Document:

EX10-1

__________

 

 

 

 

 

SHARE PURCHASE AGREEMENT

 

 

 

 

 

Among each of:

 

THE SHAREHOLDERS OF MAGNUS MINERALS OY

 

 

 

 

And:

 

FINMETAL MINING LTD.

 

 

 

Finmetal Mining Ltd.

Suite 700, One Executive Place, 1816 Crowchild Trail N.W.,

Calgary, Alberta, Canada, T2M 3Y7

__________

SHARE PURCHASE AGREEMENT

 

 

                      THIS SHARE PURCHASE AGREEMENT is made and dated and fully executed on this 6th day of February, 2007 (the "Execution Date").

 

AMONG EACH OF:

THE UNDERSIGNED SHAREHOLDERS OF MAGNUS MINERALS OY, 

William Karvinen, 870 Jumbo Rd., Wahnapitae, Ontario, Canada, P0M 3C0

Alf Björklund, Knuutinlaakso 7, FIN-02400, Kyrkslätt, Finland

Erik Karvinen, 134 Hyland Drive, Sudbury, Ontario, Canada, P3E 1R6

Carl Löfberg, Tammelankatu 20 B 44, FIN-33500, Tampere, Finland

Peter Löfberg  Kiviaidankatu 2 B, FIN-33250, Tampere, Finland

Mika Vihavainen, Lapinniemenranta 12 B 156, FIN-33180, Tampere, Finland

Sami Siiskonen, Dunckerinkatu 2 B 19, FIN-00260, Helsinki, Finland

Leif Enberg, Sandviksvägen 36, FIN-66210, Molpe, Finland

Esa Partanen, Vartiokuja 1 E 41, FIN-20700, Turku, Finland

Hopeahelmi Investment Oy, Tammelankatu 20 B 44, FIN-33500, Tampere, Finland

Kristina Karvinen, 345 Baywood Drive, Winterville, NC 28590, USA

Anna Björklund, Säterigatan 7 B 23, FIN-02600, Esbo, Finland

Stina Forsberg, Trebygränden 2 B 4, FIN-02420, Jorvas, Finland

Simon Björklund, Fjärdingsvägen 2 A 11, FIN-02230, Esbo, Finland

Fredrik Björklund, Knutsdalen 7, FIN-02400, Kyrkslätt, Finland

Klara Vodicka, 134 Hyland Drive, Sudbury, Ontario, Canada, P3E 1R6

Leyla Löfberg, Tammelankatu 20 B 44, FIN-33500, Tampere, Finland

Henrik Löfberg, Pyynikintori 8 B 20, FIN-33230, Tampere, Finland

 

 

(each a "Vendor" and, collectively, the "Vendors");

OF THE FIRST PART

 

AND:

FINMETAL MINING LTD., a company incorporated under the laws of the State of Nevada , U.S.A. and having an address for notice and delivery located at Suite 700, One Executive Place, 1816 Crowchild Trail N.W., Calgary, Alberta, Canada, T2M 3Y7

(the "Purchaser");

OF THE SECOND PART

(each of the Vendors, the Purchaser being hereinafter singularly also referred to as a "Party" and collectively referred to as the "Parties" as the context so requires).

 

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Article 1

DEFINITIONS

1.1                    Definitions.   For the purposes of this Agreement, except as otherwise expressly provided or unless the context otherwise requires, the following words and phrases shall have the following meanings:

(a)       "Agreement" means this "Share Purchase Agreement" as entered into among the Vendors, and the Purchaser herein, together with any amendments thereto and any Schedules as attached thereto;

(b)       "Commission" means the United States Securities and Exchange Commission;

(c)       "Company" means Magnus Minerals Oy, a company incorporated under the laws of Finland, or any successor company, however formed, whether as a result of merger, amalgamation or other action;

(d)       "Company's Financial Statements" has the meaning ascribed to it in section "5.1" hereinbelow; 

(e)       "Defaulting Party" and "Non-Defaulting Party" have the meanings ascribed to them in section "11.1" hereinbelow;

(f)       "Execution Date" means the actual date of the complete execution of this Agreement and any amendment thereto by all Parties hereto as set forth on the front page of this Agreement;

(g)       "Indemnified Party" and "Indemnified Parties" have the meanings ascribed to them in section "11.1" hereinbelow;

(h)       "Parties" or "Party" means, respectively, the Vendors and the Purchaser hereto, as the case may be, together with their respective successors and permitted assigns as the context so requires;

(i)       "Power of Attorney" has the meaning ascribed to it in section "8.3" hereinbelow;

(j)       "Purchased Shares" has the meaning ascribed to it in section "2.1" hereinbelow; 

(k)       "Purchase Period" has the meaning ascribed to it in section "2.5" hereinbelow;

(l)       "Purchase Price" has the meaning ascribed to it in section "3.1" hereinbelow;

(m)      "Purchase Price Payments" has the meaning ascribed to it in section "3.1" hereinbelow;

(n)       "Purchase Price Shares" has the meaning ascribed to it in section "3.1" hereinbelow;

(o)       "Purchaser" means Finmetal Mining Ltd., a company incorporated pursuant to the laws of the State of Nevada, U.S.A., or any successor company, however formed, whether as a result of merger, amalgamation or other action;

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1.2                    Schedules.   For the purposes of this Agreement, except as otherwise expressly provided or unless the context otherwise requires, the following shall represent the Schedules and Exhibits which are attached to this Agreement and which form a material part hereof:

	 	
   Schedule
	
   Description of Schedule

	 	
Schedule "A":
	
Company's Mineral Property Concessions;

	 	
Schedule "B":
	
Company's Material Contracts;

	 	
Schedule "C":
	
Company's List of Bank Accounts etc.;

	 	
Schedule "D":
	
Company's Trade Register Extract; 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Article 2

SUBJECT MATTER OF THE AGREEMENT

2.1            The Purchaser agrees to buy, and the Vendors agree to sell, 39 400 shares ("The Purchased Shares") of Magnus Minerals Oy ("The Company"). Each Vendor will sell shares to the Purchaser according to the following schedule:

The total 39 400 shares out of the Company's total of 131 333 shares outstanding represent 30,00% of the Company's shares outstanding.

Article 3

PURCHASE PRICE

3.1            Purchase Price. As summarized in the schedule below, the total Purchase Price of the 39400 shares is EUR 14 735 815, which is paid partly in cash, partly in common shares of the Purchaser ("Purchase Price Shares"):

(a)     5 967 000 EUR shall be paid in cash. Each individual Vendor shall be paid EUR 150 in cash per one Company share, with the following exception: Vendors Vihavainen, Siiskonen, Enberg and Partanen shall be paid EUR 180 per share.

(b)     The rest shall be paid by an issue of a total of 8 000 000 Purchase Price Shares, each valued at USD 1,42, as determined by the market closing price on February 6th 2007, and hereby converted as EUR 1,096101891 each at an exchange rate of USD/EUR 1,2955.

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3.2          Asset transfer tax. The Parties agree that, with the completion of the acquisition by the Purchaser from the Vendors of any of the Purchased Shares under this agreement, the Purchaser will be liable to the applicable Regulatory Authority in Finland to pay a 1.6 percent (1.6%) asset transfer tax in accordance with applicable law in Finland. This obligation will continue with the Purchaser during and after the continuance of this Agreement without any recourse to any Vendor.

3.3            Payment Date. The Purchaser shall pay and cause to effect the purchase price, including both cash and Purchase Price Shares, by March 31st 2007 ("Payment Date") to each individual Vendor.

 

Article 4

TRANSFER OF TITLE

4.1            The ownership and title to the 39400 Purchased Shares will be transferred to the Purchaser from the Vendors when the Purchase price has been paid in full.

Article 5

REPRESENTATIONS, WARRANTIES AND COVENANTS

BY THE VENDORS

 

5.1            Each of the Vendors warrants to the Purchaser that, to the best of the knowledge, information and belief of each of the Vendors, after having made due inquiry:

(a)       the Vendors have the power and capacity to own and dispose of the Purchased Shares;

(b)       there will be no shares in the capital of the Company issued or allotted or agreed to be issued or allotted to any persons or entities other than the Vendors herein;

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(c)       the Vendors have good and marketable title to and are the legal, registered and beneficial owners of all of the Purchased Shares;

(d)       there are no actions, suits, proceedings or investigations (whether or not purportedly against or on behalf of any of the Vendors or the Company), pending or threatened, which may affect, without limitation, the rights of the Vendors to transfer any of the Purchased Shares to the Purchaser at law or in equity, or before or by any federal, state, provincial, municipal or other governmental department, commission, board, bureau, agency or instrumentality, domestic or foreign, and, without limiting the generality of the foregoing, there are no claims or potential claims under any relevant family relations legislation or other equivalent legislation affecting the Purchased Shares.  In addition, the Vendors and the Company are not now aware of any existing ground on which any such action, suit or proceeding might be commenced with any reasonable likelihood of success;

(e)       the Purchased Shares are validly issued and outstanding and fully paid and non-assessable and are free and clear of actual liens, charges, options, encumbrances, voting agreements, voting trusts, demands, limitations and restrictions of any nature whatsoever other than restrictions that may be imposed by applicable securities laws;

(f)       no other person, firm or corporation has any agreement, option or right capable of becoming an agreement for the purchase of any of the Purchased Shares;

(g)       no dividend or other distribution by the Company will be declared, paid or authorized up to and including the final Payment Date hereunder, and the Company has not and has not committed itself to confer upon, or pay to or to the benefit of, any entity, any benefit having monetary value, any bonus or any salary increases except in the normal course of its business;

(h)       the Vendors acknowledge and agree that the Purchase Price Shares have not been and will not be qualified or registered under the any federal or state securities laws of the United States and, as such, the Vendors may be restricted from selling or transferring such Purchase Price Shares under applicable law;

(i)       each of the Vendors realizes that the sale of the Purchased Shares in exchange, in part, for the Purchase Price Shares forming part of the Purchase Price, will be a highly speculative investment and that each of the Vendors is able, without impairing each of the Vendor's respective financial conditions, to hold the Purchase Price Shares for an indefinite period of time and to suffer a complete loss on their investment.  In addition, the Vendors have such knowledge and experience in financial and business matters that the Vendors are capable of evaluating the merits and risks of the prospective investment, and the Vendors have not received, nor have the Vendors requested or do the Vendors require to receive, any offering memorandum or a similar document describing the business and affairs of the Purchaser in order to assist the Vendors in entering into this Agreement and in consummating the transactions contemplated herein;

(j)       the Vendors have not received, nor have any of the Vendors requested or do any of the Vendors require to receive, any offering memorandum or a similar document describing the business and affairs of the Purchaser in order to assist the Vendors in entering into this Agreement and in consummating the transactions contemplated herein;

