clerk's stamp: clerk of the cou rt filed sep 2 8 2017 ... · clerk of the cou rt filed sep 2 8...

COURT FILE NUMBER

COURT

JUDICIAL CENTRE

PLAINTIFF

DEFENDANT

DOCUMENT

1701-00920

COURT OF QUEEN'S BENCH OF ALBERTA

CALGARY

DUGAN PRODUCTION CORP.

GLENCOE RESOURCES LTD.

APPLICATION

Clerk's Stamp:

CLERK OF THE COU RT FILED

SEP 2 8 2017 JUDICIAL CENTRE r CALGARY

ADDRESS FOR SERVICE AND CONTACT INFORMATION OF PARTY FILING THIS DOCUMENT

Burnet, Duckworth & Palmer LLP 2400, 525 — 8 Avenue SW Calgary, Alberta T2P 1G1 Lawyer: Trevor Batty / Natasha Wood Phone Number: (403) 260-0100 Fax Number: (403) 260-0332 Email Address: tbatty(&,bdplaw.com /

nwood(-&,bdplaw.com File No. 63936-8

NOTICE TO RESPONDENT: See Service List attached as Schedule "A" to this Application

This application is made against you. You are a Respondent.

You have the right to state your side of the matter before a master/judge.

The application will be heard as shown below:

DATE

TIME

WHERE

BEFORE WHOM

October 2, 2017

4:00 p.m.

Calgary Courts Centre — 601 — 5 Street SW, Calgary, Alberta

The Honourable Madam Justice Campbell

Go to the end of this document to see what else you can do and when you must do it.

Remedy claimed or sought:

1. Hardie & Kelly Inc., in its capacity as the Court-appointed Receiver (the "Receiver") of the

current and future assets and undertakings (the "Property") of Glencoe Resources Ltd.

8562850.2

2

8562850.2

("Glencoe"), seeks Orders, substantially in the form attached hereto as Schedules "B" and "C"

respectively:

(a) Declaring that the within Application is properly returnable on Monday, October 2, 2017

and that service of this Application on the service list is validated and deemed good and

sufficient;

(b) Approving and authorizing the sale of certain of Glencoe's assets (the "Transaction") to

1516443 Alberta Ltd. ("151"or the "Purchaser") described in the Fourth Report of the

Receiver dated September 27, 2017 (the "Fourth Report") and as defined in the Asset

Purchase Agreement between the Receiver and 151, dated September 26, 2017, appended

to the Confidential Supplement to the Fourth Report (the "Confidential Supplement"),

(the "151 APA").

(c) Vesting in 151 all of Glencoe's right, title and interest in and to the purchased assets

specified in the 151 APA;

(d) Sealing the Confidential Supplement on the Court file; and

(e) Such further and other relief as counsel may seek and this Honourable Court deems just.

Grounds for making this application:

The Approval and Vesting Orders

2. On January 23, 2017, Dugan Production Corp. ("Dugan"), sought and obtained a Receivership

Order appointing the Receiver as receiver of all of the Property. That Receivership Order was

subsequently amended by an Order of the Court in these proceedings dated April 19, 2017 (as

amended, the "Receivership Order").

3. The Receivership Order expressly authorizes the Receiver to market and sell Glencoe's Property

and to seek an Approval and Vesting Order from the Court in connection therewith.

4. On April 19, 2017, the Receiver also obtained Court approval of an extensive sales and

solicitation process ("Sales Process") to market for sale all of Glencoe's Property. In addition,

the Receiver obtained Court approval of the engagement of CB Securities Inc. (the "Sales

Advisor") with respect to carrying out the Sales Process.

3

8562850.2

5. As further described in the Fourth Report, the Receiver and the Sales Advisor have diligently

carried out the Sales Process, in a manner that has generated the highest possible offers for the

Property in order to maximize the value of the estate.

6. At the conclusion of the Sales Process, there were no en bloc offers for the Property so the

Receiver has negotiated deals for various packages of Glencoe's assets with the interested parties.

7. The Purchaser has committed to purchasing the specified assets set out in the 151 APA for a

confidential amount of consideration.

8. The Receiver has conducted a thorough review of the Property and has concluded that the

Purchaser's offer should be accepted for the following reasons:

(a) The consideration for the purchased assets maximizes the realization for the purchased

assets;

(b) Dugan, who is the primary secured lender, supports the Transaction and is the party with

the primary economic interest in the receivership proceedings; and

(c) the numerous qualitative advantages of the Transaction as compared to the other less

favourable sale options for the purchased assets (as detailed in the Confidential

Supplement).

9. The Receiver believes that any further sales processes will not result in achieving greater value

for the purchased assets and will only result in increasing the costs of the administration of

Glencoe's estate to the detriment of Glencoe's creditors.

For the foregoing reasons, the Receiver is satisfied that the Transaction set out in the 151APA is in the

best interests of Glencoe's stakeholders.

4

8562850.2

Sealing Order

10. The Confidential Supplement contains and discusses matters of a highly sensitive commercial

nature, and their publication before the pending Approval and Vesting Order could result in

serious commercial damage to Glencoe and the Purchaser and could prejudice any future sales

process, in the event that one or both of the Transactions do not close, to the detriment of

Glencoe's stakeholders.

11. The Sealing Order is the least restrictive and prejudicial alternative to prevent the dissemination

of commercially sensitive information about the Transactions, the Purchasers, the Assets and the

respective stakeholders.

12. It is fair and just in the circumstances to restrict public access to the Confidential Supplement.

Material or evidence to be relied on:

13. Fourth Report of the Receiver, dated September 27, 2017;

14. Confidential Supplement to the Fourth Report of the Receiver, dated September 27, 2017;

15. The following authorities:

(a) Royal Bank of Canada v Soundair Corp (1991), 4 OR (3d) 1 (Ont CA) at para 16; and

(b) Sierra Club of Canada v. Canada (Minister of Finance), [2002] 2 SCR 522 at paras. 53-

57.

16. The pleadings filed in this Action; and

17. Such further and other materials as this Honourable Court may permit.

Applicable Rules:

18. Alberta Rules of Court.

Applicable Acts and Regulations:

19. Bankruptcy and Insolvency Act, R.S.C. 1985, c. B-3 (as amended);

5

8562850.2

How the application is proposed to be heard or considered:

20. This application is proposed to be heard in person in Commercial Chambers.

WARNING

If you do not come to Court either in person or by your lawyer, the Court may give the Applicant

what they want in your absence. You will be bound by any order that the Court makes. If you want

to take part in this application, you or your lawyer must attend in Court on the date and at the time

shown at the beginning of the form. If you intend to rely on an affidavit or other evidence when the

application is heard or considered, you must reply by giving reasonable notice of the material to the

Applicant.

8562850.2

Schedule "A"

Service List

See attached.

8105908.8

Court of Queen's Bench Action No. 1701-00920 Dugan Production Corp. v. Glencoe Resources Ltd.

