AXP Quattro Exploration & Prod Ltd

AccelRate Power Systems Inc. ("AccelRate" or the "Company") (TSX
VENTURE:AXP)(FRANKFURT:KCG) has entered into a letter agreement (the
"Agreement") dated March 12, 2010 for the purchase of eight petroleum and
natural gas leases (the "Leases") which will give the Company oil and gas
exploration and production rights to eight non-contiguous parcels of land
situate in Saskatchewan and Manitoba.


Information on the Target Assets and the Company

The Leases grant to the holder oil and natural gas exploration and production
rights ("Oil and Gas Rights") relating to eight undeveloped parcels of property
totaling 2,364.4 acres, generally described as follows:


Parcel 1 Lease - a five year lease issued on August 12, 2009, granting a 100%
interest in all Oil and Gas Rights to a 64.76 hectare parcel in southeastern
Saskatchewan;


Parcel 2 Lease - a five year lease issued on August 12, 2009, granting a 100%
interest in all Oil Rights to a 64.75 hectare parcel in southeastern
Saskatchewan;


Parcel 3 Lease - a five year lease issued on August 12, 2009, granting a 100%
interest in all Oil and Gas Rights to a 56.143 hectare parcel in southwestern
Manitoba;


Parcel 4 Lease - a five year lease issued on August 12, 2009, granting a 100%
interest in all Oil and Gas Rights to a 128 hectare parcel in southwestern
Manitoba;


Parcel 5 Lease - a five year lease issued on October 5, 2009, granting a 100%
interest in all Oil and GasRights to a 128.69 hectare parcel in Southwestern
Saskatchewan;


Parcel 6 Lease - a five year lease issued on October 5, 2009, granting a 100%
interest in all Oil and Gas Rights to a 259 hectare parcel in southeastern
Saskatchewan;


Parcel 7 Lease - a five year lease issued on February 8, 2010, granting a 100%
interest in all Oil and Gas Rights to a 113.31 hectare parcel in southeastern
Saskatchewan;


Parcel 8 Lease - a five year lease issued on February 8, 2010, granting a 100%
interest in all Oil and Gas Rights to a 64.75 hectare parcel in southeastern
Saskatchewan.


On completion of the proposed acquisition ("Closing"), the Company will commence
the oil and natural gas exploration business as an "Oil & Gas Issuer" on Tier 2
of the TSX Venture Exchange (the "TSXV"). The Company intends to appoint a
person who is a qualified person in respect of oil and gas projects to its Board
of Directors before Closing, and will make other changes it deems necessary or
desirable in connection with it proposed new business.


The Company currently carries on the business (the "Charger Business") of
licensing technology for the manufacture and sale of high-speed battery chargers
as a "Technology or Industrial Issuer" on Tier 2 of the TSXV. On Closing, the
Company will cease to carry on the Charger Business.


Transaction Terms

Pursuant to the Agreement, the Company will purchase a 100% interest in and to
the Leases from a syndicate formed to carry out research on oil and gas
prospects for acquisition. The syndicate members, 1511558 Alberta Inc., an
Alberta corporation, and 0739796 B.C. Ltd. and 517769 B.C. Ltd., both British
Columbia corporations (collectively the "Vendors"), are at arm's length from the
Company and its principals. The essential terms of the Agreement are as follows:


1. As consideration for the Leases, the Company will pay $771,219.19 (Canadian
funds) (the "Acquisition Payment") to the Vendors and issue to the Vendors a
total of 3,000,000 common shares (the "Purchase Shares") of the Company and
warrants (the "Purchase Warrants") exercisable for five years after Closing to
purchase up to an additional 6,000,000 common shares of the Company for $$0.10
per share. The Purchase Shares and any shares issued pursuant to the exercise of
Purchase Warrants will be subject to a four month hold period from Closing and,
in addition, escrow resale restrictions described under "Escrow Resale
Provisions" below. The Purchase Warrants will be transferable and will contain a
term stipulating that they may not be exercised if such exercise would make the
person exercising such Purchase Warrants a "control person" as that term is
defined in the Securities Act (British Columbia).


2. The Company will complete the Working Capital Private Placement and Special
Warrant Private Placement described under "Private Placements and Debt
Settlements" below not later than April 30, 2010.


