Document:

ex10_2.htm

    Employment
Agreement

     

    This
Employment Agreement (“Agreement”),
dated as of June 30, 2008 (the “Effective
Date”), is made between Rock Energy Resources, Inc., a Delaware
corporation (the “Company”),
and _Rocky V. Emery (“Executive”).

     

    Recitals:

     

    A. The
Company is engaged in the business of drilling for, producing and selling
natural gas, natural gas liquids and crude oil (the “Business”).

     

    B. The
Company and Executive desire to enter into this Agreement to govern the
employment relationship between them.

     

    Now,
Therefore, in consideration of the foregoing Recitals, the agreements
hereinafter set forth and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties agree as
follows:

     

    ARTICLE
I

     

    EMPLOYMENT
AND ACCEPTANCE

     

    1.1 Employment by the
Company.  The Company hereby agrees to employ Executive from
the Effective Date through _June 30, 2010 (including all renewal periods, if
any, the “Term”).
Such Term shall automatically renew for successive additional one-year terms
unless either party provides the other with written notice of its intent not to
renew this Agreement at least 90 days prior to the end of the Term (including
any renewal term, as applicable) unless terminated earlier pursuant to the
provisions of this Agreement. During the Term, Executive shall serve in the
capacity of Chairman and Chief Executive Officer.

     

    1.2 Duties and
Responsibilities.  Executive shall have the duties and
authority assigned to Executive by, and shall report to, the Board of Directors
of the Company (the “Board”).
In particular, Executive shall be responsible for: all business affairs of the
Company. During the Term, Executive shall devote his time and services to the
Company as he deems reasonably necessary to perform his duties, and shall carry
out the Company’s policies and directives in a manner which will promote and
develop the Company’s interests.

     

    1.3 Acceptance of Employment by
Executive.  Executive hereby accepts such employment and
represents and warrants that (i) Executive is not restricted in any manner from
providing services hereunder or from engaging in the Business, and (ii)
Executive is not aware of any situation creating a conflict of interest between
Executive and the Company.

     

    ARTICLE
II

     

    COMPENSATION
AND OTHER BENEFITS

     

    2.1 Base Salary.  The
Company shall pay Executive a salary at the rate of $330,00 per year of
employment hereunder (the “Base
Salary”). The Base Salary shall be payable in accordance with the payroll
policies of the Company as from time to time in effect (but no less often than
monthly), less such deductions as shall be required to be withheld by applicable
law and regulations. The Board shall review Executive’s performance each year
this Agreement is in effect and, in its sole discretion, may decide whether to
increase Executive’s Base Salary.

     

    2.2 Annual Bonus.  In
addition to the Base Salary, at the discretion of the Board, the Company may
award a bonus to Executive following the end of each fiscal year during the
Term.

     

    2.3 Vacation
Policy.  Executive shall be entitled to paid time off on such
terms generally made available to Executive officers of the
Company.

     

    2.4 Participation in Employee Benefit
Plans.  At Executive’s option, the Company agrees to permit
Executive during the Term, if and to the extent eligible, to participate in any
group life, health care or group disability insurance plan, pension plan,
similar benefit plan or other so-called “fringe benefits” of the Company which
may be made generally available to other executives and employees of the Company
and on such terms as any such benefits are made generally available to such
executives and employees.

     

    2.5 Expenses.  The
Company shall pay or reimburse Executive for all business expenses reasonably
and necessarily incurred by Executive during the Term in the performance of
Executive’s services under this Agreement, in each case in accordance with
Company policy.

     

    2.6 Office and Assistance. The
Company will provide Executive with an office and support staff as necessary to
perform Executive’s duties hereunder.

     

    2.7 Insurance/Indemnity. The
Company agrees to indemnify, pay for the defense of (with Executive’s choice of
counsel) and hold Executive harmless from any claims which arise against
Executive as a result of his employment with the Company to the maximum extent
permitted by law. The Company also agrees that it will acquire and maintain
Directors and Officers Liability insurance coverage in the amount of at least
$3,000,000 under which Executive is a covered insured, with a carrier approved
by the Board.