SERVICE LIST (as at September 27, 2017)

Parties Telephone/

Facsimile Email Counsel for

Burnet, Duckworth & Palmer LLP

2400, 525 - 8 Avenue SW

Calgary, Alberta T2P 1G1

Attention: Trevor Batty

Natasha (Tasha) Wood

Charla Smith (H&K)

Marc Kelly (H&K)

ph: (403) 260-0263

fx: (403) 260-0332

[email protected]

[email protected]

[email protected]

[email protected]

Hardie &

Kelly Inc.

MLT Aikins LLP

1600, 520 - 3 Avenue SW

Calgary, Alberta T2P 0R3

Attention: Dean A. Hutchison

ph: (403) 693-4305 dhutchison

@mltaikins.com

Dugan

Production Corp.

Registered Office of

Glencoe Resources Ltd.

c/o Borden Ladner Gervais LLP

1900, 520 – 3 Avenue SW


fx: (403) 266-1395

Borden Ladner Gervais LLP, as

Trustee

1900, 520 – 3 Avenue SW

Calgary, Alberta T2P 0R2 fx: (403) 266-1395

Bennett Jones LLP

4500, 855 – 2 Street SW

Calgary, Alberta T2P 4K7

Attention: Chris Simard

ph: (403) 298-4485 simardc

@bennettjones.com

Redfern & Grover

(Rosson Grover)

and

Rosalind Redfern

Gover

Caron & Partners LLP

21st Floor, 700 – 2 Street SW

Calgary, Alberta T2P 2W1

Attention: R.J. Daniel Gilborn

ph: (403) 260 1575 dgilborn

@caronpartners.com

369634

Alberta Ltd.

and

The Ronald Hal

Laurentian

Charitable Fund

Enerflex Ltd.

and Enerflex Ltd. (Rentals)

904, 1331 Macleod Trail SE

Calgary, Alberta T2G 0K3

Attention: Stefan Ali

[email protected]

2

8105908.8

Parties Telephone/


HSBC Bank Canada

10th

Floor, 407 – 8 Avenue SW

Calgary, Alberta T2P 1E5

Attention: John Landry

ph: (403) 693-8622 [email protected]

McCarthy Tétrault LLP

4000, 421 - 7 Avenue SW

Calgary, Alberta T2P 4K9

Attention: Walker MacLeod

Rick Pawluk

Lorne O'Reilly (Dow)

ph: (403) 260-3710

fx: (403) 260-3501

[email protected]

[email protected]

[email protected]

Dow Chemical

Canada Inc.

McMillan LLP

1900, 736 – 6 Avenue SW

Calgary, Alberta T2P 3T7

Attention: Adam C. Maerov

ph: (403) 215-2752 adam.maerov

@mcmillan.ca

Royal Bank of

Canada

PrairieSky Royalty Ltd.

1700, 350 - 7 Avenue SW

Calgary, Alberta T2P 3N9

Attention: Jennifer Martin,

Compliance Land Negotiator

ph: (587) 293-4062 jennifer.martin

@prairiesky.com

Redeagle Resources Ltd.

59 Cranleigh Manor SE

Calgary, Alberta T3M 1J3

Attention: Rodger Holt

ph: (403) 271-8450

fx: (403) 278-2635 [email protected]

Cargill Limited

300 - 240 Graham Avenue

P.O. Box 5900

Winnipeg, Manitoba R3C 4C5

Attention: Philip P. Pauls

ph: (204) 947-6122

fx: (204) 947-6134

philip_pauls

@cargill.com

Velvet Energy Ltd.

1500, 308 – 4 Avenue SW

Calgary, Alberta T2P 0H7

Attention: Lynn Gregory, P. Land

ph: (403) 781-9105

fx: (403) 781-9100

lgregory

@velvetenergy.net

Gatespar Holdings Ltd. 1818 Simcoe Blvd SW, Suite 1121

Calgary, Alberta T3H 3L9

Attention: Colleen Murphy

ph: (403) 869-5385 gatesparholding

@gmail.com

3

8105908.8

Parties Telephone/


Alberta Energy Regulator

Calgary Head Office

1000, 250 – 5 Street SW


Attention: Patricia Johnson

Keely Cameron

Laura Chant

Marvin Koochin

ph: (403) 297-4439

fx: (403) 297-2147

[email protected]

[email protected]

[email protected]

[email protected]

Alberta Justice & Solicitor General

Energy Legal Services

9th

Floor, 9945 - 108 Street

Edmonton, Alberta T5K 2G6

Attention: Piyush (Peter) Mittal

ph: (780) 427-1848


Alberta

Department of

Energy

DLA Piper LLP 1000, 250 – 2 Street SW

Calgary, Alberta T2P 0C1

Attention: Karen Fellowes

ph: (403) 698-8787

fx: (403) 213-4481

karen.fellowes

@dlapiper.com

Natural Gas

Exchange

Gear Energy 2600, 240 – 4 Avenue SW

Calgary, Alberta T2P 4H4

Attention: David Hwang

ph: (403) 538-8437 dhwang

@gearenergy.com

Strashok Law 300, 714 – 1 Street SE

Calgary, Alberta T2G 2G8

Attention: P. Dean Strashok

ph: (403) 264-2345


Strong Energy

Resources Ltd.

Robert L. Bayless, Producer LLC

621 - 17 Street, Suite 2300

Denver, Colorado 80293

Attention: Lee Joslyn

ph: (303) 296-9900

fx: (303) 296-0753

ljoslyn

@bayless-cos.com

Pulse Seismic

2700, 421 - 7 Avenue SW

Calgary, Alberta TIP 4K9

Attention: Trevor Meier

ph: (403) 237-5559

fx: (403) 531-9141

trevor.meier

@pulseseismic.com

Field Law

400, 444 - 7 Avenue SW

Calgary, Alberta T2P 0X8

Attention: Douglas Nishimura

Bradley McFadden

Marc Fonteyne (Bonavista)

ph: (403) 260-8548

fx: (403) 264-7084

[email protected]

[email protected]

marc.fonteyne

@bonavistaenergy.com

Bonavista Energy

Corporation,

Purchaser

4

8105908.8

Parties Telephone/


LWF Legal Services

41 Aspen Ridge Way SW

Calgary, AB, T3H 5M2

Attention: Larry Fedchun

Jack Lee (1516443)

[email protected]

[email protected]

1516443

Alberta Inc.,

Purchaser

8562850.2

Schedule "B"

Form of Approval and Vesting Order

See attached.

8554430.1

Clerk's Stamp:

COURT FILE NUMBER 1701-00920

COURT COURT OF QUEEN'S BENCH OF ALBERTA

JUDICIAL CENTRE CALGARY

PLAINTIFF DUGAN PRODUCTION CORP.

DEFENDANT GLENCOE RESOURCES LTD.

