SUMMARY OF TERMS FOR THE ACQUISITION OF ASSETS OF LE FLAV SPIRITS, LLC FROM AMERIGO ENERGY, INC. THIS MEMORANDUM SUMMARIZES THE PRINCIPAL TERMS OF THE PROPOSED ACQUISITION OF ASSETS OF LE FLAV SPIRITS, LLC. THIS TERM SHEET IS FOR DISCUSSION PURPOSES ONLY; THERE IS NO OBLIGATION ON THE PART OF ANY NEGOTIATING PARTY UNTIL A DEFINITIVE PURCHASE AGREEMENT IS SIGNED BY ALL PARTIES. THIS TERM SHEET IS SUBJECT TO THE SATISFACTORY COMPLETION OF DUE DILIGENCE. THIS TERM SHEET DOES NOT CONSTITUTE EITHER AN OFFER TO SELL OR AN OFFER TO PURCHASE SECURITIES. Assets to be Acquired: Amerigo Energy, Inc.(The Company) to acquire all assets, trademarks, contracts, formulas, licenses, existing inventory and rights to the "Le FLAV{reg-trade-mark}" spirits brands. This is to include Le FLAV{reg-trade-mark} Brooklyn Iced Tea, Chateau Le FLAV{reg-trade-mark}, Le FLAV{reg-trade-mark} Cocktails, Le FLAV{reg-trade-mark} Cognacs, Le FLAV{reg-trade-mark} Super Premium Vodka and Flavored Vodkas and all flavors currently in production and contemplated. Total consideration: The consideration for the purchased assets shall be in the form of a promissory note, common shares of stock, and warrants allowing Le FLAV Spirits, LLC to purchase additional shares of stock in the future. The promissory note to bear interest at 8% annualized with principal payments equal to $1.00 per bottle sold, paid quarterly. Prepayment of $25,000 principal payment due 10 days after execution of the letter of intent. Option of the note holder to defer per bottle payments in lieu of receipt of shares. Board position: Le FLAV Spirits, LLC can nominate up to two (2) people for a Board position on the company. There is currently only one (1) person on the Board so Le FLAV Spirits, LLC will have majority of Board seats. Fundraising: Amerigo Energy, Inc. anticipates filing a form S-1 Registration Statement for the sale of three million (3,000,000) shares of stock at a price of $3.00 per share within ninety (90) days (subject to new Board approval). Proceeds to be used concurrent with the business plan Amerigo received from Le FLAV Spirits, LLC. Anticipated Symbol: Concurrent with the fundraising, the company will make best efforts to have the name changed to Le FLAV Spirits, LTD within thirty (30) days and stock symbol changed to a more suitable name relevant to the spirits brand. (FLAV if possible) Listing: The Company will complete best efforts to be listed on a National Exchange (i.e.Nasdaq) within twelve months; however, Le FLAV Spirits, LLC acknowledges no guarantees as it relates to the ability of the company to achieve the listing requirements or approval for listing. Indemnity: Le FLAV Spirits, LLC shall indemnify for any and all pre-closing Company obligations outside the ordinary course of business. Reps and Warranties: Amerigo Energy, Inc. and Le FLAV Spirits, LLC will provide customary representations and warranties for a transaction of this type. Anticipated Date	The parties anticipate the closing of the of Closing:		acquisition of the assets will occur on or before 14 days from execution of this letter of intent. Confidentiality: Le FLAV Spirts, LLC and Amerigo Energy, Inc. shall not disclose the terms of this summary of terms to any person or entity (other than officers or directors of the Company for the sole purpose of obtaining any required waivers or consents, or other than its attorney's, agents, employees and consultants). Le FLAV Spirits, LLC acknowledges the Purchaser is a publicly traded company and a copy of this letter of intent and subsequent purchase agreement will be filed with the Securities and Exchange Commission. Transaction Fees: The legal fees for the transaction shall be paid for by the Company on a post-closing basis. Any party who pays for such fees in advance of closing shall be reimbursed by the Company post closing. No Shop Agreement: Le FLAV Spirits, LLC agrees that for a period of 30 days from the date this summary of terms is executed by Le FLAV Spirits, LLC, neither it nor its agents will (i) solicit, initiate, encourage or assist the submission of any proposal, negotiation or offer from any person or entity other than Le FLAV Spirits, LLC relating to the sale of any of Le FLAV Spirits, LLC's assets of the Company or (ii) enter into any agreement to transfer any of Le FLAV Spirits, LLC's assets of the Company with anyone other than Amerigo Energy, Inc. Le FLAV Spirits, LLC shall promptly notify Amerigo Energy, Inc. in writing of the existence and details of any inquiry to purchase Le FLAV Spirits, LLC's assets by any third party during such 30 day period. Nonbinding Effect: Except for the provisions contained herein entitled "Confidentiality" and "No Shop Agreement," which are explicitly agreed by Amerigo Energy, Inc. and Le FLAV Spirits, LLC to be binding, this summary of terms is not intended to create any legally binding obligations on either party unless and until the parties enter into a definitive purchase agreement. Accepted and Agreed: PURCHASERS: AMERIGO, INC. BY: /s/ Jason Griffith --------------------------- TITLE: JASON GRIFFITH, CEO LE FLAV SPIRITS, LLC: BY: /s/ Anthony Capomaccio --------------------------------- NAME: ANTHONY CAPOMACCIO, MANAGER