Document:

exv10w6

 

EXHIBIT 10.6

STOCK UNIT AWARD AGREEMENT

This Stock Unit Award Agreement (this “Agreement”) is made by and between Harvest Natural
Resources, Inc., a Delaware corporation (the “Company”), and James A. Edmiston III (the
“Executive”) as of the 2nd day of March, 2006 (the “Grant Date”).

Whereas, the Company desires to grant to the Executive the stock unit award specified
herein (the “Award”), subject to the terms and conditions of this Agreement; and

Whereas, the Award is a “stock value right” as that term is defined in Treasury Regulation
§ 31.3121(v)(2)-1(b)(4)(ii); and

Whereas, the Executive desires to have the opportunity to hold the Award, subject to the
terms and conditions of this Agreement;

Now, therefore, in consideration of the premises, mutual covenants and agreements
contained herein, and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto, intending to be legally bound hereby, agree as
follows:

	1.	 	Grant of Stock Unit Award. Effective as of the Grant Date, the Company hereby awards to the
Executive 10,000 Stock Units. A “Stock Unit” is a right to receive on the Payment Date, after
vesting thereof, a cash amount equal to the excess of (a) the Fair Market Value of one share
of the Stock on the Valuation Date over (b) 100 percent of the Fair Market Value of one share
of the Stock on March 2, 2006. For purposes of this Agreement the “Fair Market Value of one
share of the Stock” means the average of the high and low trading prices per share of the
Stock for the applicable date as reported by the New York Stock Exchange or the principal
stock exchange on which the Stock is then traded. The Stock Units that are awarded hereby to
the Executive shall be subject to the prohibitions and restrictions set forth herein with
respect to the sale or other disposition of such Stock Units and the obligation to forfeit and
surrender such Stock Units to the Company (the “Forfeiture Restrictions”). In accepting the
award of Stock Units set forth in this Agreement the Executive accepts and agrees to be bound
by all the terms and conditions of this Agreement.

	2.	 	Definitions. For purposes of this Agreement, the following terms shall have the meanings
indicated below:

	 	(a)	 	“Affiliate” means an Entity that is required to be treated as a single employer
together with the Company for certain benefit plan purposes under section 414 of the
Code.
	 
	 	(b)	 	“Board” means the Board of Directors or other governing body of the Company or
its direct or indirect parent.
	 
	 	(c)	 	“Change of Control” means the occurrence of any of the following events:

	 	(i)	 	the acquisition by any individual, Entity or group (within the
meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934)
(a

 

 

	 	 	 	“Covered Person”) of beneficial ownership (within the meaning of rule 13d-3
promulgated under the Securities Exchange Act of 1934) of 50 percent or more of
the combined voting power of the then outstanding voting securities of the
Company entitled to vote generally in the election of directors (the “Voting
Securities”); provided, however, that for purposes of this subsection (i) of
this Section 2(c) the following acquisitions shall not constitute a Change of
Control: (i) any acquisition by the Company, (ii) any acquisition by any
employee benefit plan (or related trust) sponsored or maintained by the Company
or any Entity controlled by the Company, or (iii) any acquisition by any Entity
pursuant to a transaction which complied with clauses (A), (B) and (C) of
subsection (iii) of this Section 2(c); or

	 	(ii)	 	individuals who, as of the date of this Agreement, constitute
the Board (the “Incumbent Board”) cease for any reason to constitute at least a
majority of the Board; provided, however, that any individual becoming a
director after the date of this Agreement whose election, or nomination for
election by the Company’s stockholders, was approved by a vote of at least a
majority of the directors then comprising the Incumbent Board shall be
considered as though such individual were a member of the Incumbent Board, but
excluding, for this purpose, any such individual whose initial assumption of
office occurs as a result of an actual or threatened election contest with
respect to the election or removal of directors; or
	 
