WORLDBID CORP
AMENDED AND RESTATED AGREEMENT
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>exhibit10-1.htm
<DESCRIPTION>AMENDED AND RESTATED AGREEMENT
<TEXT>
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<P align=center><B>AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B> </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>THIS AMENDED AND RESTATED
AGREEMENT AND PLAN OF MERGER</B> (the &#147;Agreement&#148;) is entered into on the 9th
day of February, 2007 by <B>WORLDBID CORPORATION</B>, a Nevada corporation
(&#147;Worldbid&#148;), <B>ROYALITE ACQUISITION CORP.</B>, a Nevada corporation (&#147;Worldbid
Sub&#148;) and <B>ROYALITE PETROLEUM CORP.</B>, a Nevada corporation (&#147;Royalite&#148;).
</P>
<P align=center><B>PRELIMINARY STATEMENTS</B> </P>
<P align=justify>A. The Boards of Directors of Worldbid and<B> </B>Royalite deem
it desirable and in the best interests of their respective shareholders that
Royalite be merged with and into Worldbid Sub, with Worldbid Sub continuing as
the surviving corporation (the &#147;Merger&#148;) on the terms and conditions of this
Agreement. </P>
<P align=justify>B. The Boards of Directors of Worldbid, Worldbid Sub and
Royalite have approved and adopted this Agreement.</P>
<P align=justify>C. Worldbid Sub is a wholly-owned subsidiary of Worldbid.</P>
<P align=justify>D. It is the intention of Worldbid, Worldbid Sub and Royalite
that this Agreement replace and supersede the Agreement and Plan of Merger
entered into on August 23, 2006 by Worldbid and Royalite. </P>
<P align=justify>In consideration of the mutual benefits to be derived from the
Merger and the respective representations, warranties, covenants and agreements
contained in this Agreement, the parties agree as follows: </P>
<P align=center><B>STATEMENT OF TERMS</B> </P>
<P align=center><B>SECTION 1<BR>THE MERGER</B> </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <U>The Merger</U>. At the
Effective Time (as defined in Section 1.3 below), Royalite will be merged with
and into Worldbid Sub in accordance with this Agreement, the Articles of Merger
substantially in the form attached as <U>Schedule 1.1A</U> attached to this
Agreement (the <B>&#147;Articles of Merger&#148;</B>), and the applicable provisions of
Chapter 92A of the Nevada Revised Statutes (the <B>&#147;Nevada Law&#148;</B>). Following
the Merger, Worldbid Sub will continue as the surviving corporation (the
<B>&#147;Surviving Corporation&#148;</B>) and the separate existence of Royalite will
cease, except insofar as it may be continued by the Nevada Law. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 <U>Closing</U>. As soon as
practicable following the satisfaction or waiver of the conditions set forth in
Section 5 of this Agreement, and provided that this Agreement has not been
terminated pursuant to Section 7, the<B> </B>parties to this Agreement will hold
a closing (the <B>&#147;Closing&#148;</B>) for the purpose of confirming the consummation
of the Merger at a time and date mutually agreed upon by the parties. Unless
otherwise agreed by the parties, the Closing will be held at the offices of
Royalite Petroleum Corp., 2215 Lucerne Circle, Henderson, NV 89014. The date on
which the Closing actually<B> </B>occurs is referred to as the &#147;Closing Date.&#148;
At the Closing, the parties will execute and exchange all documents,
certificates and instruments contemplated by this Agreement. The parties agree
to use commercially reasonable efforts and all due diligence to cause the
Closing to be consummated on or before February 28, 2007 unless such date is
extended by the mutual agreement of the parties. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3 <U>Effective Time of the
Merger</U>. The Merger will be effective at the time (the <B>&#147;Effective
Time&#148;</B>) of the filing of the Articles of Merger with the Secretary of State
of the State of Nevada, which certificate is to be filed as soon as practicable
on or after the Closing Date. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.4 <U>Effect of the Merger</U>.
The Merger will have the effects set forth in Section 92A.250 of the Nevada Law.
Without limiting the generality of the foregoing, and subject thereto, at the
Effective Time all the property, rights, privileges, powers and franchises of
Worldbid Sub and Royalite will vest in the Surviving Corporation without further
act or deed, and all debts, liabilities and duties of Worldbid Sub and Royalite
will become the debts, liabilities and duties of the Surviving Corporation.</P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; 1.5 <U>Articles of Incorporation;
Bylaws</U>. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a) The
Articles of Incorporation of Worldbid Sub as in effect immediately prior to the
Effective Time will continue unchanged, except to the extent amended by the
Articles of Merger, and will be the Articles of Incorporation of the Surviving
Corporation until thereafter amended in accordance with the terms thereof and in
accordance with applicable law.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(b) At
the Effective Time, the bylaws of Worldbid Sub, as in effect immediately prior
to the Effective Time, will be the bylaws of the Surviving Corporation until
thereafter amended in accordance with the terms thereof and in accordance with
applicable law. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.6 <U>Directors and
Officers</U>. The directors and officers of Worldbid after the Effective Time
will be the following persons:</P>
<DIV>
<TABLE
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  <TR vAlign=top>
    <TD align=left><B>Name</B> </TD>
    <TD align=left width="50%"><B>Position</B> </TD></TR>
  <TR vAlign=top>
    <TD align=left>Michael L. Cass </TD>
    <TD align=left width="50%">Director, President and Chief Executive Officer
    </TD></TR>
  <TR vAlign=top>
    <TD align=left>Logan B. Anderson <BR></TD>
    <TD align=left width="50%">Director, Vice President of Finance, Chief
      Financial Officer and <BR>Secretary </TD></TR>
  <TR vAlign=top>
    <TD align=left>William Charles Tao </TD>
    <TD align=left width="50%">Director </TD></TR></TABLE></DIV>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.7 <U>Taking of Necessary
Action</U>. If after the Effective Time any further action is necessary to carry
out the purposes of this Agreement or to vest Surviving Corporation with full
title to all assets, rights, approvals, immunities and franchises of either
Worldbid Sub or Royalite, the officers and directors of Worldbid, Worldbid Sub,
Royalite and Surviving Corporation will take all such necessary action. </P>
<P align=center><B>SECTION 2<BR></B><B>PAYMENT OF MERGER CONSIDERATION</B> </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; 2.1 <U>Merger Consideration</U>. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a)
<U>Conversion of Royalite Common Stock</U>. Each share of Royalite common stock,
par value $0.001 per share (the <B>&#147;Royalite Common Stock&#148;</B>) issued and
outstanding immediately prior to the Effective Time (other than Dissenting
Shares, as defined in Section 2.3) will, by virtue of the Merger and without any
action on the part of the holder thereof, be converted into one (1) share of
Worldbid Common Stock, par value $0.001 (as defined in Section 4.3(a)) (the
<B>&#147;Worldbid Merger Shares&#148;</B>). All certificates representing the Worldbid
Merger Shares issued on effectiveness of the Merger will be endorsed with the
following legends pursuant to the Securities Act of 1933 (the <B>&#147;Securities
Act&#148;</B>) in order to reflect the fact that the Worldbid Merger Shares will be
issued to the shareholders of Royalite (the <B>&#147;Royalite Stockholders&#148;</B>)
pursuant to exemptions or safe harbors from the registration requirements of the
Securities Act: </P>
<P
align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;(i) For Royalite Stockholders who are US persons as defined in Rule
902 of Regulation S promulgated under the Securities Act (<B>&#147;US Persons&#148;</B>):
</P>
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      <P align=justify><B>&#147;THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE
      NOT BEEN</B> <B>REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE "ACT"),
      AND HAVE BEEN</B> <B>ISSUED IN RELIANCE UPON AN EXEMPTION FROM THE
      REGISTRATION</B> <B>REQUIREMENTS OF THE ACT PROVIDED BY REGULATION D
      PROMULGATED</B><B>UNDER THE ACT. SUCH SECURITIES MAY NOT BE REOFFERED FOR
      SALE OR</B> <B>RESOLD OR OTHERWISE TRANSFERRED EXCEPT PURSUANT TO AN
      EFFECTIVE</B> <B>REGISTRATION UNDER THE ACT OR PURSUANT TO AN AVAILABLE
      EXEMPTION</B> <B>FROM REGISTRATION UNDER THE ACT.&#148;</B> </P></TD>
    <TD align=left
width="10%">&nbsp;</TD>
  </TR></TABLE>
<P
align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
(ii) For Royalite Stockholders who are not US Persons: </P>
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      <P align=justify><B>&#147;THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN
      REGISTERED UNDER</B> <B>THE SECURITIES ACT OF 1933 (THE "ACT"), AND HAVE
      BEEN ISSUED IN RELIANCE</B> </P></TD>
    <TD align=left width="10%">&nbsp;</TD>
  </TR></TABLE>
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    <TD width="10%" align=left  >&nbsp;</TD>
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      <P align=justify><B>UPON AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS
      OF THE ACT</B> <B>PROVIDED BY REGULATION S PROMULGATED UNDER THE ACT.</B>
      <B>SUCH</B> <B>SECURITIES MAY NOT BE REOFFERED FOR SALE OR RESOLD OR
      OTHERWISE</B> <B>TRANSFERRED EXCEPT IN ACCORDANCE WITH THE PROVISIONS OF
      REGULATION</B> <B>S, PURSUANT TO AN EFFECTIVE REGISTRATION UNDER THE ACT,
      OR PURSUANT</B> <B>TO AN AVAILABLE EXEMPTION FROM REGISTRATION UNDER THE
      ACT. HEDGING</B> <B>TRANSACTIONS INVOLVING THE SECURITIES MAY NOT BE
      CONDUCTED UNLESS IN</B> <B>COMPLIANCE WITH THE ACT.&#148;</B> </P></TD>
    <TD align=left width="10%"
      >&nbsp;</TD>
  </TR></TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (b)
<U>Conversion of Worldbid Sub Stock</U>. Each share of Worldbid Sub Stock (as
defined in Section 4.3(b)) issued and outstanding immediately prior to the
Effective Time will, by virtue of the Merger and without any action on the part
of the holder thereof, be converted into one share of Surviving Corporation
common stock (the <B>&#147;Surviving Corporation Common Stock&#148;</B>). The shares of
common stock required for such purpose will be drawn from authorized but
unissued shares of Suriving Corporation Common Stock.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 <U>Stock Certificate
Conversion Procedure</U>. After the Effective Time, each holder of Royalite
Common Stock will be entitled to exchange his, her, or its certificate
representing the Royalite Common Stock (a <B>&#147;Royalite Stock Certificate&#148;</B>)
for a certificate representing the number of Worldbid Merger Shares into which
the number of shares of Royalite Common Stock previously represented by such
certificate surrendered have been converted pursuant to Section 2.1(a) of this
Agreement. Each shareholder of Royalite Common Stock may exchange his, her or
its Royalite Stock Certificate by delivering it to Worldbid duly endorsed in
blank (or accompanied by duly executed stock powers duly endorsed in blank), in
each case in proper form for transfer, with signatures guaranteed, and, if
applicable, with all stock transfer and any other required documentary stamps
affixed thereto and with appropriate instructions to allow the transfer agent to
issue certificates for the Worldbid Merger Shares to such shareholder, together
with: (i) a Certificate of Non-U.S. Shareholder (if such shareholder is not a US
Person), a copy of which is attached hereto as <U>Disclosure</U> <U>Schedule
2.2A</U>, or (ii) a Certificate of U.S. Shareholder (if such shareholder is a US
Person), a copy of which is attached hereto as <U>Disclosure Schedule 2.2B</U>.
Until surrendered as contemplated by this Section 2.2, each Royalite Stock
Certificate will be deemed at any time after the Effective Time to represent
only the right to receive Worldbid Common Stock certificates representing the
number of whole Worldbid Merger Shares into which the shares of Royalite Common
Stock formerly represented by such certificate have been converted. Upon receipt
of such duly endorsed Royalite Stock Certificates, Worldbid will cause the
issuance of the number of Worldbid Merger Shares as converted pursuant to
Section 2.1(a) of this Agreement.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 <U>Appraisal Rights</U>.
Notwithstanding any provision of this Agreement to the contrary, shares of
Royalite Common Stock (<B>&#147;Dissenting Shares&#148;</B>) that are issued and
outstanding immediately prior to the Effective Time and held by Royalite
Stockholders who did not vote in<B> </B>favor of the Merger and who comply with
all of the relevant provisions of the Nevada Law (the <B>&#147;Royalite Dissenting
Stockholders&#148;</B>) will not be converted into or be exchangeable for the right
to receive Worldbid Merger Shares, unless and until such holders will have
failed to perfect or will have effectively withdrawn or lost their rights to
appraisal under the Nevada Law. Royalite will give Worldbid (i) immediate oral
notice followed by prompt written notice of any written demands for appraisal of
any shares of Royalite Common Stock, attempted withdrawals of any such demands
and any other instruments served pursuant to the Nevada Law and received by
Royalite relating to shareholders' rights of appraisal, and (ii) the will keep
Worldbid informed of the status of all negotiations and proceedings with respect
to demands for appraisal under the Nevada Law. If any Royalite Dissenting
Stockholder fails to perfect or will have effectively withdrawn or lost the
right to appraisal, the shares of Royalite Common Stock held by such Dissenting
Stockholder will thereupon be treated as though such shares had been converted
into the right to receive Worldbid Common Stock pursuant to Section 2.1 of this
Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 <U>No Further Ownership
Rights in Royalite Stock</U>. The promise to exchange the Royalite Common Stock
for Worldbid Merger Shares in accordance with the terms of this Section 2 will
be deemed to have been given in full satisfaction of all rights pertaining to
the Royalite Common Stock, and there will be no further registration of
transfers on the stock transfer books of Royalite of the shares of Royalite
Common Stock that were outstanding immediately prior to the Effective Time. From
and after the Effective Time, the holders of Royalite Common Stock outstanding
immediately prior to the Effective Time will cease to have any rights with
respect to such Royalite Common Stock, except as otherwise provided in this
Agreement or by law. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 <U>Distributions with Respect
to Unsurrendered Royalite Stock</U>. No dividends or other distributions with a
record date after the Effective Time will be paid to the holder of any
unsurrendered Royalite Stock Certificate until the surrender of such Royalite
Stock Certificate in accordance with Section 2.2 of this Agreement. Following
surrender of any such Royalite Stock Certificate, Worldbid will pay to the
holder of the Worldbid Common Stock certificate issued in exchange the Royalite
Stock Certificate, without interest, (i) at the time of such surrender, the
amount of dividends or other distributions with a record date after the
Effective Time previously paid with respect to such Worldbid Common Stock which
such holder is entitled pursuant to Section 2.1 of this Agreement, and (ii) at
the appropriate payment date, the amount of dividends or other distributions
with a record date after the Effective Time but prior to such surrender and with
a payment date subsequent to such surrender payable with respect to such
Worldbid Common Stock.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 <U>No Liability</U>. Neither
Worldbid, Worldbid Sub, nor the Surviving Corporation will be liable to any
person in respect of shares of Royalite Common Stock, or dividends or
distributions with respect thereto, pursuant to any applicable abandoned
property, escheat or similar law. If any Royalite Stock Certificate has not have
been surrendered prior to seven years after the Effective Time (or immediately
prior to such earlier date on which any Royalite Stock Certificate, or any
dividends or distributions payable to the holder of such Royalite Stock
Certificate would otherwise escheat to or become the property of any
governmental body or authority), any such Worldbid Merger Shares, dividends or
distributions in respect of such Royalite Stock Certificate will, to the extent
permitted by applicable law, become the property of the Surviving Corporation,
free and clear of all claims or interest of any person previously entitled to
such certificate </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 <U>Lost, Stolen or Destroyed
Certificates</U>. If any certificate representing Royalite Common Stock has been
lost, stolen or destroyed, upon the making of an affidavit of that fact by the
person claiming such certificate or agreement to be lost, stolen or destroyed
and, if required by Worldbid, the posting by such person of a bond in such
reasonable amount as Worldbid may direct as indemnity against any claim that may
be made against it with respect to such certificate, Worldbid will cause to be
issued in exchange for such lost, stolen or destroyed certificate, the
applicable Worldbid Merger Shares deliverable in respect thereof, pursuant to
Section 2.1 of this Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8 <U>No Fractional Shares</U>.
No fractional Worldbid Merger Shares will be issued as a result of the Merger.
In lieu of any such fractional shares, each holder of Royalite Common Stock who
would otherwise have been entitled to receive a fraction of a Merger Share will
be rounded up to the next nearest whole number of Worldbid Merger Shares. </P>
<P align=center><B>SECTION 3<BR>REPRESENTATIONS OF ROYALITE </B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Royalite represents, warrants and
covenants to and with Worldbid and Worldbid Sub as follows, and acknowledges
that Worldbid and Worldbid Sub are relying upon such representations, warranties
and covenants in connection with the execution, delivery and performance of this
Agreement, notwithstanding any investigation made by or on behalf of Worldbid or
Worldbid Sub: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 <U>Organization and Good
Standing</U>. Royalite is a corporation duly organized, validly existing and in
good standing under the laws of its jurisdiction and has all requisite corporate
power and authority to own, lease and to carry on its business as now being
conducted. Royalite is duly qualified to do business and is in good standing as
a foreign corporation in each of the jurisdictions in which it owns property,
leases property, does business, or is otherwise required to do so, where the
failure to be so qualified would have a material adverse effect on the business
of Royalite taken as a whole.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 <U>Authority</U>. Royalite
has all requisite corporate power and authority to execute and deliver this
Agreement, the Articles of Merger, and any other document contemplated by this
Agreement or the Merger (collectively, the <B>&#147;Merger Documents&#148;</B>) to be
signed by Royalite and to perform its obligations thereunder and to consummate
the transactions contemplated thereby. The execution and delivery of each of the
Merger Documents by Royalite and the consummation by Royalite of the
transactions contemplated thereby have been duly authorized by its Board of
Directors and, by the Closing Date will have been adopted and approved by the
Royalite Stockholders and, subject to such stockholder approval, no other
corporate or 4 of 22</P>
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<P align=justify>shareholder proceedings on the part of Royalite are necessary
to authorize such documents or to consummate the transactions contemplated
thereby. This Agreement is, and the other Merger Documents when executed and
delivered as contemplated herein, will be, valid and binding obligations of
Royalite enforceable in accordance with their respective terms, except (1) as
may be limited by any applicable bankruptcy, insolvency, reorganization,
moratorium or other laws of general application affecting the enforcement of
creditors&#146; rights generally, (2) as may be limited by any applicable laws
relating to the availability of specific performance, injunctive relief or other
equitable remedies, and (3) as may be limited by public policy. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 <U>Capitalization of
Royalite</U>. The entire authorized capital stock and other equity securities of
Royalite (the <B>&#147;Royalite Stock&#148;</B>) consists of Two Hundred Million
(200,000,000) shares, comprised of One Hundred Million (100,000,000) shares of
Common Stock, with a par value of $0.001 per share, and One Hundred Million
(100,000,000) shares of Preferred Stock, with a par value of $0.001 per share.
There are 24,960,667 shares of Royalite Common Stock issued and outstanding and
no shares of Preferred Stock issued and outstanding. All of the issued and
outstanding shares of Royalite Stock have been duly authorized, are validly
issued, were not issued in violation of any pre-emptive rights and are fully
paid and non-assessable, are not subject to pre-emptive rights and were issued
in full compliance with all federal, state, and local laws, rules and
regulations. There are no outstanding options, warrants, subscriptions, phantom
shares, conversion rights, or other rights, agreements, or commitments
obligating Royalite to issue any additional shares of Royalite Stock, or any
other securities convertible into, exchangeable for, or evidencing the right to
subscribe for or acquire from Royalite any shares of Royalite Stock. There are
no agreements purporting to restrict the transfer of the Royalite Stock, no
voting agreements, voting trusts, or other arrangements restricting or affecting
the voting of the Royalite Stock. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 <U>Title to Royalite
Stock</U>. <U>Disclosure Schedule 3.4</U> contains a true and complete
description of the capitalization of Royalite including the dates of issuance
and prices of issuance of all outstanding shares of Royalite&#146;s common stock.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5 <U>Subsidiaries</U>. Royalite
does not have any subsidiaries or agreements of any nature to acquire any
subsidiary or to acquire or lease any other business operations and will not
prior to the Closing Date acquire, or agree to acquire, any subsidiary or
business without the prior written consent of Worldbid and Worldbid Sub. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6 <U>Noncontravention</U>.