DOCUMENT APPROVAL AND VESTING ORDER

ADDRESS FOR SERVICE AND

CONTACT INFORMATION OF

PARTY FILING THIS DOCUMENT


2400, 525 – 8 Avenue SW


Lawyer: Trevor Batty / Natasha Wood

Phone Number: (403) 260-0263 / (403) 260-0159

Fax Number: (403) 260-0332

Email Address: [email protected] /

[email protected]

File No. 63936-8

DATE ON WHICH ORDER WAS

PRONOUNCED: October 2, 2017

LOCATION WHERE ORDER WAS

PRONOUNCED: Calgary Courts Centre, 601 – 5 Street SW, Calgary, Alberta

NAME OF JUSTICE WHO MADE

THIS ORDER: The Honourable Madam Justice Campbell

UPON THE APPLICATION by Hardie & Kelly Inc. in its capacity as the Court-appointed receiver

and manager (the "Receiver") of the undertaking, property and assets of Glencoe Resources Ltd. (the

"Debtor") for an order approving the sale transaction (the "Transaction") contemplated by an agreement of

purchase and sale (the "Sale Agreement") between the Receiver and 1516443 Alberta Ltd. (the "Purchaser")

dated September 26, 2017, as amended from time to time and appended to the Confidential Supplement to the

Fourth Report of the Receiver dated September 27, 2017 (the "Report") , and vesting in the Purchaser (or its

nominee) the Debtor's right, title and interest in and to the assets described in the Sale Agreement (the

"Purchased Assets");

mailto:[email protected]


2

8554430.1

AND UPON HAVING READ the Receivership Order dated January 23, 2017 (the "Receivership

Order"), the Report and the Affidavit of Service, filed;

AND UPON HEARING the submissions of counsel for the Receiver, and any other counsel present;

IT IS HEREBY ORDERED AND DECLARED THAT:

SERVICE

[1] Service of notice of this application and supporting materials is hereby declared to be good and

sufficient, and no other person is required to have been served with notice of this application, and

time for service of this application is abridged to that actually given.

APPROVAL OF TRANSACTIONS

[2] The Transaction is hereby approved, and the execution of the Sale Agreement by the Receiver is

hereby authorized and approved, with such minor amendments as the Receiver may deem necessary.

The Receiver is hereby authorized and directed to take such additional steps and execute such

additional documents as may be necessary or desirable for the completion of the Transaction or for

the conveyance of the Purchased Assets to the Purchaser (or its nominee).

VESTING OF PROPERTY

[3] Upon the delivery of a Receiver's certificate to the Purchaser (or its nominee) substantially in the

form set out in Schedule "A" hereto (the "Receiver's Certificate"), and to the permitted

encumbrances caveats, easements and restrictive covenants listed on Schedule "B" (the "Permitted

Encumbrances"), all of the Debtor's right, title and interest in and to the Purchased Assets described

in the Sale Agreement and listed on Schedule "C" hereto shall vest absolutely in the name of the

Purchaser (or its nominee), free and clear of and from any and all security interests (whether

contractual, statutory, or otherwise), hypothecs, caveats, mortgages, trusts or deemed trusts (whether

contractual, statutory, or otherwise), liens, executions, levies, charges, or other financial or monetary

claims, whether or not they have attached or been perfected, registered or filed and whether secured,

unsecured or otherwise (collectively, the "Claims") including, without limiting the generality of the

foregoing:

(a) any encumbrances or charges created by the Receivership Order;

3

8554430.1

(b) all charges, security interests or claims evidenced by registrations pursuant to (i) the

Personal Property Security Act (Alberta); (ii) the Land Titles Act (Alberta) (the "LTA") , the

Mines and Minerals Act (Alberta) (the "MMA") and the Builders' Lien Act (Alberta); or, (iii)

any other personal or real property registry system;

(c) any arrears owing by the Debtor prior to the date of the Receivership Order with respect to

surface leases, gross-overriding royalties, freehold or Crown royalties;

(d) all other claims other than the Permitted Encumbrances;

all of which are collectively referred to as the "Encumbrances"). For greater certainty, this Court

orders that all of the Encumbrances affecting or relating to the Purchased Assets are hereby expunged

and discharged as against the Purchased Assets.

[4] Upon delivery of the Receiver's Certificate, and upon filing a certified copy of this Order, together

with any applicable registrations fees, the Registrar or Registrars under the Land Titles Act (Alberta),

the Department of Energy and the Minister of Energy of Alberta and all other government ministries

and authorities in Alberta, respectively, exercising jurisdiction with respect to or over the Purchased

Assets (collectively, "Governmental Authorities"), as applicable, are hereby authorized, requested,

and directed to (in each case, as applicable):

(a) enter the Purchaser as the owner, lessee, and/or licensee of the Purchased Assets;

(b) cancel the existing Certificate of Title to the Purchased Assets and issue new Certificates of

Title for the Purchased Assets, in the name of the Purchaser;

(c) delete and expunge from the existing title documents concerning the Purchased Assets all

applicable Claims other than Permitted Encumbrances; and

(d) register such transfers, discharges, discharge statements, or conveyances, as may be required

to convey clear title to the Purchased Assets to the Purchaser, subject only to the Permitted

Encumbrances.

[5] Presentment of this Order and the Receiver's Certificate shall be the sole and sufficient authority for

the Governmental Authorities to effect the registration of transfers, discharges, discharge statements

or conveyances as may be required to convey clear title to the Purchased Assets to the Purchaser.

[6] This Order shall be registered and the steps set out in paragraph 4 of this Order shall be carried out by

the applicable Registrar and/or Governmental Authorities notwithstanding the requirements of the

applicable federal and/or provincial legislation, including the LTA and MMA, and notwithstanding

that the appeal period in respect of this Order has not elapsed, which appeal period is expressly

waived.

4

8554430.1

[7] For the purposes of determining the nature and priority of Claims, the net proceeds from the sale of

the Purchased Assets (to be held in an interest bearing trust account by the Receiver) shall stand in

the place and stead of the Purchased Assets, and from and after the delivery of the Receiver's

Certificate all Claims and Encumbrances shall attach to the net proceeds from the sale of the

Purchased Assets with the same priority as they had with respect to the Purchased Assets

immediately prior to the sale, as if the Purchased Assets had not been sold and remained in the

possession or control of the person having that possession or control immediately prior to the sale.

[8] The Purchaser (and its nominee, if any) shall, by virtue of the completion of the Transaction, have no

liability of any kind whatsoever in respect of any Claims against the Debtor.

[9] The Debtor and all persons who claim by, through or under the Debtor in respect of the Purchased

Assets, save and except for the persons entitled to the benefit of the Permitted Encumbrances, shall

stand absolutely barred and foreclosed from all estate, right, title, interest, royalty, rental and equity

of redemption of the Purchased Assets and, to the extent that any such persons remains in possession

or control of any of the Purchased Assets, they shall forthwith deliver possession thereof to the

Purchaser (or its nominee).

[10] The Purchaser (or its nominee) shall be entitled to enter into and upon, hold and enjoy the Purchased

Assets for its own use and benefit without any interference of or by the Debtor, or any person

claiming by or through or against the Debtor.

[11] Immediately after the closing of the Transaction, the holders of the Permitted Encumbrances shall

have no claim whatsoever against the Receiver or the Debtor.

[12] The Receiver is to file with the Court a copy of the Receiver's Certificate, forthwith after delivery

thereof to the Purchaser (or its nominee).