	 	(iii)	 	the consummation of a reorganization, merger or consolidation
or sale of the Company, or a disposition of at least 50 percent of the assets
of the Company including goodwill (a “Business Combination”), provided,
however, that for purposes of this subsection (iii), a Business Combination
will not constitute a change of control if the following three requirements are
satisfied: following such Business Combination, (A) all or substantially all
of the individuals and entities who were the beneficial owners, respectively,
of the Company’s Voting Securities immediately prior to such Business
Combination beneficially own, directly or indirectly, more than 50 percent of
the ownership interests of the Entity resulting from such Business Combination
(including, without limitation, an Entity which as a result of such transaction
owns the Company or all or substantially all of the Company’s assets either
directly or through one or more subsidiaries or other affiliated entities) in
substantially the same proportions as their ownership immediately prior to such
Business Combination, (B) no Covered Person (excluding any employee benefit
plan (or related trust) of the Company or such Entity resulting from such
Business Combination) beneficially owns, directly or indirectly, 50
percent or more of, respectively, the ownership interests in the Entity
resulting from such Business Combination, except to the extent that such
ownership existed prior to the Business Combination, and (C) at least a
majority of the members of the board of directors of the Entity resulting

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	 	 	 	from such Business Combination were members of the Incumbent Board at the
time of the execution of the initial agreement, or of the action of the
Board, providing for such Business Combination. For this purpose any
individual who becomes a director after the date of this Agreement, and
whose election or nomination for election by the Company’s stockholders, was
approved by a vote of at least a majority of the directors then comprising
the Incumbent Board shall be considered as though such individual were a
member of the Incumbent Board, but excluding, for this purpose, any such
individual whose initial assumption of office occurs as a result of an
actual or threatened election contest with respect to the election or
removal of directors.

	 	(d)	 	“Code” means the Internal Revenue Code of 1986, as amended.
	 
	 	(e)	 	“Disability” means the Executive no longer can perform one or more of the
essential functions of the Executive’s job even with reasonable accommodation and a
physician selected by the Company has confirmed such condition exists and has reported
his findings to the Company in a written notice received by the Company.
	 
	 	(f)	 	“Entity” means any corporation, partnership, association, joint-stock company,
limited liability company, trust, unincorporated organization or other business Entity.
	 
	 	(g)	 	“Forfeiture Restrictions” means any prohibitions and restrictions set forth
herein with respect to the sale or other disposition of Stock Units issued to the
Executive hereunder and the obligation to forfeit and surrender such Stock Units to the
Company.
	 
	 	(h)	 	“Payment Date” means the earliest of (i) March 1, 2016, (ii) six months after
the date the Executive incurs a Section 409A Separation From Service with respect to
the Company, (iii) the date the Company incurs a Section 409A Change of Control, or
(iv) the date of the death of the Executive.
	 
	 	(i)	 	“Section 409A” means section 409A of the Code and the rules and regulations
issued thereunder by the Department of Treasury and the Internal Revenue Service.
	 
	 	(j)	 	“Section 409A Change of Control” means a change in the ownership or effective
control of the Company or in the ownership of a substantial portion of the assets of
the Company within the meaning of Section 409A.
	 
	 	(k)	 	“Section 409A Separation from Service” means a separation from service from the
Company within the meaning of Section 409A.
	 
	 	(l)	 	“Stock” means the Company’s common stock, par value $0.01 per share.

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	 	(m)	 	“Valuation Date” means the last day immediately preceding the Payment Date on
which sales of the Stock are reported by the principal stock exchange on which the
Stock is then traded.

	3.	 	Transfer Restrictions. The Stock Units granted hereby may not be sold, assigned, pledged,
exchanged, hypothecated or otherwise transferred, encumbered or disposed of (other than by
will or the applicable laws of descent and distribution). Any such attempted sale,
assignment, pledge, exchange, hypothecation, transfer, encumbrance or disposition in violation
of this Agreement shall be void and the Company shall not be bound thereby.

	4.	 	Vesting. The Stock Units that are granted hereby shall be subject to Forfeiture
Restrictions. The Forfeiture Restrictions shall lapse as to the Stock Units that are granted
hereby in accordance with the provisions of subsections (a) through (c) of this Section 4.

