)(the “Transaction”). Notwithstanding the foregoing, the Buyer shall not assume any liabilitiesor obligations of the Sellers and nothing herein shall be construed as imposing any liabilityor obligation upon theBuyer,including, but not limited to, those specifically providedherein:

a. All liabilities for trade accounts payable and loan and notespayable;

b. Any liability to Seller's customers incurred by Seller in theOrdinary Course of Business within one (1) year of the ClosingDate:

c. AnyliabilityarisingoutoforrelatingtoproductsorservicesofSellerto the extent manufactured or sold prior to the ClosingDate;

d. AnyliabilityarisingunderanycontractthatarisesaftertheClosingDate but that arises or relates to any breach of such contract prior toclosing;

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e. Anyliabilityfortaxesresultingfromtheoperationofthebusinessorthe sale of the business;and

f. Any environmental, health and safety liabilities arising out of or relatingto the operation of Seller's business or Seller's leasing, ownershipor operation of realproperty.

3.PurchasePrice:Inconsiderationforthesaledescribedinparagraphtwo(2) above,andassumingthatallconditionsprecedenthavebeensatisfied,ontheClosingDate, BuyershallpaytoSellersthepurchaseprice(“PurchasePrice”)ofeightmillion(8,000,000) sharesofitscommonstock. Atclosing,theBuyershalldelivertoSeller,oritsnominee,oneor morestockpower(s)evidencingthePurchasePrice(by wayoftheBuyer'slisting of Shareholders in its Company Legend of Registered Share issuances).

4.Conditions Precedent: Buyer’s obligation to pay the Purchase Price and totake such other actions as may be necessary to consummate the transaction contemplated hereunderis subjecttosatisfactionofeachofthefollowingconditionsprecedentonorbeforetheClosing Date:

a. Buyer shall be satisfied that Seller has the ability to transfer, sell andassign completeinteresttheTransferredAssetsfreeandclearofanycompeting claims or other encumbranceswhatsoever;

b. Buyer shall have applied for all licenses, permits or othergovernmental requirements necessary for operating the business, and having beengranted the same;and

Seller's obligation to make the sale, assignment, transfer and conveyance describedin Paragraph two (2) above and to take such other action as may be necessaryto consummate the Transaction contemplated hereunder is subject to satisfaction ofeach of the following conditions on or before the ClosingDate:

c. Buyer shall have available for delivery to Seller the full amount ofthe Purchase Price;and

d. Sellershallhavereceivedsuchevidenceasitmayreasonablyrequirethat Buyer has obtained all consents and approvals necessary to enable itto consummate theTransaction.

5. Indemnification.

a. Eachpartyheretoshallbearitsowncostsandexpenseswithrespecttothe negotiation and consummation of the Transaction; provided, however,that should either party fail to negotiate in good faith to effect theconsummation oftheTransaction,suchpartyshallfullyindemnifytheotherforallsuch costs andexpenses.

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b. Seller shall indemnify and hold harmless Buyer from and against any andall debts, claims, liabilities, damages and obligations (and related costsand expenses)arisingoutoforinanywayrelatedto:(i)anyact,omissionor misrepresentations of Seller; or (ii) the Transferred Assets prior tothe ClosingDate.

c. Buyer shall indemnify and hold harmless Seller from and against any andall debts, claims, liabilities, damages and obligations (and related costsand expenses)arisingoutoforinanywayrelatedto:(i)anyact,omissionor misrepresentation of Buyer or any of Buyer’s officers, employees oragents; or (ii) the Transferred Assets prior to the ClosingDate.

6.DueDiligence.SellersshallmakeavailabletoBuyeratreasonabletimesupon reasonablenoticesuchofitspersonnelandfiles,recordsandotherdocumentsasBuyershall reasonablerequireinordertoconfirmtherepresentationsthathavebeenmadebySellerswith respect to the Transferred Assets and the assumptions upon which Buyer has based itscalculation ofthePurchasePrice.Intheeventthatsuchduediligencerevealsanymaterialvariationfrom suchrepresentationsand assumptions,Buyermayelectto:(i)terminateitsparticipationinthe TransactionwithoutfurtherobligationtotheSellers;or(ii)propose anadjustedPurchasePrice and/or other modification to the Transaction that Sellers may accept or reject in itssole discretion.