Neither the execution, delivery or performance of the Merger Documents, nor the
consummation of the Merger, will: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(a)
Conflict with, result in a violation of, cause a default under (with or without
notice, lapse of time or both) or give rise to a right of termination,
amendment, cancellation or acceleration of any obligation contained in or the
loss of any material benefit under, or result in the creation of any lien,
security interest, charge or encumbrance upon any of the material properties or
assets of Royalite under any term, condition or provision of any loan or credit
agreement, note, debenture, bond, mortgage, indenture, lease or other agreement,
instrument, permit, license, judgment, order, decree, statute, law, ordinance,
rule or regulation applicable to Royalite or any of its respective property or
assets; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (b)
Violate any provision of the Articles of Incorporation or bylaws of Royalite; or
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(c)
Violate any order, writ, injunction, decree, statute, rule, or regulation of any
court or governmental or regulatory authority applicable to Royalite or any of
its respective property or assets. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7 <U>Actions and
Proceedings</U>. There is no claim, charge, arbitration, grievance, action,
suit, investigation or proceeding by or before any court, arbiter,
administrative agency or other governmental authority now pending or, to the
best knowledge of Royalite, threatened against Royalite or which involves any of
the business, or the properties or assets of Royalite that, if adversely
resolved or determined, would have a material adverse effect on the business,
operations, assets, properties, prospects, or conditions of Royalite taken as a
whole (a <B>&#147;Royalite Material Adverse Effect&#148;</B>). There is no reasonable
basis for any claim or action that, based upon the likelihood of its being
asserted and its success if asserted, would have such a Royalite Material
Adverse Effect.</P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; 3.8 <U>Compliance</U>. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a)
Royalite is in compliance with, is not in default or violation in any material
respect under, and has not been charged with or received any notice at any time
of any material violation by it of, any statute, law, ordinance, regulation,
rule, decree or other applicable regulation to the business or operations of
Royalite; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(b)
Royalite has duly filed all reports and returns required to be filed by it with
governmental authorities and has obtained all governmental permits and other
governmental consents, except as may be required after the execution of this
Agreement. All of such permits and consents are in full force and effect, and no
proceedings for the suspension or cancellation of any of them, and no
investigation relating to any of them, is pending or to the best knowledge of
Royalite, threatened, and none of them will be adversely affected by the
consummation of the transactions contemplated hereby. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9 <U>Filings, Consents and
Approvals</U>. Except for any filings required by applicable securities laws,
the filing of the Articles of Merger pursuant to the Nevada Law and the approval
of the Royalite Stockholders, no filing or registration with, no notice to and
no permit, authorization, consent, or approval of any public or governmental
body or authority or other person or entity is necessary for the consummation by
Royalite of the transactions contemplated by this Agreement or to enable the
Surviving Corporation to continue to conduct Royalite&#146;s business after the
Closing Date in a manner which is consistent with that in which it is presently
conducted. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.10 <U>Financial
Representations</U>. Attached to this Agreement as <U>Disclosure Schedule
3.10A</U> is a true, correct, and complete copy of the audited balance sheet for
Royalite dated as of April 30, 2006, together with the related statement of
operations, statement of cash flows and statement of stockholders equity for the
fiscal period there ended (the <B>&#147;Year End Financial Statements&#148;</B>); and
attached to this Agreement as <U>Disclosure Schedule 3.10B</U> is a true,
correct, and complete copy of the audited balance sheet for Royalite dated as of
July 31, 2006, together with the related statement of operations and statement
of cashflows for the interim period there ended (the <B>&#147;Interim Financial
Statements&#148;</B>) (the Year End Financial Statements and the Interim Financial
Statements being collectively referred to as, the <B>&#147;Financial
Statements&#148;</B>). The Financial Statements (i) are in accordance with the books
and records of Royalite, (ii) present fairly the financial condition of Royalite
as of the respective dates indicated and the results of operations for such
periods, and (iii) have been prepared in accordance with US GAAP. Royalite has
not received any advice or notification from its independent certified public
accountants that Royalite has used any improper accounting practice that would
have the effect of not reflecting, or incorrectly reflecting, in the Financial
Statements or the books and records of Royalite, the financial results, or any
properties, assets, liabilities, revenues, or expenses, of Royalite. The books,
records, and accounts of Royalite accurately and fairly reflect, in reasonable
detail, the financial results, transactions, assets, and liabilities of
Royalite. Royalite has not engaged in any transaction, maintained any bank
account, or used any funds of Royalite, except for transactions, bank accounts,
and funds which have been and are reflected in the normally maintained books and
records of Royalite. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.11 <U>Absence of Undisclosed
Liabilities</U>. Royalite has no liabilities or obligations either direct or
indirect, matured or unmatured, absolute, contingent or otherwise, which: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a) are
not set forth in the Financial Statements or have not heretofore been paid or
discharged; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(b) did
not arise in the regular and ordinary course of business under any agreement,
contract, commitment, lease or plan specifically disclosed (or are not required
to be disclosed in accordance with US GAAP); or </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) have
not been incurred in<B> </B>amounts and pursuant to practices consistent with
past business practice, in or as a result of the regular and ordinary course of
its business since the date of the Financial Statements. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For purposes of this Agreement,
the term &#147;liabilities&#148; includes, any direct or indirect indebtedness, guaranty,
endorsement, claim, loss, damage, deficiency, cost, expense, obligation or
responsibility, fixed or unfixed, known or unknown, liquidated or unliquidated,
secured or unsecured, perfected or unperfected. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.12 <U>Tax Matters</U>.
<B>&#147;Tax&#148;</B> or <B>&#147;Taxes&#148;</B> means any and all taxes, charges, fees, levies,
duties or other assessments whether federal, state, local or foreign, based upon
or measured by income, capital, net worth or gain and any other tax including,
recapture, gross receipts, profits. sales, use, occupation, use and occupancy,
value added, ad valorem, customers, transfer, franchise, shares, withholding,
payroll, employment, excise, or property taxes with respect to Royalite,
together with any interest, fines, penalties and additions to tax imposed with
respect thereto. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a) As
of the date hereof, (i) Royalite has timely filed all Tax returns which are
required to be filed on or prior to the date hereof, taking into account any
extensions of the filing deadlines which have been validly granted to them; and
(ii) all such returns are true and correct in all material respects. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(b)
Royalite has paid all Taxes that have become or are due with respect to any
period ended on or prior to the date hereof, and has established an adequate
reserve therefore on its balance sheet for those Taxes not yet due and payable.
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(c)
Royalite is not presently under, nor has Royalite received notice of, any
contemplated investigation or audit by the Internal Revenue Service or any
foreign or state taxing authority concerning any fiscal year or period ended
prior to the date hereof. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(d) All
Taxes required to be withheld on or prior to the date hereof from employees for
income Taxes, social security Taxes, unemployment Taxes and other similar
withholding Taxes have been properly withheld and, if required on or prior to
the date hereof, have been deposited with the appropriate governmental agency.
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)
Royalite is not a party to any tax-sharing agreements or similar contracts or
arrangements. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; 3.13 <U>Absence of Changes</U>. Since
July 31, 2006, Royalite has not: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(a)
incurred any liabilities, other than liabilities incurred in the ordinary course
of business consistent with past practice, or discharged or satisfied any lien
or encumbrance, or paid any liabilities, other than in the ordinary course of
business consistent with past practice, or failed to pay or discharge when due
any liabilities of which the failure to pay or discharge has caused or will
cause any material damage or risk of material loss to it or any of its assets or
properties; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(b)
sold, encumbered, assigned or transferred any fixed assets or properties which
would have been included in the assets of Royalite if the closing had been held
on July 31, 2006 or on any date since then, except for ordinary course of
business transactions consistent with past practice; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)
created, incurred, assumed or guaranteed any indebtedness for money borrowed, or
mortgaged, pledged or subjected any of the assets or properties of Royalite to
any mortgage, lien, pledge, security interest, conditional sales contract or
other encumbrance of any nature whatsoever; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;(d) made
or suffered any amendment or termination of any material agreement, contract,
commitment, lease or plan to which it is a party or by which it is bound, or
cancelled, modified or waived any substantial debts or claims held by it or
waived any rights of substantial value, whether or not in the ordinary course of
business; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(e)
declared, set aside or paid any dividend or made or agreed to make any other
distribution or payment in respect of its capital shares or redeemed, purchased
or otherwise acquired or agreed to redeem, purchase or acquire any of its
capital shares or equity securities; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(f)
suffered any damage, destruction or loss, whether or not covered by insurance,
materially and adversely its business, operations, assets, properties or
prospects; </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(g)
suffered any material adverse change in its business, operations, assets,
properties, prospects or condition (financial or otherwise); </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(h)
received notice or had knowledge of any actual or threatened labor trouble,
termination, resignation, strike or other occurrence, event or condition of any
similar character which has had or might have an adverse effect on its business,
operations, assets, properties or prospects; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(i) made
commitments or agreements for capital expenditures or capital additions or
betterments exceeding in the aggregate $5,000, except such as may be involved in
ordinary repair, maintenance or replacement of its assets; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(j)
other than in the ordinary course of business, increase the salaries or other
compensation of, or made any advance (excluding advances for ordinary and
necessary business expenses) or loan to, any of its employees or made any
increase in, or any addition to, other benefits to which any of its employees
may be entitled; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;(k)
changed any of the accounting principles followed or the methods of applying
such principles; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)
entered into any transaction other than in the ordinary course of business
consistent with past practice; or </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (m) agreed,
whether in writing or orally, to do any of the foregoing. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.14 <U>Personal Property</U>.
Royalite possesses all property and items necessary for the continued operation
of the business of Royalite as presently conducted. All of such items are in
good operating condition (normal wear and tear excepted), and are reasonably fit
for the purposes for which such item is presently used. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.15 <U>Insurance</U>. The
assets, properties and operations of Royalite are insured under various policies
of general liability and other forms of insurance consistent with prudent
business practices. All such policies are in full force and effect in accordance
with their terms, no notice of cancellation has been received, and there is no
existing default by Royalite or any event which, with the giving of notice, the
lapse of time or both, would constitute a default thereunder. All premiums to
date have been paid in full. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.16 <U>Employees and
Consultants. Disclosure Schedule 3.16</U> lists the name, address, date of hire,
title or position, compensation and benefits of each employee or consultant of
Royalite. All employees and consultants have been paid all salaries, wages,
income and any other sum due and owing to them by Royalite as at the end of the
most recent completed pay period. Royalite is not aware of any labor conflict
with any of Royalite employees that might reasonably be expected to have a
Royalite Material Adverse Effect. Royalite has not entered into any written
contracts of employment or consulting agreements other than as listed on
<U>Disclosure Schedule 3.16</U>. All amounts required to be withheld by Royalite
from employees salaries or wages and paid to any governmental or taxing
authority have been so withheld and paid or remitted. No employee of Royalite is
in violation of any term of any employment contract, non-disclosure agreement,
non-competition agreement or any other contract or agreement relating to the
relationship of such employee with Royalite or any other nature of the business
conducted or to be conducted by Royalite or the Surviving Corporation. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.17 <U>Benefit Plans</U>.
Royalite has no Employee Benefit Plans within the meaning of the Employee
Retirement Income Security Act of 1974, as amended, and the rules and
regulations promulgated thereunder. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; 3.18 <U>Intellectual Property</U>.
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(a)
<U>Intellectual Property Assets</U>. The term <B>&#147;Intellectual Property
Assets&#148;</B> refers to all of the intellectual property rights and assets
necessary for the operation of the business of Royalite as it is currently
conducted, and includes, but is not limited to, the following: </P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0 BCLLIST>

  <TR>
    <TD width="10%"  >&nbsp;</TD>
    <TD vAlign=top width="5%">(1) </TD>
    <TD>
      <P align=justify>the name Royalite Petroleum Corp., all functional
      business names, trading names, registered and unregistered trademarks,
      service marks, and applications collectively, the
    <B>&#147;Trademarks&#148;</B>);</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(2) </TD>
    <TD>
      <P align=justify>all patents, patent applications, and inventions,
      methods, processes and discoveries that may be patentable (collectively,
      the <B>&#147;Patents&#148;</B>);</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(3) </TD>
    <TD>
      <P align=justify>all copyrights in both published works and unpublished
      works (collectively, the <B>&#147;Copyrights&#148;</B>);</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(4) </TD>
    <TD>
      <P align=justify>all know-how, trade secrets, confidential information,
      customer lists, software, technical information, data, process technology,
      plans, drawings, and blue prints owned, used, or licensed by Royalite as
      licensee or licensor (collectively, the <B>&#147;Trade
  Secrets&#148;</B>).</P></TD></TR></TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(b)
<U>Agreements</U>. <U>Disclosure Schedule 3.18</U> contains a complete and
accurate list and summary description of all contracts and agreements relating
to the Intellectual Property Assets to which Royalite is a party or by which
Royalite is bound. There are no outstanding or threatened disputes or
disagreements with respect to any such agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;(c)
<U>Intellectual Property and Know-How Necessary for the Business</U>. Except as
set forth in <U>Disclosure Schedule 3.18</U>, Royalite is the owner of all
right, title, and interest in and to each of the Intellectual Property Assets,
free and clear of all liens, security interests, charges, encumbrances, and
other adverse claims, and has the right to use all such Intellectual Property
Assets without payment to a third party. Except as set forth in <U>Disclosure
Schedule 3.18</U>, all former and current employees and contractors of Royalite
have executed written contracts, agreements or other undertakings with Royalite
that assign all rights to any inventions, improvements, discoveries, or
information relating to the business of Royalite. No employee, director, officer
or shareholder of any of Royalite owns directly or indirectly in whole or in
part, any Intellectual Property Asset which Royalite is presently using or which
is necessary for the conduct of its business. No employee or contractor of
Royalite has entered into any contract or agreement that restricts or limits in
any way the scope or type of work in which the employee may be engaged or
requires the employee to transfer, assign, or disclose information concerning
his work to anyone other than Royalite. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(d)
<U>Trade Secrets</U>. Royalite has taken all reasonable precautions to protect
the secrecy, confidentiality, and value of its Trade Secrets. Royalite has good
title and an absolute (but not necessarily exclusive) right to use the Trade
Secrets. The Trade Secrets are not part of the public knowledge or literature,
and have not been used, divulged, or appropriated either for the benefit of any
person or entity or to the detriment of Royalite. No Trade Secret is subject to
any adverse claim or has been challenged or threatened in any way. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.19 <U>Real Property</U>.
Royalite does not own any real property. <U>Disclosure Schedule 3.19</U> lists
all leases, subleases or other real property, oil and gas or mineral property
interests (collectively, the <B>&#147;Leases&#148;</B>) to which Royalite is a party or
bound. Each of the Leases are legal, valid, binding, enforceable and in full
force and effect in all material respects. All rental and other payments
required to be paid by Royalite pursuant to any such Leases have been duly paid
and no event has occurred which, upon the passing of time, the giving of notice,
or both, would constitute a breach or default by any party under any of the
Leases. The Leases will continue to be legal, valid, binding, enforceable and in
full force and effect on identical terms following the Closing Date. Royalite
has not assigned, transferred, conveyed, mortgaged, deeded in trust, or
encumbered any interest in the Leases or the leasehold property pursuant
thereto. Royalite has delivered a true and complete copy of each of the Leases
to Worldbid and Worldbid Sub. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.20 <U>Environmental Matters</U>.
  Royalite knows of no violation or violations by Royalite or its employees or
  agents of any environmental or safety statute, law or regulation that in the
  aggregate would have a Royalite Material Adverse Effect and, no material expenditures
  are or will be required in order to comply with any such existing statute, law
  or regulation. No action, proceeding, permit revocation, writ, injunction or
  claim is pending or, to the best knowledge of Royalite, threatened concerning
  Royalite&#146;s facilities and Royalite is not aware of any fact or circumstance
  that could involve Royalite in any environmental litigation or impose any material
  environmental liability upon Royalite. No Hazardous Material (as defined</P>
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<P align=justify>below) is present on any Royalite facility and, to the best
knowledge of Royalite, no reasonable likelihood exists that any Hazardous
Material present on other property will come to be present on a Royalite
facility. There are no underground storage tanks, asbestos or PCBs present on
any Royalite facility. For the purposes of this Section 3.20 the term
<B>&#147;Hazardous Material&#148;</B> means any material or substance that is prohibited
or regulated by any environmental law or that has been designated by any
governmental authority to be radioactive, toxic, hazardous or otherwise a danger
to health, reproduction or the environment. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.21 <U>Material Contracts and
Transactions</U>. <U>Disclosure Schedule 3.21</U> contains a list of all
material contracts, agreements, licenses, permits, arrangements, commitments,
instruments, understandings or contracts, whether written or oral, express or
implied, contingent, fixed or otherwise, to which Royalite is a party
(collectively, the <B>&#147;Contracts&#148;</B>). </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a)
Except as listed on <U>Disclosure Schedule 3.21</U>, Royalite is not a party to
any written or oral: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0 BCLLIST>

  <TR>
    <TD width="10%"  >&nbsp;</TD>
    <TD vAlign=top width="5%">(1) </TD>
    <TD>
      <P align=justify>agreement for the purchase, sale or lease of any capital
      assets, or continuing contracts for the purchase or lease of any
      materials, supplies, equipment, real property or services;</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(2) </TD>
    <TD>
      <P align=justify>agreement regarding, sales agency, distributorship, or
      the payment of commissions;</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(3) </TD>
    <TD>
      <P align=justify>agreement for the employment or consultancy of any person
      or entity;</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(4) </TD>
    <TD>
      <P align=justify>note, debenture, bond, trust agreement, letter of credit
      agreement loan agreement, or other contract or commitment for the
      borrowing or lending of money, or agreement or arrangement for a line of
      credit or guarantee, pledge, or undertaking of the indebtedness of any
      other person;</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(5) </TD>
    <TD>
      <P align=justify>agreement, contract, or commitment for any charitable or
      political contribution;</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(6) </TD>
    <TD>
      <P align=justify>agreement, contract, or commitment limiting or
      restraining Royalite, their business or any successor thereto from
      engaging or competing in any manner or in any business or from hiring any
      employees, nor is any employee of Royalite subject to any such agreement,
      contract, or commitment;</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(7) </TD>
    <TD>
      <P align=justify>material agreement, contract, or commitment not made in
      the ordinary course of business;</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(8) </TD>
    <TD>
      <P align=justify>agreement establishing or providing for any joint
      venture, partnership, or similar arrangement with any other person or
      entity;</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(9) </TD>
    <TD>
      <P align=justify>agreement, contract or understanding containing a &#147;change
      in control,&#148; or similar provision; or</P></TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(10) </TD>
    <TD>
      <P align=justify>power of attorney or similar authority to
  act.</P></TD></TR></TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(b) Each
Contract is in full force and effect, and there exists no material breach or
violation of or default by Royalite under any Contract nor by any other party to
a Contract, or any event that with notice or the lapse of time, or both, will
create a material breach or violation thereof or default under any Contract by
Royalite or by any other party to a Contract. The continuation, validity, and
effectiveness of each Contract will in no way be affected by the consummation of
the transactions contemplated by this Agreement. Except as listed on
<U>Disclosure Schedule 3.21</U>, there exists no actual or threatened
termination, cancellation, or limitation of, or any amendment, modification, or
change to any Contract. A true, correct and complete </P>
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<P align=justify>copy (and if oral, a description of material terms) of each
Contract, as amended to date, has been furnished to Worldbid and Worldbid Sub.
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.22 <U>Certain Transactions</U>.