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(k)       each of the Vendors has conducted, to its satisfaction, an independent investigation and verification of the financial condition, results of operations, assets, liabilities, properties and projected operations of the Purchaser and, in making its determination to proceed with the transactions contemplated by this Agreement, each of the Vendors has relied on the results of its own independent investigation and verification and the representations and warranties of the Purchaser expressly and specifically set forth in this Agreement. Such representations and warranties by the Purchaser constitute the sole and exclusive representations and warranties of the Purchaser to the Company and the Vendors in connection with the transactions contemplated hereby, and each of the Vendors understands, acknowledges and agrees that all other representations and warranties of any kind or nature expressed or implied (including any relating to the future or historical financial condition, results of operations, assets or liabilities of the Purchaser or the quality, quantity or condition of the assets of the Purchaser) are specifically disclaimed by the Purchaser.  The Purchaser does not make or provide, and the Vendors hereby waive, any warranty or representation, express or implied, as to the quality, merchantability, fitness for a particular purpose, conformity to samples, or condition of the Purchaser's respective assets or any part thereto;

(l)       to the actual knowledge, information and belief of each of the Vendors, the execution of this Agreement, except as set forth on the Company's Disclosure Schedule, the completion of the transactions contemplated hereby and the performance of and compliance with the terms hereof does not and will not:

(i)       conflict with or result in a breach of or violate any of the terms, conditions or provisions of the certificate of incorporation, bylaws or similar organizational documents of either of the Company or the Vendors;

(ii)      conflict with or result in a breach of or violate any of the terms, conditions or provisions of any law, judgment, order, injunction, decree, regulation or ruling of any court or governmental authority, domestic or foreign, to which either of the Company or any of the Vendors is subject, or constitute or result in a default under any agreement, contract or commitment to which either of the Company or any of the Vendors is a party;

(iii)     give to any party the right of termination, cancellation or acceleration in or with respect to any material agreement, contract or commitment to which either of the Company or any of the Vendors is a party; or

(iv)      constitute a default by either of the Company or any of the Vendors, or any event which, with the giving of notice or lapse of time or both, might constitute an event of default, under any agreement, contract, indenture or other instrument relating to any indebtedness of the Company or any of the Vendors which would give any party to that agreement, contract, indenture or other instrument the right to accelerate the maturity for the payment of any amount payable under that agreement, contract, indenture or other instrument; 

(m)      except for the mineral property concessions which are set forth in Schedule "A" attached hereto and which form a material part hereof, the Company is not party to or bound by any other material contract, whether oral or written, other than the contracts and agreements as set forth in Schedule "B" which is attached hereto and which forms a material part hereof;

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(n)       as to the contracts listed in Schedule "B" which is attached hereto:

(i)       each such contract is in full force and effect;

(ii)      no material default exists in respect thereof on the part of either the Company or any other party thereto;

(iii)     neither the Vendors nor the Company is aware of any intention on the part of any other party thereto to terminate or materially alter any such contract;

(o)       Schedule "C" which is attached hereto and which forms a material part hereof is a true and complete list showing the name of each bank, trust company or similar institution in which the Company has accounts or safety deposit boxes, the identification numbers of each such account or safe deposit box, the names of all persons authorized to draw therefrom or to have access thereto and the number of signatories required on each account.  In addition, Schedule "C" also includes a list of all non-bank account numbers, codes and business numbers used by the Company for the purposes of remitting tax, dues, assessments and other fees;

(p)       the Company's first completed and consolidated audited Company's Financial Statements are to be delivered to the Purchaser before the Payment date and they are to be true and correct in every respect and present fairly the financial position of the Company as at its most recently completed financial period and the results of its operations for the period then ended in accordance with generally accepted accounting principles on a basis consistently applied;

(q)       the Company's Financial Statements and the books and records of the Company are true and correct in every material respect, were prepared in accordance with generally accepted accounting principles and fairly reflect the Company's Business, property, the Company's Assets and the financial position of the Company as at the date of the Company's Financial Statements and any such books and records and the results of the operations for the period then ended, and there have been no adverse changes in the Company's Business or affairs of the Company since the date of the Company's Financial Statements and any such books and records;

(r)       the Company has initiated a formal inquiry on its own behalf to clarify the value added tax (VAT) practices related to the transfer of mineral concession rights in Finland and thus ensure it follows generally accepted principles in relation to the matter;

(s)       since the end of the most recent financial period covered by the Company's Financial Statements:

(i)      there has not been any material adverse change in the financial position or condition of the Company or any damage, loss or other change in circumstances materially affecting the Company's Business or properties or the Company's right or capacity to carry on business;

(ii)      the Company has not waived or surrendered any right of material value;

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(iii)     the Company has not discharged or satisfied or paid any lien or encumbrance or obligation or liability other than current liabilities in the ordinary course of business; and

(iv)      the Company's Business has been carried on in the ordinary course;

 

(t)       except as otherwise provided for herein, the Vendors and the Company have not retained, employed or introduced any broker, finder or other person who would be entitled to a brokerage commission or finder's fee arising out of the transactions contemplated hereby;

(u)       save and except as set forth in the Company's Financial Statements, neither the Vendors, nor any directors, officers or employees of the Company, are now indebted or under obligation to the Company on any account whatsoever other than in the ordinary course of business;

(v)       all material transactions of the Company and including, without limitation, all directors' and shareholders' resolutions, have been promptly and properly recorded or filed in or with its books and records;

(w)       the Vendors have the full authority and capacity required to enter into this Agreement and to perform their respective obligations hereunder;

(x)       the Company will, for a period of at least five business days prior to the Payment Date during normal business hours:

(i)       make available for inspection by the counsel, auditors and representatives of the Purchaser, at such location as is appropriate, all of the Company's books, records, contracts, documents, correspondence and other written materials, and afford such persons every reasonable opportunity to make copies thereof and take extracts therefrom at the sole cost of the Purchaser; provided such persons do not unduly interfere in the operations of the Company;

(ii)      authorize and permit such persons at the risk and the sole cost of the Purchaser, and only if such persons do not unduly interfere in the operations of the Company, to attend at all of its respective places of business and operations to observe the conduct of its business and operations, inspect its properties and assets and make physical counts of its inventories, shipments and deliveries; and

(iii)     require the Company's management personnel to respond to all reasonable inquiries concerning the Company's Business and assets or the conduct of its business relating to its liabilities and obligations;

(y)       the Vendors and the Company will give to the Purchaser, within at least five business days prior to the Payment Date, by written notice, particulars of:

(i)       each occurrence within the Vendors' and the Company's knowledge after the Execution Date of this Agreement that, if it had occurred before the Execution Date, would have been contrary to any of the Vendors' or the Company's respective representations or warranties contained herein; and

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(ii)      each occurrence or omission within the Vendors' and the Company's knowledge after the Execution Date that constitutes a breach of any of the Vendors' or the Company's respective covenants contained in this Agreement;

(z)       except for the representations and warranties contained in this Agreement (including the Company's Disclosure Schedule), neither the Vendors nor the Company make any express or implied representation or warranty, and the Vendors and the Company hereby disclaim any such representation or warranty with respect to the execution and delivery of this Agreement and the consummation of the transactions contemplated by this Agreement;

(aa)     neither this Agreement nor any other document, certificate or statement furnished to the Purchaser by or on behalf of any of the Vendors or the Company in connection with the transactions contemplated hereby knowingly or negligently contains any untrue or incomplete statement of material fact or omits to state a material fact necessary in order to make the statements therein not misleading which would likely affect the decision of the Purchaser to enter into this Agreement; and

(ab)     the Vendors and the Company are not aware of any fact or circumstance which has not been disclosed to the Purchaser which should be disclosed in order to prevent the representations and warranties contained in this section from being misleading or which would likely affect the decision of the Purchaser to enter into this Agreement.

5.2                   Liability of the Vendors. If the Vendors are in breach of this Agreement arising out of or resulting from any breach of representation or warranty made by the Vendors or the Company under section 5.1 above, then the Vendors shall, subject to the provisions of this section, fully indemnify the Purchaser such breach by making a compensation of an amount corresponding to the deficiency or cost or direct loss, damage or expense incurred by the Vendors or the Company as a direct result of such breach. For the avoidance of doubt, the Vendors shall not be liable for any indirect or consequential loss, damage or costs and in no event shall the compensation payable by the Vendors hereunder exceed one third (1/3) of the cash component of the purchase price, which constitutes the Vendors' maximum liability for compensation under this Agreement on whatever ground.

The Vendors' liability shall be additionally limited as follows: 

(a)       No claim may be made if the claim is based on facts or circumstances which the Purchaser, or its advisors, knew or should have known based on the information disclosed or otherwise available to it;

(b)       No compensation shall be made by the Vendors due to a breach of this Agreement, unless the total amount of claims, which the Purchaser may make in this respect under this Agreement, amounts to or exceeds EUR 50,000. If such claims amount to EUR 50,000 in the aggregate, the compensation shall be made for the whole amount of such claims. No individual claim which is less than EUR 5,000 shall be taken into account. 

(c)       No claim shall be brought later than one (1) year from the Execution Date of this Agreement. 

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The Purchaser shall as soon as practicable, but in no event later than sixty (60) days from the date it became aware of the circumstances giving rise to a claim, give notice thereof to the Vendors, accompanying by all relevant particulars thereof specifying the nature of the breach and the amount claimed in respect thereof, if known. 

