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Exhibit 10.1

DESCRIPTION OF THE SHORT-TERM CASH INVENTIVE PLAN (BONUS)

Annual cash incentive awards, which are designed to provide short-term
performance incentives, are made to employees to recognize and reward corporate
and individual performance. The plan in effect provides an annual incentive fund
of up to 3.5% of the Company's annual net income, with certain adjustments, to
potentially any and all employees upon achievement of the Company’s growth and
profitability goals.

Annually, Management and the Board will set specific targets to be achieved
which will determine the cash payment as a whole and then to each eligible
employee based on a formula. There shall be specific targets established for
each of the following: net income, production, operating expenditures, reserve
additions, and finding and development costs. The Board retains the flexibility
to adjust various items to assure compliance with the intent of the cash
incentive awards. All annual cash bonuses for executives are approved by the
Compensation Committee and the Board of Directors.
 
 
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