Royalite is not indebted, directly or indirectly, to any of its officers,
directors or shareholders or to their respective spouses or children, in any
amount whatsoever; none of said officers, directors or, to the best of
Royalite&#146;s knowledge, shareholders, or any members of their immediate families,
are indebted to Royalite or have any direct or indirect ownership interest in
any firm or corporation with which Royalite has a business relationship, or any
firm or corporation that competes with Royalite. Royalite is not a guarantor or
indemnitor of any indebtedness of any other person, firm or corporation. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.23 <U>No Brokers</U>. Royalite
has not incurred any obligation or liability to any party for any brokerage
fees, agent's commissions, or finder's fees in connection with the transactions
contemplated by this Agreement for which Worldbid or Worldbid Sub would be
responsible. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.24 <U>Minute Books</U>. The
minute books of Royalite provided to Worldbid and Worldbid Sub contain a
complete summary of all meetings of directors and shareholders since the time of
incorporation of such entity and reflect all transactions referred to in such
minutes accurately in all material respects. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.25 <U>Completeness of
Disclosure</U>. No representation or warranty by Royalite in this Agreement nor
any certificate, schedule, statement, document or instrument furnished or to be
furnished to Worldbid and Worldbid Sub pursuant hereto contains or will contain
any untrue statement of a material fact or omits or will omit to state a
material fact required to be stated herein or therein or necessary to make any
statement herein or therein not materially misleading.</P>
<P align=center><B>SECTION 4<BR></B><B>REPRESENTATIONS AND WARRANTIES OF
WORLDBID AND WORLDBID SUB </B></P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Worldbid and Worldbid Sub
represent, warrant and covenant to and with Royalite as follows, and acknowledge
that Royalite is relying upon such representations, warranties and covenants in
connection with the execution, delivery and performance of this Agreement,
notwithstanding any investigation made by or on behalf of Royalite. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 <U>Organization and Good
Standing</U>. Worldbid and Worldbid Sub are<B> </B>duly organized, validly
existing and in good standing under the laws of Nevada and have all requisite
corporate power and authority to own, lease and to carry on their respective
businesses as now being conducted. Worldbid is duly qualified to do business and
is in good standing as a foreign corporation in each of the jurisdictions in
which each owns property, leases property, does business, or is otherwise
required to do so, where the failure to be so qualified would have a material
adverse effect on the businesses, operations, or financial condition of
Worldbid. Worldbid Sub has not carried on any business or acquired any assets or
incurred any liabilities since its incorporation, other than by reason of the
execution of this Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 <U>Authority</U>. Worldbid
and Worldbid Sub have all requisite corporate power and authority to execute and
deliver the Merger Documents to be signed by them and to perform their
respective obligations thereunder and to consummate the transactions
contemplated thereby. The execution and delivery of each of the Merger Documents
by Worldbid and Worldbid Sub and the consummation by Worldbid and Worldbid Sub
of the transactions contemplated thereby have been duly authorized by their
respective Boards of Directors and no other corporate or shareholder proceedings
on the part of Worldbid or Worldbid Sub are necessary to authorize such
documents or to consummate the transactions contemplated thereby. This Agremeent
has been, and the remaining Merger Documents, when executed and delivered by
Worldbid and Worldbid Sub as contemplated herein, will be, duly executed and
delivered by Worldbid and Worldbid Sub and this Agreement, and the remaining
Merger Documents, when executed and delivered by Worldbid and Worldbid Sub as
contemplated herein, will be, valid and binding obligations of Worldbid and
Worldbid Sub, enforceable in accordance with their respective terms, except (1)
as may be limited by any applicable bankruptcy, insolvency, reorganization,
moratorium or other laws of general application affecting the enforcement of
creditors&#146; rights generally; (2) as may be limited by any applicable laws
relating to the availability of specific performance, injunctive relief or other
equitable remedies; and (3) as may be limited by public policy. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; 4.3 <U>Capitalization of Worldbid and
Worldbid Sub</U>. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a) The
entire authorized capital stock and other equity securities of Worldbid (the
<B>&#147;Worldbid Stock&#148;</B>) consists of Six Hundred Million (600,000,000) shares,
comprised of Five Hundred Million (500,000,000) shares of common stock with a
par value of $0.001 per share (the <B>&#147;Worldbid Common Stock&#148;</B>), and One
Hundred Million (100,000,000) shares of preferred stock with a par value of
$0.0001 per share (the <B>&#147;Worldbid Preferred Stock&#148;</B>). There are 9,481,354
shares of Worldbid Common Stock issued and outstanding and no shares of Worldbid
Preferred Stock issued and outstanding. All of the issued and outstanding shares
of Worldbid Stock have been duly authorized, are validly issued, were not issued
in violation of any pre-emptive rights and are fully paid and non-assessable,
are not subject to pre-emptive rights and were issued in full compliance with
all federal, state and local laws, rules and regulations. Except as set forth on
<U>Disclosure Schedule 4.3</U>, there are no outstanding options, warrants,
subscriptions, phantom shares, conversion rights, or other rights, agreements,
or commitments obligating Worldbid to issue any additional shares of Worldbid
Stock, or any other securities convertible into, exchangeable for, or evidencing
the right to subscribe for or acquire from Worldbid any shares of Worldbid
Stock.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(b) The
entire authorized capital stock and other equity securities of Worldbid Sub (the
<B>&#147;Worldbid Sub Stock&#148;</B>) consists of 75,000,000 shares of common stock with
a par value of $0.001 per share. There are 1,000 shares of Worldbid Sub Stock
issued and outstanding. All of the issued and outstanding shares of Worldbid Sub
Stock have been duly authorized, are validly issued, were not issued in
violation of any preemptive rights and are fully paid and non-assessable, are
not subject to pre-emptive rights and were issued in full compliance with all
federal, state and local laws, rules and regulations. There are no outstanding
options, warrants, subscriptions, phantom shares, conversion rights, or other
rights, agreement sor commitments obligating Worldbid Sub to issue any
additional shares of Worldbid Sub Stock, or any other securities convertible
into, exchangeable for, or evidencing the right to subscribe for or acquire from
Worldbid Sub any shares of Worldbid Sub Stock. There are no agreements
purporting to restrict the transfer of Worldbid Sub Stock and there are no
voting agreements, voting trusts or other arrangements restricting or affecting
the voting of the Worldbid Sub Stock. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4 <U>Validity of Worldbid
Common Stock Issuable Upon the Merger</U>. The shares of Worldbid Common Stock
to be issued to the Royalite Stockholders upon consummation of the Merger in
accordance with Section 2.1 of this Agreement will, when so issued in accordance
with the terms of this Agreement, be duly and validly authorized, issued, fully
paid and non-assessable. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5 <U>Actions and
Proceedings</U>. There is no claim, charge, arbitration, grievance, action,
suit, investigation or proceeding by or before any court, arbiter,
administrative agency or other governmental authority now pending or, to the
best knowledge of Worldbid and Worldbid Sub, threatened against Worldbid or
Worldbid Sub which involves any of the business, or the properties or assets of
Worldbid or Worldbid Sub that, if adversely resolved or determined, would have a
material adverse effect on the business, operations, assets, properties,
prospects or conditions of Worldbid or Worldbid Sub taken as a whole. There is
no reasonable basis for any claim or action that, based upon the likelihood of
its being asserted and its success if asserted, would have such a material
adverse effect. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.6 <U>Financial
Representations</U>. The audited and unaudited financial statements of Worldbid
as filed with the United States Securities and Exchange Commission
(collectively, the <B>&#147;Worldbid Financial Statements</B>&#148;) (a) are in accordance
with the books and records of Worldbid and (b) present fairly the financial
condition of Worldbid as of the respective dates indicated and the results of
operations for such periods, except that any unaudited interim financial
statements were or will be subject to normal and recurring year-end adjustments.
Worldbid has not received any advice or notification from its independent
certified public accountants that Worldbid has used any improper accounting
practice that would have the effect of not reflecting or incorrectly reflecting
in the Worldbid Financial Statements or the books and records of Worldbid, any
properties, assets, liabilities, revenues, or expenses. The books, records, and
accounts of Worldbid accurately and fairly reflect, in reasonable detail, the
transactions, assets, and liabilities of Worldbid. Worldbid has not engaged in
any transaction, maintained any bank account, or used any funds of Worldbid,
except for transactions, bank accounts, and funds which have been and are
reflected in the normally maintained books and records of Worldbid. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.7 <U>Absence of Certain Changes
or Events</U>. Except as otherwise disclosed in Worldbid&#146;s filings made with the
US Securities and Exchange Commission, since October 31, 2006, Worldbid has not:
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(a)
incurred any liabilities, other than liabilities incurred in the ordinary course
of business consistent with past practice, or discharged or satisfied any lien
or encumbrance, or paid any liabilities, other than in the ordinary course of
business consistent with past practice, or failed to pay or discharge when due
any liabilities of which the failure to pay or discharge has caused or will
cause any material damage or risk of material loss to it or any of its assets or
properties; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(b)
sold, encumbered, assigned or transferred any fixed assets or properties which
would have been included in the assets of Worldbid if the closing had been held
on October 31, 2006 or on any date since then, except for ordinary course of
business transactions consistent with past practice; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(c)
created, incurred, assumed or guaranteed any indebtedness for money borrowed, or
mortgaged, pledged or subjected any of the assets or properties of Worldbid to
any mortgage, lien, pledge, security interest, conditional sales contract or
other encumbrance of any nature whatsoever; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(d) made
or suffered any amendment or termination of any material agreement, contract,
commitment, lease or plan to which it is a party or by which it is bound, or
cancelled, modified or waived any substantial debts or claims held by it or
waived any rights of substantial value, whether or not in the ordinary course of
business; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(e)
declared, set aside or paid any dividend or made or agreed to make any other
distribution or payment in respect of its capital shares or redeemed, purchased
or otherwise acquired or agreed to redeem, purchase or acquire any of its
capital shares or equity securities; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;(f)
suffered any damage, destruction or loss, whether or not covered by insurance,
materially and adversely its business, operations, assets, properties or
prospects; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)
suffered any material adverse change in its business, operations, assets,
properties, prospects or condition (financial or otherwise); </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)
received notice or had knowledge of any actual or threatened labor trouble,
termination, resignation, strike or other occurrence, event or condition of any
similar character which has had or might have an adverse effect on its business,
operations, assets, properties or prospects; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(i) made
commitments or agreements for capital expenditures or capital additions or
betterments exceeding in the aggregate $5,000, except such as may be involved in
ordinary repair, maintenance or replacement of its assets; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)
other than in the ordinary course of business, increase the salaries or other
compensation of, or made any advance (excluding advances for ordinary and
necessary business expenses) or loan to, any of its employees or made any
increase in, or any addition to, other benefits to which any of its employees
may be entitled; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;(k)
changed any of the accounting principles followed or the methods of applying
such principles; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)
entered into any transaction other than in the ordinary course of business
consistent with past practice; or </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (m) agreed,
whether in writing or orally, to do any of the foregoing. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.8 <U>Filings, Consents and
Approvals</U>. Except for any filings required by applicable securities laws,
the filing of the Articles of Merger pursuant to the Nevada Law, no filing or
registration with, no notice to and no permit, authorization, consent, or
approval of any public or governmental body or authority or other person or
entity is necessary for the consummation by Worldbid and Worldbid Sub of the
transactions </P>
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<P align=justify>contemplated by this Agreement or to enable Worldbid or
Worldbid Sub to continue to conduct its business after the Closing Date in<B>
</B>a manner which is consistent with that in which it is presently conducted.
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.9 <U>Material Contracts and
Transactions</U>. Other than as expressly contemplated by this Agreement, there
are no material contracts, agreements, licenses, permits, arrangements,
commitments, instruments, understandings or contracts, whether written or oral,
express or implied, contingent, fixed or otherwise, to which Worldbid or
Worldbid Sub is a party except as may be disclosed in Worldbid&#146;s SEC Documents
(as defined below) or retainer agreements with legal counsel and accountants
.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.10 <U>No Brokers</U>. Worldbid
an Worldbid Sub have not incurred any obligation or liability to any party for
any brokerage fees, agent's commissions, or finder's fees in connection with the
transactions contemplated by this Agreement for which Royalite or the Surviving
Corporation would be responsible. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.11 <U>Minute Books</U>. The
minute books of Worldbid and Worldbid Sub provided to Royalite contain a
complete summary of all meetings of directors and shareholders since the time of
incorporation of such entities and reflect all transactions referred to in such
minutes accurately in all material respects. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.12 <U>SEC Filings</U>. Worldbid
has furnished or made available to Royalite a true and complete copy of each
report, schedule, registration statement and proxy statement filed by Worldbid
with the SEC since the inception of Worldbid (as such documents have since the
time of their filing been amended, the <B>"</B><B><U>Worldbid</U></B><B>
</B><B><U>SEC Documents</U></B><B>"</B>). Worldbid has timely filed with the SEC
all documents required to have been filed pursuant to the Securities Act and the
Exchange Act. As of their respective dates, the Worldbid SEC Documents complied
in all material respects with the requirements of the Securities Act, or the
Exchange Act, as the case may be, and the rules and regulations of the SEC
thereunder applicable to such Worldbid SEC Documents, and none of Worldbid SEC
Documents contained any untrue statement of a material fact or omitted to state
a material fact required to be stated therein or necessary to make the
statements therein, in light of the circumstances under which they were made,
not misleading.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.13 <U>Completeness of
Disclosure</U>. No representation or warranty by Worldbid or Worldbid Sub in
this Agreement nor any certificate, schedule, statement, document or instrument
furnished or to be furnished to Royalite pursuant hereto contains or will
contain any untrue statement of a material fact or omits or will omit to state a
material fact required to be stated herein or therein or necessary to make any
statement herein or therein not materially misleading. </P>
<P align=center><B>SECTION 5<BR>CLOSING CONDITIONS</B> </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 <U>Conditions Precedent to
Closing by Worldbid and Worldbid Sub</U>. The obligations of Worldbid and
Worldbid Sub to consummate the Merger are subject to the satisfaction of the
conditions set forth below, unless any such condition is waived by Worldbid and
Worlbid Sub at Closing. The Closing of the transactions contemplated by this
Agreement will be deemed to mean a waiver of all conditions to Closing. These
conditions are for the sole benefit of Worldbid and Worldbid Sub and may be
waived by them at their sole discretion. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(a)
<U>Representations and Warranties</U>. The representations and warranties of
Royalite set forth in this Agreement will be true, correct and complete in all
respects as of the Closing Date, as though made on and as of the Closing Date
and Royalite will have delivered to Worldbid and Worldbid Sub a certificate
dated as of the Closing Date, to the effect that the representations and
warranties made by Royalite in this Agreement are true and correct. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(b)
<U>Performance</U>. All of the covenants and obligations that Royalite is
required to perform or to comply with pursuant to this Agreement at or prior to
the Closing must have been performed and complied with in all material respects.
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (c)
<U>Merger Documents</U>. This Agreement and all other Merger Documents necessary
or reasonably required to consummate the Merger, all in form and substance
reasonably satisfactory to Worldbid and Worldbid Sub, will have been executed
and delivered to Worldbid and Worldbid Sub. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(d)
<U>Secretary's Certificate &#150; Royalite</U>. Worldbid and Worldbid Sub will have
received a certificate of the Secretary of Royalite attaching (i) a copy of
Royalite's Articles of Incorporation, as amended through the Closing Date
certified by the Secretary of State of the State of Nevada; (ii) a true and
correct copy of Royalite's bylaws, as amended; (iii) certified copies of
resolutions duly adopted by the Board of Directors of Royalite and the Royalite
Stockholders approving the execution and delivery of this Agreement and the
other Merger Documents and the consummation of the Merger and the other
transactions contemplated hereby and thereby; and (iv) a certificate as to the
incumbency and signatures of the officers of Royalite executing this Agreement
and the Merger Documents executed on the Closing Date as contemplated by this
Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(e)
<U>Royalite Officer&#146;s Certificate</U>. Royalite will furnish Worldbid and
Worldbid Sub with a certificate of its Chief Executive Officer and Chief
Financial Officer as to the assets, liabilities and business affairs of
Royalite, dated as of the Closing Date and in a form and substance reasonably
satisfactory to Worldbid and its counsel. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(f)
<U>Exercise of Appraisal Rights</U>. The holders of no more than five percent
(5%) of the issued and outstanding shares of Royalite Common Stock will have
exercised appraisal rights under the Nevada Law as Dissenting Shareholders.
Royalite, Worldbid and Worldbid Sub will have resolved all matters of appraisal
and payment under the Nevada Law for each Dissenting Shareholder to Worldbid's
and Worldbid Sub&#146;s satisfaction. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(g)
<U>Supplement to Disclosure Schedules</U>. Any additional disclosures made in
the supplemental Disclosure Schedules of Royalite made pursuant to Section 7.3
of this Agreement will be acceptable to Worldbid and Worldbid Sub in their sole
discretion. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(h)
<U>Third Party Consents</U>. Royalite will have received duly executed copies of
all third-party consents and approvals contemplated by the Merger Documents, in
form and substance reasonably satisfactory to Worldbid and Worldbid Sub. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(i)
<U>No Material Adverse Change</U>. No Royalite Material Adverse Effect will have
occurred since the date of this Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(j)
<U>No Action</U>. No suit, action, or proceeding will be pending or threatened
before any governmental or regulatory authority wherein an unfavorable judgment,
order, decree, stipulation, injunction or charge would (i) prevent the
consummation of any of the transactions contemplated by this Agreement, or (ii)
cause the transactions to be rescinded following consummation. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(k)
<U>Due Diligence Review. </U>Worldbid and Worldbid Sub will be reasonably
satisfied in all respects with their due diligence investigation and review of
Royalite. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;(l)
<U>Compliance with Securities Laws</U>. Worldbid will have received evidence
satisfactory to Worldbid, in its sole discretion, that the Merger and all shares
of Worldbid Common Stock issuable in the Merger, comply with all applicable
securities laws. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (m)
<U>Financial Statements</U>. Royalite will have provided to Worldbid and
Worldbid Sub such financial statements as are, in the opinion of Worldbid&#146;s
auditors, required to permit Worldbid to make the necessary filings with the SEC
under the United States Securities Exchange Act of 1934, as amended, in
connection with the Merger, including, but not limited to, audited financial
statements for the fiscal period ended October 31, 2006. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 <U>Conditions Precedent to
Closing by Royalite</U>. The obligation of Royalite to consummate<B> </B>the
Merger is subject to the satisfaction of the conditions set forth below, unless
such condition is waived by Royalite at the Closing. The Closing of the Merger
will be deemed to mean a waiver of all conditions to Closing. These conditions
are for the sole benefit of Royalite and may be waived by Royalite at its sole
discretion. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(a)
<U>Representations and Warranties</U>. The representations and warranties of
Worldbid and Worldbid Sub set forth in<B> </B>this Agreement will be true,
correct and complete in all respects as of the Closing Date, as though made on
and as of the Closing Date and Worldbid and Worldbid Sub will have delivered to
Royalite certificates dated as of the Closing Date, to the effect that the
representations and warranties made by Worldbid and Worldbid Sub in this
Agreement are true and correct. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (b)
<U>Performance</U>. All of the covenants and obligations that Worldbid and
Worldbid Sub are required to perform or to comply with pursuant to this
Agreement at or prior to the Closing must have been performed and complied with
in all material respects. Worldbid and Worldbid Sub must have delivered each of
the documents required to be delivered by each of them pursuant to this
Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(c)
<U>Approval by Royalite Stockholders</U>. The Royalite Stockholders will have
approved and adopted this Agreement and the Merger as required by the Nevada
Law. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(d)
<U>Merger Documents</U>. This Agreement and all other Merger Documents necessary
or reasonably required to consummate the transaction contemplated by this
Agreement, all in form and substance reasonably satisfactory to Royalite, will
have been executed and delivered by Worldbid and Worldbid Sub, as applicable.
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(e)
<U>Secretary's Certificate &#150; Worldbid</U>. Royalite will have received a
certificate of the Secretary of Worldbid attaching (a) a copy of Worldbid's
Articles of Incorporation, as amended through the Closing Date, certified by the
Secretary of State of the State of Nevada; (b) a true and correct copy of
Worldbid's bylaws, as amended; (c) certified copies of resolutions duly adopted
by the Board of Directors of Worldbid approving the execution and delivery of
this Agreement and the other Merger Documents and the consummation of the Merger
and the other transactions contemplated hereby and thereby; and (d) a
certificate as to the incumbency and signatures of the officers of Worldbid
executing this Agreement and the Merger Documents executed by Worldbid on the
Closing Date as contemplated by this Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(f)
<U>Supplement to Disclosure Schedules</U>. Any additional disclosures made in
the supplemental Disclosure Schedules of Worldbid or Worldbid Sub made Pursuant
to Section 7.3 of this Agreement will be acceptable to Royalite in its sole
discretion. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(g)
<U>Third Party Consents</U>. Royalite will have received duly executed copies of
all third-party consents and approvals contemplated by the Merger Documents, in
form and substance reasonably satisfactory to Royalite. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(h)
<U>No Material Adverse</U>. No event will have occurred since the date of this
Agreement that has had a material adverse effect on the business, operations,
assets, properties, prospects or conditions of Worldbid taken as a whole.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(i)
<U>No Action</U>. No suit, action, or proceeding will be pending or threatened
before any governmental or regulatory authority wherein an unfavorable judgment,
order, decree, stipulation, injunction or charge would (i) prevent consummation
of any of the transactions contemplated by this Agreement; or (ii) cause the
transactions to be rescinded following consummation. </P>
<P align=center><B>SECTION 6<BR></B><B>ACTS TO BE TAKEN AFTER CLOSING</B> </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1 <U>Merger of Worldbid and
Worldbid Sub</U>. Worldbid and Worlbid Sub covenant and agree with each other
and with Royalite to, as soon as is reasonably practicable following the
Closing, merge Worldbid Sub with and into Worldbid pursuant to the provisions of
Section 92A.180 of the Nevada Law, with Worldbid continuing as the surviving
corporation, and that the name of the surviving corporation upon completion of
the merger between Worldbid and Worlbid Sub shall be Royalite Petroleum Company
Inc. </P>
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<P align=center><B>SECTION 7<BR></B><B>ADDITIONAL COVENANTS OF THE PARTIES</B>
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 <U>Access and
Investigation</U>. Between the date of this Agreement and the Closing Date,
Royalite, Worldbid, and Worldbid Sub, will, and will cause each of their
respective representatives to, (a) afford the other and its representatives full
and free access to its personnel, properties, contracts, books and records, and
other documents and data, (b) furnish the other and its representatives with
copies of all such contracts, books and records, and other existing documents
and data as required by this Agreement and as the other may otherwise reasonably
request, and (c) furnish the other and its representatives with such additional
financial, operating, and other data and information as the other may reasonably
request. All of such access, investigation and communication by a party and its
representatives will be conducted during normal business hours and in a manner
designed not to interfere unduly with the normal business operations of the
other party. Each party will instruct its auditors to cooperate with the other
party and its representatives in connection with such investigations. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 <U>Confidentiality</U>. All
information regarding the business of Royalite including, without limitation,
financial information that Royalite provides to Worldbid and Worldbid Sub during
Worldbid&#146;s and Worldbid Sub&#146;s due diligence investigations of Royalite will be
kept in strict confidence by Worldbid and Worldbid Sub and will not be used
(except in connection with due diligence), dealt with, exploited or
commercialized by Worldbid or Worldbid Sub or disclosed to any third party
(other than Worldbid&#146;s or Worldbid Sub&#146;s professional accounting and legal
advisors) without the prior written consent of Royalite. If the transactions
contemplated by this Agreement do not proceed for any reason, then upon receipt
of a written request from the Royalite, Worldbid and Worldbid Sub will
immediately return to Royalite any information received regarding Royalite&#146;s
business. Likewise, all information regarding the business of Worldbid
including, without limitation, financial information that Worldbid provides to
Royalite during its due diligence investigation of Worldbid will be kept in
strict confidence by Royalite and will not be used (except in connection with
due diligence), dealt with, exploited or commercialized by Royalite or disclosed
to any third party (other than Royalite&#146;s professional accounting and legal
advisors) without Worldbid&#146;s prior written consent. If the transactions
contemplated by this Agreement do not proceed for any reason, then upon receipt
of a written request from Worldbid, Royalite will immediately return to Worldbid
(or as directed by Worldbid) any information received regarding Worldbid&#146;s
business. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3 <U>Notification</U>. Between
the date of this Agreement and the Effective Time, each of the parties to this
Agreement will promptly notify the other parties in writing if it becomes aware
of any fact or condition that causes or constitutes a material breach of any of
its representations and warranties as of the date of this Agreement, if it
becomes aware of the occurrence after the date of this Agreement of any fact or
condition that would cause or constitute a material breach of any such
representation or warranty had such representation or warranty been made as of
the time of occurrence or discovery of such fact or condition. Should any such
fact or condition require any change in the Disclosure Schedules relating to
such party, such party will promptly deliver to the other parties a supplement
to the Disclosure Schedules specifying such change. During the same period, each
party will promptly notify the other parties of the occurrence of any material
breach of any of its covenant in this Agreement or of the occurrence of any
event that may make the satisfaction of such conditions impossible or unlikely.