3. The Company will complete the Closing Private Placement described under
"Private Placements and Debt Settlements" below on or before Closing.


4. The Company will satisfy approximately $1,070,000 of existing indebtedness in
the manner described under "Private Placements and Debt Settlements" below on or
before Closing.


5. The Company will transfer its Charger Business and related assets and
liabilities to the President of the Company on Closing in satisfaction of the
Company's indebtedness to the President, described under "Private Placements and
Debt Settlements" below.


The Vendors have reserved a gross overriding production royalty described under
"Royalty" below. The Company plans to obtain a NI 51-101 compliant report on the
Leases and Lands. The Company also plans to obtain a valuation of the Charger
Business in connection with the proposed disposition of the Charger Business on
Closing. The Agreement includes conditions precedent considered standard for
transactions of the nature described in this news release.


Private Placements, Debt Settlements and Escrow Resale Provisions

Working Capital Private Placement

The Company announces a private placement (the "Working Capital Private
Placement") of 8,666,667 common shares at $0.075 per share to raise $650,000 to
pay debts and provide working capital to complete the proposed transactions. No
warrants will be issued. The Working Capital Private Placement is subject to
acceptance by the TSXV. All shares issued pursuant to the Working Capital
Private Placement will be subject to a four month hold period from the date of
completion of the financing and, in addition, escrow resale restrictions
described under "Escrow Provisions" below.


Special Warrant Private Placement

The Company also announces a private placement of 2,000,000 special warrants
(each a "Sidecar Special Warrant") at the price of $0.20 each (the "Special
Warrant Private Placement") to raise $400,000. The Sidecar Special Warrants will
have the following essential terms:


1. The proceeds from the sale of Sidecar Special Warrants will be advanced to
two of the Vendors (the "Borrowers") jointly as a non-interest bearing loan (the
"Loan");


2. To ensure that AccelRate is protected in the event that the filing (the "TSXV
Filing") required to be made by the Company in respect of the Agreement is not
accepted by the TSX Venture Exchange (the "TSXV"), the Sidecar Special Warrants
will have the following essential terms:


(a) if the TSXV Filing is accepted by 4:30 p.m. (local Vancouver time) (the
"Expiry Time") on September 30, 2010, then on Closing:


(i) each holder (a "Holder") of Sidecar Special Warrants Holder will receive one
AccelRate Share for each Sidecar Special Warrant held by such Holder, and


(ii) the Loan will be set off against $400,000 of the Acquisition Payment
otherwise required to be made on Closing; and


(b) if the TSXV Filing is not accepted by the Expiry Time, then:

(i) the Holder will receive promissory notes (each a "Loan Note") from the
Borrowers for the subscription price (the "Sidecar Debt") paid for Sidecar
Special Warrants;


(ii) the Holders will be entitled to be paid the full amount of the Sidecar Debt
from the Borrowers' share of net proceeds from the sale of oil and natural gas
production from the Properties before the Borrowers shall be entitled to any
share of such production; and


(iii) the Company shall have no obligation or liability whatsoever to the
Holders or the Vendors.


The Special Warrant Private Placement is subject to acceptance by the TSXV. The
Sidecar Special Warrants will be non-transferable. All Company shares issued
pursuant to the deemed exercise of Sidecar Special Warrants will be subject to a
four month hold period commencing on the date of issue of the Sidecar Special
Warrants.


Closing Private Placement

The Company announces a private placement (the "Closing Private Placement") to
be completed on or before Closing to raise $5,500,000 by the issue of
subscription receipts or common shares at the price of $0.25 per share. If the
Closing Private Placement consists of subscription receipts, proceeds from the
Closing Private Placement will be held in escrow pending Closing. No warrants
will be issued. Proceeds from the Closing Private Placement will be used to
carry out drilling and other exploration work on the Lands, and for general
working capital. The Closing Private Placement is subject to acceptance by the
TSXV. All shares issued pursuant to the Closing Private Placement (or in
exchange for Subscription Receipts on Closing) will be subject to a four month
hold period from the date of completion of the Closing Private Placement.