 

Article 6

WARRANTIES, REPRESENTATIONS AND COVENANTS BY THE PURCHASER

6.1            In order to induce each of the Vendors to enter into this Agreement, the Purchaser represents and warrants that, to the best of the knowledge, information and belief of the Purchaser (and for the purposes of the following warranties, representations and covenants "Purchaser" shall mean the Purchaser and any subsidiary of the Purchaser, if any, as the context so requires):

(a)       the Purchaser is duly incorporated under the laws of its jurisdiction of incorporation, is validly existing and is in good standing with respect to all statutory filings required by the applicable corporate laws;

(b)       the Purchaser has the requisite power, authority and capacity to own and use all of its business assets and to carry on its business as presently conducted by it;

(c)       this Agreement constitutes a legal, valid and binding obligation of the Purchaser, enforceable against the Purchaser in accordance with its terms, except as enforcement may be limited by laws of general application affecting the rights of creditors;

(d)       the authorized capital of the Purchaser consists of 100,000,000 common shares, with a par value of U.S. $0.001 per common share.  All of the outstanding shares of capital stock or other equity interest of the Purchaser are duly authorized, validly issued, fully paid and non-assessable;

(e)       all of the issued and outstanding shares of the Purchaser are listed and posted for trading on the OTCBB and the Purchaser is in compliance in all material respects with all of its requirements of the OTCBB, the Securities Act, the United States Securities Exchange Act of 1934, as amended (again, the "1934 Act") and any rules and regulations promulgated thereunder by the United States Securities and Exchange Commission (again, the "Commission");

(f)       all registration statements, reports and proxy statements filed by the Purchaser with the Commission, and all registration statements, reports and proxy statements required to be filed by the Purchaser with the Commission, will have been filed by the Purchaser under the 1934 Act, will have been filed in all material respects in accordance with the requirements of the 1934 Act and the rules and regulations thereunder and no such registration statements, reports or proxy statements will have contained any untrue statement of a material fact or omitted to state any material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading; 

(g)       the Purchaser will allot and issue the Purchase Price Shares on the Payment Date of the Purchase as fully paid and non-assessable in the capital of the Purchaser free and clear of all Liens, other than hold periods or other restrictions imposed under applicable securities legislation;

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(h)       except as otherwise provided for herein, the Purchaser has not retained, employed or introduced any broker, finder or other person who would be entitled to a brokerage commission or finder's fee arising out of the transactions contemplated hereby;

(i)       no dividend or other distribution by the Purchaser has been made, declared or authorized since its incorporation, nor will any be declared, paid or authorized up to and including Payment Date of the Purchase, and the Purchaser will not commit itself to confer upon, or pay to or to the benefit of, any entity, any benefit having monetary value, any bonus or any salary increases except in the normal course of its business;

(j)       except as set forth in the Purchaser's Disclosure Schedule, there are no basis for and there are no actions, suits, judgments, investigations or proceedings outstanding or pending or, to the best of the knowledge, information and belief of the Purchaser, threatened against or affecting the Purchaser at law or in equity or before or by any federal, state, municipal or other governmental department, commission, board, bureau or agency;

(k)       except as set forth in the Purchaser's Disclosure Schedule, the Purchaser is not in breach of any laws, ordinances, statutes, regulations, by-laws, orders or decrees to which it is subject or which apply to it;

(l)       except as set forth in the Purchaser's Disclosure Schedule, the Purchaser will have not experienced, nor will the Purchaser be aware of, any occurrence or event which has had, or might reasonably be expected to have, a materially adverse affect on the Purchaser's business or on the results of its operations;

(m)      except as set forth in the Purchaser's Disclosure Schedule, none of directors, officers or employees of the Purchaser prior to Payment are indebted or under obligation to the Purchaser on any account whatsoever;

(n)       the shares in the capital of the Purchaser will not be subject to or affected by any actual or, to the best of the knowledge, information and belief of the Purchaser, after making due inquiry, pending or threatened cease trade, compliance or denial of use of exemptions orders of, or action, investigation or proceeding by or before, any securities regulatory authority, court, administrative agency or other tribunal;

(o)       the Purchaser understands that all books, records and documents of the Company relating to this investment have been and remain available for inspection by the Purchaser. The Company has offered all information available for the Purchaser for inspection. The Purchaser confirms that all documents requested by the Purchaser have been made available, and that The Purchaser has been supplied with all of the additional information concerning this investment that has been requested;

(p)       the Purchaser's representatives have had free access which they have used, to discuss the areas described in Schedule "A" with the Company's geologists and understand the geological risks and the legal status of the claiming process for these properties; 

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(q)       if the Company's auditor KPMG Finland approves the Company's Financial Statements for the financial year ending December 31st 2006 without any substantial remarks the Purchaser agrees to discharge the managing director and the board members of the Company from liability;  

(r)       the Purchaser has had access to all technical information and information about all mineral property interests owned and applied for by the Company and listed in Schedule "A" prior to entering into this agreement. The purchaser and its technical team has had the opportunity to meet and discuss all matters regarding the Company and all technical information and information about all mineral property interests owned and applied for by the Company including but not limited to property information and the status of the reservation and claiming process with the Company's representatives from January 22nd to January 26th 2007 in Vancouver. The Purchaser's technical experts attending have been Robert Horn, Robert Van Tassell, Dr. Hugh Squair and Robert Cathro;

(s)       the Purchaser acknowledges that all non-written information presented by the Vendors and/or the Company is uniform to written material provided by the Vendors and/or the Company;

(t)       the Purchaser is familiar with the Finnish mining law and mining act and understands the status of the exploration concessions and exploration concession applications described in  Schedule "A" and acknowledges that the Vendors nor the Company give any warranties on the value or economic exploitability of these concessions or concession applications;

(u)       the Purchaser has entered into this agreement solely based on its own opinion and judgment, after a careful evaluation of the information mentioned in the previous paragraph;

(v)        The Purchaser has such knowledge and experience in financial and business matters that they are capable of an evaluation of the merits and risks of this investment;

(w)       The Purchaser is aware that an investment in the Company is highly speculative and subject to substantial risks. The Purchaser is capable of bearing the high degree of economic risk and burdens of the agreement, including, but not limited to, the possibility of a complete loss, the lack of a public market and limited transferability of the Shares;

(x)       the Purchaser has conducted, to its satisfaction, an independent investigation and verification of the financial condition, results of operations, assets, liabilities, properties and projected operations of the Company and, in making its determination to proceed with the transactions contemplated by this Agreement, the Purchaser has relied on the results of its own independent investigation and verification and the representations and warranties of the Company and the Vendors expressly and specifically set forth in this Agreement.  Such representations and warranties by the Company constitute the sole and exclusive representations and warranties of the Company and the Vendors to the Purchaser in connection with the transactions contemplated hereby, and the Purchaser understands, acknowledges and agrees that all other representations and warranties of any kind or nature expressed or implied (including any relating to the future or historical financial condition, results of operations, assets or liabilities of the Company or the quality, quantity or condition of the assets of the Company) are specifically disclaimed by the Company and the Vendors.  The Company and the Vendors do not make or provide, and the Purchaser hereby waives, any warranty or representation, express or implied, as to the quality, merchantability, fitness for a particular purpose, conformity to samples, or condition of the Company's assets or any part thereto;

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(y)       in connection with the Purchaser's investigation of the Company, the Purchaser has received from or on behalf of the Company or the Vendors certain projections and estimates. The Purchaser acknowledges that there are uncertainties inherent in attempting to make such estimates, projections and other forecasts and plans, that the Purchaser is familiar with such uncertainties, that the Purchaser is taking full responsibility for making its own evaluation of the adequacy and accuracy of all estimates, projections and other forecasts and plans so furnished to it (including the reasonableness of the assumptions underlying such estimates, projections and forecasts), and that the Purchaser shall have no claim against the Vendors with respect thereto.  Accordingly, neither the Company nor the Vendors make any representations or warranties whatsoever with respect to such estimates, projections and other forecasts and plans (including the reasonableness of the assumptions underlying such estimates, projections and forecasts).  The Purchaser agrees that none of the Vendors nor any other person will have or be subject to any liability to the Purchaser or any other person resulting from the distribution to the Purchaser, or the Purchaser's use of, any information regarding the Company or its business, and any information, document or material made available to the Purchaser or its affiliates in any "data rooms," management presentations or any other form in expectation of the transactions contemplated by this Agreement;

(z)       the Purchaser is not aware of any court order which restricts or prevents the issuance by the Purchaser of any shares from treasury;

(aa)     save and except as set forth in the Purchaser's Disclosure Schedule, the Purchaser holds or has applied for all permits, licenses, consents and authorities issuable by any federal, state, regional or municipal government or agency thereof which are necessary or desirable in connection with its operations;

(ab)     the most recently completed audited and unaudited consolidated financial statements of the Purchaser (collectively, the "Purchaser's Financial Statements") are true and correct in every respect and present fairly the financial position of the Purchaser as at its most recently completed financial period and the results of its operations for the period then ended in accordance with generally accepted accounting principles on a basis consistently applied;

(ac)     save and except as set forth in the Purchaser's Disclosure Schedule, the Purchaser's Financial Statements and the books and records of the Purchaser are true and correct in every material respect, were prepared in accordance with generally accepted accounting principles and fairly reflect the business, property, assets and financial positions of the Purchaser as at the date of the Purchaser's Financial Statements and any such books and records and the results of its operations for the periods then ended, and there have been no adverse changes in the business or affairs of the Purchaser since the date of the Purchaser's Financial Statements and any such books and records;

(ad)     save and except as set forth in the Purchaser's Disclosure Schedule, the Purchaser has good and marketable title to all of its assets, properties and interests in properties, real and personal, including those reflected in the Purchaser's Financial Statements or which have been acquired since the date of the latest Purchaser's Financial Statements (except for those which have been transferred, sold or otherwise disposed of in the ordinary or normal course of business), free and clear of all encumbrances, and none of the Purchaser's assets or properties is in the possession of or under the control of any other person;

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(ae)     except for the representations and warranties contained in this Agreement (including the Purchaser's Disclosure Schedule), the Purchaser does not make any further express or implied representation or warranty, and the Purchaser hereby disclaims any such representation or warranty with respect to the execution and delivery of this Agreement and the consummation of the transactions contemplated by this Agreement;

(af)     neither this Agreement nor any other document, certificate or statement furnished to the any of the Vendors by or on behalf of the Purchaser in connection with the transactions contemplated hereby knowingly or negligently contains any untrue or incomplete statement of material fact or omits to state a material fact necessary in order to make the statements therein not misleading which would likely affect the decision of the Vendors to enter into this Agreement; and

(ag)     the Purchaser is not aware of any fact or circumstance which has not been disclosed to the Vendors which should be disclosed in order to prevent the representations and warranties contained in this section from being misleading or which would likely affect the decision of the Vendors to enter into this Agreement.

6.2            Liability of the Purchaser. If the Purchaser is in breach of this Agreement arising out of or resulting from any breach of representation or warranty made by the Purchaser under section 6.1 above, then the Purchaser shall, subject to the provisions of this section, fully indemnify the Vendors such breach by making a compensation of an amount corresponding to the deficiency or cost or direct loss, damage or expense incurred by the Vendors or the Company as a direct result of such breach. For the avoidance of doubt, the Purchaser shall not be liable for any indirect or consequential loss, damage or costs and in no event shall the compensation payable by the Purchaser hereunder exceed one third (1/3) of the cash component of the purchase price, which constitutes the Purchaser's maximum liability for compensation under this Agreement on whatever ground.

The Purchaser's liability shall be additionally limited as follows: 

(d)       No claim may be made if the claim is based on facts or circumstances which the Vendors, or their advisors, knew or should have known based on the information disclosed or otherwise available to it;

(e)       No compensation shall be made by the Purchaser due to a breach of this Agreement, unless the total amount of claims, which the Vendors may make in this respect under this Agreement, amounts to or exceeds EUR 50,000. If such claims amount to EUR 50,000 in the aggregate, the compensation shall be made for the whole amount of such claims. No individual claim which is less than EUR 5,000 shall be taken into account. 