[13] Pursuant to clause 7(3)(c) of the Canada Personal Information Protection and Electronic Documents

Act and section 20(e) of the Alberta Personal Information Protection Act, the Receiver is authorized

and permitted to disclose and transfer to the Purchaser all human resources and payroll information in

the Debtor's records pertaining to the Debtor's past and current employees, including personal

information of those employees listed in the Sale Agreement. The Purchaser (or its nominee) shall

maintain and protect the privacy of such information and shall be entitled to use the personal

information provided to it in a manner which is in all material respects identical to the prior use of

such information by the Debtor.

5

8554430.1

[14] Notwithstanding:

(a) the pendency of these proceedings;

(b) any applications for a bankruptcy order now or hereafter issued pursuant to the Bankruptcy

and Insolvency Act (Canada) in respect of the Debtor and any bankruptcy order issued

pursuant to any such applications; and

(c) any assignment in bankruptcy made in respect of the Debtor

the vesting of the Purchased Assets in the Purchaser (or its nominee) pursuant to this Order shall be

binding on any trustee in bankruptcy that may be appointed in respect of the Debtor and shall not be

void or voidable by creditors of the Debtor, nor shall it constitute nor be deemed to be a settlement,

fraudulent preference, assignment, fraudulent conveyance, transfer at undervalue, or other reviewable

transaction under the Bankruptcy and Insolvency Act (Canada) or any other applicable federal or

provincial legislation, nor shall it constitute oppressive or unfairly prejudicial conduct pursuant to any

applicable federal or provincial legislation.

[15] The Receiver, the Purchaser (or its nominee) and any other interested party, shall be at liberty to

apply for further advice, assistance and directions as may be necessary in order to give full force and

effect to the terms of this Order and to assist and aid the parties in closing the Transaction.

MISCELLANEOUS MATTERS

[16] This Court hereby requests the aid and recognition of any court, tribunal, regulatory or administrative

body having jurisdiction in Canada or in the United States to give effect to this Order and to assist the

Receiver and its agents in carrying out the terms of this Order. All courts, tribunals regulatory and

administrative bodies are hereby respectfully requested to make such orders as to provide such

assistance to the Receiver, as an officer of this Court, as may be necessary or desirable to give effect

to this Order or to assist the Receiver and its agents in carrying out the terms of this Order.

[17] This Order must be served only upon those interested parties attending or represented at the within

application and service may be effected by facsimile, electronic mail, personal delivery or courier.

Service is deemed to be effected the next business day following the transmission or delivery of such

documents.

[18] Service of this Order on any party not attending this application is hereby dispensed with.

_______________________________________________

J.C. C.Q.B.A.

6

8554430.1

Schedule "A"

Form of Receiver's Certificate

Clerk's Stamp:






DOCUMENT RECEIVER'S CERTIFICATE



PARTY FILING THIS

DOCUMENT


2400, 525 – 8 Avenue SW



Phone Number: (403) 260-0263 / (403) 260-0159

Fax Number: (403) 260-0332

Email Address: [email protected] / [email protected]

File No. 63936-8

RECITALS

A. Pursuant to an Order of the Honourable Justice D.B. Nixon of the Court of Queen's Bench of

Alberta, Judicial District of Calgary (the "Court") dated January 23, 2017, Hardie & Kelly Inc. was

appointed as the receiver (the "Receiver") of the undertaking, property and assets of Glencoe

Resources Ltd. (the "Debtor").

B. Pursuant to an Order of the Court dated October 2, 2017 the Court approved the agreement of

purchase and sale made as of September 26, 2017 as amended from time to time (the "Sale

Agreement") between the Receiver and 1516443 Alberta Ltd. (the "Purchaser") and provided for

the vesting in the Purchaser of the Debtor's right, title and interest in and to the Purchased Assets,

which vesting is to be effective with respect to the Purchased Assets upon the delivery by the

Receiver to the Purchaser of a certificate confirming (i) the payment by the Purchaser of the Purchase

Price for the Purchased Assets; (ii) that the conditions to Closing as set out in Article 3 of the Sale



7

8554430.1

Agreement have been satisfied or waived by the Receiver and the Purchaser; and (iii) the Transaction

has been completed to the satisfaction of the Receiver.

C. Unless otherwise indicated herein, terms with initial capitals have the meanings set out in the Sale

Agreement.

THE RECEIVER CERTIFIES the following:

1. The Purchaser (or its nominee) has paid and the Receiver has received the Purchase Price for the

Purchased Assets payable on the Closing Date pursuant to the Sale Agreement;

2. The conditions to Closing as set out in Article 3 of the Sale Agreement have been satisfied or

waived by the Receiver and the Purchaser (or its nominee); and

3. The Transaction has been completed to the satisfaction of the Receiver.

4. This Certificate was delivered by the Receiver at [Time] on [Date].

Hardie & Kelly Inc., in its capacity as

Receiver of the undertaking, property

and assets of Glencoe Resources Ltd.

and not in its personal capacity.

Per:______________________________

Name:

Title:

8

8554430.1

Schedule "B"

Permitted Encumbrances

"Permitted Encumbrances" means:

(i) liens for taxes, assessments and governmental charges that are not due and payable or

delinquent;

(ii) liens incurred or created in the ordinary course of business as security in favour of a Person

that is conducting the development or operation of the property to which such liens relate

and that are not due and payable or delinquent;

(iii) mechanics', builders', materialmen's or other similar liens in respect of services rendered or

goods supplied for which payment is not yet due and payable or delinquent;

(iv) easements, rights of way, servitudes and other similar rights in land, including rights of way

and servitudes for highways and other roads, railways, sewers, drains, gas and oil pipelines,

gas and water mains, electric light, power, telephone, telegraph and cable television conduits,

poles, wires and cables;

(v) the right reserved to or vested in any municipality or Governmental Authority by the terms

of any lease, licence, franchise, grant or permit or by any provision of Applicable Law, to

terminate any such lease, licence, franchise, grant or permit or to require annual or other

periodic payments as a condition of the continuance thereof;

(vi) rights of general application reserved to or vested in any Governmental Authority to levy

taxes on Petroleum Substances or any of them or the income therefrom, or to control, limit or

regulate production rates or the operation or use of any property;

(vii) statutory exceptions to title and the reservations, limitations, provisos and conditions in any

original grants from the Crown of any mines and minerals;

(viii) the terms and conditions of the Title and Operating Documents;

(ix) contracts for the purchase, processing, transportation or storage of Petroleum Substances or

for the contract operation of any of the Assets;

(x) any ROFR or any other similar restriction arising under or pursuant to any of the Title and

Operating Documents; and

(xi) all Encumbrances, obligations, duties, terms and conditions identified or set forth in a

Schedule or specifically consented to or approved in writing by Purchaser prior to the date of

this Agreement or deemed approved or accepted by Purchaser in accordance with any

provision of this Agreement.

9

8554430.1

Without limiting the generality of the foregoing, the Permitted Encumbrances specifically include the

following:

Identified Rights of First Refusal

File

No.

