The Green Point Formation (GPF) is a thick (500+ meters), dominantly shale unit which is developed on a regional scale. The GPF is the probable source, based on geochemical affinities, to numerous oil and gas seeps in the region, as well as early production on Shoal Point and the major exhumed oilfield at Port au Choix. McLaren and CIVC have entered into a farmout agreement giving McLaren the right, on a well by well basis, to participate in a planned 3-well program slated to commence as early as possible in 2010. McLaren will pay 32% of the cost of the well to earn a 16% working interest in the block on which the well is drilled. Provided McLaren participates in all 3 wells, it will have the right to pre-empt and match the terms of any third party offer on remaining blocks in EL 1070. McLaren has also enetered into a farmout agreement with Shoal Point Energy giving McLaren the right to participate in the first GPF earning well per block on any of the 8 of the blocks by paying 32% of the cost on each earning well to earn a 16% working interest in the relevant block.

EXPLORATION LICENCE 1070 RESOURCE EVALUATION

Currently, McLaren holds a 27% interest in hydrocarbon exploration licenses comprised of three offshore blocks aggregating approximately 650 square kilometers in the Dutch sector of the North Sea. Our partners in this venture are Energie Beheer Nederland B.V. (EBN) the Dutch state-owned oil and gas company (40%), Ascent Resources Plc (27%) and GTO Limited (6%). Ascent acts as operator for the project which can best be classified in the exploration/appraisal stage.  The aim of the current exploration effort, which began in earnest in early 2007, is to assess the potential of commercially exploitable natural gas resources in the license areas. From its inception the exploration program has contemplated two stages: first, an initial assessment based on the application of updated interpretive technology to existing property data; and second, a detailed analysis of prospective drill targets.