(f)       No claim shall be brought later than one (1) year from the Execution Date of this Agreement. 

The Vendors shall as soon as practicable, but in no event later than sixty (60) days from the date they became aware of the circumstances giving rise to a claim, give notice thereof to the Purchaser, accompanying by all relevant particulars thereof specifying the nature of the breach and the amount claimed in respect thereof, if known. 

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Article 7

ADDITIONAL CONDITIONS OF THE AGREEMENT

7.1                   Sale of certain Company assets. The Parties agree that the following assets of the Company may, at the sole and absolute discretion and direction of the Vendors be sold, transferred and assigned at fair market value for the Company in the following manner and, without limitation, to such arms' length or non-arm's length purchasers as the Vendors may decide:

(a)       Any interest which the Company may presently hold in and to the following six mineral property interests which are located in Finland: the Alpua 1 and 2, the Kuuhkamo, the Kangasjarvi, the Savia 1 - 8, the Salo-Issakka and the Vuohtojoki. The net tangible value of these mineral property interests, together with their mineral potential is not fully known to the Company at this time; however, their expected and aggregate purchase price is presently estimated at approximately EUR 504 000.

(b)       The Company's existing 11.72 percent (11.72%; 18 667 shares of 159 300 outstanding) interest in and to Attu Zinc Oy. The net tangible value of this shareholding interest is not fully known to the Company at this time; however, the expected and aggregate purchase price is presently estimated at approximately EUR 466 675.

7.2                   Options to buy the remaining shares of the Company from the Vendors. Each of the Vendors grants two separate options for the Purchaser to buy their remaining shares in the Company according to the schedule below:

(a)       The First Option: a total of 27 586 shares, representing a further 21% of Company shares outstanding. The total purchase price of the First Option is EUR 5 005 380; each individual Vendor shall be paid EUR 180 per one Company share, with the following exceptions: Vendors Vihavainen, Siiskonen, Enberg and Partanen shall be paid EUR 210 per share. The First Option must be exercised on or before December 31st 2007.

(b)       The Final Option: a total of 64 347 shares, representing a further 49% of Company shares outstanding. The total purchase price of the Final Option is EUR 11 997 285; each individual Vendor shall be paid EUR 185 per one Company share, with the following exceptions: Vendors Vihavainen, Siiskonen, Enberg and Partanen shall be paid EUR 215 per share. The Final Option must be exercised on or before March 31st 2009.

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7.3                   The Purchaser is not bound in any way to exercise the options. 

7.4                   If the Purchaser chooses to exercise either or both of the options, it must notify the Vendors 10 business days in advance. If either of the options is exercised, the Vendors agree to sign a separate formal share transfer agreement where the Purchaser agrees to pay the relevant purchase price within 14 business days from the date of exercising the option to the bank accounts of each individual Vendor and the Vendors agree to agree to other reasonable terms presented by the Purchaser in relation to the exercise of the options and the separate Share Purchase Agreement.

7.5                   Asset transfer tax. Upon the exercise of either of the Options, the Purchaser will be liable to the applicable Regulatory Authority in Finland to pay a 1.6 percent (1.6%) asset transfer tax in accordance with applicable law in Finland. This obligation will continue with the Purchaser during and after the continuance of this Agreement without any recourse to any Vendor.

Article 8

ASSIGNMENT, VARIATIONS AND POWER OF ATTORNEY

8.1                   Assignment.   Save and except as provided herein, no Party hereto may sell, assign, pledge or mortgage or otherwise encumber all or any part of its respective interest herein without the prior written consent of all the other Parties hereto.

8.2                   Amendment.   This Agreement and any provision thereof may only be amended in writing and only by duly authorized signatories of each of the respective Parties hereto.

8.3                        Power of Attorney on behalf of the Vendors.   In order to better provide for the administration and completion of each of the transactions which are contemplated by the terms and conditions of this Agreement, each Vendor does hereby make, constitute and appoint Carl Lofberg, a Vendor and the Managing Director of the Company, or such other present or future director or officer of the Company as Mr. Lofberg may appoint in writing, and in his sole and absolute discretion, in his time(s) of absence (the "Attorney"), as such Vendor's true and lawful Attorney for such Vendor and in such Vendor's name, place and stead and for the sole purpose and power of specifically doing all acts and executing all deeds, resolutions, documents, matters and things and including, without limitation, any agreement supplemental thereto, which may be necessary to be done in such Vendor's place and stead and in order to complete all of transactions on such Vendor's behalf which may be required under the terms and conditions of this Agreement (the "Power of Attorney").  In this regard the within Power of Attorney for each particular Vendor shall be effective from the Execution Date of this Agreement and shall continue in full force and effect until the earlier of either the Payment Date or the termination of the within purchase and sale.

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8.4                   Corrections and amendments to be made by Attorney.   Without in any manner whatsoever limiting the Power of Attorney granted to the Attorney by each Vendor as set forth immediately hereinabove, the Vendors hereby also specifically authorize the Attorney to correct any errors in, to complete any information missing from and to make any amendments to this Agreement, together with any and all other documents, resolutions and instruments as may be necessary, in the opinion of Attorney, acting reasonably, to complete all of the transactions contemplated by terms and conditions of this Agreement.

8.5                   Variation in the terms of this Agreement upon review.   It is hereby acknowledged and agreed by each of the Parties hereto that where any variation in the terms and/or conditions of this Agreement is reasonably required by any of the Regulatory Authorities as a condition of their respective Regulatory Approval to any of the terms and conditions of this Agreement, any such reasonable variation, having first been notified to all Parties, will be deemed to be accepted by each of the Parties hereto and form part of the terms and conditions of this Agreement.  If any such Party, acting reasonably, deems any such notified variation unreasonable, that Party may, in its sole and absolute discretion, and within a period of not greater than 10 calendar days from its original notification and at its cost, make such further applications or submissions to the relevant Regulatory Authority as it considers necessary in order to seek an amendment to any such variation; provided, however, that the final determination by any such Regulatory Authority to any such application or submission by such objecting Party will be deemed binding upon such Party who must then provide notification to all other Parties as provided for hereinabove.

Article 9

FORCE MAJEURE

9.1                   Events.   If any Party hereto is at any time prevented or delayed in complying with any provisions of this Agreement by reason of strikes, walk-outs, labour shortages, power shortages, fires, wars, acts of God, earthquakes, storms, floods, explosions, accidents, protests or demonstrations by environmental lobbyists or native rights groups, delays in transportation, breakdown of machinery, inability to obtain necessary materials in the open market, unavailability of equipment, governmental regulations restricting normal operations, shipping delays or any other reason or reasons beyond the control of that Party, then the time limited for the performance by that Party of its respective obligations hereunder shall be extended by a period of time equal in length to the period of each such prevention or delay.

9.2                   Notice.   A Party shall, within seven calendar days, give notice to the other Parties of each event of force majeure under section "9.1" hereinabove, and upon cessation of such event shall furnish the other Parties with notice of that event together with particulars of the number of days by which the obligations of that Party hereunder have been extended by virtue of such event of force majeure and all preceding events of force majeure.

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Article 10

DISPUTE RESOLUTION

10.1                 Matters for Arbitration.  If any dispute arises out of or relates to this Agreement, or the breach, termination or validity thereof, or actions taken or not taken hereunder the Parties agree to submit the dispute to a sole mediator selected by the Parties or, at any time at the option of a Party, to mediation by the Arbitration Institute of the Central Chamber of Commerce of Finland (AICCCF) (www.arbitration.fi). If not thus resolved, then the dispute shall be finally settled in accordance with the rules of the AICCCF by a single arbitrator assigned by the AICCCF. The place of arbitration is Tampere, Finland and the arbitration process shall be governed by the rules of AICCCF and Finnish law. 

 

Article 11

DEFAULT AND CANCELLATION

11.1                 Default.   The Parties hereto agree that if any Party hereto is in default with respect to any of the provisions of this Agreement (herein called the "Defaulting Party"), the Non-Defaulting Party shall give notice to the Defaulting Party designating such default, and within 10 calendar days after its receipt of such notice, the Defaulting Party shall either:

(a)       cure such default, or commence proceedings to cure such default and prosecute the same to completion without undue delay; or

(b)       give the Non-Defaulting Party notice that it denies that such default has occurred and that it is submitting the question to arbitration as herein provided.

11.2                 Arbitration.   If arbitration is sought, a Party shall not be deemed in default until the matter shall have been determined finally by appropriate arbitration.

11.3                 Curing the Default.   If:

(a)       the default is not so cured or the Defaulting Party does not commence or diligently proceed to cure the default; or

(b)       arbitration is not so sought; or

(c)       the Defaulting Party is found in arbitration proceedings to be in default, and fails to cure it within five calendar days after the rendering of the arbitration award,

the Non-Defaulting Party may, by written notice given to the Defaulting Party at any time while the default continues, terminate the interest of the Defaulting Party in and to this Agreement.

 

11.4                 Cancellation.   In addition to the foregoing it is hereby acknowledged and agreed by the Parties hereto that this Agreement can be cancelled by the Purchaser prior to the Payment Date in the event that:

(a)       the Vendors warranties are proven to be substantially untruthful in a way which would have in an independent third party's opinion affected the Purchasers willingness materially to enter into this agreement;

(b)       the Company's book closing and audit for the year ending December 31st 2006 is not approved by the Auditor of the Company, KPMG Finland;

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(c)       the Company's book closing show some substantial liabilities in excess of one third of the Purchase Price that have not been disclosed to the Purchaser and which in an independent third party's opinion would have affected the Purchasers willingness materially to enter into this agreement;

and in such event this Agreement will be cancelled and be of no further force and effect.

In addition to the foregoing it is hereby acknowledged and agreed by the Parties hereto that this Agreement can be cancelled by the Vendors, or by each individual Vendor on an individual basis, in the event that:

(a)       the Purchaser fails to pay the total Purchase Price including cash and the Purchase Price Shares by the Payment Date; and further fails to pay within 10 days of given written notice;

and in such event this Agreement will be cancelled and be of no further force and effect.

 

Article 12

NOTICE

12.1                 Notice.   Each notice, demand or other communication required or permitted to be given under this Agreement shall be in writing and shall be sent by prepaid registered mail deposited in a post office addressed to the Party entitled to receive the same, or delivered to such Party, at the address for such Party specified above.  The date of receipt of such notice, demand or other communication shall be the date of delivery thereof if delivered, or, if given by registered mail as aforesaid, shall be deemed conclusively to be the third calendar day after the same shall have been so mailed, or 15 calendar days in the case of an addressee with an address for service in a country other than a country in which the Party giving the notice, demand or other communication resides, except in the case of interruption of postal services for any reason whatsoever, in which case the date of receipt shall be the date on which the notice, demand or other communication is actually received by the addressee.