Sub Contract

Date

Contract Type Land Description Rights

C-

045-

0038

A 12/14/2004 POOL &

PARTICIPATION

AGMT

TWP 42 RGE 28 W4M

SEC 27

PNG TO BASE MANNVILLE

EXCL COAL & CBM

EXCLUDING PRODUCTION

FROM THE 102/13-27-42-

28W4M WELL

C-

048-

0219

C 9/9/1999 PARTICIPATION -

JOINT VENTURE

TWP 43 RGE 26 W4M

SEC 27

ALL PNG EXCL PNG IN

VIKING

C-

049-

0006

A 7/28/2003 JOINT

OPERATING

AGREEMENT

TWP 43 RGE 27 W4M

SW SEC 17

ALL PNG

(NOTE** NG TO TOP LEA

PARK WAS POOLED SEE

NON-X-CONVEYED

POOLING FEB 14/90 C-049-

0001 RELATED TO 12-17

WELL)

(NOTE** NG BELOW BASE

BELLY RIVER TO BASE

BANFF POOLED SEE NON-X-

CONVEYED POOLING,

FARMOUT, PARTICIPATION

DEC 19/03 C-049-0007

RELATED TO 8-17 WELL)

10

8554430.1

Schedule "C"

Purchased Assets

Lands and Petroleum and Natural Gas Rights

File No. Sub Lessor

Type

Lease Date Land Description Rights Glencoe

WI %

M-045-

0010

AA FH 9/27/1985 TWP 42 RGE 28 W4M PTN

(LSD'S 13, 14) NW SEC 17

(7.08 HA)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0010

BA FH 9/27/1985 TWP 42 RGE 28 W4M (LSD'S

15, 16) NE SEC 17

(32.4 HA)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0011

AA FH 9/27/1985 TWP 42 RGE 28 W4M PTN

(LSD'S 11, 12) NW SEC 17

(7.08 HA)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0011

BA FH 9/27/1985 TWP 42 RGE 28 W4M (LSD'S

9, 10) NE SEC 17

(32.4 HA)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0026

B FH 10/31/1993 TWP 42 RGE 28 W4M SW SEC

17 (14.6 HA)

TWP 42 RGE 28 W4M SE SEC

17 (64.7 HA)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0036

C FH 4/1/2000 TWP 42 RGE 28 W4M NE SEC

27

PNG IN

DUVERNAY

EXCL LEDUC

REEF & EXCL

COAL

90

M-045-

0039

C FH 1/6/1995 TWP 42 RGE 1 W5M SE SEC

13

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0051

B FH 4/4/2001 TWP 42 RGE 28 W4M SW SEC

13

PNG IN

DUVERNAY

EXCL LEDUC

REEF & EXCL

COAL

90

M-045-

0058

C FH 4/30/2002 TWP 42 RGE 28 W4M SW SEC

23

(UNDIVIDED 1/3 INTEREST)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0059

C FH 4/30/2002 TWP 42 RGE 28 W4M SW SEC

23


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0060

D FH 4/26/2002 TWP 42 RGE 28 W4M NW

SEC 23


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

11

8554430.1

File No. Sub Lessor

Type


WI %

M-045-

0061

E FH 5/3/2002 TWP 42 RGE 28 W4M NW

SEC 23


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0062

E FH 6/5/2002 TWP 42 RGE 28 W4M NW

SEC 23


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0063

E FH 4/26/2002 TWP 42 RGE 28 W4M NW

SEC 23


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0064

E FH 5/26/2002 TWP 42 RGE 28 W4M NW

SEC 23


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0065

E FH 4/26/2002 TWP 42 RGE 28 W4M NW

SEC 23


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0066

D FH 8/19/2002 TWP 42 RGE 28 W4M SW SEC

23


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-045-

0082

C FH 3/2/2002 TWP 42 RGE 28 W4M (LSDS

5, 6) SW SEC 27


PNG IN

DUVERNAY

EXCL LEDUC

REEF

22.5

M-048-

0119

H FH 5/28/1984 TWP 42 RGE 25 W4M NE SEC

7

PNG IN

DUVERNAY

EXCL LEDUC

REEF

56.25

M-048-

0125

G FH 5/14/1979 TWP 42 RGE 25 W4M (LSD

12, 13) NW SEC 7

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0126

AD FH 5/15/1979 TWP 42 RGE 26 W4M (PTN)

SE SEC 26

(15.2 HA OR 37.6 AC)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

62.9595

M-048-

0126

BD FH 5/15/1979 TWP 42 RGE 26 W4M NE SEC

26

(76.5 HA OR 189.5 AC)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0127

CD FH 5/15/1979 TWP 42 RGE 26 W4M (PTN)

SW SEC 26

(12.5 HA OR 31 ACRES)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

62.7890

6

M-048-

0127

DC FH 5/15/1979 TWP 42 RGE 26 W4M N SEC

27

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048- AD FH 5/15/1979 TWP 42 RGE 26 W4M NW PNG IN 90

12

8554430.1

File No. Sub Lessor

Type


WI %

0127 SEC 26

(64.7 HA OR 160 ACRES)

DUVERNAY

EXCL LEDUC

REEF

M-048-

0128

CD FH 5/15/1979 TWP 42 RGE 26 W4M (PTN)

NE SEC 34

(72 HA EXCL PTN COVERED

BY WATERS OF BATTLE

RIVER)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

72

M-048-

0128

BC FH 5/15/1979 TWP 42 RGE 26 W4M SE SEC

34

(61.1 HA)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

72

M-048-

0129

D FH 9/24/1981 TWP 43 RGE 26 W4M (PTN)

NE SEC 2

(EXCL 2 AC OR 0.809 HA

STRIP PARALLEL TO THE

SHARPHEAD INDIAN

RESERVE)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0130

BD FH 7/18/1983 TWP 42 RGE 26 W4M (PTN)

SE SEC 26

(PTN METHODIST MISSION -

151.6 AC OR 61.30 HA->

CONFIRMING WITH

LAWYER)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

62.9595

M-048-

0130

AB FH 7/18/1983 TWP 42 RGE 26 W4M (PTN)

SW SEC 26


52.2 HA OR 129 ACRES->

CONFIRMING WITH

LAWYERS)

PNG BELOW

BASE BELLY

RIVER EXCL

FROM TOP

FOREMOST TO

TOP BASAL

BELLY RIVER

62.7890

6

M-048-

0130

AD FH 7/18/1983 TWP 42 RGE 26 W4M (PTN)

SW SEC 26


52.2 HA OR 129 ACRES->

CONFIRMING WITH

LAWYERS)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

62.7890

6

M-048-

0131

D FH 9/12/1983 TWP 43 RGE 26 W4M (PTN)

NW SEC 2

(EXCL 2 AC OR .809 HA OF

SHARPHEAD INDIAN

RESERVE)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0132

D FH 9/28/1983 TWP 43 RGE 26 W4M SE SEC

2

(UNDIVIDED 83/100

INTEREST)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048- H FH 11/10/1983 TWP 42 RGE 25 W4M (LSD'S PNG IN 90