	 	(a)	 	Generally. The Forfeiture Restrictions shall lapse as to the Stock Units that
are granted hereby in accordance with the following schedule provided that the
Executive’s employment with the Company and all of its Affiliates has not terminated
prior to the applicable lapse date:

	 	(i)	 	the Forfeiture Restrictions shall lapse as to one-third of the
Stock Units subject to this Agreement after March 2, 2007;
	 
	 	(ii)	 	the Forfeiture Restrictions shall lapse as to an additional
one-third of the Stock Units subject to this Agreement after March 2, 2008;
	 
	 	(iii)	 	the Forfeiture Restrictions shall lapse as to the remaining
one-third of the Stock Units subject to this Agreement after March 2, 2009.

If the Executive’s employment relationship with the Company and all of its
Affiliates terminates before the applicable lapse date set forth in this subsection
(a), except as otherwise specified in subsections (b) or (c) below, the Forfeiture
Restrictions then applicable to the Stock Units shall not lapse and all the Stock
Units then subject to the Forfeiture Restrictions shall be forfeited to the Company
upon such termination of the Executive’s employment relationship.

	 	(b)	 	Death or Disability. Notwithstanding any provisions of Section 4(a) to the
contrary, in the event the Executive’s employment relationship with the Company and all
of its Affiliates is terminated due to the death or Disability of the Executive prior
to the expiration of the term of this Agreement, the Forfeiture Restrictions shall
lapse as to the Stock Units that are granted hereby on the date of such termination of
the Executive’s employment relationship due to death or Disability.
	 
	 	(c)	 	Change of Control. Notwithstanding any provisions of Section 4(a) to the
contrary, in the event the Executive’s employment relationship with the Company
and all of its Affiliates is terminated within 730 days after or 240 days before a
Change of Control, the Forfeiture Restrictions shall lapse as to the Stock Units

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	 	 	 	that are granted hereby on the date the Executive’s employment relationship with the
Company and all of its Affiliates is terminated.

	5.	 	Time of Payment under the Award. To the extent the Forfeiture Restrictions lapse with
respect to the Stock Units granted hereby on or before the Payment Date the Company shall pay
to the Executive on the Payment Date the amount payable with respect to the Stock Units for
which the Forfeiture Restrictions have lapsed.

	6.	 	Term. This Agreement and the Executive’s rights hereunder shall terminate at 5:00 p.m.
(Central Time) on March 2, 2016.

	7.	 	Tax Withholding. The Company shall be entitled to deduct from the amounts payable to the
Executive (or other person validly exercising the Award) under this Agreement and any other
compensation payable by the Company to the Executive any sums required by federal, state or
local tax law to be withheld with respect to any payment made by the Company to the Executive
under this Agreement. The Company shall have no obligation with respect to payment of the
Award until the Company or an Affiliate has received payment sufficient to cover all minimum
tax withholding amounts due with respect to the Award. Neither the Company nor any Affiliate
shall be obligated to advise the Executive of the existence of the tax or the amount which it
will be required to withhold.

8.   Capital Adjustments and Reorganizations.

	 	(a)	 	The existence of the Stock Units shall not affect in any way the right or power
of the Company to make or authorize any adjustment, recapitalization, reorganization or
other change in its capital structure or its business, engage in any merger or
consolidation, issue any debt or equity securities, dissolve or liquidate, or sell,
lease, exchange or otherwise dispose of all or any part of its assets or business, or
engage in any other corporate act or proceeding.
	 
	 	(b)	 	If the Company shall effect a subdivision or consolidation of the Stock or
other capital readjustment, the payment of a stock dividend with respect to the Stock,
or other increase or reduction of the number of shares of the Stock outstanding,
without receiving compensation therefor in money, services or property, then the number
of Stock Units awarded under this Agreement shall be appropriately adjusted in the same
manner as if the Executive was the holder of an equivalent number of shares of the
Stock immediately prior to the event requiring the adjustment.

	9.	 	Employment Relationship. For purposes of this Agreement, the Executive shall be considered
to be in the employment of the Company as long as the Executive has an employment relationship
with the Company. The Board shall determine any questions as to whether and when there has
been a termination of such employment relationship, and the cause of such termination, under
the Plan and the Board’s determination shall be final and binding on all persons.

