X0202 4 2007-09-07 0 0000095047 DEER VALLEY CORP DVLY 0001133200 MASTERS CHARLES G 4218 W. LINEBAUGH AVENUE TAMPA FL 33624 1 1 1 0 PRESIDENT & CEO STOCK OPTION 1.14 2007-09-07 2007-07-01 4 A 0 50000 A 2017-07-01 COMMON STOCK 50000 2026861 I SPOUSE STOCK OPTION 1.11 2007-09-07 2007-09-07 4 A 0 50000 A 2017-09-07 COMMON STOCK 50000 2026861 I SPOUSE Option exercisable for 50,000 shares of common stock, granted pursuant to the 2007 Long Term Incentive Plan. Exercisable immediately upon Grant. Includes (a) 1,732,083 common shares, (b) 33,334 common shares issuable upon conversion of 2,500 shares of the Company's Series A Preferred Stock, (c) 33,334 common shares issuable upon exercise of the Company's Series A Common Stock Purchase Warrant, (d) 2,024 common shares issuable upon exercise of the Company's penalty Series A Common Stock Purchase Warrants, (e) 16,667 common shares issuable upon exercise of the Company's Series B Common Stock Purchase Warrant, (f) 19,799 common shares issuable upon exercise of the Company's Series BD-2-16 Common Stock Purchase Warrant, (g) 9,900 common shares issuable upon exercise of the Company's Series BD-3-16 Common Stock Purchase Warrant, (THIS FOOTNOTE CONTINUES ONTO FOOTNOTE #4) (CONTINUTED FROM FOOTNOTE #3) (h) 39,860 common shares issuable upon exercise of the Company's Series BD-12 Common Stock Purchase Warrant, (i) 39,860 common shares issuable upon exercise of the Company's Series BD-13 Common Stock Purchase Warrant, and (j) director common stock purchase warrants exercisable for 100,000 shares. The reporting person and his spouse both disclaim beneficial ownership of the other's securities, and this report shall not be deemed an admission that the reporting person is the beneficial owner of the securities for purposes of Section 16 or for any other purpose. /s/ CHARLES G. MASTERS 2007-09-11