13

8554430.1

File No. Sub Lessor

Type


WI %

0137 11, 14) NW SEC 7 DUVERNAY

EXCL LEDUC

REEF

M-048-

0160

DA FH 3/25/1983 TWP 42 RGE 26 W4M (PTN) N

SEC 13

(51.6 HA IN NW/4 EXCL 1.19

HA IN RAILWAY R.O.W; 64.7

HA IN NE/4 EXCL 2.2 HA IN

RAILWAY R.O.W.)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

36

M-048-

0183

D FH 4/13/1983 TWP 43 RGE 26 W4M SE SEC

2

(UNDIVIDED 17/100

INTEREST)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0187

F FH 6/13/1984 TWP 43 RGE 25 W4M (PTN)

SW SEC 7

(58.5 HA, PTN NOT

COVERED BY WATERS OF

LAKE)

TWP 43 RGE 25 W4M (PTN)

NW SEC 7

(63.1 HA, PTN NOT

COVERED BY WATERS OF

LAKE)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

6.75

M-048-

0239

H FH 7/29/1998 TWP 42 RGE 25 W4M (LSD'S

4, 5) SW SEC 7


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0240

H FH 8/7/1998 TWP 42 RGE 25 W4M (LSD'S

4, 5) SW SEC 7


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0325

F FH 8/18/2000 TWP 42 RGE 25 W4M (LSD'S

3, 6) SW SEC 7

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0367

E FH 12/8/2004 TWP 42 RGE 25 W4M NE SEC

8

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0368

E FH 12/8/2004 TWP 42 RGE 25 W4M (PTN)

NW SEC 8

(EXCL 1.21 HA)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0372

E FH 1/18/2005 TWP 42 RGE 25 W4M (PTN)

NW SEC 8

(1.21 HA PORTION ONLY)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048- E FH 12/10/2004 TWP 42 RGE 25 W4M SE SEC PNG IN 90

14

8554430.1

File No. Sub Lessor

Type


WI %

0373 8


DUVERNAY

EXCL LEDUC

REEF

M-048-

0374

E FH 1/7/2005 TWP 42 RGE 25 W4M SE SEC

8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0375


8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0376


8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0377


8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0378


8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0379

E 1/18/2005 TWP 42 RGE 25 W4M SE SEC

8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0417

E 5/25/2004 TWP 42 RGE 26 W4M NE SEC

23

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0418

C 12/22/2003 TWP 43 RGE 26 W4M SE SEC

23 (158 AC)


(PTN LIES TO E OF THE E

LIMIT OF ROAD

ALLOWANCE DIVIDING

THE SHARPHEAD INDIAN

RESERVE)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

36

M-048-

0419

C 3/11/2004 TWP 43 RGE 26 W4M SE SEC

23 (158 AC)



LIMIT OF ROAD

ALLOWANCE DIVIDING


RESERVE)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

36

M-048-

0420

C 1/22/2004 TWP 43 RGE 26 W4M SE SEC

23 (158 AC)

PNG IN

DUVERNAY

36

15

8554430.1

File No. Sub Lessor

Type


WI %



LIMIT OF ROAD

ALLOWANCE DIVIDING


RESERVE)

EXCL LEDUC

REEF

M-048-

0421

C 5/8/2004 TWP 43 RGE 26 W4M SE SEC

23 (158 AC)



LIMIT OF ROAD

ALLOWANCE DIVIDING


RESERVE)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

36

M-048-

0422

C 10/22/2003 TWP 43 RGE 26 W4M W SEC

23

TWP 43 RGE 26 W4M NE SEC

23 (158 AC)


LIMIT OF ROAD

ALLOWANCE DIVIDING


RESERVE)


PNG IN

DUVERNAY

EXCL LEDUC

REEF

36

M-048-

0423

C 10/22/2003 TWP 43 RGE 26 W4M W SEC

23


23 (158 AC)


LIMIT OF ROAD

ALLOWANCE DIVIDING


RESERVE)


PNG IN

DUVERNAY

EXCL LEDUC

REEF

36

M-048-

0424

C 10/22/2003 TWP 43 RGE 26 W4M W SEC

23


23 (158 AC)


LIMIT OF ROAD

ALLOWANCE DIVIDING


PNG IN

DUVERNAY

EXCL LEDUC

REEF

36

16

8554430.1

File No. Sub Lessor

Type


WI %

RESERVE)


M-048-

0431

G 9/5/2005 TWP 42 RGE 26 W4M NW

SEC 25


(LIES EAST OF EAST LIMIT

OF ROAD ALLOWANCE -

TOTAL 128.68 AC=52.1 HA)

(NOTE: ENTIRE ACREAGE

FOR NW 25 IS 52.1 HA DUE

TO SHARP-HEAD RESERVE)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

56.25

M-048-

0432

G 9/5/2005 TWP 42 RGE 26 W4M NW

SEC 25



OF ROAD ALLOWANCE -

TOTAL 128.68 AC=52.1 HA)




PNG IN

DUVERNAY

EXCL LEDUC

REEF

56.25

M-048-

0433

G 9/5/2005 TWP 42 RGE 26 W4M NW

SEC 25



OF ROAD ALLOWANCE -

TOTAL 128.68 AC=52.1 HA)




PNG IN

DUVERNAY

EXCL LEDUC

REEF

56.25

M-048-

0434

G 9/5/2005 TWP 42 RGE 26 W4M NW

SEC 25



OF ROAD ALLOWANCE -

TOTAL 128.68 AC=52.1 HA)




PNG IN

DUVERNAY

EXCL LEDUC

REEF

56.25

M-048-

0435

G 9/5/2005 TWP 42 RGE 26 W4M NW

SEC 25

PNG IN

DUVERNAY

EXCL LEDUC

56.25

17

8554430.1

File No. Sub Lessor

Type


WI %



OF ROAD ALLOWANCE -

TOTAL 128.68 AC=52.1 HA)




REEF

M-048-

0442

F 6/10/2005 TWP 42 RGE 25 W4M NE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0443

F 6/10/2005 TWP 42 RGE 25 W4M NE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0444

F 6/10/2005 TWP 42 RGE 25 W4M NE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0445

F 6/10/2005 TWP 42 RGE 25 W4M NE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0446

F 6/9/2005 TWP 42 RGE 25 W4M NE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0447


19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0448


19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0449


19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0450

F 6/9/2005 TWP 42 RGE 25 W4M SE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0451


19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0452


19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

18

8554430.1

File No. Sub Lessor

Type


WI %

M-048-

0453


19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0454

F 6/10/2005 TWP 42 RGE 25 W4M SE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0455

F 6/10/2005 TWP 42 RGE 25 W4M SE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0456

F 6/10/2005 TWP 42 RGE 25 W4M SE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0457

F 6/10/2005 TWP 42 RGE 25 W4M SE SEC

19


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0458

F 6/3/2005 TWP 42 RGE 25 W4M PTN

NW SEC 19


(EXCL 2.56 HECTARES

RAILWAY PLAN C & E NO.

1)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0459

F 6/3/2005 TWP 42 RGE 25 W4M PTN

NW SEC 19


(EXCL 2.56 HECTARES

RAILWAY PLAN C & E NO.

