Exhibit 10.7

 

AIRCRAFT MAINTENANCE LABOR POOLING AGREEMENT

 

This Agreement is entered into between Murphy Oil Corporation (“Murphy”) and
Murphy Oil USA, Inc. (“MOUSA”) to take effect this ___30th__ day of
________August__________, 2013.

Murphy agrees to employ at its hangars at Goodwin Field, El Dorado, Arkansas, a
maintenance manager and ___2__ aircraft technicians (these __3__ employees are
referred to herein collectively as the “Technicians”) who will be available for
maintenance and service with respect to the aircraft housed at the hangars and
belonging to Murphy and MOUSA as follows:

 

MOUSA Citation

N370M

Murphy Falcon

N350M

Murphy Falcon

N360M

Murphy Sovereign

N115WZ

 

In consideration of the availability of the services of the Technicians, MOUSA
agrees to reimburse Murphy, on the basis of Murphy’s actual cost of employing
the Technicians, including salary, payroll taxes, employee benefits and training
expense, but without any overhead allocable thereto, a portion of such cost as
follows:

1.  One-half of the total cost of employing the Technicians shall be allocated
to Murphy and MOUSA on the basis of one-fourth to each aircraft; and

2.  The remaining one-half of such cost will be allocated to each party for each
six months ending June 30 and December 31 in each year in proportion to the
number of hours flown by the above-described aircraft, provided that MOUSA will
never be allocated more

1

 

--------------------------------------------------------------------------------

 

 

than one-fourth of such costs regardless of the number of hours flown by it, and
any amount which cannot be allocated to MOUSA because of this limitation shall
be allocated to Murphy.

3.  This agreement applies only to the cost of employing the Technicians and any
special tools required.  Each party will be separately responsible for all other
costs, (based on the ownership of each aircraft) including the costs of parts
and supplies used on its aircraft.

4.  Each party shall have sole control, direction and supervision over the
Technicians as to maintenance performed and services provided with respect to
that party’s aircraft and each party shall be solely responsible for the results
and consequences of such maintenance and service.  No party assumes any
liability for or shall be responsible for any results or consequences of any
maintenance performed, or service provided, or not provided, with respect to the
other party’s aircraft.

5.  Murphy will provide MOUSA with a report of reimbursable costs under this
Agreement and will bill MOUSA for its share of such costs in arrears for each
six month period.

6.  Either party may terminate this Agreement upon 30 days written notice to the
other party in which event charges to be allocated under this Agreement shall be
prorated on the basis of the number of days this Agreement has been in effect
since the last billing date.

2

 

--------------------------------------------------------------------------------

 

 

 

Murphy Oil Corporation

/s/ Walter K. Compton

By:___Walter K. Compton_____

Its:_Senior Vice President and General Counsel__

 

Murphy Oil USA, Inc.

/s/ John A. Moore

By:_John A. Moore______________

Its:_General Counsel and Secretary____

3

 

--------------------------------------------------------------------------------