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.4 <U>Exclusivity</U>. Until
such time, if any, as this Agreement is terminated pursuant to Article 7,
Royalite will not, directly or indirectly solicit, initiate, entertain or accept
any inquiries or proposals from, discuss or negotiate with, provide any
nonpublic information to, or consider the merits of any unsolicited inquiries or
proposals from, any person or entity (other than Worldbid) relating to any
transaction involving the sale of the business or assets (other than in the
ordinary course of business), or any of the capital stock of Royalite, or any
merger, consolidation, business combination, or similar transaction. Royalite
will promptly notify Worldbid and Worldbid Sub if it receive an unsolicited
offer for such a transaction, or obtains information that such an offer is
likely to be made, which notice will include the identity of the prospective
offeror and the price and terms of the proposed offer. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.5 <U>Conduct of Royalite
Business Prior to Closing</U>. From the date of this Agreement to the Closing
Date, and except to the extent that Worldbid and Worldbid Sub otherwise consent
in writing, Royalite will operate its business substantially as presently
operated and only in the ordinary course and in </P>
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<P align=justify>compliance with all applicable laws, and use its best efforts
to preserve intact its good reputation and present business organization and to
preserve its relationships with persons having business dealings with it. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.6 <U>Certain Acts Prohibited -
Royalite</U>. Between the date of this Agreement and the Closing Date, Royalite
will not, without the prior written consent of Worldbid and Worldbid Sub: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a)
amend its Articles of Incorporation, bylaws or other organizational documents;
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(b)
incur any liability or obligation other than in the ordinary course of business
or encumber or permit the encumbrance of any properties or assets of Royalite,
except as disclosed in a Disclosure Schedule to this Agreement; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)
dispose of or contract to dispose of any Royalite property or assets except in
the ordinary course of business consistent with past practice; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)
issue, deliver, sell, pledge or otherwise encumber or subject to any lien any
shares of the Royalite Stock, or any rights, warrants or options to acquire, any
such shares, voting securities or convertible securities; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) (i)
declare, set aside or pay any dividends on, or make any other distributions in
respect of the Royalite Stock, or (ii) split, combine or reclassify any Royalite
Stock or issue or authorize the issuance of any other securities in respect of,
in lieu of or in substitution for shares of Royalite Stock; or </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)
materially increase benefits or compensation expenses of Royalite, other than as
contemplated by the terms of any employment agreement in existence on the date
of this Agreement, increase the cash compensation of any director, executive
officer or other key employee or pay any benefit or amount not required by a
Plan or arrangement as in effect on the date of this Agreement to any such
person. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.7 <U>Certain Acts Prohibited &#150;
Worldbid and Worldbid Sub</U>. Between the date of this Agreement and the
Closing Date, Worldbid and Worldbid Sub will not, without the prior written
consent of Royalite: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(a)
amend their respective Articles of Incorporation, bylaws or other organizational
documents; </P>
<P align=justify>&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) incur any
liability or obligation other than in the ordinary course of business or
encumber or permit the encumbrance of any properties or assets of Worldbid or
Worldbid Sub, except as disclosed in a Disclosure Schedule to this Agreement;
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)
dispose of or contract to dispose of any Worldbid or Worldbid Sub property or
assets except in the ordinary course of business consistent with past
practice;</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;(d)
issue or sell shares of Worldbid Stock or Worldbid Sub Stock, or any rights,
warrants or options to acquire, any such shares, voting securities or
convertible securities, other than under the Worldbid Financing # 1 or the
Worldbid Financing #2 as described in Disclosure Schedule 4.3; or </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)
except for the Worldbid Canada Spinoff described in Paragraph 8 to this
Agreement, (i) declare, set aside or pay any dividends on, or make any other
distributions in respect of the Worldbid Stock, or (ii) split, combine or
reclassify any Worldbid Stock or issue or authorize the issuance of any other
securities in respect of, in lieu of or in substitution for shares of Worldbid
Stock; or </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;(f)
materially increase benefits or compensation expenses of Worldbid or Worldbid
Sub, other than as contemplated by the terms of any employment agreement in
existence on the date of this Agreement, increase the cash compensation of any
director, executive officer or other key employee or pay any benefit or amount
not required by a Plan or arrangement as in effect on the date of this Agreement
to any such person. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.8 <U>Public Announcements</U>.
Worldbid, Worldbid Sub and Royalite each agree that they will not release or
issue any reports or statements or make any public announcements relating to
this Agreement or </P>
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<P align=justify>the transactions contemplated herein without the prior written
consent of the other party, except as may be required upon written advice of
counsel to comply with applicable laws or regulatory requirements after
consulting with the other party hereto and seeking their consent to such
announcement. </P>
<P align=center><B>SECTION 8<BR>TERMINATION</B> </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.1 <U>Termination</U>. This
Agreement may be terminated at any time prior to the Effective Time of the
transactions contemplated hereby by: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (a)
Mutual agreement of Worldbid, Worldbid Sub and Royalite; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;(b)
Worldbid and Worldbid Sub, if there has been a breach by Royalite of any
material representation, warranty, covenant or agreement set forth in this
Agreement on the part of Royalite that is not cured, to the reasonable
satisfaction of Worldbid or Worldbid Sub, within ten business days after notice
of such breach is given by Worldbid or Worldbid Sub (except that no cure period
will be provided for a breach by Royalite that by its nature cannot be cured);
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)
Royalite, if there has been a breach by Worldbid or Worldbid Sub of any material
representation, warranty, covenant or agreement set forth in this Agreement on
the part of Worldbid or Worldbid Sub that is not cured by the breaching party,
to the reasonable satisfaction of Royalite, within ten business days after
notice of such breach is given by Royalite (except that no cure period will be
provided for a breach by Worldbid or Worldbid Sub that by its nature cannot be
cured); or </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;(d)
Worldbid, Worldbid Sub or Royalite, if the transactions contemplated by this
Agreement have not been consummated prior to February 28, 2007, unless the
parties agree to extend such date. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.2 <U>Effect of Termination</U>.
In the event of the termination of this Agreement as provided in Section 7.1,
this Agreement will be of no further force or effect, provided, however, that no
termination of this Agreement will relieve any party of liability for any
breaches of this Agreement that are based on a wrongful refusal or failure to
perform any obligations. </P>
<P align=center><B>SECTION 9<BR></B><B>TERMINATION OF PRIOR AGREEMENTS</B> </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.1 <U>Entire Agreement</U>. This
Agreement, the exhibits, schedules attached hereto and the other Merger
Documents contain the entire agreement between the parties with respect to the
subject matter hereof and supersede all prior arrangements and understandings,
both written and oral, expressed or implied, with respect thereto, including,
but not limited to, the Agreement and Plan of Merger entered into on August 23,
2006 by Worldbid and Royalite (the <B>&#147;Prior Plan of Merger&#148;</B>). Any preceding
agreements, correspondence or offers are expressly superseded and terminated by
this Agreement, including, but not limited to, the Prior Plan of Merger. </P>
<P align=center><STRONG>SECTION 10<BR>MISCELLANEOUS PROVISIONS</STRONG> </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1 <U>Effectiveness of
Representations; Survival</U>. Each party is entitled to rely on the
representations, warranties and agreements of each of the other parties and all
such representation, warranties and agreement will be effective regardless of
any investigation that any party has undertaken or failed to undertake. The
representation, warranties and agreements will survive the Closing Date and
continue in full force and effect until the first anniversary of the Closing
Date; provided that the representations and warranties regarding Taxes will
survive until the expiration of any applicable statute of limitations. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.2 <U>Further Assurances</U>.
Each of the parties hereto will cooperate with the others and execute and
deliver to the other parties hereto such other instruments and documents and
take such other actions as may be reasonably requested from time to time by any
other party hereto as necessary to carry out, evidence, and confirm the intended
purposes of this Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.3 <U>Amendment</U>. This
Agreement may not be amended except by an instrument in writing signed by each
of the parties. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.4 <U>Expenses</U>. Each party
to this Agreement will bear its respective expenses incurred in connection with
the preparation, execution, and performance of this Agreement and the
transactions contemplated hereby, including all fees and expenses of agents,
representatives, counsel, and accountants.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.5 <U>Severability</U>. It is
the desire and intent of the parties that the provisions of the Merger Documents
be enforced to the fullest extent permissible under the law and public policies
applied in each jurisdiction in which enforcement is sought. Accordingly, if any
provision of the Merger Documents will for any reason be held or adjudged to be
invalid, illegal, or unenforceable by any court of competent jurisdiction, such
paragraph or part thereof so adjudicated invalid, illegal, or unenforceable will
be deemed separate, distinct, and independent, and the remainder of the Merger
Documents will remain in full force and effect and will not be affected by such
holding or adjudication. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.6 <U>Notices</U>. All notices
and other communications required or permitted under to this Agreement must be
in writing and will be deemed given if sent by personal delivery, faxed with
electronic confirmation of delivery, internationally-recognized express courier
or registered or certified mail (return receipt requested), postage prepaid, to
the parties at the following addresses (or at such other address for a party as
will be specified by like notice): </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>

  <TR vAlign=top>
    <TD align=left>If to Royalite: </TD></TR>
  <TR>
    <TD>&nbsp; </TD></TR>
  <TR vAlign=bottom>
    <TD
      align=left>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      ROYALITE PETROLEUM CORP. </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;2215 Lucerne Circle </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Henderson, NV 89014 </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Attention: Michael L. Cass, President </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Telephone: 702-451-4981 </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Fax: 702-451-4939 </TD></TR>
  <TR>
    <TD>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left>If to Worldbid or Worldbid Sub: </TD></TR>
  <TR>
    <TD>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;WORLDBID CORPORATION </TD></TR>
  <TR vAlign=bottom>
    <TD
      align=left>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      810 Peace Portal Road, Suite 201 </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Blaine, WA 98230 </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Attention: Logan B. Anderson, President </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Telephone: 360-201-0400 </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Fax: 561-209-5144 </TD></TR></TABLE>
<P align=justify>All such notices and other communications will be deemed to
have been received (a) in the case of personal delivery, on the date of such
delivery, (b) in the case of a fax, when the party sending such fax has received
electronic confirmation of its delivery, (c) in the case of delivery by
internationally-recognized express courier, on the business day following
dispatch and (d) in the case of mailing, on the fifth business day following
mailing. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.7 <U>Headings</U>. The
headings contained in this Agreement are for convenience purposes only and will
not affect in any way the meaning or interpretation of this Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.8 <U>Benefits</U>. This
Agreement is and will only be construed as for the benefit of or enforceable by
those persons party to this Agreement. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.9 <U>Assignment</U>. This
Agreement may not be assigned (except by operation of law) by any party without
the consent of the other parties. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.10 <U>Governing Law</U>. This
Agreement will be governed by and construed in accordance with the laws of the
State of Nevada applicable to contracts made and to be performed therein. The
parties hereby (i) submit to personal jurisdiction in the State of Nevada, and
(ii) waive any and all rights under the laws of any state to object to
jurisdiction within the State of Nevada for the purposes of litigation to
enforce this Agreement. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.11 <U>Construction</U>. The
language used in this Agreement will be deemed to be the language chosen by the
parties to express their mutual intent, and no rule of strict construction will
be applied against any party.</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.12 <U>Counterparts</U>. This
Agreement may be executed in one or more counterparts, all of which will be
considered one and the same agreement and will become effective when one or more
counterparts have been signed by each of the parties and delivered to the other
parties, it being understood that all parties need not sign the same
counterpart. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.13 <U>Fax Execution</U>. This
Agreement may be executed by delivery of executed signature pages by fax and
such fax execution will be effective for all purposes. </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.14 <U>Schedules and
Exhibits</U>. The schedules and exhibits are attached to this Agreement and
incorporated herein. </P>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.15 <U>Independent Legal
Advice</U>. Royalite acknowledges that O&#146;Neill Law Group PLLC have acted solely
for Worldbid and Worldbid Sub in the negotiation and execution of this Agreement
and O&#146;Neill Law Group PLLC have advised Royalite to obtain the advice of their
independent legal counsel. </P>
<P align=justify><B>IN WITNESS WHEREOF</B> the parties hereto have executed this
agreement as of the day and year first above written. </P>
<P align=justify><B>WORLDBID CORPORATION<BR></B>a Nevada corporation by
its<BR>authorized signatory: </P>
<P align=justify>_____________________________<BR>Signature of Authorized
Signatory </P>
<P align=justify>Logan B. Anderson <BR>_____________________________<BR>Name of
Authorized Signatory </P>
<P align=justify>President <BR>____________________________<BR>Position of
Authorized Signatory </P>
<P align=justify><B>ROYALITE ACQUISITION CORP.<BR></B>a Nevada corporation by
its<BR>authorized signatory: </P>
<P align=justify><I>/s/ Logan B. Anderson
<BR></I>_____________________________<BR>Signature of Authorized Signatory </P>
<P align=justify>Logan B. Anderson <BR>_____________________________<BR>Name of
Authorized Signatory </P>
<P align=justify>President <BR>____________________________<BR>Position of
Authorized Signatory </P>
<P align=justify><B>ROYALITE PETROLEUM CORP.<BR></B>a Nevada corporation by
its<BR>authorized signatory: </P>
<P align=justify><I>/s/ Michael L.
Cass<BR></I>_____________________________<BR>Signature of Authorized Signatory
</P>
<P align=justify>Michael L. Cass <BR>_____________________________<BR>Name of
Authorized Signatory </P>
<P align=justify>President <BR>
  ____________________________<BR>
  Position of Authorized Signatory </P>
<P align=center>22 of 22</P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 1.1A</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center
    >&nbsp;</TD>
  </TR>
</TABLE>
<P align=center><B>ARTICLES OF MERGER </B></P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 2.2A</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CERTIFICATE OF NON-U.S. SHAREHOLDER OF WORLDBID CORPORATION</B>
    </TD>
  </TR>
</TABLE>
<P align=justify>In connection with the issuance of common stock (the "Worldbid
  Common Stock") of WORLDBID CORPORATION ("Worldbid"), a Nevada corporation, to
  the undersigned, pursuant to that certain Amended and Restated Agreement and
  Plan of Merger between Worldbid, Royalite Acquisition Corp., a Nevada corporation
  (&#147;Worldbid Sub&#148;) and ROYALITE PETROLEUM CORP., a Nevada corporation
  ("Royalite"), the undersigned hereby covenants, represents and warrants with
  and to Worldbid, Worldbid Sub and Royalite as follows, and acknowledges that
  Worldbid, Worldbid Sub and Royalite are relying on such covenants, representations
  and warranties in connection with the issuance of Worldbid Common Stock to the
  undersigned as contemplated in the Amended and Restated Agreement and Plan of
  Merger: </P>
<P align=justify>1. is not a "U.S. Person" as such term is defined by Rule 902
  of Regulation S under the United States Securities Act of 1933, as amended ("U.S.
