Exhibit
10.2


 


FIRST AMENDMENT TO EMPLOYMENT AGREEMENT


 


THIS FIRST
AMENDMENT TO EMPLOYMENT AGREEMENT (“Amendment”) is made and entered into by and between Cano Petroleum Inc., (formerly Huron
Ventures, Inc.) a Delaware corporation with its principal executive
offices in Fort Worth, Texas (the “Company”),
and Michael J. Ricketts, an individual
currently residing in Tarrant County, Texas (“Employee”), effective as of the
1st day of January, 2006 (the “Amendment Effective Date”).  Capitalized terms not otherwise defined
herein shall have the meaning ascribed to them in the below described
Agreement.


 


WHEREAS, the Company and Employee entered into that
certain Employment Agreement dated May 28th, 2004, but effective June 1,
2004 (the “Agreement”); and


 


WHEREAS, the Company and Employee now desire to
amend, alter, modify and change the terms and provisions of the Agreement, as
follows.


 


NOW THEREFORE, for and in consideration of the mutual
benefits to be obtained hereunder and other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged and confessed,
Company and Employee do hereby agree to amend, alter, modify and change the
Agreement, as of the Amendment Effective Date as follows:


 


1.                                      Section 4. (a) and Section 4. (b) Compensation.  shall be deleted in their entirety and the following
substituted in place and in lieu thereof:


 


4.             Compensation.


 


(a)           The Company shall
pay Employee for his services, a base salary, on an annualized basis, of
$115,000 per annum for the period from the Effective Date through June 30,
2005 and $123,050 for the period from July 1, 2005 through December 31,
2005 and $150,000 for the remainder of the Term, which salary shall be payable
by the Company in substantially equal installments on the Company’s normal
payroll dates.  All applicable taxes on the base salary will be withheld
in accordance with applicable federal, state and local taxation guidelines.


 


(b)           In addition to the
base salary described in paragraph 4(a) above, Employee shall be eligible
for consideration for an annual bonus of up to 100% of his annualized salary then
in effect at the sole discretion of the Board.


 


Except as specifically amended, altered, modified
and changed hereby, the Agreement remains in full force and effect as
originally written.


 





















 


Signatures


 


To evidence the binding
effect of the covenants and agreements described above, the parties hereto have
executed this Amendment effective as of the date first above written.


 


	
   

  	
  THE COMPANY:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  CANO PETROLEUM, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ S. Jeffrey Johnson

  	
   

  
	
   

  	
   

  	
  S. Jeffrey Johnson

  
	
   

  	
   

  	
  Chairman and Chief Executive Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  EMPLOYEE:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Michael J. Ricketts

  	
   

  
	
   

  	
   

  	
  Michael J. Ricketts