Exhibit 10.g
Guyana
County of Demerara
CONTRACT OF SERVICE
BY THIS AGREEMENT made at Georgetown, Demerara, Republic of Guyana, this
1st day of August, 2004, BETWEEN:-
NORTH AMERICAN RESOURCES INCORPORATED LIMITED of 88 C&D Barrack Street,
Kingston, Georgetown, aforesaid (the company)
And
SHEIKH X. XXXXXX of 17 Courida Park (East) East Coast Demerara, aforesaid (the
CEO).
NOW THIS AGREEMENT WITNESSETH AS FOLLOWS:-
Engagement
1. The company hereby engages the services of the CEO and the CEO
accepts employment as the Chief Executive Officer of the company for
the duration and on the terms hereinafter reserved.
Duration
2. This Agreement shall be for a duration of 1 (one) year from the date
hereof to the 31st day of July, 2005, subject to termination as
hereinafter provided.
Hours of work
3. The CEO's normal hours of work shall be from 9:00 a.m. to 4:30 p.m.
each weekday (Monday to Friday). However, the CEO shall work such
further or additional hours as are reasonably required to achieve
the objects of the company. He shall not be paid overtime for such
further or additional work. The CEO will spend the majority of his
time working on NARIL and related Companies business activities.
Remuneration
4. The CEO's remuneration shall be as follows:-
4.1 Compensation of $7,500USD (seven thousand, five hundred
Dollars United States Currency) per month payable in arrears
on the last working day of each month.
4.2 Signing Bonus of 100,000 (one hundred thousand) restricted
shares in South American Minerals Inc. of 00 Xxxxxx Xxxxxx,
Xxx Xxxx Xxxx, 00000, Xxxxxx Xxxxxx of America, to be issued
to the CEO forthwith upon the execution hereof.
4.3 Annual Bonus of 100,000 (one hundred thousand) restricted
shares in South American Minerals Inc. of 00 Xxxxxx Xxxxxx,
Xxx Xxxx Xxxx, 00000, Xxxxxx Xxxxxx of America, to be issued
to the CEO forthwith upon the anniversary of the execution
hereof.
5. The company shall pay all reasonable living expenses of the CEO
including:-
5.1 Rental or Accommodation for the CEO at his present residence,
or at such other residence as he shall occupy within Guyana
from time to time.
5.2 Electricity, water, food supplies, telephonic and satellite
television services enjoyed by the CEO at his residence.
5.3 Salary for domestic maid, and security guard at the CEO's
residence.
5.4 Electronic security for the CEO's residence.
6. The company shall pay all personal reasonable business related
medical expenses of the CEO during the subsistence of this
Agreement. These shall include a complete annual medical check-up
(together with all or any post-check medical treatment which may be
prescribed consequent upon the check) at such medical facility
within or outside of North America as the CEO shall see fit.
7. The company shall pay all expenses of all business travel done by
the CEO for the company.
Vacation
8. The CEO shall be entitled to take vacations outside of Guyana
provided in his opinion it does not affects the smooth operation of
the Company's business. The Company shall pay the airfare for the
CEO's vacation.
Termination
9. After the first year of this Agreement, should there be a material
breach of this Agreement, either party shall be at liberty to
terminate this Agreement immediately by issuing the other with
notice in writing of such termination. The parties hereby agree that
unless a material breach actually exists, any purported termination
shall be null, void and invalid.
CEO's responsibilities
10. The CEO shall have the sole right to decide how the company's day to
day business in Guyana shall be carried on including but not limited
to:-
10.1 The carrying on of mining operations;
10.2 the employment and dismissal of personnel and the terms of
their employment;
10.3 dealing with the State of Guyana and its regulatory bodies and
functionaries as they relate to the company and its
operations;
10.4 the payment of receivables due in Guyana;
10.5 pledging the company's credit up to a limit agreed between the
CEO and the company's directors; and
10.6 the issuing of instructions to the company's bankers,
accountants and/or attorneys-at-law.
However, the CEO shall be subject to the direction of the Board of
Directors on matters of company policy including but not limited
to:-
10.7 The opening and closure of mines;
10.8 the conclusion of mining agreements with third parties; and
10.9 pledging the company's credit over and above an amount agreed
between the CEO and the company's directors.
10.10 The purchase of equipment costing in the excess of US$25,000
(twenty five thousand United States Dollars) per unit.
Notice
11. Any notice required to be issued to either party by the other under
this Agreement shall be in writing and shall be deemed duly
delivered if either delivered personally or sent by registered post,
facsimile transmission, and/or electronic mail to the party which is
to receive it at the hereinbelow stated address or such other
address as that party shall specify in writing from time to time:-
The Company: The CEO:
88 C&D Barrack Street, 17 Courida Park (East),
Kingston, East Coast Demerara.
Georgetown. Fax: 000-0000
Fax: 000-0000 e-mail:
e-mail: xxxxxxxxxx@xxxxxx.xxx
xxxxx@xxxxxxxxxx.xxx
c.c. 00 Xxxxxx Xxxxxx
Xxx Xxxx, Xxx Xxxx
00000,
Fax No. 000 000 0000
IN WITNESS WHEREOF the parties hereto have hereunder set their hands on
the date first above written in the presence of the subscribing witnesses
hereto.
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The Company. The CEO.
As Witness: As Witness:
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