	10.	 	Not an Employment Agreement. This Agreement is not an employment agreement, and no provision
of this Agreement shall be construed or interpreted to create an employment 

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	 	 	relationship
between the Executive and the Company or any of its Affiliates or guarantee the right to
remain employed by the Company or any of its Affiliates for any specified term.

	11.	 	Notices. Any notice, instruction, authorization, request or demand required hereunder shall
be in writing, and shall be delivered either by personal delivery, by telegram, telex,
telecopy or similar facsimile means, by certified or registered mail, return receipt
requested, or by courier or delivery service, addressed to the Company at the Company’s
principal business office address and to the Executive at the Executive’s residential address
indicated beneath the Executive’s signature on the execution page of this Agreement, or at
such other address and number as a party shall have previously designated by written notice
given to the other party in the manner hereinabove set forth. Notices shall be deemed given
when received, if sent by facsimile means (confirmation of such receipt by confirmed facsimile
transmission being deemed receipt of communications sent by facsimile means); and when
delivered (or upon the date of attempted delivery where delivery is refused), if
hand-delivered, sent by express courier or delivery service, or sent by certified or
registered mail, return receipt requested.

	12.	 	Amendment and Waiver. Except as otherwise provided herein, this Agreement may be amended,
modified or superseded only by written instrument executed by the Company and the Executive.
Only a written instrument executed and delivered by the party waiving compliance hereof shall
waive any of the terms or conditions of this Agreement. Any waiver granted by the Company
shall be effective only if executed and delivered by a duly authorized executive officer of
the Company other than the Executive. The failure of any party at any time or times to
require performance of any provisions hereof shall in no manner effect the right to enforce
the same. No waiver by any party of any term or condition, or the breach of any term or
condition contained in this Agreement, in one or more instances, shall be construed as a
continuing waiver of any such condition or breach, a waiver of any other condition, or the
breach of any other term or condition.

	13.	 	Governing Law and Severability. This Agreement shall be governed by the laws of the State of
Texas without regard to its conflicts of law provisions. The invalidity of any provision of
this Agreement shall not affect any other provision of this Agreement, which shall remain in
full force and effect.

	14.	 	Successors and Assigns. Subject to the limitations which this Agreement imposes upon the
transferability of the Stock Units granted hereby, this Agreement shall bind, be enforceable
by and inure to the benefit of the Company and its successors and assigns, and to the
Executive, the Executive’s permitted assigns and upon the Executive’s death, the Executive’s
estate and beneficiaries thereof (whether by will or the laws of descent and distribution),
executors, administrators, agents, legal and personal representatives.

	15.	 	Counterparts. This Agreement may be executed in two or more counterparts, each of which
shall be an original for all purposes but all of which taken together shall constitute but one
and the same instrument.

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In Witness Whereof, the Company has caused this Agreement to be duly executed by an
officer thereunto duly authorized, and the Executive has executed this Agreement, all as of the
date first above written.

	 	 	 	 	 
	 	HARVEST NATURAL RESOURCES, INC.

 	 
	 	By:  	 	 
	 	Title:  	 	 
	 

	 	 	 	 	 
	 	EXECUTIVE:

 	 
	 	 	 
	 	James A. Edmiston III 	 
	 
	 	Address:  	 	 
	 	  	 	 
	 	  	 	 
	 

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Exhibit 10.1

APACHE CORPORATION

OUTSIDE DIRECTORS’ RETIREMENT PLAN

(As Amended and Restated May 4, 2006; Effective as of January 1, 2006)

APACHE CORPORATION (the “Company”) established the Apache Corporation Outside Directors’ Retirement
Plan (the “Plan”), effective as of December 15, 1992, to provide non-employee Directors of the
Company (“Outside Directors”) with certain retirement and death payments. The purpose of the Plan
is to advance the interests of the Company, its subsidiaries, and its stockholders by continuing to
attract and retain outstanding individuals as Outside Directors and to stimulate the efforts of
such individuals by giving suitable recognition to services which will contribute materially to the
success of the Company.