  Securities Act") (the definition of which includes, but is not limited to, an
  individual resident in the U.S. and an estate or trust of which any executor
  or administrator or trust, respectively is a U.S. Person and any partnership
  or corporation organized or incorporated under U.S. laws); </P>
<P align=justify>2. was outside the U.S. when the shareholders of Royalite approved
  of the Merger (as such is defined in the Amended and Restated Agreement and
  Plan of Merger); </P>
<P align=justify>3. the Worldbid Common Stock is not being acquired, directly
  or indirectly, for the account or benefit of a U.S. Person or a person in the
  United States; </P>
<P align=justify>4. acknowledges and agrees not to engage in hedging transactions
  with regard to the Worldbid Common Stock prior to the expiration of the one
  (1) year distribution compliance period set forth in Rule 903(b)(3) of Regulation
  S under the U.S. Securities Act; </P>
<P align=justify>5. acknowledges and agrees that Worldbid shall refuse to register
  any transfer of the Worldbid Common Stock not made in accordance with the provisions
  of Regulation S, pursuant to registration under the U.S. Securities Act, or
  pursuant to an available exemption from registration under the U.S. Securities
  Act; </P>
<P align=justify>6. understands and agrees that the Worldbid Common Stock will
  bear the following legend: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD width="10%" align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>"<B>THE SECURITIES REPRESENTED
        HEREBY HAVE NOT BEEN REGISTERED UNDER THE</B> <B>SECURITIES ACT OF 1933
        (THE "ACT"), AND HAVE BEEN ISSUED IN RELIANCE UPON AN</B> <B>EXEMPTION
        FROM THE REGISTRATION REQUIREMENTS OF THE ACT PROVIDED BY</B> <B>REGULATION
        S PROMULGATED UNDER THE ACT.</B> <B>SUCH SECURITIES MAY NOT BE</B> <B>REOFFERED
        FOR SALE OR RESOLD OR OTHERWISE TRANSFERRED EXCEPT IN</B> <B>ACCORDANCE
        WITH THE PROVISIONS OF REGULATION S, PURSUANT TO AN EFFECTIVE</B> <B>REGISTRATION
        UNDER THE ACT, OR PURSUANT TO AN AVAILABLE EXEMPTION FROM</B> <B>REGISTRATION
        UNDER THE ACT. HEDGING TRANSACTIONS INVOLVING THE SECURITIES</B> <B>MAY
        NOT BE CONDUCTED UNLESS IN COMPLIANCE WITH THE ACT</B>." </P></TD>
    <TD align=left
width="10%">&nbsp;</TD>
  </TR>
</TABLE>
<P align=justify><B>IN WITNESS WHEREOF</B>, I have executed this Certificate of
  Non-U.S. Shareholder. </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp;</TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="42%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Signature </TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD align=left width="42%">Date </TD>
  </TR>
  <TR>
    <TD align=left>&nbsp;</TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD align=left width="42%">&nbsp;</TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp;</TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="42%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Print Name </TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD align=left width="42%">Title (if Applicable) </TD>
  </TR>
  <TR>
    <TD align=left>&nbsp;</TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD align=left width="42%">&nbsp;</TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp;</TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD align=left width="42%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Address </TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD align=left width="42%">&nbsp; </TD>
  </TR>
  <TR>
    <TD align=left>&nbsp;</TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD align=left width="42%">&nbsp;</TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp;</TD>
    <TD align=left width="15%">&nbsp;</TD>
    <TD align=left width="42%">&nbsp;</TD>
  </TR>
</TABLE>
<BR>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 2.2B</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND REESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CERTIFICATE OF U.S. SHAREHOLDER OF WORLDBID CORPORATION</B>
    </TD>
  </TR>
</TABLE>
<P align=justify>In connection with the issuance of common stock (the "Worldbid
  Common Stock") of WORLDBID CORPORATION (&#147;Worldbid&#148;), a Nevada corporation,
  to the undersigned, pursuant to that certain Amended and Restated Agreement
  and Plan of Merger between Worldbid, Royalite Acquisition Corp., a Nevada corporation
  (&#147;Worldbid Sub&#148;) and ROYALITE PETROLEUM CORP., a Nevada corporation
  ("Royalite"), the undersigned hereby covenants, represents and warrants with
  and to Worldbid, Worldbid Sub and Royalite as follows, and acknowledges that
  Worldbid, Worldbid Sub and Royalite are relying on such covenants, representations
  and warranties in connection with the issuance of Worldbid Common Stock to the
  undersigned as contemplated in the Amended and Restated Agreement and Plan of
  Merger: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >1. </TD>
    <TD align=left width="95%"><U>Acquired Entirely for Own Account</U>. </TD>
  </TR>
</TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned represents and
  warrants that he, she or it is acquiring the Worldbid Common Stock solely for
  the undersigned&#146;s own account for investment and not with a view to or
  for sale or distribution of the Worldbid Common Stock or any portion thereof
  and without any present intention of selling, offering to sell or otherwise
  disposing of or distributing the Worldbid Common Stock or any portion thereof
  in any transaction other than a transaction complying with the registration
  requirements of the U.S. Securities Act of 1933, as amended (the "Securities
  Act"), and applicable state and provincial securities laws, or pursuant to an
  exemption therefrom. The undersigned also represents that the entire legal and
  beneficial interest of the Worldbid Common Stock that he, she or it is acquiring
  is being acquired for, and will be held for, the undersigned&#146;s account
  only, and neither in whole nor in part for any other person or entity. </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >2. </TD>
    <TD align=left width="95%"><U>Information Concerning Worldbid</U>. </TD>
  </TR>
</TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned acknowledges that
  he, she or it has received all such information as the undersigned deems necessary
  and appropriate to enable him, her or it to evaluate the financial risk inherent
  in making an investment in the Worldbid Common Stock, including but not limited
  to Worldbid&#146;s Form 10-KSB filed with the U.S. Securities and Exchange Commission,
  and the documents and materials included therewith, which includes a description
  of the risks inherent in an investment in Worldbid and an Information Statement
  in connection with the Merger (as such term is defined in the Amended and Restated
  Agreement and Plan of Merger) (the "Disclosure Documents"). The undersigned
  further acknowledges that he, she or it has received satisfactory and complete
  information concerning the business and financial condition of Worldbid in response
  to all inquiries in respect thereof.</P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >3. </TD>
    <TD align=left width="95%"><U>Economic Risk and Suitability</U>. </TD>
  </TR>
</TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; The undersigned represents and warrants
  as follows: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the undersigned realizes that
  the Worldbid Common Stock involves a high degree of risk and are a speculative
  investment, and that he, she or it is able, without impairing the undersigned&#146;s
  financial condition, to hold the Worldbid Common Stock for an indefinite period
  of time; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the undersigned recognizes
  that there is no assurance of future profitable operations and that investment
  in Worldbid involves substantial risks, and that the undersigned has taken full
  cognizance of and understands all of the risk factors related to the Worldbid
  Common Stock; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the undersigned has carefully
  considered and has, to the extent the undersigned believes such discussion necessary,
  discussed with the undersigned&#146;s professional legal, tax and financial
  advisors the suitability of an investment in Worldbid for the particular tax
  and financial situation of the undersigned and that the undersigned and/or the
  undersigned&#146;s advisors have determined that the Worldbid Common Stock is
  a suitable investment for the undersigned; </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the financial condition and
  investment of the undersigned are such that he, she or it is in a financial
  position to hold the Worldbid Common Stock for an indefinite period of time
  and to bear the economic risk of, and withstand a complete loss of, the value
  of the Worldbid Common Stock; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the undersigned alone, or with
  the assistance of professional advisors, has such knowledge and experience in
  financial and business matters that the undersigned is capable of evaluating
  the merits and risks of acquiring the Worldbid Common Stock, or has a pre-existing
  personal or business relationship with Worldbid or any of its officers, directors,
  or controlling persons of a duration and nature that enables the undersigned
  to be aware of the character, business acumen and general business and financial
  circumstances of Worldbid or such other person; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the undersigned has carefully
  read the Disclosure Documents and Worldbid has made available to the undersigned
  or the undersigned&#146;s advisors all information and documents requested by
  the undersigned relating to investment in the Worldbid Common Stock, and has
  provided answers to the undersigned&#146;s satisfaction to all of the undersigned&#146;s
  questions concerning Worldbid; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) if the undersigned is a partnership,
  trust, corporation or other entity: (1) it was not organized for the purpose
  of acquiring the Worldbid Common Stock (or all of its equity owners are "accredited
  investors" as defined in Section 6 below); (2) it has the power and authority
  to execute this Certificate and the person executing said document on its behalf
  has the necessary power to do so; (3) its principal place of business and principal
  office are located within the state set forth in its address below; and (4)
  all of its trustees, partners and/or shareholders, whichever the case may be,
  are bona fide residents of said state; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) the undersigned understands
  that neither Worldbid nor any of its officers or directors has any obligation
  to register the Worldbid Common Stock under any federal or other applicable
  securities act or law; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the undersigned has relied
  solely upon the Disclosure Documents, advice of his or her representatives,
  if any, and independent investigations made by the undersigned and/or his or
  her the undersigned representatives, if any, in making the decision to acquire
  the Worldbid Common Stock and acknowledges that no representations or agreements
  other than those set forth in the Disclosure Documents have been made to the
  undersigned in respect thereto; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) all information which the undersigned
  has provided concerning the undersigned himself, herself or itself is correct
  and complete as of the date set forth below, and if there should be any material
  change in such information prior to the issuance of the Worldbid Common Stock,
  he, she or it will immediately provide such information to Worldbid; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) the undersigned confirms that
  the undersigned has received no general solicitation or general advertisement
  and has attended no seminar or meeting (whose attendees have been invited by
  any general solicitation or general advertisement) and has received no advertisement
  in any newspaper, magazine, or similar media, broadcast on television or radio
  regarding acquiring the Worldbid Common Stock; and </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) the undersigned is at least
  21 years of age and is a citizen of the United States residing at the address
  indicated below. </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >4. </TD>
    <TD align=left width="95%"><U>Restricted Securities</U>. </TD>
  </TR>
</TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; The undersigned acknowledges that Worldbid
  has hereby disclosed to the undersigned in writing that: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0 BCLLIST>
  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%">(a) </TD>
    <TD> <P align=justify>the shares of Worldbid Common Stock that the undersigned
        is acquiring have not been registered under the Securities Act or the
        securities laws of any state of the United States, and such securities
        must be held indefinitely unless a transfer of them is subsequently registered
        under the Securities Act or an exemption from such registration is available;
        and</P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(b) </TD>
    <TD> <P align=justify>Worldbid will make a notation in its records of the
        above described restrictions on transfer and of the legend described below.</P></TD>
  </TR>
</TABLE>
<BR>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<A name=page_5></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >5. </TD>
    <TD align=left width="95%"><U>Legends.</U> </TD>
  </TR>
</TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned agrees that the
  share certificates representing the shares of Worldbid Common Stock to be issued
  to him, her or it pursuant to the Amended and Restated Agreement and Plan of
  Merger will bear the following legend: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD width="10%" align=left  >&nbsp;</TD>
    <TD align=left width="80%"> <P align=justify><B>&#147;THE SECURITIES REPRESENTED
        BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED</B> <B>UNDER THE SECURITIES
        ACT OF 1933 (THE "ACT"), AND HAVE BEEN ISSUED IN RELIANCE</B> <B>UPON
        AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE ACT PROVIDED</B>
        <B>BY REGULATION D PROMULGATED UNDER THE ACT. SUCH SECURITIES MAY NOT
        BE</B> <B>REOFFERED FOR SALE OR RESOLD OR OTHERWISE TRANSFERRED EXCEPT
        PURSUANT</B> <B>TO AN EFFECTIVE REGISTRATION UNDER THE ACT OR PURSUANT
        TO AN AVAILABLE</B> <B>EXEMPTION FROM REGISTRATION UNDER THE ACT.&#148;</B>
      </P></TD>
    <TD align=left width="10%"
      >&nbsp;</TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >6. </TD>
    <TD align=left width="95%"><U>Suitable Investor</U>. </TD>
  </TR>
</TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In order to establish the qualification
  of the undersigned to acquire the Worldbid Common Stock, the information below
  must be supplied. </P>
<P align=justify>The undersigned is an "accredited investor," as defined in Securities
  and Exchange Commission (the "SEC") Rule 501. An "accredited investor" is one
  who meets any of the requirements set forth below. The undersigned represents
  and warrants that the undersigned falls within the category (or categories)
  marked.</P>
<P align=justify><B><U>PLEASE INDICATE EACH CATEGORY OF ACCREDITED INVESTOR THAT
  YOU, THE UNDERSIGNED,</U></B><B> </B><B><U>SATISFY, BY PLACING AN "X" ON THE
  APPROPRIATE LINE BELOW.</U></B><B> </B></P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD width="5%"  >_____</TD>
    <TD align=left >Category 1. </TD>
    <TD align=left width="80%"> <P align=justify>A bank, as defined in Section
        3(a)(2) of the Securities Act, whether acting in its individual or fiduciary
        capacity; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 2. </TD>
    <TD align=left width="80%"> <P align=justify>A savings and loan association
        or other institution as defined in Section 3(a)(5)(A) of the Securities
        Act, whether acting in its individual or fiduciary capacity; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 3. </TD>
    <TD align=left width="80%"> <P align=justify>A broker or dealer registered
        pursuant to Section 15 of the Securities Exchange Act of 1934; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 4. </TD>
    <TD align=left width="80%"> <P align=justify>An insurance company as defined
        in Section 2(a)(13) of the Securities Act; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 5. </TD>
    <TD align=left width="80%"> <P align=justify>An investment company registered
        under the Investment Company Act of 1940; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 6. </TD>
    <TD align=left width="80%"> <P align=justify>A business development company
        as defined in Section 2(a)(48) of the Investment Company Act of 1940;
        or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 7. </TD>
    <TD align=left width="80%"> <P align=justify>A small business investment company
        licensed by the U.S. Small Business Administration under Section 301(c)
        or (d) of the Small Business Investment Act of 1958; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 8. </TD>
    <TD align=left width="80%"> <P align=justify>A plan established and maintained
        by a state, its political subdivision or any agency or instrumentality
        of a state or its political subdivisions, for the benefit of its employees,
        with assets in excess of $5,000,000; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 9. </TD>
    <TD align=left width="80%"> <P align=justify>An employee benefit plan within
        the meaning of the Employee Retirement Income Security Act of 1974 in
        which the investment decision is made by a plan fiduciary, as defined
        in Section 3(21) of such Act, which is either a bank, savings and loan
        association, insurance company or registered investment advisor, or an
        employee benefit plan with total assets in excess of $5,000,000 or, if
        a self-directed plan, the investment decisions are made solely by persons
        who are accredited investors; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 10. </TD>
    <TD align=left width="80%"> <P align=justify>A private business development
        company as defined in Section 202(a)(22) or the Investment Advisers Act
        of 1940; or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 11. </TD>
    <TD align=left width="80%"> <P align=justify>An organization described in
        Section 501(c)(3) of the Internal Revenue Code, a corporation, a Massachusetts
        or similar business trust, or a partnership, not formed for the specific
        purpose of acquiring the Interest, with total assets in excess of $5,000,000;
        or </P></TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" > <P align=justify>&nbsp;</P></TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 12. </TD>
    <TD align=left width="80%"> <P align=justify>A director or executive officer
        of Worldbid; or </P></TD>
  </TR>
</TABLE>
<BR>
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noShade SIZE=5>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD width="5%"  >_____</TD>
    <TD align=left >Category 13. </TD>
    <TD align=left width="80%">A natural person whose individual net worth, or
      joint net worth with that person&#146;s spouse, at the time of this purchase
      exceeds $1,000,000; or </TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 14. </TD>
    <TD align=left width="80%">A natural person who had an individual income in
      excess of $200,000 in each of the two most recent years or joint income
      with that person&#146;s spouse in excess of $300,000 in each of those years
      and has a reasonable expectation of reaching the same income level in the
      current year; or</TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 15. </TD>
    <TD align=left width="80%">A trust, with total assets in excess of $5,000,000,
      not formed for the specific purpose of acquiring the Interest, whose purchase
      is directed by a sophisticated person as described in SEC Rule 506(b)(2)(ii);
      or </TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="80%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >_____</TD>
    <TD align=left >Category 16. </TD>
    <TD align=left width="80%">An entity in which all of the equity owners are
      accredited investors. </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >7. </TD>
    <TD align=left width="95%"><U>Understandings</U>. </TD>
  </TR>
</TABLE>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp; The undersigned understands, acknowledges
  and agrees that: </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) no federal or state agency
  has made any finding or determination as to the accuracy or adequacy of the
  Disclosure Documents or as to the fairness of the terms of this offering for
  investment nor any recommendation or endorsement of the Worldbid Common Stock;
</P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) this offering is intended to
  be exempt from registration under the Securities Act by virtue of Section 4(2)
  of the Securities Act, which is in part dependent upon the truth, completeness
  and accuracy of the statements made by the undersigned herein; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the shares of Worldbid Common
  Stock to be issued to the undersigned pursuant to the Amended and Restated Agreement
  and Plan of Merger will be "restricted securities" in the U.S. under the Securities
  Act. There can be no assurance that the undersigned will be able to sell or
  dispose of the Worldbid Common Stock. It is understood that in order not to
  jeopardize this offering&#146;s exempt status under Section 4(2) of the Act,
  any transferee may, at a minimum, be required to fulfill the investor suitability
  requirements thereunder; </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the representations, warranties
  and agreements of the undersigned contained herein and in any other writing
  delivered in connection with the transactions contemplated hereby shall be true
  and correct in all respects on and as of the date the Worldbid Common Stock
  is acquired as if made on and as of such date; and </P>
<P align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (e) <B>THE WORLDBID COMMON STOCK
  MAY NOT BE TRANSFERRED, RESOLD OR OTHERWISE DISPOSED OF EXCEPT AS PERMITTED
  UNDER THE SECURITIES ACT AND ANY OTHER APPLICABLE SECURITIES LAWS, PURSUANT
  TO REGISTRATION OR EXEMPTION THEREFROM. THE UNDERSIGNED SHOULD BE AWARE THAT
  THEY WILL BE REQUIRED TO BEAR THE FINANCIAL RISKS OF THIS INVESTMENT FOR AN
  INDEFINITE PERIOD OF TIME. </B></P>
<P align=justify>IN WITNESS WHEREOF, I have executed this Certificate of U.S.
  Shareholder. </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    >&nbsp;</TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="42%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Signature </TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD align=left width="42%">Date </TD>
  </TR>
  <TR>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD align=left width="42%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    >&nbsp;</TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="42%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Print Name </TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD align=left width="42%">Title (if Applicable) </TD>
  </TR>
  <TR>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD align=left width="42%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    >&nbsp;</TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD align=left width="42%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Address </TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD align=left width="42%">&nbsp; </TD>
  </TR>
  <TR>
    <TD align=left >&nbsp;</TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD align=left width="42%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    >&nbsp;</TD>
    <TD align=left width="15%"  >&nbsp;</TD>
    <TD align=left width="42%" >&nbsp;</TD>
  </TR>
</TABLE>
<BR>
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noShade SIZE=5>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 3.4</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CAPITALIZATION OF ROYALITE</B> </TD>
  </TR>
</TABLE>
<P align=justify>Royalite has issued the following shares of common stock: </P>
<DIV>
  <TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
borderColor=#000000 cellSpacing=0 cellPadding=2 width="100%" border=1>
    <TR vAlign=top>
      <TD align=right ><B>Number of Shares</B> </TD>
      <TD align=left width="49%"><B>Description</B> </TD>
      <TD align=right width="25%" ><B>Amount</B> </TD>
    </TR>
    <TR vAlign=top>
      <TD align=right >18,000,000 <BR></TD>
      <TD align=left width="49%">Shares of Common Stock at a price of $0.001 per
        share <BR>
        effective February 8, 2006 </TD>
      <TD align=right width="25%" >$18,000 <BR></TD>
    </TR>
    <TR vAlign=top>
      <TD align=right >3,000,000 <BR></TD>
      <TD align=left width="49%">Shares of Common Stock at a price of $0.001 per
        share <BR>
        (deemed) effective February 8, 2006 </TD>
      <TD align=right width="25%" >3,000 <BR></TD>
    </TR>
    <TR vAlign=top>
      <TD align=right >2,000,000 <BR></TD>
      <TD align=left width="49%">Shares of Common Stock at a price of $0.10 per
        share <BR>
        effective March 2, 2006 </TD>
      <TD align=right width="25%" >200,000 <BR></TD>
    </TR>
    <TR vAlign=top>
      <TD align=right >100,000 <BR></TD>
      <TD align=left width="49%">Shares of Common Stock at a price of $0.10 per
        share <BR>
        effective March 3, 2006 </TD>
      <TD align=right width="25%" >10,000 <BR></TD>
    </TR>
    <TR vAlign=top>
      <TD align=right >1,860,667 <BR></TD>
      <TD align=left width="49%">Shares of Common Stock at a price of $0.30 per
        share <BR>
        effective April 30, 2006 </TD>
      <TD align=right width="25%" >558,200 <BR></TD>
    </TR>
    <TR vAlign=top>
      <TD align=right ><B>24,960,667</B> </TD>
      <TD align=left width="49%"><B>TOTAL</B> </TD>
      <TD align=right width="25%" ><B>$789,200</B> </TD>
    </TR>
  </TABLE>
</DIV>
<BR>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 3.10A</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>ROYALITE AUDITED FINANCIAL STATEMENTS AS OF APRIL 30,
      2006</B> </TD>
  </TR>
</TABLE>
<BR>
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<P align=center><B>ROYALITE PETROLEUM CORP </B></P>
<P align=center><B>FINANCIAL STATEMENTS </B></P>
<P align=center><B>APRIL 30, 2006 </B></P>
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<P align=center><U>INDEX TO FINANCIAL STATEMENTS</U> </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=right width="15%"><U>Page</U> </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left></TD>
    <TD align=right width="15%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#eeeeee>Report of Independent Registered Public Accounting
      Firm </TD>
    <TD align=right width="15%" bgColor=#eeeeee>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;1
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Financial Statements: </TD>
    <TD align=right width="15%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#eeeeee>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Balance Sheet
    </TD>
    <TD align=right width="15%" bgColor=#eeeeee>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;2
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Statement of Operations </TD>
    <TD align=right width="15%">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;3 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#eeeeee>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Statement
      of Stockholders&#146; Equity </TD>
    <TD align=right width="15%" bgColor=#eeeeee>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;4
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Statement of Cash Flows </TD>
    <TD align=right width="15%">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;5 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#eeeeee>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Notes to
      Financial Statements </TD>
    <TD align=right width="15%" bgColor=#eeeeee>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;6-11
    </TD>
  </TR>
</TABLE>
<BR>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
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<P align=center><U>REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM</U>
</P>
<P align=justify>To the Board of Directors<BR>
  Royalite Petroleum Corp<BR>
  Henderson, Nevada </P>
<P align=justify>We have audited the accompanying balance sheet of Royalite Petroleum
  Corp, an exploration stage company, as of April 30, 2006, and the related statements
  of operations and accumulated deficit, changes in stockholders&#146; equity
  (deficit), and cash flows for the period December 2, 2005 (date of inception)
  to April 30, 2006. These financial statements are the responsibility of Royalite
  Petroleum Corp&#146;s management. Our responsibility is to express an opinion
  on these financial statements based on our audit. </P>
<P align=justify>We conducted our audit in accordance with the standards of the
  Public Company Accounting Oversight Board (United States). Those standards require
  that we plan and perform the audit to obtain reasonable assurance about whether
  the financial statements are free of material misstatement. The company is not
  required to have, nor were we engaged to perform, an audit of its internal control
  over financial reporting. Our audit included consideration of internal control
  over financial reporting as a basis for designing audit procedures that are
  appropriate in the circumstances, but not for the purpose of expressing an opinion
  on the effectiveness of the company&#146;s internal control over financial reporting.
  Accordingly, we express no such opinion. An audit also includes examining, on
  a test basis, evidence supporting the amounts and disclosures in the financial
  statements, assessing the accounting principles used and significant estimates
  made by management, as well as evaluating the overall financial statement presentation.
  We believe that our audit provides a reasonable basis for our opinion. </P>
<P align=justify>In our opinion, the financial statements referred to above present
  fairly, in all material respects, the financial position of Royalite Petroleum
  Corp, an exploration stage company, as of April 30, 2006, and the results of
  its operations, changes in stockholders&#146; equity (deficit) and cash flows
  for the period December 2, 2005 (date of inception) to April 30, 2006, in conformity
  with accounting principles generally accepted in The United States of America.
</P>
<P align=justify>The accompanying financial statements have been prepared assuming
  that the Company will continue as a going concern. As discussed in Note 1 to
  the financial statements, the Company has suffered recurring losses from operations,
  which raise substantial doubt about its ability to continue as a going concern.