1)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0460

H 6/10/2005 TWP 42 RGE 25 W4M PTN

SW SEC 19


(EXCL 1.47 HA IN RAILWAY

PLAN C. & E. NO. 1)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0461

H 6/10/2005 TWP 42 RGE 25 W4M PTN

SW SEC 19



PLAN C. & E. NO. 1)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0462

H 6/10/2005 TWP 42 RGE 25 W4M PTN

SW SEC 19

PNG IN

DUVERNAY

EXCL LEDUC

90

19

8554430.1

File No. Sub Lessor

Type


WI %



PLAN C. & E. NO. 1)

REEF

M-048-

0463

H 6/10/2005 TWP 42 RGE 25 W4M PTN

SW SEC 19



PLAN C. & E. NO. 1)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0464

G 9/29/2005 TWP 42 RGE 26 W4M SE SEC

25


PNG IN

DUVERNAY

EXCL LEDUC

REEF

45

M-048-

0500

AC 6/10/2006 TWP 43 RGE 26 W4M NW

SEC 1

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0503

D 2/4/2007 TWP 43 RGE 26 W4M SW SEC

2


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0504

D 2/4/2007 TWP 43 RGE 26 W4M SW SEC

2


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0512

D 8/22/2007 TWP 43 RGE 26 W4M SE SEC

1

(UNDIVIDED 17/100

INTEREST)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0513

D 8/22/2007 TWP 43 RGE 26 W4M SW SEC

1

(UNDIVIDED 17/100

INTEREST)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0514

BE 12/7/2007 TWP 42 RGE 26 W4M SE SEC

13


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0514

BF 12/7/2007 TWP 42 RGE 26 W4M SE SEC

13


PNG BELOW

BASE BASE

BELLY RIVER

90

M-048-

0515


13


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0516


13


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

20

8554430.1

File No. Sub Lessor

Type


WI %

M-048-

0517

D 11/30/2007 TWP 43 RGE 26 W4M NE SEC

15

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0523

BC 1/20/2008 TWP 43 RGE 26 W4M SE SEC

1

(UNDIVIDED 83/100

INTEREST)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0523

AC 1/20/2008 TWP 43 RGE 26 W4M SW SEC

1

(UNDIVIDED 83/100

INTEREST)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0541

C 8/18/1998 TWP 43 RGE 26 W4M NE SEC

33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0544

AD 10/25/1983 TWP 43 RGE 26 W4M (LSD 3,

6) SW SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0544

DC 10/25/1983 TWP 43 RGE 26 W4M SE SEC

33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0545

BC 11/8/2005 TWP 43 RGE 26 W4M SW SEC

22


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0546


22


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0547


22


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0548


22


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0552

D 4/9/2009 TWP 43 RGE 26 W4M NW

SEC 14

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0553

BC 4/15/2009 TWP 43 RGE 26 W4M (PTN)

SW SEC 11

(64.7 HA EXCL. 0.809 HA)


PNG IN

DUVERNAY

EXCL LEDUC

REEF

100

M-048- DC 4/15/2009 TWP 43 RGE 26 W4M NE SEC PNG IN 100

21

8554430.1

File No. Sub Lessor

Type


WI %

0553 11


DUVERNAY

EXCL LEDUC

REEF

M-048-

0553

CC 4/15/2009 TWP 43 RGE 26 W4M NW

SEC 11


PNG IN

DUVERNAY

EXCL LEDUC

REEF

100

M-048-

0553

AC 4/15/2009 TWP 43 RGE 26 W4M SE SEC

11


PNG IN

DUVERNAY

EXCL LEDUC

REEF

100

M-048-

0554

D 4/14/2009 TWP 43 RGE 26 W4M (PTN)

SW SEC 11

(0.809 HA PORTION)

PNG IN

DUVERNAY

EXCL LEDUC

REEF

100

M-048-

0555

BC 3/19/2009 TWP 43 RGE 26 W4M (PTN)

SW SEC 11

(EXCLUDING .809

HECTARES)


PNG IN

DUVERNAY

EXCL LEDUC

REEF

100

M-048-

0555

DC 3/19/2009 TWP 43 RGE 26 W4M NE SEC

11


PNG IN

DUVERNAY

EXCL LEDUC

REEF

100

M-048-

0555

CC 3/19/2009 TWP 43 RGE 26 W4M NW

SEC 11


PNG IN

DUVERNAY

EXCL LEDUC

REEF

100

M-048-

0555


11


PNG IN

DUVERNAY

EXCL LEDUC

REEF

100

M-048-

0559

E 7/21/2009 TWP 41 RGE 25 W4M NW

SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0561

BC 10/21/2008 TWP 43 RGE 26 W4M NE SEC

10


PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.375

M-048-

0561

CC 10/21/2008 TWP 43 RGE 26 W4M SE SEC

15


PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.375

M-048-

0562

BC 10/14/2008 TWP 43 RGE 26 W4M NE SEC

10


PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.375

M-048-

0562

CC 10/14/2008 TWP 43 RGE 26 W4M SE SEC

15

PNG IN

DUVERNAY

EXCL LEDUC

48.375

22

8554430.1

File No. Sub Lessor

Type


WI %

(UNDIVIDED 1/4 INTEREST) REEF

M-048-

0569

E 2/8/2010 TWP 41 RGE 25 W4M NW

SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0576

C 8/24/2010 TWP 43 RGE 26 W4M SW SEC

14

PNG IN

DUVERNAY

EXCL LEDUC

REEF

47.5

M-048-

0587

F 3/14/2011 TWP 42 RGE 25 W4M SW SEC

5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0588

F 3/15/2011 TWP 42 RGE 25 W4M SW SEC

5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0589

F 3/14/2011 TWP 42 RGE 25 W4M SW SEC

5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0628

F 3/21/2012 TWP 42 RGE 25 W4M NW

SEC 5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0629

F 3/21/2012 TWP 42 RGE 25 W4M NW

SEC 5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0630

G 3/21/2012 TWP 42 RGE 25 W4M SW SEC

8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0631

G 3/21/2012 TWP 42 RGE 25 W4M SW SEC

8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0634

G 4/5/2012 TWP 42 RGE 25 W4M SW SEC

8


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-048-

0635

F 4/5/2012 TWP 42 RGE 25 W4M NW

SEC 5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-049-

0014

AA 11/22/1985 TWP 43 RGE 27 W4M SW SEC

17

PNG IN

DUVERNAY

EXCL LEDUC

REEF

18

M-049-

0014

CA 11/22/1985 TWP 43 RGE 27 W4M SE SEC

17

PNG IN

DUVERNAY

EXCL LEDUC

REEF

9

23

8554430.1

File No. Sub Lessor

Type


WI %

M-049-

0026

C 1/7/2014 TWP 43 RGE 27 W4M NW

SEC 17


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-049-

0027

C 1/28/2014 TWP 43 RGE 27 W4M NW

SEC 17


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-049-

0028

B 1/18/1995 TWP 43 RGE 27 W4M S SEC

17


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-049-

0029

B 1/21/1995 TWP 43 RGE 27 W4M S SEC

17


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-049-

0030

B 1/18/1995 TWP 43 RGE 27 W4M S SEC

17


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-049-

0031

B 1/20/1995 TWP 43 RGE 27 W4M S SEC

17


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-049-

0032

B 1/20/1995 TWP 43 RGE 27 W4M S SEC

17


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0010

B 11/18/1976 TWP 44 RGE 26 W4M SEC 21 PNG IN

DUVERNAY

EXCL LEDUC

REEF

26.1

M-054-

0019

CD 4/24/1984 TWP 43 RGE 26 W4M (LSD 3,

6) SW SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0019


33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.625

M-054-

0020

CD 4/24/1984 TWP 43 RGE 26 W4M (LSD 3,

6) SW SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0020


33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0021

CD 4/2/1984 TWP 43 RGE 26 W4M (LSD 3,

6) SW SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054- AC 4/2/1984 TWP 43 RGE 26 W4M SE SEC PNG IN 94.5