     

     

    
      -1-

      
        

      

    

     

    ARTICLE
III

     

    RESTRICTIONS

     

    3.1 Nondisclosure
of Confidential Information.

     

    (a) Recognition of Company
Rights; Nondisclosure.  For so long as Executive is employed by
the Company (whether during the term of this Agreement or after its expiration,
the “Employment”),
Executive will have access to Confidential Information (as defined in Section 3.1(b)),
including Confidential Information Executive has not accessed prior to the date
of this Agreement. Executive recognizes that the Company’s business interests
require the fullest practical protection and confidential treatment of the
Confidential Information. At all times during the Employment and thereafter,
Executive will hold in strictest confidence and will not disclose, use, provide
access to, or publish any Confidential Information, except as such disclosure,
use or publication may be required in connection with Executive’s services for
the Company.  Executive agrees that all Confidential Information,
whether prepared by Executive or otherwise coming into Executive’s possession,
shall remain the exclusive property of the Company during Executive’s employment
with the Company. Executive will obtain the Company’s written approval before
publishing or submitting for publication any material (written, oral, or
otherwise) that relates to any Confidential Information and/or any material that
incorporates any Confidential Information.  Executive hereby assigns
to the Company any rights Executive may have or acquire in such Confidential
Information and recognizes that all Confidential Information is the sole
property of the Company and its assigns.

     

    (b) Confidential
Information. “Confidential
Information” means all information, not generally known within the
relevant trade group or by the public, including all business plans, training
materials, software programs, promotional materials, illustrations, designs,
plans, data bases, sources of supply, customer lists, supplier lists, trade
secrets, and all other valuable or unique information and techniques acquired,
developed or used by the Company relating to its business, operations,
suppliers, information systems, employees and customers, regardless of whether
such information is in writing, on computer disk or disk drive or in any other
form. Executive expressly acknowledges and agrees that Confidential Information
constitutes trade secrets and/or confidential and proprietary business
information of the Company. Confidential Information shall not include
information which is or becomes generally available to the public other than
through disclosure by Executive or by any other person or entity under a duty or
obligation to maintain the confidentiality thereof.

     

    3.2 Covenant
Not to Compete.

     

    (a) Consideration.  Executive
acknowledges and agrees that in exchange for its agreement in Section 3.2(b), Executive
will receive substantial and valuable consideration from the Company including,
but not limited to (i) Confidential Information, (ii) compensation and other
benefits, and (iii) exposure to the Company customers and
prospects.

     

    (b) Scope of Noncompetition
Obligation.  During the Term, Executive shall not, directly or
indirectly, either acting alone, or as a stockholder, partner, associate,
creditor, consultant, adviser, franchiser, franchisee, director, officer, owner,
employee or agent of any other person or entity, or in any other capacity,
engage in or provide services to a company engaged in the Business in the United
States; provided,
however,
the restriction contained in this Section 3.2 shall not
prohibit Executive from (x) owning not more than 4.9% of the outstanding stock
of any class of any publicly traded corporation, so long as Executive does not
actively participate in the business of such corporation, or (y) providing
consulting services to, and serving on the Board of Directors of, Best Energy
Services, Inc.

     

    3.3 Reasonableness of
Restrictions.  Executive acknowledges and agrees that, given
the nature of the Business, and the Company’s proposed Business plans, the
restrictions imposed upon Executive by this Article III and
the purposes for such restrictions are reasonable and are designed to protect
the trade secrets, confidential and proprietary business information and the
future success of the Company without unduly restricting Executive. If, at the
time of enforcement of this Agreement, a court shall hold that any of the
duration, scope or geographic restrictions stated herein are unreasonable under
circumstances then existing, the parties agree (and shall stipulate, if
necessary, in an appropriate pleading) that the maximum duration, scope or
geographic area reasonable under such circumstances shall be substituted for the
stated duration, scope or geographic area.

     

    3.4 Return of the Company
Property.  When Executive’s employment is terminated for any
reason, Executive will promptly (within three business days) deliver to the
Company any and all Confidential Information then in Executive’s
possession.