12.2                 Change of address.   Any Party may at any time and from time to time notify the other Parties in writing of a change of address and the new address to which notice shall be given to it thereafter until further change.

 

Article 13

GENERAL PROVISIONS

13.1                 Entire agreement.   This Agreement constitutes the entire agreement to date between the Parties hereto and supersedes every previous agreement, communication, expectation, negotiation, representation or understanding, whether oral or written, express or implied, statutory or otherwise, between the Parties hereto with respect to the subject matter of this Agreement and including, without limitation, the Purchase Agreement.

13.2                 Enurement.   This Agreement will enure to the benefit of and will be binding upon the Parties hereto, their respective heirs, executors, administrators and assigns.

13.3                 Schedules.   The Schedules to this Agreement are hereby incorporated by reference into this Agreement in its entirety.

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13.4                 Representation and costs.   It is hereby acknowledged by each of the Parties hereto that Lang Michener LLP, Lawyers - Patent & Trade Mark Agents, act solely for the Purchaser, and, correspondingly, that each of the Vendors and the Company have been required by each of Lang Michener LLP and the Purchaser to obtain independent legal advice with respect to their respective reviews and execution of this Agreement. 

13.5                 Applicable law.   The situs of this Agreement is Tampere, Finland, and for all purposes this Agreement will be governed exclusively by and construed and enforced in accordance with the laws and Courts prevailing in Finland.

13.6                 Further assurances.   The Parties hereto hereby, jointly and severally, covenant and agree to forthwith, upon request, execute and deliver, or cause to be executed and delivered, such further and other deeds, documents, assurances and instructions as may be required by the Parties hereto or their respective counsel in order to carry out the true nature and intent of this Agreement.

13.7                 Invalid provisions.   If any provision of this Agreement is at any time unenforceable or invalid for any reason it will be severable from the remainder of this Agreement and, in its application at that time, this Agreement will be construed as though such provision was not contained herein and the remainder will continue in full force and effect and be construed as if this Agreement had been executed without the invalid or unenforceable provision.

13.8                 Currency.   Unless otherwise stipulated, all payments required to be made pursuant to the provisions of this Agreement and all money amount references contained herein are in the European Currency, EUR, €.

13.9                 Severability and construction.   Each Article, section, paragraph, term and provision of this Agreement, and any portion thereof, shall be considered severable, and if, for any reason, any portion of this Agreement is determined to be invalid, contrary to or in conflict with any applicable present or future law, rule or regulation in a final unappealable ruling issued by any court, agency or tribunal with valid jurisdiction in a proceeding to any of the Parties hereto is a party, that ruling shall not impair the operation of, or have any other effect upon, such other portions of this Agreement as may remain otherwise intelligible (all of which shall remain binding on the Parties and continue to be given full force and agreement as of the date upon which the ruling becomes final).

13.10              Captions.   The captions, section numbers, Article numbers and Schedule numbers appearing in this Agreement are inserted for convenience of reference only and shall in no way define, limit, construe or describe the scope or intent of this Agreement nor in any way affect this Agreement.

13.11              Counterparts.   This Agreement may be signed by the Parties hereto in as many counterparts as may be necessary and, if required, by facsimile, each of which so signed being deemed to be an original, and such counterparts together shall constitute one and the same instrument and, notwithstanding the date of execution, will be deemed to bear the Execution Date as set forth on the front page of this Agreement.

13.12              Consents and waivers.   No consent or waiver expressed or implied by either Party hereto in respect of any breach or default by any other Party in the performance by such other of its obligations hereunder shall:

(a)       be valid unless it is in writing and stated to be a consent or waiver pursuant to this section;

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(b)       be relied upon as a consent to or waiver of any other breach or default of the same or any other obligation;

(c)       constitute a general waiver under this Agreement; or

(d)       eliminate or modify the need for a specific consent or waiver pursuant to this section in any other or subsequent instance.

                      IN WITNESS WHEREOF each of the Parties hereto has hereunto set its seal by the hand of its duly authorized signatory as of the Execution Date as set forth on the front page of this Agreement.

	
SIGNED, SEALED and DELIVERED by

WILLIAM OLIVER KARVINEN,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares: 10875

_______________________________

WILLIAM OLIVER KARVINEN

	
SIGNED, SEALED and DELIVERED by

ALF BJORKLUND,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares: 9750

_______________________________

ALF BJORKLUND

	
SIGNED, SEALED and DELIVERED by

ERIK WILLIAM KARVINEN,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares: 7125

_______________________________

ERIK WILLIAM KARVINEN

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SIGNED, SEALED and DELIVERED by

CARL LOFBERG,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares: 5250

_______________________________

CARL LOFBERG

	
SIGNED, SEALED and DELIVERED by

PETER LOFBERG,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   1125

_______________________________

PETER LOFBERG

	
SIGNED, SEALED and DELIVERED by

MIKA VIHAVAINEN,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   600

_______________________________

MIKA VIHAVAINEN

	
SIGNED, SEALED and DELIVERED by

SAMI SIISKONEN,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   450

_______________________________

SAMI SIISKONEN

 

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SIGNED, SEALED and DELIVERED by

LEIF ENBERG,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   450

_______________________________

LEIF ENBERG

	
SIGNED, SEALED and DELIVERED by

ESA PARTANEN,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   400

_______________________________

ESA PARTANEN

	
The COMMON SEAL of

HOPEAHELMI INVESTMENT OY,

a Vendor herein,

was hereunto affixed in the presence of:

_______________________________

Authorized Signatory
	
)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

(C/S)

	
SIGNED, SEALED and DELIVERED by

KRISTINA HELENA KARVINEN,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

_______________________________

KRISTINA HELENA KARVINEN

 

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SIGNED, SEALED and DELIVERED by

ANNA BJORKLUND,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

_______________________________

ANNA BJORKLUND

	
SIGNED, SEALED and DELIVERED by

STINA FORSBERG,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

_______________________________

STINA FORSBERG

	
SIGNED, SEALED and DELIVERED by

SIMON BJORKLUND,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

_______________________________

SIMON BJORKLUND

	
SIGNED, SEALED and DELIVERED by

FREDERIK BJORKLUND,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

_______________________________

FREDERIK BJORKLUND

 

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SIGNED, SEALED and DELIVERED by

KLARA VODICKA,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

_______________________________

KLARA VODICKA

	
SIGNED, SEALED and DELIVERED by

LEYLA LOFBERG,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

_______________________________

LEYLA LOFBERG

	
SIGNED, SEALED and DELIVERED by

HENRIK LOFBERG,

a Vendor herein, in the presence of:

_______________________________

Witness Signature

_______________________________

Witness Address

_______________________________

Witness Name and Occupation
	
)

)

)

)

)

)

)

)

)

)

)

)
	
Number of Purchased Shares:   375

_______________________________

HENRIK LOFBERG

	
Regarding the statements made on behalf of the Company, Magnus Minerals, we, the board of directors of the Company verify the statements to be true;

MAGNUS MINERALS OY,

_______________________________

Authorized Signatoryof board members
	
)

)

)

)

)

)

)

)
	 

 

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The COMMON SEAL of

FINMETAL MINING LTD.,

the Purchaser herein,

was hereunto affixed in the presence of:

_______________________________

Authorized Signatory
	
)

)

)

)

)

)

)
	

(C/S)

__________Exhibit 10.1

    
      

    

     

    Exhibit
      10.1

     

    

       

      EMPLOYMENT
        AGREEMENT

       

       

                 
        This Employment Agreement (this “Agreement”) is entered into as of the
        6th
        day of
        February, 2007 (the “Effective Date”), between Oasys Mobile, Inc., a Delaware
        corporation (the “Company”),
        and
        Tracy T. Jackson (the “Executive”).

       

       

      RECITALS:

       

       

                 
        WHEREAS, the Company desires to employ Executive, and Executive desires to
        be
        employed by the Company, on the terms and subject to the conditions set forth
        herein; 

       

                 
        NOW, THEREFOR, in consideration of the mutual premises herein contained,
        the
        parties agree as follows:

       

                 
        1.         Employment. 
        The Company hereby employs Executive as Chief Financial Officer and Executive
        hereby accepts such employment, on the terms and subject to the conditions
        hereinafter set forth.  

       

                 
        2.         Duties
        of Executive.

       

                             
        2.1       Executive shall report directly to the
        Chief Executive Officer and shall perform such duties consistent with her
        position as Chief Financial Officer pursuant to the direction of the Chief
        Executive Officer. 

       

                             
        2.2       Executive shall be required to devote
        her full business time, attention and effort to the Company’s business and
        affairs except for vacation time and reasonable periods of absence due to
        sickness, personal injury or other disability and shall perform diligently
        such
        duties as are customarily performed by executives in similar positions with
        companies similar in character or size to the Company, all subject to the
        direction of the Board, together with such other duties as may be reasonably
        requested from time to time by the Board, which duties shall be consistent
        with
        her positions as set forth above.  Executive agrees to use all of her
        skills and business judgment and render services to the best of her ability
        to
        serve the interests of the Company.  Subject to the terms of Section 8
        hereof, this shall not preclude Executive from serving on community and civic
        boards, participating in industry associations, pursuing her personal financial
        and legal affairs or otherwise engaging in other activities, so long as such
        activities do not unreasonably interfere with her duties to the
        Company.

       

                 
        3.         Support
        Services. 
        Executive shall be entitled to all the administrative, operational and facility
        support customary to a similarly situated executive.  This support shall
        include, without limitation, a suitably appointed private office, and payment
        of
        or reimbursement for reasonable cellular telephone expenses, travel and
        entertainment expenses, reasonable expenses of Executive maintaining her
        professional license and standing and any and all other business expenses
        reasonably incurred on behalf of or in the course of performing duties for
        the
        Company, all in accordance with the expense reimbursement policies established
        from time to time by the Company.  Executive agrees to provide
        documentation of these expenses as may be reasonably required. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

                 
        4.         Term.
        Unless
        earlier terminated as provided herein, the Executive’s employment shall be for a
        continuing term (the “Term”) of one year from the Effective Date of this
        Agreement which shall be automatically extended (without further action of
        the
        Company, the Board of Directors or the Compensation Committee) each day for
        an
        additional day so that the remaining term shall continue to be one (1) year;
        provided that either party may at any time, by written notice to the other
        party, fix the Term to a finite term of one year, without automatic extension,
        commencing with the date of such notice. 

       

                 
        5.         Compensation. 
        Throughout the Term, the Company shall pay or provide, as the case may be,
        to
        Executive the compensation and other benefits and rights set forth in this
        Section 5.

