STONINGTON CORPORATION New York, NY 10017 Fax (212) 490-0131 August 31, 2005Understanding and Agreement • September 8th, 2005 • Parallel Petroleum Corp • Crude petroleum & natural gas • New York
This letter sets forth the understanding and agreement (this “Agreement”) between Parallel Petroleum Corporation (“Parallel”) and Stonington Corporation (“Stonington”) regarding Parallel’s non-exclusive retention of Stonington to provide general corporate financial advisory services and to serve as a financial advisor in connection with certain types of financing transactions. Parallel Petroleum Corporation, collectively with its subsidiaries, is referred to herein as “Parallel”.