  The financial statements do not include any adjustments that might result from
  the outcome of this uncertainty. </P>
<P align=justify><I>/ Sarna &amp; Company / </I></P>
<P align=justify>Sarna &amp; Company,<BR>
  Certified Public Accountants<BR>
  Westlake Village, California<BR>
  August 25, 2006 </P>
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noShade SIZE=5>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>BALANCE SHEET </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center
      width="12%">April 30, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>ASSETS </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Current assets </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Cash </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="1%">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right
      width="12%">&nbsp;418,337 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left
    width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Total current
      assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>418,337 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Property and equipment, net </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>3,487 </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>License rights </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">3,000 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Unproven oil and gas properties, full cost
      method </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>288,510 </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Deposits </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">3,500
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Total assets </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%">$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">&nbsp;716,834 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left
    width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>LIABILITIES AND STOCKHOLDERS' EQUITY </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Current liabilities </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Accounts payable </TD>
    <TD align=left width="1%">$</TD>
    <TD align=right width="12%">&nbsp;25,425 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Loan payable - related party </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>98,294 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Total current liabilities
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right
      width="12%">123,719 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left
    width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Total liabilities </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">123,719 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Stockholders' equity </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=left width="12%">&nbsp;</TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Common stock, $0.001 par value;
      200,000,000 shares </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;authorized, 24,961,667 shares
      issued and outstanding </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">24,961 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Additional paid-in capital </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>764,239 </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Accumulated deficit during development stage </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%">) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Total stockholders'
      equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right width="12%"
    bgColor=#e6efff>593,115 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Total liabilities and stockholders' equity
    </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;716,834 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>See Accompanying Notes to Financial Statements</P>
<P align=center>&nbsp;2 </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
<!--$$/AFSpage=-->
<A name=page_5></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>STATEMENT OF OPERATIONS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">For the period from </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">December 2, 2005 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">(Date of Inception) </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">Through </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="12%">April 30, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Revenue </TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Operating expenses </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Oil and gas exploration expenses </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">34,090 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;General and administrative </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>161,982 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Depreciation </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">13 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Total operating expenses
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">196,085 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Loss from operations before provision for income taxes </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(196,085</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Income tax benefit </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Net loss </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Loss per common share - basic and diluted: </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Net loss </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right width="12%"
    bgColor=#e6efff>&nbsp;(0.01</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Weighted average common shares outstanding
      - </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Basic and diluted </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">22,585,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>See Accompanying Notes to Financial Statements</P>
<P align=center>3 </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
<!--$$/AFSpage=-->
<A name=page_6></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>STATEMENT OF STOCKHOLDERS' EQUITY </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 8pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Accumulated </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Deficit During </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Total </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="17%"
    colSpan=4>Common Stock </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Additional </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Development </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Stockholders' </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Shares </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Amount </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Paid-in Capital </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Stage </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Equity </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Balance, December 2, 2005 </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="7%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="7%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="7%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="7%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Issuance of common stock for cash, </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>18,000,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>18,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>18,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;$0.001 per share </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Issuance of common stock for cash, </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">2,000,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">2,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">198,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">200,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Reg. S - Private Placement, </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>$0.10 per share </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Issuance of common stock for cash, </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">100,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">100 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">9,900 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">10,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Reg. D - Private Placement, </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>$0.10 per share </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Issuance of common stock for cash, </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">1,860,667 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">1,861 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">556,339 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">558,200 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Reg. S - Private Placement, </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>$0.30 per share </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Issuance of common stock for </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>licensing rights </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>3,000,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>3,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>3,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Net loss </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Balance, April 30, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right width="7%"
    bgColor=#e6efff>24,960,667 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right width="7%"
    bgColor=#e6efff>24,961 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right width="7%"
    bgColor=#e6efff>764,239 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right width="7%"
    bgColor=#e6efff>(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=right width="7%"
    bgColor=#e6efff>593,115 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>See Accompanying Notes to Financial Statements</P>
<P align=center>4 </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
<!--$$/AFSpage=-->
<A name=page_7></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>STATEMENT OF CASH FLOWS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">Period from </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">December 2, 2005 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">(Date of inception) </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">through </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="12%">April 30, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>CASH FLOWS FROM OPERATING ACTIVITIES </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Net loss </TD>
    <TD align=left width="1%" >$</TD>
    <TD align=right width="12%">&nbsp;(196,085</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Adjustments to reconcile net loss
    </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp;to net cash used in operating activities: </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Depreciation
    </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>13 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Changes in operating assets and liabilities: </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Other
      current assets </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>(3,500</TD>
    <TD align=left width="2%"  bgColor=#e6efff>) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Accounts payable
      and accrued liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">25,425 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp;&nbsp; Net cash used in operating activities </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(174,147</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>CASH FLOW FROM INVESTING ACTIVITIES </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Cash paid on mineral property
      claims </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>(288,510</TD>
    <TD align=left width="2%"  bgColor=#e6efff>) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Purchase of fixed assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
    width="12%">(3,500</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Net cash used in investing activities </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(292,010</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>CASH FLOW FROM FINANCING ACTIVITIES </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Proceeds from stock issuance </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>786,200 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Proceeds from borrowings from related party </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">40,294 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Proceeds from borrowings on loan
      payable </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>58,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Net cash provided by financing
      activities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>884,494 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>NET CHANGE IN CASH </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>418,337 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>CASH AT BEGINNING OF PERIOD </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>CASH AT END OF PERIOD </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;418,337 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>SUPPLEMENTAL INFORMATION </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Interest Paid </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Income Taxes Paid </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>See Accompanying Notes to Financial Statements</P>
<P align=center>5 </P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE ENTERPRISE) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>NOTES TO FINANCIAL STATEMENTS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >1. </TD>
    <TD align=left width="95%"><U>DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY
      OF SIGNIFICANT POLICIES</U> </TD>
  </TR>
</TABLE>
<P align=justify><U>Description of business</U> &#150;Royalite Petroleum Corp
  referred to as the &#147;Company&#148; is considered an exploration stage company.
  Since its formation, the Company has not realized any revenues from its planned
  operations. The Company's primary objective is to identify, acquire and develop
  oil and gas projects. </P>
<P align=justify>The Company has acquired interests in properties through leases
  on which it drills and/or operates oil or gas wells in efforts to discover and/or
  to produce oil and gas. The Company's interests in the properties vary depending
  on the availability of the interests and their locations. At April 30, 2006,
  the Company owned interests in oil and gas properties located within the State
  of Utah. </P>
<P align=justify>Royalite holds the exclusive right to use all information relating
  to minerals and hydrocarbons in the State of Utah derived from a proprietary
  sensing technology known as the "Moore Radiometer".</P>
<P align=justify><U>History</U> - The Company was incorporated under the laws
  of the State of Nevada on December 2, 2005.</P>
<P align=justify><U>Going concern</U> - The accompanying financial statements
  have been prepared on a going concern basis, which contemplates the realization
  of assets and the satisfaction of liabilities in the normal course of business.
  The Company has incurred cumulative net losses of approximately $196,085 since
  its inception and requires capital for its contemplated operational and marketing
  activities to take place. The Company&#146;s ability to raise additional capital
  through the future issuances of the common stock is unknown. The obtainment
  of additional financing, the successful development of the Company&#146;s contemplated
  plan of operations, and its transition, ultimately, to the attainment of profitable
  operations are necessary for the Company to continue operations. The ability
  to successfully resolve these factors raise substantial doubt about the Company&#146;s
  ability to continue as a going concern. The consolidated financial statements
  of the Company do not include any adjustments that may result from the outcome
  of these aforementioned uncertainties.</P>
<P align=justify><U>Basis of Presentation</U> - These financial statements and
  related notes are presented in accordance with accounting principles generally
  accepted in the United States. The Company&#146;s fiscal year-end is April 30.
</P>
<P align=justify><U>Use of estimates</U> - The preparation of financial statements
  in conformity with accounting principles generally accepted in the United States
  requires management to make estimates and assumptions that affect the reported
  amounts of assets and liabilities and disclosure of contingent assets and liabilities
  at the date of the financial statements and the reported amounts of revenue
  and expenses during the reporting period. Actual results could differ from those
  estimates. </P>
<P align=justify><U>Cash and Cash Equivalents</U> - The Company considers all
  investments with an original maturity of three months or less to be a cash equivalent.</P>
<P align=justify><U>Oil and Gas Producing Activity</U> </P>
<P align=justify>The Company follows the full cost method of accounting for oil
  and gas operations whereby all costs associated with the exploration for and
  development of oil and gas reserves, whether productive or unproductive, are
  capitalized. Such expenditures include land acquisition costs, drilling, exploratory
  dry holes, geological and geophysical costs not associated with a specific unevaluated
  property, completion and costs of well equipment. Internal costs are capitalized
  only if they can be directly identified with acquisition, exploration, or development
  activities.</P>
<P align=justify>Expenditures that are considered unlikely to be recovered are
  written off. On a quarterly basis the Board of Directors assesses whether or
  not there is an asset impairment. The current oil and gas exploration and development
  activities are considered to be in the exploration stage. </P>
<P align=center>6 </P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE ENTERPRISE) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>NOTES TO FINANCIAL STATEMENTS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >1. </TD>
    <TD align=left width="95%"><U>DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY
      OF SIGNIFICANT POLICIES </U>(continued) </TD>
  </TR>
</TABLE>
<P align=justify>The costs of unproved leases, which become productive, are reclassified
  to proved properties when proved reserves are discovered in the property. Unproved
  oil and gas interests are carried at original acquisition costs including filing
  and title fees. Depreciation and depletion of the capitalized costs for producing
  oil and gas properties will be provided by the unit-of-production method based
  on proved oil and gas reserves. </P>
<P align=justify>Abandonment of properties are recognized as an expense in the
  period of abandonment and accounted for as adjustments of capitalized costs.
</P>
<P align=justify><U>Impairment of Properties</U> </P>
<P align=justify>Unproved leasehold costs are reviewed periodically and a loss
  is recognized to the extent, if any, that the cost of the property has been
  impaired.</P>
<P align=justify><U>Fixed assets</U> - Fixed assets are stated at cost less accumulated
  depreciation. Depreciation is provided principally on the straight-line method
  over the estimated useful lives of the assets, which are generally 3 to 10 years.
  The cost of repairs and maintenance is charged to expense as incurred. Expenditures
  for property betterments and renewals are capitalized. Upon sale or other disposition
  of a depreciable asset, cost and accumulated depreciation are removed from the
  accounts and any gain or loss is reflected in other income (expense). </P>
<P align=justify>The Company periodically evaluates whether events and circumstances
  have occurred that may warrant revision of the estimated useful life of fixed
  assets or whether the remaining balance of fixed assets should be evaluated
  for possible impairment. The Company uses an estimate of the related undiscounted
  cash flows over the remaining life of the fixed assets in measuring their recoverability.
</P>
<P align=justify><U>Long-lived Assets</U> - Long-lived assets are evaluated for
  impairment when events or changes in circumstances indicate that the carrying
  amount of the assets may not be recoverable through the estimated undiscounted
  future cash flows from the use of these assets. When any such impairment exists,
  the related assets will be written down to fair value.</P>
<P align=justify><U>Fair value of financial instruments</U> - Financial accounting
  standards Statement No. 107, &#147;Disclosure About Fair Value of Financial
  Instruments&#148;, requires the Company to disclose, when reasonably attainable,
  the fair market values of its assets and liabilities which are deemed to be
  financial instruments. The carrying amounts and estimated fair values of the
  Company&#146;s financial instruments approximate their fair value due to the
  short-term nature. </P>
<P align=justify><U>Revenue recognition</U> &#150; The Company recognizes oil
  and gas revenues from its interests in producing wells as oil and gas is produced
  and sold from these wells. The Company has no gas balancing arrangements in
  place.</P>
<P align=justify><U>Research and Development</U> - All research and development
  expenditures during the period have been charged to operations.</P>
<P align=center>7</P>
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<TABLE
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cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE ENTERPRISE) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>NOTES TO FINANCIAL STATEMENTS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>1. </TD>
    <TD align=left width="95%"><U>DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY
      OF SIGNIFICANT POLICIES </U>(continued) </TD>
  </TR>
</TABLE>
<P align=justify><U>Earnings (loss) per share</U> - The Company follows SFAS No.
  128, &#147;Earnings Per Share&#148; and SFAS No. 150, &#147;Accounting for Certain
  Financial Instruments with Characteristics of Both Liabilities and Equity,&#148;
  which establish standards for the computation, presentation and disclosure requirements
  for basic and diluted earnings per share for entities with publicly-held common
  shares and potential common stock issuances. Basic earnings (loss) per share
  are computed by dividing net income by the weighted average number of common
  shares outstanding. In computing diluted earnings per share, the weighted average
  number of shares outstanding is adjusted to reflect the effect of potentially
  dilutive securities, such as stock options and warrants. Common stock equivalent
  shares are excluded from the computation if their effect is antidilutive. </P>
<P align=justify><U>Income taxes</U> - The Company accounts for its income taxes
  in accordance with Statement of Financial Accounting Standards No. 109, which
  requires recognition of deferred tax assets and liabilities for future tax consequences
  attributable to differences between the financial statement carrying amounts
  of existing assets and liabilities and their respective tax bases and tax credit
  carry-forwards. Deferred tax assets and liabilities are measured using enacted
  tax rates expected to apply to taxable income in the years in which those temporary
  differences are expected to be recovered or settled. The effect on deferred
  tax assets and liabilities of a change in tax rates is recognized in income
  in the period that includes the enactment date. </P>
<P align=justify><U>Comprehensive income (loss)</U> &#150; The Company&#146;s
  accumulated other comprehensive loss consists of any accumulated foreign currency
  translation adjustments. </P>
<P align=justify><U>Segment information</U> - The Company discloses segment information
  in accordance with Statements of Financial Accounting Standards (SFAS) No. 131,
  &#147;Disclosures about Segments of an Enterprise and Related Information,&#148;
  which uses the Management approach to determine reportable segments. The Company
  operates under one segment. </P>
<P align=justify><U>Expenses of offering</U> - The Company accounts for specific
  incremental costs directly to a proposed or actual offering of securities as
  a direct charge against the gross proceeds of the offering. </P>
<P align=justify><U>Stock-based compensation</U> - On December 16, 2004, the FASB
  issued SFAS No. 123R, &#147;Share-Based Payment&#148;, which replaces SFAS No.
  123, &#147;Accounting for Stock-Based Compensation&#148; and supersedes APB
  Opinion No. 25, &#147;Accounting for Stock Issued to Employees.&#148; SFAS No.
  123R requires all share-based payments to employees, including grants of employee
  stock options, to be recognized in the financial statements based on the grant
  date fair value of the award. SFAS No. 123R was to be effective for interim
  or annual reporting periods beginning on or after June 15, 2005, but in April
  2005 the SEC issued a rule that will permit most registrants to implement SFAS
  No. 123R at the beginning of their next fiscal year, instead of the next reporting
  period as required by SFAS No. 123R. The pro forma disclosures previously permitted
  under SFAS No. 123 no longer will be an alternative to financial statement recognition.
  Under SFAS No. 123R, the Company must determine the appropriate fair value model
  to be used for valuing share-based payments, the amortization method for compensation
  cost and the transition method to be used at date of adoption. The transition
  methods include prospective and retroactive adoption option. Under the retroactive
  option, prior periods may be restated either as of the beginning of the year
  of adoption or for all periods presented. The prospective method requires that
  compensation expense be recorded for all unvested stock options and restricted
  stock at the beginning of the first quarter of adoption of SFAS No. 123R, while
  the retroactive methods would record compensation expense for all unvested stock
  options and restricted stock beginning with the first period restated. The Company
  has adopted the requirements of SFAS No. 123R. </P>
<P align=center>8</P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE ENTERPRISE) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>NOTES TO FINANCIAL STATEMENTS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >1. </TD>
    <TD align=left width="95%"><U>DESCRIPTION OF BUSINESS, HISTORY AND SUMMARY
      OF SIGNIFICANT POLICIES </U>(continued) </TD>
  </TR>
</TABLE>
<P align=justify><U>New accounting pronouncements</U> &#150; In November 2004,
  the FASB issued SFAS No. 151, &#147;Inventory Costs, an amendment of ARB No.
  43, Chapter 4.&#148; SFAS No. 151 amends the guidance in ARB No. 43, Chapter
  4, &#147;Inventory Pricing,&#148; to clarify the accounting for abnormal amounts
  of idle facility expense, freight, handing costs, and spoilage. This statement
  requires that those items be recognized as current period charges regardless
  of whether they meet the criterion of "so abnormal" which was the criterion
  specified in ARB No. 43. In addition, this Statement requires that allocation
  of fixed production overheads to the cost of production be based on normal capacity
  of the production facilities. This pronouncement is effective for the Company
  beginning October 1, 2005. The Company does not believe adopting this new standard
  will have a material impact on its financial condition, results of operations
  or cash flows. </P>
<P align=justify>In May 2005, the Financial Accounting Standards Board issued
  Statement of Financial Accounting Standard No. 154, &#147;Accounting Changes
  and Error Corrections.&#148; The Statement applies to all voluntary changes
  in accounting principle and to changes required by an accounting pronouncement
  that do not include explicit transition provisions. SFAS No. 154 requires that
  changes in accounting principle be retroactively applied, instead of including
  the cumulative effect in the income statement. The correction of an error will
  continue to require financial statement restatement. A change in accounting
  estimate will continue to be accounted for in the period of change and in subsequent
  periods, if necessary. SFAS No. 154 is effective for fiscal years beginning
  after April 30, 2006. The Company does not expect the adoption of this Statement
  to have a material impact on its financial condition, results of operations
  or cash flows. </P>
<P align=justify>In February 2006, the FASB issued Statement of Financial Accounting
  Standards No. 155, <I>Accounting for Certain Hybrid Financial Instruments</I>
  (&#147;SFAS No. 155&#148;), which amends Statement of Financial Accounting Standards
  No. 133, </P>
<P align=justify><I>Accounting for Derivative Instruments and Hedging Activities</I>
  (&#147;SFAS No. 133&#148;) and Statement of Financial Accounting Standards No.
  140, <I>Accounting for Transfers and Servicing of Financial Assets and Extinguishments
  of Liabilities</I> (&#147;SFAS No. 140&#148;). SFAS No. 155 permits fair value
  measurement for any hybrid financial instrument that contains an embedded derivative
  that otherwise would require bifurcation, establishes a requirement to evaluate
  interests in securitized financial assets to identify interests that are freestanding
  derivatives or hybrid financial instruments containing embedded derivatives<B>.
  </B>The Company does not expect the adoption of SFAS 155 to have a material
  impact on its financial condition, results of operations or cash flows. </P>
<P align=justify>In March 2006, the FASB issued Statement of Financial Accounting
  Standards No. 156, <I>Accounting for Servicing of Financial Assets </I>(&#147;SFAS
  No. 156&#148;), which amends FASB Statement No. 140 (&#147;SFAS No. 140&#148;).
  SFAS 156 may be adopted as early as January 1, 2006, for calendar year-end entities,
  provided that no interim financial statements have been issued. Those not choosing
  to early adopt are required to apply the provisions as of the beginning of the
  first fiscal year that begins after September 15, 2006 (e.g., January 1, 2007,
  for calendar year-end entities). The intention of the new statement is to simplify
  accounting for separately recognized servicing assets and liabilities, such
  as those common with mortgage securitization activities, as well as to simplify
  efforts to obtain hedge-like accounting. Specifically, the FASB said FAS No.
  156 permits a servicer using derivative financial instruments to report both
  the derivative financial instrument and related servicing asset or liability
  by using a consistent measurement attribute, or fair value. The Company does
  not expect the adoption of SFAS 156 to have material impact on its financial
  condition, results of operations or cash flows. </P>
<P align=center>9</P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE ENTERPRISE) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>NOTES TO FINANCIAL STATEMENTS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >2. </TD>
    <TD align=left width="95%"><U>FIXED ASSETS</U> </TD>
  </TR>
</TABLE>
<P align=justify>Fixed assets consist of the following as of April 30, 2006: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center width="12%">2006
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Computers and equipment </TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;3,500 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Less: accumulated depreciation </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">13 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;3,487 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >3. </TD>
    <TD align=left width="95%"><U>INTANGIBLE ASSETS</U> </TD>
  </TR>
</TABLE>
<P align=justify>License rights totaling $3,000 were acquired by the Company in
  February 2006 and provide exclusive right to use all information relating to
  minerals and hydrocarbons in the State of Utah derived from a proprietary sensing
  technology known as the &#147;Moore Radiometer&#148;. The Company has a twenty
  year term on the license and rights. Accordingly, the Company annually assesses
  this license and distribution rights for impairment and has determined that
  no impairment write-down is considered necessary as of April 30, 2006.</P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >4. </TD>
    <TD align=left width="95%"><U>A</U><U>CQUISITION OF </U><U>P</U><U>ROPERTIES</U>
    </TD>
  </TR>
</TABLE>
<P align=justify>On March 3, 2006 the Company acquired oil and gas leases from
  the Bureau of Land Management representing a 100% working interest in 6 parcels
  totaling 10,127 acres situated in the Piute and Sanpete Counties of Utah. The
  Company has paid the Bureau of Land Management a total of $288,510 for the lease
  acquisition costs.</P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >5. </TD>
    <TD align=left width="95%"><U>LOANS PAYABLE &#150; RELATED PARTIES</U> </TD>
  </TR>
</TABLE>
<P align=justify>As of April 30, 2006, loans payable from related parties consists
  of: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center width="12%">2006
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Loan payable due to an officer of the Company,
    </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;bearing no interest, unsecured and due on demand.
    </TD>
    <TD align=left width="1%" >$</TD>
    <TD align=right width="12%">&nbsp;40,294 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Loan payable due to an officer of the Company
    </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;bearing no interest, unsecured and due on demand.
