Peter & Christine McConnell Box 3 Cromer, MB R0M 0J0 For: NE 3-9-28 NW 3-9-28 February 27, 2012 Attn Peter & Christine McConnell: RE: 13-10-9-28 WIM Cromer Battery Application Tundra Oil & Gas Partnership has requested approval from the Petroleum Branch to build a new battery at 13-10-9-28 WIM. This new facility will handle all of the current fluid from the 11-1013-28 battery, as well as any existing horizontal wells in the area that are currently produced into test tanks. Total estimated production going through this new facility will be 250m3 of oil per day and 700m3 of water per day. Tundra is planning on drilling additional horizontal wells that would also be tied into this new facility over the next 3 to 5 years. This facility will enable us to shut down the old 11-10 battery and have one centrally located facility. From an environmental, economic and a traffic standpoint it makes sense to operate one centrally located facility instead of having two separate ones or several test tanks at individual wells. This would limit truck traffic to only one facility instead of from two or more different facilities. The first step in the battery process was to find a central site that would meet the requirements of both Tundra and the Petroleum Branch. A battery located at 13-10-9-28 WIM meets the needs of both parties, as it is central to existing wells and it maintains as much distance as possible from existing residences. The benefits of this site are as follows: - This site is in an area that has already been exposed to several years of oilfield activity. - This site is centrally located for future developments on Tundra lands. The second step in the process of constructing a battery involves design of the facility. This battery will be built to Tundra’s standards which are above and beyond the Government regulations! The major components of the battery will be as follows: - 1 - Inlet header which directs all the fluid from the field to the treater vessel. This header will have an Emergency Shut Down (ESD) valve which, when activated, will shut down the entire battery system. - 1 – 8’ x 30’ Free Water Knock Out which helps to separate the oil from produced water. - 1 - 6’ x 20’ Treater which will separate water from the oil using a heated firetube. - 2 - 1000 Bbl Fiberglass Water Tanks - 3 - 1000 Bbl Steel Welded Oil Tanks - 1 - 400 Bbl Pop Tank to contain fluid in the event that a pop valve is activated - 1 - 100 HP National disposal pump - 1 - 3” 4” x 40’ Dual Flare Stack - 1 - MCC building that contains alarms and electrical equipment The oil and water tanks will be located inside a metal containment system complete with impermeable liner to prevent contamination of underlying soil. This battery will only be flaring excess gas and will not be venting any gas into the atmosphere. The only time that there would be a release of pure gas into the atmosphere would be if the pilot light went out on the flare stack or if the pop valve popped on the treater. This release would happen for a very short time due to the alarms at the battery that would shut down all wells and prevent any more fluid from entering the facility. These alarms close the Emergency Shut Down (ESD) valve at the inlet header and send out an alarm to the operator that there are problems at the battery. Tundra Oil & Gas Partnership has been building facilities to Government standards for many years now and has excellent environmental protection measures, a superb safety record, and strong community relations. Tundra Oil & Gas Partnership must follow the guidelines to obtain a Battery Operating Permit for the above operation. As part of the application process, we are required to consult with all landowners and occupants within a 1.5km radius of the battery site. Tundra Oil & Gas Partnership hereby requests your approval for the above operation. Attached with this letter are a battery plot plan and a proposed flow diagram for the facility. If you have any questions, comments or concerns regarding this matter, please provide details on the attached page and return it in the envelope provided. If you approve of the above operation, please indicate by signing in the space provided below, and return one signed copy in the envelope provided, on or before March 31, 2012. I can be contacted at 204-748-4440 if you have any additional questions. The information contained in this letter is a condensed version of the full battery application submitted to the Petroleum Branch. If you would like to see a full copy of the battery application, do not hesitate to contact me and an application will be forwarded to you. Yours truly, Ashleigh Poppel, E.I.T. Production & Facilities Engineer I, 13-10-9-28W1M battery. _____________________________ Signature of Landowner have no objections with the building of the __________ Date I, have the following objections with the building of the 13-10-9-28 W1M battery. _____________________________ Signature of Landowner _____________ Date