Exhibit 10.20
EMPLOYEE'S OPTION AGREEMENT
THIS AGREEMENT IS MADE AS OF THE 17 DAY OF MAY 1996 (THE "AGREEMENT" DATE").
BETWEEN:
IDAHO CONSOLIDATED METALS CORP., a company duly incorporated
under the laws of the Province of British Columbia, having a
place of business at Xxxxx 000, 000 Xxxx Xxxxxx, Xxxxxxxx,
Xxxxx, 00000;
(the "Company")
AND:
XXX XXXXX
0000 Xxxxxx Xxx, Xxxxx 000
Xxxxxxx, XX
X0X xX0;
(the "Employee")
WHEREAS the Employee is the Chief Financial Officer of the Company and a bona
fide employee of a company providing accounting services to the Company, and the
Company would like to grant to the Employee an option to purchase common shares
of the Company on the terms and conditions hereinafter set forth;
NOW THEREFORE THIS AGREEMENT WITNESSES that in consideration of the premises and
of the covenants and agreements herein contained the parties hereto covenant and
agree (the "Agreement") as follows:
1. From and including the Agreement Date through to an including the day 4 years
from the Agreement Date (the "Termination Date"), the Employee shall have and be
entitled to and the Company hereby grants to the Employee an option (the
"Option") to purchase a total of 250,000 common shares without par value in the
capital stock of the Company from treasury at the price of $3.30 per share. Only
one-half of the common shares held under the Option may be exercised during any
six month period.
2. Subject to the terms of this Agreement, the right to take up shares pursuant
to the Option is exercisable by the Employee giving notice in writing to the
Company accompanied by a cheque, certified if so required by the Company, in
favour of the Company for the full amount of the purchase price of the shares
then being purchased. Provided such written notice and payment are received by
the Company prior to 5:00 p.m. local time on the Termination Date at its address
first above written, the Company covenants and agrees to issue and deliver to
the Employee, forthwith
thereafter, a share certificate for the number of shares so purchased registered
in the Employee's name.
3. This is an Option only and does not impose upon the Employee any obligation
to take up and pay for any of the shares under Option.
4. The Option shall not be assignable or transferable by the Employee otherwise
than by Will or the law of intestacy and the Option may be exercised during the
lifetime of the Employee only by the Employee himself.
5. This Option shall terminate 30 days after the Employee ceases to be an
employee of the Company save and except where the Employee ceases to be an
employee of the Company as a result of:
(a) termination for cause; or
(b) by order of the Superintendent of Brokers for B.C., B.C. Securities
Commission, Vancouver Stock Exchange or any securities regulatory body
having jurisdiction to so order,
in which case the Option shall terminate on the date the Employee ceases to be
an employee of the Company.
6. If the Employee should die while still an employee of the Company, the Option
may then be exercised by the Employee's legal heirs or personal representatives
to the same extent as if the Employee were alive and an employee of the Company
for a period of one year after the Employer's death but only for such shares as
the Employee was entitled to purchase pursuant to the Option at the date of the
Employer's death.
7. This Agreement and any amendments hereto are subject to the approval of the
Vancouver Stock Exchange and, if the Employee is an insider (as the term is
defined in the Securities Act, S.B.C. 1985, c. 83 as amended) of the Company, by
the members of the Company. In the event such approvals are not obtained, this
Agreement shall be null and void and of no further force and effect.
8. In the event of any subdivision, consolidation or other change in the share
capital of the Company while any portion of the Option is outstanding, the
number of shares under option to the Employee and the exercise price thereof
shall be adjusted in accordance with such subdivision, consolidation or other
change in the share capital of the Company.
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9. In the event that the Company undertakes an amalgamation, merger,
reorganization or other arrangement while any portion of the Option is
outstanding, the number of shares under option to the Employee and the exercise
price thereof shall be adjusted in accordance with such amalgamation, merger,
reorganization or other arrangement.
10. The Company hereby covenants and agrees to and with the Employee that it
will reserve in its treasure sufficient shares to permit the issuance and
allotment of shares to the Employee in the event the Employee exercises the
Option.
IN WITNESS WHEREOF the parties have hereunto caused these presents to be
executed effective as of the day and year first above written.
THE COMMON SEAL of IDAHO )
CONSOLIDATED METALS CORP. )
was hereunto affixed in the presence of: )
)
/s/ Xxxxxxx Xxxxxxx ) c/s
-------------------------------- )
SIGNED, SEALED AND DELIVERED )
by XXX XXXXX in the presence of: )
)
)
Signature of )
Witness: /s/ [Illegible] ) /s/ Xxx Xxxxx
------------------------- ) --------------------------------
) XXX XXXXX
Address of )
Witness: Burnaby, BC )
------------------------- )
)
---------------------------------- )
Occupation )
of Witness: Secretary )
------------------------- )
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