       

                             
        5.1       Base
        Salary. 
        The  Company shall pay to Executive a base salary (“Base Salary”), payable
        in accordance with the Company’s usual pay practices (and in any event no less
        frequently than monthly), of $130,000 per annum (the “Initial Base
        Salary”).  The Compensation Committee shall annually review Executive’s
        Base Salary in light of the base salaries paid to other executive officers
        of
        the Company and the performance of Executive, and the Compensation Committee
        may, in its discretion, increase such Base Salary by an amount it determines
        is
        appropriate. If any other executive officer of the Company is granted an
        increase in their Base Salary, Executive shall also be entitled to a comparable
        increase in Base Salary. 

       

      Once
        Executive’s Base Salary is increased, it shall not thereafter be reduced for any
        reason. 

       

                             
        5.2       Performance
        Bonus. 
        

       

      (a)        
        The
        Executive shall receive a cash bonus of up to 100% of her then current Base
        Salary upon the achievement of the Company’s annual objectives, as may be set by
        the Board of Directors. 

       

       

      Any
        cash
        bonus earned by the Executive pursuant to the provisions of this Section
        5.2 or
        any other provision of this Agreement shall not be paid to the Executive
        unless
        and until the Company has achieved a cash flow positive position, which will
        be
        certified to the Board of Directors by an executive officer of the Company.
        

       

       

      (b)        
        The
        Company may also consider the Executive for a cash bonus for each fiscal
        year,
        or part thereof that he is employed by the Company, in an amount to be
        determined at the discretion of the Board, provided that such bonus shall
        be
        commensurate with other bonuses paid to other executive officers of the Company.
        If any other executive officer of the Company is granted a cash bonus, the
        Executive shall also be entitled to a comparable cash bonus.   

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

       

                             
        5.3       Reserved.
        

       

                              5.4      
        Insurance. 
        The Company shall provide medical, vision, hospitalization, disability and
        dental insurance for Executive, her spouse and eligible family members, subject
        to and in accordance with the Company’s policy, the proportion of the cost
        thereof to be borne by the Company and Executive to be in accordance with
        such
        policy.

       

                             
        5.5       Employee
        Benefit Plans. 
        Executive shall be eligible to participate in all retirement and other benefit
        plans of the Company generally available from time to time to employees of
        the
        Company and for which Executive qualifies under the terms thereof (and nothing
        in this Agreement shall, or shall be deemed to, in any way affect Executive’s
        rights and benefits thereunder except as expressly provided
        herein).

       

                             
        5.6       Other
        Benefit Plans. 
        Executive shall be entitled to participate in any equity or other employee
        benefit plan that is generally available to senior executive officers, as
        distinguished from general management, of the Company, at the highest level
        provided for any employee.  Executive’s participation in and benefits under
        any such plan shall be on the terms and subject to the conditions specified
        in
        the governing document of the particular plan.    

       

                             
        5.7       Vacation. 
        Executive shall be entitled to Twenty (20) days of vacation allowance each
        year,
        which shall accrue at the rate of five (5) days per calendar quarter, but
        may be
        used in advance of accrual.  Vacation days not used in one calendar year
        shall carry over to the following calendar year(s) up to a maximum of ten
        days.
        Executive shall also be entitled to a sick leave allowance as provided under
        the
        Company’s vacation and sick leave policy for executive officers. 

       

      6.        
        Permanent
        Disability.

       

                             
        6.1       For purposes of this Agreement,
        Executive’s “Permanent Disability” shall be deemed to have occurred one day
        after one hundred eighty (180) days in the aggregate during any consecutive
        twelve (12) month period, or one day after one hundred twenty consecutive
        days,
        during which the 180 or 120 day period, as the case may be, Executive, by
        reason
        of her physical or mental disability or illness, shall have been unable to
        discharge fully her duties under this Agreement.

       

                             
        6.2       If either the Company or Executive,
        after receipt of notice of Executive’s Permanent Disability from the other,
        disputes that Executive’s Permanent Disability shall have occurred, Executive
        shall promptly submit to a physical examination by a physician at any major
        accredited hospital and, unless such physician shall issue her written statement
        to the effect that, in her opinion, based on her diagnosis, Executive is
        capable
        of resuming her employment and devoting her full time and energy to discharging
        fully her duties hereunder within thirty (30) days after the date of such
        statement, such Permanent Disability shall be deemed to have occurred on
        the day
        above specified.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

                 
        7.         Termination.

       

                             
        7.1       Bases
        for Termination. 
        Executive’s employment under this Agreement and the Term shall be terminated
        immediately on the death of Executive and may be terminated by the
        Board:

       

      (a)       
        at any time after the Permanent Disability of Executive

       

      (b)       
        at any time without Cause prior to a Change of Control; 

       

      (c) at
        any
        time without Cause upon a Change of Control; or

       

      (d)       
        at any time for “Cause” (as defined in Section 7.8 hereof); 

       

                             
        7.2       Termination
        by Death. 
        If Executive’s employment is terminated by death, Executive’s estate or
        designated beneficiaries shall be entitled to receive:

       

      (a)
         any
        accrued but unpaid salary;

       

      (b)  
         a
        cash
        lump sum payment in respect of accrued but unused vacation days pursuant
        to the
        terms of this Agreement; 

       

      (c)       
        life insurance benefits pursuant to any life insurance policy purchased by
        the
        Company on the Executive;   

       

      (d)       
        a pro rata portion of the bonus applicable to the calendar year in which
        such
        termination occurs, payable when and as such bonus is determined under Section
        5.2(a); 

       

      (e)       
        acceleration of the vesting of one hundred percent (100%) of the unvested
        portion of all of Executive’s stock options or other stock-based awards,
        together with the right to exercise such stock options or awards for a period
        equal to the remaining term for exercising such options or awards under the
        applicable agreement and/or plan; and

       

      (f)       
        reimbursement for all expenses incurred by Executive pursuant to Section
        3
        hereof.

       

                             
        7.3       Termination
        for Permanent Disability. 
        If Executive’s employment is terminated by the Company for Permanent Disability,
        Executive shall be entitled to receive:

       

      (a)       
        her then current Base Salary under Section 5.1 hereof, payable at such times
        as
        her Base Salary would have been paid if her employment had not been terminated
        for a period of six (6) months, minus any amounts payable under any short-term
        disability insurance policy provided by the Company. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      (b)       
        a pro rata portion of the bonus applicable to the calendar year in which
        such
        termination occurs, payable when and as such bonus is determined under Section
        5.2(a); 

       

      (c)       
        continuation of the insurance provided by the Company pursuant to Section
        5.4
        for 12 months; 

       

      (d)       
        acceleration of the vesting of one hundred percent (100%) of the unvested
        portion of all of Executive’s stock options or other stock-based awards,
        together with the right to exercise such stock options or awards for a period
        equal to the remaining term for exercising such options or awards under the
        applicable agreement and/or plan; and 

       

      (e)       
        reimbursement for all expenses incurred by Executive pursuant to Section
        3 prior
        to her termination.

       

                             
        7.4       Termination
        by the Company without Cause prior to a Change of Control. 
        If Executive’s employment is terminated by the Company without Cause (as defined
        in Section 7.8(a)) prior to a Change of Control, Executive shall be entitled
        to
        receive: 

       

      (a)
         accrued
        but unpaid Base Salary to the date of such termination; 

       

      (b)  
         a
        cash
        lump sum payment in respect of accrued but unused vacation days pursuant
        to the
        terms of this Agreement; 

       

      (c) a
        cash
        lump sum payment equal to her then-current Base Salary under Section 5.1
        hereof
        payable within ten (10) days of Executive’s termination; 

       

      (d)       
        a cash lump sum payment of the bonus applicable to the calendar year in which
        such termination occurs; this cash lump sum payment shall be payable within
        ten
        (10) days after the determination that the annual objectives, as set by the
        Board of Directors pursuant to Section 5.2(a) of this Agreement, have been
        met;

       

      (e)       
        acceleration of the vesting of one hundred percent (100%) of the unvested
        portion of all of Executive’s stock options or other stock-based awards,
        together with the right to exercise such stock options or awards for a period
        equal to the remaining term for exercising such options or awards under the
        applicable agreement and/or plan; 

       

      (f)        
        continuation of the insurance provided by the Company pursuant to Section
        5.4
        for 12 months; and 

       

      (g)       
        reimbursement for all expenses incurred by Executive pursuant to Section
        3 prior
        to her termination.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

                   7.5      
        Termination
        by the Company without Cause Upon a Change of Control or by Executive for
        Good
        Reason at Any Time. 
        If Executive’s employment is terminated by the Company without Cause (as defined
        in Section 7.8(a)) upon a Change of Control (as defined in Section 7.8 (c))
        or
        by Executive for Good Reason (as defined in Section 7.8(e)) at any time,
        Executive shall be entitled to receive: 

       

      (a)    
             accrued
        but unpaid Base Salary to the date of such termination; 

       

      (b)      
          a
        cash
        lump sum payment in respect of accrued but unused vacation days pursuant
        to the
        terms of this Agreement; 

       

      (c)     
           a cash lump sum payment of her then-current Base Salary under
        Section 5.1; 

       

      (d)      
          a cash lump sum payment of the bonus applicable to the calendar year in
        which such termination occurs. This cash lump sum payment shall be payable
        within ten (10) days after the determination that the annual objectives,
        as set
        by the Board of Directors pursuant to Section 5.2(a) of this Agreement, have
        been met. 

       

      (e)     
           acceleration of the vesting of one hundred percent (100%) of the
        unvested portion of Executive’s stock options or other stock-based awards,
        together with the right to exercise such stock options or awards for a period
        equal to the remaining term for exercising such options or awards under the
        applicable agreement and/or plan; 

       

      (f)        
        continuation of the insurance provided by the Company pursuant to Section
        5.4
        for 12 months; and 

       

      (g)       
        reimbursement for all expenses incurred by Executive pursuant to Section
        3 prior
        to his termination.

       

      7.6      
        Termination
        by the Company for Cause or by Executive without Good Reason upon a Change
        of
        Control. 
        If Executive’s employment is terminated by the Company for Cause or by Executive
        without Good Reason upon a Change of Control (other than as a result of
        Executive’s Permanent Disability or Death), the Company shall not have any other
        or further obligations to Executive under this Agreement, except 

       

      (a)        
        as
        may be
        provided in accordance with the terms of retirement and other benefit plans
        pursuant to Sections 5.5 and 5.6 hereof; 

       

      (b)        
        as
        to
        that portion of any unpaid Base Salary and other benefits accrued and earned
        under this Agreement through the date of such termination; 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      (c)        
        all
        stock
        option grants that have vested as of the Executive’s date of termination
        pursuant to this Section 7.6 for the remainder of the term of such option
        grants;

       

      (d)     
           as
        to
        benefits, if any, provided by any insurance policies in accordance with their
        terms; and 

       

      (e)      
           reimbursement
        for all expenses incurred by Executive pursuant to Section 3 prior to her
        termination). 

