Fill and Sign the Purchase and Sale Agreement Basic Terms Copy to Form

MEMORANDUM OF EXPLORATION AGREEMENT(Notice of Preferential Purchase Right) State: County: First Party: (Name and Address) Second Party: (Name and Address) Effective Date: (Effective Date of Underlying Agreement) This Memorandum is to give notice of the existence of an unrecorded Exploration Agreement between First Party and Second Party, named above, dated ____, (the “Agreement”). A copy of the Agreement is on file in the offices of each Party. The Agreement governs e ach Party's rights in the ____ Prospect which encompasses an area of mutual interest (fully described in the Agreement) and the following lands located in the county and state named above, which are subject to oil and gas leases described in the Agreement: (Description of Lands) The Agreement grants each Party a preferential right to purchase the other Party's inte rest in the lands and leases comprising the ____ Prospect on the occurrence of certain events. Any assignment or transfer of the interests owned by either Party in the oil and gas leases on the lands described above, or any encumbrances or liens granted, created, or taken against the inte rests of either Party in the oil and gas leases on the lands described above, shall be assi gned, transferred, conveyed or granted subject to the terms and provisions of the Agreement and the preferential right to purchase contained in the Agreement. This Memorandum is signed by the Parties as of the date of the acknowledgment of their signatures below, but is effective for all purposes as of the Effective Date stated above. First Party Second Party