     

    3.5 Equitable and Other
Relief.  Executive understands and agrees that, in the event
Executive breaches this Article III, the
Company will suffer immediate and irreparable harm that cannot be accurately
calculated in monetary damages. Consequently, Executive acknowledges and agrees
that the Company shall be entitled to immediate injunctive relief, either by
temporary or permanent injunction, to prevent such violation.

     

    
      -2-

      
        

      

    

     

     

    ARTICLE
IV

     

    TERMINATION

     

    4.1 Upon Death or
Disability.  This Agreement shall terminate upon Executive’s
death or Disability.  For purposes of this Agreement, “Disability”
shall mean the inability of Executive to engage in any substantial gainful
activity by reason of any medically determinable physical or mental impairment
which can be expected to result in death or can be expected to last for a
continuous period of not less than six months. The determination of whether a
Disability has occurred will be made by the Board and Executive; provided,
that,
if the Board and Executive are not able to agree about whether Executive suffers
a “Disability,” then whether a Disability exists will be determined by a
mutually agreeable physician. If this Agreement terminates as a result of
Executive’s death or Disability, the Company shall pay Executive or Executive’s
estate: (i) (A) all accrued and unpaid Base Salary earned; (B) pay for all
accrued but unused vacation time, and (C) any other monies owed Executive by the
Company on the date of termination; all such amounts payable within 10 days of
the date of such termination; and (ii) any annual bonus referred to in Section 2.2 that would
otherwise be due for the fiscal year of termination, prorated to the number of
days in the fiscal year for which Executive was employed, and payable at the
same time as the bonus would have otherwise been due had Executive’s employment
not been so terminated.

     

    4.2 Termination for Cause or Voluntary
Termination.  If the Company terminates Executive at any time
for Cause or if Executive voluntarily terminates Executive’s employment without
Good Reason (as defined in Section 4.3) before
the end of the Term, the Company’s obligation to Executive shall be limited
solely to the payment of accrued and unpaid Base Salary.  As used in
this Agreement, the term “Cause”
shall mean any of the following: (i) failure of Executive to materially perform
Executive’s duties and responsibilities, which has not been corrected by
Executive within 30 days after Executive’s receipt of a written notice from the
Board specifying such failure in reasonable detail; (ii) any material breach by
Executive of the terms of this Agreement, which has not been corrected by
Executive within 30 days after Executive’s receipt of a written notice from the
Board specifying such breach in reasonable detail; (iii) commission of a
misdemeanor which causes material injury to the business, reputation or
financial condition of the Company; or (iv) commission of a
felony.  Executive shall be deemed to have been terminated for Cause
following delivery to Executive of a copy of a resolution duly adopted by at
least 75% of its members voting in good faith that “Cause”
exists, after having provided Executive and Executive’s counsel reasonable
notice and an opportunity to be heard before the Board regarding the allegations
which provide the basis of the allegation of “Cause”.

     

    4.3 Termination Without Cause or for Good
Reason.  If the Company terminates Executive at any time
without Cause or Executive resigns with Good Reason, the Company shall be
obligated to pay Executive: (i) (A) all accrued and unpaid Base Salary earned;
(B) pay for all accrued but unused vacation time, and (C) any other monies owed
Executive by the Company on the date of termination; all such amounts in this
Section 4.3(i)
payable within 10 days of the date of such termination; and (ii) (A) any annual
bonus referred to in Section 2.2 that would
otherwise be due for the fiscal year of termination, prorated to the number of
days in the fiscal year for which Executive was employed; and (B)  the
Base Salary through the end of the Term, but not to exceed $_330,000.00 in the
aggregate; all such amounts in this Section 4.3(ii) to be
paid at such times as they would have otherwise been due and had Executive’s
employment not been so terminated; provided,
however,
if there is a Change in Control (as defined below) then the remaining Base
Salary and any such annual bonus shall be paid in a lump sum within five days of
the Change in Control.