7. Seller's Representations and Warranties. Seller represents and warrantsas follows:

a.Seller holds all licenses, permits, accreditations and authorizations requiredto conduct the business as now conducted and Seller properly maintains allassets,

b.All inventories of Seller consist of a quality and quantity usable and salablein the ordinary course ofbusiness;

c. Seller holds good and marketable title to the TransferredAssets;

d.Sellerhasnotfiledanyfederal,stateandlocaltaxreturnstobefiledandis notindebtedtoanytaxingauthorityforfailuretopayanylawfulamountsdue and owing thereon;and

e.Selleris,andatalltimeduringthepreviousfiveyears,hasbeeninfull compliancewithalllawsthatareorwereapplicabletohimortotheconductor operation of the Business or the ownership of any of its assets, nor hasSeller received notice from any regulatory authority that he is being investigated forany violation of thesame.

8. Buyer's Representations and Warranties. Buyer represents and warrantsas follows:

a.Buyeris adulyqualifiedtodobusinessandisingoodstandingunderall applicablelaws;

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b.This Agreement constitutes the legal, valid and binding obligation ofBuyer, under thisAgreement;

c. There are no pending proceedings that have been commenced againstBuyer

d. Neither Buyer nor any of its representatives have incurred any obligationor

e.No representation, warranty or other statements made by Buyer inthis Agreement or otherwise in connection with the transaction contemplatedherein contains any untrue statement or omits a statement or material fact necessaryto make any such representation, warranty or statement notmisleading.

9. Termination. This Agreement, by notice given prior to the Closing Date, may be terminatedwhere:

a. There exists a material breach of this Agreement by eitherparty;

b. Where either party fails to satisfy a condition of paragraphs seven (7) oreight

(8) herein;and

c. By mutual consent of theparties.

10.Confidentiality. Unless otherwise agreed to byBuyer,Seller shall makeno public announcement or other disclosure in any way relating to this Transaction to anyperson.

11.Entire Agreement: Modification. This Agreement supersedes all prioragreement betweenthepartieswithrespecttoitssubjectmatterandconstitutesacompleteandexhaustive statementofthetermsoftheagreementbetweenthepartieswithrespecttoitssubjectmatter. This Agreement may not be amended except by a written agreement executed by theparties.

12.Severability. If any provision of this Agreement is held invalid orunenforceable by and court of competent jurisdiction, the other provisions of this Agreement will remain infull force and effect.

13.Counterparts. This Agreement may be executed in one or morecounterparts, eachofwhichwillbedeemedtobeanoriginalcopyofthisAgreementandallofwhich,when taken together, will be deemed to constitute one and the sameagreement.

14.Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State ofTexas.

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Exhibit"A"

List of Xon Resources USA, LLCmembers converted to common shares to be issuedby Xon Energy Resources,Inc.

ShareholderList	Number ofShares
HuntleyAndrews	5,100,000
Nancy & ScottLittle	125,000
HoraceThomas	40,000
Gordon R.Flewelling	150,000
WellingtonCapital Management Inc.	638,000
JimMuir	12,000
RobertDodd	125,000
RichardCadoret	25,000
FrankCommisso	100,000
RogerBernard	12,500
JohnStavinoha	20,000
PatrickStavinoha	20,000
LesAndrews	25,000
BrianLevy	6,750
BryanMcLellan	20,000
KarlaPerrizo	80,000
CharlesStavinoha	25,000
EdwardMakkreel	15,000
SteveBowskill	105,000
BonnieFries	75,000
ThomasCalder	100,000
leonCaldwell	725,000
TylerCaldwell	50,000
ChaseCaldwell	50,000
StephenBelford,	30,000
Mark & RobinThiodeau	25,000
Dan & KristyFraleigh	6,250
RobinWhale	25,000
Bryce Eagleson	25,000
SophieStavinoha	20,000
SashaLutz	25,000

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Angela Hao	45,000
JeffSchuetz	12,000
SusanMcLellan	25,000
NancyKennedy	25,000
Annie LaLande	25,000
RyanCombden	20,000
JohnFelatead	10,000
TerryMoore	12,500
AlainLewand	10,000
Kurt C.Nichols	15,000
TOTALSHARES	8,000,000

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