       

      In
        addition, if Executive’s employment is terminated by the Company for Cause at
        any time during the Term, Executive shall immediately forfeit any and all
        unvested stock rights, stock options and other such unvested incentives or
        awards previously granted to him by the Company and any Bonus(es) earned
        by him
        but not paid pursuant to Section 5.2(a) of this Agreement.  The foregoing
        sentence shall be in addition to, and not in lieu of, any and all other rights
        and remedies which may be available to the Company under the circumstances,
        whether at law or in equity.  

       

                           
        7.7       Termination
        Upon Cessation of Business. 
        The Company shall have the right to immediately terminate Executive’s employment
        under this Agreement upon a Cessation of Business (as defined in Section
        7.8(b)).  Upon termination in connection with a Cessation of Business, the
        Company shall pay to Executive any accrued but unpaid Base Salary until the
        date
        of Cessation of Business. The Company may make such payments in accordance
        with
        its regular payroll schedule or in a single lump sum payment in its sole
        discretion. 

       

        7.8      
        Definitions. 
        As used herein: 

       

      (a)       
        “Cause”
shall
        mean: 

       

      (1)       
        active participation by Executive in fraudulent conduct against the Company,
        conviction of or a plea of guilty or nolo
        contendere
        with
        respect to a felony involving theft or moral turpitude, an act or series
        of
        deliberate acts which were not taken in good faith by Executive and which,
        in
        the reasonable judgment of the Board, results or will likely result in material
        injury to the business, operations or business reputation of the Company,
        or an
        act or series of acts constituting willful malfeasance or gross misconduct;
        

       

      (2)       
        a substantial and continual refusal by Executive in breach of this Agreement
        to
        perform the duties, responsibilities or obligations assigned to Executive
        pursuant to the terms hereof, which breach has not been cured (if it is of
        a
        nature that can be cured) to the Board’s reasonable satisfaction within ten (10)
        days after the Company gives written notice thereof to Executive; or

       

      (3)       
        excessive absenteeism by Executive; provided that absenteeism (i) related
        to
        illness or otherwise covered by Section 6 hereof, (ii) required to be permitted
        under applicable federal or state laws, or (iii) permitted under Company
        policy,
        shall not be deemed to be excessive. 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

                 
        Executive shall be permitted to respond and defend himself before the Board
        within thirty (30) days after delivery to Executive of written notification
        of
        any proposed termination for Cause which specifies in detail the reasons
        for
        such termination.  If the majority of the members of the Board (excluding
        Executive) do not confirm that the Company had grounds for a “Cause”
termination, Executive shall have the option to treat her employment as not
        having terminated or as having been terminated pursuant to a termination
        without
        Cause. 

       

      (b)       
        “Cessation
        of Business”
shall
        mean the Company’s ceasing to operate in the ordinary course of business,
        whether by dissolution, liquidation, or in connection with a good faith
        determination by the Board that the continuing operation of the business
        in its
        ordinary course is reasonably likely to render the Company unable to meet
        its
        liabilities as they mature. 

       

      (c)       
        A “Change
        in Control”
shall
        occur if: 

       

      (1)       
        there shall be consummated any consolidation or merger of the Company in
        which
        the Company is not the continuing or surviving corporation; 

       

      (2)       
        any Person (as defined in Section 2(a)(2) of the Securities Act of 1933,
        as
        amended) other than the Company, subsequently becomes the beneficial owner,
        directly or indirectly (including by holding securities which are exercisable
        for or convertible into shares of capital stock of the Company) of forty
        percent
        (40%) or more of the combined voting power of the then outstanding shares
        of
        capital stock of the Company entitled to vote generally in the election of
        directors; 

       

      (3)       
        the Company sells, leases, exchanges or otherwise transfers all or substantially
        all of its property and assets (in a transaction or series of transactions
        contemplated or arranged by any party as a single plan); 

       

       

      (4)       
        Continuing Directors cease to constitute at least a majority of the Board;
        or

       

      (5)       
        a majority of the Outside Directors determine that a Change in Control has
        occurred. 

       

      (d)       
        “Continuing
        Directors”
shall
        mean the members of the Board in office on February 6, 2007, and any successor
        to any such director whose nomination or selection was approved by a majority
        of
        the directors in office at the time of the director’s nomination or selection.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      

       

       

                              
        (e)        “Good
        Reason”
means
        a
        termination of Executive’s employment by Executive within ninety (90) days
        following: 

       

      (1)       
        a reduction in Executive’s Base Salary or incentive compensation or equity
        participation opportunity; 

       

      (2)       
        a material reduction in Executive’s position(s), duties and responsibilities or
        reporting lines from those described in Section 2 hereof; 

       

      (3)       
        a change in the location of the Company’s headquarters or of the office of
        Executive from the Raleigh-Durham metropolitan area; 

       

      (4)       
        a material breach of this Agreement by the Company if such breach is not
        cured
        within 15 days of written notice thereof by Executive to the Company; or
        

       

      (5)       
        any failure by the Company to obtain from any successor to the Company an
        agreement reasonably satisfactory to Executive to assume and perform this
        Agreement, as contemplated by Section 11.3 hereof. 

       

                 
        Notwithstanding the foregoing, a termination shall not be treated as a
        termination for Good Reason (A) if Executive shall have consented in writing
        to
        the occurrence of the event giving rise to the claim of termination for Good
        Reason, or (B) unless Executive shall have delivered a written notice to
        the
        Board within thirty (30) days of her having actual knowledge of the occurrence
        of one of such events stating that he intends to terminate her employment
        for
        Good Reason and specifying the factual basis for such termination, and such
        event, if capable of being cured, shall not have been cured within ten (10)
        days
        of the receipt of such notice. 

       

      (f)        
        “Outside
        Director”
means
        a
        member of the Board who is not, and who during the past six months was not,
        an
        employee of officer of the Company. 

       

      (g)       
        “Termination
        Upon a Change in Control”
means:
        

       

      (1)       
        a termination by Executive for Good Reason within one year following a Change
        in
        Control; 

       

      (2)       
        declination by Executive of an offer of employment from the Company or the
        Company’s successor, for Good Reason at or in anticipation of a Change in
        Control, if Executive would not have been permitted to retain Executive’s
        existing position; or 

       

      (3)       
        termination of Executive’s employment by the Company or the Company’s successor
        within one year following a Change in Control other than a termination for
        Cause
        or a termination resulting from Executive’s death or Permanent
        Disability.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      

       

       

                             
        7.9       Mitigation
        of Damages. 
        Executive is not required to mitigate the amount of any payments to be made
        by
        the Company pursuant to this Agreement following her termination by seeking
        other employment or otherwise.  In addition, the amount of any
        post-termination payments provided for in this Agreement shall, except as
        otherwise expressly provided herein, not be reduced by any remuneration earned
        by Executive during the period following the termination of her employment
        as a
        result of employment by another employer or otherwise after the date of
        termination of his employment with the Company.

       

      8.        
        Covenants and Confidential Information.  

       

                                
         8.1       Restrictive
        Covenants. 
        Executive acknowledges the Company’s reliance on and expectation of Executive’s
        continued commitment to performance of her duties and responsibilities during
        the term.  In light of such reliance and expectation on the part of the
        Company, during the applicable period hereafter specified in Section 8.2,
        Executive shall not

       

      (a)      
        directly
        or indirectly, do or suffer any of the following; 

       

      (1)       
        own, manage, control or participate in the ownership, management or control
        of,
        or be employed or engaged by or otherwise affiliated or associated as a
        consultant, independent contractor or otherwise with, any other corporation,
        partnership, proprietorship, firm, association or other business entity engaged
        in the business of, or otherwise engage in the business of, information
        processing of multimedia over mobile and wireless networks  within the
        United States in competition with the Company; provided, however, that the
        beneficial and/or record ownership of not more than 4.9% of any class of
        publicly traded securities of any entity shall not be deemed a violation
        of this
        covenant; 

       

      (2)       
        solicit any business or contracts from any customers of the Company or its
        affiliates, any past customers of the Company or its affiliates, or any
        prospective customers of the Company or its affiliates (i.e., potential
        customers from which the Company or its affiliates has solicited business
        at any
        time during the one year period preceding the expiration or termination of
        the
        Term), except as necessitated by Executive’s position with the Company and then
        only in furtherance of the business interests of the Company or its affiliates;
        

       

      (3)       
        induce or attempt to induce any such customer to alter its business relationship
        with the Company or its affiliates except as necessitated by Executive’s
        position with the Company and then only in furtherance of the business interests
        of the Company or its affiliates; 

       

      (4)       
        solicit or induce or attempt to solicit or induce any employee of the Company
        or
        its affiliates to leave the employ of the Company or any of its affiliates
        for
        any reason whatsoever or hire any employee or any person who was an employee
        of
        the Company or its affiliates within the twelve (12) month period prior to
        such
        hiring; or 
           

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      

       

       

                                (b)       
        disclose, divulge, discuss, copy or otherwise use or suffer to be used in
        any
        manner, other than in accordance with Executive’s duties hereunder, any
        confidential or proprietary information relating to the Company’s business,
        prospects, finances, operations or properties or other trade secrets of the
        Company, it being acknowledged by Executive that all such information regarding
        the business of the Company compiled or obtained by, or furnished to, Executive
        while Executive shall have been employed by or associated with the Company
        is
        confidential and/or proprietary information and the Company’s exclusive
        property; provided, however, that the foregoing restrictions shall not apply
        to
        the extent that such information: (A) is clearly obtainable in the public
        domain; (B) becomes obtainable in the public domain, except by reason of
        the
        breach by Executive of the terms hereof or by another person barred by a
        similar
        duty of confidentiality; or (C) is required to be disclosed by rule of law
        or by
        order of a court or governmental body or agency.

       

                             
        8.2       Applicable
        Periods. 
        The applicable periods shall be: 

       

      (a)       
        so long as Executive is an employee of the Company; 

       

      (b)       
        as to Section 8.1(b), at any time after Executive is no longer an employee
        of
        the Company; and 

       

      (c)       
        for a period of 6 months after termination of employment.

       

                             
        8.3       Injunctive
        Relief. 
        Executive agrees and understands that the remedy at law for any breach by
        him of
        this Section 8 will be inadequate and that the damages flowing from such
        breach
        are not readily susceptible to being measured in monetary terms. 
Accordingly, it is acknowledged that the Company shall be entitled to immediate
        injunctive relief and may obtain a temporary order restraining any threatened
        or
        further breach.  Nothing in this Section 8 shall be deemed to limit the
        Company’s remedies at law or in equity for any breach by Executive of any of the
        provisions of this Section 8 which may be pursued or availed of by the
        Company.