Debt Settlements

The Agreement provides that indebtedness of the Company to its President will be
paid and satisfied as follows:


1. $50,000 in cash from the Working Capital Private Placement;

2. $100,000 by issuance of 1,333,334common shares of the Company at the deemed
price of $0.075 per share concurrently with completion of the Working Capital
Private Placement;


3. $125,000 in cash on Closing from the Closing Private Placement; and

4. the remaining balance by transfer of the Company's Charger Business to the
President on Closing.


As noted above, the Company plans to obtain a valuation of the Charger Business
in connection with the proposed disposition of the Charger Business on Closing.
As the assets included in the Charger Business include the "AccelRate Power
Systems Inc." name and related trademark, on Closing the Company will change its
name to a name reflective of its new business.


The Agreement also provides that arm's length indebtedness of the Company in the
amount of approximately $200,000 will be satisfied by issuance of approximately
2,666,666 common shares of the Company at the deemed price of $0.075 per share
concurrently with completion of the Working Capital Private Placement. The
intended result is that the Company will on Closing have no assets or
liabilities associated with the Charger Business.


Escrow Resale Provisions

The Agreement provides that all Shares issued pursuant to the Working Capital
Private Placement, all shares issued in settlement of debt, all Purchase Shares
issued to the Vendors on Closing and all shares issued to the Vendors after
Closing pursuant to the exercise of Purchase Warrants will be subject to such
escrow requirements as may be imposed by the TSXV or the escrow resale
restrictions set forth below, whichever are more onerous:


- 25% 6 months after issuance;

- 25% 12 months after issuance;

- 25% 18 months after issuance; and

- 25% 24 months after issuance.

In the case of shares issued on exercise of Purchase Warrants, the escrow resale
restrictions set forth above will commence to run on the date of issuance of the
Purchase Warrants.


Finders' Fees and Commissions

The Company will pay finders' fees or commissions in connection with the private
placements described herein in accordance with the policies of the TSXV. The
finder's fees payable in connection with each of the Working Capital Private
Placement and Special Warrants Private Placement are anticipated to be an amount
equal to 10% of gross proceeds from those financings, but will be payable only
on, and subject to, Closing. The finder's fee payable in connection with the
Closing Private Placement is anticipated to be an amount equal to 10% of gross
proceeds from those financings in cash and 10% warrants issuable to a
registrant, and will be payable only on Closing.


Gross Overriding Royalty on Production

The Agreement provides that the Vendors shall have a twenty (20%) percent
interest (the "GOR") in oil and gas production from the Lands; provided that the
GOR will be reduced by 1% for each 1%) by which the aggregate of all royalties
payable to any government in respect of such Well exceed 5%; and further
provided that in no event shall the GOR be reduced below 10%. In addition, the
Vendors have granted a royalty holiday on the first 8,500 barrels of oil
production from each vertical well drilled on the Lands within four years after
Closing and on the first 25,000 barrels of oil production from each horizontal
well drilled on the Lands within four years after Closing.


Regulatory Issues

The proposed transaction will constitute a Change of Business under the policies
of the TSX Venture Exchange. If the acquisition is completed, the Company will
become a Tier 2 Oil & Gas Issuer. The Company has not retained a sponsor in
connection with the proposed transaction. The Company will be requesting that
the TSX Venture Exchange waive sponsorship requirements.


Completion of the transaction is subject to a number of conditions, including
TSX Venture Exchange acceptance and disinterested shareholder approval. The
transaction cannot close until the required Shareholder approval is obtained.
There can be no assurance that the transaction will be completed as proposed or
at all.


Investors are cautioned that, except as disclosed in the Filing Statement or
Management Information Circular to be prepared in connection with the proposed
transaction, any information released or received with respect to the Change of
Business may not be accurate or complete and should not be relied upon. Trading
in the securities of the Company should be considered highly speculative.


The TSX Venture Exchange has in no way passed upon the merits of the proposed
transaction and has neither approved nor disapproved the contents of this press
release.


Reimar Koch, President and CEO

This new release may contain forward-looking statements. These statements are
based on current expectations and assumptions that are subject to risks and
uncertainties. Actual results could differ materially because of factors
discussed in the company's Management Discussion & Analysis filed with its
interim and most recent annual financial statements or other reports and filings
with the TSX Venture Exchange and applicable Canadian securities regulators. The
Company does not assume any obligation to update any forward-looking statements.

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