ARTICLE I

Eligibility, Participation and Contributions

1.1 Eligibility and Participation.

     Each Outside Director begins to participate in the Plan as of the date his or her Service
begins.

1.2 Contributions.

     All amounts payable under the Plan shall be paid from the general assets of the Company.
Nothing contained in the Plan shall be deemed to create any fiduciary relationship between the
Company and the participating Outside Director (“Participant”). Any rights of the Participant
under the Plan shall be no greater than the right of any unsecured general creditor of the Company.

ARTICLE II

Retirement Payments

2.1 Retirement Payments.

     (a) Eligibility for Benefits. A Participant who Retires with four or more Quarters of
Service is entitled to receive benefits under the Plan.

     (b) Amount of Benefits. The amount of benefits under the Plan is equal to the value
of a series of quarterly payments, with each payment equal in amount to one-sixth of the
Participant’s Annual Director’s Retainer, and with the number of quarterly payments equal to the
number of the Participant’s Quarters of Service. As a consequence, each Participant will generally
receive an annual benefit of 662/3 percent of his or her Annual Director’s
Retainer.

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     (c) “Annual Director’s Retainer” shall mean the aggregate annual amount of an Outside
Director’s board retainer fee payable pursuant to section 1 of the Company’s Non-Employee
Directors’ Compensation Plan (or comparable section of any successor plan), whether or not all or a
portion of such amount is deferred or delayed. Such amount shall be determined as of the earlier
of the date a Participant Retires or the date the Participant dies.

     (d) “Quarter of Service” shall mean the aggregate total full months of Service as an
Outside Director divided by three and rounded up to the next whole number but in no event shall any
Participant’s Quarters of Service exceed 40.

     (e) “Retirement, Retired or Retires” shall mean a Participant’s ceasing to hold office
as an Outside Director, for any reason other than death.

     (f) “Service” shall mean the aggregate total, not to exceed 120, of (i) the number of
full months beginning on or after July 1, 1992 (whether or not consecutive) that a Participant held
office as an Outside Director, whether or not a Participant at the time, and (ii) 1/2 the number of
full months prior to July 1, 1992 (whether or not consecutive) that a Participant held office as an
Outside Director; provided, however, that a Participant who, as of December 15, 1992, has held
office as an Outside Director for an aggregate total of 15 years shall automatically be credited
with 120 full months of Service. If a Participant begins to receive a benefit under the Plan and
then becomes an Outside Director again, (1) the Participant’s benefits from his or her initial
episode of participation shall continue to be paid as scheduled and shall not be affected by any
subsequent Service, and (2) the Participant’s benefits from his or her later episode of
participation shall be calculated by ignoring his or her Service from earlier episodes of
participation.

2.2 Retirement Payments Following Change of Control.

     In the event of a “change of control” of the Company, as defined in the Company’s Income
Continuance Plan (as amended or the corresponding provisions of any successor plan), each current
Outside Director shall be eligible for the benefits described in section 2.1(b). If the change of
control is a transaction described in §409A(a)(2)(A)(v) of the Internal Revenue Code of 1986, as
amended (“Code”), each Participant shall be paid a single lump-sum payment equal to the net present
value of the benefit to which the Participant is entitled, calculated in the manner described in
section 2.4, as of the date of the change of control. If the change of control is not a
transaction described in Code §409A(a)(2)(A)(v), each Participant shall be paid at the time(s)
specified in section 2.3 or 2.4, whichever is applicable.

2.3 Quarterly Payments.

     A Participant may elect to be paid quarterly installments that are paid on the last day of
each calendar quarter (or as near to that date as administratively practicable). The first
quarterly payment shall be made as of the last day of the calendar quarter after

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the date the Participant separates from service (within the meaning of Code §409A(a)(2)(A)(i)),
unless the Participant is a specified employee within the meaning of Code §409A(a)(2)(B)(i), in
which case the first two quarterly payments shall be delayed until, and paid with, the third
regularly scheduled quarterly payment.

