EMPLOYMENT AGREEMENT
This Agreement is entered into this 31st day of December, 1995 between
Summo Minerals Corporation ("Summo"), a British Columbia corporation, and
Xxxxxxx X. Xxxx ("Xxxx"). This Agreement shall become effective upon the
earlier of the employment termination of Xxxx by St. Xxxx Minerals Inc. or
the date of this Agreement (the "Effective Date").
1. EMPLOYMENT. On the terms and conditions set forth herein, Summo
hereby agrees to employ Xxxx as President and Chief Executive Officer of
Summo Minerals Corporation and Summo USA Corporation, and Xxxx hereby agrees
to be so employed and located in Denver, Colorado, for a minimum of one year
from the Effective Date of this Agreement. Xxxx shall utilize his full-time
good faith efforts to perform such duties and discharge such responsibilities
as are customarily undertaken by such an officer of a corporation, together
with such other appropriate duties as may be assigned to him by the Board of
Directors of Summo.
2. COMPENSATION. Summo shall compensate Xxxx for his services
hereunder at an initial rate of $120,000 per annum payable in semi-monthly
installments. Such compensation shall be subject to review and increase, as
approved by the Board of Directors of Summo, in July of each year beginning
with July, 1996. Xxxx shall participate in the fringe benefits and benefit
plans of Summo in the same manner and to the same comparable extent as other
senior executives of Summo, including three weeks of vacation, retirement
benefits, life insurance, disability benefits and insurance and health and
hospitalization benefits and insurance. Xxxx shall also be entitled to
additional bonus or incentive compensation, as determined by the Board of
Directors of Summo, pursuant to any plans or programs established therefore,
to an extent comparable with other senior executives of Summo and dependent
upon the nature of the accomplishment of his employment duties and
responsibilities including those described in paragraph 1 above.
3. TERM.
(1) The term of employment of Xxxx by Xxxxx shall commence as of
the above-mentioned Effective Date. This Agreement shall continue in effect
for at least one year and then until terminated by Xxxx or Summo upon not
less than thirty days prior written notice to the other. Upon any
termination of this Agreement by Summo for any reason other than the
occurrence of an event described in subparagraph (2) below, Summo shall
continue the compensation of Xxxx at its rate at the time of such termination
for a period of one year thereafter, together with a continuation of the
insurance benefits in effect for him at the time of such termination.
IN WITNESS WHEREOF, the undersigned have executed this Agreement as of
the day and year first above written.
SUMMO MINERALS CORPORATION
By: /s/ XXXX X. XXXXXX By: /s/ XXXX X. XXXXXX
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Xxxx X. Xxxxxx Xxxx X. Xxxxxx
By: /s/ XXXXXXX XXXXX By: /s/ XXXX XXXXX
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Xxxxxxx Xxxxx Xxxx Xxxxx
By: /s/ XXXXXXX XXXXXX By: /s/ XXXX X. XXXXXXXXXXX
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Xxxxxxx Xxxxxx Xxxx X. Xxxxxxxxxxx
ACKNOWLEDGED AND AGREED TO this 31st day of December, 1995, in Denver,
Colorado.
By: /s/ XXXXXXX X. XXXX
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Xxxxxxx X. Xxxx