       

                             
        8.4       Acknowledgment
        by Executive. 
        Executive has carefully considered the nature and extent of the restrictions
        upon him and the rights and remedies conferred upon the Company under this
        Section 8, and hereby acknowledges and agrees that the same are reasonable
        in
        time and territory, are designed to eliminate competition which otherwise
        would
        be unfair to the Company, do not stifle the inherent skill and experience
        of
        Executive, would not operate as a bar to Executive’s sole means of support, are
        fully required to protect the legitimate interests of the Company, and do
        not
        confer a benefit upon the Company disproportionate to the detriment of
        Executive.

       

                             
        8.5       Survival. 
        Executive acknowledges that Executive’s obligations under this Section 8 shall
        survive in accordance with Section 8.2 hereof regardless of whether Executive’s
        employment by the Company is terminated, voluntarily or involuntarily, by
        the
        Company or Executive, with Cause or without Cause, or the Executive with
        or
        without Good Reason.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      

       

       

                 
        9.         Proprietary
        Rights.

       

                             
        9.1       At all times during the Term, all right,
        title and interest in all copyrightable material which Executive shall conceive
        or originate, either individually or jointly with others, and which arise
        out of
        the performance of this Agreement, will be the property of the Company and
        are
        by this Agreement assigned to the Company along with ownership of any and
        all
        copyrights in the copyrightable material.  At all times during the Term,
        Executive agrees to execute all papers and perform all other acts necessary
        to
        assist the Company to obtain and register copyrights on such materials in
        any
        and all countries, and the Company agrees to pay expenses associated with
        such
        copyright registration.  Works of authorship created by Executive for the
        Company in performing her responsibilities under this Agreement shall be
        considered “works made for hire” as defined in the U.S. Copyright Act.  In
        addition, Executive hereby assignees to the Company all proprietary rights,
        including but not limited to, all patents, copyrights, trade secrets and
        trademarks Executive might otherwise have, by operation of law or otherwise,
        in
        all inventions, discoveries, works, ideas, information, knowledge and data
        related to Executive’s access to confidential information of the Company during
        the Term.

       

                             
        9.2       All know-how and trade secret
        information conceived or originated by Executive which arises out of the
        performance of her obligations or responsibilities under this Agreement during
        the Term shall be the property of the Company, and all rights therein are
        by
        this Agreement assigned to the Company.

       

                             
        9.3       If, during the term, Executive is
        engaged in or associated with the planning or implementing of any project,
        program or venture involving the Company and a third party or parties, all
        rights in such project, program or venture shall belong to the Company. 
Except as formally approved by the Board, Executive shall not be entitled
        to any
        interest in such project, program or venture or to any commission, finder’s fee
        or other compensation in connection therewith other than the compensation
        to be
        paid to Executive as provided in this Agreement.

       

                             
        9.4       Upon termination of the Term, Executive
        shall deliver promptly to the Company all records, manuals, books, documents,
        letters, memoranda, notes, notebooks, reports, data, tables, calculations,
        customer and prospective customer lists, and copies of all of the foregoing,
        which are the property of the Company, and all other property, trade secrets
        and
        confidential information of the Company, including, but not limited to, all
        documents which in whole or in part contain any trade secrets or confidential
        information of the Company, which in any of these cases are in her possession
        or
        under her control.

       

                             
        9.5       The obligations of Executive under this
        Section 9 shall survive the termination or expiration of the Term.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      

       

       

                 
        10.       Indemnification. 
        During the Term, the Company shall indemnify Executive and hold Executive
        harmless from and against any claim, loss or cause of action arising from
        or out
        of Executive’s performance as an officer, director or employee of the Company or
        any of its subsidiaries or in any other capacity, including any fiduciary
        capacity, in which Executive serves at the request of the Company to the
        maximum
        extent permitted by applicable law.  If any claim is asserted hereunder
        with respect to which Executive reasonably believes in good faith he is entitled
        to indemnification, the Company shall pay Executive’s legal expenses (or cause
        such expenses to be paid), on a monthly basis, provided that Executive shall
        reimburse the Company for such amounts if Executive shall be found by a court
        of
        competent jurisdiction not to have been entitled to indemnification.  In
        addition, the Company agrees to provide Executive with coverage under a
        directors and officers liability insurance policy.

       

                 
        11.       Miscellaneous.

       

                             
        11.1     Representation
        and Warranty by Executive. 
        Executive represents and warrants that he is not a party to any agreement,
        contract or understanding, whether employment or otherwise, which would restrict
        or prohibit him from undertaking or performing employment in accordance with
        the
        terms and conditions of this Agreement.

       

                             
        11.2     Severability. 
        The provisions of this Agreement are severable and if any one or more provisions
        may be determined to be illegal or otherwise unenforceable, in whole or in
        part,
        the remaining provisions and any partially unenforceable provision, to the
        extent enforceable in any jurisdiction, nevertheless shall be binding and
        enforceable.

       

                             
        11.3     Assignment. 
        This Agreement shall be binding upon and inure to the benefit of the heirs
        and
        representatives of Executive and the assigns and successors of the Company,
        but
        neither this Agreement nor any rights or obligations hereunder shall be
        assignable or otherwise subject to hypothecation by Executive (except by
        will or
        by operation of the laws of intestate succession) or by the Company, except
        that
        the Company may assign this Agreement to any successor (whether by merger,
        purchase or otherwise) to all or substantially all of the stock, assets or
        business of the Company, and the Company shall require such successor to
        expressly agree to assume the obligations of the Company hereunder.

       

                             
        11.4     Dispute
        Resolution. 
        Any controversy or claim arising out of or relating to this Agreement, or
        the
        breach thereof, shall be settled by mediation, and if not settled within
        14 days
        of the submission to meditation, by arbitration in accordance with the Voluntary
        Arbitration Rules of the American Arbitration Association, and the arbitration
        shall be held in the Raleigh, North Carolina area.  The arbitrator shall be
        acceptable to both the Company and Executive.  If the parties cannot agree
        on an acceptable arbitrator, the dispute shall be heard by a panel of three
        (3)
        arbitrators, one appointed by each of the parties and the third appointed
        by the
        other two arbitrators.  Judgment upon the award rendered by the arbitrator
        or arbitrators may be entered in any court having jurisdiction thereof. 
The arbitrator or arbitrators shall be deemed to possess 

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      the
        power
        to issue mandatory orders and restraining orders in connection with such
        arbitration; provided, however, that nothing in this Section 11.4 shall be
        construed so as to deny the Company the right and power to seek and obtain
        injunctive relief in a court of equity for any breach or threatened breach
        by
        Executive of her covenants contained in Section 8 hereof.  All costs and
        expenses of arbitration shall be paid one-half by the Company and one-half
        by
        Executive.

       

                             
        11.5     Notices. 
        All notices and other communications required or permitted under this Agreement
        shall be in writing, and shall be deemed properly given if delivered personally,
        mailed by registered or certified mail in the United States mail, postage
        prepaid, return receipt requested, send by facsimile or sent by Express Mail,
        Federal Express or other nationally recognized express delivery service,
        as
        follows:

       

      

        
          	
                  If
                    to Oasys Mobile:

                	
                  If
                    to Executive:

                
	 	 
	
                  434
                    Fayetteville Street

                	
                  205
                    Branchside Lane

                
	
                  Suite
                    600

                	
                  Holly
                    Springs, NC 27540

                
	
                  Raleigh,
                    North Carolina 27601

                	 
	
                  Attn:
                    General Counsel 

                	 

        

      

       

                 
        Notice given by hand, certified or registered mail, or by Express Mail, Federal
        Express or other such express delivery service, shall be effective upon
        receipt.  Notice given by facsimile transmission shall be effective upon
        actual receipt if received during the recipient’s normal business hours, or at
        the beginning of the recipient’s next business day after receipt if not received
        during the recipient’s normal business hours.  All notices by facsimile
        transmission shall be confirmed promptly after transmission in writing by
        certified mail or personal delivery.

       

                 
        Any party may change any address to which notice is to be given to it by
        giving
        notice as provided above of such change of address. 

       

                             
        11.6     Amendment. 
        This Agreement may only be amended by written agreement of the parties
        hereto.

       

                             
        11.7     Beneficiaries;
        References. 
        Executive shall be entitled to select (and change, to the extent permitted
        under
        applicable law) a beneficiary or beneficiaries to receive any compensation
        or
        benefit payable hereunder following Executive’s death, and may change such
        election, in either case by giving the Company written notice thereof.  In
        the event of Executive’s death or a judicial determination of her incompetence,
        reference in this Agreement to Executive shall be deemed, where appropriate,
        to
        refer to her beneficiary, estate or other legal representative. 

       

                             
        11.8     Survivorship. 
        The respective rights and obligations of the parties hereunder shall survive
        any
        termination of this Agreement to the extent necessary to the intended
        preservation of such rights and obligations.  The provisions of this
        Section are in addition to the survivorship provisions of any other section
        of
        this Agreement.

       

      
        
           

        

        
           

          
            

          

        

        
           

        

      

       

      

       

       

                             
        11.9     Governing
        law. 
        This Agreement shall be construed, interpreted and governed in accordance
        with
        the laws of the State of North Carolina without reference to rules relating
        to
        conflicts of law.  For purposes of jurisdiction and venue, the Company
        hereby consents to jurisdiction and venue in any suit, action or proceeding
        with
        respect to this Agreement in any court of competent jurisdiction in the state
        in
        which Executive resides at the commencement of such suit, action or proceeding
        and waives any objection, challenge or dispute as to such jurisdiction or
        venue
        being proper.

       

                             
        11.10   Effect
        of Prior Agreements. 
        This Agreement contains the entire understanding between the parties hereto
        with
        respect to the subject matter hereof, and supersedes in all respects any
        prior
        or other agreement or understanding between the Company or any affiliate
        of the
        Company and Executive with respect to the subject matter hereof.

       

                             
        11.11   Withholding. 
        The Company shall be entitled, to the extent permitted or required by law,
        to
        withhold from any payment of any kind due Executive under this Agreement
        to
        satisfy the tax withholding obligations of the Company under applicable
        law.

       

                             
        11.12   Counterparts. 
        This Agreement may be executed in two counterparts, each of which shall be
        deemed an original.       

       

       

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      IN
        WITNESS WHEREOF, the
        parties hereto, having duly been authorized, have executed this Agreement
        as of
        February 6, 2007.

       

       

      

        
          	
                  OASYS
                    MOBILE, INC. 

                	
                  TRACY
                    T. JACKSON 

                
	
                   

                	
                   

                
	
                  By: /s/
                    Donald T. Locke    

                	
                  /s/
                    Tracy T. Jackson

                
	
                   

                	
                   

                
	
                  Name:   
                    Donald T. Locke

                	
                   

                
	
                  Title:     
                    Executive Vice-President 

                	
                   

                
	
                               
                    & General Counsel

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