On June 16, 2014 Norstra Energy Inc. entered into a Farm-In Agreement dated June 6,2014 with BNV Energy Company LLC (BNV) of Houston, Texas and Super Nova Petroleum Corp. (Super Nova). Pursuant to the new Agreement, BNV shall have the option to earn at 60% working interest in roughly 5,382 acres of the Milford Colony lands currently optioned by Super Nova.

To earn the 60% interest, BNV is required to drill two natural gas wells on the Milford Colony lands at an aggregate cost of approximately $1,000,000. BNV shall have until September 30th, 2014, to secure financing for the first well, whereupon it will be entitled to receive warrants to purchase 4,000,000 common shares of Norstra exercisable for two years at $0.125 per share during year 1 and $0.15 per share during year two. No warrants will be issuable if the $400,000 budget for the first well is not paid into escrow by September 30, 2014.

Funding of the second well must be secured by June 15, 2015. Upon completion of each well, BNV shall have earned the 60% working interest in relation to the lease tract associated with that well with no further drilling or carry obligations. If the wells are commercially viable, BNV will be required to construct a gas gathering system which will collect natural gas for the wells, and feeds it to the 16" Northwestern Energy pipeline close by the project.

The total AFE cost that BNV will be required to spend for the gathering system is approximately $500,000. BNV will retain ownership of the gathering system, provided that Norstra shall have an option to purchase the system and to charge a fee for its use.