2.4 Lump-Sum Payments.

     A Participant shall receive a single lump-sum payment unless the Participant elects quarterly
installments. The Participant’s election must be made by the later of December 31, 2005 or 30 days
after the individual initially becomes a Participant. The lump sum shall be paid as soon as
administratively practicable after the Participant separates from service within the meaning of
Code §409A(a)(2)(A)(i), unless the Participant is a specified employee within the meaning of Code
§409A(a)(2)(B)(i), in which case the lump sum shall be paid as soon as administratively practicable
after 6 months after the Participant’s separation from service. The amount of the lump sum shall
be calculated by the Committee as of the date of the Participant’s Retirement. The amount of the
lump sum shall be equal to the net present value of the quarterly payments to which the Participant
would otherwise be entitled, determined using an annual interest rate equal to the rate on ten-year
treasury bonds/notes as reported in The Wall Street Journal published on or most recently prior to
the effective date of the Participant’s Retirement.

2.5 Retirement before 2006.

     A Participant who left the Company’s Board of Directors on or before December 31, 2005 shall
receive his or her benefit in accordance with the terms of the Plan in effect on December 31, 2005.

ARTICLE III

Death Payments

3.1 Death Benefits.

     (a) Eligibility for Death Benefits. If a Participant dies before receiving all of his
or her benefits under Article II, the Participant’s Beneficiary, as determined in section 3.2,
shall receive the remaining benefits.
If a Participant elected quarterly payments, the Participant’s Beneficiary shall be paid a
lump sum equal to the net present value of any remaining payments, calculated as of the date of the
Participant’s death, and calculated in the manner specified in section 2.4.
If a Participant is scheduled to receive a single lump-sum payment, but dies before doing so,
the Participant’s Beneficiary shall be paid the lump sum.

     (b) Timing. Payment to the Beneficiary shall be made as soon as administratively
convenient after the Participant’s death, after giving the Beneficiary an opportunity to disclaim
and after the Company has been furnished with proof of death and such other information as it may
reasonably require.

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     (c) Beneficiary in Pay Status. The Beneficiary of a Participant who died on or before
December 31, 2004 shall receive his or her death benefits in accordance with the terms of the Plan
in effect on December 31, 2004.

3.2 Beneficiaries.

     (a) “Beneficiary” shall mean the recipient of the Participant’s death benefits as
determined in accordance with this section 3.2.

     (b) Designation. Each Participant shall designate one or more persons, trusts, or
other entities as his or her Beneficiary . In the absence of an effective Beneficiary designation
as to part or all of a Participant’s death benefits, the Participant’s surviving Spouse, if any,
shall be the Participant’s Beneficiary, and in the absence of a surviving Spouse, the Participant’s
estate shall be the Beneficiary. Unless the Participant’s Beneficiary designation form specifies
otherwise, if a Beneficiary dies after the Participant but before being paid by the Plan, the Plan
shall pay the Beneficiary’s estate.

     (c) Changing Beneficiaries. A Beneficiary designation may be changed by the
Participant at any time and without the consent of any previously designated Beneficiary. However,
if the Participant is married, the Participant’s Spouse shall be the Participant’s Beneficiary
unless the Spouse has consented to the designation of a different Beneficiary. To be effective,
the Spouse’s consent must have been made before January 1, 2005 or, if made on or after January 1,
2005, the Spouse’s consent must be in writing, witnessed by a notary public, and filed with the
Company. If the Participant has designated his or her Spouse as a primary or contingent
Beneficiary, and the Participant and Spouse later divorce (or their marriage is annulled), then the
former Spouse will be treated as having pre-deceased the Participant for purposes of interpreting a
Beneficiary designation form completed prior to the divorce or annulment; this provision will apply
only if the Company is notified of the divorce or annulment before payment to the former Spouse is
made.

     (d) “Spouse” shall mean the individual to whom a Participant is lawfully married
according to the laws of the state of the Participant’s domicile.

     (e) Disclaimers. Any individual or legal entity who is a Beneficiary may disclaim all
or any portion of his or her interest in the Plan, provided that the disclaimer satisfies the
requirements of Code §2518(b) and applicable state law. The legal guardian of a minor or legally
incompetent person may disclaim for such person. The personal representative (or the individual or
legal entity acting in the capacity of the personal representative according to applicable state
law) may disclaim on behalf of a Beneficiary who has died. The amount disclaimed shall be
distributed as if the disclaimant had predeceased the individual whose death caused the disclaimant
to become a Beneficiary.