     

    For
purposes of this Agreement, “Good
Reason” means that any of the following occur, without the Executive’s
prior written consent: (a) Executive is no longer the Chairman and Chief
Executive Officer of the Company or is assigned duties which are substantially
inconsistent with the duties of the Chief Executive Officer of an operation that
is at least similar in size and complexity to that of the Company on the
Effective Date; (b) the principal place of employment is changed to a location
more than 25 miles from its current location in Houston, Texas; (c) the
aggregate value of Executive’s compensation and benefits as set forth in the
entirety of Section
2 is decreased by 3% or more (except Executive’s Base Salary which, as
provided herein, cannot be decreased); (d) the Company breaches any material
provision of this Agreement, and fails to correct the breach within 30 days of
being given written notice of such breach; or (e) a Change in Control
occurs.

     

    For
purposes of this Agreement, “Change in
Control” means: (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, as amended (the “Exchange
Act”)) of beneficial ownership (within the meaning of Rule 13d-3
promulgated under the Exchange Act) of either (A) then outstanding shares
of common stock of the Company or (B) then outstanding voting securities of
the Company entitled to vote generally in the election of directors that results
in such individual, entity or group owning 50% or more of the such outstanding
common stock of the Company or the such outstanding voting securities of the
Company; (ii) the consummation of a merger or consolidation of the Company with
any other entity, other than a merger or consolidation which would result in the
voting securities of the Company outstanding immediately prior thereto
continuing to represent (either by remaining outstanding or by being converted
into voting securities of the surviving entity or its parent) at least
50% of the total voting power represented by voting securities of the
Company or such surviving entity or its parent outstanding immediately after
such merger or consolidation; (iii) the consummation of the sale or disposition
by the Company of all or substantially all of the Company’s assets; (iv)
individuals who, as of the date hereof, 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 subsequent to the date hereof whose
election or nomination for election by the Company’s shareholders, 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 other
actual or threatened solicitation of proxies or consents by or on behalf of an
acquiring person other than the Board; or (v) approval by the shareholders of
the Company of a complete liquidation or dissolution of the
Company.

     

     

    
      -3-

      
        

      

    

     

     

    ARTICLE
V

     

    MISCELLANEOUS

     

    5.1 Notices.  All
notices, requests, demands and other communications given or made pursuant to
this Agreement shall be in writing and shall be deemed effectively
given:  (i) upon personal delivery to the party to be notified, (ii)
when sent by confirmed electronic mail or facsimile if sent during normal
business hours of the recipient, and if not so confirmed, then on the next
business day, (iii) five days after having been sent by registered or certified
mail, return receipt requested, postage prepaid, or (iv) one day after deposit
with a nationally recognized overnight courier, specifying next day delivery,
with written verification of receipt. All communications shall be sent to the
respective parties at their address as set forth below (or to such e-mail
address, facsimile number or address as subsequently modified by written notice
given in accordance with this Section
5.1):

     

    If
to the
Company:                                           Rock
Energy Resources, Inc.

    10375 Richmond

    Suite
2100

    Houston,
Texas 77042

    Attention:  President

    Telephone:  (713)
954-3600

    Fax No.: (713) ___-____

    Email:

    

    If
to
Executive:                                __________________

    __________________

    __________________

    Telephone:  (___)
___-____

    Email:

     

    5.2 Entire
Agreement.  This Agreement contains the entire agreement
between the parties with respect to the subject matter hereof and supersedes all
prior discussions and agreements, written or oral, with respect
thereto.

     

    5.3 Waivers and
Amendments.  This Agreement may be amended, suspended,
cancelled, renewed or extended, and the terms and conditions hereof may be
waived, only by a written instrument signed by both parties or, in the case of a
waiver, by the party waiving compliance. No delay on the part of any party in
exercising any right, power or privilege hereunder shall operate as a waiver
thereof. Nor shall any waiver on the part of any party of any such right, power
or privilege hereunder, nor any single or partial exercise of any right, power
or privilege hereunder, preclude any other or further exercise thereof or the
exercise of any other right, power or privilege hereunder.

     

    5.4 Assignment.  This
Agreement shall inure to the benefit of and shall be binding upon Executive and
Executive’s executor, administrator, heirs, personal representative and assigns,
and the Company and its successors and assigns; provided,
however,
that Executive shall not be entitled to assign any of Executive’s rights or
delegate any of Executive’s duties under this Agreement.

