MODIFICATION AND EXTENSION AGREEMENT
This
MODIFICATION AND EXTENSION AGREEMENT (the “Agreement”) is made and entered into
as of July 25, 2007 by and between Bend Arch Petroleum, Inc., a Texas
corporation (the “Company”) and Proco Operating Co., Inc. (the “Note
Holder”).
WHEREAS,
the Company has previously entered into a promissory note (the “Note”) with the
Note Holder dated June 15, 2004; and
WHEREAS,
the Company and the Note Holder desire to extend the terms and provisions of
the
Note as set forth in this Agreement.
NOW,
THEREFORE, in consideration of the mutual promises and covenants contained
herein, and other good and valuable consideration, the receipt and sufficiency
of which is acknowledged, the Company and the Note Holder agree as
follows:
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1.
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Extension
of Term of Note.
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The
term
of the Note is hereby extended by sixty (60 days) and the Note shall be due
and
payable in full, on or before September 25, 2007.
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2.
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Covenant
not to transfer, assign or
sale.
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The
Company covenants that as long as the Note is outstanding and unpaid, no
transfer, assignment or sale of the underlying leases and xxxxx securing the
payment of the Note will be allowed without the written approval of Note
Holder.
IN
WITNESS WHEREOF, each of the Company and the Note Holder has caused this
Agreement to be executed as of the date first set forth
hereinabove.
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THE
COMPANY:
Bend Arch Petroleum, Inc.
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By:
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/s/ Xxxxxxx Xxxxxxx | |
| Xxxxxxx Xxxxxxx | |||
| Director | |||
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NOTE HOLDER:
Proco Operating Co., Inc.
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By:
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/s/ Xxxxxxx Xxx Xxxxxxx | |
| Xxxxxxx Xxx Xxxxxxx | |||
| President | |||