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ARTICLE IV

Administration, Amendment and Termination

4.1 The Management Development and Compensation Committee.

     The Plan shall be administered by the Management Development and Compensation Committee (the
“Committee”) of the Company’s Board of Directors. All administrative duties, including but not
limited to, the power to interpret the Plan and to decide any dispute, shall be carried out by the
Committee, which shall have full discretion and authority hereunder. All claims under the Plan
shall be filed with the Company and shall be decided by the Committee. The decisions made by the
Committee shall be final and binding on all persons having or claiming to have rights under the
Plan.

4.2 Termination or Amendment of Plan.

     The Plan may be terminated or amended at any time through action of the Company’s Board of
Directors. No termination or amendment, however, shall reduce the payments (a) to a Participant or
Beneficiary where a Participant has already died or reached Retirement, (b) to which a Participant
is or may become entitled, based on such Participant’s Service and Annual Director’s Retainer as
determined on the effective date of such termination or amendment, or (c) to which a Participant is
or may become entitled pursuant to section 2.2 as a result of a change of control. The termination
of the Plan shall not affect the timing of any benefit payments; payments after the Plan has
terminated will be made at the time(s) specified in Articles II and III.

ARTICLE V

Miscellaneous

5.1 Inalienability of Payments.

     No Participant shall have the right to assign, transfer, hypothecate, encumber or anticipate
his or her interest in any payments under the Plan, nor shall the payments under the Plan be
subject to any legal process to levy upon or attach such payments for any claim against the
Participant, Spouse, or Beneficiary.

5.2 Notices.

     Any notice, form, or election required or permitted to be given under the Plan shall be in
writing and shall be given by first class mail, by Federal Express, UPS, or other carrier, by fax
or other electronic means, or by personal delivery to the appropriate party, addressed:

     (a) If to the Company, to Apache Corporation at its principal place of business at 2000 Post
Oak Boulevard, Suite 100, Houston, Texas 77056-4400 (Attention: Corporate Secretary) or at such
other address as may have been furnished in writing by the Company to a Participant; or

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     (b) If to a Participant or Spouse, at the address the Participant has furnished to the Company
in writing.

     (c) If to a Beneficiary, at the address the Participant has furnished to the Company in
writing for such Beneficiary.

Any such notice to a Participant, Spouse, or Beneficiary shall be deemed to have been given as of
the third day after deposit in the United States Postal Service, postage prepaid, properly
addressed as set forth above, in the case of a mailed notice, or as of the date delivered in the
case of any other method of delivery.

5.3 Disposition of Unclaimed Payments.

     Any communication, statement or notice addressed to a Participant at his or her last post
office address, as provided to the Company under section 5.2, will be binding on the Participant,
Spouse, or Beneficiary for all purposes of the Plan. If the Company cannot ascertain the
whereabouts of any person to whom a payment is due under the Plan within three years from the date
such payment is due, such payment shall be cancelled on the records of the Plan and the amount
thereof forfeited to the Company.

5.4 Gender. Any term herein used in the singular shall also include the plural, and the
masculine gender shall also include the feminine gender, and vice versa.

5.5 Statutory References. Any reference to a specific section of the Code shall be deemed
to refer to that section or to the appropriate successor section.

5.6 Governing Law.

     The Plan shall be governed by the laws of the State of Texas.

Dated: May 4, 2006

	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 	 	 	 	       APACHE CORPORATION	 	 
	 
	 	 	 	 	 	 	 	 
	ATTEST:	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Cheri L. Peper
	 	By:
	 	/s/ Jeffrey M. Bender	 	 
	 

	 	 
	 	 	 	 	 	 
	 

	 	Cheri L. Peper
	 	 	 	Jeffrey M. Bender	 	 
	 

	 	Corporate Secretary
	 	 	 	Vice President, Human Resources	 	 

6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00108-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00108-of-00352.parquet"}]]