VisionQuest, Expansive enter wireless development deals
Ticker Symbol: C:VQE

VisionQuest, Expansive enter wireless development deals

VisionQuest Energy Group Inc (C:VQE)
Shares Issued 14,308,056
Last Close 10/9/2009 $0.045
Friday October 16 2009 - News Release

Mr. Gary Ciccozzi reports

ALLIANCE WIRES VISIONQUEST INTO WIRELESS

VisionQuest Energy Group Inc. has made another strategic step forward in its pursuit of populous-based sustainable lifestyle solutions. VisionQuest is pleased to announce that it has entered into a Cooperative Resource Pooling, Technology/Knowledge Access and Acquisition Protocol Agreement with Expansive Networks Corp. ("Expansive") a private British Columbia Corporation.

Pursuant to the cooperative enterprise development agreements (hereinafter referred to as "EDA"), VisionQuest, through wholly-owned subsidiary VisionWorks Marketing Corporation, and Expansive will work jointly and pool their respective resources in a partnering arrangement to further develop Expansive as an integrated wireless services provider, supplying next-generation high speed Internet service & Internet protocol telephony model for both wired private networks (LANS) and wireless networks for residential, business and enterprise customers in small suburban and rural communities not being serviced and/or under-serviced by large communication enterprises. The VisionQuest/Expansive industrial development alliance adds a new sustainability dimension complementary to VisionQuest's other eco-evolution development pillars and sustainable environment and industry partnerships, currently integrating alternative energy, food supply, shelter, transportation, financial services and industrial sustainability.

With the support of the VisionQuest Group, Expansive intends to focus its initial niche-market growth aspirations on British Columbia, where it has already identified a significant number of small suburban and rural communities that would benefit from Expansive's Internet & telephony communications model. Next on the development agenda will be to expand across Canada. Under the EDA, and looking to the future, VisionQuest will maintain non-exclusive worldwide development entitlements, as well as rights, upon the satisfaction of certain defined terms and conditions, to a progressive gross revenue royalty based on Expansive's worldwide revenue. Further, under the terms of a three year secured loan agreement ancillary to the EDA, VisionQuest subsidiary VisionWorks has made a $680,000 collateralized Equity-Builder borrowing facility available to Expansive to grow their client network.

The acquisition protocol defined in the EDA, also grants VisionQuest share purchase warrants to buy from Expansive's treasury, an increasing equity interest in Expansive up to the 40% ownership level for a pre-determined price as stipulated in the EDA and the supporting agreements. Thereafter, under specific conditions, the EDA provides that VisionQuest has a right of first refusal to make an offer to all Expansive shareholders, for VisionQuest to purchase up to 100% of Expansive, on terms and conditions to be determined. The acquisition protocol is applicable for a six year period from the reference date stipulated in the EDA.

The Expansive/VisionQuest alliance is designed to be a socially conscious but definitely for-profit proposition for all parties to the VisionQuest/Expansive alliance. VisionQuest's potential financial return from the alliance is anticipated to be in the form of both income as well as capital appreciation of contractual entitlements to share in Expansive's income performance and client growth. On the subjective side, from VisionQuest's point of view the VisionQuest/Expansive alliance energizes our sustainable-community development aspirations, recognizing an important role for efficient high-speed Internet and telephony services to livability in small suburban and rural communities. Expansive's model also shows great promise toward the provision of such living enhancements as telemedicine, tele-education, and tele-finance solutions/services to otherwise disadvantaged or under-serviced communities seeking improved lifestyles encompassing health, knowledge, education & culture, finance, and sustainability. Through the process of bringing together complementary enterprise partners VisionQuest remains committed to pooling and providing the best resources available to foster renewable energy development, protect the environment, empower communities, bolster local economies and generally respect the legacies of sustainability to be inherited by future generations.

Certain material elements of the arrangements are outlined in this press release as matters of continuous disclosure. This transaction does not contain any current elements that would make any aspect of the agreement, a transaction that would be subject to regulatory approval at this time.