     

    5.5 Severability:
Construction.  Whenever possible, each provision of this
Agreement shall be interpreted in such manner as to be effective and valid under
applicable law, but if any provision of this Agreement is held by a count of
competent jurisdiction to be prohibited by or invalid under applicable law, such
provision shall be ineffective only to the extent of such prohibition or
invalidity, without invalidating the remainder of this Agreement. Use of the
word “including” shall not be limited by the terms following such word. All
references to singular or plural terms shall mean the other where
appropriate.

     

    5.6 Choice of Law.  This
Agreement (including any claim or controversy arising out of or relating to this
Agreement) shall be governed by the law of the State of Texas, without regard to
conflict of law principles that would result in the application of any law other
than the law of the State of Texas. Any action, suit or other legal proceeding
of any kind or nature (collectively, “Proceeding”)
arising out of or relating to this Agreement shall be brought in the courts of
the State of Texas, County of Harris, or, if it has or can acquire jurisdiction,
in the United States District Court for the Southern District of Texas – Houston
Division, and each of the parties irrevocably submits to the exclusive
jurisdiction of each such court in any such Proceeding, waives any objection it
may now or hereafter have to venue or to convenience of forum, agrees that all
claims in respect of the Proceeding shall be heard and determined only in any
such court and agrees not to bring any Proceeding arising out of or relating to
this Agreement in any other court.

     

    5.7 Headings.  The
section and subsection headings contained in this Agreement are for reference
purposes only and shall not effect in any way the meaning or interpretation of
this Agreement.

     

    5.8 Execution.  This
Agreement may be executed in two or more counterparts, each of which shall be
deemed to be an original, but all of which shall be one and the same document.
The exchange of copies of this Agreement and of signature pages by facsimile
transmission, PDF or other electronic file shall constitute effective execution
and delivery of this Agreement as to the parties and may be used in lieu of the
original Agreement for all purposes. Signatures of the parties transmitted by
facsimile, PDF or other electronic file shall be deemed to be their original
signatures for all purposes.

     

    [Signature
Page to Follow]

     

    
       

      
        -4-

        
          

        

      

       

    

     

     

    In
Witness Whereof, the parties hereto have executed this Agreement on the date
first above written.

     

    

    Company:

     

    Rock
Energy Resources, Inc.

     

    

     

    

     

    __________________________________________

     

    Rock
V. Emery, President

     

    

     

    Executive:

     

    

     

    __________________________________________

     

    __________________,
individually

     

    

    
 

    
      
        
          Signature
Page

          Employment
Agreement

        

         

      

      
        -5-ex10_3.htm

    Exhibit
10.3

      EMPLOYMENT
AGREEMENT

      

      EMPLOYMENT
AGREEMENT (“Agreement”) is made between Rock Energy Resources, Inc. Corporation,
a Delaware Corporation (the “Company”, “Employer”), and Tom S. Elliott
(“Elliott”, “Employee”).

       

       

      RECITALS

       

       

      WHEREAS, Employer is engaged
in exploration, development and production of crude oil and natural gas;
and,

       

      WHEREAS,
Elliott has unique experience and knowledge regarding the hydrocarbon industry;
and,

       

      WHEREAS,
the Company is desirous of entering into an agreement with Elliott, whereby
Elliott will be employed by the Company as Chief Operating Officer and
President; and,

       

      WHEREAS,
Elliott agrees to serve as Chief Operating Officer and President of the Company
from the effective date of this Agreement until June 30, 2010 or until such time
as a successor is duly nominated and installed.

       

      NOW,
THEREFORE, in consideration of the mutual promises and covenants set
forth below, the parties agree as follows:

      

      
        	
                 
      

              	
                1)

              	
                Management and
      Operations.  Elliott hereby agrees to devote his full
      time, and best efforts, to managing and operating the business and
      commercial affairs of the Company and to perform in the capacity of
      COO/President on behalf of the Company. The designation by Employer’s
      Board of Directors or Managing Members of any other duties or any other
      corporate office, position or title for employee during the term of this
      Agreement shall not decrease Employee’s compensation as provided
      herein.  It is expressly understood by Employer and Employee
      that nothing within this Employment Agreement shall prevent or in any way
      limit Elliott from accepting directorships with other corporate entities
      unless said corporation would be in competition with the
      Company.