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">58,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;98,294 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>10</P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE ENTERPRISE) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>NOTES TO FINANCIAL STATEMENTS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >6. </TD>
    <TD align=left width="95%"><U>STOCKHOLDER&#146;S EQUITY</U> </TD>
  </TR>
</TABLE>
<P align=justify>For the fiscal year ending April 30, 2006, the Company&#146;s
  stockholders&#146; activities consisted of the following: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0 BCLLIST>
  <TR>
    <TD vAlign=top width="5%">a) </TD>
    <TD> <P align=justify>On February 8, 2006, the Company issued 18,000,000 shares
        of common stock to five individuals for cash at $0.001 per share.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">b) </TD>
    <TD> <P align=justify>On February 8, 2006, the Company issued 3,000,000 shares
        of common stock for licensing rights at $0.001 per share.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">c) </TD>
    <TD> <P align=justify>On March 2, 2006, the Company issued 2,000,000 shares
        of common stock to seven individuals for cash at $0.10 per share.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">d) </TD>
    <TD> <P align=justify>On March 3, 2006, the Company issued 100,000 shares
        of common stock to an individual for cash at $0.10 per share.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">e) </TD>
    <TD> <P align=justify>On April 30, 2006, the Company issued 1,860,667 shares
        of common stock to 24 individuals for cash at $0.30 per share.</P></TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >7. </TD>
    <TD align=left width="95%"><U>COMMITMENTS AND CONTINGENCIES</U> </TD>
  </TR>
</TABLE>
<P align=justify><U>Lease obligations</U> &#150; The Company has operating leases
  for its offices. Future minimum lease payments under the operating leases for
  the facilities as of April 30, 2006 are as follows: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD align=left bgColor=#e6efff>Fiscal year ended 2007 </TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;38,500 </TD>
    <TD align=left width="2%"
  bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=justify>Rental expense, resulting from operating lease agreements, approximated
  $3,500 for the fiscal year ended 2006. </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >8. </TD>
    <TD align=left width="95%"><U>SUBSEQUENT EVENTS</U> </TD>
  </TR>
</TABLE>
<P align=justify>On August 15, 2006 the Company acquired oil and gas leases from
  the Bureau of Land Management representing a 100% working interest in 17 parcels
  totaling 19,913 acres situated in the Piute, Sanpete and Wayne Counties of Utah.
  The Company will pay the Bureau of Land Management a total of $1,060,515 for
  the lease acquisition costs.</P>
<P align=justify>The Company is in negotiations with Worldbid Corporation concerning
  the acquisition of the Company by Worldbid. Under the terms of the proposed
  acquisition Worldbid would issue approximately 24,961,667 of its common shares
  in exchange for 100% of the shares of the Company.</P>
<P align=center>11 </P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 3.10B</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>ROYALITE UNAUDITED FINANCIAL STATEMENTS AS OF JULY 31,
      2006</B> </TD>
  </TR>
</TABLE>
<BR>
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<P align=center>ROYALITE PETROLEUM CORP</P>
<P align=center>(AN EXPLORATION STAGE COMPANY)</P>
<P align=center>FINANCIAL STATEMENTS </P>
<P align=center>JULY 31, 2006 </P>
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<P align=center><B><U>Report of Independent Registered Public Accounting Firm</U></B><B>
  </B></P>
<P align=justify>To the Board of Directors<BR>
  Royalite Petroleum Corp </P>
<P align=justify>We have reviewed the accompanying consolidated balance sheet
  of Royalite Petroleum Corp (an exploration stage company) as of July 31, 2006
  and the related statements of operations, stockholders' equity, and cash flows
  for the three months then ended. These interim financial statements are the
  responsibility of the management of Royalite Petroleum Corp.</P>
<P align=justify>We conducted our review in accordance with the standards of the
  Public Company Accounting Oversight Board (United States). A review of interim
  financial information consists principally of applying analytical procedures
  and making inquiries of persons responsible for financial and accounting matters.
  It is substantially less in scope than an audit conducted in accordance with
  the standards of the Public Company Accounting Oversight Board (United States),
  the objective of which is the expression of an opinion regarding the financial
  statements taken as a whole. Accordingly, we do not express such an opinion.</P>
<P align=justify>Based on our review, we are not aware of any material modifications
  that should be made to the accompanying interim consolidated financial statements
  for them to be in conformity with accounting principles generally accepted in
  the United States of America. </P>
<P align=justify>The accompanying financial statements have been prepared assuming
  that the Company will continue as a going concern. As discussed in Note 6 to
  the financial statements, the Company has suffered recurring losses from operations,
  which raise substantial doubt about its ability to continue as a going concern.
  The consolidated financial statements do not include any adjustments that might
  result from the outcome of this uncertainty.</P>
<P align=justify>We have previously audited, in accordance with standards of the
  Public Company Accounting Oversight Board (United States), the balance sheet
  of Royalite Petroleum Corp as of April 30, 2006, and the related statements
  of operations, stockholders&#146; equity, and cash flows for the period December
  2, 2005 (date of inception) to April 30, 2006 (not presented herein); and in
  our report dated August 25, 2006, we expressed an unqualified opinion on those
  financial statements which included an explanatory paragraph describing Royalite
  Petroleum Corp&#146;s ability to continue as a going concern as described in
  Note 6 to the financial statements. In our opinion, the information set forth
  in the accompanying balance sheet as of April 30, 2006 is fairly stated, in
  all material respects, in relation to the balance sheet from which it has been
  derived. </P>
<P align=justify><I>/ Sarna &amp; Company / </I></P>
<P align=justify>Sarna &amp; Company,<BR>
  Certified Public Accountants<BR>
  Westlake Village, California<BR>
  October 17, 2006 </P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center>BALANCE SHEETS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center width="12%">July
      31, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center
    width="2%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center
      width="12%">April 30, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center bgColor=#e6efff colSpan=6>ASSETS&nbsp;&nbsp; </TD>
    <TD align=center width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Current assets </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Cash </TD>
    <TD align=left width="1%">$</TD>
    <TD align=right width="12%">&nbsp;- </TD>
    <TD align=left width="2%">&nbsp;</TD>
    <TD align=left width="1%">$</TD>
    <TD align=right width="12%">&nbsp;418,337 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Prepaid expense </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>50,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp;Total current assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">50,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="2%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">418,337 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Property and equipment, net </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">3,295 </TD>
    <TD align=left width="2%">&nbsp;</TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">3,487 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>License rights, net </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>3,000 </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>3,000 </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Unproven oil and gas properties, full cost method </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">476,167 </TD>
    <TD align=left width="2%">&nbsp;</TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">288,510 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Deposits </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>3,500 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>3,500 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp;Total assets </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;535,962 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;716,834 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center colSpan=6>LIABILITIES AND STOCKHOLDERS' EQUITY&nbsp; </TD>
    <TD align=center width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Current liabilities </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%">&nbsp;</TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Bank overdraft </TD>
    <TD align=left width="1%" bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;59,286 </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%" bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Accounts payable </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">41,194 </TD>
    <TD align=left width="2%">&nbsp;</TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">25,425 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Loan payable - related party </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>40,294 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>98,294 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp;Total current liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">140,774 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="2%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">123,719 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp;Total liabilities </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">140,774 </TD>
    <TD align=left width="2%">&nbsp;</TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">123,719 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Stockholders' equity </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%">&nbsp;</TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Common stock, $0.001 par value;
      200,000,000 shares </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp;authorized, 24,960,667 shares issued
      and outstanding </TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">24,961 </TD>
    <TD align=left width="2%">&nbsp;</TD>
    <TD align=left width="1%">&nbsp;</TD>
    <TD align=right width="12%">24,961 </TD>
    <TD align=left width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Additional paid-in capital </TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>764,239 </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>764,239 </TD>
    <TD align=left width="2%" bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Accumulated deficit during development stage </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">(394,012</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left
    width="1%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%">) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp;Total stockholders'
      equity </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>395,188 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>593,115 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Total liabilities and stockholders' equity
    </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;535,962 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;716,834 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>See Accompanying Notes to Financial Statements</P>
<P align=center>2 </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
<!--$$/AFSpage=-->
<A name=page_4></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>STATEMENTS OF OPERATIONS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">For the period from </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">December 2, 2005 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">For the Three </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">(Date of Inception) </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">Months Ended </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">Through </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="12%">July 31, 2005 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="12%">July 31, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Revenue </TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Operating expenses </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Oil and gas exploration expenses </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">73,102 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">107,192 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;General and administrative </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>124,634 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>286,616 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Depreciation and amortization </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">191 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">204 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total operating expenses </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">197,927 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">394,012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Loss from operations before provision for income taxes </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(197,927</TD>
    <TD align=left width="2%" >) </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(394,012</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Income tax benefit </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Net loss </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">(197,927</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >) </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">(394,012</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Loss per common share - basic and diluted: </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Net loss </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;(0.01</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>) </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;(0.02</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>) </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Weighted average common shares outstanding
      - </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Basic and diluted </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">24,960,667 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">23,866,403 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>See Accompanying Notes to Financial Statements</P>
<P align=center>3 </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
<!--$$/AFSpage=-->
<A name=page_5></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>STATEMENT OF STOCKHOLDERS' EQUITY </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 8pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Accumulated </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Deficit During </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Total </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="17%"
    colSpan=4>Common Stock </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Additional </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Development </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="7%">Stockholders' </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Shares </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Amount </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Paid-in Capital </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Stage </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="7%">Equity </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Balance, December 2, 2005 </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="7%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="7%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="7%" bgColor=#e6efff>&nbsp;- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Issuance of common stock for cash, </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>$0.001 per share </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">18,000,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">18,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">18,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Issuance of common stock for cash, </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Reg. S - Private Placement, </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>$0.10 per share </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">2,000,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">2,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">198,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">200,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Issuance of common stock for cash, </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Reg. D - Private Placement, </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>$0.10 per share </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">100,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">100 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">9,900 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">10,000 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Issuance of common stock for cash, </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Reg. S - Private Placement, </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>$0.30 per share </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">1,860,667 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">1,861 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">556,339 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="7%">558,200 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="7%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Issuance of common stock for </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="7%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>licensing rights </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>3,000,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>3,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="7%" bgColor=#e6efff>3,000 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Net loss </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Balance, April 30, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>24,960,667 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>24,961 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>764,239 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>(196,085</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>593,115 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Net loss </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>(197,927</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="7%"
    bgColor=#e6efff>(197,927</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>) </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="7%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Balance, July 31, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="7%"
    bgColor=#e6efff>24,960,667 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="7%"
    bgColor=#e6efff>24,961 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="7%"
    bgColor=#e6efff>764,239 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="7%"
    bgColor=#e6efff>(394,012</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>) </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="7%"
    bgColor=#e6efff>395,188 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>See Accompanying Notes to Financial Statements </P>
<P align=center>4 </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
<!--$$/AFSpage=-->
<A name=page_6></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>STATEMENTS OF CASH FLOWS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">Period from </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">&nbsp; </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">December 2, 2005 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">For the Three </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">(Date of inception) </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">Months Ended </TD>
    <TD noWrap align=center width="2%" >&nbsp;</TD>
    <TD noWrap align=center width="1%" >&nbsp;</TD>
    <TD noWrap align=center width="12%">through </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="12%">July 31, 2005 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" noWrap align=center
      width="12%">July 31, 2006 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>CASH FLOWS FROM OPERATING ACTIVITIES </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Net loss </TD>
    <TD align=left width="1%" >$</TD>
    <TD align=right width="12%">&nbsp;(197,927</TD>
    <TD align=left width="2%" >) </TD>
    <TD align=left width="1%" >$</TD>
    <TD align=right width="12%">&nbsp;(394,012</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Adjustments to reconcile loss
      from operating </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; to net cash used in operating
      activities: </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Depreciation
      and amortization </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>191 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>204 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Changes in operating assets and liabilities: </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Other
      current assets </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>(50,000</TD>
    <TD align=left width="2%"  bgColor=#e6efff>) </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>(53,500</TD>
    <TD align=left width="2%"  bgColor=#e6efff>) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;Accounts payable and
      accrued liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">15,770 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
      width="12%">41,195 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Net cash used in operating activities </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(231,966</TD>
    <TD align=left width="2%" >) </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(406,113</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>CASH FLOW FROM INVESTING ACTIVITIES </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Cash paid on unproven oil leases
    </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>(187,657</TD>
    <TD align=left width="2%"  bgColor=#e6efff>) </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>(476,167</TD>
    <TD align=left width="2%"  bgColor=#e6efff>) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Purchase of fixed assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right
    width="12%">(3,500</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Net cash used in investing activities </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(187,657</TD>
    <TD align=left width="2%" >) </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(479,667</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>CASH FLOW FROM FINANCING ACTIVITIES </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Change in bank overdraft </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>59,286 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>59,286 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Payment on notes payable </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(58,000</TD>
    <TD align=left width="2%" >) </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">(58,000</TD>
    <TD align=left width="2%" >) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Proceeds from stock issuance </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>786,200 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp;Proceeds from borrowings from related party </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">- </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=right width="12%">40,294 </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Proceeds from borrowings on loan
      payable </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>58,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; &nbsp;Net cash provided by financing
      activities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>1,286 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>885,780 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>NET CHANGE IN CASH </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>(418,337</TD>
    <TD align=left width="2%"  bgColor=#e6efff>) </TD>
    <TD align=left width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="12%" bgColor=#e6efff>- </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>CASH AT BEGINNING OF YEAR </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>418,337 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%"
    bgColor=#e6efff>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>CASH AT END OF PERIOD </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
    <TD width="1%" >&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>SUPPLEMENTAL INFORMATION </TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
    <TD align=left width="1%" >&nbsp;</TD>
    <TD align=left width="12%">&nbsp; </TD>
    <TD align=left width="2%" >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="1%"  bgColor=#e6efff>&nbsp;</TD>
    <TD width="12%" bgColor=#e6efff>&nbsp; </TD>
    <TD width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>Interest Paid </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
    >$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right
      width="12%">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>Income Taxes Paid </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>See Accompanying Notes to Financial Statements</P>
<P align=center>5 </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
<A name=page_7></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>NOTES TO FINANCIAL STATEMENTS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >1. </TD>
    <TD align=left width="95%"><U>BASIS OF PRESENTATION </U></TD>
  </TR>
</TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>The accompanying unaudited financial
  statements have been prepared in accordance with Securities and Exchange Commission
  requirements for interim financial statements. Therefore, they do not include
  all of the information and footnotes required by accounting principles generally
  accepted in the United States for complete financial statements. The financial
  statements should be read in conjunction with the Form 10-KSB for the year ended
  April 30, 2006 Royalite Petroleum Corp (the "Company").</P>
<P style="MARGIN-LEFT: 5%" align=justify>The interim financial statements present
  the balance sheet, statements of operations and cash flows of the Company. The
  financial statements have been prepared in accordance with accounting principles
  generally accepted in the United States.</P>
<P style="MARGIN-LEFT: 5%" align=justify>The interim financial information is
  unaudited. In the opinion of management, all adjustments necessary to present
  fairly the financial position as of July 31, 2006 and the results of operations
  and cash flows presented herein have been included in the financial statements.
  Interim results are not necessarily indicative of results of operations for
  the full year.</P>
<P style="MARGIN-LEFT: 5%" align=justify>The preparation of financial statements
  in conformity with accounting principles generally accepted in the United States
  requires management to make estimates and assumptions that affect the reported
  amounts of assets and liabilities and disclosure of contingent assets and liabilities
  at the date of the financial statements and the reported amounts of revenues
  and expenses during the reporting period. Actual results could differ from those
  estimates.</P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >2. </TD>
    <TD align=left width="95%"><U>GOING CONCERN </U></TD>
  </TR>
</TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>The Company incurred cumulative net losses
  of approximately $394,012 from operations as of July 31, 2006, has not commenced
  its mining operations, and is still in the exploration stage, raising substantial
  doubt about the Company&#146;s ability to continue as a going concern. The Company
  will seek additional sources of capital through the issuance of debt or equity
  financing, but there can be no assurance the Company will be successful in accomplishing
  its objectives. </P>
<P style="MARGIN-LEFT: 5%" align=justify>The ability of the Company to continue
  as a going concern is dependent on additional sources of capital and the success
  of the Company&#146;s plan. The financial statements do not include any adjustments
  that might be necessary if the Company is unable to continue as a going concern.
</P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >3. </TD>
    <TD align=left width="95%"><U>FIXED ASSETS </U></TD>
  </TR>
</TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>Fixed assets consist of the following
  as of July 31, 2006: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center width="12%">2006
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left bgColor=#e6efff>Computers and equipment </TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;3,500 </TD>
    <TD align=left width="2%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Less: accumulated depreciation </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="1%"
    >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="12%">205 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="2%"
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="1%"
     bgColor=#e6efff>$</TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=right width="12%"
    bgColor=#e6efff>&nbsp;3,295 </TD>
    <TD style="BORDER-BOTTOM: #000000 3px double" align=left width="2%"
     bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P align=center>6</P>
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noShade SIZE=5>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center>ROYALITE PETROLEUM CORP </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>(AN EXPLORATION STAGE COMPANY) </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>NOTES TO FINANCIAL STATEMENTS </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >4. </TD>
    <TD align=left width="95%"><U>ACQUISITION OF PROPERTIES</U> </TD>
  </TR>
</TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>On July 28, 2006 the Company acquired
  oil and gas leases from the State of Utah Trust Lands Administration representing
  a 100% working interest in 8 parcels situated in Piute County, Utah. The company
  has paid the State of Utah Trust Lands Administration a total of $ 180,157 for
  the lease acquisition costs.</P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >5. </TD>
    <TD align=left width="95%"><U>LOANS PAYABLE &#150; RELATED PARTIES</U> </TD>
  </TR>
</TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>As of July 31, 2006, loans payable to
  a related party totaling $40,294 consists of borrowings from an officer of the
  Company. The balance bears no interest, is unsecured, and is due on demand.
