OIL & GAS FARM-IN AGREEMENT Petroleum Exploration Licenses 112 and 444 Cooper/Eromanga Basin, South Australia, AustraliaIn Agreement • May 15th, 2012 • Holloman Energy Corp • Crude petroleum & natural gas • Alberta
Holloman Energy Corporation (“HEC”), a Nevada, USA corporation, having offices at 333 North Sam Houston Parkway East, Suite 600, Houston, Texas 77060, and its wholly owned Australian subsidiary Holloman Petroleum Pty. Ltd. (“Holloman”), an Australian Corporation ACN 126 728 498, having offices at Unit 8-9, 88 Forrest Street, Cottesloe, WA, 6011 Australia (HEC and Holloman are jointly hereafter referred to as “Holloman Corporations”), and
April 26, 2012 Australian-Canadian Oil Royalties Limited Ely Sakhai Post Office Box 1629 Cisco, Texas 76437 Re: Transaction Cost Sharing – Terra Nova Farm-Out Gentlemen:Holloman Energy Corp • May 15th, 2012 • Crude petroleum & natural gas
In connection with Sections 2.1 and 2.4(a) of the Farm-in Agreement among Holloman Energy Corporation (“Holloman”), Eli Sakhai (“Sakhai”), Australian-Canadian Oil Royalties Ltd. (“ACOR”), and Terra Nova Minerals Inc. (“Terra Nova”), dated April __, 2012, (the "Farm-in Agreement"), Terra Nova is obligated to pay Holloman an aggregate cash amount of $350,000 (the “Funds”). Although the Funds are unrestricted, Holloman intends to utilize these proceeds to offset transaction costs related to the pursuit, support and finalization of the Farm-In Agreement (“Transaction Costs”). Without limiting the foregoing, the Transaction Costs are expected to include legal fees, consulting fees, commissions, engineering costs and such other costs as may be incurred for these purposes.