              

      

      

      
        	
                 
      

              	
                2)

              	
                Term.  Subject
      to provisions of termination as hereinafter provided, the term of this
      Agreement shall be for a period of two (2) years beginning as of the
      effective date and terminating on the date which is the last day prior to
      the second (2nd) anniversary of the Effective Date.  Absent
      written notice by Elliott to the Company or the Company to Elliott this
      contract will automatically add one year to its term on each one year
      anniversary date after June 30,
2010.

              

      

       

      
        	
                 
      

              	
                3)

              	
                Compensation.

              

      

      

      Base
Compensation.  For services rendered by Elliott under this
Agreement, the Company shall pay Elliott the sum of US $280,000.00
(Two Hundred Eighty Thousand Dollars) per annum, payable in equal semi-monthly
installments, due on the first and the fifteenth day of each month, of US $11,666.00
(Eleven Thousand Six Hundred Sixty Six Dollars) during the term of this
Agreement.

      

      
        	
                a.  

              	
                Payment of
      Compensation, Bonus and Commission.  The company will
      withhold any and all applicable federal and state taxes from any payments
      made to Elliott.

              

      

      

      
        	
                b.  

              	
                Expense Reimbursement
      :  The company shall reimburse Elliott for reasonable and
      necessary expenses incurred by Elliott in connection with his
      responsibilities under this  Agreement, provided , however, that
      Elliott shall submit properly documented requests for reimbursement to the
      Company

              

      

      

      
        	
                a.  

              	 

      

      
        	
                c.  

              	
                Health
      Insurance.  The Company shall provide Elliott with a
      major medical or health insurance program and or policy consistent with
      what other Company executive employees
receive.

              

      

      

      
        	
                d.  

              	
                Vehicles.  While
      employed by the Company, the Company shall provide Elliott with a motor
      vehicle, inclusive of operation and running costs of said
      vehicle.

              

      

      

      
        	
                 
      

              	
                       
      h.

              	
                Relocation.  Should
      the Company require Elliott to relocate from Elliott’s present location in
      Houston, the Company shall provide Elliott with full relocation assistance
      and reimbursement for all reasonable and necessary costs incurred in the
      relocation.

              

      

      

      
        	
                i.  

              	
                Additional
      Compensation.  Elliott shall receive a grant of 250,000
      (Two Hundred Fifty Thousand) shares of Rock Energy Resources Common stock
      upon signing this employment agreement.  Further, Elliott shall
      be entitled to all employee bonus plans, stock option plans, compensation
      programs, or policies now in existence or as may hereafter be conferred by
      Employer to all of its executive
employees.

              

      

      

      
        	
                 
      

              	
                4)

              	
                Compensation
      Review.  Compensation shall be reviewed on not less than
      an annual basis and adjusted to appropriately compensate Elliott for his
      services hereunder.  Increases in compensation shall be at the
      discretion of the company’s board of directors or governing members;
      however, in no event shall compensation be reduced from that which is
      provided for in this Agreement.

              

      

      

      
        	
                 
      

              	
                5)

              	
                Duties and Extent of
      Services.  Elliott shall have the following duties and
      responsibilities subject to the approval of the Managing Members or Board
      of Directors:

              

      

      

      
        	
                a.  

              	
                Elliott
      shall organize an appropriate management and operational team for all
      operations and undertakings of the Company, and shall have the right to
      employ individuals as may be necessary for the proper management of the
      Company.

              

      

      

      
        	
                b.  

              	
                Elliott
      shall actively participate in the development of Company properties,
      inclusive of exploitation, exploration, development and production; the
      marketing and development of technologies owned by the Company, its
      affiliates or subs; and all other aspects of the corporate
      enterprise.

              

      

      

      
        	
                 
      

              	
                c.

              	
                Elliott
      shall supervise and manage, or cause to be supervised and managed, the oil
      and gas leases and operating wells of the Company, and shall be
      responsible for managing the day to day operations of the Company with
      respect to such leases and wells.

              

      

      

      
        	
                d.  