</P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >6. </TD>
    <TD align=left width="95%"><U>COMMITMENTS AND CONTINGENCIES</U> </TD>
  </TR>
</TABLE>
<P style="MARGIN-LEFT: 5%" align=justify><U>Lease obligations</U> &#150; The Company
  has operating leases for its offices. Future minimum lease payments under the
  operating leases for the facilities as of July 31, 2006 are as follows: </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD align=left bgColor=#e6efff>Fiscal year 2007 </TD>
    <TD align=left width="1%"  bgColor=#e6efff>$</TD>
    <TD align=right width="12%" bgColor=#e6efff>&nbsp;28,000 </TD>
    <TD align=left width="2%"
  bgColor=#e6efff>&nbsp;</TD>
  </TR>
</TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>Rental expense, resulting from operating
  lease agreements, approximated $10,500 for the quarter ended July 31, 2006.</P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left >7. </TD>
    <TD align=left width="95%"><U>SUBSEQUENT EVENTS</U> </TD>
  </TR>
</TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>On August 15, 2006 the Company acquired
  oil and gas leases from the Bureau of Land Management representing a 100% working
  interest in 17 parcels totaling 19,913 acres situated in the Piute, Sanpete
  and Wayne Counties of Utah. The Company will pay the Bureau of Land Management
  a total of $1,060,515 for the lease acquisition costs.</P>
<P style="MARGIN-LEFT: 5%" align=justify>The Company is in negotiations with Worldbid
  Corporation concerning the acquisition of the Company by Worldbid. Under the
  terms of the proposed acquisition Worldbid would issue approximately 24,961,667
  of its common shares in exchange for 100% of the shares of the Company.</P>
<P align=center>7 </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<A name=page_10></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 3.16</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>EMPLOYMENT AND CONSULTING AGREEMENTS OF ROYALITE</B> </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0 BCLLIST>
  <TR>
    <TD vAlign=top width="5%">(1) </TD>
    <TD> <P align=justify>Agreement with Nitra Corporation, a Nevada corporation,
        and Royalite to pay $10,000.00 per month plus expenses to Nitra Corporation
        for the services of Michael L. Cass to act as President for Royalite.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">(2) </TD>
    <TD> <P align=justify>Agreement with Pass Minerals Inc., a Nevada Corporation,
        and Royalite to pay $4,000.00 per month, plus health insurance expenses,
        a car allowance of $350 per month and other expenses to Pass Minerals
        Inc. for consulting and financial services.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">(3) </TD>
    <TD> <P align=justify>Agreement with Investor Consulting LLC, a Nevada LLC,
        and Morgan Capital LLC, a Florida LLC, to pay $3,750.00 each per month
        ($7,500 total) plus expenses for consulting and public relations services.</P></TD>
  </TR>
</TABLE>
<BR>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<A name=page_11></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 3.18</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>INTELLECTUAL PROPERTY OF ROYALITE</B> </TD>
  </TR>
</TABLE>
<P align=justify>Royalite holds the exclusive license for the State of Utah for
  a period of twenty (20) years which commenced on October 1, 2005 to use a proprietary
  sensing instrument known as the &#147;Moore Radiometer&#148; for detection of
  sub-surface minerals, hydrocarbons and liquids under a First Amended License
  Agreement dated October 1, 2005 with Charles G. Moore, individually and doing
  business as Hy-Carb Company, of Boulder City, Nevada. </P>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<A name=page_12></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 3.19</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>REAL PROPERTY OF ROYALITE</B> </TD>
  </TR>
</TABLE>
<P align=justify><U>Real Property Lease</U> </P>
<P align=justify>Under a residential lease agreement dated April 10, 2006 between
  Jack Keller Young and Royalite, Royalite has leased premises at a monthly rate
  of $3,500 for a period expiring on April 10, 2007. </P>
<P align=justify><U>Oil and Gas or Mineral Leases</U> </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR>
    <TD style="BORDER-TOP: #000000 1px solid" align=left>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>ROYALITE PETROLEUM CORP. &#150; LEASEHOLD </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
  align=left>&nbsp;</TD>
  </TR>
</TABLE>
<P align=justify>PIUTE COUNTY, UTAH </P>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 8pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left><U>PARCEL</U> </TD>
    <TD align=left width="60%" colSpan=2><U>LEGAL DESCRIPTION</U> </TD>
    <TD align=center width="20%"><U>TOTAL ACRES</U> </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="60%" colSpan=2>&nbsp;</TD>
    <TD width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff colSpan=2>T. 30 S., R. 1 W., SLB&amp;B </TD>
    <TD align=left width="40%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=left width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="60%" colSpan=2>&nbsp;</TD>
    <TD width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>1 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Sec. 5, Lots 1-4, SW;
    </TD>
    <TD align=left width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="60%" colSpan=2>Secs. 6 and 7, All; </TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Sec. 18, NE </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;1,557.59 </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="60%" colSpan=2>&nbsp;</TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>2 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Sec. 8, W2, W2SE; </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="60%" colSpan=2>Sec. 17, All </TD>
    <TD align=right width="20%">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;1,040.00
    </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="60%" bgColor=#e6efff colSpan=2>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>3 </TD>
    <TD align=left width="80%" colSpan=3>Sec. 19, Lot 6, S2N2SESW, S2SESW, NESE,
      S2NWSE, </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>S2SE; </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="60%" colSpan=2>Sec. 20, NE, S2; </TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Sec. 29, N2, SE; </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="60%" colSpan=2>Sec. 30, Lots 1-2, NE, E2NW </TD>
    <TD align=right width="20%">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;1,422.07
    </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="60%" bgColor=#e6efff colSpan=2>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="60%" colSpan=2>&nbsp;</TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff colSpan=2>T. 30 S., R. 2 W., SLB&amp;M </TD>
    <TD align=left width="40%" bgColor=#e6efff>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="60%" colSpan=2>&nbsp;</TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>4 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Sec. 1, Lots 1, 2; </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="60%" colSpan=2>Sec. 12, N2N2 </TD>
    <TD align=right width="20%">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;239.95
    </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="60%" bgColor=#e6efff colSpan=2>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>5 </TD>
    <TD align=left width="60%" colSpan=2>Sec. 3, All; </TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Sec. 10, N2NE, SWNE,
      W2, NWSE; </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="60%" colSpan=2>Sec. 14, NE, SENW, S2; </TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Sec. 22, E2E2 </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;1,789.60 </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="60%" colSpan=2>&nbsp;</TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>6 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Secs. 23, 24 and 25,
      All; </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD align=left width="60%" colSpan=2>Sec. 26, N2, E2SE; </TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=2>Sec. 27, N2NE </TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;2,401.52 </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="60%" colSpan=2>&nbsp;</TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="60%" bgColor=#e6efff colSpan=2>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left colSpan=2>T. 29 S., R. 2&#189; W., SL&amp;M </TD>
    <TD align=left width="40%">&nbsp;</TD>
    <TD align=right width="20%">&nbsp; </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD width="60%" bgColor=#e6efff colSpan=2>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff>&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left>7 </TD>
    <TD align=left width="60%" colSpan=2>Sec. 8 and 17, All </TD>
    <TD align=right width="20%">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;438.32
    </TD>
  </TR>
</TABLE>
<BR>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<A name=page_13></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 8pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left ><U>PARCEL</U> </TD>
    <TD align=left width="56%" colSpan=4><U>LEGAL DESCRIPTION</U> </TD>
    <TD align=center width="20%" colSpan=2 ><U>TOTAL ACRES</U> </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="14%">&nbsp; </TD>
    <TD width="14%">&nbsp; </TD>
    <TD width="14%">&nbsp; </TD>
    <TD width="14%">&nbsp; </TD>
    <TD width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff colSpan=2>T. 27 S., R 3 W., SLB&amp;M </TD>
    <TD align=left width="14%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="14%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="14%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=left width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >8 </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 3, All; </TD>
    <TD align=left width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 4, Lots 1, 2, S2N2, S2; </TD>
    <TD align=left width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 5, SW; </TD>
    <TD align=left width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 8, N2N2, SENE; </TD>
    <TD align=left width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 9, N2 </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
      >1,880.68 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >9 </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 7, SE4NW4 </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2 >40.00 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >10 </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 7, Lots 3, 4, E2SW,
      W2SE; </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 18, Lots 1-3, W2NE, E2NW, NESW </TD>
    <TD align=right width="20%" colSpan=2 >544.83 </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff >&nbsp; </TD>
    <TD width="56%" bgColor=#e6efff colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >11 </TD>
    <TD align=left width="56%" colSpan=4>Sec. 11, All; </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 12, W2, SE </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
      >1,120.00 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >12 </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 13, 14, 23, and
      24, (ALL) </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
      >2,560.00 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >13 </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 15, W2NW, SENW,
      SW; </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Secs. 22, and 27, (ALL); </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 28, NESE </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
      >1,600.00 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >14 </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 29, NE4NW4 </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 30, M&amp;B [Part of NE4NE4] (30.00)
    </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center bgColor=#e6efff>&nbsp;&nbsp;&nbsp;</TD>
    <TD align=left width="56%"  bgColor=#e6efff
      colSpan=4>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      M&amp;B [Part of W2W2] (74.00) </TD>
    <TD align=center width="10%"  bgColor=#e6efff>&nbsp;</TD>
    <TD align=center width="10%"  bgColor=#e6efff>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%"
      colSpan=4>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      NE4SE4 </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="66%" bgColor=#e6efff colSpan=5>Sec. 32 NW4NE4,NE4NW4,S2NW4,NW4SW4,S2SW4
    </TD>
    <TD align=right width="10%" bgColor=#e6efff >464.00 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >15 </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Secs. 25, 26, 34, and
      35, (ALL) </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
      >2,560.00 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff >&nbsp; </TD>
    <TD width="56%" bgColor=#e6efff colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left colSpan=2>T. 28 S., R. 3 W., SLB&amp;M </TD>
    <TD align=left width="42%" colSpan=3>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff >&nbsp; </TD>
    <TD width="56%" bgColor=#e6efff colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >16 </TD>
    <TD align=left width="56%" colSpan=4>Sec. 5, Lot 4 (40.31) </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 6, Lot 1 (40.28)
    </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2 >80.59 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="56%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >17 </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 5, Lot 2, SENE;
    </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 6, Lots 4-7, E2SW; </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 8, N2NE, NW, N2SW;
    </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 9, W2E2, N2NW, SENW, SW; </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 15, NE, NENW, NESW;
    </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 17, SE </TD>
    <TD align=right width="20%" colSpan=2 >1,479.50 </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff >&nbsp; </TD>
    <TD width="56%" bgColor=#e6efff colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >18 </TD>
    <TD align=left width="56%" colSpan=4>Sec. 8, S2NE4, SE4, SE4SW4 </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 9, SW4NW4 </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 17, NE4 </TD>
    <TD align=right width="20%" colSpan=2 >480.00 </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff >&nbsp; </TD>
    <TD width="56%" bgColor=#e6efff colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >19 </TD>
    <TD align=left width="56%" colSpan=4>Sec. 9, SE4SE4 </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 15, SE4NW4 </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 16, W2E2, W2 </TD>
    <TD align=right width="20%" colSpan=2 >560.00 </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff >&nbsp; </TD>
    <TD width="56%" bgColor=#e6efff colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >20 </TD>
    <TD align=left width="56%" colSpan=4>Sec. 20, NE; </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="66%" bgColor=#e6efff colSpan=5>Sec. 21, N2NE, SWNE,
      NW, N2SW, SWSW, W2SE, </TD>
    <TD align=right width="10%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%"
      colSpan=4>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
      SESE; </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 22, W2SW; </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
    >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="56%" colSpan=4>Sec. 27, SWNE, W2, N2SE, SESE; </TD>
    <TD align=right width="20%" colSpan=2 >&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="56%" bgColor=#e6efff colSpan=4>Sec. 34, E2NE </TD>
    <TD align=right width="20%" bgColor=#e6efff colSpan=2
      >1,320.00 </TD>
  </TR>
</TABLE>
<BR>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<A name=page_14></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 8pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=left ><U>PARCEL</U> </TD>
    <TD align=left width="60%" colSpan=4><U>LEGAL DESCRIPTION</U> </TD>
    <TD align=center width="20%"  >&nbsp;<U>TOTAL ACRES</U> </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >21 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 22, E2SE4 </TD>
    <TD align=left width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="60%" colSpan=4>Sec. 27, E2NE4 </TD>
    <TD align=left width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 34, E2SW4, W2SE4
    </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;320.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >22 </TD>
    <TD align=left width="60%" colSpan=4>Sec. 23, E2E2; </TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 24, W2, SE; </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="60%" colSpan=4>Sec. 25, N2N2 </TD>
    <TD align=right width="20%" >&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp;800.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >23 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 32, Lot 1 (39.82),
      NE4, NE4NW4, S2NW4, S2 (All) </TD>
    <TD align=right width="20%" bgColor=#e6efff >639.82 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >24 </TD>
    <TD align=left width="60%" colSpan=4>Sec. 35, (ALL) </TD>
    <TD align=right width="20%" >669.60 </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff >&nbsp; </TD>
    <TD width="60%" bgColor=#e6efff colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left colSpan=2>T. 29 S., R. 3 W., SLB&amp;M </TD>
    <TD align=left width="45%" colSpan=3>&nbsp;</TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >25 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 7, All; </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="60%" colSpan=4>Sec. 18, Lots 1, 2, NE, E2NW </TD>
    <TD align=right width="20%" >958.86 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >26 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 1, (ALL); </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="60%" colSpan=4>Sec. 29, W2NE; </TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 33, NENW </TD>
    <TD align=right width="20%" bgColor=#e6efff >827.20 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left colSpan=2>T. 30 S., R. 3 W., SLB&amp;M </TD>
    <TD align=left width="45%" colSpan=3>&nbsp;</TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >27 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 15, NW4SW4 </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="60%" colSpan=4>Sec. 16, SE4SE4 </TD>
    <TD align=right width="20%" >&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp;80.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >28 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 19, Lot 4 (40.12),
      S2SE4SW4 </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="60%" colSpan=4>Sec. 30, M&amp;B [Part of Lot 3] (10.25)
    </TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 32, E2, S2NW4, SW4
    </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;630.37 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left colSpan=2>T. 27 S., R. 4 W., SLB&amp;M </TD>
    <TD align=left width="45%" colSpan=3>&nbsp;</TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >29 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 12, S2; </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="60%" colSpan=4>Sec. 13, N2, N2S2; </TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 14, N2, N2S2 </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;1,280.00 </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="60%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff colSpan=4>SANPETE COUNTY, UTAH </TD>
    <TD align=left width="15%" bgColor=#e6efff>&nbsp; </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >T. 18 S., R 1 E., SLM&amp;B </TD>
    <TD align=left width="60%" colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >30 </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 25, NWNE, W2 </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;360.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >31 </TD>
    <TD align=left width="60%" colSpan=4>Secs. 23, 26, and 35, (ALL) </TD>
    <TD align=right width="20%" >&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp;1,910.36 </TD>
  </TR>
  <TR>
    <TD bgColor=#e6efff >&nbsp; </TD>
    <TD width="60%" bgColor=#e6efff colSpan=4>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left colSpan=3>WAYNE COUNTY, UTAH </TD>
    <TD align=left width="30%" colSpan=2>&nbsp;</TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff colSpan=2>T. 28 S., R. 2 E., SLM&amp;B </TD>
    <TD align=left width="45%" bgColor=#e6efff colSpan=3>&nbsp;</TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >32 </TD>
    <TD align=left width="60%" colSpan=4>Sec. 33, E2; </TD>
    <TD align=right width="20%" >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Sec. 34, All; </TD>
    <TD align=right width="20%" bgColor=#e6efff >&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; </TD>
    <TD align=left width="60%" colSpan=4>Sec. 35, W2 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right width="20%"
    >&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;1,280.00
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >&nbsp; </TD>
    <TD align=left width="60%" bgColor=#e6efff colSpan=4>Total Acres </TD>
    <TD align=right width="20%" bgColor=#e6efff >33,334.86 </TD>
  </TR>
</TABLE>
<BR>
<HR style="PAGE-BREAK-AFTER: always" align=center width="100%" color=black
noShade SIZE=5>
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<A name=page_15></A><BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR>
    <TD style="BORDER-TOP: #000000 1px solid" align=left
      colSpan=2>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=center
      colSpan=2>SUMMARY OF ACREAGE COSTS </TD>
  </TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="75%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgColor=#e6efff >Total Acres : </TD>
    <TD align=left width="75%" bgColor=#e6efff>33,334.86 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >Costs ($) : </TD>
    <TD align=left width="75%">1,536,613.50 </TD>
  </TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left bgColor=#e6efff
    >Average Price / Acres ($) : </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left width="75%"
    bgColor=#e6efff>46.10 </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=top>
    <TD align=center colSpan=3>DETAILED SUMMARY </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="33%">&nbsp; </TD>
    <TD width="33%">&nbsp; </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><U>PARCEL</U></TD>
    <TD align=center width="33%"><U>ACRES</U> </TD>
    <TD align=right width="33%"><U>ACREAGE COST ($) *</U> </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;1 </TD>
    <TD align=center width="33%" bgColor=#e6efff>1,557.59 </TD>
    <TD align=right width="33%" bgColor=#e6efff>21,163.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;2 </TD>
    <TD align=center width="33%">1,040.00 </TD>
    <TD align=right width="33%">16,250.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;3 </TD>
    <TD align=center width="33%" bgColor=#e6efff>1,422.07 </TD>
    <TD align=right width="33%" bgColor=#e6efff>15,071.50 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;4 </TD>
    <TD align=center width="33%">239.95 </TD>
    <TD align=right width="33%">4,570.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;5 </TD>
    <TD align=center width="33%" bgColor=#e6efff>1,789.60 </TD>
    <TD align=right width="33%" bgColor=#e6efff>101,265.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;6 </TD>
    <TD align=center width="33%">2,401.52 </TD>
    <TD align=right width="33%">34,959.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;7 </TD>
    <TD align=center width="33%" bgColor=#e6efff>438.32 </TD>
    <TD align=right width="33%" bgColor=#e6efff>10,007.50 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;8 </TD>
    <TD align=center width="33%">1,880.68 </TD>
    <TD align=right width="33%">139,324.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;9 </TD>
    <TD align=center width="33%" bgColor=#e6efff>40.00 </TD>
    <TD align=right width="33%" bgColor=#e6efff>510.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;10 </TD>
    <TD align=center width="33%">544.83 </TD>
    <TD align=right width="33%">41,822.50 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;11 </TD>
    <TD align=center width="33%" bgColor=#e6efff>1,120.00 </TD>
    <TD align=right width="33%" bgColor=#e6efff>32,610.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;12 </TD>
    <TD align=center width="33%">2,560.00 </TD>
    <TD align=right width="33%">47,490.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;13 </TD>
    <TD align=center width="33%" bgColor=#e6efff>1,600.00 </TD>
    <TD align=right width="33%" bgColor=#e6efff>24,930.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;14 </TD>
    <TD align=center width="33%">464.00 </TD>
    <TD align=right width="33%">19,510.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;15 </TD>
    <TD align=center width="33%" bgColor=#e6efff>2,560.00 </TD>
    <TD align=right width="33%" bgColor=#e6efff>99,970.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;16 </TD>
    <TD align=center width="33%">80.59 </TD>
    <TD align=right width="33%">3,432.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;17 </TD>
    <TD align=center width="33%" bgColor=#e6efff>1,479.50 </TD>
    <TD align=right width="33%" bgColor=#e6efff>194,750.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;18 </TD>
    <TD align=center width="33%">480.00 </TD>
    <TD align=right width="33%">7,200.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;19 </TD>
    <TD align=center width="33%" bgColor=#e6efff>560.00 </TD>
    <TD align=right width="33%" bgColor=#e6efff>87,390.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;20 </TD>
    <TD align=center width="33%">1,320.00 </TD>
    <TD align=right width="33%">114,310.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;21 </TD>
    <TD align=center width="33%" bgColor=#e6efff>320.00 </TD>
    <TD align=right width="33%" bgColor=#e6efff>21,150.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;22 </TD>
    <TD align=center width="33%">800.00 </TD>
    <TD align=right width="33%">53,330.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;23 </TD>
    <TD align=center width="33%" bgColor=#e6efff>639.82 </TD>
    <TD align=right width="33%" bgColor=#e6efff>20,510.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;24 </TD>
    <TD align=center width="33%">669.60 </TD>
    <TD align=right width="33%">21,235.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;25 </TD>
    <TD align=center width="33%" bgColor=#e6efff>958.86 </TD>
    <TD align=right width="33%" bgColor=#e6efff>16,912.50 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;26 </TD>
    <TD align=center width="33%">827.20 </TD>
    <TD align=right width="33%">15,448.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;27 </TD>
    <TD align=center width="33%" bgColor=#e6efff>80.00 </TD>
    <TD align=right width="33%" bgColor=#e6efff>4,510.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;28 </TD>
    <TD align=center width="33%">630.37 </TD>
    <TD align=right width="33%">23,377.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;29 </TD>
    <TD align=center width="33%" bgColor=#e6efff>1,280.00 </TD>
    <TD align=right width="33%" bgColor=#e6efff>213,250.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;30 </TD>
    <TD align=center width="33%">360.00 </TD>
    <TD align=right width="33%">45,670.00 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center bgColor=#e6efff>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;31 </TD>
    <TD align=center width="33%" bgColor=#e6efff>1,910.36 </TD>
    <TD align=right width="33%" bgColor=#e6efff>79,436.50 </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center>&nbsp; &nbsp; &nbsp; &nbsp; &nbsp;32 </TD>
    <TD align=center width="33%">1,280.00 </TD>
    <TD align=right width="33%">5,250.00 </TD>
  </TR>
</TABLE>
<P align=center>*Costs includes lease bonus, fees and first year delayed rental<B>
  </B></P>
<P align=justify>All Parcels described above, save and except Parcel 18, are for
  a period of 10 years from their effective date with annual rentals of $1.50
  per acres beginning two years from the effective date. The leases grant a 1/8
  Royality Interest to the Lessors. </P>
<P align=justify>Parcel 18 has a paid up term of two years. The lease grants a
  1/8 Royality Interest to the Lessors. </P>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 3.21</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>MATERIAL CONTRACTS OF ROYALITE</B> </TD>
  </TR>
</TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0 BCLLIST>
  <TR>
    <TD vAlign=top width="5%">1. </TD>
    <TD> <P align=justify>First Amended License Agreement dated October 1, 2005
        with Charles G. Moore, individually and doing business as Hy-Carb Company,
        of Boulder City, Nevada.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">2. </TD>
    <TD> <P align=justify>Letter Agreement dated February 8, 2006 with Charles
        G. Moore and Eugene E. Phebus of Boulder City, Nevada.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">3. </TD>
    <TD> <P align=justify>The residential lease and oil and gas leases described
        in Schedule 3.19.</P></TD>
  </TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR>
    <TD vAlign=top width="5%">4. </TD>
    <TD> <P align=justify>The services and consulting agreements described in
        Schedule 3.16.</P></TD>
  </TR>
</TABLE>
<BR>
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<TABLE
style="BORDER-COLOR: black; FONT-SIZE: 10pt; BORDER-COLLAPSE: collapse; "
cellSpacing=0 cellPadding=0 width="100%" border=0>
  <TR vAlign=bottom>
    <TD align=center><B>SCHEDULE 4.3</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>TO THE AMENDED AND RESTATED AGREEMENT AND PLAN OF MERGER</B>
    </TD>
  </TR>
  <TR vAlign=top>
    <TD align=center><B>BETWEEN WORLDBID CORPORATION, ROYALITE ACQUISITION CORP.
      AND ROYALITE PETROLEUM</B> </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>CORP.</B> </TD>
  </TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 1px solid">&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR>
    <TD>&nbsp; </TD>
  </TR>
  <TR vAlign=bottom>
    <TD align=center><B>DERIVATIVE SECURITIES OF WORLDBID</B> </TD>
  </TR>
</TABLE>
<P align=justify><U>Worldbid Financing #1</U> </P>
<P align=justify>Worldbid has 1,740,085 share purchase warrants outstanding. Each
  share purchase warrant entitles the holder to purchase one share of Worldbid
  Common Stock at a price of $0.85 per share for a period ending on January 31,
  2008.</P>
<P align=justify><U>Worldbid Financing #2</U> </P>
<P align=justify>On August 11, 2006, Worldbid&#146;s Board of Directors approved
  the offering on a private placement basis of up to 15,000,000 units at a price
  of $1.50 per unit, with each unit consisting of one share of common stock and
  one-half (&#189;) of one share purchase warrant. Each whole warrant will entitle
  the holder to purchase an additional share of the Corporation&#146;s common
  stock at a price of $1.75 US per share for a period of one (1) year from the
  date of issuance of the Units. As of the date of this Agreement, Worldbid has
  received subscriptions for a total of 1,953,700 units. </P>
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