24

8554430.1

File No. Sub Lessor

Type


WI %

0021 33


DUVERNAY

EXCL LEDUC

REEF

M-054-

0022

CD 4/24/1984 TWP 43 RGE 26 W4M (LSD 3,

6) SW SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0022


33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0023

CD 4/24/1984 TWP 43 RGE 26 W4M (LSD 3,

6) SW SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0023


33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0024

CD 3/20/1984 TWP 43 RGE 26 W4M (LSD 3,

6) SW SEC 33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0024


33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

94.5

M-054-

0026

E 2/4/1982 TWP 44 RGE 26 W4M SW SEC

5

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0028

G 2/23/1982 TWP 43 RGE 26 W4M NW

SEC 33

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0029

F 2/16/1982 TWP 44 RGE 26 W4M NW

SEC 5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0030

E 2/25/1984 TWP 44 RGE 26 W4M NW

SEC 5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0031

E 3/1/1984 TWP 44 RGE 26 W4M NW

SEC 5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0032

E 12/11/1984 TWP 43 RGE 26 W4M (LSD'S

4, 5) SW SEC 33

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0044

D 4/2/1989 TWP 44 RGE 26 W4M SE SEC

5

PNG IN

DUVERNAY

90

25

8554430.1

File No. Sub Lessor

Type


WI %


EXCL LEDUC

REEF

M-054-

0045


5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0046


5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0048


5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0051

D 11/6/1997 TWP 43 RGE 26 W4M (LSD

14) NW SEC 27

PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.75

M-054-

0052

D 2/14/1998 TWP 43 RGE 26 W4M SW SEC

27

TWP 43 RGE 26 W4M (LSD'S

11, 12, 13) NW SEC 27


PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.75

M-054-

0053

D 2/14/1998 TWP 43 RGE 26 W4M SW SEC

27


11, 12, 13) NW SEC 27


PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.75

M-054-

0054

D 2/14/1998 TWP 43 RGE 26 W4M SW SEC

27


11, 12, 13) NW SEC 27


PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.75

M-054-

0055

D 2/14/1998 TWP 43 RGE 26 W4M SW SEC

27


11, 12, 13) NW SEC 27


PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.75

M-054-

0056

D 12/11/1997 TWP 43 RGE 26 W4M NE SEC

27

PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.75

M-054-

0057

AC 3/19/1998 TWP 44 RGE 26 W4M (LSD 5)

SW SEC 9

PNG IN

DUVERNAY

EXCL LEDUC

90

26

8554430.1

File No. Sub Lessor

Type


WI %

REEF

M-054-

0057

BC 3/19/1998 TWP 44 RGE 26 W4M (LSD 6)

SW SEC 9


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0058

AC 3/19/1998 TWP 44 RGE 26 W4M (LSD 3)

SW SEC 9

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0058

BC 3/19/1998 TWP 44 RGE 26 W4M (LSD 6)

SW SEC 9


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0059

BC 3/19/1998 TWP 44 RGE 26 W4M (LSD 6)

SW SEC 9


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0059

CB 3/19/1998 TWP 44 RGE 26 W4M NW

SEC 9

PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0063

D 7/31/1998 TWP 43 RGE 26 W4M NE SEC

33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0064

D 6/8/1998 TWP 43 RGE 26 W4M NE SEC

33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0065

D 7/31/1998 TWP 43 RGE 26 W4M NE SEC

33


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0075

D 10/9/1997 TWP 43 RGE 26 W4M SE SEC

27

PNG IN

DUVERNAY

EXCL LEDUC

REEF

48.75

M-054-

0110


5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0111


5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0112


5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

M-054-

0113


5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

27

8554430.1

File No. Sub Lessor

Type


WI %

M-054-

0114


5


PNG IN

DUVERNAY

EXCL LEDUC

REEF

90

8562850.2

Schedule "C"

Form of Sealing Order

See attached.

8566453.1

Clerk's Stamp:






DOCUMENT SEALING ORDER



PARTY FILING THIS DOCUMENT


2400, 525 – 8 Avenue SW



Phone Number: (403) 260-0100

Fax Number: (403) 260-0332

Email Address: [email protected] /

[email protected]

File No. 63936-8

DATE ON WHICH ORDER WAS PRONOUNCED: October 2, 2017

LOCATION WHERE ORDER WAS PRONOUNCED: Calgary, Alberta

NAME OF JUSTICE WHO MADE THIS ORDER: The Honourable Justice G.A. Campbell

UPON THE APPLICATION of Hardie & Kelly Inc. (the "Receiver") as Court-Appointed

Receiver and Manager of the undertaking, property and assets of Glencoe Resources Ltd. (the

"Debtors"); AND UPON reading the Application of the Receiver filed September 27, 2017, the Fourth

Report of the Receiver dated September 27, 2017 (the "Fourth Report") and the Confidential

Supplement to the Fourth Report dated September 27, 2017 (the "Confidential Supplement");

IT IS HEREBY ORDERED AND DECLARED THAT:

1. Service of the Notice of Application for this Order is hereby validated and deemed good and

sufficient, this application is properly returnable today, and no person other than those persons

served is entitled to service of the Notice of Application.



8566453.1

2. The Confidential Supplement shall be sealed on the Court file and shall not form part of the

public record, notwithstanding Division 4, Part 6 of the Alberta Rules of Court.

3. The Confidential Supplement shall be sealed until the Receiver is discharged of its duties as

evidenced by the Receiver filing a Discharge Certificate in the within Action or ninety (90) days

from the dated of a Discharge Order being granted in these proceedings, whichever shall occur

first.

4. The Clerk of this Honourable Court shall file the Confidential Supplement in a sealed envelope

attached to a notice that sets out the style of cause of these proceedings and states that;

THIS ENVELOPE CONTAINS CONFIDENTIAL MATERIALS FILED BY

HARDIE & KELLY INC., IN ITS CAPACITY AS THE COURT-

APPOINTED RECEIVER AND MANAGER OF GLENCOE RESOURCES

LTD. THE CONFIDENTIAL MATERIALS ARE SEALED PURSUANT TO

THE SEALING ORDER ISSUED BY JUSTICE G.A. CAMPBELL ON

OCTOBER 2, 2017.

5. The Receiver shall serve by courier, fax transmission, email transmission or ordinary post, a copy

of this Order on all parties present at this Application and on all parties who received notice of

this Application or who are presently on the service list established in these proceedings and such

service shall be deemed good and sufficient for all purposes.

J.C.Q.B.A. or Clerk of the Court