              	
                Elliott
      shall advise the Company regarding the potential acquisition of additional
      oil and gas leases, the potential sale or other disposition of any oil and
      gas leases, and other commercial events, which bear towards the interests
      of the Company.

              

      

      

      
        	
                e.  

              	
                Elliott
      shall report to the Board of Directors, as required, with respect to the
      operation of oil and gas leases belonging to the Company, and all other
      commercial and financial developments, which bear towards the interests of
      the Company.

              

      

      

      
        	
                f.  

              	
                Elliott
      shall prepare, or cause to be prepared, all documents, reports and books
      of account as may be required for the Company, and file or cause to be
      filed such documents, reports and books of account in a timely fashion
      with all federal, state or foreign agencies in each appropriate
      jurisdiction.

              

      

      

      
        	
                g.  

              	
                Elliott
      shall be responsible for the day to day operations of the corporate
      affairs of the Company.

              

      

      

      
        	
                h.  

              	
                Elliott
      shall devote such time as is necessary to meet the on-going business
      commitments and other responsibilities under this
      Agreement.  Pursuit of personal business and investment
      activities by Elliott shall not constitute a breach of this
      Agreement.

              

      

      

      
        	
                i.  

              	
                Without
      the express written consent of the Board of Directors, Elliott my not
      engage in any oil and gas activity or opportunity, save and except
      activity which may accrue from Elliott’s activities as a minority
      shareholder in any private or publicly-held corporation or
      entity.  For purposes of this Agreement, a minority interest is
      described as less than 5.0% (five percent) of outstanding equities of such
      private or publicly-held corporation or
entity.

              

      

      

      
        	
                j.  

              	
                In
      the event Elliott has an opportunity in excess of 5.0%, Elliott may
      present the opportunity to the Board of Directors, and in the event the
      Company elects not to participate, Elliott my proceed at will for his own
      account and benefit.

              

      

      

      
        	
                 
      

              	
                6)

              	
                Operating
      Fund.  The Company has certain funds on deposit in one or
      more accounts at banking or financial institutions.  The parties
      acknowledge and agree that all such funds shall constitute an operating
      fund for the Company. Elliott may direct disbursements of funds from these
      accounts while performing his duties in managing the general corporate and
      operational affairs of the Company, provided said disbursements are
      limited to the operating budget approved by the Board of Directors or by
      the Managing Members.

              

      

      

      
        	
                 
      

              	
                7)

              	
                Extraordinary
      Expenditures.  Elliott shall not make any extraordinary
      expenditures in the course of the business in excess of US $ 100,000.00
      (One Hundred Thousand Dollars) without the prior approval the Board of
      Directors or Managing Members.

              

      

      

      
        	
                 
      

              	
                8)

              	
                Termination.  This
      Agreement shall be terminated upon the occurrence of any of the following
      events:

              

      

      

      
        	
                a.  

              	
                Employer
      may terminate the employment of Elliott under this Agreement with or
      without cause at anytime during the term of this Agreement to be effective
      not less than sixty (60) days from delivery of written notice of such
      termination by Employer to Employee.  Likewise, Employee may
      voluntarily terminate his employment under the Agreement with Employer,
      with or without cause, effective not less than sixty (60) days from
      delivery of written notice of such termination by Employee to
      Employer.  Upon termination of the Employee’s employment under
      this Agreement pursuant to this paragraph  8.a, neither party
      shall thereafter have any further rights duties or obligation under this
      Agreement, except as otherwise specifically provided hereunder, but each
      party shall remain liable and responsible to the other for all prior
      obligations and duties hereunder, for all acts and omissions of such
      party, its agents, servants and employees prior to such
      termination;

              

      

      

      
        	
                b.  

              	
                Upon
      the death of Elliott;

              

      

      

      
        	
                c.  

              	
                At
      the discretion of the Company if Elliott shall suffer a permanent
      disability (for purposes of this Agreement, “permanent disability” shall
      be described as Elliott’s inability by reason of physical or mental
      illness or other similar cause to perform the majority of his duties under
      this Agreement for a period of six (6) months or more, the Company may
      elect to terminate this Agreement, only by written notice, given to the
      spouse, guardian or trustee of Elliott and shall be given effect six (6)
      months following the date of such
notice;

              

      

      

      
        	
                d.  

              	
                Upon
      completion of the terms of this
Agreement.

              

      

      

      
        	
                 
      

              	
                9)

              	
                Termination
      Compensation.  If Employee is terminated under this
      Agreement by Employer with or without cause pursuant to the provisions of
      this paragraph or otherwise, then and in that event Employer shall be
      required to pay to Employee within ten (10) days of the effective date of
      the termination of the Employee’s employment under this Agreement, an
      aggregate amount equal to 2.99 times his then current base salary as set
      forth and described in paragraph 3a of this
  Agreement.

              

      

      

      
        	
                 
      

              	
                10)

              	
                Binding
      Arbitration.  Unless both Employer and Employee expressly
      agree otherwise, in writing, all disputes relating to the employment
      relationship, including EEOC and other complaints, to this Agreement, or
      any breach thereof or the meaning and effect of any term and provisions
      hereof, shall be submitted to binding arbitration by Employer and Employee
      pursuant to Texas law and in accordance with the Commercial Arbitration
      Rules of the American Arbitration
Association.

              

      

      

      
        	
                 
      

              	
                11)

              	
                Effective
      Date.  This Agreement shall become effective July 1,
      2008.

              

      

      

      
        	
                 
      

              	
                12)

              	
                Notices.  Any
      notice required or permitted to be given under the terms of this Agreement
      shall be sufficient, if in writing, and sent by United States mail,
      certified, postage prepaid, to his residence (8023 W. Oakwood Ct.,
      Houston, Texas 77040) in the case of Elliott, or to its principal business
      office (10375 Richmond Ave, Suite 2100, Houston, Texas 77047) in the case
      of the Company, and not less than one of the Board of Directors or
      Managing Members.

              

      

      

      
        	
                 
      

              	
                13)

              	
                Waiver of
      Breach.  The waiver by either party of a breach of this
      Agreement by the other shall not operate or be construed as a waiver by
      such party of any subsequent breach by the other
  party.

              

      

      

      
        	
                 
      

              	
                14)

              	
                Assignment.  Elliott
      shall not assign or transfer any of his rights under this Agreement,
      except as may be delegated to a member of management or such other party
      or person contracted by, or in the employ of the Company, without the
      express written consent of the Company except as may be provided for
      herein.  In the event of a sale of all of the company’s assets,
      the Company reserves the right to assign the Agreement to the purchaser of
      the assets.

              

      

      

      
        	
                 
      

              	
                15)

              	
                Indemnification.  SEPARATE
      AGREEMENT

              

      

      

      
        	
                 
      

              	
                16)

              	
                Default.  If
      either party defaults in any of the covenants or agreements herein
      contained, the defaulting party shall pay all costs and expenses,
      including reasonable attorney’s fees, incurred by the other party in
      enforcing its rights arising under this Employment Agreement, whether
      incurred through legal action or otherwise, and whether incurred before or
      after Judgment.

              

      

      

      
        	
                 
      

              	
                17)

              	
                Governing
      Law.  This Employment Agreement shall be governed by and
      construed under the laws of the State of Texas.  Services
      provided by Elliott shall be deemed to have been rendered in the State of
      Texas, unless otherwise agreed to, in writing, by the
    parties.

              

      

       

      
        	
                 
      

              	
                18)

              	
                Entire
      Agreement.  This Agreement contains the entire Agreement
      of the parties and supersedes all prior agreements, negotiations and
      understandings between the parties with regard to the services of Elliott
      to the Company.  This Agreement may not be changed by either
      party, except by written agreement signed by both parties.  This
      Agreement shall be binding upon, and shall inure to the benefit of
      Employer and Employee, and their respective heirs, personal and legal
      representatives, successors and
assigns.

              

      

      

      

      

      
        	
                The
      Company:

              	
                Rock Energy
      Resources

              

      

       

                                       _____________ 

                                        By:

       

       

       

      
        	
                The
      Employee:

              	
                Tom S.
      Elliott

              

      

      

                                       ______________

      
        	
                 
      

              	
                By:  Tom
      S. Elliott

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